What types of awards can be made under a SIP?

There are four, and they can be used alone or in combination:

• Free Share Award — up to £3,600 of shares per employee per tax year, given free of tax and NICs.
• Partnership Share Award — bought by the employee out of pre-tax salary,  up to £1,800 of shares per employee per tax year.
• Matching Share Award — up to two additional free shares for each Partnership Share bought.
• Dividend Share Award — where dividends received on SIP shares currently held are reinvested rather than paid in cash.