Lord Adonis clearly doesnt know that HMRC are trying to make the schemes difficult to run and administer with their current reinterpretation of eligibility criteria. This will make employers think twice before opening a scheme.

We've been running this scheme since April - I haven't seen any of the employees participating using their bike to travel to work on a regular basis. As I pointed out earlier in the year it's impossible to police and it's the employer who'll take the hit if the HMRC decide that the scheme rules are not being followed. I'm really interested to hear how other employers are monitoring this scheme and whether they are doing anything to ensure rules are followed. Short of standing in the bicycle shed and checking people in and out how can an already stretched HR resource ensure the employee is complying?

We investigated a cycle to work scheme, but with few of our employees living close to our offices and most having to negotiate dual carriageways and heavy traffic we decided the health and safety risks of cycling to work weren't worth it - we didn't want to encourage a more risky way of getting to work.  And we also did not believe that we could monitor whether those participating were using the bike mostly for commuting to and from work.  Why on earth does the government continue to come up with ideas that don't seem to be thought through?  At least make it more attractive for individuals to use and less onerous on companies.

And how would you suggest that it is made more attractive ?

I have run schemes for employers of between 100 and 50k employees and have found it to be the least administratively cumbersome and easiest to explain benefit scheme there is!

For the employee it is attractive as they can save up to 50% of the cost (as VAT can often be reclaimed) as well as being fitter - they also appreciate the tax free cyclists breakfasts that you can provide for them every now and again.

For the employer the NI savings far outweigh the time spent on it (I once worked out that each application took me 3 minutes to check approve and process) and it really does promote your companies green agenda.

Rather than just looking for the obvious think of the unusual - if people come to work by train they are allowed a bike under the scheme to get to the station (and another to ride from the station to the office as long as the combined value of both is less than £1000). Speak to your local council about cycling routes, invest some of your NI savings in cycling training or cycling proficiency tests, promote safety equipment as well as just bikes, organise events / competitions / incentives for those that do cycle.

Given that schemes are free to set up and promote and take no time at all to administer surely just one person taking advantage is a good thing ?

In the main I agree with your posting as you are clearly stating the obvious. However, no one has answered my posting about about policing the scheme. How do you do it in your perfect world?

I haven't seen any of the employees participating using their bike to travel to work on a regular basis. It's impossible to police and it's the employer who'll take the hit if the HMRC decide that the scheme rules are not being followed.

I really am genuinely interested to find out how other employers are monitoring this scheme and whether they are doing anything to ensure rules are followed. Short of standing in the bicycle shed and checking people in and out how can an already stretched HR resource ensure the employee is complying?

MB

The good answer is that if you (and your provider) have set the scheme up well you dont need to police it !

• Make sure all of your comms makes it very clear it is a cycle to work scheme and not a 'buy a bike on the cheap' scheme
• Ensure that the hire agreement makes clear that they are expected to use it as such
• Hold events / release publicity which shows that your company supports cycle to work - such as cyclists free breakfast days, cycle to work clinics, roadshow events, bike maintainance etc
• Include cycle to work in new building travel plans etc

I have always made it clear that anyone I discover abusing the scheme will lose the tax break and have a P11d filled in for them instead - I havent actually had to do ti yet ......