§ Mr. Alfred MorrisTo ask the Secretary of State for Social Security what action has been taken by his Department in respect of the National Audit Office's study into Motability; and if he will make a statement. [38629]
§ Mr. BurtThe National Audit Office report has just been received and is now being studied by the Department.
The motability scheme was founded in 1977 by the late Lord Goodman and Lord Sterling with all-party support. It is a unique example of collaboration between the public, voluntary and private sectors. This independent charity enables severely disabled people receiving mobility allowance—replaced by the higher rate mobility component of disability living allowance from April 1992—or war pensioners mobility supplement to gain access to personal transport. Currently, over a quarter of a million disabled people enjoy the benefits of the scheme.
The NAO report examines whether the scheme offers value for money to disabled people and how Motability monitors the quality of service the scheme provides. The report also looks at how the Department monitors Motability's activities against the conditions of the grant in aid provided. The NAO report concludes that the scheme provides good value for money to disabled people. It also notes that the Department has improved its oversight of Motability by setting out in a financial memorandum the accountability arrangements for the grant in aid towards Motability's administration costs, and holding six-monthly meetings to monitor progress.
The NAO makes sensible recommendations for improvements in Motability's customer service and oversight of service providers. Motability has already begun to implement these recommendations and many are now in place.