REGISTERED NUMBER: 02071631 (England and Wales)

GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

FOR

TECHCRETE LIMITED

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

Consolidated Income Statement

8

Consolidated Other Comprehensive Income

9

Consolidated Balance Sheet

10

Company Balance Sheet

11

Consolidated Statement of Changes in Equity

12

Company Statement of Changes in Equity

13

Consolidated Cash Flow Statement

14

Notes to the Consolidated Cash Flow Statement

15

Notes to the Consolidated Financial Statements

16

DIRECTORS:

J F Otter

Mrs F Otter

M F Otter

REGISTERED OFFICE:

409-411 Croydon Road

Beckenham

Kent

BR3 3PP

REGISTERED NUMBER:

02071631 (England and Wales)

AUDITORS:

Edwards Chartered Accountants

Statutory Auditor

409-411 Croydon Road

Beckenham

Kent

BR3 3PP

The directors present their strategic report of the company and the group for the year ended 31 December 2024.

REVIEW OF BUSINESS

The group trades as a concrete, brick repair and refurbishment business working within the UK construction trade and also holds investments. It has a separate fire door and fire protection division, again in the UK construction trade. 2024 was seen as a solid year for the group with turnover stabilising at £25.6m and with shareholders' funds increasing from £4.7m to £4.8m.

PRINCIPAL RISKS AND UNCERTAINTIES

As the market remains uncertain, some main contractors buy contracts at uneconomic rates which they then try to pass onto the sub-contractor. A system of pre-contract review prior to acceptance of this subcontract is in operation to try and avoid loss-making contracts.

All contracts are reviewed on a fortnightly basis with fiscal analysis on a monthly basis, including KPIs such as payment days and both labour and material costs as a percentage of revenue.

Late payment and underpayment remains a high risk. Again, constant review and procedures are in operation to try to avoid these debts. Review of the clients and main contractors has managed to minimise bad debts from insolvencies.

As a group dependant on local authority expenditure, changes in government direction and policy also have a direct effect.

BUSINESS ENVIRONMENT

The UK construction market is a highly competitive market which over the last year has made modest recovery in the refurbishment market with a stronger recovery in new-build and housing.

Main contractors are still tendering on a very economic basis. Pressure is on staffing and rates. Poaching of operatives has become noticeable and rates for the site operatives are increasing.

STRATEGY

2024 saw focus remain on overheads with reductions where possible. This has continued into 2025.

Focus has also been on site management to ensure quality of product, together with liaison and records. Quality and delivery has resulted in repeat business from respected clients. This together with records has resulted in better account control and percentage recovery.

FUTURE DEVELOPMENTS

Whilst there has been growth in the UK construction market, we are guarded as to whether this will continue.

Investment in the London property market is again high and will continue to flourish. Hotels, flats/apartments and offices are a market that we will focus on for fire protection. For concrete and brickwork, sales focus will be on existing clients by improving delivery, quality and liaison.

The group will continue to look at new ventures that may present opportunities for growth.

ON BEHALF OF THE BOARD:

J F Otter - Director

30 September 2025

The directors present their report with the financial statements of the company and the group for the year ended 31 December 2024.

DIVIDENDS

The group voted total dividends in the year of £65,504.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

J F Otter

Mrs F Otter

M F Otter

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, Edwards Chartered Accountants, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

J F Otter - Director

30 September 2025

Opinion

We have audited the financial statements of Techcrete Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2024 and of the group's profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures can detect irregularities, including fraud is detailed below:

Our approach was as follows:

a) We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to include the Companies Act 2006, and relevant tax legislation. In addition, we have considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty.

b) We communicated identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

c) We examined the company's regulatory and legal correspondence and discussed with management any known or suspected instances of fraud or non-compliance with laws and regulations.

d) We assessed the risks of material misstatement in respect of fraud as follows:

i) We considered the use of remuneration incentive schemes and performance targets for management and did not identify any additional fraud risks

ii) The audit team discussed whether there were any areas that were susceptible to misstatement as part of their fraud discussion.

iii) In addressing the risk of management override of controls, we tested the appropriateness of journal entries. We also challenged assumptions and judgements made by management in their significant accounting estimates and judgements.

iv) We incorporated an element of unpredictability in the selection of the nature, timing and extent of our audit procedures.

