Share-based payments (Tables)

12 Months Ended

Dec. 31, 2018

Summary of Information about Awards Granted

The Group uses separate option pricing models and assumptions depending on the plan. The following table sets out information about awards granted in 2018, 2017 and 2016:


	APP						LTIP
	Binomial valuation model						Monte Carlo Simulation and Binomial valuation model
	2018		2017		2016		2018			2017			2016
Weighted average share price		4,645.0p		3,781.0p		2,725.0p		4,774.0p			4,300.0p			2,846.0p
Expected dividend yield		n/a		n/a		n/a		2.27	%		2.05	%		2.55	%
Risk-free interest rate								0.84	%		0.10	%		0.36	%
Volatility^a								25	%		24	%		24	%
Term (years)		3.0		3.0		3.0		3.0			3.0			3.0

^a	The expected volatility was determined by calculating the historical volatility of the Company’s share price corresponding to the expected life of the share award.

Summary of Movements in Awards Outstanding Under the Schemes

Movements in the awards outstanding under the schemes are as follows:


	APP			LTIP
	Number of shares thousands			Performance-related awards Number of shares thousands			Restricted stock units Number of shares thousands
Outstanding at 1 January 2016		689			5,275			—
Granted		336			889			467
Vested		(229	)		(915	)		—
Share capital consolidation		(104	)		—			—
Lapsed or cancelled		(7	)		(1,048	)		(18	)

Outstanding at 31 December 2016		685			4,201			449
Granted		235			280			525
Vested		(263	)		(928	)		—
Share capital consolidation		(21	)		—			—
Lapsed or cancelled		(20	)		(1,160	)		(58	)

Outstanding at 31 December 2017		616			2,393			916
Granted		176			257			527
Vested		(199	)		(702	)		—
Lapsed or cancelled		(2	)		(860	)		(142	)

Outstanding at 31 December 2018		591			1,088			1,301

Fair value of awards granted during the year (cents)
2018		6,066.21			4,748.67			5,965.97
2017		4,959.3			4,133.2			5,251.0
2016		3,671.9			1,768.0			3,624.5

Weighted average remaining contract life (years)
At 31 December 2018		1.0			0.8			1.2
At 31 December 2017		1.2			0.6			1.7
At 31 December 2016		1.2			0.9			2.2