Used Vans Price Still Rising

September saw used van prices rise by on average 3 percent according to MotorTrader.com. The average price for LCVs was £3,862, £117 more than in August. This puts the year-on-year increase at £672 showing that the used van market is seeing increasing prices if not increasing sales. The rise in prices looks set to continue even as the market improves.

This is bad news for those looking to update their fleet in time for the proposed changes to the Low Emission zone in London. Those looking to invest in new vans will be hoping that an increase in avaliablility will put the power back in the hands of the consumer and decrease prices.

"With supplies of good retail quality vans remaining limited in September, prices remained very firm indeed. However, if supplies begin to increase significantly from corporate and dealer sources we could be seeing the current peak of market values - and it could be that values settle a little between now and Christmas."
Duncan Ward, General Manager at BCA

Should Smoking be Banned in all Rental Vehicles?

Last month car rental company Avis banned smoking in all of their vehicles in order to cut down on cleaning costs. They said that customers were increasingly asking for smoke free cars and most objected to being able to smell the previous customer's cigarettes. Smoking has been banned in countless places over the last few years isn't it about time is was completely banned in hire cars?

Personally I would complain if I were to rent a hire car or hire van and find that it smelled like an ashtray. I'm no doctor so I'm not sure if there are any health risks associated with passive smoking once the smoke has disapated but I wouldn't want to risk it. At the very least those who wish to smoke in their hire car should have to pay extra for cleaning.

I don't believe in the erossion of people's civil liberties but when it comes to smoking I have very little sympathy. Making it harder for people to smoke is a positive thing and encourages people not to put their health at risk.

Boris Johnson Plans To Charge Vans Drivers

In order to avoid paying fines to the European Union Boris Johnson must cut the amount of pollution caused by motor vehicles in the nation's capital. Currently drivers of buses, coaches and other heavy goods vehicles must pay a charge of £200 in order to enter the city wide Low Emissions Zone. By 2012 these charges will be extended to also apply to van drivers if their vehicles do not meet strict emission guidelines.



In practice this means that those with older vans have two years to either convert their vehicles or buy new ones in order to be able to work in the city and still make a profit. This means van hire companies, couriers and white van men will be forced to upgrade. Black cabs over 10 years old will no longer be issued with licences after 2012.

Johnson believes that these will help to reduce the amount of pollution in London to more acceptable levels. It is estimated that 10,000 vans in the capital will be subject to the £100 daily fines. Mr Johnson has not yet explained what the money raised by the fines will be spent on although it is likely to be put towards other methods of reducing pollution. The cost of enforcing the new laws will also be significant.

Van Hire Market Still Struggling

Despite improvements in the housing market boosting their incomes van hire companies are still facing an uncertain future. The van hire market relies heavily upon the housing market afterall most people don't need to rent a van unless they are moving their belongings to a new property. It has been reported that the slowly recovering levels of property sales have bought a welcome influx of van hire customers but that doesn't seem to be enough to save some companies.

Van hire firm Northgate have had a difficult month which has seen their shares rise and fall in a dramatic fashion. First they released the news that their debt was much less than had been previously reported. The company claimed that they had managed to decrease its debt partly by selling off older parts of its fleet. This announcement saw Northgate's shares rise to higher than they had been for quite some time. the next day Northgate were forced to announce that they had 'miscalculated' the figures and they had actually reduced their debt by £173m rather than £205m since April. This had a predictable affect on their shares.