Document and Entity Information
Document and Entity Information | 12 Months Ended |
Mar. 31, 2018shares | |
Document Information [Line Items] | |
Document Type | 20-F/A |
Amendment Flag | false |
Document Period End Date | Mar. 31, 2018 |
Document Fiscal Year Focus | 2,018 |
Document Fiscal Period Focus | FY |
Entity Registrant Name | BRITISH TELECOMMUNICATIONS PLC /ADR |
Entity Central Index Key | 820,534 |
Current Fiscal Year End Date | --03-31 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Common Stock, Shares Outstanding | 8,689,755,905 |
Group income statement
Group income statement - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Statements [Line Items] | ||||
Revenue | £ 23,723 | £ 24,062 | £ 19,012 | |
Operating costs | (20,339) | (20,892) | (15,397) | |
Operating profit (loss) | 3,384 | 3,170 | 3,615 | |
Finance expense | (794) | (842) | (769) | |
Finance income | 215 | 232 | 389 | |
Net finance expense | [1] | (579) | (610) | (380) |
Share of post tax profit (loss) of associates and joint ventures | (1) | (9) | 6 | |
Profit (loss) before taxation | 2,804 | 2,551 | 3,241 | |
Taxation | (620) | (485) | (508) | |
Profit (loss) for the year | 2,184 | 2,066 | 2,733 | |
Before Specific Items [Member] | ||||
Statements [Line Items] | ||||
Revenue | [2] | 23,746 | 24,082 | 18,879 |
Operating costs | (19,752) | (19,944) | (15,052) | |
Operating profit (loss) | [2] | 3,994 | 4,138 | 3,827 |
Finance expense | (576) | (632) | (540) | |
Finance income | 215 | 232 | 389 | |
Net finance expense | (361) | (400) | (151) | |
Share of post tax profit (loss) of associates and joint ventures | (1) | (9) | 6 | |
Profit (loss) before taxation | 3,632 | 3,729 | 3,682 | |
Taxation | (707) | (702) | (674) | |
Profit (loss) for the year | 2,925 | 3,027 | 3,008 | |
Specific Items [Member] | ||||
Statements [Line Items] | ||||
Revenue | [3] | (23) | (20) | 133 |
Operating costs | [3] | (587) | (948) | (345) |
Operating profit (loss) | [3] | (610) | (968) | (212) |
Finance expense | [3] | (218) | (210) | (229) |
Net finance expense | [3] | (218) | (210) | (229) |
Profit (loss) before taxation | [3] | (828) | (1,178) | (441) |
Taxation | [3] | 87 | 217 | 166 |
Profit (loss) for the year | [3] | £ (741) | £ (961) | £ (275) |
[1] | Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). | |||
[2] | Before specific items. | |||
[3] | a For a definition of specific items, see page 209. An analysis of specific items is provided in note 8. |
Group statement of comprehensiv
Group statement of comprehensive income - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Statement Of Comprehensive Income [Abstract] | |||
Profit for the year | £ 2,184 | £ 2,066 | £ 2,733 |
Items that will not be reclassified to the income statement | |||
Remeasurements of the net pension obligation | 2,160 | (2,789) | 755 |
Tax on pension remeasurements | (346) | 416 | (240) |
Items that have been or may be reclassified to the income statement | |||
Exchange differences on translation of foreign operations | (188) | 237 | 29 |
Fair value movement on available-for-sale assets | 11 | (3) | (2) |
Fair value movement on cash flow hedges: | |||
– net fair value (losses) gains | (368) | 884 | 381 |
– recognised in income and expense | 277 | (938) | (230) |
Tax on components of other comprehensive income that have been or may be reclassified | 1 | 29 | 5 |
Other comprehensive income (loss) for the year, net of tax | 1,547 | (2,164) | 698 |
Total comprehensive income (loss) for the year | £ 3,731 | £ (98) | £ 3,431 |
Group balance sheet
Group balance sheet - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Non-current assets | ||||
Intangible assets | £ 14,455 | £ 15,037 | £ 15,458 | |
Property, plant and equipment | 17,000 | 16,498 | 15,971 | |
Derivative financial instruments | 1,312 | 1,818 | 1,462 | |
Investments | 13,354 | 11,606 | 11,965 | |
Associates and joint ventures | 38 | 31 | 24 | |
Trade and other receivables | [1] | 317 | 360 | 218 |
Deferred tax assets | 1,243 | 1,717 | 1,247 | |
Non current assets | 47,719 | 47,067 | 46,345 | |
Current assets | ||||
Programme rights | 272 | 264 | 225 | |
Inventories | 239 | 227 | 189 | |
Trade and other receivables | 4,029 | 3,860 | 3,987 | |
Current tax receivable | 77 | 73 | 65 | |
Derivative financial instruments | 197 | 428 | 177 | |
Investments | 3,224 | 1,740 | 3,271 | |
Cash and cash equivalents | 521 | 526 | 989 | |
Current assets | 8,559 | 7,118 | 8,903 | |
Current liabilities | ||||
Loans and other borrowings | 2,298 | 2,791 | 3,756 | |
Derivative financial instruments | 50 | 34 | 48 | |
Trade and other payables | 7,190 | 7,476 | 7,463 | |
Current tax liabilities | 83 | 197 | 271 | |
Provisions | 603 | 625 | 178 | |
Current liabilities | 10,224 | 11,123 | 11,716 | |
Total assets less current liabilities | 46,054 | 43,062 | 43,532 | |
Non-current liabilities | ||||
Loans and other borrowings | 13,038 | 11,105 | 12,029 | |
Derivative financial instruments | 787 | 869 | 863 | |
Retirement benefit obligations | 6,371 | 9,088 | 6,382 | |
Other payables | 1,326 | 1,298 | 1,106 | |
Deferred tax liabilities | 1,340 | 1,240 | 1,262 | |
Provisions | 452 | 536 | 565 | |
Non current liabilities | 23,314 | 24,136 | 22,207 | |
Equity | ||||
Ordinary shares | 2,172 | 2,172 | 2,172 | |
Share premium | 8,000 | 8,000 | 8,000 | |
Other reserves | 1,241 | 1,591 | 1,392 | |
Retained earnings | 11,327 | 7,163 | 9,761 | |
Total shareholder’s equity | 22,740 | 18,926 | 21,325 | |
Total equity and Liabilities | £ 46,054 | £ 43,062 | £ 43,532 | |
[1] | Other assets includes costs relating to the initial set-up, transition or transformation phase of long-term networked IT services contracts of £145m (2016/17: £163m, 2015/16: £111m), and prepayments and leasing debtors of £172m (2016/17: £197m, 2015/16: £107m). |
Group statement of changes in e
Group statement of changes in equity - GBP (£) £ in Millions | Total | Issued Capital [Member] | [1] | Share Premium [Member] | [2] | Other Reserves [Member] | [3] | Retained Earnings (Loss) [Member] |
Beginning balance at Mar. 31, 2015 | £ 19,277 | £ 2,172 | £ 8,000 | £ 1,209 | £ 7,896 | |||
Statements [Line Items] | ||||||||
Profit for the year | 2,733 | 2,733 | ||||||
Other comprehensive income (loss) – before tax | 1,163 | 408 | 755 | |||||
Tax on other comprehensive income (loss) | (235) | 5 | (240) | |||||
Transferred to the income statement | (230) | (230) | ||||||
Total comprehensive income (loss) for the year | 3,431 | 183 | 3,248 | |||||
Share-based payments | 58 | 58 | ||||||
Tax on share-based payments | 12 | 12 | ||||||
Dividends to parent company | (1,450) | (1,450) | ||||||
Other movements | (3) | (3) | ||||||
Ending balance at Mar. 31, 2016 | 21,325 | 2,172 | 8,000 | 1,392 | 9,761 | |||
Statements [Line Items] | ||||||||
Profit for the year | 2,066 | 2,066 | ||||||
Other comprehensive income (loss) – before tax | (1,671) | 1,108 | (2,779) | |||||
Tax on other comprehensive income (loss) | 445 | 29 | 416 | |||||
Transferred to the income statement | (938) | (938) | ||||||
Total comprehensive income (loss) for the year | (98) | 199 | (297) | |||||
Share-based payments | 57 | 57 | ||||||
Tax on share-based payments | (6) | (6) | ||||||
Dividends to parent company | (2,350) | (2,350) | ||||||
Other movements | (2) | (2) | ||||||
Ending balance at Mar. 31, 2017 | 18,926 | 2,172 | 8,000 | 1,591 | 7,163 | |||
Statements [Line Items] | ||||||||
Profit for the year | 2,184 | 2,184 | ||||||
Other comprehensive income (loss) – before tax | 1,615 | (545) | 2,160 | |||||
Tax on other comprehensive income (loss) | (345) | 1 | (346) | |||||
Transferred to the income statement | 277 | 277 | ||||||
Total comprehensive income (loss) for the year | 3,731 | (267) | 3,998 | |||||
Transfers to realised profit | (83) | 83 | ||||||
Share-based payments | 84 | 84 | ||||||
Tax on share-based payments | (2) | (2) | ||||||
Other movements | 1 | 1 | ||||||
Ending balance at Mar. 31, 2018 | £ 22,740 | £ 2,172 | £ 8,000 | £ 1,241 | £ 11,327 | |||
[1] | The allotted, called up, and fully paid ordinary share capital of the company at 31 March 2018 was £2,172m comprising 8,689,755,905 ordinary shares of 25p each. | |||||||
[2] | The share premium account, comprising the premium on allotment of shares, is not available for distribution. | |||||||
[3] | For further analysis of other reserves, see note 26. |
Group statement of changes in 6
Group statement of changes in equity (Parenthetical) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2015 |
Statements [Line Items] | ||||
Ordinary shares | £ 22,740 | £ 18,926 | £ 21,325 | £ 19,277 |
Number of ordinary shares | 8,689,755,905 | |||
Par value per share | £ 0.25 | |||
Issued Capital [Member] | ||||
Statements [Line Items] | ||||
Ordinary shares | £ 2,172 |
Group cash flow statement
Group cash flow statement - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Cash flow from operating activities | ||||
Profit (loss) before taxation | £ 2,804 | £ 2,551 | £ 3,241 | |
Share of post tax loss (profit) of associates and joint ventures | 1 | 9 | (6) | |
Net finance expense | [1] | 579 | 610 | 380 |
Operating profit (loss) | 3,384 | 3,170 | 3,615 | |
Other non-cash charges | 33 | 20 | 39 | |
Profit on disposal of businesses | (1) | (16) | ||
Depreciation and amortisation | 3,514 | 3,572 | 2,631 | |
Increase in inventories | (14) | (33) | ||
Increase in programme rights | (34) | (95) | (44) | |
(Increase) decrease in trade and other receivables | [2] | (156) | 168 | (83) |
(Decrease) increase in trade and other payables | (367) | (150) | 123 | |
Decrease in other liabilities | [3] | (775) | (307) | (810) |
(Decrease) increase in provisions | [4] | (203) | 401 | (63) |
Cash generated from operations | 5,381 | 6,730 | 5,408 | |
Income taxes paid | (473) | (551) | (256) | |
Net cash inflow from operating activities | 4,908 | 6,179 | 5,152 | |
Cash flow from investing activities | ||||
Interest received | 7 | 7 | 10 | |
Dividends received from associates and joint ventures | 2 | 17 | ||
Acquisition of subsidiaries | [5] | (16) | 18 | 93 |
Proceeds on disposal of subsidiaries, associates and joint ventures | [5] | 2 | 46 | |
Acquisition of joint ventures | (9) | (13) | (8) | |
Outflow on non-current amounts owed by ultimate parent company | [6] | (1,677) | (1,571) | (4,767) |
Proceeds on disposal of current financial assets | [7] | 11,134 | 10,834 | 8,918 |
Purchases of current financial assets | [7] | (12,629) | (9,411) | (8,252) |
Proceeds on disposal of non-current asset investments | [8] | 19 | ||
Purchases of non-current asset investments | [8] | (22) | ||
Proceeds on disposal of property, plant and equipment | 21 | 26 | 7 | |
Purchases of property, plant and equipment and software | (3,362) | (3,145) | (2,438) | |
Net cash outflow from investing activities | (6,510) | (3,229) | (6,420) | |
Cash flow from financing activities | ||||
Interest paid | (555) | (629) | (558) | |
Repayment of borrowings | [9] | (1,401) | (1,805) | (1,283) |
Proceeds from bank loans and bonds | 3,760 | 3 | 3,023 | |
Cash flows from derivatives related to net debt | (188) | 119 | 79 | |
Drawdown on acquisition facility | 3,200 | |||
Repayment of acquisition facility | (181) | (3,019) | ||
Repayment of EE revolving credit facility | (438) | (100) | ||
Net cash inflow (outflow) from financing activities | 1,616 | (2,931) | 1,342 | |
Net increase in cash and cash equivalents | 14 | 19 | 74 | |
Opening cash and cash equivalents | [10] | 509 | 452 | 402 |
Net increase in cash and cash equivalents | 14 | 19 | 74 | |
Effect of exchange rate changes | (31) | 38 | (24) | |
Closing cash and cash equivalents | [10] | £ 492 | £ 509 | £ 452 |
[1] | Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). | |||
[2] | Includes a prepayment of £325m (2016/17: £nil, 2015/16: £nil) in respect of the acquisition of Spectrum. | |||
[3] | Includes pension deficit payments of £872m (2016/17: £274m, 2015/16: £880m). | |||
[4] | Included within the change in provisions is the settlement of Deemed Consent, part of which is non-cash and is offset by movements in working capital. | |||
[5] | Acquisitions and disposals of subsidiaries are shown net of cash acquired or disposed of and in 2017 included £20m true-up of consideration following the audit of the completion balance sheet relating to the acquisition of EE. | |||
[6] | Refer to note 28 for further information. | |||
[7] | Primarily consists of investment in and redemption of amounts held in liquidity funds. | |||
[8] | Relates to assets held for sale classified within trade and other receivables. | |||
[9] | Repayment of borrowings includes the impact of hedging and repayment of lease liabilities. | |||
[10] | Net of bank overdrafts of £29m (2016/17: £17m, 2015/16: £537m). |
Group cash flow statement (Pare
Group cash flow statement (Parenthetical) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Statements [Line Items] | |||
Pension deficit payments | £ 872 | £ 274 | £ 880 |
Acquisitions and disposals of subsidiaries true-up of consideration | 20 | ||
Net of bank overdrafts | 29 | £ 17 | £ 537 |
Spectrum [Member] | |||
Statements [Line Items] | |||
Prepayments in respect of acquisition | £ 325 |
Group plc balance sheet
Group plc balance sheet - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | |
Non-current assets | |||
Intangible assets | £ 14,455 | £ 15,037 | |
Property, plant and equipment | 17,000 | 16,498 | |
Derivative financial instruments | 1,312 | 1,818 | |
Associates and joint ventures | 38 | 31 | |
Trade and other receivables | [1] | 317 | 360 |
Deferred tax assets | 1,243 | 1,717 | |
Non current assets | 47,719 | 47,067 | |
Current assets | |||
Programme rights | 272 | 264 | |
Inventories | 239 | 227 | |
Trade and other receivables | 4,029 | 3,860 | |
Current tax receivable | 77 | 73 | |
Derivative financial instruments | 197 | 428 | |
Cash and cash equivalents | 521 | 526 | |
Current assets | 8,559 | 7,118 | |
Current liabilities | |||
Loans and other borrowings | 2,298 | 2,791 | |
Derivative financial instruments | 50 | 34 | |
Trade and other payables | 7,190 | 7,476 | |
Provisions | 603 | 625 | |
Current liabilities | 10,224 | 11,123 | |
Total assets less current liabilities | 46,054 | 43,062 | |
Non-current liabilities | |||
Loans and other borrowings | 13,038 | 11,105 | |
Derivative financial instruments | 787 | 869 | |
Retirement benefit obligations | 6,371 | 9,088 | |
Other payables | 1,326 | 1,298 | |
Deferred tax liabilities | 1,340 | 1,240 | |
Provisions | 452 | 536 | |
Non current liabilities | 23,314 | 24,136 | |
Equity | |||
Ordinary shares | 2,172 | 2,172 | |
Share premium | 8,000 | 8,000 | |
Other reserves | 1,241 | 1,591 | |
Retained earnings | 11,327 | 7,163 | |
Total shareholder’s equity | 22,740 | 18,926 | |
Total equity and Liabilities | 46,054 | 43,062 | |
British Telecommunications plc [Member] | |||
Non-current assets | |||
Intangible assets | 2,031 | 1,954 | |
Property, plant and equipment | 13,995 | 13,558 | |
Derivative financial instruments | 1,312 | 1,818 | |
Associates and joint ventures | 23,889 | 27,554 | |
Other investments | 14,805 | 13,881 | |
Trade and other receivables | 134 | 177 | |
Deferred tax assets | 1,044 | 1,504 | |
Non current assets | 57,210 | 60,446 | |
Current assets | |||
Programme rights | 272 | 264 | |
Inventories | 72 | 89 | |
Trade and other receivables | 2,300 | 2,077 | |
Current tax receivable | 217 | 3 | |
Derivative financial instruments | 201 | 425 | |
Other investments | 5,748 | 5,036 | |
Cash and cash equivalents | 288 | 286 | |
Current assets | 9,098 | 8,180 | |
Current liabilities | |||
Loans and other borrowings | 18,494 | 19,999 | |
Derivative financial instruments | 50 | 33 | |
Trade and other payables | 4,239 | 4,178 | |
Provisions | 428 | 539 | |
Current liabilities | 23,211 | 24,749 | |
Total assets less current liabilities | 43,097 | 43,877 | |
Non-current liabilities | |||
Loans and other borrowings | 14,916 | 16,874 | |
Derivative financial instruments | 787 | 869 | |
Retirement benefit obligations | 5,958 | 8,632 | |
Other payables | 1,888 | 1,801 | |
Deferred tax liabilities | 918 | 871 | |
Provisions | 291 | 323 | |
Non current liabilities | 24,758 | 29,370 | |
Equity | |||
Ordinary shares | 2,172 | 2,172 | |
Share premium | 8,000 | 8,000 | |
Other reserves | 703 | 857 | |
Retained earnings | 7,464 | 3,478 | |
Total shareholder’s equity | 18,339 | 14,507 | |
Total equity and Liabilities | £ 43,097 | £ 43,877 | |
[1] | Other assets includes costs relating to the initial set-up, transition or transformation phase of long-term networked IT services contracts of £145m (2016/17: £163m, 2015/16: £111m), and prepayments and leasing debtors of £172m (2016/17: £197m, 2015/16: £107m). |
Group plc balance sheet (Parent
Group plc balance sheet (Parenthetical) - GBP (£) | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Statements [Line Items] | ||
Cash | £ 439,000,000 | £ 467,000,000 |
Cash equivalents | 82,000,000 | 59,000,000 |
Dividends to shareholders | 2,350,000,000 | |
British Telecommunications plc [Member] | ||
Statements [Line Items] | ||
Cash | 232,000,000 | 253,000,000 |
Cash equivalents | 56,000,000 | 33,000,000 |
Dividends received | 2,057,000,000 | 1,351,000,000 |
Dividends to shareholders | £ 0 | £ 2,350,000,000 |
Group plc statement of changes
Group plc statement of changes in equity - GBP (£) | Total | Share Capital [Member] | [1] | Share Premium [Member] | [2] | Other Reserves [Member] | [3] | Retained Earnings [Member] | British Telecommunications plc [Member] | British Telecommunications plc [Member]Share Capital [Member] | [4] | British Telecommunications plc [Member]Share Premium [Member] | [5] | British Telecommunications plc [Member]Other Reserves [Member] | [6] | British Telecommunications plc [Member]Retained Earnings [Member] | ||
Beginning balance at Mar. 31, 2015 | £ 19,277,000,000 | £ 2,172,000,000 | £ 8,000,000,000 | £ 1,209,000,000 | £ 7,896,000,000 | |||||||||||||
Statements [Line Items] | ||||||||||||||||||
Profit for the year | 2,733,000,000 | 2,733,000,000 | ||||||||||||||||
Share-based payments | 58,000,000 | 58,000,000 | ||||||||||||||||
Tax on share-based payments | 12,000,000 | 12,000,000 | ||||||||||||||||
Dividends to parent company | (1,450,000,000) | (1,450,000,000) | £ (1,450,000,000) | |||||||||||||||
Ending balance at Mar. 31, 2016 | 21,325,000,000 | 2,172,000,000 | 8,000,000,000 | 1,392,000,000 | 9,761,000,000 | 17,760,000,000 | £ 2,172,000,000 | £ 8,000,000,000 | £ 900,000,000 | £ 6,688,000,000 | ||||||||
Statements [Line Items] | ||||||||||||||||||
Profit for the year | 2,066,000,000 | 2,066,000,000 | 1,351,000,000 | [7] | 1,351,000,000 | [7] | ||||||||||||
Actuarial gain (loss) | (2,659,000,000) | (2,659,000,000) | ||||||||||||||||
Tax on actuarial loss | 419,000,000 | 419,000,000 | ||||||||||||||||
Share-based payments | 57,000,000 | 57,000,000 | 44,000,000 | 44,000,000 | ||||||||||||||
Tax on share-based payments | (6,000,000) | (6,000,000) | (6,000,000) | (6,000,000) | ||||||||||||||
Tax on items taken directly to equity | 6,000,000 | 6,000,000 | ||||||||||||||||
Increase (decrease) in fair value of cash flow hedges | 790,000,000 | 790,000,000 | ||||||||||||||||
Dividends to parent company | (2,350,000,000) | (2,350,000,000) | (2,350,000,000) | (2,350,000,000) | ||||||||||||||
Transferred to the income statement | (839,000,000) | (839,000,000) | ||||||||||||||||
Other | (9,000,000) | (9,000,000) | ||||||||||||||||
Ending balance at Mar. 31, 2017 | 18,926,000,000 | 2,172,000,000 | 8,000,000,000 | 1,591,000,000 | 7,163,000,000 | 14,507,000,000 | 2,172,000,000 | 8,000,000,000 | 857,000,000 | 3,478,000,000 | ||||||||
Statements [Line Items] | ||||||||||||||||||
Profit for the year | 2,184,000,000 | 2,184,000,000 | 2,057,000,000 | [7] | 2,057,000,000 | [7] | ||||||||||||
Actuarial gain (loss) | 2,142,000,000 | 2,142,000,000 | ||||||||||||||||
Tax on actuarial loss | (365,000,000) | (365,000,000) | ||||||||||||||||
Share-based payments | 84,000,000 | 84,000,000 | 71,000,000 | 71,000,000 | ||||||||||||||
Tax on share-based payments | (2,000,000) | (2,000,000) | (1,000,000) | (1,000,000) | ||||||||||||||
Tax on items taken directly to equity | 12,000,000 | 12,000,000 | ||||||||||||||||
Increase (decrease) in fair value of cash flow hedges | (360,000,000) | (360,000,000) | ||||||||||||||||
Dividends to parent company | 0 | |||||||||||||||||
Transferred to the income statement | 277,000,000 | 277,000,000 | ||||||||||||||||
Other | (1,000,000) | (1,000,000) | ||||||||||||||||
Ending balance at Mar. 31, 2018 | £ 22,740,000,000 | £ 2,172,000,000 | £ 8,000,000,000 | £ 1,241,000,000 | £ 11,327,000,000 | £ 18,339,000,000 | £ 2,172,000,000 | £ 8,000,000,000 | 703,000,000 | 7,464,000,000 | ||||||||
Statements [Line Items] | ||||||||||||||||||
Transfer to realised profit | £ (83,000,000) | £ 83,000,000 | ||||||||||||||||
[1] | The allotted, called up, and fully paid ordinary share capital of the company at 31 March 2018 was £2,172m comprising 8,689,755,905 ordinary shares of 25p each. | |||||||||||||||||
[2] | The share premium account, comprising the premium on allotment of shares, is not available for distribution. | |||||||||||||||||
[3] | For further analysis of other reserves, see note 26. | |||||||||||||||||
[4] | The allotted, called up and fully paid ordinary share capital of the company at 31 March 2018 and 31 March 2017 was £2,172m representing 8,689,755,905 ordinary shares of 25p each | |||||||||||||||||
[5] | The share premium account, representing the premium on allotment of shares, and the capital redemption reserve are not available for distribution. | |||||||||||||||||
[6] | A breakdown of other reserves is provided in note 14. | |||||||||||||||||
[7] | As permitted by Section 408(3) of the Companies Act 2006, no income statement of the company is presented. The company’s profit for the financial year including dividends received from subsidiary undertakings was £2,057m (2016/17: £1,351m) before dividends paid of £nil (2016/17: £2,350m) |
Group plc statement of change12
Group plc statement of changes in equity (Parenthetical) - GBP (£) | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Statements [Line Items] | ||||
Ordinary shares | £ 2,172,000,000 | £ 2,172,000,000 | £ 2,172,000,000 | |
Number of ordinary shares | 8,689,755,905 | |||
Par value per share | £ 0.25 | |||
Total profit for the period including dividend income | £ 2,184,000,000 | 2,066,000,000 | 2,733,000,000 | |
Dividends to shareholders | 2,350,000,000 | 1,450,000,000 | ||
British Telecommunications plc [Member] | ||||
Statements [Line Items] | ||||
Ordinary shares | £ 2,172,000,000 | £ 2,172,000,000 | ||
Number of ordinary shares | 8,689,755,905 | 8,689,755,905 | ||
Par value per share | £ 0.25 | £ 0.25 | ||
Total profit for the period including dividend income | [1] | £ 2,057,000,000 | £ 1,351,000,000 | |
Dividends to shareholders | £ 0 | £ 2,350,000,000 | £ 1,450,000,000 | |
[1] | As permitted by Section 408(3) of the Companies Act 2006, no income statement of the company is presented. The company’s profit for the financial year including dividends received from subsidiary undertakings was £2,057m (2016/17: £1,351m) before dividends paid of £nil (2016/17: £2,350m) |
Basis of preparation
Basis of preparation | 12 Months Ended |
Mar. 31, 2018 | |
Basis Of Preparation [Abstract] | |
Basis of preparation | 1. Basis of preparation Preparation a c n These consolidated financial statements have been prepared in accordance with the Companies Act 2006 as applicable to companies using International Financial Reporting Standards (IFRS), Article 4 of the IAS Regulation and International Accounting Standards (IAS) and IFRS and related interpretations, as adopted by the European Union. The consolidated financial statements are also in compliance with IFRS as issued by the International Accounting Standards Board (the IASB) and interpretations as issued by the IFRS Interpretations Committee. The consolidated financial statements are prepared on a going concern basis. These financial statements consolidate British Telecommunications plc, the parent company, and its subsidiaries (together the ‘group’). T h o i i n a a t e n p p i n a u n u n a a e ea e a u h n d a e a a t en p n e n h u n u o l p a n o p n New and amended accounting standards Note 23 of these consolidated financial statements reflect the amendments of IAS 7 ‘Statement of Cash Flows’ requiring the disclosure of changes in liabilities arising from financing activities. There have been no other new or amended standards or interpretations adopted during the year that have a significant impact on the financial statements. New and amended accounting standards that T h o o n d d h a b e e e n e f e i o a u n n e i d e n d o i 0 n e e e a i m p a g u i a a a t e n IFRS 15 ‘Revenue from Contracts with Customers’ B a In May 2014, IFRS 15 ‘Revenue from Contracts with Customers’ was issued. It was subsequently amended in September 2015 and April 2016. It is effective for periods beginning on or after 1 January 2018. Transition to IFRS 15 for the group will take place on 1 April 2018. Results in the 2018/19 financial year will comply with IFRS 15, with the first Annual Report and Form 20-F published in accordance with IFRS 15 being that for the year ended 31 March 2019. I F e o u e u e n o e g n i e u n a n u e o u q u e n h a n d a e u n a p p o o n u e a n n t a n i a o o a o b i a i e a i a n d o n e i p Transition We previously disclosed in our Annual Report & Form 20-F 2017 that we were planning to adopt IFRS 15 retrospectively. This meant applying the new standard to each prior reporting period presented, ie 2016/17 and 2017/18, in accordance with IAS 8 ‘Accounting Policies, Changes in Accounting Estimates and Errors’. Having considered further the factors that would influence our approach (including the time, effort and cost of adopting IFRS 15 retrospectively), as disclosed in the prior year Annual Report, we have decided to adopt the new standard on a modified retrospective basis and the group will recognise the cumulative effect of initially applying the standard as an adjustment to the opening balance of retained earnings at 1 April 2018, ie the date of initial application. Under this transition method: – the standard will be applied only to contracts in progress but not completed at the date of initial application – for contracts that were modified before 1 April 2018, the group shall reflect the aggregate effect of all of the modifications that occur before this date at 1 April 2018 – we will not restate prior year comparatives for the effect of IFRS 15 but will instead restate our 1 April 2018 opening retained earnings for the full cumulative impact of adopting this standard – for the year ended 31 March 2019 we will provide a reconciliation of our primary financial statements under IFRS 15 to those in accordance with IAS 18. IFRS 15 Project The group has deployed a cross-functional project team dedicated to the implementation of IFRS 15. This team has been engaged in determining accounting policies under the new standard, quantifying the transitional adjustments and selecting and implementing suitable systems solutions. The team is also reviewing the impact on tax, intragroup trading, forecasting, the bid and tender process and HR and remuneration plans. There is a significant impact on the group’s billing data and accounting platforms. Performance obligations IFRS 15 requires that at contract inception, we assess the goods or services promised in a contract with a customer and identify as a performance obligation each promise to transfer to the customer the good or service. Promises in a contract can be explicit, or implicit if the promises create a valid expectation to provide a good or service based on the customary business practices, published policies, or specific statements. T h a n d o n e i p r i h o u p d e e have e e i e h e u a e e l p o u d e e i h a od u t t n - n a b o p t t o o e h o e h i n t a e p n b e p p a o l a l a e i l a Financial Impact T h u e o primarily be recorded as contract asset and will lead to an additional one-off cash tax payment split equally between 2018/19 and 2019/20. The cumulative increase in retained earnings is mainly due to the acceleration of handset revenues and, to a lesser extent, deferral of costs (notably third party contract acquisition costs primarily associated with post pay contracts). The financial impact of each business area is as follows: – Un d e u u o n i o i b h a n d e e u e o n e a e h ou n h t e p a h n e h i e i u o e e a l o l ha n d t r e h o de f o e u p f n g e Un d e 1 5 a d d n e u i a l o h b h a n d h a o o h u a t e e e i t l a n a n l i h e i g o a i h d a e u o i i p n w e a a o n e n o e n u n e a o e o d e u i g i b l e e u e t h o t p e d h d e e h i h d n u e g n e n h u g e u o l e g n e On a d o p o Ov e e o a n a t e a a i a l e l a o o i n e e i n o e w l h - m This will be the most significant impact of the IFRS 15 adoption on the group and will primarily impact EE. To a lesser extent this will also impact mobile handset revenues in Business and Public Sector, in respect of the legacy EE business division, and BT Consumer. The impact in these customer-facing units is less significant due to the lower handset base. We d q p n a h u p h h gn f a a q p n – Curr e a e o o n n e i a q u i r e e n w u U n e n u t e h r n T h a g r e a e e h d - p a u i t i – The above two impacts will be partly offset by amended accounting for connections revenue. Curr e h u o n n n e i n e u p o a n o o n U e F n o n e l e a n e g n e a h l n i o a a t e i u o a i o d i a e a n p l g n i a n l e a d h g n i t i o a i i e p d e i o d W l a n n t u n n a e e o o i e n e r e i p e i h i b i p e i a e l n t a p a e n g n e d On h d p d t e e t f n n a d o – We will provide for expected lifetime losses on recognised contract assets as required by IFRS 9 as set out below. IFRS 15 will impact other areas but we do not expect the impact to be material. These include certain contract fulfilment costs which will be recognised as an asset and amortised over the period in which benefit is received and certain expenses will be recognised as a deduction from revenue. IFRS 15 also provides more detailed guidance on how to account for contract modifications than the current revenue standards IAS 18 and IAS 11. Changes must be accounted for either as a retrospective change (creating either a catch up or deferral of previously recorded revenues), prospectively with a reallocation of revenues amongst identified performance obligations, or prospectively as separate contracts which will not require any reallocation. We expect contract modifications would primarily relate to changes in the agreed products and services to be provided to customers for long-term IT and networking solution contracts. Disclosures The adoption of IFRS 15 would also result in changes to our Annual Report disclosures. They key changes expected are as follows: – we will amend our existing revenue disclosures to comply with the requirements to disaggregate revenue recognised from contracts with customers into categories that depict how the nature, amount, timing and uncertainty of revenue and associated cash flows are affected by economic factors – we will provide further detail around contract balances and their movements – we will provide an aggregate amount of the transaction price allocated to the performance obligation that are unsatisfied as of the end of the reporting period and an explanation of when the entity expects the amounts to be recognised as revenue. IFRS 9 ‘Financial instruments’ IFRS f e t f o f p 0 8 p b t n a n a n i n a a l e a o h l i i n e e n a n a e o n o n a n a n a l e g e e w e d o n od e With h e t o h a o F o t e d o e e h nd a h a a e a o u u w e i b e n o u n a i o o i e e g n a e n e h e d g d o u e a o IFRS 9 operates an expected credit loss model rather than an incurred credit loss model. P r o o t m IFRS 16 ‘Leases’ I F w a u i e n u a 2 0 1 n l e f o 2 0 1 9 e n 1 L a e e l t h 1 n a n a i F o i n u R o a 2 0 The standard requires lessees to recognise assets and liabilities for all leases unless the lease term is 12 months or less, or the underlying asset is of low value. The group is still in the process of quantifying the implications of this standard. However, we expect the following indicative impacts: – t h e e e b i n e a o a e a a e h a e t o n e o o a an e e i i a o p e l e a n i b a a h e h g g e e a e o i o u p e b n n u d n – t h e e e b i n e a d e b t i i e e a i e n p n e a r g n i h n a t o t a d e b a a g e a n – operating lease expenditure will be reclassified and split between depreciation and finance costs. Therefore EBITDA will increase. Future depreciation and finance costs are also expected to increase as a result of increased assets and liabilities – there is an expected temporary reduction in profit after tax as result of the above changes. This is expected to be driven by an increase in finance costs as a result of the new leases. These finance costs will have an accelerated profile which will reduce once the leases are settled – t h a b e n i e f a a a i l h b p a This standard will require us to make key accounting judgements in particular around the likelihood of lease renewals. Details of our existing operating lease commitments are set out in note 29. Presentation of specific items O u i n a t e n g a n a p a a e d a d n u b e p te m h i e e a i e e a u n d e n d n u n i a p e f n e i d e n o i i o i n h e n a o en w a h i a a e o i e u b a g e n a n e o e h a n h Executive C o mmitt e e n p d n n a n a u d n l t i n h e a e n a n o e a a n on d u n a w l a i a i a a q e e d a l u e e F u h e e o i o n e a t i a p p p i i o h h e e n t a o n o i e a h na a e o n a u b a e n p o o n Executive Committee . Speci f t o b d e n h f t n a g g n e n t e e u t p t h e Speci f t o o Annual Report & Form 20-F 2018 British Telecommunications PLC 1 |
