Rachel Reeves prepares fresh price hikes on Motability cars currently available from just £75

WATCH: Chancellor Rachel Reeves confirms new Motability rule changes

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GB NEWS

Felix Reeves

By Felix Reeves


Published: 14/05/2026

- 12:09

Chancellor Rachel Reeves will oversee new Motability changes in July

New research has revealed which cars are the cheapest through the Motability scheme, just weeks before Chancellor Rachel Reeves' rule changes are introduced.

From July, drivers will face stricter mileage limits, higher excess mileage charges and tighter cost controls when applying for a vehicle through the Motability scheme.


The measures are being introduced to crack down on "generous" tax breaks which allowed some motorists to lease luxury vehicles, which prompted previous rule changes by the Government.

Drivers will also have to pay Insurance Premium Tax on the vehicles, although tax changes will not apply for vehicles designed or adapted for wheelchair or stretcher users.

Research from Carwow shows that 92 per cent of drivers rely on driving for everyday life, although 68 per cent of eligible motorists don't use the Motability scheme.

The main reasons cited by these motorists are high upfront costs (28 per cent) and suitably adapted vehicles (35 per cent).

Despite this, drivers are able to get affordable vehicles through the scheme that match their needs across a range of different powertrains.

Siobhan Doyle, consumer writer at Carwow, highlighted how some models were available from just £75, with no Advance Payment required.

1. Dacia Spring

The Dacia Spring Extreme

The Dacia Spring

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DACIA

Advance payment: £0

PIP weekly cost: £75

While the electric car only has a range of around 140 miles on a single charge, that is more than enough for urban motoring, as pointed out by Ms Doyle.

She described the car as "easy to drive" with low running costs, although charging is slow and drivers may experience a "dated" on-road experience.

2. Kia Picanto

The Kia Picanto

The Kia Picanto

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KIA

Advance payment: £0

PIP weekly cost: From £77.25

Ms Doyle said: "Funky styling, surprising practicality and low running costs make the Picanto a great pick for a cheap car on the Motability scheme.

"It's also small and nippy around town, with plenty of tech as standard. That said, it's not particularly enjoyable on longer journeys, and it doesn't offer wireless smartphone connectivity."

3. Dacia Sandero Stepway

The Dacia Sandero Stepway

The Dacia Sandero Stepway

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DACIA

Advance payment: £0

PIP weekly cost: £80

Another Dacia places in third place, with the Romanian brand offering a large amount of space and a "surprisingly comfortable" ride.

4. Citroen e-C3 Aircross

The Citroen e-C3 Aircross

The Citroen e-C3 Aircross

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STELLANTIS

Advance payment: From £0 to £1,749

PIP weekly cost: Total mobility allowance

The electric e-C3 Aircross offers a 460-litre boot, making it more suitable for drivers wanting space than the equivalent petrol model.

5. Dacia Jogger

\u200bThe Dacia Jogger

The Dacia Jogger

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DACIA

Advance payment: From £0 to £1,295

PIP weekly cost: Total mobility allowance

Dacia makes another appearance with the seven-seater Jogger, which has been praised for its manoeuvrability and space.

"However, interior materials are fairly basic, and the seating layout does not create a fully flat load floor when the seats are removed, which may be less convenient for wheelchair users," the expert said.