AGM Statement

Staffline Recruitment Group plc
25 May 2006


For immediate release 25 May 2006

                       STAFFLINE RECRUITMENT GROUP PLC

                         AGM Statement & Trading Update

Staffline Recruitment Group plc, a leading provider of recruitment and outsourced
HR services to industry, is holding its Annual General Meeting today, Thursday
25th May 2006, at which the following comments on current trading will be 
made.

Staffline has made a strong start to the year with both sales and profit for the
four months ended 30 April 2006 in line with latest expectations and significantly
ahead of the same period last year, driven by strong performances across the Group.

Trading Update

Staffline

Our OnSite division, which manages the temporary recruitment function of its
clients and represents approximately two thirds of Group turnover, has continued
to show progress having successfully won OnSites with both new and existing
clients. Our industrial branch division has also performed well and continues to
incubate new OnSites.

In addition, we can announce today a significant contract win with a major
producer of fast moving consumer goods (FMCG). Under the contract, Staffline
will provide all temporary recruitment services to six production sites through
two of its existing industrial branches and four new OnSites, all of which will
be operational by June.

Techsearch

Our Techsearch division represents less than 10% of Group turnover and
specialises in temporary and permanent placements in the engineering and FMCG
sectors. During the first four months of the year, it has benefited from an
increase in the number of consultants employed and continues to perform in line
with our expectations.

Gangmaster Licensing

As we referred to at the time of our preliminary results, announced on 1 March
2006, the Gangmasters Licensing Authority started to issue licences to labour
providers operating in the food production and associated sectors in April 2006.
We are pleased to report that Staffline was the first of the major labour
providers to have successfully gained a licence.

Commenting on the trading update, Andy Hogarth, Staffline's Managing Director,
said:

'We are pleased with the contract win, announced today, which is testament to
our ability to tailor service levels to each client site through our combined
offering of both branch-based and OnSite services.

'Whilst it is still early in the financial year, the strong performance of the
Group in the first four months, the OnSites successfully won to date, and a
strong pipeline of OnSite prospects means that we look forward with confidence to
continued strong progress during the remainder of the year.  At this early stage
in the year, it is sensible for our outlook for the year as a whole to remain
unchanged.'

Staffline intends to provide a further update on trading at the beginning of
July following its half year ending 30 June 2006.

                                    - Ends -

For further information, please contact:              www.staffline.co.uk

Staffline Recruitment Group plc                       0115 950 0885
Andy Hogarth, Managing Director                       07931 175775
Carole Harvey, Finance Director                       07904 262132

Smithfield                                            020 7360 4900
Katie Hunt / Reg Hoare                                07884 494112

About Staffline

Staffline Recruitment Group plc's main business is as a specialist supplier of
'blue collar' temporary and contract staff to industry. It provides a fully
outsourced service, managing the temporary recruitment function of its clients
on their premises, at 60 OnSite locations nationwide and also has a network of
17 industrial branches. In addition, the Group has a smaller but growing
division called Techsearch which specialises in temporary and permanent
engineering, IT, HR and FMCG placements and operates from 4 branches. The Group,
which is managed from a head office in Nottingham, was founded in 1986 and was
admitted to AIM in December 2004 (Ticker: STAF.L).



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