Bike It International Holdings Limited - Limited company accounts 20.1

REGISTERED NUMBER: 06441804 (England and Wales)

Group Strategic Report, Report of the Director and

Consolidated Financial Statements for the Year Ended 31 December 2021

for

Bike It International Holdings Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

4

Consolidated Income Statement

7

Consolidated Other Comprehensive Income

8

Consolidated Balance Sheet

9

Company Balance Sheet

10

Consolidated Statement of Changes in Equity

11

Company Statement of Changes in Equity

12

Consolidated Cash Flow Statement

13

Notes to the Consolidated Cash Flow Statement

14

Notes to the Consolidated Financial Statements

15

DIRECTOR:

M Mansbridge

REGISTERED OFFICE:

24 Picton House

Hussar Court

Waterlooville

Hampshire

PO7 7SQ

REGISTERED NUMBER:

06441804 (England and Wales)

AUDITORS:

JWR Audit Limited

Statutory Auditor

24 Picton House

Hussar Court

Waterlooville

Hampshire

PO7 7SQ

The director presents his strategic report of the company and the group for the year ended 31 December 2021.

REVIEW OF BUSINESS

The company's main business continued to be the wholesale supply of motorcycle parts and accessories.

Sales at £7,543,030 increased by 3.2% and Gross Profit at £2,477,618 increased by 6.7% from the results of the prior year. The company made a loss before tax of £424,870, compared to a pre tax profit of £61,801 in 2020. Bike It was resilient through the COVID-19 pandemic due to the fact the majority of it's sales occur online and to retailers. Europe continued to be challenging with the continued uncertainty surrounding Brexit making trading difficult. Expenditure was also high as Bike It continued to invest in new IT systems and supported new brands with a high advertising budget.

Bike It is a well-respected name in the motorcycle industry and continued to be a market leader in its range of products, stock availability and customer service.

PRINCIPAL RISKS AND UNCERTAINTIES

Motorcycle sales in 2021 were similar to those in 2020 so there was no real change in the market. With most sales, however, being imports, the weakness of sterling must be a concern as prices are likely to rise. As an exporter as well as an importer, Bike It has some cover against exchange fluctuations but sterling weakness is a concern.

Brexit continues to be a concern for the future as its full impact unfolds in the coming years. Bike It does though have a strong agent chain and a sought after product list (particularly Moto GP range) and its future plans still include a strong EU sales presence.

Price risks principally arise on the purchase of stock which are subject to inflationary pressure in the Far East in particular as well as currency changes against the dollar and Euro. Exchange variances can be managed somewhat as significant sales are made in Euro's.

Sales are made on a variety of different terms so a credit risk will always arise but this is well managed with credit terms only being given to customers who demonstrate an appropriate payment history and credit limits have been well controlled. Sales are made to a wide range of customers so no one customer makes up a significant portion of total trade debtors. Group undertakings and other debtors principally relate to loans made. A full list of debtors is shown in note 15.

FUTURE DEVELOPMENTS

The motorcycle market continues to be a challenging environment but Bike It is confident that its position in the market will help it thrive long term. New brands are still being sought for the UK market and new agency opportunities for the European market being considered. The sales force is highly regarded and this supported by a new B2B website will enable Bike It to weather the current difficulties

The motorcycle industry is still a challenging market but as a market leader and strong innovator, Bike It is confident it can continue to grow and find new opportunities.

There are no further projects on going in Southcott Mansbridge Homes Ltd and no plans at the moment.

ON BEHALF OF THE BOARD:

M Mansbridge - Director

4 August 2022

The director presents his report with the financial statements of the company and the group for the year ended 31 December 2021.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of the sale and distribution of motorcycle spare parts and accessories and property development.

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2021.

DIRECTOR

M Mansbridge has held office during the whole period from 1 January 2020 to the date of this report.

DISCLOSURE IN THE STRATEGIC REPORT

The directors have prepared the Strategic Report in accordance with the Companies Act and the information that would have been included in the directors report has been included in the Strategic Report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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 director is 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 he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, JWR Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

M Mansbridge - Director

4 August 2022

Opinion

We have audited the financial statements of Bike It International Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2021 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 2021 and of the group's loss 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 director's 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 director with respect to going concern are described in the relevant sections of this report.

Other information

The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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 Director 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 Director 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 Director.

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 director's remuneration specified by law are not made; or

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

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is 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 director either intends to liquidate the group or the parent company or to cease operations, or has 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations.

We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion.

Procedures performed by the audit team included:

- Discussions with management regarding known or suspected instances of non-compliance with laws and regulations;

- Evaluation of controls designed to prevent and detect irregularities; and

- Assessing journals entries as part of our planned audit approach.

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.

As in all of our audits we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

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.

