The Motability Scheme was set up 1977 to bring affordable motoring to disabled people, by allowing recipients of qualifying benefits to lease a car through the scheme.
There are approximately 7,000 Motability Scheme customers in Edinburgh. The Autumn budget of 2025 added VAT and Insurance Premium Tax to scheme leases.
The consequences of this are that advanced payments for leases are expected to rise by around £400. The mileage allowance will be halved from 20,000 to 10,000 a year, with increased excess mileage fees.
Whilst the majority of Motability customers drive under 10,000 miles, for some Motability customers, this will cause real financial problems. Disabled people need their cars for work, hospital appointments, and visiting relatives etc.
The Labour Party manifesto in 2024 talked about supporting disabled people into work.
The policy changes to the Motability Scheme will do the complete opposite. Making it more expensive for disabled people to get to work is adding an additional barrier to employment and may mean that disabled people leaving work with additional costs to the taxpayer.
A petition has been set up on the UK parliament petition website urging the UK government to stop these changes, it can be signed at Stop proposed changes to the Motability Scheme.
