Best Electric Bikes on the Cycle to Work Scheme (2025 Guide)

Looking for the best electric bikes on the Cycle to Work Scheme? With more UK employers offering e-bikes through the scheme—and tax savings of up to 47%—there’s never been a better time to upgrade your commute. 

This guide highlights the top e-bikes that qualify, how the scheme works, and which models offer the best value for daily riders. Whether you need a lightweight city bike, a long-range commuter, or a folding option for mixed travel, these are the standout choices for a smarter, faster journey to work.

 

What Is the Cycle to Work Scheme and How Does It Work?

The Cycle to Work Scheme is a UK government-backed initiative that helps employees save money on a new bicycle—including electric bikes—and essential safety equipment. By spreading the cost through monthly salary sacrifice payments, you pay for the bike from your pre-tax salary, reducing how much you owe in Income Tax and National Insurance. Your employer initially purchases the bike, and you “hire” it for an agreed period, usually 12 months, with the option to take ownership at the end for a small, fixed fee.

How It Works

1. Employer Partnership

Your employer must be signed up with an approved Cycle to Work Scheme provider. 

2. Choose Your Bike and Equipment

You select your preferred bicycle—regular or electric—and any necessary accessories such as helmets, locks, lights, mudguards, clothing, or panniers from participating retailers.

3. Submit Your Application

Once you’ve chosen your items, you complete an application through your employer’s chosen provider. This typically includes details of your selected bike, accessories, and total value.

4. Employer Pays the Retailer

After approval, your employer pays for the equipment upfront. This unlocks your ability to access the bike without any initial out-of-pocket cost.

5. Monthly Salary Sacrifice

Your employer deducts a fixed monthly amount from your gross salary, reducing the amount of tax and National Insurance you pay. These deductions continue for the duration of the hire period—usually 12 months.

6. Receive Your Bike

You’ll receive a voucher or electronic code to redeem your bike and accessories from the retailer. You can now start commuting immediately.

7. End of Hire Period

When the hire period ends, you can choose to:

• Purchase the bike for a small, pre-determined fee,
  

• Extend the hire period, or
  

• Return the bike (rarely chosen).

Most employees opt to purchase the bike at the end, as the final cost is typically minimal compared to full retail pricing.

 

Are Electric Bikes Included in the Cycle to Work Scheme?

Yes—electric bikes are fully included in the Cycle to Work Scheme, as long as they meet the UK’s legal requirements for an Electrically Assisted Pedal Cycle (EAPC). This means the bike must be designed with fully functional pedals and powered by an electric motor that provides no more than 250 watts of continuous assistance. 

Because most commuter-focused e-bikes already meet these EAPC standards, employees can choose from a wide range of models—including city bikes, hybrid e-bikes, folding e-bikes, and long-range e-bikes—while benefiting from significant savings. This makes the Cycle to Work Scheme one of the easiest and most cost-effective ways to buy a compliant electric bike.

 

Best Electric Bikes on the Cycle to Work Scheme

 

How Much Can You Save on an Electric Bike Through the Scheme?

Using the Cycle to Work Scheme to purchase an electric bike can dramatically reduce the overall cost—often by 32% to 47%. These savings come from a unique combination of tax benefits and an interest-free payment structure that makes e-bikes far more affordable than buying outright.

Savings Through Salary Sacrifice

The scheme uses a salary sacrifice arrangement, where the cost of your electric bike is taken directly from your gross salary rather than your net pay. Because the deduction happens before income tax and National Insurance are calculated, you instantly lower your taxable income.

Why Lowering Taxable Income Matters

By reducing your taxable income, you automatically pay less income tax and National Insurance. This means a portion of the electric bike’s price is effectively covered by the tax you no longer owe. Higher-rate taxpayers save the most, but even basic-rate employees benefit from a substantial reduction.

Tax Bracket Impact on Savings

Your total savings depend on your tax bracket:

• Basic-rate taxpayers typically save around 32%.
  
  

• Higher-rate taxpayers can save up to 42–47%.

The higher your tax rate, the larger the discount applied through the scheme.

Interest-Free, Fee-Free Payments

Beyond tax savings, the Cycle to Work Scheme also spreads the cost of your electric bike over 12 to 48 months, depending on your employer’s setup. These instalments are interest-free, meaning you’re getting both a tax break and a zero-interest loan at the same time—something traditional finance options can’t match.

 

Step-by-Step Guide: How to Get an Electric Bike Through the Cycle to Work Scheme

Getting an electric bike through the Cycle to Work Scheme is simpler than many think—and it’s one of the most cost-effective ways to upgrade your daily commute. Here’s a detailed, step-by-step guide to help you secure your e-bike while maximising tax-free savings:

1. Check Employer Eligibility

Before you start, confirm that your employer participates in the Cycle to Work Scheme. Most UK companies are registered with a scheme provider, but eligibility is essential to ensure you can access the tax benefits.

2. Choose an EAPC-Compliant Electric Bike

Select an electric bike that meets EAPC (Electrically Assisted Pedal Cycle) standards:

• Must have pedals
  

• Motor power up to 250 watts
  

• Assistance cuts off at 15.5 mp
  

You can also include commuting essentials like helmets, lights, locks, and panniers to make your ride safe and practical.

3. Get a Quote

Once you’ve chosen your e-bike and any accessories, request a quote from a participating retailer. This total amount will form the basis for your Cycle to Work certificate.

4. Request a Cycle to Work Certificate

Visit your scheme provider’s website to request a certificate for the total quoted amount. This certificate authorises your employer to provide the bike and ensures the transaction remains tax-efficient.

5. Await Employer Approval

Your employer will review and approve the certificate. Once approved, the process moves forward, so make sure any necessary HR or payroll steps are completed promptly.

6. Collect Your Electric Bike

With the approved certificate, visit the retailer to collect your e-bike and accessories. Many retailers offer delivery options if visiting in person isn’t convenient.

7. Pay Back Through Salary Sacrifice

The cost of your e-bike and any accessories is repaid through salary sacrifice deductions, spread across a period that suits your employer’s scheme. These deductions are tax-efficient, allowing you to save significantly compared to buying the bike outright.

 

Conclusion

Finding the best electric bikes on the Cycle to Work Scheme makes commuting smarter, greener, and more affordable. By choosing an EAPC-compliant e-bike and taking advantage of tax-free savings, you can enjoy a faster, more comfortable ride to work. Whether you need a lightweight city bike, a folding model, or a long-range commuter, the right electric bike can transform your daily journey while saving money.