How does it work?
1. Employer Participation: Employers must first register for the Cycle to Work Scheme with a participating provider. We accept vouchers from all major providers.
2. Employee Eligibility: Once registered, the scheme becomes available to all employees of the participating organisation. Most schemes require employees to have a contract of employment lasting the length of the salary sacrifice period, typically 12-18 months. If you are self-employed you can not access the cycle to work scheme
3. Salary Sacrifice Agreement: Participating employees agree to sacrifice a portion of their gross salary in exchange for a non-cash benefit, namely a bicycle and related equipment. This salary sacrifice is typically made over a fixed period, deducted directly from the employee's gross pay before tax and National Insurance contributions.
4. Choice of Bicycle and Equipment: Employees are provided with a voucher with a fixed spending limit. They can then select a bicycle and associated equipment up to this limit from ourselves. The equipment often includes safety gear, such as helmets and reflective clothing, as well as accessories like locks, lights, and panniers.
5. Ownership Options: At the end of the salary sacrifice period, employees may have the option to purchase the bicycle and equipment outright at a fair market value determined by the scheme provider. Alternatively, they may return the equipment to their employer, continue to use it through a secondary lease agreement, or enter into a new salary sacrifice arrangement for an upgraded bicycle.
In Simple terms
Benefits
Health and Wellbeing: Cycling to work promotes physical activity, leading to improved cardiovascular health, increased fitness levels, and reduced stress. It also provides an opportunity for employees to incorporate exercise into their daily routine, contributing to overall wellbeing.
Environmental Sustainability: By choosing cycling over motorised transport, employees reduce their carbon footprint and help mitigate air pollution and greenhouse gas emissions. Cycling also supports efforts to combat climate change by promoting sustainable transportation alternatives.
Financial Savings: The Cycle to Work Scheme offers significant cost savings for both employees and employers. Employees benefit from tax and National Insurance savings on the portion of salary sacrificed, while employers may enjoy reduced National Insurance contributions. Additionally, cycling can lead to savings on fuel, parking fees, and public transportation costs.
Reduced Congestion: Encouraging cycling as a mode of transportation can alleviate congestion on roads and public transport systems, particularly in urban areas. This can lead to smoother traffic flow, shorter commute times, and improved overall accessibility.
FAQ's
Will you accept my cycle to work scheme provider? - Yes! We accept all cycle to work scheme vouchers
Is there a limit on how much I can apply for? - There is no cap on how much you can apply for. However, your workplace may have a limit & the amount you can apply for may be dependent on your income.
Can I offer cycle to work scheme without a provider? - Yes! Employers can provide the Cycle to work scheme without working through a participating provider. However, your employees will be capped at a £1000 spend if your business does not have an FCA license.
I'm Self employed, can I benefit from the cycle to work scheme? - No, unfortunately if you are self-employed you can not access the cycle to work scheme.
Can I buy sale items on the cycle to work scheme? - Sale items are not available on the cycle to work scheme if you are using a participating provider.
Can I buy anything on the cycle to work scheme? - No, items which are not allowed on the cycle to work scheme are Cycle computers, GPS devices, Nutriton, Turbo trainers, Smart phone accessories, Bike racks, Power meters & Kids bikes.