Motability Scheme and Blue Badge eligibility could be impacted by DWP PIP mobility review

The Department for Work and Pensions (DWP) has confirmed that the eligibility for the mobility part of Personal Independence Payment (PIP) will be reviewed alongside the daily living element, as part of the UK Government's welfare reforms. The Minister for Social Security and Disability, Sir Stephen Timms, will co-produce the review with disabled groups and charities, with completion expected by Autumn next year.

Those PIP claimants who are awarded the higher rate of the PIP mobility component can transfer some or all of the payment to lease a new car, wheelchair-accessible vehicle, scooter or powered wheelchair through the Motability Scheme, reports the Daily Record.

During DWP oral questions in Parliament on Monday, Conservative MP Danny Kruger urged the UK Government to "consider the benefits to which PIP is a gateway, such as Motability, disability premiums, Council Tax discounts and Blue Badges" and implored Sir Stephen to "promise at least that those entitlements could come down".

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The East Wiltshire MP told the Commons: "I am sorry to hear that there are still no plans to reduce spending on Personal Independence Payments. He [Sir Stephen Timms] has said that he is collaborating with people who would not be working with him on his review if there were to be any reductions in the levels of benefit or eligibility.

"Given that veto on cuts to PIP, I implore him again to consider the benefits to which PIP is a gateway, such as Motability, disability premiums, council tax discounts and blue badges. Will he promise at least that those entitlements could come down?"

Sir Stephen responded: "We have made it clear that we will co-produce our review of the PIP assessment with disabled people and representatives of disability organisations.

"The review will cover the assessment for the mobility component, which leads on to the Motability scheme, and other entitlements to which PIP is a gateway."

The most recent data from Motability Operations - the firm operating the transformative Motability Scheme - reveals there are currently 815,000 customers nationwide. Presently, more than 3.2 million Blue Badge permit holders exist across the UK.

PIP explained

PIP assists people aged over 16 and below State Pension age with additional financial expenses for more than 500 health conditions or disabling circumstances, which could be physical, sensory, mental, intellectual or cognitive, or any mixture of these.

Recent DWP statistics indicate that over 3.7 million people throughout Great Britain were claiming PIP at the end of April.

A successful PIP application now provides between £29.20 and £187.45 weekly to assist with extra costs related to daily living and mobility requirements. However, a PIP award may allow claimants to access means-tested benefits even if they've previously been refused, and according to guidance in the PIP Handbook on GOV.UK, it might also be possible to backdate certain benefits to when their PIP award began.

This is because eligibility for PIP can serve as a gateway or passport to other benefits, such as Carer's Allowance and schemes run by other departments, such as the Blue Badge. The guidance states that for many benefits and schemes there are additional qualifying conditions, but for some, including the Blue Badge, there are alternative routes to accessing the benefit that don't depend on a specific rate or component of PIP.

The guidance states: "For DWP benefits, Housing Benefit and Council Tax Reduction, we share information to enable claimants to automatically access other disability benefits and services.

"However, claimants should inform other benefit offices about their entitlement to make sure they're paid the correct amounts, particularly if there are any changes in their circumstances and awards."

Benefits which could be accessed with a PIP award

While you may not qualify for any or all of these benefits, it’s worthwhile checking to make sure you are not missing out on additional support.

• Access to Work
• Carer’s Allowance / Carer Support Payment
• Carer’s Credit
• Christmas Bonus
• Council Tax Reduction
• Employment and Support Allowance - only if you get the PIP daily living component
• Housing Benefit
• Income Support‎
• Jobseeker’s Allowance
• Pension Credit - only if you get the PIP daily living component
• Universal Credit

You can read the full PIP Handbook on GOV.UK here.

Where to seek help

If you've already claimed PIP or have a general question about your award and what else you might be eligible to claim, you should ring the Disability Service Centre. They can be contacted for advice or information about a claim you've already made for PIP, Disability Living Allowance (DLA) or Attendance Allowance. Complete contact details including telephone numbers can be located on the GOV.UK website.