
Business Van Leasing Guide
Published 11th July 2025
Looking to lease a van for your business? This guide breaks down everything you need to know - from how business contract hire works to what it might cost and how to choose the right van for your needs. We’ve helped UK businesses with van leasing since 2008, and we’ve packed this guide with useful info, plain English, and a few handy tips - hurrah!
Regulatory note: Gateway2Lease is authorised and regulated by the Financial Conduct Authority (FCA). The information below is general in nature and not personal financial advice. Always seek independent advice if you’re unsure whether leasing is right for your circumstances.
What Is Business Van Leasing?
Business van leasing - often called Business Contract Hire (BCH) - lets you drive a brand‑new van for an agreed term (usually 2–4 years) in return for fixed monthly rentals. At the end of the contract you simply hand the van back, freeing up cashflow for your core business instead of tying funds up in depreciating assets.
We cover popular search terms such as business van leasing, van lease deals, business contract hire, van leasing UK, and small business van leasing. You can learn more on our dedicated business van leasing page.
How Does Business Contract Hire Work?
First, choose your van. You can browse our latest van lease deals, including diesel, petrol, and electric van leasing options. Next, you’ll set your terms - this includes deciding your mileage allowance, contract length, and whether you’d like to include a maintenance package.
Once you’ve submitted your enquiry, we’ll send over a formal quote. If you decide to proceed, you’ll complete a quick finance application, and your business will go through a standard credit approval process with one of our trusted funders.
After approval, you’ll complete the necessary paperwork and we’ll arrange delivery of your brand-new van straight to your door. Then all that’s left to do is enjoy fixed-cost motoring, focus on running your business, and hand the van back at the end of the term. Easy!
Key Benefits of Leasing a Van for Your Business
Leasing a van offers a number of advantages for UK businesses. Fixed monthly rentals make budgeting and cashflow planning easier, while VAT-registered companies can reclaim up to 100% of the VAT on rentals if the van is used solely for business. Unlike owning, there’s no need to worry about depreciation, as the finance provider bears the resale risk. You’ll also benefit from regular access to the latest vans, which helps with meeting ULEZ compliance and maintaining a professional image. If you want to simplify things even further, maintenance packages are available to cover things like servicing and tyres.
As always, please speak to your accountant to check eligibility for VAT reclaims and tax implications.
Choosing the Right Van
Selecting the right van depends on your business needs. Consider the payload and load length based on what you’ll be carrying - tools, parcels, or specialist kit. Think about fuel type, too: diesel is generally better for long‑haul driving, while electric vans are perfect for city drop‑offs due to their lower running costs and zero-emission status. Practicality matters, so factor in roof height, door configurations, and ease of loading. Whether you’re drawn to the versatility of the Renault Master or the compact and efficient Citroen Berlingo, there’s something for every use case.
If you’re unsure where to start, our advanced search tool makes it easy to find models.
Electric Van Leasing
Electric van leasing is fast becoming the go-to choice for environmentally conscious businesses. As the UK edges closer to net zero, zero-emission vans offer several benefits, including 0% road tax, reduced Benefit-in-Kind (BiK), and lower day-to-day running costs. Electric models are perfect for businesses operating in urban areas, especially those within Ultra Low Emission Zones (ULEZ). You can explore options like the Renault Kangoo E-Tech or the Toyota Proace Max EV on our electric van leasing page.
Understanding Costs
Your van leasing costs typically include three elements. First is the initial rental, typically equivalent to 3 to 9 monthly payments and is usually paid upfront in the first month of your finance contract. Second are your monthly rentals, which remain fixed for the contract term, providing budgeting peace of mind. Lastly, factor in your mileage limit - if you exceed the agreed annual mileage, excess mileage charges may apply.
In terms of ongoing running costs, you’ll need to cover fuel or electricity, insurance, and maintenance - unless you choose a maintenance-inclusive package.
VAT & Tax Implications
There can be tax advantages to leasing. If you’re a VAT‑registered business and the van is used solely for business purposes, you may be able to reclaim up to 100% of the VAT on the monthly rentals. Rentals may also be treated as an operating expense, making them deductible for Corporation Tax purposes. If employees are permitted to use the van privately, Benefit‑in‑Kind (BiK) tax applies based on HMRC's van benefit charge.
We always recommend consulting a qualified accountant or tax adviser to understand how these rules apply to your specific situation.
Maintenance & Servicing Options
Choosing a maintenance-inclusive contract can help spread out the cost of repairs, servicing, MOTs and tyres. It’s ideal for businesses looking for peace of mind and predictable budgeting. You can learn more about what’s covered by visiting our maintenance page.
End of Lease – What Happens Next?
As your contract nears its end, you’ll need to arrange for the van to be collected and ensure any sign writing is removed. On the agreed return date, the van will be inspected against the BVRLA’s fair wear and tear guidelines. Provided everything is in order, that’s it - you’re free to start a new lease with the latest model.
To avoid any unexpected charges, we recommend you repair any damage beyond the BVRLA’s fair wear and tear guidelines before the van is collected.
Why Choose Gateway2Lease?
Gateway2Lease has been supporting UK businesses with leasing solutions since 2008. With over 15 years of experience, we’re proud to be one of the UK’s leading independent leasing brokers. We are authorised and regulated by the Financial Conduct Authority (FCA) and are members of the BVRLA, giving you complete peace of mind.
Our customers consistently rate us five stars for service and support - check out the real stories on our reviews page. We also offer free UK mainland delivery on all vehicles, ensuring a seamless experience from quote to key handover.
You can read more about why businesses choose us.
Ready to Get Started?
If you’re ready to begin your van leasing journey, take a look at our latest business van lease deals. If you’d prefer to talk things through, get in touch with our friendly team for a no‑obligation quote. We promise a simple, jargon-free conversation - no pressure, just good old-fashioned customer service.