@theo2017 the extensions to 5 years are finished, it’s for 3 years only now sorry
As others have argued “it’s not in the contract” In other words, when Motability first introduced no more extentions, many existing or new contracts during 2024/25 did not get amended contracts or new lease contractracts T&C’s wern’t updated. Numerous members on here have argued this point with Motability and have been allowed to extend their contract.
I have a feeling that may change due to a recently promulgated Financial Ombudsman Service (FOS) Decision (case ref DRN-5711848) from July 2025 relating to a 2021 contract.
The Ombudsman having reached the decision, despite the wording of the oft quoted hereabouts ‘further two years’ mentioned within the contract, Motability (as does the customer) seemingly have the right to terminate the contact at the end of the three year lease.
To quote from the Ombudsman Service decision:
‘’I’m satisfied there was a minimum hire term of three years, which could be extended by a further two years. However, there’s nothing in the agreement or associated terms that guarantees any extension would be granted, and either party had the ability to end the agreement at the end of the minimum hire term by giving notice. And this is what Motability did’’.
The full FOS decision is here:
https://www.financial-ombudsman.org.uk/decision/DRN-5711848.pdf
I am aware of a veteran who also challenged his lease extension being denied receiving a similarly worded FOS decision late last week.
I can only also construe that this FOS decision may also have been the driver for Motability effectively ‘doubling down’ on the FOS decision so from 16th December 2025 not permitting any lease extensions, no matter the mileage etc.
For any extension to happen, FOS state Motability would have to agree to it, in effect putting full decision making authority in the hands of Motability.
I presume the only way forwards from such an FOS ruling would be by Judicial Review. Not something to be taken lightly or with empty pockets!
https://www.financial-ombudsman.org.uk/who-we-are/make-decisions