Level of uncertainty

Following the UK's departure from the EU on 31 January 2020 and the last minute trade deal agreed with the EU, companies and administrators are assessing the impact that Brexit will have on various aspects of Share schemes. The good news is that after the introduction of the employee share scheme exemption under the Regulation (EU) 2017/1129, Prospectus Regulation, the main barrier that companies offering share schemes would have faced, has been removed. However, there are a number of other areas of share schemes and their implementation that will or may be affected by Brexit.

Notwithstanding the trade deal, there remains uncertainty around financial services, which may impact administrators and other advisors. Certain areas require further action, such as tracking mobile employees and ensuring that social security is paid in the right place.

Prospectus requirements

One of the main barriers for companies seeking to offer share plans in a particular country