Has the New Vehicle Payment Ended?

Hannah Brookes, content author
Hannah BrookesAutomotive Correspondent
Smiling man sitting in the driver's seat of a white car receiving car keys from a person outside the vehicle, representing a car purchase or rental transaction, relevant for used cars and new cars.
Smiling man sitting in the driver's seat of a white car receiving car keys from a person outside the vehicle, representing a car purchase or rental transaction, relevant for used cars and new cars.

Yes, for new customers. The £750 New Vehicle Payment closed to people joining the Motability Scheme after Friday 3rd January 2025. 

If you were already on the Scheme by then and haven’t received it yet, the end date doesn’t affect you. Here’s how the payment worked, who can still get it and how to keep your upfront costs low today. 

What Was the New Vehicle Payment? 

The New Vehicle Payment was a one-off payment to help customers with the rising cost of new cars. It was introduced in February 2022 at £250 and increased to £750 in March 2023. 

It applied to cars and Wheelchair Accessible Vehicles (WAVs). Customers leasing a scooter or powered wheelchair received a separate £100 New Product Payment instead. 

How It Worked 

You could send the payment straight to your dealership to go towards your Advance Payment, or receive it in full once you had your vehicle. If your Advance Payment came to more than £750, you paid the difference; if it was less, the Scheme sent you the balance after delivery. 

The payment was available once per customer. It couldn’t be used towards adaptations or optional extras. 

When Did It End? 

The payment was originally due to close to new customers on Tuesday 31st December 2024. The Scheme extended it by a few days, to Friday 3rd January 2025, so that customers whose dealership was closed over the festive period still had a chance to order. 

Can I Still Get It? 

Only if you ordered your first vehicle by Friday 3rd January 2025. If that’s you and you haven’t had the payment yet, you’ll receive it when you get your next vehicle. 

If you joined the Scheme after that date, the payment isn’t available. Our Motability Scheme specialists can check your circumstances if you’re unsure. 

Keeping Upfront Costs Low Today 

Without the New Vehicle Payment, choosing a car with a low or nil Advance Payment is the simplest way to avoid a large upfront cost. Since Wednesday 1st July 2026, Advance Payments on most new leases also include 20% VAT, so it pays to compare. 

The current price list includes over 60 cars with no or low Advance Payment. Start with our guides to Motability Scheme cars under £750, electric cars under £1,000 Advance Payment and the full Motability Scheme price list 2026. 

For a full rundown of this year’s lease changes, read Motability Scheme changes explained. 

Talk to Our Motability Scheme Specialists 

Our colleagues can help you find a car that suits your needs and budget. Book an appointment at your nearest Vertu dealership, or browse all Motability Scheme cars online. 

Browse Motability Scheme cars