X

About

Advertise

Contact

Linkedin
Twitter
Facebook-f
  • News
    • In the Press
    • Politics and Finance
  • Featured
    • Podcasts & Films
    • Interviews
    • Events
    • Finance on Social Media
    • Jobs
    • MPS Report
  • GBI
    • Tax Efficient Investments
    • Open Investment Opportunities
    • People Behind the Product
    • GBI Magazine Issues
    • About GBI
  • Business
    • Regulation and Compliance
  • Magazines
  • The M&G Adviser Hub
Menu
  • News
    • In the Press
    • Politics and Finance
  • Featured
    • Podcasts & Films
    • Interviews
    • Events
    • Finance on Social Media
    • Jobs
    • MPS Report
  • GBI
    • Tax Efficient Investments
    • Open Investment Opportunities
    • People Behind the Product
    • GBI Magazine Issues
    • About GBI
  • Business
    • Regulation and Compliance
  • Magazines
  • The M&G Adviser Hub
Search
Close

About

Advertise

Contact

Jobs

Tools for Advisers

Untitled-1
Linkedin
Twitter
Facebook-f
  • News
    • In the Press
    • Politics and Finance
  • Featured
    • Podcasts & Films
    • Interviews
    • Events
    • Finance on Social Media
    • Jobs
    • MPS Report
  • GBI
    • Tax Efficient Investments
    • Open Investment Opportunities
    • People Behind the Product
    • GBI Magazine Issues
    • About GBI
  • Business
    • Regulation and Compliance
  • Magazines
  • The M&G Adviser Hub
Menu
  • News
    • In the Press
    • Politics and Finance
  • Featured
    • Podcasts & Films
    • Interviews
    • Events
    • Finance on Social Media
    • Jobs
    • MPS Report
  • GBI
    • Tax Efficient Investments
    • Open Investment Opportunities
    • People Behind the Product
    • GBI Magazine Issues
    • About GBI
  • Business
    • Regulation and Compliance
  • Magazines
  • The M&G Adviser Hub
Untitled-1
Linkedin
Twitter
Facebook-f

Amount invested in VCTs reaches highest level in over a decade – £716m last year

by Andrew Sullivan
December 10, 2019
in GBI, VCT
Share this story
Amount invested in VCTs reaches highest level in over a decade – £716m last year
Share this story

VCTs being used by HNWs following cuts to pension contributions; amount invested has risen 65% over the last five years

 


New data released today shows the amount invested in Venture Capital Trusts (VCTs) reached the highest level in over a decade last year at £716m.

The amount invested has risen from £705m in 2017/18 and £435m five years ago in 2014/15. VCTs are listed investment vehicles that are designed to invest in early-stage companies that meet certain criteria.

Following the release of the data, Tim Holmes, Managing Director of Salisbury House Wealth, the leading financial adviser, comments:

“High Net Worths have had the amount they can contribute to their pensions cut, so VCTs are being looked at more closely.”

“Quite a few individuals have been hit by the tax on over-contributing to their pension and will not want to make the same mistake again. Other than VCTs, EIS and ISAs, there are few tax efficient products available.”

SHW explains the tapered Annual Allowance was introduced in 2016, reducing the amount someone earning £210,000 can contribute to their pension tax free from £40,000 to just £10,000.

“VCTs enable High Net Worths to recycle what they would have contributed to their pension into a fund that offers 30% income tax relief.”

“For investors who can afford to take a long term view and do not have high liquidity requirements, VCTs can make a valuable contribution to a portfolio. However, it is key that investors are aware of the risk profile of the VCTs before making the decision to invest.”

Salisbury House Wealth says there are generous tax breaks for investors in VCTs, which includes:

  • Investors get 30% Income Tax relief on investments up to the value of £200,000 – so for every £1 you invest up to £200,000 you can reduce your income tax by 30p
  • No tax on dividend payments from shares in VCTs
  • No Capital Gains Tax on disposals of shares in VCTs

Previous Post

The General Election, the immediate aftermath and your finances

Previous Post

Old Mill’s Group Marketing Manager promoted to head of office

Previous Post

Sunday’s Money pages

Next Post

New Year New Job?

Next Post

Ted Baker bosses resign as firm’s woes continue and profit warning issued

Next Post

Why 2020 will be the year of sustainable business

Related Posts

EIS – looking to the future
Featured

EIS – looking to the future

January 21, 2021
Extending carry back – what is your view?
News

Extending carry back – what is your view?

January 11, 2021
Blackfinch Ventures: In the spotlight
Interviews

Blackfinch Ventures: In the spotlight

January 7, 2021
Making a positive difference at the cutting edge
Interviews

Making a positive difference at the cutting edge

January 7, 2021
Extending carry back – what is your view?
News

Extending carry back – what is your view?

January 6, 2021
The first Knowledge Intensive Fund approved by HMRC
News

The first Knowledge Intensive Fund approved by HMRC

December 21, 2020
Next Post
New Year New Job?

New Year New Job?

