Look people, it’s really quite simple: Motability the charity uses Motability Operations which is a private company owned by the big four banks to provide cars to us. The profits from the company are reinvested in the company or donated to the charity. The banks provide the financial security to the scheme and take no money from it. That’s how the scheme was set up and how it continues to operate.
Quote right, Motability Operations is actually a stand alone organisation, owned by four banks, and it is funded by a variety of sources such as from the resale of vehicles on the scheme, issuing of bonds etc .etc ., and to be absolutely clear, it does not receive any direct funding from the tax payer – monthly payments received from us, ie the disabled , are from our benefits, and it is our choice how we spend these benefits.
The massive plus point in the Government paying benefits direct to Motability, is that it gives Motability certainty of payment and as a result, there are no credit checks or Income assessment , on individuals, thereby allowing us to have much better cars generally than most of us would otherwise get?
It is a fantastic scheme for the disabled, allowing them to contract hire a reliable vehicle ( or mobility scooter) very often at a low or even no advanced payment, in order for the ‘disabled person’ to become/ remain mobile
Any profits made are reinvested in Motability ,and not distributed to shareholders .
It’s bulk buying power allows it to negotiate far better deals with car manufacturers than individuals can get , and the same applies to insurance, servicing,repairs etc