Based on the results of our risk assessment we designed our audit procedures to identify and to address material misstatements in relation to fraud, including:

Designing audit procedures to address, for example:

a) The possibility of fraudulent or corrupt payments made through third parties.

b) The risk of bribery and corruption.

c) The opportunity to segregate duties within the entity.

Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above.

Using our general commercial and sector experience and through discussions with management, we identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements as well as those arising from management's own assessment of the risks that irregularities may occur either because of fraud or error.

The engagement partner considers the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations.

Under ISA 240 (UK) there is a presumed risk that revenue may be misstated due to the improper recognition of revenue. To address this risk, we obtained an understanding of the company's revenue recognition policies and compared these to the accounting standard, performed a walkthrough to confirm our understanding of the processes and controls through which the business initiates, records, processes and reports revenue transactions.

We tested a sample of revenue transactions to supporting evidence and tested, on a sample basis, revenue related balances in the balance sheet.

We considered the extent to which the audit was considered capable of detecting irregularities: There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

John Duggan (Senior Statutory Auditor)

for and on behalf of Edwards Chartered Accountants

Statutory Auditor

409-411 Croydon Road

Beckenham

Kent

BR3 3PP

30 September 2025

TURNOVER

25,363,119

25,399,689

Cost of sales

20,934,040

20,884,886

GROSS PROFIT

4,429,079

4,514,803

Administrative expenses

4,059,086

4,357,233

OPERATING PROFIT

4

369,993

157,570

Interest receivable and similar income

2,212

5,428

372,205

162,998

Interest payable and similar expenses

5

80,717

35,894

PROFIT BEFORE TAXATION

291,488

127,104

Tax on profit

6

140,296

40,599

PROFIT FOR THE FINANCIAL YEAR

151,192

86,505

Profit attributable to:

Owners of the parent

151,192

86,505

PROFIT FOR THE YEAR

151,192

86,505

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

151,192

86,505

Total comprehensive income attributable to:

Owners of the parent

151,192

86,505

FIXED ASSETS

Tangible assets

9

3,700,470

3,801,854

Investments

10

19,400

19,400

3,719,870

3,821,254

CURRENT ASSETS

Stocks

11

2,232,191

2,404,049

Debtors

12

4,006,995

4,692,770

Cash at bank

333,112

-

6,572,298

7,096,819

CREDITORS

Amounts falling due within one year

13

5,310,187

5,983,281

NET CURRENT ASSETS

1,262,111

1,113,538

TOTAL ASSETS LESS CURRENT LIABILITIES

4,981,981

4,934,792

CREDITORS

Amounts falling due after more than one year

14

(170,261

)

(206,820

)

PROVISIONS FOR LIABILITIES

17

(40,697

)

(42,637

)

NET ASSETS

4,771,023

4,685,335

CAPITAL AND RESERVES

Called up share capital

18

196

196

Fair value reserve

19

118,697

118,697

Retained earnings

19

4,652,130

4,566,442

SHAREHOLDERS' FUNDS

4,771,023

4,685,335

The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2025 and were signed on its behalf by:

J F Otter - Director

FIXED ASSETS

Tangible assets

9

3,449,000

3,495,124

Investments

10

19,602

19,602

3,468,602

3,514,726

CURRENT ASSETS

Debtors

12

10

96

Cash at bank

14,638

10,613

14,648

10,709

CREDITORS

Amounts falling due within one year

13

3,337,226

3,351,062

NET CURRENT LIABILITIES

(3,322,578

)

(3,340,353

)

TOTAL ASSETS LESS CURRENT LIABILITIES

146,024

174,373

PROVISIONS FOR LIABILITIES

17

22,552

23,739

NET ASSETS

123,472

150,634

CAPITAL AND RESERVES

Called up share capital

18

196

196

Fair value reserve

118,697

118,697

Retained earnings

4,579

31,741

SHAREHOLDERS' FUNDS

123,472

150,634

Company's profit for the financial year

38,342

7,633

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2025 and were signed on its behalf by:

J F Otter - Director

Called up

Fair

share

Retained

value

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 January 2023

187

4,545,441

118,697

4,664,325

Changes in equity

Issue of share capital

9

-

-

9

Dividends

-

(65,504

)

-

(65,504

)

Total comprehensive income

-

86,505

-

86,505

Balance at 31 December 2023

196

4,566,442

118,697

4,685,335

Changes in equity

Dividends

-

(65,504

)

-

(65,504

)

