Document:

Exhibit 4.7

                            Dated [o] January 2005
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                           GRANITE MASTER ISSUER PLC

                                CITIBANK, N.A.
                          as Principal Paying Agent,
                  Agent Bank, Registrar and Transfer Agent

                       CITIBANK, N.A. (NEW YORK BRANCH)
                              as US Paying Agent

                                    - and -

                             THE BANK OF NEW YORK
                as Note Trustee and Issuer Security Trustee

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                 ISSUER PAYING AGENT AND AGENT BANK AGREEMENT

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                          SIDLEY AUSTIN BROWN & WOOD
                               WOOLGATE EXCHANGE
                             25 BASINGHALL STREET
                                LONDON EC2V 5HA
                            TELEPHONE 020 7360 3600
                            FACSIMILE 020 7626 7937

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                                   CONTENTS

1.    Definitions and Interpretation.......................................1

2.    Appointment of the Agents............................................2

3.    The Issuer Notes; Authentication.....................................2

4.    Duties of Agents.....................................................4

5.    Exchanges of Global Note Certificates and Delivery of Individual
      Note Certificates....................................................7

6.    Replacement Note Certificates........................................8

7.    Payments to the Paying Agents........................................9

8.    Payments to Noteholders.............................................11

9.    Transfers of Issuer Notes...........................................13

10.   Miscellaneous Duties of the Agents..................................14

11.   Agents to act for Note Trustee......................................17

12.   Fees and Expenses...................................................18

13.   Terms of Appointment................................................18

14.   No Liability for Consequential Loss.................................20

15.   Termination of Appointment..........................................20

16.   Non-Petition and Limited Recourse...................................24

17.   Notices.............................................................25

18.   Third Party Rights..................................................26

19.   Time of the Essence.................................................26

20.   Variation and Waiver................................................26

21.   Execution in Counterparts; Severability.............................26

22.   Governing Law and Jurisdiction; Process Agent; Appropriate Forum....26

23.   Exclusion of Liability..............................................27

SCHEDULE 1 SPECIFIED OFFICES OF THE AGENTS................................28
SCHEDULE 2 REGULATIONS CONCERNING THE TRANSFER, EXCHANGE AND
            REGISTRATION OF THE ISSUER NOTES..............................29
SCHEDULE 3 - FORM OF CALCULATION AGENCY AGREEMENT.........................33

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THIS AGREEMENT is made on [o] January 2005

BETWEEN:

(1)     GRANITE MASTER ISSUER PLC (registered number 5250668), a public
        limited company incorporated under the laws of England and Wales whose
        registered office is Fifth Floor, 100 Wood Street, London EC2V 7EX as
        Master Issuer;

(2)     CITIBANK, N.A., acting through its office at 5 Carmelite Street,
        London EC4Y 0PA in its capacity as (1) Principal Paying Agent (2)
        Agent Bank (3) Registrar and (4) Transfer Agent;

(3)     CITIBANK, N.A., acting through its office at Agency and Trust, 388
        Greenwich Street, New York, N.Y. 10013, U.S.A. in its capacity as US
        Paying Agent; and

(4)     THE BANK OF NEW YORK, acting through its office at 48th Floor, One
        Canada Square, London E14 5Al in its capacity as (1) Note Trustee and
        (2) Issuer Security Trustee.

WHEREAS:

By a resolution of a duly authorised Board of Directors of the Master Issuer
passed on [o] January 2005, the Master Issuer resolved to establish a
programme pursuant to which the Master Issuer may, from time to time, issue
Issuer Notes constituted by the Issuer Trust Deed and secured by the Issuer
Deed of Charge.

IT IS AGREED as follows:

1.      Definitions and Interpretation

1.1     The provisions of:

        (a)  the Programme Master Definitions Schedule signed for the purposes
             of identification by Sidley Austin Brown & Wood and Allen & Overy
             LLP on [o] January 2005, and

        (b)  the Issuer Master Definitions Schedule signed for the purposes of
             identification by Sidley Austin Brown & Wood and Allen & Overy
             LLP on [o] January 2005,

        (as the same have been and may be amended, varied or supplemented from
        time to time with the consent of the parties hereto) are expressly and
        specifically incorporated into and shall apply to this Agreement.

        The Issuer Master Definitions Schedule specified above shall prevail
        to the extent that it conflicts with the Programme Master Definitions
        Schedule.

1.2     Where the context permits, references in this agreement to an "Issuer
        Note" shall mean, while any Series and Class of Issuer Notes are
        represented by a Global Note Certificate, such Global Note
        Certificate, and while any Series and Class of Issuer Notes are
        represented by one or more Individual Note Certificates, such
        Individual Note Certificates.

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1.3     Where the context permits, references in this agreement to the
        "Holder" of an Issuer Note means the person in whose name such Issuer
        Note is for the time being registered in the Register (or, in the case
        of a joint holding, the first named thereof) and "Noteholder" shall be
        construed accordingly.

2.      Appointment of the Agents

2.1     Appointment: Upon and subject to the terms of this Agreement, the
        Master Issuer and, for the purposes of Clause 11 (Agents to act for
        Note Trustee) only, the Note Trustee hereby appoint, for the purposes
        specified in, and to carry out their respective duties under, this
        Agreement and under the Issuer Conditions on a several but not joint
        basis:

        (a)  the Principal Paying Agent acting through its Specified Office as
             principal paying agent in respect of the Reg S Notes;

        (b)  the US Paying Agent acting through its Specified Office as paying
             agent in the United States in respect of the US Notes;

        (c)  the Agent Bank acting through its Specified Office as agent bank
             for the purpose of determining interest payable in respect of the
             Issuer Notes;

        (d)  the Registrar acting through its Specified Office as registrar
             for the Issuer Notes; and

        (e)  the Transfer Agent acting through its Specified Office as
             transfer agent for the Issuer Notes.

2.2     Obligations of Agents:  The obligations of the Agents under this
        Agreement shall be several and not joint.

2.3     Acceptance of appointment by Paying Agents and Agent Bank: Each of the
        Principal Paying Agent, the US Paying Agent and the Agent Bank accepts
        its appointment as agent of the Master Issuer and, for the purpose of
        Clause 11 (Agents to act for Note Trustee) only, the Note Trustee in
        relation to the Issuer Notes and agrees to comply with the provisions
        of this Agreement and to perform its duties under the Issuer
        Conditions.

2.4     Acceptance of appointment by Registrar and Transfer Agent: Each of the
        Registrar and the Transfer Agent accepts its appointment as agent of
        the Master Issuer and, for the purpose of Clause 11 (Agents to act for
        Note Trustee) only, the Note Trustee in relation to the Issuer Notes
        and agrees to comply with the provisions of this Agreement and to
        perform its duties under the Issuer Conditions.

3.      The Issuer Notes; Authentication

3.1     Global Note Certificates: The US Notes will be initially offered and
        sold pursuant to a Registration Statement filed with the SEC. Each
        Series and Class of US Notes will be issued in fully registered global
        form and be initially represented by a Global Note Certificate and
        which, in aggregate, will represent the aggregate Principal Amount
        Outstanding of such US Notes. The Reg S Notes will be initially
        offered and sold

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        outside the United States to non-US persons pursuant to Reg S. Each
        Series and Class of Reg S Notes will be issued in fully registered
        global form and be initially represented by a Global Note Certificate
        and which, in aggregate, will represent the aggregate Principal Amount
        Outstanding of the Reg S Notes. Each Global Note Certificate shall be
        substantially in the form set out in Schedule 1 (Form of Global Note
        Certificates) to the Issuer Trust Deed. The Global Certificates shall
        be executed manually or in facsimile by an Authorised Signatory of the
        Master Issuer and authenticated manually by or on behalf of the
        Registrar.

3.2     Individual Note Certificates: The Global Note Certificates will be
        exchangeable for Individual Note Certificates in the circumstances
        described therein. If the Master Issuer is required to deliver
        Individual Note Certificates pursuant to the terms of the relevant
        Global Note Certificate and the Issuer Trust Deed, each Individual
        Note Certificate shall:

        (a)  be printed or typewritten in accordance with all applicable legal
             and stock exchange requirements;

        (b)  be in substantially the form set out in Schedule 2 (Form of
             Individual Note Certificates) to the Issuer Trust Deed;

        (c)  be in registered form and, in each case, in an Authorised
             Denomination;

        (d)  bear a unique serial number; and

        (e)  be executed manually or in facsimile by an Authorised Signatory
             of the Master Issuer and authenticated manually by or on behalf
             of the Registrar.

3.3     Facsimile signatures on Note Certificates: The Master Issuer may use
        for the purposes of executing any Note Certificate, the facsimile
        signature of any person who at the date of this Agreement was duly
        authorised to sign the same on behalf of the Master Issuer, even if at
        the time of issue of such Note Certificate, such person no longer
        holds (for whatever reason including death) the relevant office and
        any Note Certificate so executed and authenticated will be valid and
        binding obligations of the Master Issuer. No Note Certificate
        representing an Issuer Note shall be valid for any purpose until it
        has been authenticated by or on behalf of the Registrar in accordance
        with this Agreement and the Issuer Trust Deed.

3.4     Authentication and Deposit of Global Note Certificates: Subject to
        Clause 3.5 (Master Global Note Certificate), following receipt of a
        faxed copy of a Note Supplement signed by the Master Issuer, the
        Master Issuer authorises the Registrar, and the Registrar agrees, on
        behalf of the Master Issuer to prepare a Global Note Certificate in
        respect of each Series and Class of Issuer Notes specified in such
        Note Supplement by attaching a copy of the Note Supplement to a copy
        of the signed master Global Note Certificate. The Registrar shall, on
        or about the applicable Closing Date, authenticate each Global Note
        Certificate in accordance with Clause 3.1 (Global Note Certificates).
        The Reg S Global Note Certificates shall be registered in the name of
        Citivic Nominees Limited as nominee for, and shall be deposited on or
        about the relevant Closing Date with, the Common Depositary. The US
        Global Note Certificates shall be registered in the name of Cede & Co.
        as nominee of DTC, and shall be deposited on or about the relevant
        Closing Date with, the DTC Custodian.

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        The Master Issuer shall also arrange, on written request, for such
        unauthenticated Global Note Certificates as are required to enable the
        Registrar and Transfer Agent to perform their obligations under Clause
        6 (Replacement Note Certificates) and Clause 9 (Transfers of Issuer
        Notes) to be made available to or to the order of the Registrar from
        time to time. Participants in DTC, Euroclear and Clearstream,
        Luxembourg shall have no rights under this Agreement with respect to
        the Global Note Certificates and DTC, Euroclear, Clearstream,
        Luxembourg or their respective nominees may be treated by the Master
        Issuer or any Agent as the absolute owner of each Global Note
        Certificate for all purposes under this Agreement. Notwithstanding the
        foregoing, nothing in this Agreement shall impair, as between DTC,
        Euroclear and Clearstream, Luxembourg and their respective
        participants, the operation of customary practices governing the
        exercise of the rights of a Holder of any Issuer Note.

3.5     Master Global Note Certificate: the Registrar shall only be required
        to perform its obligations under Clause 3.4 (Authentication and
        Deposit of Global Note Certificates) if it holds a master Global Note
        Certificate duly executed by a person or persons duly authorised to
        execute the same on behalf of the Master Issuer, which may be used by
        the Registrar for the purposes of preparing Global Note Certificates
        in accordance with Clause 3.4 (Authentication and Deposit of Global
        Note Certificates).

3.6     Availability of Individual Note Certificates: If the Master Issuer is
        required to deliver Individual Note Certificates pursuant to the terms
        of the Global Note Certificates (or either of them) and the Issuer
        Trust Deed, the Master Issuer shall promptly arrange for a stock of
        Individual Note Certificates (both bearing and not bearing the
        Regulation S Legend, and, in either case, unauthenticated and with the
        names of the registered holders left blank but otherwise complete and
        executed on behalf of the Master Issuer) to be made available to or to
        the order of the Registrar by the date falling 30 days after the
        occurrence of the relevant event as set out in Clause 3.2 (Individual
        Note Certificates) of the Issuer Trust Deed for authentication in
        accordance with Clause 3.2 (Individual Note Certificates). The Master
        Issuer shall also arrange for such Individual Note Certificates as are
        required to enable the Registrar and the Transfer Agent to perform
        their respective obligations under Clause 5 (Exchanges of Global Note
        Certificates and Delivery of Individual Note Certificates), Clause 9
        (Transfers of Issuer Notes) and Clause 6 (Replacement Note
        Certificates) to be made available to or to the order of the Registrar
        and the Transfer Agent from time to time.

4.      Duties of Agents

4.1     Duties of the Agent Bank: The Agent Bank shall perform such duties at
        its Specified Office as are set forth in this Agreement and in the
        Issuer Conditions and such other duties as are reasonably incidental
        thereto at the request of the Master Issuer or the Registrar or the
        Paying Agents (or for the purposes of Clause 11 (Agents to act for
        Note Trustee), the Note Trustee) and agrees to comply with the
        provisions of Condition 4 (Interest). In particular and save as
        hereinafter provided, the Agent Bank shall:

        (a)  act as Calculation Agent in respect of Issuer Notes (including,
             without limitation, Index Linked Issuer Notes and Dual Currency
             Issuer Notes) where named as such in the applicable Note
             Supplement;

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        (b)  in respect of a Series and Class of Issuer Notes, unless
             otherwise specified in the applicable Note Supplement, make all
             the determinations and calculations which it is required to make
             under the Issuer Conditions, all subject to and in accordance
             with the Issuer Conditions;

        (c)  as soon as possible after determining the Rate of Interest,
             Interest Amount and Payment Date in respect of a Series and Class
             of Notes and all other amounts, rates and dates, which it is
             obliged to determine or calculate under the Issuer Conditions
             (or, in no event later than the fourth Business Day thereafter),
             cause such Rate of Interest, Interest Amount, Payment Date and
             such other amounts, rates and dates which it is obliged to
             determine under the Issuer Conditions to be notified to the
             Master Issuer, the Note Trustee, the Issuer Security Trustee, the
             Account Bank, the Issuer Account Bank, the Registrar, the Paying
             Agents, the Issuer Cash Manager and (in respect of a Series and
             Class of Notes listed on a Stock Exchange) the London Stock
             Exchange (or other stock exchange or, as the case may be, listing
             authority that it may be notified of pursuant to Clause 4.4
             (Listing)), specifying the rates upon which the same are based
             and (where relevant) the names of the banks quoting such rates
             provided that the Agent Bank shall make such determination and
             calculations in relation to such Series and Class of Issuer Notes
             in accordance with the Issuer Conditions;

        (d)  cause notice of the Rate of Interest, Interest Amounts, Payment
             Dates and such other amounts, rates and dates which it is obliged
             to determine under the Issuer Conditions in respect of each
             Series and Class of Issuer Notes for each Interest Period to be
             published in accordance with the Issuer Conditions;

        (e)  where applicable, determine LIBOR in accordance with Condition 4
             (Interest) and notify the Funding 2 GIC Provider and the Issuer
             GIC Provider of the LIBOR rate which shall apply for the relevant
             Interest Period;

        (f)  maintain such records of the quotations obtained and all rates
             determined and all calculations made by it and make such records
             available for inspection at all reasonable times by the Master
             Issuer, the Issuer Cash Manager, the other Agents, the Issuer
             Security Trustee and the Note Trustee.

4.2     Interest determination:

        (a)  Where the Screen Rate Determination is specified in the
             applicable Note Supplement as the manner in which the Rate of
             Interest for a Series and Class of Issuer Notes is to be
             determined, the Rate of Interest for such Issuer Notes for each
             Interest Period will, subject as provided below, be either:

             (i)   the offered quotation (if there is only one quotation on
                   the Relevant Screen Page); or

             (ii)  the arithmetic mean (rounded if necessary to the fifth
                   decimal place, with 0.000005 being rounded upwards) of the
                   offered quotations,

        (b)  (expressed as a percentage rate per annum), for the Reference
             Rate(s) which appears or appear, as the case may be, on the
             Relevant Screen Page as at the

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             Specified Time on the Determination Date in question plus or
             minus (as indicated in the applicable Note Supplement) the Margin
             (if any), all as determined by the Agent Bank. If five or more
             offered quotations are available on the Relevant Screen Page, the
             highest (or, if there is more than one highest quotation, one
             only of those quotations) and the lowest (or, if there is more
             than one lowest quotation, one only of those quotations) shall be
             disregarded by the Agent Bank for the purpose of determining the
             arithmetic mean (rounded as provided above) of the offered
             quotations.

        (c)  If the Relevant Screen Page is not available or if, in the case
             of clause 4.2(a)(i), no offered quotation appears or if, in the
             case of clause 4.2(a)(ii), fewer than three offered quotations
             appear, in each case as at the Specified Time, the Agent Bank
             shall request each of the Reference Banks to provide the Agent
             Bank with its offered quotation (expressed as a percentage rate
             per annum) for the Reference Rate at approximately the Specified
             Time on the Determination Date in question. If two or more of the
             Reference Banks provide the Agent Bank with offered quotations,
             the Rate of Interest for the Interest Period shall be the
             arithmetic mean (rounded if necessary to the fifth decimal place,
             with 0.000005 being rounded upwards) of the offered quotations
             plus or minus (as appropriate) the Margin (if any), all as
             determined by the Agent Bank.

        (d)  If on any Determination Date one only or none of the Reference
             Banks provides the Agent Bank with an offered quotation as
             provided in the preceding paragraph, the Rate of Interest for the
             relevant Interest Period shall be the rate per annum which the
             Agent Bank determines as being the arithmetic mean (rounded if
             necessary to the fifth decimal place, with 0.000005 being rounded
             upwards) of the rates, as communicated to (and at the request of)
             the Agent Bank by the Reference Banks or any two or more of them,
             at which such banks were offered, at approximately the Specified
             Time on the relevant Determination Date, deposits in the
             Specified Currency for a period equal to that which would have
             been used for the Reference Rate by leading banks in the London
             inter-bank market (if the Reference Rate is LIBOR) or the
             Euro-zone inter-bank market (if the Reference Rate is EURIBOR)
             plus or minus (as appropriate) the Margin (if any) or, if fewer
             than two of the Reference Banks provide the Agent Bank with
             offered rates, the offered rate for deposits in the Specified
             Currency for a period equal to that which would have been used
             for the Reference Rate, or the arithmetic mean (rounded as
             provided above) of the offered rates for deposits in the
             Specified Currency for a period equal to that which would have
             been used for the Reference Rate, at which, at approximately the
             Specified Time on the relevant Determination Date, any one or
             more banks (which bank or banks is or are in the opinion of the
             Master Issuer suitable for the purpose) informs the Agent Bank it
             is quoting to leading banks in the London inter-bank market (if
             the Reference Rate is LIBOR) or the Euro-zone inter-bank market
             (if the Reference Rate is EURIBOR) plus or minus (as appropriate)
             the Margin (if any), provided that, if the Rate of Interest
             cannot be determined in accordance with the foregoing provisions
             of this paragraph, the Rate of Interest cannot be determined in
             accordance with the foregoing provisions of this paragraph, the
             Rate of Interest shall be determined as at the last preceding
             Determination

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             Date (though substituting, where a different Margin is to be
             applied to the relevant Interest Period from that which applied
             to the last preceding Interest Period, the Margin relating to the
             relevant Interest Period in place of the Margin relating to that
             last preceding Interest Period.

        (e)  If the Reference Rate from time to time in respect of a Series
             and Class of Floating Rate Issuer Notes is specified in the
             applicable Note Supplement as being other than LIBOR or EURIBOR,
             the Rate of Interest in respect of such Issuer Notes will be
             determined as provided in the applicable Note Supplement.

4.3     Calculation Agent: Determinations with regards to Issuer Notes
        (including, without limitation, Index Linked Issuer Notes) required to
        be made by a Calculation Agent specified in the applicable Note
        Supplement shall be made in the manner so specified. Unless otherwise
        agreed between the Master Issuer and the Lead Manager(s) or unless the
        Agent Bank is the Calculation Agent (in which case the provisions of
        this Agreement shall apply), those determinations shall be made on the
        basis of a calculation agency agreement substantially in the form of
        Schedule 3 hereto. The terms of any Series and Class of Issuer Notes
        may specify additional duties and obligations of any Agent, the
        performance of which will be agreed between the Master Issuer and the
        relevant Agent prior to the relevant Closing Date.

4.4     Listing: A Series of the Issuer Notes, on issue, may be admitted to
        the Official List of the UK Listing Authority and admitted to trading
        on the London Stock Exchange. The Master Issuer will advise the Agent
        Bank and the Note Trustee in writing if such listing is withdrawn or
        if any Series and Class of Issuer Notes become listed by any other
        listing authority or, as the case may be, admitted to trading on any
        other stock exchange.

4.5     Duties of the Registrar and the Transfer Agent: The Registrar and the
        Transfer Agent shall hold or shall procure the holding in safe custody
        of any unauthenticated Global Note Certificates delivered to it in
        accordance with Clause 3.4 (Authentication, and Deposit of Global Note
        Certificates) and any Individual Note Certificates delivered to it in
        accordance with Clause 3.5 (Availability of Individual Note
        Certificates) and shall ensure that such Global Note Certificates and
        Individual Note Certificates are authenticated and delivered only in
        accordance with the terms of this Agreement, the Issuer Trust Deed,
        the Global Note Certificates and the Issuer Conditions.

4.6     Authority to authenticate: Each of the Registrar, the Transfer Agent
        or their designated agent is authorised and instructed by the Master
        Issuer to authenticate any Note Certificate as may be required to be
        authenticated hereunder by the signature of any of its officers or any
        other person duly authorised for the purpose by the Registrar or (as
        the case may be) the Transfer Agent.

5.      Exchanges of Global Note Certificates and Delivery of Individual Note
        Certificates

5.1     Exchange of Global Note Certificates for Individual Note Certificates
        and Delivery of Individual Note Certificates: A Global Note
        Certificate may only be exchanged for Individual Note Certificates in
        the circumstances set forth in the Global Note

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        Certificate and set out in Clause 3.3 (Individual Note Certificates)
        of the Issuer Trust Deed. If any Global Note Certificate becomes
        exchangeable for Individual Note Certificates in accordance with its
        terms, the Registrar shall, subject to its having received any
        certificates required by the terms of the relevant Global Note
        Certificate, against surrender of such Global Note Certificate to it
        or to its order, authenticate and deliver in accordance with this
        Agreement, the Global Note Certificates, the Issuer Conditions and the
        Issuer Trust Deed, Individual Note Certificates, provided that in no
        circumstances shall the aggregate principal amount of such Individual
        Note Certificates exceed the aggregate principal amount of the
        relevant Global Note Certificate. The Individual Note Certificates so
        issued in exchange for any Global Note Certificate shall be issued in
        such names as the DTC Custodian or the Common Depositary, as the case
        may be, (based on the instructions of DTC, Euroclear and Clearstream,
        Luxembourg) shall instruct the Registrar and the Registrar shall, in
        accordance with this Agreement, the Global Notes, the Issuer
        Conditions and the Issuer Trust Deed, deliver or cause to be delivered
        to the persons designated in such instructions Individual Note
        Certificates of the relevant class in the appropriate principal
        amounts and the Registrar will enter the names and addresses of such
        persons on the Register. Individual Note Certificates issued in
        exchange for a Reg S Global Note Certificate pursuant to this Clause
        5.1 (Exchange of Global Note Certificates for Individual Note
        Certificates) shall bear the Regulation S Legend and shall be subject
        to all restrictions on transfer contained therein to the same extent
        as the Global Note Certificate so exchanged.

5.2     Exchange of Global Note Certificates: Global Note Certificates may
        also be exchanged or replaced, in whole or in part, as provided in
        Clause 6 (Replacement Note Certificates). Every Global Note
        Certificate authenticated and delivered in exchange for, or in lieu
        of, another Global Note Certificate or any portion thereof, pursuant
        to Clause 6 (Replacement Note Certificates) hereof, shall be
        authenticated and delivered in the form of, and shall be, a Global
        Note Certificate. A Global Note Certificate may not be exchanged for
        another Global Note Certificate other than as provided in this Clause
        5 (Exchanges of Global Note Certificates and Delivery of Individual
        Note Certificates).

6.      Replacement Note Certificates

6.1     Delivery of Replacements: Subject to and in accordance with this
        Clause 6 (Replacement Note Certificates) and Condition 13 (Replacement
        of Notes) and receipt of replacement Global Note Certificates and/or
        Individual Note Certificates (as the case may be), the Registrar or
        the Transfer Agent, as the case may be shall, upon and in accordance
        with the instructions of the Master Issuer (which instructions may,
        without limitation, include such terms as to the payment of expenses
        and as to evidence, security and indemnity as the Master Issuer, the
        Transfer Agent and the Registrar may reasonably require and otherwise
        as required by Condition 13 (Replacement of Notes), as necessary),
        complete, authenticate and deliver, or procure the authentication and
        delivery on their behalf of, a Global Note Certificate or, as the case
        may be, an Individual Note Certificate, as a replacement for (and
        being an Issuer Note in the same form as) the relevant Global Note
        Certificate or, as the case may be, Individual Note Certificate which
        the Master Issuer has determined to issue as a replacement for any
        Global Note Certificate or Individual Note Certificate which has been
        mutilated or defaced or which is alleged to have been destroyed,
        stolen or lost

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        and the Registrar shall, in addition, as promptly as is practicable,
        enter such details on the Register; provided, however, that neither
        the Registrar nor the Transfer Agent shall deliver any Global Note
        Certificate or Individual Note Certificate as a replacement for any
        Global Note Certificate or Individual Note Certificate which has been
        mutilated or defaced otherwise than against surrender of the same and
        shall not issue any replacement Global Note Certificate or Individual
        Note Certificate until the applicant has furnished the Master Issuer,
        Registrar or Transfer Agent, as the case may be, with such evidence
        and indemnity as the Master Issuer and the Transfer Agent or the
        Registrar (as the case may be) may reasonably require and has paid
        such costs and expenses as may be incurred in connection with such
        replacement.

6.2     Replacements to be numbered: Each replacement Global Note Certificate
        or Individual Note Certificate delivered hereunder shall bear a unique
        serial number.

6.3     Cancellation and destruction: Each of the Registrar and the Transfer
        Agent, as the case may be, shall cancel and destroy each mutilated or
        defaced Note Certificate surrendered to it in respect of which a
        replacement has been delivered and the Registrar shall, in addition,
        as promptly as is practicable, enter such details on the Register.

6.4     Notification: The Registrar or the Transfer Agent, as the case may be,
        shall notify the Master Issuer, the other Agents and the Note Trustee
        of the delivery by it in accordance herewith of any replacement Note
        Certificate, specifying the serial number thereof and the serial
        number (if any and if known) of the Note Certificate which it replaces
        and confirm (if such is the case) that the Note Certificate which it
        replaces has been cancelled or destroyed.

7.      Payments to the Paying Agents

7.1     Master Issuer to pay the Paying Agents: In order to provide for the
        payment of interest and principal in respect of a Series and Class of
        Issuer Notes as the same becomes due and payable in accordance with
        the Issuer Conditions and the Issuer Trust Deed, the Master Issuer
        shall pay to the Paying Agents or otherwise cause the Paying Agents to
        receive on or before the date on which such payment becomes due, an
        amount which is equal to the amount of principal and interest then
        falling due in respect of such Series and Class of Issuer Notes on
        such Payment Date.

7.2     Manner and Time of Payment: The Master Issuer shall, not later than
        10.00 a.m. (London time) or, in the case of any payment in dollars,
        10.00 a.m. (New York time) on each Payment Date, or other date on
        which any payment of principal and interest in respect of a Series and
        Class of Issuer Notes becomes due, unconditionally pay or cause to be
        unconditionally paid to the Paying Agents by credit transfer such
        amounts in the relevant currency, in immediately available funds or,
        as the case may be, same day freely-transferable funds as may be
        required for the purpose of paying interest and (to the extent
        applicable) principal under such Series and Class of Issuer Notes
        (after taking account of any cash then held by the Paying Agents and
        available for the purpose), such amounts to be paid to the credit of
        such accounts of the Paying Agents with such banks in the principal
        financial centre in the country of the relevant currency (which, if
        the relevant currency is Australian dollars, New Zealand dollars or
        euro shall be Sydney, Auckland and London, respectively) as shall be
        notified to the

                                      9
<PAGE>

        Master Issuer, the Issuer Cash Manager and to the Note Trustee by the
        Paying Agents in writing not less than two weeks before the first
        payment is due to be made to the Noteholders. Each Paying Agent shall
        notify the Master Issuer, the Issuer Security Trustee, the Issuer Cash
        Manager and/or the Note Trustee in writing, 15 Business Days prior to
        any change of those accounts, or any of them.

7.3     Notification of Payment by Master Issuer: The Master Issuer shall
        procure that each bank or other person effecting payment for it in
        accordance with Clause 7.2 (Manner and Time of Payment) shall by not
        later than 2.00 p.m. (Local time) on the second Business Day before
        the due date of each payment under Clause 7.2 (Manner and Time of
        Payment) confirm by tested telex, facsimile or authenticated SWIFT
        message to the Paying Agents that it has issued irrevocable payment
        instructions for the transfer of the relevant sum due to the relevant
        account of the Paying Agents.

7.4     Confirmation of Amounts Payable in respect of the Issuer Notes: The
        Master Issuer shall by not later than 2.00 p.m. (Local time) on the
        second Business Day before each Payment Date, or other date on which
        any payment is due under Clause 7.2 (Manner and Time of Payment),
        notify, or procure the notification by the Issuer Cash Manager or
        other person on behalf of the Master Issuer to, the Paying Agents, the
        Note Trustee and the Registrar of the amount of interest and/or
        principal (as the case may be) payable to Noteholders in accordance
        with the Issuer Conditions in respect of each Series and Class of
        Issuer Notes on such Payment Date, or other date in question and the
        apportionment of such amount as between principal and interest. All
        such amounts shall be payable subject to and in accordance with the
        Issuer Priority of Payments.

7.5     Exclusion of Liens and Interest: Save as expressly provided otherwise
        in this Agreement, the Paying Agents shall be entitled to deal with
        each amount paid to them under this Clause 7 (Payments to the Paying
        Agents) in the same manner as other amounts paid to them as bankers by
        their customers; provided, however, that:

        (a)  they shall not exercise against the Master Issuer any lien, right
             of set-off or similar claim in respect thereof;

        (b)  they shall not be liable to any person for interest thereon; and

        (c)  funds received by the Paying Agents for the payment of any sums
             due in respect of any Issuer Notes shall be segregated only to
             the extent required by law.

7.6     Application by Paying Agents: The Paying Agents shall apply (or direct
        or cause the application of) each amount paid to them under this
        Clause 7 (Payments to the Paying Agents) in accordance with Clause 8
        (Payments to Noteholders) and shall not be obliged to repay any such
        amount other than as provided herein or unless the claim for the
        relevant payment becomes void under the Issuer Conditions in which
        event they shall repay to the Master Issuer such portion of such
        amount as relates to such payment, by paying the same by credit
        transfer in the relevant currency to such account with such bank as
        the Master Issuer has by notice to the Paying Agents specified for the
        purpose.

7.7     Notification if Funds Not Received on Payment Date: Each Paying Agent
        shall forthwith notify the Master Issuer, the Issuer Cash Manager, the
        Issuer Security

                                      10
<PAGE>

        Trustee and the Note Trustee and the other Agents if it has not, by
        the due date of payment to it specified in Clause 7.2 (Manner and Time
        of Payment), received unconditionally the full amount required for any
        payment.

8.      Payments to Noteholders

8.1     Payments in respect of Issuer Notes: Each Paying Agent acting through
        its Specified Office shall make payments of interest and principal in
        respect of a Series and Class of Issuer Notes in accordance with the
        Issuer Conditions and so long as such Issuer Notes are evidenced by a
        Global Note Certificate, the terms thereof, provided however, that:

        (a)  no Paying Agent will make any payment of interest or principal in
             respect of any Series and Class of Issuer Notes in an amount
             which is greater than the amount of interest or principal payable
             in accordance with the Issuer Conditions in respect of such
             Series and Class of Issuer Notes and notified to the Paying
             Agents in accordance with Clause 7.4 (Confirmation of Amounts
             Payable in respect of the Issuer Notes);

        (b)  whilst any Series and Class of Issuer Notes continue to be
             represented by a Global Note Certificate, all payments of
             principal or interest (as the case may be) due in respect of such
             Series and Class of Issuer Notes will be payable to, or to the
             order of, DTC or its nominee or Euroclear, Clearstream Luxembourg
             or their nominee;

        (c)  if any Note Certificate is presented or surrendered for payment
             to any Paying Agent and such Paying Agent has delivered a
             replacement therefor or has been notified that the same has been
             replaced, such Paying Agent shall as soon as is reasonably
             practicable notify the Master Issuer in writing of such
             presentation or surrender and shall not make payment against the
             same until it is so instructed by the Master Issuer and has
             received the amount to be so paid;

        (d)  each Paying Agent shall cancel each Note Certificate against
             presentation and surrender of which it has made full payment and
             shall deliver each such Note Certificate so cancelled by it to
             the Registrar;

        (e)  all payments in respect of any Issuer Notes will be distributed
             without deduction or withholding for any taxes, duties,
             assessments or other governmental charges of whatever nature
             except as and then only to the extent required by applicable law,
             in which case each Paying Agent shall be entitled to make such
             deduction or withholding from any payment which it makes
             hereunder. If any such deduction or withholding is required to be
             made, then neither the Master Issuer nor any other person will be
             obliged to pay any additional amounts in respect thereof; and

        (f)  a Paying Agent shall not be obliged (but shall be entitled) to
             make payments of principal or interest if it has not received the
             full amount of any payment due to it under Clause 7 (Payments to
             the Paying Agents).

8.2     Registrar Notification: The Registrar will notify the Paying Agents,
        not later than five days after each Record Date in respect of a Series
        and Class of Issuer Notes, of

                                      11
<PAGE>

        the names of all Noteholders of such Issuer Notes appearing in the
        Register on such Record Date and the addresses of such Noteholders to
        which cheques should be posted and whether any Noteholder has elected
        to receive payments by transfer to a bank account and, if so, the
        relevant details of such bank account and the Registrar and the Paying
        Agents shall make or shall procure that payments of interest and
        principal in respect of such Issuer Notes will be made in accordance
        with Condition 6 (Payments) either by cheque posted to the address of
        the Noteholder appearing in the Register on such Record Date or, if
        the Noteholder has so elected in accordance with the Issuer
        Conditions, by transfer to an account in the relevant currency;
        provided that no payment in respect of such Issuer Notes will be made
        on the final date for redemption or payment, or such earlier date as
        such Issuer Notes may become repayable or payable, in whole unless the
        Registrar or the Transfer Agent confirms to the Paying Agents that the
        relevant Note Certificate has been surrendered to it.

8.3     Partial Payments: If at any time and for any reason a Paying Agent
        makes a partial payment in respect of any Global Note Certificate or
        any Individual Note Certificate presented for payment to it, such
        Paying Agent shall endorse thereon a statement indicating the amount
        and the date of such payment. In addition, if, on any due date for
        payment, less than the full amount of any principal or interest is
        paid in respect of any Series and Class of Issuer Notes, the Registrar
        will note on the Register a memorandum of the amount and date of any
        payment then made and, if a Global Note Certificate or Individual Note
        Certificate is presented for payment in accordance with the Conditions
        and no payment is then made, the date of presentation of such Global
        Note Certificate or Individual Note Certificate.

8.4     Appropriation by Paying Agent: If any Paying Agent makes any payment
        in accordance with Clause 8.1 (Payments in respect of Issuer Notes),
        it shall be entitled to appropriate for its own account out of the
        funds received by it under Clause 7.1 (Master Issuer to pay the Paying
        Agents) an amount equal to the amount so paid by it.

8.5     Reimbursement by Master Issuer: If any Paying Agent makes a payment in
        respect of any Series and Class of Issuer Notes at any time at which
        the relevant Paying Agent has not received the full amount of the
        relevant payment due to it under Clause 7.1 (Master Issuer to pay the
        Paying Agents) and that Paying Agent is not able out of the funds
        received by it under Clause 7.1 (Master Issuer to pay the Paying
        Agents) to reimburse such Paying Agent therefor by appropriation under
        Clause 8.4 (Appropriation by Paying Agent), the Master Issuer shall
        from time to time on written demand pay to that Paying Agent for
        account of such Paying Agent:

        (a)  the amount so paid out by such Paying Agent and not so reimbursed
             to it; and

        (b)  interest on such amount from the date on which such Paying Agent
             made such payment until the date of reimbursement of such amount,

        provided, however, that any payment under paragraph (a) above shall
        satisfy pro tanto the Master Issuer's obligations under Clause 7.1
        (Master Issuer to pay the Paying Agents) and provided, further, that
        interest shall accrue for the purpose of paragraph (b) (as well after
        as before judgment) on the basis of a year of 365 days and the actual
        number of days elapsed and at a rate per annum specified by the Paying
        Agents as reflecting its cost of funds for the time being in relation
        to the unpaid amount.

                                      12
<PAGE>

9.      Transfers of Issuer Notes

9.1     Authentication and Delivery of Individual Note Certificates: The
        Registrar shall authenticate and deliver, or cause the Transfer Agent
        or other designated agent to authenticate and deliver, any Individual
        Note Certificate issued upon a transfer in accordance with this
        Agreement and the Issuer Conditions.

9.2     Maintenance of Register: The Registrar shall maintain the Register at
        its Specified Office or at such other place as the Note Trustee may
        approve in writing, in accordance with the Issuer Conditions. The
        Register shall show the aggregate Principal Amount Outstanding of each
        Issuer Note, the serial numbers thereof and the respective dates of
        issue of the related Note Certificate(s) and all subsequent transfers,
        cancellations and replacements thereof and the names and addresses of
        the initial holders thereof and the dates of all transfers and changes
        of ownership thereto and the names and addresses of all subsequent
        holders of such Note Certificates. The Registrar shall make the
        Register available to the Master Issuer, the Issuer Cash Manager, the
        Note Trustee, the other Agents or any person authorised by any of them
        at all reasonable times during its office hours for their inspection
        and for the taking of copies thereof or extracts therefrom and the
        Registrar shall deliver to such persons all such lists of Noteholders,
        their addresses and holdings as they may request.

9.3     Registration of transfers in the Register: The Registrar shall make
        available forms of transfer and receive requests for the transfer of
        any Issuer Notes and shall make the necessary entries in the Register
        to record all transfers in each case subject to and in accordance with
        the relevant Issuer Notes, the Issuer Conditions, the Regulations and
        the Issuer Trust Deed. In particular the Registrar shall, subject to
        and in accordance with the Issuer Conditions and the Regulations,
        within such period of time as is set out in the Issuer Conditions
        after the receipt by it of (or the receipt by it of notification from
        the Transfer Agent of delivery to it of) the relevant Note
        Certificates duly endorsed for transfer, authenticate and issue the
        duly dated and completed new Note Certificate(s) and deliver the new
        Note Certificate(s) in the name of the transferee at its Specified
        Office or (at the risk of the transferee) send the new Note
        Certificate(s) by mail to such address as may be specified in the form
        of transfer and make all necessary entries on the Register to record
        such transfer.

9.4     Closed Period: No transfer shall be registered for a period of 15 days
        immediately preceding any due date for payment of principal or
        interest in respect of the Issuer Notes or, as the case may be, the
        due date for redemption, or as the case may be, payment of any of the
        relevant Issuer Notes.

