Direct Payment From Employer

Your employer can set up the scheme and administer it themselves. The required forms are below. Basically the employee agrees to deductions from salary to hire the bike from the employer, spread over 12 months at 1/12 the value of the bike to a max of £1000. At the end of the agreement the employer can sell the bike to the employee for a fee.

The employer has to retain the agreement forms as HMRC may wish to see them in the event of an inspection to explain why no tax or NI was paid on that proportion of salary.
The £1000 cap is because any agreement over that amount requires a Consumer Credit Licence. If you buy one, about £330, you can go up to £4500 on the scheme.
We allow split payments on bikes over £1000 with £1000 from the employer and any balance from the employee - as long as the agreement is for £1000 and you retain on file a receipt for the same.

As for savings:
The employer saves NI at 11%
The employer saves VAT if registered at 20% but usually passes this benefit to the employee.
The employee saves NI at 11%
The employee saves tax at the highest rate they pay, 20/40/50%
The employer can write off the cost of the bikes as a capital allowance.
In other words act quickly before the revenue realise how much it is costing them!
We have an example salary sacrifice form available for download HERE Feel free to use this as a template for your own salary sacrifice agreement.