Cycle To Work FAQ

Cycle to Work schemes can appear confusing, here we've put together a list of common FAQ's to help.

Before you order

Am I eligible for Cycle to Work?

Everybody who earns their salary via PAYE (Pay As You Earn) can participate in the Cycle to Work scheme.

* Please note: Salary sacrifice deductions must not bring your gross pay below the national minimum wage. This may affect the amount you can spend through cycle to work.

I’m self-employed, can I use the cycle to work scheme.

The cycle to work scheme is only available to those that pay tax through PAYE (pay as you earn).

What items are eligible with Cycle to Work?

As well as bikes, helmets and locks there are many items that are eligible on the scheme. The list is so big that it is easier to show you the items that are not included.

Items that are not included on the cycle to work scheme are:

  • GPS ride trackers and navigational computers
  • Cameras, including action cameras such as GoPros
  • Car bike racks
  • Turbo trainers and rollers
  • A lot of bike components including frames and forks are not eligible through most providers except for CycleScheme, so please check with your provider before you start your quote.

    Updated inclusions June 2020

    • Brakes & all associated parts
    • Drivetrain / Groupsets & all associated parts
    • Headsets
    • Seatposts
    • Saddles
    • Pedals
    • Wheels
    • Tyres
    • Innertubes / Tubeless kits

How much can I spend through the scheme?

The limit to how much you can spend on Cycle to Work is set by your employer. The amount that you earn may also affect how much you can spend through the scheme. This is because salary sacrifice schemes are not allowed to drop your gross pay below the national minimum wage.

Speak to the HR department in your company to find out how much you can spend.

Can I top up the amount I spend with my own funds?

The amount of money you spend must not be more than the amount of your cycle to work voucher. Unfortunately, you are no longer allowed to top up cycle to work scheme orders with your own money. Of course, you can always buy extra cycling equipment in a separate order.

What Cycle to Work vouchers do you accept?

We accept vouchers from most national schemes including:

We also accept vouchers from in-house schemes run by independent companies. Please contact us to see if we accept vouchers from your organisation’s scheme.

My employer hasn't set up a Cycle to Work Scheme, what do I do?

If your organisation hasn't yet set up a bike to work scheme, please speak to your HR department they should be able to set this up for you. Our two most popular providers Halfords Cycle2Work and Cyclescheme provide employer information to make this set-up easy.

Will the bike be reserved for me straight away?

As soon as you place your order through the checkout using Halfords Cycle2 Work or Cyclescheme your bike will be ordered ready for despatch as normal. With other schemes we will do this as soon as we receive your certificate. Unfortunately, we can’t reserve a bike before we have received your cycle to work voucher code.

While you order

How can I get a Cycle to Work quote?

With Cyclescheme and Halfords Cycle2Work there is no need to have a formal quote. All you need to know is the amount that you would like to spend. You can get this by simply adding the items to your basket in the normal way.

If your scheme provider or HR department would like a formal quote we have made this nice and easy with a handy online quote form that only takes a couple of minutes to complete.

How much will I save with the Cycle to Work scheme?

How much you save will depend on your own tax status. Generally a basic rate taxpayer will save 32% and a higher rate taxpayer 42%.

Use our Cycle to Work calculator to see how much you can save.

Can I buy sale items through Cycle to Work?

Yes, you can use your Cycle to Work voucher on any discounted or nearly new bike as well as eligible accessories.

Can I price match items on the Cycle to Work scheme?

Unfortunately, price match is not eligible on Cycle to Work orders.

Can I buy more than one bike with my Cycle to Work voucher?

You can buy multiple bikes as long as they are all used for commuting and the total basket does not exceed the value of your voucher.

Can I only use my Cycle to Work bike to commute to work?

You can use your cycle to work bike for every type of cycling. Government guidelines say your bike should be used at least 50% of your commute to work. It is completely fine to use your bike for leisure as well.

After your Order

When will the first Cycle to Work payment be deducted from my salary?

Usually your first payment will be taken from the next salary period after you completed your hire agreement.

Who owns the bike on a Cycle to Work scheme?

For the duration of your hire period it is your employer that owns your bike and equipment. Your employer buys your bike and equipment and the leases it to you through an interest-free salary sacrifice scheme. The cost of your items is deducted from your salary as a non-cash benefit, so you can get savings on tax and national insurance.

Do I need to insure my Cycle to Work scheme bike?

We highly recommend you insure your bike. If your bike is stolen or damaged beyond repair, you’ll continue to make your monthly payments until it has been paid for. It is your responsibility to insure your cycle to work bike as you are the person who is responsible for it.

What happens at the end of the Cycle to Work hire agreement?


You can return the bike


You immediately take ownership of your bike and pay a fee based on ‘fair market value’.

HMRC has set fair market values that employers must pay to keep the bike. So, you may be asked to pay up to 25% of the value of a bike costing more than £500 after 12 months.


Extend your hire agreement to 36 months for a single small refundable deposit (3% or 7%).

During your extended hire agreement, you will make no further monthly payments. At the end of the 36 months you can either choose to send your bike back to your Cycle to Work provider (and your deposit will be refunded) or you take ownership of the bike. No further payments are needed.

HMRC Fair Market Value

Age of Cycle

HMRC Fair Market Value

Original price of bike under £500

Original price of bike over £500

  • 1 year
  • 18%
  • 25%
  • 18 months
  • 16%
  • 21%
  • 2 years
  • 13%
  • 17%
  • 3 years
  • 8%
  • 12%
  • 4 years
  • 3%
  • 7%

* Please note: there is no guarantee that your employer will transfer ownership to you at the end of the hire period. Usually employers are happy to do this, but you should check with your HR department to be sure.

What happens if I leave my employment during my Cycle to Work scheme?

If you leave employment during your hire agreement any balance remaining will be repaid from your final net salary. Unfortunately, you will not benefit from tax and National Insurance savings.