VCT fundraising almost doubles on last year

VCTs currently 'in the limelight'

Fundraising within the venture capital trust (VCT) sector is up by almost 50% on last year, as pension rule changes have led to increasing investor demand, according to the Association of Investment Companies (AIC).

Fundraising figures for the 2016/17 tax year to 17 February 2017 stood at £265m in comparison to just £186m during the same length of time the previous year. The regulatory body said this increase of 43% reflects a strong rise in investor demand, following changes to pension rules, including the reduction in lifetime allowance and low interest rates. According to Stuart Lewis, head of tax efficient investments at Octopus Investments, the VCT sector is "seeing unprecedented popularity". He said: "Many investors are looking for complementary investment solutions to plan for their ret...