The Cycle to Work Scheme delivers a net total of £573 million in annual economic benefits across retail, productivity, health, and household savings. This is real money with real impact: 

• Retail & tax revenues: In 2023/24, employees used the Scheme to purchase £219 million of bikes and accessories, generating £43.8 million in VAT – including £8.3 million that simply wouldn’t have happened without the Scheme. That spending has provided a much-needed lift to a cycling sector that has faced tough trading conditions in recent years. 

• More pounds in people’s pockets: For employees who switch from using their car to travelling by bike, average commuting cost savings reach £1,262 per year – money that flows straight back into household budgets and local economies. 

• Workforce productivity: Employees newly commuting by bike save their employers £63 per person per year through reduced sickness absence, plus £115 per person in productivity gains from improved attendance and consistency. Together, that’s £37 million a year back into the economy. 

• Cleaner, greener commutes: By enabling healthier travel choices, the Scheme helps reduce transport emissions and supports a more resilient, lower-carbon workforce. 

The Cycle to Work Scheme has helped millions of UK workers access a bike for their commute, not as a luxury, but as a practical way to save money, improve their health and travel sustainably.  

The benefits are clear: 

• The scheme supported £219 million worth of bicycle and accessory sales in 2023/24, generating £43.8 million in VAT and boosting the UK cycling sector. 

• Workforce benefits come in at around £37 million a year through lower sickness absence and higher productivity. 

• Household savings totalled approximately £41 million as employees switched to cheaper, greener commuting. 

• 38% of participants say they now commute by bike for the first time, a strong sign of behaviour change. 

• Health research shows cycling to work reduces the risk of cardiovascular death by 24% and cancer by 16%, while over 1,100 premature deaths could be prevented annually through increased active travel. 

A cap would undermine these gains
The Government’s own policy frameworks underline the value of active travel. The Cycling and Walking Investment Strategy and the NHS 10 Year Plan emphasises a shift from “sickness to prevention” and a need for healthier, more active lives.  

Introducing a cap or limiting salary-sacrifice access would erode the scheme’s attractiveness and effectiveness for both employers and employees’ meaning fewer bikes, more cars back in driveways and on the road, higher congestion, and greater long-term burden on public services. 

A call for sensible policy that backs inclusion
The Cycle to Work Scheme is working exactly as designed: it helps people commute more sustainably and healthily, supports business and industry, and advances climate goals.  

Imposing a cap narrowly aimed at “high-end” bikes risks penalising those who rely on e-bikes, cargo bikes or adapted cycles to make cycling possible. 

Let’s continue building on this success. A thriving scheme means healthier people, stronger communities and a more sustainable transport future. 

A major boost to public health and prevention efforts 

We know that 38% of scheme participants are completely new to cycle commuting which means that the scheme has changed the way they move around every single day, helping them to cultivate a new habit that has the potential to transform their lives.  

According to the research, when compared to travelling by car, cycling to work cuts the risk of dying from cardiovascular disease by 24%, and from cancer by 16%.  

In the office, 90% of employers report that their workforce is healthier since introducing the Scheme, helping to embed a healthy workplace culture. 

The benefits reach far beyond the workplace. Health savings from reduced premature deaths are estimated at £4.7 million (NPV), showing that when more people choose to cycle, the impact is felt across society.  

The Cycle to Work scheme is helping people stay active, easing pressure on the NHS and showing how prevention can be part of everyday life. It’s a simple policy with powerful results. 

Productivity, wellbeing and prevention – the healthy business case 

By making active travel easier, the scheme enables people to feel fitter, more energised and more productive. Participants now cycle an average of 30.4 miles a week, up from 12.4 miles before joining the scheme – evidence of real, sustained behaviour change. 

This growing participation is delivering measurable benefits not just for individuals, but for employers and the wider economy – proving that good health policy is good economic policy too. 

Cycle to Work participants take, on average, 0.34 fewer sick days per year, saving employers £63 per employee in sickness costs. Across the workforce, that translates into £2.1 million in annual savings, or £15.1 million NPV over eight years. 

The findings reveal that cycling to work delivers £37 million in combined annual benefits from reduced absenteeism and increased productivity. This simple workplace benefit supports healthier workforces and stronger businesses. 

