Motability: Taxation

Summary

To ask the Chancellor of the Exchequer, what assessment she has made of the impact of changes to tax treatment affecting the Motability Scheme from 1 July 2026 on the affordability of new leases for disabled people.

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Timeline

1. 18 May 2026

   Written question

   To ask the Chancellor of the Exchequer, what assessment she has made of the impact of changes to tax treatment affecting the Motability Scheme from 1 July 2026 on the affordability of new leases for disabled people.

   Source: Commons

2. 27 May 2026

   Answer

   At Budget 2025 the government announced tax changes to the Motability scheme which will save over £1 billion over the next five years. The VAT relief for top-up payments made to lease more expensive vehicles will be removed for new leases from July 2026, ...

   Source: Written answer

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• · Treasury · Answering body

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