K S Wood (Senior Statutory Auditor)

for and on behalf of JWR Audit Limited

Statutory Auditor

24 Picton House

Hussar Court

Waterlooville

Hampshire

PO7 7SQ

17 August 2022

TURNOVER

4

7,543,030

7,306,865

Cost of sales

5,065,412

4,984,997

GROSS PROFIT

2,477,618

2,321,868

Distribution costs

194,155

205,129

Administrative expenses

2,880,739

2,092,788

3,074,894

2,297,917

(597,276

)

23,951

Other operating income

172,406

37,179

OPERATING (LOSS)/PROFIT

6

(424,870

)

61,130

Interest receivable and similar income

-

3,839

(424,870

)

64,969

Interest payable and similar expenses

7

-

3,168

(LOSS)/PROFIT BEFORE TAXATION

(424,870

)

61,801

Tax on (loss)/profit

8

(82,958

)

10,547

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(341,912

)

51,254

(Loss)/profit attributable to:

Owners of the parent

(263,522

)

45,011

Non-controlling interests

(78,390

)

6,243

(341,912

)

51,254

(LOSS)/PROFIT FOR THE YEAR

(341,912

)

51,254

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(341,912

)

51,254

Total comprehensive income attributable to:

Owners of the parent

(263,522

)

78,247

Non-controlling interests

(78,390

)

(26,993

)

(341,912

)

51,254

FIXED ASSETS

Intangible assets

11

104,183

117,701

Tangible assets

12

431,395

200,325

Investments

13

-

-

535,578

318,026

CURRENT ASSETS

Stocks

14

4,930,977

4,048,530

Debtors

15

1,858,470

2,863,953

Cash at bank and in hand

565,610

842,361

7,355,057

7,754,844

CREDITORS

Amounts falling due within one year

16

903,785

962,527

NET CURRENT ASSETS

6,451,272

6,792,317

TOTAL ASSETS LESS CURRENT LIABILITIES

6,986,850

7,110,343

CREDITORS

Amounts falling due after more than one year

17

218,420

-

NET ASSETS

6,768,430

7,110,343

CAPITAL AND RESERVES

Called up share capital

22

100,000

100,000

Retained earnings

23

6,803,670

7,067,192

SHAREHOLDERS' FUNDS

6,903,670

7,167,192

NON-CONTROLLING INTERESTS

24

(135,240

)

(56,849

)

TOTAL EQUITY

6,768,430

7,110,343

The financial statements were approved by the director and authorised for issue on 4 August 2022 and were signed by:

M Mansbridge - Director

FIXED ASSETS

Intangible assets

11

-

-

Tangible assets

12

-

-

Investments

13

100,001

100,001

100,001

100,001

CURRENT ASSETS

Debtors

15

824,601

633,556

CREDITORS

Amounts falling due within one year

16

619,514

428,469

NET CURRENT ASSETS

205,087

205,087

TOTAL ASSETS LESS CURRENT LIABILITIES

305,088

305,088

CAPITAL AND RESERVES

Called up share capital

22

100,000

100,000

Retained earnings

23

205,088

205,088

SHAREHOLDERS' FUNDS

305,088

305,088

Company's profit for the financial year

-

-

The financial statements were approved by the director and authorised for issue on 4 August 2022 and were signed by:

M Mansbridge - Director

Called up

share

Retained

Non-controlling

Total

capital

earnings

Total

interests

equity

£

£

£

£

£

Balance at 1 January 2020

100,000

7,102,181

7,202,181

(29,856

)

7,172,325

Changes in equity

Dividends

-

(80,000

)

(80,000

)

-

(80,000

)

Total comprehensive income

-

45,011

45,011

(26,993

)

18,018

Balance at 31 December 2020

100,000

7,067,192

7,167,192

(56,849

)

7,110,343

Changes in equity

Total comprehensive income

-

(263,522

)

(263,522

)

(78,390

)

(341,912

)

Balance at 31 December 2021

100,000

6,803,670

6,903,670

(135,239

)

6,768,431

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2020

100,000

285,088

385,088

Changes in equity

Dividends

-

(80,000

)

(80,000

)

Balance at 31 December 2020

100,000

205,088

305,088

Changes in equity

Balance at 31 December 2021

100,000

205,088

305,088

Cash flows from operating activities

Cash generated from operations

1

(1,283,193

)

180,731

Interest paid

-

(3,168

)

Tax paid

(154,238

)

(18,444

)

Net cash from operating activities

(1,437,431

)

159,119

Cash flows from investing activities

Purchase of intangible fixed assets

(17,958

)

(46,434

)

Purchase of tangible fixed assets

(321,224

)

(47,933

)

Sale of tangible fixed assets

-

334

Interest received

-

3,839

Net cash from investing activities

(339,182

)

(90,194

)