9.5     Transfer Agent to receive requests for transfers of Issuer Notes: The
        Transfer Agent shall receive requests for the transfer of any Issuer
        Notes in accordance with the Issuer Conditions and the Regulations and
        assist, if required, in the issue of new Note Certificates to give
        effect to such transfers and, in particular, upon any such request
        being duly made, shall promptly notify the Registrar of:

        (a)  the aggregate principal amount of the Issuer Notes to be
             transferred;

        (b)  the name(s) and addressees to be entered on the Register of the
             holder(s) of the new Note Certificate(s) to be issued in order to
             give effect to such transfer; and

                                      13
<PAGE>

        (c)  the place and manner of delivery of the new Note Certificate(s)
             to be delivered in respect of such transfer,

        and shall forward the Note Certificate(s) relating to such Issuer
        Note(s) to be transferred (with the relevant form(s) of transfer duly
        completed) to the Registrar with such notification. The Transfer Agent
        shall maintain in safe custody all Note Certificates delivered to and
        held by it hereunder and shall ensure that Issuer Notes are
        transferred only in accordance with the Issuer Conditions, the
        Regulations, this Agreement and the Issuer Trust Deed.

9.6     Regulations: In the event that Individual Note Certificates with
        respect to any Issuer Notes are required to be issued, the Registrar
        shall (after consultation with the Master Issuer, the Paying Agents,
        the Transfer Agent and the Note Trustee) promulgate reasonable
        regulations concerning the carrying out of their respective duties
        (the "Regulations"), including the carrying out of transfers and
        exchanges of such Issuer Notes and the forms and evidence to be
        proved. All such transfers and exchanges will be made subject to the
        Regulations. The initial Regulations are set out in Schedule 2
        (Regulations concerning the Transfer, Exchange and Registration of the
        Issuer Notes) hereto. The Regulations may be changed by the Master
        Issuer with the prior written approval of the Registrar and the Note
        Trustee, which approval shall not be unreasonably withheld or delayed.
        A copy of the current Regulations will be sent by the Registrar to any
        holder of an Issuer Note who so requests.

10.     Miscellaneous Duties of the Agents

10.1    Maintenance of Records: Each of the Agents shall maintain records of
        all documents received by it in connection with its duties hereunder
        and shall make such records available for inspection at all reasonable
        times by the Master Issuer, the Issuer Cash Manager, the Note Trustee
        and the other Agents and, in particular, the Registrar shall:

        (a)  maintain a full and complete record of all Note Certificates
             delivered hereunder and of their exchange, redemption, payment,
             partial payment, cancellation, mutilation, defacement, alleged
             destruction, theft, loss or, as the case may be, replacement
             (including all replacement Note Certificates issued in
             substitution for any lost, stolen, mutilated, defaced or
             destroyed Note Certificates);

        (b)  make such records available for inspection at all reasonable
             times by the Master Issuer, the Issuer Cash Manager, the Note
             Trustee and the other Agents; and

        (c)  make copies of this Agreement, the Issuer Trust Deed, the Issuer
             Deed of Charge, [the Master Definitions Schedule] and the Issuer
             Master Definitions Schedule available for inspection at its
             Specified Office at all reasonable times.

10.2    Cancellation: The Transfer Agent, the Paying Agents or the Registrar
        (as the case may be) shall:

        (a)  procure that all Note Certificates surrendered or delivered to it
             as (i) redeemed in full, (ii) mutilated or defaced, surrendered
             and replaced pursuant to the

                                      14
<PAGE>

             Issuer Conditions, or (iii) exchanged, shall forthwith be
             cancelled on behalf of the Master Issuer;

        (b)  shall keep a record of the aggregate principal amount of the
             Issuer Notes, and the serial numbers of the Note Certificates,
             which are so cancelled by it; and

        (c)  shall notify the other party or parties (i.e. the Paying Agents,
             the Transfer Agent or the Registrar (as the case may be)) of all
             action taken pursuant to Clause 10.2(a) and 10.2(b).

10.3    Information from Agents: The Agents shall make available to the other
        Agents such information as is reasonably required for the maintenance
        of the records referred to in Clause 10.1 (Maintenance of Records).

10.4    Certifications: Each Paying Agent shall promptly copy to the Master
        Issuer, any other Paying Agent and the Note Trustee any certifications
        received by it in accordance with or otherwise in relation to the
        Issuer Notes.

10.5    Forwarding of Communications: Each Agent shall promptly forward to the
        Master Issuer and the Note Trustee a copy of any notice or
        communication addressed to the Master Issuer or the Note Trustee by
        any Noteholder and which is received by such Agent.

10.6    Safe Custody of Note Certificates: Each of the Registrar and the
        Transfer Agent shall maintain in safe custody all Note Certificates
        delivered to it and held by it hereunder.

10.7    Publication and Delivery of Notices: The Registrar shall, upon and in
        accordance with the instructions of the Master Issuer and the Note
        Trustee received at least 10 days before the proposed publication
        date, arrange for the publication and delivery in accordance with the
        Issuer Conditions of any notice which is to be given to the
        Noteholders and shall promptly supply two copies thereof to the Note
        Trustee, the other Agents, the London Stock Exchange or other stock
        exchange on which the Issuer Notes are then listed, (if any) and any
        Clearing System.

10.8    Destruction: The Registrar may destroy each Note Certificate which has
        been cancelled and delivered to it in accordance with the terms of
        this Agreement, in which case it shall promptly furnish the Master
        Issuer and the Note Trustee, on request, a certificate as to such
        destruction, specifying the reason for such destruction and the serial
        numbers of the relevant Note Certificate.

10.9    Forms of Proxy and Block Voting Instructions: In the event of a
        Meeting (as defined in Schedule 4 (Provisions for Meetings of
        Noteholders) to the Issuer Trust Deed) of the Noteholders of the Notes
        of any Series and/or Class(es), the Registrar shall, at the request of
        any Noteholder in accordance with the Issuer Trust Deed, make
        available uncompleted and unexecuted Forms of Proxy and issue Block
        Voting Instructions in a form and manner which comply with the
        provisions of the Schedule 4 (Provisions for Meetings of Noteholders)
        to the Issuer Trust Deed (except that it shall not be required to
        issue the same less than forty-eight hours before the time for which
        the Meeting or the poll to which the same relates has been convened or
        called). The Registrar shall keep a full record of completed and
        executed Forms of Proxy and Block Voting Instructions issued or
        received by it and will give to the Master Issuer and the Note

                                      15
<PAGE>

        Trustee not less than twenty-four hours before the time appointed for
        any Meeting or adjourned Meeting, full particulars of duly completed
        Forms of Proxy received by it and of all Block Voting Instructions
        issued by it in respect of such Meeting or adjourned Meeting.

10.10   Submission of Note Supplement: The Principal Paying Agent shall submit
        to the relevant authority or authorities such number of copies of each
        Note Supplement which relates to Issuer Notes which are to be listed
        as the relevant stock exchange or listing authority or authorities may
        require;

10.11   Additional Duties of the Registrar: If Individual Note Certificates
        are required to be delivered pursuant to the terms of any Global Note
        Certificate and the Issuer Trust Deed, the Registrar shall:

        (a)  five Business Days prior to each Payment Date notify the Master
             Issuer, the Issuer Cash Manager and the other Agents of the
             aggregate Principal Amount Outstanding of the relevant Issuer
             Notes;

        (b)  receive any document relating to or affecting the title to any
             Individual Note Certificates including all forms of transfer,
             forms of exchange, probates, letters of administration and powers
             of attorney and maintain proper records of the details of all
             documents received;

        (c)  prepare all such lists of the holders of the Individual Note
             Certificates as may be required by the Master Issuer, the Issuer
             Cash Manager, the Paying Agents or the Note Trustee or any person
             authorised by any of them;

        (d)  comply with the proper and reasonable requests of the Master
             Issuer with respect to the maintenance of the Register and
             provide the Paying Agents with such information relating to the
             Individual Note Certificates as they may reasonably require for
             the proper performance of their duties; and

        (e)  carry out such other acts as may reasonably be necessary to give
             effect to the Issuer Conditions, this Agreement and the
             Regulations. In carrying out its functions the Registrar shall
             act in accordance with the terms of this Agreement, the
             Regulations, the Issuer Conditions and the Issuer Trust Deed.

        No transfer from a holder of an Individual Note Certificate shall be
        registered for a period of 15 days immediately preceding a Payment
        Date.

10.12   Additional Duties of the Transfer Agent: Subject as provided in and in
        accordance with the Issuer Conditions, the Regulations and this
        Agreement or if otherwise requested by the Master Issuer, the Transfer
        Agent shall:

        (a)  on behalf of the Registrar, authenticate Note Certificates in
             accordance with this Agreement upon any transfer of interests in
             a Global Note Certificate, Individual Note Certificate or
             otherwise upon any transfer of any Issuer Notes;

        (b)  on behalf of the Registrar, make available forms of transfer,
             Forms of Proxy and any certificates as to beneficial ownership in
             respect of the Issuer Notes, receive requests for the transfer of
             Note Certificates, forms of transfer, Forms

                                      16
<PAGE>

             of Proxy, certificates and other evidence, inform the Registrar
             of the name and address of the holder of each such Note
             Certificate, the serial numbers of any Note Certificates, the
             name and address of the relevant person to be inserted in the
             Register, forward each such document to the Registrar and, upon
             being informed by the Registrar that the appropriate entries have
             been made in the Register and all formalities complied with,
             forthwith upon request by the Registrar issue new Note
             Certificates on behalf of the Registrar representing the relevant
             new Note Certificates to be transferred;

        (c)  keep the Registrar informed of all transfers and exchanges and
             give to the Paying Agents and the Registrar such further
             information with regard to its activities hereunder as may
             reasonably be required by them for the proper carrying out of
             their respective duties; and

        (d)  carry out such other acts as may be necessary to give effect to
             the Issuer Conditions, this Agreement and the Regulations.

11.     Agents to act for Note Trustee

11.1    Actions of Agents after Notice by Note Trustee of a Note Event of
        Default: At any time after a Note Event of Default in respect of the
        Issuer Notes or any of them shall have occurred (which shall not have
        been waived by the Note Trustee or remedied to its satisfaction), the
        Paying Agents, the Agent Bank, the Transfer Agent and the Registrar
        shall, if so required by notice in writing given by the Note Trustee
        to the Master Issuer and the Agents (or such of them as are specified
        in such notice):

        (a)  act thereafter, and until otherwise instructed by the Note
             Trustee, as the Agents of the Note Trustee on the terms mutatis
             mutandis provided herein (with consequential amendments as
             necessary and save that the Note Trustee's liability under any
             provision herein contained for the remuneration indemnification
             and payment of out-of pocket expenses of such Agents shall be
             limited to the amount for the time being held by the Note Trustee
             on the trusts of the Issuer Trust Deed which is available to be
             applied by the Note Trustee for such purpose) and thereafter hold
             all Note Certificates and all sums, documents and records held by
             them in their respective capacities in respect of any Issuer
             Notes on behalf of the Note Trustee; and/or

        (b)  deliver up all Note Certificates and all sums, documents and
             records held by them in respect of any Issuer Notes to the Note
             Trustee or as the Note Trustee shall direct in such notice,
             provided that such notice shall be deemed not to apply to any
             document or record which any Agent is obliged not to release by
             any applicable law or regulation.

11.2    Withdrawal of Notice: The Note Trustee may, at any time if a Note
        Event of Default is remedied to the reasonable satisfaction of the
        Note Trustee during any applicable grace period, by notice in writing
        to the Master Issuer and the relevant Agents, withdraw any notice
        given by the Note Trustee pursuant to Clause 11.1 (Actions of Agents
        after Notice by Note Trustee of a Note Event of Default) whereupon
        such Agents shall act as agents of the Master Issuer in accordance
        with the terms hereof. The withdrawal of any notice given by the Note
        Trustee pursuant to Clause 11.1 (Actions of Agents after Notice by
        Note Trustee of a Note Event of Default) shall not

                                      17
<PAGE>

        preclude the Note Trustee from issuing any other or further notices
        pursuant to that Clause on any subsequent occasion and at any time
        after the occurrence of a Note Event of Default, no notice given by
        the Note Trustee pursuant to Clause 11.1 (Actions of Agents after
        Notice by Note Trustee of a Note Event of Default) shall be withdrawn
        except at the absolute discretion of the Note Trustee.

12.     Fees and Expenses

12.1    Fees: The Master Issuer shall pay to each Agent, during the period
        when any of the Issuer Notes remains outstanding, such fees as have
        been agreed in writing between the Master Issuer and each Agent in
        respect of the respective services of each Agent hereunder (together
        with any amounts in respect of value added tax (against production of
        a valid tax invoice)). If any agent shall cease to be an Agent
        hereunder, it shall repay to the Master Issuer, the unearned portion,
        calculated on a pro rata basis of the said fees.

12.2    Front-end Expenses: The Master Issuer shall after receipt of an
        account of such expenses reimburse each Agent for all reasonable
        out-of-pocket expenses incurred by it in the negotiation, preparation
        and execution of this Agreement and for all reasonable expenses
        (including, without limitation, reasonable legal fees and any
        communication, courier, postage and other out-of-pocket expenses)
        properly incurred in connection with its services hereunder (together
        with any amounts in respect of value added tax (against production of
        a valid tax invoice)) provided that such expenses shall not have been
        incurred as a result of the Agent's negligence, wilful misconduct or
        bad faith, other than such costs and expenses as are separately agreed
        to be reimbursed out of the fees payable under Clause 12.1 (Fees).

12.3    Taxes and Expenses Occasioned by Default: The Master Issuer shall pay
        all stamp, registration and other similar taxes, duties and
        governmental levies of whatsoever nature (including any interest and
        penalties thereon or in connection therewith) which are payable upon
        or in connection with the execution and delivery of this Agreement.

12.4    Payment: All amounts to be paid by the Master Issuer to any Agent
        under this Clause 12 (Fees and Expenses) shall only be payable in
        accordance with and subject to the Issuer Priority of Payments which
        is applicable to the Master Issuer at the time of payment.

13.     Terms of Appointment

13.1    Rights and Powers of the Paying Agents:

        (a)  The Paying Agents shall (except as ordered by a court of
             competent jurisdiction or as required by law) in connection with
             their services hereunder (whether or not the relevant Issuer Note
             shall be overdue and notwithstanding any notice to the contrary
             or writing shown thereon or any notice of previous loss or theft
             or of trust or other interest therein (other than a duly executed
             form of transfer)) be entitled to treat the registered holder of
             any Issuer Note as the absolute owner of such Issuer Note for all
             purposes and (save as expressly provided hereunder) make payments
             thereon.

        (b)  Each Agent may in connection with its services hereunder:

                                      18
<PAGE>

             (i)    rely upon the terms of any notice, communication or other
                    document reasonably believed by it to be genuine;

             (ii)   engage and pay for the advice or services of any lawyers
                    or other experts (being an appointee who shall have been
                    previously approved in writing by the Note Trustee) whose
                    advice or services it considers necessary and rely upon
                    any written advice so obtained (and such Agent shall be
                    protected and shall incur no liability as against the
                    Master Issuer in respect of any action taken, or suffered
                    to be taken in good faith, in accordance with such advice
                    except to the extent that such liability arises out of any
                    breach of contract, bad faith, misconduct or negligence on
                    the part of such Agent);

             (iii)  assume that the terms of each Global Note Certificate and
                    Individual Note Certificate as issued are correct;

             (iv)   refer any question relating to the ownership of any Note
                    Certificate, or the adequacy or sufficiency of any
                    evidence supplied in connection with the replacement,
                    transfer or exchange of any Note Certificate to the Master
                    Issuer for determination by the Master Issuer and in good
                    faith conclusively rely upon any determination so made;
                    and

             (v)    whenever in the administration of this Agreement it shall
                    deem it desirable that a matter be proved or established
                    prior to taking, suffering or omitting any action
                    hereunder, in the absence of bad faith or negligence or
                    wilful misconduct on its part, accept a certificate signed
                    by any person duly authorised on behalf of the Master
                    Issuer as to any fact or matter prima facie within the
                    knowledge of the Master Issuer as sufficient evidence
                    thereof.

13.2    Provision of Specimen Signatures: The Master Issuer will supply the
        Paying Agents, the Transfer Agent and the Registrar with the names and
        specimen signatures of its Authorised Signatories.

13.3    Extent of Duties: Each Agent shall only be obliged to perform the
        duties set out herein and such other duties as are necessarily
        incidental thereto. No Agent shall (i) be under any fiduciary duty
        towards or have any relationship of agency or trust for or with any
        person other than the Master Issuer and (to the extent expressly
        provided herein only) the Note Trustee (ii) be responsible for or
        liable in respect of the authorisation, validity or legality or
        enforceability of any Issuer Note or any Note Certificate (other than
        in respect of the authentication of Note Certificates by it in
        accordance with this Agreement) or any act or omission of any other
        person including, without limitation, any other Agent (except to the
        extent that such liability arises out of any breach of contract, bad
        faith, misconduct or negligence on the part of any such Agent), (iii)
        be under any obligation towards any person other than the Master
        Issuer, the other Agents and the Note Trustee or (iv) assume any
        relationship of agency or trust for or with any Noteholder except that
        funds received by the Paying Agents for the payment of any sums due in
        respect of any Issuer Notes shall be held by them on trust for the
        relevant Noteholders to the extent required by the Trust Indenture Act
        until the expiration of the relevant prescription period under the
        Issuer

                                      19
<PAGE>

        Trust Deed.

13.4    Freedom to Transact: Each Agent may purchase, hold and dispose of
        beneficial interests in an Issuer Note and may enter into any
        transaction (including, without limitation, any depository, trust or
        agency transaction) with the Master Issuer or any holders or owners of
        any Issuer Notes or with any other party hereto in the same manner as
        if it had not been appointed as the agent of the Master Issuer or the
        Note Trustee in relation to the Issuer Notes.

13.5    Indemnity in favour of the Agents: The Master Issuer agrees to
        indemnify each Agent for, and to hold such Agent harmless against, any
        loss, liability or expense incurred by it arising out of, or in
        connection with, its acting as agent of the Master Issuer or the Note
        Trustee in relation to the Issuer Notes provided that such loss,
        liability and/or expense has not arisen as a result of its own fraud,
        negligence, wilful misconduct or breach of contract. No termination of
        this Agreement shall affect the obligations created by this Clause
        13.5 (Indemnity in favour of the Agents).

13.6    Indemnity in favour of the Master Issuer: Each Agent shall severally
        indemnify the Master Issuer and, for the purposes of Clause 11 (Agents
        to act for Note Trustee), the Note Trustee, against any loss,
        liability, reasonable costs and expenses including any claim, action
        or demand which the Master Issuer or Note Trustee may incur or which
        may be made against it as a result of the breach by such Agent of the
        terms of this Agreement or its negligence, breach of contract, bad
        faith or wilful misconduct or that of its officers or employees
        including any failure to obtain and maintain in existence any consent,
        authorisation, permission or licence required by it for the
        assumption, exercise and performance of its powers and duties
        hereunder. No termination of this Agreement shall affect the
        obligations created by this Clause 13.6 (Indemnity in favour of the
        Master Issuer).

14.     No Liability for Consequential Loss

        No Agent shall in any event be liable to the Master Issuer or to any
        other party to the Issuer Transaction Documents for any special,
        indirect, punitive or consequential loss or damage of any kind
        whatsoever (including but not limited to lost profits), whether or not
        foreseeable and in each case however caused or arising.

15.     Termination of Appointment

15.1    Resignation: Subject to Clause 15.8 (Limitations on Resignation and
        Revocation), each Paying Agent in respect of any or all Series and
        Classes of Issuer Notes or the Agent Bank, the Registrar or the
        Transfer Agent may resign its appointment upon not less than 60 days'
        written notice to the Master Issuer, the Issuer Cash Manager and the
        Note Trustee to that effect, provided, however, that

        (a)  if such resignation would otherwise take effect less than 30 days
             before or after the maturity date or other date for redemption of
             any Issuer Notes or any Payment Date in relation to any Issuer
             Notes, it shall not take effect until the thirtieth day following
             such date; and

        (b)  in the case of the Registrar, the only remaining Paying Agent
             with its Specified Office in the United Kingdom, the Agent Bank
             or the only

                                      20
<PAGE>

             remaining Paying Agent with its Specified Office outside the
             United Kingdom, such resignation shall not take effect until a
             successor has been duly appointed in accordance with Clause 15.4
             (Additional and Successor Agents) and notice of such appointment
             has been given to the Noteholders.

15.2    Revocation: Subject to Clause 15.7 (Maintenance of a Paying Agent in
        the European Union) and Clause 15.8 (Limitations on Resignation and
        Revocation), the Master Issuer may at any time with the prior written
        consent of the Note Trustee revoke its appointment of any Agent as its
        agent in relation to the Issuer Notes by not less than 60 days'
        written notice to the Note Trustee and such Agent whose appointment is
        to be revoked, which notice shall expire not less than 30 days before
        a Payment Date, provided, however, that in the case of the Registrar,
        the Principal Paying Agent, the Agent Bank or the only remaining
        Paying Agent with its Specified Office outside the United Kingdom,
        such resignation shall not take effect until a successor has been duly
        appointed consistently with Clause 15.4 (Additional and Successor
        Agents) and notice of such appointment has been given to the
        Noteholders.

15.3    Automatic Termination: The appointment of any Agent shall terminate
        forthwith if at any time:

        (a)  such Agent becomes incapable of acting;

        (b)  a secured party takes possession, or a receiver, manager or other
             similar officer is appointed, of the whole or any part of the
             undertaking, assets and revenues of such Agent;

        (c)  such Agent admits in writing its insolvency or inability to pay
             its debts as they fall due or suspends payments of its debts;

        (d)  an administrator or liquidator of such Agent or the whole or any
             part of the undertaking, assets and revenues of such Agent is
             appointed (or application for any such appointment is made);

        (e)  such Agent takes any action for a readjustment or deferment of
             any of its obligations or makes a general assignment or an
             arrangement or composition with or for the benefit of its
             creditors or declares a moratorium in respect of any of its
             indebtedness;

        (f)  an order is made or an effective resolution is passed for the
             winding up of such Agent; or

        (g)  any event occurs which has an analogous effect to any of the
             foregoing in relation to such Agent.

        On the occurrence of any of the above, the relevant Agent shall
        forthwith notify the Master Issuer, the Issuer Cash Manager, the Note
        Trustee and the Paying Agents. If the appointment of the Registrar or
        the only remaining Principal Agent with a Specified Office in the
        United Kingdom, the Agent Bank or the only remaining Paying Agent with
        its Specified Office outside of the United Kingdom is terminated in
        accordance with the preceding sentence, the Master Issuer shall
        forthwith appoint a successor in accordance with Clause 15.4
        (Additional and Successor Agents).

                                      21
<PAGE>

15.4    Additional and Successor Agents: The Master Issuer may with the prior
        written approval of the Note Trustee appoint a successor principal
        paying agent, US paying agent, agent bank or registrar and additional
        or successor transfer agents or paying agents and shall forthwith give
        notice of any such appointment to the continuing Agents, the
        Noteholders, the Issuer Cash Manager and the Note Trustee, whereupon
        the successor or additional agents shall acquire and become subject to
        the same rights and obligations between themselves as if they had
        entered into an agreement in the form mutatis mutandis of this
        Agreement.

15.5    Agent may appoint Successor: If any Agent gives notice of its
        resignation in accordance with Clause 15.1 (Resignation) and by the
        tenth day before the expiration of such notice a successor agent has
        not been duly appointed in accordance with Clause 15.4 (Additional and
        Successor Agents), such Agent may itself, following such consultation
        with the Master Issuer as is practicable in the circumstances and with
        the prior written approval of the Note Trustee and the Master Issuer
        (provided such failure to appoint was not due to default by the Master
        Issuer), appoint as its successor agent any reputable and experienced
        bank or financial institution and give notice of such appointment to
        the Master Issuer, the Note Trustee, the Issuer Cash Manager, the
        remaining Agents and the Noteholders.

15.6    Rights of Successor Agent: Upon the execution by the Master Issuer and
        any successor agent of an instrument effecting the appointment of a
        successor agent, such successor agent shall, without any further act,
        deed or conveyance, become vested with all the authority, rights,
        powers, trusts, immunities, duties and obligations of its predecessor
        with like effect as if originally named as the relevant agent herein
        and such predecessor, upon payment to it of the pro rata proportion of
        its administration fee and disbursements then unpaid (if any), shall
        thereupon become obliged to transfer, deliver and pay over, and such
        successor agent shall be entitled to receive, all monies, records and
        documents (including any Note Certificates of the relevant class or
        classes of Issuer Notes, if any) held by such predecessor hereunder.

15.7    Maintenance of a Paying Agent in the European Union: The Master Issuer
        undertakes that, if the European Council Directive 2003/48/EC or any
        other Directive implementing the conclusions of the ECOFIN Council
        meeting of 26-27 November 2000 is brought into force, it will ensure
        that it maintains a paying agent in an EU Member State that will not
        be obliged to withhold or deduct tax pursuant to such Directive.

15.8    Limitations on Resignation and Revocation: Notwithstanding Clause 15.1
        (Resignation) and Clause 15.2 (Revocation):

        (a)  if at any time there should be only one Paying Agent, no
             resignation by or termination of the appointment of the Paying
             Agent shall take effect until a successor paying agent in respect
             of the affected Series and Class or Classes of Issuer Notes
             approved in writing by the Note Trustee has been appointed on
             terms previously approved in writing by the Note Trustee;

        (b)  no resignation by or termination of the appointment of any Paying
             Agent shall take effect if as a result of such resignation or
             termination there would cease to be a Paying Agent in respect of
             the affected Series and Class or Classes of

                                      22
<PAGE>

             Issuer Notes having a Specified Office in London or New York (as
             the case may be);

        (c)  no appointment or termination of the appointment of a Paying
             Agent shall take effect unless and until notice thereof shall
             have been given to the relevant Noteholders in accordance with
             the Issuer Conditions;

        (d)  no resignation by or revocation of the appointment of the Agent
             Bank shall take effect until a new Agent Bank having its
             Specified Office in London has been appointed;

        (e)  no resignation by or termination of the appointment of the
             Registrar shall take effect until a new Registrar having its
             Specified Office in London has been appointed; and

        (f)  the appointment of any additional Paying Agent shall be mutatis
             mutandis on the terms and subject to the conditions of this
             Agreement and each of the parties hereto shall co-operate fully
             to do all such further acts and things and execute any further
             documents as may be necessary or desirable to give effect to the
             appointment of such Paying Agent.

15.9    Effect of Resignation, Revocation and Termination: Upon any
        resignation or revocation taking effect under Clause 15.1
        (Resignation) or Clause 15.2 (Revocation) or any termination under
        Clause 15.3 (Automatic Termination), the relevant Agent shall:

        (a)  without prejudice to any accrued liabilities and obligations, be
             released and discharged from any further obligations under this
             Agreement (save that it shall remain entitled to the benefit of,
             and subject to, Clauses 12 (Fees and Expenses), Clause 13 (Terms
             of Appointment) and Clause 15 (Termination of Appointment));

        (b)  repay to the Master Issuer such part of any fee paid to it in
             accordance with Clause 12.1 (Fees) as shall relate to any period
             thereafter;

        (c)  deliver to the Master Issuer and to its successor agent a copy,
             certified as true and up-to-date by an officer of such Agent of
             the records maintained by it pursuant to this Agreement;

        (d)  forthwith transfer all monies and papers (including any unissued
             Note Certificates held by it hereunder) to its successor in that
             capacity and provide reasonable assistance to its successor for
             the discharge by it of its duties and responsibilities hereunder;
             and

        (e)  in the case of any Paying Agent, pay to the successor paying
             agent any amount held by it for payment of principal or interest
             in respect of the relevant Issuer Notes.

15.10   Change of Specified Office: If any Agent shall determine to change its
        Specified Office (which, in the case of each Paying Agent, may only be
        effected within the same city where each Paying Agent currently has
        its Specified Office), it shall give to

                                      23
<PAGE>

        the Master Issuer and the Note Trustee written notice of such
        determination giving the address of the new Specified Office and
        stating the date on which such change is to take effect, which date
        shall not be less than 30 days after the date of such notice, provided
        that no such notice shall take effect within the period of 30 days
        before or after any Payment Date. The Master Issuer shall, within 40
        days of receipt of such notice (unless the appointment is pursuant to
        a revocation or termination under Clause 15.2 (Revocation) or Clause
        15.3 (Automatic Termination) above on or prior to the date of such
        change), give to the Noteholders notice of such change as approved by
        the Note Trustee and of the address of the Specified Office in
        accordance with the Issuer Conditions but the costs of giving such
        notice shall be borne by such Agent changing its office and not by the
        Master Issuer.

15.11   Merger: Any legal entity into which any Agent is merged or converted
        or any legal entity resulting from any merger or conversion to which
        such Agent is a party shall, to the extent permitted by applicable
        law, be the successor to such Agent without any further formality,
        whereupon the Master Issuer, the Note Trustee, the other Agents and
        such successor shall acquire and become subject to the same rights and
        obligations between themselves as if they had entered into an
        agreement in the form mutatis mutandis of this Agreement. Written
        notice of any such merger or conversion shall forthwith be given by
        such successor to the Master Issuer, the Note Trustee and the other
        Agents.

16.     Non-Petition and Limited Recourse

16.1    Limited Recourse: Each party hereto agrees that notwithstanding any
        other provisions hereof, all payments to be made by the Master Issuer
        under this Agreement will be payable only from, and to the extent of,
        the sums paid to, or net proceeds recovered by or on behalf of, the
        Master Issuer or the Issuer Security Trustee in respect of the Issuer
        Charged Property less any amount which is required to be paid to any
        other person in priority to or in the same priority as the relevant
        party hereto subject to and in accordance with the Issuer Priority of
        Payments and there will be no other assets of the Master Issuer
        available for any further payments and following the realisation of
        the Issuer Charged Property and the distribution of the proceeds
        thereof in accordance with the Issuer Deed of Charge none of the
        parties hereto shall be entitled to take any further steps against the
        Master Issuer to recover any sums due hereunder but still unpaid and
        all outstanding claims in respect of such sums due but still unpaid
        shall be extinguished. The parties hereto look solely to such sums and
        proceeds and the rights of the Master Issuer in respect of the Issuer
        Charged Property (net as aforesaid) for payments to be made by the
        Master Issuer. The obligations of the Master Issuer to make such
        payments hereunder will be limited to such sums and the proceeds of
        realisation of the Issuer Charged Property (net as aforesaid) and the
        parties hereto will have no further recourse in respect thereof.

16.2    Non-Petition: Each of the Agents hereby covenants and agrees with the
        Master Issuer, the Issuer Security Trustee and the Note Trustee that:

        (a)  only the Issuer Security Trustee may enforce the security created
             in favour of the Issuer Security Trustee by the Issuer Deed of
             Charge in accordance with its provisions; and

                                      24
<PAGE>

        (b)  save as provided in the Issuer Deed of Charge, it shall not take
             any steps for the purpose of recovering any sums due under this
             Agreement or enforcing any rights arising out of this Agreement
             or institute against the Master Issuer or join any other person
             in instituting against Master the Issuer any winding-up,
             administration, reorganisation, liquidation, bankruptcy,
             insolvency or other proceedings of the Master Issuer for so long
             as the Issuer Notes are outstanding and until two years and one
             day has elapsed after all amounts outstanding under the Issuer
             Secured Obligations have been paid in full.

16.3    Payment to Issuer Security Trustee: Each of the Agents hereby
        undertakes with the Issuer Security Trustee, the Note Trustee and the
        Master Issuer that if, whether in the liquidation of the Master Issuer
        or otherwise any payment is made to or amount recovered by any Agent
        otherwise than in accordance with the Issuer Deed of Charge, the
        amount so paid or recovered shall be paid by such Agent to the Issuer
        Security Trustee.

17.     Notices

        Any notices or other communication or document to be given or
        delivered pursuant to this Agreement to any of the parties hereto
        shall be sufficiently served if sent by prepaid first class post, by
        hand or by facsimile transmission and shall be deemed to be given (in
        the case of facsimile transmission) when despatched or (where
        delivered by hand) on the day of delivery if delivered before 17.00
        hours on a business day in the place of the addressee or otherwise on
        the next business day in the place of the addressee if delivered
        thereafter or (in the case of first class post) when it would be
        received in the ordinary course of the post and shall be sent:

        (a)  in the case of the Master Issuer, to Granite Master Issuer plc,
             c/o Fifth Floor, 100 Wood Street, London EC2V 7EX (facsimile
             number 020 7606 0643) for the attention of: Company Secretary
             with a copy to Northern Rock plc, Northern Rock House, Gosforth,
             Newcastle upon Tyne NE3 4PL (facsimile number 0191 213 2203) for
             the attention of the Group Secretary;

        (b)  in the case of the Note Trustee or the Issuer Security Trustee,
             to The Bank of New York (London Branch) at 48th Floor, One Canada
             Square, London E14 5A1 (facsimile number 020 7964 6061/6399) for
             the attention of: Global Structured Products Unit (Corporate
             Trust);

        (c)  in the case of the Issuer Cash Manager to Northern Rock plc,
             Northern Rock House, Gosforth, Newcastle upon Tyne NE3 4PL
             (facsimile number 0191 213 2203) for the attention of the Group
             Secretary;

        (d)  in the case of any Agent, to it at the address or fax number
             specified against its name in Schedule 1 (Specified Offices of
             the Agents) hereto (or in the case of an Agent not originally a
             party hereto, specified by notice to the parties hereto at the
             time of its appointment) for the attention of the person or
             department specified therein,

        or to such other address or facsimile number or for the attention of
        such other person or entity as may from time to time be notified by
        any party to the others by fifteen

                                      25
<PAGE>

        days prior written notice in accordance with the provisions of this
        Clause 17 (Notices).

18.     Third Party Rights

        A person who is not a party to this Agreement may not enforce any of
        its terms under the Contracts (Rights of Third Parties) Act 1999, but
        this shall not affect any right or remedy of a third party which
        exists or is available apart from that Act.

19.     Time of the Essence

        Any date or period specified in this Agreement may be postponed or
        extended by mutual agreement among the parties, but as regards any
        date or period originally fixed or so postponed or extended, time
        shall be of the essence.

20.     Variation and Waiver

        No variation or waiver of this Agreement shall be effective unless it
        is in writing and signed by a duly authorised signatory of each party.
        No single or partial exercise of, or failure or delay in exercising,
        any right under this Agreement shall constitute a waiver or preclude
        any other or further exercise of that or any other right.

21.     Execution in Counterparts; Severability

21.1    Counterparts: This Agreement may be executed in any number of
        counterparts (manually or by facsimile) and by different parties
        hereto in separate counterparts, each of which when so executed shall
        be deemed to be an original and all of which when taken together shall
        constitute one and the same instrument.

21.2    Severability: Where any provision in or obligation under this
        Agreement shall be invalid, illegal or unenforceable in any
        jurisdiction, the validity, legality and enforceability of the
        remaining provisions or obligations under this Agreement, or of such
        provision or obligation in any other jurisdiction, shall not be
        affected or impaired thereby.

22.     Governing Law and Jurisdiction; Process Agent; Appropriate Forum

22.1    Governing  Law: This Agreement is governed by, and shall be construed
        in accordance with, English law.

22.2    Jurisdiction: The parties hereto irrevocably agree for the benefit of
        the Master Issuer and the Note Trustee that the courts of England are
        to have jurisdiction to settle any suit, action or proceeding, and to
        settle any disputes which may arise out of or in connection with this
        Agreement and, for such purposes, irrevocably submit to the
        jurisdiction of such courts.

22.3    Process Agent: The US Paying Agent irrevocably and unconditionally
        appoints the Principal Paying Agent at its registered office for the
        time being as its agent for service of process in England in respect
        of any proceedings in respect of this Agreement and undertakes that in
        the event of the Principal Paying Agent ceasing so to act it will
        appoint another person with a registered office in London as its agent
        for

                                      26
<PAGE>

        service of process.

22.4    Appropriate Forum: Each of the parties hereto irrevocably waives any
        objection which it might now or hereafter have to the courts of
        England being nominated as the forum to hear and determine any
        Proceedings and to settle any disputes, and agrees not to claim that
        any such court is not a convenient or appropriate forum.

23.     Exclusion of Liability

        The Note Trustee is a party to this Agreement only to receive the
        benefit of the provisions in this Agreement and has no liability under
        this Agreement.

AS WITNESS the hands of the duly authorised representatives of the parties
hereto the day and year first before written.

                                      27
<PAGE>

                                  SCHEDULE 1
                        SPECIFIED OFFICES OF THE AGENTS

The Principal Paying Agent

Citibank, N.A.
5 Carmelite Street
London EC4Y 0PA

The US Paying Agent

Citibank, N.A.
Agency and Trust
14th Floor, 388 Greenwich Street
New York N.Y. 10013
U.S.A.

The Agent Bank

Citibank, N.A.
5 Carmelite Street
London EC4Y 0PA

The Registrar

Citibank, N.A.
5 Carmelite Street
London EC4Y 0PA

The Transfer Agent

Citibank, N.A.
5 Carmelite Street
London EC4Y 0PA

                                      28
<PAGE>

                                  SCHEDULE 2

               REGULATIONS CONCERNING THE TRANSFER, EXCHANGE AND
                       REGISTRATION OF THE ISSUER NOTES

1.      The Issuer Notes are in their respective Authorised Denominations or
        in such other denominations as the Note Trustee shall determine and
        notify to the relevant Noteholders. Each Issuer Note shall be held in
        the applicable Authorised Holding.

2.      Subject to paragraphs 4, 6 and 11 below, an Issuer Note may be
        transferred by execution of the relevant form of transfer under the
        hand of the transferor or, where the transferor is a corporation,
        under its common seal or under the hand of two of its officers duly
        authorised in writing. Where the form of transfer is executed by an
        attorney or, in the case of a corporation, under seal or under the
        hand of two of its officers duly authorised in writing, a copy of the
        relevant power of attorney certified by a financial institution in
        good standing or a notary public or in such other manner as the
        Registrar may require or, as the case may be, copies certified in the
        manner aforesaid of the documents authorising such officers to sign
        and witness the affixing of the seal must be delivered with the form
        of transfer. In this Schedule, "transferor" shall, where the context
        permits or requires, include joint transferors and shall be construed
        accordingly.

3.      The Note Certificate issued in respect of an Issuer Note to be
        transferred or exchanged must be surrendered for registration,
        together with a duly completed and executed form of transfer
        (including any certification as to compliance with restrictions on
        transfer included in such form of transfer) at the Specified Office of
        the Registrar or the Transfer Agent, together with such evidence as
        the Registrar or (as the case may be) the Transfer Agent may
        reasonably require to prove the title of the transferor and the
        authority of the persons who have executed the form of transfer. The
        signature of the person effecting a transfer or exchange of an Issuer
        Note shall conform to any list of duly authorised specimen signatures
        supplied by the holder of such Issuer Note or be certified by a
        financial institution in good standing, notary public or in such other
        manner as the Registrar or the Transfer Agent may require.

4.      No Noteholder may require the transfer of an Issuer Note to be
        registered during the period of 15 calendar days ending on a Payment
        Date in respect of such Issuer Note.

5.      No Noteholder which has executed a Form of Proxy in relation to any
        Meeting may require the transfer of an Issuer Note covered by such
        Form of Proxy to be registered until the earlier of the conclusion of
        the Meeting and its adjournment for want of quorum.

