Trading Statement

Capita Group PLC 20 December 2005 20 December 2005 Pre Close Period Trading Update The Capita Group Plc ('Capita') issues the following trading update prior to a conference call today with stockbrokers' analysts and entering a close period in respect of its preliminary results for the year to 31 December 2005. The preliminary results will be announced on 23 February 2006. Since the announcement of Capita's interim results in July 2005, trading has been very encouraging. We have continued to strengthen our market leading position in the growing Business Process Outsourcing and service transformation market. In the first half of 2005, we achieved good organic growth in turnover and profit, augmented by a number of small acquisitions in some new market segments which offer good growth potential. This progress has been maintained in the second half. We continue to leverage our scale by increasing the utilisation of our existing infrastructure and the volume of transactions processed, as well as maximising our purchasing power. These factors, together with a continued focus on reengineering our own business processes, will ensure we make further progress in widening our operating margins for the year as a whole. So far this year, apart from securing a stream of new and repeat business across our broad portfolio of businesses, we have announced £843 million of significant new contracts and contract extensions. Of particular note, in early December, we were recommended by Birmingham City Council, the UK's largest Local Authority, as preferred partner for a long term programme to improve service efficiency and quality. The Information and Communications Technology (ICT) transformation element of this partnership alone will amount to £424 million over 10 years. Further work is expected to be commissioned through the partnership to support the business transformation programme, which will increase the value of the relationship over the 10 year period. Additionally, on 15 September 2005, we announced that we had entered into detailed discussions with Zurich concerning a potential business relationship to deliver business processing activities to support the continuing growth of Zurich's UK Life operations. These discussions are progressing well and we expect to be able to make a further announcement about this relationship shortly. Current trading is strong and the results for 2005 will be pleasing. Moreover, many of the ingredients are already in place for a successful 2006 and we look forward to the New Year with considerable optimism. -Ends- For further information please contact: The Capita Group Plc +44 (0)20 7799 1525 Rod Aldridge, Executive Chairman Paul Pindar, Chief Executive Shona Nichols, Corporate Communications Director The Capita Press Office 0870 2400 488 The Capita Group Plc is the UK's leading provider of integrated professional support service solutions. The Group's service capabilities encompass customer services, financial services, human resource services, software services, systems and strategic support and property services delivered to both public sector and private organisations. With over 23,000 employees at more than 230 offices across the UK and Ireland, Capita is quoted on the London Stock Exchange (CPI.L), and is a constituent of the FTSE100 with revenues for 2004 of £1,285 million. Capita has secured a number of awards including Best BPO Services Provider 2004. Further information on The Capita Group Plc can be found at: www.capita.co.uk This information is provided by RNS The company news service from the London Stock Exchange

Companies

Capita (CPI)
UK 100

Latest directors dealings