Should Motability Be Reported To CMA

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  • #190419
    fwippers
    Participant

      Complex matter.

      #190436
      BigDave
      Participant

        Should Motability be reported the Competitions Watchdog? With all the profits they are making and donating from us! I believe they should. Here’s a link.

        https://www.gov.uk/government/organisations/competition-and-markets-authority

         

        Be careful what you wish for!

        You never know, but the CMA could throw up somewhat unexpected results, which through the law of unintended consequences, could end up costing disabled people more.

        For example, rather than widen the scheme with the current VAT relief, the CMA could propose to ‘level up the field’ by removing the VAT concessions to Motability in total. With seemingly all the Prime Ministerial contenders promising tax cuts in line with their philosophy of low direct taxes and higher indirect taxes, this would fit in with the agenda nicely.  It would also please your average Daily Mail reader and Conservative party member!

        They could go even further and as 66% of eligible disabled people do not use the scheme, they could recommend scrapping the scheme entirely – thus putting customers out to commercial vehicle lessors. The fact that this would cost the customer more and a lot of customers may not pass the credit reference checks is not the CMS’s problem.

        Also, remember commercial vehicle lessors are only responsible to their shareholders – so no obligation to fund Motability charitable grants etc.

        That is not to say the current arrangements are perfect – far from it.

        What does rather need untangling is the seemingly (and unnecessarily) complex web of governance, financial and business relationship(s) between Motability (Charity), The Motability Foundation (another charity set up by Motability), the seemingly now defunct Motability Tenth Anniversary Trust (where did all the money go?) and Motability Operations Ltd.

        Albeit untangling that and ‘following the money’ may be more within the remit of the Charities Commission?

        Although asking why (and how) Motability Operations have the single source contract to the Motability Scheme and exactly how that contract is structured would be interesting (and no doubt deemed commercially sensitive)!

         

        #190439
        Oscarmax
        Participant

          Crazy idea definite No from me

          Unfortunately I have suffered a brain injury and occasionally say the wrong thing.

          #190440
          fwippers
          Participant

            Having reflected on my 4.27am comment,  I feel it  should not be referred.  The scheme should be modified with excess profits paid to its members in the form of a dividend.

            #190442
            joss
            Moderator

              As @BigDave commented,

              What does rather need untangling is the seemingly (and unnecessarily) complex web of governance, financial and business relationship(s) between Motability (Charity), The Motability Foundation (another charity set up by Motability), the seemingly now defunct Motability Tenth Anniversary Trust (where did all the money go?) and Motability Operations Ltd. Albeit untangling that and ‘following the money’ may be more within the remit of the Charities Commission?

              should be the route to this matter.  The charities commission has a wide range of powers to investigate such issues.

              Joss
              Current car: Peugeot 308 GT Premium 1.2 Pure tech Petrol.
              Coming soon...BMW X2 sDrive 20i M Sport 5dr Step Auto In November 2025

              #190451
              John Newton
              Participant

                The thing that I don’t like is the huge profits made from disabled people but they don’t give us anything from that profit.

                From April 2024 Toyota BZ4X now From april 2025 Skoda Enyaq 85 Edition due to BZ4x being written off

                #190457
                rox
                Participant

                  I’d be intrested to see who’s on the boards etc and payroll of those charities and the ones setup that recieve funds or the companies that get contracts and money from mbo. I would hazard a guess the sames names will crop up often or someones wife or family member etc etc..

                  It’s hard to believe the banks run mbo for nothing at all, infact that might not be the case at all.. just well hidden or an admin fee that’s a % of profits etc. Like banks can be trusted?

                  Maybe it needs looking into deeper than the parliamentary inquiry did.

                  1 billion in profit’s in the last 12 months and what that’s being used for not to help user’s of the scheme much but pretty much like at my son’s old school that got extra money to help the kids that was not so privileged and what did the school use the money for, to provide broadband at the school for all pupils.

                  So profits from the mb scheme are being used to benefit a whole host of other things. while a few months ago the ceo says we are sorry but ap’s will rise and you’ll have to wait longer for the new car and we’ll profit hugely from that from the increased used cars re-sale values and you’ll see none of it, except for a token gesture a one off payment of £250. The next 6 month report will be even more profits than the last one.

                  I now have left the scheme as it’s just not as viable for me as it was to lease with such high ap’s which is another thing we get nothing back for at the end of the lease, just like with added extra’s.

                  #190474
                  ChrisK
                  Participant

                    @BigDave

                    Reminds me a bit back a decade or so ago when men started asking for equal retirement rights with women and have men retire at 60 like the women.

                    As we know the government fix for that was to raise the women retirement age to 65 the same as the men, and even more now.

                    So yes even though we might not like some of MB working be careful of stirring up the cows muck.

                    #190475
                    kezo
                    Participant

                      What was that Scottish report that came out a week or 2 ago?

                      I do’t know whats best TBH. Complain and something gets done or complain and open a can of worms with the CMA.

                      I think if it were me I would first be doing a FOI request and then moving forward, sending a petition to the government. But that is dependant on the number of signatures, how far it will get.

                      One thing we can all be sure about they are making a lot of money from us and paying its staff fat cheques and giving our money away to others.

