Steve Edgell, Chair, Cycle to Work Alliance:

“Following speculation, we are happy to confirm no changes to the Cycle to Work Scheme have been announced in the Chancellor’s Budget this afternoon.

 

Separately, the Chancellor has recognised that one of the greatest pressures on household budgets is the cost of commuting. We will continue to work closely with Government to ensure the Scheme remains one of the most popular and successful workplace initiatives – helping save commuters costs by over £1,200 every year.

 

This follows endorsement of the Scheme by Transport Minister Lilian Greenwood this Autumn, who called the Scheme “a real success story, helping millions of people choose a healthier, greener way to travel while boosting local economies and supporting jobs”.

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. 

By Steve Edgell, Chair of Cycle to Work Alliance  

I wrote a piece for LBC, published this morning, discussing how the scheme is firmly rooted in supporting everyday commuters. We know that two-thirds of participants pay the basic rate of tax, and many use the scheme because they need an e-bike to manage longer or tougher journeys, or an adapted cycle to suit their needs. The decision to lift the original £1,000 cap in 2019 opened doors for people whose commutes demanded more than a standard bike.

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. 

By Steve Edgell, Chair of the Cycle to Work Alliance 

The Cycle to Work Scheme has helped over 2 million people access a bike over the past 25 years. I’m incredibly proud of this milestone – because supporting so many people to make one small change to their day has the power to make a significant difference to their lives, whether financially, physically or mentally. 

To better understand that impact, we asked independent experts to examine how the Cycle to Work scheme is not only transforming the way the UK commutes, but also how it stays healthy. 

The research quantifies the powerful public health and economic impacts of cycling to work – from reducing premature deaths and improving wellbeing, to lowering sickness absence and boosting productivity. 

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. 

By Steve Edgell, Chair of the Cycle to Work Alliance 

For more than 25 years, the Cycle to Work Scheme has helped people unlock the freedom, health benefits and everyday practicality of cycling to work. Today, the Alliance is proud to share new independent research that quantifies what many of us have long felt: this is one of the UK’s most effective workplace benefits for households, employers, high streets and the wider economy. 

Endorsing the research, Local Transport Minister, Lilian Greenwood, said: “The Cycle to Work Scheme has been a real success story, helping millions of people choose a healthier, greener way to travel while boosting local economies and supporting jobs.  

“This new research shows just how powerful active travel can be, and that’s why this Government is investing £616m over the next four years, to help make walking and cycling a safer and easier way to get around, wherever you live and help grow the economy, so we can deliver our Plan for Change.” 

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. 

Every year, Cycle to Work Day gives us the chance to celebrate the life-changing potential of cycling for commuters across the UK.

Summer is here and cycling to work is the best way to enjoy time in the sun before and after work.

Today is a timely reminder of just how much difference the Cycle to Work Scheme can make.

Enabling Active Commutes for Millions

For 25 years, the Scheme has helped millions save on the cost of a new bike – and is now responsible for driving 1 in 4 adult bike purchases in the UK.

The impact doesn’t stop at purchase. Our research reveals a huge behavioural shift where around 80% of participants cycle every week after joining – up from just 40% before.

Getting your bike through the Scheme also covers all the must-have gear: helmets, lights, locks, and high-vis clothing. That means you’re not just saving money — you are gearing up for a safer, more confident ride from day one.

The Scheme is driving the E-bike Revolution

Electric bikes are transforming the way people travel — and the Scheme is driving this revolution.

One in ten scheme users joined to access an e-bike. Among all current participants, nearly 30% are thinking about going electric for their next bike, rising to 40% for those over 50. That’s a clear signal that e-bikes are unlocking commuting for a whole new group of riders.

Older workers and businesses alike have embraced the shift. Two-thirds of users over 50 say they’re more likely to re-join the scheme, and a similar number of employers report that the change has drawn in more interest from staff.

With e-bike sales tripling since 2018 and even faster growth forecast for 2025, it’s clear this trend looks set to continue!

Championing a Healthier Workplace Through the Scheme

Offering the Cycle to Work Scheme is one of the most effective ways employers can boost staff wellbeing, encourage active travel, and promote sustainability — all while offering a benefit that people truly value.

