More than forty disability organisations have issued an urgent plea to Chancellor Rachel Reeves, warning her against implementing deep cuts to the vital Motability scheme in today's Autumn Budget.
What is the Motability Scheme?
The charities, including major names like Disability Rights UK, Guide Dogs, and Whizz Kids, have expressed grave concerns about proposals that could remove tax breaks worth up to £1 billion from the programme.
Established in 1978, the Motability scheme enables disabled people who receive specific government allowances, primarily Personal Independence Payments (PIP), to lease vehicles including cars, scooters, and powered wheelchairs.
The Potential Impact of Cuts
In an open letter shared with the Independent, the coalition of charities warned that the proposed changes would have "dire consequences".
The central fear is that removing the CAT and insurance premium tax exemptions would force individuals to make substantial advance payments for vehicles.
The organisations estimate this could add £3,000 to the cost of even the most affordable Motability vehicle.
This potential financial barrier is particularly alarming given that the median household income for scheme users is approximately £18,500.
Mounting Anxiety and Uncertainty
The charities reported that the mere speculation about these cuts has already generated "high levels of uncertainty and anxiety" among the disabled community.
They have called on the government to provide greater clarity about the scheme's future and to enhance public understanding of how Motability initiatives operate in practice.
Chancellor Rachel Reeves is scheduled to deliver her crucial Budget statement from the House of Commons at around 12.30pm, setting out the government's financial plans for the coming year.