Total comprehensive income

-

151,192

-

151,192

Balance at 31 December 2024

196

4,652,130

118,697

4,771,023

Called up

Fair

share

Retained

value

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 January 2023

186

89,612

118,697

208,495

Changes in equity

Issue of share capital

10

-

-

10

Dividends

-

(65,504

)

-

(65,504

)

Total comprehensive income

-

7,633

-

7,633

Balance at 31 December 2023

196

31,741

118,697

150,634

Changes in equity

Dividends

-

(65,504

)

-

(65,504

)

Total comprehensive income

-

38,342

-

38,342

Balance at 31 December 2024

196

4,579

118,697

123,472

Cash flows from operating activities

Cash generated from operations

1

122,333

175,207

Interest paid

(55,178

)

(11,821

)

Interest element of hire purchase payments paid

(25,539

)

(24,073

)

Tax paid

(106,179

)

140,191

Net cash from operating activities

(64,563

)

279,504

Cash flows from investing activities

Purchase of tangible fixed assets

(87,067

)

(305,806

)

Sale of tangible fixed assets

72,619

-

Interest received

2,212

5,428

Net cash from investing activities

(12,236

)

(300,378

)

Cash flows from financing activities

Capital repayments in year

(36,559

)

243,379

Share issue

-

9

Equity dividends paid

(65,504

)

(65,504

)

Net cash from financing activities

(102,063

)

177,884

(Decrease)/increase in cash and cash equivalents

(178,862

)

157,010

Cash and cash equivalents at beginning of year

2

(84,932

)

(241,942

)

Cash and cash equivalents at end of year

2

(263,794

)

(84,932

)

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2024

2023

£

£

Profit before taxation

291,488

127,104

Depreciation charges

130,835

80,396

Profit on disposal of fixed assets

(15,004

)

-

Finance costs

80,717

35,894

Finance income

(2,212

)

(5,428

)

485,824

237,966

Decrease/(increase) in stocks

171,859

(2,222,912

)

Decrease/(increase) in trade and other debtors

685,324

(358,715

)

(Decrease)/increase in trade and other creditors

(1,220,674

)

2,518,868

Cash generated from operations

122,333

175,207

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31/12/24

1/1/24

£

£

Cash and cash equivalents

333,112

-

Bank overdrafts

(596,906

)

(84,932

)

(263,794

)

(84,932

)

Year ended 31 December 2023

31/12/23

1/1/23

£

£

Bank overdrafts

(84,932

)

(241,942

)

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1/1/24

Cash flow

At 31/12/24

£

£

£

Net cash

Cash at bank

-

333,112

333,112

Bank overdrafts

(84,932

)

(511,974

)

(596,906

)

(84,932

)

(178,862

)

(263,794

)

Debt

Finance leases

(243,379

)

36,559

(206,820

)

(243,379

)

36,559

(206,820

)

Total

(328,311

)

(142,303

)

(470,614

)

1.	STATUTORY INFORMATION

Techcrete Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

Monetary amounts in the financial statements are rounded to the nearest pound.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements.

Significant judgements and estimates

In the application of the group's accounting policies, the directors are required to make judgments, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

Bad debt provision - Judgment has been required when deciding the likely recoverability of retentions. As at the balance sheet date, the bad debt provision against retentions was £732,565.

Tangible fixed assets - Depreciation charges are based upon a judgment made by management of the useful economic life of particular assets. The depreciation policies chosen are based upon management's experience and knowledge of the business, and can be seen in detail within the accounting policies and fixed assets notes.

Turnover

Turnover represents net invoiced sales of goods and services, excluding value added tax.

Revenue is recognised by reference to the level of completion of each contract at the balance sheet date.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% on cost

Plant and machinery

-

25% on reducing balance and 20% on cost

Fixtures and fittings

-

25% on reducing balance and 20% on cost

Motor vehicles

-

25% on reducing balance

Computer equipment

-

25% on cost

Investment property is carried at fair value determined annually by the directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost and are reviewed for any impairments in value.

Stocks

Profit on long-term contracts is taken as the work is carried out if the final outcome can be assessed with reasonable certainty. The profit included is calculated on a prudent basis to reflect the proportion of the work carried out at the year end, by recording turnover and related costs as contract activity progresses. Turnover is calculated as that proportion of total contract value which costs incurred to date bear to total expected costs of that contract. Revenues derived from variations on contracts are recognised only when the customer has accepted them. Full provision is made for losses on all contracts in the year in which they are first foreseen.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.