Personal Equity Plans (PEPs)

Personal Equity Plans (PEPs) were replaced by Individual Savings Accounts (ISAs) on 6 April 1999 and are no longer open for new investment. However, many investors were able to maintain PEP investments and they continued in force until they were cashed in by the investor or the investor died (in which case the investment reverted to its underlying assets). Since 6 April 2008, all PEPs have been automatically converted into Stocks and Shares ISAs.

There were originally two forms of PEPs:

General PEPs

which could invest in certain unit trusts, OEICs, investment trusts, EU listed shares and corporate bonds; and

Single Company PEPs

which could only hold the shares of one company.

The distinction between single company and general PEPs disappeared from 6 April 2001, when the investment rules for PEPs were aligned with those of the stocks and shares component of an ISA (although PEPs cannot include insurance products).

For more information, please contact us.