Deferred tax:Deferred tax is recognised, without discounting, in respect of all timing differences between the treatment of certain items for taxation and accounting purposes, which have arisen but not reversed by the balance sheet date, except as required by the FRSSE.Deferred tax is measured at the rates that are expected to apply in the periods when the timing differences are expected to reverse, based on the tax rates and law enacted at the balance sheet date.Foreign currency:Transactions in foreign currencies are recorded at the exchange rate ruling at the date of the transaction.Monetary assets and liabilities denominated in foreign currencies are retranslated at the closing rates at thebalance sheet date. All exchange differences are included in the profit and loss account.Hire purchase and leasing:Rentals payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term.Financial instruments:Financial instruments are classified and accounted for, according to the substance of the contractualarrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability in the balance sheet. The corresponding dividends relating to the liability component are charged as interest expense in the profit and loss account.Pensions:The company operates a defined contribution pension scheme. Contributions are recognised in the profit andloss account in the period in which they become payable in accordance with the rules of the scheme.