Critical accounting estimates a
Critical accounting estimates and key judgements | 12 Months Ended |
Mar. 31, 2018 | |
Critical Accounting Estimates And Key Judgements [Abstract] | |
Critical accounting estimates and key judgements | 2. Critical accounting estimates and key judgements The preparation of financial statements in conformity with IFRS requires the use of accounting estimates and assumptions. It also requires management to exercise its judgement in the process of applying our accounting policies. We continually evaluate our estimates, assumptions and judgements based on available information and experience. As the use of estimates is inherent in financial reporting, actual results could differ from these estimates. Management has discussed its critical accounting estimates and associated disclosures with the Audit and Risk Committee . We have the following critical accounting estimates (E) and key judgements (J): – Revenue from multiple element arrangements, see note 4 (J). – Subscriber acquisition and retention costs, see note 5 (J). – Current and deferred income tax, see note 9 (E, J). – Goodwill, see note 11 (E). – Government grants relating to Broadband Delivery UK (BDUK) contracts, see note 12 (E, J). – Long-term customer contracts, see note 16 (E). – Provisions and contingent liabilities, see note 18 (E, J). – Pension obligations, see note 19 (E, J). |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Mar. 31, 2018 | |
Significant Accounting Policies [Abstract] | |
Significant accounting policies | THE STRATEGIC REPORT GOVERNANCE F I N ADDITIONAL INFORMATION 3. Significant accounting policies The significant accounting policies applied in the preparation of our consolidated financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. Basis of consolidation The group financial statements consolidate the financial statements of British Telecommunications plc and its subsidiaries, and include its share of the results of associates and joint ventures using the equity method of accounting. The group recognises its direct rights to (and its share of) jointly held assets, liabilities, revenues and expenses of joint operations under the appropriate headings in the consolidated financial statements. A subsidiary is an entity that is controlled by another entity, known as the parent or investor. An investor controls an investee when the investor is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Non-controlling interests in the net assets of consolidated subsidiaries, which consist of the amounts of those interests at the date of the original business combination and non-controlling share of changes in equity since the date of the combination, are not material to the group’s financial statements. The results of subsidiaries acquired or disposed of during the year are consolidated from and up to the date of change of control. Where necessary, accounting policies of subsidiaries have been aligned with the policies adopted by the group. All intra-group transactions including any gains or losses, balances, income or expenses are eliminated in full on consolidation. When the group loses control of a subsidiary, the profit or loss on disposal is calculated as the difference between (i) the aggregate of the fair value of the consideration received and the fair value of any retained interest and (ii) the previous carrying amount of the assets (including goodwill), and liabilities of the subsidiary and any non-controlling interests. The profit or loss on disposal is recognised as a specific item. Revenue Revenue represents the fair value of the consideration received or receivable for communications services and equipment sales, net of discounts and sales taxes. Revenue is recognised when it is probable that the economic benefits associated with a transaction will flow to the group and the amount of revenue and associated costs can be measured reliably. The accounting for revenue sharing arrangements depends on the analysis of the facts and circumstances surrounding these transactions. Where we act as an agent in a transaction, we recognise revenue net of directly attributable costs. Services Revenue arising from separable installation and connection services is recognised when it is earned, upon activation. Revenue from the rental of analogue and digital lines and private circuits as well as wholesale access revenue is recognised on a straight line basis over the period to which it relates. Revenue from calls is recognised at the time the call is made over our network. Subscription fees, consisting primarily of monthly charges for access to broadband and other internet access or voice services, are recognised as revenue as the service is provided. Revenue from the interconnection of voice and data traffic between other telecommunications operators is recognised at the time of transit across our network. Equipment sales Revenue from the sale of equipment is recognised when all the significant risks and rewards of ownership are transferred to the customer, which is normally the date the equipment is delivered and accepted by the customer. Long-term contractual arrangements Revenue from long-term contractual arrangements, including fixed price contracts to design and build software solutions, is recognised based on the percentage of completion method. The stage of completion is estimated using an appropriate measure according to the nature of the contract such as the proportion of costs incurred relative to the estimated total contract costs, or other measures of completion such as the achievement of contract milestones and customer acceptance. In the case of time and materials contracts, revenue is recognised as the service is rendered. Costs related to delivering services under long-term contractual arrangements are expensed as incurred except for an element of costs incurred in the initial contract set-up, transition or transformation phase, which is deferred and recorded within non-current assets. These costs are then recognised in the income statement on a straight line basis over the remaining contract term, unless the pattern of service delivery indicates a different profile is more appropriate. These costs are directly attributable to specific contracts, relate to future activity, will generate future economic benefits and are assessed for recoverability on a regular basis. The percentage of completion method relies on estimates of total expected contract revenues and costs, as well as reliable measurement of the progress made towards completion. Unless the financial outcome of a contract can be estimated with reasonable certainty, no attributable profit is recognised. In such circumstances, revenue is recognised equal to the costs incurred to date, to the extent that such revenue is expected to be recoverable, or costs are accrued to bring the margin to nil. Recognised revenue and profits are subject to revisions during the contract if the assumptions regarding the overall contract outcome are changed. The cumulative impact of a revision in estimates is recorded in the period in which such revisions become likely and can be estimated. Where the actual and estimated costs to completion exceed the estimated revenue for a contract, the full contract life loss is recognised immediately. Multiple element arrangements and bundles Revenue from multiple element arrangements and bundles is described in note 4. Operating and reportable segments Our operating segments are reported based on financial information provided to the Executive Committee Our organisational structure reflects the different customer groups to which we provide communications products and services via our customer-facing units: BT Consumer, EE, Business and Public Sector, Global Services, Wholesale and Ventures and Openreach. The customer-facing units are supported by an internal service unit: Technology, Service & Operations (TSO). The customer-facing units are our reportable segments and generate substantially all of our revenue. We aggregate the remaining operations and include within the ‘Other’ category to reconcile to the consolidated results of the group. The ‘Other’ category includes TSO and our corporate units including procurement and property management. Provisions for the settlement of significant legal, commercial and regulatory disputes, which are negotiated at a group level, are initially recorded in the ‘Other’ segment. On resolution of the dispute, the full impact is recognised in the results of the relevant customer-facing unit and offset in the group results through the utilisation of the provision previously charged to the ‘Other’ segment. Settlements which are particularly significant or cover more than one financial year may fall within the definition of specific items as detailed on page 209. The costs incurred by TSO are recharged to the customer-facing units to reflect the services it provides to them. Depreciation and amortisation incurred by TSO in relation to the networks and systems it manages and operates on behalf of the customer-facing units is allocated to the customer-facing units based on their respective utilisation. Capital expenditure incurred by TSO for specific projects undertaken on behalf of the customer-facing units is allocated based on the value of the directly attributable expenditure incurred. Where projects are not directly attributable to a particular customer-facing unit, capital expenditure is allocated between them based on the proportion of estimated future economic benefits. TSO and the group’s corporate functions are not reportable segments as they did not meet the quantitative thresholds as set out in IFRS 8 ‘Operating Segments’ for any of the years presented. Performance of each reportable segment is measured based on adjusted EBITDA, defined as EBITDA before specific items, as included in the internal financial reports reviewed by the Executive Committee . Executive Committee . On 1 April 2018, our BT Consumer and EE customer-facing units were brought together to drive converged products and accelerate transformation. Additionally, Business and Public Sector and Wholesale and Ventures will be brought together from 1 October 2018. Each of these businesses operated separately throughout 2017/18 and therefore have been presented as four separate operating segments throughout these financial statements, unless explicitly stated otherwise. For further information see note 30. Retirement benefits The group’s net obligation in respect of defined benefit pension plans is the present value of the defined benefit obligation less the fair value of the plan assets. The calculation of the obligation is performed by a qualified actuary using the projected unit credit method and key actuarial assumptions at the balance sheet date. The income statement expense is allocated between an operating charge and net finance income or expense. The operating charge reflects the increase in the defined benefit obligation resulting from the pension benefit earned by active employees in the current period, the costs of administering the plans and any past service costs/credits such as those arising from curtailments or settlements. The net finance income or expense reflects the interest on the net retirement benefit obligations recognised in the group balance sheet, based on the discount rate at the start of the year. Actuarial gains and losses are recognised in full in the period in which they occur and are presented in the group statement of comprehensive income. The group also operates defined contribution pension plans and the income statement expense represents the contributions payable for the year. Property, plant and equipment Property, plant and equipment are included at historical cost, net of accumulated depreciation, government grants and any impairment charges. Property, plant and equipment acquired through business combinations are initially recorded at fair value and subsequently accounted for on the same basis as the group’s existing assets. An item of property, plant and equipment is derecognised on disposal or when no future economic benefits are expected to arise from the continued use of the asset. The difference between the sale proceeds and the net book value at the date of disposal is recognised in operating costs in the income statement. Included within the cost of network infrastructure and equipment are direct and indirect labour costs, materials and directly attributable overheads. Depreciation is provided on property, plant and equipment on a straight line basis from the time the asset is available for use, to write off the asset’s cost over the estimated useful life taking into account any expected residual value. Freehold land is not depreciated. The estimated useful lives assigned to principal categories of assets are as follows: Land and buildings – Freehold buildings 14 to 50 years – Short-term leasehold improvements Shorter of 10 years or lease term – Leasehold land and buildings Unexpired portion of lease or 40 years, whichever is the shorter Network infrastructure Transmission equipment – Duct 40 years – Cable 3 to 25 years – Fibre 5 to 20 years Exchange equipment 2 to 13 years Other network equipment 2 to 20 years Other assets – Motor vehicles 2 to 9 years – Computers and office equipment 3 to 7 years Assets held under finance leases are depreciated over the shorter of the lease term or their useful economic life. Residual values and useful lives are reassessed annually and, if necessary, changes are recognised prospectively. Network share assets Certain assets have been contributed to a network share arrangement by both EE and Hutchison 3G UK Limited, with legal title remaining with the contributor. This is considered to be a reciprocal arrangement. The group’s share of the assets on acquisition of EE was recognised at fair value within tangible assets, and depreciated in line with the group’s policy. Subsequent additions are recorded at cost. For further information see note 12. Intangible assets Identifiable intangible assets are recognised when the group controls the asset, it is probable that future economic benefits attributable to the asset will flow to the group and the cost of the asset can be reliably measured. All intangible assets, other than goodwill, are amortised over their useful economic life. The method of amortisation reflects the pattern in which the assets are expected to be consumed. If the pattern cannot be determined reliably, the straight line method is used. Goodwill Goodwill represents the excess of the cost of an acquisition over the fair value of the group’s share of the identifiable net assets (including intangible assets) of the acquired business. For the purpose of impairment testing, goodwill acquired in a business combination is allocated to each of the Cash Generating Units (CGUs) that is expected to benefit from the business combination. Each CGU to which goodwill is allocated represents the lowest level within the group at which the goodwill is monitored for internal management purposes. Acquired intangible assets – customer relationships and brands Intangible assets such as customer relationships or brands acquired through business combinations are recorded at fair value at the date of acquisition and subsequently carried at amortised cost. Assumptions are used in estimating the fair values of these relationships or brands and include management’s estimates of revenue and profits to be generated by them. Telecommunications licences Licence fees paid to governments, which permit telecommunications activities to be operated for defined periods, are initially recorded at cost and amortised from the time the network is available for use to the end of the licence period or where our usage can extend beyond the initial licence period, over the period we expect to benefit from the use of the licences, which is typically 20 years. Licences acquired through business combinations are recorded at fair value at the date of acquisition and subsequently carried at amortised cost. The fair value is based on management’s assumption of future cash flows using market expectations at acquisition date. Computer software Computer software comprises computer software licences purchased from third parties, and also the cost of internally developed software. Computer software licences purchased from third parties are initially recorded at cost. Costs directly associated with the production of internally developed software, including direct and indirect labour costs of development, are capitalised only where it is probable that the software will generate future economic benefits, the cost of the asset can be reliably measured and technical feasibility can be demonstrated, in which case it is capitalised as an intangible asset on the balance sheet. Costs which do not meet these criteria and research costs are expensed as incurred. The group’s development costs which give rise to internally developed software include upgrading the network architecture or functionality and developing service platforms aimed at offering new services to the group’s customers. See research and development on page 17. Other Other intangible assets include website development costs and other licences. Items are capitalised at cost and amortised on a straight line basis over their useful economic life or the term of the contract. Estimated useful economic lives The estimated useful economic lives assigned to the principal categories of intangible assets are as follows: – Computer r 2 r – Telecommunications 2 r – Customer r n r 1 r Programme rights Programme rights are recognised on the balance sheet from the point at which the legally enforceable licence period begins. Rights for which the licence period has not started are disclosed as contractual commitments in note 29. Payments made to receive commissioned or acquired programming in advance of the legal right to broadcast the programmes are classified as prepayments. Programmes produced internally are charged to the income statement over the period of the related broadcast. Programme rights are tested for impairment in accordance with the group’s policy for impairment of non-financial assets set out below. Related cash outflows are classified as operating cash flows in the cash flow statement. Inventories Network maintenance equipment and equipment to be sold to customers are stated at the lower of cost or net realisable value, taking into account expected revenues from the sale of packages comprising a mobile handset and a subscription. Cost corresponds to purchase or production cost determined by either the first in first out (FIFO) or average cost method. Provisions Provisions are recognised when the group has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation and the amount can be reliably estimated. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. Financial liabilities within provisions are initially recognised at fair value and subsequently carried at amortised cost using the effective interest method. Onerous lease provisions are measured at the lower of the cost to fulfil or to exit the contract. Current and deferred income tax Current income tax is calculated on the basis of the tax laws enacted or substantively enacted at the balance sheet date in the countries where the group’s subsidiaries, associates and joint ventures operate and generate taxable income. The group periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation, and the group establishes provisions where appropriate on the basis of the amounts expected to be paid to tax authorities. Deferred tax is recognised, using the liability method, in respect of temporary differences between the carrying amount of the group’s assets and liabilities and their tax base. Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income tax assets and liabilities relate to income taxes levied by the same taxation authority on either the taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. Any remaining deferred tax asset is recognised only when, on the basis of all available evidence, it can be regarded as probable that there will be suitable taxable profits, within the same jurisdiction, in the foreseeable future against which the deductible temporary difference can be utilised. Deferred tax is determined using tax rates that are expected to apply in the periods in which the asset is realised or liability settled, based on tax rates and laws that have been enacted or substantively enacted by the balance sheet date. Impairment of non-financial assets Intangible assets with finite useful lives and property, plant and equipment are tested for impairment if events or changes in circumstances (assessed at each reporting date) indicate that the carrying amount may not be recoverable. When an impairment test is performed, the recoverable amount is assessed by reference to the higher of the net present value of the expected future cash flows (value in use) of the relevant cash generating unit and the fair value less costs to dispose. Goodwill is reviewed for impairment at least annually. Impairment losses are recognised in the income statement, as a specific item. If a cash generating unit is impaired, impairment losses are allocated firstly against goodwill, and secondly on a pro-rata basis against intangible and other assets. Government grants Government grants are recognised when there is reasonable assurance that the conditions associated with the grants have been complied with and the grants will be received. Grants for the purchase or production of property, plant and equipment are deducted from the cost of the related assets and reduce future depreciation expense accordingly. Grants for the reimbursement of operating expenditure are deducted from the related category of costs in the income statement. Government grants received relating to the BDUK programme and other rural superfast broadband contracts are accounted for as described under ‘Critical accounting estimates and key judgements’. Once a government grant is recognised, any related deferred income is treated in accordance with IAS 20 ‘Accounting for Government Grants and Disclosure of Government Assistance’. Foreign currencies Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the date of the transaction. Foreign exchange gains and losses resulting from the settlement of transactions and the translation of monetary assets and liabilities denominated in foreign currencies at period end exchange rates are recognised in the income statement line which most appropriately reflects the nature of the item or transaction. On consolidation, assets and liabilities of foreign undertakings are translated into Sterling at year end exchange rates. The results of foreign undertakings are translated into Sterling at average rates of exchange for the year (unless this average is not a reasonable approximation of the cumulative effects of the rates prevailing on the transaction dates, in which case income and expenses are translated at the dates of the transactions). Foreign exchange differences arising on the retranslation of foreign undertakings are recognised directly in a separate component of equity, the translation reserve. In the event of the disposal of an undertaking with assets and liabilities denominated in a foreign currency, the cumulative translation difference associated with the undertaking in the translation reserve is charged or credited to the gain or loss on disposal recognised in the income statement. Research and development Research expenditure is recognised in the income statement in the period in which it is incurred. Development expenditure, including the cost of internally developed software, is recognised in the income statement in the period in which it is incurred unless it is probable that economic benefits will flow to the group from the asset being developed, the cost of the asset can be reliably measured and technical feasibility can be demonstrated, in which case it is capitalised as an intangible asset on the balance sheet. Capitalisation ceases when the asset being developed is ready for use. Research and development costs include direct and indirect labour, materials and directly attributable overheads. Leases The determination of whether an arrangement is, or contains, a lease is based on the substance of the arrangement and requires an assessment of whether the fulfilment of the arrangement is dependent on the use of a specific asset or assets and whether the arrangement conveys the right to use the asset. Leases of property, plant and equipment where the group holds substantially all the risks and rewards of ownership are classified as finance leases. Finance lease assets are capitalised at the commencement of the lease term at the lower of the present value of the minimum lease payments or the fair value of the leased asset. The obligations relating to finance leases, net of finance charges in respect of future periods, are recognised as liabilities. Leases are subsequently measured at amortised cost using the effective interest method. Leases where a significant portion of the risks and rewards are held by the lessor are classified as operating leases. Rentals are charged to the income statement on a straight line basis over the period of the lease. Share-based payments BT Group plc operates a number of equity settled share-based payment arrangements, under which the group receives services from employees in consideration for equity instruments (share options and shares) of BT Group plc. Equity settled share-based payments are measured at fair value at the date of grant. Market-based performance criteria and non-vesting conditions (for example, the requirement for employees to make contributions to the share purchase programme) are reflected in this measurement of fair value. The fair value determined at the grant date is recognised as an expense on a straight line basis over the vesting period, based on the group’s estimate of the options or shares that will eventually vest and adjusted for the effect of non market-based vesting conditions. Fair value is measured using either the Binomial options pricing model or Monte Carlo simulations, whichever is more appropriate to the share-based payment arrangement. Service and performance conditions are vesting conditions. Any other conditions are non-vesting conditions which have to be taken into account to determine the fair value of equity instruments granted. In the case that an award or option does not vest as a result of a failure to meet a non-vesting condition that is within the control of either counterparty, this is accounted for as a cancellation. Cancellations are treated as accelerated vesting and all remaining future charges are immediately recognised in the income statement. As the requirement to save under an employee saveshare arrangement is a non-vesting condition, employee cancellations, other than through a termination of service, are treated as an accelerated vesting. No adjustment is made to total equity for awards that lapse or are forfeited after the vesting date. Termination benefits Termination benefits (leaver costs) are payable when employment is terminated before the normal retirement date, or when an employee accepts voluntary redundancy in exchange for these benefits. The group recognises termination benefits when it is demonstrably committed to the affected employees leaving the group. Financial instruments Financial liabilities at amortised cost Trade and other payables Financial liabilities within trade and other payables are initially recognised at fair value, which is usually the original invoiced amount, and subsequently carried at amortised cost using the effective interest method. Loans and other borrowings Loans and other borrowings are initially recognised at the fair value of amounts received net of transaction costs. Loans and other borrowings are subsequently measured at amortised cost using the effective interest method and, if included in a fair value hedge relationship, are re-valued to reflect the fair value movements on the hedged risk associated with the loans and other borrowings. The resulting amortisation of fair value movements, on de-designation of the hedge, is recognised in the income statement. Available-for-sale investments Liquid and other investments are classified as available-for-sale investments and are initially recognised at fair value plus direct transaction costs. These are re-measured at subsequent reporting dates to fair value, with unrealised gains and losses (except for changes in exchange rates for monetary items, interest, dividends and impairment losses, which are recognised in the income statement) recognised in equity. When the financial asset is derecognised, at which time the cumulative gain or loss previously recognised in equity is taken to the income statement, in the line that most appropriately reflects the nature of the item or transaction. On disposal or impairment of the investments, any gains and losses that have been deferred in other comprehensive income are re-classified to the income statement. Dividends on equity investments are recognised in the income statement when the group’s right to receive payment is established. Equity investments are recorded in non-current assets unless they are expected to be sold within one year. Loans and receivables Trade and other receivables Trade and other receivables are initially recognised at fair value, which is usually the original invoiced amount, and are subsequently carried at amortised cost, using the effective interest method, less provisions made for doubtful receivables. Provisions are made specifically where there is evidence of a risk of non-payment, taking into account ageing, previous losses experienced and general economic conditions. Cash and cash equivalents Cash and cash equivalents comprise cash in hand and current balances with banks and similar institutions, which are readily convertible to cash and are subject to insignificant risk of changes in value and have an original maturity of three months or less. For the purpose of the consolidated cash flow statement, cash and cash equivalents are as defined above net of outstanding bank overdrafts. Bank overdrafts are included within loans and other borrowings, in current liabilities on the balance sheet. Financial assets and liabilities at fair value through profit or loss All of the group’s derivative financial instruments are held for trading and classified as fair value through profit or loss. Derivative financial instruments The group uses derivative financial instruments mainly to reduce exposure to foreign exchange and interest rate risks. The group’s policy is not to use derivatives for trading purposes. However, derivatives that do not qualify for hedge accounting or are specifically not designated as a hedge where natural offset is more appropriate are initially recognised and subsequently measured at fair value through profit and loss. Any direct transaction costs are recognised immediately in the income statement. Gains and losses on re-measurement are recognised in the income statement in the line that most appropriately reflects the nature of the item or transaction to which they relate. Derivative financial instruments are classified as current assets or current liabilities where they have a maturity period within 12 months. Where derivative financial instruments have a maturity period greater than 12 months, they are classified within either non-current assets or non-current liabilities. Where the fair value of a derivative contract at initial recognition is not supported by observable market data and differs from the transaction price, a day one gain or loss will arise which is not recognised in the income statement. Such gains and losses are deferred and amortised to the income statement based on the remaining contractual term and as observable market data becomes available. Hedge accounting Where derivatives qualify for hedge accounting, recognition of any resultant gain or loss depends on the nature of the hedge. To qualify for hedge accounting, hedge documentation must be prepared at inception and the hedge must be expected to be highly effective both prospectively and retrospectively. The hedge is tested for effectiveness at inception and in subsequent periods in which the hedge remains in operation. Hedge accounting is discontinued when the hedging instrument expires, or is sold, terminated or no longer qualifies for hedge accounting or the group chooses to end the hedge relationship. The group designates certain derivatives as either cash flow hedges or fair value hedges. Cash flow hedges When a derivative financial instrument is designated as a hedge of the variability in cash flows of a recognised asset or liability, or a highly probable transaction, the effective part of any gain or loss on the derivative financial instrument is recognised directly in equity, in the cash flow reserve. For cash flow hedges of recognised assets or liabilities, the associated cumulative gain or loss is removed from equity and recognised in the same line of the income statement and in the same period or periods that the hedged transaction affects the income statement. Any ineffectiveness arising on a cash flow hedge of a reco |
