A UK investment trust is rushing to cut back its commitments to private equity funds by more than 40%, becoming the latest over-committed investor to reduce its investment in the sector to stabilise its future.

Standard Life European Private Equity Trust said in a trading statement this morning that it has reduced its commitments to private equity funds by £105.8m (€114.7m), or 23%, this year by selling interests in nine private equity funds and capping its exposure to buyout firm Permira's fourth fund.