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 (1) HMRC guidance on the new tax adviser mandatory registration requirement, (2)...
This week's edition of Share Incentives weekly highlights includes (1) a focus on the removal of the unfair dismissal compensatory award statutory cap...
This week's edition of Share Incentives weekly highlights includes (1) HMRC’s Employment Related Securities Bulletin 63 regarding net-settled share...
The Secretary of State has made the Data (Use and Access) Act 2025 (DUAA 2025) (Commencement No 6 and Transitional and Saving Provisions) Regulations...
HMRC has published Employment Related Securities Bulletin 63...
Latest Share Incentives Practice Notes
UK listing and prospectus regime reform—progress trackerThe UK Listing Review was launched by HM Treasury at the end of 2020 to gather evidence and...
Corporate issues in relation to share incentivesThis Practice Note focuses on some key corporate issues that arise in relation to share incentives,...
Net-settling employee share awardsWhat is net-settling?A company can choose to settle its employee share awards on a net basis in order to reduce the...
The public offers of securities and prospectus regimes in the context of employee share plansIntroduction and legal frameworkAs with most...
GDPR and Share SchemesOn 31 January 2020, the UK ceased to be a member of the EU and EEA. From 1 January 2024, retained EU law that remains in force...
Latest Share Incentives Precedents
EMI share option scheme rulesRules of the [insert name of company granting EMI options] enterprise management incentives SchemeFORTHCOMING CHANGE: On...
Data protection privacy notice (employment)[Insert name of organisation]Data protection privacy notice (employment)This notice explains what personal...
Letter—from employer enclosing data protection privacy notice (employment)[Insert name and address of client]Private and confidentialDear [insert...
Bonus schedule—EBITDAThis Precedent is a sample bonus schedule, to be inserted as a schedule to an employment contract or director’s service...
Stand-alone clawback agreementThis Agreement is made on [date] between the following parties:Parties1[name of employer] [Limited OR Plc], a company...
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
Discounted Share Option
A share option which is granted with an exercise/option/strike price less than the actual market value of the share (the market value of a share taking into account any restrictions and risks of forfeiture) under option as measured at the date of grant of the option.
Dodd-Frank
The Dodd Frank Wall Street Reform and Consumer Protection Act 2010, a corporate governance regime in the United States.
Long term incentive plan (LTIP)
LTIP is an acronym for ‘long-term incentive plan’, which is a term that is commonly used among listed companies to describe an executive share incentive plan under which share-based awards are made to senior employees with a vesting period of at least three years.
CONTACT US
