Staff benefits

This is a salary sacrifice scheme which provides an Income tax and National Insurance efficient way to pay towards the hire of a bicycle (and associated safety equipment) up to the value of £2,500 (£3,000 for e-bikes) for 12 months. The bicycle obtained under the scheme is mainly to be used for commuting to work by the participating employee.

You sacrifice part of your annual salary to cover the hire of a bicycle (and associated safety equipment) for 12 months.

The bicycle will be hired from Halfords who have worked in partnership with many organisations in the provision of Cycle-to-Work schemes for a number of years.  The monthly payments towards the hire of the bicycle will be taken directly from your monthly salary.

After the 12 month period, you have three options:

• Return the bicycle to the scheme provider, Halfords who are based in Worcestershire;
• Continue to use the bicycle and hire from Halfords by signing an “Extended Use Agreement”.  There are no further monthly deductions, or other payments. 
• Take ownership of the bike paying Halfords either 18% or 25%* of the certificate value.

*The lower figure relates to a certificate value of less than £500 and the higher figure relates to a figure of £500 and above.

Please follow this link for more information - Cycle2Work from Halfords, and they also have Frequently Asked Questions. You can also find out more detail through a Halfords Cycle to Work presentation, delivered to the University in Spring 2023.

This is the initial value of the bicycle and associated safety equipment.

For University employees, the maximal value is currently

£2,500 for bicycles and safety equipment

£3,000 for e-bikes and safety equipment.

• Find your local partner shop using our search facility at cycle2work.info/bg_C2WStoreMap
• Partner shops are not only Halfords shops, but also a number of local and UK bicycle retailers as well as online retailer www.tredz.co.uk 
• Visit the shop and choose your bike and approved safety equipment, to identify the value of certificate (‘Letter of Collection’ or ‘LoC’) you want to apply for. If you can't find what you are looking for, the Halfords helpdesk will support you to source specific bicycles or bicycles with similar specification in similar price range - phone 0345 504 6444 or email cycle2work@halfords.co.uk 
• Log into MyLifestyle Platform www.edenred.uk.com using the Edenred log-in details you were provided with.

-> These are NOT your work email address and password. 

-> All staff members were issued with a specific Edenred password by email on the 3rd July 2020.

-> If you have not received this because you have started with the University after that date, please contact the Performance, Pay and Reward team.

• Cycle to Work can be found in the mybenefits tab. Complete the online application.
• Once the online application is submitted, the University will check your eligibility, ask you to sign a Cycle Plus condition sheet and approve (or, if not eligible, decline) your request.
• After approval by the University, Halfords will send you the ‘Letter of Collection’ by email.
• You redeem the letter of collection in the bike shop upon production of photographic ID.

The amount you can save is based on the certificate value and directly linked to your level of income, your rate of income and rate of National Insurance contributions. 

The table below is indicative of typical savings you can make in the initial 12 month hire period subject to your personal circumstances.

Halfords offers access to most bicycle brands through their own shops, online retailer Tredz, and independent bike shops. In the Glasgow area, they work for example with Dales Cycles Glasgow, Trek Store – Alpine Bikes, Philip Lang Cycles and Bike Chain Glasgow. Find more with Halfords store locator https://www.cycle2work.info/bikes/store-locator.

The nearest Halfords shops are based in Shettleston, Braehead, Rutherglen or Paisley. If a bicycle cannot be sourced from any of these shops, Halfords offers a Special Order Desk with free delivery.

• Unlimited Lifetime Safety Checks on all cycles obtained through the scheme
• Lifetime Guarantee on Halfords brand cycles
• 10% off all things cycling at Halfords for 12 months (excludes Cycling Tech, Turbo Trainers, Brompton Bikes, Electric Scooters and Electric Bikes)
• 8 Weeks Free Insurance and 20% discount if you choose to take out an annual policy
• Access to all instore sale and promotional prices at Halfords and Tredz

This is the 12 month period in which you have sacrificed part of your salary to pay for the hire of the bicycle.

