UK Plans to Lower Eligibility Threshold for Angel Investors
Commuters pass the Bank of England (BOE) in the City of London, UK.
Photographer: Chris Ratcliffe/BloombergThis article is for subscribers only.
The UK government plans to lower the threshold to qualify as a so-called angel investor in a bid to bolster funding for small- and medium-sized businesses, the Treasury said in a statement.
The changes, expected to be introduced soon, involve reinstating a lower eligibility criteria for “high net worth” or “sophisticated” investors, commonly known as angel investors. By resetting income and net asset thresholds to £100,000 and £250,000, instead of £170,000 and £430,000 respectively, the government aims to streamline investment processes and make it easier for businesses to raise capital.