Final Results

Merrill Lynch UK Inv Tst PLC
13 November 2001

                                                              12 November 2001



                    MERRILL LYNCH UK INVESTMENT TRUST plc

                     PRELIMINARY ANNOUNCEMENT OF RESULTS
                in respect of the year ended 30 September 2001




  * The directors propose an unchanged final dividend of 20.0p (net) per
    ordinary share (2000: 20.0p), making total ordinary dividend payments for
    the year of 30.0p (net) per ordinary share (2000: 30.00p).

  * Net Asset Value per share ('NAV') down 29.3% to 821.40p (with net income
    reinvested).

  * Share price down 29.1% to 719.50p.

  * Performance affected by a high level of long term borrowing;
    approximately 7.0% of relative under-performance attributable to gearing.




  Contacts:   Ian Barby                                       020 7743 5224
              Managing Director, Investment Trusts

              Nigel Webb, Public Relations                    020 7743 5938
              Merrill Lynch Investment Managers

              William Clutterbuck                             020 7379 5151
              The Maitland Consultancy



The Chairman, Mr John Stancliffe, commented:

'During the past year the net asset value ('NAV') of your Company's shares
fell 29.3% to 821.40p (with net income reinvested) and the share price
declined a similar amount to 719.50p. This was a poor result even against a
backdrop of extremely difficult market conditions, which saw the FTSE
All-Share Index fall by 20.8%.

'The under-performance was due to two factors: stock selection and gearing.

'The investment performance attributable to stock selection exceeded the
return on the market up until the end of August, reflecting the beneficial
effect of a defensive strategy adopted early in the period. However, a later
increase in exposure to more cyclical sectors, in anticipation of economic
recovery in the event proved premature as the terrorist attacks in the United
States on 11 September resulted in an under-performance of 2.3% for the month
and a shortfall against the FTSE All-Share Index of 0.8% for the year.

'Overall, the principal determinant of the disappointing performance was the
level of the Company's gearing during the year; approximately 7.0% of the
additional fall in value was attributable to its impact and cost. In common
with many other investment trusts, the Company has a level of long term
borrowing which has historically been of benefit in favourable market
conditions. However, in the falling market which we experienced this year, the
gearing acted as a drag on performance, accentuating the level of negative
returns. The Board has required the investment manager to limit the level of
gearing to a maximum of 30% by increasing cash balances and at the Company's
year-end on 30 September the effective gearing level was close to 25%.

'Group earnings per share were 19.33p, compared with 32.42p in 2000. The
Company's trading subsidiary at the interim reporting stage had unrealised
losses of 6.75p per share, but the actual loss was reduced to 2.35p per share
when the positions were later closed out. The Board, as at the interim stage,
has decided to maintain the level of final dividend at 20.0p per share, and to
do so through a transfer from the revenue reserves. The Company has strong
reserves, but shareholders should be conscious that the fund manager's style
of management does not emphasise the capture of income, and this may effect
future dividend policy. In recognition of this, and the greater
unpredictability of dividends received, the Board believes that growth of
income as one of the objectives of the Company is no longer appropriate.

'For much of the year, the discount to net asset value at which the shares
traded narrowed considerably, but with the recent increase in negative market
sentiment, wider discounts developed across the investment trust sector as a
whole. The Company did not buy back any of its own shares for cancellation
during the year over and above the 82,000 disclosed in the last report. The
discount briefly reached 14.5% at the year end, though this has subsequently
narrowed again. The Board monitors the share buy back policy, and authorises
the Company to purchase its own shares for cancellation when it deems such
action to be in the best interests of shareholders.

'In summary, this has been a very disappointing year for the Company. Falling
markets, a high level of gearing, declining income and trading losses in the
subsidiary have all been damaging. Looking forward, it seems likely that there
will be more negative economic news for the market to absorb, as well as
further dislocation arising from the terrorist attacks. At some point the
market will look through these concerns, when we can expect a resumption of
more positive stock market conditions, from which the portfolio should then
benefit.'



Commenting on the outlook, Merrill Lynch Investment Managers Limited, noted:

'The short-term outlook for shares has been clouded by the devastating
terrorist attacks in the US, although central banks have acted swiftly to
support investor confidence, with interest rate cuts implemented in the US,
continental Europe and the UK.

