Sale of Provident Insurance

Provident Financial PLC
17 January 2007



Sale of Provident Insurance

Provident Financial announces that, in response to third party approaches for
its non-core insurance business, Provident Insurance, it has decided to commence
discussions with a view to establishing whether greater shareholder value could
be created through the sale of that business than would be likely to be achieved
if it were to remain within the UK group following the demerger of its
international business.  Further announcements on the progress of these
discussions, as well as on the demerger preparations, will be made at the time
of announcement of the group's 2006 preliminary results on March 7, 2007.


Lexicon Partners is handling the potential sale on behalf of the Board.


Enquiries


Kevin Byram, Brunswick                   020 7404 5959
Nigel  Prideaux, Brunswick               020 7404 5959






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