MP’s have called for an inquiry after it was revealed that the boss of a motability company received more than £1 million bonuses and benefits last year.
Mike Betts, from the not-for-profit company Motability Operations, received bonuses in the year leading up to September 2013 totalling £911,915 and a £125,000 pension payment in lieu – on top of his annual basic salary of £501,900.
Motability Operations, who are contracted by the Motability charity, provides around 630,000 motability vehicles to disabled people, including disability benefit claimants and injured war veterans.
Labour MP John Mann described the apparent profiteering as “scandalous”, adding: “There is no basis for any bonus at all” and the “money could be better spent on the disabled”.
“It is an unreasonable and unfair amount of money to be paid”, said Mr Mann.
Disability Living Allowance (DLA) in being replaced with Personal Independence Payments (PIP). Eligibility for the new benefit is much stricter, meaning that fewer disabled people will qualify. Claimants who can walk more than 20 metres will lose their right to a motability vehicle, regardless of whether they use a walking aid or not.
Chairman of the Motability Charity, Lord Sterling, defended the eye-watering bonus paid to Mr Betts, saying: “Mike Betts is one of the most able executives I have ever come across.
“He is worth every penny he is paid. He runs Motability Operations with extremely high service levels which provide empathy and support for its disabled customers well beyond the norm.”
Chairman of Motability Operations, Neil Johnson, told the Sunday Times:
“Mike Betts is an outstanding [chief executive officer] who has succeeded in leading Motability Operations over the last decade, transforming the culture to achieve consistently high rates of customer satisfaction and value for money.”