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Financial > Investments > PEPS


PEP - Personal Equity Plan

A PEP is a tax-sheltered investment scheme made available in 1987.

All income received by your investment, or growth that they achieve, are free from Income Tax and Capital Gains Tax - and so are any withdrawals that you make from your investment.

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This means that they do not need to be shown on your tax return.

These investment schemes can hold individual stocks and shares, collective investments like unit trusts, open ended investment companies, investment trusts, gilts and bonds.

There were careful restrictions placed upon the types of investment that a PEP could hold to encourage investment into British businesses rather than to encourage our competitors overseas. Those restrictions were eased in 1999 and so you can now invest in almost any business almost anywhere in the world.