Board Change

2 August 2011

CareTech Holdings PLC

("CareTech" or "the Group" or "the Company")

Board Change

The board of CareTech, a leading UK provider of specialist social care services, announces that David Pugh has decided to step down from his position as Group Finance Director and Company Secretary in order to pursue other career opportunities.

The Company is pleased to announce that a successor to David has been identified and that Michael Hill (FCA), has been appointed as Group Finance Director and Company Secretary with immediate effect. David Pugh will support him during a handover period.

Michael has extensive experience in both quoted and venture capital businesses. He has been a member of the CareTech executive team for the past year, focusing primarily on the development of fostering.

Farouq Sheikh, Executive Chairman commented:

"The board and I would like to thank David for his dedicated service and outstanding contribution to the business over the past three years and wish him every success in the future."

"The Company is very fortunate to have in Michael such a capable Finance Director already within the business. I am sure that like David, Michael will be able to make a significant contribution to the development of the Company."

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ENDS