Re Contract

Capita Group PLC 15 September 2003 15 September 2003 CAPITA WINS CONTRACT TO DELIVER EDUCATION MAINTENANCE ALLOWANCE The Capita Group Plc ('Capita') has been selected to manage the administration of the new Education Maintenance Allowance (EMA) by the Department for Education and Skills (DfES). The contract, signed today and valued at £48.4m over five years with an option to extend for a further one or two years, builds upon the Government's commitment to help young people have the opportunity to fulfil their educational potential. Announced in July 2002, EMA is an allowance payable to students between the ages of 16-19 to encourage attendance at school. As a result, students will get up to £30 a week, depending on parental income, with additional bonuses, worth up to £300 per year, for attendance and achievement. The scheme has been extensively piloted since 1999 and independent research has shown EMA has a powerful effect on participation rates and in reducing drop out. 'It is vital that young people are able to gain as much as possible from their educational opportunities,' commented Rod Aldridge, Executive Chairman of the Capita Group Plc. 'This scheme will encourage young people to continue learning and to attend classes regularly by providing and rewarding them with financial support. We are proud to have been chosen to play a part in this innovative scheme and to be extending the role we play in supporting the DfES.' Capita will be responsible for managing the service, which involves accepting and processing applications for the allowance from potential students. The agreement will ensure the delivery of initial services, including a helpline, in November 2003, with application/assessment services on stream by May 2004. The full service provision, inclusive of payment services, will then go live in September 2004. Ends For further information please contact: The Capita Press Office 0870 2400 488 The Capita Group Plc, is the UK's leading provider of integrated professional support service solutions. The Group's service capabilities encompass customer services, financial services, human resource services, software services, systems and strategic support and property services delivered to both public sector and private organisations. With over 17,000 employees at more than 200 offices across the UK, Capita is quoted on the London Stock Exchange (CPI.L) with forecasted revenues for 2003 of £1075 million. In April 2003 Capita was named Company of the Year in the Royal Bank of Scotland Sunday Times Business Awards. Capita has won Management Today's Most Admired Support Services Company Award in 2001 and 2002. Further information on The Capita Group can be found at: www.capita.co.uk This information is provided by RNS The company news service from the London Stock Exchange

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