People who cycle to work will get 50 per cent off the value of a new bike under a scheme.

Under the bike to work plan Cycle Solutions, staff can choose a bicycle and cycling equipment up to a value of £1,000.

Any business can adopt the scheme. Sutton council is urging businesses to sign up to save employees money, get them fit, and help the environment.

In a Government tax-break, staff can sign up to an 18-month contract and pay a monthly sum straight out of their wages.

Those who sign up to the scheme will not pay income tax, national insurance or VAT on the bikes. The only catch is at least 50 per cent of the bike’s usage must be for work purposes.

There are only minimal administration costs to businesses that adopt the scheme.

However, these are offset by national insurance savings an employer makes.

Councillor Colin Hall, executive member for environment on Sutton Council, said: “Cycle to work schemes are a great way to encourage more staff to choose cycling for their daily commute.

“For less than £10 a month and no initial deposit, they could get a new bike and make major tax savings, not to mention the money they would save if they are switching from the car or public transport.

“The benefits for business include less money spent on parking spaces and a fitter, more alert workforce – at no extra cost.”

  • For more information visit cyclesolutions.co.uk