The annual management fee has been reduced from 0.55% to 0.47%. The £1bn UK Equity Alpha Fund aims to outperform - after deduction of costs - the FTSE All-Share Index by at least 2% per annum over rolling five-year periods, by investing in a small selection of exciting UK growth companies1.

In addition, the annual management fee on the Dublin UCITS Baillie Gifford Worldwide UK Equity Alpha Fund B class shares has been similarly reduced from 0.55% to 0.47%2.

The move marks the fifteenth occasion Baillie Gifford has reduced fees across one or more of its range of funds and investment trusts since 2013. The most recent fee reduction came earlier in September with the Baillie Gifford US Growth Trust.

James Budden, director of marketing and distribution at Baillie Gifford, said: “We strive to be as competitive on fees as possible. Providing value for money is especially important in relation to UK equities where so many options are available to investors.”