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Current: Chery Tiggo 8 'Summit' ICE
Previous Motability cars:
2013 Ford Focus estate auto.
2016 Vauxhal Zafira 1.4T SE Auto.
2019 Ford Kuga Vignale 1.5 auto AWD. (Ext lease)
2024 Renault Austral Iconic FHD (Early lease term.)
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No mention of the awful DriveSmart system. Most can live with those changes, although I recognise that some people need that extra miles in the allowance. I’d hoped that they gave customers the option to pay a much higher AP for the 20k miles but that’s not there.
I feel that this could have been much worse, although there’s still time.
I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
I'll try to give my honest opinion but am always open to learning.Mark
That means that if you wanted to stay on the current millage allowance of 20,000 per year, you’d have to pay £7,500! That’s absurd!
I cover 15,000 miles in a year at the moment, that’s without the potential of a new job that could push it over 20,000 at the moment.
Oh and they will implement that for current leases. Just you wait. They’re trying to see if they can weasel it past all the consumer protection laws. Just like Drive Smart.
Also, someone remind me how much the bigwigs get paid plus benefits and bonuses? Shameful.
So are AP prices increasing?
have I missed something as for the rest it’s like arranging deck chairs on the titanic looks ok but you end up wet in the end
So are AP prices increasing? have I missed something as for the rest it’s like arranging deck chairs on the titanic looks ok but you end up wet in the end
In the last budget Rachael from Accounts decided to apply VAT to our APs plus Insurance Premium Tax to the Scheme. Motability have then said they would look at measures to mitigate those increases.
I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
I'll try to give my honest opinion but am always open to learning.Mark
This table has been shared to Motability professional partners.
It’s important to note that when you -pick the car up- is important alongside when you -place the application-.It seems easier to read than the /changes customer web page.
One important detail (for me at least) that’s missing is the actual cost of the EU travel admin fee.
Even the most hard-nosed private lease company sets less than 15p per mile. Most of them are 5p per mile like the current scheme agreement.
10,000 pa? Ok, maybe 20k has been generous but a 50% slash? I mean it’s not even 1k a month, you’d have thought 12 maybe even 15 but 10? For a group of people that, by their very nature, don’t have a lot of the other travel options that most of society does.
And then they hike the excess to 25p a mile! 25 pence! I’m days away from changing and as of this moment my mileage is 51,164 – so on the new rules that would be an excess of 21,164, at £1 for every four miles that’s £5,291 !! Unless they’ve forgotten a decimal point the one I’m about to get will be the last on the scheme! And, sadly, I suspect that’s the plan, I strongly suspect the scheme is being made unpalatable on purpose due to political pressure.
Hard on WAV drivers. For example – We don’t have the option to travel by public transport / an ordinary vehicle or even an aeroplane. We have to drive everywhere. 10k a year is nothing for us.
Sad times.
Hard on WAV drivers. For example – We don’t have the option to travel by public transport / an ordinary vehicle or even an aeroplane. We have to drive everywhere. 10k a year is nothing for us. Sad times.
I thought this was to counter the VAT increases which aren’t applicable to WAVs. It makes for a 2 tier scheme.
I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
I'll try to give my honest opinion but am always open to learning.Mark
The 10k miles, that maybe the final push I need to tell them to stick it. Although in no rush as I’ve 19 months left on current car.
I do just over 13k a year so I presume I get the vat relief? So that would be around 1.9k and a total outlay of about £15,400 over the lease. Then I believe they will tax something or other so could be at least £16000, roughly £5300 a year.
Tyres ain’t a problem, euro cover ain’t a problem. Limited choice and new taxes, charges are.
And the thing that encourages me is that I have a family member who is a very good mechanic and we are very close lol. Oh and that 2018 Mercedes e220 estate AMG line I saw with the enormous boot is in the back of my mind. 125k miles full service history and priced at 11,500. Don’t like the badge mind, but fully kitted out. Or be sensible and have a look again at the Skoda superb and Hyundai i40 estates.
My maths are brutal from the brain injury so if someone sees a mistake, let me know lol
Mark / WMC
There is a page linked from the main /changes page that outlines the exemptions for adapted vehicles.
While it doesn’t add extra miles (other than the exceptional circumstances route) it does make clear that VAT exemption carries through for all costs during an exempt lease. So the mileage rate is essentially reduced to £0.21 per mile
Not sure if it’s because I’m new, but adding the link caused the post to fail ….. /changes/vat-insurance-premium-tax and /changes/mileage after the main URL
Hard on WAV drivers. For example – We don’t have the option to travel by public transport / an ordinary vehicle or even an aeroplane. We have to drive everywhere. 10k a year is nothing for us. Sad times.
Same goes for anyone who lives in the countryside / has to deal with incompetent public transport that either costs a fortune, runs late or doesn’t show up at all.
I drive 50 miles a day regardless just to get to work and to get to the nearest major town, that’s without personal mileage such as shopping, going on holiday or any other leisure activities.
