Interim Management Statement

GRESHAM HOUSE plc ("the Company")

Interim Management Statement for the three months ended 30 September 2008
(Unaudited)

Introduction
This Interim Management Statement ("the Statement") has been prepared solely to
provide information to meet the requirements of the UK Listing Authority's
Disclosure and Transparency Rules. The Statement covers the three month period
to 30 September 2008 together with relevant information up to the date of
publication.

Investment Objective
Gresham House plc is an authorised investment trust listed on the London Stock
Exchange. The Company's objective is to provide shareholders with long term
capital and income growth by a combination of investing primarily in UK equities
and high risk venture capital entities balanced by a significant industrial
property portfolio. The Company's policy, as approved by shareholders at the
annual general meeting held on 17 June 2008, is to realise the Group's entire
portfolios of both investments and property over a period of approximately five
years.

Material events and transactions
On 9 October 2008 the Company held a general meeting, requisitioned by the Rowe
Trust, at which resolutions were proposed that five directors be removed from
the Board and that a nominee of the Rowe Trust and two nominees of Parkwood
Property Investments LLP be appointed. The meeting was adjourned sine die.

In order to avoid any further conflict between major shareholders that could
only adversely affect the Company, at a subsequent meeting of the Board Mr A P
Stirling, Mr N J Rowe, Mr T J Rowe and Mr R E Lane tendered their resignations
which were duly accepted. At the same time Mr D Lucie-Smith, Mr J Lorimer and
Mrs R Chopin-John were appointed as Chief Executive Officer, Property Director
and non-executive director respectively. Mr A G Ebel was appointed non-executive
Chairman.

As at 30 September 2008 the value of the securities portfolio had declined by
approximately 16% since 30 June 2008 compared with a fall in the FTSE All Share
index of 13%.

The Company's interim results for the half-year ended 30 June 2008 were
announced on 28 August 2008.

The Directors are aware of the following significant events or transactions
which have occurred in the period from 1 July 2008 to the date of this Statement
that may have, or have had, a material impact on the financial position of the
Company or Group:-

  (i)  the continuing downturn in the values of both equities and commercial
       property; and
  (ii) the increase in vacant space within the property portfolio.

The Company has one class of share capital: ordinary shares of 25p each. As a
result of the exercise of options on 24 July 2008 under the Company's approved
share option scheme, the Company issued a further 5,000 ordinary shares
increasing the issued share capital of the Company to 4,881,880 ordinary shares
of 25p each, a figure that remains as at today's date.



Financial Information

Investments - Securities
                                                   30.09.08      30.06.08
                                                      £'000         £'000
Listed securities - on the London Stock Exchange      1,542         1,885
Listed securities - on overseas markets                  73           126
Securities dealt in under AIM                         8,407        10,372
Securities dealt in under PLUS Market                   304           307
Unlisted securities                                   1,457         1,657
                                                     ______        ______
TOTAL                                                11,783        14,347
                                                     ______        ______


Top Ten Investments at 30 September 2008
                                          Market        % of
                                           Value   portfolio
                                          £'000s

Hallin Marine Subsea International plc*    5,291        44.9
SpaceandPeople plc*                        1,175        10.0
Welsh Industrial Investment Trust plc‡       752         6.4
Portland plc*                                698         5.9
Wheelsure Holdings plc†                      280         2.4
PLUS Markets Group plc*                      257         2.2
Gizmo Packaging Limited#                     250         2.1
AudioGravity Holdings Limited#               228         1.9
Xceed Imaging Limited#                       200         1.7
British American Tobacco plc‡                177         1.5
                                          ______      ______
                                           9,308        79.0
                                          ______      ______
‡UK and Overseas Listed
* AIM Traded Securities
† PLUS-quoted Securities
# Unlisted Securities

Sector Analysis at 30 September 2008
                                            % of net
                                             assets
Engineering                                    53
Property investment                            12
Financial (including Investment Trusts)        11
Oil and Gas                                    6
Media and photography                          4
Automobiles                                    2
Information technology                         2
Pharmaceuticals                                2
Chemicals                                      1
Electrical                                     1
Electricity                                    1
Foods                                          1
Forestry and paper                             1
Mining                                         1
Miscellaneous                                  1
Tobacco                                        1
                                              ____
                                              100
                                              ____


Investment - Properties

Following a review in August 2008 for the purpose of the interim accounts, the
directors' valuation of the investment properties as at 30 September 2008
remained unchanged from the figure of £35.7 million. Rental income on the
property portfolio for the three months ended 30 September 2008 was £596,000.
This compares with rental income of £1.22 million and £2.34 million for the half-
year ended 30 June 2008 and year ended 31 December 2007 respectively. The amount
of vacant space has increased from 405,670 sq.ft. as at 31 December 2007 to
540,000 sq.ft. mainly as a result of a lease expiring on one of the larger units
at Deacon Trading Estate, Newton-le-Willows. Approximately 50,000 sq. ft. has
been re-let to the vacating tenant.

Investment properties are shown at fair value based on current use. External
valuations of these properties were carried out between 22 January 2008 and 1
February 2008 on the basis of Market Value in accordance with the Valuation
Standards of the Royal Institution of Chartered Surveyors. In the directors'
opinion there has been movement in value to 30 September 2008, as evidenced by
the provisions made in the interim results to 30 June 2008.



Comparative movements

                                30.06.2008  30.09.20008        %
                                                          change
Basic net asset value per
ordinary share                       783.7p  N/available
Share price (pence)                  435.0        285.0    -34.5
FTSE All Share index                2855.69      2483.67   -13.0


Further information on the Company and Group, including a copy of this
Statement, can be found at www.greshamhouse.com.


D Lucie-Smith
Chief Executive Officer

12 November, 2008