Transaction in Own Shares

British Smaller Companies VCT2 plc ("the Company")

Purchase of Own Securities and Net Asset Value

The Company announces that on 20 March 2020 it purchased 1,217,031 ordinary shares of 10 pence each at a price of 52.44 pence per ordinary share including transaction costs. The shares purchased represent 0.93% per cent of the total number of voting rights in the Company before the transaction. These shares will be held in treasury.

The last reported net asset value as at 31 December 2019 was 55.2 pence per ordinary share.

The Company's issued share capital now consists of 129,883,515 ordinary shares of 10 pence each with voting rights. In addition, the Company holds 10,526,123 ordinary shares of 10 pence each in treasury.

The above figure of 129,883,515 ordinary shares 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

Alex Collins Panmure Gordon (UK) Limited Tel: 0207 886 2767