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)!