The APs are unjustifiably high. So long as a leasing company have enough in reserve (to purchase the car new), the AP plus weekly Allowance we forfeit should correlate with depreciation, NOT the initial purchase price of a new vehicle.
I read that people think the APs are so high because prices of cars have increased quicker than benefits. That is true, but as I mentioned above, the initial cost of the car is not as important as depreciation.
The main issue is Motability wanting everything their own way. They don’t want to offer manufacturers a fair price for their vehicles (hence many leaving the scheme), but they still want us to pay higher and higher APs.
As far as I understand, benefits are increased with inflation, but are a year behind. This should mean that from next April, we will be sacrificing a larger than usual benefit increase to line Motability’s pockets.