Remuneration Policy for Non-Executive Directors

Non-executive directors (NEDs) are appointed for a period of three years. Their performance is reviewed annually. Non-executive directors may be reappointed for a further three-year period and subsequently, if considered appropriate, for a final period of three years after which such non-executive directors shall be subject to annual re-election. Appointments may be terminated by either party without notice. Fees for the non-executive directors are determined by the Board, based on a range of external information and advice set within the aggregate limits contained in the Articles of Association. During 2008, the fees of the non-executive directors, including the Chairman, were reviewed. As a result of this review, it was determined that there should be no increase to fees and therefore the following fees will continue to apply from 2009

• Chairman: £325,000
• Chairman of the Remuneration Committee, Vice Chairman and Senior Independent Director: £110,000
• Chairman of the Audit Committee: £90,000
• All other non-executive directors: £65,000.

Non-executive directors use at least 50% of their fees, after UK tax, to buy Legal & General shares, to be retained by them for the remainder of their period in office. Fees paid to non-executive directors are non-pensionable. In addition to their fees, directors are entitled to be reimbursed for expenses properly and reasonably incurred in respect of their office and shown as benefits within the emoluments table. No further remuneration is payable.