On June 23, 2016, voters in the United Kingdom cast a historic referendum vote to exit the European Union. The reverberations of the "Brexit" vote have been significant in the global financial markets and the political landscape in Europe, and the British government likely will formally commence the withdrawal process shortly, at which time exit negotiations will start at various levels of the European Union.

For companies granting equity compensation awards under employee share and other incentive plans in the United Kingdom and elsewhere in Europe, the United Kingdom's Brexit vote has no immediate effect on such offerings but raises many significant issues and questions that multinational companies will face as the terms of the United Kingdom's withdrawal from the European Union are negotiated over the coming years.