Record year for VCTs

2005/06 appears to have been a record year for VCT operators in terms of fundraising.

Recent weeks have seen trust managers redouble their efforts to rake in as much cash as possibe, with around £720 million (up from £520 million in 2004/05) raised in total.

Yet, despite pulling in around £350 million in the last two weeks alone, there seems little evidence to suggest that Gordon Brown’s budget day decision to slash VCT tax-relief, from 40 per cent to 30 per cent next year, has played much of a role.

‘Things have followed an almost identical pattern to last year,’ explains Matrix director Bridget Gueria, ‘which I think owes less to the budget and more to the fact that people leave their tax-planning to the last minute. Some commentators were forecasting £800,000.’

Matrix Income and Growth VCT 3 (£20 million), Pennine AIM VCT 6 (£25 million) and Downing Protected VCT IV & V (£40 million) are amongst those to have finalised significant fundraisings in recent days.

Leslie Copeland

Leslie Copeland

Leslie was made Editor for Growth Company Investor magazine in 2000, then headed up the launch of Business XL magazine, and then became Editorial Director in 2007 for the online and print publication portfolio...

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