Financial Statements
Notes to the Accounts
3 Gross and net rental income
| 2008 £m |
2007 £m |
|
|---|---|---|
| Rent receivable | 547 | 551 |
| Spreading of tenant incentives and guaranteed rent increases | 46 | 37 |
| Surrender premiums | 3 | 9 |
| Gross rental income | 596 | 597 |
| Service charge income | 49 | 52 |
| Gross rental and related income | 645 | 649 |
| Service charge expenses | (49) | (52) |
| Property operating expenses | (35) | (36) |
| Net rental and related income | 561 | 561 |
Net rental income for the year ended 31 March 2008 from properties which were subject to a security interest or held by non-recourse companies was £409m (2007: £409m).
Property operating expenses relating to investment properties that did not generate any rental income were £1m (2007: £3m).
