How to Get a Tax-Free E-Bike Through a Cycle Scheme — and Why Allen’s Makes It Easy
If you’ve been putting off buying an electric bike because of the upfront cost, we’ve got good news: there’s a government-backed scheme that could save you up to 42% on your new e-bike — and Allen’s accepts them all.
Here’s everything you need to know about cycle schemes and how to use yours at our Leighton Buzzard showroom.
What Is a Cycle Scheme?
The Cycle to Work scheme is a UK government initiative that’s been running since 1999. It lets employees get a new bike — including electric bikes — through their employer via salary sacrifice. That means your payments come out of your gross salary before tax, so you’re not paying income tax or National Insurance on that portion of your earnings.
The result? Significant savings, zero upfront cost, and a shiny new e-bike for your commute.
How Much Could You Actually Save?
The savings are genuinely worth it — especially when you’re buying an electric bike, which typically costs between £1,000 and £4,000.
Do E-Bikes Qualify for the Cycle to Work Scheme?
Yes — and they’re arguably the best possible use of it.
As long as the e-bike meets UK EAPC regulations (pedal-assist only, motor cuts out at 15.5 mph, maximum 250W continuous power), it qualifies. Most modern electric bikes sold in the UK meet these criteria, including the full range we stock here at Allen’s.
Given that e-bikes cost significantly more than standard bikes, the tax savings through salary sacrifice are proportionally much larger too.
How Does the Process Work?
1. Check if your employer is signed up to a cycle scheme provider. Most medium and large employers are — and if yours isn’t, it costs them nothing to join, so it’s always worth asking.
2. Get your voucher or letter from your scheme provider.
3. Visit us at Allen’s E-bikes in Leighton Buzzard, take a test ride, and choose your bike.
4. Redeem your voucher in store. Your employer effectively purchases the bike on your behalf, and you repay them in monthly salary deductions — before tax.
No upfront cost. No hassle. Just a great e-bike.
Which Cycle Schemes Does Allen’s Accept?
We accept all major cycle schemes including:
- Green Commute Initiative (GCI)
- Cycle Solutions
- Cycle2Work
- Bike2Work Scheme
- Caboodle
Not sure if we accept yours? Just get in touch — if your scheme isn’t listed, we’ll do our best to accommodate it.
Please note: Sale prices cannot be applied when using a cycle scheme voucher. Delivery charges also apply. Some schemes may include an admin fee — contact us before you apply and we’ll walk you through exactly what to expect.
Why Buy Your Cycle Scheme E-Bike at Allen’s?
Buying an electric bike online is easy. Buying the right electric bike is a different thing entirely — and that’s where we come in.
At our Leighton Buzzard showroom, you can test ride every bike before you commit. Our team will take the time to understand how you ride, where you’re commuting to, and what matters most to you in an e-bike. We’re not here to sell you the most expensive thing on the floor — we’re here to help you find the one you’ll actually love riding.
Ready to Use Your Cycle Scheme?
If you’ve got a voucher ready to go — or you’re not sure where to start — give us a call on 0800 0016284 or pop into the showroom.
📍Allen’s E-Bikes, 57 High Street, Leighton Buzzard, Bedfordshire, LU7 1DN
Open 7 days a week. Test rides available on all showroom bikes.
We’ll take care of the rest.
