Updated Motability Scheme for PIP, ADP and other disability benefits - what you need to know

The Motability Scheme is available to people claiming certain disability benefits - and new data from the company shows that there are now over 800,000 customers across the UK

New figures from the company behind the life-changing Motability Scheme reveal that it now has over 800,000 customers across the UK.

The scheme, designed for those receiving Adult Disability Payment (ADP) or Child Disability Payment (CDP), offers an affordable solution to improve mobility for disabled individuals.

It allows those who receive a disability benefit, with an award for the higher or enhanced rate of the mobility component, to use some or all of the payment towards leasing a new car, wheelchair-accessible vehicle, scooter or powered wheelchair. Those receiving Personal Independence Payment (PIP), Disability Living Allowance (DLA), War Pensioners' Mobility Supplement (WPMS) and Armed Forces Independence Payment (AFIP) are eligible to join the scheme.

Alongside a new car, customers also enjoy perks such as insurance, breakdown assistance, servicing, maintenance, tyres and windscreen repairs as part of the package. The latest price list for leasing packages has been published on the Motability Scheme website, showcasing a choice of more than 950 vehicles.

When choosing a car or wheelchair-accessible vehicle, it's crucial to note that some may use a portion or all of the mobility award payment (£75.75), while others might require an upfront cost ranging from £100 to £2,000.

Motability Operations CEO Andrew Miller has shed light on the increasing financial burden on motorists across the nation, exacerbated by skyrocketing inflation and energy costs. In a recent statement, he highlighted the added strain on vehicle manufacturers to meet sales targets amidst the UK's push towards electric vehicles—potentially leading to higher upfront expenses for cars included in the scheme, reports the Liverpool Echo.

He remarked: "We're working with car manufacturers and our partners with the aim of providing our customers with stand-out value and the scheme is 45% cheaper on average compared to alternative options."

He continued: "During this period of rising costs and an unprecedented period of change for the car industry, we're committed to ensuring the sustainability of the scheme so that we can continue to keep our customers connected now and in the long term."

To support beneficiaries, a £750 New Vehicle Payment is available to those new or existing members who have high qualifying benefits and are leasing a vehicle for the first time. This contribution can be used against the cost of a new lease, specifically aiding the acquisition of cars and Wheelchair Accessible Vehicles (WAVs).

The initiative allows recipients to use the grant directly at the dealership, put it towards an Advance Payment, or claim the amount after the vehicle purchase.

Meanwhile, for scooters and powered wheelchairs, there’s a similar incentive called the New Product Payment, offering a £100 sum post-delivery of the new mobility aid.

Motability has clarified that customers cannot receive both the New Vehicle Payment and the New Product Payment. The most recent Motability price guide offers over 950 car options, including more than 45 models that require no upfront payment, enabling claimants to fully utilise the £750 New Vehicle Payment.

Customers also have the option to choose a lease that uses their entire mobility allowance, known as a variable lease.

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