Like this site? Help us to make it better.


Employers rush to sign up with Cyclescheme and give commuting workers access to bikes at a discount

UK's largest Cycle to Work scheme provider flags fourfold increase in employer registration during lockdown...

Cyclescheme, the country’s largest Cycle to Work provider, says that employers registering with it to enable their workers to obtain tax breaks when getting a bike have risen more than fourfold since the UK entered lockdown.

The Bath-based company says that in the three months since 31 March, employer registrations rose by “a staggering” 310 per cent due employers “heavily investing in cycling as a benefit for their workforce.”

It also says that last month alone, sales of bikes using the certificates it provides that enable employees to benefit from the scheme, which allows bikes to be bought through salary sacrifice, effectively making them “tax-free,” rose by 59.7 per cent.

> How to save money on a bike with the Cycle to Work scheme

The reported growth in the number of employers signing up to work with Cyclescheme reflects how bikes have become an essential way of getting around during the coronavirus pandemic, with people urged to avoid public transport.

Laurence Boon, product manager at Cyclescheme commented “Cycling has always been a great way to stay active with a long list of physical, mental, and environmental benefits.

“The pandemic has proven to be a catalyst for engagement with cycling and we’re working hard to ensure that the road ahead is clear, for any commuter ready to make the switch.

“What’s exciting to see from our data is that employers and employees are making it happen and changing lives and communities for the better.”

Nigel Roberts, general manager at Trek Bicycle, added: “‘Retailers have seen a significant increase in bike sales to consumers during April and May.

This, in turn, is driving strong sales growth for us and other brands, and it looks like the boom will develop into a sustained increase in cycling.”

Cyclescheme said that its data came from a combination of internal sales data and results from Google Analytics.

The company celebrated its 15th anniversary earlier this year having been set up in February 2005 by Gary Cooper and Richard Grigsby to help employers looking to provide access to the Cycle to Work scheme, introduced in the Finance Act 1999, to their staff.

Cyclescheme was sold in 2010 to the Grass Roots Group, which was itself acquired by US-based Blackhawk Network in 2016.

Simon joined as news editor in 2009 and is now the site’s community editor, acting as a link between the team producing the content and our readers. A law and languages graduate, published translator and former retail analyst, he has reported on issues as diverse as cycling-related court cases, anti-doping investigations, the latest developments in the bike industry and the sport’s biggest races. Now back in London full-time after 15 years living in Oxford and Cambridge, he loves cycling along the Thames but misses having his former riding buddy, Elodie the miniature schnauzer, in the basket in front of him.

Add new comment


RobD | 3 years ago

If the government are serious about getting more people cycling, maybe they should reduce or remove the VAT from the cost of bikes? the overall health benefits and savings to the NHS will likely far outweigh the relatively small loss from this. Besides, those who have then bought a bike will likely spend on additional items (we all know how bad the bug gets to buy knew equipment/clothing etc) increasing the overall income.

Awavey replied to RobD | 3 years ago

though you assume the reduction in VAT would be immediately reflected in a discounted price to the consumer though, whereas what tends to happen is the item gets sold for the same price, its just the VAT discount money stays in either the bike shops, or more likely the manufacturers pockets instead, so the customer ultimately saves nothing.

look at what happened with the cycle to work scheme,which is a tax saving scheme after all and does save you more than 20% VAT, and all businesses who take part can reclaim the VAT and even pass the VAT saving onto their employees if they want. But my C2W bike was sold at full RRP of 799, had I walked into the same shop, bought the same bike, Id have been disappointed to pay full RRP for the bike, even if it wasnt then I could get cash back,but replaced with equivalent value accessories instead.

if Id bought it from Halfords instead, I could have just waved my British Cycling membership card and got 10% off without even trying.

the government doesnt need to show its "even more serious" about cycling by offering more tax breaks than it already does, it just needs cycling to be part of their conversation about transport as a viable and inclusive form of getting around, plan to build new housing estate, provide cycle lanes, build a new school, provide cycle lanes and cycle parking, build a new business park, make it accessible for cycling, tender a new contract to build a train provide cycling carrying facilities.

muhasib | 3 years ago

Frustrating that some central government departments still don't offer cycleschemes e.g. Ministry of Defence. It's been mooted but nothing yet.

Latest Comments