Section 244 ITEPA 2003 exempts an employer's provision of "a cycle or cyclist's safety equipment" to an employee from income tax and National Insurance. HMRC's guidance at EIM21664 sets out three conditions for the exemption to apply:

• Ownership does not transfer to the employee during the hire period.
• The cycle or equipment is used mainly for qualifying journeys, such as travelling between home and work.
• The benefit is made available generally to employees (EIM21665).

Because ownership cannot pass during the hire, every Cycle to Work arrangement is legally a hire, not a purchase. With DASH Cycle to Work, ownership passes to you at the end with nothing further to pay. "Main use" means more than half, so leisure riding is fine (see our guide to qualifying journeys).

What counts as a "cycle" comes from Section 192 of the Road Traffic Act 1988: "a bicycle, a tricycle, or a cycle having four or more wheels, not being in any case a motor vehicle". E-bikes qualify if they meet the electrically assisted pedal cycle (EAPC) rules: 250 watts maximum, assistance only while pedalling, cutting out at 15.5mph.

On the whole, people are able to access a large list of core items including:

• Bicycles, including road, mountain, hybrid, gravel and folding bikes
• Electric bikes that meet EAPC requirements
• Cargo bikes
• Cycle helmets
• Bike locks
• Front and rear lights
• Bells and bulb horns
• Reflective clothing
• Cycling-specific clothing, such as padded shorts, jerseys, gloves and cycling shoes
• White front and spoke reflectors
• Mudguards and mirrors
• Panniers, luggage carriers and straps
• Pumps, puncture repair kits and tool kits
• Replacement parts to keep a bike roadworthy
• Child safety seats and child trailers
• Car-mounted bike racks, where they carry the bike as part of your commute
• Bike conversion kits, where the converted bike meets the EAPC rules
• Qualifying bike-share schemes and e-bike subscription services

HMRC's guidance names helmets conforming to EN 1078, bells, lights, child seats and reflective items as safety equipment. The Department for Transport's 2019 guidance for employers adds a longer, illustrative list in Annex A.5.

Why are some Cycle to Work products a grey area?

There are some niche rules which make it very clear about what is or isn't allowed. Additionally there are also some very grey areas which are left to the interpretation of the provider. Examples of this are cycle helmets clearly being labelled as a piece of safety equipment and therefore widely offered, whereas clothing must be selected more carefully. A standard waterproof jacket doesn't qualify, but one with reflective elements does, as does clothing designed specifically for cycling.

The grey areas exist because the law never defines "cyclist's safety equipment". HMRC says "a common sense approach should be taken" (EIM21664), and the DfT list is a set of examples rather than a closed list. For anything else, DASH asks whether the item is reasonably ancillary to the safe use of a bike for qualifying journeys. Safety items pass; performance or training items do not.

What can't you get through Cycle to Work?

Some of the more interesting examples of products which aren't allowed are:

• Bike computers
• GPS devices and navigation units
• Standalone cameras and action cameras
• Headphones and earphones
• Turbo trainers
• Standalone power meters and heart rate monitors
• General fitness equipment
• Non-reflective clothing with no cycling-specific design
• General sportswear with no clear cycling safety purpose
• Cycle training
• Children's bicycles (if meant for a child)

HMRC itself names bike computers, non-reflective waterproof clothing and cycle training as items that do not count (EIM21664). The others support performance or entertainment rather than safe riding. A children's bike is excluded because the cycle must be for the employee's own qualifying journeys.

Often, it comes down to the provider to distinguish exactly what is supplied or not, and this is where some important and meaningful differences exist. Alongside this, different providers choose different ways of customers reaching and purchasing items, meaning that there are real pros and cons of who you choose.

Other suppliers have varying levels of product range, and critically different ways of delivering the shopping experience. A specific example of this is that Cyclescheme chooses not to provide cycle cameras as an eligible product, whereas Evans Cycles does, showing that there is a level of interpretation to the guidance and rules. DASH takes the same view as Cyclescheme on standalone cameras, but treats a camera built into a helmet or light as part of that eligible item.

What can you get through DASH?

DASH provides three ways to access bikes: a standard Cycle to Work hire, subscription and bike share, all offered through an online store without the need for vouchers. When it comes to the offering, DASH provides thousands of products from a wide range of suppliers and vendors, meaning that there is an excellent selection of items from many different brands.

