Video: Record VCT fund raising expected

The VCT industry expects to raise significantly more than last year's total of £340m as demand for investments to mitigate higher tax rates and pension top-up vehicles increases.

Some estimates put the level of fund raising as high as £600m, nearly twice as much as in 2010.

Conditions for VCTs to do deals are particularly strong, not only because would-be vendors have accepted realistic pricing expectations, but also because entrepreneurs can now claim up to £5m relief on gains, up from £1m previously. This is enticing business owners into serious discussions with VCTs.

Matrix's Mark Wignall, Albion's Patrick Reeve and Baronsmead's Andrew Garside discuss the prospects for VCTs this year in an interview with Kimberly Romaine, editor-in-chief of Unquote, the private equity website.

The debate also looks at recent VCT industry consolidation, the Growth Capital Fund and returns prospects, among other subjects.

To view the debate, click here