Introduced as part of the UK government’s Welfare Reform Act (2012), PIP is a benefit payment to assist people, aged over 16 and below State Pension age, manage the extra costs linked with having a disability, illness or mental health condition. Eligibility for PIP will not be affected by your income and savings, and you can receive it on top of other Employment and Support Allowances. If you receive the Enhanced Rate of the Mobility Component of PIP, you can lease a car through the Motability Scheme.
For people in England, Wales and Northern Ireland, PIP may be the first disability allowance they’ve ever received. PIP is gradually replacing the Disability Living Allowance (DLA). People who previously received DLA are being reassessed by healthcare professionals on behalf of the Department for Work and Pensions (DWP) to determine the level of financial support they need.
In the past, DLA was often awarded via self-assessment, however the PIP payment criteria are stricter – determined via an assessment, with money subsequently awarded according to a points system.
The PIP assessment is normally a face-to-face consultation to find out the level of support a person needs. A range of assessments are carried out by an independent, trained health professional, with points ranging from 0-12 recorded based on an individual's ability to carry out a range of activities.
Put simply, the more severe an individual’s needs are, the more money they will receive, though they do need to record enough points at the assessment to pass what the DWP calls the 'entitlement threshold’.
PIP is made up of 2 parts. Whether you get one or both parts (and how much money you’ll be awarded) depends on how severely the condition affects you (or the claimant).
Learn more about PIP, which applies in England, Wales and Northern Ireland, here.
If an individual is assessed and passes the 'entitlement threshold' to qualify for PIP, they will receive one of two rates: The Standard Rate or the Enhanced Rate. The Enhanced Rate of PIP is awarded to people who are severely limited in their ability to carry out the tasks in one or both of PIP’s components (the 'Daily Living' part and/or the 'Mobility' part).
The Enhanced Rate of the Mobility Component of PIP - the benefit that people with a disability who want to lease a Motability vehicle need - is currently worth £71.00 a week.
PIP money is usually paid into a person’s bank account every 4 weeks, is tax free and can be spent by the recipient on anything they like.
If a person qualifies for the Mobility Component of the PIP, the money can be spent on a Motability car, a Wheelchair Accessible Vehicle (WAV), a scooter or a powered wheelchair to help them get around.
If you want to lease a brand new car through the Motability Scheme, you need to have been awarded the Enhanced Rate of the Mobility Component of PIP and have 12 months or more remaining on your current award. If you currently receive this benefit you can choose to exchange it and use the money to drive a brand new car.
There are a wide variety of Motability deals available, including cars where you can use all of your total weekly allowance of £71.00, and some where you pay less than your allowance and get the difference back in your pocket! Check out this article to find out more.
If you’re interested in a new Motability car, search through all the different vehicles and Advance Payment deals available then get in touch with an accredited Motability specialist at a dealership near you to book a test drive and see if the car you like is right for you and your needs.
With Motability you get to choose a brand new vehicle every 3 years, complete with insurance for up to three named drivers, full breakdown assistance, regular servicing, maintenance and repairs at a local garage.
If you want to join the Motability Scheme you need to receive the Enhanced Rate of the Mobility Component of the Personal Independence Payment (PIP) or one of these qualifying government-funded Mobility Allowances:
If you live in Scotland, the disability allowance is now called the Adult Disability Payment (ADP). Like PIP, the ADP is additional money to help you if you have a disability that impacts your life. Just like in the rest of the UK, the payment is made up of 2 parts: daily living and mobility, and you may qualify for one or both elements.
Social Security Scotland started transfering people over to the new system in June 2022, and it is expected to take until 2024 to move everyone across.
To qualify for a new Motability car in Scotland, you need to receive the Higher Rate Mobility Component of Adult Disability Payment (ADP).
Learn more about ADP, which applies in Scotland only here.
Yes. If you feel a mistake has been made there is an appeals process that can be followed to try and overturn the DWP’s decision. To begin with, discuss it directly with the DWP and then make a formal appeal (which the government calls a ‘mandatory reconsideration’) to have your PIP score reviewed.
Motability’s all-inclusive 3 year / 60,000 mile car lease package includes:
Insurance cover for 3 named drivers is included.
The cost of servicing and maintaining your car is included.
Full breakdown cover provided by RAC Motability Assist is included.
Tyre and windscreen repair and replacement cover is included.
Motability will automatically tax the vehicle every year.
Many helpful adaptations are available at no extra cost.