9 Months New Business Results

LEGAL & GENERAL GROUP PLC
13 October 1999

                   Legal & General Group Plc
          New business - nine months to 30 September 1999
                         Record growth

                            

                              Nine months    
                              to 30.9.99+    
                                        
                                                                 
Total EPI*                    £463.8m  + 22.0%   
(worldwide)
UK total EPI*                 £402.0m  + 18.3%  
UK individual EPI*            £339.3m  + 18.8%  
                                                                 
New pension fund
business                      £ 9.1bn  + 31.4%  

                                
+ The percentage shown is the growth over the equivalent period in 1998.
* EPI - new equivalent premium income, which comprises annual
        premiums + 10% of single premiums.



Group Chief Executive, David Prosser, said: 'This is another excellent set
of new business results, setting records for the third quarter and for the
year to date.

'New long-term savings and protection premiums amounted to £2.5bn in the
nine months to 30 September 1999.  A record figure has also been achieved
by our investment management business with £9.1bn of new funds placed by
pension fund trustees.

'It is particularly pleasing to see increasing support from independent 
financial advisers.  In the first nine months of the year, individual new
business from this source increased by 30.5% over the same period last
year.

'These figures underline the success of our strategy of providing a broad
range of value for money products and position us well for continued 
growth in the new millennium.'




UK Business
===========

Individual life and pensions
----------------------------
In the third quarter, Legal & General achieved growth in new EPI of 33.4%
over the same period last year.  Total new business for the first nine
months amounted to £251.0m EPI (to 30.9.98:£203.0m), an increase of 23.6%.
These achievements reflect our product and distribution initiatives and
the continued resilience of Legal & General's strategy.

Life

Building on its leading position in the business partnerships sector,
Legal & General has focused particular effort on IFAs active in the
housing market.  The success of these efforts is demonstrated by the 
growth of life annual premium sales, which rose by 55.7% to £38.3m in the
third quarter (July to September 1998:£24.6m).  Over the first nine 
months of 1999 new annual premiums increased by 42.5% to £91.9m 
(to 30.9.98:£64.5m).  Single premium bond sales have also increased very
strongly in the third quarter of 1999.  Growth of 54.3% benefited from 
enhanced products, which were launched on our new core computer systems in
August.  These systems provide enhanced product flexibility and are 
delivering significant improvements in productivity and efficiency.

Pensions

Legal & General is positioned to take full advantage of the forthcoming 
introduction of Stakeholder Pensions.  This has benefited us in the 
pre-Stakeholder group personal pensions market, where strong new business 
growth has been a major contributor to the 10.7% EPI growth achieved in 
the third quarter of 1999.


Unit trusts and PEPs/ISAs
-------------------------
From a slow start in the second quarter of 1999, sales of single payment 
ISAs increased from £39.8m to £69.7m in the third quarter.  
This - together with increased institutional unit trust sales - produced
a 62.6% increase in EPI over the third quarter of 1998.


Distribution
------------
Multi-channel distribution continues to be a key component in Legal & 
General's growth strategy.  In the year to date, sales from our controlled
sales channels - business partnerships and financial consultancy - grew by 
15.8%.  Growth continued to be strongest in our IFA channel, with sales in
the first nine months increasing 30.5% over the corresponding period last
year.


Group life and pensions
-----------------------
New group pensions, life and permanent health business over the first nine
months totalled £62.7m EPI - an increase of 15.3% (to 30.9.98:£54.4m) - 
benefiting from significant volumes of bulk purchase annuity business won 
in the earlier part of the year.  Bulk purchase annuity business is very 
variable in size and frequency resulting in a fall of 25.1% in group new 
business to £16.1m in the third quarter (July to September to 1998:
£21.5m).


Investment management
---------------------
The success and scale of our investment management business remains a key
differentiator for Legal & General.  During the third quarter,new 
investment management business of £3.1bn was secured from UK pension funds
- an increase of 67.8% over the corresponding period last year.  New 
external funds gained during the year to date now total £9.1bn (to 30.9.98
:£7bn), building on the momentum of 1998 and maintaining Legal & General
Investment Management's pre-eminent position as a provider of pooled index
funds for company pension schemes.

International life and pensions
-------------------------------
In the USA, there has again been an extremely strong growth in new 
premiums as our business continues to develop its market position as a 
major writer of term assurance for high net worth individuals.  New 
policies issued over the year to date have increased four-fold.  Over the 
first nine months of the year, EPI, which is almost entirely annual 
premium business, grew by 85% to $72.9m (to 30.9.98: $39.4m).

In France, there was a 4.2% increase in new business volumes for the year
to date of FFr112.8m EPI (to 30.9.98: FFr 108.3m).
Sales in the Netherlands increased by 18.7% to DFl 22.2m (to 30.9.98:
DFl 18.7m), with particularly strong growth in annual premium sales
following the successful launch of a new universal life product.


