The Enterprise Investment Scheme (EIS) is 30 years old today. A report commissioned by EISA with Beauhurst to mark the anniversary shows EIS-backed companies generated £192 billion in revenue between 2014 and 2023, creating an estimated 386,000 jobs in 2023 alone.

Since its inception in 1994, the EIS has played a majorrole in fostering innovation and driving economic growth in the UK, says parent group Enterprise Investment Scheme Association (EISA).

The scheme was introduced by the government to encourage investment in startups by providing significant tax incentives. Through the scheme, investors can receive tax reliefs on their investments in eligible companies, including 30% income tax relief and capital gains tax (CGT) freedom, making it an attractive option for individuals looking to support early-stage businesses.

Together with its sister scheme, the Seed Enterprise Investment Scheme (SEIS), it has facilitated over £32 billion in private investment into 56,000 startups across the country.

Christiana Stewart-Lockhart, Director General of EISA said: “EIS has been instrumental in driving investment fuelling the growth of thousands of ambitious businesses in the UK. More than 40,000 people invest through the EIS each year, yet public awareness remains surprisingly low.

WThis 30^th anniversary serves as an important opportunity to raise this awareness and celebrate the transformative impact of the EIS. The extension of the sunset clause to 2035 is an encouraging step, but more needs to be done to expand awareness and ensure continued support for UK innovation.”

Joanna Jensen, Chair of EISA said: “As an entrepreneur, I’ve seen first-hand the critical role EIS plays in helping businesses like mine secure the early-stage funding they need to scale.

"It’s not just about the tax reliefs, it’s about providing the confidence and capital required to bring bold ideas to life. Without schemes like EIS, many game-changing UK companies wouldn’t get off the ground. With increased awareness, EIS will continue to play a key role in driving innovation across the country.”

The 30th anniversary will be marked with a conference and evening reception at the Institute of Directors in London. The event will bring together 350 entrepreneurs, investors and advisers from across the entrepreneurial ecosystem to commemorate three decades of its impact on the entrepreneurial and investment landscape of the UK.