6.      The executors or administrator of a deceased holder of an Issuer Note
        (not being one of several joint holders) and, in the case of the death
        of one or more of several joint holders, the survivor or survivors of
        such joint holders, shall be the only persons recognised by the Master
        Issuer as having any title to such Issuer Note.

7.      Any person becoming entitled to any Issuer Notes in consequence of the
        death or bankruptcy of the holder of such Issuer Notes may, upon
        producing such evidence that he holds the position in respect of which
        he proposes to act under this paragraph or of his title as the
        Registrar or the Transfer Agent shall require (including legal

                                      29
<PAGE>

        opinions), become registered himself as the holder of such Issuer
        Notes or, subject to the provisions of these Regulations, the Issuer
        Notes and the relevant Issuer Conditions as to transfer, may transfer
        such Issuer Notes. The Master Issuer, the Transfer Agent and the
        Registrar shall be at liberty to retain any amount payable upon the
        Issuer Notes to which any person is so entitled until such person
        shall be registered as aforesaid or shall duly transfer such Issuer
        Notes.

8.      Unless otherwise required by him and agreed by the Master Issuer and
        the Registrar, the holder of any Issuer Notes shall be entitled to
        receive only one Note Certificate in respect of his holding.

9.      The joint holders of any Issuer Note shall be entitled to one Note
        Certificate only in respect of their joint holding which shall, except
        where they otherwise direct, be delivered to the joint holder whose
        name appears first in the Register in respect of the joint holding.

10.     Where there is more than one transferee (to hold other than as joint
        holders), separate forms of transfer (obtainable from the specified
        office of the Registrar or the Transfer Agent) must be completed in
        respect of each new holding.

11.     A holder of Issuer Notes may transfer all or part of his holding
        provided that both the principal amount of Issuer Notes transferred
        and the principal amount of the balance transferred are in an amount
        equal to an Authorised Denomination. Where a holder of Issuer Notes
        has transferred part only of his holding comprised therein, there
        shall be delivered to him a new Note Certificate in respect of the
        balance of such holding.

12.     The Master Issuer, the Transfer Agent and the Registrar shall, save in
        the case of the issue of replacement Issuer Notes pursuant to the
        Issuer Conditions, make no charge to the holders for the registration
        of any holding of Issuer Notes or any transfer thereof or for the
        issue of any Issuer Notes or for the delivery thereof at the Specified
        Office of the Transfer Agent or the Registrar or by uninsured post to
        the address specified by the holder, but such registration, transfer,
        issue or delivery shall be effected against such indemnity from the
        holder or the transferee thereof as the Registrar or the Transfer
        Agent may require in respect of any tax or other duty of whatever
        nature which may be levied or imposed in connection with such
        registration, transfer, issue or delivery.

13.     Provided a transfer of an Issuer Note is duly made in accordance with
        all applicable requirements and restrictions upon transfer and the
        Note Certificate(s) issued in relation to such Issuer Note transferred
        are presented to the Transfer Agent and/or the Registrar in accordance
        with the Issuer Paying Agency and Agent Bank Agreement and these
        Regulations and subject to unforeseen circumstances beyond the control
        of the Transfer Agent or the Registrar arising, the Transfer Agent and
        the Registrar will, within five business days of the request for
        transfer being duly made, deliver at its Specified Office or despatch
        to the transferee by uninsured post (at the request and risk of the
        transferee) to such address as the transferee entitled to the Issuer
        Notes in relation to which such Note Certificate is issued may have
        specified, a Note Certificate in respect of which entries have been
        made in the Register, all formalities complied with and the name of
        the transferee completed on the Note Certificate by or on behalf of
        the Registrar; and, for the purposes of this paragraph, "business day"

                                      30
<PAGE>

        means a day (other than a Saturday or a Sunday) on which commercial
        banks are open for business (including dealings in foreign currencies)
        in the cities in which the Registrar and the Transfer Agent have their
        respective Specified Office.

14.     No transfer may be effected unless:

        (a)    such Issuer Note is transferred in a transaction that does not
               require registration under the Securities Act and is not in
               violation of the United States Investment Company Act of 1940;

        (b)    such transfer is effected in accordance with the provision of
               any restrictions on transfer specified in the legends (if any)
               set forth on the face of the Note Certificate issued in
               relation to such Issuer Note;

        (c)    the transferee delivers to the Registrar or the Transfer Agent
               a form of transfer (including any certification as to
               compliance with restrictions on transfer included in such form
               of transfer) endorsed on the Note Certificate issued in
               relation to such Issuer Note; and

        (d)    if the Master Issuer so requests, the Transfer Agent and the
               Registrar receive an opinion of counsel satisfactory to all of
               them.

15.     Except for in connection with the issue of replacement Note
        Certificates pursuant to Clause 6 (Replacement Note Certificates)
        hereof, no charge shall be made to the Noteholders in connection with,
        inter alia,

        (a)    the registration of any holding of Issuer Notes; or

        (b)    the transfer of Issuer Notes subject to any registration,
               transfer, issue or delivery which may be effected against an
               indemnity from the Noteholder or transferee as any relevant
               Paying Agent or, as the case may be, the Transfer Agent may
               require in respect of any tax or other duty levied or imposed
               in connection with such registration, transfer, issue or
               delivery.

16.     If Issuer Notes are issued upon the transfer, exchange or replacement
        of Note Certificates not bearing the Regulation S Legend (as defined
        below), the Note Certificates so issued shall not bear the Regulation
        S Legend. If Note Certificates are issued upon the transfer, exchange
        or replacement of Note Certificates bearing the Regulation S Legend,
        the Note Certificates so issued shall bear the Regulation S Legend.
        Each Note Certificate issued in exchange therefor shall bear a legend
        (the "Regulation S Legend") in substantially the following form:

        "THIS ISSUER NOTE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE
        UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES
        ACT") OR THE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES AND, AS
        A MATTER OF U.S. LAW, PRIOR TO THE DATE THAT IS 40 DAYS AFTER THE
        LATER OF THE CLOSING DATE AND THE COMMENCEMENT OF THE OFFERING OF THE
        ISSUER NOTES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
        TRANSFERRED IN THE UNITED STATES OR TO A U.S. PERSON (AS DEFINED IN
        REGULATION S UNDER THE SECURITIES ACT) EXCEPT PURSUANT TO AN EXEMPTION

                                      31
<PAGE>

        FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN
        ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE
        UNITED STATES."

17.     Notwithstanding any provision to the contrary herein, so long as
        Issuer Notes are represented by a Global Note Certificate which is
        held by or on behalf of DTC, transfers, exchanges or replacements of
        the Issuer Notes represented by such Global Note Certificate shall
        only be made in accordance with the legends relating to DTC set forth
        thereon.

                                      32
<PAGE>

<PAGE>

                                  SCHEDULE 3
                     FORM OF CALCULATION AGENCY AGREEMENT

                                  Dated [o]
                                  ---------

                           GRANITE MASTER ISSUER PLC

                             THE BANK OF NEW YORK
                                as Note Trustee

                                      and

                                      [o]
                             as Calculation Agent

------------------------------------------------------------------------------

                         CALCULATION AGENCY AGREEMENT

------------------------------------------------------------------------------

                          SIDLEY AUSTIN BROWN & WOOD
                               WOOLGATE EXCHANGE
                             25 BASINGHALL STREET
                                LONDON EC2V 5HA
                            TELEPHONE 020 7360 3600
                            FACSIMILE 020 7626 7937

<PAGE>

                               Table of Contents

1.    APPOINTMENT OF THE CALCULATION AGENT...................................1

2.    DUTIES OF CALCULATION AGENT............................................1

3.    EXPENSES...............................................................1

4.    INDEMNITY..............................................................1

5.    CONDITIONS OF APPOINTMENT..............................................2

6.    TERMINATION OF APPOINTMENT.............................................3

7.    COMMUNICATIONS.........................................................5

8.    CHANGE OF NOTE TRUSTEE.................................................5

9.    DESCRIPTIVE HEADINGS AND COUNTERPARTS..................................5

10.   CONTRACTS (RIGHTS OF THIRD PARTIES) ACT 1999...........................6

11.   GOVERNING LAW..........................................................6

SCHEDULE TO THE CALCULATION AGENCY AGREEMENT.................................8

<PAGE>

THIS AGREEMENT is dated [o]

BETWEEN:

(1)     GRANITE MASTER ISSUER PLC (registered number 5250668), a public
        limited company incorporated under the laws of England and Wales whose
        registered office is at Fifth Floor, 100 Wood Street, London EC2V 7EX
        (the "Master Issuer");

(2)     THE BANK OF NEW YORK acting through its office at 48th Floor, One
        Canada Square, London, E14 5A1 (acting in its capacity as note
        trustee, the "Note Trustee"); and

(3)     [o] of [o] (the "Calculation Agent", which expression shall include
        any successor calculation agent appointed under this Agreement).

IT IS AGREED:

1.      Appointment Of The Calculation Agent

        The Calculation Agent is appointed, and the Calculation Agent agrees
        to act, as Calculation Agent in respect of each Series of Issuer Notes
        described in the Schedule (the "Relevant Issuer Notes") for the
        purposes set out in Clause 2 and on the terms of this Agreement. The
        agreement of the parties that this Agreement is to apply to each
        Series of Relevant Issuer Notes shall be evidenced by the manuscript
        annotation and signature in counterpart of the Schedule.

2.      Duties Of Calculation Agent

        The Calculation Agent shall in relation to each series of Relevant
        Issuer Notes (each a "Series") perform all the functions and duties
        imposed on the Calculation Agent by the terms and conditions of the
        Relevant Issuer Notes (the "Conditions") including endorsing the
        Schedule appropriately in relation to expenses will be separately
        agreed in relation to each issue of Relevant Issuer Notes.

3.      Expenses

        The arrangements in relation to expenses will be separately agreed in
        relation to each issue of Relevant Issuer Notes.

4.      Indemnity

4.1     The Master Issuer shall indemnify the Calculation Agent against any
        losses, liabilities, costs, claims, actions, demands or expenses
        (together, "Losses") (including, but not limited to, all reasonable
        costs, legal fees, charges and expenses (together, "Expenses") paid or
        incurred in disputing or defending any Losses) which it may incur or
        which may be made against it as a result of or in connection with its
        appointment or the exercise of its powers and duties under this
        Agreement except for any Losses or Expenses resulting from its own
        default, negligence or bad faith or that of its officers, directors or
        employees.

4.2     The Calculation Agent shall indemnify the Master Issuer against any
        Losses and Expenses which the Master Issuer may incur or which may be
        made against the

<PAGE>

        Master Issuer as a result of the breach by the Calculation Agent of
        the terms of this Agreement or its default, negligence or bad faith or
        that of its officers, directors or employees or the breach by any of
        them of the terms of this Agreement.

4.3     Except as provided in subclause 4.2 above, the Calculation Agent in
        acting hereunder shall incur no liability in respect of any action
        taken, omitted or suffered to be taken in good faith in reliance upon:

        (a)  the written advice of any lawyer or professional adviser;

        (b)  any instruction, request or order from the Master Issuer or the
             Note Trustee; or

        (c)  any relevant Issuer Note, notice, direction, consent,
             certificate, affidavit, endorsement, assignment, statement,
             resolution, letter, telex, facsimile transaction or other paper
             or document which it reasonably believes to be genuine and signed
             by the proper party or parties.

5.      Conditions Of Appointment

5.1     In acting under this Agreement and in connection with the Relevant
        Issuer Notes, the Calculation Agent shall act solely as an agent of
        the Master Issuer, and, in the circumstances described in sub clause
        5.2, the Note Trustee and will not assume any obligations towards or
        relationship of agency or trust for or with any of the owners or
        holders of the Relevant Issuer Notes.

5.2     At any time after an Issuer Event of Default or Potential Issuer Event
        of Default shall have occurred and is continuing or the Note Trustee
        shall have received any money from the Master Issuer which it proposes
        to pay under the Issuer Trust Deed to the relevant Noteholders, the
        Note Trustee may:

        (a)  by notice in writing to the Master Issuer and the Calculation
             Agent require the Calculation Agent pursuant to this Agreement to
             act thereafter as Calculation Agent of the Note Trustee in
             relation to payments of such moneys to be made by or on behalf of
             the Note Trustee under the terms of these presents mutatis
             mutandis on the terms provided in this Agreement (save that the
             Note Trustee's liability under any provisions of this Agreement
             for the indemnification, remuneration and payment of
             out-of-pocket expenses of the Calculation Agent shall be limited
             to the amounts for the time being held by the Note Trustee on the
             trusts of these presents relating to the Issuer Notes of the
             relevant Series and available for the purpose) and thereafter to
             hold all Issuer Notes and all sums, documents and records held by
             it in respect of Issuer Notes on behalf of the Note Trustee; or

        (b)  by notice in writing to the Master Issuer require it to make all
             subsequent payments in respect of the Issuer Notes to or to the
             order of the Note Trustee and not to the Principal Paying Agent
             and with effect from the issue of any such notice to the Master
             Issuer and the Group Guarantors.

5.3     In relation to each issue of Relevant Issuer Notes, the Calculation
        Agent shall be obliged to perform the duties and only the duties
        specifically stated in this Agreement and the Issuer Conditions and no
        implied duties or obligations shall be read into this

                                      2
<PAGE>

        Agreement or the Conditions against the Calculation Agent, other than
        the duty to act honestly and in good faith and to exercise the
        diligence of a reasonably prudent expert in comparable circumstances.

5.4     The Calculation Agent may consult with legal and other professional
        advisers and the opinion of the advisers shall be full and complete
        protection in respect of any action taken, omitted or suffered under
        this Agreement in good faith and in accordance with the opinion of the
        advisers.

5.5     The Calculation Agent shall be protected and shall incur no liability
        in respect of any action taken, omitted or suffered in reliance on any
        instruction from the Master Issuer or the Note Trustee or any document
        which it reasonably believes to be genuine and to have been delivered
        by the proper party or on written instructions from the Issuer or the
        Note Trustee.

5.6     The Calculation Agent and any of its officers, directors and employees
        may become the owner of, or acquire any interest in, any Issuer Notes
        (if any) with the same rights that it or he would have had if the
        Calculation Agent were not appointed under this Agreement, and may
        engage or be interested in any financial or other transaction with the
        Master Issuer and may act on, or as depositary, trustee or agent for,
        any committee or body of holders of Issuer Notes or in connection with
        any other obligations of the Master Issuer as freely as if the
        Calculation Agent were not appointed under this Agreement.

6.      Termination Of Appointment

6.1     The Master Issuer may, with the prior written approval of the Note
        Trustee, terminate the appointment of the Calculation Agent at any
        time by giving to the Calculation Agent at least 60 days' prior
        written notice to that effect, provided that, so long as any of the
        Relevant Issuer Notes is outstanding:

        (a)  the notice shall not expire less than 45 days before the date on
             which any calculation is due to be made in respect of any
             Relevant Issuer Notes; and

        (b)  notice shall be given in accordance with the Conditions to the
             holders of the Relevant Issuer Notes at least 45 days before any
             removal of the Calculation Agent.

6.2     Notwithstanding the provisions of subclause 6.1, if at any time:

        (a)  the Calculation Agent becomes incapable of acting, or is adjusted
             bankrupt or insolvent, or files a voluntary petition in
             bankruptcy or makes an assignment for the benefit of its
             creditors or consents to the appointment of an administrator,
             liquidator or administrative or other receiver of all or any
             substantial part of its property, or admits in writing its
             inability to pay or meet its debts as they may mature or suspends
             payments of its debts, or if any order of any court is entered
             approving any petition filed by or against it under the
             provisions of any applicable bankruptcy or insolvency law or if a
             receiver of it or a substantial part of its property is appoint
             or if any officer takes charge or control of the Calculation
             Agent or of its property or affairs for the purpose of
             rehabilitation, conservation or liquidation; or

                                      3
<PAGE>

        (b)  the Calculation Agent fails duly to perform any function or duty
             imposed on it by the Conditions and this Agreement,

        the Master Issuer, with the prior written approval of the Note
        Trustee, may immediately without notice terminate the appointment of
        the Calculation Agent, in which event notice of the termination shall
        be given to the holders of the Relevant Issuer Notes in accordance
        with the Issuer Conditions as soon as practicable.

6.3     The termination of the appointment of the Calculation Agent under
        subclause 6.1 or 6.2 shall not entitle the Calculation Agent to any
        amount by way of compensation but shall be without prejudice to any
        amount then accrued due.

6.4     The Calculation Agent may resign its appointment under this Agreement
        at any time by giving to the Master Issuer and the Note Trustee at
        least 90 days prior written notice to that effect. Following receipt
        of a notice of resignation from the Calculation Agent, the Master
        Issuer shall promptly give notice of the resignation to the holders of
        the Relevant Issuer Notes in accordance with the Issuer Conditions.

6.5     Notwithstanding the provisions of subclauses 6.1, 6.2 and 6.4, so long
        as any of the Relevant Issuer Notes is outstanding, the termination of
        the appointment of the Calculation Agent (whether by the Master Issuer
        or by the resignation of the Calculation Agent) shall not be effective
        unless upon the expiry of the relevant notice a successor Calculation
        Agent approved in writing by the Note Trustee has been appointed. The
        Master Issuer agrees with the Calculation Agent that if, by the day
        falling 10 days before the expiry of any notice under subclause 6.4,
        the Master Issuer has not appointed a replacement Calculation Agent
        approved in writing by the Note Trustee, the Calculation Agent shall
        be entitled, on behalf of the Master Issuer to appoint as a successor
        Calculation Agent in its place a reputable financial institution of
        good standing which the Master Issuer and the Note Trustee shall
        approve.

6.6     Upon its appointment becoming effective, a successor Calculation Agent
        shall without further action, become vested with all the authority,
        rights, powers, duties and obligations of its predecessor with the
        same effect as if originally named as the Calculation Agent under this
        Agreement.

6.7     If the appointment of the Calculation Agent under this Agreement is
        terminated (whether by the Master Issuer or by the resignation of the
        Calculation Agent), the Calculation Agent shall on the date on which
        the termination takes effect deliver to the successor Calculation
        Agent any records concerning the Relevant Issuer Notes maintained by
        it (except those documents and records which it is obliged by law or
        regulation to retain or not to release), but shall have no other
        duties or responsibilities under this Agreement.

6.8     Any corporation into which the Calculation Agent may be merged or
        converted, or any corporation with which the Calculation Agent may be
        consolidated, or any corporation resulting from any merger, conversion
        or consolidation to which the Calculation Agent shall be a party, or
        any corporation to which the Calculation Agent shall sell or otherwise
        transfer all or substantially all of its assets shall, on the date
        when the merger, consolidation or transfer becomes effective and to
        the extent permitted by any applicable laws, becomes the successor
        Calculation Agent under this Agreement without the execution or fling
        of any paper or any further act on the part of

                                      4
<PAGE>

        any of the parties to this Agreement, unless otherwise required by the
        Master Issuer and after the said effective date all references in this
        Agreement to the Calculation Agent shall be deemed to be references to
        such successor corporation. Written notice of any such merger,
        conversion, consolidation or transfer shall immediately be given to
        the Master Issuer, the Note Trustee, the Principal Paying Agent and
        the Rating Agencies by the Calculation Agent.

7.      Communications

7.1     All communications shall be by telex, fax or letter delivered by hand.
        Each communication shall be made to the relevant party at the telex
        number, fax number or address and marked for the attention of the
        person or department from time to time specified in writing by that
        party to the others for the purpose. The initial telex number, fax
        number and person or department so specified by each party are set out
        in Clause 17 of the Issuer Paying Agent and Agent Bank Agreement or,
        in the case of the Calculation Agent, on the signature page of this
        Agreement.

7.2     A communication shall be deemed received (if by telex) when a
        confirmed answerback is received at the end of the transmission, (if
        by fax) when an acknowledgement of receipt is received or (if by
        letter) when delivered, in each case in the manner required by this
        clause. However, if a communication is received after business hours
        on any business day or on a day which is not a business day in the
        place of receipt it shall be deemed to be received and become
        effective at the opening of business on the next business day in the
        place of receipt. Every communication shall be irrevocable save in
        respect of any manifest error in it.

8.      Change Of Note Trustee

8.1     If there is any change in the identity of the Note Trustee in
        accordance with the Issuer Trust Deed, the parties of this Agreement
        shall execute such documents and take such action as the successor
        Note Trustee and the outgoing Note Trustee may reasonably require for
        the purpose of vesting in the successor Note Trustee the rights of the
        outgoing Note Trustee under this Agreement.

8.2     It is hereby acknowledged and agreed that by its execution of this
        Agreement the Note Trustee shall not assume or have any obligations or
        liabilities to any of the other parties hereto under this Agreement
        and that the Note Trustee has agreed to become a party to this
        Agreement for the purpose only of taking the benefit of this Agreement
        and agreeing to amendments thereto. Any liberty or right which may be
        exercised or any determination which may be made under this Agreement
        by the Note Trustee may be exercised or made in the Note Trustee's
        absolute discretion without any obligation to give reasons therefor,
        and the Note Trustee shall not be responsible for any Liability
        occasioned by so acting but subject always to the provisions of clause
        18 of the Issuer Trust Deed.

9.      Descriptive Headings And Counterparts

9.1     The descriptive headings in this Agreement are for convenience of
        reference only and shall not define or limit the provisions hereof.

9.2     This Agreement may be executed in any number of counterparts, and this
        has the

                                      5
<PAGE>

        same effect as if the signatures on the counterparts were on a single
        copy of this Agreement.

10.     Non-Petition and Limited Recourse

10.1    Limited Recourse: Each party hereto agrees that notwithstanding any
        other provisions hereof, all payments to be made by the Master Issuer
        under this Agreement will be payable only from, and to the extent of,
        the sums paid to, or net proceeds recovered by or on behalf of, the
        Master Issuer or the Issuer Security Trustee in respect of the Issuer
        Charged Property less any amount which is required to be paid to any
        other person in priority to or in the same priority as the relevant
        party hereto subject to and in accordance with the Issuer Priority of
        Payments and there will be no other assets of the Master Issuer
        available for any further payments and following the realisation of
        the Issuer Charged Property and the distribution of the proceeds
        thereof in accordance with the Issuer Deed of Charge none of the
        parties hereto shall be entitled to take any further steps against the
        Master Issuer to recover any sums due hereunder but still unpaid and
        all outstanding claims in respect of such sums due but still unpaid
        shall be extinguished. The parties hereto look solely to such sums and
        proceeds and the rights of the Master Issuer in respect of the Issuer
        Charged Property (net as aforesaid) for payments to be made by the
        Master Issuer. The obligations of the Master Issuer to make such
        payments hereunder will be limited to such sums and the proceeds of
        realisation of the Issuer Charged Property (net as aforesaid) and the
        parties hereto will have no further recourse in respect thereof.

10.2    Non-Petition: The Calculation Agent hereby covenants and agrees with
        the Master Issuer, the Issuer Security Trustee and the Note Trustee
        that:

        (a)  only the Issuer Security Trustee may enforce the security created
             in favour of the Issuer Security Trustee by the Issuer Deed of
             Charge in accordance with its provisions; and

        (b)  save as provided in the Issuer Deed of Charge, it shall not take
             any steps for the purpose of recovering any sums due under this
             Agreement or enforcing any rights arising out of this Agreement
             or institute against the Master Issuer or join any other person
             in instituting against Master the Issuer any winding-up,
             administration, reorganisation, liquidation, bankruptcy,
             insolvency or other proceedings of the Master Issuer for so long
             as the Issuer Notes are outstanding and until two years and one
             day has elapsed after all amounts outstanding under the Issuer
             Secured Obligations have been paid in full.

11.     Contracts (Rights Of Third Parties) Act 1999

        A person who is not a party to this Agreement has not right under the
        Contracts (Rights of Third Parties) Act 1999 to enforce any term of
        this Agreement, but this does not affect any right or remedy of a
        third party which exists or is available apart from that Act.

12.     Governing Law

        This Agreement is governed by, and shall be construed in accordance
        with, the laws of England.

                                      6
<PAGE>

THIS AGREEMENT has been entered into on the date stated at the beginning of
this Agreement.

<TABLE>
<CAPTION>
<S>                                                   <C>
The Master Issuer

Executed by
GRANITE MASTER ISSUER plc
as follows:                                           By
Signed for and on its behalf by one of its                     --------------------------------------
duly authorised attorneys/signatories                          Duly Authorised Attorney/Signatory
                                                      Name
                                                               --------------------------------------

The Note Trustee

Executed by
THE BANK OF NEW YORK
as follows:                                           By
Signed for and on its behalf by one of its                     --------------------------------------
duly authorised attorneys/signatories                          Duly Authorised Attorney/Signatory
                                                      Name
                                                               --------------------------------------

The Calculation Agent

Executed by
[o]
as follows:
[o]                                                   By
                                                               --------------------------------------
                                                               Duly Authorised Attorney/Signatory
                                                      Name
                                                               --------------------------------------

[Address of Calculation Agent]
Telephone Number:     [o]
Fax Number:           [o]
</TABLE>

                                      7
<PAGE>

<TABLE>
<CAPTION>
                 SCHEDULE TO THE CALCULATION AGENCY AGREEMENT

-------------------- ----------------- ------------------ ----------------- ------------------
Series number        Issue Date        Maturity Date      Title and         Annotation by
                                                          Nominal Amount    Calculation
                                                                            Agent/Issuer
-------------------- ----------------- ------------------ ----------------- ------------------
<S>                  <C>               <C>                <C>               <C>

</TABLE>

                                      8
<PAGE>

                                EXECUTION PAGE

<TABLE>
<CAPTION>
<S>                                                   <C>
The Master Issuer

Executed by
GRANITE MASTER ISSUER plc
as follows:                                           By
Signed  for  and on its  behalf  by one of its                 --------------------------------------
duly authorised attorneys/signatories                          Duly Authorised Attorney/Signatory
                                                      Name
                                                               --------------------------------------

The Principal Paying Agent, the Agent Bank,
the Registrar, and the Transfer Agent

Executed by
CITIBANK, N.A.
as follows:                                           By
Signed  for  and on its  behalf  by one of its                 --------------------------------------
duly authorised attorneys/signatories                          Duly Authorised Attorney/Signatory
                                                      Name
                                                               --------------------------------------

The US Paying Agent

Executed by
CITIBANK, N.A.
as follows:                                           By
Signed  for  and on its  behalf  by one of its                 --------------------------------------
duly authorised attorneys/signatories                          Duly Authorised Attorney/Signatory
                                                      Name
                                                               --------------------------------------

The Note Trustee and the Issuer Security Trustee

Executed by
THE BANK OF NEW YORK
as follows:                                           By
Signed  for  and on its  behalf  by one of its                 --------------------------------------
duly authorised attorneys/signatories                          Duly Authorised Attorney/Signatory
                                                      Name
                                                               --------------------------------------
</TABLE>

                                      9EXHIBIT 4.8

                                Dated [o], 2005

                               NORTHERN ROCK PLC
                                as Cash Manager

                       GRANITE FINANCE TRUSTEES LIMITED
                             as Mortgages Trustee

                               NORTHERN ROCK PLC
                                   as Seller

                        GRANITE FINANCE FUNDING LIMITED
                                as Beneficiary

                                    - and -

                             THE BANK OF NEW YORK
                              as Security Trustee

-------------------------------------------------------------------------------

                    SIXTH AMENDED CASH MANAGEMENT AGREEMENT

-------------------------------------------------------------------------------

                          Sidley Austin Brown & Wood
                               Woolgate Exchange
                             25 Basinghall Street
                                LONDON EC2V 5HA
                            TELEPHONE 020 7360 3600
                            FACSIMILE 020 7626 7937

<PAGE>

                                   CONTENTS

Clause                                                                Page No.

1.       Definitions and Interpretation.......................................5

2.       Appointment of Cash Manager..........................................5

3.       The Services.........................................................6

4.       Payments, Accounts, Ledgers..........................................7

5.       Early Repayment Charges.............................................20

6.       No Liability........................................................21

7.       Costs and Expenses..................................................21

8.       Information.........................................................21

9.       Remuneration........................................................25

10.      Covenants, Representations and Warranties of the Cash Manager.......25

11.      Services Non-Exclusive..............................................26

12.      Termination.........................................................26

13.      Further Assurances..................................................30

14.      Miscellaneous.......................................................30

15.      Confidentiality.....................................................31

16.      No Partnership......................................................32

17.      Assignment..........................................................32

18.      The Funding Security Trustees.......................................32

19.      New Intercompany Loan Agreements....................................33

20.      Non Petition Covenant; Limited Recourse.............................33

21.      Amendments and Waiver...............................................35

22.      Notices.............................................................36

23.      Third Party Rights..................................................37

24.      Execution in Counterparts; Severability.............................37

                                      2
<PAGE>

25.      Governing Law and Submission to Jurisdiction........................37

SCHEDULE 1 The Cash Management Services......................................39

SCHEDULE 2 Cash Management and Maintenance of Ledgers........................44

SCHEDULE 3A Form of Mortgages Trustee Quarterly Report.......................65

SCHEDULE 3B Form of Funding Quarterly Report.................................66

SCHEDULE 4 Cash Manager Representations and Warranties.......................69

                                      3
<PAGE>

THIS SIXTH AMENDED AND RESTATED CASH MANAGEMENT AGREEMENT DATED [o], 2005
AMENDS AND RESTATES THE CASH MANAGEMENT AGREEMENT DATED 26 MARCH 2001

BETWEEN:

(1)  NORTHERN ROCK PLC (registered number 3273685), a public limited company
     incorporated under the laws of England and Wales whose registered office
     is at Northern Rock House, Gosforth, Newcastle upon Tyne NE3 4PL in its
     capacity as Cash Manager;

(2)  GRANITE FINANCE TRUSTEES LIMITED (registered number 79309), a private
     limited company incorporated under the laws of Jersey, Channel Islands
     whose registered office is at 22 Grenville Street, St. Helier, Jersey JE4
     8PX, Channel Islands in its capacity as Mortgages Trustee;

(3)  NORTHERN ROCK PLC (registered number 3273685), a public limited company
     incorporated under the laws of England and Wales whose registered office
     is at Northern Rock House, Gosforth, Newcastle upon Tyne NE3 4PL in its
     capacity as Seller and in its capacity as a Beneficiary;

(4)  GRANITE FINANCE FUNDING LIMITED (registered number 79308), a private
     limited company incorporated under the laws of Jersey, Channel Islands
     having its principal place of business in the United Kingdom at 69 Park
     Lane, Croydon CR9 1TQ in its capacity as a Beneficiary; and

(5)  THE BANK OF NEW YORK a New York banking corporation whose London branch
     address is at One Canada Square, 48th Floor, London E14 5AL in its
     capacity as Security Trustee.

WHEREAS:

(A)  On the Initial Closing Date the First Issuer will issue the First Issuer
     Notes constituted by the First Issuer Trust Deed. From the proceeds of
     the issue of those First Issuer Notes, the First Issuer shall make a loan
     to Funding pursuant to the terms of the First Issuer Intercompany Loan
     Agreement. From the proceeds of that loan, Funding shall pay the Initial
     Contribution to the Mortgages Trustee as consideration in part for the
     Initial Funding Share of the Trust Property, which funds will be used by
     the Mortgages Trustee to pay to the Seller the Initial Purchase Price for
     the sale and assignment by the Seller to the Mortgages Trustee of the
     Initial Mortgage Portfolio pursuant to the Mortgage Sale Agreement.

(B)  The Cash Manager is willing to provide Cash Management Services to the
     Mortgages Trustee each Funding Beneficiary and each Funding Security
     Trustee on the terms and subject to the conditions contained in this
     Agreement.

                                      4
<PAGE>

IT IS HEREBY AGREED as follows:

1.   Definitions and Interpretation

1.1  The provisions of the Programme Master Definitions Schedule signed for
     the purposes of identification by Sidley Austin Brown & Wood and Allen &
     Overy on [o], 2005 (as the same have been and may be amended, varied or
     supplemented from time to time with the consent of the parties hereto)
     are expressly and specifically incorporated into and shall apply to this
     Agreement.

1.2  Any reference in this Agreement to any discretion, power or right on the
     part of the Mortgages Trustee shall be as exercised by the Mortgages
     Trustee only as directed by the Beneficiaries but subject in each case to
     the provisions of Clause 17 (Directions from Beneficiaries) of the
     Mortgages Trust Deed.

1.3  During the period 26 May 2004 to the Distribution Date falling in June
     2004 (inclusive), any reference in this Agreement to the Mortgages
     Trustee GIC Account shall be construed as meaning the account in the name
     of the Mortgages Trustee (sort code 30-16-63, account number 27034016)
     held at Lloyds TSB Bank plc, Jersey International Branch, 4 Bond Street,
     St Helier, Jersey JE4 8ZE, Channel Islands, and after such date, the
     account in the name of the Mortgages Trustee (sort code 30-00-59, account
     number 00000000, reference 132200) held at Northern Rock plc, Northern
     Rock House, Gosforth, Newcastle upon Tyne NE3 4PL.

1.4  During the period 26 May 2004 to the Payment Date falling in July 2004
     (inclusive), any reference in this Agreement to the Funding GIC Account
     shall be construed as meaning the account in the name of Funding (sort
     code 30-15-57, account number 0001933) held at Lloyds TSB Bank plc,
     Treasury Division, 25 Monument Street, London EC3R 8BQ, and after such
     date, the account in the name of Funding (sort code 30-00-59, account
     number 00000000, reference 132161) held at Northern Rock plc, Northern
     Rock House, Gosforth, Newcastle upon Tyne NE3 4PL.

2.   Appointment of Cash Manager

2.1  Appointment: Until termination pursuant to Clause 12 (Termination)
     herein, the Mortgages Trustee, Funding and the Security Trustee
     (according to their respective estates and interests) each hereby
     appoints the Cash Manager as its lawful agent to provide the Cash
     Management Services set out in this Agreement and the Cash Manager in
     each case hereby accepts such appointment on the terms and subject to the
     conditions of this Agreement.

2.2  Appointment by Funding 2: Until termination pursuant to Clause 12
     (Termination) herein, Funding 2 (according to its estates and interests)
     hereby appoints the Cash Manager as its lawful agent to provide the Cash
     Management Services set out in this Agreement and the Cash Manager hereby
     accepts such appointment on the terms and subject to the conditions of
     this Agreement. The Funding 2 Security Trustee consents to the
     appointment of the Cash Manager on the terms of and subject to the
     conditions of this Agreement.

2.3  Duties prescribed by Transaction Documents: For the avoidance of doubt
     and in

                                      5
<PAGE>

     connection with the powers conferred under Clause 2.1 (Appointment) and
     Clause 2.2 (Appointment by Funding 2), save as expressly provided
     elsewhere in this Agreement, nothing herein shall be construed so as to
     give the Cash Manager any powers, rights, authorities, directions or
     obligations other than as specified in this Agreement or any of the other
     Transaction Documents.

2.4  Appointment conditional upon issuance of First Issuer Notes: The
     appointment pursuant to Clause 2.1 (Appointment) is conditional upon the
     issue of the First Issuer Notes and the making of the First Issuer
     Intercompany Loan under the First Issuer Intercompany Loan Agreement and
     shall take effect upon and from the Initial Closing Date automatically
     without any further action on the part of any person, PROVIDED THAT, if
     the issue of the First Issuer Notes by the First Issuer has not occurred
     by 30 April 2001, or such later date as the First Issuer and the Lead
     Manager may agree, this Agreement shall cease to be of further effect.

2.5  Appointment by Funding 2 Conditional: The appointment pursuant to Clause
     2.2 (Appointment by Funding 2) herein is conditional upon the acquisition
     by Funding 2 from the Seller of part of the Seller Share of the Trust
     Property and shall take effect upon and from the Funding 2 Programme Date
     automatically without any further action on the part of any person
     PROVIDED THAT if Funding 2 has not acquired from the Seller part of the
     Seller Share of the Trust Property by [o], 2005, or such later date as
     Funding 2 and the Seller may agree, the appointment of the Cash Manager
     as agent of Funding 2 under Clause 2.2 (Appointment by Funding 2) shall
     not take effect.

3.   The Services

3.1  General: The Cash Manager shall provide the services set out in this
     Agreement (including, without limitation, Schedules 1 and 2 attached
     hereto) (the "Cash Management Services").

3.2  Approvals and authorisations: The Cash Manager shall maintain, or procure
     the maintenance of, the approvals, authorisations, consents and licences
     required in connection with the respective businesses of the Mortgages
     Trustee and each Funding Beneficiary and shall prepare and submit, or
     procure the preparation and submission of, on behalf of the Mortgages
     Trustee and each Funding Beneficiary, all necessary applications and
     requests for any further approvals, authorisations, consents or licences
     which may be required in connection with the respective businesses of the
     Mortgages Trustee and each Funding Beneficiary and shall, so far as it
     reasonably can do so, perform the Cash Management Services in such a way
     as not to prejudice the continuation of any such approvals,
     authorisations, consents or licences.

3.3  Compliance with Transaction Documents, etc.:  The Cash Management Services
     shall include procuring (so far as the Cash Manager, using its reasonable
     endeavours, is able so to do) compliance by the Mortgages Trustee and
     each Funding Beneficiary with all applicable legal requirements and with
     the terms of the Transaction Documents to which each of the Mortgages
     Trustee and/or and each Funding Beneficiary (respectively) is a party,
     PROVIDED THAT the Cash Manager shall not lend or provide any sum to the
     Mortgages Trustee or any Funding Beneficiary (other

                                      6
<PAGE>

     than as expressly contemplated by the Transaction Documents) and the Cash
     Manager shall have no liability whatsoever to the Mortgages Trustee, each
     Funding Beneficiary and each Funding Security Trustee, to any other
     person for any failure by the Mortgages Trustee or any Funding
     Beneficiary to make any payment due by any of them under any of the
     Transaction Documents (other than to the extent arising from (i) the Cash
     Manager failing to make a payment in its capacity as Administrator, or in
     any other capacity under the Transaction Documents, or (ii) the Cash
     Manager failing to perform any of its obligations under any of the
     Transaction Documents).

3.4  Liability of Cash Manager:

     (a)  The Cash Manager shall indemnify each of the Mortgages Trustee, each
          Funding Beneficiary and each Funding Security Trustee on demand for
          any loss, liability, claim, expense or damage suffered or incurred
          by any of them in respect of the negligence, bad faith or wilful
          default of the Cash Manager in carrying out its functions as Cash
          Manager under this Agreement or under the other Transaction
          Documents or as a result of a breach by the Cash Manager of the
          terms and provisions of this Agreement or such other Transaction
          Documents to which the Cash Manager is a party (in its capacity as
          such) in relation to such functions.

     (b)  For the avoidance of doubt, the Cash Manager shall not be liable in
          respect of any loss, liability, claim, expense or damage suffered or
          incurred by the Mortgages Trustee, each Funding Beneficiary or each
          Funding Security Trustee and/or any other person as a result of the
          proper performance of the Cash Management Services (as defined in
          Clause 3.1 (General)) by the Cash Manager save to the extent that
          such loss, liability, claim, expense or damage is suffered or
          incurred as a result of any negligence, bad faith or wilful default
          of the Cash Manager under, or as a result of, a breach by the Cash
          Manager of the terms and provisions of this Agreement or any of the
          other Transaction Documents to which the Cash Manager is a party (in
          its capacity as such) in relation to such functions.

