UK Cycle to Work Scheme
The UK government have recently dropped the £1,000 upper limit on the value of a bike / equipment you can purchase under the Cycle to Work scheme. It is now at the employer's discretion to set the upper limit, which means the scheme is suddenly a lot more attractive.
Not for lack of looking, but I haven't found anything which explains what kind of overall saving you could expect on the value of the bike. It looks like you "rent" the bike for 12 months, with the monthly rent equal to bike cost / 12 less income tax, e.g. if you went for a £1,000 bike and pay 40% tax then you would pay £1,000 / 12 * 0.6 = £50 per month, or £600 after 12 months. What happens next though? Do you pay a balloon payment to buy the bike outright? Is it some residual value of the £400 left to pay?
Anyone got any practical experience of the savings they got out of the scheme?