'We do not anticipate a protracted global economic slowdown, however, and
expect to see signs of recovery emerge in the second and third quarters of
2002. In our view, weaker consumer confidence is likely to be balanced by
continuing action by the Central Banks and we believe that despite further
interest rate cuts in early November, there remains the potential for further
interest rate cuts in the US, continental Europe and the UK. We expect this
ultimately to be successful in bringing about an economic recovery, which may
now be more robust in nature than had previously been anticipated. In our
view, selected media shares may be among the first to benefit from this, as
advertising revenues typically recover quickly when economic circumstances
improve.

'We believe that the outlook for the UK economy is relatively benign. The
relative strength of domestic consumption, solid retail sales and buoyant
housing news continue to support a favourable outlook for UK shares.'



CONSOLIDATED REVENUE ACCOUNT
for the year ended 30 September 2001
                                                    Year ended      Year ended
                                                  30 September    30 September
                                                          2001            2000
                                                         £'000           £'000
                                                     (audited)       (audited)
Income (Note 4)                                          4,043           6,106
Investment management fees (Note 5)                       (233)           (375)
Operating expenses                                        (246)           (259)
                                                      ---------       ---------
Net return before finance costs and taxation             3,564           5,472

Finance costs                                             (761)           (761)
                                                      ---------       ---------
Return from ordinary activities before taxation          2,803           4,711

Taxation on ordinary activities                            (65)            (78)
                                                      ---------       ---------
Return on ordinary activities after taxation             2,738           4,633

Dividends in respect of non-equity shares                  (12)            (12)
                                                      ---------       ---------
Revenue attributable to equity shareholders              2,726           4,621

Dividends in respect of equity shares (Note 3)          (4,228)         (4,244)
                                                      ---------       ---------
Transfer (from)/to reserve                              (1,502)            377
                                                          =====           ====



TOTAL RETURN PER ORDINARY SHARE
for the year ended 30 September 2001
                                                           2001            2000
                                                      (audited)       (audited)
Earnings per ordinary share                              19.33p          32.42p
Capital return per share                               (368.54p)         16.07p
                                                    ------------      ---------
Total Return per ordinary share                        (349.21p)         48.49p
                                                         =======          =====
Dividends per ordinary share                             30.00p          30.00p
                                                        =======           =====



SUMMARISED CONSOLIDATED BALANCE SHEET
as at 30 September 2001
                                                    30 September   30 September
                                                            2001           2000
                                                           £'000          £'000
                                                       (audited)      (audited)
Fixed assets
Listed investments at market valuation                   148,573        207,258
Unlisted investments at directors' valuation                  89            201
                                                      ----------     ----------
                                                         148,662        207,459
Current assets
Investments of subsidiary undertaking                          -            140
Debtors                                                    5,248          1,406
Cash at bank                                               7,905          5,491
                                                      ----------     ----------
                                                          13,153          7,037

Creditors: amounts falling due within one year             6,282          4,641
                                                      ----------     ----------
Net current assets                                         6,871          2,396
                                                      ----------     ----------
Total assets less current liabilities                    155,533        209,855

Creditors: amounts falling due after one year             39,518         39,495
                                                      ----------     ----------
Net assets                                               116,015        170,360
                                                          ======         ======
Capital and reserves
Called-up share capital                                    7,297          7,338
Share premium                                              1,258          1,258
Other capital reserves                                   103,305        156,107
Revenue reserve                                            4,155          5,657
                                                      ----------     ----------
Total shareholders' funds                                116,015        170,360
                                                          ======         ======
Total shareholders' funds are attributable to:
Equity shareholders                                      115,765        170,110
Non-equity shareholders                                      250            250
                                                      ----------   ------------
                                                         116,015        170,360
                                                          ======        =======
Net asset value per ordinary share                       821.40p       1200.02p
                                                          ======        =======



CONSOLIDATED CASH FLOW STATEMENT
for the year ended 30 September 2001
                                                     Year ended    Year ended
                                                   30 September  30 September
                                                           2001          2000
                                                          £'000         £'000
                                                      (audited)     (audited)
Net cash flow from operating activities                   2,928         4,428
Net cash outflow from servicing of finance               (3,034)       (3,034)
Purchase of fixed asset investments                    (258,371)     (183,155)
Proceeds from the sale of fixed asset investments       265,990       186,420
Equity dividends paid                                    (4,228)       (4,286)
Purchase of ordinary shares                                (871)       (1,279)
                                                   ------------- -------------
Net cash inflow/(outflow)                                 2,414          (906)
                                                        =======        =======



