What the changing car market means for you

The global car market has undergone significant changes in recent years and has faced a variety of challenges. We frequently receive questions about what these changes mean for ordering a new car through the Motability Scheme.

To assist you, we’ve gathered answers to some of the most common questions we receive. If your inquiry is specifically about a vehicle, you’ve already ordered or are considering ordering, please reach out to Sherwoods directly.

What’s changing in the new car market?

Over the past few years, car manufacturers have encountered several challenges. The COVID-19 pandemic and a shortage of semiconductors, or "chips," used in car manufacturing slowed down production, leading to supply issues and delivery delays across the industry.

Fortunately, most manufacturers have now worked through these issues, and delivery times have improved compared to the past few years. Some models may still have slightly longer wait times depending on the make and model.

Additionally, many manufacturers are reducing the number of petrol and diesel models in favour of electric vehicles (EVs) to comply with the government’s Zero Emission Vehicle (ZEV) mandate, which sets new CO2 emissions targets. By 2030, manufacturers aim for 80% of their vehicle sales to be electric.

What does this mean for the Motability Scheme?

We’re committed to keeping the Motability Scheme as affordable as possible. As manufacturers focus more on EVs, we’re able to offer a wider range of options on the Scheme. However, as petrol and diesel models are phased out, prices for these remaining models are starting to increase.

This quarter, we have over 915 cars available, all with our complete lease package, providing you with a broad selection of high-value options.

Did you know?

If you’re a car or WAV customer interested in joining the Motability Scheme or ordering your next vehicle, you can begin your application online through your Motability Scheme account. This allows you to update your personal details, allowance information, and proposed drivers’ details before visiting the dealership.

By completing these steps online, your dealer can focus on helping you select the best car for your needs during your visit.

When should I start looking for a car?

If you’re ordering your first car through the Scheme, we recommend starting your search as soon as possible. Delivery times can vary depending on the make and model. You may find that a similar car from a different manufacturer is available sooner.

For existing customers, you can order your next car three months before your current lease ends. And if you’ve extended your lease, you’re free to order a new car at any time during the extension—no need to wait until the end.

What if I can’t test drive my next car?

We always recommend test-driving a vehicle before ordering, if possible.

If a test drive isn’t an option, ensure that the model you’re considering has adequate space for you and your passengers, is easy to access, comfortable for seating, and meets your mobility needs for the next three years.

The car I want isn’t currently available on the Scheme – what can I do?

Consider looking at alternative vehicles that could suit your needs.

If you have low mileage or numerous adaptations on your vehicle, you may be eligible to extend your lease for up to two additional years. However, if you’re already in an extended lease, we won’t be able to extend it further.

Extending Your Lease

Can I keep my current car for longer?

If you have low mileage or multiple adaptations, you may be able to extend your lease for up to two more years, keeping all the benefits of your worry-free lease package. During the extension, you can order a new vehicle at any time if you find one that suits your needs.

What if I extend my lease, but then see a car I like?

Even if you extend your lease for two years, you’re free to order and collect a new vehicle at any time. We recommend continuing your search for a new car and ordering one as soon as you find a good match.

What happens to my car insurance if I extend my lease?

If your lease is extended, your insurance coverage will be as well. Direct Line Motability (DLM) will issue a new Certificate of Motor Insurance to confirm the extension, and you shouldn’t notice any changes to your coverage.

Am I still covered for maintenance and repairs during a lease extension?

Yes, your lease extension continues to include coverage for routine maintenance, repairs, and tyre replacements. RAC breakdown cover will also be extended, so you can expect the same support and services.

Will I need an MOT if my lease is extended?

In most of the UK, vehicles require an MOT after three years (four years in Northern Ireland) and annually after that. So, if you extend your lease by two years, you may need to have two additional MOTs before returning the vehicle. We will notify you when it’s time for an MOT, which is fully covered under your worry-free package, even during an extended lease.

How can I track the progress of my order?

The best way to track your order is through your Motability Scheme online account. Go to ‘New Car Application’ to see what’s been completed and the remaining steps before receiving your car. For specific questions not covered in your account, please contact Sherwoods.

What if the Advance Payment for my chosen vehicle changes after I’ve placed my order?

The price lists are typically updated every three months—in January, April, July, and October. While the Advance Payment on a vehicle can change during the year, your price is locked in at the time of your application, so it won’t be affected by any updates before your car arrives.

What if my delivery date changes more than once?

Your delivery date may shift more than once, as dealers rely on manufacturer updates. Occasionally, build dates and delivery times need to be adjusted for reasons outside of our control.

Can I cancel my order if I don’t want to wait?

If you’re a current customer and decide not to wait, we’ll extend your lease as needed to ensure you remain mobile. To cancel or modify your order, please contact Sherwoods directly. Before making any changes, be sure to check on the timing for the alternative vehicle you’re considering.

Can the Motability Foundation increase my grant to get a vehicle sooner?

Grants from the Motability Foundation are awarded according to specific guidelines, based on each applicant’s needs, to help as many people as possible. They may only consider increasing a grant to speed up delivery in exceptional cases, such as when the applicant has a life-limiting condition.

Can I order a vehicle other than those listed in my award letter?

No, your grant letter lists the approved vehicles or categories the Motability Foundation is willing to fund.

Will cancelling my grant application help me get a car faster?

Delivery times apply equally whether you order through the Motability Scheme (with or without a grant) or privately. If you’ve applied for a grant from the Motability Foundation, please allow up to four weeks for a decision.