The Alliance is working closely with national Government in Westminster, as well as regional transport bodies and combined authorities to develop policies that support the next generation of cycle commuters.

Steve Edgell, Chair of the Cycle to Work Alliance, has commented:

“As we mark Cycle to Work Day, we’re calling on more employers to embrace the scheme and offer access to bikes and e-bikes as a simple but powerful workplace benefit. It’s not just good for people – it’s good for workplace productivity, and good for the planet.”

Cycle to Work Day is more than a calendar date, it is an opportunity to rethink how you travel. Whether you’re an employee looking for a healthier commute or an employer aiming to support your team, the Cycle to Work Scheme delivers real impact.

 

On 15th May 2025, the Cycle to Work Alliance hosted leaders from across the active travel, business, and cycling advocacy sectors to confront one of the most pressing challenges facing the UK’s active travel ambitions: how to ensure safe, inclusive, and accessible cycling for all.

The Alliance was joined by representatives from Cycling UK, Association of Cycle Traders; Bikeability; Cycle Solutions; Vivup; Cyclescheme; Labour Cycles; Association of Independent Professionals and Self-Employed (IPSE); London Councils; Conservative Environment Network; the Chartered Institute of Payroll Professionals; and the University of Leeds.

While the policy framework for active travel continues to strengthen, participants agreed that without accelerated delivery on the ground and a unified voice across the sector, inclusive cycling will remain out of reach for too many.

Key themes of the debate included:

Making cycling safe

Safety remains the number one concern, particularly for women. Despite progress in infrastructure and investment, the cycling gender gap persists – with men still over 25% more likely to cycle than women, according to polling commissioned by the Alliance.

The roundtable called for inclusion to be embedded into the Department for Transport’s upcoming Cycling and Walking Investment Strategy, from cycle training and improved storage to a cultural shift that presents cycling as an everyday activity for all people – not just the confident few.

Empowering local delivery and employer engagement

Local authorities are at the sharp end of delivery – yet too often they are left without the funding or resources needed to bring active travel plans to life. Participants stressed that progress depends on empowering local councils to implement infrastructure, communications, and support that meet the needs of their communities.

Employers also have a key role to play from workplace cycle parking to supporting commuting routes and promoting the benefits of cycling. Businesses are well-positioned to help embed a culture of active travel.

Widening access – especially for the self-employed and low-paid workers

The Cycle to Work Scheme continues to be a vital tool – contributing to nearly a quarter of adult bike sales last year. But its potential is still far from fully realised. The current salary sacrifice model excludes many of those who would benefit most – particularly self-employed individuals and lower-income workers.

The roundtable discussed the importance of developing new access routes, such as retail finance and direct support options, that retain the scheme’s strengths while expanding its reach. With the gig economy on the rise, reforming access isn’t just a question of fairness – it’s an economic imperative.

Uniting behind a shared voice for change

Perhaps the clearest message from the roundtable was the need for greater alignment across the sector. Participants backed proposals for a shared charter on inclusive travel planning, a common evidence base, and coordinated communications to strengthen national influence.

A consistent, cross-sector voice can help ensure cycling is seen not as a fringe lifestyle, but as an essential, equitable, and low-carbon mode of transport – one that delivers health, economic, and environmental benefits at scale.

Delivery and change

The roundtable made clear that the building blocks are in place – but the time for delivery is now.

By working together, empowering local action, and ensuring no one is left behind, the sector can create streets that are safer, more accessible, and truly inclusive.

Last week’s Westminster Energy, Environment & Transport Forum policy conference brought together leading voices in active travel to discuss the future of cycling and walking in England. Among the speakers was Steve Edgell, Chair of the Cycle to Work Alliance, who shared key insights on infrastructure, accessibility, and important policy changes that could drive significant uptake in active travel. Here are his main take aways: 

Investing in Infrastructure 

The government’s £300 million commitment to active travel is promising, but real progress is dependent on high-quality, consistent infrastructure. Active travel infrastructure is so often treated as second-fiddle to the roads network – after recent storms it took a couple of hours to clear the way for cars; but weeks to clear the cycle paths.  

