Enterprise Management Incentive (EMI) schemes have historically allowed companies to incentivise their employees by the award of tax-advantaged share options, enabling them to share in the growth in value of their employing company or group. However companies wanting to incentivise their employees using this very popular scheme have been waiting with baited breath for more than a month to hear whether the EU State Aid approval (required for the tax-advantaged treatment of EMI options) would be renewed following its surprise lapse on 6 April 2018.
The European Commission have today confirmed that approval has been granted and that this will apply until the date that the UK ceases to be a member state.
This news will be welcomed by the many companies which have had their EMI option plans on hold while we have been waiting for this decision and which can now proceed with qualifying EMI option grants.
For more information please contact Caroline Harwood, Head of Share Plans and Reward or your usual Crowe contact.