4.   Payments, Accounts, Ledgers

4.1  Establishment of Bank Accounts:

     (a)  The Cash Manager hereby confirms that the Mortgages Trustee GIC
          Account has been established on or before the date hereof pursuant
          to the Bank Account Agreement and the Mortgages Trustee Guaranteed
          Investment Contract and that the Mortgages Trustee GIC Account
          Mandate in the agreed form will apply thereto at the Initial Closing
          Date. The Cash Manager undertakes (to the extent to which the same
          is within its control) that at the Initial Closing Date the
          Mortgages Trustee GIC Account will be operative and that the Cash
          Manager will not knowingly create or permit to subsist any Security
          Interest in relation to the Mortgages Trustee GIC Account (but
          without prejudice to the Mortgages Trust and the other Transaction
          Documents).

                                      7
<PAGE>

     (b)  The Cash Manager hereby confirms that the Mortgages Trustee
          Transaction Account has been established on or before the date
          hereof pursuant to the Bank Account Agreement and that the Mortgages
          Trustee Transaction Account Mandate in the agreed form will apply
          thereto at the Initial Closing Date. The Cash Manager undertakes (to
          the extent to which the same is within its control) that at the
          Initial Closing Date the Mortgages Trustee Transaction Account will
          be operative and that the Cash Manager will not knowingly create or
          permit to subsist any Security Interest in relation to the Mortgages
          Trustee Transaction Account (but without prejudice to the Mortgages
          Trust and the other Transaction Documents).

     (c)  The Cash Manager hereby confirms that the Funding GIC Account has
          been established on or before the date hereof pursuant to the Bank
          Account Agreement and the Funding Guaranteed Investment Contract and
          that the Funding GIC Account Mandate in the agreed form will apply
          thereto at the Initial Closing Date. The Cash Manager undertakes (to
          the extent to which the same is within its control) that at the
          Initial Closing Date the Funding GIC Account will be operative and
          that the Cash Manager will not knowingly create or permit to subsist
          any Security Interest in relation to the Funding GIC Account other
          than as created under or permitted pursuant to the Funding Deed of
          Charge.

     (d)  The Cash Manager hereby confirms that the Funding Transaction
          Account has been established on or before the date hereof pursuant
          to the Bank Account Agreement and that the Funding Transaction
          Account Mandate in the agreed form will apply thereto at the Initial
          Closing Date. The Cash Manager undertakes (to the extent to which
          the same is within its control) that at the Initial Closing Date the
          Funding Transaction Account will be operative and that the Cash
          Manager will not knowingly create or permit to subsist any Security
          Interest in relation to the Funding Transaction Account other than
          as created under or permitted pursuant to the Funding Deed of
          Charge.

     (e)  The Cash Manager hereby confirms that the Funding (First Issuer) GIC
          Account has been established on or before the date hereof pursuant
          to the Funding (First Issuer) Bank Account Agreement and the Funding
          (First Issuer) Guaranteed Investment Contract and that the Funding
          (First Issuer) GIC Account Mandate in the agreed form will apply
          thereto at the Initial Closing Date. The Cash Manager undertakes (to
          the extent to which the same is within its control) that at the
          Initial Closing Date the Funding (First Issuer) GIC Account will be
          operative and that the Cash Manager will not knowingly create or
          permit to subsist any Security Interest in relation to the Funding
          (First Issuer) GIC Account other than as created under or permitted
          pursuant to the Funding Deed of Charge.

     (f)  The Cash Manager hereby confirms that the Funding 2 GIC Account has
          been established on or before the Funding 2 Programme Date pursuant
          to the Funding 2 Bank Account Agreement and the Funding 2 Guaranteed
          Investment Contract and that the Funding 2 GIC Account Mandate in
          the agreed form will apply thereto at the Funding 2 Programme Date.
          The Cash

                                      8
<PAGE>

          Manager undertakes (to the extent to which the same is within its
          control) that at the Funding 2 Programme Date the Funding 2 GIC
          Account will be operative and that the Cash Manager will not
          knowingly create or permit to subsist any Security Interest in
          relation to the Funding 2 GIC Account other than as created under or
          permitted pursuant to the Funding 2 Deed of Charge.

     (g)  The Cash Manager hereby confirms that the Funding 2 Transaction
          Account has been established on or before the Funding 2 Programme
          Date pursuant to the Funding 2 Bank Account Agreement and that the
          Funding 2 Transaction Account Mandate in the agreed form will apply
          thereto at the Funding 2 Programme Date. The Cash Manager undertakes
          (to the extent to which the same is within its control) that at the
          Funding 2 Programme Date the Funding 2 Transaction Account will be
          operative and that the Cash Manager will not knowingly create or
          permit to subsist any Security Interest in relation to the Funding 2
          Transaction Account other than as created under or permitted
          pursuant to the Funding 2 Deed of Charge.

     (h)  On each occasion that Funding enters into an Intercompany Loan
          Agreement, the Cash Manager undertakes to establish a separate
          Funding (Issuer) GIC Account in respect of the applicable Funding
          Issuer to which amounts in respect of any Issuer Reserve Fund and
          Issuer Liquidity Reserve Fund (if any) of such Issuer will be
          credited.

     (i)  On each occasion that a Funding Beneficiary enters into an
          Intercompany Loan Agreement (or, in the case of Funding 2, is the
          recipient of a loan advance under an Intercompany Loan Agreement),
          then the Cash Manager, the Seller, each Funding Beneficiary, each
          Funding Security Trustee and the Mortgages Trustee shall execute
          such amendments to this Agreement as may be necessary to reflect the
          establishment of any bank account for such Funding Beneficiary.

4.2  Mortgages Trustee Ledgers:

     (a)  The Cash Manager shall open and maintain in the books of the
          Mortgages Trustee the following ledgers on behalf of the Mortgages
          Trustee:

          (i)  the Principal Ledger, which shall separately reflect all
               Principal Receipts standing to the credit of each of the
               Mortgages Trustee GIC Account and the Mortgages Trustee
               Transaction Account from time to time and distribution of the
               same to the Beneficiaries;

          (ii) the Revenue Ledger, which shall separately reflect all Revenue
               Receipts standing to the credit of each of the Mortgages
               Trustee GIC Account and the Mortgages Trustee Transaction
               Account from time to time and distribution of the same to the
               Beneficiaries;

         (iii) the Losses Ledger, which shall record Losses on the Mortgage
               Portfolio;

                                      9
<PAGE>

          (iv) the Funding Share/Funding 2 Share/Seller Share Ledger which
               shall record the Funding Share, the Funding 2 Share, the Seller
               Share, the Funding Share Percentage, the Funding 2 Share
               Percentage and the Seller Share Percentage of the Trust
               Property;

          (v)  the Overpayments Ledger, which will reflect each Revenue
               Receipt and/or Principal Receipt paid by a Borrower in excess
               of the amount required under the terms of the relevant Mortgage
               Loan (and in the case of any non-Flexible Mortgage Loan any
               payment which is not a Capital Payment), which shall be divided
               into (A) the Non-Flexible Overpayments Sub Ledger to record
               Overpayments on Non-Flexible Mortgage Loans and (B) the
               Flexible Overpayments Sub Ledger to record Overpayments on
               Flexible Mortgage Loans, in each case as received into and paid
               out of the Mortgages Trustee GIC Account from time to time;

          (vi) the Non-Flexible Underpayments Ledger, which shall record
               Underpayments on Non-Flexible Mortgage Loans from time to time;

         (vii) the Re-Draws Ledger, which will record Re-Draws on the
               Flexible Mortgage Loans and which shall be divided into (A) the
               Cash Re-Draws Sub Ledger to record Cash Re-Draws made in
               respect of Flexible Mortgage Loans and (B) the Non-Cash
               Re-Draws Sub Ledger to record Non-Cash Re-Draws made in respect
               of Flexible Mortgage Loans;

        (viii) the Contributions Ledger, which will be divided into sub
               ledgers to record the making of Contributions to the Mortgages
               Trustee pursuant to the Mortgages Trust Deed by each of the
               Funding Beneficiaries and the Seller and the application of
               such Contributions in accordance with the terms of the
               Mortgages Trust Deed by:

               (A)  the payment by the Mortgages Trustee to the Seller of (1)
                    amounts of Initial Purchase Price for the sale of any New
                    Mortgage Portfolio which is acquired by the Mortgages
                    Trustee from the Seller under the provisions of Mortgage
                    Sale Agreement (2) amounts of Deferred Purchase Price in
                    accordance with the Mortgage Sale Agreement or (3) amounts
                    of any Special Distribution in accordance with the
                    Mortgages Trust Deed;

               (B)  the payment by the Mortgages Trustee to Funding of amounts
                    of any Special Distribution in accordance with the
                    Mortgages Trust Deed; and

          (ix) the Further Draws Ledger, which will record Further Draws on
               Personal Secured Loans from time to time.

                                      10
<PAGE>

     (b)  The Cash Manager shall make credits and debits to the Mortgages
          Trustee Ledgers in the manner described in paragraphs 10, 11, 12,
          13, 20, 21 and 22 of Schedule 2 hereto.

4.3  Funding Ledgers:

     (a)  The Cash Manager shall open and maintain in the books of Funding the
          following ledgers on behalf of Funding:

          (i)  the Issuer Reserve Fund Ledger of any Funding Issuer, which
               shall record the amount credited to the Issuer Reserve Fund of
               such Issuer on the related Closing Date, and subsequent
               withdrawals and deposits in respect of such Issuer Reserve
               Fund;

          (ii) the Issuer Liquidity Reserve Ledger of any Funding Issuer, if
               any, which shall record the amount credited to the Issuer
               Liquidity Reserve Fund from time to time of such Issuer, and
               subsequent withdrawals and deposits in respect of such Issuer
               Liquidity Reserve Fund;

         (iii) the Funding Principal Ledger, which shall separately reflect
               all Funding Principal Receipts received by Funding on each
               Distribution Date and all Funding Principal Receipts standing
               to the credit of each Funding Bank Account, and the following
               sub-ledgers:

               (A)  the Group 1 Principal Sub-Ledger which shall record
                    receipts and payments of Funding Principal Receipts
                    allocable to Group 1; and

               (B)  the Group 2 Principal Sub-Ledger which shall record
                    receipts and payments of Funding Principal Receipts
                    allocable to Group 2;

          (iv) the Funding Principal Deficiency Ledger, which shall reflect
               the aggregate position of the Issuer Principal Deficiency
               Ledgers of all Funding Issuers as to Losses on the Mortgage
               Loans and the application of Funding Available Principal
               Receipts to fund Issuer Liquidity Reserve Funds;

          (v)  the Funding Revenue Ledger, which shall separately reflect all
               Funding Revenue Receipts received by Funding on each
               Distribution Date and all Funding Revenue Receipts standing to
               the credit of each Funding Bank Account, and the following
               sub-ledgers:

               (A)  the Funding Expense Sub-Ledger which shall record receipts
                    and payments of Funding Revenue Receipts allocable to the
                    payment of expenses;

               (B)  the Group 1 Revenue Sub-Ledger which shall record receipts
                    and payments of Funding Revenue Receipts allocable to
                    Group 1; and

                                      11
<PAGE>

               (C)  the Group 2 Revenue Sub-Ledger which shall record receipts
                    and payments of Funding Revenue Receipts allocable to
                    Group 2;

          (vi) the Funding Reserve Ledger, which shall record the amount
               credited to the Funding Reserve Fund from time to time, and
               subsequent withdrawals and deposits in respect of the Funding
               Reserve Fund; and

          (vii)the Funding Intercompany Loan Ledger, which shall be divided
               into segregated sub ledgers each of which shall record payments
               of interest and fees and repayments of principal made under
               each Funding Intercompany Loan.

     (b)  The Cash Manager shall make credits and debits to the Funding
          Ledgers in accordance with the provisions of paragraphs [14] through
          [19] of Schedule 2 hereto.

4.4  Funding 2 Ledgers:

     (a)  The Cash Manager shall open and maintain in the books of Funding 2
          the following ledgers on behalf of Funding 2:

          (i)  the Funding 2 Principal Ledger, which shall separately reflect
               all Funding 2 Principal Receipts received by Funding 2 on each
               Distribution Date (other than any Funding 2 Principal Receipts
               constituting the Cash Accumulation Requirement) and all Funding
               2 Principal Receipts standing to the credit of each Funding 2
               Bank Account (other than any Funding 2 Principal Receipts
               credited to the Funding 2 Cash Accumulation Ledger);

          (ii) the Funding 2 Cash Accumulation Ledger which shall separately
               reflect all Funding 2 Principal Receipts received by Funding 2
               on each Distribution Date in respect of the Cash Accumulation
               Requirement;

         (iii) the Funding 2 Principal Deficiency Ledger, which shall
               comprise five sub-ledgers to be known as the AAA Principal
               Deficiency Sub-Ledger, the AA Principal Deficiency Sub-Ledger,
               the A Principal Deficiency Sub-Ledger, the BBB Principal
               Deficiency Sub-Ledger and the BB Principal Deficiency
               Sub-Ledger, and which shall record (A) any principal
               deficiencies arising from Losses on the Mortgage Loans which
               have been allocated to Funding 2, (B) the application of
               Funding 2 Available Principal Receipts to meet any deficiency
               in Funding 2 Available Revenue Receipts, (C) the application of
               Funding 2 Available Principal Receipts to fund the Funding 2
               Liquidity Reserve Fund and (D) the application of Funding 2
               Available Revenue Receipts to be applied to reduce the balances
               on the Funding 2 Principal Deficiency Ledger;

          (iv) the Funding 2 Revenue Ledger, which shall separately reflect
               all Funding 2 Revenue Receipts received by Funding 2 on each

                                      12
<PAGE>

               Distribution Date, and all Funding 2 Revenue Receipts standing
               to the credit of each Funding 2 Bank Account (other than any
               Funding 2 Swap Collateral Account);

          (v)  the Funding 2 Reserve Ledger, which shall record the amount
               credited to the Funding 2 Reserve Fund from time to time, and
               subsequent withdrawals and deposits in respect of the Funding 2
               Reserve Fund;

          (vi) the Funding 2 Liquidity Reserve Ledger, which shall record the
               amount credited to the Funding 2 Liquidity Reserve Fund from
               time to time, and subsequent withdrawals and deposits in
               respect of the Funding 2 Liquidity Reserve Fund provided that
               the Funding 2 Liquidity Reserve Ledger shall only be
               established in the event that Funding 2 is required to
               establish the Funding 2 Liquidity Reserve Fund;

         (vii) the Funding 2 Liquidity Facility Ledger which shall record all
               drawings and repayments in respect of any Funding 2 Liquidity
               Facility provided that the Funding 2 Liquidity Facility Ledger
               shall only be established in the event that Funding 2 enters
               into a Funding 2 Liquidity Agreement;

        (viii) the Funding 2 Swap Collateral Ledger to record all payments,
               deliveries, transfers and receipts in connection with Swap
               Collateral, including, without limitation:

               (A)  the delivery of any Swap Collateral to Funding 2 by the
                    Funding 2 Basis Rate Swap Provider;

               (B)  the receipt of any income or distributions in respect of
                    such Swap Collateral and the payment of such income or
                    distributions to the Funding 2 Basis Rate Swap Provider;

               (C)  the return of all, or any part of, such Swap Collateral to
                    the Funding 2 Basis Rate Swap Provider; and

               (D)  the payment or transfer of all, or any part of, such Swap
                    Collateral to the Funding 2 Transaction Account or the
                    Funding 2 Swap Account,

               provided that the Funding 2 Swap Collateral Ledger shall only
               be established in the event that the Funding 2 Basis Rate Swap
               Provider pays or transfers Swap Collateral to Funding 2 in
               accordance with the Funding 2 Basis Rate Swap Agreement; and

          (ix) the Funding 2 Intercompany Loan Ledger, which shall be divided
               into segregated sub-ledgers each of which shall record payments
               made under each Loan Tranche (each of which shall be divided
               into sub-ledgers to record payments of interest and fees and
               repayments of principal made under the applicable Loan
               Tranche).

                                      13
<PAGE>

     (b)  The Cash Manager shall make credits and debits to the Funding 2
          Ledgers in accordance with the provisions of paragraphs [o] through
          [o] of Schedule 2 hereto.

4.5  Payments:

     (a)  The Cash Manager shall procure that so far as it may be able in
          relation to all Mortgage Loans comprised in the Mortgage Portfolio,
          the following amounts are paid into the Mortgages Trustee
          Transaction Account:

          (i)  all Monthly Payments, other interest received under and in
               respect of the Mortgage Loans and any costs or other amounts
               received under the Mortgage Loans (including in any such case
               amounts recovered on enforcement of rights against any Borrower
               or guarantor of the Borrower, any Mortgaged Property or any of
               the Borrower's or guarantor's other property or assets);

          (ii) all final releases and all repayments or prepayments of
               principal under the Mortgage Loans;

         (iii) any amount received by or on behalf of the Mortgages Trustee
               pursuant to any Insurance Policy; and

          (iv) any other amounts whatsoever received by or on behalf of the
               Mortgages Trustee on or after the Initial Closing Date,

     (b)  The Cash Manager shall procure that the following amounts are
          credited to the Mortgages Trustee GIC Account:

          (i)  from time to time upon written or electronic receipt of
               instructions from the Administrator, all amounts standing to
               the credit of the Mortgages Trustee Transaction Account; and

          (ii) all interest earned on any of (A) the Mortgages Trustee
               Transaction Account, (B) the Mortgages Trustee GIC Account and
               (C) all investment proceeds from Authorised Investments
               purchased from amounts standing to the credit of either the
               Mortgages Trustee Transaction Account or the Mortgages Trustee
               GIC Account.

     (c)  The Cash Manager shall procure that on each Distribution Date the
          following amounts are paid into the Funding GIC Account:

          (i)  all Funding Principal Receipts, PROVIDED HOWEVER that any
               amounts recorded as a credit on the Non-Flexible Overpayments
               Sub-Ledger shall remain in the Mortgages Trustee GIC Account on
               such Distribution Date;

          (ii) all Funding Revenue Receipts; and

                                      14
<PAGE>

         (iii) any other amounts whatsoever received by or on behalf of
               Funding after the Initial Closing Date,

          and the Cash Manager shall procure that all interest earned on the
          Funding GIC Account and the Funding Transaction Account and all
          investment proceeds from Authorised Investments purchased from
          amounts standing to the credit of such accounts are credited to the
          Funding GIC Account.

     (d)  The Cash Manager shall procure that all interest earned on each
          Funding (Issuer) GIC Account and all investment proceeds from
          Authorised Investments purchased from amounts standing to the credit
          of such Funding (Issuer) GIC Account are credited to such account.

     (e)  The Cash Manager shall procure that on each Payment Date the lesser
          of (1) the amount standing to the credit of the Funding GIC Account
          and (2) the aggregate of all amounts required to be paid by Funding
          to all Funding Issuers in accordance with the relevant Funding
          Priority of Payments, is credited to the Funding Transaction Account
          in accordance with the provisions of the Funding Deed of Charge.

     (f)  The Cash Manager shall procure that all transfers and withdrawals of
          amounts standing to the credit of the Funding Bank Accounts shall be
          made in accordance with the provisions of the Funding Deed of
          Charge.

     (g)  The Cash Manager shall procure that on each Distribution Date the
          following amounts are paid into the Funding 2 GIC Account:

          (i)  all Funding 2 Principal Receipts, PROVIDED HOWEVER that any
               amounts recorded as a credit on the Non-Flexible Overpayments
               Sub Ledger shall remain in the Mortgages Trustee GIC Account on
               such Distribution Date; and

          (ii) all Funding 2 Revenue Receipts; and

         (iii) any other amounts whatsoever received by or on behalf of
               Funding 2 after the Funding 2 Programme Date (excluding Swap
               Collateral),

          and the Cash Manager shall procure that all interest earned on the
          Funding 2 GIC Account and the Funding 2 Transaction Account and all
          investment proceeds from Authorised Investments purchased from
          amounts standing to the credit of such accounts are credited to the
          Funding 2 GIC Account.

     (h)  The Cash Manager shall procure that on each Payment Date the lesser
          of (1) the amount standing to the credit of the Funding 2 GIC
          Account and (2) the aggregate of all amounts required to be paid by
          Funding 2 to all Funding 2 Issuers in accordance with the relevant
          Funding 2 Priority of Payments, is credited to the Funding 2
          Transaction Account in accordance with the provisions of the Funding
          2 Deed of Charge.

                                      15
<PAGE>

     (i)  The Cash Manager shall procure that all transfers and withdrawals of
          amounts standing to the credit of the Funding 2 Transaction Account,
          the Funding 2 GIC Account and the Funding 2 Swap Collateral Account
          shall be made in accordance with the provisions of the Funding 2
          Deed of Charge.

     (j)  Each of the payments into the Mortgages Trustee Bank Accounts, the
          Funding Bank Accounts and the Funding 2 Bank Accounts referred to in
          Clauses 4.4(a) through (i) herein shall be made forthwith upon
          receipt by the Mortgages Trustee, Funding, Funding 2 or the Cash
          Manager, as the case may be, of the amount in question.

     (k)  For the avoidance of doubt, as soon as reasonably practicable after
          becoming aware of the same, the Cash Manager may, and shall,
          withdraw Cash from, as the case may be, the Mortgages Trustee Bank
          Accounts, the Funding Bank Accounts or the Funding 2 Bank Accounts
          if, and to the extent that, such Cash was credited thereto in error
          and shall use its reasonable endeavours to ensure that such Cash is
          applied correctly thereafter.

     (l)  The Cash Manager shall promptly notify each of the Mortgages
          Trustee, each Funding Beneficiary and each Funding Security Trustee
          of any additional account which supplements or replaces any account
          specifically referred to in the definitions of the "Mortgages
          Trustee Transaction Account", the "Mortgages Trustee GIC Account",
          the "Funding Transaction Account", the "Funding GIC Account", any
          "Funding (Issuer) GIC Account", the "Funding 2 Transaction Account"
          or the "Funding 2 GIC Account" in the Programme Master Definitions
          Schedule.

     (m)  Each of the Cash Manager and the Mortgages Trustee undertakes that,
          so far as it is able to procure the same, the Mortgages Trustee Bank
          Accounts and all instructions and Mandates in relation thereto will
          continue to be operative and will not, save as provided in Clause
          4.7 (Cash Management) herein or as permitted pursuant to the Bank
          Account Agreement, be changed without the prior written consent of
          the Funding Security Trustees (such consent not to be unreasonably
          withheld or delayed). For the avoidance of doubt, the Cash Manager
          may change the Authorised Signatories in respect of any instructions
          or Mandates relating to the Mortgages Trustee Bank Accounts, without
          the prior written consent of the Funding Security Trustees, in
          accordance with Clause 4.2 (Amendment or Revocation) of the Bank
          Account Agreement.

     (n)  Each of the Cash Manager and Funding undertakes that, so far as it
          is able to procure the same, the Funding Bank Accounts and all
          instructions and Mandates in relation thereto will continue to be
          operative and will not, save as provided in Clause 4.7 (Cash
          Management) herein or as permitted pursuant to the Bank Account
          Agreement or any Funding (Issuer) Bank Account Agreement, be changed
          without the prior written consent of the Security Trustee (such
          consent not to be unreasonably withheld or delayed). For the
          avoidance of doubt, the Cash Manager may change the Authorised
          Signatories in respect of any instructions or Mandates relating to
          the Funding Bank Accounts without the prior written consent of the
          Security Trustee, in

                                      16
<PAGE>

          accordance with Clause 4.2 (Amendment or Revocation) of the Bank
          Account Agreement or any Funding (Issuer) Bank Account Agreement, as
          the case may be.

     (o)  Each of the Cash Manager and Funding 2 undertakes that, so far as it
          is able to procure the same, the Funding 2 Bank Accounts and all
          instructions and Mandates in relation thereto will continue to be
          operative and will not, save as provided in Clause 4.7 (Cash
          Management) herein or as permitted pursuant to the Funding 2 Bank
          Account Agreement, be changed without the prior written consent of
          the Funding 2 Security Trustee (such consent not to be unreasonably
          withheld or delayed). For the avoidance of doubt, the Cash Manager
          may change the Authorised Signatories in respect of any instructions
          or Mandates relating to Funding 2 without the prior written consent
          of the Funding 2 Security Trustee, in accordance with Clause 4.2
          (Amendment or Revocation) of the Funding 2 Bank Account Agreement.

4.6  Withdrawals: The Cash Manager may make withdrawals:

     (a)  on behalf of the Mortgages Trustee from the Mortgages Trustee Bank
          Accounts;

     (b)  on behalf of Funding from the Funding Bank Account, but only:

          (i)  with the prior consent of the Security Trustee as provided
               under the Funding Deed of Charge or following receipt of a
               request for withdrawal in writing from the Cash Manager on
               behalf of Funding; and

          (ii) until receipt of an Intercompany Loan Enforcement Notice served
               by the Security Trustee on Funding (with a copy to the Funding
               Secured Creditors as soon as reasonable thereafter in
               accordance with and subject to the Funding Deed of Charge);

     (c)  on behalf of Funding 2 from the Funding 2 Transaction Account and
          the Funding 2 GIC Accounts, but only:

          (i)  with the prior consent of the Funding 2 Security Trustee as
               provided under the Funding 2 Deed of Charge or following
               receipt of a request for withdrawal in writing from the Cash
               Manager on behalf of Funding 2; and

          (ii) until receipt of an Intercompany Loan Enforcement Notice served
               by the Funding 2 Security Trustee on Funding 2 (with a copy to
               the Funding 2 Secured Creditors as soon as reasonable
               thereafter in accordance with and subject to the Funding 2 Deed
               of Charge),

          as permitted by this Agreement and the other Transaction Documents.

     (d)  on behalf of Funding 2 from the Funding 2 Swap Collateral Account as
          permitted by this Agreement and the other Transaction Documents.

                                      17
<PAGE>

4.7  Cash Management: In administering the Funding Bank Accounts on behalf of
     the Funding and the Security Trustee, the Cash Manager shall comply with
     the provisions of Schedule 2 hereto prior to receipt by the Cash Manager
     of a copy of any Intercompany Loan Enforcement Notice served by the
     Security Trustee on Funding. In administering the Funding 2 Bank Accounts
     on behalf of Funding 2 and the Funding 2 Security Trustee, the Cash
     Manager shall comply with the provisions of Schedule 2 hereto prior to
     receipt by the Cash Manager of a copy of any Intercompany Loan
     Enforcement Notice served by the Funding 2 Security Trustee on Funding 2.

4.8  Contributions by Funding: Following the drawing of any Intercompany Loan
     by Funding from any Funding Issuer on any date, the Cash Manager shall
     procure (i) the payment on such date by Funding to the Mortgages Trustee
     of Funding's Contribution to the Mortgages Trustee pursuant to the
     Mortgages Trust Deed and (ii) the application of such Contribution by the
     Mortgages Trustee for payment to the Seller of either (a) the amount of
     Initial Purchase Price for the sale of any New Mortgage Portfolio which
     is acquired by the Mortgages Trustee from the Seller on such date under
     the provisions of Mortgage Sale Agreement or (b) the amount of any
     Special Distribution made to the Seller as Beneficiary under the
     Mortgages Trust Deed, as applicable.

4.9  Contributions by Funding 2: Following the drawing of any Intercompany
     Loan or the drawing of any Loan Tranche pursuant to an Intercompany Loan
     Agreement by Funding 2 from any Funding 2 Issuer on any date, the Cash
     Manager shall procure:

     (i)  the payment on such date (or on such other date as may be agreed
          between Funding 2, the Funding 2 Security Trustee, the Issuer and
          the Note Trustee) by Funding 2 to a Funding 2 Issuer of an amount by
          way of the refinancing of an existing Intercompany Loan or Loan
          Tranche; or

     (ii) the payment on such date by Funding 2 to the Mortgages Trustee of
          Funding 2's Contribution to the Mortgages Trustee pursuant to the
          Mortgages Trust Deed and the application of such Contribution by the
          Mortgages Trustee for payment to:

          (a)  the Seller of either (1) the amount of Initial Purchase Price
               for the sale of any New Mortgage Portfolio which is acquired by
               the Mortgages Trustee from the Seller on such date under the
               provisions of Mortgage Sale Agreement or (2) the amount of any
               Special Distribution made to the Seller as Beneficiary under
               the Mortgages Trust Deed, as applicable; or

          (b)  Funding of the amount of any Special Distribution made to
               Funding as Beneficiary under the Mortgages Trust Deed.

4.10 Funding Reserve Fund: The Cash Manager, on behalf of Funding, may utilise
     the Funding Reserve Fund to fund initial reserves and other expenses in
     connection with the issuance of any Notes by any Funding Issuer, to the
     extent that such initial reserves and expenses are to be established, or
     paid for, by Funding and are not

                                      18
<PAGE>

     funded pursuant to the terms of the Issuer Start Up Loan Agreement
     applicable to that Funding Issuer.

4.11 Funding 2 Reserve Fund: The Cash Manager, on behalf of Funding 2, may
     utilise the Funding 2 Reserve Fund to fund initial reserves and other
     expenses in connection with the issuance of any Notes by any Funding 2
     Issuer and the making of Loan Tranches to Funding 2, to the extent that
     such reserves and expenses are to be funded or paid for by Funding 2.

4.12 Termination of Funding 2 Basis Rate Swap: If on or prior to the date of
     the earlier of (i) repayment in full of the Funding 2 Intercompany Loan
     Agreements or (ii) the service of an Intercompany Loan Enforcement Notice
     on Funding 2, the Funding 2 Basis Rate Swap Agreement is terminated, the
     Cash Manager (on behalf of Funding 2 and the Funding 2 Security Trustee)
     shall purchase a replacement hedge on terms acceptable to the Rating
     Agencies, Funding 2 and the Funding 2 Security Trustee and with a swap
     provider that the Rating Agencies have previously confirmed in writing,
     to Funding 2 and the Funding 2 Security Trustee, will not cause the
     then-current ratings of the Notes issued by the Funding 2 Issuers to be
     downgraded, withdrawn or qualified. Funding 2 may apply any early
     termination payment received from, as appropriate, the Funding 2 Basis
     Rate Swap Provider for such purpose. Any Swap Replacement Premium
     received by Funding 2 from a replacement swap provider upon entry into a
     swap agreement replacing the Funding 2 Basis Rate Swap Agreement shall
     firstly be applied in or towards payment of any termination payment due
     and payable to the Funding 2 Basis Rate Swap Provider following the
     termination of the Funding 2 Basis Rate Swap Agreement. Any amount of
     such Swap Replacement Premium not applied in or towards payment of such
     termination payment will form part of Funding 2 Available Revenue
     Receipts.

4.13 Funding 2 Swap Collateral:

     (a)  In the event that pursuant to the terms of the Funding 2 Basis Rate
          Swap Agreement, the Funding 2 Basis Rate Swap Provider pays or
          transfers Swap Collateral to Funding 2, the Cash Manager shall:

          (i)  if not already created, create the Funding 2 Swap Collateral
               Ledger in the books of Funding 2 so as to record the amount and
               type of such Swap Collateral;

          (ii) upon receipt of such Swap Collateral, credit it to and record
               the relevant details in the Funding 2 Swap Collateral Ledger;

         (iii) to the extent that such Swap Collateral is in the form of
               Cash, pay it into the relevant Funding 2 Swap Collateral Cash
               Account; and

          (iv) to the extent that such Swap Collateral is in the form of
               securities, arrange for it to be credited to the relevant
               Funding 2 Swap Collateral Securities Account.

(b)  Any such Swap Collateral shall not form part of the Funding 2 Available
     Revenue Receipts and the Funding 2 Available Principal Receipts; provided

                                      19
<PAGE>

          that if the terms of the Funding 2 Basis Rate Swap Agreement permit
          such Swap Collateral (or any part thereof) to be applied in or
          towards satisfaction of the Funding 2 Basis Rate Swap Provider's
          obligations under the Funding 2 Basis Rate Swap Agreement, and in
          the event that such Swap Collateral (or such part thereof) is to be
          so applied, the Cash Manager shall:

          (i)  where such Swap Collateral is in the form of Cash, transfer the
               amount of Cash to be so applied from the Funding 2 Swap
               Collateral Cash Account to the Funding 2 Transaction Account;
               and/or

          (ii) where such Swap Collateral is in the form of securities,
               realise the Swap Collateral and pay the amount of the net
               proceeds to be so applied into the Funding 2 Transaction
               Account,

          and, in each case, make the appropriate debits and credits to the
          Funding 2 Swap Collateral Ledger. Any amount transferred from the
          Funding 2 Swap Collateral Accounts to the Funding 2 Transaction
          Account in accordance with this Clause 4.13(b) will form part of the
          Funding 2 Available Revenue Receipts.

     (c)  To the extent that pursuant to the terms of the Funding 2 Basis Rate
          Swap Agreement, Swap Collateral (or any income or distributions in
          respect thereof) is to be returned or paid (as applicable) to the
          Funding 2 Basis Rate Swap Provider, the Cash Manager shall:

          (i)  where the relevant Swap Collateral (or such income or
               distributions) is in the form of Cash, return or pay (as
               applicable) the relevant amount of Cash out of the relevant
               Funding 2 Swap Collateral Cash Account to the Funding 2 Basis
               Rate Swap Provider; and/or

          (ii) where the relevant Swap Collateral (or such income or
               distributions) is in the form of securities, transfer and
               deliver the Swap Collateral to the Funding 2 Basis Rate Swap
               Provider,

          and, in each case, debit the Funding 2 Swap Collateral Ledger as
          appropriate.

     (d)  The terms of this Clause 4.13 shall prevail if and to the extent
          that they are inconsistent with the other paragraphs of this Clause
          4.

     (e)  If, in relation to Swap Collateral, there is any conflict between
          the terms of the Funding 2 Basis Rate Swap Agreement, the Funding 2
          Deed of Charge and/or this Agreement, the terms of the Funding 2
          Basis Rate Swap Agreement shall apply.

5.   Early Repayment Charges

     The Cash Manager shall withdraw any Early Repayment Charges paid into the
     Mortgages Trustee Bank Accounts and pay the same to the Seller, by
     telegraphic transfer to such account as may be specified by the Seller
     from time to time, promptly following a request for such withdrawal being
     received from the Seller. For the

                                      20
<PAGE>

     avoidance of doubt, the Cash Manager shall not record the receipt or
     withdrawal of Early Repayment Charges in any of the ledgers maintained
     under this Agreement.

6.   No Liability

     Save as otherwise provided in this Agreement, the Cash Manager shall have
     no liability for the obligations of any of the Mortgages Trustee, each
     Funding Beneficiary or each Funding Security Trustee under any of the
     Transaction Documents or otherwise and nothing herein shall constitute a
     guarantee, or similar obligation, by the Cash Manager of any of the
     Mortgages Trustee, each Funding Beneficiary or each Funding Security
     Trustee in respect of any of them.

7.   Costs and Expenses

7.1  Each Funding Beneficiary and the Mortgages Trustee, proportionately in
     accordance with and subject to the applicable Funding Priority of
     Payments, the applicable Funding 2 Priority of Payments or the applicable
     Mortgages Trustee Priority of Payments, as the case may be, will on each
     Payment Date reimburse the Cash Manager for all out-of-pocket costs,
     expenses and charges (together with any amounts in respect of
     Irrecoverable VAT due thereon) properly incurred by the Cash Manager in
     the performance of the Cash Management Services including any such costs,
     expenses or charges not reimbursed to the Cash Manager on any previous
     Payment Date and the Cash Manager shall supply each Funding Beneficiary
     and/or the Mortgages Trustee with an appropriate VAT invoice issued by
     the Cash Manager or, if the Cash Manager has treated the relevant cost,
     expense or charge as a disbursement for VAT purposes, by the person
     making the supply.

7.2  Unless and until otherwise agreed by the Mortgages Trustee, the Funding
     Beneficiaries and the Funding Security Trustees in writing (notified to
     the Cash Manager), each Funding Beneficiary and the Mortgages Trustee
     shall be jointly and severally responsible for reimbursing the Cash
     Manager for the out-of-pocket costs, expenses and charges (together with
     any amounts in respect of Irrecoverable VAT due thereon) referred to in
     Clause 7.1 herein.

8.   Information

8.1  Use of information technology systems:

     (a)  The Cash Manager represents and warrants that at the date hereof in
          respect of the software which is to be used by the Cash Manager in
          providing the Cash Management Services it has in place all necessary
          licences and/or consents from the respective licensor or licensors
          (if any) of such software.

     (b)  The Cash Manager undertakes that it shall for the duration of this
          Agreement, use reasonable endeavours to:

          (i)  ensure that the licences and/or consents referred to in
               paragraph (a) are maintained in full force and effect; and

                                      21
<PAGE>

          (ii) except insofar as it would breach any other of its legal
               obligations, grant to any person to whom it may sub-contract or
               delegate the performance of all or any of its powers and
               obligations under this Agreement and/or to such person as the
               Mortgages Trustee, the Funding Beneficiaries and the Funding
               Security Trustees elect as a substitute cash manager in
               accordance with the terms of this Agreement a licence to use
               any proprietary software together with any updates which may be
               made thereto from time to time.

     (c)  The Cash Manager shall use reasonable endeavours to maintain in
          working order the information technology systems used by the Cash
          Manager in providing the Cash Management Services.

     (d)  The Cash Manager shall pass to any person to whom it may
          sub-contract or delegate the performance of all or any of its powers
          and obligations under this Agreement and/or to such person as the
          Mortgages Trustee, the Funding Beneficiaries and the Funding
          Security Trustees elect as a substitute cash manager in accordance
          with the terms of this Agreement the benefit of any warranties in
          relation to the software insofar as the same are capable of
          assignment.

8.2  Bank Account Statements: The Cash Manager shall take all reasonable steps
     to ensure that it receives:

     (a)  a monthly bank statement in relation to each of the Mortgages
          Trustee Bank Accounts (and any additional or supplemental bank
          account of the Mortgages Trustee) and that it furnishes a copy of
          such statements to the Mortgages Trustee, each of the Beneficiaries
          and each Funding Security Trustee (upon its request); and

     (b)  monthly bank statements in relation to each of the Funding Bank
          Accounts (and any additional or supplemental bank account of
          Funding) and that it furnishes a copy of such statements to Funding
          and the Security Trustee (upon its request).

     (c)  monthly bank statements in relation to each of the Funding 2 Bank
          Accounts (and any additional or supplemental bank account of Funding
          2) and that it furnishes a copy of such statements to Funding 2 and
          the Funding 2 Security Trustee (upon its request).

8.3  Access to Books and Records: Subject to all applicable laws, the Cash
     Manager shall permit the Mortgages Trustee (and its auditors), each
     Funding Beneficiary (and its auditors) and each Funding Security Trustee
     and/or any other person nominated by the Funding Security Trustees or the
     Beneficiaries (to whom the Cash Manager has no reasonable objection) at
     any time during normal office hours upon reasonable notice to have
     access, or procure that such person or persons are granted access, to all
     books of record and account relating to the Cash Management Services
     provided by the Cash Manager and related matters in accordance with this
     Agreement.

