Motability Scheme: Balancing Accessibility & Fairness
Update: 2025-12-07
Description
New figures reveal that a significant portion of new cars bought in the UK last year were funded by taxpayers through the Motability scheme, which allows disabled welfare claimants to lease new cars. This scheme, exempt from VAT and insurance premium tax, is facing criticism for being misused by those with less severe conditions. Recent statistics show that nearly 16% of all car sales in England and Wales were made through Motability, with some regions like Wales seeing up to 33%. Conservative leader Kemi Badenoch and Chancellor Rachel Reeves have expressed concerns about the schemes fairness and the use of public funds. In response, Motability has announced plans to stop offering luxury brands and increase its use of UK-made cars. These changes aim to balance support for disabled individuals with responsible use of public funds.
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