Segment information
Segment information | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Operating Segments [Abstract] | |
Segment information | 4. Segment information The definition of our operating and reportable segments is provided on pages 114 and 115. We have set out below information regarding the results of each reportable segment. S e e e e a i Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 5,066 5,294 4,563 5,013 2,009 5,123 8 27,076 Internal revenue (66 ) (37 ) (115 ) – (134 ) (2,978 ) – (3,330 ) Revenue from external customers a 5,000 5,257 4,448 5,013 1,875 2,145 8 23,746 EBITDA b 1,023 1,353 1,418 434 754 2,520 6 7,508 Depreciation and amortisation (216 ) (776 ) (365 ) (424 ) (311 ) (1,360 ) (62 ) (3,514 ) Operating profit (loss) a 807 577 1,053 10 443 1,160 (56 ) 3,994 Specific items (note 8) (610 ) Operating profit 3,384 Net finance expense c (579 ) Share of post tax profit (loss) of associates and joint ventures (1 ) Profit before tax 2,804 Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 4,934 5,090 4,758 5,479 2,109 5,098 10 27,478 Internal revenue (63 ) (37 ) (122 ) – (138 ) (3,036 ) – (3,396 ) Revenue from external customers a 4,871 5,053 4,636 5,479 1,971 2,062 10 24,082 EBITDA b 1,012 1,156 1,528 495 834 2,633 (10 ) 7,648 Depreciation and amortisation (209 ) (780 ) (352 ) (439 ) (306 ) (1,369 ) (55 ) (3,510 ) Operating profit (loss) a 803 376 1,176 56 528 1,264 (65 ) 4,138 Specific items (note 8) (968 ) Operating profit 3,170 Net finance expense c (610 ) Share of post tax profit (loss) of associates and joint ventures (9 ) Profit before tax 2,551 Year ended 31 March 2016 BT Consumer £m EE £m d Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 4,608 841 4,294 5,074 2,274 5,100 11 22,202 Internal revenue (65 ) (7 ) (99 ) – (94 ) (3,058 ) – (3,323 ) Revenue from external customers a 4,543 834 4,195 5,074 2,180 2,042 11 18,879 EBITDA b 1,055 173 1,414 479 755 2,659 (77 ) 6,458 Depreciation and amortisation (207 ) (146 ) (284 ) (422 ) (253 ) (1,301 ) (18 ) (2,631 ) Operating profit (loss) a 848 27 1,130 57 502 1,358 (95 ) 3,827 Specific items (note 8) (212 ) Operating profit 3,615 Net finance expense c (380 ) Share of post tax profit (loss) of associates and joint ventures 6 Profit before tax 3,241 a Before specific items. b EBITDA is stated before specific items and is the group’s profitability measure for segments. c Net finance expense includes specific item expense of £ 218 m (2016/17: £210m, 2015/16: £229m). See note 8. d EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. What are our internal revenue and costs? Most of our internal trading relates to Openreach and arises on rentals, and any associated connection or migration charges, of the UK access lines and other network products to the customer-facing units. This occurs both directly, and also indirectly, through TSO which is included within the ‘Other’ segment. Wholesale and Ventures internal revenue arises from EE for mobile ethernet access and TSO for transmission planning services. Internal revenue in Business and Public Sector relates primarily to the use of BT Ireland’s network by other customer-facing units. Internal revenue arising in BT Consumer relates primarily to employee broadband and wi-fi services. Intra-group revenue generated from the sale of regulated products and services is based on market price. Intra-group revenue from the sale of other products and services is agreed between the relevant customer-facing units and therefore customer-facing units profitability may be impacted by transfer pricing levels. The tables below show internal revenue and costs recorded by each reportable segment. Internal cost recorded by Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 24 20 4 – 18 66 EE – – – – 37 – – 37 Business and Public Sector 62 2 – 32 19 – – 115 Global Services – – – – – – – – Wholesale and Ventures 1 2 13 10 – 42 66 134 Openreach 896 – 210 125 232 – 1,515 2,978 Total 959 4 247 187 292 42 1,599 3,330 Internal cost recorded by Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 21 20 4 – 18 63 EE – – – – 37 – – 37 Business and Public Sector 60 3 – 39 20 – – 122 Global Services – – – – – – – – Wholesale and Ventures – – 2 23 – 39 74 138 Openreach 910 – 236 158 260 – 1,472 3,036 Total 970 3 259 240 321 39 1,564 3,396 Internal cost recorded by Year ended 31 March 2016 BT Consumer £m EE £m a Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 20 23 4 – 18 65 EE a – – – – 7 – – 7 Business and Public Sector 60 1 – 18 19 1 – 99 Global Services – – – – – – – – Wholesale and Ventures – 12 5 22 – 55 – 94 Openreach 905 – 262 173 264 – 1,454 3,058 Total 965 13 287 236 294 56 1,472 3,323 a EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. Revenue by products and services What critical accounting judgements do we make when we have revenue from multiple element arrangements? Where a contractual arrangement consists of two or more separate elements that have value to a customer on a standalone basis, revenue is recognised for each element as if it were an individual contract. Total contract consideration is allocated between the separate elements based on their fair value. We apply judgement in both identifying separate elements and allocating consideration between them. Sales of bundled offers in our mobile businesses frequently include a handset and a telecommunications service contract. There is objective and reliable evidence of fair value for the telecommunications service to be delivered and this represents the revenue recognised in respect of the services delivered. The residual value of the bundled offer therefore represents the revenue in respect of the handset. Revenue allocated to the deliverables is restricted to the amount that is receivable without the delivery of additional goods or services. For offers that cannot be separated into identifiable elements, revenues are recognised in full over the life of the contract. The main example is connection to a service where this does not represent a separately identifiable transaction from the subscription. Year ended 31 March 2018 £m 2017 £m 2016 £m ICT and managed networks 5,530 5,927 6,193 Broadband and TV 4,655 4,477 3,535 Mobile 6,451 6,358 1,326 Calls, lines and connections 5,126 5,069 5,920 Transit 265 404 419 Other products and services 1,719 1,847 1,486 Revenue a 23,746 24,082 18,879 a Capital expenditure Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 106 130 93 92 87 70 64 642 Property, plant and equipment 185 498 211 186 142 1,588 70 2,880 Capital expenditure a 291 628 304 278 229 1,658 134 3,522 Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 92 133 64 126 77 74 55 621 Property, plant and equipment 145 483 211 235 149 1,499 111 2,833 Capital expenditure a 237 616 275 361 226 1,573 166 3,454 Year ended 31 March 2016 BT Consumer £m EE £m b Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 88 29 36 62 70 62 65 412 Property, plant and equipment 119 67 117 293 139 1,385 90 2,210 Capital expenditure a 207 96 153 355 209 1,447 155 2,622 a Net of government grants. b EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. How do we determine our geographic information? The UK is our country of domicile and we generate the majority of our revenue from external customers in the UK. The geographic analysis of revenue is based on the country of origin in which the customer is invoiced. The geographic analysis of non-current assets, which exclude derivative financial instruments, investments and deferred tax assets, is based on the location of the assets. Revenue from external customers Year ended 31 March 2018 £m 2017 £m 2016 £m UK 19,687 19,421 14,814 Europe, Middle East and Africa, excluding the UK 2,489 2,841 2,442 Americas 996 1,148 1,011 Asia Pacific 574 672 612 Revenue a 23,746 24,082 18,879 a Before specific items. Non-current assets At 31 March 2018 £m 2017 £m 2016 £m UK 28,843 28,818 28,583 Europe, Middle East and Africa, excluding the UK 2,527 2,535 2,349 Americas 331 424 548 Asia Pacific 109 149 191 Non-current assets 31,810 31,926 31,671 |
Operating Costs
Operating Costs | 12 Months Ended |
Mar. 31, 2018 | |
Operating Costs [Abstract] | |
Operating costs | 5. Operating costs Year ended 31 March Notes 2018 £m 2017 £m 2016 £m Operating costs by nature Staff costs: Wages and salaries 4,223 4,128 3,684 Social security costs 461 477 398 Other pension costs 19 624 521 494 Share-based payment expense 20 84 57 58 Total staff costs 5,392 5,183 4,634 Own work capitalised (798 ) (813 ) (720 ) Net staff costs 4,594 4,370 3,914 Net indirect labour costs a 315 399 304 Net labour costs 4,909 4,769 4,218 Payments to telecommunications operators 2,306 2,653 2,183 Property and energy costs 1,285 1,202 1,024 Network operating and IT costs 963 983 644 TV programme rights charges 763 714 544 Other operating costs 6,234 6,298 4,023 Other operating income (222 ) (185 ) (215 ) Depreciation of property, plant and equipment Owned assets 12 2,381 2,382 2,000 Held under finance leases 12 10 10 10 Amortisation of intangible assets b 11 1,123 1,118 621 Total operating costs before specific items 19,752 19,944 15,052 Specific items 8 587 948 345 Total operating costs 20,339 20,892 15,397 Operating costs before specific items include the following: Leaver costs c 50 86 109 Research and development expenditure d 632 638 574 Operating lease charges 732 692 441 Foreign currency gains – (12 ) (1 ) Government grants (3 ) (5 ) (6 ) a b Excludes £nil (2016/17: £62m, 2015/16: £nil) of amortisation presented as specific items which relate to a write off of software costs as a result of the integration of EE. Refer to note 8 c Leaver costs are included within wages and salaries, except for leaver costs of £168m (2016/17: £37m, 2015/16: £nil) associated with restructuring and EE integration costs, which have been recorded as specific items. d Research and development expenditure reported in the income statement, includes amortisation of £573m (2016/17: £577m, 2015/16: £501m) in respect of internally developed computer software and operating expenses of £59m (2016/17: £61m, 2015/16: £73m). In addition, the group capitalised software development costs of £450m (2016/17: £457m, 2015/16: £399 Why is the treatment of our subscriber acquisition and retention costs a critical judgement? Subscriber acquisition and retention costs are recognised as an expense within other operating costs for the period in which they are incurred. If subscriber acquisition and retention costs are paid in advance they are recognised as prepayments provided the amounts are able to be measured reliably and are expected to be recoverable. In some cases, contractual clauses with retailers provide for profit-sharing based on the recognised and paid revenue. In these cases we recognise an expense when the revenue is earned from the customer and a corresponding liability to pay that retailer. In some cases we need to exercise judgement in assessing whether we have an upfront obligation based on the contractual terms. Who are our key management personnel and how are they compensated? Key management personnel comprise executive and non-executive directors and members of the BT Group plc Executive Committee Executive Committee . Compensation of key management personnel is shown in the table below: Year ended 31 March 2018 £m 2017 £m 2016 £m Short-term employee benefits 12.4 10.9 10.3 Post employment benefits 1.4 1.4 1.2 Share-based payments 6.6 5.8 5.9 Termination benefits 2.2 – 0.6 22.6 18.1 18.0 Information concerning directors’ remuneration, pension entitlements and long-term incentive plans is shown in note 27. |
Employees
Employees | 12 Months Ended |
Mar. 31, 2018 | |
Employees [Abstract] | |
Employees | 6. Employees 2018 2017 2016 Number of employees in the group a Year end 000 Average 000 Year end 000 Average 000 Year end 000 Average 000 UK 82.2 82.5 82.8 82.2 81.4 71.8 Non-UK 23.6 23.7 23.6 22.8 21.1 19.2 Total employees 105.8 106.2 106.4 105.0 102.5 91.0 2018 2017 2016 Number of employees in the group a Year end 000 Average 000 Year end 000 Average 000 Year end 000 Average 000 BT Consumer 8.8 8.8 8.7 7.7 6.7 6.3 EE 9.4 9.2 9.2 9.1 9.0 1.3 Business and Public Sector 10.1 10.3 10.3 10.2 10.3 9.3 Global Services 16.9 17.3 17.5 17.4 16.8 16.5 Wholesale and Ventures 3.8 3.9 3.8 3.7 3.7 3.8 Openreach 30.5 30.4 30.2 30.9 31.5 32.1 Other 26.3 26.3 26.7 26.0 24.5 21.7 Total employees 105.8 106.2 106.4 105.0 102.5 91.0 a These reflect the full-time equivalent of full and part-time employees. |
Audit, audit related and other
Audit, audit related and other non-audit services | 12 Months Ended |
Mar. 31, 2018 | |
Non Audit Fees [Abstract] | |
Audit, audit related and other non-audit services | 7. Audit, aud i t e t The following fees were paid or are payable to the company’s auditors, PricewaterhouseCoopers LLP and other firms in the PricewaterhouseCoopers network. Year ended 31 March 2018 £000 2017 £000 2016 £000 Fees payable to the company’s auditors and its associates for: Audit services a The audit of the parent company and the consolidated financial statements 5,372 4,271 3,871 The audit of the company’s subsidiaries 5,866 5,664 5,073 11,238 9,935 8,944 Audit related assurance services b 1,631 1,865 2,210 Other non-audit services Taxation compliance services c – 366 412 Taxation advisory services d – 111 156 All other assurance services e 211 200 1,611 All other services f 592 2,332 1,665 803 3,009 3,844 Total services 13,672 14,809 14,998 a Services in relation to the audit of the parent company and the consolidated financial statements, including fees for reports under section 404 of the Sarbanes-Oxley Act. This also includes fees payable for the statutory audits of the financial statements of subsidiary companies. b Services in relation to other statutory filings or engagements that are required by law or regulation to be carried out by an appointed auditor. This includes fees for the review of interim results, the audit of the group’s regulatory financial statements and reporting associated with the group’s US debt shelf registration. c Services relating to tax returns, tax audits, monitoring and enquiries. d Fees payable for all taxation advisory services not falling within taxation compliance. e All other assurance services include fees payable to PricewaterhouseCoopers LLP as Reporting Accountants in 2015/16 in relation to the Listing Prospectus, which was issued on 26 January 2016 for the issue of new shares. f Fees payable for all non-audit services not covered above, principally comprising other advisory services. T h n o e a a t e e i n e i C o a n e l o u o e n e o n i b i L i a i g e n e d n t e l o 0 h a e e a 0 i a t e o C o L L i a e f h e o h e m o 2.1 2 1 / 6 1 e h o o i i Year ended 31 March 2018 £000 2017 £000 2016 £000 Audit of financial statements of associates 345 251 213 Audit-related assurance services – – 10 Taxation compliance services 153 210 198 Taxation advisory services 1,074 493 681 Other non-audit services 565 1,168 603 Total services 2,137 2,122 1,705 |
Specific items
Specific items | 12 Months Ended |
Mar. 31, 2018 | |
Specific Items [Abstract] | |
Specific items | 8. Specific items Year ended 31 March 2018 £m 2017 £m 2016 £m Revenue Italian business investigation – 22 – Regulatory matters 23 (2 ) (203 ) EE fair value adjustment – – 70 23 20 (133 ) Operating costs EE acquisition warranty claims 225 – – Restructuring charges 241 – – EE acquisition and integration costs 46 215 113 Property rationalisation costs 28 – 29 Regulatory matters 26 481 203 Italian business investigation 22 238 – Out of period irrecoverable VAT – 30 – Profit on disposal of businesses (1 ) (16 ) – 587 948 345 Operating loss 610 968 212 Net finance expense Interest expense on retirement benefit obligation 218 209 221 EE related finance cost – – 8 Interest on out of period irrecoverable VAT – 1 – 218 210 229 Net specific items charge before tax 828 1,178 441 Taxation Tax credit on specific items above (87 ) (154 ) (70 ) Tax credit on re-measurement of deferred tax – (63 ) (96 ) (87 ) (217 ) (166 ) Net specific items charge after tax 741 961 275 EE acquisition warranty claims In the year we reached settlements with Deutsche Telekom and Orange in respect of any warranty claims under the 2015 EE acquisition agreement, arising from the issues previously announced regarding our operations in Italy. This represents a full and final settlement of these issues and resulted in a specific item charge of £225m (2016/17: £nil, 2015/16: £nil). Restructuring charges During the year we’ve incurred restructuring charges of £241m (2016/17: £nil, 2015/16: £nil), primarily relating to leaver costs. These costs reflect projects within the first phase of our group-wide cost transformation programme (which was announced in May 2017 and is expected to total £300m). Further associated charges relating to the first phase will be recognised in 2018/19 as part of our wider restructuring activity. See note 30 for further details. EE acquisition and integration costs We incurred £46m (2016/17: £215m, 2015/16: £113m) of acquisition and integration related costs for EE. Integration costs include EE related restructuring and leaver costs in the year. In 2016/17, this included a £62m (2015/16: £nil) amortisation charge relating to the write-off of IT assets as we integrated the EE and BT IT infrastructure. Property rationalisation costs We have recognised a charge of £28m (2016/17: £nil, 2015/16: £29m) relating to the rationalisation of the group’s property portfolio. Regulatory matters We’ve recognised a net charge of £49m (2016/17: £479m, 2015/16: £nil) in relation to regulatory matters in the year. Of this, £23m is recognised in revenue and £26m in operating costs, these are made up of the following: Deemed Consent In 2016/17 a charge of £342m was recognised (2015/16: £nil) in relation to Ofcom’s March 2017 findings of its investigation into our historical practices on Deemed Consent by Openreach. This included a fine of £42m. We have agreed the majority of compensation payments to other Communications Providers in the year and continue to estimate the total compensation payments will amount to £300m. Ladder pricing agreements In 2016/17 we recognised revenue and costs of £8m (2015/16: £203m) being the prior year impacts of ladder pricing agreements with the other UK mobile operators following a Supreme Court judgment in July 2014. Other regulatory matters We re-assessed our regulatory risk provision in light of recent regulatory decisions by Ofcom. As a result we have increased our net charge by £49m (2016/17: £137m) for the year. £51m is recognised in provisions offset by a release of £2m in trade and other payables. Italian business investigation In 2017/18, we have incurred professional costs relating to the investigation of our Italian business of £22m (2016/17: £15m). As part of the investigation into our Italian business in 2016/17, we reviewed the carrying value of the assets and liabilities on the balance sheet of our Italian business including reassessing the recoverability of trade and other receivables and reconsidering other exposures, principally tax penalties. We took into account any changes in facts or circumstances since 31 March 2016 in determining whether there was a need to change an estimate and whether additional exposures had arisen. In the prior year we recognised a charge of £245m in relation to this as well as fees in relation to the investigation of £15m. During 2017/18 we have reassessed the prior year judgements and estimates we made as a result of the investigation into our Italian business. We concluded that the total adjustments recorded in 2016/17, either as part of the prior year revision or as a specific item, remain appropriate and thus no further adjustment is required. We identified offsetting movements in individual balance sheet line items which were not material either individually or in aggregate. These movements have been adjusted in the 2017/18 balance sheet. Profit on disposal of businesses During the year we disposed of non-core businesses with a gain on disposal of £1m (2016/17: £16m, 2015/16: £nil). EE fair value adjustment In 2015/16 we recognised a fair value adjustment on the acquisition of EE which reduced the amount of deferred income in relation to its prepaid subscriber base by £70m with no cash impact. The step down reflects the difference between the amount recorded by EE on acquisition and the fair value calculated based on the incremental cost that a market participant would incur to take on the liability plus a reasonable profit margin. This amount was released as a reduction to revenue in the period between acquisition and 31 March 2016, reflecting the period over which EE provided the related service. Out of period irrecoverable VAT In 2016/17, we recorded Interest expense on retirement benefit obligation See note 19 for more details. Tax credit on re-measurement of deferred tax See note 9 for more details. |
Taxation
Taxation | 12 Months Ended |
Mar. 31, 2018 | |
Taxation [Abstract] | |
Taxation | 9. Taxation Current and deferred income tax What critical judgements and estimates do we make in accounting for taxation? We seek to pay tax h w o o n i e e d u e a a e a e un a a a a a g u i a a u o o o g t g o W e i u o n b u a n i - u b a e n i a r e t h e e l a l l w h e t h e u i n o u d e l e t b a u a u i t n h e i a g u a n u e t h h o t a e W o d o t h o o w h e o u l o p a l b u h g a u a i a e l o o u a e p i 0 l u o p i n a n e a i a o i o n h r e o t e t a e o h 1 o £ 2 40 0 1 7 £ 2 81 l e u n a i e i a e n n t i e U n e d u h b b Deciding whether to recognise deferred tax assets is judgemental. We only recognise them when we consider it is probable that they can be recovered. In making this judgement we consider evidence such as historical financial performance, future financial plans and trends, the duration of existing customer contracts and whether our intra-group pricing model has been agreed by the relevant tax authority. The value of the group’s income tax assets and liabilities is disclosed on the Group balance sheet A n x e s Year ended 31 March 2018 £m 2017 £m 2016 £m United Kingdom Corporation tax at 19% (2016/17: 20%, 2015/16: 20%) (614 ) (594 ) (684 ) Adjustments in respect of earlier years 37 33 59 Non-UK taxation Current (66 ) (109 ) (80 ) Adjustments in respect of earlier years 23 – 29 Total current tax expense (620 ) (670 ) (676 ) Deferred taxation Origination and reversal of temporary differences 46 96 70 Adjustments in respect of earlier years (57 ) 26 2 Impact of change in UK corporation tax rate to 17% (2016/17: 17%, 2015/16: 19%) – 63 96 Remeasurement of temporary differences 11 – – Total deferred taxation credit – 185 168 Total taxation expense (620 ) (485 ) (508 ) F a e u x a x e s y T h a o p o p e o h o p b a l n h p a t i h o f i t Year ended 31 March 2018 £m 2017 £m 2016 £m Profit before taxation 2,804 2,551 3,241 Expected taxation expense at UK rate of 19% (2016/17: 20%, 2015/16: 20%) (533 ) (510 ) (648 ) Effects of: (Higher) lower taxes on non-UK profits (8 ) (29 ) 4 Net permanent differences between tax and accounting a (100 ) (183 ) (12 ) Adjustments in respect of earlier years b 3 59 90 Prior year non-UK losses used against current year profits 16 120 9 Non-UK losses not recognised c (9 ) (8 ) (34 ) Other deferred tax assets not recognised – – 6 Lower taxes on profit on disposal of business – 3 – Re-measurement of deferred tax balances 11 63 96 Other non-recurring items – – (19 ) Total taxation expense (620 ) (485 ) (508 ) Exclude specific items (note 8) (87 ) (217 ) (166 ) Total taxation expense before specific items (707 ) (702 ) (674 ) a Includes income that is not taxable or UK income taxable at a different rate, and expenses for which no tax relief is received. Examples include some types of depreciation and amortisation and the benefit of R&D tax incentives. b Reflects the differences between initial accounting estimates and tax returns submitted to tax authorities, including the release and establishment of provisions for uncertain tax positions. c s m o e e n e c d p a o e e e f xa p n r b T a n e e e s c o m Year ended 31 March 2018 Tax credit (expense) £m 2017 Tax credit (expense) £m 2016 Tax credit (expense) £m Tax on items that will not be reclassified to the income statement Pension remeasurements (346 ) 416 (240 ) Tax on items that have been or may be reclassified subsequently to the income statement Exchange differences on translation of foreign operations (9 ) 21 38 Fair value movements on cash flow hedges – net fair value gains or losses 57 (131 ) (72 ) – recognised in income and expense (47 ) 139 39 (345 ) 445 (235 ) Current tax credit a 203 122 231 Deferred tax (expense) credit (548 ) 323 (466 ) (345 ) 445 (235 ) a I d £ 1 7 2 / £ m a s o u d e c r n n o a s . T a s e e d e n s e i Year ended 31 March 2018 £m 2017 £m 2016 £m Tax (expense) credit relating to share-based payments (2 ) (6 ) 12 Deferred taxation Fixed asset temporary differences £m Retirement benefit obligations £m a Share- based payments £m Tax losses £m Other £m Jurisdictional offset £m Total £m At 1 April 2016 1,618 (1,149 ) (54 ) (325 ) (75 ) – 15 (Credit) expense recognised in the income statement (181 ) (82 ) 14 65 (1 ) – (185 ) (Credit) expense recognised in other comprehensive income (5 ) (306 ) – (3 ) (9 ) – (323 ) Expense recognised in equity – – 23 – – – 23 Exchange differences – – – (7 ) – – (7 ) At 31 March 2017 1,432 (1,537 ) (17 ) (270 ) (85 ) – (477 ) Non-current Deferred tax asset (117 ) (1,537 ) (17 ) (270 ) (96 ) 320 (1,717 ) Deferred tax liability 1,549 – – – 11 (320 ) 1,240 At 1 April 2017 1,432 (1,537 ) (17 ) (270 ) (85 ) – (477 ) Expense (credit) recognised in the income statement 11 (104 ) 4 89 – – – Expense (credit) recognised in other comprehensive income – 558 – – (10 ) – 548 Expense recognised in equity – – 6 – – – 6 Exchange differences – – – (2 ) 5 – 3 Transfer to current tax 17 – – – – – 17 At 31 March 2018 1,460 (1,083 ) (7 ) (183 ) (90 ) – 97 Non-current Deferred tax asset (41 ) (1,083 ) (7 ) (183 ) (90 ) 161 (1,243 ) Deferred tax liability 1,501 – – – – (161 ) 1,340 At 31 March 2018 1,460 (1,083 ) (7 ) (183 ) (90 ) – 97 a I d e t s o 1 7 m i n t a i i o e n T h o o d e e a a n a l e n o a n p a l e o h 1 n t h W e e b b t f t n o e 0 8 o r D e e t a ba l a n e f o h t h e h o f i t h h u d t i o r p e n e e o h a o h u a n e e e 1 2 i t h e t o d e e e a e t u p e n o h e h d i o i t h e e What a t a e u a r e T h o o a o 9 1 7 2 0 2 0 d e a a n l b l e u a e a a e p h e d o e a d e a b a a e a 3 2 h a b e e l a t e h h e a b a l e e e e e h e impact of the e u i o n a e e e t a d p e o 6 t n e n a d e e a e e i What n n n e e At n s e n a a t a h o o p a e o o e e h t t o p e u e o At 31 March 2018 £m Expiry Restricted losses Europe 14 2019–2027 Americas 204 2019-2037 Other 2 2019–2027 Total restricted losses 220 Unrestricted operating losses 3,784 No expiry Other temporary differences 77 No expiry Total 4,081 At h e n 1 b h u t o o At n 1 / 7 h b en n n t o e d r d 7 2 s a 0 7 d a n a n d e a |
Dividends
Dividends | 12 Months Ended |
Mar. 31, 2018 | |
Dividend [Abstract] | |
Dividends | 10. D i d d What d v e d h a v e p a a p e h ye a No dividend was paid to the parent company, BT Group Investments Limited, during 2017/18 (2016/17: £2,350m, 2015/16: £1,450m). Subsequent to 31 March 2018 the directors have declared a final dividend of £2,500m payable in 2018/19 (2016/17: £nil, 2015/16: £2,350m). |
Intangible assets
Intangible assets | 12 Months Ended |
Mar. 31, 2018 | |
Intangible Assets [Abstract] | |
