Trading Update

Morgan Sindall PLC
14 December 2004



Morgan Sindall PLC
('Morgan Sindall' or the 'Group')


Pre-close Trading Update


The Board of Morgan Sindall today announces an update of trading for the year to
31 December 2004.  The Group's preliminary results will be announced on Tuesday
22 February 2005.


Trading

The Group continues to trade strongly with its markets remaining buoyant and
affordable housing showing exceptional growth.

Fit Out is in line with our expectations, further growing its share of the
steadily recovering office fit out market.  Its order book has strengthened from
£106m reported at the half year.

Construction has continued the transition towards longer-term frameworks and key
client contracts and is trading in line with our targets.  In particular, in the
second half of the year Bluestone has successfully delivered the first projects
under its Barnsley NHS LIFT framework, one of the four NHS LIFTs progressed
during this year.  As announced yesterday, Bluestone has acquired three
construction divisions from Benson Limited, strengthening its coverage in the
south of England.  The acquisition will not impact on the current year but for
2005 is expected to deliver a small contribution to operating profit.

Infrastructure Services has made good progress on its major projects during the
second half of the year albeit its workload will be down on 2003.  The market is
delivering signficant longer-term prospects and Morgan Est is currently bidding
a number of large contracts.

Affordable Housing is performing ahead of our expectations in delivering mixed
tenure and refurbishment solutions across the affordable housing sector.  We
anticipate continued double-digit growth in earnings, driven by the Decent Homes
and Sustainable Communities programmes and underpinned by key contracts and
sites secured during 2004.

The Group's order intake during the second half has been satisfactory and the
forward order book has increased 10% to £1.7bn, reflecting the Group's success
in securing a number of contracts including agreements with National Grid
Transco and Severn Trent Water, as previously announced.  In addition, cash
balances have been maintained during the second half and the Group will be a net
interest earner in the current year.


John Morgan, Chairman commented:

'This has been another excellent year.  I am delighted with the progress made
and look forward to reporting on this in more detail in our preliminary results
statement in February.'

                                                                14 December 2004

ENQUIRIES:

 Morgan Sindall plc                                      Tel: [phone]
 Paul Smith, Chief Executive
 David Mulligan, Finance Director

 College Hill                                            Tel: [phone]
 Kate Pope/Matthew Gregorowski



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