Salary Sacrifice Set for Strong Growth in 2026

Despite continued economic pressure across labour-intensive sectors, salary sacrifice electric vehicle (EV) schemes are emerging as one of the strongest growth areas heading into 2026—particularly for Facilities Management (FM), Contract Cleaning and Public Sector employers.

Recent industry analysis shows that salary sacrifice remains one of the fastest-growing parts of the wider fleet market. CleanDrive sees this trend accelerating in sectors where staff availability, punctuality, retention and ESG performance are critical to service delivery and contract success.

Salary sacrifice continues to outperform

Around 70% of vehicle leasing providers expect salary sacrifice schemes to grow again in 2026, underlining the resilience of the model even as other areas of the market face uncertainty.

For FM and cleaning businesses operating on tight margins, salary sacrifice stands out because it does not require capital investment and can often be delivered on a cost-neutral—or better—basis. Employer National Insurance savings generated through the scheme can offset administration costs, while employees benefit from materially lower monthly motoring costs.

This combination makes salary sacrifice particularly attractive in sectors where pay inflation is challenging and traditional benefits offer limited impact.

Strong demand from FM, cleaning and public sector employers

CleanDrive continues to see strong demand from:

• Contract cleaning companies operating across offices, healthcare, education and retail

• Integrated and specialist FM providers

• NHS Trusts, councils, housing associations and other public sector bodies

In these environments, reliable staff transport is not a “nice to have”—it is operationally critical. Late arrivals, missed shifts and unreliable vehicles directly affect service quality, KPIs and client satisfaction.

Salary sacrifice EV schemes help address this by giving staff access to modern, reliable vehicles with predictable costs, reducing the transport-related risks that employers face every day.

Used EVs are widening access for frontline staff

One of the most important developments driving growth is the increasing use of used electric vehicles within salary sacrifice schemes.

Historically, EV salary sacrifice was perceived as a benefit mainly suited to higher earners choosing new cars. The introduction of high-quality used EVs is changing that perception, making schemes far more accessible to frontline FM and cleaning staff.

Used EVs typically offer:

• Lower monthly salary sacrifice costs

• Faster vehicle availability

• Access for employees on more modest incomes

This wider accessibility supports higher scheme uptake and helps ensure benefits are inclusive across the workforce—not just head office roles.

ESG and tender advantages remain a major driver

For FM, cleaning and public sector organisations, the ESG impact of salary sacrifice is increasingly as important as the financial benefits.

Every EV taken through a scheme:

• Reduces tailpipe emissions from commuting and site travel

• Supports Net Zero and carbon-reduction commitments

• Strengthens ESG reporting and social-value narratives

In competitive tender environments—particularly for NHS, council and public-sector contracts—being able to demonstrate practical action on emissions and staff welfare can be a meaningful differentiator.

CleanDrive works with employers to translate scheme uptake into clear, measurable ESG outputs that can be used directly in bids and audits.

The case for reforming BIK on used EVs

While growth remains strong, the sector continues to call for one important policy change: Benefit-in-Kind (BIK) on used EVs is currently calculated using the original list price, rather than the vehicle’s current market value.

CleanDrive believes that aligning BIK with real-world used values would unlock significant additional adoption—particularly among lower-paid workers in cleaning, FM and public services.

Such a change would:

• Improve fairness

• Increase scheme affordability

• Accelerate EV adoption without additional public spending

As used EV supply increases, reform in this area could play a key role in expanding access and supporting wider decarbonisation goals.

Looking ahead to 2026

As employers across FM, cleaning and the public sector continue to balance cost control, workforce stability and ESG obligations, salary sacrifice EV schemes are proving to be a practical, scalable solution.

For employers, CleanDrive offers a way to:

• Improve retention without increasing headline pay

• Reduce operational risk linked to staff transport

• Strengthen ESG credentials for tenders and audits

For employees, especially with the growing availability of used EVs, it provides one of the most affordable routes into reliable, zero-emission motoring.

CleanDrive expects salary sacrifice to remain one of the strongest growth areas in 2026—particularly in labour-intensive, service-driven sectors where every improvement in reliability, retention and sustainability counts.