The Department for Work and Pensions (DWP) has addressed concerns over Motability's decision to reduce the mileage allowance on new leases from 20,000 to 10,000 miles per year, with a 25p per mile charge for excess mileage from July 1, 2026. The changes, announced on March 26, also include a reduction in the number of free replacement tyres, sparking safety worries.
Liberal Democrat MP Edward Morello raised the issue in a written parliamentary question, asking about the impact on disabled people in rural constituencies in the South West. In response, Minister for Social Security and Disability Sir Stephen Timms stated that responsibility for the scheme's terms lies with Motability Foundation, which meets quarterly with the DWP. He noted that approximately 75% of customers already use fewer miles than the new allowance and that changes only apply to new leases.
Regarding tyres, Conservative MP Stuart Andrew questioned potential safety implications. Sir Stephen confirmed that from July 1, 2026, new orders will have reduced tyre replacement limits: up to six tyres on a three-year lease (maximum four for accidental damage) and up to ten on a five-year Wheelchair Accessible Vehicle lease (maximum six for accidental damage). He added that Motability will explain options if customers reach their limit.
Motability CEO Andrew Miller acknowledged the concerns, stating the changes were necessary due to sudden government-imposed costs, and that without them, average lease costs would have risen by £1,100. He emphasised that 75% of customers would be unaffected but recognised the challenge for others. Motability has pledged to announce an exceptions process before July 1, though no details have yet been released.
