With most Kiwis still commuting by car, a new workplace bike scheme provider, Northride, has launched in Aotearoa New Zealand to help employers support healthier and lower-carbon emitting travel.
According to Statistics New Zealand, more than 84% of commuters travel to work by car, even though transport research suggests around half of car trips are shorter than five kilometres – distances well suited to cycling or e-biking. 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, and making workplace cycling programs a valuable investment for organisations.
Active commuting boosts health and productivity
The daily commute is one of the easiest ways to integrate physical activity into everyday life, and the benefits are more significant than previously thought. Furthermore, recent research confirms the value of investing in cycling.
A landmark October 2025 study from the University of Auckland found that active commuting can reduce the risk of colon cancer by 28% and stomach cancer by 73%.
Beyond physical health, it’s about employee experience. The AA Local Transport Survey 2025 highlights a clear 'enjoyment gap' in New Zealand: 69% of cyclists report enjoying their local trips, compared to just 43% of car drivers.
“You have to get to work anyway,” says Johannes Jacobs, Country Director of Northride. “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.”
With 45% of New Zealand cyclists reporting, they are riding more than a year ago, the demand for accessible cycling options is clearly on the rise.
“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.”
Employers can influence how people travel to work
Current commuting habits create a major opportunity for organisations to influence travel behaviour.
“Northride is built around the belief that employers are in a unique position to influence positive change,” says Jacobs. “When workplaces make cycling simple and affordable, more people give it a go, and many stick with it.”
International research shows that structured bike benefit schemes can increase cycling uptake, particularly among people who were not previously regular cyclists. 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,” continues Jacobs. “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.”
Bike scheme without upfront cost for employers
“Unlike traditional bike schemes, Northride’s model does not require employers to purchase bikes upfront or commit capital to owning fleet assets,” says Jacobs.
“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. This structure removes large upfront capital outlay, reduces financial risk, and keeps administration light for employers,” Jacobs continues.
The scheme utilizes Fringe Benefit Tax (FBT) exemptions that allow employers to provide bikes for commuting under structured arrangements. These exemptions were originally introduced by the NZ government in April 2023 as part of a strategic effort to reduce transport emissions and encourage active travel. Several organisations are already exploring the scheme as part of their workplace wellbeing and sustainability programmes.
Local bike shops at the centre of the 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,” says Jacobs. “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.”
Key Insights for Media & Analysts:
- The Happiness Gap: 69% of NZ cyclists enjoy their commute compared to only 43% of car drivers.
- The Health Factor: Active commuting reduces stomach cancer risk by 73% and colon cancer risk by 28%, per Oct 2025 University of Auckland data.
- Market momentum in Aotearoa: 45% of current NZ cyclists are riding more than a year ago, and international studies show employees increase active, healthier commuting after joining workplace cycling schemes.
- The Financial Model: No upfront cost for employers, using existing NZ FBT exemptions. Employees join via a simple, pre-approved salary sacrifice over the scheme period, with deductions often cheaper than comparable fuel, parking or public transport costs.
Contact
Johannes Jacobs, Country Director, Northride
Phone: +64220285731
Email: johannes.jacobs@northride.com
Mikko Ampuja, Founder & CEO, Vapaus Group
Email: mikko@vapaus.io
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About Northride
Northride, a subsidiary of Vapaus Group, is dedicated to helping Kiwi employers implement employee bike schemes that are flexible, sustainable, and low-administration.
Operating across Aotearoa, Northride partners directly with workplaces and bike retailers to promote healthier commuting and reduce emissions from everyday travel.
The bike scheme model in New Zealand leverages existing Fringe Benefit Tax (FBT) exemptions, enabling employers to offer bikes for commuting through a structured arrangement. Employees access bikes at an effective cost typically lower than retail self-purchase or standard interest-free finance deals, with repayments made through pre-tax salary deductions. In many instances, these monthly deductions prove more cost-effective than the equivalent expenditure on fuel, parking, or public transport passes.
About Vapaus Group
Vapaus Group is an international bike scheme operator founded in Finland. The company provides employee bicycle benefit services across Europe and has developed a technology platform that automates financing, payroll integration and administration.
The scalable business model is reflected in its growth from €4.5 million in revenue in 2021 to €28.9 million ($56.9 million NZD) in 2025. Vapaus has been listed among Finland’s fastest-growing companies and it has won the prestigious European Startup Prize for Mobility out of more than 700 European companies.
The company is focused on international expansion, operating currently in Finland, Sweden, France and New Zealand. Vapaus brings operational excellence to Northride and invests heavily in app development and is continuously evolving its financing model to further improve the customer experience.