One of the most exciting tasks when starting a new job is making sure you tick the box for the best company car. Increased taxation means that not as many employees are clamouring for a set of work wheels, but choose wisely and it still remains an excellent perk that can also save you cash.
Of course, the best way to reduce Benefit-in-Kind (BIK - the tax applied to company cars) is to pick an electric car, with business users being liable for a charge based on just 2% of the car’s value. As a result, battery-powered models can save user-choosers thousands of pounds a year in tax. We have a separate best electric company cars article.
However, while EVs (and the charging infrastructure they rely on) have come on leaps and bounds, these types of machines still don’t make sense for many drivers, who rack up big distances on a tight schedule.
As a result, traditional internal combustion engine (ICE) and hybrid models still make more sense for many employees. Of course, many of them will result in a much larger salary sacrifice than zero emissions vehicles, but choose carefully and you can still minimise your monthly outlay.
Our top 10 below concentrates on ICE and hybrids. Our top 10 choices are across a number of categories, from small cars to SUVs there should be something for everyone, with each combining low BIK bills with enough driver appeal to keep things interesting.
Top 10 Best Company Cars
BiK rate: 8%
Monthly BiK tax at 20%: £79
Monthly BiK at 40%: £158
Now in its eighth generation, the 5 Series continues to lead the executive saloon pack - although its margin of superiority is smaller than it's ever been. Bigger and heavier than before, the three-box BMW has lost some of its predecessor’s traditional dynamic sparkle, but the trade-off is almost 7 Series levels of comfort and refinement.
The vast, beautifully finished interior will keep clients happy, although the infuriating overwrought infotainment will test the patience of many drivers. There are plenty of powertrains to choose from, yet the plug-in hybrid’s blend of decent urge, 8% BiK and over 60 miles of EV running covers all the company car bases.
Read our BMW 530e review
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