Contract Hire


Contract Hire is a type of agreement which involves renting a vehicle for an agreed period of time for a fixed monthly cost. This can be referred to as ‘PCH’ or Personal Contract Hire if it is for personal use, and BCH or Business Contract Hire if the contract is for business. You pay an initial, upfront rental amount and then a regular monthly rental amount to use the car for the agreed period of time, commonly 24 or 36 months.



There will be specific mileage conditions which will be agreed from the outset and will apply for the duration of the contract. It is important that your agreement accurately reflects your predicted mileage as you will have to pay an excess if you exceed it. 



Under a Contract Hire agreement, you do not own the Vehicle and you will be required to hand it back to us at the end of the agreed term. You also have the option to include a Service, Maintenance and Repair (SMR) package for an additional cost. When the contract expires, you simply return your car*, and you can speak to us about your next car.



Visit Vauxhall to see the latest Personal Contract Hire offers or see the latest Business Contract Hire offers at Free2Move Lease.


*Damage and/or excess mileage charges apply. Details are available on request

Personal Contract Hire (PCH) & Business Contract Hire (BCH) explanation graphic showing a Vauxhall Corsa



Please seek independent tax advice to find out which finance product is right for your business.


Find out more about our responsibilities throughout the duration of the contract.

Registered Keeper: 


  • As you are not the owner of the Vehicle, we will remain the Registered Keeper. This means that we will be told of the Vehicle Excise Duty when it becomes due and we will make the appropriate payment to the DVLA.
  • We will remain the owner of the Vehicle at all times.
Vehicle Excises Duty:
  • The Vehicle Excise Duty is included within your monthly rentals. 
  • We will renew this for you on an annual basis. 
  • If the Vehicle Excise Duty increases during the term, we will require you to pay the difference. Alternatively, we will pay you the difference if the cost is reduced.


Find out more about your responsibilities throughout the duration of the contract.

Rental Agreement:

  • Making sure that all of your rental payments are made on time. If you miss a payment; we will send you a reminder.
  • If payments are not made on time, this will show as a late payment on your account and could affect your credit score. You may also be liable for late payment charges and interest as set out in the terms of your Agreement. We may ultimately begin legal proceedings to recover the amount you owe us. 
  • Under the terms set out in your agreement, you will not be able to end the agreement early.


Vehicle Service and Maintenance:

  • It is your responsibility to ensure all servicing and maintenance work is carried out by an authorised dealer and a full service history is kept up to date, and in accordance with manufacturer requirements. 
  • If you miss a routine service, or your service history log is incomplete when you return your Vehicle, you will be responsible for any costs incurred.
  • You must check oil and fluid levels regularly and top–up as required in between services. 
  • It is your responsibility to ensure you comply with Vehicle safety legislation at all times. 
  • All costs related to repairs or replacement of windscreen or windows are your responsibility. 
  • If you have taken out a service maintenance repair package for the Vehicle, please refer to the terms and conditions provided with your agreement for information on what the package includes. 


MOT and Insurance:

  • If the term of your lease goes beyond the statutory period (currently 3 years from the date of registration), it is your responsibility to ensure the Vehicle has a valid MOT certificate.
  • It is your responsibility to ensure the Vehicle is comprehensively insured. 


Fines and Penalty Notices: You are responsible for settling any penalties or fines connected with motoring offences (e.g. parking or speeding) with the issuing authority. Upon notification of any such offence, Vauxhall Finance will write to the issuing authority to transfer liability to you. We will charge you an administration fee for doing this. Please remember to pay all congestion charges, fines and fixed penalty notices immediately.  


End of Contract:

  • At the end of the contract, you’ll hand your Vehicle back to your chosen retailer, or as directed by us. 
  • Your Vehicle will be assessed for any damage in excess of fair wear and tear – repair charges may apply.
  • If you exceed your contracted mileage, charges will apply.


Driving the Vehicle Abroad:

  • If you intend to take the Vehicle outside of the UK, you’ll need to ask us for permission before leaving the UK. 
  • Because we’re the registered keeper of the Vehicle, we will issue you with a Letter of Authority to give you permission to take the Vehicle out of the UK. 
  • You will also need a Vehicle on Hire Certificate. When you contact us, we’ll tell you how to get this document.


Contract Hire is available on new Vauxhall Cars and Light Commercial Vehicles (LCVs) between 24 – 60 months.

For further information please read the following:

Visit Vauxhall to see the latest Personal Contract Hire offers or see the latest Business Contract Hire offers at Free2Move Lease.