Autumn Budget 2017: EIS boost for knowledge-intensive businesses

But clampdown on low-risk schemes

clock • 3 min read

Chancellor Philip Hammond has announced plans to double EIS investment limits for knowledge intensive companies, while as expected ensuring EIS vehicles are "not used as a shelter for low-risk capital preservation schemes".

He said the government is publishing an action plan today to unlock over £20bn of new investment in UK knowledge-intensive, scale-up businesses. The Chancellor aims to do this through a new fund in the British Business Bank seeded with £2.5bn of public money. He also intends to "double EIS investment limits for knowledge intensive companies", a move not flagged before the Budget. However, as expected, he wants to "ensure EIS is not used as a shelter for low risk capital preservation schemes". MMC Ventures managing partner Bruce Macfarlane said of Hammond's changes: "The Enterpri...

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