8.4  Statutory Obligations: The Cash Manager will use its reasonable
     endeavours on

                                      22
<PAGE>

     behalf of the Mortgages Trustee and each Funding Beneficiary, to prepare
     or procure the preparation of and file all reports, annual returns,
     financial statements, statutory forms and other returns which the
     Mortgages Trustee and each Funding Beneficiary is required by law to
     prepare and file. Subject to approval thereof by the directors of the
     Mortgages Trustee or the applicable Funding Beneficiary (as appropriate),
     the Cash Manager shall cause such accounts to be audited by the Auditors
     and shall procure so far as it is able so to do that the Auditors shall
     make a report thereon as required by law. Copies of all documents
     referred to in this Clause 8.4 which relate to the Mortgages Trustee
     shall be delivered to the Mortgages Trustee, each Funding Beneficiary,
     each Funding Security Trustee and the Rating Agencies. Copies of all
     documents referred to in this Clause 8.4 which relate to Funding shall be
     delivered to Funding, the Security Trustee and the Rating Agencies.
     Copies of all documents referred to in this Clause 8.4 which relate to
     Funding 2 shall be delivered to Funding 2, the Funding 2 Security Trustee
     and the Rating Agencies. In each case, such documents shall be delivered
     soon as practicable after the end of each accounting reference period of
     the Mortgages Trustee or the applicable Funding Beneficiary (as
     appropriate).

8.5  Information Covenants:

     (a)  The Cash Manager shall:

          (a)  provide the Mortgages Trustee, each Funding Beneficiary, each
               Funding Security Trustee (upon its request), the Seller and the
               Rating Agencies quarterly with a report in, or substantially
               in, the form set out in Schedule 3A hereto in respect of the
               Mortgages Trustee;

          (b)  provide the Mortgages Trustee, Funding, the Security Trustee
               (upon its request), the Seller and the Rating Agencies
               quarterly with a report in, or substantially in, the form set
               out in Schedule 3B hereto in respect of Funding; and

          (c)  provide the Mortgages Trustee, Funding 2, the Funding 2
               Security Trustee (upon its request), the Seller and the Rating
               Agencies quarterly with a report in, or substantially in, the
               form set out in Schedule 3C hereto in respect of Funding 2; and

          Such quarterly reports shall be delivered to the Mortgages Trustee,
          the applicable Funding Beneficiary, the applicable Funding Security
          Trustee, the Seller and the Rating Agencies by the last Business Day
          of the month in which each Payment Date occurs.

     (b)  The Cash Manager shall notify the Rating Agencies and each Funding
          Security Trustee in writing of the details of (i) any material
          amendment to the Transaction Documents of which it is or becomes
          aware, (ii) the occurrence of an Intercompany Loan Event of Default
          or Potential Intercompany Loan Event of Default and (iii) any other
          information relating to the Cash Manager as the Rating Agencies
          and/or each Funding Security Trustee may reasonably request in
          connection with its obligations under this Agreement, PROVIDED

                                      23
<PAGE>

          THAT any such request by any Funding Security Trustee does not
          adversely interfere with the Cash Manager's day-to-day provision of
          the Cash Management Services under the other terms of this
          Agreement.

     (c)  After becoming aware of any event described in paragraph (b)(i) and
          (ii) above, the Cash Manager shall give details to the Mortgages
          Trustee, each Funding Beneficiary and each Funding Security Trustee
          of any pending legal action and any judgments given in respect of
          the Cash Manager if it could have a potential material adverse
          effect on the ability of the Cash Manager to perform its obligations
          hereunder.

     (d)  The Cash Manager shall, at the request of the Funding Security
          Trustees, furnish each Funding Security Trustee and the Rating
          Agencies with such other information relating to its business and
          financial condition as the Funding Security Trustees may request in
          connection with this Agreement, PROVIDED THAT the Funding Security
          Trustees shall not make such a request more than once every three
          months unless, in the belief of the Funding Security Trustees, an
          Intercompany Loan Event of Default, a Note Event of Default or a
          Cash Manager Termination Event (as defined in Clause 12.1 herein
          (Cash Manager Termination Events)) shall have occurred and is
          continuing or a Potential Intercompany Loan Event of Default or a
          Potential Note Event of Default shall have occurred and is
          continuing or may reasonably be expected to occur, PROVIDED THAT any
          such request by the Funding Security Trustees does not adversely
          interfere with the Cash Manager's day to day provision of the Cash
          Management Services under the other terms of this Agreement.

8.6  Together Connections Mortgage Loans and Connections Mortgage Loans:

     (a)  The Seller shall, upon request, use its reasonable endeavours to:

          (i)  provide the Cash Manager with such information (including, but
               not limited to documentary information) in its possession; and

          (ii) do such other acts and things,

          that the Cash Manager may require in order for the Cash Manager to
          exercise its rights and comply with its obligations with respect to
          the Together Connections Mortgage Loans and the Connections Mortgage
          Loans and under the Transaction Documents with respect to the
          administration of such Mortgage Loans.

     (b)  The Cash Manager shall, upon request, use its reasonable endeavours
          to:

          (i)  provide the Seller with such information (including, but not
               limited to documentary information) in its possession; and

          (ii) do such other acts and things,

                                      24
<PAGE>

          that the Seller may require in order for the Seller to, exercise its
          rights and comply with its obligations under the Together Connection
          Conditions and the Connection Conditions (where such rights and
          obligations are not required to be administered by the Mortgages
          Trustee, any Funding Beneficiary, the Administrator or the Cash
          Manager under the Transaction Documents) and in respect of the
          products linked to the Together Connections Mortgage Loans and the
          Connections Mortgage Loans.

9.   Remuneration

9.1  Fee payable:

     (a)  Subject to paragraph (b) below, the Mortgages Trustee and each
          Funding Beneficiary, proportionately in accordance with and subject
          to the applicable Funding Priority of Payments, the applicable
          Funding 2 Priority of Payments and the applicable Mortgages Trustee
          Priority of Payments, as the case may be, shall pay to the Cash
          Manager for its Cash Management Services hereunder an annual cash
          management fee of (GBP)[100,000] for its services which will be paid
          quarterly.

     (b)  Unless and until otherwise agreed by the Mortgages Trustee, the
          Funding Beneficiaries and the Funding Security Trustees in writing
          (notified to the Cash Manager), the Mortgages Trustee and each
          Funding Beneficiary shall be jointly and severally responsible for
          paying the cash management fee to the Cash Manager which is referred
          to in paragraph (a) above.

9.2  Payment of fee: The cash management fee referred to in Clause 9.1 herein
     (Fee Payable) shall only be payable to the Cash Manager on each Payment
     Date in the manner contemplated by, in accordance with and subject to the
     provisions of the applicable Mortgages Trustee Priority of Payments, the
     applicable Funding Priority of Payments and the applicable Funding 2
     Priority of Payments.

10.  Covenants, Representations and Warranties of the Cash Manager

10.1 Covenants: The Cash Manager hereby covenants with and undertakes to the
     Mortgages Trustee, each Funding Beneficiary and each Funding Security
     Trustee that without prejudice to any of its specific obligations
     hereunder:

     (a)  it will exercise all due skill, care and diligence to the
          performance of its obligations and the exercise of its discretions
          hereunder;

     (b)  it will comply with any proper directions, orders and instructions
          which the Mortgages Trustee, the Funding Beneficiaries or the
          Funding Security Trustees may from time to time give to it in
          accordance with the provisions of this Agreement and, in the event
          of any conflict, those of the Funding Security Trustees shall
          prevail;

     (c)  it will obtain and keep in force all licences, approvals,
          authorisations and consents which are necessary in connection with
          the performance of the Cash Management Services and prepare and
          submit all necessary applications and

                                      25
<PAGE>

          requests for any further approval, authorisation, consent or licence
          required in connection with the performance of the Cash Management
          Services;

     (d)  it will not knowingly fail to comply with any legal requirements in
          the performance of the Cash Management Services;

     (e)  it will make all payments required to be made by it pursuant to this
          Agreement on the due date for payment thereof for value in the
          specified currency on such day without set-off (including, without
          limitation, in respect of any fees owed to it) or counterclaim; and

     (f)  it will not without the prior written consent of the Funding
          Security Trustees amend or terminate any of the Transaction
          Documents save in accordance with their terms.

10.2 Duration of covenants: The covenants of the Cash Manager in Clause 10.1
     (Covenants) shall remain in force until this Agreement is terminated but
     without prejudice to any right or remedy of the Mortgages Trustee and/or
     any Funding Beneficiary and/or any Funding Security Trustee arising from
     breach of any such covenant prior to the date of termination of this
     Agreement.

10.3 Representations and Warranties: The Cash Manager hereby makes the
     representations and warranties to the Mortgages Trustee, each Funding
     Beneficiary and each Funding Security Trustee that are specified on
     Schedule 4 hereto.

11.  Services Non-Exclusive

     Nothing in this Agreement shall prevent the Cash Manager from rendering
     or performing services similar to those provided for in this Agreement to
     or for itself or other persons, firms or companies or from carrying on
     business similar to or in competition with the business of the Mortgages
     Trustee, each Funding Beneficiary and each Funding Security Trustee.

12.  Termination

12.1 Cash Manager Termination Events: If any of the following events ("Cash
     Manager Termination Events") shall occur:

     (a)  default is made by the Cash Manager in the payment on the due date
          of any payment due and payable by it under this Agreement or in the
          performance of its obligations under Clauses 4.4 (Payments) and 4.5
          (Withdrawals) herein and such default continues unremedied for a
          period of five (5) London Business Days after the earlier of the
          Cash Manager becoming aware of such default and receiving written
          notice from the Funding Security Trustees requiring the same to be
          remedied;

     (b)  default is made by the Cash Manager in the performance or observance
          of any of its other covenants and material obligations under this
          Agreement or any of the other Transaction Documents, which:

                                      26
<PAGE>

          (i)  in the opinion of the Security Trustee, is materially
               prejudicial to the interests of the holders of the Notes issued
               by the Funding Issuers from time to time; or

          (ii) in the opinion of the Funding 2 Security Trustee, is materially
               prejudicial to the interests of the holders of the Notes issued
               by the Funding 2 Issuers from time to time;

          and such default continues unremedied for a period of twenty (20)
          days after the earlier of the Cash Manager becoming aware of such
          default and receipt by the Cash Manager of written notice from the
          Funding Security Trustees requiring the same to be remedied; or

     (c)  the Cash Manager suffers an Insolvency Event,

     then the Mortgages Trustee, the Funding Beneficiaries and/or the Funding
     Security Trustees may at once or at any time thereafter while such
     default continues by notice in writing to the Cash Manager with a copy to
     the Account Bank terminate its appointment as Cash Manager under this
     Agreement with effect from a date (not earlier than the date of the
     notice) specified in the notice.

   12.1.1 Upon termination of the appointment of the Cash Manager, each of
          the Funding Security Trustees shall, subject to the terms of the
          Controlling Beneficiary Deed, use its reasonable endeavours to
          appoint a substitute cash manager. Any substitute cash manager:

          (i)  must agree to enter into an agreement substantially on the same
               terms as the relevant provisions of this Agreement or on such
               terms as are satisfactory to the Mortgages Trustee, the Funding
               Beneficiaries and the Funding Security Trustees, and

          (ii) must be a party that the Rating Agencies have previously
               confirmed in writing to the Mortgages Trustee, each Funding
               Beneficiary and each Funding Security Trustee will not cause
               the then-current ratings of the Notes to be reduced, withdrawn
               or qualified.

          The Funding Security Trustees shall have no liability to any person
          in the event that, having used reasonable endeavours, subject to the
          terms of the Controlling Beneficiary Deed, they are unable to
          appoint a substitute cash manager. Notwithstanding any other
          provision of the Transaction Documents, neither Funding Security
          Trustee shall itself be required to perform any duties of the Cash
          Manager.

          The Funding Security Trustees shall not be obliged to monitor or
          supervise the performance by any substitute Cash Manager of its
          duties hereunder or in relation to the other Transaction Documents
          nor shall the Funding Security Trustees be responsible or liable for
          any act or omission of any substitute Cash Manager or for any loss
          caused thereby.

12.2 Resignation of Cash Manager: The Cash Manager may resign from its
     appointment

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<PAGE>

     under this Agreement only upon giving not less than twelve (12) months'
     notice to the Mortgages Trustee, each Funding Beneficiary and each
     Funding Security Trustee, PROVIDED THAT:

     (a)  the Mortgages Trustee, the Funding Beneficiaries and the Funding
          Security Trustees each consent in writing to such resignation;

     (b)  a substitute cash manager shall be appointed, such appointment to be
          effective not later than the effective date of such resignation;

     (c)  such substitute cash manager enters into an agreement substantially
          on the same terms as the relevant provisions of this Agreement and
          the Cash Manager shall not be released from its obligations under
          the relevant provisions of this Agreement until such substitute cash
          manager has entered into such new agreement and the rights of
          Funding under such agreement are charged in favour of the Security
          Trustee on terms satisfactory to the Security Trustee and the rights
          of Funding 2 under such agreement are charged in favour of the
          Funding 2 Security Trustee on terms satisfactory to the Funding 2
          Security Trustee; and

     (d)  the then-current ratings of the Notes are not reduced, withdrawn or
          qualified as a result thereof.

12.3 Effect of Termination or Resignation:

     (a)  On and after termination or resignation of the appointment of the
          Cash Manager under this Agreement pursuant to this Clause 12, all
          authority and power of the Cash Manager under this Agreement shall
          be terminated and be of no further effect and the Cash Manager shall
          not thereafter hold itself out in any way as the agent of the
          Mortgages Trustee, each Funding Beneficiary or each Funding Security
          Trustee pursuant to this Agreement.

     (b)  Upon termination or resignation of the appointment of the Cash
          Manager under this Agreement pursuant to this Clause 12, the Cash
          Manager shall:

          (i)  forthwith deliver (and in the meantime hold on trust for, and
               to the order of, the Mortgages Trustee, the Funding
               Beneficiaries or the Funding Security Trustees, as the case may
               be) to the Mortgages Trustee, the Funding Beneficiaries or the
               Funding Security Trustees, as the case may be or as they shall
               direct, all books of account, papers, records, registers,
               correspondence and documents in its possession or under its
               control relating to the affairs of or belongings of the
               Mortgages Trustee, any Funding Beneficiary or any Funding
               Security Trustee, as the case may be (if practicable, on the
               date of receipt), any monies and any other assets then held by
               the Cash Manager on behalf of the Mortgages Trustee, any
               Funding Beneficiary or any Funding Security Trustee;

          (ii) take such further action as the Mortgages Trustee, the Funding
               Beneficiaries or the Funding Security Trustees, as the case may
               be,

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<PAGE>

          may reasonably direct at the expense of the Mortgages Trustee or
          each Funding Beneficiary, provided that the Cash Manager shall not
          be required to take or direct to be taken such further action unless
          it has been indemnified to its satisfaction (and in the event of a
          conflict between the directions of the Funding Beneficiaries, the
          Mortgages Trustee and the Funding Security Trustees, the directions
          of the Funding Security Trustees shall prevail);

    (iii) provide all relevant information contained on computer records in
          the form of magnetic tape, together with details of the layout of
          the files encoded on such magnetic tapes; and

     (iv) co-operate and consult with and assist the Mortgages Trustee, each
          Funding Beneficiary and each Funding Security Trustee or its
          nominee, as the case may be (which shall, for the avoidance of
          doubt, include any Receiver appointed by it) for the purposes of
          explaining the file layouts and the format of the magnetic tapes
          generally containing such computer records on the computer system of
          the Mortgages Trustee, the applicable Funding Beneficiary, the
          applicable Funding Security Trustee or such nominee, as the case may
          be.

12.4 Notice of event of default: The Cash Manager shall deliver to the
     Mortgages Trustee, each Funding Beneficiary and each Funding Security
     Trustee as soon as reasonably practicable but in any event within three
     London Business Days of becoming aware thereof a notice of any Cash
     Manager Termination Event or any event which with the giving of notice or
     expiry of any grace period or certification, as specified in such Cash
     Manager Termination Event would constitute the same or any Intercompany
     Loan Event of Default or any Potential Intercompany Loan Event of
     Default.

12.5 General provisions relating to termination:

     (a)  Termination of this Agreement or the appointment of the Cash Manager
          under this Agreement shall be without prejudice to the liabilities
          of the Mortgages Trustee and each Funding Beneficiary to the Cash
          Manager and vice versa incurred before the effective date of such
          termination. The Cash Manager shall have no right of set-off or any
          lien in respect of such amounts against amounts held by it on behalf
          of the Mortgages Trustee, any Funding Beneficiary or any Funding
          Security Trustee.

     (b)  This Agreement shall terminate automatically at such time as each
          Funding Beneficiary has no further interest in the Trust Property
          and all Intercompany Loans have been fully repaid or each Funding
          Beneficiary's obligations under all Intercompany Loan Agreements
          have been otherwise discharged.

     (c)  On termination of the appointment of the Cash Manager under the
          provisions of this Clause 12, the Cash Manager shall be entitled to
          receive all fees and other monies accrued up to (but excluding) the
          date of termination subject to the applicable Funding Priority of
          Payments, the applicable Funding 2 Priority of Payments and/or the
          applicable Mortgages Trustee Priority of Payments, as

                                      29
<PAGE>

          the case may be, but shall not be entitled to any other or further
          compensation. Such monies so receivable by the Cash Manager shall be
          paid by Funding, Funding 2 and the Mortgages Trustee, on the dates
          on which they would otherwise have fallen due hereunder and under
          the terms of the Funding Deed of Charge and/or the Mortgages Trust
          Deed, as applicable. For the avoidance of doubt, such termination
          shall not affect the Cash Manager's rights to receive payment of all
          amounts (if any) due to it from any Funding Beneficiary and/or the
          Mortgages Trustee other than under this Agreement.

     (d)  Any provision of this Agreement which is stated to continue after
          termination of the Agreement shall remain in full force and effect
          notwithstanding termination.

13.  Further Assurances

13.1 Co-operation, etc: The parties hereto agree that they will co-operate
     fully to do all such further acts and things and execute any further
     documents as may be necessary or desirable to give full effect to the
     arrangements contemplated by this Agreement and the other Transaction
     Documents.

13.2 Powers of attorney: Without prejudice to the generality of Clause 13.1
     herein (Co-Operation, etc.), the Mortgages Trustee and each Funding
     Beneficiary shall upon request by the Cash Manager forthwith give to the
     Cash Manager such further powers of attorney or other written
     authorisations, mandates or instruments as are necessary to enable the
     Cash Manager to perform the Cash Management Services.

14.  Miscellaneous

14.1 No set-off: Each of the Seller and the Cash Manager agrees that it will
     not make or exercise any claims or demands, any rights of counterclaim or
     any other equities against or withhold payment of any and all sums of
     money which may at any time and from time to time be standing to the
     credit of the Mortgages Trustee Bank Accounts, the Funding Bank Accounts
     or the Funding 2 Bank Accounts or any replacement or additional bank
     account of the Mortgages Trustee or any Funding Beneficiary.

14.2 No recourse:

     (a)  In relation to all sums due and payable by the Mortgages Trustee
          and/or each Funding Beneficiary to the Cash Manager, the Cash
          Manager agrees that it shall have recourse only to sums paid to or
          received by (or on behalf of) the Mortgages Trustee and/or each
          Funding Beneficiary pursuant to the provisions of the Transaction
          Documents, in each case subject to the Mortgages Trustee Priority of
          Payments, the Funding Priority of Payments and the Funding 2
          Priority of Payments.

     (b)  For the avoidance of doubt, the Security Trustee shall not be liable
          to pay any amounts due under Clause 7 (Costs and Expenses), but
          without prejudice to the obligations of the Mortgages Trustee or
          Funding, as the case may be, or any receiver appointed pursuant to
          the Funding Deed of Charge in respect of such amounts.

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<PAGE>

     (c)  For the avoidance of doubt, the Funding 2 Security Trustee shall not
          be liable to pay any amounts due under Clause 7 (Costs and
          Expenses), but without prejudice to the obligations of the Mortgages
          Trustee or Funding 2, as the case may be, or any receiver appointed
          pursuant to the Funding 2 Deed of Charge in respect of such amounts.

     (d)  Notwithstanding any other provisions of this Agreement, all
          obligations to, and rights of, the Security Trustee under or in
          connection with this Agreement (other than its obligations under
          Clause 13 herein (Further Assurances)) shall automatically terminate
          upon the discharge in full of the Funding Secured Obligations,
          PROVIDED THAT this shall be without prejudice to any claims in
          respect of such obligations and rights arising on or prior to such
          date.

     (e)  Notwithstanding any other provisions of this Agreement, all
          obligations to, and rights of, the Funding 2 Security Trustee under
          or in connection with this Agreement (other than its obligations
          under Clause 13 herein (Further Assurances)) shall automatically
          terminate upon the discharge in full of the Funding 2 Secured
          Obligations, PROVIDED THAT this shall be without prejudice to any
          claims in respect of such obligations and rights arising on or prior
          to such date.

15.  Confidentiality

     During the continuance of this Agreement or after its termination, each
     of the Mortgages Trustee, the Cash Manager, the Seller, each Funding
     Beneficiary and each Funding Security Trustee shall use its best
     endeavours not to disclose to any person, firm or company whatsoever any
     information relating to the business, finances or other matters of a
     confidential nature of any other party hereto of which it may exclusively
     by virtue of being party to the Transaction Documents have become
     possessed and shall use all reasonable endeavours to prevent any such
     disclosure as aforesaid, PROVIDED HOWEVER that the provisions of this
     Clause 15 shall not apply:

     (a)  to any information already known to the recipient otherwise than as
          a result of entering into any of the Transaction Documents;

     (b)  to any information subsequently received by the recipient which it
          would otherwise be free to disclose;

     (c)  to any information which is or becomes public knowledge otherwise
          than as a result of the conduct of the recipient;

     (d)  to any extent that the recipient is required to disclose the same
          pursuant to any law or order of any court or pursuant to any
          direction, request or requirement (whether or not having the force
          of law) of any central bank or any governmental or other authority
          (including, without limitation, any official bank examiners or
          regulators);

     (e)  to the extent that the recipient needs to disclose the same for
          determining the existence of, or declaring, an Event of Default, an
          Intercompany Loan Event

                                      31
<PAGE>

          of Default or a Cash Manager Termination Event, the protection or
          enforcement of any of its rights under any of the Transaction
          Documents or in connection herewith or therewith or for the purpose
          of discharging, in such manner as it thinks fit, its duties under or
          in connection with such agreements in each case to such persons as
          require to be informed of such information for such purposes; or

     (f)  in relation to any information disclosed to the professional
          advisers of the recipient or (in connection with a prospective
          rating of any debt to be issued by any Issuer) to any credit rating
          agency or any prospective new cash manager or prospective new
          security trustee.

16.  No Partnership

     It is hereby acknowledged and agreed by the parties that nothing in this
     Agreement shall be construed as giving rise to any partnership between
     any of the parties.

17.  Assignment

17.1 Assignment by the Mortgages Trustee, Funding and Funding 2: Neither the
     Mortgages Trustee nor any Funding Beneficiary may assign or transfer any
     of its respective rights and obligations under this Agreement without the
     prior written consent of:

     (a)  in the case of the Mortgages Trustee, each of the Seller, the
          Funding Beneficiaries and the Funding Security Trustees; and

     (b)  in the case of Funding, each of the Security Trustee and the Cash
          Manager except that Funding may assign its rights hereunder without
          such consent pursuant to the Funding Deed of Charge; and

     (c)  in the case of Funding 2, each of the Funding 2 Security Trustee and
          the Cash Manager except that Funding 2 may assign its rights
          hereunder without such consent pursuant to the Funding 2 Deed of
          Charge.

17.2 No assignment by Cash Manager: The Cash Manager may not assign or
     transfer any of its rights and obligations under this Agreement without
     the prior written consent of the Mortgages Trustee, the Seller, the
     Funding Beneficiaries and the Funding Security Trustees.

18.  The Funding Security Trustees

18.1 Vesting of Rights: If there is any change in the identity of the security
     trustee in accordance with the Funding Deed of Charge, the Cash Manager,
     the Seller, each Funding Beneficiary, the Funding 2 Security Trustee and
     the Mortgages Trustee shall execute such documents and take such action
     as the successor security trustee and the outgoing security trustee may
     reasonably require for the purpose of vesting in the successor security
     trustee the rights and obligations of the outgoing security trustee under
     this Agreement and releasing the outgoing security trustee from its
     future obligations under this Agreement. If there is any change in the
     identity of the

                                      32
<PAGE>

     security trustee in accordance with the Funding 2 Deed of Charge, the
     Cash Manager, the Seller, each Funding Beneficiary, the Security Trustee
     and the Mortgages Trustee shall execute such documents and take such
     action as the successor security trustee and the outgoing security
     trustee may reasonably require for the purpose of vesting in the
     successor security trustee the rights and obligations of the outgoing
     security trustee under this Agreement and releasing the outgoing security
     trustee from its future obligations under this Agreement.

18.2 No Assumption: It is hereby acknowledged and agreed that by its execution
     of this Agreement no Funding Security Trustee shall assume or have any of
     the obligations or liabilities of the Seller, any Funding Beneficiary or
     the Mortgages Trustee or any other Funding Security Trustee hereunder.
     Furthermore, any liberty or power which may be exercised or any
     determination which may be made hereunder by a Funding Security Trustee
     may be exercised or made in its absolute discretion without any
     obligation to give reasons therefor, but in any event must be exercised
     or made in accordance with the provisions of the Funding Deed of Charge
     or the Funding 2 Deed of Charge (as applicable) and the Controlling
     Beneficiary Deed. Without prejudice to the generality of the foregoing,
     all references to any Funding Security Trustee taking action in
     connection with any duty of the Seller shall also be read subject to
     Clause 25 and Schedule 4 of the Administration Agreement

19.  New Intercompany Loan Agreements

     On each occasion that a Funding Beneficiary enters into an Intercompany
     Loan Agreement or is the recipient of a loan advance under an
     Intercompany Loan Agreement, then the Administrator, the Seller, each
     Funding Beneficiary, each Funding Security Trustee and the Mortgages
     Trustee shall execute such documents and take such action as may be
     necessary or required by the Rating Agencies for the purpose of including
     the relevant Issuer, any Swap Provider, any Start-up Loan Provider and
     any other person who has executed an Accession Undertaking or any such
     Intercompany Loan Agreement in the Transaction Documents.

20.  Non Petition Covenant; Limited Recourse

20.1 Non Petition Covenant: [Each of the parties hereto hereby agrees that it
     shall not institute against any Funding Beneficiary or the Mortgages
     Trustee any winding-up, administration, insolvency or similar proceedings
     so long as any sum is outstanding under any Intercompany Loan Agreement
     of any Issuer or for two years plus one day since the last day on which
     any such sum was outstanding.]

20.2 Limited Recourse: Each of the parties hereto agrees that:

     (a)  in relation to the Mortgages Trustee, any amount payable by the
          Mortgages Trustee to any other party to this Agreement under this
          Agreement not being an amount payable out of the Trust Property in
          accordance with the terms of the Mortgages Trust Deed shall only be
          payable to the extent that on that date the Mortgages Trustee has
          sufficient funds to pay such amount out of fees paid to it under the
          Mortgages Trust Deed; and

     (b)  in relation to Funding:

                                      33
<PAGE>

          (i)  only the Security Trustee may enforce the security created in
               favour of the Security Trustee under the Funding Deed of Charge
               in accordance with the provisions thereof;

          (ii) notwithstanding any other provision of this Agreement or any
               other Transaction Document, no sum due or owing to any party to
               this Agreement from or by Funding under this Agreement shall be
               payable by Funding except to the extent that Funding has
               sufficient funds available or (following enforcement of the
               Funding Security) the Security Trustee has realised sufficient
               funds from the Funding Security to pay such sum subject to and
               in accordance with the relevant Funding Priority of Payments
               and provided that all liabilities of Funding required to be
               paid in priority thereto or pari passu therewith pursuant to
               such Funding Priority of Payments have been paid, discharged
               and/or otherwise provided for in full; and

         (iii) it shall not take any steps for the purpose of recovering any
               amount payable by Funding or enforcing any rights arising out
               of this Agreement against Funding otherwise than in accordance
               with the Funding Deed of Charge.

     (c)  in relation to Funding 2:

          (i)  only the Funding 2 Security Trustee may enforce the security
               created in favour of the Funding 2 Security Trustee under the
               Funding 2 Deed of Charge in accordance with the provisions
               thereof;

          (ii) notwithstanding any other provision of this Agreement or any
               other Transaction Document, no sum due or owing to any party to
               this Agreement from or by Funding 2 under this Agreement shall
               be payable by Funding 2 except to the extent that Funding 2 has
               sufficient funds available or (following enforcement of the
               Funding 2 Security) the Funding 2 Security Trustee has realised
               sufficient funds from the Funding 2 Security to pay such sum
               subject to and in accordance with the relevant Funding 2
               Priority of Payments and provided that all liabilities of
               Funding 2 required to be paid in priority thereto or pari passu
               therewith pursuant to such Funding 2 Priority of Payments have
               been paid, discharged and/or otherwise provided for in full;
               and

         (iii) it shall not take any steps for the purpose of recovering any
               amount payable by Funding 2 or enforcing any rights arising out
               of this Agreement against Funding 2 otherwise than in
               accordance with the Funding 2 Deed of Charge.

20.3 Following Enforcement: The Cash Manager hereby undertakes to each of the
     other parties hereto that:

     (a)  following any enforcement of the Funding Security, it will hold on
          trust for, and will pay to, the Security Trustee or the Receiver, as
          the case may be, all monies received or recovered by it (whether by
          way of set-off or otherwise)

                                      34
<PAGE>

          from Funding or in respect of any amount due hereunder by Funding,
          otherwise than in accordance with the Funding Post-Enforcement
          Priority of Payments in order that such monies may be applied by the
          Security Trustee or the Receiver in accordance with the Funding
          Post-Enforcement Priority of Payments; and

     (b)  following any enforcement of the Funding 2 Security, it will hold on
          trust for, and will pay to, the Funding 2 Security Trustee or the
          Receiver, as the case may be, all monies received or recovered by it
          (whether by way of set-off or otherwise) from Funding 2 or in
          respect of any amount due hereunder by Funding 2, otherwise than in
          accordance with the Funding 2 Post-Enforcement Priority of Payments
          in order that such monies may be applied by the Funding 2 Security
          Trustee or the Receiver in accordance with the Funding 2
          Post-Enforcement Priority of Payments.

20.4 Corporate Obligations: To the extent permitted by law, no recourse under
     any obligation, covenant, or agreement of any person contained in this
     Agreement shall be had against any shareholder, officer or director of
     such person as such, by the enforcement of any assessment or by any legal
     proceeding, by virtue of any statute or otherwise; it being expressly
     agreed and understood that this Agreement is a corporate obligation of
     each person expressed to be a party hereto and no personal liability
     shall attach to or be incurred by the shareholders, officers, agents or
     directors of such person as such, or any of them, under or by reason of
     any of the obligations, covenants or agreements of such person contained
     in this Agreement, or implied therefrom, and that any and all personal
     liability for breaches by such person of any of such obligations,
     covenants or agreements, either under any applicable law or by statute or
     constitution, of every such shareholder, officer, agent or director is
     hereby expressly waived by each person expressed to be a party hereto as
     a condition of and consideration for the execution of this Agreement.

21.  Amendments and Waiver

21.1 Entire Agreement: This Agreement sets out the entire agreement and
     understanding between the parties with respect to the subject matter of
     this Agreement superseding all prior oral or written understandings other
     than the other Transaction Documents.

21.2 Amendments and Waiver: No amendment or waiver of any provision of this
     Agreement nor consent to any departure by any of the parties therefrom
     shall in any event be effective unless the same shall be in writing and
     signed by each of the parties hereto. In the case of a waiver or consent,
     such waiver or consent shall be effective only in the specific instance
     and as against the party or parties giving it for the specific purpose
     for which it is given.

21.3 Rights Cumulative: The respective rights of each of the parties to this
     Agreement are cumulative and may be exercised as often as they consider
     appropriate. No failure on the part of any party to exercise, and no
     delay in exercising, any right hereunder shall operate as a waiver
     thereof, nor shall any single or partial exercise of any such right
     preclude any other or further exercise thereof or the exercise of any
     other right. The remedies in this Agreement are cumulative and not
     exclusive of any remedies

                                      35
<PAGE>

     provided by law.

21.4 Ratings: No variation or waiver of this Agreement shall be made if the
     same would adversely affect the then-current ratings of any of the Notes.

22.  Notices

     Any notices or other communication or document to be given or delivered
     pursuant to this Agreement to any of the parties hereto shall be
     sufficiently served if sent by prepaid first class post, by hand or by
     facsimile transmission and shall be deemed to be given (in the case of
     facsimile transmission) when despatched or (where delivered by hand) on
     the day of delivery if delivered before 17.00 hours on a London Business
     Day or on the next London Business Day if delivered thereafter or (in the
     case of first class post) when it would be received in the ordinary
     course of the post and shall be sent:

     (a)  in the case of the Cash Manager and the Seller, to Northern Rock
          plc, Northern Rock House, Gosforth, Newcastle upon Tyne NE3 4PL
          (facsimile number: 0191 213 2203) for the attention of the Group
          Secretary;

     (b)  in the case of the Mortgages Trustee, to Granite Finance Trustees
          Limited, 22 Grenville Street, St. Helier, Jersey JE4 8PX, Channel
          Islands (facsimile number 01534 609333) for the attention of the
          Company Secretary;

     (c)  in the case of Funding, to Granite Finance Funding Limited, 69 Park
          Lane, Croydon CR9 1TQ (facsimile number 020 8409 8911) for the
          attention of the Company Secretary;

     (d)  in the case of the Security Trustee, to The Bank of New York, at One
          Canada Square, 48th Floor, London E14 5AL (facsimile number 020 7964
          6399) for the attention of Corporate Trust (Global Structured
          Finance);

     (e)  in the case of Funding 2, to Granite Finance Funding 2 Limited at
          Fifth Floor, 100 Wood Street, London, EC2V 7EX (facsimile number 020
          7606 0643) for the attention of the Company Secretary (with a copy
          to the Seller in accordance with (a) above);

     (f)  in the case of Funding 2 Security Trustee, to The Bank of New York,
          48th Floor, One Canada Square, London, E14 5AL (facsimile number 020
          7964 6399) for the attention of the Global Structured Finance
          (Corporate Trust);

     (g)  in the case of Fitch, to Fitch Ratings Ltd., at Eldon House, 2 Eldon
          Street, London EC2M 7UA (facsimile number 0207 417 6262) for the
          attention of European Structured Finance Surveillance;

     (h)  in the case of Moody's, to Moody's Investors Services, Inc., at 1st
          Floor, 2 Minster Court, Mincing Lane, London EC3R 7XB (facsimile
          number 0207 772 5400) for the attention of Jodi van Breda;

                                      36
<PAGE>

     (i)  in the case of S&P, to Standard & Poor's Ratings Services, a
          division of The McGraw-Hill Companies, Inc., at 20 Cannon Square,
          Canary Wharf, London E14 5LH (facsimile number 0207 176 3598) for
          the attention of Heather Dyke;

     or to such other address or facsimile number or for the attention of such
     other person or entity as may from time to time be notified by any party
     or by any Rating Agency to the others by written notice in accordance
     with the provisions of this Clause 22. All notices served under this
     Agreement shall be simultaneously copied to the Security Trustee and the
     Funding 2 Security Trustee by the person serving the same.

23.  Third Party Rights

     A person who is not a party to this Agreement may not enforce any of its
     terms under the Contracts (Rights of Third Parties) Act 1999, but this
     shall not affect any right or remedy of a third party which exists or is
     available apart from that Act.

24.  Execution in Counterparts; Severability

24.1 Counterparts: This Agreement may be executed in any number of
     counterparts (manually or by facsimile) and by different parties hereto
     in separate counterparts, each of which when so executed shall be deemed
     to be an original and all of which when taken together shall constitute
     one and the same instrument.

24.2 Severability: Where any provision in or obligation under this Agreement
     shall be invalid, illegal or unenforceable in any jurisdiction, the
     validity, legality and enforceability of the remaining provisions or
     obligations under this Agreement, or of such provision or obligation in
     any other jurisdiction, shall not be affected or impaired thereby.

25.  Governing Law and Submission to Jurisdiction

25.1 Governing Law: This Agreement is governed by, and shall be construed in
     accordance with, English law.

25.2 Submission to Jurisdiction: Each of the parties hereto irrevocably agrees
     that the courts of England shall have jurisdiction to hear and determine
     any suit, action or proceeding, and to settle any disputes, which may
     arise out of or in connection with this Agreement and, for such purposes,
     irrevocably submits to the jurisdiction of such courts.

25.3 Process Agent: The Mortgages Trustee irrevocably and unconditionally
     appoints Mourant & Co. Capital (SPV) Limited at 69 Park Lane, Croydon,
     CR9 1TQ or otherwise at its registered office for the time being as its
     agent for service of process in England in respect of any proceedings in
     respect of this Agreement and undertakes that in the event of Mourant &
     Co. Capital (SPV) Limited ceasing so to act it will appoint another
     person with a registered office in London as its agent for service of
     process.

25.4 Forum: Each of the parties hereto irrevocably waives any objection which
     it might

                                      37
<PAGE>

     now or hereafter have to the courts of England being nominated as the
     forum to hear and determine any Proceedings and to settle any disputes,
     and agrees not to claim that any such court is not a convenient or
     appropriate forum.

IN WITNESS WHEREOF the parties have caused this Agreement to be executed the
day and year first before written.

