Written Question·Department for Work and Pensions·UIN 95508

Motability: VAT

Tabled: 28 November 2025
Answered: 8 December 2025

Question

Neil Duncan-Jordan

LabourPoole

To ask the Secretary of State for Work and Pensions, what assessment he has made of the potential impact of making advance payments for a qualifying vehicle under the Motability Scheme taxable at the standard rate of VAT on the level of (a) poverty and (b

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...

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