Cash flows from financing activities

New loans in year

250,000

-

Amount introduced by directors

1,078,400

-

Amount withdrawn by directors

(289,517

)

(167,510

)

Loans to related/third parties

(2,984

)

(231,944

)

Loans repaid by related/third parties

463,963

848,816

Equity dividends paid

-

(80,000

)

Dividends paid to minority interests

-

(45,000

)

Net cash from financing activities

1,499,862

324,362

(Decrease)/increase in cash and cash equivalents

(276,751

)

393,287

Cash and cash equivalents at beginning of year

2

842,361

449,074

Cash and cash equivalents at end of year

2

565,610

842,361

1.	RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.12.21

31.12.20

£

£

(Loss)/profit before taxation

(424,870

)

61,801

Depreciation charges

120,947

59,337

Loss on disposal of fixed assets

684

922

Finance costs

-

3,168

Finance income

-

(3,839

)

(303,239

)

121,389

Increase in stocks

(882,447

)

(183,137

)

Decrease/(increase) in trade and other debtors

152,948

(284,083

)

(Decrease)/increase in trade and other creditors

(250,455

)

526,562

Cash generated from operations

(1,283,193

)

180,731

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 2021

31.12.21

1.1.21

£

£

Cash and cash equivalents

565,610

842,361

Year ended 31 December 2020

31.12.20

1.1.20

£

£

Cash and cash equivalents

842,361

449,074

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.21

Cash flow

At 31.12.21

£

£

£

Net cash

Cash at bank and in hand

842,361

(276,751

)

565,610

842,361

(276,751

)

565,610

Debt

Debts falling due within 1 year

-

(31,581

)

(31,581

)

Debts falling due after 1 year

-

(218,420

)

(218,420

)

-

(250,001

)

(250,001

)

Total

842,361

(526,752

)

315,609

1.	COMPANY INFORMATION

The company is incorporated and domiciled in the UK and its principal place of business is its registered office.

2.	STATUTORY INFORMATION

Bike It International Holdings 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.

3.	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.

Financial reporting standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

- the requirements of Section 11 'Basic Financial Instruments' & Section 12 'Other Financial Instrument Issues' - Carrying amounts, interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in the profit or loss and in other comprehensive income.

Basis of consolidation

The group financial statements consolidate the financial statements of Bike It International Holdings Limited and all its subsidiary undertakings drawn up to 31 December each year. Entities over which the group has the ability to exercise control are accounted for as subsidiaries.

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.

Provisions

Provisions are recognised when the Company has an obligation at the reporting date as a result of a past event which it is probable will result in the transfer of economic benefits and that obligation can be estimated reliably.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.

Critical accounting estimates and areas of judgement

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions

Slow Moving Stock

The company holds a large amount of stock, some of which are classed as slow moving stock. Slow moving stock is identified as stock of which the company holds more than 78 weeks stock, by comparison to sales in the year under review. Provision is made against slow moving stock as a percentage of the total identified slow moving stock.

Bad Debt Provision

The directors carry out a review of balances at the year end that still remain unpaid post year end, and provide for bad debts where the recovery of overdue balances are considered unlikely.

Turnover

Turnover of continuing operations shown in the profit and loss account represents amounts receivable during the year in respect of sales and is recognised on a receivable basis, exclusive of Value Added Tax.

Intangible fixed assets

Depreciation is provided to write off intangible assets over its estimated useful life as follows: -

Website development - 5 years

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery

-

20% on reducing balance

Fixtures and fittings

-

15% on reducing balance

Motor vehicles

-

20% on reducing balance

Impairment of fixed assets

An assessment is made at each reporting date of whether there are indications that a fixed asset may be impaired or that an impairment loss previously recognised has fully or partially reversed. If such indications exist, the Company estimates the recoverable amount of the asset or, for goodwill, the recoverable amount of the cash-generating unit to which the goodwill belongs.

Shortfalls between the carrying value of fixed assets and their recoverable amounts, being the higher of fair value less costs to sell and value-in-use, are recognised as impairment losses. Impairments of revalued assets are treated as a revaluation loss. All other impairment losses are recognised in profit or loss.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Reversals of impairment losses are recognised in profit or loss or, for revalued assets, as a revaluation gain. On reversal of an impairment loss, the depreciation or amortisation is adjusted to allocate the asset's revised carrying amount (less any residual value) over its remaining useful life.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. The cost of stock is determined on a first-in-first-out (FIFO) basis.

Work in Progress

Work in progress is valued on the basis of direct costs plus attributable overheads based on normal levels of activity. Provision is made for any foreseeable losses where appropriate. No element of profit is included in the valuation of work in progress.

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.

Taxation

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.

Functional and presentational currencies

The financial statements are presented in sterling which is also the functional currency of the Company.

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

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.