Reply To: More concrete news on the July 1st changes

#352982
Joe
Participant

    This will be my response and next questions to the responses I received from Motability.

     

    In the letter Andrew Miller wrote that was published on the motability website he stated that the adding of VAT on leases and IPT would add £1100 to the average new lease. You stated these measures will add £300 million in costs to motability.

     

    However if £300 million is divided by 800000 (minus the 60000 who lease WAV vehicles) then the extra cost per customer, due to the added VAT and IPT, would work out as £375 per customer.

     

    Where are the extra £825 per lease figures coming from that don’t correlate with the claimed £300 million cost?

     

    In the next year, Motability will be making an extra £150 million per year because of the increases in PIP. Will this increase be factored in, in the claimed extra costs to Motability because of the changes?

     

    If in the future the Government decides to scrap the mandate adding VAT to advance payments and IPT, will Motability scrap these new imposed changes to the lease agreements?

     

    You mentioned that over 100000 customers were surveyed before the changes were proposed. This number represents approximately 11.63% of the total of motability customers.

     

    How is the opinions of less than 12% of customers a fair reflection on the overall needs of the customers?

     

    You mention that an independent board decided on the CEOs pay.

     

    Who is this board and what safeguards are in place to ensure the board is genuinly independent?

     

    What duties does the CEO perform that justify a salery that is 436% higher than the Prime Minister of the UK earns?

     

    What evidence of improvements to the motability scheme are there that can justify a pay increase for the CEO of 23.5% from 2024 to 2025?