Motability: Insurance and VAT

(asked on 17th June 2026) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what discussions she has had with Motability on the Accessible Vehicles and Equipment Scheme following the changes to VAT and Insurance Premium Tax reliefs for qualifying motor vehicle leasing schemes.


Answered by
Dan Tomlinson Portrait
Dan Tomlinson
Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
This question was answered on 25th June 2026

Both prior to and following the announcement of tax changes to the Motability Scheme at Budget 2025, the Government has engaged closely with the Motability Foundation to understand in depth how tax changes would impact the Motability Scheme and their customers.

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