DWP 'extending' one off £750 payments to people on these two benefits

The Department for Work and Pensions has "extended" free £750 payments to people on benefits as part of a little-known top-up. The New Vehicle Payment is a one-off £750 payment to help you get a brand-new car on the Motability Scheme.

Initially set to end on December 31, 2024, the DWP and Motability Operations has extended the deadline to January 3, 2025. Motability clarified the extension: "This is to give you a final chance to order your first car if your dealer is closed over the festive period."

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.

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Those eligible include recipients of the higher rate mobility component of Personal Independence Payment (PIP) and Disability Living Allowance (DLA). 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. Scooter and powered wheelchair customers get a £100 New Product Payment instead, and we’ve also extended this to 3 January 2025.

You’ll only get this payment once, not every time you get a new vehicle. You cannot get both the New Vehicle Payment and the New Product Payment. If the car you choose has an Advance Payment, you can send your £750 to your dealer to put towards this cost.

If your Advance Payment is more than £750, you’ll need to pay the difference to your dealer. If it’s less than £750, we’ll send you the rest after you get your vehicle, to spend how you choose. Your dealer will ask how you’d like to use your New Vehicle Payment when you’re ordering.

You can only use the New Vehicle Payment towards the cost of your vehicle’s Advance Payment. You cannot use it towards the cost of adaptations or optional extras.