New Zealand’s Total Mobility Scheme Faces Cuts, Raising Concerns for disabled and Elderly Riders
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The New Zealand government is set to reduce subsidies for the Total Mobility scheme, a program providing discounted taxi fares for individuals unable to utilize public transport due to disability or age. Over 120,000 registered users will see increased costs beginning July 1, 2026, as the government cites unsustainable rising costs as the primary driver for the change.
Subsidy Reduction and Fare Increases
Transport Minister chris Bishop announced the subsidy will decrease from 75% to 65%, with regional fare caps also being lowered by approximately 10%. These decisions,unveiled following a year-long review by the Ministry of Transport,aim to stabilize the scheme’s finances.”The Government is announcing decisions to stabilise the Total Mobility scheme so that the dis
Demand and Financial Strain
The decision to reduce subsidies comes as demand for the Total Mobility scheme has surged. Registered users have increased from 108,000 in 2018 to 120,000 currently,with the number of trips rising from 1.8 million to three million over the same period. Bishop explained that the 2022 subsidy increase did not adequately account for this increased demand. “increased demand now means the scheme is close to exceeding its Crown funding and is placing significant pressure on the contributions from local councils and NZTA,” he said.
Government forecasts indicate that costs are projected to exceed available funding by $236 million between 2025 and 2030 if current settings remain unchanged. To alleviate immediate pressures, the government will provide $10 million to NZTA.
Proposed Changes and Future of the Scheme
Alongside the subsidy cut, the Ministry of Transport is seeking public feedback on a range of proposed changes to the scheme, including:
- Strengthened Eligibility: tighter requirements, potentially including medical evidence from healthcare professionals, to determine eligibility. Currently, assessment standards vary with no consistent documentation requirements.
- periodic Reassessments: Regular re-evaluations of users to ensure continued eligibility.
- Trip Caps: Options for limiting the number of subsidized trips per month, ranging from a flat cap of 30-40 trips to a tiered system with base trips plus additional allocations based on individual needs (employment, health, education).
- Expanded Service Providers: Inclusion of ride-hailing services and on-demand public transport options alongside traditional taxis. It remains unclear if this will include popular apps like Uber.
The Ministry of Transport is also exploring incentives for service providers to improve wheelchair accessibility, including increased funding for vehicle modifications and a raise to the $10 per wheelchair trip payment, which has remained unchanged as 2005. Additionally, a national public transport concession for people with disabilities is under consideration, slated for implementation through the National Ticketing solution in 2027.
Concerns from Advocates and Opposition
The proposed changes have drawn criticism from disability advocates. Mojo Mathers, chief executive of the Disabled Persons Assembly, described Total Mobility as an “essential service” and warned that the cuts, combined with the current cost-of-living crisis, will exacerbate hardship. “This cut to Total Mobility on top of a cost-of-living crisis will only aggravate hardship in an already struggling population,” Mathers stated.”Total Mobility is an essential service for us. Not everyone can get on a bus or drive a car.” She further emphasized that many disabled individuals already struggle to meet their basic needs.
Labor’s disability issues spokesperson, Priyanca Radhakrishnan, echoed these concerns, accusing the government of “making life harder and more expensive for disabled New Zealanders.” Radhakrishnan highlighted a series of recent changes impacting disability support, including cuts to flexible funding and shifts in support services, arguing that the latest changes represent a step backward. “For many disabled Kiwis, affordable transport isn’t a nice-to-have, it’s a lifeline,” she said.
Public consultation on the proposed changes is open untill March 22, 2026. The 10% subsidy cut, however, was not included as part of the consultation process.
