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Telegraph claims “rich, Lycra-clad cyclists tearing through red lights” are riding “hugely expensive” bikes paid for by taxpayer in “nasty” tirade against Cycle to Work scheme

The newspaper’s head of money – in what he claimed “isn’t an anti-cyclist article” – argued that Cycle to Work is being “abused” by “middle-aged men in Lycra earning six figures” to buy “fancy new toys”

The Telegraph, which in the past year has not been shy when it comes to publishing critical and often questionable stories about cycling, has once again been accused of promoting a “nasty, culture wars” agenda against cyclists, after the newspaper’s head of money claimed this morning that “middle-aged men in Lycra earning six figures” were “shamelessly” exploiting the government’s Cycle to Work scheme to buy “fancy new toys”.

In the article, titled ‘Rich cyclists are getting brand new bikes – courtesy of you, the taxpayer’, Ben Wilkinson argued that since the Cycle to Work scheme was revamped six years ago, enabling employers to offer bikes worth over £1,000, it is now being “routinely abused by wealthy cyclists who have no intention of using their expensive gift from the taxpayer on their commute”.

Introduced in 1999, the UK government’s Cycle to Work employee benefit scheme offers a tax-friendly initiative which enables people to buy a bike and cycling accessories through salary sacrifice.

Effectively, the initiatives see employees ‘loan’ a bike from their employer tax-free, initially for a year. That loan can then be extended, with employees able to eventually buy the bike at a nominal price, calculated factoring in the bike’s depreciated value over time.

During its first 20 years, tax-free purchases using Cycle to Work were nominally capped at £1,000 (though some providers did not impose this limit and former cycling minister Michael Ellis pointed out that the £1,000 ceiling never officially existed for larger employers registered with the Financial Conduct Authority).

Nevertheless, in 2019, the Conservative government announced a revamp of the Cycle to Work scheme, making it easier for bikes worth over £1,000 to be purchased using the initiative, as part of a drive to “increase the use of e-bikes to help tackle congestion, speed up commutes, and cut travel costs”.

Cyclists in London talking in cycle lane Cyclists in London talking in cycle lane (credit: Simon MacMichael)

However, six years on, the Telegraph’s Wilkinson has called for another rethink of the scheme, arguing that “commuters simply do not need a bike worth more than £1,000”.

“The next time you see a Lycra-clad cyclist tearing through a red light, consider this: their hugely expensive bicycle was likely paid for by you, the taxpayer,” Wilkinson’s column begins.

But despite that provocative opening paragraph, the journalist maintained that “this isn’t an anti-cyclist article”.

“I own three bikes, none of which the taxpayer helped pay for. The world would be a better, and healthier place, if more of us rode bicycles,” he continued.

“Cyclists should stick to road rules like anyone else, and any suggestion that cyclists should pay road tax is moronic. Roads are maintained using money from all taxes, and vehicle excise duty is levied on emissions.

“However, there are gaping holes in this tax break that mean your money is not being spent as it should be.”

> Telegraph journalists told "check your research" after front page claims cyclists hit 52mph chasing London Strava segments... despite that being faster than Olympic track cyclists

According to Wilkinson, since the cap was lifted in 2019, the cost to taxpayers has been £615m, the writer also noting a “spike in demand” for the scheme in 2020 and 2021, which he links to increased leisure time during the Covid-era lockdowns.

While admitting that more expensive e-bikes should be subject to a higher ceiling, Wilkinson argued: “There can be no justification for asking the taxpayer to give a dentist earning £200,000 a £4,200 discount on a £10,000 bike. My commuter bike cost £300 and has saved me thousands in Tube fares.”

He continued: “I suspect Whitehall and the City are full of top earners who have exploited this scheme to buy an expensive bike that they would not dare to bring into London for fear of it being stolen.

“And there’s no doubt that some have used it to drop their incomes below £100,000 so they can still continue to qualify for tax-free childcare.”

> “Unfair” Cycle to Work scheme “problems” need to be addressed, admits government minister

The financial journalist also pointed to a report published by cycling and walking charity Sustrans in September, which found that 38 per cent of people in the UK on low incomes or in unemployment (or around 1.9 million people) are currently priced out of buying a bike due to the high costs and lack of discounts available.

Sustrans noted that, in its current guise, Cycle to Work excludes anyone who would earn less than the minimum wage of £17,000 a year once the scheme’s salary deductions are taken into account, as well as those who are not in work, self-employed, or work for a non-participating employer.

