Final Results

Schroder UK Growth Fund PLC
23 June 2004



                                Press Release
                                                                    23 June 2004

                          Schroder UK Growth Fund plc

Preliminary Results For The Year Ended 30 April 2004

Preliminary Results

The Directors of Schroder UK Growth Fund plc announce the unaudited preliminary
results for the year ended 30 April 2004:

                      Year Ended                   Year Ended
                      30 April 2004                30 April 2003
                      Revenue   Capital    Total   Revenue   Capital     Total
                        £'000     £'000    £'000     £'000     £'000     £'000
-----------------     --------  --------  -------  --------  --------  --------
Profits/(losses) on
investments                 -    32,716   32,716         -   (60,543)  (60,543)
Realised gain on
expiry of warrants          -         -        -         -     7,748     7,748
Income                  5,815         -    5,815     5,816         -     5,816
Investment management
fees                     (244)     (569)    (813)     (216)     (504)     (720)
Performance fee             -      (120)    (120)        -         -         -
Administrative
expenses                 (346)        -     (346)     (337)        -      (337)
-----------------      --------  --------  -------  --------  --------  --------
Net return/(deficit)
before finance costs
and taxation            5,225    32,027   37,252     5,263   (53,299)  (48,036)
Interest payable         (243)     (567)    (810)     (319)     (747)   (1,066)
-----------------      --------  --------  -------  --------  --------  --------
Net return/(deficit)
on ordinary
activities              4,982    31,460   36,442     4,944   (54,046)  (49,102)
before taxation
Taxation on ordinary       
activities                  -         -        -         -         -         -
-----------------      --------  --------  -------  --------  --------  --------
Return/(deficit) on
ordinary activities
after taxation
attributable to
equity                  4,982    31,460   36,442     4,944   (54,046)  (49,102)
shareholders
Dividends              (5,044)        -   (5,044)   (5,046)        -    (5,046)
-----------------      --------  --------  -------  --------  --------  --------
Transfer (from)/to
reserves                  (62)   31,460   31,398      (102)  (54,046)  (54,148)
-----------------      --------  --------  -------  --------  --------  --------
Return/(deficit) per
ordinary share           2.96p    18.70p   21.66p     2.91p   (31.85)p  (28.94)p
-----------------      --------  --------  -------  --------  --------  --------

Dividends for the
year per ordinary 
share                    3.00p        -     3.00p     3.00p        -      3.00p




Summary Balance Sheet                      At 30 April 2004     At 30 April 2003
Assets                                              £'000                £'000
Investments                                       191,469              161,952
Loan                                              (20,000)             (20,000)
Other net current assets/(liabilities)              1,596                 (265)
Creditors: amounts falling due after
more than one year                                   (120)                   -
                                                -----------          -----------
Net assets                                        172,945              141,687
                                                -----------          -----------

Net asset value per share - undiluted              102.92p               84.24p



Abridged Cash Flow Statement                      Year Ended        Year Ended
                                                30 April 2004     30 April 2003
                                                      £'000             £'000
Net cash inflow from operating activities             4,270             4,739
Total interest paid                                    (810)           (1,061)
Total tax recovered                                       -               187
Net cash inflow from financial investment             3,433            21,522
Equity dividends paid                                (5,046)           (5,962)
Net cash outflow from financing                           -           (16,646)
                                                  -----------       -----------
Net cash inflow                                       1,847             2,779
                                                  -----------       -----------



Reconciliation of net cash flow to movement on net debt

                                                   Year Ended        Year Ended
                                                 30 April 2004     30 April 2003
                                                       £'000             £'000
Increase in cash in the year                           1,847             2,779
Movement in bank loan to finance investments               -            10,000
                                                   -----------       -----------
Change in net debt resulting from cash flows           1,847            12,779
Net debt brought forward                             (18,498)          (31,277)
                                                   -----------       -----------
Net debt carried forward                             (16,651)          (18,498)
                                                   -----------       -----------


The above financial information is unaudited and does not constitute statutory
accounts under Section 240 of the Companies Act 1985 (as amended). Statutory
accounts for the financial year ended 30 April 2003 have been reported on by the
Company's auditors and delivered to the Registrar of Companies. The report of
the auditors was unqualified and did not contain a statement under Section 237
(2) or (3) of the Companies Act 1985.

The statutory accounts for the year ended 30 April 2004 will be finalised on the
basis of the financial information presented by the Directors in this
preliminary announcement and will be delivered to the Registrar of Companies
following the Company's Annual General Meeting.

This announcement is prepared on the basis of the accounting policies as set out
in the most recent published set of annual financial statements.

This statement was approved by the Board of Directors on 23 June 2004.



