Cycle to Work Scheme
Cycle to Work is a Government scheme that allows employees to save (up to 42%) on the cost of new bicycles and related equipment through salary sacrifice arrangements. This means you save by paying less on income tax and NI contributions. For information on how salary sacrifice works see the Salary Sacrifice Scheme page.
As of 1 December 2015 the scheme is operated for the University by Halfords (replacing Cyclescheme) through their nationwide stores, online at www.halfords.com or their Partner Independent Bike Shop network.
You must use the bike for work-related purposes e.g. commuting. The scheme is not a bike purchase scheme. Instead, you 'hire' the bike/equipment from the University (supplied by Halfords) to a maximum value of £1,000 for the duration of the agreed hire period of 12 months. After this time you may continue to hire the bike from Halfords at no extra cost or purchase it at its fair market value.
- Free bike accessories to the value of 12.5% of your Hire Agreement.
- One year Halfords Bike Care Plan includes free annual service (parts excluded).
- Halfords Discount Card 20% of all parts and accessories during the period of your hire.
- Family Discount Cycling Voucher (one off 20% discount off Apollo range bikes)
- All employees can benefit from a10% discount on purchase of Halfords gift vouchers.
- Note: Items 1 to 4 not available from partner independent bike shops.
Here's what you do
- First step is to visit the Halfords cycle2work page and read the information about the scheme.
- Using the link on the above page sign up (the University unique employer code is GREENWICH2015).
- Visit a Halfords store, or www.halfords.com, or a Partner Independent Bike Shop and decide how much you want to spend.
- In the meantime you will receive an e-mail from Halfords asking you to validate your address. Once validated go back to cycle2work, login and apply.
- Once submitted you will receive an e-mail from Halfords with your Hire Agreement. Once signed electronically your application is sent to the University for to be approved.
- The Human Resources Directorate will verify your entitlement and approve your application online. Once complete you will receive two e-mails; a counter signed copy of the Hire Agreement and a Letter of Collection which you must print off and take to the shop to redeem (along with photographic ID).
- Once your request has been authorised you will be sent by the University a contract amendment letter with details of your salary sacrifice i.e. the value of your Hire Agreement will be spread over 12 months and deducted from your gross salary thereby reducing your Income Tax and NI liability over this period. Note the value of savings will depend on your tax status.
- At the end of the hire period you can enter into a Managed Extended Hire with Halfords for a further 4 or 5 years at no additional cost after which the bike will be transferred to your ownership for free. Alternatively you may purchase it at the HMRC fair market value, or return the bike to a Halfords store.
All employees are eligible for the scheme provided they have a contract of employment expected to run for at least 12 months from the beginning of the hire period, and they intend to use the bike/equipment, at least in part, for work-related purposes.
Further information, including Frequently Asked Questions, is available on the Halfords cycle2work page or call 0345 504 6444.