Notes to the accounts
for the year ended 31 December 2007
35. Reconciliation of net cash from operating activities
| 2007 £mn |
2006 £mn |
|
|---|---|---|
| Operating profit | 347.6 | 255.9 |
| Adjustments for: | ||
| Depreciation and amortisation of software | 8.7 | 7.5 |
| Amortisation of fund management contracts | 1.7 | 1.0 |
| Impairment of available-for-sale financial assets recycled through the income statement | - | 1.4 |
| Other amounts recycled through the income statement in respect of financial assets | (40.2) | (24.7) |
| Decrease/(increase) in trade and other receivables | 72.6 | (241.2) |
| Increase in trade and other payables and provisions | 231.5 | 195.1 |
| Increase in insurance unit-linked liabilities | 1,195.8 | 1,532.0 |
| Net decrease in financial liabilities | - | (15.9) |
| Net (release of)/charge for provisions | (5.4) | 5.8 |
| Net gains on financial assets and liabilities held at fair value through profit or loss1 | (46.2) | (30.3) |
| Share-based payments expensed | 32.9 | 27.5 |
| Other non-cash movements | 1.6 | 52.0 |
| Payments made to defined benefit schemes | (19.9) | (9.3) |
| UK corporation tax (paid)/recovered | (9.3) | 5.1 |
| Overseas tax paid | (58.2) | (36.2) |
| Interest received | 0.5 | 10.6 |
| Interest paid | (0.5) | (1.4) |
| Net purchase of assets backing insurance unit-linked liabilities | (1,207.3) | (1,519.1) |
| Net proceeds/(outflow) from current financial assets | 114.9 | (6.6) |
| Net cash from operating activities | 620.8 | 209.2 |