Last updated:
10 July 2017

Cycle to Work Scheme

How to buy a bike as part of a Cycle to Work Scheme.

The Cycle to Work Scheme allows you to use up to £1000 of your annual salary in exchange for hiring a bike and equipment.

To take part in the Cycle to Work Scheme your employer usually needs to enter into a contract with one or more scheme providers. These include:

Conditions

At least 51% of the bike’s use must be for commuting.

The employer, rather than the employee, owns the bike. At the end of the hire period (usually 12 months) the employer may then choose to transfer ownership of the bike to the employee for the ‘fair market value’.

This value depends on the age and condition of the bike when ownership is transferred. Further details about the fair market value are available on the HM Revenue and Customs website.

Bicycle shop discounts

If your employer operates a staff travel plan to promote sustainable travel, or you live on a residential development where a residential travel plan is in place, you can obtain discounts at various cycle retailers around the county.

 

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