Alan Myers Chairman and Managing Director

McKenzie Myers Group is the UK's fastest growing provider of integrated support services to car manufacturers and company car fleets in the UK and Europe. The company was launched twelve years ago, by 47 year old entrepreneur Alan Myers, with just ten employees. There are now two hundred and sixty employees and a plan, on target, for a turnover in excess of £10 million this year.

The company has evolved through the development of industry leading information systems, well established training programmes, nationwide operational fleet support for manufacturers and comprehensive event management. There are five divisions in the company dedicated to providing fleet efficiency, with significant investment and development in Carcost, their unique, interactive 'whole life cost' database.

COMPANY CAR 'WAKE-UP' CALL

April 6th 2002 marks the biggest change in company car taxation laws for many years. Historically the company car was seen as a major 'added value' element of the overall compensation package. Company drivers clocking up over 18,000 miles reaped even bigger benefits in taxation and the market for fleet cars continued to grow and prosper as more manufacturers designed cars specifically with the business motorist in mind.

Eighteen months ago sweeping changes were announced to become effective in April 2002, and now the 'wake-up call' is resounding through companies as the harsh realities of the benefit in kind personal taxation implications becomes a reality.

Personal tax will now be calculated on the published carbon dioxide, or CO₂ output of the car's engine, which is then linked to a percentage charge against its list price. In turn this is linked to an escalator, as emission levels will be assessed on a decreasing scale over the next three years. The lowest level of tax for the next financial year is 165g/km , personal tax will be based on 15 per cent of the list price of the car. In the 2003-04 tax year this level will drop to 155g/km and reduce further to 145g/km in 2004-05. Therefore the price of the car becomes a major factor in the calculation, and in addition essential users will also see their over 18,000 mile maximum high mileage discount disappear. In fact, the traditional low mileage 'perk' car is advantaged in mileage area, but will probably lose out as it will be a more expensive, possible high CO₂ emission car.

Company car policies are changing swiftly in response as companies and drivers weigh up the advantages of car allowance versus company car allocation. This is where Carcost from McKenzie Myers provides a quick solution to evaluate the options.

Carcost is the market leading software programme, used extensively by car manufacturers, dealerships and fleet operators, throughout the UK and Europe. One in five company cars are purchased using data supplied by Carcost, Whole Life Cost database, and through a further development, Taxcost, developed specifically last year to assist with this issue, companies have a comprehensive vehicle comparison system to use as a pivotal tool for running an efficient fleet. Today, many blue chip companies, operating fleets large and small, rely on the integrity and independence inherent in the system, to formulate their car choice lists and evaluate tax implications for their employees.

Whole Life Costs are the only way to make a true comparison between the vast range of vehicles available today, bringing human resource advantages as well as considerable financial benefits. Some sources offer data in magazines or via the Internet, whereas Carcost provides the flexible, interactive and reliable projection required to make informed decisions, assisting both the fleet manager and the human resource function.

Carcost provides data from seven key operating costs; Depreciation, Fuel, Service Maintenance and repairs, Insurance, Finance , National Insurance and CO₂

The CO₂ + module enhances the system by enabling the user to see exactly what impact the new benefit in kind and company car tax legislation will have. It shows current tax data, and also the escalation of charges as the new CO₂ based benefit in kind tax regime comes into effect.

Taxcost is new product that has evolved from Carcost, to answer the mindfield of questions raised by these sweeping company car fleet legislations.

Taxcost is a separate programme from Carcost and enables company car drivers to see what the new CO₂ tax regime will mean to them on an individual basis. The operator can select their choice of vehicle, it's specification and then Taxcost calculates the drivers benefit in kind tax liability. The programme is updated to subscribers monthly and can be run on 3.5" floppy or CD Rom and can be installed directly on to the PC.

With eleven years experience and a substantial independent bank of information to draw on, the team at Carcost can provide quality projections acknowledged throughout the industry.

The Carcost database, now available with the Taxcost programme option is the best business tool for companies formulating, or reviewing, their strategic company car policies.

For information visit the Carcost website www.carcost.co.uk, 
e-mail to sales@carcost.co.uk , 
telephone 01494 442001 or fax 01494 442771.

For further press information on McKenzie Myers Group services and products please contact: Neal Ashford, Communications Director, McKenzie Myers Limited, Tel: 01494 471871, Email: neal.ashford@mckenzie-myers.co.uk.

OR

Marian Livingstone, Livingstone White Ltd, Tel: 01525 716088, Email: info@livingstonewhite.co.uk