Benefits of hybrid vehicles for fleets

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#Alternative Fuels
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As the UK gears up for the 2030 ban on new petrol and diesel cars, fleet managers are increasingly turning to eco-friendly alternatives to power their vehicles. Among these alternatives, hybrid vehicles are emerging as a smart choice for fleet managers. They help to ease the transition to electric and offer a range of benefits that extend beyond cost savings.

In this blog, we delve into the various benefits of integrating hybrid vehicles into your fleet, from fuel efficiency to environmental compliance and access to incentives.

Cost savings on fuel and maintenance 

Hybrid vehicles combine petrol engines with electric power which leads to improved efficiency and reduced fuel costs. In stop-and-start traffic, or during short-distance driving, hybrid vehicles can often run solely on electric power, so no fuel is needed.

Regenerative braking, which recaptures energy during braking and charges the EV battery, allows you to minimise fuel use and reduces the strain on your brake pads. The fuel savings from using hybrids can add up, making it a cost-effective choice for businesses looking to cut operational costs.

You can also save money on maintenance with hybrid vehicles. As they use both an electric motor and an internal combustion engine, the engine is often used less intensively which can prolong its lifespan and reduce the frequency of repairs.

Environmental benefits and UK compliance

Hybrid vehicles produce fewer CO2 emissions than their ICE counterparts. This allows you to access Clean Air Zones in cities like London, Birmingham, and Manchester without paying a costly fine.

Beyond regulatory compliance, operating a green fleet can also improve your reputation. Demonstrating corporate social responsibility is important and can appeal to eco-conscious clients and customers.

By adopting hybrid vehicles, you can future-proof your business against impending regulations and mitigate the risk of fines associated with high-emission fleets.

Access to incentives and tax benefits 

Fleets can capitalise on various incentives and tax benefits by incorporating hybrid vehicles, including government grants and potential savings on Vehicle Excise Duty (VED).

Although VED rates are changing from April 2025, hybrid vehicles can still save you money. Vehicles which emit 1-50g of CO2 per km will pay a first-year rate of £110 and those that emit 51-75g per km will pay £130. This is much cheaper than the road tax you’d pay for a traditional fuel-powered vehicle.

Enhanced flexibility and versatility 

Hybrid vehicles are a practical choice for businesses on the move. With the ability to seamlessly transition between electric and petrol power, hybrids are equipped for both low-speed city driving and long-distance travel. This gives you greater flexibility whilst reducing the emissions of your fleet.

Plug-in hybrids offer the added advantage of electric-only driving for short distances, reducing fuel costs, whilst still providing the flexibility of a petrol engine for longer trips, mitigating concerns of range anxiety commonly associated with fully electric vehicles.

Overcoming the challenges of hybrid vehicles for fleets 

To get the most out of your plug-in hybrid, you need to regularly recharge. Although the EV charging infrastructure has been developed, there are still challenges which hybrid drivers may encounter. This includes broken chargers, long wait times and limited availability in rural areas

This can be inconvenient if you do not have access to a home charger but is worthwhile to save money on your fuel. Fortunately, if you do forget to recharge, your vehicle will still run using the petrol or diesel engine.

High upfront costs are another challenge for fleets to overcome. Hybrid vehicles are typically more expensive than their fuel alternatives and will require a significant investment from your business. Previously, hybrid vehicles were eligible for the Plug-in Car Grant, but this scheme was scrapped in 2022. Although this can deter businesses from choosing hybrid vehicles, it’s likely you’d still save money in the long run. 


Adopting hybrid vehicles is a smart choice for businesses looking to reduce costs, enhance sustainability, and future-proof their operations. With significant savings on fuel and maintenance, hybrids offer a practical way to lower operating expenses, making fleets more economical over time.

As environmental regulations become stricter and consumer expectations shift towards eco-conscious practices, investing in hybrid vehicles for your fleet demonstrates a commitment to sustainability and can enhance your brand reputation.

Right Fuel Card can help you efficiently manage a fleet of hybrid vehicles. We offer two EV charge cards which can be used as payment for petrol, diesel, and EV charging with all transactions on one invoice.

Compare our range of fuel cards to determine which is best for your business or contact our friendly team to discuss your fuel card options further.  

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Matt Dodds
Head of Strategic Sales and Partnerships

With over 14 years of experience across two of the leading fuel card companies in the UK, Matt Dodds joined RFC Edenred to help lead the development of products to support our customer's move to EV and other alternative fuels, a transition he feels passionately about.

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