Disabled individuals receiving Department for Work and Pensions (DWP) benefits are facing the loss of a crucial "lifeline" starting July 1, as the Motability Scheme implements significant changes to its mileage allowance. Under the new rules, the standard annual mileage allowance will be reduced from 20,000 miles to 10,000 miles. Drivers who exceed this limit will be charged 25p for every additional mile.
Impact on Beneficiaries
One wheelchair user from Balloch relies on his Motability vehicle to travel to his job at Scotland's national spinal injuries unit, attend medical appointments, and compete in wheelchair curling events. He estimates that if the new rules were applied to him, he could face approximately £7,500 in excess mileage charges over three years.
He told the BBC: "If it stays at 10,000 miles, then there's no decision at all. It would be daft for me to continue with Motability. This is my lifeline. If I didn't have this, then I wouldn't have as good a life as I've got."
A second individual, living on the Isle of Skye, has also spoken out against the changes amid growing backlash. "I think people are going to end up not having the life they want to live, not having the independence that they want," she said.
Benefits Affected
The changes come as the DWP bill continues to rise. The benefits that qualify for the Motability Scheme include:
- Personal Independence Payment
- Disability Living Allowance
- Adult Disability Payment
- Child Disability Payment
- Scottish Adult Disability Living Allowance
- Armed Forces Independence Payment
- War Pensioners' Mobility Supplement
Government Response
A DWP spokesperson stated: "The VAT relief for Advanced Payments - a one-off payment made to lease more expensive vehicles, will be removed and Insurance Premium Tax will apply to leases at the standard rate, bringing tax treatment in line with commercial leasing firms."
They added: "These changes will only apply to customers taking out new leases with Motability and will not apply to current leases or to wheelchair accessible vehicles in recognition of the additional costs associated with these vehicles."