The consequence of the scheme’s minimum entry point, the charity pointed out, is that just 30 per cent of people on a low income or not in employment have access to a cycle. On the other hand, data from Sustrans’ Walking and Cycling Index found that 59 per cent of people in professional occupations have access to a bike.

The report prompted Simon Lightwood, Labour’s Parliamentary Under-Secretary of State for Transport, to admit that the government “absolutely recognises” there are “problems” with the current Cycle to Work scheme.

Cyclists in London male and female in cycle laneCyclists in London male and female in cycle lane (credit: Simon MacMichael)

In his article in the Telegraph today, Wilkinson concluded: “It’s a good example of a policy that came with good intentions that has been allowed to mutate into something it was never supposed to be.

“Cycle to Work should not be scrapped, but ministers should consider if taxpayer cash should really be going towards fancy new toys for middle-aged men in Lycra earning six figures.”

However, despite his insistence that his criticism of Cycle to Work didn’t amount to an “anti-cyclist article”, Wilkinson’s depiction of “Lycra-clad” cyclists “tearing through red lights” has been resoundingly criticised by cyclists on social media.

“I couldn’t read it behind the paywall, I could only see the first sentence. But as that mentioned Lycra and red lights, I knew I didn’t want or need to read any more,” Christopher Day wrote in response to the Telegraph’s story.

Referring to Wilkinson’s assertions that expensive bikes are being paid by “the taxpayer”, Adespoto said: “Because cyclists and taxpayers are distinct demographics? It’s a nasty culture-wars article from a petro-industrialist Tory shit rag.”

“‘Now, let’s be clear. This isn’t an anti-cyclist article’. It absolutely is,” added Wiebes.

> "People won't bother reading the truth, the damage is done": Cyclists frustrated Telegraph newspaper not required to put "52mph cyclists creating death traps" correction on front page like original headline

Of course, as noted above, this isn’t the first time that the Telegraph has been criticised for its attitude towards cyclists.

In August, press regulator IPSO (the Independent Press Standards Organisation) ruled that the newspaper was in breach of its Editors’ Code for an inaccurate front page story claiming cyclists are riding at 52mph in London’s 20mph zones while chasing Strava segments.

Telegraph front page/ cyclists in Richmond ParkTelegraph front page/ cyclists in Richmond Park (credit: Simon MacMichael/Telegraph)

The headline appeared on the newspaper’s front page last May and told readers “Lycra lout cyclists are creating death traps” and riding at 52mph in London, a bizarre claim that turned out to be the result of dodgy GPS data taken from Strava that would, if true, have meant that people are cycling through London’s streets at speeds faster than what Olympic track sprinters hit in the velodrome.

Unsurprisingly, the story was much criticised and ridiculed, Active Travel Commissioner Chris Boardman calling it “bonkers” and the IPSO receiving 96 complaints.

> "Mums, dads, sons and daughters being labelled as killers. It’s just got to stop": Chris Boardman comments on Telegraph '52mph in a 20mph zone' article as it emerges co-author is former BBC fact-checker

However, despite the IPSO’s intervention, which described the error as “significant”, many expressed frustration that the newspaper was not required to publish a front-page correction, as the regulator instead accepted that the original acknowledgement made six days after publication and hidden away in the Telegraph’s ‘Corrections and Clarifications column’ was sufficient.

But just two months after the IPSO’s intervention, the Telegraph was again accused of manipulating and blurring photos of cyclists riding at 15mph through Regent’s Park to make it look like they were travelling at faster speeds than they were, for a column titled ‘Let’s get tough on the scourge of rogue cyclists’.

And later in November, the Telegraph published information from a “dossier of collision data” from The Royal Parks in London and claimed it revealed “the full threat posed to pedestrians by dangerous and illegal cycling in the country's most famous parks”.

In the article, titled ‘How rogue cyclists in London’s parks have knocked down children and the elderly’, the Telegraph published information from the dossier and said it referenced “speeding” and “aggressive” cyclists being involved in hit and runs, ignoring zebra crossings, travelling on illegal bikes, and hitting pedestrians so hard they are “catapulted into the air”.

After obtaining a PhD, lecturing, and hosting a history podcast at Queen’s University Belfast, Ryan joined road.cc in December 2021 and since then has kept the site’s readers and listeners informed and enthralled (well at least occasionally) on news, the live blog, and the road.cc Podcast. After boarding a wrong bus at the world championships and ruining a good pair of jeans at the cyclocross, he now serves as road.cc’s senior news writer. Before his foray into cycling journalism, he wallowed in the equally pitiless world of academia, where he wrote a book about Victorian politics and droned on about cycling and bikes to classes of bored students (while taking every chance he could get to talk about cycling in print or on the radio). He can be found riding his bike very slowly around the narrow, scenic country lanes of Co. Down.

