Transaction in Own Shares

Baronsmead VCT 2 PLC
02 February 2004


To:          RNS

Date:           2 February 2004

From:           Baronsmead VCT 2 plc


TRANSACTION IN OWN SECURITIES

The Board of Baronsmead VCT 2 plc announces that on 2 February 2004 the Company
purchased for cancellation 25,000 ordinary shares of 10p at a price of 88.75p
per share.

Following this purchase there are now 40,863,018 ordinary shares of 10p in
issue.

For further information please contact:

                Gary Fraser, ISIS Asset Management plc :     0131 465 1000



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