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Please forgive me if this is common knowledge…….
This extract from the link below it
Net of this support provided to existing customers and Motability, we report a post-tax profit of £559.9m. This financial result provides us with adequate capital headroom in the context of our growth expectations and in light of our commitment to invest £300m over the next five years to support the “worry-free” transition to electric vehicles for current and future generations of customers.
This result has also enabled us to provide additional affordability support to all new and renewing Car Scheme customers in the form of a £250 payment towards the cost of their next lease. This will be available for all existing customers as of 31 December 2021 and payable at the point at which they renew into their next lease and to any new to Scheme customers who either have a pending application which is delivered or who place an application during the 2022 calendar year. A support payment of £100, which will be based on the same criteria, will also be available to new and renewing PWSS customers. In total these payments represent an investment of up to £180m towards supporting customers’ affordability.
https://www.motabilityoperations.co.uk/our-performance/financial-highlights/
Update:
Full Information here:
https://news.motability.co.uk/scheme-news/new-vehicle-payment-introduced/
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I took the extract from the financial highlights 2021 report.
It wasn’t really intended by Motability for it to be known by us customers at this point in time as @Rene ‘s post confirms after a web chat with Motability.
So it isn’t really known whether Motability intend to carry it on after 2022 or the real reason for it or if it a this year only thing.
The full financial report is also available by clicking the link in the original post and then clicking ‘financial reports’ tab, it is 154 pages long though ? might be something in there.
unfortunateley @Rene the reason my change date is now march is that i changed early last time from a 3dr mini to a mini countryman as i couldnt get in or more accurately out of the 3dr as my back had worsened.
never mind, its not a huge issue in its self. i just think that they ought to be targeting those that contributed the most to their profits rather than using it as a means of attracting new customers, why should someone getting their first car benefit from this?
Still, at least benefit recipients have a £10 Christmas bonus to look forward to!
Not if your recieving contribution based ESA.
I won’t hear a bad word said against motability operations, great company, as I’ve always said.
Pick my new car up this month lol.
The only person who got all his work done by Friday was Robinson Crusoe.
Anything i post over three lines long please assume it is an article lol.Welcome news, combined with the Ford Focus return marks a good week for Motability customers. Of course we would like more happy with the situation. Interesting array of comments.
i assume this will be onto of the good condition bonus
It’s nice to know my £3200 AP helped towards Motability’s post tax profits – unfortunately I was told over the phone NOT to apply for the AP grant, but after I had ordered my car I found out I did meet the criteria, and I should of applied – so forgive me for being cynical, but I’m not expecting to get this £250 payment either
Details now promulgated on the main Motability website.
One thing that stuck out, as from detail posted above, is eligibility for the payment:
Anyone who is already a customer as of 31 December 2021 will become eligible for the payment when they take delivery of their next vehicle, whenever that may be.
so not just those existing customers changing cars in 2022.
Full details on Motability website here:
New Vehicle Payment introduced for Motability Scheme customers
It’s nice to know my £3200 AP helped towards Motability’s post tax profits – unfortunately I was told over the phone NOT to apply for the AP grant, but after I had ordered my car I found out I did meet the criteria, and I should of applied – so forgive me for being cynical, but I’m not expecting to get this £250 payment either
I was deterred from asking for a grant too so looks like Motability staff are doing a good job at increasing Motability profits.
Makes me wonder because the privately owned company I worked for before becoming disabled use to base there bonus on a percentage of company profit after tax.
Well that’s a good thing, but let’s not be fooled. This is a pacifier. Last year Motability Operations made £1,000 additional profit per customer than is needed to cover all the scheme costs, and that was before the benefit that they will be getting now from inflated resale values of end of lease cars.
So, in summary, we are being charged £1,000 more in AP’s than we need to be, but should be grateful that £250 of this is given back to us. If they were being completely honest and transparent they would reduce AP’s by £1,000. Whilst I would rather have £250 than nothing, I am not fooled by this tactic.
Can you imagine the fallout on here should it only be new customers,
It IS only for NEW customers !!!
By New customers of course I mean only those having a new car from Dec 2021 and this year.
So, those who already have a car has contributed to those profits!
Then many who haven’t contributed get rewarded !!!
Thanks for your link @BigDave I’ve emailed the mods to ask if it can be updated into original post as it does answer potential questions some might have.
By New customers of course I mean only those having a new car from Dec 2021 and this year. So, those who already have a car has contributed to those profits! Then many who haven’t contributed get rewarded !!!
My understanding of what has been posted is that everyone who is a customer on the 31st December 2021 will get the payment as its a one off payment so you will get yours whenever you take delivery of your next car be it 2022, 23, 24.
Correct me if I’m wrong.
Instead of making it look like a good deed giving £250 how about negotiating much better AP prices?
Right now the payments are off the chart and £250 is going to have much effect at all.
Well I’m GRATEFULL it all helps so if you qualify new car in 2022 you get £250 plus £600 good condition bonus if car handing back is in good nick, yes
Everyone’s circumstances are different aren’t they? sometimes very different but I personally am very happy cos my focus was £995 and with the GCB, £60 insurance payment and now this I’ve ended up having to pay just £85 towards the AP this time round. In 25 years on the scheme I’ve never paid so little and consider myself very fortunate.
Good news Paul ?
It’s worth remembering though that you get the GCB even if you leave the scheme when you hand the car back, so whilst it helps cash flow, you can’t say that you are only paying the figure net of the GCB. With GCB, Motability are handing you cash which you can do with as you please. Fine if you choose to use it towards the AP of the next car, but it doesn’t make the actual AP you are paying any cheaper! It will be the same with the £250. Motability give it to you in the one hand and take it back through inflated AP’s.
It just goes to show how clever the approach is though, as many people get easily fooled into thinking that they are getting money for nothing or a discount on their next car, when in reality they are overpaying to start with, only to get a small proportion of the overpayment back.
Again in my own personal circumstances I don’t consider £995 for a top spec focus estate to be an inflated price though and I stand by my post especially the considering myself fortunate part especially with all the problems on this world. I know how it works and remain happy ?
It’s nice. Nothing to criticise about it really. It’s basically £250 cheaper AP’s.
This is a welcome addition, combined with the GCB and 60 insurance rebate is almost a grand towards the cost of a new car.
£900(5year)gcb for my xc60 +£60 insurance rebate+ £250 dealer discount and now this £250 .
So £1460 total to AP for my nissan qaahqai tekna+ order of £2199. So £739 to pay for new car, so im happy with that .Due to first looking and thinking it would be near 4k i would have to pay for next car.
I’ve been waiting for my mercedes car 8 months now ,dealer thinks almost sure
delivery march.Had phone call from motability today they said £250 will be put in bank before 18th Feb.
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