Holding(s) in Company

IQE PLC
28 March 2006


                            IQE plc (the 'Company')

                              Holding in Company


The Company was informed on 27 March 2006 by Gartmore Investment Management plc
that, following the sale of 2,600,000 ordinary shares of 1p each in the Company
('Ordinary Shares') between 22 and 23 March 2006, Gartmore Investment Limited,
Gartmore Fund Managers Limited and Gartmore Global Partners had a reportable
interest in 36,307,409 Ordinary Shares representing approximately 11.48 per
cent. of the issued share capital of the Company. The above Ordinary Shares are
held as follows:


Beneficial owner                        Number of    Percentage of      Registered                             
                                        Ordinary     issued share       holder
                                        Shares       capital                                      
       

Gartmore Fund Managers Ltd A/C        15,242,414       4.82%      HSBC Global
Gartmore UK & Irish Smaller                                      Custody Nominee
Companies                                                               UK Ltd
The Gartmore Limited Issue UK            800,000      0.25%       Goldman Sachs
Small Cap Fund Ltd                                                Nominees Ltd
Strathclyde Pension Fund               7,744,279      2.45%         Nortrust
Nominees
Limited
The Alphagen Volantis Fund             6,337,163      2.00%          Vidacos
Limited                                                             Nominees Ltd
A/C 1945
Gartmore Smaller Companies Trust       4,876,952     1.54%      BNY GIL CLT A/C
plc                                                                 NOMS LTD A/C
LST
Gartmore Growth Opportunities          1,306,601     0.42%       BNY GIL CLT A/C
plc                                                                 NOMS LTD A/C
NWSC
Total                                  36,307,409     11.48%



28 March 2006







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