Whilst some customers look to blame the price increase on bike storeowners wanting to fund a new holiday home (rather unlikely), the fluctuating value of the pound is actually to blame.
Since the referendum vote in June, 2016 the value of the pound has been volatile, in particular against the Euro and US Dollar. The biggest impact has been against imported goods, and this unfortunately includes bikes.
Bikes are commonly imported from Asia and purchased in US dollars. With the value of the pound considerably weakened against the US dollar (as much as 18% since June) this has consequently led to a bike price increase. Take a look at any cycling news site and you’ll see reports of price increases up to 15% when comparing 2017 vs. 2016 models. But it’s not all doom and austerity, thanks to Cyclescheme.
As an outstanding employer you offer Cyclescheme, and give your employees a simple way to get a brand new bike, make a huge saving (at least 25%) whilst spreading the cost. This means cyclists in your business can overcome the bike price increase and afford to cycle commute in 2017.
With Cyclescheme savings are generated through a reduction in Income Tax and National Insurance contributions (backed by the Government’s Green Travel Plan). This allows employees to save at least 25% on their Cyclescheme package. What’s more – employees can spread the cost of their new commuter gear over 12 months (or more depending on your preferences) too, and make cycling even more economical.
There are savings for you too. For every employee who joins Cyclescheme you can benefit from a National Insurance saving of up to 13.8%. Everyone wins. Find out just how much your company could save with our handy calculator.
Ultimately for many people, a bike is a necessity. Cycling is a great mode of transport, and the fact that it’s brilliant for your health and the environment too is a bonus. By offering Cyclescheme you are helping to tackle the Brexit bike price increase, and are making cycling cost effective for employees in 2017 and beyond.
Promote your scheme today - Use the Marketing tab in your MySchemes account to customise posters and download useful resources - watch our short marketing videos to find out how it all works.
Don’t wait for staff to chance upon it. If you actively encourage Cyclescheme take-up, everyone’s a winner.
Cyclists from across Cyclescheme and the Blackhawk Network group undertook a momentous commute to celebrate Cycle to Work Day and raise money for a great cause.
Cycle to Work Day will be back on Thursday 8th August.