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<PAGE>

                                  SCHEDULE 1
                         The Cash Management Services

The Cash Manager shall:

     (a)  make the determinations set out in Schedule 2 hereto;

     (b)  invest sums, if any, standing to the credit of the Funding
          Transaction Account in short-term Authorised Investments as
          determined by Funding and, if applicable, the Security Trustee;

     (c)  invest sums, if any, standing to the credit of the Funding 2
          Transaction Account in short-term Authorised Investments as
          determined by Funding 2 and, if applicable, the Funding 2 Security
          Trustee;

     (d)  invest sums, if any, standing to the credit of the Mortgages Trustee
          Transaction Account in short-term Authorised Investments as
          determined by the Mortgages Trustee and, if applicable, the Security
          Trustee;

     (e)  maintain the Funding Principal Deficiency Ledger, and record (1) any
          principal Losses on the Mortgage Loans allocated to Funding pursuant
          to the terms of the Mortgages Trust and (2) to record the
          application of Funding Available Principal Receipts to any Funding
          Issuer to fund the Issuer Liquidity Reserve Fund of such Issuer;

     (f)  maintain the Funding 2 Principal Deficiency Ledger, and record (1)
          any principal Losses on the Mortgage Loans allocated to Funding 2
          pursuant to the terms of the Mortgages Trust (2) the use of Funding
          2 Principal Receipts to meet any deficiency in Funding 2 Available
          Revenue Receipts (3) the application of Funding 2 Available Revenue
          Receipts to reduce the balances on the Funding 2 Principal
          Deficiency Ledger and (5) to record the application of Funding 2
          Available Principal Receipts to fund the Funding 2 Liquidity Reserve
          Fund;

     (g)  provide the Mortgages Trustee, each Funding Beneficiary (as
          applicable), each Funding Security Trustee (as applicable and upon
          its request) and the Rating Agencies with quarterly reports in
          relation to the Mortgages Trustee and each Funding Beneficiary as
          set forth on Schedule 3;

     (h)  operate the Mortgages Trustee Bank Accounts, the Funding Bank
          Accounts and the Funding 2 Bank Accounts and ensure that payments
          are made into and from such accounts in accordance with this
          Agreement and any other applicable Transaction Document, PROVIDED
          HOWEVER, that nothing herein shall require the Cash Manager to make
          funds available to the Mortgages Trustee or any Funding Beneficiary
          to enable such payments to be made other than as expressly required
          by the provisions of this Agreement;

     (i)  in relation to the payments to be made to each Funding Issuer, make
          withdrawals under the applicable Issuer Reserve Fund, if required;

                                      39
<PAGE>

     (j)  in relation to the payments to be made to each Funding Issuer, make
          any required withdrawals under the applicable Issuer Liquidity
          Reserve Fund;

     (k)  maintain any Issuer Reserve Fund Ledger, and record the amount
          credited to any Issuer Reserve Fund on the Initial Closing Date, and
          subsequent withdrawals and deposits in respect of any Issuer Reserve
          Fund;

     (l)  maintain any Issuer Liquidity Reserve Ledger, if any, and record the
          amount credited to any Issuer Liquidity Reserve Fund from time to
          time, and subsequent withdrawals and deposits in respect of any
          Issuer Liquidity Reserve Fund;

     (m)  maintain the Funding 2 Reserve Ledger, and record the amount
          credited to the Funding 2 Reserve Fund from time to time and
          subsequent withdrawals in respect of the Funding 2 Reserve Fund;

     (n)  maintain the Funding 2 Liquidity Reserve Ledger, if any, and record
          the amount credited to the Funding 2 Liquidity Reserve Fund from
          time to time, and subsequent withdrawals in respect of the Funding 2
          Liquidity Reserve Fund;

     (o)  keep records for all taxation purposes (including, without
          limitation VAT);

     (p)  subject to any applicable law, assist the auditors of the Mortgages
          Trustee, Funding and Funding 2 and provide such information to them
          as they may reasonably request for the purpose of carrying out their
          duties as auditors;

     (q)  make all filings, give all notices and make all registrations and
          other notifications required in the day-to-day operation of the
          respective businesses of the Mortgages Trustee and each Funding
          Beneficiary or required to be given by the Mortgages Trustee and
          each Funding Beneficiary pursuant to the Transaction Documents;

     (r)  arrange for all payments due to be made by the Mortgages Trustee
          and/or each Funding Beneficiary under any of the Transaction
          Documents, PROVIDED THAT such monies are at the relevant time
          available to the Mortgages Trustee and/or the applicable Funding
          Beneficiary and PROVIDED FURTHER that nothing herein shall
          constitute a guarantee by the Cash Manager of all or any of the
          obligations of the Mortgages Trustee or any Funding Beneficiary
          under any of the Transaction Documents;

     (s)  without prejudice to the role of and in conjunction with the
          Corporate Services Provider to the Mortgages Trustee and each
          Funding Beneficiary under the relevant Corporate Services Agreement,
          keep general books of account and records of the Mortgages Trustee
          and each Funding Beneficiary; provide accounting services, including
          reviewing receipts and payments, supervising and assisting in the
          preparation of interim statements and final accounts and supervising
          and assisting in the preparation of Tax returns;

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<PAGE>

     (t)  without prejudice to the role of and in conjunction with the
          Corporate Services Provider to the Mortgages Trustee and each
          Funding Beneficiary under the relevant Corporate Services Agreement,
          provide or procure the provision of company secretarial and
          administration services to the Mortgages Trustee and each Funding
          Beneficiary including the keeping of all registers and the making of
          all returns and filings required by applicable law or by U.S., U.K.
          or Jersey regulatory authorities (including the Securities and
          Exchange Commission), co-operate in the convening of board and
          general meetings and provide registered office facilities;

     (u)  on behalf of the Mortgages Trustee and each Funding Beneficiary,
          PROVIDED THAT such monies are at the relevant time available to the
          Mortgages Trustee or the applicable Funding Beneficiary, pay all the
          out-of-pocket expenses of the Mortgages Trustee and each Funding
          Beneficiary, incurred by the Cash Manager on behalf of the Mortgages
          Trustee and each Funding Beneficiary in the performance of the Cash
          Manager's duties hereunder including without limitation:

          (i)  all Taxes which may be due or payable by the Mortgages Trustee
               and each Funding Beneficiary;

          (ii) all registration, transfer, filing and other fees and other
               charges payable in respect of the sale by the Seller of the
               Mortgage Portfolio to the Mortgages Trustee;

         (iii) all necessary filing and other fees in compliance with
               regulatory requirements;

          (iv) all legal and audit fees and other professional advisory fees;

          (v)  all communication expenses including postage, courier and
               telephone charges; and

          (vi) all premiums payable by the Mortgages Trustee in respect of the
               Insurance Policies;

     (v)  at the request of Funding (and following the enforcement of the
          Funding Security, with the prior written consent of the Security
          Trustee), the Cash Manager may invest monies standing from time to
          time to the credit of the Funding GIC Account or any Funding
          (Issuer) GIC Account (including any amounts credited thereto and
          representing amounts standing to the credit of such Issuer Liquidity
          Reserve Fund, if any) in Authorised Investments, subject to the
          following provisions:

          (i)  any such Authorised Investment shall be made in the joint names
               of Funding and the Security Trustee;

          (ii) any costs properly and reasonably incurred in making and
               changing Authorised Investments will be reimbursed to the Cash
               Manager and the Security Trustee by Funding;

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<PAGE>

         (iii) all income or proceeds following the disposal or maturity of
               Authorised Investments shall be credited to the Funding GIC
               Account or any Funding (Issuer) GIC Account, as applicable; and

          (iv) following the enforcement of the Funding Security no such
               investment may be made without the prior written consent of the
               Security Trustee.

          The Security Trustee and the Cash Manager shall not be responsible
          (save where any loss results from the Security Trustee's or the Cash
          Manager's own fraud, wilful default or gross negligence or that of
          its officers or employees) for any loss occasioned by reason of any
          such Authorised Investments whether by depreciation in value or
          otherwise provided that such Authorised Investments were made in
          accordance with the above provisions; and

     (w)  at the request of Funding 2 (and following the enforcement of the
          Funding 2 Security, with the prior written consent of the Funding 2
          Security Trustee), the Cash Manager may invest monies standing from
          time to time to the credit of the Funding 2 GIC Account in
          Authorised Investments, subject to the following provisions:

          (i)  any such Authorised Investment shall be made in the joint names
               of Funding 2 and the Funding 2 Security Trustee;

          (ii) any costs properly and reasonably incurred in making and
               changing Authorised Investments will be reimbursed to the Cash
               Manager and the Funding 2 Security Trustee by Funding 2;

         (iii) all income or proceeds following the disposal or maturity of
               Authorised Investments shall be credited to the Funding 2 GIC
               Account; and

          (iv) following the enforcement of the Funding 2 Security no such
               investment may be made without the prior written consent of the
               Funding 2 Security Trustee.

          The Funding 2 Security Trustee and the Cash Manager shall not be
          responsible (save where any loss results from the Funding 2 Security
          Trustee's or the Cash Manager's own fraud, wilful default or gross
          negligence or that of its officers or employees) for any loss
          occasioned by reason of any such Authorised Investments whether by
          depreciation in value or otherwise provided that such Authorised
          Investments were made in accordance with the above provisions

     (x)  provide services in relation to Swap Collateral (including, without
          limitation, in connection with the transfer, receipt, administration
          and/or holding of Swap Collateral, the making of calculations,
          determinations, communications or valuations, the opening and
          maintenance of the Funding 2 Swap Collateral Accounts and the
          Funding 2 Swap Collateral Ledger; and the entering into of Funding 2
          Swap Collateral Ancillary Documents); and

                                      42
<PAGE>

     (y)  take such other action or provide any other Cash Management Services
          as is required in the Transaction Documents.

                                      43
<PAGE>

                                  SCHEDULE 2
                  Cash Management and Maintenance of Ledgers

1.   Determination

     (a)  On or before each Distribution Date based on the aggregate amount of
          monies standing to the credit of the Mortgages Trustee Transaction
          Account and the Mortgages Trustee GIC Account as at close of
          business on the preceding day, the Cash Manager shall determine each
          of the following:

          (i)  the amount of Principal Receipts and Revenue Receipts received
               during the immediately preceding Trust Calculation Period and
               during each Interim Calculation Period (as defined in the
               Mortgages Trust Deed), if any, during such immediately
               preceding Trust Calculation Period;

          (ii) the amount of any Mortgages Trustee Available Revenue Receipts
               received during the immediately preceding Trust Calculation
               Period;

         (iii) the amount of any net credit on the Non-Flexible Overpayments
               Sub Ledger;

          (iv) the amount of Mortgages Trustee Available Revenue Receipts and
               Principal Receipts to be distributed to each of Funding,
               Funding 2 and to the Seller on such Distribution Date;

          (v)  whether each of the Issuer Arrears Test, the Issuer Reserve
               Requirement and the Subordinated Principal Test is satisfied on
               such date and shall promptly notify the relevant Issuer Cash
               Manager of such determinations; and

          (vi) the various amounts, balances and rates to be calculated in
               accordance with any Swap Agreement and in respect of each Swap
               Agreement, shall promptly notify (as applicable) each Funding
               Beneficiary, each Issuer, each Issuer Cash Manager, each Issuer
               Security Trustee and each Calculation Agent (as defined in each
               Basis Rate Swap Agreement) of such amounts, balances and rates.

     (b)  On or before each Distribution Date (and, in respect of Clause
          1(b)(ii) below, on each Assignment Date and Funding Contribution
          Date), the Cash Manager shall determine each of the following:

          (i)  the amount of any Losses incurred on the Mortgage Loans during
               the immediately preceding Trust Calculation Period and during
               each Interim Calculation Period (as defined in the Mortgages
               Trust Deed), if any, during such immediately preceding Trust
               Calculation Period;

          (ii) the Funding Share, the Funding 2 Share, the Seller Share, the
               Funding Share Percentage, the Funding 2 Share Percentage and
               the Seller Share

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<PAGE>

               Percentage in accordance with Clause 8 (Adjustment of Funding
               Share Percentage, Funding 2 Share Percentage and Seller Share
               Percentage) of the Mortgages Trust Deed;

         (iii) to the extent (i) the Seller has sold and assigned New
               Mortgage Loans, or (ii) Funding or Funding 2 has made a
               Contribution (excluding a Deferred Contribution) to the
               Mortgages Trustee during the immediately preceding Trust
               Calculation Period, the Weighted Average Funding Share
               Percentage, the Weighted Average Funding 2 Share Percentage and
               the Weighted Average Seller Share Percentage (in respect of
               Revenue Receipts, Principal Receipts and Losses) in accordance
               with Clause 8.3 (Weighted Average Funding Share Percentage and
               Weighted Average Funding 2 Share Percentage) and Clause 8.7
               (Weighted Average Seller Share Percentage), respectively, of
               the Mortgages Trust Deed;

          (iv) the Funding (Mortgages Trust) Revenue Amount and the Funding 2
               (Mortgages Trust) Revenue Amount in accordance with Clause 10.3
               (Calculation of Funding (Mortgages Trust) Revenue Amount and
               Funding 2 (Mortgages Trust) Revenue Amount) of the Mortgages
               Trust Deed; and

          (v)  the Minimum Seller Share in accordance with Clause 9.2
               (Fluctuation of Minimum Seller Share on each Distribution Date)
               of the Mortgages Trust Deed.

     (c)  On each Distribution Date, in relation to the Mortgages Trustee
          Revenue Receipts received from the Mortgages Trustee on such
          Distribution Date which are to be distributed to Funding, the Cash
          Manager shall determine each of the following amounts:

          (i)  an amount equal to all amounts to be applied on the immediately
               succeeding Payment Dates for Group 1 Issuers and Group 2
               Issuers set forth under items (A)-(D) of the Funding
               Pre-Enforcement Revenue Priority of Payments or, as the case
               may be, items (A)-(C) of the Funding Post-Enforcement Priority
               of Payments, and

          (ii) (A) an amount which is equal to the lesser of:

                    (1)  an amount equal to the aggregate of the amounts to be
                         applied on the immediately succeeding Payment Date
                         for all Group 1 Issuers as set forth under items
                         (E)-(Q) of the Funding Pre-Enforcement Revenue
                         Priority of Payments or, as the case may be, items
                         (D)-(G) of the Funding Post-Enforcement Priority of
                         Payments (but excluding any principal amount due
                         under any Funding Intercompany Loan (save that, for
                         the avoidance of doubt, such exclusion shall not
                         apply in respect of any Group 1 Available Revenue
                         Receipts which are applied

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<PAGE>

                         by any Group 1 Issuer to credit that Issuer's
                         Principal Deficiency Ledgers and thereby reduce the
                         principal payable under that Issuer's Intercompany
                         Loan) and any amount of Deferred Contribution under
                         item (P) of the Funding Pre-Enforcement Revenue
                         Priority of Payments and/or item (F) of the Funding
                         Post-Enforcement Priority of Payments), less all
                         other amounts (not derived from the distribution of
                         Mortgages Trustee Available Revenue Receipts under
                         the Mortgages Trust) which will constitute Group 1
                         Available Revenue Receipts on the immediately
                         succeeding Payment Date; and

                    (2)  an amount (not less than zero) equal to:

                        remaining Mortgages Trustee
                        available Revenue Receipts   x  Group 1 Share Percentage
                        allocated to Funding

               (B)  an amount which is equal to the lesser of:

                    (1)  an amount equal to the aggregate of the amounts to be
                         applied on the immediately succeeding Payment Date
                         for all Group 2 Issuers as set forth under items
                         (E)-(Q) of the Funding Pre-Enforcement Revenue
                         Priority of Payments or, as the case may be, items
                         (D)-(G) of the Funding Post-Enforcement Priority of
                         Payments (but excluding any principal amount due
                         under any Funding Intercompany Loan (save that, for
                         the avoidance of doubt, such exclusion shall not
                         apply in respect of any Group 2 Available Revenue
                         Receipts which are applied by any Group 2 Issuer to
                         credit that Issuer's Principal Deficiency Ledger and
                         thereby reduce the principal payable under that
                         Issuer's Intercompany Loan) and any amount of
                         Deferred Contribution under item (P) of the Funding
                         Pre-Enforcement Revenue Priority of Payments and/or
                         item (F) of the Funding Post-Enforcement Priority of
                         Payments), less all other amounts (not derived from
                         the distribution of Mortgages Trustee Available
                         Revenue Receipts under the Mortgages Trust) which
                         will constitute Group 2 Available Revenue Receipts on
                         the immediately succeeding Payment Date; and

                    (2)  an amount (not less than zero) equal to:

                        remaining Mortgages Trustee
                        Available Revenue Receipts  x  Group 2 Share Percentage
                        allocated to Funding

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<PAGE>

          (iii) either:

               (A)  an amount in respect of all Group 1 Issuers towards any
                    remaining revenue amounts which will be due and payable
                    (taking into account the amount determined under paragraph
                    1(c)(ii) above) on the immediately succeeding Payment Date
                    for Group 1 Issuers under such Issuers' Intercompany
                    Loans; or

               (B)  an amount in respect of all Group 2 Issuers towards any
                    remaining revenue amounts which will be due and payable
                    (taking into account the amount determined under paragraph
                    1(c)(B) above) on the immediately succeeding Payment Date
                    for Group 2 Issuers under such Issuers' Intercompany
                    Loans;

          Following determination of the amounts under this paragraph 1(c),
          the Cash Manager shall allocate such Mortgages Trustee Available
          Revenue Receipts allocated to Funding to the expenses of Funding,
          the Group 1 Issuers and the Group 2 Issuers by recording such
          amounts on the Funding Expenses Sub-Ledger, the Group 1 Revenue
          Sub-Ledger or the Group 2 Revenue Sub-Ledger, as the case may be, as
          set forth in paragraph 13 below.

     (d)  On each Distribution Date in relation to Mortgages Trustee Available
          Principal Receipts received from the Mortgages Trustee on such
          Distribution Date and amounts standing to the credit of the Funding
          Principal Ledger (taking into account amounts already standing to
          the credit of the Group 1 Principal Sub-Ledger and the Group 2
          Principal Sub-Ledger), the Cash Manager shall determine each of the
          following amounts as follows:-

          (i)  (A)  for each Funding Issuer, an amount by which the Issuer
                    Liquidity Reserve Fund relating to that Issuer will be
                    less than the Issuer Liquidity Reserve Required Amount, in
                    each case prior to the distribution of Group 1 Available
                    Principal Receipts or Group 2 Available Principal
                    Receipts, as applicable, on the Payment Date for such
                    Issuer immediately succeeding such Distribution Date; and

               (B)  for each Funding Issuer, an amount distributable on the
                    immediately succeeding Payment Dates for Group 1 Issuers
                    and Group 2 Issuers to any Group 1 and Group 2 Issuers in
                    respect of Money Market Notes of such Issuers having
                    Controlled Amortisation Instalments due on such Payment
                    Dates;

          (ii) (A) an amount which is equal to the lesser of:-

                    (1)  the principal amount due on the Intercompany Loans of
                         all Group 1 Issuers equal to the Controlled
                         Amortisation Instalments due for non-Money Market
                         Notes, if any, on the Payment Date for Group 1
                         Issuers immediately succeeding such Distribution Date
                         (in each case

                                      47
<PAGE>

                         determined on the assumption that the Issuer Reserve
                         Requirement, the Issuer Arrears Test and the
                         Subordinated Principal Test are satisfied on that
                         Payment Date); and

                    (2)  an amount equal to:

                        Mortgages Trustee Principal
                        Receipts plus any amounts
                        standing to the credit of the          x  Group 1 Share
                        Funding Principal Ledger (less any        Percentage
                        amounts applied in paragraph (i)
                        above)

               (B)  an amount which is equal to the lesser of:

                    (1)  the principal amount due on the Intercompany Loans of
                         all Group 2 Issuers equal to the Controlled
                         Amortisation Amounts due for non-Money Market Notes,
                         if any, on the Payment Date for Group 2 Issuers
                         immediately succeeding such Distribution Date (in
                         each case determined on the assumption that the
                         Issuer Reserve Requirement, the Issuer Arrears Test
                         and the Subordinated Principal Test are satisfied on
                         that Payment Date); and

                    (2)  an amount equal to:

                        Mortgages Trustee Principal
                        Receipts plus any amounts
                        standing to the credit of the          x  Group 2 Share
                        Funding Principal Ledger (less any        Percentage
                        amounts applied in paragraph (i)
                        above)

          (iii) either:

               (A)  an amount in respect of all Group 1 Issuers towards any
                    principal amounts remaining which will be due and payable
                    (taking into account the amount determined under
                    paragraphs 1(d)(i)(B) and 1(d)(ii)(A) above) on the
                    immediately succeeding Payment Date under such Issuers'
                    Intercompany Loans (in each case determined on the
                    assumption that the Issuer Reserve Requirement, the Issuer
                    Arrears Test and the Subordinated Principal Test are
                    satisfied on that Payment Date); or

               (B)  an amount in respect of all Group 2 Issuers towards any
                    principal amounts remaining which will be due and payable
                    (taking into account the amount determined under
                    paragraphs 1(d)(i)(B) and 1(d)(ii)(B) above) on the
                    immediately succeeding Payment Date under such Issuers'
                    Intercompany

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<PAGE>

                    loans (in each case determined on the assumption that the
                    Issuer Reserve Requirement, the Issuer Arrears Test and
                    the Subordinated Principal Test are satisfied on that
                    Payment Date).

          For purposes of calculating the Group 1 Share Percentage and the
          Group 2 Share Percentage in paragraphs 1(d)(ii)(A)(2) and
          1(d)(ii)(B)(2) above, respectively, the Outstanding Principal
          Balance of the relevant Intercompany Loan shall be deemed to be
          reduced by the amount of: (a) any deficiency recorded on the Issuer
          Principal Deficiency Ledger of that Issuer as at the relevant
          Payment Date, but only to the extent that such deficiency has arisen
          as a result of (i) losses on the Mortgage Loans allocated by Funding
          to that Issuer and/or (ii) the application of Funding Available
          Principal Receipts to fund the Issuer Liquidity Reserve Fund of that
          Issuer but not as a result of any other principal deficiency of that
          Issuer; and (b) the Outstanding Principal Balance as of such Payment
          Date of any Special Repayment Notes issued by that Issuer.

          Following determination of the amounts under this paragraph 1(d),
          the Cash Manager shall allocate the Mortgages Trustee Available
          Principal Receipts to the Group 1 Issuers and Group 2 Issuers by
          recording such the amounts on the Group 1 Principal Sub- Ledger or
          Group 2 Principal Sub-Ledger, as the case may be, as set forth in
          paragraph 16 below.

     (e)  No later than each Distribution Date immediately prior to each
          Payment Date, the Cash Manager shall determine each of the
          following:

          (i)  the amount of any Group 1 Available Revenue Receipts or Group 2
               Available Revenue Receipts, as applicable, to be applied on the
               relevant Payment Date in accordance with the Funding
               Pre-Enforcement Revenue Priority of Payments; and

          (ii) the amount of any Group 1 Available Principal Receipts or Group
               2 Available Principal Receipts, as applicable, to be applied on
               the following Payment Date in accordance with the Funding
               Pre-Enforcement Principal Priority of Payments.

     (f)  No later than each Distribution Date immediately prior to each
          Payment Date, the Cash Manager shall determine each of the
          following:

          (i)  the amount of any Issuer Allocable Revenue Receipts for each
               Funding Issuer to be applied on the relevant Payment Date in
               accordance with the Funding Pre-Enforcement Revenue Priority of
               Payments;

          (ii) the amount of any Issuer Allocable Principal Receipts for each
               Funding Issuer to be applied on the following Payment Date in
               accordance with the Funding Pre-Enforcement Principal Priority
               of Payments; and

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<PAGE>

         (iii) the amount of any Group 1 Shared Issuer Revenue Receipts or
               Group 2 Shared Issuer Revenue Receipts and Group 1 Shared
               Issuer Principal and Group 2 Receipts Shared Issuer Principal
               Receipts to be applied on the following Payment Date in
               accordance with the Funding Priority of Payments.

     (g)  Prior to each Distribution Date, the Cash Manager shall determine
          each of the following:

          (i)  whether the relevant Distribution Date is within a Cash
               Accumulation Period relating to a Bullet Repayment Loan Amount
               (the Cash Accumulation Period being calculated separately for
               each Bullet Repayment Loan Amount); and

          (ii) the Repayment Requirement of Funding 2 for the relevant
               Distribution Date.

     (h)  No later than the Distribution Date immediately prior to each
          Payment Date, the Cash Manager shall determine each of the
          following:

          (i)  the amount of any Funding 2 Available Revenue Receipts to be
               applied on the relevant Payment Date in accordance with the
               Funding 2 Pre-Enforcement Revenue Priority of Payments; and

          (ii) the amount of any Funding 2 Available Principal Receipts to be
               applied on the following Payment Date in accordance the Funding
               2 Pre-Enforcement Principal Priority of Payments.

     (i)  The Cash Manager shall make all the determinations referred to in
          paragraphs 1(a) to (h) herein on the basis of the following
          assumptions:

          (i)  that the amount of any Losses will not increase;

          (ii) that any debit balance on any Issuer Principal Deficiency
               Ledger or the Funding 2 Principal Deficiency Ledger will not
               increase; and

         (iii) such other assumptions (including without limitation as to the
               amount of any payments or provisions to be made in accordance
               with the applicable Funding Priority of Payments and/or the
               applicable Funding 2 Priority of Payments during the period
               from and including the Distribution Date immediately prior to
               each Payment Date to and excluding such Payment Date) as the
               Cash Manager considers appropriate.

          The Cash Manager shall notify the Mortgages Trustee, each Funding
          Beneficiary and each Funding Security Trustee on request of any such
          other assumptions and shall take account of any representations made
          by the Mortgages Trustee, and (in the case of Funding) by Funding
          and the Security Trustee and (in the case of Funding 2) by Funding 2
          and the Funding 2 Security Trustee (as the case may be) in relation
          thereto.

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<PAGE>

     (j)  The Cash Manager shall:

          (i)  make or procure to be made all returns and filings required to
               be made by each Funding Beneficiary and the Mortgages Trustee;

          (ii) itself on behalf of each Funding Beneficiary and the Mortgages
               Trustee, provided that such moneys are at the relevant time
               available to each Funding Beneficiary and the Mortgages
               Trustee, pay all out-of-pocket expenses of each Funding
               Beneficiary and the Mortgages Trustee incurred in the
               performance of the Cash Manager's duties hereunder including,
               without limitation, all fees payable to the London Stock
               Exchange Limited.

     (k)  The Cash Manager shall, if necessary, perform all currency
          conversions free of charge, cost or expense at the relevant exchange
          rate (for the purposes of any calculations referred to above, (i)
          all percentages resulting from such calculations will be rounded, if
          necessary, to the nearest one hundred-thousandth of a percentage
          point (e.g. 9.876541% being rounded down to 9.87654% and (ii) any
          currency amounts used in or resulting from such calculations will be
          rounded in accordance with the relevant market practice).

     (l)  Each determination made in accordance with this paragraph 1 shall
          (in the absence of bad faith, wilful default, negligence and
          manifest error) be final and binding on all persons.

2.   Notification of Determinations

     The Cash Manager shall cause:

     (a)  each determination of Principal Receipts, Revenue Receipts, Losses,
          Mortgages Trustee Available Revenue Receipts, the Funding Share, the
          Funding 2 Share, the Seller Share, the Funding Share Percentage, the
          Funding 2 Share Percentage, the Seller Share Percentage, the
          Weighted Average Funding Share Percentage, the Weighted Average
          Funding 2 Share Percentage, the Weighted Average Seller Share
          Percentage and the Minimum Seller Share to be notified forthwith to
          the Mortgages Trustee, the Beneficiaries and each Funding Security
          Trustee;

     (b)  each determination of Group 1 Available Principal Receipts, Group 2
          Available Principal Receipts, Group 1 Available Revenue Receipts,
          Group 2 Available Revenue Receipts and the determinations made under
          paragraphs 1(c) and 1(d) above to be notified forthwith to Funding,
          the Security Trustee and the relevant Issuer Cash Manager; and

     (c)  each Determination of Funding 2 Available Principal Receipts,
          Funding 2 Available Revenue Receipts and the determinations made
          under paragraph 1(g) to be notified forthwith to Funding 2, the
          Funding 2 Security Trustee and the relevant Issuer Cash Manager.

3.   Priority of Payments for Mortgages Trustee Available Revenue Receipts

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<PAGE>

     The Cash Manager shall (unless the intended recipient of the relevant
     payment agrees otherwise) on each Distribution Date withdraw Cash from
     the Mortgages Trustee GIC Account and/or, in the case of sums to be
     provided for, retain Cash in the amounts required (to the extent that
     such withdrawal does not cause the Mortgages Trustee GIC Account to
     become overdrawn or, if any amounts are retained by way of provision for
     the relevant liability and are thus not withdrawn, to the extent that
     withdrawal of those amounts that are withdrawn would not, if such
     retained amounts were also to be withdrawn, cause the balance on the
     Mortgages Trustee GIC Account to become overdrawn). The aggregate amount
     of the withdrawal shall equal the Mortgages Trustee Available Revenue
     Receipts on each Distribution Date. The withdrawal shall be used to make
     the payments and provisions in the order of priority set out in Clause
     10.2 (Distribution of Mortgages Trustee Available Revenue Receipts) of
     the Mortgages Trust Deed (in each case only if and to the extent that
     payments or provisions of a higher priority have been made in full).

4.   Priority of Payments for Mortgages Trustee Principal Receipts

     The Cash Manager shall (unless the intended recipient of the relevant
     payment agrees otherwise) on each Distribution Date, (i) withdraw Cash
     from the Mortgages Trustee GIC Account in an amount equal to the
     Mortgages Trustee Principal Receipts (to the extent only that such
     withdrawal does not cause the Mortgages Trustee GIC Account to become
     overdrawn or, if any amounts are retained by way of provision for the
     relevant liability and are thus not withdrawn, to the extent that
     withdrawal of those amounts that are withdrawn would not, if such
     retained amounts were also to be withdrawn, cause the balance on the
     Mortgages Trustee GIC Account to become overdrawn) to make the payments
     in the order of priority set out in Clause 11 of the Mortgages Trust Deed
     (Distribution of Principal Receipts) and/or, (ii) until such time as the
     same may be distributed in accordance with the Mortgages Trust Deed,
     retain Cash in the Mortgages Trustee GIC Account in the amount of any net
     credit on the Non-Flexible Overpayments Sub Ledger.

5.   Priority of Payments for Funding Available Revenue Receipts

     Group 1 Available Revenue Receipts and Group 2 Available Revenue Receipts
     (including Issuer Allocable Revenue Receipts) will be applied by the Cash
     Manager on the relevant Payment Dates until enforcement of the Funding
     Security pursuant to the Funding Deed of Charge or until such time as
     there are no outstanding Funding Secured Obligations, in making such
     payments and provisions in the order of priority set out in the Funding
     Pre-Enforcement Revenue Priority of Payments (in each case only if and to
     the extent that payments or provisions of a higher priority have been
     made in full) as set out in Part I of Schedule 3 to the Funding Deed of
     Charge (as the same may be amended, varied or restated from time to
     time).

6.   Priority of Payments for Funding Available Principal Receipts

     Group 1 Available Principal Receipts and Group 2 Available Principal
     Receipts (including Issuer Allocable Principal Receipts) will be applied
     by the Cash Manager on each Payment Date until enforcement of the Funding
     Security pursuant to the Funding Deed of Charge or until such time as
     there are no outstanding Funding

                                      52
<PAGE>

     Secured Obligations, in making such payments and provisions in the order
     of priority (in each case only if and to the extent that payments or
     provisions of a higher priority have been made in full) set out in Part
     II of Schedule 3 to the Funding Deed of Charge.

7.   Priority of Payments for Funding 2 Available Revenue Receipts

     Funding 2 Available Revenue Receipts will be applied by the Cash Manager
     on the relevant Payment Dates until enforcement of the Funding 2 Security
     pursuant to the Funding 2 Deed of Charge or until such time as there are
     no outstanding Funding 2 Secured Obligations, in making such payments and
     provisions in the order of priority set out in the Funding 2
     Pre-Enforcement Revenue Priority of Payments (in each case only if and to
     the extent that payments or provisions of a higher priority have been
     made in full) as set out in Part 1 of Schedule 3 to the Funding 2 Deed of
     Charge (as the same may be amended, varied or restated from time to
     time).

8.   Priority of Payments for Funding 2 Available Principal Receipts

     Funding 2 Available Principal will be applied by the Cash Manager on each
     Payment Date until enforcement of the Funding 2 Security pursuant to the
     Funding 2 Deed of Charge or until such time as there are no outstanding
     Funding 2 Secured Obligations, in making such payments and provisions in
     the order of priority set out in the Funding 2 Pre-Enforcement Principal
     Priority of Payments (in each case only if and to the extent that
     payments or provisions of a higher priority have been made in full) as
     set out in Part 2 of Schedule 3 to the Funding 2 Deed of Charge (as the
     same may be amended, varied or restated from time to time).

9.   Other Payments

     Each of the Beneficiaries and the Cash Manager agrees, and the Mortgages
     Trustee concurs, that (save as otherwise specified below) the following
     payments may be made from the Mortgages Trustee GIC Account (to the
     extent that withdrawal of those amounts would not cause the balance of
     the Mortgages Trustee GIC Account to become overdrawn) on any date:

     (a)  if any amount has been received from a Borrower for the express
          purpose of payment being made to a third party for the provision of
          a service (including giving insurance cover) to any of that Borrower
          or the Seller or the Mortgages Trustee, to pay such amount when due
          to such third party or, in the case of the payment of an insurance
          premium, where such third party and the Cash Manager have agreed
          that payment of commission should be made by deduction from such
          insurance premium, to pay such amount less such commissions when due
          to such third party and to pay such commission to the Cash Manager
          and to pay any premiums in respect of any Insurance Policy or other
          insurance policy relating to any Mortgage Loan comprised in the
          Mortgage Portfolio;

     (b)  to pay to any person (including the Cash Manager) any amounts due
          arising from any unintentional overpayment (and not an Overpayment)
          by any person or arising from any reimbursement by any person of any
          such overpayment

                                      53
<PAGE>

          (including, for the avoidance of doubt, where arising from the
          failure of a direct debit);

     (c)  to pay when due (but subject to any right to refuse or withhold
          payment or of set-off that has arisen by reason of the Borrower's
          breach of the terms of the relevant Mortgage or Mortgage Loan) any
          amount payable to a Borrower under the terms of the Mortgage or the
          Mortgage Loan to which that Borrower is a party, and to pay when due
          any amount payable by the Mortgages Trustee to the Seller pursuant
          to Clauses 3.2 (Purchase Price), 4.5 (Purchase Price) and 5.2 (Trust
          in favour of Seller) of the Mortgage Sale Agreement;

     (d)  to pay to the Seller any amounts (including, for the avoidance of
          doubt, any Early Repayment Charges) received and held by the
          Mortgages Trustee on trust for the Seller pursuant to Clause 5
          (Trust of Monies) of the Mortgage Sale Agreement;

     (e)  to pay when due and payable any amounts due and payable by the
          Mortgages Trustee to third parties and incurred without breach by
          the Mortgages Trustee of the Mortgages Trust Deed and not provided
          for payment elsewhere in this paragraph 9;

     (f)  to refund any amounts due arising from the rejection of any payments
          in respect of a Mortgage Loan and any other amounts which have not
          been received by the Mortgages Trustee as cleared funds; and

     (g)  to refund to the Seller any amounts which represent amounts received
          from Borrowers but which do not form part of the Mortgage Account or
          comprise unpaid interest as at the relevant Closing Date and which
          are amounts owed by such Borrowers in respect of any period prior to
          the relevant Closing Date as and when identified by the Cash Manager
          and if a Borrower fails to pay the full amount that it owes, the
          Cash Manager shall be obliged to refund to the Seller only such
          portion of the amount which relates to any period prior to the
          relevant Closing Date.

10.  Use of Ledgers

     The Cash Manager shall forthwith record monies received or payments made
     by it on behalf of the Mortgages Trustee, Funding or Funding 2 in the
     ledgers in the manner set out in this Agreement. If, at any time, the
     Cash Manager is in any doubt as to which ledger a particular amount
     should be credited or debited, it shall consult with the Funding Security
     Trustees (in relation to the Mortgages Trustee Ledgers) or with the
     Security Trustee (in relation to the Funding Ledgers) or with the Funding
     2 Security Trustee (in relation to the Funding 2 Ledgers).

     Except in the case of the Funding Principal Deficiency Ledger and the
     Funding 2 Principal Deficiency Ledger, a debit item shall only be made in
     respect of any of the Mortgages Trustee Ledgers, Funding Ledgers and the
     Funding 2 Ledgers and the corresponding payment or transfer (if any) may
     only be made from the applicable Mortgages Trustee Bank Account, the
     applicable Funding Bank Account or the applicable Funding 2 Bank Account,
     as the case may be, to the extent that such entry

                                      54
<PAGE>

     does not cause the relevant ledger to have a debit balance. In the case
     of the Funding Principal Deficiency Ledger and the Funding 2 Principal
     Deficiency Ledger, a credit item shall only be made to the extent that
     such entry does not cause such ledger to have a credit balance.

11.  Revenue Ledger

     The Cash Manager shall ensure that:

     (a)  the following amounts shall be credited to the Revenue Ledger:

          (i)  all Revenue Receipts; and

          (ii) all interest received by the Mortgages Trustee on the Mortgages
               Trustee Transaction Account and the Mortgages Trustee GIC
               Account; and

     (b)  any payment or provision made under paragraph 3 herein shall be
          debited to the Revenue Ledger.

12.  Principal Ledger

     The Cash Manager shall ensure that:

     (a)  all Principal Receipts shall be credited to the Principal Ledger;
          and

     (b)  any payment or provision made under paragraph 4 herein shall be
          debited to the Principal Ledger.

13.  Losses Ledger

     The Cash Manager shall ensure that all Losses shall be recorded in the
     Losses Ledger.

14.  Funding Share/Funding 2 Share/Seller Share Ledger

     The Cash Manager shall ensure that the Current Funding Share and the
     Current Funding Share Percentage of the Trust Property, the Current
     Funding 2 Share and the Current Funding 2 Share Percentage of the Trust
     Property and the Current Seller Share and the Current Seller Share
     Percentage of the Trust Property are recorded in the Funding
     Share/Funding 2 Share/Seller Share Ledger on the Initial Closing Date and
     thereafter on each Distribution Date. In addition to the foregoing, if:

     (a)  the Seller has assigned New Mortgage Loans to the Mortgages Trustee;
          or

     (b)  Funding has paid a Further Contribution to the Mortgages Trustee to
          increase the Funding Share of the Trust Property; or

     (c)  Funding 2 has paid an Initial Contribution or a Further Contribution
          to the Mortgages Trustee to increase the Funding 2 Share of the
          Trust Property,

                                      55
<PAGE>

         during the Trust Calculation Period immediately preceding a
         Distribution Date, the Cash Manager shall ensure that the Current
         Funding Share and the Current Funding Share Percentage of the Trust
         Property, the Current Funding 2 Share and the Current Funding 2 Share
         Percentage of the Trust Property and the Current Seller Share and the
         Current Seller Share Percentage of the Trust Property, as
         recalculated on each Assignment Date and Funding Contribution Date
         and the Weighted Average Funding Share Percentage, the Weighted
         Average Funding 2 Share Percentage and the Weighted Average Seller
         Share Percentage, as calculated on such Distribution Date or Funding
         Contribution Date in respect of Revenue Receipts, Principal Receipts
         and Losses, are recorded on the Funding Share/Funding 2 Share/Seller
         Share Ledger on each such Distribution Date or Funding Contribution
         Date.

15.  Funding Revenue Ledger

     The Cash Manager shall ensure that:

     (a)  the following amounts shall be credited to the Funding Revenue
          Ledger:

          (i)  all Funding Revenue Receipts;

          (ii) all interest received by Funding in respect of the Funding Bank
               Accounts, including in respect of any Funding (Issuer) GIC
               Account, provided that the Cash Manager shall keep a separate
               record in respect of each Funding Issuer of the amount of
               interest received by Funding in respect of the Funding (Issuer)
               GIC Account of such Issuer;

         (iii) all amounts received by Funding representing income on any of
               Funding's Authorised Investments;

     (b)  any payment or provision made under paragraph 5 above shall be
          debited to the Funding Revenue Ledger;

     (c)  the amount determined under paragraph 1(c)(i) shall be recorded on
          the Revenue Expense Sub-Ledger on each Distribution Date;

     (d)  the amounts determined under paragraphs (1)(c)(ii) and 1(c)(iii)(A)
          above shall be recorded on the Group 1 Revenue Receipts Sub-Ledger
          on each Distribution Date; and

     (e)  the amounts determined under paragraphs 1(c)(iii) and 1(c)(iii)(B)
          above shall be recorded on the Group 2 Revenue Receipts Sub-Ledger
          on each Distribution Date.

16.  Issuer Reserve Fund Ledger

     If an Issuer Reserve Fund is required to be established, the Cash Manager
     will record on such Issuer Reserve Fund Ledger:

     (a)  an amount initially from that portion of Funding's Contribution to
          the Mortgages Trust which will be retained by Funding and not paid
          to the

                                      56
<PAGE>

          Mortgages Trustee and deposited into the related Funding (Issuer)
          GIC Account;

     (b)  amounts credited to the relevant Issuer Reserve Fund Ledger in
          accordance with the Funding Priority of Payments above; and

     (c)  amounts debited to an Issuer Reserve Fund Ledger in order to be
          applied in accordance with the Funding Priority of Payments.

