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Growth shares (UK)

Also called: hurdle shares, flowering shares

In one line

A special UK share class that only captures value above a set 'hurdle', used to give employees upside with low upfront tax.

In plain English

Growth shares share in value only above a threshold set when granted, so their starting value (and tax) is low. Employees get future upside without a big tax bill today.

If you were explaining it to a 5-year-old

Toys that are only worth anything if the club grows past a certain size — so they're cheap to receive now.

Why it matters when you sell

Growth shares are real, sellable shares with their own tax profile, so knowing the hurdle and treatment matters for a UK sale.

Related terms

EMI option (UK)UK capital gains tax (CGT)Common stockSweet equity

Put it to use

How to get liquidity (Europe)

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Sources

Primary references for this term: UK Government / HMRC (gov.uk). Our definitions are written in plain English and kept evergreen — see the glossary methodology. General information, not advice.

Educational information only — not financial, tax or legal advice, and not an offer to buy or sell any security. Definitions are general; your own documents and local law govern your situation. PrivateTechShares is independent and not a broker or marketplace.