Salary Sacrifice Car Scheme
Employees exchange part of their gross salary for a fully maintained car, unlocking National Insurance and tax savings for both sides.
Salary sacrifice lets an employee give up part of their gross pay in return for a fully maintained car — most often an electric or plug-in hybrid, where low Benefit-in-Kind rates make the numbers work hardest.
For the employer, running a scheme can reduce employer National Insurance contributions and adds a genuinely valuable benefit to recruitment and retention, often at little to no net cost to the business.
For the employee, insurance, maintenance, road tax and breakdown cover are typically bundled into a single deduction taken from gross pay, before tax and National Insurance — frequently working out cheaper than financing the same car privately.
Visit the Cocoon Vehicles salary sacrifice site →Key Features
Running a salary sacrifice scheme can lower employer National Insurance liability across the business.
EVs currently attract some of the lowest Benefit-in-Kind rates around, which maximises employee savings.
Insurance, maintenance, road tax and breakdown cover are typically wrapped into the employee’s payroll deduction.
Set up a scheme for your Scotland-based team, wherever your head office happens to sit.
Is this right for you?
Employers wanting a low-cost, high-value staff benefit
HR & finance teams reviewing their company car policy
Employees after an EV at a lower net cost than private finance
Businesses working toward fleet electrification targets
Salary Sacrifice — Live Availability
Stock below is filtered to fully electric and plug-in hybrid vehicles only, in line with how salary sacrifice schemes are typically used.
Salary Sacrifice FAQs
Who can join a salary sacrifice scheme?+
Eligibility comes down to your employer’s scheme rules and your gross salary staying above the National Minimum Wage after the deduction — your employer can confirm the specifics.
Could this affect my mortgage application or pension?+
Potentially, since it lowers your reported gross salary. It’s worth speaking to a financial adviser if this is a concern before you commit.
Why do so many people choose an EV through salary sacrifice?+
Electric vehicles currently carry very low Benefit-in-Kind tax rates, which maximises the take-home saving compared with a petrol or diesel car.
Ready to talk Salary Sacrifice?
Our team will talk you through the realistic options for your situation — no pressure, no jargon.