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The Independent UK
The Independent UK
David Lynch

Minister supports banning luxury cars for benefits claimants

Downing Street has stated that ministers will "always scrutinise spending of taxpayers’ money", after the Transport Secretary suggested she would be comfortable with restricting access to "luxury" cars via a vehicle leasing scheme for disabled people.

The Motability scheme currently enables personal independence payment claimants with significant mobility challenges, who receive the higher mobility rate, to lease a new vehicle.

However, Chancellor Rachel Reeves is reportedly considering alterations to the programme, following concerns that some beneficiaries have been able to obtain high-end models such as Mercedes and BMWs.

Transport Secretary Heidi Alexander was questioned about the potential scaling back of the scheme during her broadcast studio appearances on Monday.

She told LBC: “I think that the Motability scheme provides really important support to people who do have mobility needs. I think some of the cars that people have been able to access… there’s some luxury models.

“I think we need to make sure that the scheme is always going to be there for the people who genuinely need it, and we also need to make sure that we’re offering the taxpayer value for money in the way that that scheme operates, and if that means that models such as really high-end cars, Mercedes, BMW, aren’t available on that scheme, then that’s something I would be comfortable with.”

Transport Secretary Heidi Alexander suggested she would support premium car models being removed from the Motability scheme (Joe Giddens/PA)

Downing Street would not be drawn into commenting on Ms Alexander’s suggestion she would support premium car models being removed from the scheme.

“This is Budget speculation. I’m not going to get ahead of that,” the Prime Minister’s official spokesman said.

He added: “Clearly, we will always scrutinise spending of taxpayers’ money, and that is a guiding principle of the work we do as a Government.”

Several newspapers over the weekend reported that Ms Reeves plans to block who are people claiming sickness benefits from accessing the Motability scheme.

The Chancellor is also said to be considering ending access to high-end cars through the scheme, as well as top-of-the-range insurance and breakdown cover.

This is said to come from a concern that offering a premium driving experience to those using the scheme could undermine wider public confidence in the benefits system.

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