Cycle to work scheme
Save tax and NI
Important information for applicants and users of the Cycle to Work Scheme - June 2021
Although many of our offices are largely shut, the Cycle to Work Scheme remains open. The scheme is however solely for bikes that are intended to be used primarily for cycling to work, in accordance with HMRC requirements.
The Cycle to Work Scheme rules that confirm: “Employees who join a scheme from 21 December 2020 will need to meet all the normal conditions of the exemption.”
To ensure HMRC compliance and benefit from Income Tax and National Insurance savings on the value of your bike, at least 50% of your bike’s use must be for cycling to and from work in the 12 month hire period. This includes any combination of journeys between home, station and office, as well as cycling between offices or to visit clients.
You do not need to keep a detailed record of the time or number of miles you cycle. However, please be mindful if you are working from home as, if less than half of your bike’s use is for cycling to and from work, then it could become subject to income tax in the normal way. It is your responsibility to ensure you comply.
Employees who accessed a bike via Cyclecheme between the first lockdown and 20 December 2020 were exempt from the standard 50% rule.
Further information can be found on the HMRC website.
Our Cycle to Work Scheme
This is a fantastic benefit to your physical and financial wellbeing and help promote sustainable travel.
Due to government changes we are able to dramatically increase the amount that you can borrow via our scheme from £1,000 to £2,820 (or 5% of gross salary) - to align with our Annual Season Ticket Loan Scheme, subject to affordability. This fantastic change will enable us to work with Cyclescheme in delivering an increased service while supporting our environmental strategy. This will support you in being able to access electric bikes, mobility bikes and higher quality bikes and safety equipment.
The University is partnered with Cyclescheme, that has a network of over 2000 independent cycle stores nationwide for staff to select a bike and safety equipment that is right for your lifestyle.
It’s so easy to save with the Cycle to Work scheme. You simply choose a bike from over 2,000 retailers, hire it for 12 months from Cyclescheme via salary exchange payments that help you save 25-39% on a new bike for work, then when your Hire Agreement and salary exchange ends, you can keep your Cyclescheme package by making a small additional payment back to Cyclescheme.
How do I apply?
Shop now by visiting Cyclescheme and using our University code: UOM
If you need further information after reading the Cycle to Work Guidance, please contact HR Services at:
- Email: HRServices@manchester.ac.uk
- Tel: 0161 275 4499