DWP PIP and DLA claimants lose £750 from January as profit scrapped | Personal Finance | Finance | EUROtoday

People claiming Personal Independence Payment (PIP) and Disability Living Allowance (DLA) from the Department for Work and Pensions (DWP) will lose a £750 profit from January.

A one-off cost of £750 was given to individuals with disabilities to assist them get a model new automobile on the Motability Scheme, however the New Vehicle Payment has now been scrapped.

It was launched to assist profit claimants handle with the growing worth of latest vehicles and was paid as a lump sum in the direction of an advance cost on a brand new car.

Mobility autos can be found to individuals on the upper fee mobility parts of PIP and DLA, or Adult Disability Payment (ADP) and Child Disability Payment (CDP) for these in Scotland. Those on the veterans’ advantages Armed Forces Independence Payment and War Pensioners’ Mobility Supplement additionally qualify.

Under the Motability Scheme, if the automobile you selected had an advance cost Mobility would ship £750 to your vendor to place in the direction of this price. If the advance was greater than £750 you then’d must pay the distinction, and if it was lower than £750 you then’d be despatched the remainder of the money after you bought your new automobile to spend the way you selected.

The cash may solely be used in the direction of the price of your automobile’s advance cost, however couldn’t be used to pay for adaptions or elective extras.

The New Vehicle Payment was as a consequence of finish on December 31, 2024 for brand spanking new prospects, however the deadline was prolonged till January 3, 2025 to present claimants the prospect to order if automobile dealerships have been closed over Christmas.

This deadline has now handed which means PIP and DLA claimants who order a brand new automobile will not qualify for the £750 money.

In a press release, Motability warned: “Anyone who orders their first car or Wheelchair Accessible Vehicle (WAV) by 3 January 2025 will qualify for the £750 New Vehicle Payment.

“If you order your first vehicle from 4 January 2025, you will not be eligible for this payment.

You do not have to collect your vehicle by 3 January 2025, but you must have completed your order with your dealer by this date. You’ll only get this payment once, not every time you get a new vehicle.”