Otto Car secures £3m Paragon backing to make more private hire vehicles working Uber and Bolt greener
- Perry Richardson
- 11 minutes ago
- 2 min read
Paragon SME Lending has increased its funding facility with private-hire fleet operator Otto Car to £3 million, providing £1.3 million to support the next phase of low-emission vehicle expansion in London.
The latest tranche will finance the addition of 50 vehicles to Otto Car’s fleet, made up of 25 fully electric Toyota bZ4X models and 25 Toyota Corolla hybrid vehicles. The expansion forms part of Otto Car’s ongoing strategy to scale cleaner vehicle supply for private-hire drivers operating in the capital.
The funding is structured around a pay-per-use model underpinned by emissions-tracking technology from fintech Zeti. The platform provides real-time data on vehicle utilisation, emissions and asset condition, allowing repayments to flex in line with actual vehicle usage rather than fixed schedules.
Paragon said the structure offers greater transparency over environmental performance while giving fleet operators flexibility as they transition to electric and hybrid vehicles. For Otto Car, the model is intended to reduce financial risk during fleet electrification while supporting utilisation-led growth.
£1.3m tranche will fund 50 new electric and hybrid vehicles for London private-hire operator
Otto Car supplies vehicles to drivers working across platforms including Uber, Freenow and Bolt. The company focuses on providing compliant vehicles suited to London’s regulatory environment, where emissions standards and operating costs continue to tighten for private-hire operators.
Gurinder Dhillon, Managing Director at Otto Car, said: “Paragon’s ongoing support has been instrumental in driving our shift towards hybrid and fully electric vehicles. This expanded facility enables us to continue investing in cleaner transport for London’s private‑hire drivers, supported by Zeti’s smart technology and Paragon’s genuinely innovative funding structures.”
Matt Bass, Head of Specialist Finance at Paragon Bank, said: “This partnership showcases how data‑driven funding can accelerate decarbonisation across a business’s operations. Increasing our facility to £3 million supports Otto Car’s fleet expansion and aligns with Paragon’s commitment to helping UK SMEs operate more sustainably. The pay‑per‑use model gives Otto flexibility, transparency and efficiency, and we’reproud to continue backing the company’s growth.”
Dave Kennon, Commercial Director at Zeti, commented: “It’s really encouraging to see Paragon increase its commitment to Otto Car, and testament to the value of Zeti’s software. The combination of our real‑time technology and Paragon’s flexible pay‑per‑use financing makes for a powerful model for scaling clean transport. We have ambitious plans to expand our work in this area with Paragon and are excited for the journey ahead.”