RECONCILIATION OF NET RETURN BEFORE FINANCE COSTS AND TAXATION TO NET CASH
INFLOW FROM OPERATING ACTIVITIES
                                                               30          30
                                                        September   September
                                                             2001        2000
                                                            £'000       £'000
                                                        (audited)   (audited)
Net return before finance costs and taxation                3,564       5,472
Investment management and performance fees capitalised       (690)     (1,124)
Net purchases of investments by subsidiary undertaking       (248)        (40)
Decrease in accrued income                                    377         112
(Decrease)/increase in creditors                             (446)        108
Tax on investment income included within gross income         (17)          -
Loss/(profit) on investment dealing by subsidiary             388        (100)
undertaking                                               --------   ---------
                                                            2,928       4,428
Net cash inflow from operating activities                   =====       =====



Notes

 1. Principal activity

    The principal activity of the Company is that of an investment trust
    within the meaning of section 842 of the Income and Corporation Taxes Act
    1988.

 2. Basis of preparation

    The preliminary financial statements have been prepared under the
    historical cost convention, modified to include the revaluation of
    investments, and are in accordance with section 230 of, and schedule 4 to,
    the Companies Act 1985 and with applicable accounting standards and the
    Statement of Recommended Practice 'Financial Statements of Investment
    Trust Companies' ('SORP'), except for the treatment of the management fee,
    as detailed in the Annual Report.

 3. Dividend

    The preliminary results were approved by the Board on 12 November 2001.
    The Directors will recommend to shareholders at the Annual General Meeting
    to be held on 17 December 2001 a final dividend of 20.0p (2000: 20.0p) per
    ordinary share to be paid on 20 December 2001 to ordinary shareholders on
    the register of members at the close of business on 23 November 2001. The
    final dividend cost has been based on the number of shares in issue on 9
    November 2001.

4. Income

                                                                2001     2000
                                                               £'000    £'000
    Income from investments:
    Dividends:
    - UK listed                                                4,103    5,700
    - Overseas listed                                             73        3
    Interest bearing:
    - UK listed                                                   69        2
                                                             -------- --------

                                                               4,245    5,705
    Interest receivable and other income:                    -------- --------
    - Deposit interest
    - (Loss)/profit on investment dealing by subsidiary
    undertaking                                                  186      301
    - Unrealised loss on investment dealing by subsidiary       (388)     125
    undertaking                                                    -      (25)
                                                             -------- --------

                                                                (202)     401
    Total income                                             -------- --------
                                                               4,043    6,106  
                                                               =====    =====


 5. Investment management fee

                                           Revenue       Capital       Total

                                        2001    2000  2001    2000  2001    2000
                                       £'000   £'000 £'000   £'000 £'000   £'000

    Investment management fee            198     319   595     957   793   1,276
    Performance related fee on unquoted    -       -    (9)      -    (9)      -
    portfolio                             35      56   104     167   139     223
    Total irrecoverable VAT thereon     -----   ----- ----- ------- ----- ------
                                         233     375   690   1,124   923   1,499
    
                                         ===     ===   ===    ====  ====     ===


 6. Gearing ratio as a percentage of the Net Asset Value

                                                               30 September 2001
    Total borrowings                                                       34.1%
    Net borrowings (total borrowings, less dealt cash, i.e.                25.4%
    effective gearing)

 7. Publication of non-statutory accounts

    The financial information contained in this announcement does not
    constitute statutory accounts within the meaning of section 240 of the
    Companies Act 1985. The annual report and financial statements for the
    year ended 30 September 2001 will be filed with the Registrar of Companies
    in due course.

    The figures set out above have been reported upon with no qualification by
    the auditors. The comparative figures are extracts from the audited
    financial statements of Merrill Lynch UK Investment Trust plc for the year
    ended 30 September 2000, which have been filed with the Registrar of
    Companies. The report of the auditors on those accounts contained no
    qualification or statement under section 237 of the Companies Act.

 8. Copies of the annual report will be sent to members shortly and will be
    available from the registered office, c/o the Company Secretary, Merrill
    Lynch UK Investment Trust plc, 33 King William Street, London EC4R 9AS.
    This report will also be available on the Merrill Lynch Investment
    Managers website at www.mlim.co.uk/its.

 9. The Annual General Meeting of the Company will be held at 33 King William
    Street, London EC4 on Monday, 17 December 2001 at 11.00am.

    33 King William Street
    London EC4R 9AS