Plaid Cymru raised concerns as it was confirmed anyone busting the limit will pay 25p per mile
MP Liz Saville Roberts asked the DWP about the impact Motability mileage being cut in half(Image: Parliament TV)
The Department for Work and Pensions has spoken out after Motability slashed the number of miles people can do in cars. The charity has halved the annual mileage allowance before motorists face an excess charge.
Motorists will now be allowed to travel 10,000 miles before paying 25p on any miles driven beyond that limit. Previously, the allowance was 20,000 miles with an excess charge of 5p per mile.
In a new intervention on the issue Plaid Cymru MP Liz Saville Roberts asked Secretary of State for Work and Pensions, Pat McFadden: “What assessment has he made of the impact of the reduction in mileage allowance under the Mobility scheme from 1 July 2026 on disabled people living in rural areas.”
Sir Stephen Timms, Minister of State for Social Security and Disability, said it was believed that 25 per cent of Motability users would be adversely impacted by the change. He said: “Responsibility for the terms and administration of the Scheme sits with Motability Foundation and its Board of Governors.
“The changes to the leasing package were announced on 26 March and include reducing the mileage allowance from 20,000 per year to 10,000 per year. Changes only apply to new leases and there are no changes to the mileage allowance of existing leases. Motability Foundation have advised that approximately 75% of customers on the Scheme already use less miles than the proposed new mileage allowance. They have acknowledged that there will be an impact on some customers and are considering if the impact can be mitigated in some limited circumstances.”
This week the service has introduced new technology for all new drivers and anyone who has a person under 30 on the lease. Drivers have to fit black boxes to their cars and download an app to the phone of anyone who drives it. Cars will be equipped with telematics technology that monitors driving behaviour, including speed and braking patterns, generating a weekly assessment of green, amber or red.
Drivers accumulating four red assessments within a 12-month period risk being removed from the Motability scheme. A trial in Northern Ireland of the technology last year saw cars removed from 300 people. If someone gets a ‘red’ week warning, the scheme has now confirmed that if they then get the same on two consecutive weeks they face losing their vehicle.
Motability advice says: “Where a driver records a red week, both the customer and the relevant driver will receive feedback. If the driver continues to drive dangerously, despite the feedback, for two consecutive weeks, or four over the course of 12 months, then they may be removed from the Scheme.”
Motability has confirmed it will record and transmit a driver’s precise location, direction and current speed; journey duration; braking and cornering; mobile phone usage, including phone model and ID and operating system, while driving; and device background location via network and GPS.
In a new response Motability confirmed that ‘high usage’ in a week can trigger a red alert but insisted there is ‘no limits’ on numbers of journeys. It added that if high usage alone does trigger a red score ‘it will not impact the lease’.
It said the Drive Smart scheme, which began on April 13, ‘will not impact a customer’s lease if they are driving safely regardless of how many journeys they take, how long they drive for or at what time they drive.’
It is also worth saying that Drive Smart is a wedge that sits in the car windscreen paired with a phone app, not a black box location tracker.
A spokesperson for Motability Operations, the company that runs the Motability Scheme, said: “The Motability Scheme was created to keep disabled people mobile. Those using Drive Smart do not have limits placed on how many journeys they make, for how long they travel or at what time they drive. However, from industry data we know that these factors do contribute to the likelihood of an accident.
“ While high usage can trigger a red week in a small number of cases, where it is the only reason for a red score, it will not impact the lease. Drive Smart does not penalise vehicle use but has been designed to use telemetry data to support and reward safer driving. We continue to listen to customer feedback about Drive Smart and are continually reviewing how it works to make sure it’s as effective as possible.”
After receiving the device, which is small enough for letterbox delivery, users will get an email explaining how to register via a smartphone app. Motability has stated: “Just so you know, you’ve got 10 days to complete setup and start using the app.”
In addition to the black box, Motability has brought in recommendations that motorists should rest every hour and attempt to limit themselves to six trips daily. Going beyond this will trigger a red score for the motorist, although it won’t impact their lease. The charity has also halved the annual mileage allowance before motorists face an excess charge.
Motorists will now be allowed to travel 10,000 miles before paying 25p on any miles driven beyond that limit. Previously, the allowance was 20,000 miles with an excess charge of 5p per mile.
Motability says its average motorists cover 7,500 miles annually and Scotland’s version of the scheme was still reviewing the cap. A red week is triggered by persistently dangerous driving – such as extreme speeding. A single isolated incident, such as emergency braking or a red journey, will not result in a red week on its own.
