Enterprise Investment Schemes (EIS) have been back in the spotlight recently after chancellor Philip Hammond announced some changes in his Autumn Budget in November.

The tax advantages of EIS are well known and have long been part of the appeal for UK investors.

Typically, EIS is suitable for more sophisticated investors, as the types of businesses EIS invests in can be high risk.

As Jonothan McColgan, chartered financial planner at Combined Financial Strategies, asks: "There’s got to be risk; if there’s no risk why should they [the government] give tax back?"

But there is growing interest in EIS as advisers' clients seek new ways to plan for retirement.

John Glencross, chief executive of Calculus Capital, points out: “There’s a growing awareness and interest in EIS from a range of investors and intermediaries.

"In part this comes from pensions restrictions, which have meant that EIS has become a much more common part of the financial planning conversation for higher earners."

He believes EIS has begun to shed its image as a highly specialist or niche investment.

In this guide, we explore what is driving the increased interest in EIS, and how accessible these types of investments are.

It will also explain how to navigate the changes to EIS that came out of the Patient Capital Review, as well as the difference between EIS and Seed EIS.

This guide qualifies for an indicative 60 minutes' worth of CPD.

Contributors to this guide include: Mark Brownridge, director general of the EIS Association; Jonothan McColgan, chartered financial planner at Combined Financial Strategies; Charles Owen, director at CoInvestor; Dr Ilian Iliev, managing director at EcoMachines Ventures; Hugi Clarke, director at Foresight Group; John Glencross, chief executive of Calculus Capital; Bruce Macfarlane, managing partner at MMC Ventures; Mary Tierney, tax director at Bennett Brooks; Simon Ruthers, director, business development at Oxford Capital; Tim Smith, tax partner at RSM UK

eleanor.duncan@ft.com