Fox Jerseys, shorts, helmets and gloves all in the sale!
At least 40% off ALL Stock!
All discounts available in store – Online prices to be updated asap!
20% Off Winter Clothing!
40% Off All Pearl Izumi Clothing!
End of season sale! All Pearl Izumi clothing will be 40% off until its gone!
We have some fantastic prices on end of line Shimano and Giro shoes – limited stocks!
Black Friday Cycling Sale. Friday 25th to Monday 28th Nov 2016
One off crazy prices on selected products and genuine clearance bargains.
- 20-45% Off 2106 Haibike Electric Bikes
- 30-35% Off 2016 Giant and Trek bikes
- 40% Off 2016 Charge bikes
- 20% Off cycle clothing! Including already discounted items (in store or by phone only)
- 32% Off 27.5 & 26 Hope Wheels and Wheelsets
- MET helmets at least 40% off and Giro Helmets 20% off! (in store or by phone only)
- Trek Fuel EX 9 Frameset 27.5 18.5 Save £450 – Now £849
In store stock only. Exceptions will apply. Discounts not applicable with cyclescheme. Discounts with finance negotiable.
Call on 01202 424945 if you would like to check stock of a specific item before traveling. We can hold stock for a few hours with a deposit!
We have a load of our clearance lines up on eBay at the mo. There are going to be some amazing bargains to be had! If you have any questions, then please give us a call on 01202 424945.
Hurrah. The Cycle to Work scheme, which only two weeks ago appeared fatally punctured by a tax ruling from HM Revenue & Customs, is back on the road. The scheme has enabled more than 400,000 people to obtain a tax-deductible bike for pedalling to work.
It allowed cyclists to buy a new bike from gross income, through their employers under a type of hire purchase agreement, with payments usually spread over 12 or 18 months. It meant discounts of as much as 50%, with a nominal fee, usually 5% of the purchase price (but often nothing) to buy it off your employer at the end of the period.
But in mid-August HMRC issued a clarification on what it thought the nominal amount should be: and it was nowhere near 5%. Its new valuation table said a bike had a disposal value of between 18% and 25% of its purchase price after one year.
This delighted critics of the scheme, who say there’s no reason for the taxpayer to subsidise bike purchase, and that it simply encouraged the well-off to splash out on expensive bikes that were hardly, if ever, used for commuting. Naturally they ignore the far bigger subsidy given to car drivers through the government’s scrappage scheme.
For people in the bike scheme it appeared HMRC was changing the rules halfway through the game.
Say you bought a scheme bike for £500. Repayments would be £293.61 over 12 months, assuming you are a basic-rate taxpayer. Before the HMRC clarification, you would have paid a few quid more to transfer it from your employer’s hands into your own at the end of the period. So it would have cost about £300 for a £500 bike. Bingo.
Now HMRC says the employee must pay £125 as “fair market value” for the bike at the end of the year. So in all you pay £418.61 for the £500 bike. Still good value? Not when you consider you could have got a discount on the £500 purchase price if you were not a voucher-wielding Cycle to Work buyer.
The companies that promote the scheme, such as Halfords and Evans Cycles, have been trying to make sense of the ruling. Lawyers have spent the past two weeks poring over the detail of the HMRC wording. And there is a get-out, according to Evans. You pay monthly, as planned, but at the end of the period you don’t buy the bike off your company. You continue to hire it: for free.
I asked HMRC for confirmation. It said: “The statutory exemption for cycles loaned to employees is not subject to any time limit and will continue to apply as long as the conditions about use and availability are satisfied … HMRC sees no difficulty in the employee being offered the opportunity to buy the bike at a later date than had originally been expected, and using the market value percentage that applies at that later date.” After three years, a £500 bike’s fair market value is 12% of the original price, falling to 2% after five years, says HMRC.
But critics have a point about scheme abuse. It’s perverse that higher-rate taxpayers receive bigger subsidies, and the £1,000 limit should perhaps be cut to £500 – at the risk of enraging cyclists trying to find a way to afford an expensive fold-up Brompton.