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Collaboration with the finance and leasing sector


Car buying has dramatically changed over recent years with a growing number new and used car purchases via motor financing. This includes finance packages such as Personal Contract Hire (PCH), Hire Purchase (HP) and Contract Hire (CH). LowCVP consumer research identified car buyers’ value of whole-life cost information as part of purchase process, including both capital and running cost figures. Whole life cost is rarely available to consumers as the lower running cost benefits of more efficient cars, and ULEVs, is not typically presented with the monthly leasing cost.
LowCVP research also revealed inconsistencies in essential technical and performance data in leasing company promotional material. The data allows for comprehension of different powertrains’ suitability to journey types and fuel/electricity calculations. Examples include the absence of mandatory fuel consumption (NEDC), electric range and electricity consumption data.

LowCVP and the Finance and Leasing Association (FLA) ran a workshop with the motor finance and leasing community in early 2019 to ascertain the current barriers to the uptake of ULEVs, discussing potential interventions to accelerate consumer adoption. The workshop outputs recommended, firstly, integration of whole-life cost figures into leasing promotional material and particularly cost quotations, thereby demonstrating ULEVs’ affordability and their running cost benefits. This will require amendments to the Customers Credit Act and to Financial Conduct Authority (FCA) guidance. The FLA and the LowCVP will be working together to develop and communicate the evidence base to encourage the change. FCA guidance would encourage whole-life figures in quotation and promotional material. To maximise message dissemination, invitation-only events will be held at the Conservative and Labour Party Conferences in September/October. The second workshop recommendation was the creation of best practice guidance, profiled for the leasing sector inclusive of WLTP/NEDC technical specifications, CO2 emissions and air quality data for car models in published consumer information. The guidance would be disseminated through both FLA and BVRLA channels.


  • Undertake both a survey and focus group consumer research on total cost of ownership (TCO) perspectives
  • Present an evidence base, and in collaboration with the FLA, influence the FCA to create guidance requiring presentation of TCO figures by the car finance and leasing sector
  • In partnership with the FLA, develop a set of common standards as the basis of the TCO calculation.
  • Produce a best practice guide note for the leasing and finance sector for presenting car buyer information.
  • Project Management and Stakeholder Engagement

LowCVP Secretariat to lead in collaboration with FLA, members of the LowCVP and several financial institutions.

Timeline and Deliverables

April 2019 – March 2020


FLA and LowCVP engagement with FCA Ongoing
Car buyer research summary paper Download
LowCVP to participate in FLA party conference roundtable Presentation

A member view...

LowCVP sits at the nexus of industry, policy and civil society, providing a valuable forum for objective research, debate and action amongst disparate stakeholders.
Adam Chase, Director, E4Tech