Intangible assets | 11. Intangible assets Goodwill £m Customer relationships and brands £m Telecoms licences and other £m Internally developed software £m Purchased software £m Total £m Cost At 1 April 2016 7,915 3,401 2,930 4,073 1,610 19,929 Acquisitions 5 – – – – 5 Additions – – – 483 138 621 Disposals and adjustments a (23 ) – – (131 ) 2 (152 ) Transfers – – – (66 ) 62 (4 ) Exchange differences 145 21 15 4 41 226 At 31 March 2017 8,042 3,422 2,945 4,363 1,853 20,625 Additions – – – 517 125 642 Acquisitions 14 – 3 – – 17 Disposals and adjustments a (3 ) – (3 ) (55 ) (413 ) (474 ) Exchange differences (100 ) (12 ) 6 (3 ) 9 (100 ) At 31 March 2018 7,953 3,410 2,951 4,822 1,574 20,710 Accumulated amortisation At 1 April 2016 – 418 131 2,747 1,175 4,471 Charge for the year b – 383 140 556 101 1,180 Disposals and adjustments a – – – (114 ) (7 ) (121 ) Exchange differences – 12 9 4 33 58 At 31 March 2017 – 813 280 3,193 1,302 5,588 Charge for the year b – 379 141 525 78 1,123 Disposals and adjustments a – – (3 ) (36 ) (426 ) (465 ) Exchange differences – (1 ) 3 (2 ) 9 9 At 31 March 2018 – 1,191 421 3,680 963 6,255 Carrying amount At 31 March 2018 7,953 2,219 2,530 1,142 611 14,455 At 31 March 2017 8,042 2,609 2,665 1,170 551 15,037 a Fully depreciated assets in the group’s fixed asset registers were reviewed during the year, as part of the group’s annual asset verification exercise, and certain assets that were no longer in use have been written off, reducing cost and accumulated depreciation by £0.4bn (2016/17: £nil). b I d e i a s r e h t t l e p o r n a a B f u e Go o i Go od w o n u ne m b n a o do e no g e ne t a n e en d e n t l t e a e o g u a A e l t h o b a n e n h l e e e g e n n C U l e l How do we d e termine o ur CGUs? T h e i a i o u C G U i j u d e n l d n i i o C G U i n o e n w h e h e g r o u o a e a t g n e n e n l w h n e i d e o h o u e a p w h e t h e t g e n e a i e e d e e e BT n e r u e l l a i n W h o e a n e e w h i a n w p o i u e n a p o g For a en p r o o d e e h o e e n u t G e W h at c r it i c a l e s tim a t e s a n d a s s u m p tio n s h a ve we m a de? In 2016/17 we re-allocated goodwill among our CGUs based on a f u n u u f t a o p 0 6 e i i t ee a f n n p an f e h h o g n a o h u t on e e h h u u u Our u u a o n e u a e a t i o u n e a e n d n a a e e e n r e e n ue g w h p a t i n o g e n o Future cash flows used in the value in use calculations are based on our latest BT Group plc Board approved five-year financial plans. Expectations about future growth reflect the expectations of growth in the markets to which the CGU relates. The future cash flows are discounted using a pre-tax discount rate that reflects current market assessments of the time value of money. The discount rate used in each CGU is adjusted for the risk specific to the asset, including the countries in which cash flow will be generated, for which the future cash flow estimates have not been adjusted. T h u q u e e g d i q u e b u i o b n o n a a e h a a e 3 2 0 18 h n l o o d l h u n i e o h n a p a e a e n a n e i t e a i e e o H o h a v a i e u u o w a e e i w We e o d a a u T h p e n h l e i d e n b g p a h g e n e a n l l a e n p n e o i n o o o t h e o u p o e n i o w i a o d p 0 6 e g i o u e n n o C G U a h a a a t e o d l W e a l o o w BT o u i n b i e o o e e a W h o a a e i l n o d w l w a l a e h l l n n t u a d d goodwill being allocated to this CGU for the first time, e r a g t t h am o u n a l o c a t e t t h o he a e h g n o o d i a o e o o Cost BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Total £m At 1 April 2016 1,183 4,917 662 1,153 – 7,915 Re-organisation – (2,149 ) 1,921 (709 ) 937 – Exchange differences – – 10 135 – 145 Acquisitions and disposals – – (23 ) – 5 (18 ) At 31 March 2017 1,183 2,768 2,570 579 942 8,042 Exchange differences – – (8 ) (92 ) – (100 ) Acquisitions and disposals – – – 11 – 11 At 31 March 2018 1,183 2,768 2,562 498 942 7,953 H o a T h u u i e n o oj o n e o n a n p n p e h a e e e d h e e l a a e n p e o e e u T D o w t h a a p e nd i t u e o n p a n o p e n o b a e p a e e n n u p e t o u e p e a o e n h e a b e e p a u p e p o What d s c u a a w u s e T h d u n a p i l a a e u e h t e e g o a l he a p i n u h l a t i o o g p e h t e e g o a a e h e e a a a l a t a p i u n a i e o h u u l a i 0 1 1 7 8 . 6 W e ’ e h d o C G U e p o e e w w a e e l n g h e i i o u n e i b e op e a e What a T h p e i t o a r i e a h o a a r a e h e n h h op e a e and h a e n o l g w p p e o a e t h o a e b e n e g n e t n a t h h g a e a p p e e e e e o e g o h a e h p e p i o l a i 0 7 2 . 4 n 2 6 % u e a n u l S e BT C o n n W h o a a e What n s i w p T h g n a n e o o u e P l BT n e r h l l n n t u n N o n a b p o b h n e i h u o n u a a n u e e h o a a u o l b i h u u e d a n u h p ox a e l 2 16 1 7 86 h o n h ng e a p i n w l u h o a a u C G q a a n u – ed u t o t h p e p t o t o h 2.3 u p e i a o – n a d o o h 8.8 a p i p l e p i o – l i i p e n g i e l t i n i e n o e i n b 34 e a e e |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Property Plant And Equipment [Abstract] | |
Property, plant and equipment | 12. P r i T h a n u p e o u o i l o n g i w l n h e q u e n e n o o e d e g n c p i o u e T h n l e p r o p e a n u p r d o b e o n n o 1 u i p i e p n a g o e a a i e p a g es 115 and Land and buildings £m a Network infrastructure £m a Other £m b Assets in course of construction £m Total £m Cost At 31 March 2016 1,278 48,194 1,870 1,108 52,450 Additions c 6 40 128 2,672 2,846 Transfers 14 2,393 (1 ) (2,402 ) 4 Disposals and adjustments d (45 ) (1,637 ) (106 ) 30 (1,758 ) Exchange differences 49 382 47 5 483 At 31 March 2017 1,302 49,372 1,938 1,413 54,025 Additions c 12 193 92 2,597 2,894 Transfers 36 2,793 16 (2,845 ) – Disposals and adjustments d (82 ) (1,540 ) (119 ) (48 ) (1,789 ) Exchange differences (6 ) (35 ) (13 ) 1 (53 ) At 31 March 2018 1,262 50,783 1,914 1,118 55,077 Accumulated depreciation At 31 March 2016 750 34,287 1,513 – 36,550 Charge for the year 64 2,224 104 – 2,392 Disposals and adjustments d (36 ) (1,627 ) (104 ) – (1,767 ) Exchange differences 39 330 41 – 410 At 31 March 2017 817 35,214 1,554 – 37,585 Charge for the year 57 2,213 121 – 2,391 Disposals and adjustments d (96 ) (1,613 ) (107 ) – (1,816 ) Exchange differences (5 ) (24 ) (10 ) – (39 ) At 31 March 2018 773 35,790 1,558 – 38,121 Carrying amount At 31 March 2018 489 14,993 356 1,118 16,956 Engineering stores – – – 44 44 Total at 31 March 2018 489 14,993 356 1,162 17,000 At 31 March 2017 485 14,158 384 1,413 16,440 Engineering stores – – – 58 58 Total at 31 March 2017 485 14,158 384 1,471 16,498 a The carrying amount of the group’s property, plant and equipment includes an amount of £53m (2016/17: £73m) in respect of assets held under finance leases, comprising land and buildings of £42m (2016/17: £45m) and network infrastructure of £11m (2016/17: £28m). The depreciation expense on those assets in 2017/18 was £10m (2016/17: £10m), comprising land and buildings of £3m (2016/17: £3m) and network infrastructure of £7m (2016/17: £7m). b Other mainly comprises motor vehicles, computers and fixtures and fittings. c Net of grant funding of £74m (2016/17: £28m net grant deferral). d Fully depreciated assets in the group’s fixed asset registers were reviewed during the year, as part of the group’s annual asset verification exercise, and certain assets that were no longer in use have been written off, reducing cost and accumulated depreciation by £1.3bn (2016/17: £1.1bn). At 31 March 2018 £m 2017 £m The carrying amount of land and buildings, including leasehold improvements, comprised: Freehold 261 269 Leasehold 228 216 Total land and buildings 489 485 N e u S o e r t e nd a m n o e o u e h ne b o a u 7 5 n i t Within 8.3 f s W h at e s tim a t e s a n d c r itic a l j ud g e m e n ts h a ve w e m a de in a c c ou n ti n g f o r our BD U K c o n tr a c t s? T h u e g o n n a n l a o g a a p e s b a b W h e e’ a i e l e l o d e i h e w e f i a i p a t e d ’ o b i a i i h i n a W h e a n d e n w e n i n a a e e d Ass e t h o h t e a n h e ha n g h a e e u u t i o ud g e n a n o n d r n i n a i h i n o w a b b e i d e h e a n w h n b a a u p n ent on o u p e t o h on t e a u e n d O u a n o o g n n e e i n u d e o i a t i o o d e n e w h a u e e n g g e h a u h n h i i o a a u h u h o e n d e l o In the current year we had a net grant funding of £ 74 41 4 536 |
Business combinations
Business combinations | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Business Combinations [Abstract] | |
Business combinations | 13. Business combinations All business combinations are accounted for using the acquisition method regardless of whether equity instruments or other assets are acquired. We didn’t make any material acquisitions in the year ended 31 March 2018 (2016/17: no material acquisitions). The acquisition of EE was completed in 2015/16 with the provisional acquisition accounting at 31 March 2016 and the final acquisition accounting was reflected during 2016/17. |
Programme rights
Programme rights | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Programme Rights [Abstract] | |
Programme rights | 14. P r r i Total £m At 1 April 2016 225 Additions 753 Amortisation (714 ) At 1 April 2017 264 Additions 771 Amortisation (763 ) At 31 March 2018 272 Additions g u h h a a r TV o g i h i e n a |
Inventories
Inventories | 12 Months Ended |
Mar. 31, 2018 | |
Inventories [Abstract] | |
Inventories | 15. Inventories At 31 March 2018 £m 2017 £m 2016 £m Consumables 22 24 26 Work in progress 6 23 11 Finished goods 211 180 152 239 227 189 I n o r i e o n a a p e n u h e e a 0 a n 2,588 2 6 2,680m i n l e ‘ O p e a i o i n e n |
Trade and other receivables
Trade and other receivables | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Trade And Other Receivables [Abstract] | |
Trade and other receivables | 16. Trade and other receivables We’ve made various judgements in accounting for trade and other receivables. These include long-term contracts and bad debt provisions. Long-term customer contracts Long-term customer contracts can extend over a number of financial years. During the contractual period recognition of costs and profits may be impacted by judgements and estimates made. What critical estimates and assumptions have we made? Estimates are required in assessing the lifetime profitability of a contract when determining whether we have an onerous contract liability. Where we have an onerous contract liability this would be classified in provisions and include an impairment of any receivables relating to these contracts. How do we estimate and recognise contract losses? We estimate and recognise immediately the entire estimated loss for a contract when we have evidence that the contract is unprofitable. Also if these estimates indicate that any contract will be less profitable than previously forecast, contract assets may have to be written down to the extent they are no longer considered to be fully recoverable. We perform ongoing profitability reviews of our contracts in order to determine whether the latest estimates are appropriate. Key factors reviewed include: – Transaction volumes or other inputs affecting future revenues which can vary depending on customer requirements, plans, market position and other factors such as general economic conditions. – Our ability to achieve key contract milestones connected with the transition, development, transformation and deployment phases for customer contracts. – The status of commercial relations with customers and the implication for future revenue and cost projections. – Our estimates of future staff and third-party costs and the degree to which cost savings and efficiencies are deliverable. The carrying value of assets comprising the costs of the initial set-up, transition or transformation phase of long-term networked IT services contracts is disclosed below. At 31 March 2018 £m 2017 £m 2016 £m Non-current Other assets a 317 360 218 a Other assets includes costs relating to the initial set-up, transition or transformation phase of long-term networked IT services contracts of £145m (2016/17: £163m, 2015/16: £111m), and prepayments and leasing debtors of £172m (2016/17: £197m, 2015/16: £107m). At 31 March 2018 £m 2017 £m 2016 £m Current Trade receivables 1,741 1,774 1,803 Amounts owed by ultimate parent company 15 25 9 Prepayments a 1,103 733 702 Accrued income 777 955 1,072 Other receivables b 393 373 401 4,029 3,860 3,987 a Prepayments includes £325m (2016/17: £nil, 2015/16: £nil) in respect of the acquisition of spectrum in April 2018. The spectrum auction bidding cut across the 2017/18 and 2018/19 financial years. Whilst £325m was on deposit with Ofcom at 31 March 2018, we went on to win spectrum for a total price of £304m and the excess deposit balance has since been refunded. This will be transferred to intangible assets in 2018/19. b Other receivables includes assets held for sale of £ nil (2016/17: £22m, 2015/16: £nil ). Trade receivables are stated after deducting allowances for doubtful debts, as follows: 2018 £m 2017 £m 2016 £m At 1 April 303 195 196 Expense 129 211 77 Utilised (61 ) (114 ) (89 ) Exchange differences 4 11 11 At 31 March 375 303 195 Included within the 2016/17 expense above are amounts for exposures relating to the Italian business investigation, as set out in note 8. How do we assess recoverability of our receivables? We provide services to consumer and business customers, mainly on credit terms. We know that certain debts due to us will not be paid through the default of a small number of our customers. Judgements are required in assessing the recoverability of trade receivables and whether a provision for doubtful debts may be required. In estimating a provision for doubtful debts we consider historical experience alongside other factors such as the current state of the economy and particular industry issues. The value of the provision for doubtful debts is disclosed above. Trade receivables are continuously monitored and allowances applied against trade receivables consist of both specific impairments and collective impairments based on our historical loss experiences for the relevant aged category as well as taking into account general economic conditions. Historical loss experience allowances are calculated by a customer-facing unit in order to reflect the specific nature of the customers relevant to that customer-facing unit. Trade and other receivables are classified as loans and receivables and are held at amortised cost. The carrying amount of these balances approximates to fair value due to the short maturity of amounts receivable. Note 25 provides further disclosure regarding the credit quality of our gross trade receivables. Trade receivables are due as follows: Past due and not specifically impaired At 31 March Not past due £m Trade receivables specifically impaired net of provision £m Between 0 and 3 months £m Between 3 and 6 months £m Between 6 and 12 months £m Over 12 months £m Total £m 2018 1,251 61 293 44 25 67 1,741 2017 1,184 146 292 17 41 94 1,774 2016 1,152 98 368 51 44 90 1,803 Gross trade receivables which have been specifically impaired amounted to £124m (2016/17: £238m, 2015/16: £192m). Trade receivables not past due and accrued income are analysed below by customer-facing unit. Trade receivables not past due Accrued income At 31 March 2018 £m 2017 £m 2016 £m 2018 £m 2017 £m 2016 £m BT Consumer 157 128 138 86 90 83 EE 206 335 267 122 170 312 Business and Public Sector 253 200 115 134 151 146 Global Services 477 444 555 222 297 351 Wholesale and Ventures 92 75 76 145 167 99 Openreach 61 1 1 67 78 79 Other 5 1 – 1 2 2 Total 1,251 1,184 1,152 777 955 1,072 Given the broad and varied nature of our customer base, the analysis of trade receivables not past due and accrued income by customer-facing unit is considered the most appropriate disclosure of credit concentrations. Cash collateral held against trade and other receivables amounted to £6m (2016/17: £4m, 2015/16: £4m). |
Trade and other payables
Trade and other payables | 12 Months Ended |
Mar. 31, 2018 | |
Trade And Other Payables [Abstract] | |
Trade and other payables | 17. Trade and other payables At 31 March 2018 £m 2017 £m 2016 £m Current Trade payables 3,991 4,205 4,331 Amounts owed to parent company 50 63 70 Other taxation and social security 704 704 682 Other payables 428 648 527 Accrued expenses 492 382 418 Deferred income a 1,525 1,474 1,435 7,190 7,476 7,463 At 31 March 2018 £m 2017 £m 2016 £m Non-current Other payables b 871 885 876 Deferred income a 455 413 230 1,326 1,298 1,106 a Includes £ 132 m (2016/17: £71m, 2015/16: £71m) current and £ 404 m (2016/17: £375m, 2015/16: £187m) non-current liabilities relating to the Broadband Delivery UK programme, for which grants received by the group may be subject to re-investment or repayment depending on the level of take-up. b Other payables relate to operating lease liabilities and deferred gains on a 2001 sale and finance leaseback transaction. |
Provisions
Provisions | 12 Months Ended |
Mar. 31, 2018 | |
Provisions [Abstract] | |
Provisions | 18. Provisions Pro v s o a o n l l As disclosed below, our provisions principally relate to obligations arising from property rationalisation programmes, restructuring programmes, asset retirement obligations, network assets, insurance claims, litigation and regulatory risks. W h at c r itic a l j ud g e me nts h a ve w e m a de in a c c ou n ti n g f o r pro v i s io n s ? We exercise judgement in determining the timing and quantum of all provisions to be recognised. Our assessment includes consideration of whether we have a present obligation, whether payment is probable and if so whether the amount can be estimated reliably. As part of this assessment, we also assess the likelihood of contingent liabilities occurring in the future which are not recognised as liabilities on our balance sheet. By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. We assess the likelihood that a potential claim or liability will arise and also quantify the possible range of financial outcomes where this can be reasonably determined. We’ve disclosed our assessment of contingent liabilities in note 29. W h at other c r it i c a l e s tim a t e s a n d a s s u m p tio n s h a ve we m a de? Restructuring programmes involve estimation of the direct cost necessary for the restructuring and exclude items that are associated with ongoing activities. The amounts below exclude restructuring costs for which the timing and amount are certain. These are recognised as part of trade and other payables. Under our property rationalisation programmes we’ve identified a number of surplus properties. Although efforts are being made to sublet this space, this is not always possible. Estimates have been made of the cost of vacant possession and of any shortfall arising from any potential sub-lease income being lower than the lease costs. Any such shortfall is recognised as a provision. Asset retirement obligations involve an estimate of the cost to dismantle equipment and restore sites upon vacation and the timing of the event. The provision represents the group’s best estimate of the amount that may be required to settle the obligation. Network asset provisions represent our future operational costs and vacant site rentals arising from obligations relating to network share agreements. Costs are expected to be incurred over a period of up to 20 years. Our regulatory provision represents our best estimate of the cost to settle our present obligation in relation to historical regulatory matters. The charge for the year represents the outcome of management’s re-assessment of the estimates and regulatory risks across a range of issues, including price and service issues. The prices at which certain services are charged are regulated and may be subject to retrospective adjustment by regulators. Estimates are used in assessing the likely value of the regulatory risk. In 2016/17 we recognised a £300m charge in relation to estimated Deemed Consent compensation payments. The precise amount of the compensation payments will result from discussions with the affected parties and as of 31 March 2018, we still consider this estimate to be appropriate. In 2016/17 a related fine of £42m was imposed and was recognised as a payable rather than as a provision. The fine and associated compensation payments totaling £342m were treated as a specific item charge in last year’s income statement. The remaining provision increases also reflected management’s estimates of regulatory risks across a range of issues, including price and service issues. These increased by £51m (2016/17: £126m), also treated as specific items, resulting from our re-assessment of these other regulatory risks and in light of the regulatory decisions by Ofcom. In respect of claims, litigation and regulatory risks, the group provides for anticipated costs where an outflow of resources is considered probable and a reasonable estimate can be made of the likely outcome. Included within Other are contract loss provisions of £38m (2016/17: £29m) relating to the anticipated total losses in respect of certain contracts. It is expected that the majority of these provisions will be utilised in the next few years. Given the short period remaining to the finalisation of these contracts, any potential future changes to key assumptions made when estimating their future losses are not expected to have a significant impact. There is no single change in key variables that could materially affect future expected losses on these contracts. Also included in Other are amounts provided for the constructive obligations arising from insurance claims which will be utilised as the obligations are settled and amounts provided for exposures relating to the Italian business investigation, principally potential tax penalties. For all risks, the ultimate liability may vary from the amounts provided and will be dependent upon the eventual outcome of any settlement. The estimates are discounted using a rate that reflects the passage of time and risk specific to the liability. An estimate is also required in assessing the timing of when a provision is recognised. The outcome of our estimate of the provisions is disclosed below. Restructuring £m a Property £m Network ARO £m Network share £m Regulatory £m Litigation £m Other £m Total £m At 31 March 2016 20 296 78 60 64 73 152 743 Income statement expense – 38 27 5 426 6 34 536 Unwind of discount – 12 2 2 – – – 16 Utilised or released (10 ) (54 ) (24 ) (17 ) (11 ) (11 ) (8 ) (135 ) Transfers – – – – – – (3 ) (3 ) Exchange differences 1 – – – – 1 2 4 At 31 March 2017 11 292 83 50 479 69 177 1,161 Income statement expense 4 37 2 – 51 6 33 133 Unwind of discount – 11 2 2 – – – 15 Utilised or released (2 ) (46 ) (16 ) (19 ) (210 ) (11 ) (32 ) (336 ) Transfers – – – – – – 85 85 Exchange differences (1 ) – – – – – (2 ) (3 ) At 31 March 2018 12 294 71 33 320 64 261 1,055 a Restructuring costs for which the timing and amount are certain. These amounts are reflected in trade and other payables. At 31 March 2018 £m 2017 £m 2016 £m Analysed as: Current 603 625 178 Non-current 452 536 565 1,055 1,161 743 |
Retirement Benefit Plans
Retirement Benefit Plans | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Defined Benefit Plans [Abstract] | |
Retirement Benefit Plans | 19. Retirement benefit plans Background to BT’s pension plans The group has both defined benefit and defined contribution retirement benefit plans. The group’s main plans are in the UK and the largest by membership is the BT Pension Scheme (BTPS) which is a defined benefit plan that was closed to new entrants on 31 March 2001. After that date new entrants to BT in the UK have been able to join a defined contribution plan, currently the BT Retirement Saving Scheme (BTRSS), a contract-based arrangement. In March 2018, BT announced the closure of Sections B and C of the BTPS to future benefit accrual (which represents over 99% of the BTPS active membership), having reached an agreement with the relevant Unions. BT currently expects to close the BTPS from 30 June 2018 when employees will join the BTRSS for future pension accrual. EE operates the EE Pension Scheme (EEPS), which has a defined benefit section that was closed to future benefit accrual in 2014 and a defined contribution section which is open to new joiners. What h How m Defined Benefits n – cont r i – the r e – the d i d b Cont r i b n r n n r T h e h r e c n p r a u e r t p T h o r n c r i Defined e Benefits n r – de t r d r n n – not n e T h e e r e p r b r f n r r T h n e e d o e w i o r c Amounts in the financial statements Group income statement The expense or income arising from all group retirement benefit arrangements recognised in the group income statement is shown below. Year ended 31 March 2018 £m 2017 £m 2016 £m Recognised in the income statement before specific items Service cost (including administration expenses & PPF levy): – defined benefit plans 376 281 301 – defined contribution plans 265 240 193 Past service credit a (17 ) – – Total operating expense 624 521 494 Net interest expense on pensions deficit included in specific items (note 8) 218 209 221 Total recognised in the income statement 842 730 715 a Past service credit primarily relates to pension plans operating outside the UK which were closed to future accrual during the year. Group statement of comprehensive income Remeasurements of the net pension obligation are recognised in full in the group statement of comprehensive income in the year in which they arise. These comprise the impact on the defined benefit obligation of changes in demographic and financial assumptions compared with the start of the year, actual experience being different to those assumptions and the return on plan assets being above or below the amount included in the net pension interest expense. Group balance sheet The net pension obligation in respect of defined benefit plans reported in the group balance sheet is set out below. 2018 2017 At 31 March Assets £m Present value of liabilities £m Deficit £m Assets £m Present value of liabilities £m Deficit £m BTPS 49,894 (55,783 ) (5,889 ) 50,090 (58,649 ) (8,559 ) EEPS 763 (920 ) (157 ) 748 (973 ) (225 ) Other plans a 299 (624 ) (325 ) 274 (578 ) (304 ) Retirement benefit obligation 50,956 (57,327 ) (6,371 ) 51,112 (60,200 ) (9,088 ) Adjustments due to effect of asset ceiling (IFRIC 14) – – Deferred tax asset 1,081 1,535 Net pension obligation (5,290 ) (7,553 ) a Included in the present value of obligations of other plans is £97m (2016/17: £104m) related to unfunded pension arrangements. Included within trade and other payables in the group balance sheet is £17m (2016/17: £15m) in respect of contributions payable to defined contribution plans. What is IFRIC 14 and how does it impact BT? For some pension schemes, IFRIC 14 potentially: – limits the amount of accounting surplus in a pension scheme that can be recognised as an asset on the balance sheet; and/or – requires additional pension liabilities to be recognised where scheduled future deficit contributions are greater than the unadjusted accounting deficit. BT is not required to limit any pensions surplus or recognise additional pensions liabilities in individual plans as economic benefits are available in the form of either future refunds or reductions to future contributions. This is on the basis that paragraph 11(b) of IFRIC 14 applies enabling a refund of surplus following the gradual settlement of the liabilities over time until there are no members remaning in the scheme. Movements in defined benefit plan assets and liabilities The table below shows the movements on the pension assets and liabilities and shows where they are reflected in the financial statements. Assets £m Liabilities £m Deficit £m At 31 March 2016 43,968 (50,350 ) (6,382 ) Service cost (including administration expenses and PPF levy) (44 ) (237 ) (281 ) Interest on pension deficit 1,413 (1,622 ) (209 ) Included in the group income statement (490 ) Return on plan assets above the amount included in the group income statement 7,475 – 7,475 Actuarial loss arising from changes in financial assumptions a – (10,221 ) (10,221 ) Actuarial loss arising from changes in demographic assumptions a – (206 ) (206 ) Actuarial gain arising from experience adjustments b – 163 163 Included in the group statement of comprehensive income (2,789 ) Regular contributions by employer 313 – 313 Deficit contributions by employer 274 – 274 Included in the group cash flow statement 587 Contributions by employees 8 (8 ) – Benefits paid (2,315 ) 2,315 – Foreign exchange 20 (34 ) (14 ) Other movements (14 ) At 31 March 2017 51,112 (60,200 ) (9,088 ) Service cost (including administration expenses and PPF levy) (67 ) (309 ) (376 ) Past service credit – 17 17 Interest on pension deficit 1,201 (1,419 ) (218 ) Included in the group income statement (577 ) Return on plan assets above the amount included in the group income statement 10 – 10 Actuarial gain arising from changes in financial assumptions a – 2,251 2,251 Actuarial loss arising from changes in demographic assumptions a – (221 ) (221 ) Actuarial gain arising from experience adjustments b – 120 120 Included in the group statement of comprehensive income 2,160 Regular contributions by employer 264 – 264 Deficit contributions by employer 872 – 872 Included in the group cash flow statement 1,136 Contributions by employees 2 (2 ) – Benefits paid (2,449 ) 2,449 – Foreign exchange 11 (13 ) (2 ) Other movements (2 ) At 31 March 2018 50,956 (57,327 ) (6,371 ) a The actuarial gain or loss arises from changes in the assumptions used to value the defined benefit liabilities at the end of the year compared with the assumptions used at the start of the year. This includes both financial assumptions, which are based on market conditions at the year end, and demographic assumptions such as life expectancy. b The actuarial loss or gain arising from experience adjustments on defined benefit liabilities represents the impact on the liabilities of differences between actual experience during the year compared with the assumptions made at the start of the year. Such differences might arise, for example, from members choosing different benefit options at retirement, actual salary increases being different from those assumed or actual benefit increases being different to the pension increase assumption. How do we value our retirement benefit plans? Valuation methodology The IAS 19 liabilities are measured as the present value of the estimated future benefit cash flows to be paid by each scheme, calculated using the projected unit credit method. These calculations are performed for the group by professionally qualified independent actuaries. The expected future benefit payments are based on a number of assumptions including future inflation, retirement ages, benefit options chosen and life expectancy and are therefore inherently uncertain. Actual benefit payments in a given year may be higher or lower, for example if members retire sooner or later than assumed, or take a greater or lesser cash lump sum at retirement than assumed. What are our critical judgements, estimates and assumptions? The accounting cost of these benefits and the present value of our pension liabilities involve judgements about uncertain events including the life expectancy of the members, the salary progression of our current employees, price inflation and the discount rate used to calculate the net present value of the future pension payments. We use estimates for all of these uncertain events in determining the pension costs and liabilities in our financial statements. Our assumptions reflect historical experience, external advice and our judgement regarding future expectations. The fair value of some of our pension assets are made up of quoted and unquoted investments. The latter require more judgement as their values are not directly observable. The assumptions used in valuing unquoted investments are affected by current market conditions and trends which could result in changes in fair value after the measurement date. How do we value the assets? Under IAS 19, plan assets must be valued at the bid market value at the balance sheet date. For the main asset categories: – Equities listed on recognised stock exchanges are valued at closing bid prices. – Properties are valued on the basis of open market value. – Bonds are measured using a combination of broker quotes and pricing models making assumptions for credit risk, market risk and market yield curves. – Holdings in investment funds are valued at fair value which is typically the Net Asset Value provided by the investment manager. – Certain unlisted investments are valued using a model based valuation such as a discounted cash flow. – The value of the longevity insurance contract held by the BTPS is measured by discounting the projected cash flows payable under the contract (projected by an actuary, consistent with the terms of the contract). Review of pension benefits Following consultation with employees and the relevant unions, we announced a number of key changes to our main UK pension arrangements in March 2018: – An increase to BT’s standard maximum contribution rate to 10% for employees building up benefits in the BTRSS, taking effect from 1 June 2018. – The closure of Sections B and C of the BTPS (representing over 99% of the BTPS active membership) to future benefit accrual, with the employees impacted by the change able to join the BTRSS for future pension provision, taking effect from 30 June 2018. – All employees impacted by the closure of the BTPS will receive transition payments into their BTRSS account for a period, as well as having a higher maximum BT contribution rate of 11% for a temporary period. The transition payments are 2% of pensionable salary for a period depending on the employee’s age. – We will establish a new ‘hybrid’ pension arrangement over the coming year for non-management employees in the BTPS at closure. This new arrangement will combine elements of both defined benefit and defined contribution pension arrangements and support those employees on lower pay scales, giving them another option for their retirement savings. We are aiming to have this in place by no later than 1 April 2019. These changes keep our pensions fair, flexible and affordable across BT in the UK. Overview and governance of the BTPS What is the profile of the BTPS? At 31 March 2018 there were 293,000 members of the BTPS. Members belong to one of three sections depending upon the date they first joined the BTPS. The membership is analysed below. Analysis of BTPS Active members Deferred members Pensioners Total Sections A and B liabilities (£bn) a 4.9 4.3 29.6 38.8 Section C liabilities (£bn) 7.7 5.7 3.6 17.0 Total IAS 19 liabilities (£bn) 12.6 10.0 33.2 55.8 Total number of members 30,000 60,500 202,500 293,000 a Sections A and B have been aggregated in this table as Section A members have typically elected to take Section B benefits at retirement. The estimated duration of the BTPS liabilities, which is an indicator of the weighted average term of the liabilities, is around 16 years although the benefits payable by the BTPS are expected to be paid over more than 70 years. Whilst benefit payments are expected to increase over the earlier years, the value of the liabilities is expected to reduce. The chart below illustrates the estimated benefits payable from the BTPS forecast using the IAS 19 assumptions. a Based on accrued benefits to 30 June 2017. What are the benefits under the BTPS? Benefits earned for pensionable service prior to 1 April 2009 are based upon a member’s final salary and a normal pensionable age of 60. Between 1 April 2009 and 30 June 2018, Section B and C active members accrue benefits based upon a career average re-valued earnings (CARE) basis and a normal pensionable age of 65. On a CARE basis benefits are built up based upon earnings in each year and the benefit accrued for each year is increased by the lower of inflation or the individual’s actual pay increase in each year to retirement. Under the Scheme rules the determination of the rate of inflation for statutory minimum rates of revaluation and indexation for the majority of benefits is based upon either the Retail Prices Index (RPI) or the Consumer Prices Index (CPI) which apply to each category of member as shown below. A c m Deferred m Pensioners Sec t B a B e t P r e r retirement e C P Inc r n r r C Sec t Inc r n r r R x i 5 a Section A members have typically elected to take Section B benefits at retirement. In December 2017, we sought a decision from the High Court as to whether it would be possible to change the index used to calculate pension increases paid in the future to members of Section C of the BTPS from RPI to another index. In its judgment handed down on 19 January 2018, the High Court decided that it is currently not possible to change from RPI to another index. BT was then granted permission to appeal the decision to the Court of Appeal. The Court of Appeal hearing is due to take place in October 2018 . How is the BTPS governed and managed? BT Pension Scheme Trustees Limited (the Trustee) has been appointed by BT as an independent trustee to administer and manage the BTPS on behalf of the members in accordance with the terms of the BTPS Trust Deed and Rules and relevant legislation (principally the Pension Schemes Act 1993, the Pensions Act 1995 and the Pensions Act 2004). Under the terms of the Trust Deed there are nine Trustee directors, all of whom are appointed by BT, as illustrated below. Trustee directors are usually appointed for a three-year term but are then eligible for re-appointment. BTPS assets Asset allocation The allocation of assets between different classes of investment is reviewed regularly and is a key factor in the Trustee’s investment policy. The allocations reflect the Trustee’s views on the appropriate balance to be struck between seeking returns and incurring risk, and on the extent to which the assets should be allocated to match liabilities. Current market conditions and trends are regularly assessed which may lead to adjustments in the asset allocation. The fair value of the assets of the BTPS analysed by asset category are shown below. These are subdivided by assets that have a quoted market price in an active market and those that do not (such as investment funds). 