Skip to main content

Share Options

Volume 264: debated on Thursday 19 October 1995

The text on this page has been created from Hansard archive content, it may contain typographical errors.

To ask the Secretary of State for Social Security if he will introduce proposals to outlaw companies using share options as a means of payment to low-paid employees unless such payments count for national insurance purposes. [37075]

Payments made by way of share options do count for national insurance contributions purposes. The exception is where employees are paid by the way of shares or share options in their own company. This policy helps employers to give employees a direct stake in their employing business and promotes wider share ownership.We do not wish to prevent low-paid employees from benefiting from share options and therefore have no plans to change our policy.