Highlands MSP Urges Scottish Government to Rethink Motability “Benefit Cut”

Morven-May MacCallum MSP has written to the Cabinet Secretary for Social Justice and Housing calling for the Scottish Government to look again at its decision to allow changes to the Motability Scheme which will halve the standard mileage allowance available to disabled people.

The Motability Scheme allows disabled people to lease a car, wheelchair accessible vehicle or scooter using their mobility allowance. In Scotland the scheme operates under a separate agreement known as the Accessible Vehicles and Equipment Scheme (AVES), meaning changes cannot be introduced without the agreement of Scottish Ministers.

Motability confirmed this week that discussions with the Scottish Government had concluded, and that the changes will apply to customers who receive their allowance from Social Security Scotland from 1 September 2026, eight weeks after they took effect in the rest of the UK.

Under the new terms, mileage on a three-year lease will fall from 60,000 miles to 30,000. On a five-year Wheelchair Accessible Vehicle lease it will fall from 100,000 miles to 50,000. The changes follow the UK Government's decision at the 2025 Autumn Budget to apply VAT and Insurance Premium Tax to Motability leases. The new terms apply only to orders placed on or after 1 September. Existing leases are unaffected.

The Highlands and Islands Liberal Democrat MSP has described the changes as a "benefit cut” that will have a disproportionate effect on disabled people, particularly those who reside in rural communities, who rely on their cars for their independence.

Commenting, Scottish Liberal Democrat Morven-May MacCallum MSP said:

“These changes are effectively a benefit cut for disabled people in Scotland and I am disappointed to learn that the Scottish Government has agreed to let these changes go ahead instead of standing firm on their commitments to disabled people and rural communities.

"I have written to the Cabinet Secretary for Social Justice and Housing to better understand what information was used before these changes were agreed. I am ultimately calling on the Scottish Government to review this decision and find a more suitable way forward that adequately recognises the importance of this scheme to the independence of disabled people across the country.

"Disabled people in my region did not make the decision that drove up the cost of this scheme, and they should not be the ones to carry its consequences simply because of where they live.”