Bike Leasing Boosts Sustainable Mobility And Economy, New Report Says
Bike leasing by companies could become a powerful catalyst and the 'next big thing' for sustainable mobility if the right financial measures and policies are embraced, unlocking access to cycling for millions of employees and supporting climate goals, healthier cities, and a thriving bike industry.
Those are the highlights of a new white paper released earlier this month by the European Cyclists' Federation (ECF), a Brussels-based nonprofit umbrella group with more than 70 member organizations in over 40 countries.
'This model shows the huge potential for cycling in corporate employee mobility with the right fiscal tools in place,' Jill Warren, chief executive of the European Cyclists' Federation, said in a statement.
The report, 'Company Bike Leasing for Europe: Germany's Success Model as a Sustainable Mobility Blueprint,' was based on the examination of company bike leasing (CBL) programs in Germany that have delivered social, environmental, and economic returns.
Developed in collaboration with JobRad Group, a German company specializing in company bike leasing that also refurbishes bicycles and e-bikes, the report examined how company bike leasing in Germany has led to an active fleet of more than 2 million leased bikes by the end of 2024, with an average annual growth rate of 30% since 2019.
If replicated more widely, the paper suggested, similar programs could become a powerful accelerator for sustainable mobility throughout Europe, and become 'a game-changer' for the climate, health, and inclusion, and would be a strong benefit to workers, employers, and the economy.
A significant portion – 78% – of leased bikes in Germany are e-bikes, a convenient, fast and sustainable transport alternative to the daily work-place commute, that have a carbon footprint 12 times lower than cars. Programs utilizing these modes have the potential to reduce transport emissions 33.5% in Germany, 22.8% in Sweden, and 24% in the UK, the report cited.
In addition to the positive environmental and economic impact, company bike leasing is making cycling accessible to broader segments of society, the report's authors noted, including those in rural areas, people with lower fitness levels, and employees who previously were unable to afford quality e-bikes.
'Leasing (e-)bikes through gross salary conversion can reduce employee costs by up to 40% compared to direct purchase in Germany, with payment spread over several years,' according to the study. 'The scheme has also proven popular with employers: by the end of 2024, nearly 270,000 German companies and public organisations had adopted it.'
Beyond mobility, the initiative supports health, talent retention, and corporate sustainability—77% of German companies list bike leasing as a top employee mobility benefit, according to the paper, which noted that bike leasing supports around 489,000 jobs in the wider cycling sector.
The report also spotlights how responsible bike leasing programs can advance the circular economy. Through bicycle refurbishing, for example, used bikes that are not purchased by employees at the end of the leasing cycle can be restored and resold —prolonging product life, reducing waste, and creating new employment opportunities.
Policymakers and decision makers who enable company bike leasing at European companies, organizations and institutions, and European Union Member States — as well as beyond Europe's borders – should recognize its benefits and use the lessons learned from Germany's successful model, and embrace 'this healthy and climate-friendly form of mobility and transport with positive impact to the economy.'
For more information and to read the full report, click here and here.
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