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The Independent UK
The Independent UK
National
Karl Matchett

Billion-pound car scheme becomes lightning rod in welfare row

  • Motability, a scheme which sees people with disabilities lease a car using their benefits, is facing scrutiny over its profits and executive pay amid welfare cuts.
  • The company paid out £100.8 million in salaries in 2024, with the highest-paid director receiving a total package worth £747,000.
  • The scheme has grown significantly, with over 815,000 users, raising questions about its affordability and potential misuse as the Government slashes £5 billion from the welfare budget.
  • Motability CEO Andrew Miller says most of its cars are economy, not luxury, models and its users are entitled to use their benefits in this way.
  • He says the scheme, which grew its revenue to £6.9bn in 2024, removes thousands of ineligible users each year, and that for every £1 spent via disability allowances, £1.50 is returned to the UK economy.
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