Written Question·Department for Work and Pensions·UIN 96073

Motability: Taxation

Tabled: 1 December 2025
Answered: 16 December 2025
Named Day

Question

Neil Duncan-Jordan

LabourPoole

To ask the Secretary of State for Work and Pensions, what assessment he has made of the potential financial impact of the proposed (a) application of VAT on payments for higher value vehicles and (b) removal of the Insurance Premium Tax exemption for vehi

Answer

Sir Stephen Timms
The package of reforms to the Motability Scheme announced as part of the Budget will ensure the Scheme delivers fairness for the taxpayer, while continuing to support disabled people. The Scheme will continue to offer a choice of affordable vehicles to me...

This is an extract from the Parliament API. Search the full answer on Parliament.uk (UIN 96073) →