Just to double check I can order from 17th April, current lease ends 17th July, so I would come under the new mileage cap due to handover being past 1st of July?
They state on the mileage page that the £0.25 per mile includes a component for the additional insurance cover as well.
Private leases, outside of some salary sacrifice, don’t usually include insurance at all .. so while I’m not happy with the increase in the slightest, it may need to be ‘a bit higher’ as it’s more than just what would normally be covered.
My first thought was 10,000 miles per year doesn’t sound too bad, but then my second thought was that’s only 192 miles per week. That will definitely be a problem for those members who have to drive to work each day.
Very interesting, especially as the biggest adverse financial impact for the vast majority of scheme users (the addition of VAT and IPT) has yet to be announced. Andrew Miller says that, without mitigation, this would have added £1,100 per lease. What we don’t know is how much of that impact is still to come, as we don’t know how much the changes announced today eat into that £1,100 and, more importantly, what’s left and will be added to APs.
We have already made the decision to leave the scheme due to poor choice (we don’t want an EV and /or something from the Far East) but, in truth, none of the changes announced today would affect us. We now do less than 10,000 miles a year, have never needed more than a couple of tyres during a lease and don’t take the car abroad. However, the 25p per mile surcharge seems unreasonable to me. Not that I lease, as I buy cars outright, but I think that’s around double what most lease companies charge, and double the excess mileage charge for many PCP deals. We usually pay an AP though, so that would be subject to an increase from our next lease if we were sticking with Motability.
High mileage EV and PHEV users will be massively impacted, as this 25p per mile will be on top of the government imposed surcharges (for ALL mileage). Ouch!
They state on the mileage page that the £0.25 per mile includes a component for the additional insurance cover as well. Private leases, outside of some salary sacrifice, don’t usually include insurance at all .. so while I’m not happy with the increase in the slightest, it may need to be ‘a bit higher’ as it’s more than just what would normally be covered.
I take your point too, but the average private Direct Line customer wouldn’t have to pay an extra £2,500 for the cost of increasing their insurance mileage allowance from 10,000 to 20,000 per year as well as any charges on a PCP or PCH.
We have just took small BYD Dolphin Surf on PCH 10k miles pa for three years. Extra mile is only 3.12p. So 25p even with insurance and maintenance is nonsense to me.
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Apologies for briefness and spelling mistakes.Motability Skoda Enyaq SportLine 85x April 2024 (unhappy customer - Ombudsman pending)
Motability Mazda CX-60 PHEV July 2023 (unhappy customer - early termination on mechanical grounds)
Motability VW Touran Family Pack May 2019 (happy customer)What’s the difference between getting your mobility allowance from DWP and social security Scotland? These rules look like they only apply so far to people who get there allowance from DWP and state that they are in contact with SSS about how the changes will affect users from Scotland?
Scottish users will be subject to all of this. The insurance tax rate and VAT charges are not a devolved government choice. I think its a bit of a con, IPT on vehicles is 20%, it would be interesting to see what that translates to in terms of average increase per scheme user.
Mileage, Excess mileage fees, tyres and other allowances of your lease are set by Motability, not the DWP or SSS. As is Drive Smart, so SSS will not intervene, especially if Motability dress it up as saving costs to the average scheme user – which is tosh, but that’s what they are doing.
In life, it's not who you know that's important, it's how your wife found out.
Just to double check I can order from 17th April, current lease ends 17th July, so I would come under the new mileage cap due to handover being past 1st of July?
This is what they said so you should be OK…
If you order before 1 July 2026
If you collect your car after 1 July, you might need to pay VAT on some payments, such as excess mileage or early termination fees.Your Advance Payment will not change, no matter when you collect your car. Our price freeze means the price at the time you apply is locked.
Sorry just noticed your on about milage so that will effect you if you drive more than 10K
Looking at this, I will now be terminating my lease before July as a matter of principle of VAT being charged on early termination fees.
Exchequer impact (£ million)
2025 to 2026 Nil
2026 to 2027 +90
2027 to 2028 +165
2028 to 2029 +225
2029 to 2030 +280
2030 to 2031 +305Well done Rachael!
lease a vehicle which is designed or substantially and permanently adapted for wheelchair and stretcher users, which will remain zero rated for VAT and exempt from IPT
My eyes were caught by this part of the update on the statement
“If you get your allowance from Social Security Scotland
We’re working with the Scottish Government to understand how these changes might affect the Accessible Vehicle and Equipment Scheme (AVES).You can still order as normal. We’ll contact you as soon as we have more information.
We’ll keep this page updated as soon as anything changes, so you always have the latest information.
———-
i wasn’t even aware of this being a thing but google gives me this statement
“ The
Accessible Vehicles and Equipment (AVE) Schemein Scotland enables eligible disabled people to lease cars, powered wheelchairs, or scooters using their enhanced/higher rate mobility benefits. Operated by Social Security Scotland, it replaces the DWP Motability scheme, often using Motability Operations as an accredited provider to deliver vehicles.”
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