Interim Results

Edinburgh New Income Trust plc
20 January 2006

News Release

20 January 2006



                         EDINBURGH NEW INCOME TRUST PLC

             INTERIM RESULTS FOR THE SIX MONTHS TO 30 NOVEMBER 2005


Edinburgh New Income Trust's investment objective is to provide ordinary
shareholders with an attractive level of income, together with the potential for
capital and income growth and its zero dividend preference shareholders with a
pre-determined capital entitlement on 31 May 2011.


•    Second interim dividend of 1.0p per ordinary share payable on 17 
     February 2006

•    The board expects to declare dividends totalling 6.0p for the year to
     31 May 2006

•    Net asset value rose 7.7% to 106.2p


For further information, please contact:

Ian Massie, Edinburgh Fund Managers plc                       0131 313 1000


Please note that past performance is not necessarily a guide to the future and
that the value of investments and the income from them may fall as well as rise.
Investors may not get back the amount they originally invested.


EDINBURGH NEW INCOME TRUST

CHAIRMAN'S STATEMENT


This is my first opportunity to report to shareholders following the Trust's
launch on 31 May 2005 as a successor vehicle to Edinburgh High Income Trust plc
and Edinburgh Income and Value Trust plc. At launch, gross assets totalled
£35.4m and the net asset value per share, after allowing for initial expenses,
was 98.6p. We have benefited from a strong stockmarket in this first six month
period, with the result that gross assets less current liabilities have risen to
£37.4m and net asset value per share to 106.2p.

Dividends

A first interim dividend of 1.0p was declared in October and paid in November.
As already announced, a second interim dividend of 1.0p has been declared in
January and will be paid in February.  A third interim dividend will be declared
in April followed by a larger final in July. As set out in the prospectus and in
the absence of an unexpected deterioration in dividend receipts, the board aims
to pay dividends totalling 6.0p for the full financial year.

Performance

The portfolio was drawn largely from the portfolios of the two predecessor
trusts, Edinburgh High Income Trust and Edinburgh Income and Value Trust with
additional investments being made in early June till the fund was almost fully
invested.

The net asset value for ordinary shareholders rose to 106.22p at the end of
November, a rise of 7.7% over the 6 month period. This compares with a rise of
10.4% in the FTSE All-Share Index.  The shortfall is a consequence of the fund's
income requirement, which meant that we were under represented in some of the
strongest performing areas of the market. Our very light positions in the
strongly performing oil and mining stocks held us back while our heavier
representation in higher yielding sectors such as banks and utilities were a
disadvantage over this particular period. The ordinary share price has traded
very little and at the end of the period was still at 98.5p, a discount of 7.3%
to net asset value. The zero dividend preference shares rose to 105.25p, a
premium of 2.2% over their underlying net asset value of 102.95p.

The market was driven by heavy cash flow into equities, increased takeover
activity, and continuing share buy-backs by companies. Corporate sector cash
flow has remained strong resulting not only in these share buy-backs, but also
in strong dividend growth that is helping build our revenue reserves and help
enable us to maintain a healthy dividend payout in future.

Equity investments totalled £35.4m at the end of November, which resulted in
effective gearing, being the ratio of total equity investments to equity
shareholders funds, of 162%. There is no bank debt and the gearing is entirely
due to the effect of the zero dividend preference shares.

Manager

The Company's lead portfolio manager, David Binnie, will be retiring from the
Manager shortly and I take this opportunity to thank him for his hard work both
for this Company and its predecessor vehicles.   On his retirement the Company
will be managed by the same team.  He will be replaced by Stewart Methven,
currently the Company's co-manager, who will be assisted by Charles Luke. There
will be no change in the investment process.

Outlook

It is clear that UK economic growth has slowed markedly, and this is likely to
have an impact on the rate of growth in profits and dividends as we go through
2006. Both enjoyed very rapid rates of increase last year, but these are
expected to slow in the year ahead. However, the weaker economic growth makes it
less likely that higher interest rates will undermine the market.

Given the strong recovery that we have already had in the stockmarket, these
more cautionary signs may make it more vulnerable to a correction. However,
better economic data seems to be emerging in other countries and the Managers
think it likely that as we go though 2006 economic growth will slowly recover.
Moreover, when compared with bonds, where yields are close to all-time lows,
equities still do not look at all expensive. The portfolio remains almost fully
invested.


David Ritchie
Chairman


STATEMENT OF TOTAL RETURN (unaudited)


                                                                 Period ending 30 November 2005
                                                                  Revenue         Capital        Total
                                                                     £000            £000         £000


Gains on held-at-fair-value investments                                -           1,643        1,643
Income                                                               808               -          808
Investment management fee                                            (71)            (71)        (142)
Administrative expenses                                             (102)              -         (102)
                                                                   ______          ______       ______
Net return before finance costs and taxation                         635           1,572        2,207
Finance costs appropriated to ZDP Shareholders                         -            (447)        (447)
                                                                   ______          ______       ______
Net return on ordinary activities before taxation                    635           1,125        1,760
Taxation on ordinary activities                                        -               -            -
                                                                   ______          ______       ______
Return on ordinary shares after taxation                             635           1,125        1,760
                                                                   ______          ______       ______
Return per ordinary share (p)                                                                    8.57
                                                                                                ______




