CGNU Sells Paladin Australia

CGNU PLC
13 July 2000


CGNU plc - SALE OF PALADIN AUSTRALIA INTEREST

Norwich Union Australia Limited, a wholly owned
subsidiary  of  CGNU  plc ('CGNU'), advised of the
proposed sale  of its 50.1% stake in a property fund
manager, Paladin Australia, to Deutsche Asset Management
(Australia) Limited.  Paladin's minority shareholders have 
also sold the remaining 49.9% stake to Deutsche Asset
Management.  The net assets of the business are not material 
in context of the CGNU Group.

CGNU  remains committed to the Australian market and will
continue to develop its general insurance and life business,
including the investment master trust business, Navigator.

Enquiries:

Analysts/investors
Steve  Riley, Investor Relations Director   [phone]

Media
Charles Watson, Financial Dynamics          [phone]