Cycle to work schemes offer employees the benefit to spend money on a bike tax free, saving them up to 42% on the overall value.
The Government has announced refreshed guidance for its Cycle to Work scheme which will make it easier for employers to provide bicycles and equipment, including e-bikes, worth over £1,000.
Prior to the announcement, the scheme was officially capped at £1,000. Now, the refreshed guidance is encouraging the use of e-bikes in a bid to help tackle congestion, speed up commutes and cut travel costs.
Cycle to Work schemes have enabled thousands of commuters to by bike to their place of work through allowing employees to save money on a new bike through a salary sacrifice scheme.
Michael Ellis, Cycling Minister, said: “Cycling is a vital and easy way to improve air quality, reduce pollution and create vibrant towns and cities. Making sure that bikes are easily available is crucial to helping more people make the switch to greener modes of transport. Ensuring people of all abilities and fitness levels can cycle together is a key part of this.”
This refreshed Cycle to Work guidance is the latest development in the government’s plans to encourage more people to take up active travel options. Through its Cycling and Walking Investment Strategy, the government plans to invest around £2 billion on active travel over the course of this parliament.