An unnecassary complication to the tax system that is unfair -as it is prejudiced to the corporate employer, and due to lack of publicity, to the average tax payer. If people are to be encouragd to cycle, then the VAT on cycles could be reduced, and be fairer all around.
There are several tax free incentives that corpoates exploit on behalf of their employees which smaller emplloyers don't know of/can't exploit on behalf of their employees. Corpoates present them along with deals from other firms as benefits -eg vouchers with money off and add them as part of a "reward package". eg Did you know that if you use a push bike for all or part of your journey to work you can claim the income tax paid when you buy a new one? this whole area should be investigated and simplified. In the past the purchase of computer equipment had a tax break too.