Current report of foreign issuer pursuant to Rules 13a-16 and 15d-16 Amendments

Lease liabilities and similar

v3.22.2.2
Lease liabilities and similar
 6 Months Ended
Jun. 30, 2022
Lease Liabilities And Similar  
Lease liabilities and similar

13. Lease liabilities and similar

 

Maturity analysis of leases and similar

June 30, 2022   Undiscounted lease payments     Interest     Present value  
    £     £     £  
Not later than one year     620,459       220,611       399,848  
Between one year and five years     1,797,448       456,208       1,341,240  
More than five years     669,569       46,300       623,269  
Lease Liabilities     3,087,476       723,119       2,364,357  

 

December 31, 2021   Undiscounted lease payments     Interest     Present value  
    £     £     £  
Not later than one year     1,010,039       244,281       765,758  
Between one year and five years     1,849,762       525,317       1,324,445  
More than five years     893,077       80,647       812,430  
Lease Liabilities     3,752,878       850,245       2,902,633  

 

The balances relating to lease liabilities and similar can be further analyzed as follows:

 

Lease liabilities

June 30, 2022   Undiscounted lease payments     Interest     Present value  
    £     £     £  
Not later than one year     451,559       213,181       238,378  
Between one year and five years     1,789,398       456,144       1,333,254  
More than five years     669,569       46,300       623,269  
Lease Liabilities     2,910,526       715,625       2,194,901  

 

December 31, 2021   Undiscounted lease payments     Interest     Present value  
    £     £     £  
Not later than one year     768,839       227,630       541,209  
Between one year and five years     1,793,412       523,560       1,269,852  
More than five years     893,077       80,647       812,430  
Lease Liabilities     3,455,328       831,837       2,623,491  

 

The principal leasing activities undertaken by the Group relate to the lease of property for the business.

 

An incremental borrowing rate of 8.60% has been applied to leases during the reporting period. Total cash outflows in the period in relation to leases are noted in the cash flow statement.

 

 

Sale and leaseback arrangements

 

In addition, the Group undertakes some sale and leaseback transactions to secure financing. From a review of the sale and leaseback agreements, it is deemed that as no formal sale has occurred the Group continues to recognize the asset on the balance sheet with a corresponding liability stated at amortized cost. There were no gains or losses recognized on sale and leaseback transactions in the period.

 

June 30, 2022   Undiscounted lease payments     Interest     Present value  
    £     £     £  
Not later than one year     168,900       7,430       161,470  
Between one year and five years     8,050       64       7,986  
Lease Liabilities     176,950       7,494       169,456  

 

December 31, 2021   Undiscounted lease payments     Interest     Present value  
    £     £     £  
Not later than one year     241,200       16,651       224,549  
Between one year and five years     56,350       1,757       54,593  
Lease Liabilities     297,550       18,408       279,142  

 

Set out below are the carrying amounts of right-of-use assets recognized and the movements during the period:

    Buildings £     Other £     Total £  
                   
At January 1, 2022     1,379,360       6,164       1,385,524  
Charge for the period     (96,234 )     (2,055 )     (98,289 )
At June 30, 2022     1,283,126       4,109       1,287,235  

 

The following amounts are recognized in the consolidated statement of comprehensive income/(loss) :

 

    Six months ended June 30,     Six months ended June 30,  
    2022     2021  
    £     £  
Amortization of right of use assets     98,289       98,289  
Interest on lease liabilities     113,283       110,743  
Total     211,572       209,032