Complete bikes only

Get the nano™ and save up to 50%

The government have created a tax break for all UK taxpayers allowing huge savings on a new bike, clothing and accessories to encourage more commuting by bike. Paid through an agreed salary sacrifice with your employer (usually over 12 months), the cost of this equipment is free from income tax, National Insurance and, generally, VAT.

The amount you can save depends on the rate you pay tax, and whether your employer decides to make any charge for financing the cost of the bike purchase.

Electric bikes with nano™ pre-fitted can be purchased under the tax free bikes scheme - but the scheme does not cover purchase of conversion kits

The maximum value of bike that can be bought under the scheme is £1,000, unless your employer has a consumer credit license. Where our complete bikes cost more than £1,000, we sell the bike excluding the battery to your employer under the tax free scheme, and the employee purchases the battery and any accessories as a separate purchase - no tax relief is available on the portion above £1,000.

This is how the scheme works, once you have chosen the bike you want to purchase:

1. The employer purchases the electric bike from us, by selecting one of our cycle to work bikes from our website. The employer is able to reclaim the VAT on the purchase - saving 17.5%.
2. If applicable - the employee purchases the battery pack to go with the bike.
3. The employer then loans the bike to the employee for a term (usually 12 or 18 months). The employee agrees to give up a portion of their salary (this is known as “salary sacrifice”) over the period which will cover the cost of the bicycle (minus the VAT), so the cost to the employer is nil. The employer then saves the National Insurance (currently 12.8%) that would have been payable on the salary given up. Because the employee has given up a proportion of their gross salary, the employee also saves the tax and National Insurance they would have paid on this (as well as the VAT on the original price).
4. The bike is loaned to the employee for the term and at the end of that period the employee can be offered the opportunity to purchase the bike, usually for around 5% of the original purchase price + VAT.

That's it! It really is very simple, no returns are required to Inland Revenue - the tax saving is automatic.

It is a condition of the scheme that the employee agrees to use the bicycle mainly for commuting (at least 51% of its use). Travel from one work place to another and to and from a train station as part of a journey to work also qualify.

We provide all the forms required, together with an explanation of how the scheme works. An example can be downloaded by clicking the link below.