Clothing is a great example of this, where buyers can choose from high-end brands such as Rapha, MAAP and Pas Normal Studios, but also more value-orientated options such as Madison and Shimano. If the DASH store does not include an item which you would like, it can be stocked as long as it is eligible; you simply need to get in touch. Items are shipped straight to your door, with no limit on the number of purchases per year. You can get a bike, helmet, clothing and accessories all in one go, or spread across multiple orders, which might be beneficial as seasonal changes bring demand for different items.

The DASH Subscription bundles bike hire, maintenance, a lock, lights and theft cover into one monthly fee, each part sitting within Section 244.

Another example of a product offering which varies significantly between providers is bike share. HMRC explicitly allows employer-provided bike-share schemes under Section 244 of ITEPA 2003, provided the scheme is made available generally to employees and the bikes are used mainly for qualifying journeys, such as commuting. Under HMRC guidance, the qualifying-use test can be applied across the bikes accessed through the scheme, rather than to one specific bicycle.

EIM21664 says that for a bike-share scheme, "'cycle' should be taken to mean any cycle used under the scheme". It also covers vouchers for hiring bicycles.

Bike share options are offered by a smaller group of providers, including Cyclescheme, CycleSaver, Green Commute Initiative and DASH, with its own product called DASH Flex. Cyclescheme's Lime package is a fixed 12-month term with 500 minutes a month, at £635 a year before tax savings. CycleSaver offers monthly Lime minute bundles, and Green Commute Initiative offers memberships with operators including Santander Cycles and Beryl. DASH's offering is much more flexible, with a virtual card loaded with a monthly allowance of your choosing, allowing you to spend fluidly across approved bike share providers, including Lime, Forest, Voi, Beryl and Santander Cycles, without being tied to one operator. Savings are made in the same way as standard products, with the spending being placed on your pre-tax salary. DASH's own comparison of Lime prices in September 2026 found DASH Flex the cheapest way to ride Lime through Cycle to Work, beating comparable Cyclescheme and CycleSaver packages on cost per minute.

Lime cost per minute after tax savings, by tax band. Prices checked 30 September 2026. Source: DASH Flex: The Cheapest Way to Ride Lime.

The DASH Flex card only pays for bike and e-bike hire with approved providers, which keeps it inside Section 244 rather than making it a general travel allowance.

To summarise, the offering of products through Cycle to Work is defined by government legislation: Section 244 ITEPA 2003 and HMRC's guidance on it. The exact availability of products depends on the provider. Which one you choose will limit or open up different ranges of items, so this must be a consideration when picking a provider for your company. Alongside this, the different mechanisms that providers choose to deliver their products can mean that they feel like purchasing experiences with very differing levels of friction and flexibility.

References

• Department for Transport (2019) Cycle to Work Scheme Guidance for Employers. Available at: https://www.gov.uk/government/publications/cycle-to-work-scheme-implementation-guidance
• GOV.UK (n.d.) Electric bikes: licensing, tax and insurance. Available at: https://www.gov.uk/electric-bike-rules
• HM Revenue & Customs (n.d.) Employment Income Manual, EIM21664. Available at: https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim21664
• HM Revenue & Customs (n.d.) Employment Income Manual, EIM21665. Available at: https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim21665
• Income Tax (Earnings and Pensions) Act 2003, s.244. Available at: https://www.legislation.gov.uk/ukpga/2003/1/section/244
• Road Traffic Act 1988, s.192. Available at: https://www.legislation.gov.uk/ukpga/1988/52/section/192
• BikeRadar (2026) Cyclescheme teams up with Lime Bikes to offer salary sacrifice on ebike rentals. Available at: https://www.bikeradar.com/news/cyclescheme-lime-bikes-salary-sacrifice-on-ebike-rentals
• Micromobility.biz (2024) Lime joins Cycle to Work scheme via CycleSaver. Available at: https://micromobilitybiz.com/lime-joins-cycle-to-work-scheme-via-cyclesaver/
• Green Commute Initiative (n.d.) Santander Cycles. Available at: https://www.greencommuteinitiative.uk/santander-quote-form/
• DASH (2026) Qualifying Journeys under the Cycle to Work scheme. Available at: https://www.dashrides.com/qualifying-journeys

Frequently asked questions

Can I get an electric bike through Cycle to Work?

Yes, if it meets the EAPC rules.

Is cycling clothing covered by Cycle to Work?

Yes, if it is reflective or hi-vis, or designed specifically for cycling. Ordinary sportswear and non-reflective waterproofs are not covered.

Can I use Cycle to Work for Lime bikes?

Yes, through a provider that offers bike share. HMRC's guidance expressly covers bike-share schemes.

Do I have to use the bike only for commuting?

No. It must be used mainly for qualifying journeys, so leisure riding is allowed alongside.