RAC breaks £500m barrier

The RAC has reported revenues for 2015 in excess of £500m following an increase in customers from 8.2 million to 8.6 million.

Revenues for 2015 were £501m, up from £498 in 2014. Operating profit also rose from £143m to £149m, while pre-tax profits increased to £148m from £127m.

Nearly half a million extra customers contributed to the rise in profits, while the company also launched RAC Black Box Insurance last year, a telematics-based service intended to aid young drivers. Meanwhile, in December RAC secured investment from US private equity firm CVC Capital Partners.

The board has said it will use profits to continue investing in its systems and roadside services.