If you're a UK employee, Cycle to Work allows you to spread
the cost of a new bike and equipment, by paying in
instalments taken directly from your wage. The payments are
taken out of your gross wage and your Tax & NI
contributions are then worked out based on your new lower
gross wage, saving you money on your new bike and equipment.
You'll enter into a hire agreement with your employer or
cycle to work provider, who own the bike for the period of
the agreement. At the end of this period, you then have the
option of buying your bike or continuing to use it while you
work for the company. If you decide to purchase the bike,
the balance you owe will be based on a percentage of how
much the bike was worth at the time you took out the Cycle
to Work scheme.
If you are purchasing more than one bike, please note that
both bikes must be the same frame size.