Interim Management Statement

HomeServe plc

Interim Management Statement

HomeServe plc today publishes its Interim Management Statement for the period from 1 October 2009.

All of our policy membership businesses are performing well and we are pleased to announce that we have recently achieved a major milestone of 10m policies from 4.5m customers worldwide.

UK Membership

Our UK Membership business, which is in its key period for marketing activity, has delivered good levels of new policy sales and retention. We remain on track to achieve our customer growth and gross new policy sales targets for the full year.

Continental Europe

In France, our joint venture, Doméo, continues to deliver good levels of new policy sales and high retention rates.

In Spain, we are making progress growing our policy book through our marketing partnership with Endesa. We are also delighted to announce the signing of a long-term partnership with Agbar, Spain's largest water company with over 4 million direct customers. The agreement represents an important step for the Spanish business enabling us to launch full scale marketing in Spain under a water brand for the first time.

USA

Our US business is performing well having recently exceeded 700k policies and retention rates remain high. We continue to make good progress with a number of potential new affinity partners as we look to expand our footprint of marketable households.

Completion of exit from non-core UK Emergency Services business

Our exit from our non-core UK Emergency Services business is now complete with the closure of Property Repairs at the end of January. This part of the business, along with those businesses that were sold on 24 September 2009, will be shown as discontinued operations in our preliminary results in May.

Dividend

The board has recommended the payment of a second interim dividend of 24p per share to be paid on 1 April 2010 to shareholders on the register at the close of business on 5 March 2010.

The payment of a second interim dividend together with the first interim dividend (11.5p per share paid on 4 January 2010) matches last year's full year dividend and represents the acceleration of part of the final dividend payment.

It remains the Board's intention to pay a final dividend which will be announced as part of the preliminary results in May, the quantum of which will take into account the payment of the second interim dividend.

Board changes

As announced separately today, after 14 years with HomeServe Brian Whitty, Executive Chairman, is to step down from the board on 31 March 2010. J M Barry Gibson, currently the senior independent non-executive director of the company, will succeed Brian Whitty as non-executive Chairman on 1 April 2010.

Financial Position

We remain well funded with low levels of net debt and significant headroom on our banking facilities.

Outlook

Our membership businesses continue to perform well demonstrating the strength of the business model and attractiveness of our products and we expect to deliver another year of strong growth when we announce our preliminary results on 25 May 2010.

A conference call for analysts will take place at 8am this morning, dial-in details for which can be obtained from Tulchan.

9 February 2010

Enquiries:

HomeServe plc

Richard Harpin, Chief Executive Tel: 01922 655 332

Martin Bennett, Chief Financial Officer

Mathew Wootton, Investor Relations Director

Tulchan Group

Andrew Honnor Tel: 020 7353 4200

Stephen Malthouse