The Short Answer
Three Motability rules decide most extra costs: the mileage allowance and its excess charge, the Drive Smart telematics box where it applies, and the condition of the car when it is returned. A lease ordered from 1 July 2026 includes 30,000 miles over three years, and each extra mile costs 25p. Drive Smart has been paused for all customers since 14 May 2026. A car returned in good condition earns a £250 Good Condition Payment on a three-year lease. Leases ordered before July keep their original mileage terms.
Key facts about the Motability Scheme rules in 2026, each with its source and the date it was checked.
| Fact | Figure | Source | Checked |
|---|---|---|---|
| Mileage allowance, orders from 1 July 2026 | 30,000 miles over 3 years; 50,000 over 5 years for a WAV | Motability, Changes to mileage | 30 September 2026 |
| Excess mileage charge | 25p a mile, or 21p with VAT relief | Motability, Changes to mileage | 30 September 2026 |
| Drive Smart black box | Paused for all customers since 14 May 2026 | Motability, An update on Drive Smart | 30 September 2026 |
| Good Condition Payment | £250 for a 3-year lease; £350 for a 5-year lease | Motability, Good Condition Payment | 30 September 2026 |
| Named drivers | Up to 3 | Motability, Your drivers | 30 September 2026 |
| Time to return the car when the allowance ends | Up to 8 weeks | Motability, If your allowance ends | 30 September 2026 |
Last checked:
What Are the Motability Black Box (Drive Smart) Rules?
The Motability black box rules are on hold: Motability paused Drive Smart, its telematics device and app, for all customers from 14 May 2026. The Scheme itself is one of the entitlements listed on the mobility benefits hub. Drive Smart is a small device fitted in the car that connects to a phone app. It scores speed, braking, acceleration and cornering each week, with up to £160 a year in shopping rewards.
Motability's update of 14 May 2026 set out what the pause means:
- From 22 May 2026, customers were removed from Drive Smart unless they had chosen to keep it.
- Customers who wanted to keep it had to say so by 21 May 2026, using the form in their email.
- Fitted Drive Smart boxes were deactivated from 22 May 2026, with no action needed.
- Journey data already collected is kept in line with Motability's data and privacy policy.
Motability says it will bring Drive Smart back only when it is confident the experience meets customers' needs, and will "give you plenty of notice if it will still apply to your lease". Customers who opted in remain under the Drive Smart terms. The device must be fitted and the app registered within 10 days. Two red weekly scores in a row, or four in 12 months, allow Motability to remove a driver from the insurance and end the lease. Motability states that usage alone will never give a red score, and that an adaptation does not automatically affect it.
A separate tracker rule sits in the drivers' terms. Where none of your named drivers lives at the disabled person's address, Motability may fit a location tracker, and says it will talk to you about this first.
Last checked:
What Is the Motability Mileage Allowance?
The Motability mileage allowance for a lease ordered from 1 July 2026 is 30,000 miles over three years, an average of 10,000 miles a year. A new five-year lease on a wheelchair accessible vehicle includes 50,000 miles. Leases ordered before 1 July 2026 keep their allowance, and customers paid by Social Security Scotland moved to the new terms for orders from 1 September 2026. For a three-year lease the allowance is the same whichever of the Motability cars you choose.
Miles above the allowance are paid at the end of the lease: 25p a mile including standard-rate VAT, or 21p where the lease has VAT relief. Motability says the charge covers the extra distance, the insurance for it and support for higher-mileage customers. It also states that customers drive around 7,500 miles a year on average, and that 3 out of 4 already drive below the new limit.
Customers who need more miles for their own healthcare, education or employment can ask for additional support, priced in bands:
| Miles in a year | Cost per mile | Condition |
|---|---|---|
| First 10,000 (the allowance) | Included | 3,000 of these are treated as healthcare, education or employment travel |
| Next 5,000 agreed miles | 10p | Agreed in advance, with evidence, for the disabled person's own journeys |
| Agreed miles above 15,000 | 0p up to an agreed limit | Agreed in advance, with evidence |
| Miles above the agreed level | 25p | Any use |
| Most rural postcodes | Up to 3,000 extra miles a year added | Motability checks the postcode and contacts eligible customers |
Last checked:
Holiday and leisure travel is not counted towards additional support. Motability considers a request only where more than 3,000 miles a year are needed for those three purposes.
What Is the Good Condition Bonus?
The good condition bonus, which Motability calls the Good Condition Payment, is £250 for a three-year lease and £350 for a five-year lease. The amount stays the same if the lease is extended. Motability builds the money into the cost of the lease and returns it when five conditions are met:
- The car has been looked after, with servicing and repairs done before it goes back.
- The parcel shelf, both sets of keys and any charging cable are returned with it.
- The car has a valid MOT in England, Scotland or Wales. In Northern Ireland an MOT is due once the car is four years old, so it applies only to an extended lease.
- Any debts or charges are settled. A debt smaller than the payment is taken from it first.
- The whole lease is completed. A lease ended early does not qualify.
Motability states that it expects wear and tear, "including minor dents, scratches or damage caused by wheelchairs or other mobility aids". The payment is sent automatically: by bank transfer within 7 days of return, or by cheque within 28 days.
Last checked:
Who Can Drive a Motability Car?
Up to three named drivers can drive a Motability car, and anyone not named on its insurance cannot, even with their own fully comprehensive cover. Drivers need a full UK or EU licence, or a provisional licence with a full UK licence holder beside them. Drivers under 25 are limited to petrol, diesel or hybrid cars in insurance group 16 or lower with 120 BHP or less, or electric cars in group 21 or lower with 140 BHP or less. Only one driver under 21 is allowed, and that driver must live at the disabled person's address.
An emergency driver can be added for up to 5 days, 4 times a year. Anyone disqualified in the last 5 years cannot drive the car, and new penalty points must be reported to Direct Line Motability on 0300 037 3737. Insurance for the named drivers and servicing are part of the lease; who qualifies for the Scheme is covered in Motability and PIP.
What Changed in 2026?
Five dated changes in 2026 shape the lease rules, each announced on motability.co.uk.
- 26 March 2026: Motability's chief executive set out the Scheme changes.
- 14 May 2026: Drive Smart paused for all customers, with removals from 22 May.
- 1 July 2026: VAT and Insurance Premium Tax apply to most new leases. New orders take the 30,000-mile allowance, the 25p excess charge, tyre replacements within fair use and a £22 fee for a VE103 certificate for travel abroad.
- 1 September 2026: the new terms apply to orders from customers paid by Social Security Scotland.
- 1 October 2026: the next quarterly prices are published.
Price and VAT changes are followed in the site's PIP news briefing on the quarterly price list.
What Happens to the Car If Your PIP Award Changes
If your PIP award ends or falls below the enhanced mobility rate, the lease ends and you have up to eight weeks from the last allowance payment to return the car. Motability refunds any Advance Payment pro rata and offers a support package after an unsuccessful DLA to PIP reassessment. The enhanced rate that pays for a lease is £80.00 a week in 2026/27, and both mobility amounts are set out under mobility rates.
Last checked:
Check Your Mobility Award
The Motability Scheme needs the enhanced rate of the PIP mobility component, which takes at least 12 points across the two mobility activities under regulation 6 of the PIP Regulations 2013. You can work out your mobility points against the official descriptors before a claim or a review.