CHAIRMAN'S STATEMENT

Performance and Background

I am pleased to report on a more positive year for your Company, in both
absolute and relative performance terms. Following a particularly strong first
half, market conditions during the second half of the year to 30 April 2004
became more difficult. For the year ended 30 April 2004 as a whole, however, the
Company's net asset value produced a total return of 25.9%, outperforming the
FTSE All-Share Index which recorded a total return of 22.2% over the same
period.

Earnings and Dividends

The Company paid a first interim dividend of 1.5p per share for the year ended
30 April 2004 at the end of January 2004. The Board has now declared a second
interim dividend of 1.5p per share, making a total of 3.0p for the year.
Earnings per share slightly increased in the current year from 2.91p per share
to 2.96p per share.

Gearing Policy

The Company's £20 million borrowing facility was fully drawn down during the
year and this level of borrowing has been maintained since that time. In April
2004, the Company increased its £20 million facility to £25 million and extended
the borrowing facility for a further year. However, the additional monies
available from the facility have not yet been drawn down. During the year, the
average net gearing level was 10.8% and the Company's gearing will continue to
operate within pre-agreed limits so that actual gearing will not represent more
than 20% of shareholders' funds.

Purchase of Shares

During the year ended 30 April 2004, the Board continued to operate its share
buy-back facility and a total of 150,000 ordinary shares were purchased for
cancellation, equal to just under 0.1 per cent. of the shares in issue on 1 May
2003. A further 300,000 shares were purchased for cancellation on 7 June 2004.

The Directors will continue to consider purchasing shares for cancellation. A
resolution to renew the authority to purchase shares for cancellation is
included in the Notice of the Annual General Meeting, to provide Directors with
flexibility in the future.

Corporate Governance

The year under review has seen a marked increase in the corporate governance
requirements for listed companies.



In July 2003, a revised Combined Code on Corporate Governance was published by
the Financial Reporting Council. The provisions of the revised Code will apply
to the Company for the year ending 30 April 2005. In addition, the Association
of Investment Trust Companies published a code of corporate governance for
member companies, also in July 2003.

Following the publication of these codes, the Board has reviewed all aspects of
governance. As a result of the review, revisions have been made to the schedule
of matters reserved for decision by the Board and the terms of reference of the
Board's committees. For the first time, a formal process to evaluate the
performance of the Board, its committees and individual directors has been
introduced. The Board has also examined how it monitors the performance and
value added by suppliers of services to the Company.

We believe that your Company substantially complies with the new Combined Code
and with the AITC's code of corporate governance.

Continuation Vote

The Articles of Association require the directors to put forward a proposal for
the continuation of the Company to shareholders at the Annual General Meeting
and at each fifth Annual General Meeting thereafter. The Notice of the Annual
General Meeting therefore contains an ordinary resolution proposing that the
Company should continue as an investment trust for a further five-year period.

In considering their recommendation on this resolution, the Board undertook a
formal review of the strategic position of the Company. It concluded that the
Company has an established and respected name in the market place, that its
long-term investment objectives continue to meet the requirements of a wide
range of investors, and that the present Investment Manager is well placed to
ensure that the Company's performance ambitions are achieved. The Board is
particularly pleased to report that since Richard Buxton took responsibility
within Schroders for the management of the Company's portfolio in October 2002,
performance has been strong against both the sector and the benchmark Index.

The Board unanimously recommends that the Company continues as an investment
trust, and the directors will be voting their shares accordingly.

Annual General Meeting

The Annual General Meeting will be held at 12.00 noon on Wednesday 4 August
2004, and shareholders are encouraged to attend. The meeting, as in previous
years, will include a presentation by the Investment Manager on the prospects
for the UK market and the Company's investment strategy.

Alan Clifton
Chairman


Second Interim Dividend

The Directors of the Company have declared the payment of a second interim
dividend, in lieu of a final dividend, of 1.5p net per share, making a total
distribution of 3.0p for the year ended 30 April 2004. The second interim
dividend will be payable on 30 July 2004 to shareholders on the register on 2
July 2004.

Ex-Dividend Date : 30 June 2004

Transfers must be lodged by : 6.00 p.m. on 2 July 2004

Dividend Warrants : Despatched on 29 July 2004

Payment Date : 30 July 2004

Dividend per share : 1.5p net

The Annual Report and Accounts will be mailed to shareholders at their
registered addresses in July 2004 and copies of the Annual Report and Accounts
will be available to the public at the Company's registered office: 31 Gresham
Street, London, EC2V 7QA.


Enquiries: Schroder Investment Management Limited

John Spedding (020 7658 3206)
23 June 2004



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