Director/PDMR Shareholding

TO:      Regulatory Information Service                                      
                                                                             
         PR Newswire                                                         
                                                                             
RE:      Paragraph 3.1.4 of the Disclosure and Transparency Rules            

The notifications listed below were received under Paragraph 3.1.2 of the
Disclosure and Transparency Rules.

Diageo plc (the "Company") announces that:

 1. the directors and Persons Discharging Managerial Responsibilities ("PDMR")
    shown below, together with other eligible employees, were today awarded
    ordinary shares of 28 101/108 pence ("Ordinary Shares") under the Diageo
    Share Incentive Plan (the "Plan"), an Inland Revenue approved plan operated
    by Diageo Group companies for the benefit of employees of the Company and
    its subsidiaries:
   
Name of Director               No. of Ordinary Shares                  
                                                                       
N C Rose                                       289                     
                                                                       
P S Walsh                                      289                     
                                                                       
Name of PDMR                                                           
                                                                       
S Fletcher                                     289                     
                                                                       
J Grover                                       289                     
                                                                       
A Morgan                                       289                     
                                                                       
G Williams                                     289                     

The Ordinary Shares were awarded at no cost to Plan participants
("Freeshares"), to a value based on a percentage of the participant's salary on
30 June 2008 and the Company's profits for the financial year ended 30 June
2008, subject to a maximum per Plan participant of £3,000 in value per tax
year. Freeshares are awarded annually and cannot normally be disposed of for a
period of three years after the award date.

 2. Mr G Williams, a PDMR, today acquired an interest in 77,294 ordinary shares
    in the form of a one-off award under the Company's Discretionary Incentive
    Plan ("DIP"), adopted on 9 November 1999.
   
There are performance conditions attached to the release of this award under
the DIP, and the award will vest, subject to achievement of the performance
conditions, in three equal instalments in September 2011, September 2012 and
September 2013.

As a result of the above, the directors' and PDMRs' interests in the Company's
Ordinary Shares (excluding options, awards under the Company's LTIPs and
interests as potential beneficiaries of Diageo group employee share trusts) are
as follows:

Name of Director                     No. of Ordinary Shares                  
                                                                             
N C Rose                                             435,712                 
                                                                             
P S Walsh                                            718,680                 
                                                                             
Name of PDMR                                                                 
                                                                             
S Fletcher                                           151,839                 
                                                                             
J Grover                                             196,283                 
                                                                             
A Morgan                                             176,547                 
                                                                             
G Williams                                           243,451*                

*of which 5,812 are held in the form of ADS.

1 ADS is the equivalent of 4 Ordinary Shares.

16 September 2008