Motability Scheme to Overhaul Rules on Tyre Replacements
The Motability Scheme, which enables disabled individuals to lease vehicles using their mobility benefits, is set to introduce significant changes from July 1, 2026. These updates will apply exclusively to new lease orders placed on or after this date, leaving existing leases unaffected.
Revised Tyre Replacement Policy
Under the new rules, tyre replacements will remain covered under the lease but only within a defined 'fair use' limit. For a three-year lease, users can replace up to six tyres, with a maximum of four for damage. For a five-year lease, up to ten tyres can be replaced, of which six can be for damage. The scheme states, 'We'll refresh our fair usage policy based on how tyres are being used today. On average, customers replace two tyres or fewer over a three-year lease. The new limits are designed to cover what most people need.'
The RAC notes that front tyres typically last around 20,000 miles, while rear tyres can double that under safe driving conditions. Users who exceed the replacement limits will be informed of their options, with the scheme emphasising, 'We'll always focus on helping you stay mobile, and we'll make sure you understand any costs before you decide.'
Mileage Allowance Reduction
Currently, Motability users can drive up to 20,000 miles per year before incurring an excess charge of 5p per mile. The new rules reduce this to an average of 10,000 miles per year, with a charge of 25p per mile (including VAT) for additional miles. For a three-year lease, this equates to a total allowance of 30,000 miles, while a five-year lease for Wheelchair Accessible Vehicles offers 50,000 miles. Users will pay for any extra miles at the end of their lease.
The scheme explained that this reduction aligns with actual usage patterns: 'We're also reducing the number of miles included in the lease. So it makes sense to update tyre replacement at the same time.'
Reason for Changes
These updates are driven by a VAT and Insurance Premium Tax change effective July 1, 2026, which increases costs for the scheme. To maintain sustainability, the organisation said it must make significant adjustments. Current leaseholders will not be affected; only new applications from July 1, 2026 onward will be subject to the revised terms.
