Trading Statement

Persimmon PLC
29 June 2004


                        TRADING UPDATE - 29TH JUNE 2004

Persimmon plc announce the following trading update ahead of its Interim Results
to 30th June 2004.

For the first half of the current year, we once again anticipate announcing
record profits for any six month period, which will be ahead of market
expectations and maintains the continuing growth of our business. As expected,
we will have legally completed c.6,000 units in the half year, representing an
increase in volumes of c.8%, with further margin improvement. Average selling
prices have increased by c.10% to c.£170,000.

The underlying increase in average selling prices of new homes continues to be
well below the reported level of increase for all housing transactions as
published by the Halifax and Nationwide Building Society surveys. In our view
this reflects the sustainability of new house prices and illustrates the
competitiveness of the new housing market. This also supports the continuing
affordability of new homes, despite the backdrop of a rising interest rate
environment. For example, the average selling price of our new homes in the
North is currently c.£150,000. Indeed we continue to sell a significant number
of homes at lower prices than this across the whole of the UK and since the
beginning of this year have sold c.40% at prices less than £150,000.

Currently we have a record order book with total sales for 2004 of c.10,400
homes, with a total sales value of c.£1.8 billion which is an increase of c. 28%
over the previous year's comparitive. This includes total sales of c.860 units
for the current year (2003 - 670) in our Charles Church premium brand business.

As a result of the strong forward sales in the first few months of the year, as
demonstrated by the strength of our order book, we anticipate lower volumes of
sales on a comparative basis during the summer months with prices remaining
stable. However, we continue to operate from c.10% more outlets than last year
and we expect the usual seasonal upturn during the autumn given the continued
under supply of new homes and, as already mentioned, the competitive pricing
advantage of new housing in terms of affordability. We therefore remain well
positioned and are confident of achieving our planned growth targets.

During the last few months we have continued to apply stringent hurdle rates to
our land buying activities. Whilst our landbank has increased to c.60,000 plots
this has been mainly due to the acquisition of larger sites, such as the
recently announced Birmingham and Colchester transactions, where there is better
value, as well as through continuing success with our strategic land portfolio.

We expect gearing at 30th June 2004 to be c.25% (2003: 37%).

Further details will be confirmed with the announcement of our Results to 30th
June 2004, which will be reported on Tuesday 24th August 2004.

                                     -ENDS-

For further information, please contact:

Persimmon plc                                 Finsbury Group

John White, Group Chief Executive             Edward Orlebar/ Faeth Birch
Mike Killoran, Group Finance Director         Tel: [phone]
Tel: [phone]

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