Contract Hire

If you normally buy your cars with cash, a bank loan, or through a traditional Hire Purchase scheme, you may find Contract Hire a far more cost-effective option.

Under current VAT legislation, all of Morgan Highfield & Land's lenders are able to reclaim the VAT on your new or 'VAT qualifying' used vehicle (less than 3 months old). This saving is then passed on to you in the form of lower monthly rentals, fixed throughout the agreement. Not only does Contract Hire allow you to run a new vehicle for an inclusive monthly rental but it also releases valuable capital from you current vehicle or your potential next purchase. Contract Hire means you can afford an even better vehicle than you may initially have thought.

Contract Hire can offer a package to include routine servicing and maintenance costs for a small increase to the monthly rentals. All scheduled maintenance work will be carried out by the main dealer network & at a local dealer of your choice. Maintenance packages include replacement tyres (excluding punctures), batteries, exhausts and all parts that are subject to fair wear and tear**.

At the end of your agreement Morgan Highfield & Land Ltd will arrange to collect your vehicle free of charge from your home or office address. Not only does this avoid time-consuming disposal issues and any worries over depreciation of the vehicle* but it allows you to make the best use of your valuable time. Annual Road Fund Licence is included in the monthly rental for the duration of the contract.

For Business Contract Hire users that are VAT registered, VAT is reclaimable on the rentals, based on 50% of the VAT on the capital element (assuming an element of private use) and 100% of the VAT for any maintenance charges.

Key Benefits** of Contract Hire

• A low initial outlay from just 1 month's payment
• Flexible terms from 24 to 48 months
• Road Fund Licence included in the monthly rental
• A choice of rental period
• No depreciation risks
• The ability to show the vehicle off your balance sheet***
• A proportion of the rentals allowable against tax***&**
• Optional monthly maintenance packages**
• The ability to forward plan
• The lowest fixed monthly rentals
• A simple 'hand back' process at contract maturity**
• Removes time consuming disposal issues*
• Makes more capital available to you
• Allows VAT reclaimable on the rentals***
• Complete peace of mind

* Excess mileage and vehicle damage charges other than fair wear and tear may be payable.
** Subject to terms and conditions of the Contract Hire agreement.
*** Business Contract Hire Users only.