Offer Update

NOT  FOR  RELEASE,  PUBLICATION OR DISTRIBUTION IN OR INTO  THE  UNITED  STATES,
CANADA, AUSTRALIA, THE REPUBLIC OF IRELAND OR JAPAN.
Securities Trust of Scotland plc
Re: Circular to Shareholders - clarification

The Board of Securities Trust posted a Circular to shareholders on 4th May 2005

In  it,  the Chairman of Securities Trust stated that "the PIGIT cash  offer  is
lower  and  is  restricted to cash in respect of only 50% of your holding".  For
clarification,  the  PIGIT  cash  offer is restricted  in  that  they  can  only
guarantee cash in respect of 50% of a Shareholder's shareholding although to the
extent  that  other  Shareholders do not elect for all or  part  of  their  cash
alternative, cash elections in excess of 50% will be satisfied. Furthermore, the
Circular  included an article from The Scotsman newspaper. In it, the cash  exit
number  comparisons  quoted  were based on the original  PIGIT  Offer,  not  the
Revised PIGIT Offer.

The Securities Trust Proposals offer 100% guaranteed cash exit at a higher level
than under the Revised PIGIT Offer.

Terms defined in the Securities Trust Circular dated 23 March 2005 have the same
meanings in this announcement.

Enquiries:

Neil Donaldson / Anita Frew
Securities Trust of Scotland plc             via 020 7353 4200

Angus Gordon Lennox
JP Morgan Cazenove Limited                   07768 503516

Kirstie Hamilton / Kate Inverarity
Tulchan Communications                  020 7353 4200



JPMorgan  Cazenove  Limited is acting for Securities Trust in  relation  to  the
matters  referred  to  in this announcement and no one  else  and  will  not  be
responsible  to anyone other than Securities Trust for providing the protections
offered  to  clients  of JPMorgan Cazenove Limited nor for providing  advice  in
relation to the matters referred to in this announcement.

JPMorgan  Cazenove Limited of 20 Moorgate, London EC2R 6DA, which is  authorised
and  regulated  in the United Kingdom by the Financial Services  Authority,  has
approved the contents of this announcement for the purposes of Section 21 of the
Financial Services and Markets Act 2000.



END