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65 comments

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Jakrayan replied to eburtthebike | 6 hours ago
0 likes

The Earth isn't flat?? Damn, what happened to the ice wall, did climate change melt it? 😉😁

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brooksby | 13 hours ago
8 likes

How does the Torygraph feel about every single taxpayer in the country subsidising the cost of petrol/diesel, regardless of the wealth of the motorist in question?

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chrisonabike replied to brooksby | 12 hours ago
6 likes

No, no, no!  We've explained it to you countless times - the cost of petrol on an open market would be a fraction of what we pay now were it not for the imposition of a regressive tax and the freezing of the "escalator" is merely a ruse of the government to hide the fact there's a war on the motorist, because motorist taxes more than cover the cost of the road budget and in fact driving literally drives the economy making us all richer, healthier and life better than it was in a cave which some people want to drag us back to because of some woke agenda or pulling up the ladder behind them but at any rate keeping everyone miserable and ... (continues for another 94p per gallon)

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PRSboy | 13 hours ago
0 likes

Has anyone on here introduced a C2W scheme at their own company if a business owner, or at their employer?

I'm keen to make a case for it at my workplace, but want to get my story straight in terms of admin load and cost.

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matty1980 replied to PRSboy | 11 hours ago
0 likes

Yes, I have put one in place (in fact one at two different places). Very straightforward. Is actually cashflow (and cost positive) for the employer - basically from your point of view you sacrifice salary and save income tax and NI on that sacrificed salary - the same is true for your employer: they save NI on the salary you sacrifice. Win win.

 

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matty1980 replied to matty1980 | 11 hours ago
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Also - say your employer is small they may want to look into a financed scheme  - the company will get the voucher issued to you and then pay in instalments (obviously interest on top) but that interest is less than the NI savings for the company.

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Tom_77 | 13 hours ago
11 likes

The Telegraph wants rich people to pay more tax?

Think I need to go and have a lie down.

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brooksby replied to Tom_77 | 11 hours ago
3 likes

Tom_77 wrote:

The Telegraph wants rich people to pay more tax?

Think I need to go and have a lie down.

They just want the other rich people to pay more tax.  Not all rich people.

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IanMK | 13 hours ago
1 like

So if, for example, a Daily Telegraph employee makes AVC contributions into their is this being paid for by Tax Payers. What about if a television presenter buys farm land as a means of avoiding inheritance tax?
Of course, I think reducing Vat on cycles would be a fairer means of encouraging people to make the right decision and get cycling.

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jaymack | 13 hours ago
1 like

Personally I wish road.cc wouldn't give the Telegraph any publicity but the value of knowing what the enemy is thinking shouldn't be underestimated

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grOg replied to jaymack | 11 hours ago
0 likes

Are you implying that road.cc treats the Telegraph as the enemy? is that why the phrase 'Tory shit rag' is quoted in the article? my, my, I suppose the Guardian only publishes unvarnished truth and isn't a resting home for socialist anarchists..

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hawkinspeter replied to grOg | 10 hours ago
2 likes

grOg wrote:

Are you implying that road.cc treats the Telegraph as the enemy? is that why the phrase 'Tory shit rag' is quoted in the article? my, my, I suppose the Guardian only publishes unvarnished truth and isn't a resting home for socialist anarchists..

Feel free to post some examples of the Grauniad posting lies if you wish to give your point some credence.

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Jakrayan replied to hawkinspeter | 7 hours ago
0 likes

Not wishing to open that old can of worms again, but the Grauniad openly admitted in their own article before the 2016 referendum that their coverage of the leave campaign, or at least people saying they would vote leave, was unfair, biased and did a dis-service to those who had genuine reasons for doing so rather than them all being racist bigots. 

OK, not an example of an outright lie, but certainly guilty of embellishing the truth or ignoring painful facts to suit the narrative. 

PS for the avoidance of doubt I have been on 2 of the Rejoin marches in London, but appreciate that some people feel strongly about the EU's faults, which do exist. 

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Bikepool | 14 hours ago
2 likes

Salary sacrifice is available for cars too (albeit electric). The big differences are that you don't need to use the car for work/commute but there is an annual tax charge (benefit in kind) for it (income tax & NIC based on the value of the car x 2% rising to 5% by 2028).

https://www.loveelectric.cars/blog/electric-car-salary-sacrifice-a-guide...

