Issue of Equity

Royal Bank of Scotland Group PLC
26 May 2006


THE ROYAL BANK OF SCOTLAND GROUP PLC

COMPLETES US$ 675 MILLION PREFERENCE SHARE ISSUE

26th May 2006

The Royal Bank of Scotland Group plc ('the Group') has completed the issue of
27,000,000 Category II Non-cumulative Dollar Preference Shares designated Series
Q ('the Series Q Dollar Preference Shares'). The proceeds of the issue of the
Series Q Dollar Preference Shares, after deducting underwriting commissions,
amount to approximately US$654,000,000. Application has been made for the Series
Q Dollar Preference Shares to be listed on the New York Stock Exchange.

The Group was advised in connection with the issue by Citigroup Global Markets
Inc. and RBS Greenwich Capital, who are also acting with Merrill Lynch & Co,
Morgan Stanley, UBS Securities LLC, and Wachovia Securities as managers.

This announcement shall not constitute an offer to sell or the solicitation of
an offer to buy, nor shall there be any sale of the Series Q Dollar Preference
Shares in any State of the US in which such offer, solicitation or sale would be
unlawful prior to the registration or qualification under the securities laws of
any such State. Further, no Series Q Dollar Preference Shares will be offered to
the public in the UK.

For further information, please contact:

The Royal Bank of Scotland Group plc
Guy Whittaker                                         Ron Huggett
Group Finance Director                                Director Capital Management
Executive House G                                     280 Bishopsgate
RBS Gogarburn                                         London
PO Box 1000                                           EC2M 4RB
Edinburgh                                             Tel: [phone]
EH12 1HQ
Tel: [phone]

Citigroup Global Markets Ltd

Alan Patterson
Managing Director
Citigroup Global Markets Limited
33 Canada Square
Canary Wharf
London
E14 5LB
Tel: [phone]


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