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Contract Hire

Contract Hire is a fixed-cost, rental agreement. You choose a new vehicle, agree the maximum annual mileage and length of agreement, and then pay an initial rental followed by fixed monthly rentals to suit your budget. You can even choose to cover vehicle maintenance costs as part of your agreement subject to paying a maintenance charge which is added to your monthly rental.

Contract Hire

Contract Hire Explained

  • Choose your vehicle.
  • Flexible initial rentals (advance rentals from 1 - 21 months).
  • Set payments to suit your budget
  • Hassle free at the end of the contract, simply hand the vehicle back and start again. Subject to vehicle condition and mileage.
  • Agreed annual mileage. If you drive less than the agreed annual mileage this will not alter the monthly rentals. If you exceed the agreed anual mileage, excess mileage charges will apply.
  • Contract term 2 - 5 years.
  • You can change your contract duration and mileage (except during the first or last 6 months of the contract). Your monthly rental will be amended accordingly.
  • Maximum contract mileages 120,000 (petrol cars) 150,000 (diesel/hybrid cars) 180,000 (diesel LCV's).
  • Minimum contract annual mileage: 5,000 per annum (you can drive less than 5,000 miles per annum, however this will not alter the monthly rentals).
  • At the end of the contract, you must return the vehicle. You will have nothing further to pay provided the vehicle is in good condition and has not exceeded the agreed mileage. If the vehicle does not meet the mileage and condition terms, excess charges may apply.
  • VAT registered business can re-claim a porportion of the VAT element on rental and maintenance.

Advanced rental (from 1 - 21 months)

Fixed regular rentals over 2 - 5 years

At the end of the contract return the vehicle


Explore Contract Hire Finance Homepage Contact us for a quote

Customer Benefits

  • Fixed low rentals - to suit your budget and cash flow requirements.
  • Zero depreciation risk - no disposal worries simply return the vehicle at the end of the contract. Excess charges will apply if the vehicle is returned outside of the condition and mileage terms.
  • Tax efficient - rentals allowable against tax.
  • VAT reclaimable - VAT registered businesses can re-claim 50% to 100% of the VAT element on rental and 100% on the maintenance payments.
  • Road Tax included - renewed annually.
  • Flexible terms - choice of advance rental, contract period and mileage available.
  • Maintenance - Optional maintenance package, subject to a charge.

Customer Risks

  • Ownership - you cannot buy the vehicle at the end of the contract.
  • Maintenance - you must maintain the vehicle in accordance with the contract conditions, even if you have not chosen the optional maintenance package.
  • Repossession - failure to maintain contractual payments may result in legal action.
  • Insurance - you must have fully comprehensive insurance.
  • Termination - you can terminate the contract early by paying 50% of the remaining rental cost.