| 2008 £m |
2007 £m |
||
| UK corporation tax at 30% (2007: 30%) | – | – | |
| Overseas tax income | 0.5 | – | |
| Income tax credit | 0.5 | – |
| 2008 £m |
2007 £m |
||
| Profit before tax – continuing operations | 8.0 | 8.0 | |
| Effective taxation at 30% | 2.4 | 2.4 | |
| Tax calculated at domestic tax rates applicable to profits in respective countries | 2.4 | 2.4 | |
| Income not subject to tax | (1.5) | (0.1) | |
| Expenses not deductible for tax purposes | 2.6 | 1.0 | |
| Utilisation of previously unrecognised tax losses | (1.5) | – | |
| Current tax losses for which no deferred tax asset was recognised | 0.3 | 1.5 | |
| Double tax relief on dividend from overseas Group subsidiary | – | (0.4) | |
| Utilisation of previously unrecognised other deferred tax assets | (2.3) | (4.4) | |
| Overseas tax recovered | (0.5) | – | |
| Recognition of previously unrecognised tax losses | (0.3) | – | |
| Remeasurement of deferred tax with respect to the change in UK tax rate | 0.3 | – | |
| Income tax credit – continuing operations | (0.5) | – |
| During the year, as a result of the change in UK corporation tax rates which will be effective from 1 April 2008, deferred tax balances have been remeasured. Deferred tax relating to temporary differences that are expected to reverse after 1 April 2008 are measured at the new UK tax rate of 28% as this is the tax rate that will apply on reversal. |