Northgate keeps fleet options open
BRITAIN’S biggest commercial vehicle rental company, based in Stockton, has launched a “sale and rentback” service in anticipation of UK firms axing fleets as the economy tightens.
But it is also forging ahead with European expansion plans, having become the biggest commercial vehicle provider in Spain after just two and a half years’ trading.
“When the business economy comes under pressure one of the first actions taken by companies is to axe or delay any capital expenditure,” said Northgate managing director Phil Moorhouse.
Giving firms the option to sell and rent back removed a fixed cost from the balance sheet, while also giving bosses the flexibility to add to the fleet as business improved or cut it without penalty, he said. The deal is believed to be the first of its kind in the UK.
The firm also revealed that it was conducting trials on lighter vehicles in which the traditional ply-wood lining had been replaced by plastic in a bid to drive down emissions and fuel costs .
See tomorrow’s nebusiness for a special report on green fleets.
