VCT investment increases 68% to £1.1bn

Figures from HMRC

Investment into VCTs has seen a marked rise over the 2021-22 tax year, rising to £1.1bn, a 68% increase from the year before.

HRMC figures published today revealed that the number of VCTs raising funds had only increased from 40 to 46, meaning the great increase had flowed into a concentrated market. Meanwhile, the number of VCTs managing funds has decreased from 57 to 52. The data also found that 83% of investors invest under £50,000 in VCT funds, with the average for 2020-2021 being about £33,000. New data from 2020-2021 also revealed that VCT investors claimed income tax relief on £640m of investment, an increase of 10%, while the number of VCT investors who claimed the relief rose by 9% to 19,475. ...