Cycle to Work Scheme: Electric Bike Guide
Electric bikes are revolutionising the way we commute. More and more people are choosing to leave their car at home and jumping on an electric bike and riding to work every day instead.
It's not surprising people are choosing e-bikes as their preferred form of transport - they're fun to ride, boost wellbeing, reduce commuting costs and help support environmental sustainability.
Electric bikes are expensive though, with a huge 90% of people in a recent study saying that the cost of an electric bike is the main barrier to participation.*
With Cyclescheme, the UK’s most popular Cycle to Work scheme provider, companies can help their employees save up to 42% on electric bikes and cycling equipment and spread the cost each month.
The best bit? It's totally free for businesses to join and is actually a cost-positive employee benefit to run.
In this guide, we cover everything you need to know about Cycle to Work scheme electric bikes, including:
- ● What an electric bike is.
- ● What the benefits of electric bikes are.
- ● What Cyclescheme is.
- ● The benefits of getting an electric bike through Cyclescheme.
- ● How to get an electric bike for a reduced cost through Cyclescheme.
- ● Frequently asked questions about electric bikes.
Want to help your employees save money on an e-bike straight away? Click here to join Cyclescheme for free today.
*Data taken from 2023 Study conducted by Edinburgh Napier University on electric mountain bikes (e-MTBs)
What is an electric bike?
Electric bikes are electrically assisted pedal cycles (EAPC). This basically means they are bicycles that have a small battery powered motor that assists you when pedalling. For a bike to be classified as an electric bike, the motor can only assist the rider pedal, it can’t propel the bike on its own. This is called pedal-assist, or pedal-assisted cycling.
Most electric bikes offer a number of different pedal-assist modes. Each mode offers a different level of motorised support and the amount of power you get depends on the mode you've selected as well as how hard you pedal.
Just like changing gears, you can switch modes when riding to change the amount of power assistance you’re getting - perfect for when you’re struggling up a hill!
What are the benefits of getting an electric bike?
Many of us enjoyed riding our bikes when we were children and now, thanks to electric bikes, more of us are starting to enjoy the freedom of riding once again.
There are many benefits of getting an electric bike, here are some of our favourites:
Less Work and More Fun
Electric bikes are brilliant because they make riding more accessible to new, existing and returning cyclists - regardless of age or fitness level.
The pedal-assist power makes cycling less strenuous, giving you extra confidence and support regardless if you’re riding through trails or down your local high street. You can ride for longer distances too, perfect for building up fitness!
Electric bikes do some of the hard work, so you can have fun and enjoy your ride!
Reduce Your Carbon Footprint
Electric bikes are a fantastic eco-friendly alternative to cars. By choosing to leave the car at home and ride to work or the shops instead, you are helping reduce traffic congestion and carbon emissions in your local areas - significantly reducing your own carbon footprint.
As well as this, as more people switch to e-bikes, the demand for fossil fuels decreases, helping to reduce the overall consumption of non-renewable energy resources.
While it's true that the production of e-bike batteries does have a carbon footprint, the emissions saved by using an e-bike instead of a car significantly outweigh the initial environmental cost of the battery.
In fact, thanks to their efficiency and no tailpipe emissions, riding an e-bike to work reduces your personal carbon emissions by up to 90% compared to driving a conventional car.
Opting for an e-bike for your commute means you're making a sustainable choice for yourself and supporting a larger movement towards a more sustainable and environmentally friendly future.
Avoid Traffic & Cut Costs
Let's be honest - we all hate sitting in traffic! Thanks to electric bikes, you can navigate traffic with ease, bypassing congestion and avoiding the stress of being stuck in traffic on your morning commute.
Plus, with the support of pedal-assist, commuting by bike now comes without the exhaustion associated with riding a standard bicycle!
With rising fuel prices, commuting on an electric bike is also significantly cheaper than driving a car or using public transport.
