The Taoiseach has defended the government decision to axe what he says was an "illegal and obsolete" scheme of grants for people with disabilities.

Enda Kenny has told the Dáil that the €10.6 million allocated for the two schemes this year is ringfenced and he hopes a new legal scheme can be devised in the coming months.

The Department of Health last night confirmed that it was axing the Mobility Allowance and Motorised Transport Grant with immediate effect.

It has prompted an angry reaction from disability support groups.

A united opposition tackled Mr. Kenny on the issue in the Dáil on leaders questions this morning.

Fianna Fáil leader Micheál Martin described the decision as "scandalous and reprehensible".

And he outlined a list of cuts which he says amounted to a severe attack on people with disabilities by this coalition.

"In your very first budget the disability allowance, the cut to home help hours last August, the cut to personal assistants and people had to camp outside Government Buildings to get that retrieved, guidance counsellors in our schools, domiciliary care allowance cuts and cuts to the therapies, and above all in the last budget the cut to the respite care grant" he said.

The Taoiseach told Mr. Martin that he had "a brass neck considering he sat on the Government benches and cut the blind pension twice".

Enda Kenny insisted the monies were not being withdrawn, but that a scheme had to be devised that was in compliance with the law.

"We cannot continue with a situation that is illegal, outside the scope of the Equal Status Act, the Disability Act and the Constitution and we've got to deal with that in a fair, equitable and comprehensive way. And the monies that have been allocated will continue to be allocated and those people that are in receipt of that this morning will continue for the next four months to receive it" he said.

Fixing the scheme is 'not feasible'

The Sinn Féin leader blamed Fianna Fáil for being in government for most of the years that the schemes were illegal - but Gerry Adams says the coalition has had two years to sort it out.

And he said the solution was to make the schemes compliant with the law.

"The way to bring these schemes in compliance with the law and to give citizens with disabilities where it is appropriate their entitlement is to do what the Ombudsman recommended" he said.

But the Taoiseach says that would mean allowing all people with disabilities - including over-65's access to the schemes and that was not feasible he insisted.

"We simply cannot afford under the current circumstances a scheme that might rise to two or three hundred million" Mr Kenny said.

For the technical group, Mattie McGrath literally begged the Taoiseach not to do this and to amend the law to make the scheme legal.

"I'm asking you now when Minister Lynch is finished whispering to you to defer this attack on these people until you work out all the promises...just defer this decision and have some compassion and change the legislation and don't be cowering behind the Troika last June, the Ombudsman this morning and everybody else who you like to blame. Be a man, stand up and be counted Taoiseach because remember these people not only need the transport to go to the shops and to Mass and to dental appointments, they also need it to go to the polls to vote and they'll have a damning reflection on you" Deputy McGrath said.

But Mr. Kenny stood firm and insisted this scheme was being scrapped and the coalition would work out a way to legally spend the money on mobility and transport services for those that need it.

Meanwhile the Minister for Social Protection Joan Burton says a solution is being drawn up.