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If you are an existing Motability customer, the Government’s plans to replace the Disability Living Allowance (DLA) for all recipients aged 16 to 64 with a new benefit called Personal Independence Payment (PIP), from 8 April 2013, may affect your eligibility to join the Scheme.
PIP and the Motability Scheme
The Motability Scheme will work with PIP in the same way as it does with DLA. Motability will continue to lease cars, powered wheelchairs and scooters to disabled people who receive either:
If you are an existing DLA recipient who is awarded the enhanced rate of the mobility component of PIP, you should not experience any disruption to your Motability lease as you move from benefit to the other.
If you are an existing DLA recipient who has not received the enhanced rate of the mobility component of PIP, you will not be eligible to use the Motability Scheme. If this happens:
Customers will be able to appeal to the DWP if they disagree with the decision. However, DWP will not continue to make DLA payments while an appeal is being processed and so Motability will not be able to leave the vehicle with you. If the appeal is successful, you will of course be eligible to re-join the Scheme.
Source: http://www.motability.co.uk/about-us/news-and-information/personal-independence-payment (link opens in a new window)
Further information on PIP:
UPDATE Factsheet: The Welfare Reform Act & changes to the benefits system
Department for Work and Pensions: http://www.dwp.gov.uk/policy/disability/personal-independence-payment/ (link opens in a new window)