Future-proofing the Cycle to Work scheme: Unlocking access for all workers
As employees across the country return to the office, cycling will be a healthier, safer and more cost-effective option for many. The Alliance wants to ensure as much of the UK workforce can benefit from cycling to work and a regular active commute.
The new report urges the government to widen access to the scheme to ensure it is accessible for as many people as possible.
Key recommendations:
- HMRC should include the cost of a bike as an allowable expense on self-employed workers’ self-assessment, to ensure all workers can participate regardless of their employment status.
- Government should introduce a specific exemption for the Cycle to Work scheme, allowing employers to enter staff into a salary sacrifice arrangement for the specific purpose of obtaining a bike and safety accessories through the scheme, even if it brings their take-home pay below NMW.
- All stakeholders with an interest in the scheme, including government, the small business community, and the Alliance, should work together to understand the barriers to participation for small businesses, and the practical steps that can be taken to increase participation.