Amendments made: 17, in schedule 2, page 151, line 16, leave out sub-paragraph (3) and insert—

‘(3) In sub-paragraph (4)(b) for “provision for forfeiture” substitute “restriction”.’.

Amendment 18, in schedule 2, page 155, line 28, leave out sub-paragraphs (2) and (3) and insert—

‘(2) In sub-paragraph (1) for the first “all” substitute “some or all of the”.

(3) After sub-paragraph (1) insert—

“(1A) The company’s direction must set out—

(a) the amount of the cash dividends to be applied as mentioned in sub-paragraph (1), or

(b) how that amount is to be determined.”

(4) In sub-paragraph (4) after “may” insert “modify or”.’.

Amendment 19, in schedule 2, page 156, line 5, leave out sub-paragraph (2) and insert—

‘(2) Sub-paragraph (3) applies to a direction requiring the reinvestment of cash dividends which is given before that day.

(3) For the purposes of paragraph 62(1A) of Schedule 2 to ITEPA 2003 the direction is to be treated as requiring the reinvestment of all the cash dividends, subject to any modification of the direction which is made on or after that day under paragraph 62(4) of that Schedule.’.—(Sajid Javid.)

Schedule 2, as amended, agreed to.