I believe this scheme saves you the income tax that you would have paid on the cost of the bike. Therefore it is better than a 0% interest loan. The higher your income tax bracket the better it is. I wish we had the same sort of scheme here.
This isnt available in Canada, but my daughter is in London and a friend of hers got a huge saving on his bike. I suspect there might be delays in setting up the purchase, which could result in the best biking weather being over by the time you get your bike