The Cycle to Work scheme is a fantastic initiative that encourages more people to commute by bicycle, offering numerous benefits to both employees and employers. However, while the scheme itself is beneficial, it’s crucial to be cautious about which service provider you choose. One such provider, Cyclescheme, has garnered a reputation for less-than-favorable business practices. Below, we explore the advantages of Cycle to Work schemes and provide some important considerations when selecting your provider.

Benefits of the Cycle to Work Scheme

1. Cost Savings: One of the most significant advantages of the Cycle to Work scheme is the financial savings. By purchasing a bike through the scheme, you can save up to 42% on a new bike and accessories due to the income tax and National Insurance savings.
2. Health Benefits: Regular cycling improves cardiovascular fitness, strengthens muscles, enhances joint mobility, decreases stress levels, and improves posture and coordination.
3. Environmental Impact: Opting for a bike instead of a car reduces your carbon footprint, helping to combat climate change and improve air quality.
4. Increased Productivity: Employees who cycle to work often report higher levels of productivity and job satisfaction, attributed to the physical activity and reduced stress from avoiding traffic.
5. Employer Benefits: Employers benefit from healthier, more punctual employees and can also take advantage of tax incentives for providing the scheme.

Important Considerations When Choosing a Provider

While the benefits of the Cycle to Work scheme are clear, selecting a reliable provider is crucial to fully enjoy these advantages without encountering issues. Unfortunately, the UK’s most popular provider, Cyclescheme has received numerous complaints regarding their business practices.

Here are some reviews from Trustpilot to illustrate the concerns:

• Hidden Fees

  : Many users report hidden final deposits that are non-refundable. These deposits are required to own the bike outright after the initial 12-month period, often catching customers by surprise.
  
  

“Company makes money by profiteering from the government’s scheme by hiding a final NON-REFUNDABLE ‘deposit’ for the customer to own their bike outright.”

“It bills you £12 every month and this does not include credit to cycle with – All cycle fees are on top of this, and it expects a minimum for your wallet to be able to ride.”

• Aggressive Payment Demands

  : Customers have received threats to repay the full HMRC benefit or face bike repossession if they do not choose a payment option immediately after the 12 months.
  
  

“After 12 months they will send letters demanding payments with threats to repossess the bike or make you liable to repay the full HMRC benefit.”

• Inflexibility and Poor Customer Service

  : Users have reported issues with inflexibility, poor customer service, and lack of compassion in dealing with problems such as medical issues preventing bike use.
  
  

“Despite never ordered or received a bike. CycleScheme have now taken 2 payments, and show no compassion to cancel my certificate.”

“Quite easy to set the scheme up but some of the retailers on their website are just super disorganised and the guys at Cyclescheme somehow think they don’t have a responsibility to get the order to you.”

• Restrictions on Discounts

  : Cyclescheme does not allow purchases of discounted bikes, which can negate the supposed savings from the tax benefits.
  
  

“They don’t allow you to buy bikes that are discounted, so you end up paying a price that is far too high to begin with.”

• Complicated Ownership Process

  : The process of owning the bike outright after the initial rental period can be confusing and frustrating, with additional unexpected payments required.
  
  

“They demand money off you once you have paid for your bike in full. This is NOT in the contract that you sign but some conflicting information can be found on their website.”

Tips for a Positive Cycle to Work Experience

1. Read the Fine Print: Ensure you thoroughly read all the terms and conditions of the scheme before committing. Look out for any hidden fees or deposits.
2. Compare Providers: Don’t just settle for the first provider you come across. Compare different Cycle to Work scheme providers to find one with transparent practices and good customer reviews.
3. Check Independent Reviews: Look at independent review sites like Trustpilot to understand other customers’ experiences with the provider you are considering.
4. Customer Service: Choose a provider known for excellent customer service. This can make a significant difference if any issues arise with your bike or the scheme.

Conclusion

The Cycle to Work scheme is an excellent way to save money, improve your health, and help the environment. However, it’s vital to choose a reliable provider to avoid unexpected issues and hidden costs. By doing your research and selecting a reputable provider, you can enjoy all the benefits of the scheme without the potential drawbacks highlighted in the reviews of CycleScheme.