Short version
Work are changing schemes and want suggestions for which one they go with. Anyone know any details of which is the best one or pros and cons of the different providers?
Currently evanscycles (which are accepted at other places) and limit of £1k.
Already asked for limit to be raised to at least £3k
It’s not going to answer your question really, but we use cyclescheme, and the limit was increased to £10K a few years ago, so that e-bikes could be purchased rather than a lot of professors riding around on Pinarello’s!
Seems alright and get the 3 year purchase option.
Might want to read this discussion:
Some places will accept Cycle scheme on sale price items. Evans being one.
Many places now charge 10% commission on CTW as that’s what they lose on the voucher.
I agree with a lot of what Poet says. It is definitely less attractive since the VAT relief that many got in the early years was lost. That’s been the known position for a long time now though.
I disagree with this bit. None of my salary sacrifices impact my pension, so it will be company by company. We can salary sacrifice for extra holiday, etc. My pension is still based off my stated base salary in the system.
Not saying a company couldn’t operate it that way, but it’s definitely not a given.
It’s not really a question about whether I’m going to use it right now but if you had to pick a scheme which would it be.
Some places say no sale bikes but some will. Some charge an extra fee to cover scheme admin costs, some don’t.
Also, when’s the last time you saw a bike genuinely on sale? I can get 25% off specialized but they have 0 stock of road bikes on their website once you get past the entry level models.
Cheers - you’re correct 
Added clarity to my original post now.
To answer your Q @jgav …
Probably one that offers the option of not charging and admin fee
One that will offer a supplier who actually has bikes in stock at the price range potential employees will want to purchase at - maybe look at doing a quick poll at work?
One that offers the deferred ownership option
Think that’s it?
Holy thread resurrection
Are bike to work schemes more attractive if you’re in the higher tax brackets?
I have no idea about tax efficiency, but I suspect I’m not efficient because I don’t know what the fuck I’m doing and I’m too exhausted all the time to think about it.
Yes, ignoring what happens near the bands and stuff, salary sacriifice save 42% if you’re higher rate, vs only 32% as a basic rate tax payer.
Personally I think just buying with cash, especially 2nd hand works out better, but it does depend on if you’re going to finance the purchase anyway.
Still mulling this over.
If I spend £3500 on the scheme the online calculators say I’m saving £1650.
Over a year that’s around £155 per month.
But then I’m charged 25% of the bike right? So that’s £875.
£875 +(12x155)…something like £2735.
Unless I rehire it for five years or something and stay at the company that time. If I leave I’m charged the rrp.
I suppose £800 is a significant saving but like Poet said, it feels like £800 to prevent me leaving.
I’ll see what the chances of promotion are first.
I’m not sure who actually does this, or rents it back at peppercorn rent before writing it off.
Agree. You just “rent” it for 5 years. Then it’s yours for free. The additional payments are to buy it outright I think.
Coincidentally this morning my 5 year statement came through from Evans. This is the table from the email.
The 1 year transfer value is where you got the 25% from yes? As you can see, this reduces to 0% over 6 years.
Agreed. I just need to be in a position where staying with the same employer for six years is financially viable first.
After the first year it doesn’t matter does it?
Maybe I’m not getting something?
What matters is when you leave the employer that is providing the loan, and the percentages you get charged what stage. So if I leave then I’m charged larger sums unless I stay there forever.
So I spoke to my employer about what happens if I leave after the first 12 months, they said it’s nothing to do with them, speak to the bike shop. The bike shop say it’s nothing to do with them, speak to the employer.
Sounds like a cheap bike then! I actually suspect your employer is wrong.
It very much depends which scheme you use. My understanding of cyclescheme, as an example, is that they take over the “contract” after the employer salary deductions end. And so they administer the final balancing payment. I think they follow the rules fairly prescriptively. But some others are a bit more carefree.
It is on the whole a lot more regimented nowadays tho. Back in the day you saved the VAT too, but HMRC finally set some boundaries and participants in the schemes are expected to follow them
