Transaction in Own Shares

BT Group PLC
18 February 2004


Wednesday, 18 February 2004

                                  BT GROUP PLC

                           TRANSACTION IN OWN SHARES

BT Group plc announces that it has today purchased through Merrill Lynch
International 1,200,000 ordinary shares at a price of 175.5 pence per share. The
purchased shares will all be held as treasury shares.

Following the above purchase, BT Group plc holds 3,700,000 ordinary shares as
treasury shares. The total number of ordinary shares in issue (excluding shares
held as treasury shares) is 8,630,929,038.

Ends


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