Consider other alternatives for e-bikes
Cyclescheme works OK but there are other options which are better for you and the shops selling e-bikes. I've used Cyclescheme to buy one e-bike, which ended up falling apart just after one year, so I didn't save much in the end. Partly the reason for this is that Cyclescheme requires you to pay an additional 7% of the total price after the one year hire period so the tax reduction will be smaller than it first appears. 7% comes from the HMRC valuation where the bicycle is estimated to have 7% value left after 4 years when it finally becomes officially yours.
I suggest looking at the Green Commute Initiative (GCI) instead. It will take 5 years and 9 months before the bicycle is officially yours, but you only have to pay £1 more (again HMRC value estimation). For the cyclist, the difference how long it takes to really own the bike doesn't make a difference in most cases. There is also a high probability that the e-bike battery reaches the end of its lifecycle in 4 years and it's not guaranteed that you can find spare parts, which means that the value of the initially expensive e-bike is practically zero.
There are other reasons for going with GCI. They don't have the £1000 limit so you can buy a decent e-bike with a great discount. In addition, their commission from resellers is less than half of Cyclescheme's, so your purchase helps to keep the local bike shops in operation. Without local bike shops, there will be nobody to service our e-bikes!
Cyclescheme is clearly a great business - both the cyclist and the reseller pays them, total in about 17% of the price of the bike. No wonder it is one of the fastest-growing businesses in UK.
Ps. I have no connection to Green Commute Initiative, feel free to do your own research before making the decision.
1. lokakuuta 2019
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