| 2005 | 2004 | |
|---|---|---|
| £m | £m | |
| Gross rental income | 546.5 | 486.7 |
| Service charge receivable | 47.1 | 37.6 |
| Total income | 593.6 | 524.3 |
| Rents payable | (3.1) | (3.7) |
| Other property outgoings | (86.2) | (70.3) |
| Net rental income | 504.3 | 450.3 |
| Profit on property trading (see below) | 0.6 | 6.0 |
| Other income | 6.2 | 6.2 |
| Administrative expenses | (48.8) | (40.7) |
| Operating profit | 462.3 | 421.8 |
| Profit on property trading | ||
| Sale proceeds | 6.6 | 11.0 |
| Cost of sales | (6.0) | (5.0) |
| Profit on property trading | 0.6 | 6.0 |
The surplus of £0.2m arising on the revaluation of property derivatives is included in other income (2004: £nil).
The Group has only one significant class of business. Rental income and profits are derived from the Group’s continuing operations, which are predominantly in the United Kingdom. Net rental income for the year from properties which, at the year end, were subject to a security interest or held by non recourse companies was £376.5m (2004: £347.0m).
| In arriving at the operating profit the following items have been included: | |||
| Defined Benefit Pension: | Current service cost | 2.7 | 2.1 |
| Past service cost | 0.7 | 0.3 | |
| Amortisation of negative goodwill | (0.6) | (1.5) | |
| Depreciation | 0.8 | 0.6 | |
| Auditors´ remuneration§ | 0.9 | 0.9 | |
| Auditors´ remuneration for other services† | 2.3 | 2.4 | |
§ Auditors’ remuneration comprised: Deloitte £0.7m (2004: £0.6m); other auditors £0.2m (2004: £0.3m). Audit fees in relation to the Company were £0.5m (2004: £0.4m).
† Payments to Deloitte for further assurance services £0.4m (2004: £0.4m). Payment to Deloitte for taxation services £1.3m (2004: £1.1m). Payments to other auditors: taxation services £0.5m (2004: £0.9m) and further assurance services £0.1m (2004: £nil).