Notes to the accounts

19 Provisions for liabilities and charges

	Group
	2004 £m	2003 £m
Provisions for liabilities and charges comprise:
Deferred taxation	19.5	19.7
Other provisions	9.5	11.4
	29.0	31.1

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a) Deferred taxation
The total movement in deferred taxation balances (including deferred tax assets and deferred tax on the net pension liability) is shown in the table below:

	Group
	2004 £m	2003 £m
As at 1 January	1.5	4.1
Exchange adjustments	(0.8)	(0.9)
Acquisition of subsidiary undertaking	(1.2)	(0.1)
Transferred from current taxation	0.2	(1.2)
Amounts released through the statement of total recognised gains and losses	(1.0)	(1.3)
(Credited)/charged to profit and loss account in the year	(7.3)	0.9
As at 31 December	(8.6)	1.5
Comprising:
Deferred tax provision	19.5	19.7
Deferred tax asset due within one year (Note 15)	(9.3)	(10.1)
Deferred tax asset due after one year (Note 15)	(12.1)	(2.4)
Deferred tax asset on pension funds (Note 6a)	(6.7)	(5.7)
	(8.6)	1.5
	Amount provided
	2004 £m	2003 £m
Group
Deferred taxation liability/(asset) derives from:
Capital allowances	(5.8)	0.2
Other timing differences	(10.3)	(10.4)
Goodwill and other intangibles	14.2	17.4
Deferred tax asset on pension funds	(6.7)	(5.7)
	(8.6)	1.5

Deferred tax assets estimated at £10.7m (2003: £21.9m) have not been recognised due to the degree of uncertainty over both the amount and utilisation of the underlying tax losses and deductions in certain tax jurisdictions.

Deferred tax assets estimated at £1.1m (2003: £0.5m) have not been recognised in the company due to the degree of uncertainty over the utilisation of the underlying tax deductions.

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b) Other

	Warranty £m	Other £m	Total £m
Group
As at 1 January 2004	7.0	4.4	11.4
Exchange adjustments	(0.1)	(0.2)	(0.3)
Acquisition of subsidiary undertakings	0.5	0.3	0.8
Provided during the year	2.0	7.1	9.1
Utilised during the year	(0.9)	(9.4)	(10.3)
Released during the year	(0.4)	(0.8)	(1.2)
As at 31 December 2004	8.1	1.4	9.5

Warranty provisions include the group's standard terms and conditions which in general apply for a 12-month period. Other provisions represent the directors' best estimate of settling various potential claims against the group arising in the ordinary course of business. The timing of utilisation of these provisions is uncertain pending the outcome of ongoing negotiations.

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