For further information contact:

Investors:  Peter Horsman                Media:  Graham Rimmer
            Investor Relations Manager           Chief Press Officer
            0171 528 6362                        0171 528 6252


                                                 Anthony Carlisle
                                                 Citigate, Dewe Rogerson
                                                 0171 638 9571



                     LEGAL & GENERAL GROUP PLC
                  UNAUDITED NEW BUSINESS PREMIUMS
                     YEAR TO 30 SEPTEMBER 1999

NEW UK BUSINESS
===============

                                  Nine months to        Three months to
                                  30 September          30 September
                                1999   1998   inc/    1999   1998   inc/
                                              (dec)                (dec)
                                 £m     £m      %      £m     £m      %

INDIVIDUAL LIFE AND
PENSIONS BUSINESS

New annual premiums
Life:
 - Mortgage related             77.8   49.0           33.1   18.9
 - Savings                       1.5    1.6            0.5    0.5
 - Protection                   12.6   13.9            4.7    5.2
Pensions:
 - Individual pensions          57.9   59.5           17.9   18.7
                             ------- ------  -----  ------ ------  ----- 
Total new annual premiums      149.8  124.0   20.8    56.2   43.3   29.8

Single premiums
Life:
 - With profits                342.1  198.1          109.5   65.6
 - Other                       150.0  122.1           62.7   46.0
Pensions:
 - Individual pensions         221.1  210.2           85.6   72.6
 - Annuities - individual      211.4  249.7           74.4   82.5
 - DSS rebates                  87.6   10.3           43.9    3.5
                             ------- ------  -----  ------ ------  -----
Total single premiums        1,012.2  790.4   28.1   376.1  270.2   39.2


Individual life              ------- ------  -----  ------ ------  -----
and pensions EPI               251.0  203.0   23.6    93.8   70.3   33.4
                          
GROUP LIFE AND
PENSIONS BUSINESS

New annual premiums
 - Group risk                   18.2   15.2            7.9    4.7
 - Group pensions                5.4   10.9            1.8    6.5
                             ------- ------  -----  ------ ------  -----
Total new annual premiums       23.6   26.1   (9.6)    9.7   11.2  (13.4)

Single premiums
 - Annuities - 
   bulk purchase               338.1  211.8           41.1   84.8
 - Other group business         52.6   71.0           22.5   18.3
                             ------- ------  -----  ------ ------  -----
Total single premiums          390.7  282.8   38.2    63.6  103.1  (38.3)


Group life                   ------- ------  -----  ------ ------  -----
and pensions EPI                62.7   54.4   15.3    16.1   21.5  (25.1)


UNIT TRUSTS, PEPS AND ISAS
New annual premiums
 - PEPs/ISAs 
   (excluding cash ISAs)        11.8   15.1            7.9    4.9

Single premiums
 - Unit trusts                 210.0  120.5           86.0   40.5
 - PEPs/ISAs 
   (excluding cash ISAs)       555.1  553.5           87.4   65.9

                             ------- ------  -----  ------ ------  -----
Unit trusts/PEPs/ISAs EPI       88.3   82.5    7.0    25.2   15.5   62.6


                             ------- ------  -----  ------ ------  ----- 
Total UK EPI                   402.0  339.9   18.3   135.1  107.3   25.9
                             ======= ======  =====  ====== ======  ===== 


                             ------- ------  -----  ------ ------  -----
PENSION FUND MANAGEMENT        9,148  6,962   31.4   3,144  1,874   67.8
                             ======= ======  =====  ====== ======  =====    



                         LEGAL & GENERAL GROUP PLC
                      UNAUDITED NEW BUSINESS PREMIUMS
                         YEAR TO 30 SEPTEMBER 1999



NEW BUSINESS FROM
CONTINUING OPERATIONS

                              Nine months to         Nine months to
                              30 September 1999      30 September 1998
                              Annual     Single        Annual    Single
                                £m         £m            £m        £m
LIFE AND PENSIONS
Life                           110.1     492.1           79.7     320.2
Pensions                        63.3     910.8           70.4     753.0
                             -------  --------        -------  --------
UK                             173.4   1,402.9          150.1   1,073.2
USA                             44.1       0.6           22.8       4.1
France                           4.0      46.3            4.3      47.0
Netherlands                      3.9      26.5            3.2      25.8
                             -------  --------        -------  --------
INSURANCE TOTAL                225.4   1,476.3          180.4   1,150.1

RETAIL INVESTMENT BUSINESS

UK                              11.8     765.1           15.1     674.0
France                                    24.5                     23.9
                             -------  --------        -------  -------- 
TOTAL NEW BUSINESS             237.2   2,265.9          195.5   1,848.0
                             =======  ========        =======  ========
    

OVERSEAS OPERATIONS
IN LOCAL CURRENCY


                                 Nine months to
                                 30 September          inc/(dec)
                                
                                1999      1998            %
USA ($m):
New annual premiums             72.8      38.7
Single premiums                  1.0       6.9
                               
EPI                             72.9      39.4           85.0

France (F.Fr.m):
New annual premiums             41.0      40.7
Single premiums                469.8     448.0
Unit trusts                    248.6     227.9

EPI                            112.8     108.3            4.2

Netherlands (D.Fl.m):
New annual premiums             13.2      10.4
Single premiums                 90.3      82.6

EPI                             22.2      18.7           18.7


UK INDIVIDUAL EPI BY CHANNEL

                                   Nine months to 30 September 1999
                               Annual  Single (10%)        Total EPI
                                 £m       £m             £m          %
Independent financial
  advisers                      79.4     113.4          192.8      56.8
Business partners               42.5       9.4           51.9      15.3
Financial consultancy           26.9      14.5           41.4      12.2
Direct                          12.8      40.4           53.2      15.7
                              ------    ------         ------    ------ 
Total                          161.6     177.7          339.3     100.0
                              ======    ======         ======    ======


                                  Nine months to 30 September 1998 
                              Annual  Single (10%)         Total EPI
                                £m         £m            £m          %
Independent financial
  advisers                      59.2      88.5          147.7      51.7
Business partners               35.4       5.9           41.3      14.5
Financial consultancy           28.9      10.4           39.3      13.8
Direct                          15.6      41.6           57.2      20.0
                              ------    ------         ------    ------
Total                          139.1     146.4          285.5     100.0
                              ======    ======         ======    ======