THE European Commission said last night it would invest 7.5 million ecus (Pounds 5.6 million) in a pilot scheme to encourage investment in small, technology-based companies. The I-Tec programme aims to tackle the insufficiency of private capital investment in technologically innovative small and medium-sized enterprises".

"These offer the prospect of technology-led growth that Europe needs to help reduce unemployment and raise competitiveness" a spokeswoman for the Commission said.