38 per cent of UK businesses are using telematics

38 per cent of business in the UK are now using telematics technology in their vehicles, according to new research from the RAC.

A survey conducted by RAC Business found that London had the greatest uptake, with 45 per cent of businesses using telematics, followed by Scotland and North East England, which both reported that 44 per cent of business are using the technology.

68 per cent of businesses using telematics reported that they are saving money on their vehicle fuel bills, with 55 per cent reporting a reduction in wear and tear and 48 per cent claiming a reduction in downtime for their vehicles.

In addition to increasing efficiencies and reducing costs, the RAC also found that 43 per cent of firms claim the use of telematics supported their Duty of Care policies, while 58 per cent reported a reduction in speeding incidents and fines and 52 per cent reported a reduction in accidents. 11 per cent also said that their insurance premiums had decreased since installing the technology.

Nick Walker, RAC Telematics managing director, said: “The results of this research very much endorse what we’re hearing from businesses about how they are using the technology with many seeing fuel savings of between 10 and 15 per cent, as well as many other efficiencies.

“The potential for telematics in terms of looking after a fleet of vehicles is enormous as there is so much information that can be extracted and used by the business owner or fleet manager.

“The idea that businesses are using telematics just to track their staff is really quite outdated now, they are much more interested in information about how the vehicle is performing and getting alerts about parts that need replacing, or vehicles that need servicing.

“Telematics is a key aspect of Duty of Care policies now, helping to promote safer driving so there are fewer speeding fines or accidents, which all contributes to less downtime and therefore a much more efficient business.

“Investment in a fleet and the ongoing running costs are significant for any business, and with the kind of information now available through telematics you can ensure those valuable business assets are being properly maintained wherever they are in the country, that is extremely valuable insight for any business owner.”

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