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Motor Vehicles: Excise Duties

Asked by Gareth ThomasLabour (Co-op)Department for TransportTabled Answered 28 October 2025UIN 84134

The question

To ask the Secretary of State for Transport, whether she plans to review the process for disabled customers to claim reduced rates of vehicle tax.

Answered by Simon Lightwood

Customers who receive the enhanced rate mobility component of the Personal Independence Payment (PIP) and whose vehicles are already licensed in the disabled taxation class can renew their vehicle excise duty (VED) exemption online.

Those customers who receive the standard rate mobility component of PIP, which entitles them to a 50 per cent reduction in the rate of VED payable, must send their application to the Driver and Vehicle Licensing Agency (DVLA).

Facilitating online applications by disabled customers to claim reduced rates of VED requires the electronic exchange of data held by the Department for Work and Pensions (DWP) with the DVLA. Officials are considering how to improve the ability for customers in receipt of PIP to transact with the DVLA.

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