In accordance with Financial Reporting Standards for Smaller Entities, no depreciation is provided in respect of
freehold properties or leasehold properties with over 20 years to expire. This is a departure from the
requirements of Companies Act 2006 which requires all properties to be depreciated. Such properties are not
held for consumption but for investment and the directors consider to depreciate them would not give a true and
fair view.
Depreciation is only one of many factors reflected in the annual valuation of properties and accordingly the
account of depreciation which might otherwise have been charged cannot be separately identified or quantified.
The director considers that this policy results in the accounts giving a true and fair view.