Pre-close trading update

Datacash Group PLC
11 January 2005


                DataCash Group Plc ('DataCash' or 'the Company')

                            PRE-CLOSE TRADING UPDATE


The Directors of DataCash Group Plc, the AIM listed payments service provider,
are pleased to announce a pre-close trading statement to highlight its successes
and growth strategy through 2004.

This has been another encouraging year consolidating DataCash's position as the
UK's leading bank independent payment-service-provider.

   •The Company achieved pre-tax profits (pre-goodwill amortisation) for 2004
    in line with market expectations.

   •DataCash ended the year with more than £3m in net cash, compared to
    £1.55m at 31 December 2003.

   •Transaction volumes grew strongly throughout the year, driven by the
    addition of blue-chip clients, the continued growth of its existing
    customers' business as a result of the growing acceptance of
    Card-Holder-Not-Present retailing, and the impact of Broadband upon the
    e-tailing experience.

   •The Company continues to develop new 'value add' services, in partnership
    with leading suppliers. DataCash now offers merchants stored value services
    that support loyalty, gift and promotional schemes. It has also reached
    agreement with BT to integrate and offer its age and identity verification
    services to our clients.

   •The Company continues to explore opportunities with its partners in the
    "cardholder present" retail market. It is clear that many retailers in the
    Company's target market are still considering their strategy, and are
    approaching the issue of the new technology with caution in view of the
    investment required. However we are confident the opportunity generated
    through the introduction of "Chip and Pin" remains intact.

   •The prospects for 2005 are good, with further strong growth expected from
    the core business. The appointment of Terry Cave as Chief Executive in the
    summer has led to a number of new opportunities with large systems
    integrators and new channel partners. 2005 will see further investment in
    people and system development with the aim of accelerating the Company's
    growth in the future and further consolidating its market position.

   •The Company expects to report final figures in early April.


                                  ** ENDS * *


Contacts:

   •Terry Cave/Keith Butcher              DataCash       Tel: [phone]
   •Cliff Feltham/Isabel Crossley         St Brides      Tel: [phone]


Note to editors:

   •DataCash provides secure electronic payment and fraud management
    solutions to companies that process orders for goods and services over the
    Internet, call centres, interactive TV or from high street point of sale.

   •DataCash's payment solutions allow merchants to accept a wide range of
    payment options, from credit cards and direct debits, to emerging payment
    types.

   •DataCash's reporting and management tools help automate the flow of
    complex payment processes, such as recurring billing, chargeback workflow
    and payment reconciliation.

   •DataCash partners with and connects to an ever-expanding network of
    payment processors and payment service providers to offer merchants a single
    source solution.



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