2018 a 2017 a Total assets £bn of which quoted £bn b Total % Total assets £bn of which quoted £bn b Total % Growth Equities UK 0.5 0.5 1 0.7 0.6 2 Overseas developed 7.8 7.3 16 9.1 8.6 18 Emerging markets 0.5 0.4 1 0.5 0.1 1 Private Equity 1.9 – 4 1.9 – 4 Property UK 3.9 – 8 4.1 – 8 Overseas 1.2 – 2 1.7 – 3 Other growth assets Absolute Return funds c 1.5 – 3 2.3 – 5 Non Core Credit d 3.4 1.0 7 3.5 1.1 7 Mature Infrastructure 1.4 – 3 1.7 – 3 Liability matching Government bonds UK Index Linked 12.5 12.5 25 12.3 12.0 25 Investment grade credit Global 10.0 8.0 20 7.6 5.9 15 Cash, derivatives and other Cash balances 3.8 – 7 1.7 – 3 Longevity insurance contract e (0.4 ) – (1 ) (0.3 ) – (1 ) Other non-physical cash f 1.9 – 4 3.3 – 7 Total 49.9 29.7 100 50.1 28.3 100 a £ nil) . The Scheme also held £10m (2016/17: £10m) of index-linked bonds issued by the group . b Assets with a quoted price in an active market. c This allocation seeks to generate returns irrespective of the direction of markets. Managers within this allocation will typically manage their portfoilios without close regard to a specific market benchmark. d This allocation includes a range of credit investments, including emerging market, sub-investment grade and unrated credit. The allocation seeks to exploit investment opportunities within credit markets using the expertise of a range of specialist investment managers. e The Trustee has hedged some of the Scheme’s longevity risk through a longevity insurance contract which was entered into in 2014. The value reflects experience to date on the contract from higher than expected deaths. This amount partly offsets a reduction recognised in the Scheme’s liabilities. f Non-physical cash includes offsets in future positions and cash collateral posted in relation to derivatives held by the Scheme. IAS 19 assumptions The table below summarises the approach used to set the key IAS 19 assumptions for the BTPS. Approa c s t h s Disc o IAS 19 requires that the discount rate is determined by reference to market yields at the reporting date on high quality corporate bonds. The currency and term of these should be consistent with the currency and estimated term of the pension obligations. The assumption is calculated by applying the projected BTPS benefit cash flows to a corporate bond yield curve constructed based on the yield on AA-rated corporate bonds. In setting the yield curve, judgement is required on the selection of appropriate bonds to be included in the universe and the approach used to then derive the yield curve. At 31 March 2018, the discount rate model used to select bonds and derive the yield curve was updated to better reflect yields on corporate bonds over the life of the Scheme. A key difference is that the revised model excludes bonds which have either an implicit or explicit Government guarantee, which is more consistent with the requirements of IAS19, and reflects developing practice. Both the old and revised models are standard models developed by our external actuary. The impact of this change is a £2.1bn reduction in the BTPS liabilities. RPI o The RPI inflation assumption is set using the entire inflation curve, weighted by projected BTPS benefit cash flows, and making an adjustment for an inflation risk premium (to reflect the extra premium paid by investors for inflation protection), which is currently assumed to be 20bps. CPI o CPI P k i i Salary a Long-term Pensi o n B e r e r R C u o b e r f r e t r i a e Lo n v The longevity assumption has been updated to take into account: – the actual mortality experience of the BTPS pensioners, based on a formal review conducted at the 2014 triennial funding valuation – future improvements in longevity based on a model published by UK actuarial profession’s Continuous Mortality Investigation (using the CMI 2016 Mortality Projections model with a 1.25% per year long-term improvement parameter). T h i a a u n u e h a l e o h b e l o Nominal rates (per year) Real rates (per year) a At 31 March 2018 % 2017 % 2016 % 2018 % 2017 % 2016 % Rate used to discount liabilities 2.65 2.40 3.30 (0.44) (0.78) 0.44 Inflation – increase in RPI 3.10 3.20 2.85 – – – Inflation – increase in CPI 2.00 b 2.00 c 1.65 d (1.1) b (1.2) c (1.2) d a The real rate is calculated relative to RPI inflation. b Assumed to be 0.1% higher until 31 March 2023. c Assumed to be 0.5% higher until 31 March 2019. d Assumed to be 0.2% higher until 31 March 2017. T h p e n o 7 h o ’ e i e b e n e o b l a i n h l h a a u n o e a p l n o i n a n a p i n w e g b l b l o a p n a q a h i e h w b a b o h a 0 % B a h e a pe a o m b g 6 a f o At 31 March 2018 Number of years 2017 Number of years Male in lower pay bracket 25.8 26.2 Male in medium pay bracket 27.1 27.5 Male in higher pay bracket 28.5 28.9 Female in lower pay bracket 28.5 28.9 Female in higher pay bracket 28.7 29.2 Average improvement for a member retiring at age 60 in 10 years' time 0.7 1.0 R i k d r y n h s u p n Background The BTPS t p e a n e u o h g l a h b e o a a u e n u e d e i e u o a Changes in exte r n r n e a e a a a t h a p n p a t n h a u e n o n u n i a a n u n u n n t a S o Chan g A f o t o r t w i t re I A The S s Chan g a expec t n A r t i o e e r a n increase e a e a The S v Chan g e An a r increase T The c B Other r n r e i m value o l b i i l e Quantification B T r Scenario 1-in-20 events 2018 2017 1. Fall in discount rate a 1.10% 1.00% 2. Increase to inflation rate b 0.70% 0.90% 3. Increase to life expectancy 1.35 years 1.35 years a Scenario assumes a fall in the yields on both government and corporate bonds. b Assuming RPI, CPI, pension increases and salary increases all increase by the same amount. T h a h d a n a looks at each event in isolation i a i b a o T h i t i o d e i l w o b o h a n g l b l n a h n i h e o e p h n i d e d i e a n n a i o o p e o e i h l u o i n a o l d T h i t i e h a b p e n i p o a a 2 0 1 6 h i n l l a t i n a l a e n e a u p n a e d B T n n Trie n n n l T h i n a u o e u h b p f i a l q l e d e p d n a u h p o o a u a t i o i to d e i n d i l e n h B f u n e h l a u d n a u w a e o a a 3 h e d n u l a e f o l a u T h u o o l g n d n u e w h i b a e p d u n b d l – A a e u h l u a t i a – Li a l e u o a u a d n a n h o e e n e d o n o n e h p r e n T h l t o o e e n a u n o b e o June 2017 valuation £bn June 2014 valuation £bn BTPS liabilities (60.4) (47.2 ) Market value of BTPS assets 49.1 40.2 Funding deficit (11.3) (7.0 ) Percentage of accrued benefits covered by BTPS assets at the valuation date 81.3% 85.2% Percentage of accrued benefits on a solvency basis covered by the BTPS assets at the valuation date 62.2% 63.0% Between June 2014 and June 2017, the Scheme benefited from asset returns of 10.5% a year, that were higher than assumed under the 2014 funding assumptions, and £2.0bn of deficit contributions. The fall in long-term real interest rates resulted in an increase in liabilities, which has more than offset the improvements in the Scheme’s assets. There has been a reduction in the liabilities as a result of allowing for slower improvements to life expectancy being forecast by actuaries. This impact has been broadly offset by the impact of changes to the investment strategy that have reduced the current and future level of investment risk in the Scheme. K e s u p o n n v l a T h l u a t i e e e n i n o o n u d e n l g p i n Nominal rates (per year) Real rates (per year) a June 2017 valuation % June 2014 valuation % June 2017 valuation % June 2014 valuation % Average single equivalent discount rate 2.6 4.5 (0.8) 1.0 Average long-term increase in RPI 3.4 3.5 – – Average long-term increase in CPI 2.4 2.5 (1.0) (1.0 ) a T e t c l i n o h p o T h o n a u 2 0 1 d e e o p d n e e a t i o n a b o e b a e g n a s t u u n a a u h i u n d u n 1.4 e b l u n l n i d o 0.7 e e b u l o n g h a p i e i l u n o n 1.0 p e a At the 2014 valuation, the funding approach assumed the Scheme would hold 60% of its investments in growth assets (such as equities and property) for a period, before de-risking to a low-risk investment approach by 2034. T h a g l p e n a o n h a a d a o e e 6 a o g a l w Number of years from valuation date June 2017 assumptions June 2014 assumptions Male in lower pay bracket 25.9 26.1 Male in medium pay bracket 27.2 27.5 Male in high pay bracket 28.6 29.0 Female in lower pay bracket 28.6 28.9 Female in high pay bracket 28.9 29.2 Average improvement for a member retiring at age 60 in 10 years’ time 0.9 1.3 Payments made to the BTPS Year ended 31 March 2018 £m 2017 £m Ordinary contributions 248 303 Deficit contributions 850 250 Total contributions in the year 1,098 553 Fut u r u i b g i a ec v e U n e u a d d h a g n e In May 2018 h 0 e i n d n l u a t i a n a l d a g e i u e n h e u i d e u 0 w a 11.3 n. 13 year period, maintaining the remaining period of the previous plan. The deficit contributions have three components: – Payments by BT over the three years to 31 March 2020 totalling £ 2.1 bn. This is equal to the amount due over the same period under the previous recovery plan. £850m of this was paid in March 2018 and the remaining £1,250m is to be paid by 30 June 2019. – A further £ 2.0 – issued as soon as practicable under BT’s Euro Medium Term Note Programme – sterling denominated and have maturities ranging from 2033 – £ 1.0 1.0 – For the 10 900 – £ 400 This means that the recovery plan includes material contributions by BT to the Scheme of £4.5bn by 30 June 2020, when the next valuation is expected to take place. BT is sc h ed u l e d to m a ke future d e ficit paym e nts to the BTPS in l i ne w ith t h e tab l e b e lo w . Year to 31 March 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Deficit contribution (£m) 850 2,000 a 1,250 b 900 c 900 d 907 907 907 907 907 907 907 907 a due to be paid shortly, but no later than 30 June 2019. b payable by 30 June 2019. c £400m payable by 30 June 2020. d £200m payable by 30 June 2021. B a g r u u t 2,075 0 1 o o a on u n o p o e £75 n e t Other e c i T h 17 n d n g e n i n u d e d o n a e e p d p p o r h P i n l e F e u Detail S h e l e i u n BT will provide additional payments to the BTPS by the amount that shareholder distributions exceed a threshold.The threshold 10 This will p l u n n a i n e u o BT 200 Material c r v In e n a g e n e n e a o d a e h £ 1.0 o d o l n o a i n i n 1 2 o e o n n u e w a d o n a b u o n h e a h h n e a o e BT – it o i i a u o o o a 1.0 i n 1 2 n e i d – it o i i d o l o h 1.0 n o – it considers making a Class 1 transaction (acquisition or disposal); or – it is s u t a e e o This obligation is on-going until otherwise terminated. BT t e t m a Negative A negative pledge that future creditors will not be granted superior security to the BTPS in excess of a £ 1.5 This provision applies until the deficit reduces to below £2.0bn at any subsequent funding valuation. In h g h n i e n h h u e o n e n h a r d o p o n b b e s F e u Detail Cro w G a e The Crown Guarantee was granted by the Government when the group was privatised in 1984 and would only come into effect upon the insolvency of BT. The Trustee brought court proceedings to clarify the scope and extent of the Crown Guarantee. The Court of Appeal judgment on 16 July 2014 established that: – the Crown Guarantee covers BT’s funding obligation in relation to the benefits of members of the BTPS who joined post-privatisation as well as those who joined pre-privatisation (subject to certain exceptions) – the funding obligation to which the Crown Guarantee relates is measured with reference to BT’s obligation to pay deficit contributions under the rules of the BTPS. The Crown Guarantee is not taken into account for the purposes of the actuarial valuation of the BTPS and is an entirely separate matter, only being relevant in the highly unlikely event that BT became insolvent. P e s o t c u F The Pension Protection Fund (PPF) may take over the BTPS and pay benefits not covered by the Crown Guarantee to members. There are limits on the amounts paid by the PPF and the PPF would not provide exactly the same benefits as those provided under the BTPS Rules. Other e e p a In a d d h u i n i n n a n o u n h o i o e e p p h o c a e a n cu u e. EE The EEPS s e i a h a e i e n t i o o a n 1 a b At 31 March 2018, the defined e i n e e o n u b a e i n u d i g b e i i p p a b o e u o l n i i e n n o o T h i n a u o h e i b e n e w a e o a a e e 2 5 a a g e a 0 h o u i d e 4 T h o u T h u d n u o l a e f d a l a 3 e b 1 BTRSS T h B S i l a e d e n n u i h i n i n e h o u w u 3 5 0 a b e a 18 h o u o u e 1 Other schemes BT operates a number of overseas pension schemes. In December 2017, BT closed two defined benefit plans which operate in the Netherlands. This resulted in a c£14m past service credit arising from the change in future indexation obligations. A further £3m past service credit was recognised in 2017/18 relating to various other pension plans operating outside the UK. |
Summary of Retirement Benefit Plan | What h How m Defined Benefits n – cont r i – the r e – the d i d b Cont r i b n r n n r T h e h r e c n p r a u e r t p T h o r n c r i Defined e Benefits n r – de t r d r n n – not n e T h e e r e p r b r f n r r T h n e e d o e w i o r c |
Share-based payments
Share-based payments | 12 Months Ended |
Mar. 31, 2018 | |
Text Block1 [Abstract] | |
Share-based payments | 20. Share-based payments What share incentive arrangements do we have? Our plans include savings-related share option plans for employees and those of participating subsidiaries, further share option plans for selected employees and a stock purchase plan for employees in the US. We also have several share plans for executives. All share-based payment plans are equity-settled. Details of these plans and an analysis of the total charge by type of award is set out below. Year ended 31 March 2018 £m 2017 £m 2016 £m Employee Saveshare Plans 42 40 27 Executive Share Plans: Incentive Share Plan (ISP) 16 – 21 Deferred Bonus Plan (DBP) 4 9 4 Retention Share Plan (RSP) a 21 8 1 Other plans 1 – 5 84 57 58 a Re-presented to show RSPs separately from other plans. Employee Saveshare Plans Under an HMRC-approved savings-related share option plan, employees save on a monthly basis, over a three or five-year period, towards the purchase of shares of BT Group plc at a fixed price determined when the option is granted. This price is usually set at a 20% discount to the market price for five-year plans and 10% for three-year plans. The options must be exercised within six months of maturity of the savings contract, otherwise they lapse. Similar plans operate for our overseas employees. Incentive Share Plan (ISP) Under the ISP, participants are only entitled to these shares of BT Group plc in full at the end of a three-year period if BT Group plc has met the relevant pre-determined corporate performance measures and if the participants are still employed by the group. For ISP awards granted in 2017/18, 2016/17 and 2015/16: 40% of each award is linked to a total shareholder return (TSR) target for a comparator group of companies from the beginning of the relevant performance period; 40% is linked to a three-year cumulative normalised free cash flow measure; and 20% to growth in underlying revenue excluding transit. Deferred Bonus Plan (DBP) Under the DBP, awards are granted annually to selected employees. Shares in BT Group plc are transferred to participants at the end of three years if they continue to be employed by the group throughout that period. Retention Share Plan (RSP) Under the RSP, awards are granted to selected employees. Shares of BT Group plc are transferred to participants at the end of a specified retention period if they continue to be employed by the group throughout that period. Under the terms of the ISP, DBP and RSP, dividends or dividend equivalents earned on shares of BT Group plc during the conditional periods are reinvested in company shares for the potential benefit of the participants. Employee Saveshare Plans Movements in Employee Saveshare options are shown below. Movement in the number of share options Weighted average exercise price Year ended 31 March 2018 millions 2017 millions 2016 millions 2018 pence 2017 pence 2016 pence Outstanding at 1 April 189 197 226 313 287 226 Granted 69 44 47 250 362 385 Forfeited (41 ) (18 ) (12 ) 328 345 306 Exercised (30 ) (33 ) (63 ) 169 208 139 Expired (12 ) (1 ) (1 ) 353 345 247 Outstanding at 31 March 175 189 197 306 313 287 Exercisable at 31 March – – – 320 237 140 The weighted average share price for all options exercised during 2017/18 was 311p (2016/17: 357p, 2015/16: 463p). The following table summarises information relating to options outstanding and exercisable under Employee Saveshare plans at 31 March 2018. Normal dates of vesting and exercise (based on calendar years) Exercise price per share Weighted average exercise price Number of outstanding options millions Weighted average remaining contractual life 2018 249p – 423p 306 p 25 10 months 2019 319p – 397p 333 p 53 22 months 2020 243p – 376p 307 p 44 34 months 2021 353p 353 p 17 46 months 2022 243p 243 p 36 58 months Total 306 p 175 33 months Executive share plans Movements in executive share plan awards during 2017/18 are shown below: Number of shares (millions) ISP DBP RSP Total At 1 April 2017 45 7 4 56 Awards granted 26 2 10 38 Awards vested – (3 ) (2 ) (5 ) Awards lapsed (20 ) – (1 ) (21 ) Dividend shares reinvested 3 – 1 4 At 31 March 2018 54 6 12 72 Fair values The following table summarises the fair values and key assumptions used for valuing grants made under the Employee Saveshare plans and ISP in 2017/18, 2016/17 and 2015/16. 2018 2017 2016 Year ended 31 March Employee Saveshare ISP Employee Saveshare ISP Employee Saveshare ISP Weighted average fair value 56p 202p 72p 328p 81p 364p Weighted average share price 296p 281p 422p 426p 454p 451p Weighted average exercise price 250p n/a 362p n/a 385p n/a Expected dividend yield 3.12% – 3.21% n/a 2.9% – 3.4% n/a 3.2% –3.7% n/a Risk free rates 0.1% – 0.2% 0.2% 0.5% – 0.8% 0.6% 0.7% – 1.6% 0.7% Expected volatility 23.1% – 24.3% 23.6% 19.0% – 21.5% 21.8% 19.7% –22.7% 22.0% Employee Saveshare grants are valued using a Binomial options pricing model. Awards under the ISP are valued using Monte Carlo simulations. TSRs are generated for BT and the comparator group at the end of the three-year performance period, using each company’s volatility and the cross correlation between pairs of stocks. Volatility has been determined by reference to BT Group plc’s historical volatility which is expected to reflect the BT Group plc’s share price in the future. An expected life of three months after vesting date is assumed for Employee Saveshare options. For all other awards the expected life is equal to the vesting period. The risk-free interest rate is based on the UK gilt curve in effect at the time of the grant, for the expected life of the option or award. The fair values for the DBP and RSP were determined using the market price of the shares at the grant date. The weighted average share price for DBP awards granted in 2017/18 was 282p (2016/17: 421p, 2015/16: 451p) and for RSP awards granted in 2017/18 it was 282p (2016/17: 417p, 2015/16: 420p). |
Investments
Investments | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Investments [Abstract] | |
Investments | 21. Investments At 31 March 2018 £m 2017 £m 2016 £m Non-current assets Available-for-sale 46 37 39 Amounts owed by ultimate parent company 2,983 1,371 1,409 Amounts owed by parent company 10,318 10,191 10,510 Fair value through profit or loss 7 7 7 13,354 11,606 11,965 Current assets Available-for-sale 2,575 1,437 2,878 Amounts owed by ultimate parent company 34 28 26 Amounts owed by parent company 168 192 327 Loans and receivables 447 83 40 3,224 1,740 3,271 Loans 18m 6: £ nil ). Fair value hierarchy At 31 March 2018 Level 1 £m Level 2 £m Level 3 £m Total held at fair value £m Non-current and current investments Available-for-sale investments 32 2,575 14 2,621 Fair value through profit or loss 7 – – 7 Total 39 2,575 14 2,628 At 31 March 2017 Level 1 £m Level 2 £m Level 3 £m Total held at fair value £m Non-current and current investments Available-for-sale investments 21 1,437 16 1,474 Fair value through profit or loss 7 – – 7 Total 28 1,437 16 1,481 At 31 March 2016 Level 1 £m Level 2 £m Level 3 £m Total held at fair value £m Non-current and current investments Available-for-sale investments 24 2,878 15 2,917 Fair value through profit or loss 7 – – 7 Total 31 2,878 15 2,924 The three levels of valuation methodology used are: Level 1 – uses quoted prices in active markets for identical assets or liabilities. Level 2 – uses inputs for the asset or liability other than quoted prices, that are observable either directly or indirectly. Level 3 – uses inputs for the asset or liability that are not based on observable market data, such as internal models or other valuation method. Level 2 balances classified as available-for-sale consist of investments in liquidity funds denominated in Sterling of £2,180m (2016/17: £900m, 2015/16: £2,430m) and in Euros of £395m (2016/17: £537m, 2015/16: £448m). The fair value of liquidity fund is calculated by using notional currency amounts adjusted by year end spot exchange rates. Level 3 balances consist of available-for-sale investments of £14m (2016/17: £16m, |
Cash and cash equivalents
Cash and cash equivalents | 12 Months Ended |
Mar. 31, 2018 | |
Cash And Cash Equivalents [Abstract] | |
Cash and cash equivalents | 22. Cash and cash equivalents At 31 March 2018 £m 2017 £m 2016 £m Cash at bank and in hand 439 467 893 Cash equivalents Loans and receivables US deposits 26 32 44 UK deposits 31 1 20 Other deposits 25 26 32 Total cash equivalents 82 59 96 Total cash and cash equivalents 521 526 989 Bank overdrafts (note 23) (29 ) (17 ) (537 ) Cash and cash equivalents per the cash flow statement 492 509 452 The group’s cash and cash equivalents include restricted cash of £32m (2016/17: £43m, 2015/16: £51m), of which £29m (2016/17: £41m, 2015/16: £44m) was held in countries where local capital or exchange controls currently prevent us from accessing cash balances. The remaining balance of £3m (2016/17: £2m, 2015/16: £7m) was held in escrow accounts, or in commercial arrangements akin to escrow. Cash equivalents are classified as loans and receivables and are held on the group balance sheet at amortised cost which equates to fair value. |
Loans and other borrowings
Loans and other borrowings | 12 Months Ended |
Mar. 31, 2018 | |
Text Block1 [Abstract] | |
Loans and other borrowings | 23. Loans and other bor r i Capital management policy The capital structure is managed by BT Group plc, the ultimate parent of the group. Its capital management policy is set out in the Report of the Directors The table below shows the key components of external gross debt and of the increase of £2,195m this year. At 1 April 2017 £m Issuance/ (maturities) £m Fair value movements £m Foreign exchange £m Transfer to within one year £m Accrued interest movements £m At 31 March 2018 £m Debt due within one year a 2,632 (1,401 ) (18 ) (95 ) 1,163 – 2,281 Debt due after one year 10,081 3,760 (60 ) (440 ) (1,347 ) – 11,994 Cash flows from Derivatives related to net debt – (188 ) – – 188 – – Overdrafts – 4 – – (4 ) – – Impact of cross-currency swaps b (1,419 ) – – 545 – – (874 ) Removal of the accrued interest and fair value adjustments c (314 ) – 78 – – 10 (226 ) External gross debt 10,980 2,175 – 10 – 10 13,175 a Including accrued interest and bank overdrafts . b Translation of debt balances at swap rates where hedged by cross currency swaps. c Removal of accrued interest applied to reflect the effective interest rate method and removal of fair value adjustments. The table below gives the details of the listed bonds and other debt. At 31 March 2018 £m 2017 £m 2016 £m 1.625% US$600m bond due June 2016 a – – 419 8.50% £678m bond due December 2016 (minimum 7.50% b – – 696 3.5% €500m bond due February 2017 a – – 398 1.25% US$500m bond due February 2017 a – – 348 6.625% £500m bond due June 2017 a – 526 525 5.95% US$1,100m bond due January 2018 a – 891 775 3.25% €600m bond due August 2018 a 541 539 510 2.35% US$800m bond due February 2019 a 572 642 558 4.38% £450m bond due March 2019 455 460 464 1.125% €1,000m bond due June 2019 a 883 863 800 8.625% £300m bond due March 2020 300 300 300 0.625% €1,500m bond due March 2021 a 1,309 1,282 1,190 0.5% €575m bond due June 2022 a 502 – – 1.125% €1,100m bond due March 2023 a 961 942 873 1% €575m bond due June 2024 a 506 – – 1% €1,100m bond due November 2024 a 959 – – 3.50% £250m index linked bond due April 2025 419 403 396 1.75% €1,300m bond due March 2026 a 1,137 1,113 1,032 1.5% €1,150m bond due June 2027 a 1,009 – – 5.75% £600m bond due December 2028 721 731 741 9.125% US$2,670m bond due December 2030 a b 1,943 2,191 1,910 3.125% £500m bond due November 2031 502 – – 6.375% £500m bond due June 2037 a 522 522 522 3.625% £250m bond due November 2047 250 – – Total listed bonds 13,491 11,405 12,457 Finance leases 223 229 233 LIBOR + 0.95% £438m Syndicated loan facilities due April 2016 – – 438 2.21% £350m bank loan due December 2017 – 352 354 Acquisition facility – – 181 Other loans 532 710 561 Bank overdrafts (note 22) 29 17 537 Amounts due to ultimate company c 1,061 1,183 1,024 Total other loans and borrowings 1,622 2,262 3,095 Total loans and borrowings 15,336 13,896 15,785 a Designated in a cash flow hedge relationship. b The interest rate payable on this bond attracts an additional 0.25% for a downgrade by one credit rating by either Moody’s or S&P to the group’s senior unsecured debt below A3/A–respectively. In addition, if Moody’s or S&P subsequently increase the ratings then the interest rate will be decreased by 0.25% for each rating category upgrade by each rating agency. In no event will the interest rate be reduced below the minimum rate reflected in the above table. c Amounts due to ultimate parent company are denominated in Sterling and incur a floating rate of interest based on LIBOR. Unless previously designated in a fair value hedge relationship, all loans and other borrowings are carried on our balance sheet at amortised cost and in the table above. The fair value of listed bonds and other long-term borrowings is £14,878m (2016/17: £13,496m, 2015/16: £14,500m) and the fair value of finance leases is £253m (2016/17: £273m, 2015/16: £284m). T h a u u b d o o g e b o w n g e b a i o u a e a o a uanc he t h e e h n o e o n a n b a n o d r a q a e a u u m a T h e a e p a a o o n a n b o w g l o e o p h n l e o a o o n g a n n o h n e a e i e h u p l a i o n a n i n e a p h e d a a g e n L o n o At 31 March 2018 £m 2017 £m 2016 £m Current liabilities Listed bonds 1,702 1,539 2,013 Finance leases 18 15 8 Bank loans – 352 – Syndicated loan facilities – – 619 Other loans and bank overdrafts a 561 726 1,096 Amounts due to ultimate parent company 17 159 20 Total current liabilities 2,298 2,791 3,756 Non-current liabilities Listed bonds 11,789 9,866 10,444 Finance leases 205 214 225 Bank loans – – 354 Other loans – 1 2 Amounts due to ultimate parent company 1,044 1,024 1,004 Total non-current liabilities 13,038 11,105 12,029 Total 15,336 13,896 15,785 a Incl u des c olla t eral r e cei v ed on sw a ps of £525m (2 0 16/ 1 7: £702 m , 20 15 /16: £553m). T h n l i o h b b e b a a e a o i o a d u e e n e a n a a u a d j u n t h l e n l n o b o o n h d e n a i n p a e e h a a f i o n o h e n e a i e g a i n p w h e h a l l w a i a e e l o w i ng a at 3 2 0 18 2 0 17 n 0 e n u The p n p a e a n o a n n o o g a e ge a e o £14,219 2 2 £14,756 a n e a d u a l w 2018 2017 2016 At 31 March Carrying amount £m Effect of hedging and interest £m Principal repayments at hedged rates £m Carrying amount £m Effect of hedging and interest £m Principal repayments at hedged rates £m Carrying amount £m Effect of hedging and interest £m Principal repayments at hedged rates £m Within one year, or on demand 2,289 (308 ) 1,981 2,791 (523 ) 2,268 3,756 (252 ) 3,504 Between one and two years 1,192 (66 ) 1,126 1,614 (197 ) 1,417 1,632 (216 ) 1,416 Between two and three years 1,332 (154 ) 1,178 1,166 (43 ) 1,123 1,488 (72 ) 1,416 Between three and four years 18 – 18 1,295 (121 ) 1,174 1,103 18 1,121 Between four and five years 1,489 (111 ) 1,378 12 – 12 1,199 (26 ) 1,173 After five years 8,943 (405 ) 8,538 6,868 (724 ) 6,144 6,428 (302 ) 6,126 Total due for repayment after more than one year 12,974 (736 ) 12,238 10,955 (1,085 ) 9,870 11,850 (598 ) 11,252 Total repayments 15,263 (1,044 ) 14,219 13,746 (1,608 ) 12,138 15,606 (850 ) 14,756 Fair value adjustments 73 150 179 Total loans and other borrowings 15,336 13,896 15,785 O b g n d a l e n l a l w 2018 2017 2016 2018 2017 2016 Minimum lease payments Repayment of outstanding lease obligations At 31 March £m £m £m £m Amounts payable under finance leases: Due within one year 33 29 13 18 14 8 Between two to five years 122 102 105 71 50 51 After five years 193 237 265 130 165 174 348 368 383 219 229 233 Less: future finance charges (129 ) (139 ) (150 ) – – – Fair value adjustments for purchase price adjustment 4 – – 4 – – Total finance lease obligations 223 229 233 223 229 233 Assets e b a b |
