Competition Needed For Motability

This topic contains 91 replies, has 16 voices, and was last updated by Avatar daveblue 19 hours, 32 minutes ago.

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  • #85160 Reply
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    martino

    If there was another company that leased cars to disabled people with all the same stuff motablility do RAC tires mileage insurance ect then it might drive the advance payments down and maybe bring on more cars, also allow us to pick the one that does the best deal, the what we do all with everything else in life, and stop motability have the monopoly,

    or am i just dreaming

Viewing 25 replies - 51 through 75 (of 91 total)
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  • #85328 Reply
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    callmejohn

    Hi JS,

    I assume you are being facetious, my point was unless someone is a nudist vegetarian, they are most certainly a taxpayer as they surely must be paying vat on most food (including bottled water) and adult clothes, never mind other things.

    So we are all taxpayers.

    But despite my constructive criticism of some aspects of how Motability Operations are run, as someone who started out in a blue three wheeled Invacar (which was a godsend at the time, as I couldn’t jump on and off of buses),  I am still very grateful of Motability and how thing have moved on over the years for disabled people not just with Motability, but in general.

    #85335 Reply
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    JS
    Moderator

    Facetious is maybe a bit strong, a bit jocular at worst but certainly not aimed at any individual or intentional contemptuousness on my part. I apologise if my Panglossian nature was misconstrued or showed any impertinence to any forum users.

    #85358 Reply
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    paulhelliwell

    How the Motability Scheme is funded
    It is a common misconception that the Motability Scheme costs the Government (and therefore the public) money. That is not the case. The Motability Scheme is funded by disabled people who choose to spend their higher rate mobility allowance to pay the cost of their lease.
    In October 2015, the Parliamentary Under-Secretary of State for Disabled People, Justin Tomlinson, stated:
    “Motability is an independent registered charity. It is not sponsored by the Department for Work and Pensions. The Department works closely with Motability and facilitates the transfer of benefit to Motability on behalf of those claimants who have chosen to join the Motability Scheme. The Scheme purchases vehicles which are then leased to Scheme customers. The purchase of the vehicles is funded by the Scheme and there is no cost to the public purse.”

    #85362 Reply
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    callmejohn

    Well stated Paul.

    #85384 Reply
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    Philjb

    Another reason why I don’t begrudge them making a profit.

    They take the risk so making a profit is the reward, we benefit in having two thousand cars to chose from on average, usually with something suitable for all.

    But I still think potentially having competition wouldn’t be a bad thing.

    Maybe then we could chose which breakdown company or tyre supplier etc we use.

    Based on feedback even.

    It probably will never happen as I suspect the start up cost would be too large.

    #85491 Reply
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    daveblue
    Participant

    As do I. But that money still comes from the public purse which is finite. Why do you think austerity was imposed? Because more money was going out than coming in. It’s basic budgeting. Something had to give eventually or you go broke. We are given help towards transport and for most of us, the best use of that money is to hand it to Motability. I certainly believe that which is why I do it. However, if you don’t think it provides value for money, don’t use it then complain because they make a profit and start claiming that they should start giving you some of that money back. If you feel like that, put your money elsewhere. Simple

    Very funny that the financial organisations caused the austerity on us and you say there was more money coming in then out well after the second world war the then labour gov built £££ council housing and the nhs was well funded yet we was in more debt than 2008 crash funny that and the austerity was mainly on the working and non working poor in this country.

    #85606 Reply
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    Rico
    Participant

    austerity is just fancy talk for tory “we need to make the rich richer and the poor poorer again” it is as simple as that… the whole brexit is a shambles too as what a lot of people don’t realise is all the pro brexit mps have investments in companies that get payments from eu. As it stands if your business gets a payment from the eu you pay tax, if outside the eu you don’t pay tax on it. Once we leave you wont pay tax on payments from companies in the EU… So reality they are just interested in lining their own pockets.

    #85607 Reply
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    Wigwam
    Participant

    Well, it’s a point of view, Rico.  Fact free, but a point of view, nevertheless.

    #85608 Reply
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    vinalspin
    Participant

    I don’t think anybody actually thought MP’s were trying to do something just because it might be good for the people did they?

    #85638 Reply
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    Philjb

    It would be nice to think we won’t take a hit for all the extra expense and spending pre election.

    We are all hoping the amount of cars won’t drop after brexit?

    Also will the import of batteries and EV’s be hit too.

    Who knows, I’m sure the big manufacturers would like to keep flogging cars here.

    #85643 Reply
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    Wigwam
    Participant

    And why wouldn’t the manufacturers keep selling cars here? It’s not as if anyone’s going to stop them. No-one is stopping trade.

