PIP claimants warned over key change to benefits – check if you’re affected | Personal Finance | Finance

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People living in Scotland who qualify for Personal Independence Payments (PIP) are being transferred to a new scheme before the end of next year.

Some 219,000 people are in the process of being moved on to the new benefit which is called Adult Disability Payment (ADP).

Alongside this switch, there will be new arrangements for people to apply for support in leasing vehicles through the Motability Scheme.

The introduction of ADP is a result of Scottish devolution, which sees the management of payments moved from the Department of Work and Pensions (DWP) to Social Security Scotland.

It pays exactly the same as PIP and is designed to be paid on the same day without any gap in payments.

Existing PIP claimants do not need to claim ADP and will receive a letter, roughly three months before the transition, to confirm the exact date when Social Security Scotland will take over delivering the payments.

The letter also gives new information on what claimants should do before the transfer, during the move and what happens after the process is completed.

A separate letter from DWP also explains that if you have any changes in circumstance before the date of your move from PIP to ADP, you should let them know as soon as possible.

The DWP letter also clears up any confusion for people who have a current lease agreement through the Motability Scheme.

The letter states: “If you have a Motability agreement because of your PIP award, the agreement will move to your Adult Disability Payment award.

“The agreement could be for a Motability car, powered wheelchair or scooter. You do not need to re-apply to Motability.”

When the current lease is due to end, people who have moved to ADP will renew in the same way to the Motability Scheme, but it will be done through the Accessible Vehicles and Equipment Scheme.

Renewing or applying for a vehicle through the scheme will work in the same way and follow the current eligibility guidelines.

Figures from Motability indicate there are around 690,000 customers across the UK with an estimated 10 per cent (70,000) living in Scotland.

The Spring Price List from the Motability Scheme includes over 980 affordable cars and wheelchair accessible vehicles (WAVs). The scheme also offers a ‘worry-free’ package of support.

The package includes: Insurance cover; Breakdown cover (RAC); Servicing and MOT; Support with an electric car

The Motability Scheme currently has over 120 cars with zero advanced payment, including electric vehicles. There are also over 250 vehicles available with a low Advance Payment of under £500.

How the new scheme works

Social Security Scotland guidelines state: “When you lease a vehicle through the scheme, it will be with our authorised provider, Motability Operations Ltd.”

Social Security Scotland will help you pay the lease using all or part of either:

the higher rate of the mobility component of Child Disability Payment

the enhanced rate of the mobility component of Adult Disability Payment

You can find more information about the scheme on the Motability website, here.

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