Br.smaller Cos. Regulatory News (BSV)

British Smaller Companies VCT plc (the "Company")

Payment of Interim Dividend and Allotment of Shares

The Company announces that on 15 January 2016 it paid an interim dividend ("Interim Dividend") of 2.0 pence per ordinary share to shareholders on the register of members of the Company as at the record date of 11 December 2015.

The Company further announces that on 15 January 2016 it issued and allotted 453,191 ordinary shares of 10 pence each ("Ordinary Shares") pursuant to its dividend re-investment scheme ("DRIS") at a price of 91.49 pence per share to shareholders of the Company who elected to receive shares instead of the Interim Dividend. The subscription price of 91.49 pence per share was determined in accordance with the terms and conditions of the DRIS on the basis of the last reported Net Asset Value of 98.30 pence per ordinary share as at 30 September 2015 (adjusted for the Interim Dividend of 2.0 pence per share paid today) less 5%. Of the Interim Dividend paid by the Company, 23% was, as a result, re-invested in shares in the Company via the DRIS.

As part of this allotment, Edward Buchan, a non-executive director of the Company, was allotted 445 Ordinary Shares in the Company. This takes his total shareholding to 20,807 Ordinary Shares representing 0.02% of the current issued Ordinary Shares.

As part of this allotment the staff and members of the investment adviser, YFM Private Equity Limited and its ultimate holding company have been allotted 3,655 Ordinary Shares bringing their aggregate total shareholding to 335,499 Ordinary Shares representing 0.37% of the current issued Ordinary Shares.

Application is now being made for the Ordinary Shares which were issued and allotted on 15 January 2016 to be admitted to the premium segment of the Official List of the UK Listing Authority and to trading on the London Stock Exchange's Main Market for listed securities, and dealings are expected to commence on or around 29 January 2016.

Following such issue and allotment the Company's issued share capital consists of 91,855,963 Ordinary Shares with voting rights ("Voting Capital") and 3,589,665 shares held in treasury.

The above statement of Voting Capital may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company under the FCA's Disclosure and Transparency Rules.

For further information please contact:

David Hall YFM Private Equity Limited Tel: 0113 244 1000

Gillian Martin Nplus1 Singer Advisory LLP Tel: 020 7496 3000