Changes to the Board of Directors

BRITISH SMALLER TECHNOLOGY COMPANIES VCT 2 PLC ("the Company")

APPOINTMENT OF DIRECTOR

The Board is pleased to announce that Mr Peter Charles Waller is to be appointed a non-executive director of the Company with effect from 1 October 2010. Mr Waller is also currently a non-executive director and Chairman of Corero plc and was previously a director of Biotrace International plc (resigning in March 2007).

Mr Waller's appointment follows the resignation of Mr P S Cammerman as a director on 22 September 2010. The changes to the Board's composition are in response to the new Listing Rules with regard to the independence of directors.

No further information is required to be disclosed pursuant to LR 9.6.13R

1 October 2010

For further information please contact:

David Hall YFM Private Equity Limited Tel: 0161 832 7603

Jeff Keating Singer Capital Markets Limited Tel: 0203 205 7500