Jurisdiction(s):
United Kingdom

Precedent employee invitation letter for award of free shares under UK Share Incentive Plan (SIP): eligibility, acceptance/opt-out, leaver treatment, share rights and tax

Precedents
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Award of free shares under the [ insert name of company ] Share Incentive Plan (SIP)

We are delighted to confirm that you qualify to receive an allocation of free shares through the [ insert name of company ] Share Incentive Plan (SIP). The [ value OR number ] of free shares due to you is [ insert number or value of free shares ] [ subject to a maximum value of free shares of £3,600. ]. Full particulars of your free share award will be shared with you after the award has been finalised, and you will receive the relevant information about your free shares in due course. [ Insert any details of any criteria used to determine the entitlement to free shares (remuneration, length or service or hours worked. ] [ Insert details of any applicable performance allowances ] [ If you want to accept your free shares, you should follow the instructions below. The deadline for accepting the free shares is [ date ]. OR If you want to accept your free shares you don’t have to do anything as they will automatically be awarded to you ]...

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Jonathan Fletcher Rogers
Jonathan Fletcher Rogers

Jonathan is the head of Addleshaw Goddard's Employee Incentives and Remuneration practice, and advises UK and multinational clients on the design and implementation of share and cash-based employee incentive plans. He also advises quoted companies on corporate governance and disclosure issues in relation to remuneration. Jonathan is a regular speaker at conferences on executive remuneration and share plans more generally and has been recognised as a leading individual in employee incentives in Chambers and Partners....

Web page updated on 22/05/2026

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