Circ re. Offer for Subscription

16 April 2010

British Smaller Companies VCT plc (the "Company")

Circular to Shareholders

The Company announces that a circular (the "Circular") was issued to shareholders on or around 4 March 2010 relating to an offer for subscription for up to 2,050,000 New Shares as defined in the Circular (subject to a maximum of £1.99 million of funds raised). To view the Circular, please paste the URL below into the address bar of your browser. http://www.yfmprivateequity.co.uk/later-stage-buy-out/our-funds/british-smaller-companies/  Copies of the Circular will shortly be available for inspection at the FSA's Document Viewing Facility, which is situated at: Financial Services Authority 25 The North Colonnade Canary Wharf London E14 5HS Tel no: 020 7066 1000 Name of contact and telephone number for enquiries:

David Hall, YFM Private Equity Limited 0161 832 7603

Robin Smeaton, The City Partnership (UK) Limited 0131 243 7210

Jim Gervasio, Secretary to the Company 0113 290 2000