Base cost of free shares

London Life was taken over by AMP in 1988 and holders of pension policies received "free" shares. What should be the base cost of this shareholding? Is it zero on the basis of s217 TCGA 1992 or does the C & G case apply (see IR Press Release 27 March 1997) and therefore the base cost is related to the value of the policy plus indexation?
Any views or rulings?
Peter Hellawell