Substantial shareholding

Montanaro UK Smlr Cos Inv Tst PLC
28 June 2000

Montanaro UK Smaller Companies Investment Trust plc - Holding in Company

The Company has yesterday been informed, under Section 203 of the Companies
Act (1985), that as the result of the sale of 785,000 ordinary 10p shares on
23 June 2000,Cornhill Insurance PLC are now interested in 415,000 ordinary 10p
shares.

As a result of this transaction the aggregate holding of Allianz (UK) Limited
is 3,425,944, representing 8.543% of the Company's issued share capital 
(previously 10.501%).

Allianz (UK) Limited's aggregate holding is composed of two parts: 415,000
(1.035%) by Cornhill Insurance PLC and 3,010,944 shares (7.508%) by Merchant
Investors Assurance Limited.These shares are held through Bank of New York
Nominees Ltd.