WEALTHY investors pumped money into fewer fledgling Scottish companies last year, according to figures released today by law firm Pinsent Masons.
Only 237 Scottish firms applied to used the Enterprise Investment Scheme (EIS) – a tax break set up by the Treasury to encourage rich people to invest in companies – in 2011, down 20 per cent on the previous year.
Karen Davidson, a director at Pinsent Masons, said: “These figures have to be looked at in the context of a generally challenging market, but there is no doubt that they are disappointing – particularly given that the tax relief available for investors rose from 20 per cent of the investment made to 30 per cent in April last year. The question will be asked as to whether that is sufficient to stimulate greater investor appetite.”