Portfolio Update

BLACKROCK SMALLER COMPANIES TRUST PLC

All information is at 31 January 2014 and unaudited.

Performance at month end is calculated on a capital only basis

                                One    Three       One      Three       Five
                              Month   Months      Year      Years      Years
Net asset value*               2.1%     9.3%     40.0%      55.0%     247.7%
Share price*                  -0.5%    11.6%     53.1%      71.3%     403.0%
Numis ex Inv Companies + AIM   1.3%     4.9%     23.5%      30.0%     166.6%

Sources:  BlackRock and Datastream

At month end
Net asset value Capital only (debt at par value):     941.89p
Net asset value Capital only (debt at fair value):    934.43p
Net asset value incl. Income (debt at par value)**:   951.45p
Net asset value incl. Income (debt at fair value)**:  943.98p
Share price:                                          910.50p
Discount to Cum Income NAV (debt at par value):          4.3%
Discount to Cum Income NAV (debt at fair value):         3.5%
Net yield^^^:                                            1.2%
Total assets^:                                        £495.4m
Gearing range as a % of total assets:                   0-15%
Net gearing including income (debt at par):              8.7%
2013 Ongoing charges ratio^^:                            0.6%
Ordinary shares in issue#:                         47,879,792

*performance calculations based on a capital only NAV with debt at par, without
income reinvested. Share price performance calculations exclude income
reinvestment.
**includes net revenue of 9.56p
^includes current year revenue
^^As reported in the Annual Financial Statements for the year ended
28 February 2013, the ongoing charges ratio is calculated as a percentage of
net assets and using operating expenses, excluding performance fees, finance
costs and taxation.
^^^Yield calculations are based on dividends announced in the last 12 months as
at the date of release of this announcement, and comprise the final dividend of
6.50 pence per share (announced on 26 April 2013 and going ex-dividend on 29
May 2013) and the interim dividend of 4.60 pence per share (announced on 24
October 2013, going ex-dividend on 30 October 2013).
#excludes 2,113,731 shares held in treasury

Sector Weightings                      % of portfolio

Industrials                                     27.9
Consumer Services                               18.3
Financials                                      17.9
Technology                                       9.1
Consumer Goods                                   8.8
Health Care                                      7.4
Basic Materials                                  6.2
Oil & Gas                                        2.8
Telecommunications Services                      1.6
                                               -----
Total                                          100.0
                                               =====

Ten Largest Equity Investments

Company                                     Total Market Value %

Bellway                                             2.1
Optimal Payments                                    2.0
Workspace                                           1.8
Senior                                              1.8
XAAR                                                1.7
Polar Capital Holdings                              1.6
Howden Joinery                                      1.6
ITE Group                                           1.5
Avon Rubber                                         1.5      
Dunelm Group                                        1.5
 
Commenting on the markets, Mike Prentis, representing the Investment Manager
noted:

During January the Company's NAV per share rose by 2.1% on a capital only
basis. The benchmark index rose by 1.3% whilst the FTSE 100 Index fell by 3.5%;
again both on a capital only basis.

The relative contribution from sector allocation and gearing were positive, but
the contribution from stock selection was negative.  Sector allocation was
helped by our overweight position in housebuilders and our underweight position
in oil & gas companies.

The largest negative contributor to stock selection was our holding in Blinkx;
the share price fell by 38% during the month and the negative impact on
relative performance was 0.4%. The fall was caused by the publication of some
research into Blinkx's business model which effectively suggested that Blinkx
was charging for some adverts which were not seen by consumers of its video
content. This research was commissioned by anonymous parties, believed to be US
hedge funds with a short interest. Blinkx management has strongly refuted the
assertions in the research.

Positive contributors to stock selection included Topps Tiles, Optimal
Payments, UTV Media and Headlam.

During January we sold or trimmed some of our holdings in larger midcaps,
including Thomas Cook and Jupiter Fund Management. They are no longer in our
benchmark, and both are high beta shares where we are less close to management
than usual.

We have used the proceeds to take small new positions in a few interesting
microcaps, including Netcall, Incadea and Tracsis.

19 February 2014

ENDS

Latest information is available by typing www.blackrock.co.uk/brscon 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.