Swansea University: a case study in healthier workplaces 

At Swansea University, offering the Cycle to Work Scheme has increased staff cycling to 14%. The University reports better employee wellbeing, higher productivity and reduced car parking pressures. 

Jayne Cornelius, Sustainable Travel Officer, Swansea University told us: 

“Implementing a year-round cycle-to-work scheme is a considerable advantage for our staff, as it allows them to sign up for a bike or accessories at any time to support their commute.  

By raising our limit, we have empowered staff who travel from longer distances or navigate challenging terrain to cycle to work. For these staff, being able to choose a compliant electric bike means they can make these journeys.  

As a proud signatory of the Healthy Travel Charter and a Gold-level Cycle Friendly accredited employer, having a Cycle to Work scheme is crucial for promoting active travel within our organisation.”  

Prevention through participation 

The Cycle to Work scheme is a simple, proven intervention that helps people move more, feel better, and perform better at work, all while saving money and supporting a greener economy.  

Thousands of people who had never cycled before are now building activity into their daily routine, improving their health and wellbeing, and contributing to a stronger, more productive UK. 

This is prevention in action, and clear proof that when more people can cycle to work, everyone benefits. 

A £573 million annual boost to the UK economy 

The new research shows the Scheme delivers a net total of £573 million in annual economic benefits across retail, productivity, health, and household savings. This is real money with real impact: 

• Retail & tax revenues: In 2023/24, employees used the Scheme to purchase £219 million of bikes and accessories, generating £43.8 million in VAT – including £8.3 million that simply wouldn’t have happened without the Scheme. That spending has provided a much-needed lift to a cycling sector that has faced tough trading conditions in recent years. 

• More pounds in people’s pockets: For employees who switch from using their car to travelling by bike, average commuting cost savings reach £1,262 per year – money that flows straight back into household budgets and local economies. 

• Workforce productivity: Employees newly commuting by bike save their employers £63 per person per year through reduced sickness absence, plus £115 per person in productivity gains from improved attendance and consistency. Together, that’s £37 million a year back into the economy. 

• Cleaner, greener commutes: By enabling healthier travel choices, the Scheme helps reduce transport emissions and supports a more resilient, lower-carbon workforce. 

Behaviour change, at scale 

Since launch, the Scheme has helped over 2 million people access a bike. In 2023/24, 199,000 employees participated; that rose to 209,000 in 2024/25. Crucially, 38% of users are new to commuting by bike — hard evidence that the Scheme doesn’t just subsidise existing behaviour; it changes it. 

Why it works 

It’s simple and hugely rewarding. Employees get hassle-free access to bikes and essential kit through salary sacrifice, with clear savings. 

It tackles multiple challenges at once. Household cost pressures, business productivity, public health, congestion and emissions — the Scheme moves the needle on all of them. 

It supports British retail. Consistent demand sustains bike shops and suppliers, anchoring skills and jobs on high streets nationwide. 

25 years on: time to widen access 

Last year, the Alliance marked the Scheme’s 25th anniversary by launching a manifesto calling for government to unlock access for lower earners and widen eligibility for the self-employed. These are practical, targeted reforms that would make the Scheme fairer and amplify its proven benefits — especially for people who would gain most from lower commuting costs. 

What happens next 

The evidence is clear. A policy that: 

• Delivers £573m in annual economic benefits, 

• Drives behaviour change (with 38% new cycling commuters), 

• Strengthens a vital retail sector, and 

• Saves money for households and employers alike, 

…is a policy worth backing – and expanding. 

On behalf of the Cycle to Work Alliance, I’m calling on policymakers, employers and industry partners to work with us to open up the Scheme to more people. Let’s make it easier for everyone – including lower earners and the self-employed – to choose a cheaper, healthier, cleaner commute. 

Because when more people can cycle to work, everyone benefits. 

Today, Steve takes over from Chris Last who Chaired the Alliance since 2023. As Chair, Steve will work with all members of the Cycle to Work Alliance – as well as industry partners and Government advocates – to maximize the reach of the Scheme and expand access to cycling to ensure more people can benefit from the proven health, environmental, and economic advantages of commuting by bike. 

The Alliance would like to thank Chris for his determination and hard work during his time as Chair. He led multiple industry and MP roundtables driving forward the active travel agenda, and united members and industry to strengthen the voice of the cycling community. 

