This yr the Cycle to Work scheme celebrates its twenty fifth anniversary. A properly recognised firm profit, this UK authorities run wage sacrifice scheme supplied by employers, helps staff save as much as 42% on the worth of a brand new bike and tools by taking funds out of your month-to-month wage earlier than tax.
Since 1999 it has helped greater than two million within the UK, with seven in ten accessing the scheme fundamental fee tax payers. It has a formidable success fee too, turning 80% of first time subscribers into common riders.
I’m one among them. Having purchased my first bike (a Brompton folding bike) via the scheme 17 years in the past, biking whether or not for work, leisure or health has turn into a continuing.
Bike store controversy
The Cycle to Work scheme has made headlines in current months after it emerged that scheme suppliers have been charging as a lot as 10%, thus consuming into already slim margins, with some suppliers looking for to undercut the retailer by contacting the shopper instantly. Not all schemes are created equally – Gogeta or the Inexperienced Commute Initiative, for instance – cost decrease commissions at 3% and 5/6% respectively, and are thus favoured by native bike outlets.
While the fee scheme suppliers take from native bike outlets has been raised as a serious situation for retailers, for the person, it’s a cash saver. Certainly, this could solely be a great factor? Nicely, sure, when you’re an worker with an employer that provides the scheme. Nonetheless, below the present arrange, sadly some staff are extra equal than others.
Tom Edwards (36) runs his enterprise TG Edwards Woodworks simply exterior of Haslemere in Surrey. A sole dealer, he’s annoyed by the dearth of help for these in his place.
Edwards’ workshop is seven miles from his dwelling in Godalming. He’d usually choose to cycle to work somewhat than drive his van, and feels with a cargo bike it will even be doable to do some jobs by bike, too.
“It looks like a further penalty to establishing your personal enterprise that there’s no help if you wish to do the precise factor, and journey in a more healthy and greener means by biking. It could be nice if there was one thing for sole merchants who need to cycle to work or use a motorcycle as a part of their enterprise – I’d positively find yourself biking extra usually if that was the case.”
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There’s the rub: when you’re self employed or on nationwide minimal or residing wage, Cycle to Work shouldn’t be for you. That appears an unfair penalty for having an entrepreneurial spirit or not having a better paid job.
(Picture credit score: Getty Pictures)
Chris Final, chair of the Cycle to Work Alliance, is a passionate believer about the advantages of the scheme notably throughout a value of residing disaster. He instructed Biking Weekly, “[The scheme] provides a viable alternative for individuals to chop prices in fairly a difficult financial atmosphere, which can enable them to get to work shortly, simply and healthily.”
Nonetheless, on the inherent inequality of the scheme, he concurs. “From an inclusive perspective it will be nice to have extra individuals utilising the scheme, notably self-employed, freelancers, and people on the minimal and residing wage,” Final mentioned.
“The bottom revenue earners face the most important challenges financially, so something that may be achieved to help them, the higher. That’s one of many issues we’re trying to reform.”
The alliance shouldn’t be alone in its want for change, so too is the All Get together Parliamentary Biking and Strolling Group (APPCWG), a gaggle of like minded MPs and Lords from throughout the political spectrum working to make biking and strolling simpler.
Co-chair of the APPCWG, Conservative MP for North Devon Selaine Saxby, instructed Biking Weekly, “We must always look to enhance the scheme by opening it as much as the self-employed and retired individuals in order that they can also reap the advantages of elevated bodily exercise.
“Some decrease paid staff can’t use the scheme as a result of their revenue would fall beneath the Nationwide Minimal Wage guidelines and I want to see this addressed and have written to the Treasury accordingly. These advantages aren’t only for the office however to society typically.”
It’s encouraging to see uniformity from the alliance and politicians that extra must be achieved to enhance the scheme so extra staff can profit, however maybe one of many best ironies of the scheme given its title, is how these not in employment, training or coaching are ignored.
Many individuals in such a scenario would possibly discover a automobile too costly to run, and public transport not match for his or her wants. Arguably simpler entry to a motorcycle could possibly be the means for some to vary their place for the higher.
Cherry Allan of Godalming, Surrey positively believes so. Simply over one yr shy of retirement, she was made redundant in January after 25 years working in coverage for a nationwide charity. Eager to search out work till her pension kicks in, she’s trawling for jobs in close by cities and believes a motorcycle would enhance her prospects.
“I’m one among about 16% of adults who stay in households with out a automobile, so a folding bike – perhaps even an electrical one – could be perfect for any commuting arising,” mentioned Allan. “However the associated fee continues to be prohibitive, and there is not any cycle-related monetary incentive at the moment open to individuals in my scenario.
“I am attempting to do the precise factor by sticking to benign transport, maintaining match and economically lively, however the Authorities is not serving to, not to mention rewarding me. Once I see gas obligation frozen but once more at a value of £billions, I’m, to place it mildly, extraordinarily miffed.”
It’s not simply the self-employed and eager to get again to work who’re unsupported.
Brian Smith (not his actual title) from Newcastle, claims incapacity advantages whereas working half time as countryside entry advisor. He would like to cycle extra, nevertheless he feels the present system is just too difficult for individuals like him and with the system making driving the one viable possibility.
“A minefield of complexity”
“It’s a minefield of complexity which inspires individuals to go for a free tailored automobile. To get maintain of an acceptable e-bike is bloody troublesome – however may really be rather more useful for me.”
This, in accordance with Smith, is as a result of via the Private Independence Fee (PIP) scheme, these with restricted mobility can decide to have their weekly contributions of £70 go to Motability which can give them entry to a brand new tailored automobile, the place there is no such thing as a Car Excise Responsibility, insurance coverage and the one actual value is gas.
For these with decrease ranges of incapacity, they can’t entry this scheme, however would possibly profit from an e-bike. However, you’ve guessed it: they’re left in limbo the place entry to a automobile, not to mention an acceptable bike continues to be largely unattainable.
The nationwide charity for biking, Biking UK, says it recognises the advantages but in addition downsides of the Cycle to Work scheme which excludes so many, and suggests the federal government runs a parallel scheme.
Business director, Katie Legg mentioned, “This new scheme may present focused help to buy a pedal cycle, for individuals who are registered as disabled, or who’re referred by a medical skilled to a ‘biking on prescription’ scheme.”
The charity additionally desires to see the chance to ‘strive before you purchase’, arguing individuals with restricted means can’t be anticipated to fork out massive sums of cash with out understanding they’ll make good use of the brand new cycle.
Selaine Saxby MP goes one step additional, and suggests doubtlessly an easier neater answer,”I’ve even instructed [Cycle to Work] could possibly be revamped and repositioned as ‘Biking For Well being’, inviting individuals to make use of bikes for errands, leisure and different basic transport wants, enjoyable the necessity for 50% of the cycle’s use for use for commuting functions.”
If such a scheme was in a position to accommodate all these at the moment excluded, it will certainly assist extra individuals into biking. The actual trick nevertheless is how one can preserve them driving as soon as they begin, and that’s an even bigger downside altogether requiring improved infrastructure, higher behaviour on our roads and for these heading to work understanding their bike will nonetheless be there once they end the day’s shift – however that’s one other article altogether.
