The charge for taxation takes into account taxation deferred as a result of timing differences between the treatment of certain items for taxation and accounting purposes. In general, deferred taxation is recognised in respect of timing differences that have originated but not reversed at the balance sheet date. However, deferred tax assets are recognised only to the extent that the directors consider that it is more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted. Deferred taxation is measured on a non-discounted basis at the tax rates that are expected to apply in periods in which the timing differences reverse, based on tax rates and the law enacted or substantively enacted at the balance sheet date.

The company has established trusts for the benefit of employees and persons connected with them. Monies held in

these trusts are held by independent trustees and managed at their discretion. The trustees are empowered to provide

both retirement and other employee benefits.

Where the company retains future economic benefit from, and has de facto control of the assets and liabilities of the

trust, they are accounted for as assets and liabilities of the company until the earlier of the date that an allocation of

trust funds to employees in respect of past services is declared and the date that assets of the trust vest in identified

individuals.

Where monies held in a trust are determined by the company on the basis of employees’ past services to the business

and the company can obtain no future economic benefit from those monies, such monies, whether in the trust or

accrued for by the company are charged to the profit and loss account in the period to which

they relate.

Where monies held in a trust are determined by the company on the basis of employees’ past services to the business

and are payable after completion of the employment, such monies are charged to the profit and loss account in the

period during which services are rendered by employees.

The company has taken advantage of Companies Act 2006 section 444(1) and opted not to file the profit and loss account, directors report, and notes to the financial statements relating to the profit and loss account.