Cycle to Work scheme
Save on your next bike through work
The Cycle to Work scheme is a great way for UK employees to save on the cost of a bike and cycling equipment through salary sacrifice.
Arranged in our Limavady shop – not through online checkout.
- 28%basic-rate taxpayers
- 42%higher-rate taxpayers
- 47%additional-rate taxpayers
Typical saving on a bike and qualifying kit, depending on your Income Tax and National Insurance band.
Work for the NHS, NIFRS, PSNI or the Civil Service?We accept your Cycle to Work vouchers.
How it works
How does the Cycle to Work scheme work?
In essence, your employer provides a bike and qualifying cycling equipment for you to use through a salary sacrifice arrangement. The cost is deducted from your gross salary, before Income Tax and employee National Insurance are calculated. At the end of the hire period, you may have the option to buy the bike, depending on the scheme and the arrangements made by your employer.
In other words, your salary sacrifice is made from your gross salary, not your net salary.
Because it was set up to promote work journeys rather than cycling in general, your employer (or the scheme provider) owns the bike during the hire period – you're hiring it, not buying it.
With us
Getting your bike, step by step
Choose your bike
Come in to our Limavady shop – we'll help you find the right bike and size.
Get a quote
We give you a quote for the bike and any kit you want with it.
Apply through work
Use our quote to apply through your employer's Cycle to Work scheme.
Ride away
Once it's approved, we get your bike ready for you to collect.
Good to know before you come in
- Accessories can be bought through Cycle to Work together with a bike, but not on their own.
- Sale bikes and sale accessories are not available through Cycle to Work.
- Cycle to Work vouchers can't be used with other offers or discount codes.
Why cycle to work
Why use the Cycle to Work scheme?
Healthier
Regular cycling builds fitness into your day – no gym needed.
Happier
Fresh air and time outdoors are a good start and end to the working day.
Greener
Every trip by bike instead of car means less traffic and fewer emissions.
Cheaper
Save on the bike itself, then on fuel, parking and fares every day.
Typical savings
How much will I save?
Your payments come out of your gross salary, before Income Tax and National Insurance, so the saving depends on your tax band and the value of the bike and kit. For example, on £1,000:
| Salary | £25,000 | £60,000 |
|---|---|---|
| Cost price of bike plus accessories | £1,000 | £1,000 |
| Typical tax + NI saving | 28% | 42% |
| Approx. net cost | £720 | £580 |
| Approx. saving | £280 | £420 |
If you've got a price in mind and you know your gross salary, the Green Commute Initiative savings calculator will work out indicative numbers.
End of the agreement
What happens at the end of the Cycle to Work agreement?
Technically, you’ve hired your bike from the scheme for the length of your agreement and you’ve got a few options at the end of it:
A further agreement may be available, depending on the scheme provider and employer. The length and terms will vary between schemes.
If you choose to buy the bike at the end of the hire period, this will be arranged separately from your original Cycle to Work agreement. The purchase price will be based on the bike’s value at that time, in line with HMRC rules – see the minimum values in the FAQ.
Schemes we accept
What schemes are available?
We accept most popular Cycle to Work Scheme vouchers.
FAQ
Common questions
Do I have to ride my Cycle to Work bike to the office every day?
You don’t need to use your Cycle to Work bike every day. However, HMRC rules require the bike to be used mainly for qualifying journeys, such as travelling between home and work or between workplaces.
Of course, the idea is that it’s used to “promote healthier journeys to work and reduce environmental pollution”, so using it as part of your commute is the obvious goal.
There is no requirement to choose a particular type of bicycle, provided the scheme and employer allow it.
How much does it cost to buy the bike at the end?
The price is based on the bike's market value at the end of the agreement. HMRC sets minimum values for used bikes, as a percentage of the original price:
| Age of bike | If original price is less than £500 | If original price is over £500 |
|---|---|---|
| 1 year | 18% | 25% |
| 18 months | 16% | 21% |
| 2 years | 13% | 17% |
| 3 years | 8% | 12% |
| 4 years | 3% | 7% |
| 5 years | negligible | 2% |
| 6 years or more | negligible | negligible |
Providers won’t usually extend the agreement beyond a specified term. After several years, the bike may have little or no market value. If you choose to take ownership, this will be arranged separately in accordance with the scheme provider’s terms and HMRC rules.
What if I leave my employer during the agreement?
If you leave your employer while the salary sacrifice agreement is still in place, the arrangement will normally end. Your employer or scheme provider will explain how any outstanding salary sacrifice and the bike will be dealt with. Depending on the terms of the agreement, you may need to settle outstanding amounts if you wish to keep the bike.
Ready to choose your bike?
Come in to see the bikes, or ask us for a quote for your employer's scheme.