Fuel cards could save businesses a whopping £710 million a year, so it’s surprising that so few businesses use them. A fuel card operates in a similar way to a credit card and looks like one too but can provide significant benefits to businesses who buy a lot of fuel. There are discounts to be had when compared to buying with a regular bank card or with cash.
Using fuel cards also helps to simplify business processes by streamlining. Fuel cards can help track fuel spend, keep digital receipts and expenses and set payment limits. Tax returns are more straightforward as complex payments can be merged in simple monthly invoices. All of these free up administration time and make accounts much easier.
Spending on fuel is big business with UK businesses spending an incredible £7 billion on fuel annually and this doesn’t even include haulage and freight! Just an average sized business, non-haulage, will spend approximately £15,000 a year on just fuel. If a business signed up to a fuel card scheme, they could be a part of the £710 million a year savings to be had which works out at around £1,500 per business per year. For help with BP Fuel Cards, Look into BP Fuel Cards from Fuel Card Services.
Even the smallest of businesses, such as a sole trader can benefit from fuel card savings. If the work involves driving or commuting often, then it is certainly worth looking into. It is worth noting that only VAT registered sole traders can claim any VAT back on their fuel.
