Consultation outcome

Employee Share Schemes: NIC elections

This consultation has concluded

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Detail of outcome

This document is the response to the consultation on the ability to make National Insurance Contributions elections.

Original consultation

This consultation ran from to


A consultation on whether companies with non tax-advantaged share schemes require the continued availability of a National Insurance Contribution (NIC) election.


Consultation description

A NIC election is the means of legally transferring to the employee the Employer’s Class 1 NIC obligation on the occasion of chargeable events in connection with employment-related securities options, and with restricted or convertible employment-related securities. This consultation is designed to gather views and evidence from companies with nontax-advantaged share schemes about whether there is a need for the continued availability of a NIC election. NIC agreements will continue to be available.

The consultation is particularly relevant for accounting and legal advisers of companies which offer non tax-advantaged share schemes, particularly multinational companies with UK employees.