17.  Issuer Liquidity Reserve Ledger

     If an Issuer Liquidity Reserve Fund is required to be established, the
     Cash Manager will record on such Issuer Liquidity Reserve Ledger:

     (a)  an amount funded initially from Funding Available Principal Receipts
          which are allocated to the relevant Funding Issuer in accordance
          with the Funding Pre-Enforcement Principal Priority of Payments up
          to the amount of the Issuer Liquidity Reserve Required Amount and
          such amount will be deposited in the relevant Funding (Issuer) GIC
          Account;

     (b)  amounts credited to the relevant Issuer Liquidity Reserve Ledger in
          accordance with the Funding Priority of Payments above; and

     (c)  amounts debited to the Issuer Liquidity Reserve Ledger in order to
          be applied in accordance with Funding Priority of Payments.

18.  Funding Principal Ledger

     Without prejudice to paragraph 18 below, the Cash Manager shall ensure
     that:

     (a)  the following amounts shall be credited to the Funding Principal
          Ledger:

          (i)  all Funding Principal Receipts;

          (ii) amounts credited to the Funding Principal Deficiency Ledger
               under paragraphs 8 and 17 herein; and

         (iii) any Mortgages Trustee Available Principal Receipts remaining
               after determining the amounts under paragraphs 1(d)(i) through
               1(d)(iii) herein;

     (b)  the following amounts shall be debited to the Funding Principal
          Ledger:

          (i)  the aggregate amount of principal repaid on the Funding
               Intercompany Loan Agreements pursuant to paragraph 6 herein;

     (c)  the amounts determined under paragraphs 1(d)(i)(A) and 1(d)(i)(B)
          (to the extent such amounts relate to Group 1 Issuers) and under
          paragraphs, 1(d)(ii)(A) and 1(d)(iii)(A) above shall be recorded on
          the Group 1 Principal Receipts Sub-Ledger on each Distribution Date.
          PROVIDED that if on any Distribution Date Mortgages Trustee
          Principal Receipts are allocable to both

                                      57
<PAGE>

          Group 1 and Group 2 pursuant to paragraph 1(d)(i)(B) above, then the
          Cash Manager shall record such amounts on the Group 1 and Group 2
          Principal Sub-Ledgers, respectively, in priority corresponding to
          the Final Maturity Dates of the Money Market Notes of the related
          Funding Issuers, beginning with the earliest such Final Maturity
          Date; and

     (d)  the amounts determined under paragraphs 1d(i)(A) and 1d(i)(B) (to
          the extent such amounts relate to Group 2 Issuers) and under
          paragraphs 1d(ii)(B) and 1d(iii)(B) above shall be recorded on the
          Group 2 Principal Receipts Sub-Ledger on each Distribution Date.
          PROVIDED that if on any Distribution Date Mortgages Trustee
          Principal Receipts are allocable to both Group 1 and Group 2
          pursuant to paragraph 1(d)(i)(B) above, then the Cash Manager shall
          record such amounts on the Group 1 and Group 2 Principal
          Sub-Ledgers, respectively, in priority corresponding to the Final
          Maturity Dates of the Money Market Notes of the related Funding
          Issuers, beginning with the earliest such Final Maturity Date

19.  Funding Principal Deficiency Ledger

     The Cash Manager will establish a Principal Deficiency Ledger for Funding
     and ensure that:

     (a)  on each occasion on which an Issuer Principal Deficiency Ledger is
          credited with respect to (1) Losses and (2) Issuer Liquidity Reserve
          Funds, the Funding Principal Deficiency Ledger is credited with
          respect to such Funding Issuer; and

     (b)  on each occasion on which the principal deficiency of a Funding
          Issuer is reduced with respect to a credit described in (a) above,
          the Funding Principal Deficiency Ledger will record a parallel
          reduction in aggregate principal deficiencies.

20.  Funding Reserve Ledger

     (a)  An amount initially drawn from excess Revenue Receipts distributed
          to Funding from the Mortgages Trust and deposited in the Funding GIC
          Account will be credited to the Funding Reserve Ledger.

     (b)  Amounts shall be credited to the Funding Reserve Ledger in
          accordance with the Funding Priority of Payments above.

     (c)  Amounts shall be debited to the Funding Reserve Ledger on any
          Closing Date in order to be applied in the establishment of initial
          reserves or in payment of expenses in connection with the issuance
          of any Notes by a Funding Issuer and on each Payment Date in order
          to be applied in accordance with the Funding Priority of Payments.

21.  Funding Intercompany Loan Ledger

                                      58
<PAGE>

     The Cash Manager shall ensure that all payments of interest and
     repayments of principal on each of the Funding Intercompany Loans are
     recorded in the Funding Intercompany Loan Ledger.

22.  Funding 2 Revenue Ledger

     The Cash Manager shall ensure that:

     (a)  the following amounts shall be credited to the Funding 2 Revenue
          Ledger:

          (i)  all Funding 2 Revenue Receipts;

          (ii) all interest received by Funding 2 in respect of the Funding
               Bank Accounts;

         (iii) all amounts received by Funding 2 representing income on any
               of Funding 2's Authorised Investments;

          (iv) [any amount debited to the Funding 2 Principal Ledger under
               paragraph 23(b)(ii) herein and any amount debited to the
               Funding 2 Cash Accumulation Ledger under paragraph 24(b)(ii)
               herein;] and

     (b)  any payment or provision made under paragraph [7] (Priority of
          Payments for Funding 2 Available Revenue Receipts) above shall be
          debited to the Funding 2 Revenue Ledger.

23.  Funding 2 Principal Ledger

     The Cash Manager shall ensure that:

     (a)  the following amounts shall be credited to the Funding 2 Principal
          Ledger:

          (i)  all Funding 2 Principal Receipts after application of Funding 2
               Principal Receipts towards the Cash Accumulation Requirement);

          (ii) amounts credited to the Funding 2 Principal Deficiency Ledger
               under paragraph [25(b)] herein; and

     (b)  the following amounts shall be debited to the Funding 2 Principal
          Ledger:

          (i)  the aggregate amount of principal repaid on the Funding 2
               Intercompany Loan Agreements pursuant to paragraph [8]
               (Priority of Payments for Funding 2 Available Principal
               Receipts) herein, excluding the amount of any principal repaid
               which is debited to the Funding 2 Cash Accumulation Ledger;

          (ii) the aggregate amount of Funding 2 Principal Receipts (other
               than Funding 2 Principal Receipts credited to the Funding 2
               Cash Accumulation Ledger) used to meet any deficiency in
               Funding 2 Available Revenue Receipts.

                                      59
<PAGE>

24.  Funding 2 Cash Accumulation Ledger

     The Cash Manager shall ensure that:

     (a)  the following amounts shall be credited to the Funding 2 Cash
          Accumulation Ledger:

          (i)  all Mortgages Trustee Principal Receipts distributed to Funding
               2 which constitute the Cash Accumulation Requirement;

          (ii) amounts credited to the Funding 2 Principal Deficiency Ledger
               under [paragraph 25(b)] herein; and

     (b)  Funding 2 Principal Receipts received by Funding 2 or any
          Distribution Date are firstly, applied towards the Cash Accumulation
          Requirement calculated in respect of such date;

     (c)  the following amounts shall be debited to the Funding 2 Cash
          Accumulation Ledger:

          (i)  the aggregate amount of principal applied towards repayment of
               each Bullet Repayment Loan Amount pursuant to paragraph [8]
               (Priority of Payments for Funding 2 Available Principal
               Receipts) herein];

          (ii) the aggregate amount of Funding 2 Principal Receipts credited
               to the Funding 2 Cash Accumulation Ledger used to meet any
               deficiency in Funding 2 Available Revenue Receipts.

25.  Funding 2 Principal Deficiency Ledger

     Without prejudice to paragraph [7] (Priority of Payments for Funding 2
     Available Revenue Receipts), the Cash Manager will ensure that:

     (a)  the following amounts are debited to the Funding 2 Principal
          Deficiency Ledger:

          (i)  deficiencies arising from Losses which have been allocated to
               Funding 2;

          (ii) any amount required to be debited to the Funding 2 Principal
               Ledger (under paragraph 23(b)(ii) above) and/or any amount
               required to be debited to the Funding 2 Cash Accumulation
               Ledger (under paragraph 24(b)(ii) above);

         (iii) any amount required to be applied under paragraph 8 (Priority
               of Payments for Funding 2 Available Principal Receipts) to fund
               the Funding 2 Liquidity Reserve Fund

                                      60
<PAGE>

     (b)  there shall be credited to the Funding 2 Principal Deficiency Ledger
          any amount to be credited in accordance with paragraph [7] (Priority
          of Payments for Funding 2 Available Revenue Receipts);

     (c)  amounts to be debited to the Funding 2 Principal Deficiency Ledger
          are debited in the following order:

          (i)  first, on the BB Principal Deficiency Subledger until the
               balance of that subledger is equal to the aggregate outstanding
               balance of all BB Loan Tranches;

          (ii) second, on the BBB Principal Deficiency Subledger, until the
               balance of that subledger is equal to the aggregate outstanding
               balance of all BBB Loan Tranches;

         (iii) third, on the A Principal Deficiency Subledger, until the
               balance of that subledger is equal to the aggregate outstanding
               balance of all A Loan Tranches;

          (iv) fourth, on the AA Principal Deficiency Subledger, until the
               balance of that subledger is equal to the aggregate outstanding
               balance of all AA Loan Tranches; and

          (v)  last, on the AAA Principal Deficiency Subledger, at which point
               there will be an asset trigger event.

     (d)  amounts to be credited to the Funding 2 Principal Deficiency Ledger
          are credited in the following order:

          (i)  first, on the AAA Principal Deficiency Subledger, until the
               debit balance thereon has been reduced to zero;

          (ii) second, on the AA Principal Deficiency Subledger, until the
               debit balance thereon has been reduced to zero;

         (iii) third, on the A Principal Deficiency Subledger, until the
               debit balance thereon has been reduced to zero;

          (iv) fourth, on the BBB Principal Deficiency Subledger, until the
               debit balance thereon has been reduced to zero; and

          (v)  last, on the BB Principal Deficiency Subledger, until the debit
               balance thereon has been reduced to zero.

26.  Funding 2 Reserve Ledger

          (a)  Amounts shall be credited to the Funding 2 Reserve Ledger on
               any Closing Date in accordance with the Funding 2 Priority of
               Payments.

                                      61
<PAGE>

          (b)  Amounts shall be debited to the Funding 2 Reserve Ledger in
               order to be applied to fund any applicable reserves and the
               payment of expenses in connection with the issuance of notes
               and the making of Loan Tranches to Funding 2 and on each
               Payment Date in order to be applied in accordance with the
               Funding 2 Priority of Payments.

27.  Funding 2 Liquidity Reserve Ledger

     If a Funding 2 Liquidity Reserve Fund is required to be established, the
     Cash Manager will record on such Funding 2 Liquidity Reserve Ledger:

     (a)  an amount funded initially from Funding 2 Available Principal
          Receipts which are allocated in accordance with the Funding 2
          Pre-Enforcement Principal Priority of Payments up to the amount of
          the Funding 2 Liquidity Reserve Required Amount and such amount will
          be deposited in the Funding 2 GIC Account;

     (b)  amounts credited to the relevant Funding 2 Liquidity Reserve Ledger
          in accordance with the Funding 2 Priority of Payments above; and

     (c)  amounts debited to the Funding 2 Liquidity Reserve Ledger in order
          to be applied in accordance with Funding 2 Priority of Payments.

28.  Funding 2 Liquidity Facility Ledger

     If a Funding 2 Liquidity Facility is required to be established, the Cash
     Manager shall ensure that:

     (a)  all Funding 2 Liquidity Facility Drawings shall be credited to the
          Funding 2 Liquidity Facility Ledger; and

     (b)  all Funding 2 Liquidity Facility Repayments shall be debited to the
          Funding 2 Liquidity Facility Ledger.

29.  Funding 2 Swap Collateral Ledger

     In connection with Swap Collateral the Cash Manager shall ensure that the
     appropriate debits and credits are made to the Funding 2 Swap Collateral
     Ledger in accordance with Clause 4.13 (Funding 2 Swap Collateral).

30.  Overpayments Ledger

     The Cash Manager shall ensure that:

     (a)  with respect to the Non-Flexible Mortgage Loans:

          (i)  there shall be credited to the Non-Flexible Overpayments Sub
               Ledger all Overpayments (not being Capital Payments) made on
               Non-Flexible Mortgage Loans; and

                                      62
<PAGE>

          (ii) there shall be debited from the Non-Flexible Overpayments Sub
               Ledger:

               (A)  all underpayments made by any Borrower on Non-Flexible
                    Mortgage Loans which do not exceed the amount of the
                    Overpayment previously made by such Borrower in the same
                    calendar year; and

               (B)  on the first Trust Determination Date of each calendar
                    year, all outstanding credits made to the Non-Flexible
                    Overpayments Sub Ledger during the previous calendar year;
                    and

     (b)  all Overpayments on the Flexible Mortgage Loans are recorded in the
          Flexible Overpayments Sub Ledger.

31.  Non-Flexible Underpayments Ledger

     The Cash Manager shall ensure that all amounts debited from the
     Overpayments Ledger under paragraph 20(a)(ii) above shall be recorded on
     the Non-Flexible Underpayments Ledger.

32.  Re-Draws Ledger

     The Cash Manager shall ensure that, with respect to the Flexible Mortgage
     Loans:

     (a)  all Non-Cash Re-Draws are recorded in the Non-Cash Re-Draws Sub
          Ledger; and

     (b)  all Cash Re-Draws are recorded in the Cash Re-Draws Sub Ledger.

33.  Further Draws Ledger

     The Cash Manager shall ensure that, with respect to Personal Secured
     Loans, all Further Draws are recorded in the Further Draws Ledger.

34.  Funding 2 Intercompany Loan Ledger

     The Cash Manager shall ensure that:

     (a)  the followings amounts shall be credited to the Funding 2
          Intercompany Loan Ledger:

          (i)  the principal amount of each Loan Tranche, as and when made;

          (ii) all other amounts that become due on each Loan Tranche;

          in each case, such amounts being credited to a sub-ledger in respect
          of the applicable Loan Tranche;

                                      63
<PAGE>

     (b)  all payments of interest and repayments of principal on each Loan
          Tranche are debited to the Funding 2 Intercompany Loan Ledger (in
          each case, such amounts being recorded to the sub-ledger of the
          applicable Loan Tranche).

35.  Records

          The Cash Manager shall ensure that a separate record is kept of any
          amount drawn under any Issuer Reserve Fund or Issuer Liquidity
          Reserve Fund.

                                      64
<PAGE>

<TABLE>
<CAPTION>

                                  SCHEDULE 3A
                  Form of Mortgages Trustee Quarterly Report
<S>                                              <C>                  <C>                    <C>

Granite Finance Trustees Limited
Memorandum of Account

Period Ended                                                          This Quarter           Prior Quarter
                                                                      (GBP) 000's            (GBP) 000's

Fees Receivable
Fees Payable
Operating Expenses
Taxation
Dividend                                                              0                      0
Retained profit brought forward                                       0                      0
                                                                      ---------------------- ---------------------
Retained profit for the year                                          0                      0
                                                                      ====================== =====================

Granite Finance Trustees Limited
Balance Sheet

Period Ended
                                                 (GBP)                (GBP)
Fixed Asset Investments

Current Assets
New Mortgage Loans                              0
Interest Receivable                             0
Other debtors                                   0
Cash at Bank                                    0
                                                ---------------------
                                                0
                                                ---------------------
Creditors: Amounts falling due within one year
Accruals                                        0
Interest Payable Accrual                        0
Taxation                                        0
                                                =====================
                                                0
                                                =====================
Net current assets                                                    0

                                                                      ======================
Total Assets less current liabilities                                 0
                                                                      ======================

Share Capital                                                         0
Reserves                                                              0

                                                                      ======================
                                                                      0
                                                                      ======================

                                                Diff                  0

</TABLE>

                                      65
<PAGE>

                                  SCHEDULE 3B
                       Form of Funding Quarterly Report

Granite Finance Funding Limited
Profit & Loss Account

Period Ended                       This Quarter          Prior Quarter

                                   (GBP) 000's           (GBP) 000's

Interest Receivable
- Mortgages
Interest Receivable
- Cash/ Authorised
Investments
                                   0                     0
Interest Payable -
Intercompany Loan
Interest Payable
                                   0                     0

Net Operating
Income                             0                     0

Other Income

Operating Expenses
Deferred
Consideration

Profit/loss on                     0                     0
ordinary activities
before tax

Taxation

Profit/loss on                     0                     0
ordinary activities
after tax

Dividend                           0                     0

Retained profit                    0                     0
brought forward

Retained profit for                0                     0
the year

                                      66
<PAGE>

Granite Finance Funding Limited
Balance Sheet

Period Ended
                                                (GBP)000's          (GBP)000's
Fixed Asset Investments

Beneficial Interest in Mortgage Portfolio                           0

Current Assets
Interest Receivable                                0
Deferred Expenditure (costs of Securing)           0
Other debtors                                      0
Cash at Bank                                       0

Creditors: Amounts falling due within one year
Accruals                                           0
Deferred Consideration Creditor                    0
Interest Payable Accrual                           0
Taxation                                           0
                                                   ----------------
                                                   0
                                                   ----------------

Net current assets                                                  0

Creditors: Amounts falling due after one year
Intercompany Loan                                                   0
Start-up Loan(s)(specify)                                          0

                                                                    -----------
Total Assets less current liabilities                               0
                                                                    ===========

Share Capital                                                       0
Reserves                                                            0

                                                                    -----------
                                                                    0
                                                                    ===========

                                                   Diff             0

                                      67
<PAGE>

Granite Finance Funding Limited
Notes to Balance Sheet

Period Ended

Balance on Cash Accumulation Ledger                     0

Available Credit Enhancement

Reserve Fund at closing
Last Quarter Closing Reserve Fund
Drawings to make a bullet repayment
Other drawings
Closing Reserve Balance
Target Reserve Fund

Issuer Principal Deficiency Ledger                      AAA         AA      BBB

Opening PDL Balance                                     0           0         0
Losses this Quarter                                     0           0         0
PDL top up from Revenue Income                          0           0         0
Closing PDL Balance                                     0           0         0

Subordinated Loan Outstanding

Initial Balance
Last Quarter Closing Outstanding
Accrued Interest
Repayments Made
Closing Balance

                                      68
<PAGE>

                                  SCHEDULE 4
                  Cash Manager Representations and Warranties

The Cash Manager makes the following representations and warranties to each of
the Mortgages Trustee, Funding and the Security Trustee:

1.   Status: It is a public limited company duly incorporated, validly
     existing and registered under the laws of the jurisdiction in which it is
     incorporated, capable of being sued in its own right and not subject to
     any immunity from any proceedings, and it has the power to own its
     property and assets and to carry on its business as it is being
     conducted.

2.   Powers and authority: It has the power to enter into, perform and
     deliver, and has taken all necessary corporate and other action to
     authorise the execution, delivery and performance by it of each of the
     Transaction Documents to which it is or will be a party, and each such
     Transaction Document has been duly executed and delivered by it.

3.   Legal validity: Each Transaction Document to which it is or will be a
     party constitutes or when executed in accordance with its terms will
     constitute, a legal, valid and binding obligation.

4.   Non-conflict: The execution by it of each of the Transaction Documents to
     which it is a party and the exercise by it of its rights and the
     performance of its obligations under such Transaction Documents will not:

     (a)  conflict with any document which is binding upon it or any of its
          assets;

     (b)  conflict with its constitutional documents; or

     (c)  conflict with any law, regulation or official or judicial order of
          any government, governmental body or court, domestic or foreign,
          having jurisdiction over it.

5.   No litigation: It is not a party to any material litigation, arbitration
     or administrative proceedings and, to its knowledge, no material
     litigation, arbitration or administrative proceedings are pending or
     threatened against it.

6.   Consents and Licenses: All governmental consents, licences and other
     approvals and authorisations required by it (in its capacity as Cash
     Manager) in connection with the entry into, performance, validity and
     enforceability of, and the transactions contemplated by, the Transaction
     Documents have been obtained or effected (as appropriate) and are in full
     force and effect.

7.   Solvency: No Insolvency Event has occurred in respect of the Cash
     Manager, and the Cash Manager is not insolvent.

8.   Financial Statements: The most recent financial statements of the Cash
     Manager:

                                      69
<PAGE>

     (a)  were prepared in accordance with accounting principles generally
          accepted in England and Wales consistently applied;

     (b)  disclose all liabilities (contingent or otherwise) and all
          unrealised and or anticipated losses of the Cash Manager; and

     (c)  save as disclosed therein, give a true and fair view of the
          financial condition and operations of the Cash Manager during the
          relevant financial year.

9.   No Adverse Change: Since the date as of which the most recent financial
     statements of the Cash Manager were stated to be prepared, there has
     been:

     (a)  no significant change in the financial position of the Cash Manager;
          and

     (b)  no material adverse change in the financial position or prospects of
          the Cash Manager.

10.  Ranking of Claims:

     Under the laws of England and Wales in force as at the date of making
     this representation, claims against the Cash Manager under the
     Transaction Documents will rank at least pari passu with the claims of
     all its other unsecured and unsubordinated creditors, save those whose
     claims are preferred solely by any bankruptcy, liquidation or other
     similar laws of general application.

11.  Information in Prospectus and Offering Circular:

     All information in the Prospectus and the Offering Circular with regard
     to the Cash Manager are true and accurate in all material respects and
     not misleading in any material respect.

The Cash Manager has made all proper inquiries to ascertain and to verify the
foregoing.

                                      70
<PAGE>

                                EXECUTION PAGE

as Cash Manager
EXECUTED for and on behalf of      )
NORTHERN ROCK PLC                  )
by:                                )

--------------------------
Authorised Signatory

Name:

Title:

as Seller
EXECUTED for and on behalf of      )
NORTHERN ROCK PLC                  )
by:                                )

--------------------------
Authorised Signatory

Name:

Title:

EXECUTED for and on behalf of      )
GRANITE FINANCE TRUSTEES LIMITED   )
by:                                )

--------------------------
Authorised Signatory

Name:

Title:

EXECUTED for and on behalf of      )
GRANITE FINANCE FUNDING LIMITED    )
by:                                )

--------------------------
Authorised Signatory

Name:

Title:

                                      71
<PAGE>

EXECUTED for and on behalf of      )
THE BANK OF NEW YORK               )
by:                                )

--------------------------
Authorised Signatory

Name:

Title:

                                      72
<PAGE>

  Definitions (to be incorporated into a revised Master Definitions Schedule)

"AAA Loan Tranche" means, a tranche of any Funding 2 Intercompany Loan which
has been structured so as to reflect the payment obligations on the Notes of
the relevant Funding 2 Issuer which are rated AAA by S&P, Aaa by Moody's and
AAA by Fitch at their date of issue;

"AAA Principal Deficiency Sub Ledger" means the sub-ledger of the Funding 2
Principal Deficiency Ledger corresponding to the AAA Loan Tranches;

"AA Loan Tranche" means, a tranche of any Funding 2 Intercompany Loan which
has been structured so as to reflect the payment obligations on the Notes of
the relevant Funding 2 Issuer which are rated AA by S&P, Aa2 by Moody's and AA
by Fitch at their date of issue;

"AA Principal Deficiency Sub Ledger" means the sub-ledger of the Funding 2
Principal Deficiency Ledger corresponding to the AA Loan Tranches;

"A Loan Tranche" means, a tranche of any Funding 2 Intercompany Loan which has
been structured so as to reflect the payment obligations on the Notes of the
relevant Funding 2 Issuer which are rated A by S&P, A2 by Moody's and A by
Fitch at their date of issue;

"A Principal Deficiency Sub Ledger" means the sub-ledger of the Funding 2
Principal Deficiency Ledger corresponding to the A Loan Tranches;

"Anticipated Cash Accumulation Period" means, on any Trust Determination Date,
the anticipated number of months required to accumulate sufficient principal
receipts to pay the relevant Bullet Repayment Loan Amount, which will be equal
to:

                                   J + K - L
                             --------------------
                             --------------------
                                  M x (N x O)

calculated in months and rounded up to the nearest whole number, where:

     J   = the relevant Bullet Repayment Loan Amount;

     K   = the aggregate Principal Amount Outstanding on that Trust
           Determination Date of:

          (i)  each other Bullet Repayment Loan Amount that was not fully
               repaid on its scheduled repayment date; and

          (ii) each other Bullet Repayment Loan Amount, the Scheduled
               Repayment Date of which falls on or before the Scheduled
               Repayment Date of the relevant Bullet Repayment Loan Amount;

     L   = the amounts standing to the credit of the Funding 2 Cash
           Accumulation Ledger at the start of that Trust Determination Date
           which are available to pay Bullet Loan Repayment Amounts;

                                      73
<PAGE>

     M   = means the sum of each Monthly CPR on the 12 most recent Trust
           Determination Dates which have occurred prior to that date divided
           by 12;

     N   = [0.85]; and

     O   = the aggregate Outstanding Principal Balance of the Mortgage Loans
           comprising the Trust Property on the previous Trust Determination
           Date.

"BBB Loan Tranche" means, a tranche of any Funding 2 Intercompany Loan which
has been structured so as to reflect the payment obligations on the Notes of
the relevant Funding 2 Issuer which are rated BBB by S&P, Baa2 by Moody's and
BBB by Fitch at their date of issue;

"BBB Principal Deficiency Sub Ledger" means the sub-ledger of the Funding 2
Principal Deficiency Ledger corresponding to the BBB Loan Tranches;

"BB Loan Tranche" means, a tranche of any Funding 2 Intercompany Loan which
has been structured so as to reflect the payment obligations on the Notes of
the relevant Funding 2 Issuer which are rated BB by S&P, Ba2 by Moody's and BB
by Fitch at their date of issue;

"BB Principal Deficiency Sub Ledger" means the sub-ledger of the Funding 2
Principal Deficiency Ledger corresponding to the BB Loan Tranches;

"Bullet Loan Tranche" means, in relation to Funding 2, any Loan Tranche which
is scheduled to be repaid in full on one Payment Date. Bullet Loan Tranches
will be deemed to be Pass-through Loan Tranches if:

(a)  a date specified in relation to the same in the applicable Loan Tranche
     Supplement occurs;

(b)  a Trigger Event occurs;

(c)  the Issuer Security, in respect of the Funding 2 Issuer which has funded
     such Bullet Loan Tranche, is enforced;

(d)  a Note Acceleration Notice is served in respect of the related Series and
     Class of Notes; or

(e)  a Step-Up Date (if any) in relation to such Loan Tranche occurs;

"Bullet Redemption Notes" means, in relation to a Funding 2 Issuer, any Series
and Class of Notes issued by such Issuer which is scheduled to be repaid in
full on one Payment Date. Such Bullet Redemption Notes will be deemed to be
Pass-Through Notes if:

(a)  a date specified in relation to the same in the applicable Note
     Supplement occurs;

(b)  a Trigger Event occurs;

(c)  a Note Acceleration Notice is served in respect of such Notes; or

(d)  the Step-Up Date (if any) in relation to such Notes occurs;

                                      74
<PAGE>

"Bullet Repayment Date" means, for any Bullet Loan Tranche, the Payment Date
specified as such for such Loan Tranche in the applicable Loan Tranche
Supplement;

"Bullet Repayment Loan Amount" means, in relation to Funding 2, the amount
required to be repaid on the Bullet Repayment Date in respect of a Bullet Loan
Tranche in order to pay such Bullet Loan Tranche in full;

"Cash" means cash and/or amounts standing to the credit of a bank account, as
the context shall require;

"Cash Accumulation Period" means, in relation to an Original Bullet Loan
Tranche, the earliest to occur of:

(a)  the commencement of the Anticipated Cash Accumulation Period relating to
     the relevant Bullet Repayment Loan Amount; and

(b)  [six] months prior to the Scheduled Repayment Date of that Original
     Bullet Loan Tranche; and

ending when Funding 2 has fully repaid that Bullet Repayment Loan Amount.

"Cash Accumulation Requirement" means on a Trust Determination Date:

(a)  the outstanding principal amounts in relation to each Bullet Repayment
     Loan Amount that is within a Cash Accumulation Period;

(b)  [plus amounts due in items [(A), (B) and (C)] of the Funding 2
     Pre-Enforcement Principal Priority of Payments;]

(c)  less the amount standing to the credit of the Funding 2 Cash Accumulation
     Ledger at the last Payment Date (which amount was not to be distributed
     on that Payment Date to fund the Bullet Repayment Loan Amount of any Loan
     Tranche);

"Contributions" means the consideration in the form of cash provided to the
Mortgages Trustee by any Beneficiary in respect of the share of such
Beneficiary in the Trust Property under the Mortgages Trust Deed, being any of
an Initial Contribution, a Further Contribution or a Deferred Contribution;

"Controlled Amortisation Instalment" means, in relation to a Funding 2 Issuer,
for any Series and Class of Notes issued by such Issuer which are Controlled
Amortised Notes, on any Payment Date before the occurrence of a Trigger Event
or the enforcement of the [Issuer] Security (in respect of such Issuer), the
maximum aggregate principal amount which may be repaid by such Issuer to the
relevant Noteholder or Noteholders of such Notes on that Payment Date in
accordance with the terms and conditions of such Notes;

"Controlled Amortisation Loan Amount" means, in relation to Funding 2, for any
Controlled Amortisation Loan Tranche, on any Payment Date before the
occurrence of a Trigger Event or the enforcement of the [Issuer Security in
respect of the Funding 2 Issuer which has funded such Controlled Amortisation
Loan Tranche] and/or the Funding 2

                                      75
<PAGE>

Security, the maximum aggregate principal amount which may be repaid by
Funding 2 to such Issuer on that Payment Date;

"Controlled Amortisation Loan Tranches" means, in relation to Funding 2, any
Loan Tranche which by its terms imposes a limit on the amount of principal
which may be repaid on such Loan Tranche on any Payment Date. Controlled
Amortisation Loan Tranches will be deemed to be Pass-Through Loan Tranches if:

(a)  a date specified in relation to the same in the applicable Loan Tranche
     Supplement occurs;

(b)  a Trigger Event occurs;

(c)  the Issuer Security, in respect of the Funding 2 Issuer which has funded
     such Controlled Amortisation Loan Tranche, is enforced;

(d)  a Note Acceleration Notice is served in respect of the related Series and
     Class of Notes; or

(e)  a Step-Up Date (if any) in relation to such Loan Tranche occurs;

"Controlled Amortisation Notes" means, in relation to a Funding 2 Issuer, any
Series and Class of Notes issued by such Issuer, the conditions of which
impose a limit on the amount of principal which may be repaid on such Notes on
each Payment Date. Such Controlled Amortisation Notes will be deemed to be
pass-through notes if:

(a)  a date specified in relation to the same in the applicable Note
     Supplement occurs;

(b)  a Trigger Event occurs;

(c)  a Note Acceleration Notice is served in respect of such Notes; or

(d)  the Step-Up Date (if any) in relation to such Notes occurs;

"Controlled Amortisation Requirement" means, in relation to Funding 2, on a
Trust Determination Date, the outstanding principal amounts in relation to
each Controlled Amortisation Loan Amount which is due and payable on any of
the three Payment Dates immediately following such Trust Determination Date;

["Controlling Beneficiary Deed" means the deed entered into on or about the
Funding 2 Programme Date between the Mortgages Trustee, Funding, Funding 2,
the Security Trustee, the Funding 2 Security Trustee, the Issuer Security
Trustees and the Seller;]

"Credit Support Annex" means, in relation to the Funding 2 Basis Rate Swap
Agreement, the 1995 Credit Support Annex (Bilateral Form-Transfer) between
Funding 2 and the Funding 2 Basis Rate Swap Provider and, in relation to an
Issuer Swap Agreement, means the 1995 Credit Support Annex (Bilateral
Form-Transfer) between the Issuer and the relevant Issuer Swap Provider;

                                      76
<PAGE>

"Current Funding 2 Share" means the amount of Trust Property beneficially
owned by Funding 2 from time to time, as determined in accordance with Clause
8 (Adjustment of Funding Share Percentage, Funding 2 Share Percentage and
Seller Share Percentage) of the Mortgages Trust Deed;

"Current Funding 2 Share Percentage" means the percentage share of Funding 2
in the Trust Property from time to time, as determined in accordance with
Clause 8 (Adjustment of Funding Share Percentage, Funding 2 Share Percentage
and Seller Share Percentage) of the Mortgages Trust Deed;

"Deferred Contribution" means:

(a)  the consideration in the form of cash payable by Funding to the Mortgages
     Trustee from time to time in respect of the Funding Share of the Trust
     Property pursuant to and in accordance with the Mortgages Trust Deed
     and/or the Funding Deed of Charge including, for the avoidance of doubt,
     the Funding Final Deferred Contribution; and

(b)  the consideration in the form of cash payable by Funding 2 to the
     Mortgages Trustee from time to time in respect of the Funding 2 Share of
     the Trust Property pursuant to and in accordance with the Mortgages Trust
     Deed and/or the Funding 2 Deed of Charge including, for the avoidance of
     doubt, the Funding 2 Final Deferred Contribution,

which Contributions will fund the payment to the Seller by the Mortgages
Trustee of amounts of Deferred Purchase Price payable by the Mortgages Trustee
to the Seller from time to time pursuant to and in accordance with the
Mortgage Sale Agreement;

"Event of Default" means, as the context requires, a Funding Event of Default
and/or a Funding 2 Event of Default;

"Final Repayment Date" means, in relation to any Loan Tranche under the
Funding 2 Intercompany Loan Agreement between Funding 2 and the [applicable
Funding 2 Issuer], the date identified as such for that Loan Tranche in the
related Loan Tranche Supplement;

"Funding Beneficiaries" means Funding and Funding 2, as beneficiaries of the
Mortgages Trust and "Funding Beneficiary" means either of them;

"Funding Event of Default" means, as the context requires, any of the
following:

(a)  in relation to the Notes issued by any Funding Issuer, a Note Event of
     Default pursuant to the Terms and Conditions of such Notes;

(b)  in relation to any Funding Intercompany Loan Agreement, the occurrence of
     an event of default pursuant to the terms of such Funding Intercompany
     Loan Agreement;

"Funding Final Deferred Contribution" has the meaning given such term in
Clause [4.2(d)] of the Mortgages Trust Deed;

                                      77
<PAGE>

"Funding Intercompany Loan" means a loan of the net proceeds of an issue of
Notes by a Funding Issuer, such loan being advanced to Funding by such Funding
Issuer pursuant to the terms of a Funding Intercompany Loan Agreement;

"Funding Intercompany Loan Agreement" means an intercompany loan agreement
entered into between Funding and a Funding Issuer in relation to a Funding
Intercompany Loan;

"Funding Intercompany Loan Event of Default" means the occurrence of an event
of default as specified in Clause 14 (Default) of the Intercompany Loan Terms
and Conditions;

"Funding Intercompany Loan Ledger" means the ledger on which the Cash Manager
will record payments of interest and repayments of principal made under any
Funding Intercompany Loan;

"Funding Security Trustees" means both the Security Trustee and the Funding 2
Security Trustee together and "Funding Security Trustee" means either of them;

"Funding Share/Funding 2 Share/Seller Share Ledger" means the ledger to be
maintained by the Cash Manager, on behalf of the Mortgages Trustee and the
Beneficiaries, to record the Current Funding Share, the Current Funding Share
Percentage, the Current Funding 2 Share, the Current Funding 2 Share
Percentage, the Current Seller Share and the Current Seller Share Percentage
of the Trust Property;

"Funding 2 Available Principal Receipts" in respect of a Payment Date will be
calculated by the Cash Manager or otherwise on behalf of Funding 2 (or,
following enforcement of the Funding 2 Security, the Funding 2 Security
Trustee) on the Distribution Date immediately preceding that Payment Date and
will be an amount equal to the sum of:

(a)  all Funding 2 Principal Receipts standing to the credit of the Funding 2
     Cash Accumulation Ledger which are to be applied on the next Payment Date
     to repay a Bullet Repayment Loan Amount or to make a payment under items
     (A), (B) or (C) of the Funding 2 Pre-Enforcement Principal Priority of
     Payments and, if such Payment Date occurs on or after a Trigger Event,
     the remainder of such receipts standing to the credit of the Funding 2
     Cash Accumulation Ledger;

(b)  all other Mortgages Trustee Principal Receipts received by Funding 2 from
     the Mortgages Trustee during the Interest Period ending on the relevant
     Payment Date standing to the credit of the Funding 2 Principal Ledger;

(c)  the amounts, if any, credited to the Funding 2 Principal Deficiency
     Ledger pursuant to items [(I), (L), (N),(P) (R)] of the Funding 2
     Pre-Enforcement Revenue Priority of Payments;

(d)  in so far as needed to make a Funding 2 Reserve Principal Payment, any
     amount available to be drawn under the Funding 2 Reserve Fund less any
     amounts applied or to be applied on the relevant Payment Date in payment
     of interest and expenses under the Funding 2 Pre-Enforcement Revenue
     Priority of Payments, plus any amounts to be credited to the Funding 2
     Reserve Ledger on the relevant Payment Date;

                                      78
<PAGE>

(e)  in so far as needed to make a Funding 2 Liquidity Reserve Principal
     Payment, any amount available to be drawn under the Funding 2 Liquidity
     Reserve Fund less any amounts applied or to be applied on the relevant
     Payment Date in payment of interest and expenses under the Funding 2
     Pre-Enforcement Revenue Priority of Payments, plus any amounts to be
     credited to the Funding 2 Liquidity Reserve Ledger on that relevant
     Payment Date;

(f)  in so far as needed to make a Funding 2 Liquidity Facility Principal
     Payment, any amount available to be drawn under the Funding 2 Liquidity
     Facility less any amounts applied or to be applied on the relevant
     Payment Date in payment of interest and expenses under the Funding 2
     Pre-Enforcement Revenue Priority of Payments, plus any amounts to be
     repaid to the Funding 2 Liquidity Facility Provider under item (A) of the
     relevant Funding 2 Pre-Enforcement Principal Priority of Payments on that
     relevant Payment Date, to the extent that such amounts are available to
     be drawn;

     less

(g)  amounts to be applied on the relevant payment date to any items [(H),
     (J), (M), (O) and (Q)] of the Funding 2 Pre-Enforcement Revenue Priority
     of Payments.

"Funding 2 Available Revenue Receipts" in respect of any Payment Date will be
calculated by the Cash Manager on the Distribution Date immediately preceding
such Payment Date and will be an amount equal to the sum of:

(a)  all Mortgages Trustee Available Revenue Receipts distributed to Funding 2
     during the Interest Period ending on the relevant Payment Date;

(b)  other net income of Funding 2 including all amounts of interest received
     on the Funding 2 GIC Account and the Funding 2 Transaction Account,
     and/or all income from Funding 2's Authorized Investments, on each
     Distribution Date during the Interest Period ending on such Payment Date,
     in each case to be received on or prior to such Payment Date; and

(c)  amounts received from the Funding 2 Basis Rate Swap Provider under the
     Funding 2 Basis Rate Swap Agreement (excluding Swap Collateral standing
     to the credit of the Funding 2 Swap Collateral Accounts) including any
     early termination amounts (other than such early termination amounts
     applied or to be applied by Funding 2 in the purchase of one or more
     replacement hedge transactions) recovered by Funding 2 under the Funding
     2 Basis Rate Swap Agreement;

(d)  (only to the extent required after making the calculation set out in
     paragraph [__] to Schedule [__] of the Funding 2 Deed of Charge the
     aggregate of amounts standing to the credit of the Funding 2 Principal
     Ledger or the Funding 2 Cash Accumulation Ledger (as applicable) which
     are to be applied on the relevant payment date to pay items (H), (J),
     (M), (O), and (Q) of the Funding 2 Pre-Enforcement Revenue Priority of
     Payments;

(e)  the amount standing to the credit of the Funding 2 Reserve Ledger,
     subject to any limits or conditions on the purposes for which the Funding
     2 Reserve Fund may be utilized; and

                                      79
<PAGE>

(f)  the amount standing to the credit of the Funding 2 Liquidity Reserve
     Ledger, if any, subject to any limits or conditions on the purposes for
     which the Funding 2 Liquidity Reserve Fund may be utilized.

