directors' statement required under the Listing Rules relating to the Company's compliance with the UK Corporate

Governance Code containing provisions specified for review by the auditor in accordance with Listing Rule 9.8.10R

(2) do not properly disclose a departure from a relevant provision of the UK Corporate Governance Code.

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006 In our opinion, based on the work undertaken in the course of the audit: ? the information given in the Strategic Report and the Directors' Report for the financial year for which the

financial statements are prepared is consistent with the financial statements; and ? the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: ? adequate accounting records have not been kept, or returns adequate for our audit have not been received from

branches not visited by us; or ? the financial statements and the part of the Directors' Remuneration Report to be audited are not in agreement with

the accounting records and returns; or ? certain disclosures of directors' remuneration specified by law are not made; or ? we have not received all the information and explanations we require for our audit.

RESPONSIBILITIES OF DIRECTORS

As explained more fully in the Statement of Directors' Responsibilities set out on page 33, the Directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

AUDITOR'S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

In respect of fraud the objectives of our audit were to identify and assess the risks of material misstatement of the financial statements due to fraud and to obtain appropriate and sufficient audit evidence regarding those assessed risks of material misstatement due to fraud. However, the primary responsibility for the prevention and detection of fraud rests with those charged with the governance and management of the entity.

EXPLANATION AS TO WHAT EXTENT THE AUDIT WAS CONSIDERED CAPABLE OF DETECTING IRREGULARITIES INCLUDING FRAUD

The objectives of our audit, in respect to fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.

Our approach was as follows: ? We obtained an understanding of the legal and regulatory frameworks that are applicable to the Company

and determined that the most significant are IFRSs, the Companies Act 2006, the Listing Rules, the UK Corporate

Governance Code, the AIC Code and section 1158 of the Corporation Tax Act 2010. ? We understood how the Company is complying with those frameworks through discussions with the Audit and

Compliance Committee and the Company Secretary and a review of the Company's documented policies and procedures. ? We assessed the susceptibility of the Company's financial statements to material misstatement, including

how fraud might occur by considering the key risks impacting the financial statements. We identified a risk with

respect to incomplete or inaccurate revenue recognition through incorrect classification of special dividends as

revenue or capital items in the Statement of Comprehensive Income. Further discussion of our approach is set out in

the section on key audit matters above. ? Based on this understanding we designed our audit procedures to identify non-compliance with such laws and

regulations. Our procedures involved review of the reporting to the Directors with respect to the application of

the documented policies and procedures and review of the financial statements to ensure compliance with the

reporting requirements of the Company. ? We have reviewed that the Company's control environment is adequate for the size and operating model of

such a listed investment company.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsreposibilities. This description forms part of our auditor's report.

USE OF THIS REPORT

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members as a body, for our audit work, for this report, or for the opinions we have formed.

OTHER MATTERS WHICH WE ARE REQUIRED TO ADDRESS

We were appointed by the Board of Directors to audit the financial statements for the year ended 31st December 2006. The period of total uninterrupted engagement including previous renewals and reappointments of the firm is 15 years.

The non-audit services prohibited by the FRC's Ethical Standard were not provided to the Company and we remain independent of the Company in conducting our audit.

Jeremy Staines (Senior Statutory Auditor) 9 Bonhill Street

For and on behalf of Begbies London

Chartered Accountants and Statutory Auditor 16th February 2021

STATEMENT OF COMPREHENSIVE INCOME

for the year ended 31st December 2020 


                                          Year ended 31st December 2020         Year ended 31st December 2019 
                            Notes Revenue Capital           Total       Revenue Capital          Total 
                                  GBP'000   GBP'000             GBP'000       GBP'000   GBP'000            GBP'000 
Investment income           2     1,603   -                 1,603       3,150   -                3,150 
Other operating income      2     3       -                 3           9       -                9 
Total income                      1,606   -                 1,606       3,159   -                3,159 
Gains on fair value through 9     -       349               349         -       11,188           11,188 
profit or loss assets 
Gains on subsidiary holding 9     -       -                 -           -       52               52 
                                  1,606   349               1,955       3,159   11,240           14,399 
Expenses 
Investment management fee         -       -                 -           -       -                - 
Other expenses              3     749     -                 749         803     68               871 
                                  749     -                 749         803     68               871 
Profit before tax                 857     349               1,206       2,356   11,172           13,528 
Tax                         5     -       -                 -           -       -                - 
Profit for the year               857     349               1,206       2,356   11,172           13,528 
Earnings per share 
Return per Ordinary share   7     11.4p   4.6p              16.0p       30.2p   143.3p           173.5p

The total column of this statement represents the Statement of Comprehensive Income prepared in accordance with International Financial Reporting Standards as adopted by the EU. The supplementary revenue return and capital return columns are both prepared under guidance published by the Association of Investment Companies.

The profit for the year disclosed above represents the Company's total Comprehensive Income. The Company does not have any other Comprehensive Income.

All items in the above statement are those of the single entity and derive from continuing operations. No operations were acquired or discontinued during the year.

The notes on pages 43 to 53 form part of these financial statements.

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