Purchase of Own Shares

Paragon Group Of Companies PLC
25 August 2005


                             PURCHASE OF OWN SHARES
                             ----------------------

The Paragon Group of Companies PLC announces that it has purchased the following
number of its ordinary shares of 10p each on the London Stock Exchange via UBS
Investment Bank.

Ordinary shares:

Date of purchase:                         25 August 2005

Number of ordinary shares purchased:      89,791

Highest price paid per share:             480p

Lowest price paid per share:              479p

Volume weighted average price per share:  479.7566p

The Paragon Group of Companies PLC intends to hold the purchased shares in
treasury.

Following the purchase of these shares, The Paragon Group of Companies PLC holds
800,000 of its ordinary shares in treasury and has 119,962,342 ordinary shares
in issue (excluding treasury shares).

Enquiries:

John Gemmell, Company Secretary
0121 712 2075




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