14th May 2018
Vehicle Rental & Terrorism: Are there consequences for Asset Finance Brokers?
Over the last decade there has been a noticeable increase in terror-related attacks across the globe involving the use of vehicles as weapons. Whilst the attacks themselves are devastating and inexcusable, the consequential ripple effect has reached the vehicle rental market, with experts observing an emerging indirect impact upon the asset finance sector.
The UK rental sector is at risk of spiralling costs and disappointed customers if vehicle rental business owners attempt to make changes to the vehicle hire process in the shadow of counter-terrorism advice. The most recent terrorist attacks, using vehicles as a weapon, have been carried out by individuals driving rental vehicles, placing vehicle rental staff on the frontline of counter terrorist measures.
The British Vehicle Rental and Leasing Association (BVRLA) have identified a need for the vehicle rental industry and UK law enforcement to work together in creating suitable policies that will help to manage the risks posed by terrorists as well as ensuring businesses can continue to operate fairly and without spiralling costs.
Any unmoderated policy changes within the vehicle rental sector in an effort to identify terrorist behaviour, could mean that vehicle rental businesses or asset finance brokers are left with significant difficulties in providing affordable and convenient options for their customers.
The BVRLA have put forward the following recommendations to help prepare for a shift towards tackling terrorism:
With counter terrorism policies still to come into effect specifically for the vehicle rental industry, it is important that rental businesses renting vehicles to UK companies are aware of the proposed changes and are prepared to react responsively in order to ensure compliance, keep costs to a minimum and take preventative measures to reduce the likelihood of potential terrorist attacks using vehicles as weapons in future.
You can find out more about the work of the BVRLA in relation to rental vehicles and terrorism here. If you’d like to find out how changes to hiring and leasing of vehicles could affect your business, or are interested in asset finance or asset refinance to help grow your vehicle rental business, ask a member of the Davenham team by calling 0161 832 8484 or emailing enquiries@davenham.co.uk.
The UK rental sector is at risk of spiralling costs and disappointed customers if vehicle rental business owners attempt to make changes to the vehicle hire process in the shadow of counter-terrorism advice. The most recent terrorist attacks, using vehicles as a weapon, have been carried out by individuals driving rental vehicles, placing vehicle rental staff on the frontline of counter terrorist measures.
The British Vehicle Rental and Leasing Association (BVRLA) have identified a need for the vehicle rental industry and UK law enforcement to work together in creating suitable policies that will help to manage the risks posed by terrorists as well as ensuring businesses can continue to operate fairly and without spiralling costs.
Any unmoderated policy changes within the vehicle rental sector in an effort to identify terrorist behaviour, could mean that vehicle rental businesses or asset finance brokers are left with significant difficulties in providing affordable and convenient options for their customers.
The BVRLA have put forward the following recommendations to help prepare for a shift towards tackling terrorism:
- All vehicle rental businesses would meet accreditation across a standardised system, based within existing industry establishments, to ensure they are delivering best practice in relation to counter terrorism procedures.
- The rental sector and the insurance sector to work in partnership, ensuring risks are monitored and managed effectively as a preventative measure in tackling vehicle-as-a-weapon terror attacks.
- To incorporate changes within existing systems and processes as much as possible to minimise disruption and to control additional costs to rental businesses.
- For businesses to offer more robust counter-terrorism training packages to all members of staff working within the industry to raise awareness and offer practical advice for day to day operations.
- For UK vehicle rental businesses to actively support the Action Counters Terrorism campaign.
With counter terrorism policies still to come into effect specifically for the vehicle rental industry, it is important that rental businesses renting vehicles to UK companies are aware of the proposed changes and are prepared to react responsively in order to ensure compliance, keep costs to a minimum and take preventative measures to reduce the likelihood of potential terrorist attacks using vehicles as weapons in future.
You can find out more about the work of the BVRLA in relation to rental vehicles and terrorism here. If you’d like to find out how changes to hiring and leasing of vehicles could affect your business, or are interested in asset finance or asset refinance to help grow your vehicle rental business, ask a member of the Davenham team by calling 0161 832 8484 or emailing enquiries@davenham.co.uk.