What is the Cycle to Work Scheme and how does it work?
The Cycle to Work initiative, introduced in 2009, is a government scheme designed to encourage more people to cycle to and from work. It enables employees to purchase a brand new bike and accessories tax-free through their employers. The cost of the bike and accessories are then recouped through a salary sacrifice arrangement over a period that can range from 1-12 months. Depending on an individual’s personal tax band, this could allow the employee to save between 31% and 51% of the cost. The amount of the purchase is capped at €1000.
The bike to work scheme applies to new bicycles and pedelecs (electrically assisted bicycles which require some effort from the cyclist). It does not cover motorbikes, scooters or mopeds.
Purchase of the following new safety equipment is also covered:
Cycle helmets which conform to European standard EN 1078
Bells and bulb horns
Lights, including dynamo packs
Mirrors and mudguards to ensure that the rider’s visibility is not impaired
Cycle clips and dress guards
Panniers, luggage carriers and straps to allow luggage to be safely carried
Locks and chains to ensure cycle can be safely secured
Pumps, puncture repair kits, cycle tool kits and tyre sealant to allow for minor repairs
Reflective clothing along with white front reflectors and spoke reflectors
Employees can apply for a bike and accessories once every 5 years. If any employees have already availed of the Cycle to Work in 2009, 2010, 2011 or 2012 they are now eligible to re-apply for the scheme, irrespective of what month the original application was made.
There are numerous benefits for employees:
As as employer you will also benefit in a number of ways namely:
There are just a few simple steps to follow:
Buckley Cycles caters for companies of all sizes and would be happy to visit your workplace to help promote and explain the Cycle to Work scheme. There, we can showcase some of the bikes available to employees and answer any queries they may have. This can be done on social days or be incorporated into workplace wellness weeks as a means of promoting health related programs in your business. All of our employees are keen cyclists and can offer you and your staff the very best advice on the full range of bikes and accessories available to them.