The past four years has seen a shift towards smaller, cleaner vehicles by company car drivers, a study by vehicle management company LeasePlan found.
From 2001 to 2004 the number of cars in LeasePlan's off-roader sector increased by only three per cent, while the supermini and lower medium categories saw an increase of 48 per cent and 20 per cent respectively.
During that same period SMMT figures showed that SUV sales rose a dramatic 48 per cent.
Kevin McNally, managing director of LeasePlan UK, said: “With the change to an emissions-based company car tax system in 2002, fleet drivers have been encouraged into vehicles with cleaner engines that produce less carbon dioxide.
“Those companies that offer employees cash in lieu of company cars may find staff using their own 4X4s for business journeys.
“But offering company cars is likely to push them into smaller, cleaner vehicles instead.”
l The SMMT has slammed the London Assembly Liberal Democrats' list of 4x4 vehicles which the party said should carry double the London congestion charge.
The SMMT said the LibDem's claim that UK-sold SUVs in 2005 were inherently dangerous was based on outdated American research.
SMMT chief executive Christopher Macgowan said: “The London Assembly Liberal Democrats suggest that a “one size fits all” approach to the London congestion charge is flawed.
“Why then have they chosen to apply the same approach — the one size fits all 4x4 label — to produce a list of cars which they claim should pay double to drive in central London? It makes no sense at all.”