Director Shareholding

BT Group PLC
13 August 2004


                                  SCHEDULE 11

          NOTIFICATION OF INTERESTS OF DIRECTORS AND CONNECTED PERSONS


1) Name of company

BT Group plc

     
2) Name of Director

Paul Reynolds


3) Please state whether notification indicates that it is in respect of holding
of the shareholder name in 2 above or in respect of a non-beneficial interest or
in the case of an individual holder if it is a holding of that person's spouse
or children under the age of 18 or in respect of a non-beneficial interest.

Director in 2) above


4) Name of the registered holder(s) and, if more than one holder, the number of
shares held by each of them (if notified)

Halifax Corporate Trustees Limited (as Trustee of the BT Group Employee Share
Investment Plan).


5) Please state whether notification relates to a person(s) connected with the
Director named in 2 above and identify the connected person(s)

n/a


6) Please state the nature of the transaction. For PEP transactions please
indicated whether general/single co PEP and if discretionary/non discretionary

Monthly purchase of shares under the terms of the BT Group Employee Share
Investment Plan.

7) Number of shares/amount of stock acquired:

Purchase of 70 shares at 179.25p per share.


8) Percentage of issued class

n/a


9) Number of shares/amount of stock disposed

n/a


10) Percentage of issued class

n/a


11) Class of security

Ordinary shares of 5p each


12) Price per share

179.25p


13)    Date of transaction

13 August 2004


14) Date Company informed

13 August 2004


15) Total holding following this notification

Paul Reynolds:


1. 67,278 ordinary shares - personal holding;
2. 137,877 ordinary shares under the BT Group Incentive Share Plan;
3. 199,095 ordinary shares under BT Group Deferred Bonus Plan;
4. An option over 4,555 ordinary shares under the BT Group Employee Sharesave
   Scheme;
5. Options over 1,769,624 ordinary shares under BT Group Global Share Option
   Plan.


16) Total percentage holding of issued class following this notification

n/a


If a director has been granted options by the company please complete the
following boxes


17) Date of grant

n/a


18) Period during which or date on which exercisable

n/a


19) Total amount paid (if any) for grant of the option

n/a


20) Description of shares or debentures involved: class, number

n/a


21) Exercise price (if fixed at time of grant) or indication that price is to be
fixed at time of exercise

n/a


22)    Total number of shares or debentures over which options held following
this notification

n/a


23) Any additional information

The above named Director has a technical interest, as at 13 August 2004 under
Schedule 13 of the Companies Act as follows:

   • A technical interest, together with all employees of BT Group plc in
     64,489 Ordinary Shares held by the Trustee of the BT Group Employee Share
     Investment Plan, Halifax Corporate Trustees Limited;
   • A technical interest, together with all employees of BT Group plc in
     28,839,639 Ordinary Shares held by Ilford Trustees (Jersey) Limited in
     respect of contingent awards under executive share plans;



24) Name of contact and telephone number for queries

John Challis, 020 7356 4086


25) Name of signature or authorised company official responsible for making this
notification

John Challis


Date of Notification: 13 August 2004


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