Policy and Regulatory Updates

Changes to EIS and VCT in 2011 Budget

23 March 2011

We are delighted that the lobbying that BBAA has made to Government of late on the need to encourage more angel investing has now paid off. BBAA fully supports the extension of EIS tax relief to investors from 20% to 30% from 6 April 2011, removal of many of the previous restrictions as well as the significant extension to Entrepreneurs Relief. We are now hopeful that the bid for a proposed new £100m Angel Co-investment fund presented by Capital for Enterprise Ltd late last year will receive support from The Regional Growth Fund, which is scheduled to be announced next month.

BBAA identifies potential of the new £50m Angel Co-investment Fund to catalyse the early stage market

28 April 2011

The British Business Angels Association welcomes the announcement that the bid organised by Capital for Enterprise Ltd to the Regional Growth Fund for a new Angel Co-Investment Fund has been accepted, with £50m being identified for allocation to this fund.  Although this is less than the £100m BBAA was recommending it still represents a significant investment.

Tax-advantaged venture capital schemes: a government consultation

6 July 2011

At Budget 2011 the Government announced it would consult on further support for seed investment and start-ups, simplification of the EIS/VCT schemes and ensuring they are targeted on genuine risk capital investments.

This consultation is now live and can be found at the following link:http://www.hm-treasury.gov.uk/consult_tax_advantaged_venture_capital_schemes.htm

BBAA Response - HM Treasury Consultation: Tax Advantaged Venture Capital Schemes

29 September 2011

The BBAA are pleased to announce that the response from the BBAA to HM Treasury Consultation: Tax Advantaged Venture Capital Schemes was submitted this week.

We should like to thank all those who sent their consultation responses. We should also like to thank all those that attended the consultation meeting with HM Treasury on 15th October.

Attached below is a pdf version of the document. It reflects a composite of the responses received.

Tax Advantages to International Companies looking to the UK for Investment.

27 October 2011


As part of BBAA’s ongoing service we would like to clarify a number of issues regarding European investment. It is especially important to investors to know the details on eligibility for EIS tax relief with regard to cross-border investment. Changes were legislated in the Finance Act (No 3) 2010 and applied from 6th April 2011.

Chancellor announces major new tax relief for seed stage investing

29 November 2011

Chancellor George Osborne’s Autumn statement today announced a major new tax relief of 50% for investing in seed stage businesses called SEIS. The Chancellor announced:

The introduction of the new Seed Enterprise Investment Scheme (SEIS), commencing from April 2012, to encourage investment into new early stage companies.  This is the ‘BASIS’ proposal that was set out in the consultation we carried out earlier this year.  The details of the scheme are as follows:

Government announces major catalyst for angel investing in seed-stage entrepreneurs

29 November 2011

CfEL announces that new £50M Angel CoFund is shortly to be Open for Business

The BBAA is delighted that the new £50m Business Angel Co Investment Fund, to be named the Angel CoFund, will shortly be open for business. The fund administered with the support of Capital for Enterprise Limited (CfEL) has been set up with a grant from the Regional Growth Fund and will be investing alongside Business Angel syndicates from across England.

Government has now received State aid approval from the EC to make changes to the EIS and VCT scheme

31 May 2012

BBAA is pleased to learn that the UK Government has now received State aid approval from the European Commission to make the following changes to the Enterprise Investment Scheme (EIS) and Venture Capital Trust (VCT) scheme: