It used to be common for there to be a limit of £1,000 in similar schemes, and there may still be for some providers, so we want to make it clear that GCI does not have a limit. It’s up to each employer as to whether they want to set a limit or not.

Yes, Green Commute Initiative is authorised and regulated by the Financial Conduct Authority. Since you’re hiring a bike from GCI, your employer doesn’t need FCA approval. View our FCA registration.

We are compliant with regulations from HMRC and the Department for Transport.

Employers can set their own limits for employees. GCI does not set any limits. Even given the financial benefits of the scheme employees should still be sure they will be able to afford the repayments incurred.

GCI does not charge a ‘sting-in-the-tail’ exit fee. Other schemes may charge a percentage at the end – we know of at least one that charges 7% to keep the bike.

If an employee keeps a bike to the end of the free-of-charge Extended Loan period then there is a £1 (yes, one pound) fee to take ownership of the bike.  This is simply a tax marker to protect you from any future claim from HMRC.

The GCI scheme ensures you get the full benefit of the tax-break from HMRC.

If the employee wants to own the bike outright before the end of the loan period they can do so and GCI will advise on the tax implications.

You can expect to save between 28% – 47% of the value of the bike through reduced tax and NI contributions. The exact amount will depend on which personal tax band you are in.

Use our savings calculator to find out exactly how much you will save on your bike package.

When an employee leaves before the end of the agreement, any outstanding amount on the Salary Sacrifice Agreement must be repaid within 14 days of leaving the employment. The outstanding amount can be taken from employee’s gross salary as long as it does not take them below minimum wage – this means they still receive the tax-free benefit.  If this does not fully cover the outstanding amount, the money can be taken from the employee’s net salary or the employee can pay it through their own means. However, this does mean that the employee loses the tax free benefit on any amount not paid via their gross salary.

Employees are not able to take part in a salary sacrifice scheme if doing so would take them below the National Minimum Wage.

Employees are encouraged first to look at potential lower-priced packages and/or longer repayment periods if available.

If this is not possible, some of our registered employers offer a net salary reduction scheme to lower paid employees which we call ‘Everyone Cycle’. We also offer short-term bike subscription packages.

Employers may also offer pool bikes.

Where a salary sacrifice arrangement is used your gross pay is affected which in turn impacts upon your tax and National Insurance Contributions (NICs). As entitlement to some benefits is based on the amount of NICs that are paid and others on earnings, entering into a salary sacrifice arrangement may affect your current or future entitlement to a range of benefits. This is not something that GCI are able to offer advice on and you should seek independent financial advice if concerned.

Yes, reducing your gross salary will most likely reduce your pension contributions which in turn affects your final pension pot.

However, your employer might have different pension arrangements in place. Please consult your pension provider for more details.

We recommend that employees place a deposit to secure a bike.

If you do proceed, the deposit will be refunded back to you by the shop when you collect your bike and give them your Collection Voucher.

If the bike shop has had to place a special order for you, they may decide to withhold the deposit if the deal does not go through. You should ensure both you and the shop are clear on this point.

We charge a commission to bike shops and manufacturers.  This is just 5% which is used to cover our costs as a not-for-profit organisation.

Yes, you should include this in the total price of the package.

As a social enterprise, GCI’s constitution prevents it from incurring debts which means that it cannot go bust and no one else can have any claim on its assets.

In today’s retail environment this is a vital safeguard.

GCI owns the bike for the duration of the hire and loan periods but we’re contractually obliged to hire it to you during the hire period, and always offer an ongoing loan. At the end of the loan period you can pay £1 to own the bike/accessories.

If you want to own the bike before the end of the loan period you can choose to do so and GCI will advise you on the tax implications.

You must continue to repay your employer for the cost of the Collection Voucher. GCI will terminate the Hire Agreement and you won’t owe GCI anything. It is strongly recommended that you insure the bike.

Yes, you can. Just tell the insurer that you are taking part in a Cycle to Work Scheme. Due to FCA rules, GCI cannot recommend a specific insurer.

Laka and Sundays offer our customers 30 days free insurance – you can find the information here greencommuteinitiative.uk/bicycleinsurance-specialoffers/ 

Most new bikes come with at least a 12-month manufacturer’s warranty to cover any faults that may develop (unless you get a second hand bike with at least a three month warranty). However, you are responsible for any repairs required that are not covered under warranty.

Not until you have gone through the process to own the bike during or at the end of the Extended Loan Agreement, unless we agree otherwise in writing.

You can allow anyone over 14 years old to ride the bicycle, however you are still responsible for it.

Providing your employer agrees, yes you can.

Yes, you can get a second-hand bike through the scheme as long as the retailer provides the bike with at least a three month warranty.

You can get anything that’s classed as a bicycle under the Road Traffic Act. This includes ebikes (limited to 250w and a maximum speed of 15.5mph), road or off-road bikes, folders, cargo bikes, and disability cycles.

Scooters are not allowed.

If the part is covered under warranty you will be able to get it replaced for free, otherwise it’s your responsibility to replace it if needed. There is no requirement to keep or tell us about worn out parts.