Portfolio Update

BLACKROCK INCOME AND GROWTH INVESTMENT TRUST PLC

All information is at 31 July and unaudited.

Performance at month end with net income reinvested

                                  One     Three     One     Three     Five
                                month    months    year     years    Years

Sterling:

Share price                      5.3%      3.3%    3.1%     41.5%   -13.5%
Net asset value (cum income)     1.7%      0.3%    0.8%     43.8%   -11.4%
FSTE All-Share Total Return      1.3%     -1.0%    0.4%     37.7%     6.9%

Sources: BlackRock and Datastream

BlackRock took over the investment management of the Company with effect from 1
April 2012.

At month end

Sterling:

Net asset value - capital only: 139.91p
Net asset value - cum income*: 141.50p
Share price: 134.00p
Total assets (including income): £40.2m
Discount to cum-income NAV: 5.3%
Gearing: 6.6%
Net yield: 3.8%
Ordinary shares in issue**: 28,379.268

*includes net revenue of 3.19 pence per share
** excludes 4,554,664 shares held in treasury

Benchmark

Sector Analysis                           Total assets(%)

Oil & Gas Producers                                13.44
Pharmaceuticals & Biotechnology                    10.91
Mobile Telecommunications                           9.39
Banks                                               8.01
Media                                               7.96
Tobacco                                             7.93
Mining                                              7.15
Food Producers                                      4.71
Non Life Insurance                                  3.59
Equity Investment Instruments                       3.09
Life Insurance                                      2.79
Software & Computer Services                        2.66
Non Equity Investment Instruments                   2.49
Aerospace & Defence                                 2.45
Support Services                                    2.40
General Retailers                                   2.26
Electricity                                         1.93
Gas, Water & Multiutilities                         1.79
Electronic & Electrical Equipment                   1.75
Real Estate Investment & Services                   1.61
Financial Services                                  1.44
Technology Hardware & Equipment                     1.29
Oil Equipment, Services & Distribution              0.53
Net Current Liabilities                            (1.57)

                                                  ------
Total                                             100.00
                                                  ------

Ten Largest Equity Investments(in alphabetical order)

Company                               % of Total assets

Antofagasta                                        3.89
BHP Billiton                                       3.61
British American Tobacco                           5.16
GlaxoSmithKline                                    5.49
HSBC                                               6.26
Royal Dutch Shell B                                8.90
Tullow Oil                                         3.47
UBM                                                3.91
Unilever                                           3.92
Vodafone                                           9.86

Commenting on the markets, Nick McLeod-Clarke & Adam Avigdori, representing the
Investment Manager noted:

Markets

Equity markets continued to suffer from economic data that pointed to lower,
albeit still positive global economic growth. UK GDP figures were worse than
expected, with data from the Office for National Statistics showing that the
economy shrank by 0.7% in the three months to June; GDP forecasts were revised
down further to just 0.1% for 2012, with inflation expectations also revised
down to 2%.

The ECB reiterated that countries seeking assistance need to continue with
austerity. China's economic growth has slowed and the economic growth target
for the year had been reduced to 7.5%. In response, China's central bank has
cut its key interest rates and in a bid to boost lending reduced the amount of
money that the country's banks must keep in reserve.

The lowered global growth forecasts and on-going uncertainty led companies with
more predictable earnings to perform better, with consumer goods companies -
food & beverages and tobacco in particular - the largest positive contributors
to performance. Financials, led by banks, were the biggest negative
contributors to index performance, following strong performance in the previous
month.

Portfolio performance

The Company returned 1.7%* over the month, outperforming the FTSE All-Share
Index, which returned 1.3%. The top contributors included technology company
CSR, a global provider of multi-function semiconductor platforms, which
announced the proposed transfer of its handset connectivity and location
development operations and technology to Samsung. The Company also benefited
from the bid by Japanese marketing agency Dentsu for UK media group Aegis, an
independent media planner and buyer, which announced that it had reached an
agreement on a recommended all cash offer by Dentsu. Media group UBM reported a
good set of interim numbers, with the exhibitions and conferences business,
which is mainly focused on emerging markets, delivering growth ahead of market
expectations.

Amongst the detractors, Tullow Oil reduced estimates for the resources in three
of its discoveries in Ghana, although the company added that these discoveries
were likely to contain a higher proportion of oil to gas than originally
thought. Plumbing distributor Wolseley fell after reporting a challenging
period for its European business.

Outlook

Macro risk has been a key feature across financial markets in 2012. The
vagaries of the euro crisis, Chinese growth and broader slowdown fears across
emerging markets combined with on-going concerns about the US "fiscal cliff"
have dominated investor debate in the past few months. This remains an
environment dominated by short term trading patterns in which macro-economic
factors dominate market returns, known by most commentators as `risk-on,
risk-off'. We still prefer to make investments where we believe we have a
competitive edge and an information advantage, i.e., by focusing on the
fundamentals of individual companies.

We continue to position the portfolio towards companies where the fundamentals
are strong and the business can take advantage of geographies that are growing
strongly. Overall equity valuations look attractive relative to other asset
classes and we continue to believe that the emerging markets exhibit the best
economic fundamentals. UK equity valuations still look attractive compared to
those of most other asset classes, with the prospect of high quality earnings
and dividend growth.

* NAV cum income including dividend reinvestment

16 August 2012

ENDS

Latest information is available by typing www.blackrock.co.uk/brig on the
internet, "BLRKINDEX" on Reuters, "BLRK" on Bloomberg or "8800" on Topic 3 (ICV
terminal). Neither the contents of the Manager's website nor the contents of
any website accessible from hyperlinks on the Manager's website (or any other
website) is incorporated into, or forms part of, this announcement.