3 Accounting policies
Basis of preparation
Basis of Accounts The principal accounting policies adopted in the preparation of the accounts are set out below and have remained unchanged from the previous year, and also have been consistently applied within the same accounts. The accounts have been prepared under the historical cost convention, and in accordance with applicable United Kingdom Accounting Standards. The accounts are prepared in the presentational currency £ sterling and are rounded to the nearest £1. The accounts have been prepared on the going concern basis as the Shareholders have agreed to meet the resource requirements of the Company through the Schemes they control for at least 12 months from the signing of these accounts. Group accounts have not been prepared on the grounds that the group qualifies as a small group. The accounts present information about the company as an individual undertaking. Turnover
Turnover, which excludes value added tax, is recorded on an accruals basis and represents the income due for services provided in the period. All turnover relates to continuing operations. Investment in Subsidiary
Investments in shares are included at cost less impairment. Pension Scheme Arrangements
The Company operates a group personal pension plan. Contributions to the group personal pension plan are recognised in profit or loss in the period in which they become payable.
Property, Plant & Equipment
The cost of property, plant and equipment is their purchase cost. Depreciation is calculated so as to write off the cost of property, plant and equipment, less their estimated residual value, on a straight-line basis over the expected useful economic lives of the assets concerned. The principal annual rates used for this purpose are: -Computer hardware 25%Computer software 33%Fixtures and fittings 20%Leasehold Improvements 10 % Policy for provisions
A provision is recognised when the company has a legal or constructive obligation as a result of a past event and it is probable that an outflow of economic benefits will be required to settle the obligation. The effect of the time value of money is not material and therefore the provisions are not discounted. Long term employee benefits are accounted for in accordance with section 28 of FRS 102 and a provision is recognised to the extent that the relevant vesting conditions of the long term incentive plan have been met. Leasing
Rentals paid under operating leases, taking into account rent free periods, are charged to income on a straight line basis over the lease term.
Expenses
Expenses are recognised on an accruals basis.