Friday, 25 September 2009

Cycle To Work Scheme

One of the better initiatives from the Government has been their Cycle To Work Scheme, which I have just signed my company up to. Basically, through a combination of VAT, Tax and National Insurance savings, any employee of a company or organisation which takes part in this scheme can get around 40% off the cost of a new bike and accessories. How cool is that?

The employer buys the bike and deducts the cost from their employee's wages over the course of a year; it's a "salary sacrifice" scheme. At the end of that time the bike passes to the employee for a nominal charge.

My company has joined Cyclescheme, which is run on behalf of independent bike shops. Darlington Borough Council is also signed up, but sadly they joined Halfords' version of the scheme, so employees (and councillors!) have to buy their bike through that particular national chain.

So, if you want a new bike and are a PAYE employee, contact your employer and see if they're on the scheme. If not, pester them until they do sign up. It doesn't cost them a penny and they get a fitter, healthier workforce. And you get a nice new bike!

The Guardian has promoted the scheme recently.

Interested in reading more about cycling to work? Here's a link to a good blog. And here's a book you can read online.


miketually said...

I always thought it was strange that the Council went with the Halfords scheme; I'd like to know the thinking behind that. I convinced my employer to go through Cyclescheme as it gives a much wider choice of bike (and the weird bike I wanted was only available through a Cyclescheme shop), but my employer liked the idea of supporting local businesses as well.

Not only does it not cost employers anything to run the scheme (barring a bit of staff time and the interest lost through not having the cash in the bank, I suppose), they save money through slightly reduced employers' NI contributions.

Anonymous said...

Alan Macnab writes....

What an excellent scheme.

I have seen examples in Holland of the importance of cycling, how much cycling and cyclists are valued and respected and the safety of cyclists are protected. It is very impressive.

How much leadership and promotion of this scheme is being carried out in Darlington?

Where are we in Darlington in providing the interconnected infrastructure and education programmes for other road users to enable cycling to be to be made safe and a viable alternative to other forms of transport?

I recall listening to you Mike Tually about three years ago on your ideas. How far have they progressed?