Interim Results

Oxford Technology 2 VCT PLC
25 October 2004


                 Oxford Technology 2 Venture Capital Trust plc

                               Interim Statement


                                 For the period


                         1 March 2004 to 31 August 2004


                        Statement on behalf of the Board

I am pleased to report satisfactory progress in the six months to 31 August
2004. The net assets per share have increased modestly, from £0.78 at 29
February 2004 to £0.79 at 31 August 2004.

It is the nature of the business in which OT2VCT is engaged, namely investing in
start-up and early stage technology businesses, that there will be some early
failures and that the ultimate returns are likely to come from a few businesses
which do really well. There have indeed been some early failures, but there are
several companies in the portfolio which are making very solid progress and have
the potential to deliver outstanding returns.

Insense, Im-Pak, Inaplex, and OCRobotics have all made good progress in recent
months, and OT2VCT owns significant shareholdings in these companies. Other
investees have also made solid progress, while some others have experienced
problems.

On balance, the Board is pleased with the overall development of the portfolio.

On behalf of the Board

John Jackson

Chairman


                                                                              Unaudited financial information
Summarised Statement of Total                                     Six months            Six months                 Year

Return for the period                                               1 Mar 04              1 Mar 03              1 Mar 03


                                                                to 31 Aug 04          to 31 Aug 03          to 29 Feb 04


                                                                       £'000                 £'000                 £'000
Gain / (loss) on investments                                             105                   415                 (213)
Income                                                                    26                     6                    39
Expenses                                                                (83)                  (97)                 (198)
                                                                       _____                 _____                 _____
Net return before taxation                                                48                   324                 (372)
Tax on ordinary activities                                                 -                     -                     -
                                                                       _____                 _____                 _____
Return attributable to equity shareholders                                48                   324                 (372)
Dividends in respect of equity shares                                      -                     -                     -
                                                                       _____                 _____                 _____
Transfers to / (from) reserves                                            48                   324                 (372)
                                                                       =====                 =====                 =====
Revenue loss per share                                               (0.95)p               (1.50)p               (2.65)p
Capital return / (loss) per share                                      1.75p                 6.91p               (3.55)p
Total return / (loss) per ordinary share                               0.80p                 5.41p               (6.20)p
                                                                       =====                 =====                 =====

Summarised Balance Sheet                                           31 Aug 04             31 Aug 03             29 Feb 04

                                                                       £'000                 £'000                 £'000
Unquoted investments                                                   4,467                 4,992                 4,402
Other net current assets                                                 267                   390                   284
                                                                       _____                 _____                 _____
Net assets                                                             4,734                 5,382                 4,686
                                                                       =====                 =====                 =====

Capital and Reserves
Called up share capital                                                  600                   600                   600
Share premium:
                                         Share issues                  5,400                 5,400                 5,400
                             Expenses on share issues                  (179)                 (179)                 (179)
                                                                       _____                 _____                 _____
                                                                       5,821                 5,821                 5,821
Capital reserve
                                           unrealised                  (116)                  (50)                 (231)
                                             realised                  (593)                 (136)                 (583)
Revenue reserve                                                        (378)                 (253)                 (321)
                                                                       _____                 _____                 _____
                                                                       4,734                 5,382                 4,686
                                                                       =====                 =====                 =====
Net asset value per share                                                79p                   90p                   78p
                                                                       =====                 =====                 =====

Cash flow statement for the period                                Six months            Six months                 Year

                                                                    1 Mar 04              1 Mar 03              1 Mar 03

                                                                to 31 Aug 04          to 31 Aug 03          to 29 Feb 04


                                                                       £'000                 £'000                 £'000
Net cash outflow from operating activities                              (88)                  (98)                 (170)
Capital expenditure and financial investment
                              Purchase of investments                      -                 (115)                 (156)
                  Proceeds on disposal of investments                     40                     -                     3
                                                                       _____                 _____                 _____
Net cash outflow for capital expenditure and                              40                 (115)                 (153)
financial investment
                                                                       _____                 _____                 _____
Decrease in cash                                                        (48)                 (213)                 (323)
                                                                       =====                 =====                 =====
Notes to the Unaudited Financial Information
1 The financial information for each of the interim periods ended 31 August 2004 and 31 August 2003 is unaudited and
does not constitute statutory accounts within the meaning of the Companies Act 1985. It has been prepared using
accounting policies consistent with those set out in the company's statutory accounts for the year ended 29 February
2004. The financial information for the year ended 29 February 2004 has been extracted from the company's statutory
accounts for that period which contained an unqualified audit report and which have been filed with the Registrar of
Companies.
2 The calculation of earnings per share for the period is based on the return attributable to shareholders divided by
the weighted average number of shares in issue during the period.
3 Listed investments are stated at market value based upon middle market prices at the accounting period end. The
unrealised depreciation or appreciation on the valuation of investments and the gains and losses arising on the
disposal of investments are dealt with in the capital reserve.
4 Copies of the Interim Statement are being sent to shareholders and further copies can be obtained from the Company's
Registered Office.


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