About Share Incentives
The world of share incentives and employee ownership is currently one of the hottest topics and a huge priority for the current government. The law is constantly changing and companies are regularly having to grapple with new legislation, new guidance and new ideas. In such a complex, ever-changing area, where the repercussions of getting it wrong can be unforgiving, companies need to understand the law and implement it correctly.
Corporate governance content
Reports on executive pay are regularly in the news. We include subtopics on corporate governance, remuneration issues for financial services firms and a comparison of UK Corporate Governance remuneration principles.
Disguised remuneration
Get updated documents and a Practice Note examining common disguised remuneration scenarios in share schemes. There’s nothing like this elsewhere.
Key Share Incentives developments
Keeping up-to-date on developments naturally important. We produce a weekly Share Incentives highlights report and email it straight to subscribers' inboxes. It's also posted on our news carousel.
Topics We Cover
Our Share Incentives Experts
Nicky Griffin
Stephen Woodhouse
David Pett
William Franklin
David Cohen
Latest Share Incentives News
This week's edition of Share Incentives weekly highlights includes a new Q&A which looks at whether it is possible to offer a partial rollover of CSOP...
This week's edition of Share Incentives weekly highlights includes: (1) launch of the ISS Governance 2025 Global Benchmark Policy Survey, (2) a report...
This week's edition of Share Incentives weekly highlights includes: (1) Legislation Day and the publication of draft provisions for inclusion in...
Tax analysis: On Legislation Day, 21 July 2025, the government published draft provisions for inclusion in Finance Bill 2026 (FB 2026, also known as...
This week's edition of Share Incentives weekly highlights includes: (1) updated HMRC guidance in respect of the share plan reporting obligations that...
Latest Share Incentives Practice Notes
GDPR and Share SchemesFORTHCOMING CHANGE: On 19 June 2025, the Data (Use and Access) Bill received Royal Assent, becoming the Data (Use and Access)...
Processing personal data—standard of consentThis Practice Note is based on the UK General Data Protection Regulation (UK GDPR) and consent guidance...
Taxation of payments in lieu of notice (PILONs) and post-employment notice pay (PENP)The tax treatment of payments in lieu of notice (PILONs)...
Securities acquired for less than market valueThis Practice Note deals with the specific rules applying to employment-related securities acquired for...
Coronavirus (COVID-19)—tax implications [Archived]ARCHIVED: This archived Practice Note, which considers the tax measures that were introduced by the...
Latest Share Incentives Precedents
EMI AgreementThis Agreement is made on [insert date of execution of the share option agreement]Parties1[insert name of Company whose shares are being...
Letter—from employer enclosing data protection privacy notice (employment)[Insert name and address of client]Private and confidentialDear [insert...
Data protection privacy notice (employment)[Insert name of organisation]Data protection privacy notice (employment)This notice explains what personal...
SIP rules1Definitions and interpretation1.1The following words and expressions have the following meanings:Accumulation Period•in relation to...
Employee–Ownership Trust DeedThis Deed is dated [insert date on which this deed is executed by all parties]Parties1[Insert name of Company] whose...
Latest Share Incentives Q&As
Featured Share Incentives content
Malus and clawback
Malus and clawbackThe use of malus and clawbackThe concept of withholding or even recovering value from executives if a material adverse event occurs...
What is a long-term incentive plan?
What is a long-term incentive plan?A long-term incentive plan (LTIP) is a term that is commonly used among listed companies to describe executive...
Nil paid shares and partly paid shares—practical considerations
Nil paid shares and partly paid shares—practical considerationsWhat are nil paid shares and partly paid shares?When shares are issued, their...
Implementing share plans—ways to manage dilution of existing shareholders
Implementing share plans—ways to manage dilution of existing shareholdersWhat is share dilution?Share dilution happens when a company issues...
Introduction to enterprise management incentives (EMI) schemes
Introduction to enterprise management incentives (EMI) schemesIntroduction to EMI schemesThe EMI scheme is a highly flexible and tax-efficient scheme...
Corporation tax relief and employee share schemes
Corporation tax relief and employee share schemesCorporation tax deduction for costs incurred in setting up and operating employee share schemesCosts...
What is an employee benefit trust?
What is an employee benefit trust?The EBT as a trustAn employee benefit trust (EBT) is a form of trust. A trust refers to the legal relationship...
Phantom share awards and options
Phantom share awards and optionsWhat is a phantom award?Phantom awards, broadly speaking, can be split into two categories, phantom share awards and...
Growth shares—practical examples and comparisons with options
Growth shares—practical examples and comparisons with optionsWhat are growth shares?Growth shares, also known as value shares or hurdle shares, are a...
Value Creation Plans
Value Creation PlansWhat is a Value Creation Plan?The term ‘Value Creation Plan’ (VCP) normally refers to an employee incentive plan which is designed...
Cashless exercise of options
Cashless exercise of optionsWhat is a cashless exercise of options?The ‘cashless exercise’ of options or a 'cashless exercise facility' refers to the...
Employee ownership trusts
Employee ownership trustsWhat is an employee ownership trust?An employee ownership trust (EOT) is a particular type of employee benefit trust (EBT)...
Shares for non-executive directors—issues and considerations
Shares for non-executive directors—issues and considerationsMeaning of ‘non-executive director’The general definition of ‘director’ is not exhaustive....
Underwater share options
Underwater share optionsWhat is an underwater share option?'Underwater option' is the term used to describe a share option (granted under any share...
What is a SIP?
What is a SIP?This Practice Note provides an introduction to the HMRC tax-advantaged share incentive plan (SIP). It provides a summary of:•the types...
Pitfalls of setting up and operating an employee ownership trust
Pitfalls of setting up and operating an employee ownership trustWhat is an employee ownership trust?An employee ownership trust (EOT) is a particular...
Long-term incentive plans—income tax and NICs treatment
Long-term incentive plans—income tax and NICs treatmentTypes of LTIP awardsThe most common type of awards that can be made under a long-term incentive...
Notice of exercise of option
Notice of exercise of optionThe Company Secretary[insert date of letter][insert name of company who granted the option] (Company)[[insert address of...
Associated legal terms
Executive Remuneration Working Group (ERWG)
An independent panel established by the Investment Association in 2015 to address the concern that executive remuneration had become too complex and was not fulfilling its purpose.
Joint share ownership plan (JSOP)
Joint share ownership plans (JSOPs) also sometimes referred to as a ‘joint ownership agreement' (JOA). This is a type of employee share incentive plan under which the employee participant owns shares jointly with a third party, which is typically the trustee of an employee benefit trust (EBT).
Pensions Investments Research Consultants (PIRC)
An independent body established in 1986 offering a variety of services to pension fund investors including monitoring compliance by companies with corporate governance guidelines and voting advice.
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