    The EU imposes barriers to trade, we don’t have to.

    #85646 Reply
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    Brydo
    Participant

    They will be 10% more expensive.

    The only person who got all his work done by Friday was Robinson Crusoe

    #85648 Reply
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    Wigwam
    Participant

    Can you tell me why that would be Brydo?

    #85649 Reply
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    Brydo
    Participant

    Assuming the suggestion is we leave under WTO rules then cars would attract a 10% tax.

    The only person who got all his work done by Friday was Robinson Crusoe

    #85654 Reply
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    Philjb

    They’d love to keep selling cars here as we are a big market.

    But if we leave with no deal a 10% price increase may be enough to stop certain models being available or even some of the higher specs maybe

    fleet buyers would look to cheaper cars.

     

     

    #85659 Reply
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    Wigwam
    Participant

    No reason for a 10% price increase though. First, the tariff is on the imported price pretax, second EU manufacturers will absorb what costs they can to maintain sales.  Cars are priced at what the market will stand. Profit margins vary country to country – higher in the UK than many countries, funding the big dealer networks for example.

    And you can be sure the first tariff agreement between EU and UK will be for vehicles.

    #85663 Reply
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    Brydo
    Participant

    According to you wigwam unless of course you are actually Michel Barnier.

    The only person who got all his work done by Friday was Robinson Crusoe

    #85665 Reply
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    Wigwam
    Participant

    According to the rules Barnier’s role finishes when we leave.  I’d like to think trade negotiators backed by strong lobbying by industry are likely to see the world differently.  Germany’s economy is in a bad enough state as it is without losing out on sales to the UK.

    But then I’m an optimist…

    #85666 Reply
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    Brydo
    Participant

    Too many ifs buts and maybes wigwam. As it stands 10% tax no ifs buts or maybes.

    The only person who got all his work done by Friday was Robinson Crusoe

    #85675 Reply
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    Philjb

    German car manufacturers and French champagne producers and many others have been lobbying their MP’s but nobody knows the actual long term fall out.

    But if everything coming in costs 10% more in tax, they won’t swallow that, prices will have to go up.

    Bmw, Mercedes and Vag know they can sell cars here at a premium. I don’t think they will want to cut profits.

    Hopefully we will get a deal and the uncertainty will end.

    If it does get a deal, the country has spent billions on preparations, if they are then unnecessary they will have to put some taxes up to get the money back.

    I think if prices in general rise too much after brexit, I’d have to seriously think about  wether I could afford to stay on the scheme as mine and a lot of others on the scheme have an income that is pretty fixed.

    #85678 Reply
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    callmejohn

    Speaking personally, not being on the scheme would not be an option for me, I wouldn’t want to go back to buying unreliable second hand cars and I couldn’t afford to buy a new car. or even a nearly new car.

    My fear is that the standard of trim on the car’s on Motability may be lower to balance the price, which would mean for some of us, not less prestigious cars but less suitable cars being on the scheme.

    #85679 Reply
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    Wigwam
    Participant

    Too much mis-information about..

    Currently vehicles imported from non-EU countries have a 10% tariff applied (less for Japanese made cars because of recent EU trade agreement with Japan).   If we leave the EU without a trade agreement that same tariff will apply to EU manufactured cars. As I argued earlier that does not mean prices of EU made cars will rise by 10%, it’s up to manufacturers and importers what price they charge.  UK made cars will be unaffected by leaving the EU and there is no reason their prices should rise.

     

    #85758 Reply
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    philjb

    I doubt a 10% hit will equate to price cuts myself.

    The same with food and energy, a big rise would be hard for many families.

    As i said I hope it doesn’t effect the scheme and amount of cars available. Time will tell, hopefully we will get a deal of some sort.

    #85759 Reply
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    Brydo
    Participant

    Wigwam the tariff on japanese cars will rise again as it is the EU they have this agreement with not GB.

    Yes the EU car manufacturers MAY take the 10% hit but at this point in time all we know is there will be a 10% tariff applied.

    UK made cars will be unaffected only if they source all materials from inside the UK, all materials sourced from elsewhere will be subject to tariffs.

    I fully expect a deal to be done, i dont expect us to leave with no deal, but as it stands if we leave without a deal and move onto WTO rules then these tariffs will be with us for a while.

    The only person who got all his work done by Friday was Robinson Crusoe

    #85763 Reply
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    Wigwam
    Participant
    1. Movement of component parts of motor vehicles are tariff free, Brydo.  Notable that as the tariff on Japanese cars reduced (admittedly by not much so far) there was no downward shift in retail prices. So not likely rise either.
    • This reply was modified 3 days, 1 hour ago by Avatar Wigwam.
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