According to the ECF report "Company Bike Leasing for Europe - Germany's Sucess Model as a Sustainable Mobility Blueprint", there has been an annual increase of 30 per cent in the number of leased bikes since 2019. The total number of leased bicycles and e-bikes in Germany currently stands at 2.1 million. The other figures are also impressive: at the end of 2024, almost 270,000 public and private organisations of all sizes and sectors were already offering their employees access to company bike leasing models. E-bikes are particularly popular: 78 per cent opted for an electrically assisted bike.
Promoting cycling through company bike leasing has far-reaching positive effects. E-bikes have a twelve times smaller carbon footprint than cars and offer considerable potential for reducing emissions. According to the authors, cycling could save up to 33.5 per cent of emissions in Germany in bicycle-friendly scenarios. In addition, the increased use of bicycles helps to improve physical and mental health. Studies show that active mobility can reduce chronic diseases and obesity. This would save direct costs for treatment and sick leave. There would also be savings through increased life expectancy, which is associated with cycling.
Company bike leasing has proven to be a growth driver for the bicycle industry and related services. According to a study by Deloitte cited earlier this year, bike leasing providers generated a total turnover of 3.1 billion euros in 2024. According to the study, this contributed to the creation and safeguarding of around 491,000 jobs in the German bicycle sector and related services. The average sales price of a leased bike is over €3,450, compared to an average market price of just over €1,650. This shows that bike leasing users are opting for higher quality bikes and e-bikes.
According to the ECF, the success of the German CBL model could serve as a blueprint for the rest of Europe. The European Cycling Declaration of April 2024 recognises cycling as one of the most sustainable, accessible and healthy forms of transport and recreation. To realise the full potential of cycling in the EU, financial access to reliable (electric) bicycles is crucial.
With company bike leasing, the employer leases a bicycle or e-bike and allows the employee to use it. The leasing instalments are paid from the employee's gross salary. This reduces the employee's taxable salary. Employees can save up to 40 per cent of the purchase costs for a new bike.
The private use of a leased bicycle is taxed at 0.25 per cent of the gross list price as a non-cash benefit if the bicycle is leased via salary conversion.
The employer can also make the bicycle available as a salary bonus without the employee having to convert part of their salary. In this case, the employer can claim the leasing instalments as business expenses and the employee has no direct costs. A racing bike or gravel bike can also be leased as a company bike.
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