HF2300
Insanity Prawn Boy
jdg88 said:
I'm not sure that's correct - in fact, the DfT website specifically says there is no restriction. The reason for the £1000 limit is because Cycle to Work schemes require a consumer credit licence to operate. There is a blanket consumer credit licence that the OFT took out to cover any cycle to work scheme, but it has a £1000 limit per agreement.
Your company can run a scheme with agreements over £1000, but it would then need its own consumer credit licence which may well be more cost and hassle than they want to get involved with.
Alternatively, you could do a cycle to work for £1000 and top up the difference yourself if the supplier agrees. That keeps the credit agreement below £1000, which is the important point. You wouldn't make any saving on anything above the £1000 though.
You have to remember the scheme operates in the grey areas between various bits of legislation, rather than in its own specific legislation. That means there is flexibility if your employers and the bike suppliers want to be flexible.
The other complication comes when suppliers run the scheme through a 'facilitator' such as Cyclescheme. This tends to mean that rules which are flexible when dealing direct become set in stone when going through the facilitator. In my experience, dealing direct is not a problem and very often will mean you'll get the 10% which would otherwise go to the facilitator.
