British Smaller Companies VCT2 plc (the "Company")

Payment of Interim Dividend and Allotment of Shares

The Company announces that on 16 November 2021 it paid an interim dividend of 5.0 pence per ordinary share for the year ending 31 December 2021 to shareholders on the register of members of the Company as at the record date of 15 October 2021 ("Third Interim Dividend").

The Company further announces that on 16 November 2021 it issued and allotted 2,491,956 ordinary shares of 10 pence each pursuant to its dividend re-investment scheme ("DRIS") at a price of 57.0 pence per ordinary share to shareholders of the Company who elected to receive ordinary shares instead of cash in respect of the Third Interim Dividend. The subscription price of 57.0 pence per ordinary share was determined in accordance with the terms and conditions of the DRIS on the basis of the last reported net asset value of 57.0 pence per ordinary share as announced on 19 October 2021.  As a result, 20 per cent of the Third Interim Dividend paid by the Company was re-invested in ordinary shares in the Company via the DRIS.

Application is now being made for the ordinary shares which were issued and allotted as set out above to be admitted to the premium segment of the Official List of the Financial Conduct Authority and to trading on the London Stock Exchange's Main Market for listed securities, and dealings are expected to commence on or around 30 November 2021.

Following such issue and allotment the Company's issued share capital consists of 142,808,430 ordinary shares of 10 pence each with voting rights ("Voting Capital") and 15,276,543 ordinary shares of 10 pence each 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

Alex Collins                        Panmure Gordon (UK) Limited                  Tel:  0207 866 2767