Recognised deferred tax assets and liabilities – Group
Movement in deferred tax assets/(liabilities)
Property, plant and equipment £’000 | Rolled-over gain | Inventories | Derivative financial instruments £’000 | Defined Benefit | Provisions £’000 | Share option | Acquired in business combination £’000 | Tax value of recognised losses and relief earned forward £’000 | Total £’000 | |
|---|---|---|---|---|---|---|---|---|---|---|
Balance at 1 January 2024 | (5,384) | (806) | 296 | (309) | 664 | – | 565 | – | 139 | (4,835) |
(Charged)/credited to the income statement | (263) | – | 113 | – | (189) | 28 | (68) | – | – | (379) |
Recognised in other comprehensive income | – | – | – | 590 | (87) | – | 156 | – | – | 659 |
Balance at 31 December 2024 | (5,647) | (806) | 409 | 281 | 388 | 28 | 653 | – | 139 | (4,555) |
Balance at 1 January 2025 | (5,647) | (806) | 409 | 281 | 388 | 28 | 653 | – | 139 | (4,555) |
Acquired with subsidiary | – | – | – | – | – | – | – | (4,030) | – | (4,030) |
Credited/(charged) to the income statement | 154 | – | 46 | – | (199) | 149 | 209 | 55 | 5,046 | 5,460 |
Recognised in other comprehensive income and equity | – | – | – | (509) | (189) | – | 174 | – | – | (524) |
Translation | – | – | (1) | – | – | – | – | 50 | (68) | (19) |
Balance at 31 December 2025 | (5,493) | (806) | 454 | (228) | – | 177 | 1,036 | (3,925) | 5,117 | (3,668) |
At 31 December 2024 | ||||||||||
Deferred tax liabilities | (5,647) | (806) | – | 281 | 388 | 28 | 653 | – | – | (5,103) |
Deferred tax assets | – | – | 409 | – | – | – | – | – | 139 | 548 |
Net | (5,647) | (806) | 409 | 281 | 388 | 28 | 653 | – | 139 | (4,555) |
At 31 December 2025 | ||||||||||
Deferred tax liabilities | (5,493) | (806) | – | (228) | – | 177 | 1,036 | (3,925) | – | (9,239) |
Deferred tax assets | – | – | 454 | – | – | – | – | – | 5,117 | 5,571 |
Net | (5,493) | (806) | 454 | (228) | – | 177 | 1,036 | (3,925) | 5,117 | (3,668) |
Unrecognised deferred tax assets
The Group has recognised a deferred tax asset in the USA of $1,977k (2024: $220k), in respect of tax losses which can be carried forward indefinitely. In addition to this, the Group has further tax losses in the USA with a value of $2,634k (2024: $6,852k), on which no asset has been recognised due to the risk that the associated impairments will not be allowable for tax purposes in the future. At year-end exchange rates, this unrecognised asset translates to £1,959k (2024: £5,471k).
The Group has tax relief carried forward in Poland of PLN24,915k (2024: PLN28,228k) or £5,148k (2024: £5,482k); of this PLN5,234k (2024: PLN28,228k) or £1,081k (2024: £5,482k) has not been recognised as an asset on the balance sheet as it is not expected to be recoverable until after 2030 when the future profits are not sufficiently certain to be applied.
The tax relief in Poland is available until 2034 and the asset is expected to be recovered over the next five years. The tax losses in the USA have an indefinite life and are expected to be recovered over the next two years.
Deferred tax assets and liabilities – Company
Movement in deferred tax assets/(liabilities)
Property, plant and equipment | Rolled-over gain | Derivative financial instruments £’000 | Defined Benefit | Provisions £’000 | Share option | Offset £’000 | Total £’000 | |
|---|---|---|---|---|---|---|---|---|
Balance at 1 January 2024 | (5,384) | (806) | (309) | 664 | – | 565 | – | (5,270) |
(Charged)/credited to the income statement | (263) | – | – | (189) | 28 | (68) | – | (492) |
Recognised in other comprehensive income | – | – | 590 | (87) | – | 156 | – | 659 |
Balance at 31 December 2024 | (5,647) | (806) | 281 | 388 | 28 | 653 | – | (5,103) |
Balance at 1 January 2025 | (5,647) | (806) | 281 | 388 | 28 | 653 | – | (5,103) |
Credited/(charged) to the income statement | 154 | – | – | (199) | 149 | 209 | – | 313 |
Recognised in other comprehensive income | – | – | (509) | (189) | – | 174 | – | (524) |
Balance at 31 December 2025 | (5,493) | (806) | (228) | – | 177 | 1.036 | – | (5,314) |
At 31 December 2024 | ||||||||
Deferred tax liabilities | (5,647) | (806) | – | – | – | – | 1,350 | (5,103) |
Deferred tax assets | – | – | 281 | 388 | 28 | 653 | (1,350) | – |
Net | (5,647) | (806) | 281 | 388 | 28 | 653 | – | (5,103) |
At 31 December 2025 | ||||||||
Deferred tax liabilities | (5,493) | (806) | (228) | – | – | – | 1,213 | (5,314) |
Deferred tax assets | – | – | – | – | 177 | 1,036 | (1,213) | – |
Net | (5,493) | (806) | (228) | – | 177 | 1,036 | – | (5,314) |