Jack Rose: VCT and EIS investors are living in interesting times

Supply v demand

clock • 5 min read

Jack Rose considers the current dichotomy in the tax-advantaged sector - despite the overwhelming availability of EIS there is actually a reduction in demand from advisers, while VCTs now face the opposite issue

We are only at the start of the ‘tax season' yet already we have a relatively clear picture of how things are shaping up for fundraising this year - at least for venture capital trusts (VCTs). Following a bumper year for VCT fundraising - which hit a record high last year since income tax relief was reduced from 40% to 30% - there has been speculation as to who will open offers and how much they will raise before 5 April 2019. Early indications suggest there will be in the region of £650m of available product this year - some £80m less than was raised last tax year.   The shortfall in...

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