Dis­abil­ity car firm chief quits af­ter £2.2m bonus re­vealed

The Daily Telegraph - - News - By Mike Wright

THE boss of a tax­payer-sup­ported busi­ness sup­ply­ing cars for those with dis­abil­i­ties re­signed af­ter it emerged he is in line for a £2.2mil­lion bonus.

Mike Betts, the chief ex­ec­u­tive of Mota­bil­ity Op­er­a­tions, had an an­nual wage of £1.7mil­lion de­scribed as “to­tally un­ac­cept­able” by the Work and Pen­sions and Trea­sury com­mit­tees.

But an in­quiry by the Na­tional Au­dit Of­fice (NAO) found he is also in line for a bonus that was worth £1.86 mil­lion in Septem­ber and is likely to reach about £2.2mil­lion by 2022.

A Mota­bil­ity Op­er­a­tions spokesman said Mr Betts will re­sign “fol­low­ing the im­ple­men­ta­tion of ac­tions agreed as an out­come of the NAO re­view”. This will be “no later than May 2020”.

The NAO found that re­mu­ner­a­tion for ex­ec­u­tive di­rec­tors has been “gen­er­ous” and linked to per­for­mance tar­gets set at lev­els “eas­ily ex­ceeded”.

The NAO also found that cus­tomers had been charged £390mil­lion “more than was re­quired” since 2008.

The scheme, made up of an op­er­a­tions busi­ness and two char­i­ties, ac­counts for about 10 per cent of all new cars bought in the UK. Un­der it, mo­bil­ity wel­fare pay­ments are trans­ferred to the firm for a leased car, in­sur­ance, main­te­nance and road­side as­sis­tance.

The com­mit­tees said po­ten­tial ri­vals can­not com­pete as the firm re­ceives tax breaks from the Gov­ern­ment that no other firm is en­ti­tled to.

Mike Betts, the chief ex­ec­u­tive of Mota­bil­ity Op­er­a­tions, is in line for a bonus worth £2.2m in 2020

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.