Director Shareholding

Paragon Group Of Companies PLC
02 June 2005


                             DIRECTOR SHAREHOLDING
                             ---------------------

On 2 June 2005 The Paragon Group of Companies PLC granted the following awards
under the Paragon Performance Share Plan ('PPSP'):

Director           Award granted     Exercise period         Total award

N S Terrington     47,034            02/06/08 - 02/12/08     359,704

N Keen             35,276            02/06/08 - 02/12/08     266,347

J A Heron          18,937            02/06/08 - 02/12/08     137,364

P Pandya           18,937            02/06/08 - 02/12/08     139,557

Under the terms of the PPSP these awards will become exercisable provided the
Company's total shareholder return over the three year period commencing 1 April
2005 is at or above the median TSR for a comparator group of companies making up
the FTSE All Share Banks and Speciality and Other Finance Sector. The extent to
which the shares can be exercised will be dependent upon where the company is
ranked, with 25% being exercisable for median performance, rising to 100% for
performance on or above the upper quartile.

Enquiries:

John G Gemmell, Company Secretary
0121 712 2075



                      This information is provided by RNS
            The company news service from the London Stock Exchange