Cycle To Work Schemes

Backed by the government, it enables PAYE employees to pay for bikes and accessories via salary sacrifice and it gets better! Because no income tax or national insurance is deducted from the scheme payments, the overall cost of the bike can be between 30 and 40% less than the recommended retail price.

Sounds great, right? These days, with some schemes offering no upper purchase limit, all kinds of bikes can be purchased on a cycle to work scheme. These include electric bikes and electric cargo bikes.

There are two ways to buy via a cycle to work scheme at Velorution. The first is own Velo To Work scheme, ideal for small businesses. The second is to purchase via one of the leading suppliers of cycle to work schemes including the likes of Cyclescheme, Cycle2work, Green Commute Initiative and Vivup.


What is it?

Velorution's own cycle to work scheme. A hire agreement between Employer and Employee for the provision of a bike.


Unlike 3rd party schemes, it's simple to use with no vouchers involved and follows the Department of Transport Cycle to Work guidelines which can be found here.

How does it work?

  • Download and fill in the Velo To Work hire agreement between you and your employer and complete. 
  • Choose what equipment you would like to purchase.
  • Once you have chosen your bike and accessories, provide us with the contact details of your company.
  • When your company has approved the purchase we will send an invoice for payment.
  • Inform your company payroll provider of your cycle to work purchase and they will make the necessary salary sacrifice. 
  • Upon payment, the bike and accessories will be available for collection.

Employee Benefits

     1. Paying for a new bike over a 12-month period out of their salary.
     2. Personal tax saving in income tax and national insurance contribution.
     3. Employees will typically save between 31% and 48% of the retail cost of bikes and accessories (dependent on their exact salary).

Employer Benefits

     1. A tangible benefit you can offer to employees.
     2. Typically, organisations can save 13.8% of the total value of salary sacrifice because of reductions in the amount of National Insurance Contributions due.
     3. The cost of cycling equipment can be treated as capital expenditure and therefore employers can claim capital allowances against it.
     4. Fitter and healthier staff.

For further info email: [email protected] or use our 'Can we help' widget that appears in the bottom right-hand corner of this page.

VELOTOWORK Hire agreement is regulated by the Consumer Credit Act 1974 - Agreement between the Employer and Employee for the provision of a bike.

Cycle To Work Schemes

We accept cycle to work vouchers from major providers including Cycle2work and Cyclescheme. We accept orders via this payment method online and instore.

Please note that we reserve the right to refuse cycle to work payments on discounted or promotional items.

If you already have a voucher with another scheme we can redeem it towards a Velorution stock bike. We support the following schemes:

Green Commute Initiative Vivup Ride To Work Cyclescheme Cycle Solutions Cycle2work


Cycle To Work Schemes FAQ

How do I buy a bike on cycle to work?

Begin by finding out which cycle to work provider your company is signed up to. Determine how much you can spend and which bike and/or equipment you'd like to buy and from whom (Velorution of course!). Apply for the scheme.

Can I get a cycle to work quote?

Cyclescheme and Cycle2work don't need you to present a formal quote to apply for the scheme they just need to know how much you would like to spend. Other schemes might require a quote. We can arrange this for you, contact us here.

How much can I spend via cycle to work?

It depends. Previously a £1000 limit was a common occurrence. Thankfully, many employers have removed this cap with some deciding to offer no upper limit. We advise checking with your employer in the first instance - usually, your company's HR department is the best place to start. Just remember that the scheme amount is the recommended retail price, not the tax-free amount.

Can I top up the amount I'm allowed to spend with my own funds?

No, this is not allowed.

Who owns the bike when I buy it via a cycle to work scheme?

During a cycle to work scheme, the employer owns the bike. The technicality of the scheme dictates that your employer effectively rents you the bike for the duration you pay via salary sacrifice.

Do I need to insure a bike purchased via cycle to work?

Yes. Any bike and equipment purchased via a cycle to work scheme remains your responsibility. If a bike is stolen you will continue to pay for the bike monthly until the scheme finishes. With every bike purchased from Velorution we offer 10 days of free insurance.

What happens at the end of a cycle to work scheme?

There are three options. One, return the bike. Two, take ownership of the bike - in this scenario your employer may be asked to pay a fair market value price for the bike. Third, you can choose to extend your hire agreement for a small refundable deposit.