Ted Baker bosses resign as firm’s woes continue and profit warning issued

Ted Baker bosses resign as firm's woes continue and profit warning issued

Why 2020 will be the year of sustainable business

Why 2020 will be the year of sustainable business

Podcasts & Films

  • Put an atomic clock in your car, phone and on your wrist
    January 13, 2021
  • The Nexus Scale-Up Fund walk through
    December 21, 2020
  • Net4 x ARIE Capital webinar, hosted by CoInvestor
    December 18, 2020
  • How does Nexus Communicate with clients?
    December 18, 2020
  • Nexus Investments – Reasons for Advisers to be positive in 2021
    December 17, 2020
  • The Nexus Story
    December 16, 2020

Today’s Most Read

  • TikTok Investors give financial advice, the industry reacts
    January 18, 2021

    @peter_IFAMAG reads Twitter so you don’t have to. Retail investing exploded in 2020, but along with that has come the proliferation of shoddy advice. Today

  • Columbia Threadneedle appoints Michaela Collet Jackson as head of distribution
    January 21, 2021

    Columbia Threadneedle Investments, a leading global asset management group, announces the appointment of Michaela Collet Jackson as Head of Distribution EMEA. In this role, Michaela

  • Asset Intelligence launches two investment funds in partnership with T. Rowe Price
    January 19, 2021

      Asset Intelligence Portfolio Management (AIPM), the Midlands based discretionary fund manager, today announces the launch of two new investment funds: The VT Asset Intelligence

  • Advisers turn to UK equities in Q4 – Square Mile MI report
    January 18, 2021

    The quarterly Market Intelligence Report released today by Square Mile Investment Consulting and Research (Square Mile) suggests a renewed adviser interest in UK equities in

  • Inauguration Day 2021 – What is the outlook for US Equities and markets?
    January 18, 2021

      On Tuesday January 20th at noon eastern, as prescribed by the Constitution of the United States, Joseph Robinette Biden Jr, having been certified as

  • EIS – looking to the future
    January 21, 2021

    EIS has been part of an adviser’s tax efficient tool kit for the last 26 years and now, more than £2 billion is invested annually

  • Financial services and forced labour in the UK
    January 18, 2021

    A groundbreaking report into the UK’s financial sector has found worryingly low levels of awareness of forced labour and exploitation of workers. The study, led

  • Nucleus launches low-cost outcomes-based managed portfolio service 
    January 21, 2021

    Nucleus, the adviser built wrap platform, has launched a fully integrated, low-cost, outcomes-based managed portfolio service which has been designed to align client goals directly with their investments. 

  • Artemis strengthens its distribution team
    January 18, 2021

    Artemis Investment Management LLP has announced that in March 2021 Iain MacPherson will be joining their distribution team in London as a sales director, reporting

  • Defaqto launches market-leading Income Drawdown tool 
    January 20, 2021

    Defaqto, the independent financial information and technology business has launched its hotly anticipated Income Drawdown workflow within its financial planning software, Defaqto Engage. Defaqto’s unique

More Articles

Blackfinch Ventures: In the spotlight
Interviews

Blackfinch Ventures: In the spotlight

January 7, 2021
Making a positive difference at the cutting edge
Interviews

Making a positive difference at the cutting edge

January 7, 2021
Meet the manager of the M&G Global Listed Infrastructure Fund
Interviews

Meet the manager of the M&G Global Listed Infrastructure Fund

December 15, 2020
Par Equity is the bright EIS star of the North 
Interviews

Par Equity is the bright EIS star of the North 

November 23, 2020
What’s next for Mercia?
Interviews

What’s next for Mercia?

November 2, 2020
M&G Positive Impact Fund: Q&A with Ben Constable-Maxwell
Interviews

M&G Positive Impact Fund: Q&A with Ben Constable-Maxwell

October 21, 2020
People Behind the Product: Pippa Gawley, Zero Carbon Capital
GBI

People Behind the Product: Pippa Gawley, Zero Carbon Capital

October 7, 2020
People Behind the Product: Matthew Steiner, Stellar Asset Management
GBI

People Behind the Product: Matthew Steiner, Stellar Asset Management

October 6, 2020
People Behind the Product: Ewan Lloyd-Baker, Seismic Venture Partners
GBI

People Behind the Product: Ewan Lloyd-Baker, Seismic Venture Partners

October 5, 2020

About Us

​IFA Magazine – for today’s discerning financial and investment professional.

Published ten times a year, IFA Magazine has been winning a keen and enthusiastic following among Britain’s premier financial advisers, planners and paraplanners.

Newsletter

    Follow Us

    Linkedin
    Twitter
    Facebook-f

    © 2021 All rights reserved​ to IFA Magazine | Website by: Nivo Digital | Terms and Conditions

    Do NOT follow this link or you will be banned from the site!

    Adblock Blocker

    We have detected that you are using

    adblocking plugin in your browser. 

    Keep updated on the most important financial events 

    Make sure you are an informed

    wealth professional..

    IFA Magazine
    • News
      • In the Press
      • Politics and Finance
    • Featured
      • Podcasts & Films
      • Interviews
      • Events
      • Finance on Social Media
      • Jobs
      • MPS Report
    • GBI
      • Tax Efficient Investments
      • Open Investment Opportunities
      • People Behind the Product
      • GBI Magazine Issues
      • About GBI
    • Business
      • Regulation and Compliance
    • Magazines
    • The M&G Adviser Hub