Cycle to Work Scheme Data

Dáil Éireann Debate, Tuesday - 24 July 2018

Tuesday, 24 July 2018

Questions (349, 350, 351, 352, 353)

Richard Boyd Barrett

Question:

349. Deputy Richard Boyd Barrett asked the Minister for Finance the full year cost of retaining the bike to work scheme; and if he will make a statement on the matter. [35000/18]

Richard Boyd Barrett

Question:

350. Deputy Richard Boyd Barrett asked the Minister for Finance the full year cost of extending the bike to work scheme to allow for two claims in five years if a bike is stolen; and if he will make a statement on the matter. [35001/18]

Richard Boyd Barrett

Question:

351. Deputy Richard Boyd Barrett asked the Minister for Finance the full year cost of extending the bike to work scheme to permit the sharing or transfer of the allowance to enable parents to buy bicycles for children and young adults; and if he will make a statement on the matter. [35002/18]

Richard Boyd Barrett

Question:

352. Deputy Richard Boyd Barrett asked the Minister for Finance the estimated full year cost of a bike for all scheme modelled on the bike to work scheme to allow for subsidised bikes for all on social welfare payments; and if he will make a statement on the matter. [35003/18]

Richard Boyd Barrett

Question:

353. Deputy Richard Boyd Barrett asked the Minister for Finance the estimated full year cost of introducing a scheme for those who use their bikes for commuting to work along the lines of that available in Belgium where €0.23 is paid per kilometre distance; and if he will make a statement on the matter. [35004/18]

Written answers

Minister for Finance

I propose to take Questions Nos. 349 to 353, inclusive, together.

The Cycle To Work scheme came into operation on 1 January 2009. The scheme operates on a self-administration basis, and relief is automatically available provided the employer is satisfied that the conditions of their particular scheme meet the requirements of the legislation. This approach was taken with the deliberate intention of keeping the scheme simple and reducing administration on the part of employers.

I am informed by Revenue that there is no notification procedure for employers to indicate that they are operating the cycle to work scheme and as a consequence there is no data available on which to provide the information requested by the Deputy. 

It was estimated at the time of the introduction of the scheme that approximately 7,000 employees would avail of it over the first five-year period of its operation, the exemption may apply only once in any five year period in respect of any employee.

It should be noted that the purchase of bicycles and associated safety equipment by employers for employees or directors is subject to the normal Revenue audit procedure with the normal obligations on employers to maintain records (e.g. delivery dockets, invoices, payments details, etc.). The employer is also obliged to keep all salary sacrifice agreements entered into between the employer and employees/directors, together with all signed statements from employees/directors regarding use of the bicycles and safety equipment.

While I have not asked my officials to conduct any further specific analysis along the lines set out by the Deputy, I would advise him that all such schemes are reviewed in the context of the annual Budget and Finance Bill process.