Cycle purchase schemes

What is a tax free bike scheme?

cycle2work and cycleplus are tax and National Insurance free schemes set up by the Government to help promote healthier journeys to work and reduce pollution and congestion.

How does the scheme work?

You can hire a cycle from Nottingham City Council, choosing a bike and cycle equipment to the value of between £100 and £1000. At the end of the hire agreement, the Council may give you the opportunity to take ownership of the cycle at fair market value (please note any arrangements that may be made regarding purchase of the bike at that time will be the subject of a separate agreement). You will not pay tax or National Insurance contributions on the value of the salary you sacrifice for this agreement.

For example, if you choose a cycle and safety equipment to the value of £400 and are a lower rate tax payer, you could save up to £128* on the total cost, and if you are a higher rate tax payer you could save up to £168*.

*exact savings are subject to your individual tax and national insurance calculations.

cycleplus enables employees to choose a bike from a local independent store.

Participating stores

Bunneys Bikes, Specialized Concept, Cycle Inn, Evans Cycles, Holcros Ltd, Langdale Lightweights, Powered Bicycles, Pro-Bikes, Rock n Roll Bikes Ltd, Sherwood Pines Cycles, Schokwave Bikes, The Bike Shop (Nottingham), TM Cycles Ltd, Total Fitness Nottingham Ltd and TSW Cycles.

cycle2work enables employees to choose a bike from their local Halfords store.

Find out when a cycle scheme is next open here.

Please note that all signed agreements should be returned by email to works.perks@nottinghamcity.gov.uk