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A ‘GREEN DEAL’ with a vehicle leasing company is helping to drive the environmental ambitions of one of the UK’s leading wine merchants.

Lanchester Wine Cellars, in County Durham, has taken receipt of six low carbon emission cars from Teesside-based Advanced Vehicle Leasing (AVL).

The wine merchant is bidding for a carbon minus status as part of its aim to become Britain’s greenest wine company - and plans to trade in its entire fleet of 18 cars and 10 lorries for ultra-low carbon alternatives.

Tony Cleary, who founded Lanchester Wine Cellars in 1980 and now employs 150 people at Greencroft, near Stanley, says the green measures are helping to “future-proof” the business.

“We not just talking about green initiatives, we are actually doing it,” he says.

“We are totally committed to becoming the UK’s greenest wine company and, if we can’t achieve that, then to becoming the greenest business we possibly can. We aren’t however being entirely selfless, there are sound commercial reasons for achieving the lowest possible carbon minus footprint, not least in terms of enhanced capital allowances.

“But speak to any under-25 and you’ll quickly realise that the environment is hugely important to them. I believe it won’t be long before every business will have to demonstrate a genuine commitment to being environmentally friendly or risk alienating a generation of potential customers.”

Built in 2008, Lanchester Wine Cellars’ offices, warehouses and production centre incorporate a raft of environmentally-friendly measures, including special glass that maximises light but minimises heat loss, auto-switch off lights and an air source heating system that absorbs warmth from the outside to heat inside the buildings.

The company is fitting more than 230 solar voltaic roof panels, which track the sun and are regarded as the most efficient available.

And it hopes soon to secure planning permission for two 500KW wind turbines to become Europe’s only bottling plant entirely powered by wind energy.

After achieving a £6million turnover in 2009, the bottling business is expected to grow to £11million in 2010 and group turnover to rise from £17million to £24million, but Mr Cleary is determined the drive for growth will not be allowed to compromise the company’s green credentials.

Already, those credentials are being taken onto the roads in the shape of the six Volvo C30s and V50s, among the greenest fleet cars on the market with stop-start technology and CO2 emissions of 103 grams and capable of 72mpg.

The vehicles were supplied by AVL, which supplies contract hire, lease cars and light commercial vehicles to businesses and private individuals across the UK and has been supplying the wine merchants’ vehicles for the past six years on a two or three-year renewal plan.

The “green deal” is also very good news for AVL, based between Stockton and Darlington in the Tees Valley. AVL sees “green vehicles” and the other quality initiatives it offers as the key to improving its market share even more at a time where the leasing broker sector has been reduced by almost 50% in just 12 months as the shortage of available funding has restricted many of AVL’s former competitors ability to service customers. AVL has that funding in place and has the capacity and ability to move forward confidently into 2010.

“There has been a major shift in the sector, simply because there is a lack of capital to lend,” says founder and managing director Stuart Beagrie. “Leading contract hire and leasing companies only want to work with introducers who can demonstrate very high standards and we are working closely with the BVRLA, the trade association for the UK vehicle rental and leasing association, to ensure we are a high-quality business.”

In March 2009, AVL forecast growth of 50% over the next two years and, nine months on, has recorded a 15% growth in net revenues from just over £500,000 to about £580,000. In the same period, it has recruited two salespeople and one extra sales support member, taking its workforce to 14.

The company is currently supplying upwards of 50 vehicles a month, which, at an average cost of about £19,000 a vehicle, makes it a £1million-a-month business in terms of capital outlay - or, even more impressive, £12million-a-year.

It supplies everything from single cars to 700-vehicle commercial fleets and has finance partnerships with several vehicle funders, including Network Vehicles Limited, for which it is a UK top ten introducer, Pendragon Contracts, Ogilvie and Commercial Vehicle Finance.

Adds Mr Beagrie: “I think the recession is cutting deeper and lasting longer than anyone envisaged, and it is difficult now to gauge the extent of the impact the Corus closure will have, but we are very strongly placed and are proud to have secured a cost-effective deal on low carbon emission cars which is helping Lanchester Wine Cellars realise their very commendable green ambitions.”

To contact Advanced Vehicle Leasing please call 01642 793444.
MD: Stuart Beagrie
Email: sales@avluk.co.uk
Website: www.avluk.co.uk

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