Interim Results

Schroder UK Growth Fund PLC
09 December 2003





Press Release

9 December 2003

For Immediate Release

                          SCHRODER UK GROWTH FUND plc

                           Unaudited Interim Results

The Directors of Schroder UK Growth Fund plc announce the unaudited interim
results for the six months ended 31 October 2003.

Statement of Total Return (Unaudited)

                                                                                                                      
                                  Six months ended 31 October 2003                    Six months ended 31 October 2002  
                                    Revenue    Capital      Total                      Revenue     Capital       Total
                                      £'000      £'000      £'000                        £'000       £'000       £'000
  Gains/(losses) on                       -     24,366     24,366                           -    (60,259)    (60,259) 
  investments                                                                                                         
  Realised gain on expiry                 -          -          -                           -       7,748       7,748 
  of warrants                                                                                                         
  Income                              2,549          -      2,549                       2,957           -       2,957 
  Investment management               (123)      (287)      (410)                       (121)       (282)       (403) 
  fee                                                                                                                 
  Administrative expenses             (170)          -      (170)                       (177)           -       (177) 
  Net return /(deficit)               2,256     24,079     26,335                       2,659    (52,793)    (50,134) 
  before finance costs                                                                                                
  and taxation                                                                                                        
  Interest payable                    (116)      (270)      (386)                       (197)       (460)       (657) 
  Net return /(deficit)               2,140     23,809     25,949                       2,462    (53,253)    (50,791) 
  on ordinary activities                                                                                              
  before taxation                                                                                                     
  Tax on ordinary                         -          -          -                           -           -           - 
  activities                                                                                                          
  Return /(deficit) on                2,140     23,809     25,949                       2,462    (53,253)    (50,791) 
  ordinary activities                                                                                                 
  after tax attributable                                                                                              
  to equity shareholders                                                                                              
  Dividends: 1st interim            (2,523)          -    (2,523)                     (2,530)           -     (2,530) 
  dividend                                                                                                            
  Transfer (from)/to                  (383)     23,809     23,426                        (68)    (53,253)    (53,321) 
  reserves                                                                                                            
  Return/(deficit) per                1.27p     14.16p     15.43p                       1.45p    (31.34)p    (29.89)p 
  ordinary share                                                                                                      
  Dividends for the                   1.50p          -      1.50p                       1.50p           -       1.50p 
  period per ordinary                                                                                                 
  share                                                                                                               
                                                                                                     


  Summary Balance Sheet                      At 31 October 2003    At 30 April 2003  

  Assets                                                  £'000               £'000 
  Listed investments at market value                    181,420             161,952 
  Loans                                                (20,000)            (20,000) 
  Other net current assets/(liabilities)                  3,693               (265) 
  Net Assets                                            165,113             141,687 
  Net asset value per share                              98.17p              84.24p 
                                                                                                                      


  Abridged Cash Flow Statement                                  For the six months ended     For the six months ended   
                                                                         31 October 2003              31 October 2002   
                                                                                   £'000                        £'000 
  Net cash inflow from operating activities                                        3,244                        3,601 
  Net cash outflow from returns on investments and                                 (397)                        (657) 
  servicing of finance                                                                                                
  UK tax recovered                                                                     -                          187 
  Net cash inflow from financial investment                                           50                       26,951 
  Equity dividends paid                                                          (2,523)                      (3,439) 
  Net cash outflow from financing                                                      -                     (17,601) 
  Net cash inflow                                                                    374                        9,042 




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

The Board of Directors approved this statement on 9 December 2003.

Statement by the Chairman, Mr Alan clifton

Performance and Background

After noting in last year's Annual Report that performance for the six months to
30 April 2003 had improved, I am pleased to state that the Company has continued
to out-perform its benchmark index. During the six months period to 31 October
2003, the Company's net asset value produced a total return of 18.5%, whilst the
FTSE All-Share Index posted a total return of 14.2% over the same period.

The rally in share prices, which began in March, continued throughout the period
under review as sentiment moved away from the severe risk aversion that
characterised the bear market. The end of formal hostilities in Iraq improved
investors' confidence, whilst low interest rates, combined with increased
corporate activity, helped to underpin valuations.

Gearing

The Company's £20 million borrowing facility was fully drawn down at the
beginning of the period and has remained so throughout the six months under
review.

Dividend

The Board has declared the payment of a first interim dividend for the year
ending 30 April 2004 of 1.5 pence per share. This first interim dividend will be
payable on 30 January 2004.

Purchase of Shares for Cancellation

During the six months period ended 31 October 2003, no ordinary shares were
purchased for cancellation, as market demand for the Company's shares increased
and the discount narrowed. The share buy-back facility remains one of a number
of tools that may be used to enhance shareholder value and therefore the
Directors will continue to consider purchases of shares for cancellation when
this is judged to be in shareholders' interests.

Corporate Governance

Two significant governance codes were published in the summer. The first,
published by the Financial Reporting Council, will form the new Combined Code
and will apply to all UK listed companies, for accounting periods beginning on
or after 1 November 2003. The Association of Investment Trust Companies'
('AITC') Code of Corporate Governance, published in July, applies to AITC member
companies.

In the light of amendments to the UKLA Listing Rules that came into force on 1
November 2003, the Company announced on 30 October 2003 that for the purposes of
new Listing Rule 21.9(l) its policy is to invest no more than 15 per cent. of
its gross assets in other listed investment companies (including listed
investment trusts).

These codes and regulations will together create a new governance environment
for investment trusts, and the Board has commenced a fresh review of all aspects
of corporate governance relating to the Company.

Outlook

There is now clear evidence of an upturn in corporate profits that should
encourage investors who have remained on the sidelines, hurt by earlier losses,
to commit more resources to the market, notwithstanding the first upwards move
in domestic interest rates. Valuations have risen from their lows but in
aggregate they do not appear excessive as corporate earnings projections have
continued to rise.

Given the strength of the rally already seen this year, the uncertainty arising
from the possibility of higher interest rates and the probable shift in the
drivers of economic growth away from the consumer, returns over the medium term
may be more modest than those seen during the period under review.



Alan Clifton

Chairman

FIRST INTERIM DIVIDEND

The Directors of the Company have declared the payment of a first interim
dividend of 1.50p per share for the year ending 30 April 2004. The dividend will
be payable on Friday 30 January 2004 to shareholders on the register on 30
December 2003.

Ex-Dividend Date                : 24 December 2003

Transfers must be lodged by     : Close of business on 30 December 2003

Dividend Warrants               : Despatched on 29 January 2004

Payment Date                    : 30 January 2004

Dividend per share              : 1.50p

The Interim Report will be mailed to shareholders at their registered addresses
in December 2003 and from that date copies of the Interim Report 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                   (0207 658 3206)
9 December 2003



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