The blue badge scheme in Wales is being extended to include people with severe cognitive impairments, such as autism.
Carl Sargeant, the Welsh Minister responsible for transport, made the announcement following a three month consultation.
The badges will be made available to individuals who cannot follow the route of a familiar journeywithout another person, an assistance dog, or an orientation aid, or to people who can stand and then move but no more than 50 metres. In Wales there are around 230,000 blue badges in use.
The changes will mean that automatic entitlement for a blue badge will be linked to the new Personal Independence Payments (PIP) that will replace Disability Living Allowance (DLA) for people aged 16 to 64.
Mr Sargeant said: “We’ve always been clear about our concern at the potential impact that UK Government welfare reforms may have on some of the poorest and most vulnerable people in Wales.
“By linking automatic eligibility for a blue badge in Wales to PIP we’ve helped to mitigate the detrimental impact that changes to the UK welfare system will have on those that currently access the free blue badge in Wales.
“Also, by linking PIP to blue badge eligibility we will help inform local authority decisions and help reduce the burden of assessment on vulnerable applicants.”
The Welsh Government has also confirmed it is working with the Ministry of Defence to extend the automatic blue badge eligibility to seriously injured armed forces personnel who receive an award under the Armed Forces Independence Payment.
Extending the blue badge further to people with cognitive impairments will come into force on April 1 2013.
Caerphilly AM Jeff Cuthbert has backed the extension.
He said: “The Welsh Government is showing it is standing up for the vulnerable across Wales and giving support to those who need it most.
“People with severe cognitive impairments deserve to be entitled to the blue badge and it will really help them overcome barriers they face with work or simply accessing facilities such as shops or the bank.”