Returning to work – Cycle to work boost #COVID19 #coronavirus

“One form of transport which has seen a significant increase is cycling – it is great to see people switching to a clean, green mode of transport with significant public health benefits” – Grant Shapps (4th June 2020)

Grant Shapps

Back on 9th May the government launched its campaign for a new era of walking and cycling. “Far more people will be cycling and walking thanks to plans to boost greener, active transport”. .

Vouchers are being made available for cycle repairs, “to encourage people to get their old bikes out of the shed, and plans are being developed for greater provision of bike fixing facilities. Many more will take up the Cycle to Work scheme, which gives employees a discount on a new bike”

Cycle to work schemes often operate via a salary sacrifice arrangement where an employee agree to a contractual pay reduction to then receive an employer provided bike. Employers need to consider the implications with Furlough pay and Statutory Payment leave. You cannot salary sacrifice these payments. Also there can be National Minimum Wage implications.

The government are also trialling E-scooter “to help encourage more people off public transport and onto greener alternatives”. Originally set to take place in 4 Future Transport Zones, the trials of rental e-scooters – which will now be offered to all local areas across the country – will allow government to assess the benefits of e-scooters as well as their impact on public space, with the potential to see rental vehicles on UK roads.

PAYadvice.UK 5/6/2020

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