Giles Margerison, director for TomTom Business Solutions UK and Ireland.
Almost half of UK business drivers submit false mileage claims
Published: 25 March, 2013
Nearly half of UK business drivers surveyed in a new study by TomTom Business Solutions admit to submitting false mileage claims.
The research found 46 percent of drivers have over-estimated their mileage when claiming expenses, with 35 percent doing so regularly.
Companies and their employees are required by law to keep accurate mileage records for Benefit in Kind tax compliance, but only 10 percent of respondents have been challenged by their employers over the accuracy of their claims.
Giles Margerison, director for TomTom Business Solutions UK and Ireland, said: “It is worrying that such a large proportion of UK business drivers are over-estimating mileage claims because it exposes their employers to serious financial consequences.
“HMRC has the power to impose significant fines on both drivers and companies found guilty of inaccurate records, so the onus is on businesses to ensure relevant checks are in place to guarantee accuracy.”
The research, conducted among company drivers not using an automated mileage recording system, revealed 70 per cent of drivers find recording and submitting mileage a laborious process.
For half of those questioned the process takes at least two hours each month, with a further 20 percent spending between one and two hours.
Paper proved to be the most popular format for keeping mileage records (64 percent), while 18 percent of drivers record and submit records via their computer and a further 15 percent use a mobile device.
Mr Margerison added: “Antiquated systems for recording mileage means a business employing 100 drivers, for example, could be losing in the region of 200 hours each month. This lost productivity can have a major impact on a company’s ability to remain competitive in an increasingly challenging economic environment. Advanced fleet management technology helps to simplify the mileage registration process, allowing businesses to guarantee the accuracy of records and maximise efficiency.”