The cost of petrol, parking fees, and vehicle maintenance can quickly add up, making driving an expensive option. Electric bikes, on the other hand, have lower operating costs, as they only require occasional battery recharges and minimal maintenance compared to cars.
Keeps You Healthy
Cycling isn’t just enjoyable; it’s really good for you too! Regularly riding an electric bike can significantly improve your cardiovascular health, strengthening your heart and lungs while promoting better blood circulation and improving overall endurance.
In a study by the University of Glasgow, it was shown that cycling may cut your risk of premature death by 40%, with a huge 45% lower risk of developing cancer and a 46% lower risk of heart disease, compared to a non-active commute.
Cycling on an electric bike also contributes to mental wellbeing. Engaging in regular physical activity is known to release endorphins, which are natural mood lifters that can help combat stress and anxiety.
Being outdoors in the fresh air and sunlight, also boosts your mood and energy levels - another one of the many health benefits of cycling!
What is Cyclescheme?
The Cycle to Work scheme is a government initiative designed to encourage more people to ride to work everyday. Cyclescheme, owned and provided by BHN Extras, is the UK's leading Cycle to Work scheme benefit provider.
It's a high impact, easy to manage and cost positive way to improve your employee benefits package. Cyclescheme is a salary sacrifice benefit, which means employees spread the cost of their new e-bike and cycling equipment interest-free over 12 months. Because payments are taken before tax and National Insurance (NI) deductions, employees and employers save money on tax costs too!
When companies sign up to Cyclescheme, they also get free access to BHN Extras.
Introducing BHN Extras
BHN Extras is one of the UK's leading benefit providers with the only FREE employee benefits platform in the market. BHN Extras is the employee benefits platform for growing, small businesses.
Extras provide easy-to-implement and cost-effective salary sacrifice schemes, including Cyclescheme and Home & Tech Scheme. They also supply bYond, the employee pre-paid cashback card which helps shoppers save up to 15% on purchases.
Totally free to join, BHN Extras is the best and easiest way for companies to improve their employee benefits package.
Ready to boost your employee benefit package? Join BHN Extras by clicking here to see how our platform can supercharge your employees benefit package.
What are the benefits of getting an electric bike through Cyclescheme?
Cyclescheme is a hugely popular workplace benefit. It is an employee salary sacrifice scheme, which provides lots of benefits to both employers and employees, including:
Benefits For Employers
Improve Your Employee Benefits Package
Never underestimate the power of a good employee benefits package! In today's competitive job market, attracting and retaining top talent goes beyond offering a good salary. Employees want to work for companies that offer comprehensive and unique benefits that support their overall health and wellbeing.
By joining Cyclescheme for free, companies can boost their employee benefits scheme and show their employees that they genuinely care about their wellbeing, helping attract and retain talent.
Productivity Boost
As well as a happier workforce, you'll have a healthier workforce too!
Research shows that when staff are happier and healthier, they're much more productive. Not only will staff be more productive, by cycling to work every day, your staff's physical fitness and mental wellbeing naturally improves. This in turn helps reduce sick days, with staff who cycle to work regularly taking an average of 1.3 fewer sick days a year, compared to people who don't.
Environmental Responsibility
As a business, you'll be constantly looking for ways to support your Environmental, Social and Governance (ESG) and Corporate Social Responsibility (CSR) goals.
By adding Cyclescheme to your employee benefits package, you're promoting sustainable commuting options which helps reduce your businesses carbon footprint and helps towards your ESG and CSR goals.
Employer Tax Savings
When joining Cyclescheme, employers also get financial benefits too!
As Cyclescheme is a salary sacrifice scheme, allowing employees to spread the cost of their new e-bike over 12 months interest free, you can save up to 13.8% on National Insurance contributions and company tax on all spends made through the scheme.
That means Cyclescheme isn't just free to join, it's actually cost-positive!
Access to BHN Extras Employee Benefit Platform
Cyclescheme is provided by BHN Extras - the only FREE employee benefits platform.
