Paragon builds partnership with Otto Car
30/01/2026
Paragon SME Lending has strengthened its partnership with Europe’s largest private‑hire fleet provider, Otto Car, by increasing its funding facility to £3 million, enabling the business to continue scaling its low‑emission fleet in London.
The latest tranche, a £1.3 million deal, will support the addition of fifty new vehicles, comprising 25 Toyota BZ4X fully electric vehicles and 25 Toyota Corolla hybrid vehicles, further advancing Otto Car’s mission to provide cleaner, greener mobility options across the capital.
A key feature of the partnership is Paragon’s innovative pay‑per‑use funding model, enabled through emission-tracking fintech, Zeti. Its technology provides real‑time data on vehicle usage, emissions, asset health and utilisation, enabling Otto Car to repay funding in line with how the vehicles are actually used. This flexible structure supports the business’s transition to electric and hybrid vehicles, while offering Paragon enhanced transparency on environmental performance.
Otto Car supplies vehicles to drivers working across platforms including Uber, Free Now and Bolt. With Paragon’s enhanced support and Zeti’s live‑data technology, the company is accelerating its decarbonisation plans and helping improve air quality across London’s communities.
The expanded facility reflects the growing impact of Paragon’s SME Lending division, part of FTSE 250 Paragon Banking Group, which now works with 16,000 UK SMEs to help them invest, scale and grow. This year marks 10 years since the launch of the division, during which its loan book has quadrupled, with more than £3.6 billion provided to UK SMEs.
Head of Specialist Finance at Paragon Bank Matt Bass (pictured above on the right, with Dave Kennon from Zeti, left, and Gurinder Dhillon from Otto Car, centre) 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’re proud to continue backing the company’s growth.”
Comment on this article
