Response to Press Speculation

25 April 2005 The Board of Chesnara notes the recent press speculation regarding the potential acquisition by Chesnara of City of Westminster Assurance Company Limited, the closed life assurance subsidiary of Irish Life & Permanent plc ('Irish Life & Permanent'). As previously stated, Chesnara has looked at a number of potential acquisition targets. Chesnara confirms that it is in discussions with Irish Life & Permanent regarding this particular potential transaction but no agreement has been reached and the outcome of these discussions is not certain. A further announcement will be made when appropriate. Chesnara plc Tel: 01772 840001 Graham Kettleborough, Chief Executive Cubitt Consulting Tel: 020 7367 5100 (public relations advisers to Chesnara) Michael Henman/Selena Hedley Lewis