Rule 8 - HBOS

FORM 8.1/8.3

Lodge with a RIS or Newstrack, if appropriate, and the Takeover Panel. Use separate form for each
class of securities in which dealings have been made.

Date of Disclosure 27 August 2004

Date of Dealing 26 August 2004

Dealing in HBOS

(1)  Class of securities (eg ordinary shares) ORD GBP0.25

(2)  Amount         Amount sold          Price per unit
          0                  82                  6.8108
          0                 110                  6.8263
          0                 163                  6.8213
          0                 223                  6.8208
          0                 236                  6.8026
          0                 245                  6.8189
          0                 506                  6.8163
          0                 567                  6.7963
          0                 640                  6.8126
          0                 791                  6.8063
          0                 828                  6.8158
          0               2,427                  6.8013
          0               4,850                  6.7976
          0              19,479                  6.8375
          0              19,913                  6.8129
          0              25,067                  6.7914
          0              46,976                  6.7978
         80                   0                  6.8141
        108                   0                  6.8237
        172                   0                  6.8174
        188                   0                  6.8187
        193                   0                  6.8024
        217                   0                  6.8241
        257                   0                  6.8183
        374                   0                  6.8191
      1,188                   0                  6.7987
      2,497                   0                  6.8137
      2,702               5,404                  6.8115
      2,810               2,810                  6.8150
     14,631                   0                  6.8050
     17,103              17,103                  6.8125
     66,000                   0                  6.8121
     78,784              39,392                  6.8250
     95,402              32,644                  6.8500
    132,000             132,000                  6.8112

(3) Resultant total of the same class owned or controlled
     (and percentage of class)       149,828,783           (3.85 % )

(4)  Party making disclosure  Barclays PLC

(5) EITHER (a) Name of purchaser / vendor
           (b) if dealing for discretionary client(s), name of fund management organisation

               Barclays PLC

(6) Reason for disclosure (Note 2)
           (a) associate of (i) offeror (Note 3)        NO
                           (ii) offeree                 NO

Specify which category or categories of associate (1-8 overleaf)

           (b) Rule 8.3 (i.e disclosure because of ownership or control of 1% or more of the
               class of relevant securities dealt in)   YES

Signed for and on behalf of the party named in (4) above

Geoff Smith

Telephone and extension number

0207 699 2305