Transaction in Own Shares

Lancashire Holdings Limited
05 December 2007


5th December 2007

                            Lancashire Holdings Ltd

                    Purchase of own shares for cancellation


Lancashire Holdings Ltd announces that on 5 December 2007 it purchased for
cancellation 103,000 ordinary shares at a price of 348.058252 pence per share
through Merrill Lynch International.


                      This information is provided by RNS
            The company news service from the London Stock Exchange            LDFALEIID