Director Shareholding

Paragon Group Of Companies PLC
01 June 2005




                                  SHARE PURCHASE
                                  --------------


On 31 May 2005 the Paragon Employee Share Ownership Trust ('ESOT') purchased
90,426 ordinary shares of 10p each in The Paragon Group of Companies PLC (the
'Company') at 407.25p per share.

These shares were purchased to meet options and awards as they mature and are
exercised under the Paragon Executive Share Option Scheme and Performance Share
Plan which include the potential exercise by certain executive directors and
other employees of the Company.

Following this purchase the total held by the ESOT is 6,240,268.

Enquiries:

John Gemmell, Company Secretary
0121 712 2075



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