Final B Share Redemption and B Share Continuing...

United Utilities Group PLC                           

     Final Stage in the Return of Capital of Approximately £1.5 billion to     
                                 Shareholders                                  

           Final B Share Redemption and B Share Continuing Dividend            

                                                                  14 April 2009

Pursuant to the scheme of arrangement detailed in the circular sent by United
Utilities PLC ("United Utilities") to its shareholders dated 6 June 2008,
approved by its shareholders on 1 July 2008, and sanctioned by the High Court
of Justice on 24 July 2008, one B Share in United Utilities Group PLC (the "
Company") was issued to each shareholder for every ordinary share in United
Utilities held by that shareholder. As at the close of the election period,
being 4:30 p.m. on 8 August 2008, valid elections to accept the Final B Share
Redemption were made in relation to 9,838,305 B Shares. 14 April 2009 is the
date of the Final B Share Redemption, pursuant to which £1.70 per B Share will
be returned to the holders of those B Shares in relation to which relevant
elections were made, and which will thereafter be cancelled accordingly.

The B Shares that are the subject of the Final B Share Redemption also carry
the right to the B Share Continuing Dividend which has, in accordance with the
Company's articles of association, been calculated at the annual rate of
4.516875% for the interest period from 11 August 2008 to 14 April 2009, and
which amounts to £0.05175225 per B Share. In respect of each holding of B
Shares, the aggregate B Share Continuing Dividend entitlement is rounded down
to the nearest whole penny as provided in the Company's articles of
association. Cheques for the B Share Continuing Dividend will be despatched to
registered shareholders (or payments will be made to registered shareholders'
mandated bank accounts, as applicable), on 20 April 2009.

For Further Information

Equiniti Limited, United Utilities' registrars    0871 384 2898/[phone]    
                                                  0259                         
                                                                               
Rob Hughes, Investor Relations Manager, United    [phone]          
Utilities                                                                      
                                                                               
Jane Gilmore, Deputy Company Secretary, United    [phone]          
Utilities                                                                      

Notes

 1. Terms used but not defined in this announcement have the meanings given to
    them in the scheme circular sent by United Utilities to its shareholders
    dated 6 June 2008.
   
 2. No United Utilities Group B Shares have been marketed to, nor are any
    available for purchase by, the public in the United Kingdom or elsewhere in
    connection with the Admission. This announcement does not constitute an
    offer or form part of any offer or invitation to purchase, subscribe for,
    sell or issue, or a solicitation of any offer to purchase, subscribe for,
    sell or issue United Utilities Group Ordinary Shares, B Shares or any other
    securities in United Utilities or United Utilities Group. This announcement
    does not constitute a prospectus equivalent document.
   
 3. Overseas Shareholders may be affected by the laws of other jurisdictions in
    relation to the Proposals or the distribution of this announcement. Persons
    into whose possession this announcement comes should inform themselves
    about and observe any applicable restrictions and legal, exchange control
    or regulatory requirements in relation to the Proposals, the distribution
    of this announcement and the Prospectus. Any failure to comply with such
    restrictions or requirements may constitute a violation of the securities
    laws of any such jurisdiction.
   
INFORMATION FOR US SHAREHOLDERS

 4. Neither the United Utilities Group Ordinary Shares nor the B Shares will
    be, and are not required to be, registered with the US Securities and
    Exchange Commission under the US Securities Act of 1933, as amended, in
    reliance of the exemption from registration provided by Section 3(a)(10)
    thereof. Neither the SEC nor any other US federal or state securities
    commission or regulatory authority has approved or disapproved the United
    Utilities Group Ordinary Shares or the B Shares or passed an opinion on the
    adequacy of this announcement. Any representation to the contrary is a
    criminal offence in the United States.
   
This announcement is not an offer of securities for sale in the United States.
Neither the United Utilities Group Ordinary Shares nor the B Shares to be
issued to Shareholders in connection with the Scheme have been, will be, nor
are required to be, registered with the SEC under the US Securities Act, in
reliance upon the exemption from the registration requirements of the US
Securities Act provided by Section 3(a)(10) of that act. For the purpose of
qualifying for the exemption from the registration requirements of the US
Securities Act provided by Section 3(a)(10) of that act with respect to the
United Utilities Group Ordinary Shares and the B Shares issued pursuant to the
Scheme, United Utilities will advise the Court that it will rely on Section 3
(a)(10) exemption based on the Court's sanctioning of the Scheme, which will be
relied upon by United Utilities as an approval of the Scheme following a
hearing on its fairness to Shareholders at which hearing all such Shareholders
will be entitled to attend in person or through counsel to support or oppose
the sanctioning of the Scheme and with respect to which notification has been
or will be given to all such Shareholders.

 5. United Utilities PLC has received advice in relation to the Proposals from
    Deutsche Bank AG, London Branch and JPMorgan Cazenove Limited. Deutsche
    Bank, which is authorised under German Banking Law (competent authority:
    BaFin-Federal Financial Supervising Authority) and with respect to UK
    commodity derivatives business by the Financial Services Authority and
    regulated by the Financial Services Authority for the conduct of UK
    business and JPMorgan Cazenove, which is authorised and regulated by the
    Financial Services Authority in the United Kingdom, are jointly acting as
    sponsors and financial advisers for United Utilities and United Utilities
    Group and no-one else in connection with the Proposals and will not be
    responsible to anyone other than United Utilities and United Utilities
    Group for providing protections afforded to clients of Deutsche Bank and
    JPMorgan Cazenove respectively or providing advice in relation to the
    Proposals or any other matters described in this announcement.
   
TP090820127

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