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Jun 11, 2024
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A Finnish employee benefit program backed by the government has promoted bike commuting; participants are riding five times as much as those without a ‘benefit bike.’
The country of Finland has a government-backed program for its citizens to lease a bike or e-bike for commuting to work. It takes the concept of a company car and extends it to two-wheeled machines. A recent study by the Finnish employee-benefit platform Vapaus found that people who rode a “benefit bike” covered five times as many miles as Finns who don’t have one.
According to the study, Finns with benefit bikes ride, on average, 1,217 km (756 mi.), while the typical Finn who doesn’t have one will pedal just 234 km (145 mi.).
Benefit bikes are typically leased, not purchased, and program participants can receive up to €1200—tax free—per year. On top of that, they usually save between 30 and 50 percent of the bike or e-bike’s original purchase price.
Among program participants 43 percent reported a significant increase in their riding. Another 36 percent reported a slight increase in their riding. That means that 79 percent of the program’s participants increased their cycling, which is precisely what the Finnish government hoped to inspire with the program, which was instituted in 2021.
Some 80,000 Finns are taking part in the program and according to Vapaus 46 percent have reduced the amount they drive and 56 percent report improved health. Averaged across the program, the typical Finn drives 42 fewer kilometers each week. Were every program participant to ride that much, Finns would see a decrease of 74 million km (45.9 million mi.) traveled by car per year.
We are encouraged every time we see an incentive program meant to inspire people to ride more, whether it is specific to e-bikes or not. Rebate programs have been a terrific boon to shoppers. The Finnish benefit bike program is a great example of how much room there is for creativity when creating a program meant to get more people riding.
Considering that many buyers have to focus on the most value-focused e-bikes when making their purchase due to budget constraints, a bike-lease program that results in a small monthly payment makes terrific sense. That Vapaus was able to see such a large and quantifiable gain in health and reduction in car miles shows just how important and effective these programs are.
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