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Motability scheme is in need of reform - now

The Herald

|

November 25, 2025

WITH the Budget looming, surely the Chancellor, Rachel Reeves MP, should be looking at how to cut her spending, not just taxing hardworking people more and making their lives more challenging.

- Sally Hamilton

One of the benefits, the Motability Scheme, which is part of the Personal Independence Payment (PIP) benefit, has, for a long time, seemed out of control. Successive governments have let this happen.

Anyone awarded the enhanced rate of PIP for mobility can apply for a Motability vehicle, their mobility payment of £77.05 a week will go towards it, and they have to pay a small down-payment.

However, means-tested grants are also available to help to fund the car, so the claimant may not even have to pay this! This means that the successful applicant can look at a shopping list of brand new, latest model, vehicles.

The vehicle is supposed to be driven by the person who has been awarded PIP, or someone who is using it to help that person. It is not supposed to be driven for other purposes, so a family member driving it to work.

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