Press reaction

Millfield Group PLC
09 January 2006



Millfield Group Plc ("Millfield" or the "Company")
Statement re. Press Comment


Paul Tebbutt, CEO, Millfield, comments "The board of Millfield notes recent
press comment concerning its capital adequacy requirements.  As reported in the
Interim Results on 1 December 2005, the group's regulated companies reported a
surplus on all regulatory capital adequacy requirements imposed by the Financial
Services Authority until 30 September 2005, but expected a shortfall in the 4Q
2005.


The directors reported a shortfall of capital adequacy test 2 to the FSA of
£0.8m at the end of November and expects the shortfall to be £1.5m when the
December FSA return is finalised. The group has large surpluses on FSA capital
adequacy tests 1 and 1a. Group cash balances at end November amounted to £8.1m.
The board is implementing further measures to strengthen the group balance sheet
and is confident that it will eliminate the shortfall on test 2 in due course".



For further information:



Paul Tebbutt, Millfield - 07958 992812
Mark Llewellyn-Slade, Llewellyn-Slade PR - 07770 380647



9 January 2006


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