Personal Finance

DWP update on one-off £750 payment for PIP and DLA claimants


People on disability benefits have the option to trade all or part of their weekly mobility allowance for a range of new items. Through the Motability Scheme, they can put £75.75 towards a new car, Wheelchair Accessible Vehicle, scooter, or powered wheelchair.

At present, over 800,000 customers across the UK are enjoying the advantages of the scheme. Those eligible include individuals who receive the higher rate mobility component of Personal Independence Payment (PIP) and Disability Living Allowance (DLA).

However, it seems that some people may not be aware of the £750 payment available to those leasing a vehicle for the first time. This incentive, known as the New Vehicle Payment for cars and Wheelchair Accessible Vehicles, is a one-off bonus per customer.

Customers can choose to either direct the money to the dealer to help with an Advance Payment or to receive it in full after acquiring the vehicle.

Originally set to end for new customers on December 31, 2024, Motability Operations has now extended the deadline to January 3, 2025, according to the Daily Record.

A statement from the organisation explained: “This is to give you a final chance to order your first car if your dealer is closed over the festive period.” 

The January 3, 2025, cut-off date only applies to new customers, and those who have not yet received the payment will still be eligible when they next change their vehicle.

Customers can check their eligibility for the payment using the Motability Scheme’s online tool. The scheme, also known as the Accessible Vehicles and Equipment Scheme in Scotland, offers over 980 cars, including more than 50 with no advance payment required.

Additionally, Motability has introduced a new price list for October, allowing customers to lease a vehicle using their entire mobility allowance. Further details can be found on the Motability website, which states: “As manufacturers move their attention to electric vehicles (EVs), we’re able to bring more choice to the scheme.

“Their change in focus means that some petrol and many diesel models are being phased out.”

The most recent list features electric cars with advance payments below £1,000.

Included in the lease package is a brand-new vehicle, and for complete details about the Motability Scheme, people can visit its official website.



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