GTV视频

Published: 11th SEPTEMBER 2024

The case for a voucher scheme for people on low incomes and not in employment

Transport barriers can stop people on a low income or not in employment from accessing education, work and opportunities. This includes cycling. GTV视频 has found that around 2 million people want to cycle but are priced out by the initial cost of a cycle and accessories. Our new research, The Cycling Opportunity, generously funded by the Financial Fairness Trust, found significant health and economic benefits for people on a low income or not in employment and the economy if they were provided with financial support to purchase a cycle.

Four commuters in formal office wear walk down a staircase in a glass roofed railway station. One is wheeling a bike on a custom bike ramp which runs parallel to the stairs. The sky beyond the glass ceiling is bright and blue.

GTV视频 has found that around 2 million people want to cycle but are priced out by the initial cost of a cycle and accessories. Credit: GTV视频

Why help people buy a cycle?

1. Only 30% of people on a low income or not in employment have access to a cycle

Our Walking and Cycling Index (2023), found that 59% of people in socioeconomic groups A and B have access to a cycle*.

2. Transport poverty can reduce people鈥檚 quality of life

It puts people at risk of losing their job or prevents them from accessing education, training, high quality secure jobs and other important amenities.

3. Our nation is facing a public health crisis and the NHS is struggling to cope

This disproportionately affects people on a low income or not in employment.

Cycling improves people鈥檚 physical and mental health through exercise and by making it easier to access nature and spend time with friends and family.

4. A cycle can open up many opportunities

Cycles, e-cycles and non-standard cycles act as a low-cost form of transport for many everyday journeys, crucially helping many people to access work, skills and education.

37% of people on low incomes want to cycle more, according to our survey.

However, the initial cost of a cycle can be a barrier for many. Almost two in five (38%) of people said a cycle was unaffordable.

Himesh, Islington, London

Since I moved to London, cycling as a hobby has disappeared from life.

Any scheme that could loosen the financial burden would really help me in getting my own bike.

Read Himesh's full story

Since 1999, the Cycle to Work scheme has helped more than 2 million people get between 30% and 42% off a cycle and accessories.

Despite this success, it is a salary sacrifice scheme, most people earning below 拢17,000 are effectively barred as it would take their wages below the National Minimum Wage, as are those who are not in employment.

There is no equivalent national discount scheme for people most in need of support to purchase a cycle.

As part of our investigation, GTV视频 set out to:听

  • understand what people on low incomes need when accessing a cycle, and the barriers preventing them from cycling.
  • model the costs and benefits for individuals and society of a cycle voucher scheme for people on a low income or not in employment.

There are 11.7 million people in the UK earning less than 拢17,000 or not in employment, of which we estimate 1.9 million would like to buy a cycle but are prevented by cost.

Our research found 55% of people on a low income or not in employment thought having access to a cycle would save them money, and 79% felt it could improve their physical and mental health.

1.9 million people

want to cycle but are priced out by the cost of a cycle and accessories.

11.7 million people

in the UK earn less than £17,000 per year or are not in employment.

A Woman Standing At Some Traffic Lights In Edinburgh

Our research found 55% of people on a low income or not in employment thought having access to a cycle would save them money, and 79% felt it could improve their physical and mental health. Credit: GTV视频

Our three recommendations:

1. Governments across the UK should introduce a new cycle voucher scheme

We recommend introducing a voucher scheme offering a 40% discount on the retail price of cycles and accessories for people on low incomes and not in employment across the UK.

If implemented across the UK, in one year alone, our modelling suggests this would:

  • generate 拢60 million in benefits to society, the economy and individuals, 3.3 times the 拢18 million cost of discounts
  • enable 100,000 people to buy a cycle, helping them cycle more than two hours a week on average
  • help people live healthier, happier lives, cut air pollution and help people get around at low cost
  • take millions of car journeys off the roads.

2. When introducing a new cycle voucher scheme, governments across the UK should ensure it is fully inclusive

Schemes which truly benefit large numbers of people on low incomes or not in employment will need to be carefully designed. Forty percent of people in this group have a long term health condition or disability.

Moreover, many people previously priced out of cycling do not feel confident on the roads and will need extra support to get back in the saddle.听

3. Governments across the UK should continue to address other barriers to cycling

There are many other issues beyond the cost of a cycle that prevent people on low incomes and not in employment from cycling.

Helping everyone enjoy the benefits of cycling will require addressing the barriers that prevent or put people off cycling. It would:

  • provide secure and accessible residential cycle parking
  • improve cycle infrastructure in the most deprived areas, including new traffic-free routes, to give people the confidence to cycle
  • ensure people on a low income and not in employment inform cycling policy and practice.
Blockquote quotation marks
Removing the cost barrier to cycling helps ensure healthier, greener transport options are available to everyone, regardless of background or bank balance. This scheme is a great way to increase travel choice equitably and fairly. Blockquote quotation marks
Chris Boardman CBE, National Active Travel Commissioner

Alongside The Cycling Opportunity report, we have also developed an interactive tool to help local and national decision makers explore different types of voucher schemes in their area and the costs and benefits they are likely to produce.

With thanks to for generously funding and supporting this research.

* Socioeconomic groups A and B are those in higher and intermediate managerial, administrative and professional occupations - data from GTV视频' Walking and Cycling Index, UK report 2023.

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