The Motability Scheme enables people receiving disability benefits to use all or part of their weekly mobility allowance (£75.75) to lease a new car, wheelchair-accessible vehicle, scooter, or powered wheelchair, thereby enhancing their independence.
Many recipients of the higher mobility rates of qualifying benefits, as well as new claimants, may be unaware of the £750 payment available to first-time users of the Motability Scheme leasing a vehicle. However, this new vehicle payment will cease for first-time claimants from Friday (January 3).
This change does not impact existing leaseholders who have yet to receive the new vehicle payment they will receive it with their next vehicle even if that’s after the deadline. Recent data from Motability reveals that approximately 800,000 customers across the UK are utilising the scheme.
It is accessible to those receiving the higher rate mobility component of personal independence payment (PIP), disability living allowance (DLA), child disability payment (CDP), or adult disability payment (ADP). The new vehicle payment for cars and wheelchair-accessible vehicles is only available once per customer.
Individuals can opt to send the money directly to the dealer to contribute towards an advance payment or have it paid in full to themselves after they receive their vehicle. The payment was initially set to end for new customers on December 31, 2024.
However Motability Operations extended it until January 3 to “give you a final chance to order your first car if your dealer is closed over the festive period”. You can verify your eligibility for the £750 payment using the Motability Scheme online tool here. There’s no need to apply for the payment as Motability will automatically send it to you if you are eligible.
While leasing a vehicle through the Motability Scheme some vehicles require an upfront payment, reports the Daily Record. The Motability Scheme currently offers more than 1,000 cars including in excess of 50 that require no advance payment meaning the £750 new vehicle payment would go directly to the claimant.
For scooters and powered wheelchairs there’s a new product payment of £100, which is received after the new equipment has been delivered. Motability advises that you cannot receive both the new vehicle payment and the new product payment.
People can opt for a lease that uses their entire mobility allowance – this is referred to as a variable lease. Full details on the latest updates to the price list can be found on the Motability website.
Electric vehicles
Guidance on the Motability website indicates there is an increased focus on (EVs) with the site stating: “As manufacturers move their attention to electric vehicles (EVs) we’re able to bring more choice to the scheme. Their change in focus means that some petrol and many diesel models are being phased out.”
The latest selection on the site includes several electric car models that come with advance payments under £1,000.
What else is included in the lease?
You will get a brand-new vehicle and a full package which includes:
- Insurance
- Servicing and maintenance
- Full RAC breakdown assistance
- Yearly tax
- Three drivers – you can change these whenever you like
- Kwik Fit replacement tyres
- Windscreen repair or replacement
- 60,000 mileage allowance over three years or 100,000 for WAVWheelchair Accessible Vehicles
- Many adaptations at no extra cost
Full details on the Motability Scheme can be found on the website here.
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