Interim Management Statement

THE BIOTECH GROWTH TRUST PLC                          

    Interim Management Statement - 3 months to 31 December 2007 (unaudited)    

The Biotech Growth Trust PLC seeks capital appreciation through investment in
the worldwide biotechnology industry principally by investing in emerging
biotechnology companies.

The 3 month period ended 31 December 2007 was a volatile one for the
biotechnology sector which saw the Company's net asset value per share fall by
2.7% compared to a rise of 0.6% in the Company's benchmark, the NASDAQ
Biotechnology Index measured in sterling terms. The quarter started brightly
with the net asset value per share rising by 2.6% in October due to a
resurgence in acquisition activity in the sector but these gains were lost and
more in November following the broader market sell-off amidst concerns about
deteriorating credit quality, slowing global growth and further declines in the
US housing market. The Company's poor performance continued into December where
Biogen Idec, a significant holding in the Investment Portfolio, announced that
following its decision to put itself up for sale, no significant offers had
been received; Biogen Idec's share price fell by 25% as a result. On a positive
note, however, the holdings in Savient and BioMarin performed well following
the announcement of positive news concerning key new drugs.

Given the difficult market conditions that prevailed during the quarter,
exposure to larger biotechnology companies was increased and a number of the
holdings in smaller companies were sold. The number of the holdings in the
Investment Portfolio decreased to 34 at 31 December although this figure
increased to 39 at the end of January 2008.

The Company's share price fell by 2.9% during the three-month period as the
discount of share price to net asset value per share widened slightly from 4.5%
to 4.7%. During the period a total of 799,500 shares were repurchased for
cancellation at a cost of £873,600 (including expenses).

Since the period end, to the end of January 2008, the Company's net asset value
per share fell by 2.4% compared to a fall in the benchmark index of 3.9%. The
Company's share price fell by 4.8% in the same period.

Trust Characteristics

                           31 December 2007          30 September 2007         
                                                                               
Number of Holdings         34                        45                        
                                                                               
Net Assets (£m)            72.6                      75.6                      
                                                                               
Gearing (AIC basis)        100                       100                       
                                                                               
Share Price (p)            108.50                    111.75                    
                                                                               
NAV (p)                    113.85                    117.06                    
                                                                               
(Discount)/Premium         (4.7%)                    (4.5%)                    

Source: Frostrow Capital LLP


10 Largest Investments

Name

                                     % of                      % of            
                             investment portfolio      investment portfolio   
                              at 31 December 2007      at 30 September 2007   
                                                                              
Amgen                                 9.2                       7.2           
                                                                              
Gilead Sciences                       8.8                       8.6           
                                                                              
Biogen Idec                           6.9                       1.6           
                                                                              
Genzyme                               6.6                       5.3           
                                                                              
Genentech Inc                         4.3                       5.1           
                                                                              
Imclone Systems                       4.2                        -            
                                                                              
Allos Therapeutics                    3.8                       2.1                      
                                                                              
BioMarin Pharmaceutical               3.4                       3.8           
                                                                              
Indevus Pharmaceuticals               3.2                       3.0                      
                                                                              
OSI Pharmaceuticals                   3.1                       2.5           
                                                                              
Total                                53.5                      39.2           

Source: Frostrow Capital LLP

Geographical Analysis

                                     % of                       % of           
                             investment portfolio       investment portfolio   
                             at 31 December 2007        at 30 September 2007   
                                                                               
North America                        84.5                       88.1           
                                                                               
UK Listed                            9.4                        1.1            
                                                                               
Unquoted                             2.5                        1.6            
                                                                               
Continental Europe                   2.3                        7.5            
                                                                               
Israel                               1.3                        1.7            
                                                                               
Total                               100.0                      100.0           

Source: Frostrow Capital LLP

Performance

                3 Months        1 Year          3 Years         5 Years        
                                                                               
Share Price     -2.9%           -3.6%           +28.4%          +87.1%         
                                                                               
NAV per share   -2.7%           -0.6%           +12.4%          +48.5%         
                                                                               
Benchmark*      +0.6%           +2.8%           +4.8%           +35.9%         

Source: Bloomberg & Fundamental data

* Benchmark - NASDAQ Biotechnology Index measured in sterling terms.

Past performance is not a guide to future performance.

This interim management statement is available on the Company's website 
www.biotechgt.com

The Company's Net Asset Value per share is announced daily and is available,
together with the share price, on the TrustNet website at www.trustnet.com

For further information contact: Mark Pope on 0203 008 4913

Frostrow Capital LLP
Company Secretary

14 February 2008