                       

                      #190496
                      joss
                      Moderator

                        It’s hard to believe the banks run mbo for nothing at all, infact that might not be the case at all.. just well hidden or an admin fee that’s a % of profits etc. Like banks can be trusted?

                        Read Motability Operations regarding share holding banks

                        Joss
                        Current car: Peugeot 308 GT Premium 1.2 Pure tech Petrol.
                        Coming soon...BMW X2 sDrive 20i M Sport 5dr Step Auto In November 2025

                        #190499
                        wmcforum
                        Which Mobility Car

                          @joss

                          When Motability buy a car, they don’t do so with cash, this may be the answer to your question.

                           

                          #190503
                          joss
                          Moderator

                            Approximately one third
                            of eligible disabled people
                            choose to join the Scheme

                            Eligible Non-Scheme Customers
                            Approximately one third of eligible disabled people choose to join the Scheme.
                            It is, however, important to understand why eligible people choose not to join the Scheme, and a programme of research has been initiated to improve understanding  of why this is and what barriers exist.

                            Previous research has highlighted that some people do not like the concept of leasing, alongside a lack of awareness of the Scheme generally.
                            The new research has also identified some categories of potentially eligible people who consider that the Scheme is not suitable for them and choose different options to support their mobility.
                            This insight will allow consideration of potential enhancements to the Scheme or potentially offering different services outside the Scheme. Further work will also be undertaken to improve both the awareness and understanding of the Motability Scheme and of Motability, the Charity.

                             

                            Joss
                            Current car: Peugeot 308 GT Premium 1.2 Pure tech Petrol.
                            Coming soon...BMW X2 sDrive 20i M Sport 5dr Step Auto In November 2025

                            #190504
                            joss
                            Moderator

                              THE MOTABILITY TENTH ANNIVERSARY TRUST

                              Charity number: 328160 Removed charity !

                              Registration history: 11 April 1989: Standard registration
                              14 September 2021: Removed (Amalgamated)
                              14 September 2021: Funds transferred to 299745-1 THE MOTABILITY ENDOWMENT TRUST

                              So The Motability Tenth Anniversary Trust has now become THE MOTABILITY ENDOWMENT TRUST Charity number: 299745-1 Linked charity

                              Governing document TRUST DEED DATED 26 SEP 2019
                              Charitable objects THE OBJECT OF THE TRUST IS TO ADVANCE THE EXCLUSIVELY CHARITABLE PURPOSES OF MOTABILITY (AS AMENDED FROM TIME TO TIME) FOR THE PUBLIC BENEFIT.
                              Area of benefit No information available
                              Registration history 20 February 2020: Standard registration
                              14 September 2021: Funds received from 328160 THE MOTABILITY TENTH ANNIVERSARY TRUST
                              Other names MOTABILITY FOUNDATION (Working name)
                              This charity is a linked charity of MOTABILITY

                              Joss
                              Current car: Peugeot 308 GT Premium 1.2 Pure tech Petrol.
                              Coming soon...BMW X2 sDrive 20i M Sport 5dr Step Auto In November 2025

                              #190505
                              joss
                              Moderator

                                @joss When Motability buy a car, they don’t do so with cash, this may be the answer to your question.

                                I was just trying answer some of the questions asked on this thread. Your reply is very useful @wmcforum helps put things into perspective. cheers

                                Joss
                                Current car: Peugeot 308 GT Premium 1.2 Pure tech Petrol.
                                Coming soon...BMW X2 sDrive 20i M Sport 5dr Step Auto In November 2025

                                #190519
                                kezo
                                Participant

                                  Eligible Non-Scheme Customers Approximately one third of eligible disabled people choose to join the Scheme. It is, however, important to understand why eligible people choose not to join the Scheme, and a programme of research has been initiated to improve understanding  of why this is and what barriers exist.

                                  I find it strange their research feedback has never highlighted the lack of actual large vehicles  (not what mb class as large), EV’s, PHEV’s on the scheme the ap’s were too high for the actual vehicle they wanted or the vehicle model and trim wasn’t available. Or is it they have more sense than us and happy purchasing new / nearly new knowing they will have some capital when they come to sell / px it.

                                  I didn’t join the scheme untill 2015 because I was happy buying new or mainly used cars as there really is no such thing as banger-nomics theses days especially under 10yrs old. I wanted to come of the scheme this time but Mrs kezo twisted my ear. I’m fortunate enough to beable to beable to buy a new or used car but there are those that cannot so mobility becomes a lifeline. Could this be another reason why 2/3 aren’t on the scheme.

                                   
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                                  #190529
                                  rox
                                  Participant

                                    I recently left the scheme kezo and bought a new car. A few reasons are that the high ap’s make’s buying now more viable to me and leasing less attractive, especally now I am doing half the mileage I was in the past 11 years of being on the scheme.

                                    Another is the the 2030 ban and what car makers will do before hand and the effect it will have on the scheme. Currently an ev won’t work for us

                                    Plus i will have an asset worth something and can decide what’s best for me.

                                    I may keep this car a lot longer, who knows. Considering the carbon footprint of making new cars is so high, changing it every 3 years etc ain’t so green and keeping a car for as long as you can is better imo for the planet.

                                    If i keep this car for 10 years i might only do 50k at my current annual mileage, on the scheme i would of had 3/4 cars in that time and have nothing to show for it, but a new car sitting outside the house.

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