MPs are set to call on Motability to introduce a range of changes to its policies amid fears that the inclusion of Chinese brands could impact British industry.
People with disabilities are able to use the Motability scheme to lease a new vehicle through their qualifying mobility allowance.
More than 890,000 people currently use the scheme, although several changes will be rolled out in the coming weeks after Chancellor Rachel Reeves' Autumn Budget.
Labour said it would limit tax breaks to Motability to save over £1billion over the next five years, including changes to VAT relief, while expensive vehicles are also being removed from new leases.
However, MPs are now calling on the scheme to go further by axing any vehicles made by Chinese manufacturers from the scheme, according to The Telegraph.
In total, 12 Chinese vehicles are available through the Motability scheme from the likes of BYD, Jaecoo, Omoda, Chery, Geely and Leapmotor.
Popular models include the Jaecoo 7, which remains the UK's third best-selling vehicle so far this year, beating out the Vauxhall Corsa, VW Golf, Nissan Qashqai and Mini Cooper.
Despite this, campaigners are calling on Motability to place restrictions on Chinese vehicles, claiming that these brands are benefitting while British manufacturers struggle.
MPs have called for Motability changes to be introduced to restrict Chinese brands from being included
| MOTABILITYSir Iain Duncan Smith MP said Motability should "make an effort" to protect the British car industry by banning Chinese vehicles.
He warned that "we won't have a British car industry very soon" if Chinese manufacturers continue to increase their accelerated rollout across the UK.
Similarly, Alicia Kearns, Conservative MP for Rutland and Stamford, confirmed that MPs were planning on conveying their concerns to Motability.
The former chair of the Foreign Affairs Select Committee said: "The Motability scheme should not become a backdoor subsidy for Chinese state-backed manufacturers looking to flood our market."
LATEST DEVELOPMENTS
The Jaecoo 7 is the UK's third best-selling car so far this year
| JAECOOShe added that the Government should review the taxpayer-funded scheme and ensure that Chinese manufacturers are not being prioritised over UK-based producers.
A spokesperson from Motability Operations told The Telegraph: "Vehicles on the Scheme reflect what all UK drivers can get, excluding premium-brand cars, and we have a range of vehicles available to suit disabled people's needs.
"As part of this choice, we recently announced an ambitious commitment to increase the number of British-built vehicles on the Scheme, which would also create demand for new UK manufacturing.
"This includes plans to double the number of Sunderland-built Nissan vehicles on the Scheme by 2030, and for half of vehicles leased to be British-built from 2035."
The Chery Tiggo 8 is also available through the Motability scheme
| CHERYChinese vehicles available through the Motability scheme
- BYD Sealion 5
- Chery Tiggo 7
- Chery Tiggo 8
- Geely EX5
- Geely Starray
- Jaecoo 5
- Jaecoo 7
- Leapmotor B10
- Leapmotor C10
- Leapmotor T03
- Omoda 5
- Omoda 7