OPW: Office of Public Works
Oifig na nOibreacha Poiblí
Background Information
The Cycle-to-Work scheme has recently been launched by the Government to encourage the use of bicycles to travel to and from work. The scheme allows for an employer to incur the expense of providing an officer with a bicycle and bicycle safety equipment up to a limit of €1,000, without the officer being liable for benefit-in-kind taxation. The tax exemption can only be availed of once in any five year period.
Who does this Scheme Apply to
The Cycle-to-Work scheme is open to all participating employers, however this particular interpretation and implementation relates to the supply of bicycles and bicycle safety equipment to Civil and Public Servants only. Civil Service and Public Sector officers may only purchase bicycles and bicycle safety equipment from approved providers. These officers are liable to repay the cost of the equipment to their employer, by way of salary sacrifice over the course of one year.
Qualification to Supply Goods under the Scheme
The ability to provide at least one item of the equipment noted in the table on the attached application form is necessary for a supplier to be included on the list. The exemption covers pedal bicycles, tricycles and pedelecs (an electrically assisted bicycle which requires some effort on the part of the cyclist in order to effect propulsion). Motorbikes, scooters and mopeds are not included in the scheme.
Admittance of suppliers to this scheme does not grant an exclusive supply right to operate the cycle-to-work scheme on behalf on a Government Department, agency or public body participating in the scheme. Suppliers will not be publicised as the sole or nominated/approved supplier by any Government Department, agency or public body. The right of choice of supplier rests solely with the employees availing of the scheme.
Quality of Goods
The supplier of the equipment (bicycles and bicycle safety equipment) must ensure that the equipment supplied complies with the relevant safety standards, and must provide instruction on the use of this equipment, maintenance and servicing arrangements to the officer.
How the Scheme will Operate
- Officers wishing to participate in the scheme will consult the list to ascertain their preferred supplier. Please click on the following link for an up-to-date list of suppliers: Cycle Suppliers
- Under the scheme, officers must purchase all of the items they require at one time from one supplier
- The officer must complete an application form outlining the items to be purchased, in conjunction with the supplier
- The supplier must attach the detailed invoice to the application form
- The supplier must accept that payment from the Department/Office will be by Electronic Funds Transfer (EFT) only, and have means to facilitate EFT
- When the Salary Sacrifice arrangements have been put in place and payment has been received by the supplier, the bicycle/bicycle safety equipment may be collected from the supplier by the officer.
- Bicycles and bicycle safety equipment can be purchased using a voucher through certain schemes. The process as outlined above remains the same, however the officer will be issued with a voucher to redeem the bicycle/bicycle safety equipment. Suppliers participating in such schemes are indicated in the Voucher Scheme column in the Supplier List.
Who Operates this Scheme
The Department of Finance manages this scheme. Queries, clearly labelled Cycle-to-Work Scheme, should be directed to travel.policy@finance.gov.ie
Please click on the following link for detailed information on the operation of the scheme:
Circular 16/2009: Cycle-to-Work Scheme (223kb - Adobe PDF)
If importing a bicycle from outside the State please see the advice note regarding VAT payment:
The list of approved suppliers is maintained by the National Procurement Service (NPS), in the Office of Public Works. Queries, clearly labelled "Cycle-to-Work Scheme", should be directed to nps@opw.ie
Government Departments/Offices will be responsible for operating the scheme on behalf of officers and within the terms of the legislation, the general regulations set out by the Revenue Commissioners and the specific public service terms set out by the Department of Finance from time to time.
How to Apply
Suppliers interested in participating should complete the application form below and e-mail or post to Bill Byrne, NPS, Office of Public Works, 51 St. Stephen's Green, Dublin 2
The email or envelope should clearly state: Cycle-to-Work Scheme
Closing Date
There is no closing date for inclusion on the list.
Click here for Cycle-to-Work Suppliers Application form