Workplace bike scheme launches to cut car commuting

A new workplace bike scheme provider has launched in New Zealand to help employers reduce car-dependent commuting, with Statistics New Zealand data showing more than 84% of commuters still travel to work by car.

Northride, which launched on 10 March 2026, aims to make cycling more accessible through employer-sponsored programmes that remove upfront costs and administrative complexity for businesses.

Country director Johannes Jacobs says the scheme targets a clear opportunity, with transport research suggesting around two-thirds of car trips are shorter than five kilometres – distances well suited to cycling or e-biking.

“You have to get to work anyway,” Jacobs says. “If that journey becomes your ride, you are not just building cardiovascular fitness, you are starting your workday with a mindset of enjoyment rather than the stress of congestion.”

Health benefits drive employee engagement

Recent research has strengthened the case for active commuting, with a landmark October 2025 study from the University of Auckland finding that active commuting can reduce the risk of colon cancer by 28% and stomach cancer by 73%.

The AA Local Transport Survey 2025 also highlights what Jacobs calls a clear “enjoyment gap” – 69% of cyclists report enjoying their local trips, compared to just 43% of car drivers.

“Healthier teams are more resilient and engaged,” Jacobs says. “Active commuting is one of the few wellbeing initiatives that happens every day, not just once a year.”

The timing appears favourable, with 45% of New Zealand cyclists reporting they are riding more than a year ago, according to the survey data.

Scheme removes financial barriers for employers

Unlike traditional bike schemes, Northride’s model does not require employers to purchase bikes upfront or commit capital to owning fleet assets, Jacobs says.

“Northride works with trusted finance partners to provide competitive external funding. The employee participates through a simple, pre-approved salary sacrifice arrangement over the scheme period,” he says.

The scheme utilises Fringe Benefit Tax (FBT) exemptions that allow employers to provide bikes for commuting under structured arrangements. These exemptions were introduced by the government in April 2023 as part of efforts to reduce transport emissions and encourage active travel.

International evidence suggests the approach can work. A UK evidence review found that 65% of participants increased their cycling after joining a workplace scheme, with new cyclists riding an average of around 30 minutes more per day.

“Small daily trips add up,” Jacobs says. “Transport accounts for around 20% of New Zealand’s greenhouse gas emissions, so even small shifts in commuting habits can make a meaningful difference at scale.”

Local bike shops central to model

Northride has launched in collaboration with local bike retailers to ensure employees can choose from a wide range of bikes suited to New Zealand conditions, from commuter hybrids to cargo bikes and e-bikes.

“Local bike shops are central to making this work,” Jacobs says. “They provide the expertise, servicing and long-term relationship with riders. Our role is to remove the administrative and financing complexity so they can focus on bikes and customers.”

Cities such as Christchurch and Wellington already rank among the world’s top 50 cycling cities in the Copenhagenize Index, highlighting the growing potential for everyday cycling in New Zealand.

Northride is a subsidiary of Vapaus Group, an international bike scheme operator founded in Finland. The parent company has grown from €4.5 million in revenue in 2021 to €28.9 million in 2025 and operates across Finland, Sweden, France and New Zealand.

Several organisations are already exploring the scheme as part of their workplace wellbeing and sustainability programmes, according to the company.