Researchers say New Zealand could save $200 million per year in health costs if more people left the car at home and cycled instead.
The Centre for Sustainable Cities says it would take only 5% of car trips being replaced by bike rides to make the savings.
Manager Jan Logie says the extra exercise would also save the lives of more than a hundred people each year.
She says a 5% change is not radical, as it is just getting back to the number of cyclists in the 1980s.
Cycling advocates welcome the research.
Investing in cycling is a win-win-win decision, says Cycling Advocates' Network (CAN) Chair, Bevan Woodward.
"We all win when there are more people cycling. Our roads are less congested, people get fitter, the air is cleaner and the taxpayer saves on health costs."
Cycling is a great way to get around, and an activity enjoyed by more than a million New Zealanders says Mr Woodward.
Centre for Sustainable Cities: http://sustainablecities.org.nz/