Motability charity criticized for luxury vehicle incentives

A charity called Motability has given out over £500 million to benefits claimants to encourage them to buy new cars. Each claimant received about £750, which could go straight into their bank accounts or help pay for a fancier model. Since 2022, Motability paid £540.9 million in "new vehicle payments" to nearly 748,000 people. This payment scheme helped Motability grow its customer base to a record 815,000 last year. In fact, about one in five new cars sold in Britain now comes from Motability. Motability, founded in 1977 to assist people with disabilities, has been criticized for holding over £4 billion in reserves while also receiving around £2.5 billion annually from the government. Concerns have been raised about the increasing number of people using the scheme for conditions not traditionally seen as physical disabilities. For example, claimants can exchange their weekly disability benefits, worth £75.75, plus an upfront fee, for high-end cars like a £50,000 BMW or Mercedes. Research indicates that the number of people eligible for enhanced disability benefits has risen dramatically in recent years. Critics, including the Taxpayers' Alliance, argue that taxpayers are unfairly funding this scheme and call for government action to review and control it. Meanwhile, a Motability official stated that profits from car sales are reinvested into the program to support disabled individuals' transport needs.