When joining Cyclescheme, employers get free access to BHN Extras and all the other fantastic employee perks we offer!
Employees also benefit from this, as they'll get the chance to access bYond cashback card for just £5 a year; earning them up to 15% cashback on purchases across hundreds of retailers UK wide!
Ready to join Cyclescheme and improve your employees benefit package? Click here to sign up for free today.
Benefits of getting an electric bike through Cyclescheme For Employees
Save Money and Spread the Cost
When your people obtain an e-bike through Cyclescheme, they will pay nothing upfront and save up to a massive 42% on the RRP of their brand-new bike and cycling accessories!
Cyclescheme is a salary sacrifice agreement, so employees pay for their new bike via monthly instalments, taken directly from wages. Because the payments are taken directly from salary, employees actually end up paying less tax and National Insurance! And although repayments are split into manageable chunks, there is zero interest.
At the end of the 12 months, employees then choose an ownership option. Cyclescheme handles this process, so you don’t have to. With our recommended option, employees make a small, one-off payment (up to 7% of their Cyclescheme package value) and extend their hire period for another 3 years with no further repayments required. At the end of this time, Cyclescheme automatically transfers ownership to the employee.
Tax Efficiency
When employees obtain a new e-bike through Cyclescheme, they save up to 42% on the RRP via tax and NI savings.
Because Cyclescheme is a salary sacrifice agreement, payments are taken from pre-tax wages before it's paid to employees. This reduces their taxable income, resulting in lower Income Tax and NI contributions!
Improved Health and Wellbeing
Regular cycling is great for one's fitness as it helps reduce the risk of chronic diseases such as heart disease, diabetes, and obesity.
The pedal-assist feature of electric bikes is amazing as it makes it easier for people of all fitness levels to engage in regular exercise - meaning everyone can benefit from a healthier, more active lifestyle - without the strain associated with traditional biking.
As well as the physical health benefits, cycling also has profound effects on mental well-being. Engaging in regular physical activity, such as e-biking, is known to release endorphins, which are natural mood enhancers that help alleviate stress, anxiety, and depression.
Cycling to work also helps reduce stress, with a huge 82% of Cyclescheme participants saying they feel less stressed after commuting by bike!*
Free Cycle Insurance
When getting a new e-bike through Cyclescheme, employees automatically qualify for 14 days free insurance from award-winning insurance provider, Bikmo.
Once this free insurance period is over, Cyclescheme customers also benefit from exclusive discounts on on-going insurance policies!
Protecting their new e-bikes and cycling equipment through Bikmo means employees can just relax and enjoy the ride!
We recommend all bike owners get insurance for their bike. If an employee’s bike is lost or stolen during their salary sacrifice agreement period, they will still have to make the payments.
Unrivalled Choice Of E-Bikes
When employees get an e-bike through Cyclescheme, they benefit from being able to shop at the biggest selection of cycling brands.
Cyclescheme is partnered with over 2,600 bike shops across the UK - more than any other scheme provider! This includes independent bike shops in your local community, big-name stores, online retailers and even brand direct.
Our partnered bike shops offer a wide range of bikes and electric bikes, from road bikes and city bikes to mountain bikes ready to hit the trails.
How to join Cyclescheme and get electric bikes for a reduced cost.
It couldn't be easier for companies to join Cyclescheme and get employees riding to work! There are already over 50,000 employers offering Cyclescheme as an employee benefit, and over 1,000,000 employees have already used the scheme.
In just a couple of clicks, you can register for free with BHN Extras, giving you access to all the amazing employee benefits, including Cyclescheme.
We even provide you with all marketing material you'll need to promote your new employee benefit!
Ready to get rolling? Click here to join BHN Extras and get Cyclescheme for free today.
Are you an employee wanting to join Cyclescheme?
If you're an employee and want to benefit from up to 42% off a brand new e-bike, contact us to see if your company is part of the scheme... And how to get them to join if they're not!
