New employee-owned trusts fall to four-year low

Employee Ownership Trusts – What business owners need to know

With more than 2,400 businesses now operating through an Employee Ownership Trust (EOT) structure, this has become a mainstream option for business owners thinking about succession and exit. The tax benefits that helped drive that growth have recently changed, but EOTs remain a competitive succession route. For many owners, the financial case was never the only consideration. What is an Employee Ownership Trust? An EOT is a structure through whi…

New employee-owned trusts fall to four-year low

The number of employee‑owned businesses receiving tax clearance fell to a four‑year low in Q1 2026, according to data obtained by Price Bailey accountancy firm. Data released by HMRC under the Freedom of Information Act showed that only 90 employee ownership trusts (EOTs) received tax clearance in the first quarter of this year, the lowest figure since Q2 2022, when 79 were authorised. The fall followed two strong surges in late 2024 and late 20…