Disabled people need sustainable mobility choices

BUDGET 2025: Mobility in Motion welcomes continued VAT relief for disabled drivers and accelerates plans for adapted-car ownership, says Matt Fieldhouse

The Mobility in Motion demonstration car

Mobility in Motion has welcomed yesterday’s Budget confirmation that disabled people will continue to benefit from the important VAT relief available on adapted vehicles, a decision that protects affordability for those who rely on their vehicle for independence.

Along with the vehicle itself, the Budget announcement has also raised awareness that all disabled drivers who meet the eligibility criteria can continue to benefit from VAT exemption on the specific vehicle adaptations, regardless of whether they qualify for or use the Motability Scheme.

Under current UK law, people with a qualifying disability can receive VAT relief on both the cost of the vehicle and adaptations required to make a vehicle suitable for their needs. The chancellor confirmed yesterday that this support will remain in place, providing reassurance to hundreds of thousands of disabled people who depend on adapted vehicles for work, education, healthcare and daily life. The government’s decision also reflects a wider recognition of the vital role this support plays in maintaining disabled people’s independence and freedom.

This is the right decision for disabled people. The continuation of VAT relief brings welcome stability and ensures that those who rely on adapted vehicles can continue to access essential mobility support. Maintaining this relief is vital, and we are pleased to see the government recognise its importance.

Despite this positive news, wider affordability pressures remain. Vehicle prices and everyday living expenses continue to rise, affecting many disabled drivers, passengers and their families.

Yesterday’s announcement gives short-term certainty, but it doesn’t change the broader picture. Disabled people are still facing significant financial pressures. What they need is long-term, sustainable mobility choices that offer flexibility and security, and that’s where Mobility in Motion is focusing its efforts.

The need to protect affordable mobility

Yesterday’s updates to the Motability Scheme and wider Budget measures have brought renewed attention to the financial pressures facing disabled drivers. While Motability continues to work hard to keep the scheme affordable and sustainable, many customers are still feeling the strain of rising living and vehicle costs.

The Budget also included a positive development for future electric-vehicle affordability. The government confirmed that the Vehicle Excise Duty (VED) Expensive Car Supplement threshold will increase to £50,000 for zero-emission vehicles from April 2026, applying to ZEVs registered from April 2025 onwards. This increase ensures that more adapted and suitably equipped electric vehicles will remain exempt from the supplement, giving disabled drivers greater choice and more accessible pathways into cleaner, future-proof mobility solutions.

Mobility in Motion also welcomed the announcement that the Motability Scheme will place a renewed focus on working with UK manufacturers, a direction that aligns with early feedback from its own research. Early insights from Mobility in Motion’s nationwide survey show that the majority of disabled drivers favour more UK-made vehicle options, suggesting strong market appetite for this shift.

Motability has an important and longstanding role in making independent mobility possible for disabled people. The latest changes show just how challenging the wider market has become. Rather than focusing on specific vehicle categories, this is really about ensuring disabled drivers continue to have a strong range of affordable options.

The decision to raise the VED Expensive Car Supplement threshold for zero-emission vehicles is another welcome step, giving disabled drivers more room to choose the right electric vehicle for their needs, particularly those who require specialist adaptations. We also welcome Motability’s commitment to work more closely with UK manufacturers, our research indicates this is exactly what many disabled drivers want to see.”

Adapt and Drive

Mobility in Motion is advancing its new adapted-car purchase plan, Adapt and Drive, providing disabled drivers the option to own their vehicle and adaptations through a tailored, supportive finance structure.

Lease schemes work brilliantly for many, but they don’t suit everyone. Some people want to own their vehicle, keep it longer, personalise it or choose adaptations not available on current schemes. Adapt and Drive is being created to meet those needs.

To ensure the plan reflects the real-world needs of disabled drivers, Mobility in Motion is conducting extensive sector research, community engagement and professional consultation.

Putting the community at the centre of this development is non-negotiable. We’re listening first, designing second. The voices of disabled drivers, their families and mobility experts will shape every detail of Adapt and Drive. 

Early survey insights also underline just how tight budgets already are. 85% of respondents selected the lowest monthly payment bracket (£250–£500) when asked what they could realistically afford for an adapted vehicle, a clear indication of the financial pressures many face.

Our survey results highlight the reality for most disabled drivers: budgets are already incredibly stretched. With such a high proportion choosing the lowest payment bracket, it’s clear that affordability remains the biggest barrier. Motability’s efforts to manage costs are therefore more important than ever, and we need to support approaches that protect and, where possible, expand accessible mobility choices.” 

Tips for disabled drivers considering their future mobility options

1. Review your current Motability lease or car finance early: avoiding last-minute decisions can save money.
2. Make sure your adaptations are working well for you: the right equipment keeps you mobile and confident.
3. Consider long-term needs: ownership may better suit drivers who keep a vehicle for many years.
4. Speak to mobility advisors: professional advice can help identify the most cost-effective route.
5. Share your views: Mobility in Motion’s survey is shaping the next generation of adapted-vehicle solutions.

Call to action

The Mobility in Motion survey has now been live for just over two weeks, and the insights coming in are already influencing discussions at Mobility in Motion. The more voices they hear from, the better they can shape the future of accessible vehicle ownership. Mobility in Motion invites charities, community groups, adaptation specialists and disabled drivers to contribute to shaping the Adapt and Drive product.

Matt Fieldhouse is group managing director at Mobility in Motion