Autumn Statement: VCTs get boost as investment limit is scrapped

George Osborne has widened the investment universe for venture capital trusts (VCTs), removing the £1m investment limit per company rule, it was announced in today's Autumn Statement.

Since the schemes were launched in April 1995, VCTs have been limited to investing £1m in a single company per tax year. However, Osborne has now indicated VCTs can invest an unrestricted amount into a small business. "In addition to the VCT changes that were consulted on in the Budget in March - the government will remove the £1m investment limit per company for VCTs to reduce the administrative burdens of the scheme," said Osborne. In March the government relaxed the VCT and EIS rules to allow the schemes to invest in businesses with gross assets of up to £15m, up from the curren...