After the 12 month period, you have three options:

• Return the bicycle to the scheme provider, Halfords who are based in Worcestershire;
• Continue to use the bicycle and hire from Halfords by signing an “Extended Use Agreement”.  There are no further monthly deductions, or other payments.
• Take ownership of the bike paying Halfords either 18% or 25%* of the certificate value.

*The lower figure relates to a certificate value of less than £500 and the higher figure relates to a figure of £500 and above.

If you leave employment before the end of the initial 12 month hire agreement, the outstanding balance would be repayable immediately and, if possible, it would be deducted from your last net salary payment, meaning you would not have Tax and National Insurance savings on any outstanding balance. 

After the end of the original hire period, Halfords will contact you to offer their Extended Hire Agreement for no further cost.

If you leave employment during the “Extended Use” period, as your contract is directly with Halfords it will transfer with you.

Throughout the initial 12 month hire period, and after, the bicycle package remains the property of Halfords.

If, after the initial 12 month period you opt to pay either 18% or 25%* of the certificate value, you will become the owner of the bicycle.

However, you do not have to buy the bicycle off Halfords, if you enter the ‘Extended Use Agreement’, which would offer you further use of the bicycle without any additional cost.

*The lower figure relates to a certificate value of less than £500 and the higher figure relates to a figure of £500 and above.

HMRC has published a ‘Valuation Table’ to be used to calculate the market value of bicycles and safety equipment at the end of the initial hire period, for the case that you want to take ownership of the bicycle and not enter into the “Extended Use Agreement”. 

This can be viewed at www.hmrc.gov.uk/manuals/eimanual/EIM21667a.htm.

There is no requirement for you to cycle to work for a specified number of days throughout the year and there is no special requirement for you to record your trips. You can also use the bike for leisure at weekends and on holiday, although a bike provided through Cycle Plus should be ridden for at least 50% of your trips to work.

HMRC do not expect you to keep a record of mileage.

Yes, you can use your bike for business purposes during the working day, although you may not claim expenses for business trips made on a bike obtained through this scheme. Employees should ensure they are insured for third party and theft during these trips.

You have the responsibility to insure the bike and by signing the hire agreement you are agreeing to do this.

You should advise your insurance company that you are hiring the bicycle as part of an employer scheme.

Household policies are usually much cheaper than specialist policies but you must ensure that the insurer covers the bike when in storage away from your home. You also need to check that there’s no upper limit on a claim (if you have a reasonably expensive bike). 

If the bike is stolen then you have effectively left the scheme and need to pay all outstanding monies from your net salary. See FAQ: ‘What happens if I leave the University during the initial 12 month hire period?' 

It is very important to insure the bike, and any goods fitted to the bike, to safeguard against the losses following theft. You can obtain safety equipment from Halfords and other partnering shops, where you can ask for locks to conform to insurance companies’ requirements.

You are responsible for maintaining the bike for your own use. Your local shop will be able to advise you about necessary servicing depending on how you use your bike. 

Yes if it is part of the Halfords partnership network.  Delivery fees for mail order bikes must be paid for outside of the scheme as they do not qualify for tax relief.

Yes, you can select electric-assist bikes in the scheme, up to the value of £2,500. In the application process, and if you apply for a value higher than £1500, you may be asked to show a quotation or other confirmation to us as proof that you have obtained an e-powered bicycle.

Yes.

Any deposits taken on your credit card will be credited back when you redeem your voucher.

There is no credit check.

Under the terms of the scheme it is not possible for you to cancel your hire. You are therefore committed to Cycle Plus for the duration of the hire period. If your employment is terminated during the hire period you will still be liable to complete payments identified in the agreement. This means that you must be sure you are happy entering the scheme and with the selection you have made.

More frequently asked questions outlining how participating in all parts of Benefits Plus may affect you can be found at Benefits Plus: frequently asked questions.

If you have any further questions about Cycle Plus, please email travelplanning@glasgow.ac.uk