Peterborough City Council’s to press ahead with plans to introduce an employee car hire scheme.
The salary sacrifice car leasing scheme allows the Council to provide an additional benefit to employees at no additional cost, with the potential to achieve savings.
This is made possible by employees paying the Council for the car lease directly from their gross salary, before income tax and national insurance is paid. This results in the Council paying reduced national insurance and pension contributions on the amount of salary sacrificed by the employees.
Employees who have a car though this scheme will also be reimbursed at a lower mileage rate which will also produce savings.