Portfolio Update

BLACKROCK SMALLER COMPANIES TRUST PLC

All information is at 31 JANUARY 2012 and unaudited.

Performance at month end is calculated on a capital only basis

                                One    Three      One      Three      Five
                              Month   Months     Year      Years     Years
Net asset value                7.9%     4.8%    -6.6%     109.5%     27.9%
Share price                    8.1%     2.1%   -13.1%     155.2%     21.7%
HGSC ex Inv Trust + AIM*       8.2%     3.8%    -8.9%      86.9%    -17.7%

Sources:  BlackRock and Datastream

*With effect from 1 September 2007 the Hoare Govett Smaller Companies plus AIM
(ex Investment Companies) Index replaced the FTSE SmallCap Index (ex Investment
Companies) as the Company's benchmark.  For the five year period the above
index has been blended to reflect this.

At month end
Net asset value Capital only (debt at par value):     567.36p
Net asset value Capital only (debt at fair value):    563.15p
Net asset value incl. Income (debt at par value):     574.72p**
Net asset value incl. Income (debt at fair value):    570.52p**
Share price:                                          462.00p
Discount to Cum Income NAV (debt at par value):         19.6%
Discount to Cum Income NAV (debt at fair value):        19.0%
Net yield:                                               1.6%
Total assets:                                         £297.0m^
Gearing incl. Income (debt at fair value):               8.0%
Ordinary shares in issue:                          47,879,792^^

**includes net revenue of 7.36p
^includes current year revenue
^^excludes 2,113,731 shares held in treasury

Ten Largest Sector
Weightings                         % of total assets

Support Services                                 9.8
Software & Computer Services                     8.6
Oil & Gas Producers                              8.6
Electronic & Electrical Equipment                8.5
Industrial Metals & Mining                       7.8
Financial Services                               5.6
Media                                            5.5
Household Goods & Home Construction              5.1
Pharmaceuticals & Biotechnology                  4.8
General Retailers                                4.7
                                                ----
Total                                           69.0
                                                ====

Ten Largest Equity Investments (in alphabetical order)

Company

Alternative Networks
Aveva Group
Bellway
Fidessa group
Hargreaves Services
ITE Group
City of London Investment Group
Oxford Instruments
Senior
Spirax-Sarco Engineering

Commenting on the markets, Mike Prentis, representing the Investment Manager
noted:

During January, the NAV on a capital only basis rose by 7.9%; the benchmark rose
by 8.2%. By contrast, the FTSE 100 Index rose by only 2.0% during the month.

Performance was driven by good sector allocation; in particular, the large
overweight position in electronics companies was beneficial. Gearing
contributed usefully in such a strong month for gains. Stock selection was
rather disappointing; our largest contributor to underperformance from stock
selection came from Oxford Instruments. This company is our largest holding and
after a strong share price performance in prior months the shares were dull,
falling 4.2% in a rising market, despite a good trading statement mid-month.
Stock selection was also negatively impacted by not owning a number of larger
constituents of our benchmark, a number of which joined on rebalancing on 
1 January.

Newsflow from the portfolio was generally good during the month, with many
holdings announcing trading updates. Given the uncertainty over the funding of
peripheral European countries, these trading updates were rather more robust
than might have been expected.

During the month, we looked to modestly increase portfolio risk. This was a
reflection of improving sentiment in equity markets, improving macroeconomic
data, especially from the US, and the better than expected portfolio trading
updates over the last six weeks or so. We decided to reduce our underweight
position in oil & gas producers, adding holdings in Valiant Petroleum and
Salamander Energy, both existing oil producers with interesting drilling
programmes in 2012, and both trading at attractive valuations. Despite these
and other moves, our ungeared portfolio beta remains 0.92.

16 February 2012

ENDS

Latest information is available by typing www.brscplc.co.ukon the internet,
"BLRKINDEX" on Reuters, "BLRK" on Bloomberg or "8800" on Topic 3 (ICV
terminal).  Neither the contents of the Manager's website nor the contents of
any website accessible from hyperlinks on the Manager's website (or any other
website) is incorporated into, or forms part of, this announcement.