For years, many advisers have viewed the Enterprise Investment Scheme (EIS) mainly as a tax mitigation tool. While those benefits remain strong, focusing only on tax overlooks the shift taking place in the underlying asset class.
As we approach 2026, the focus is moving from simply accessing private markets to targeting specific growth drivers, with Knowledge Intensive (KI) EIS evolving from a niche option into a core portfolio component.
Defining the difference: Standard vs Knowledge Intensive
For those unfamiliar, it’s important to distinguish between the two main EIS structures. A Standard EIS offers broad exposure to a range of trading companies and is well suited for general diversification.
A Knowledge Intensive (KI) EIS targets companies developing their own intellectual property and meeting HMRC R&D criteria, focusing on growth through innovation rather than replication. It offers investors access to high-growth sectors like Deep Tech, Life Sciences, and CleanTech, while retaining standard EIS tax benefits.