Director Shareholding

Scottish & Southern Energy PLC
26 July 2001


The Company announces the purchase of 163,145 ordinary shares of 50p each in
the Company at a price of 675p per share on 25 July 2001 by Bedell and Cristin
Trust Company Limited as trustee of the Scottish and Southern Energy Deferred
Bonus Plan ('the Trust').

Performance-related awards under the Plan were granted on 25 July 2001 to
senior staff including executive directors and (subject to the rules of the
Plan) be satisfied after 3 years using shares held by the Trust.  The share
awards to the executive directors were as follows: J A Forbes - 42,583 shares,
I D Marchant - 21,455 shares, D Sigsworth - 15,155 shares, J H Martin - 11,812
shares and C Hood - 11,118 shares.

Rewards obtained by participants in the Plan are dependant on performance by
individuals and by the Company which is measured in financial terms and by
other criteria including the Company's performance relative to a group of
comparator companies in certain key variables.

Each executive director will only receive from the Trust that number of shares
to which they are entitled under their award.  For Companies Act purposes,
however, the executive directors are technically regarded as having an
interest in all those shares held by the Trust.