Nil Cost Contingent Share Awards

10 December 2010

The Innovation Group plc

("Innovation Group" or the "Company")

Nil Cost Contingent Share Awards

This notification is made by The Innovation Group plc ("Innovation" or "Company") in accordance with DTR 3.1.4(1)(a).

On 9 December 2010 a contingent award of 3,341,333 ordinary shares of 2 pence each in the Company ("Shares") was made to Chief Executive Officer, Andrew (Andy) Roberts under The Innovation Group Key Executive Recruitment Plan ("Recruitment Plan").

On the same date a contingent award of 1,437,132 shares was made to the Group Finance Director, Jane Hall under The Innovation Group Key Executive Retention Plan ("Retention Plan").

Each award has a three year vesting period and is subject to earnings per Share ("EPS") performance criteria with two thirds of the award vesting in full if the Company achieves EPS growth of 45 per cent. plus RPI over the vesting period and the remaining one third vesting in full on achievement of 100 per cent. EPS growth plus RPI.

The awards are subject to good leaver and change of control provisions and no consideration is payable for the grant of the award.

The Company was informed of the above grants on 9 December 2010.

Enquiries:

Notes to Editors

The Innovation Group plc (LSE: TIG.L) is a global provider of business process outsourcing and software solutions to the insurance, fleet, automotive and property industries. Innovation Group provides contact centres, repair networks, process management, supply chain and technology operations and decision support analytics to support accident management, repair and estimation and claims management services. Innovation Group has over 800 global clients including AXA, Insurance, RSA, American Modern Insurance Group, LeasePlan, The Ford Motor Company, Aviva, Toyota and Zurich. The Group processes more than 4 million claims per year with 20 per cent direct claims cost saving achieved. Innovation Group's 2,300 people are located in the United Kingdom, Australia, Belgium, Canada, France, Germany, Japan, India, Pakistan, South Africa, Spain and United States. www.innovation-group.com