To encourage more cycling, especially among women and night-time commuters, the National Cycle Network must meet higher standards—ensuring well-lit, smooth, and well-maintained paths. Without this, potential cyclists will always be put off. 

Expanding the Cycle to Work Scheme 

The Cycle to Work Scheme has played a crucial role in increasing cycle commuting, contributing to nearly one in four adult bike sales last year. But there are easy things we can do to make the Scheme more accessible, such as to lower earners and self-employed workers. The Alliance is keen to work with policymakers to widen access to the Scheme so those who have the most to gain can reap the benefits.  

We are delighted that HMRC has recently authorized the use of shared bike schemes, such as TfL’s flagship Santander Cycles scheme, through Cycle to Work. This will make cycling even cheaper and more accessible. 

Shifting Public Perception 

I also highlighted the need for public and political discourse around active travel to shift. Resistance to low-traffic neighbourhoods (LTNs) and speed reductions remains a challenge. In Wales, lowering the speed limit to 20mph has been hugely successful and improving road safety, but this has been drowned out by negative media coverage. 

To change attitudes, we as active travel advocates must be consistently highlighting the benefits of active travel, including: 

  • Health – Reducing car reliance lowers healthcare costs. 
  • Economic Savings – Cycling commuters save an average of £1,262 per year. 
  • Sustainability – An 8km bike commute saves 750kg of CO2 annually. 

Making Active Travel a Practical Choice 

For walking and cycling to become mainstream, they must be as convenient and safe as other transport options. I was pleased to hear others on the panel advocating for improved integration with public transport and options to travel with bikes on trains. I also highlighted the potential for employers to use Employer National Insurance Contribution savings to invest in vital infrastructure like secure bike storage in workplaces, and helping employees with advice on local active travel commuting routes. 

The Road Ahead 

With the Integrated National Transport Strategy under consultation and a spending review approaching in June, now is the time for decisive action. The conference made it clear: cycling and walking must be treated as essential transport options, not afterthoughts. 

By improving infrastructure, expanding access, and changing perceptions, active travel can become a realistic and attractive choice for all. 

Following a successful year, marking the 25th Anniversary of the Cycle to Work Scheme, the Alliance is pleased to announce the appointment of its new Chair, Steve Edgell of Cycle Solutions.  

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.

(PDF 969.30 KB)

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.  

“The Cycle to Work Scheme has been instrumental in promoting active travel for 25 years, helping over 2 million people access a bike to cycle to work, but we recognise that many people face obstacles to being able to commute by bike. The manifesto and our exclusive data make clear that now is the time for action. We’re calling on policymakers, employers, and industry to come together and ensure that cycle commuting can thrive. This isn’t just about cycling; it’s about delivering cost-effective transport, healthier lifestyles, and a greener future for all.”

Spokesperson for the Cycle to Work Alliance

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.

The Cycle to Work Alliance and the Association of Cycle Traders have identified common areas of interest around Cycle to Work reform. Both parties are committed to working together to drive forward positive change opening up Cycle to Work to more people and to grow the cycle market for all.

The Cycle to Work Alliance and Association of Cycle Traders held positive and productive discussions on the contribution of the scheme, the views of independent bike retailers and the collective support for reform.

Both organisations are united in recognising that the scheme plays an important role in the cycle market which has faced a challenging time following the pandemic. Improving and growing the market to support retailers, scheme providers and prospective cyclists is what collectively drives us and our priorities for reform.

As we look to the next 25 years of the Cycle to Work Scheme, we want to go further to break down barriers to cycle commuting by:

  1. Unlocking the scheme for those on low incomes, National Minimum Wage and the self-employed to ensure equitable access to cycling.
  2. Working with the government and industry to simplify and minimise administrative barriers, making it easy and attractive for organisations to offer and employees to utilise the scheme.

The Cycle to Work Alliance and its individual members will continue to engage with the Association of Cycle Traders on the experience of independent bike retailers to ensure the scheme works for everyone. The Alliance and Association of Cycle Traders are committed to working together in our shared interests and look forward to ongoing discussions about the scheme, its contribution and how it can be taken forward for all.

Chris Last, Chair of the Cycle to Work Alliance

Jonathan Harrison, Director of the Association of Cycle Traders

Our members