To be fair to Motability, it’s not that straightforward. Adding 20% to APs is the easy part. We can work that out ourselves by just adding 20% to current APs. Insurance Premium Tax (IPT) is far more complicated though, because it’s a 12% charge on the entire cost of insurance, and that’s not worked out by car but a block policy. Then you have the issue of what do you do with those who currently choose cars with zero AP. How will they pay the IPT?
What we can be certain of is that costs will go up and we will get less in return (poorer choice, lower mileage limits etc), so those of us who feel that the scheme is already looking unattractive know that it’s only going to get worse and we don’t need to wait until July to make our decisions.