Finance expense
Finance expense | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Finance Income Expense [Abstract] | |
Finance expense | 24. Finance expense Year ended 31 March 2018 £m 2017 £m 2016 £m Finance expense Interest on: Financial liabilities at amortised cost and associated derivatives 478 567 489 Finance leases 16 15 14 Derivatives 14 12 11 Fair value movements on derivatives not in a designated hedge relationship 1 (2 ) (5 ) Reclassification of cash flow hedge from other comprehensive income 34 (1 ) 3 Unwinding of discount on provisions 15 16 8 Interest payable on ultimate parent company borrowings 18 25 20 Total finance expense before specific items 576 632 540 Specific items (note 8) 218 210 229 Total finance expense 794 842 769 Year ended 31 March 2018 £m 2017 £m 2016 £m Finance income Interest on available-for-sale investments 5 6 8 Interest on loans and receivables 7 7 6 Other interest and similar income – – 23 Interest income on loans to immediate and ultimate parent company 203 219 352 Total finance income 215 232 389 Year ended 31 March 2018 £m 2017 £m 2016 £m Net finance expense before specific items 361 400 151 Specific items (note 8) 218 210 229 Net finance expense 579 610 380 |
Financial instruments and risk
Financial instruments and risk management | 12 Months Ended |
Mar. 31, 2018 | |
Text Block1 [Abstract] | |
Financial instruments and risk management | 25. Financial instruments and risk management Risk management is performed by BT Group plc, the ultimate parent company of the group. We issue or hold financial instruments mainly to finance our operations; to finance corporate transactions such as dividends, share buybacks and acquisitions; for the temporary investment of short-term funds; and to manage currency and interest rate risks. In addition, various financial instruments, for example trade receivables and payables arise directly from operations. How do we manage financial risk? Our activities expose us to a variety of financial risks: market risk (including interest rate risk and foreign exchange risk), credit risk and liquidity risk. Treasury operation We have a centralised treasury operation whose primary role is to manage liquidity and funding requirements as well as our exposure to associated financial and market risks, including credit risk, interest rate risk and foreign exchange risk. Treasury policy Treasury policy is set by the BT Group plc Board. Group treasury activities are subject to a set of controls appropriate for the magnitude of borrowing, investments and group-wide exposures. The BT Group plc Board has delegated authority to operate these policies to a series of panels responsible for the management of key treasury risks and operations. Appointment to and removal from the key panels requires approval from two of the following: the chairman, the chief executive or the chief financial officer BT Group plc. There has been no change in the nature of our risk profile between 31 March 2018 and the date of approval of these financial statements. How do we manage interest rate risk? Management policy Interest rate risk arises primarily from our long-term borrowings. Interest cash flow risk arises from borrowings issued at variable rates, partially offset by cash held at variable rates. Fair value interest rate risk arises from borrowings issued at fixed rates. Our policy, as set by the BT Group plc Board, is to ensure that at least 70% of BT Group plc’s ongoing net debt is at fixed rates. Short-term interest rate management is delegated to the treasury operation while long-term interest rate management decisions require further approval by the BT Group plc group chief financial officer, group director tax, treasury and insurance or the group treasurer who each have been delegated such authority from the BT Group plc Board. Hedging strategy In order to manage our interest rate profile, we have entered into cross-currency and interest rate swap agreements to vary the amounts and periods for which interest rates on borrowings are fixed. The duration of the swap agreements matches the duration of the debt instruments. The majority of the group’s long-term borrowings are subject to fixed Sterling interest rates after applying the impact of these hedging instruments. How do we manage foreign exchange risk? Management policy Foreign currency hedging activities protect the group from the risk that changes in exchange rates will adversely affect future net cash flows. The BT Group plc Board’s policy for foreign exchange risk management defines the types of transactions typically covered, including significant operational, funding and currency interest exposures, and the period over which cover should extend for each type of transaction. The BT Group plc Board has delegated short-term foreign exchange management to the treasury operation and long-term foreign exchange management decisions require further approval from the BT Group plc group chief financial officer, group director tax, treasury and insurance or the group treasurer. Hedging strategy A significant proportion of our external revenue and costs arise within the UK and are denominated in Sterling. Our non-UK operations generally trade and are funded in their functional currency which limits their exposure to foreign exchange volatility. We enter into forward currency contracts to hedge foreign currency capital purchases, purchase and sale commitments, interest expense and foreign currency investments. The commitments hedged are principally denominated in US Dollar, Euro and Asia Pacific region currencies. As a result, our exposure to foreign currency arises mainly on non-UK subsidiary investments and on residual currency trading flows. We use cross-currency swaps to swap foreign currency borrowings into Sterling. The table below reflects the currency and interest rate profile of our loans and borrowings after the impact of hedging. 2018 2017 2016 At 31 March Fixed rate interest £m Floating rate interest £m Total £m Fixed rate interest £m Floating rate interest £m Total £m Fixed rate interest £m Floating rate interest £m Total £m Sterling 11,990 1,720 13,710 9,633 1,864 11,497 11,417 2,752 14,169 Euro – 509 509 – 641 641 – 587 587 Total 11,990 2,229 14,219 9,633 2,505 12,138 11,417 3,339 14,756 Ratio of fixed to floating 84% 16% 100% 79% 21% 100% 77% 23% 100% Weighted average effective fixed interest rate – Sterling 4.4% 4.9% 6.0% The floating rate loans and borrowings bear interest rates fixed in advance for periods ranging from one day to one year, primarily by reference to LIBOR quoted rates. Sensitivity analysis The income statement and shareholder’s equity are exposed to volatility arising from changes in interest rates and foreign exchange rates. To demonstrate this volatility, management have concluded that the following are reasonable benchmarks for performing sensitivity analysis: – For interest, a 1% increase in interest rates and parallel shift in yield curves across Sterling, US Dollar and Euro currencies. – For foreign exchange, a 10% strengthening/weakening in Sterling against other currencies. The impact on equity, before tax, of a 1% increase in interest rates and a 10% strengthening in Sterling against other currencies is as detailed below: At 31 March 2018 £m Increase (reduce) 2017 £m Increase (reduce) 2016 £m Increase (reduce) Sterling interest rates 628 554 626 US Dollar interest rates (267 ) (348 ) (374 ) Euro interest rates (401 ) (229 ) (263 ) Sterling strengthening (236 ) (269 ) (98 ) A 1% decrease in interest rates and 10% weakening in Sterling against other currencies would have broadly the same impact in the opposite direction. The impact on the group’s annual net finance expense of a 1% change in interest rates would have been a decrease of £143m (2016/17: £108m, 2015/16: £123m). Our exposure to foreign exchange volatility in the income statement, after hedging, (excluding translation exposures) would not have been material in 2017/18, 2016/17 and 2015/16. Credit ratings BT Group plc continues to target a BBB+/Baa1 credit rating over the cycle. We regularly review the liquidity of the group and our funding strategy takes account of medium-term requirements. These include the pension deficit and shareholder distributions. Our December 2030 bond contains covenants which require us to pay higher rates of interest since our credit ratings fell below A3 in the case of Moody’s or A– in the case of Standard & Poor’s (S&P). Additional interest of 0.25% per year accrues for each ratings category downgrade by each agency below those levels effective from the next coupon date following a downgrade. Based on the total notional value of debt outstanding of £1.9bn at 31 March 2018, our finance expense would increase/decrease by approximately £10m a year if the group’s credit rating were to be downgraded/upgraded, respectively, by one credit rating category by both agencies. Our credit ratings were as detailed below: 2018 2017 2016 At 31 March Rating Outlook Rating Outlook Rating Outlook Rating agency Moody’s Baa2 Stable Baa1 Negative Baa2 Positive Standard & Poor’s BBB+ Negative BBB+ Negative BBB Positive How do we manage liquidity risk? Management policy We maintain liquidity by entering into short and long-term financial instruments to support operational and other funding requirements, determined using short and long-term cash forecasts. These forecasts are supplemented by a financial headroom analysis which is used to assess funding adequacy for at least a 12-month period. On at least an annual basis the BT Group plc Board reviews and approves the long-term funding requirements of the group and on an ongoing basis considers any related matters. We manage refinancing risk by limiting the amount of borrowing that matures within any specified period and having appropriate strategies in place to manage refinancing needs as they arise. The maturity profile of our loans and borrowings at 31 March 2018 is disclosed in note 23. We have term debt maturities of £1.6bn in 2018/19. Our treasury operation reviews and manages our short-term requirements within the parameters of the policies set by the BT Group plc Board. We hold cash, cash equivalents and current investments in order to manage short-term liquidity requirements. At 31 March 2018 we had undrawn committed borrowing facilities of £2.1bn (2016/17: £2.1bn, 2015/16: £1.5bn) maturing in September 2021. The group has no material debt factoring arrangements in place. In the UK, the group has arranged for a funder to offer a supplier financing scheme to the group’s suppliers. This enables suppliers who sign up to the arrangement to sell their invoices to the funder and to be paid earlier than the invoice due date. The group assesses the arrangement against indicators to assess if debts which vendors have sold to the funder under the supplier financing scheme continue to meet the requirement to be disclosed as trade payables or should be classified as borrowings. At 31 March 2018 the payables met the criteria of trade payables. Maturity analysis The following table provides an analysis of the remaining contractually-agreed cash flows including interest payable for our non- derivative financial liabilities on an undiscounted basis, which therefore differs from both the carrying value and fair value. Non-derivative financial liabilities At 31 March 2018 Loans and other borrowings £m Interest on loans and other borrowings £m Trade and other payables £m Provisions £m Total £m Due within one year 2,120 468 4,961 54 7,603 Between one and two years 1,192 421 – 34 1,647 Between two and three years 1,332 381 – 25 1,738 Between three and four years 18 374 – 43 435 Between four and five years 1,489 372 – 19 1,880 After five years 8,943 3,300 – 197 12,440 15,094 5,316 4,961 372 25,743 Interest payments not yet accrued – (5,147 ) – – (5,147 ) Fair value adjustment 73 – – – 73 Impact of discounting – – – (72 ) (72 ) Carrying value on the balance sheet a 15,167 169 4,961 300 20,597 a Foreign currency-related cash flows were translated at closing rates as at the relevant reporting date. Future variable interest rate cash flows were calculated using the most recent rate applied at the relevant balance sheet date. Non-derivative financial liabilities At 31 March 2017 Loans and other borrowings £m Interest on loans and other borrowings £m Trade and other payables £m Provisions £m Total £m Due within one year 2,602 532 5,298 62 8,494 Between one and two years 1,614 415 – 41 2,070 Between two and three years 1,166 364 – 21 1,551 Between three and four years 1,295 327 – 18 1,640 Between four and five years 12 319 – 17 348 After five years 6,868 2,726 – 310 9,904 13,557 4,683 5,298 469 24,007 Interest payments not yet accrued – (4,494 ) – – (4,494 ) Fair value adjustment 150 – – – 150 Impact of discounting – – – (177 ) (177 ) Carrying value on the balance sheet a 13,707 189 5,298 292 19,486 a Foreign currency-related cash flows were translated at closing rates as at the relevant reporting date. Future variable interest rate cash flows were calculated using the most recent rate applied at the relevant balance sheet date. Non-derivative financial liabilities At 31 March 2016 Loans and other borrowings £m Interest on loans and other borrowings £m Trade and other payables £m Provisions £m Total £m Due within one year 3,558 513 5,346 50 9,467 Between one and two years 1,632 435 – 30 2,097 Between two and three years 1,488 357 – 25 1,870 Between three and four years 1,103 343 – 15 1,461 Between four and five years 1,199 308 – 16 1,523 After five years 6,428 2,885 – 326 9,639 15,408 4,841 5,346 462 26,057 Interest payments not yet accrued – (4,643 ) – – (4,643 ) Fair value adjustment 179 – – – 179 Impact of discounting – – – (166 ) (166 ) Carrying value on the balance sheet a 15,587 198 5,346 296 21,427 a Foreign currency-related cash flows were translated at closing rates as at the relevant reporting date. Future variable interest rate cash flows were calculated using the most recent rate applied at the relevant balance sheet date. Trade and other payables are held at amortised cost. The carrying amount of these balances approximates to fair value due to the short maturity of amounts payable. The following table provides an analysis of the contractually agreed cash flows in respect of the group’s derivative financial instruments. Cash flows are presented on a net or gross basis in accordance with the settlement arrangements of the instruments. Derivatives – Analysed by earliest payment date a Derivatives – Analysed based on holding instrument to maturity Derivative financial liabilities At 31 March 2018 Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Due within one year 140 587 (547 ) 180 91 587 (547 ) 131 Between one and two years 135 183 (166 ) 152 91 183 (166 ) 108 Between two and three years 156 442 (446 ) 152 85 69 (47 ) 107 Between three and four years 143 52 (29 ) 166 80 68 (47 ) 101 Between four and five years 161 52 (29 ) 184 80 68 (47 ) 101 After five years 291 2,234 (2,149 ) 376 599 2,575 (2,512 ) 662 Total b 1,026 3,550 (3,366 ) 1,210 1,026 3,550 (3,366 ) 1,210 b Derivatives – Analysed by earliest payment date a Derivatives – Analysed based on holding instrument to maturity Derivative financial liabilities At 31 March 2017 Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Due within one year 291 582 (576 ) 297 92 582 (576 ) 98 Between one and two years 296 1,139 (1,097 ) 338 92 1,139 (1,097 ) 134 Between two and three years 198 – – 198 92 – – 92 Between three and four years 114 – – 114 88 – – 88 Between four and five years 104 – – 104 83 – – 83 After five years 123 – – 123 679 – – 679 Total b 1,126 1,721 (1,673 ) 1,174 1,126 1,721 (1,673 ) 1,174 Derivatives – Analysed by earliest payment date a Derivatives – Analysed based on holding instrument to maturity Derivative financial liabilities At 31 March 2016 Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Due within one year 268 263 (250 ) 281 91 263 (250 ) 104 Between one and two years 386 38 (27 ) 397 88 38 (27 ) 99 Between two and three years 371 38 (27 ) 382 88 38 (27 ) 99 Between three and four years 60 838 (836 ) 62 90 838 (836 ) 92 Between four and five years 81 17 (18 ) 80 84 17 (18 ) 83 After five years – 165 (180 ) (15 ) 725 165 (180 ) 710 Total b 1,166 1,359 (1,338 ) 1,187 1,166 1,359 (1,338 ) 1,187 a Certain derivative financial instruments contain break clauses whereby either the group or bank counterparty can terminate the swap on certain dates and the mark to market position is settled in cash. b How do we manage credit risk? Management policy Our exposure to credit risk arises from financial assets transacted by the treasury operation (primarily derivatives, investments, cash and cash equivalents) and from trading-related receivables. For treasury-related balances, the BT Group plc Board’s defined policy restricts exposure to any one counterparty by setting credit limits based on the credit quality as defined by Moody’s and S&P. The minimum credit ratings permitted with counterparties in respect of new transactions are A3/A– for long-term and P1/A1 for short-term investments. If counterparties in respect of existing transactions fall below the permitted criteria we will take action where appropriate. The treasury operation continuously reviews the limits applied to counterparties and will adjust the limit according to the nature and credit standing of the counterparty, and in response to market conditions, up to the maximum allowable limit set by the BT Group plc Board. Operational management policy Our credit policy for trading-related financial assets is applied and managed by each of the customer-facing units to ensure compliance. The policy requires that the creditworthiness and financial strength of customers are assessed at inception and on an ongoing basis. Payment terms are set in accordance with industry standards. Where appropriate, we may minimise risks by requesting securities such as deposits, guarantees and letters of credit. We take proactive steps including constantly reviewing credit ratings of counterparties to minimise the impact of adverse market conditions on trading-related financial assets. Exposures The maximum credit risk exposure of the group’s financial assets at the balance sheet date is as follows: At 31 March Notes 2018 £m 2017 £m 2016 £m Derivative financial assets 1,509 2,246 1,639 Investments 21 16,578 13,346 15,236 Trade and other receivables c 16 2,533 2,754 2,884 Cash and cash equivalents 22 521 526 989 21,141 18,872 20,748 c The carrying amount excludes £317m (2016/17: £360m, 2015/16: £218m) of non-current trade and other receivables which relate to non-financial assets, and £1,496m (2016/17: £1,106m, 2015/16: £1,103m) of prepayments and other receivables. The credit quality and credit concentration of cash equivalents, current asset investments and derivative financial assets are detailed in the tables below. Where the opinion of Moody’s and S&P differ, the lower rating is used. Moody’s/S&P credit rating of counterparty 2018 £m 2017 £m 2016 £m Aa2/AA and above 2,575 1,444 2,878 Aa3/AA– 313 208 120 A1/A+ a 651 952 64 A2/A a 628 370 939 A3/A– a 180 204 160 Baa1/BBB+ a 59 561 492 Baa2/BBB and below a 207 86 – 4,613 3,825 4,653 a We hold cash collateral of £492m (2016/17: £702m, 2015/16: £553m) in respect of derivative financial assets with certain counterparties. The concentration of credit risk for our trading balances is provided in note 16, which analyses outstanding balances by customer-facing unit. Where multiple transactions are undertaken with a single financial counterparty or group of related counterparties, we enter into netting arrangements to reduce our exposure to credit risk by making use of standard International Swaps and Derivatives Association (ISDA) documentation. We have also entered into credit support agreements with certain swap counterparties whereby, on a daily, weekly and monthly basis, the fair value position on notional £3,162m of long dated cross-currency swaps and interest rate swaps is collateralised. The related net cash outflow during the year was £220m (2016/17: inflow £100m, 2015/16: inflow £79m). The collateral paid and received is recognised within current asset investments and loans and other borrowings, respectively. Offsetting of financial instruments The table below shows our financial assets and liabilities that are subject to offset in the group’s balance sheet and the impact of enforceable master netting or similar agreements. Related amounts not set off in the balance sheet Financial assets and liabilities At 31 March 2018 Amounts presented in the balance sheet £m Right of set off with derivative counterparties £m Cash collateral £m Net amount £m Derivative financial assets 1,509 (754 ) (492 ) 263 Derivative financial liabilities (837 ) 754 60 (23 ) Total 672 – (432 ) 240 Related amounts not set off in the balance sheet Financial assets and liabilities At 31 March 2017 Amounts presented in the balance sheet £m Right of set off with derivative counterparties £m Cash collateral £m Net amount £m Derivative financial assets 2,246 (693 ) (702 ) 851 Derivative financial liabilities (903 ) 693 64 (146 ) Total 1,343 – (638 ) 705 Related amounts not set off in the balance sheet Financial assets and liabilities At 31 March 2016 Amounts presented in the balance sheet £m Right of set off with derivative counterparties £m Cash collateral £m Net amount £m Derivative financial assets 1,639 (456 ) (553 ) 630 Derivative financial liabilities (911 ) 456 40 (415 ) Total 728 – (513 ) 215 Derivatives All of our derivative financial instruments are held at fair value on the balance sheet. The fair values of outstanding swaps and foreign exchange contracts are estimated using discounted cash flow models and market rates of interest and foreign exchange at the balance sheet date. At 31 March 2018 Current asset £m Non-current asset £m Current liability £m Non-current liability £m Designated in a cash flow hedge 187 1,061 41 587 Other 10 251 9 200 Total derivatives 197 1,312 50 787 At 31 March 2017 Current asset £m Non-current asset £m Current liability £m Non-current liability £m Designated in a cash flow hedge 417 1,508 25 616 Other 11 310 9 253 Total derivatives 428 1,818 34 869 At 31 March 2016 Current asset £m Non-current asset £m Current liability £m Non-current liability £m Designated in a cash flow hedge 166 1,158 40 618 Other 11 304 8 245 Total derivatives 177 1,462 48 863 All derivative financial instruments are categorised at Level 2 of the fair value hierarchy as defined in note 21, with the exception of a derivative energy contract which is classified at Level 3. The energy derivative was renegotiated during 2016/17 and has been designated as a cash flow hedge. On initial recognition of this contract a loss of £8m was deferred. The fair value of the energy derivative at 31 March 2018 was a liability of £1m (2016/17: liability of £8m, 2015/16: £nil ). It has been valued using assumptions on volumes, inflation and energy prices. Hedging activities Derivatives may qualify as hedges for accounting purposes if they meet the criteria for designation as fair value hedges or cash flow hedges in accordance with IAS 39. Cash flow hedges Instruments designated in a cash flow hedge include interest rate swaps and cross-currency swaps hedging Euro- and US Dollar- denominated borrowings. Forward currency contracts are taken out to hedge step-up interest on currency denominated borrowings relating to the group’s 2030 US Dollar bond. The hedged cash flows will affect the group’s income statement as interest and principal amounts are repaid over the remaining term of the borrowings (see note 23). We hedge forecast foreign currency purchases, principally denominated in US Dollar, Euro and Asia Pacific currencies 12 months forward with certain specific transactions hedged further forward. The related cash flows are recognised in the income statement over this period. All cash flow hedges were effective in the period. See note 26 for details of the movements in the cash flow reserve. Other derivatives Our policy is not to use derivatives for speculative purposes. However, due to the complex nature of hedge accounting under IAS 39, some derivatives may not qualify for hedge accounting, or are specifically not designated as a hedge where natural offset is more appropriate. Derivative instruments that do not qualify for hedge accounting are classified as held for trading and held at fair value through profit or loss under IAS 39. |
Other reserves
Other reserves | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Other Reserves [Abstract] | |
Other reserves | 26. O t Other comprehensive income Cash flow reserve £m a Available- for-sale reserve £m b Translation reserve £m c Merger and other reserves £m d Total £m At 1 April 2015 55 18 278 858 1,209 Exchange differences – – 29 – 29 Net fair value gain on cash flow hedges 381 – – – 381 Recognised in income and expense (230 ) – – – (230 ) Fair value movement on available-for-sale assets – (2 ) – – (2 ) Tax recognised in other comprehensive income (33 ) – 38 – 5 At 1 April 2016 173 16 345 858 1,392 Exchange differences – – 227 – 227 Net fair value gain on cash flow hedges 884 – – – 884 Recognised in income and expense (938 ) – – – (938 ) Fair value movement on available-for-sale assets – (3 ) – – (3 ) Tax recognised in other comprehensive income 8 – 21 – 29 At 31 March 2017 127 13 593 858 1,591 Exchange differences e – – (188 ) – (188 ) Net fair value loss on cash flow hedges (368 ) – – – (368 ) Recognised in income and expense 277 – – – 277 Fair value movement on available-for-sale assets – 11 – – 11 Tax recognised in other comprehensive income 10 – (9 ) – 1 Transfer to realised profit (83 ) – – – (83 ) At 31 March 2018 (37 ) 24 396 858 1,241 a The cash flow reserve is used to record the effective portion of the cumulative net change in the fair value of cash flow hedging instruments related to hedged transactions that have not yet occurred. Amounts ‘recognised in income and expense’ include a net credit to the cash flow reserve of £295m (2016/17: charge of £941m, 2015/16: charge of £255m) relating to fair value movements on derivatives. The items generating these foreign exchange movements are in designated cash flow hedge relationships. b The available-for-sale reserve is used to record the cumulative fair value gains and losses on available-for-sale financial assets. The cumulative gains and losses are recycled to the income statement on disposal of the assets. c The translation reserve is used to record cumulative translation differences on the assets and liabilities of foreign operations. The cumulative translation differences are recycled to the income statement on disposal of the foreign operation. d Excludes £1m (2016/17: £10m, 2015/16: £nil) of exchange differences in relation to retained earnings attributed to non-controlling interests . |
Directors emoluments and pensio
Directors emoluments and pensions | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Defined Benefit Plans [Abstract] | |
Directors emoluments and pensions | 27. Directors’ emoluments and pensions The directors at 31 March 2018 were Glyn Parry who served throughout 2017/18 and Patrick Bradley, Neil Harris and Simon Lowth who were appointed on 17 October 2017. Sean Williams served as a director until 29 September 2017 and Linda Bruce-Watt served as a director from 29 September 2017 until 17 October 2017. For the year ended 31 March 2018 the aggregate emoluments of the directors excluding deferred bonuses of £319,000 (2016/17: £88,000) was £2,525,000 (2016/17: £1,149,000). Deferred bonuses are payable in 5p ordinary shares of BT Group plc in three years’ time subject to continuous employment. Retirement benefits were accruing to no directors (2016/17: one) under a money purchase scheme. During the year no director exercised options (2016/17: none) under BT Group share option plans. Six directors who held office for the whole or part of the year (2016/17: three) received or are entitled to receive 5p ordinary shares of BT Group plc under BT long-term incentive plans. The aggregate value of BT Group plc shares which vested to directors during the year under BT long-term incentive plans was £179,000 (2016/17: £2,646,000). The emoluments of the highest paid director excluding his deferred bonus of £302,400 (2016/17: £36,000) were £1,538,000 (2016/17: £492,000). He is entitled to receive 1,612,997 BT Group plc 5p ordinary shares under BT long-term incentive plans subject to continuous employment and in some cases to certain performance conditions being met. Included in the above aggregate emoluments are those of Simon Lowth who is also a director of the ultimate holding company, BT Group plc. The directors do not believe it is practicable for the purposes of this report to apportion the amount of total emoluments received by him between his services as director of the company and his services as director of BT Group plc. The emoluments of the directors are calculated in accordance with the statutory provisions applicable to the company. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Transactions Between Related Parties [Abstract] | |
