Tesco 2015 Annual Report Download - page 102

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Note 3 Income and expenses continued
During the financial year the Group obtained the following services from the Group’s auditor, PricewaterhouseCoopers LLP, and network firms:
2015
£m
2014
£m
Audit services
Fees payable to the Company’s auditor and its associates for the audit of the Company and Group financial statements 1.0 0.8
The audit of the accounts of the Company’s subsidiaries 3.6 3.5
Audit-related assurance services 0.8 1.2
Total audit and audit related services 5.4 5.5
Non-audit services
Fees payable to the Company’s auditor and its associates for other services:
Taxation compliance services ––
Taxation advisory services 0.9 0.6
All other non-audit services 2.4 4.1
Total auditor remuneration 8.7 10.2
In addition to the amounts shown above, the auditor received fees of £0.2m (2014: £0.2m) for the audit of the main Group pension scheme.
A description of the work of the Audit Committee is set out in the Corporate Governance Report on page 32 and includes how objectivity and independence
is safeguarded when non-audit services are provided by PricewaterhouseCoopers LLP.
Note 4 Employment costs, including Directors’ remuneration
Continuing operations
2015
£m
2014
£m
Wages and salaries 6,581 6,121
Social security costs 473 471
Post-employment defined benefits (Note 26) 631 542
Post-employment defined contributions (Note 26) 24 32
Share-based payments expense (Note 25) 144 82
Termination benefits 416 23
8,269 7,271
The average number of employees by operating segment during the financial year was:
Average number
of employees
Average number of
full-time equivalents
2015 2014 2015 2014
UK 315, 829 317,847 215,747 217,158
Asia 96,471 96,296 86,436 88,616
Europe 90,813 92,694 80,327 82,741
Tesco Bank 3,871 3,607 3,576 3,353
Total 506,984 510,444 386,086 391,868
Note 5 Finance income and costs
Continuing operations
2015
£m
2014
£m
Finance income
Interest receivable and similar income 90 132
Total finance income 90 132
Finance costs
GBP MTNs (191) (223)
EUR MTNs (155) (130)
USD Bonds (85) (91)
Other MTNs (2) (4)
Finance charges payable under finance leases and hire purchase contracts (9) (10)
Other interest payable (101) (68)
Capitalised interest (Note 11)*44 79
Net pension finance costs (Note 26)** (136) (106)
IAS 32 and 39 ‘Financial Instruments’ – fair value remeasurements** (26) (11)
Total finance costs (661) (564)
* A deferred tax liability is recognised in respect of capitalised interest at the applicable rate in the country in which the interest is capitalised.
**
Underlying net interest cost of £(409)m (2014: £(315)m), as included in underlying profit, excludes net pension finance costs of £(136)m (2014: £(106)m and IAS 32 and 39
‘Financial Instruments’ – fair value remeasurements of £(26)m (2014: £(11)m).
GBP MTNs
Interest payable on the 4% RPI GBP MTN 2016 includes £8m (2014: £9m) of Retail Price Index (‘RPI’) related amortisation.
Interest payable on the 3.322% LPI GBP MTN 2025 includes £7m (2014: £11m) of RPI related amortisation.
Interest payable on the 1.982% RPI GBP MTN 2036 includes £7m (2014: £7m) of RPI related amortisation.
100 Tesco PLC Annual Report and Financial Statements 2015
Notes to the Group financial statements continued