Cycle2Work Email:  cycle2.work@halfords.co.uk


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As the fastest growing cycle to work provider in each of the past four years, we at Cycle2Work want to share our passion for commuting by bike, whilst offering businesses and employees alike, the very best in choice, service and value.

Our customers are at the heart of everything we do, keeping us focused on delivering the ultimate cycling journey. Via our unique scheme, we’re proud to offer a solution that’s suitable for everyone, making it easier than ever to live a fitter, healthier lifestyle.


Cycle to work is a government initiative that was introduced in 2001 to encourage more people to commute to and from work by bike, enabling people to make healthier choices and reducing the UK’s carbon footprint.

The initiative also allows employees to make Tax and National Insurance savings on the cost of a new bike and safety accessories. These savings are achieved via salary sacrifice which is managed by their employer.


Salary sacrifice is where an employee agrees to give up part of their pre-tax salary in exchange for a benefit from their employer, in this case, the hire of a cycle and/or cycle accessories. Since a portion of the salary is foregone, the employee pays less tax and National Insurance Contributions on the amount sacrificed.

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Nothing! We do not charge a fee or any administration costs to set up and run your Cycle2Work scheme.


Anyone in your organisation can promote and manage the scheme! Typically, someone from payroll will approve the application and implement the salary deductions.


This is completely up to you! The employer chooses their Cycle2Work limit when they set up their scheme.


If employees are on maternity, paternity, adoption leave or long-term sickness and still receiving pay they will still have salary deductions. If they are not receiving pay, you will freeze payments until they return to work.


Cycle2Work is supported by a wide range of specialist bike dealers, catering to everyone regardless of their needs, budget, location or journey to work! This includes:

  • Halfords: 465+ stores and online via Click & Collect at www.halfords.com
  • Tredz: Online at www.tredz.co.uk
  • Independent bike stores: 860+ stores around the UK and Ireland

Through these channels’ employees will not only have access to over 98% of bike brands, they will also benefit from regular discounts and offers at Halfords and Tredz – saving them even more on their perfect bike and accessories!


You will be assigned a dedicated Account Manager who will assist you in setting up your scheme and support you with your scheme promotion. We can provide marketing material printed and distributed free of charge, as well as videos and webinars. Your employees will also be fully supported by our Customer Experience Team, as well as organised roadshows, events and late-night store openings.


Every colleague that takes part in Cycle2Work will receive:

  • Unlimited Lifetime Safety Checks on all cycles obtained through the scheme
    This means unlimited checks for wear and damage, ensuring the bike is safe to ride. We will inspect points across all key areas of the cycle: frame, saddle, handlebars, wheels, brakes and drive train.

  • Lifetime Guarantee on Halfords brand cycles
    We take pride in. the bikes we design, build and sell and are happy that all of our bikes are the highest quality. That’s why we offer a Lifetime Warranty on the frame and rigid forks of all Halfords and Halfords exclusive brands.

  • 8 Weeks FREE insurance
    We don’t want anything to stop you cycling if your bike is stolen or damaged. This is why we will cover your bike for the first 8 weeks for up to £12,000, as well as providing cover for accidental and malicious damage, theft at home, theft away from home or theft from a vehicle. We also offer a 20% discount if you choose to take out an annual policy!

All Cycle2Work customers will receive 10% off cycling essentials at Halfords for 12 months, giving them better prices on locks, lights and much more! As well as their savings of at least 32%, employees will also have access to instore sale and promotional prices and Halfords and Tredz – meaning they can make savings on top of savings!


We can align with your organisations needs and run windows of any length, at any time of year! We usually recommend a window of around a month, 2-3 times a year, as we find this targeted approach makes schemes much more successful. If your company uses a third-party benefit provider, you are able to have your scheme open all year round if you wish.


In short, no! The government guidelines state that employees should use their bike and accessories for commuting for at least 50% of its usage however they do not have to log their bikes mileage and we thoroughly encourage them to use it in their spare time!


An LoC is exactly what it says - A letter that you use to collect your chosen bike and accessories! You will be sent this via email or post once your application is approved.


As soon as you approve their application, employees will be immediately sent their Letter of Collection via email. Providing their products are in stock, your employee can simply present their LoC, a form of ID and collect their items! If it’s not in stock, they can have their chosen bike ordered into that store. Their bike will then be build and inspected by a qualified bike mechanic, ready for them to ride away.


At the end of the hire period, there will be no more admin for the employer and Cycle2Work will completely manage the process. The employee will have the three options:

  1. Zero Cost Extended Hire   Most Popular Option 
    This allows the employee to opt into an extended rental agreement at NO additional cost. They will have nothing more to pay, and the ownership will be automatically transferred to them at the end of the period.

  2. Take ownership of the goods using HMRC Fair Market Value
    This allows the employee to pay the HMRC Fair Market Value (usually 18% or 25% of the original value) and then the bike is theirs.

  3. Return the goods to their local Halfords store

An employee may want to take out a second Hire Agreement which is absolutely possible on Cycle2Work. However, the total value must not take the employee over the scheme limit or below the National Minimum Wage. You may choose to remove this option restricting employees to one hire term at a time.


If an employee were to leave your company or be made redundant in their salary sacrifice period, the remaining balance would simply be deducted from their last payslip as a net deduction.


It is ultimately the employee’s responsibility to look after the bike, and if the bike is lost, damaged or stolen the salary deductions will still continue until the end of the hire period. This is why we try to minimise this as much as possible by giving all colleagues an optional 8 Weeks FREE Insurance.


In some cases any effect is likely to be small. However, your employees need to be made aware of the implications of paying less tax and NI contributions and accepting a reduced salary. They should get professional advice if they have any concerns or need more information.


We work with the vast majority of benefit providers. Please get in touch with us or your provider to find out further information on how we work together!


Yes, all can be subject to their own government guidance. For further information contact the team here or on cycle2.work@halfords.co.uk.


Yes, we are part of ESPO, NPS and CSS as an approved partner.




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Latest News

06 Jan 2021

An update from our CEO

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