Lloyds Banking Group has announced that going forward all new salary sacrifice business will be handled by Tusker.

The banking giant, which is also the parent company of Lex Autolease, bought the salary sacrifice specialist in February for £300 million.

Currently, Lloyds Banking Group finances or leases more than one million cars and vans on UK roads through Lex Autolease and its Black Horse division, including one-in-10 new electric cars. 

Moving forward, Lex Autolease will continue to support existing salary sacrifice customers and be the primary business contract hire and personal leasing provider for the group.

Nick Williams, managing director transport at Lloyds Banking Group, said: “Through Tusker we are now able to offer businesses and enterprises a market leading salary sacrifice scheme that will both improve their benefit packages and help them to transition to net-zero.

“As we continue to expand our Transport business, we are committed to leveraging the expertise across our brands to offer access to affordable electric vehicles.”

Lex Autolease, the UK's largest leasing company, has a risk fleet of 282,720 cars and vans, according to last year's FN50, while Tusker had a risk fleet of 20,976 cars and vans.

Speaking to Fleet News following the acquisition, Tusker’s CEO Paul Gilshan highlighted how the business will benefit from the scale and procurement power of Lloyds. 

Tusker launched its first salary sacrifice scheme for cars in 2008. Today, it is funding about 23,000 vehicles of which 60% are EVs, with future orders set to increase that to 77%, while its customer base has grown tenfold in the past 10 years.