DWP confirms Motability to cut mileage allowance to 10,000 miles with 25p per mile fees from July 2026
By
Ben Hurst
Hand-rolled, kettle-boiled, baked to perfection. Worth every minute at the bakery.
Summary
Motability has announced that from July 1, 2026, new car lease contracts will reduce the approved mileage allowance to 10,000 miles before incurring a 25p per mile charge for additional miles. The Department for Work and Pensions has provided an update on these changes, which affect disabled individuals who lease vehicles through the Motability scheme. This represents a significant reduction in mileage allowance and introduces new fees for exceeding the threshold.
Key quotes
· 3 pulledBig cuts are being made to how far people are allowed to go before incurring 25p per mile rates
From July 1 2026, new contracts will permit drivers to cover 10,000 miles before incurring a 25p charge on any additional miles travelled beyond that threshold
A new update has been given by the Department for Work and Pensions after Motability announced plans to slash the approved mileage for leases - with big new fees per mile from July 1
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