The Association of Investment Companies (AIC) has responded to HM Treasury’s consultation Financing Growth in Innovative Firms.  In its response, the AIC demonstrates how VCTs are an ideal means to raise much needed capital from retail investors to help smaller businesses grow.  The AIC has also proposed measures to ensure VCT and EIS investment is focussed even more closely on young, innovative businesses.  Key amongst these are a restriction on allowing VCT and EIS money to be used to purchase property.