Holding in Company

Diploma PLC
8 September 2000

LETTER TO:  COMPANY ANNOUNCEMENTS OFFICE

Consequent upon a sale in the market of 25,000 shares on the 07 September
2000, we now hold the following number of shares which are not subject to
a concert party and will be registered as follows:

Material Interest

HSBC Global Custody Nominee (UK) Ltd A/c    775245     100,000 
HSBC Global Custody Nominee (UK) Ltd A/c    754612     175,000
HSBC Global Custody Nominee (UK) Ltd A/c    766793      15,000
HSBC Global Custody Nominee (UK) Ltd A/c    360509      14,277
HSBC Global Custody Nominee (UK) Ltd A/c    866203       4,500
HSBC Global Custody Nominee (UK) Ltd A/c    357206     906,424
HSBC Global Custody Nominee (UK) Ltd A/c    747381      25,000

                                                     1,240,201     4.92%


Please note that this percentage is based on our understanding that your issued
share capital is 25,200,000.

From:  Legal & General