Related Party Transactions | 28. t e r i Key management personnel comprise executive and non-executive directors and members of the BT Group plc Executive Committee . Amounts paid to the group’s retirement benefit plans are set out in note 19. British Telecommunications plc and certain of its subsidiaries act as a funder and deposit taker for cash related transactions for both its parent and ultimate parent company. The loan arrangements described below with these companies reflect this. Cash transactions usually arise where the parent and ultimate parent company are required to meet their external payment obligations or receive amounts from third parties. These principally relate to the payment of dividends, the buyback of shares, the exercise of share options and the issuance of ordinary shares. Transactions between the ultimate parent company, parent company and the group are settled on both a cash and non-cash basis through these loan accounts depending on the nature of the transaction. In 2001/02 the group demerged its former mobile phone business and as a result BT Group plc became the listed ultimate parent company of the remaining group. The demerger steps resulted in the formation of an intermediary holding company, BT Group Investments Limited, between BT Group plc and British Telecommunications plc. This intermediary company held an investment of £18.5bn in British Telecommunications plc which was funded by an intercompany loan facility with British Telecommunications plc. No dividend was declared in relation to the year ended 31 March 2017 and therefore there was no settlement in the year ended 31 March 2018 (31 March 2017: £2,350m). A dividend of £2,500m has been declared in relation to the year ended 31 March 2018. This was declared after 31 March 2018 so no liability (amount owed to parent company) is recorded in these financial statements. See note 10 and the group statement of changes in equity. The loan facilities with both the parent company and ultimate parent company accrue interest at a rate of LIBOR plus 102.5 basis points, and are subject to an overall maximum of £25bn and £10bn respectively. The parent company currently finances its obligations on the loan as they fall due through dividends paid by the company. In 2015/16 the ultimate parent company of the group raised £1.0bn from an equity placing and entered into an additional intercompany loan agreement with British Telecommunications plc for this amount. This amount was raised to support BT Group plc’s planned acquisition of EE. A summary of the balances with the parent and ultimate parent companies and the finance income or expense arising in respect of these balances is set out below: 2018 2017 2016 Notes Asset (liability) at 31 March £m Finance income (expense) £m Asset (liability) at 31 March £m Finance income (expense) £m Asset (liability) at 31 March £m Finance income (expense) £m Amounts owed by (to) parent company Loan facility – non-current assets investments 21,24 10,318 169 10,191 191 10,510 326 Loan facility – current asset investments 21 168 n/a 192 n/a 327 n/a Trade and other payables 17 (50 ) n/a (63 ) n/a (70 ) n/a Amounts owed by (to) ultimate parent company a Non-current assets investments 21,24 2,983 34 1,371 28 1,409 26 Non-current liabilities loans 23 (1,044 ) (18 ) (1,024 ) (25 ) (1,004 ) (20 ) Trade and other receivables 16 15 n/a 25 n/a 9 n/a Current asset investments 21 34 n/a 28 n/a 26 n/a Current liabilities loans 23 (18 ) – (159 ) – (20 ) – a During the year we made cash payments of £1,722m to BT Group plc offset by the receipt of £45m from BT Group plc resulting in net cash outflow of £1,677m. In addition there are non cash movements of £63m on non-current asset investments relating to interest on loans, employee share schemes and tax settlements made by BT plc on behalf of BT Group plc. |
Financial commitments and conti
Financial commitments and contingent liabilities | 12 Months Ended |
Mar. 31, 2018 | |
Financial Commitments [Abstract] | |
Financial commitments and contingent liabilities | 29. Financial commitments and contingent liabilities Financial commitments were as follows: At 31 March 2018 £m 2017 £m Capital commitments 993 889 Other commitments 362 367 Device purchase commitments 262 423 TV programme rights commitments 2,823 2,644 Total 4,440 4,323 TV programme rights commitments, mainly relating to football broadcast rights, are those for which the licence period has not yet started. Future minimum operating lease payments were as follows: 2018 £m 2017 £m Payable in the year ending 31 March: 2018 – 650 2019 600 610 2020 550 558 2021 513 532 2022 486 505 2023 463 475 Thereafter 3,985 3,830 Total future minimum operating lease payments 6,597 7,160 O p n e o i t e a n p l i i n g w h a a n p a t i e e b a n a 2 0 0 1 L e a a a ag t e 4 a 2 16/ 7 e n n a l f i e o a e g ea 2 16/ 7 15 Oth e a i o e o e e o g e n i b i i u n e a 0 h e h o i i t h Commitments and guarantees BDUK Under the Broadband Delivery UK programme, grants received by the group may be subject to reinvestment or repayment to the customer depending on the level of take-up. Te l e ó e s W e p d g u a n e a e a e e e n t e e n e e ó i e o e th d e e o o 1 e e 2 1 l n p a o e l e n p e ua n e h r n e o h e n o e d e a e e m u t e d e f e a u u e o b g a n h g u a n e n i e ó U L e a d a e i t o b i o Legal The group is involved in various legal proceedings, including actual or threatened litigation, government or regulatory investigations. However, save as disclosed below, the group does not currently believe that there are any legal proceedings, or government or regulatory investigations that may have a material adverse impact on the operations or financial condition of the group. In respect of each of the claims below, the nature and progression of such proceedings and investigations can make it difficult to predict the impact they will have on the group. There are many reasons why we cannot make these assessments with certainty, including, among others, that they are in early stages, no damages or remedies have been specified, and/or the often slow pace of litigation. It a l u In the prior year, our parent company, BT Group plc, made an announcement with respect to the investigation into our Italian business. The issues in Italy have also resulted in engagement with certain of our regulators and other authorities. We are cooperating fully with these bodies. Following this announcement, three purported securities class action complaints were filed against BT Group plc and certain current and former officers in United States courts. The two actions brought in New York have since been voluntarily dismissed by the plaintiffs in those actions. On 21 November 2017, the lead plaintiff in the District of New Jersey action filed an amended complaint brought on behalf of purchasers of BT Group ADRs between May 2013 and January 2017, regarding allegations that BT Group plc made materially false and/or misleading statements during the class period. On 22 January 2018 BT Group plc filed a motion to dismiss the amended complaint and the plaintiffs filed their reply to that motion on 23 March 2018. BT Group plc filed a response to their reply on 7 May 2018 and expect the court to schedule oral argument on the motion. Phones 4U In December 2016, the administrators of Phones 4U Limited (P4U) started legal proceedings in the High Court in the United Kingdom against EE, claiming payments under a retail trading agreement for sums then due in respect of revenues (net of costs) from certain customers prior to P4U entering administration. This sharing of revenue under the retail trading agreement was due to continue until September 2019, with related payments continuing until April 2021. On 8 May 2018 we reached a confidential agreement with the administrators of P4U to settle this matter. This settlement is in line with the accruals we held to cover potential payments required by EE. Since 2015 the administrators have separately made allegations that EE and other mobile network operators colluded to procure P4U’s insolvency. We dispute these allegation vigorously and to date no proceedings have been issued. Hutchinson 3G Limited In May 2016, Hutchinson 3G Limited (H3G) brought legal proceedings in the High Court in the United Kingdom against EE, alleging breach of contract relating to alleged delays in the roll out of certain free carrier coverage to H3G. H3G is entitled to this free carrier coverage under arrangements agreed following the merger of Orange and T-Mobile, predecessors of EE. H3G claimed damages relating to loss of business of £167m. During the year the parties have resolved this matter to their mutual satisfaction and have discontinued the High Court proceedings. Brazilian tax claims The Brazilian state tax authorities have made tax demands against certain Brazilian subsidiaries relating to the Tax on Distribution of Goods and Services (ICMS), an indirect tax imposed on the provision of telecommunications services in Brazil. The state tax authorities are seeking to impose ICMS on revenues earned on activities that the company does not consider as being part of the tax Regulatory matters In respect of regulatory risks, the group provides for anticipated costs where an outflow of resources is considered probable and a reasonable estimate can be made of the likely outcome. Estimates are used in assessing the likely value of the regulatory risk. The ultimate liability may vary from the amounts provided and will be dependent upon the eventual outcome of any settlement. We hold provisions for regulatory risks. These provisions cover the following issues: Deemed Consent Deemed Consent is an agreed process between Openreach and its Communications Provider (CP) customers, which allows Openreach to halt the installation and reschedule the delivery date for providing dedicated business services (known as Ethernet) in a number of specific circumstances where it is beyond its control. Ofcom found that Openreach had breached its contractual and regulatory obligations by inadequately and retrospectively applying Deemed Consent to reduce compensation payments to CPs between January 2013 and December 2014. We continue to estimate the total compensation payments will amount to around £300m. However, the precise amount will result from discussions with affected parties, and could result in lower or higher payments. Other regulatory matters The remaining provision reflects management’s estimates of regulatory risks across a range of issues, including price and service issues. The precise outcome of each matter depends on whether it becomes an active issue, and the extent to which negotiation or regulatory decision will result in financial settlement. |
Post Balance Sheet Events
Post Balance Sheet Events | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Nonadjusting Events After Reporting Period [Abstract] | |
Post Balance Sheet Events | 30. Post balance sheet events Changes to our segments From 1 April 2018, our existing BT Consumer and EE divisions have been brought together into a combined division, Consumer, to drive converged products and accelerate transformation. From 1 October 2018, our existing Business and Public Sector and Wholesale and Ventures divisions will be brought together into a combined division, Enterprise, to accelerate transformation, simplify our operating model and strengthen accountabilities. These businesses operated and were reported separately throughout 2017/18 and therefore have been presented as separate operating segments throughout these accounts. These organisational changes do not impact the results of Global Services or Openreach and there is no impact on the total group results, balance sheet or cash flows. There are no internal revenue and costs between EE and BT Consumer. In 2017/18, there were £32m (2016/17: £22m, 2015/16: £24m) of internal revenue and costs between Business and Public Sector and Wholesale and Ventures. We have set out below the segment analysis outlining the impacts of this change that will be applicable to the annual financial statements for 2018/19. Full details of the internal revenue and costs at the disaggregated level are provided in note 4. Segment revenue and profit Year ended 31 March 2018 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Segment revenue 10,360 6,540 5,013 5,123 8 27,044 Internal revenue (103 ) (217 ) – (2,978 ) – (3,298 ) Revenue from external customers a 10,257 6,323 5,013 2,145 8 23,746 EBITDA b 2,376 2,172 434 2,520 6 7,508 Depreciation and amortisation (992 ) (676 ) (424 ) (1,360 ) (62 ) (3,514 ) Operating profit (loss) a 1,384 1,496 10 1,160 (56 ) 3,994 Specific items (610 ) Operating profit 3,384 Net finance expense c (579 ) Share of post tax loss of associates and joint ventures (1 ) Profit before tax 2,804 a Before specific items. b EBITDA is stated before specific items and is the group’s profitability measure for segments. c Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). Year ended 31 March 2017 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Segment revenue 10,024 6,845 5,479 5,098 10 27,456 Internal revenue (100 ) (238 ) – (3,036 ) – (3,374 ) Revenue from external customers a 9,924 6,607 5,479 2,062 10 24,082 EBITDA b 2,168 2,362 495 2,633 (10 ) 7,648 Depreciation and amortisation (989 ) (658 ) (439 ) (1,369 ) (55 ) (3,510) Operating profit (loss) a 1,179 1,704 56 1,264 (65 ) 4,138 Specific items (968) Operating profit 3,170 Net finance expense c (610 ) Share of post tax loss of associates and joint ventures (9 ) Profit before tax 2,551 Year ended 31 March 2016 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Segment revenue 5,449 6,544 5,074 5,100 11 22,178 Internal revenue (72 ) (169 ) – (3,058 ) – (3,299 ) Revenue from external customers a 5,377 6,375 5,074 2,042 11 18,879 EBITDA b 1,228 2,169 479 2,659 (77 ) 6,458 Depreciation and amortisation (353 ) (537 ) (422 ) (1,301 ) (18 ) (2,631 ) Operating profit (loss) a 875 1,632 57 1,358 (95 ) 3,827 Specific items (212 ) Operating profit 3,615 Net finance expense c (380 ) Share of post tax loss of associates and joint ventures 6 Profit before tax 3,241 a Before specific items. b EBITDA is stated before specific items and is the group’s profitability measure for segments. c Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). Internal revenue and costs Year ended 31 March 2018 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Internal revenue recorded by Consumer – 65 20 – 18 103 Enterprise 67 – 42 42 66 217 Global Services – – – – – – Openreach 896 442 125 – 1,515 2,978 Total 963 507 187 42 1,599 3,298 Year ended 31 March 2017 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Internal revenue recorded by Consumer – 62 20 – 18 100 Enterprise 63 – 62 39 74 238 Global Services – – – – – – Openreach 910 496 158 – 1,472 3,036 Total 973 558 240 39 1,564 3,374 Year ended 31 March 2016 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Internal revenue recorded by Consumer – 31 23 – 18 72 Enterprise 73 – 40 56 – 169 Global Services – – – – – – Openreach 905 526 173 – 1,454 3,058 Total 978 557 236 56 1,472 3,299 Capital expenditure Year ended 31 March 2018 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Intangible assets 236 180 92 70 64 642 Property, plant and equipment 683 353 186 1,588 70 2,880 Capital expenditure a 919 533 278 1,658 134 3,522 Year ended 31 March 2017 Consumer £m BT Enterprise £m Global Services £m Openreach £m Other £m Total £m Intangible assets 225 141 126 74 55 621 Property, plant and equipment 628 360 235 1,499 111 2,833 Capital expenditure a 853 501 361 1,573 166 3,454 Year ended 31 March 2016 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Intangible assets 117 106 62 62 65 412 Property, plant and equipment 186 256 293 1,385 90 2,210 Capital expenditure a 303 362 355 1,447 155 2,622 a Net of government grants. As at 31 March 2018, Consumer had 18,200 (2016/17: 17,900, 2015/16: 15,700) employees and an average of 18,000 (2016/17: 16,800, 2015/16: 7,600) for the year on a full-time equivalent basis. Enterprise had 13,900 as at 31 March 2018 (2016/17: 14,100, 2015/16: 14,000) and an average of 14,200 for the year ended 31 March 2018 (2016/17: 13,900, 2015/16: 13,100). Consumer had trade receivables not passed due of £363m (2016/17: £463m, 2015/16: £405m) and accrued income of £208m (2016/17: £260m, 2015/16: £395m) as at 31 March 2018. Enterprise had trade receivables not passed due of £345m (2016/17: £275m, 2015/16: £191m) and accrued income of £279m (2016/17: £318m, 2015/16: £245m). Contingent liabilities Since the reporting date, we have reached a confidential settlement with the administrators of P4U regarding its claim for revenue share which relates to certain customers prior to P4U insolvency. This settlement is in line with the accruals we held to cover potential payments required by EE. Acquisition of spectrum In April 2018 we secured 40MHz of 3.4GHz spectrum at a cost of £304m allowing us to progress with our 5G plans and strengthening our position as the mobile network leader. The spectrum auction bidding cut across the 2017/18 and 2018/19 financial years. We had £325m on deposit with Ofcom at 31 March 2018, the excess deposit balance of £21m has since been refunded. Strategy update In May 2018 we are announcing an update to our strategy to accelerate leadership in converged connectivity and services. Our strategy will drive sustainable growth in value by focusing on delivering differentiated customer experiences, investing in integrated network leadership, and transforming our operating model and includes the repositioning of Global Services as a more focused digital business. This also includes the next phase of our restructuring programme. This programme involves the reduction of c13,000 mainly back office and middle management roles at a cost of £800m with a two – Triennial valuation of BT Pension Scheme In May 2018 we concluded the 30 June 2017 triennial valuation of the BT Pension Scheme. Details are set out in note 19. |
Significant accounting polici43
Significant accounting policies (Policies) | 12 Months Ended |
Mar. 31, 2018 | |
Significant Accounting Policies [Abstract] | |
Basis of consolidation | Basis of consolidation The group financial statements consolidate the financial statements of British Telecommunications plc and its subsidiaries, and include its share of the results of associates and joint ventures using the equity method of accounting. The group recognises its direct rights to (and its share of) jointly held assets, liabilities, revenues and expenses of joint operations under the appropriate headings in the consolidated financial statements. A subsidiary is an entity that is controlled by another entity, known as the parent or investor. An investor controls an investee when the investor is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Non-controlling interests in the net assets of consolidated subsidiaries, which consist of the amounts of those interests at the date of the original business combination and non-controlling share of changes in equity since the date of the combination, are not material to the group’s financial statements. The results of subsidiaries acquired or disposed of during the year are consolidated from and up to the date of change of control. Where necessary, accounting policies of subsidiaries have been aligned with the policies adopted by the group. All intra-group transactions including any gains or losses, balances, income or expenses are eliminated in full on consolidation. When the group loses control of a subsidiary, the profit or loss on disposal is calculated as the difference between (i) the aggregate of the fair value of the consideration received and the fair value of any retained interest and (ii) the previous carrying amount of the assets (including goodwill), and liabilities of the subsidiary and any non-controlling interests. The profit or loss on disposal is recognised as a specific item. |
Revenue | Revenue Revenue represents the fair value of the consideration received or receivable for communications services and equipment sales, net of discounts and sales taxes. Revenue is recognised when it is probable that the economic benefits associated with a transaction will flow to the group and the amount of revenue and associated costs can be measured reliably. The accounting for revenue sharing arrangements depends on the analysis of the facts and circumstances surrounding these transactions. Where we act as an agent in a transaction, we recognise revenue net of directly attributable costs. Services Revenue arising from separable installation and connection services is recognised when it is earned, upon activation. Revenue from the rental of analogue and digital lines and private circuits as well as wholesale access revenue is recognised on a straight line basis over the period to which it relates. Revenue from calls is recognised at the time the call is made over our network. Subscription fees, consisting primarily of monthly charges for access to broadband and other internet access or voice services, are recognised as revenue as the service is provided. Revenue from the interconnection of voice and data traffic between other telecommunications operators is recognised at the time of transit across our network. Equipment sales Revenue from the sale of equipment is recognised when all the significant risks and rewards of ownership are transferred to the customer, which is normally the date the equipment is delivered and accepted by the customer. Long-term contractual arrangements Revenue from long-term contractual arrangements, including fixed price contracts to design and build software solutions, is recognised based on the percentage of completion method. The stage of completion is estimated using an appropriate measure according to the nature of the contract such as the proportion of costs incurred relative to the estimated total contract costs, or other measures of completion such as the achievement of contract milestones and customer acceptance. In the case of time and materials contracts, revenue is recognised as the service is rendered. Costs related to delivering services under long-term contractual arrangements are expensed as incurred except for an element of costs incurred in the initial contract set-up, transition or transformation phase, which is deferred and recorded within non-current assets. These costs are then recognised in the income statement on a straight line basis over the remaining contract term, unless the pattern of service delivery indicates a different profile is more appropriate. These costs are directly attributable to specific contracts, relate to future activity, will generate future economic benefits and are assessed for recoverability on a regular basis. The percentage of completion method relies on estimates of total expected contract revenues and costs, as well as reliable measurement of the progress made towards completion. Unless the financial outcome of a contract can be estimated with reasonable certainty, no attributable profit is recognised. In such circumstances, revenue is recognised equal to the costs incurred to date, to the extent that such revenue is expected to be recoverable, or costs are accrued to bring the margin to nil. Recognised revenue and profits are subject to revisions during the contract if the assumptions regarding the overall contract outcome are changed. The cumulative impact of a revision in estimates is recorded in the period in which such revisions become likely and can be estimated. Where the actual and estimated costs to completion exceed the estimated revenue for a contract, the full contract life loss is recognised immediately. Multiple element arrangements and bundles Revenue from multiple element arrangements and bundles is described in note 4. |
Operating and reportable segments | Operating and reportable segments Our operating segments are reported based on financial information provided to the Executive Committee Our organisational structure reflects the different customer groups to which we provide communications products and services via our customer-facing units: BT Consumer, EE, Business and Public Sector, Global Services, Wholesale and Ventures and Openreach. The customer-facing units are supported by an internal service unit: Technology, Service & Operations (TSO). The customer-facing units are our reportable segments and generate substantially all of our revenue. We aggregate the remaining operations and include within the ‘Other’ category to reconcile to the consolidated results of the group. The ‘Other’ category includes TSO and our corporate units including procurement and property management. Provisions for the settlement of significant legal, commercial and regulatory disputes, which are negotiated at a group level, are initially recorded in the ‘Other’ segment. On resolution of the dispute, the full impact is recognised in the results of the relevant customer-facing unit and offset in the group results through the utilisation of the provision previously charged to the ‘Other’ segment. Settlements which are particularly significant or cover more than one financial year may fall within the definition of specific items as detailed on page 209. The costs incurred by TSO are recharged to the customer-facing units to reflect the services it provides to them. Depreciation and amortisation incurred by TSO in relation to the networks and systems it manages and operates on behalf of the customer-facing units is allocated to the customer-facing units based on their respective utilisation. Capital expenditure incurred by TSO for specific projects undertaken on behalf of the customer-facing units is allocated based on the value of the directly attributable expenditure incurred. Where projects are not directly attributable to a particular customer-facing unit, capital expenditure is allocated between them based on the proportion of estimated future economic benefits. TSO and the group’s corporate functions are not reportable segments as they did not meet the quantitative thresholds as set out in IFRS 8 ‘Operating Segments’ for any of the years presented. Performance of each reportable segment is measured based on adjusted EBITDA, defined as EBITDA before specific items, as included in the internal financial reports reviewed by the Executive Committee . Executive Committee . On 1 April 2018, our BT Consumer and EE customer-facing units were brought together to drive converged products and accelerate transformation. Additionally, Business and Public Sector and Wholesale and Ventures will be brought together from 1 October 2018. Each of these businesses operated separately throughout 2017/18 and therefore have been presented as four separate operating segments throughout these financial statements, unless explicitly stated otherwise. For further information see note 30. |
Retirement benefits | Retirement benefits The group’s net obligation in respect of defined benefit pension plans is the present value of the defined benefit obligation less the fair value of the plan assets. The calculation of the obligation is performed by a qualified actuary using the projected unit credit method and key actuarial assumptions at the balance sheet date. The income statement expense is allocated between an operating charge and net finance income or expense. The operating charge reflects the increase in the defined benefit obligation resulting from the pension benefit earned by active employees in the current period, the costs of administering the plans and any past service costs/credits such as those arising from curtailments or settlements. The net finance income or expense reflects the interest on the net retirement benefit obligations recognised in the group balance sheet, based on the discount rate at the start of the year. Actuarial gains and losses are recognised in full in the period in which they occur and are presented in the group statement of comprehensive income. The group also operates defined contribution pension plans and the income statement expense represents the contributions payable for the year. |
Property, plant and equipment | Property, plant and equipment Property, plant and equipment are included at historical cost, net of accumulated depreciation, government grants and any impairment charges. Property, plant and equipment acquired through business combinations are initially recorded at fair value and subsequently accounted for on the same basis as the group’s existing assets. An item of property, plant and equipment is derecognised on disposal or when no future economic benefits are expected to arise from the continued use of the asset. The difference between the sale proceeds and the net book value at the date of disposal is recognised in operating costs in the income statement. Included within the cost of network infrastructure and equipment are direct and indirect labour costs, materials and directly attributable overheads. Depreciation is provided on property, plant and equipment on a straight line basis from the time the asset is available for use, to write off the asset’s cost over the estimated useful life taking into account any expected residual value. Freehold land is not depreciated. The estimated useful lives assigned to principal categories of assets are as follows: Land and buildings – Freehold buildings 14 to 50 years – Short-term leasehold improvements Shorter of 10 years or lease term – Leasehold land and buildings Unexpired portion of lease or 40 years, whichever is the shorter Network infrastructure Transmission equipment – Duct 40 years – Cable 3 to 25 years – Fibre 5 to 20 years Exchange equipment 2 to 13 years Other network equipment 2 to 20 years Other assets – Motor vehicles 2 to 9 years – Computers and office equipment 3 to 7 years Assets held under finance leases are depreciated over the shorter of the lease term or their useful economic life. Residual values and useful lives are reassessed annually and, if necessary, changes are recognised prospectively. |
Network share assets | Network share assets Certain assets have been contributed to a network share arrangement by both EE and Hutchison 3G UK Limited, with legal title remaining with the contributor. This is considered to be a reciprocal arrangement. The group’s share of the assets on acquisition of EE was recognised at fair value within tangible assets, and depreciated in line with the group’s policy. Subsequent additions are recorded at cost. For further information see note 12. |
Intangible assets | Intangible assets Identifiable intangible assets are recognised when the group controls the asset, it is probable that future economic benefits attributable to the asset will flow to the group and the cost of the asset can be reliably measured. All intangible assets, other than goodwill, are amortised over their useful economic life. The method of amortisation reflects the pattern in which the assets are expected to be consumed. If the pattern cannot be determined reliably, the straight line method is used. Goodwill Goodwill represents the excess of the cost of an acquisition over the fair value of the group’s share of the identifiable net assets (including intangible assets) of the acquired business. For the purpose of impairment testing, goodwill acquired in a business combination is allocated to each of the Cash Generating Units (CGUs) that is expected to benefit from the business combination. Each CGU to which goodwill is allocated represents the lowest level within the group at which the goodwill is monitored for internal management purposes. Acquired intangible assets – customer relationships and brands Intangible assets such as customer relationships or brands acquired through business combinations are recorded at fair value at the date of acquisition and subsequently carried at amortised cost. Assumptions are used in estimating the fair values of these relationships or brands and include management’s estimates of revenue and profits to be generated by them. Telecommunications licences Licence fees paid to governments, which permit telecommunications activities to be operated for defined periods, are initially recorded at cost and amortised from the time the network is available for use to the end of the licence period or where our usage can extend beyond the initial licence period, over the period we expect to benefit from the use of the licences, which is typically 20 years. Licences acquired through business combinations are recorded at fair value at the date of acquisition and subsequently carried at amortised cost. The fair value is based on management’s assumption of future cash flows using market expectations at acquisition date. Computer software Computer software comprises computer software licences purchased from third parties, and also the cost of internally developed software. Computer software licences purchased from third parties are initially recorded at cost. Costs directly associated with the production of internally developed software, including direct and indirect labour costs of development, are capitalised only where it is probable that the software will generate future economic benefits, the cost of the asset can be reliably measured and technical feasibility can be demonstrated, in which case it is capitalised as an intangible asset on the balance sheet. Costs which do not meet these criteria and research costs are expensed as incurred. The group’s development costs which give rise to internally developed software include upgrading the network architecture or functionality and developing service platforms aimed at offering new services to the group’s customers. See research and development on page 17. Other Other intangible assets include website development costs and other licences. Items are capitalised at cost and amortised on a straight line basis over their useful economic life or the term of the contract. Estimated useful economic lives The estimated useful economic lives assigned to the principal categories of intangible assets are as follows: – Computer r 2 r – Telecommunications 2 r – Customer r n r 1 r Programme rights Programme rights are recognised on the balance sheet from the point at which the legally enforceable licence period begins. Rights for which the licence period has not started are disclosed as contractual commitments in note 29. Payments made to receive commissioned or acquired programming in advance of the legal right to broadcast the programmes are classified as prepayments. Programmes produced internally are charged to the income statement over the period of the related broadcast. Programme rights are tested for impairment in accordance with the group’s policy for impairment of non-financial assets set out below. Related cash outflows are classified as operating cash flows in the cash flow statement. |
