59U.K.Part 4 of Schedule 3 (shares to which schemes can apply) is amended as follows.
60U.K.In paragraph 17 (introduction) in sub-paragraph (1)—
(a)after the entry for paragraph 20 insert “ and ”, and
(b)omit the entry for paragraph 21 and the “and” after it.
61U.K.Omit paragraph 21 (only certain kinds of restrictions allowed).
62U.K.In Part 6 of Schedule 3 (requirements etc relating to share options) in paragraph 28 (requirements as to price of acquisition of shares) after sub-paragraph (4) insert—
“(5)At the time a share option is granted—
(a)it must be stated whether or not the shares which may be acquired by the exercise of the option may be subject to any restriction, and
(b)if so, the details of the restriction must also be stated.
(6)For the purposes of this paragraph the market value of shares subject to a restriction is to be determined as if they were not subject to the restriction.”
63U.K.In Part 7 of Schedule 3 (exchange of share options) in paragraph 39 (requirements about share options granted in exchange) after sub-paragraph (6) insert—
“(7)For the purposes of this paragraph the market value of shares subject to a restriction is to be determined as if they were not subject to the restriction.”
64U.K.Part 9 of Schedule 3 (supplementary provisions) is amended as follows.
65U.K.In paragraph 48 (minor definitions) after sub-paragraph (2) insert—
“(3)For the purposes of the SAYE code—
(a)shares are subject to a “restriction” if there is any contract, agreement, arrangement or condition which makes provision to which any of subsections (2) to (4) of section 423 (restricted securities) would apply if the references in those subsections to the employment-related securities were to the shares, and
(b)the “restriction” is that provision.”
66U.K.In paragraph 49 (index of defined expressions) at the appropriate place insert—
| “restriction (in relation to shares) | paragraph 48(3)”. |
67(1)The amendments made by paragraphs 59 to 62 above have effect in relation to options granted on or after the day on which this Act is passed.U.K.
(2)The amendment made by paragraph 63 above has effect for cases where the old options are granted on or after that day.
(3)A SAYE option scheme approved before that day has effect with any modifications needed to reflect the amendments made by paragraphs 59 to 66 above.
(4)In particular, in relation to options granted on or after that day, such a SAYE option scheme has effect with the omission of any provision falling within a provision of Schedule 3 to ITEPA 2003 omitted by paragraph 61 above.