Statement re UK business

HomeServe plc - UK Update

Following the announcement on Monday 31 October regarding the temporary suspension of its sales and marketing activity, HomeServe is updating the market on its current progress.

HomeServe restarted inbound telephone sales activity in a limited way on Friday 4 November and has since been progressively increasing the number of retrained staff taking inbound calls and rolling this out on a region by region basis. HomeServe will also be reviewing its direct mail marketing material ahead of the next mailings, which are currently scheduled for the new year.

HomeServe has started the process of developing new outbound sales scripts but will only recommence outbound calls when fully confident of meeting the required standards.

In relation to complaints from last winter, the company has implemented a process to review all cases. HomeServe will be re-contacting any customers whose complaint may not have been appropriately dealt with to ensure that all issues are fully resolved.

HomeServe continues to have a constructive and regular dialogue with the Financial Services Authority (FSA) who have been kept fully informed of all the above actions.

HomeServe continues to handle customer claims as usual with over 14,000 home emergency repairs completed during the last week. The company has seen very few customers cancelling their policies.

There will be a conference call for analysts and investors at 8.00am on Thursday 10 November via 0203 140 0668, pin 986566#. A replay of the recording will be available via 0203 140 0698 pin 380866#.

HomeServe will announce its interim results for the 6 months ended 30 September 2011 on 22 November.

Richard Harpin, Chief Executive, said: "Our priority is to tackle the issues in our procedures that we have identified. The actions we are taking are an important part of that process and we will continue to take all necessary steps to ensure that all our customers receive the standards of service that we and they expect."

Enquiries:

HomeServe plc Tel.No. 01922 427979

Richard Harpin, Chief Executive

Martin Bennett, Chief Financial Officer

Mark Jones, Head of Investor Relations

Tulchan Group Tel.No. 0207 353 4200

Christian Cowley

Martin Robinson