BALANCE SHEET (unaudited)




                                                                   At 30 November
                                                                             2005
                                                                             £000
Fixed assets
Investments designated as held-at-fair-value                              35,395
                                                                         ________
Current assets
Debtors and prepayments                                                       92
Cash at bank and in hand                                                   2,044
                                                                         ________
                                                                           2,136
Creditors: amounts falling due within one year                              (122)
                                                                         ________
Net current assets                                                         2,014
                                                                         ________
Total assets less current liabilities                                     37,409

Creditors: amounts falling due after more than one year
Zero Dividend Preference shares                                          (15,614)
                                                                         ________
Net assets                                                                21,795
                                                                         ________

Capital and reserves
Ordinary share capital                                                       205
Revenue reserve                                                           20,035
Capital reserve - realised                                                  (412)
Capital reserve - unrealised                                               1,537
Revenue reserve                                                              430
                                                                         ________
Equity shareholders' funds                                                21,795
                                                                         ________
Net asset value per Ordinary share (pence)                                106.22
                                                                         ________





Statement of Changes in Equity (unaudited)

Period ending 30 November 2005



                                                            Capital      Capital
                                     Share        Share   reserve -    reserve -
                                   capital      premium    realised   unrealised      Revenue
                                                                                      reserve       Total
Period ended 30 November 2005         £000         £000        £000         £000         £000        £000

Net profit on ordinary
activities
after taxation                                                (412)        1,537         635       1,760
Issue of ordinary shares               205      20,314                                            20,519
Expenses of share issue                           (279)                                             (279)
Dividends paid (1st interim)                                                            (205)       (205)

                                       205      20,035        (412)        1,537         430      21,795






CASHFLOW STATEMENT (unaudited)


                                                                                            Period ending
                                                                                              30 November
                                                                                                     2005

                                                                                                     £000

Net cash inflow from operating activities                                                            590
Net cash outflow from financial investment                                                        (5,954)
Equity dividend paid                                                                                (205)
                                                                                                   ______
Net cash outflow before financing                                                                 (5,569)
Net cash inflow from financing                                                                     7,613
                                                                                                   ______
Increase in cash                                                                                   2,044
                                                                                                   ______
Reconciliation of operating revenue to net cash inflow from operating activities
Net revenue before finance costs and taxation                                                        635
Increase in accrued income                                                                           (82)
Increase in other debtors                                                                            (10)
Increase in other creditors                                                                          118
Expenses charged to capital                                                                          (71)
                                                                                                   ______
Net cash inflow from operating activities                                                            590
                                                                                                   ______
Reconciliation of net cash flow to movement in net debt
Increase in cash as above                                                                          2,044
Opening net funds                                                                                      -
                                                                                                   ______
Net funds at 30 November 2005                                                                      2,044
                                                                                                   ______
Represented by:
Cash at bank and in hand                                                                           2,044
                                                                                                   ______




Notes:


1.   (a)  Accounting policies

          The accounts have been prepared under the historical cost convention, 
          modified to include the revaluation of investments and in accordance 
          with applicable Accounting Standards and with the Statement of 
          Recommended Practice 'Financial Statements of Investment Trust 
          Companies'.

          For accounting periods beginning on or after 1 January 2005, the 
          Company had the option to prepare its financial statements in 
          accordance with International Financial Reporting Standards ('IFRS') 
          adopted by the International Accounting Standards Board ('IASB').  The
          board have elected to adopt UK Generally Accepted Accounting 
          Principles ('UK GAAP') and therefore with the new Financial Reporting
          Standards issued as part of the programme to converge UK GAAP with 
          IFRS.

     (b)  Accounting period

          The Company was incorporated on 22 April 2005 and commenced operations
          on 31 May 2005.  The results are for the period from incorporation to 
          30 November 2005 not withstanding that there were no accounting 
          entries prior to 31 May 2005.

     (c)  Investments

          Investments are measured initially at cost, including transaction 
          costs and are recognised at trade date.  Subsequent to initial 
          recognition, investments are valued at fair value through the profit 
          and loss account.  For listed investments, this is deemed to be bid 
          market prices or closing prices for SETS stocks sourced from the 
          London Stock Exchange.  Movements in fair value are recognised in the 
          unrealised reserves.

     (d)  Dividends payable

          Interim and final dividends are recognised in the period in which they
          are paid.


2.   Dividends

     A first interim dividend of 1.0p per Ordinary share was paid on 11 November
     2005 to Shareholders on the register on 27 October 2005.  The ex-dividend 
     date was 19 October 2005.

     The directors have declared a second interim dividend of 1.0p per Ordinary 
     share which will be paid on 17 February 2006 to Shareholders on the 
     register on 27 January 2006.  The ex-dividend date is 25 January 2006.


3.   The interim report will be posted to shareholders in February 2006 and
     copies will be available at the registered office of the Company - 
     Donaldson House, 97 Haymarket Terrace, Edinburgh EH12 5HD.


For Edinburgh New Income Trust plc
Edinburgh Fund Managers plc, SECRETARY


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