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IanMK replied to Bikepool | 13 hours ago
3 likes

I know a number a sales people that had hybrid cars and actually never charged the battery, just to pay less tax. Wait until the Torygraph find out about that.

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Kapelmuur replied to Bikepool | 11 hours ago
0 likes

I retired 20 years ago!   The car was taxed as benefit in kind but it was a lot cheaper than running my own car.

Colleagues used to moan about the tax, but none of them refused the car.

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Kapelmuur | 14 hours ago
8 likes

I never had a bike on cycle to work because I commuted in my company car.

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grOg replied to Kapelmuur | 10 hours ago
0 likes

Company cars are either used for work, like mine is, or are part of the employees remuneration, unlike the cycle to work scheme..

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Jakrayan replied to grOg | 6 hours ago
0 likes

If a company car is part of the employee's remuneration and not used for work, just commuting, then it's a perk, albeit a taxable one, though it's still a lot cheaper than the employee funding it themselves. Much like the C2W scheme there is no obligation to commute in it.

Whilst the employee isn't paying company car tax they still have to pay a monthly fee to use it and don't own it, the fee being deducted from their gross salary just like CC tax. So it's essentially the same, except favouring a much more environmentally friendly and sustainable method of transport. 

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bensynnock | 14 hours ago
4 likes

To be fair, I know loads of people who've bought bikes on the cycle to work scheme who never had any intention of riding them to work. They all work from home for a start.

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brooksby replied to bensynnock | 11 hours ago
0 likes

bensynnock wrote:

To be fair, I know loads of people who've bought bikes on the cycle to work scheme who never had any intention of riding them to work. They all work from home for a start.

I fully intended to, I just haven't quite done it yet due to Fear of Theft.

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grOg replied to brooksby | 10 hours ago
0 likes

I haven't used mine yet due to fear of being hit by another vehicle, breathing in fumes, falling off the bike, getting soaked in a sudden downpour and getting attacked by a random assailant..

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Jakrayan replied to grOg | 6 hours ago
0 likes

Better stay indoors then, as around 40 pedestrians killed on the footway every year in the UK and around 28,000 killed or seriously injured on UK roads every year, most of whom were vehicle occupants. 

Mind you, I believe that many, if not most, injuries that end up needing a visit to A&E happen in the home or garden, so I'm sorry to say you're stuffed. 

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bensynnock replied to bensynnock | 9 hours ago
0 likes

Thought I'd delete that.

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Jakrayan replied to bensynnock | 6 hours ago
0 likes

My wife is 'employed' by the management company I own to manage our rental properties - her Trek Domane is 5 years old now so perhaps I should look to get her a newer, faster bike. (Tongue in cheek in case it's not clear!)

Although, as she is over 20kg lighter than me and drops me uphill, maybe that's not such a good idea. Do lead weights count as accessories?? 😅

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chrisonabike replied to Jakrayan | 6 hours ago
1 like

Hmm... 20kg is going to be hard to make up.  Was going to suggest getting her a recumbent (you can sell it as "comfort" and "easier to maintain the same speed on the flat") but while generally heavier they're not that much... unless you got her a velomobile?  (You can drop quite a few grand on those).

But then you'll just get dropped going downhill.

Perhaps a tandem?

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Jakrayan replied to chrisonabike | 6 hours ago
0 likes

A tandem might work if it was specially made so that she was at the front. Realistically, I'd probably enjoy staring at her bum more than she would staring at mine 😉

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number9dream | 14 hours ago
1 like

Yep it's certainly the reason I'm riding an sworks, but i don't see how it's any different to other tax breaks, such as pension tax free allowance.

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richliv replied to number9dream | 8 hours ago
0 likes

Pension tax relief does disproportionately benefit higher rate tax payers to the tune of up to 60K pa but it's a carrot to reduce state pension reliance which is a net benefit to the tax payer in the long run (especially considering income tax is charged on pensions taken other than the 25% tax free).

You could argue that tax relief on bikes makes the nation healthier (true imo) but it would be true for £1000 bikes as much as £10K.

So on the whole, the gist of the DT piece is, I think, correct. But I doubt closing it would raise significant revenue - however, it might bring down the price of top end road bikes which have risen to ludicrous levels for reasons of which I am 100% certain this is one (knowing a few who have taken advantage).

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pockstone | 14 hours ago
6 likes

If it's not an 'anti cyclist tirade' then why the bollocks about lycra clad red light jumpers? I do agree that anyone earning enough to pay 40% tax is not in need of government subsidy to buy a bike. You could spend the money saved on secure bike parking, the lack of which is one of the biggest obstacles to cycle commuting and utility cycling in general.

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