The Cycle to Work Scheme has enabled well over 2 million employees to access a bike to date. Successfully, Chris oversaw the Parliamentary launch of the Alliance’s Manifesto for Cycle Commuting, a report that outlined a series of strategic proposals that aim to bridge access for the 80% of UK workers that could still benefit from the Scheme, as found in the Alliance’s recent YouGov poll. 

The Alliance’s commitment to engaging with Government, the Cycling and Walking APPG, and numerous industry groups and bodies, will be continued by Steve who will actively push forward the industry’s priorities for active travel and see that the Scheme remains a vital benefit for all. 

Heading into 2025, the Alliance will focus on: 

1. The economic contribution of the Scheme and its role as a driver of growth in the UK. 

1. The role of both the Scheme and active travel in transport decarbonisation, making commutes more environmentally friendly.  

1. Ensuring the physical and mental health benefits of active travel are recognised. 

1. Support for expanding the Scheme and ensuring more people can participate – building on the Alliance’s efforts to open the Scheme to e-bikes and specially adapted bikes. 

Speaking of his appointment, Steve Edgell said:  

“It’s an honor to take on the role of Chair following such a monumental year for the Scheme and Alliance. Over the past 25 years, the Scheme has empowered millions of people to experience the life-changing benefits of cycling.  

My focus will be to build on this success – working closely with our partners, Government, and the wider cycling community to break down barriers to access, improve safety, and champion cycling as a sustainable, healthy, and cost-effective way to commute.  

On handing the baton to Steve, Chris Last reflected on a successful tenure:  

“It has been a privilege to have served as Chair since 2023. I’m incredibly proud of the progress we’ve made for the industry and I’m confident that under Steve’s leadership, the Alliance will continue to break new ground, make cycling accessible to even more people and drive the active travel agenda forward.” 

Marking the 25th anniversary of the Cycle to Work Scheme, the Cycle to Work Alliance has today published a manifesto outlining a strategic vision for expanding cycling access across the UK. Unveiled at a reception in Parliament, the manifesto presents a comprehensive roadmap aimed at tackling existing barriers to cycle commuting, supported by exclusive polling from YouGov.

Despite the Cycle to Work Scheme enabling over 2 million employees to access a bike to date, exclusive YouGov data shows that 80% of UK workers could still benefit from the cycle to work scheme. The Alliance’s Manifesto sets out a roadmap for the next 25 years of cycle commuting in the UK to ensure access for all.

The manifesto, supported by exclusive data commissioned with YouGov and bringing together views from across industry and politics, sets out bold policy recommendations to expand access to cycling and ensure that more people can benefit from the proven health, environmental, and economic advantages of commuting by bike.

The manifesto outlines a series of strategic proposals, including:  

• Enhanced Safety Measures: Urging the Department for Transport to include the needs of cyclists in its new Road Safety Review.  

• Improved Infrastructure: Advocating for long-term funding to build safe and accessible cycling routes.  

• Expanded Scheme Access: Encouraging policy changes to include low-income earners and the self-employed in the Cycle to Work Scheme.  

• Support for E-bikes: Promoting the use of e-bikes as a key solution for older and long-distance commuters, while countering misconceptions about their safety.  

The recommendations are supported by exclusive YouGov polling, which shows that:   

• Safety and infrastructure concerns continue to prevent people from cycling: 45% of potential cyclists are deterred from commuting by bike due to concerns about safety with twice as many women than men fear cycling to work.  

• There continues to be a cycling gender gap: Almost three times as many men (74%) cycle to work than women (26%).   

• Age: Cycling to work uptake is similar across most age groups, making it a commute for everyone!  

• The number of cycle commuters varies by region: London (27%) and the North of England (20%) are home to the highest number of people who cycle to work. Wales is home to the lowest (0.9%).  

• Accessibility: there is room for smaller businesses (10-49 employees) to offer the scheme to employees as 31% said they do not currently have access to the scheme.  

Celebrating 25 Years of Success

Since its launch in 1999, the Cycle to Work Scheme has helped millions of people shift to greener, healthier forms of commuting. The manifesto is a pivotal step in ensuring the scheme continues to grow, adapt, and remove the obstacles that prevent more people from experiencing the benefits of cycling to work.