The Cycle to Work Alliance has reported signs of “market stabilisation” in the UK’s Cycle to Work sector, with participation holding steady through the final quarter of 2025 despite political scrutiny of the scheme.
According to the Alliance’s latest figures, 35,562 Cycle to Work certificates were issued by its members in the final quarter of 2025, a 1.45% increase on the same period in 2024 and 0.6% up on 2023.
However, in the second half of 2024, the number of certificates issued is reported to be marginally down. Whilst detailed figures have not been released, the Alliance claims that this data may point towards a flattening of the market’s traditional seasonality.
They said that 2025 largely followed the typical seasonal pattern for the scheme, with volumes peaking in warmer months before moderating from September onwards.
The organisation added that the continued seasonality, coupled with modest year-on-year growth, has been interpreted as a sign of resilience rather than decline.
Steve Edgell, the Chair of the Cycle to Work Alliance, said that the latest figures demonstrate that the scheme “continues to perform its role exactly as intended.”
He said: “We see strong uptake through the peak months, followed by a predictable seasonal slowdown, but with participation remaining resilient overall.
“The stability matters, and it shows the Scheme continues to support everyday commuting and remains a trusted benefit for employers and employees alike.”
> What is the Cycle to Work scheme?
The Alliance represents five of the UK’s largest Cycle to Work providers: Halfords, Evans Cycles, Perkbox, Cycle Scheme, and Cycle Solutions. They account for around 80% of the Cycle to Work market.
More than two million people have taken part in the programme since its launch in 1999. However, the scheme has faced renewed scrutiny in recent months after the Financial Times reported in 2025 that Chancellor Rachel Reeves was considering reintroducing a spending cap.
According to the FT, government sources indicated that some ministers believed the removal of the previous £1,000 cap was not the best use of public funds, with one source arguing that “taxpayers shouldn’t be footing the bill for luxury leisure” and that that the scheme should not provide tax relief for “£4,000 e-bikes for weekend rides in the Surrey Hills.”
However, when the Budget was later announced, the proposed cap did not materialise, with the FT reporting that ministers ultimately judged the potential backlash was not “worth the revenue”.
Previously, speaking on the road.cc podcast, Edgell said that since the cap was lifted in 2019, the scheme has broadened its appeal, enabling uptake among groups less likely to cycle, including women, older riders, and those with hilly commutes, due to access to e-bikes.
He added that “high-end purchases are really the exception rather than the rule, the scheme overwhelmingly serves the ordinary commuter.”
According to Alliance data, 67% of scheme users are basic-rate taxpayers. A commissioned analysis by the organisation also estimates that Cycle to Work contributes £573 million annually to the UK economy, reinforcing its position as both a sustainable transport initiative and an economic driver.
7 thoughts on “Cycle to Work scheme uptake remains steady despite political scrutiny”
Good to see that the scheme is holding up despite the anti-cyclists’ assault on it. Not heard anything about the Reform controlled councils and this scheme though. Anybody heard anything?
Why would you expect to hear anything about Cycle to Work schemes from local councils? It’s Government policy that local councils have absolutely no power to affect in any way (beyond indirect effects via e.g. provision, or otherwise, of adequate cycling infrastructure).
True, but your employer could withdraw a scheme. Maybe the suggestion is a Reform Council might be tempted.
Don’t give them ideas. This would be at the ‘Don’t tell them your name Pike’ end of things.
Anti-cyclists my arse. Both The Telegraph and DMG Media, the owner of Daily Mail, offer their employees a C2W scheme.
I’m sure if you look hard enough they probably employ the occasional Muslim, homosexual or single mother but that doesn’t stop them hating them either.
Thank you for that bit of info. I’ll remember that next time I’m responding to one of their anti-cycling stories.
The removal of the £1,000 price cap reflected the fact that, aside from legitimate pressure to allow people to commute to work on good quality bikes, the price cap also restricted access to e-bikes for those less able to ride the distances required on non-assisted bikes, or who may require adapted or custom bikes to accommodate difficulties cycling.
e-Bikes might be purchased for under a grand, but they are generally not very appealing, and range is limited: both the range of bikes, and the range the battery will support.
£1,000 is a complete non-starter for anybody requiring adapted bikes, trikes or similar.
For Cycle to Work, the principle is that it is available to all. It would fail a reasonable application of the equality test if the restriction was reinstated.
It may enable people to but $4,000 leisure machines. It may be that many people buy bikes on the scheme who never have any intention to ride to work. But I think that many people who do ride to work will have used the cycle to work scheme to assist them doing so.
Even if the weekend warriors never darken the workplace bike locker, perhaps they are doing more to improve their overall fitness, saving the NHS more money in the long term.