Motability customers in Scotland are facing a major change to their leases that begins on 1 September 2026. The rules shift mileage caps, tyre allowances and fees, and will affect anyone whose allowance comes through Social Security Scotland.
When the new Motability rules start in Scotland
The updated terms will apply to orders placed on or after 1 September 2026. Scotland had held off while negotiating the Accessible Vehicles and Equipment Scheme (AVES), so these reforms arrive later than the rest of the UK.
Why the overhaul is happening
The government set the changes in motion after the 2025 Autumn Budget. The stated aim is to raise more than £1 billion over five years. Policy makers say the adjustments will bring the scheme in line with longer-term funding goals.
Who is affected: the allowances covered
These rules apply to Motability customers using payments issued by Social Security Scotland. That includes people receiving:
- Scottish Adult Disability Living Allowance (SADLA)
- Adult Disability Payment (ADP)
- Child Disability Payment (CDP)
Current lease benefits for orders before September 1, 2026
Customers who placed orders before the cut-off keep the existing terms. Key features include generous mileages and few overseas fees.
- Three-year lease: 60,000 miles
- Three-year lease: up to eight tyre replacements
- Three-year lease: 5p excess mileage fee (plus standard-rate VAT)
- Three-year lease: no VE103 admin charge when taking the car abroad
- Five-year WAV lease: 100,000 miles
- Five-year WAV lease: up to 10 tyre replacements
- Five-year WAV lease: 5p excess mileage fee (plus VAT)
- Five-year WAV lease: no VE103 admin charge for EU travel
New lease terms for orders on or after September 1, 2026
Motability has set stricter allowances for new orders. Several elements change at once: mileage limits are smaller, excess charges jump, and an admin fee appears for taking vehicles into the EU.
- Three-year lease: 30,000 miles
- Three-year lease: up to six tyre replacements, including up to four for damage
- Three-year lease: 25p excess mileage fee (including standard-rate VAT)
- Three-year lease: £22 VE103 admin fee for EU travel
- Five-year WAV lease: 50,000 miles
- Five-year WAV lease: up to 10 tyre replacements, including up to six for damage
- Five-year WAV lease: 25p excess mileage fee (including VAT unless VAT relief applies)
- Five-year WAV lease: £22 VE103 admin fee for trips to the EU
How Motability describes the impact
The scheme accepts the new mileage caps are one of the biggest changes. It says customers who travel substantially more than their allowance may be able to seek help with extra-mile costs.
Orders, existing leases and what stays the same
Existing contracts remain protected. Only orders placed on or after the start date will carry the new terms. Motability is clear that current leases will not be retrospectively altered.
Practical steps for customers and carers
- Check your lease start date to know which rules apply.
- Estimate annual mileage now to see if the new limits will affect you.
- Ask Motability about potential support if you routinely exceed allowances.
- Confirm whether VAT relief applies to your excess mileage fees.
- If you travel to the EU, factor in the new £22 VE103 admin charge.
How Scotland’s delay and AVES played a role
Scotland negotiated alternative arrangements under AVES, which paused the rollout of identical Motability terms. That delay explains why changes hit the rest of the UK earlier and Scotland later.
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