Selling SIP shares

The length of time that you have to hold on to your shares, before you can sell/transfer them tax free, is dependent on the share type. These timings, per share type, are as follows:

• Free shares: 5 years
• Partnership shares: 5 years
• Matching shares: 5 years
• Dividend shares: 3 years

If you sell shares you will need to pay the dealing cost of selling the shares. The charges are set out in the Sales Terms and Conditions which are viewable on the SIP Sales Instructions pages.

If you are employed by the company, you can:

• sell shares that are Conditional or Available;
• and transfer your Available shares.

You can find out how many Conditional and Available shares you have by going to the SIP Summary page.

The most tax efficient shares will be sold/transferred first (Available shares). All remaining shares are sold/transferred on a strict first in first out basis. This means that the shares held in the plan the longest must be sold/transferred first.

Your taxable proceeds result from the sale of Conditional shares.

Non-taxable proceeds result from the sale of Available shares.

Any taxable proceeds will be returned to your payroll for income tax and National Insurance Contributions to be deducted and the remainder will then be paid to you by your payroll at the next pay day. Any non-taxable proceeds will be paid direct to your bank account or, alternatively, via cheque if we do not have your bank details.