DWP statement as Motability mileage allowance cut in half

DWP statement as Motability mileage allowance cut in halfThe Department for Work and Pensions has responded after Motability halved the annual mileage allowance with users facing a 25p charge on every mile beyond thatCommentsMoneyBen Hurst23:26, 17 Apr 2026View ImageSir Stephen Timms, Minister of State for Social Security and Disability said a quarter of Motability users would be hit by the change(Image: Parliament TV)The Department for Work and Pensions has responded following Motability's decision to dramatically reduce the mileage allowance for car users. The charity has cut the annual limit in half before drivers incur additional charges.‌Drivers will now be permitted to cover 10,000 miles before facing a 25p charge on every mile travelled beyond that threshold. The previous allowance stood at 20,000 miles with a surcharge of 5p per mile.‌In a fresh parliamentary intervention on the matter, Plaid Cymru MP Liz Saville Roberts questioned 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."‌Tory Andrew Snowden asked Mr McFadden: "What assessment he has made of the potential merits of exemptions and higher mileage allowances for Motability Scheme users with significant healthcare travel needs, including applying the previous average annual allowance of 12,000 miles per annum."Sir Stephen Timms, Minister of State for Social Security and Disability, revealed that approximately 25 per cent of Motability users would be negatively affected by the alteration. He stated: "Responsibility for the terms and administration of the Scheme sits with Motability Foundation and its Board of Governors.READ MORE: Motability warns drivers of ‘2 week rule’ which could see them lose cars‌"The changes to the leasing package were announced on 26 March and include reducing the mileage allo...