(g)  in so far as is needed, any amount available to be drawn under the
     Funding 2 Liquidity Facility, if any, for the payment of interest and
     expenses.

"Funding 2 Bank Account Agreement" means the agreement entered into on or
about the Funding 2 Programme Date between the Account Bank, Funding 2 and the
Funding 2 Security Trustee which governs the operation of the Funding 2 Bank
Accounts;

"Funding 2 Bank Accounts" means the Funding 2 GIC Account, and the Funding
Transaction Account and each such additional or replacement account in the
name of Funding that may be opened with the prior approval of the Funding 2
Security Trustee after the Funding 2 Programme Date;

"Funding 2 Basis Rate Swap Agreement" means the ISDA Master Agreement,
Schedule and Confirmations thereto each entered into on or about the Funding 2
Programme Date and any Credit Support Annex or other credit support documents
entered into at any time among Funding 2 and the Funding 2 Basis Rate Swap
Provider and/or any credit support provider and shall include any additional
and/or replacement basis rate swap agreement entered into by Funding 2 from
time to time in accordance with the Transaction Documents;

"Funding 2 Basis Rate Swap Provider" means Northern Rock and/or, as
applicable, any other basis rate swap provider appointed from time to time by
Funding 2 in accordance with the Transaction Documents;

"Funding 2 Cash Accumulation Ledger" means the ledger on which the Cash
Manager will record the amounts accumulated by Funding 2 to pay Bullet
Repayment Loan Amounts;

"Funding 2 Deed of Charge" means the deed of charge entered into on or about
the Funding 2 Programme Date between Funding 2, the Funding 2 Security
Trustee, the Issuer Security Trustee, Granite Master Issuer plc, the Funding 2
Basis Rate Swap Provider, the Corporate Services Provider, the Account Bank,
the Funding 2 GIC Provider, the Mortgages Trustee and the Cash Manager and the
Schedules thereto and including each Deed of Accession or Accession
Undertaking entered into in connection therewith;

"Funding 2 Event of Default" means, as the context requires, any of the
following:

(a)  in relation to the Notes issued by any Funding 2 Issuer, a Note Event of
     Default pursuant to the Terms and Conditions of such Notes;

(b)  in relation to any Funding 2 Intercompany Loan Agreement, the occurrence
     of an event of default pursuant to the terms of such Funding 2
     Intercompany Loan Agreement;

"Funding 2 Final Deferred Contribution" has the meaning given such term in
Clause [4.3(d)] of the Mortgages Trust Deed;

                                      80
<PAGE>

"Funding 2 GIC Account" means the account in the name of Funding 2 (sort code
30-00-59, account number [?]) held at Northern Rock, and maintained subject to
the Funding 2 Guaranteed Investment Contract and the Funding 2 Bank Account
Agreement and such additional or replacement accounts as may for the time
being be in place with the prior consent of the Funding 2 Security Trustee;

"Funding 2 GIC Provider" means, Northern Rock or such other person or persons
as are for the time being the GIC Provider to Funding 2 under the Funding 2
Guaranteed Investment Contract;

"Funding 2 Guaranteed Investment Contract" means the guaranteed investment
contract entered into on or about the Funding 2 Programme Date between Funding
2, the Funding 2 GIC Provider, the Cash Manager and the Funding 2 Security
Trustee under which the Funding 2 GIC Provider agrees to pay Funding 2 a
guaranteed rate of interest on the balance from time to time of the Funding 2
GIC Account and shall include any additional and/or replacement guaranteed
investment contract entered into by Funding 2 in accordance with the
Transaction Documents;

"Funding 2 GIC Account Mandate" means the resolutions, instructions and
signature authorities relating to the Funding 2 GIC Account substantially in
the form set out in Schedule [?] to the Funding 2 Bank Account Agreement;

"Funding 2 Intercompany Loan" means a loan (or the aggregate of a number of
separate loans) of the net proceeds of any issue (or all issues) of Notes by a
Funding 2 Issuer, such loan(s) being advanced to Funding 2 by such Funding 2
Issuer pursuant to the terms of a Funding 2 Intercompany Loan Agreement;

"Funding 2 Intercompany Loan Agreement" means an intercompany loan agreement
entered into between Funding 2 and a Funding 2 Issuer in relation to a Funding
2 Intercompany Loan;

"Funding 2 Intercompany Loan Event of Default" means, in relation to the
Global Intercompany Loan Agreement, the occurrence of an event of default
specified as such in Clause 15 (Default) of the Global Intercompany Loan
Agreement, and in relation to any other Funding 2 Intercompany Loan Agreement,
the occurrence of an event of default specified as such in such Funding 2
Intercompany Loan Agreement;

"Funding 2 Intercompany Loan Ledger" means the ledger on which the Cash
Manager will record payments of interest and repayments of principal made
under any Funding 2 Intercompany Loan;

"Funding 2 Issuer" means a wholly-owned subsidiary of Funding 2, which is
established to issue Notes and to make a Funding 2 Intercompany Loan to
Funding 2;

"Funding 2 Ledgers" means the Funding 2 Principal Ledger, the Funding 2
Revenue Ledger, the Funding 2 Reserve Ledger, the Funding 2 Liquidity Reserve
Ledger (if any), the Funding 2 Liquidity Facility Ledger (if any), the Funding
2 Principal Deficiency Ledger, the Funding 2 Cash Accumulation Ledger, the
Funding 2 Intercompany Loan Ledger and the Funding 2 Swap Collateral Ledger;

                                      81
<PAGE>

"Funding 2 Liquidity Facility" means a liquidity facility entered into by
Funding 2 at any time after the Funding 2 Programme Date;

"Funding 2 Liquidity Facility Agreement" means any agreement entered into by
Funding 2 relating to the provision of a Funding 2 Liquidity Facility;

"Funding 2 Liquidity Facility Drawings" means any drawing made pursuant to the
terms of the Funding 2 Liquidity Facility Agreement (if any);

"Funding 2 Liquidity Facility Ledger" means the ledger maintained by the Cash
Manager in the name of Funding 2 pursuant to the Cash Management Agreement to
record drawings from and repayment of the Funding 2 Liquidity Facility from
time to time;

"Funding 2 Liquidity Facility Principal Payment" means the payments specified
as such in the Funding 2 Liquidity Facility Agreement (if any);

"Funding 2 Liquidity Facility Repayments" means any payment made by Funding 2
in accordance with the terms of the Funding 2 Liquidity Facility Agreement (if
any) and the Funding 2 Priority of Payments;

"Funding 2 Liquidity Reserve Fund" means the liquidity reserve fund which
Funding 2 will be required to establish if the long term, unsecured,
unsubordinated and unguaranteed debt obligations of the Seller cease to be
rated at least A3 by Moody's or A- by Fitch (unless Moody's or Fitch, as
applicable, confirms that the then-current ratings of the Notes of any Funding
2 Issuer will not be adversely affected). The Funding 2 Liquidity Reserve
Fund, if any, will be funded to the relevant Funding 2 Liquidity Reserve
Required Amount;

"Funding 2 Liquidity Reserve Ledger" means the ledger maintained by the Cash
Manager in the name of Funding 2 pursuant to the Cash Management Agreement to
record the amount standing to the credit of the Funding 2 Liquidity Reserve
Fund from time to time;

"Funding 2 Liquidity Reserve Principal Payment" means any drawing from the
Funding 2 Liquidity Reserve Fund to help meet any deficit in Funding 2
Available Principal Receipts available for:

(a)  prior to the occurrence of a Trigger Event, repayment of principal due
     and payable in respect of Original Bullet Loan Tranches (which are AAA
     Loan Tranches); and

(b)  on or after the occurrence of a Trigger Event, repayment of principal due
     and payable in respect of Original Bullet Loan Tranches (which are AAA
     Loan Tranches) on their respective Final Repayment Dates,

in each case, prior to the service of a Funding 2 Intercompany Loan
Enforcement Notice;

"Funding 2 Liquidity Reserve Required Amount" means [o];

"Funding 2 Post-Enforcement Priority of Payments" means the rules and the
order of priority in which Funding 2 Available Revenue Receipts, Funding 2
Available Principal Receipts and all other monies, income, receipts and
recoveries of Funding 2 or the Funding 2 Security Trustee or any Receiver of
Funding 2 and the proceeds of enforcement of the

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<PAGE>

Funding 2 Security are to be applied following service of an Intercompany Loan
Enforcement Notice or otherwise following an enforcement of the Funding 2
Security as set out in Part [o] of Schedule [o] (Funding 2 Priority of
Payments) to the Funding 2 Deed of Charge, as the same may be amended, varied
or superseded from time to time in accordance with the terms of the Funding 2
Deed of Charge;

"Funding 2 Pre-Enforcement Principal Priority of Payments" means the rules and
the order of priority in which Funding 2 Available Principal Receipts will be
applied prior to the enforcement of the Funding 2 Security as set out in Part
[o] of Schedule [o] (Funding 2 Priority of Payments) to the Funding 2 Deed of
Charge, as the same may be amended, varied or superseded from time to time in
accordance with the terms of the Funding 2 Deed of Charge;

"Funding 2 Pre-Enforcement Revenue Priority of Payments" means the rules and
the order of priority in which Funding 2 Available Revenue Receipts will be
applied prior to the enforcement of the Funding 2 Security as set out in Part
[o] of Schedule [o] (Funding 2 Priority of Payments) to the Funding 2 Deed of
Charge, as the same may be amended, varied or superseded from time to time in
accordance with the terms of the Funding 2 Deed of Charge;

"Funding 2 Principal Deficiency Ledger" means the ledger maintained by the
Cash Manager in the name of Funding 2 which will be established on the Funding
2 Programme Date and will be sub-divided into sub ledgers corresponding to the
AAA Loan Tranches, the AA Loan Tranches, the A Loan Tranches, the BBB Loan
Tranches and the BB Loan Tranches in order to record Losses on Mortgage Loans
allocated to Funding 2, the application of Funding 2 Available Principal
Receipts in paying interest on the Funding 2 Intercompany Loans and certain
amounts ranking in priority thereto in accordance with the Funding 2
Pre-Enforcement Revenue Priority of Payments and the application of Funding 2
Principal Receipts to fund or replenish the Funding 2 Liquidity Reserve Fund
(if any);

"Funding 2 Principal Ledger" means the ledger maintained by the Cash Manager
in the name of Funding 2 pursuant to the Cash Management Agreement to record
receipts and payments of Funding 2 Principal Receipts (other than any Funding
2 Principal Receipts constituting the Cash Accumulation Requirement) which
ledger will be divided into sub-ledgers for each Loan Tranche which shall
record receipts and payments of Funding 2 Principal Receipts allocable to each
Loan Tranche (other than Funding 2 Principal Receipts allocable to each Loan
Tranche which are credited to the Funding 2 Cash Accumulation Ledger);

"Funding 2 Principal Receipts" means the Principal Receipts received by
Funding 2 from the Mortgages Trustee on each Distribution Date;

"Funding 2 Priority of Payments" means, as applicable, any of the Funding 2
Pre-Enforcement Revenue Priority of Payments, the Funding 2 Pre-Enforcement
Principal Priority of Payments or the Funding 2 Post-Enforcement Priority of
Payments;

"Funding 2 Programme Date" means [o], 2005

"Funding 2 Reserve Fund" means the reserve fund established in the name of
Funding 2 on the Funding 2 Programme Date in an amount up to the Funding 2
Reserve Maximum

                                      83
<PAGE>

Amount, which, prior to enforcement of the Funding 2 Security, may be
allocated to help meet any deficit in Funding Available Revenue Receipts and
thereby any deficit recorded on the Funding 2 Principal Deficiency Ledgers
and/or utilised to fund expenses in connection with the issuance of Notes by
Funding 2 Issuers and/or any deficit in Funding Available Principal Receipts
available for the repayment of Bullet Loan Tranches;

["Funding 2 Reserve Principal Payment" means any drawing from the Funding 2
Reserve Fund to help meet any deficit in Funding 2 Available Principal
Receipts available for:

(a)  prior to the occurrence of a Trigger Event, repayment of principal due
     and payable in respect of Original Bullet Loan Tranches (which are AAA
     Loan Tranches); and

(b)  on or after the occurrence of a Trigger Event, repayment of principal due
     and payable in respect of Original Bullet Loan Tranches Tranches (which
     are AAA Loan Tranches) on their respective Final Repayment Dates.

in each case, prior to the service of a Funding 2 Intercompany Loan
Enforcement Notice;

["Funding 2 Reserve Ledger" means the ledger maintained by the Cash Manager in
the name of Funding 2 pursuant to the Cash Management Agreement to record the
amount standing to the credit of the Funding 2 Reserve Fund from time to
time;]

"Funding 2 Reserve Maximum Amount" means, as at any date, the amount (if any)
by which the Target Reserve Required Amount (as at such date) exceeds the
Issuer Reserve Minimum Amount (as at such date);

"Funding 2 Revenue Ledger" means the ledger maintained by the Cash Manager in
the name of Funding 2 pursuant to the Cash Management Agreement to record all
monies received by Funding 2 during an Interest Period other than the Funding
2 Principal Receipts and the Swap Collateral Excluded Amounts which ledger
will be sub-divided into sub-ledgers for each Loan Tranche which shall record
receipts and payments of Funding 2 Revenue Receipts allocable to each Loan
Tranche;

"Funding 2 Revenue Receipts" means the Mortgages Trustee Available Revenue
Receipts received by Funding 2 from the Mortgages Trustee on each Distribution
Date;

"Funding 2 Secured Creditors" means the Funding 2 Security Trustee (and any
Receiver of Funding 2 appointed pursuant to the Funding 2 Deed of Charge),
Granite Master Issuer plc, the Corporate Services Provider in relation to
Funding 2, the Account Bank, the Funding 2 GIC Provider, the Mortgages
Trustee, the Cash Manager and each New Funding 2 Secured Creditor who accedes
to the Funding 2 Deed of Charge from time to time pursuant to a Deed of
Accession (including, for the avoidance of doubt, any new Funding 2 Issuer);

"Funding Secured Obligations" means any and all of the monies, obligations and
liabilities which Funding 2 covenants to pay or discharge under or pursuant to
Clause 2 (Covenant to pay and to Perform) of the Funding 2 Deed of Charge and
all other amounts owed by it to the Funding 2 Secured Creditors pursuant to
the Funding 2 Transaction Documents;

"Funding 2 Security" means the security granted by Funding 2 under or pursuant
to the Funding 2 Deed of Charge in favour of the Funding 2 Security Trustee
for the benefit of the

                                      84
<PAGE>

Funding 2 Secured Creditors or any of them including the security granted by
Funding 2 under or pursuant to any Deed of Accession;

"Funding 2 Security Trustee" means, The Bank of New York, acting through its
office at 48th Floor, One Canada Square, London E14 5AL, or such other persons
and all other persons for the time being acting as the security trustee or
security trustees pursuant to the Funding 2 Deed of Charge;

"Funding 2 Share" means the Current Funding 2 Share;

"Funding 2 Share Percentage" means the Current Funding 2 Share Percentage;

"Funding 2 Swap Collateral Accounts" means the Funding 2 Swap Collateral Cash
Account and the Funding 2 Swap Collateral Securities Account;

"Funding 2 Swap Collateral Ancillary Documents" means any document (including,
without limitation, any custodial agreement or bank account agreement but
excluding the Funding 2 Basis Rate Swap Agreement, the Cash Management
Agreement and the Funding 2 Deed of Charge) as may be entered into by Funding
2 from to time in connection with Swap Collateral;

"Funding 2 Swap Collateral Cash Account" means an account opened in the name
of Funding 2 for the purpose of holding Swap Collateral in Cash and maintained
in accordance with the terms of the Cash Management Agreement;

"Funding 2 Swap Collateral Ledger" means the ledger maintained by the Cash
Manager in the books of Funding 2 in accordance with Clause 4.4 (Funding 2
Ledgers) of the Cash Management Agreement;

"Funding 2 Swap Collateral Securities Account" means a securities account
opened in the name of the Funding 2 for the purpose of holding Swap Collateral
in the form of securities and maintained in accordance with the terms of the
Cash Management Agreement;

"Funding 2 Transaction Account" means the account in the name of Funding 2
(account no. [o], sort code [o]) held with the Account Bank and maintained
subject to the terms of the Funding 2 Bank Account Agreement and the Funding 2
Deed of Charge or any additional or replacement account as may for the time
being be in place with the prior consent of the Funding 2 Security Trustee;

"Funding 2 Transaction Account Mandate" means the resolutions, instructions
and signature authorities relating to the Funding 2 Transaction Account
substantially in the form set out in Schedule [o] to the Funding 2 Bank
Account Agreement;

"Funding 2 Transaction Documents" means [o];

"Further Contribution" means the consideration in the form of cash payable to
the Mortgages Trustee by any Beneficiary to increase the Funding Share, the
Funding 2 Share or, as the case may be, the Seller Share of the Trust Property
pursuant to and in accordance with the Mortgages Trust Deed but excluding any
Initial Contribution or Deferred Contribution paid by Funding or by Funding 2
to the Mortgages Trustee;

                                      85
<PAGE>

"Initial Contribution" the consideration in the form of cash payable by
Funding to the Mortgages Trustee in respect of the Funding Share of the Trust
Property or by Funding 2 to the Mortgages Trustee in respect of the Funding 2
Share of the Trust Property pursuant to and in accordance with the Mortgages
Trust Deed, which Contribution is to fund the payment to the Seller by the
Mortgages Trustee of (and is equal to) the Initial Purchase Price in respect
of the Initial Mortgage Portfolio or (if any is payable) any New Mortgage
Portfolio sold and assigned to the Mortgages Trustee and is to be funded from
the proceeds of an Intercompany Loan;

"Intercompany Loan" means the Funding Intercompany Loans and the Funding 2
Intercompany Loans and "Intercompany Loan" means, as applicable, a Funding
Intercompany Loan or a Funding 2 Intercompany Loan;

"Intercompany Loan Agreements" means the Funding Intercompany Loan Agreements
and the Funding 2 Intercompany Loan Agreements and "Intercompany Loan
Agreement" means, as applicable, a Funding Intercompany Loan Agreement or a
Funding 2 Intercompany Loan Agreement;

"Intercompany Loan Enforcement Notice" means:

(a)  an enforcement notice served by the Security Trustee on Funding in
     relation to the enforcement of the Funding Security following the
     occurrence of a Funding Intercompany Loan Event of Default; or

(b)  an enforcement notice served by the Funding 2 Security Trustee on Funding
     2 in relation to the enforcement of the Funding 2 Security following the
     occurrence of a Funding 2 Intercompany Loan Event of Default;

"Intercompany Loan Event of Default" means, as applicable, a Funding
Intercompany Loan Event of Default and/or a Funding 2 Intercompany Loan Event
of Default;

"Issuer Reserve Minimum Amount" means, on any date and subject to amendment as
described in Clause [ ] of the Issuer Cash Management Agreement, the amount
calculated as the product of (a) one per cent. and (b) the aggregate Principal
Amount Outstanding of the Notes (including the Principal Amount Outstanding of
Notes issued on such date;

"Issuer Start-up Loan Agreement" means:

(a)  in relation to any Funding Issuer, the agreement entered into on or about
     the Closing Date in relation to that Issuer between Funding, the relevant
     Start-up Loan Provider and the Security Trustee relating to the provision
     of the Issuer Start-up Loan to Funding as may be amended, restated,
     novated, varied or supplemented from time to time and shall include any
     additional and/or replacement start-up loan agreement entered into by
     such parties in accordance with the Transaction Documents;

(b)  in relation to any Funding 2 Issuer, the agreement(s) entered into on or
     after the Funding 2 Programme Date in relation to that Issuer between
     Funding 2, the relevant Start-up Loan Provider and the Funding 2 Security
     Trustee relating to the provision of the Issuer Start-up Loans to Funding
     2 as may be amended, restated, novated, varied or supplemented from time
     to time and shall include any additional and/or

                                      86
<PAGE>

     replacement start-up loan agreement entered into by such parties in
     accordance with the Transaction Documents;

["[Issuer] Security" means in relation any Issuer, the security created by
such Issuer pursuant to the relevant Issuer Deed of Charge for the benefit of
the relevant Issuer Secured Creditors;]

"Issuer Swaps" means the currency and interest rate swaps entered into between
a Funding 2 Issuer and an Issuer Swap Provider which enable such Funding 2
Issuer to receive and pay amounts under the relevant Funding 2 Intercompany
Loan Agreement in sterling and to receive and pay amounts under the Notes
issued by such Issuer not denominated in sterling in the applicable Specified
Currency;

"Issuer Swap Agreements", in respect of any Funding 2 Issuer, means the ISDA
master agreements, schedules thereto and confirmations thereunder relating to
the Issuer Swaps to be entered into on or about each Closing Date, and any
credit support annexes or other credit support documents entered into any
time, as amended from time to time, among the Issuer, the applicable Issuer
Swap Provider and the applicable Issuer Security Trustee and/or any credit
support provider and includes any additional and/or replacement Issuer Swap
Agreement entered into by the Issuer from time to time in connection with the
Notes;

"Issuer Swap Provider" means, in respect of any Funding 2 Issuer, the
institutions identified in respect of each Issuer Swap in the Note Supplement
and the Issuer Swap Agreement related to the relevant Series and Class of
Notes;

"Loan Tranches" means the AAA loan tranches, the AA loan tranches, the
A loan tranches, the BBB loan tranches and the BB loan tranches, being the
advances made by a Funding 2 Issuer to Funding 2, pursuant to the Funding 2
Intercompany Loan Agreement between such Funding 2 Issuer and Funding 2, each
being funded from proceeds received by such Funding 2 Issuer from the issue of
a Series and Class of Notes;

"Loan Tranche Supplement" means, in relation to any Loan Tranche, means the
document between, amongst others, Funding 2 and applicable Funding 2 Issuer
substantially in the form set out in Schedule [__] (Form of Loan Tranche
Supplement) to the Funding 2 Intercompany Loan Agreement entered into between
Funding 2 and such Issuer recording the principal terms of such Loan Tranche;

"Mandates" means the resolutions, instructions and signature authorities
relating to any of the Barclays Collection Account, the Lloyds TSB Collection
Account, the Mortgages Trustee Bank Accounts, the Funding Bank Accounts, the
Funding 2 Bank Accounts and the Issuer Transaction Accounts in the respective
forms agreed between the relevant parties from time to time in accordance with
the Collection Bank Agreement, the Bank Account Agreement, the Funding 2 Bank
Account Agreement, the relevant Funding (Issuer) Bank Account Agreement and
the relevant Issuer Bank Account Agreement, as applicable;

"Monthly CPR" means, on any Trust Determination Date, the total Mortgages
Trustee Principal Receipts received by the Mortgages Trustee during the
immediately preceding Trust Calculation Period date divided by the aggregate
Outstanding Principal Balance of the Mortgage Loans comprised in the Trust
Property as at the immediately preceding Trust Determination Date.

                                      87
<PAGE>

"Pass-Through Notes" means, in relation to a Funding 2 Issuer, any Series and
Class of Notes issued by such Issuer which has no specified redemption date
other than the Final Maturity Date. If a date specified in relation to a
Series and Class of Bullet Redemption Notes, Scheduled Redemption Notes or
Controlled Amortisation Notes in the applicable Note Supplement occurs or a
Trigger Event occurs or the [Issuer] Security in respect of such Funding 2
Issuer is enforced or a Note Acceleration Notice is served in respect of such
Series and Class of Notes or a Step-Up Date (if any) in relation to such
Series and Class of Notes occurs, then that Series and Class of Notes issued
by such Funding 2 Issuer will be deemed to be Pass-Through Notes;

"Pass-Through Loan Tranche" means, in relation to Funding 2, a Loan Tranche
which has no specified repayment dates other than the Final Repayment Date. If
a date specified in relation to a Bullet Loan Tranche, a Scheduled Repayment
Loan Tranche or a Controlled Amortisation Loan Tranches in the applicable Loan
Tranche Supplement occurs or a Trigger Event occurs or the Funding 2 Security
is enforced or a Note Acceleration Notice is served in respect of the related
Series and Class of Notes or a Step-Up Date (if any) in relation to such Loan
Tranche occurs, then that Loan Tranche will be deemed to be Pass-Through Loan
Tranches;

"Pass-Through Requirement" means, on any trust determination date, the lesser
of:

(a)  the aggregate of the Outstanding Principal Balance of each Pass-Through
     Loan Tranche which has become due; and

(b)  the greater of:

     (i)  the product of:

          (A)  the Funding 2 Share Percentage as at the start of the
               immediately preceding Trust Calculation Period (provided that
               if an Assignment date or a Contribution date has occurred
               during such Trust Calculation Period then the Weighted Average
               Funding 2 Share Percentage will be used);

          (B)  the aggregate amount of Principal Receipts received by the
               Mortgages Trustee during the immediately preceding trust
               Calculation Period; and

          (C)  the Outstanding Principal Balance of the Pass-Through Loan
               Tranches which are due (in the case of Rule (2)) or the
               Pass-Through Loan Tranches related to the Series and Class of
               Notes in respect of which a Note Acceleration Notice has been
               served (in the case of Rule (3)), each as of the most recent
               Payment Date,

          divided by the aggregate Outstanding Principal Balance of the Global
          Intercompany Loan of the most recent Payment Date; and

     (ii) the product of:

          (A)  the Funding 2 Share Percentage as at the start of the
               immediately preceding Trust Calculation Period (provided that
               if an Assignment

                                      88
<PAGE>

               Date or a Contribution Date has occurred during such Trust
               Calculation Period then the Weighted Average Funding 2 Share
               Percentage will be used);

          (B)  the aggregate amount of Principal Receipts received by the
               Mortgages Trustee during the immediately preceding Trust
               Calculation Period;

           less

          (C)  the sum of the Cash Accumulation Requirement, the Scheduled
               Amortisation Requirement and the Controlled Amortisation
               Requirement as calculated for this Distribution Date as
               described above;

"Potential Intercompany Loan Event of Default" means the occurrence of any
event which with the giving of notice, any relevant certificate, the lapse of
time or fulfilment of any other condition (or any combination of the
foregoing) would become an Intercompany Loan Event of Default;

"Repayment Requirement" means, on any Trust Determination Date, the amount, if
any, equal to the sum of:

(a)  the Cash Accumulation Requirement;

(b)  the Controlled Amortisation Requirement;

(c)  the Scheduled Repayment Requirement; and

(d)  the Pass-Through Requirement;

"Scheduled Redemption Notes" means, in relation to a Funding 2 Issuer, any
Series and Class of Notes issued by such Issuer scheduled to be repaid in full
in [two or more] instalments on Scheduled Redemption Dates. Such Scheduled
Redemption Notes will be deemed to be Pass-Through Notes if:

(a)  a date specified in relation to the same in the applicable Note
     Supplement occurs;

(b)  a Trigger Event occurs; or

(c)  a Note Acceleration Notice is served in respect of such Notes; or

(d)  the Step-Up Date (if any) in relation to such Notes occurs;

"Scheduled Repayment Date" means the dates specified as such in the Loan
Tranche Supplement for a Scheduled Repayment Loan Tranche;

"Scheduled Repayment Loan Instalment" means that part of a Scheduled Repayment
Loan Tranche which is due on each of the Scheduled Repayment Dates of that
Loan Tranche;

                                      89
<PAGE>

"Scheduled Repayment Loan Tranches" means, in relation to Funding 2, any Loan
Tranche which is scheduled to be repaid on two or more instalments on
Scheduled Repayment Dates. Scheduled Repayment Loan Tranches will be deemed to
be Pass-Through Loan Tranches if:

(a)  a date specified in relation to the same in the applicable Loan Tranche
     Supplement occurs;

(b)  a Trigger Event occurs;

(c)  the [Issuer] Security, in respect of the Funding 2 Issuer which has
     funded such Bullet Loan Tranche, is enforced; or

(d)  a Note Acceleration Notice is served in respect of the related Series and
     Class of Notes; or

(e)  a Step-Up Date (if any) in relation to such Loan Tranche occurs;

"Scheduled Repayment Requirement" means, on a Trust Determination Date, the
outstanding principal amounts in relation to each Scheduled Repayment Loan
Instalment which is due and payable on any of the three Payment Dates
immediately following such Trust Determination Date;

"Special Distribution" has the meaning given to it in Clause 6.4
(Distribution) of the Mortgages Trust Deed;

"Swap Agreements" means the Funding 2 Basis Rate Swap Agreement and each
[Issuer Swap Agreement];

"Swap Collateral" means, in respect of the Funding 2 Basis Rate Swap
Agreement, any asset (including, without limitation, Cash and/or securities)
delivered to Funding 2 by the Funding 2 Basis Rate Swap Provider in accordance
with the terms of the Funding 2 Basis Rate Swap Agreement in respect of the
Funding 2 Basis Rate Swap Provider's obligations under the Funding 2 Basis
Rate Swap Agreement;

"Swap Replacement Premium" means any payment received from a replacement swap
provider upon entry into an agreement with such replacement swap provider
replacing a Swap Agreement;

"Target Reserve Required Amount" means, as at any date, an amount equal to the
product of (a) the Target Reserve Required Percentage and (b) the Principal
Amount Outstanding of the Global Intercompany Loan (including the Principal
Amount Outstanding of any Loan Tranche (or the increase in the Principal
Amount Outstanding of any existing Loan Tranche that is made on such date);

"Target Reserve Required Percentage" means, on any date and subject to
amendment as described in Clause [ ] of the Cash Management Agreement, the
percentage specified as such in the most recent prospectus supplement;

"Weighted Average Funding 2 Share Percentage" means the weighted percentage
share of Funding 2 in the Trust Property from time to time, as determined in
accordance with Clause 8

                                      90
<PAGE>

(Adjustment of Funding Share Percentage, Funding 2 Share Percentage and Seller
Share Percentage) of the Mortgages Trust Deed;

                                      91
<PAGE>

                                                                  Ecxhibit 4.8

                            Dated [o] January 2005

                               NORTHERN ROCK PLC
                                as Cash Manager

                       GRANITE FINANCE TRUSTEES LIMITED
                             as Mortgages Trustee

                               NORTHERN ROCK PLC
                                   as Seller

                        GRANITE FINANCE FUNDING LIMITED
                                as Beneficiary

                       GRANITE FINANCE FUNDING 2 LIMITED
                                as Beneficiary

                                    - and -

                             THE BANK OF NEW YORK
              as Security Trustee and Funding 2 Security Trustee

-------------------------------------------------------------------------------

                           CASH MANAGEMENT AGREEMENT
                            SIXTH DEED OF AMENDMENT

-------------------------------------------------------------------------------

                          SIDLEY AUSTIN BROWN & WOOD

                               WOOLGATE EXCHANGE
                             25 BASINGHALL STREET
                                LONDON EC2V 5HA
                            TELEPHONE 020 7360 3600
                            FACSIMILE 020 7626 7937

<PAGE>

THIS DEED is made on [o] January 2005

BETWEEN:

(1)  NORTHERN ROCK PLC (registered number 3273685), a public limited company
     incorporated under the laws of England and Wales whose registered office
     is at Northern Rock House, Gosforth, Newcastle upon Tyne NE3 4PL in its
     capacity as Cash Manager;

(2)  GRANITE FINANCE TRUSTEES LIMITED (registered number 79309), a private
     limited company incorporated under the laws of Jersey, Channel Islands
     whose registered office is at 22 Grenville Street, St. Helier, Jersey JE4
     8PX, Channel Islands in its capacity as Mortgages Trustee;

(3)  NORTHERN ROCK PLC (registered number 3273685), a public limited company
     incorporated under the laws of England and Wales whose registered office
     is at Northern Rock House, Gosforth, Newcastle upon Tyne NE3 4PL in its
     capacity as Seller and in its capacity as a Beneficiary;

(4)  GRANITE FINANCE FUNDING LIMITED (registered number 79308), a private
     limited company incorporated under the laws of Jersey, Channel Islands
     but acting out of its office established in England (registered overseas
     company number FC022999 and branch number BR005916) at 69 Park Lane,
     Croydon, CR9 1TQ in its capacity as a Beneficiary;

(5)  GRANITE FINANCE FUNDING 2 LIMITED (registered number 5249387) a private
     limited company incorporated under the laws of England and Wales whose
     registered office is at Fifth Floor, 100 Wood Street, London EC2V 7EX in
     its capacity as a Beneficiary; and

(6)  THE BANK OF NEW YORK a New York banking corporation whose London branch
     address is at One Canada Square, 48th Floor, London E14 5AL in its
     capacity as (1) Security Trustee and (2) Funding 2 Security Trustee.

WHEREAS:

(A)  The Seller carries on the business (inter alia) of originating mortgage
     loans secured on residential properties in England, Wales and Scotland.

(B)  The Seller has sold and assigned to the Mortgage Trustee certain mortgage
     loans, together with the benefit of related security for the same, on the
     terms and subject to the conditions set out in the Mortgage Sale
     Agreement among the parties hereto.

(C)  The Cash Manager has agreed to provide Cash Management Services to the
     Mortgages Trustee, Funding and the Security Trustee on the terms and
     subject to the conditions contained in the Cash Management Agreement
     dated 26 March 2001 (as amended, varied, novated or supplemented from
     time to time, the "Cash Management Agreement").

(D)  The parties have agreed to amend and restate the Cash Management
     Agreement (the "First Amended and Restated Cash Management Agreement")
     pursuant to the

<PAGE>

     provisions set out in a deed of amendment and restatement dated 23
     July 2001 (the "First Deed of Amendment and Restatement").

(E)  The parties have agreed to amend and restate the First Amended and
     Restated Cash Management Agreement (the "Second Amended and Restated Cash
     Management Agreement") pursuant to the provisions set out in a deed of
     amendment and restatement dated 27 January 2003 (the "Second Deed of
     Amendment and Restatement").

(F)  The parties have agreed to amend and restate the Second Amended and
     Restated Cash Management Agreement (the "Third Amended and Restated Cash
     Management Agreement") pursuant to the provisions set out in a deed of
     amendment and restatement dated 24 September 2003 (the "Third Deed of
     Amendment and Restatement").

(G)  The parties have agreed to amend and restate the Third Amended and
     Restated Cash Management Agreement (the "Fourth Amended and Restated Cash
     Management Agreement") pursuant to the provisions set out in a deed of
     amendment and restatement dated 28 January 2004 (the "Fourth Deed of
     Amendment and Restatement").

(H)  The parties have agreed to amend and restate the Fourth Amended and
     Restated Cash Management Agreement (the "Fifth Amended and Restated Cash
     Management Agreement") pursuant to the provisions set out in a deed of
     amendment and restatement dated 26 May 2004 (the "Fifth Deed of Amendment
     and Restatement").

(I)  The parties now wish to amend and restate, and Funding 2 and the Funding
     2 Security Trustee wish to become party to, the Fifth Amended and
     Restated Cash Management Agreement.

(J)  With effect from the date hereof, the provisions of the Cash Management
     Agreement, the First Amended and Restated Cash Management Agreement, the
     Second Amended and Restated Cash Management Agreement, the Third Amended
     and Restated Cash Management Agreement, the Fourth Amended and Restated
     Cash Management Agreement, the Fifth Amended and Restated Cash Management
     Agreement and this Deed shall be read and construed as follows.

NOW IT IS HEREBY AGREED AS FOLLOWS:

1.   INTERPRETATION

1.1  The provisions of the Programme Master Definitions Schedule signed for
     the purposes of identification on [o] January 2005 by Sidley Austin Brown
     & Wood and Allen & Overy LLP (as the same may be amended, varied or
     supplemented from time to time with the consent of the parties hereto) is
     expressly and specifically incorporated into and shall apply to this
     Deed.

1.2  The Cash Management Agreement as amended and restated pursuant to the
     First

                                      2
<PAGE>

     Deed of Amendment and Restatement, the Second Deed of Amendment and
     Restatement, the Third Deed of Amendment and Restatement, the Fourth Deed
     of Amendment and Restatement, the Fifth Deed of Amendment and Restatement
     and pursuant hereto shall be referred to herein as the "Amended and
     Restated Cash Management Agreement".

1.3  As used in the Amended and Restated Cash Management Agreement, the terms
     "Cash Management Agreement", "this Cash Management Agreement",
     "Agreement", "this Agreement", "herein", "hereinafter", "hereof",
     "hereto" and other words of similar import shall mean or refer to the
     Amended and Restated Cash Management Agreement, unless the context
     otherwise specifically requires.

2.   AMENDMENTS TO THE FIFTH AMENDED AND RESTATED CASH MANAGEMENT AGREEMENT

     Upon execution of this Deed by the parties hereto, the Fifth Amended and
     Restated Cash Management Agreement shall be and hereby is amended and
     restated in the form of Appendix I hereto.

3.   CONTRACTS (RIGHTS OF THIRD PARTIES) ACT 1999

     No person shall have any right to enforce any provision of this Deed or
     any provision of the Amended and Restated Cash Management Agreement under
     the Contract (Rights of Third Parties) Act 1999.

4.   COUNTERPARTS

     This Deed may be executed in any number of counterparts, and has the same
     effect as if the signatures on the counterparts were on a single copy of
     this Deed.

5.   GOVERNING LAW

5.1  This Deed is governed by, and shall be construed in accordance with,
     English law.

5.2  Each of the parties hereto irrevocably agrees that the courts of England
     shall have jurisdiction to hear and determine any suit, action or
     proceeding, and to settle any disputes, which may arise out of or in
     connection with this Deed and, for such purposes, irrevocably submits to
     the jurisdiction of such courts.

                                      3
<PAGE>

                                EXECUTION PAGE

IN WITNESS WHEREOF this Deed has been executed as a deed by the parties hereto
and entered into the day and year first above written.

as Cash Manager, Seller and Beneficiary
EXECUTED AS A DEED by                            )
                                                 )
                                                 )
as attorney for                                  )
NORTHERN ROCK PLC                                )
in the presence of:

Signature of Witness:

Name of Witness:

Occupation:

Address:

EXECUTED AS A DEED for and on behalf of          )
GRANITE FINANCE TRUSTEES LIMITED                 )
by:                                              )

Director

Name:

Title:

Director/Company Secretary

Name:

Title:

                                      4
<PAGE>

EXECUTED AS A DEED for and on behalf of          )
GRANITE FINANCE FUNDING LIMITED                  )
by:                                              )

Director

Name:

Title:

Director/Company Secretary

Name:

Title:

as Beneficiary

EXECUTED AS A DEED by                            )
GRANITE FINANCE FUNDING 2 LIMITED                )
by:                                              )

Director

Name:

Title:

Director/Company Secretary

Name:

Title:

                                      5
<PAGE>

as Security Trustee and Funding 2 Security Trustee

EXECUTED AS A DEED for and on behalf of          )
THE BANK OF NEW YORK                             )
by:                                              )

Authorised Signatory

Name:

Title:

                                      6
<PAGE>

                                  Appendix I

                Amended and Restated Cash Management Agreement

                                      7

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