Holding in Company

3i Smaller Quoted Co's Trust PLC
6 July 2001


LETTER TO: 3I SMALLER QUOTED COMPANIES TRUST PLC

LETTER DATED 5 JULY 2001


Companies Act 1985 Section 198 disclosure notice

Further our telephone conversation and in compliance with Part VI of the above
mentioned Act, I write to inform of Royal London Asset Management's total
combined shareholding in 3I Smaller Quoted Companies Trust ordinary 25p shares,
issued share capital 57,718,523.

Following the takeover of United Assurance Group plc by Royal London Mutual
Insurance Society Ltd, we can confirm that we now have a total holding of 
5,031,417 ordinary 25p shares in the funds shown below. Our total percentage of
the issued share capital is 8.7172%.
 

Reg'd Shareholder     Beneficial owner                Current holding     %

Chase Nominees Ltd    Royal London Long Term Fund            3,537,864    6.1295
Chase Nominees Ltd    Refuge Assurance Superannuation Fund     318,500    0.5518
Chase Nominees Ltd    UF Group Pension                         128,000    0.2218
Chase Nominees Ltd    Scottish Life Assurance Company        1,047,053    1.8141

Total                                                        5,031,417    8.7172



LETTER FROM: JOELLE BARKER
             CORPORATE ACTION ADMINISTRATOR
             ROYAL LONDON ASSET MANAGEMENT