Inventories | Inventories Network maintenance equipment and equipment to be sold to customers are stated at the lower of cost or net realisable value, taking into account expected revenues from the sale of packages comprising a mobile handset and a subscription. Cost corresponds to purchase or production cost determined by either the first in first out (FIFO) or average cost method. |
Provisions | Provisions Provisions are recognised when the group has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation and the amount can be reliably estimated. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. Financial liabilities within provisions are initially recognised at fair value and subsequently carried at amortised cost using the effective interest method. Onerous lease provisions are measured at the lower of the cost to fulfil or to exit the contract. |
Current and deferred income tax | Current and deferred income tax Current income tax is calculated on the basis of the tax laws enacted or substantively enacted at the balance sheet date in the countries where the group’s subsidiaries, associates and joint ventures operate and generate taxable income. The group periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation, and the group establishes provisions where appropriate on the basis of the amounts expected to be paid to tax authorities. Deferred tax is recognised, using the liability method, in respect of temporary differences between the carrying amount of the group’s assets and liabilities and their tax base. Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income tax assets and liabilities relate to income taxes levied by the same taxation authority on either the taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. Any remaining deferred tax asset is recognised only when, on the basis of all available evidence, it can be regarded as probable that there will be suitable taxable profits, within the same jurisdiction, in the foreseeable future against which the deductible temporary difference can be utilised. Deferred tax is determined using tax rates that are expected to apply in the periods in which the asset is realised or liability settled, based on tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Impairment of non-financial assets | Impairment of non-financial assets Intangible assets with finite useful lives and property, plant and equipment are tested for impairment if events or changes in circumstances (assessed at each reporting date) indicate that the carrying amount may not be recoverable. When an impairment test is performed, the recoverable amount is assessed by reference to the higher of the net present value of the expected future cash flows (value in use) of the relevant cash generating unit and the fair value less costs to dispose. Goodwill is reviewed for impairment at least annually. Impairment losses are recognised in the income statement, as a specific item. If a cash generating unit is impaired, impairment losses are allocated firstly against goodwill, and secondly on a pro-rata basis against intangible and other assets. |
Government grants | Government grants Government grants are recognised when there is reasonable assurance that the conditions associated with the grants have been complied with and the grants will be received. Grants for the purchase or production of property, plant and equipment are deducted from the cost of the related assets and reduce future depreciation expense accordingly. Grants for the reimbursement of operating expenditure are deducted from the related category of costs in the income statement. Government grants received relating to the BDUK programme and other rural superfast broadband contracts are accounted for as described under ‘Critical accounting estimates and key judgements’. Once a government grant is recognised, any related deferred income is treated in accordance with IAS 20 ‘Accounting for Government Grants and Disclosure of Government Assistance’. |
Foreign currencies | Foreign currencies Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the date of the transaction. Foreign exchange gains and losses resulting from the settlement of transactions and the translation of monetary assets and liabilities denominated in foreign currencies at period end exchange rates are recognised in the income statement line which most appropriately reflects the nature of the item or transaction. On consolidation, assets and liabilities of foreign undertakings are translated into Sterling at year end exchange rates. The results of foreign undertakings are translated into Sterling at average rates of exchange for the year (unless this average is not a reasonable approximation of the cumulative effects of the rates prevailing on the transaction dates, in which case income and expenses are translated at the dates of the transactions). Foreign exchange differences arising on the retranslation of foreign undertakings are recognised directly in a separate component of equity, the translation reserve. In the event of the disposal of an undertaking with assets and liabilities denominated in a foreign currency, the cumulative translation difference associated with the undertaking in the translation reserve is charged or credited to the gain or loss on disposal recognised in the income statement. |
Research and development | Research and development Research expenditure is recognised in the income statement in the period in which it is incurred. Development expenditure, including the cost of internally developed software, is recognised in the income statement in the period in which it is incurred unless it is probable that economic benefits will flow to the group from the asset being developed, the cost of the asset can be reliably measured and technical feasibility can be demonstrated, in which case it is capitalised as an intangible asset on the balance sheet. Capitalisation ceases when the asset being developed is ready for use. Research and development costs include direct and indirect labour, materials and directly attributable overheads. |
Leases | Leases The determination of whether an arrangement is, or contains, a lease is based on the substance of the arrangement and requires an assessment of whether the fulfilment of the arrangement is dependent on the use of a specific asset or assets and whether the arrangement conveys the right to use the asset. Leases of property, plant and equipment where the group holds substantially all the risks and rewards of ownership are classified as finance leases. Finance lease assets are capitalised at the commencement of the lease term at the lower of the present value of the minimum lease payments or the fair value of the leased asset. The obligations relating to finance leases, net of finance charges in respect of future periods, are recognised as liabilities. Leases are subsequently measured at amortised cost using the effective interest method. Leases where a significant portion of the risks and rewards are held by the lessor are classified as operating leases. Rentals are charged to the income statement on a straight line basis over the period of the lease. |
Share-based payments | Share-based payments BT Group plc operates a number of equity settled share-based payment arrangements, under which the group receives services from employees in consideration for equity instruments (share options and shares) of BT Group plc. Equity settled share-based payments are measured at fair value at the date of grant. Market-based performance criteria and non-vesting conditions (for example, the requirement for employees to make contributions to the share purchase programme) are reflected in this measurement of fair value. The fair value determined at the grant date is recognised as an expense on a straight line basis over the vesting period, based on the group’s estimate of the options or shares that will eventually vest and adjusted for the effect of non market-based vesting conditions. Fair value is measured using either the Binomial options pricing model or Monte Carlo simulations, whichever is more appropriate to the share-based payment arrangement. Service and performance conditions are vesting conditions. Any other conditions are non-vesting conditions which have to be taken into account to determine the fair value of equity instruments granted. In the case that an award or option does not vest as a result of a failure to meet a non-vesting condition that is within the control of either counterparty, this is accounted for as a cancellation. Cancellations are treated as accelerated vesting and all remaining future charges are immediately recognised in the income statement. As the requirement to save under an employee saveshare arrangement is a non-vesting condition, employee cancellations, other than through a termination of service, are treated as an accelerated vesting. No adjustment is made to total equity for awards that lapse or are forfeited after the vesting date. |
Termination benefits | Termination benefits Termination benefits (leaver costs) are payable when employment is terminated before the normal retirement date, or when an employee accepts voluntary redundancy in exchange for these benefits. The group recognises termination benefits when it is demonstrably committed to the affected employees leaving the group. |
Financial instruments | THE STRATEGIC REPORT GOVERNANCE F I N ADDITIONAL INFORMATION Financial instruments Financial liabilities at amortised cost Trade and other payables Financial liabilities within trade and other payables are initially recognised at fair value, which is usually the original invoiced amount, and subsequently carried at amortised cost using the effective interest method. Loans and other borrowings Loans and other borrowings are initially recognised at the fair value of amounts received net of transaction costs. Loans and other borrowings are subsequently measured at amortised cost using the effective interest method and, if included in a fair value hedge relationship, are re-valued to reflect the fair value movements on the hedged risk associated with the loans and other borrowings. The resulting amortisation of fair value movements, on de-designation of the hedge, is recognised in the income statement. Available-for-sale investments Liquid and other investments are classified as available-for-sale investments and are initially recognised at fair value plus direct transaction costs. These are re-measured at subsequent reporting dates to fair value, with unrealised gains and losses (except for changes in exchange rates for monetary items, interest, dividends and impairment losses, which are recognised in the income statement) recognised in equity. When the financial asset is derecognised, at which time the cumulative gain or loss previously recognised in equity is taken to the income statement, in the line that most appropriately reflects the nature of the item or transaction. On disposal or impairment of the investments, any gains and losses that have been deferred in other comprehensive income are re-classified to the income statement. Dividends on equity investments are recognised in the income statement when the group’s right to receive payment is established. Equity investments are recorded in non-current assets unless they are expected to be sold within one year. Loans and receivables Trade and other receivables Trade and other receivables are initially recognised at fair value, which is usually the original invoiced amount, and are subsequently carried at amortised cost, using the effective interest method, less provisions made for doubtful receivables. Provisions are made specifically where there is evidence of a risk of non-payment, taking into account ageing, previous losses experienced and general economic conditions. Cash and cash equivalents Cash and cash equivalents comprise cash in hand and current balances with banks and similar institutions, which are readily convertible to cash and are subject to insignificant risk of changes in value and have an original maturity of three months or less. For the purpose of the consolidated cash flow statement, cash and cash equivalents are as defined above net of outstanding bank overdrafts. Bank overdrafts are included within loans and other borrowings, in current liabilities on the balance sheet. Financial assets and liabilities at fair value through profit or loss All of the group’s derivative financial instruments are held for trading and classified as fair value through profit or loss. Derivative financial instruments The group uses derivative financial instruments mainly to reduce exposure to foreign exchange and interest rate risks. The group’s policy is not to use derivatives for trading purposes. However, derivatives that do not qualify for hedge accounting or are specifically not designated as a hedge where natural offset is more appropriate are initially recognised and subsequently measured at fair value through profit and loss. Any direct transaction costs are recognised immediately in the income statement. Gains and losses on re-measurement are recognised in the income statement in the line that most appropriately reflects the nature of the item or transaction to which they relate. Derivative financial instruments are classified as current assets or current liabilities where they have a maturity period within 12 months. Where derivative financial instruments have a maturity period greater than 12 months, they are classified within either non-current assets or non-current liabilities. Where the fair value of a derivative contract at initial recognition is not supported by observable market data and differs from the transaction price, a day one gain or loss will arise which is not recognised in the income statement. Such gains and losses are deferred and amortised to the income statement based on the remaining contractual term and as observable market data becomes available. Hedge accounting Where derivatives qualify for hedge accounting, recognition of any resultant gain or loss depends on the nature of the hedge. To qualify for hedge accounting, hedge documentation must be prepared at inception and the hedge must be expected to be highly effective both prospectively and retrospectively. The hedge is tested for effectiveness at inception and in subsequent periods in which the hedge remains in operation. Hedge accounting is discontinued when the hedging instrument expires, or is sold, terminated or no longer qualifies for hedge accounting or the group chooses to end the hedge relationship. The group designates certain derivatives as either cash flow hedges or fair value hedges. Cash flow hedges When a derivative financial instrument is designated as a hedge of the variability in cash flows of a recognised asset or liability, or a highly probable transaction, the effective part of any gain or loss on the derivative financial instrument is recognised directly in equity, in the cash flow reserve. For cash flow hedges of recognised assets or liabilities, the associated cumulative gain or loss is removed from equity and recognised in the same line of the income statement and in the same period or periods that the hedged transaction affects the income statement. Any ineffectiveness arising on a cash flow hedge of a recognised asset or liability is recognised immediately in the same income statement line as the hedged item. Where ineffectiveness arises on highly probable transactions, it is recognised in the income statement line which most appropriately reflects the nature of the item or transaction. Fair value hedges When a derivative financial instrument is designated as a hedge of the variability in fair value of a recognised asset or liability, or unrecognised firm commitment, the change in fair value of the derivative that is designated as a fair value hedge is recorded in the income statement at each reporting date, together with any changes in fair value of the hedged asset or liability that is attributable to the hedged risk. British Telecommunications plc Annual Report & Form 20-F 2018 1 |
Significant accounting polici44
Significant accounting policies (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Significant Accounting Policies [Abstract] | |
Summary of Estimated Useful Lives Assigned to Principal Categories of Assets | The estimated useful lives assigned to principal categories of assets are as follows: Land and buildings – Freehold buildings 14 to 50 years – Short-term leasehold improvements Shorter of 10 years or lease term – Leasehold land and buildings Unexpired portion of lease or 40 years, whichever is the shorter Network infrastructure Transmission equipment – Duct 40 years – Cable 3 to 25 years – Fibre 5 to 20 years Exchange equipment 2 to 13 years Other network equipment 2 to 20 years Other assets – Motor vehicles 2 to 9 years – Computers and office equipment 3 to 7 years |
Summary of Estimated Useful Economic Lives Assigned to Principal Catagories of Intangible Assets | The estimated useful economic lives assigned to the principal categories of intangible assets are as follows: – Computer r 2 r – Telecommunications 2 r – Customer r n r 1 r |
Segment information (Tables)
Segment information (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Operating Segments [Abstract] | |
Summary of Results of Reportable Segments | We have set out below information regarding the results of each reportable segment. S e e e e a i Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 5,066 5,294 4,563 5,013 2,009 5,123 8 27,076 Internal revenue (66 ) (37 ) (115 ) – (134 ) (2,978 ) – (3,330 ) Revenue from external customers a 5,000 5,257 4,448 5,013 1,875 2,145 8 23,746 EBITDA b 1,023 1,353 1,418 434 754 2,520 6 7,508 Depreciation and amortisation (216 ) (776 ) (365 ) (424 ) (311 ) (1,360 ) (62 ) (3,514 ) Operating profit (loss) a 807 577 1,053 10 443 1,160 (56 ) 3,994 Specific items (note 8) (610 ) Operating profit 3,384 Net finance expense c (579 ) Share of post tax profit (loss) of associates and joint ventures (1 ) Profit before tax 2,804 Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 4,934 5,090 4,758 5,479 2,109 5,098 10 27,478 Internal revenue (63 ) (37 ) (122 ) – (138 ) (3,036 ) – (3,396 ) Revenue from external customers a 4,871 5,053 4,636 5,479 1,971 2,062 10 24,082 EBITDA b 1,012 1,156 1,528 495 834 2,633 (10 ) 7,648 Depreciation and amortisation (209 ) (780 ) (352 ) (439 ) (306 ) (1,369 ) (55 ) (3,510 ) Operating profit (loss) a 803 376 1,176 56 528 1,264 (65 ) 4,138 Specific items (note 8) (968 ) Operating profit 3,170 Net finance expense c (610 ) Share of post tax profit (loss) of associates and joint ventures (9 ) Profit before tax 2,551 Year ended 31 March 2016 BT Consumer £m EE £m d Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 4,608 841 4,294 5,074 2,274 5,100 11 22,202 Internal revenue (65 ) (7 ) (99 ) – (94 ) (3,058 ) – (3,323 ) Revenue from external customers a 4,543 834 4,195 5,074 2,180 2,042 11 18,879 EBITDA b 1,055 173 1,414 479 755 2,659 (77 ) 6,458 Depreciation and amortisation (207 ) (146 ) (284 ) (422 ) (253 ) (1,301 ) (18 ) (2,631 ) Operating profit (loss) a 848 27 1,130 57 502 1,358 (95 ) 3,827 Specific items (note 8) (212 ) Operating profit 3,615 Net finance expense c (380 ) Share of post tax profit (loss) of associates and joint ventures 6 Profit before tax 3,241 a Before specific items. b EBITDA is stated before specific items and is the group’s profitability measure for segments. c Net finance expense includes specific item expense of £ 218 m (2016/17: £210m, 2015/16: £229m). See note 8. d EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. |
Summary of Internal Revenue and Costs Recorded by Each Reportable Segment | The tables below show internal revenue and costs recorded by each reportable segment. Internal cost recorded by Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 24 20 4 – 18 66 EE – – – – 37 – – 37 Business and Public Sector 62 2 – 32 19 – – 115 Global Services – – – – – – – – Wholesale and Ventures 1 2 13 10 – 42 66 134 Openreach 896 – 210 125 232 – 1,515 2,978 Total 959 4 247 187 292 42 1,599 3,330 Internal cost recorded by Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 21 20 4 – 18 63 EE – – – – 37 – – 37 Business and Public Sector 60 3 – 39 20 – – 122 Global Services – – – – – – – – Wholesale and Ventures – – 2 23 – 39 74 138 Openreach 910 – 236 158 260 – 1,472 3,036 Total 970 3 259 240 321 39 1,564 3,396 Internal cost recorded by Year ended 31 March 2016 BT Consumer £m EE £m a Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 20 23 4 – 18 65 EE a – – – – 7 – – 7 Business and Public Sector 60 1 – 18 19 1 – 99 Global Services – – – – – – – – Wholesale and Ventures – 12 5 22 – 55 – 94 Openreach 905 – 262 173 264 – 1,454 3,058 Total 965 13 287 236 294 56 1,472 3,323 a EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. |
Summary of Revenue by Products and Services | Year ended 31 March 2018 £m 2017 £m 2016 £m ICT and managed networks 5,530 5,927 6,193 Broadband and TV 4,655 4,477 3,535 Mobile 6,451 6,358 1,326 Calls, lines and connections 5,126 5,069 5,920 Transit 265 404 419 Other products and services 1,719 1,847 1,486 Revenue a 23,746 24,082 18,879 a |
Summary of Capital Expenditure | Capital expenditure Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 106 130 93 92 87 70 64 642 Property, plant and equipment 185 498 211 186 142 1,588 70 2,880 Capital expenditure a 291 628 304 278 229 1,658 134 3,522 Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 92 133 64 126 77 74 55 621 Property, plant and equipment 145 483 211 235 149 1,499 111 2,833 Capital expenditure a 237 616 275 361 226 1,573 166 3,454 Year ended 31 March 2016 BT Consumer £m EE £m b Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 88 29 36 62 70 62 65 412 Property, plant and equipment 119 67 117 293 139 1,385 90 2,210 Capital expenditure a 207 96 153 355 209 1,447 155 2,622 a Net of government grants. b EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. |
Summary of Geographic Information by Revenue from External Customers and Non-Current Assets | Revenue from external customers Year ended 31 March 2018 £m 2017 £m 2016 £m UK 19,687 19,421 14,814 Europe, Middle East and Africa, excluding the UK 2,489 2,841 2,442 Americas 996 1,148 1,011 Asia Pacific 574 672 612 Revenue a 23,746 24,082 18,879 a Before specific items. Non-current assets At 31 March 2018 £m 2017 £m 2016 £m UK 28,843 28,818 28,583 Europe, Middle East and Africa, excluding the UK 2,527 2,535 2,349 Americas 331 424 548 Asia Pacific 109 149 191 Non-current assets 31,810 31,926 31,671 |
Operating Costs (Tables)
Operating Costs (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Operating Costs [Abstract] | |
Summary of Operating Costs | Year ended 31 March Notes 2018 £m 2017 £m 2016 £m Operating costs by nature Staff costs: Wages and salaries 4,223 4,128 3,684 Social security costs 461 477 398 Other pension costs 19 624 521 494 Share-based payment expense 20 84 57 58 Total staff costs 5,392 5,183 4,634 Own work capitalised (798 ) (813 ) (720 ) Net staff costs 4,594 4,370 3,914 Net indirect labour costs a 315 399 304 Net labour costs 4,909 4,769 4,218 Payments to telecommunications operators 2,306 2,653 2,183 Property and energy costs 1,285 1,202 1,024 Network operating and IT costs 963 983 644 TV programme rights charges 763 714 544 Other operating costs 6,234 6,298 4,023 Other operating income (222 ) (185 ) (215 ) Depreciation of property, plant and equipment Owned assets 12 2,381 2,382 2,000 Held under finance leases 12 10 10 10 Amortisation of intangible assets b 11 1,123 1,118 621 Total operating costs before specific items 19,752 19,944 15,052 Specific items 8 587 948 345 Total operating costs 20,339 20,892 15,397 Operating costs before specific items include the following: Leaver costs c 50 86 109 Research and development expenditure d 632 638 574 Operating lease charges 732 692 441 Foreign currency gains – (12 ) (1 ) Government grants (3 ) (5 ) (6 ) a b Excludes £nil (2016/17: £62m, 2015/16: £nil) of amortisation presented as specific items which relate to a write off of software costs as a result of the integration of EE. Refer to note 8 c Leaver costs are included within wages and salaries, except for leaver costs of £168m (2016/17: £37m, 2015/16: £nil) associated with restructuring and EE integration costs, which have been recorded as specific items. d Research and development expenditure reported in the income statement, includes amortisation of £573m (2016/17: £577m, 2015/16: £501m) in respect of internally developed computer software and operating expenses of £59m (2016/17: £61m, 2015/16: £73m). In addition, the group capitalised software development costs of £450m (2016/17: £457m, 2015/16: £399 |
Summary of Compensation of Key Management Personnel | Compensation of key management personnel is shown in the table below: Year ended 31 March 2018 £m 2017 £m 2016 £m Short-term employee benefits 12.4 10.9 10.3 Post employment benefits 1.4 1.4 1.2 Share-based payments 6.6 5.8 5.9 Termination benefits 2.2 – 0.6 22.6 18.1 18.0 |
Employees (Tables)
Employees (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Employees [Abstract] | |
Summary of Number of Employees in the Group | 2018 2017 2016 Number of employees in the group a Year end 000 Average 000 Year end 000 Average 000 Year end 000 Average 000 UK 82.2 82.5 82.8 82.2 81.4 71.8 Non-UK 23.6 23.7 23.6 22.8 21.1 19.2 Total employees 105.8 106.2 106.4 105.0 102.5 91.0 2018 2017 2016 Number of employees in the group a Year end 000 Average 000 Year end 000 Average 000 Year end 000 Average 000 BT Consumer 8.8 8.8 8.7 7.7 6.7 6.3 EE 9.4 9.2 9.2 9.1 9.0 1.3 Business and Public Sector 10.1 10.3 10.3 10.2 10.3 9.3 Global Services 16.9 17.3 17.5 17.4 16.8 16.5 Wholesale and Ventures 3.8 3.9 3.8 3.7 3.7 3.8 Openreach 30.5 30.4 30.2 30.9 31.5 32.1 Other 26.3 26.3 26.7 26.0 24.5 21.7 Total employees 105.8 106.2 106.4 105.0 102.5 91.0 a These reflect the full-time equivalent of full and part-time employees. |
Audit, audit related and othe48
Audit, audit related and other non-audit services (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Non Audit Fees [Abstract] | |
Summary of Fees Paid or Payable to Company's Auditors | The following fees were paid or are payable to the company’s auditors, PricewaterhouseCoopers LLP and other firms in the PricewaterhouseCoopers network. Year ended 31 March 2018 £000 2017 £000 2016 £000 Fees payable to the company’s auditors and its associates for: Audit services a The audit of the parent company and the consolidated financial statements 5,372 4,271 3,871 The audit of the company’s subsidiaries 5,866 5,664 5,073 11,238 9,935 8,944 Audit related assurance services b 1,631 1,865 2,210 Other non-audit services Taxation compliance services c – 366 412 Taxation advisory services d – 111 156 All other assurance services e 211 200 1,611 All other services f 592 2,332 1,665 803 3,009 3,844 Total services 13,672 14,809 14,998 a Services in relation to the audit of the parent company and the consolidated financial statements, including fees for reports under section 404 of the Sarbanes-Oxley Act. This also includes fees payable for the statutory audits of the financial statements of subsidiary companies. b Services in relation to other statutory filings or engagements that are required by law or regulation to be carried out by an appointed auditor. This includes fees for the review of interim results, the audit of the group’s regulatory financial statements and reporting associated with the group’s US debt shelf registration. c Services relating to tax returns, tax audits, monitoring and enquiries. d Fees payable for all taxation advisory services not falling within taxation compliance. e All other assurance services include fees payable to PricewaterhouseCoopers LLP as Reporting Accountants in 2015/16 in relation to the Listing Prospectus, which was issued on 26 January 2016 for the issue of new shares. f Fees payable for all non-audit services not covered above, principally comprising other advisory services. |
Summary of Total Fees Received by Company's Auditors from the BT Pension Scheme | In h a e e a 0 i a t e o C o L L i a e f h e o h e m o 2.1 2 1 / 6 1 e h o o i i Year ended 31 March 2018 £000 2017 £000 2016 £000 Audit of financial statements of associates 345 251 213 Audit-related assurance services – – 10 Taxation compliance services 153 210 198 Taxation advisory services 1,074 493 681 Other non-audit services 565 1,168 603 Total services 2,137 2,122 1,705 |
Specific items (Tables)
Specific items (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Specific Items [Abstract] | |
Summary of Specific Items | Year ended 31 March 2018 £m 2017 £m 2016 £m Revenue Italian business investigation – 22 – Regulatory matters 23 (2 ) (203 ) EE fair value adjustment – – 70 23 20 (133 ) Operating costs EE acquisition warranty claims 225 – – Restructuring charges 241 – – EE acquisition and integration costs 46 215 113 Property rationalisation costs 28 – 29 Regulatory matters 26 481 203 Italian business investigation 22 238 – Out of period irrecoverable VAT – 30 – Profit on disposal of businesses (1 ) (16 ) – 587 948 345 Operating loss 610 968 212 Net finance expense Interest expense on retirement benefit obligation 218 209 221 EE related finance cost – – 8 Interest on out of period irrecoverable VAT – 1 – 218 210 229 Net specific items charge before tax 828 1,178 441 Taxation Tax credit on specific items above (87 ) (154 ) (70 ) Tax credit on re-measurement of deferred tax – (63 ) (96 ) (87 ) (217 ) (166 ) Net specific items charge after tax 741 961 275 |
Taxation (Tables)
Taxation (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Taxation [Abstract] | |
Analysis of Our Taxation Expenses | A n x e s Year ended 31 March 2018 £m 2017 £m 2016 £m United Kingdom Corporation tax at 19% (2016/17: 20%, 2015/16: 20%) (614 ) (594 ) (684 ) Adjustments in respect of earlier years 37 33 59 Non-UK taxation Current (66 ) (109 ) (80 ) Adjustments in respect of earlier years 23 – 29 Total current tax expense (620 ) (670 ) (676 ) Deferred taxation Origination and reversal of temporary differences 46 96 70 Adjustments in respect of earlier years (57 ) 26 2 Impact of change in UK corporation tax rate to 17% (2016/17: 17%, 2015/16: 19%) – 63 96 Remeasurement of temporary differences 11 – – Total deferred taxation credit – 185 168 Total taxation expense (620 ) (485 ) (508 ) |
Summary of Factors Affecting Our Taxation Expense for the Year | T h a o p o p e o h o p b a l n h p a t i h o f i t Year ended 31 March 2018 £m 2017 £m 2016 £m Profit before taxation 2,804 2,551 3,241 Expected taxation expense at UK rate of 19% (2016/17: 20%, 2015/16: 20%) (533 ) (510 ) (648 ) Effects of: (Higher) lower taxes on non-UK profits (8 ) (29 ) 4 Net permanent differences between tax and accounting a (100 ) (183 ) (12 ) Adjustments in respect of earlier years b 3 59 90 Prior year non-UK losses used against current year profits 16 120 9 Non-UK losses not recognised c (9 ) (8 ) (34 ) Other deferred tax assets not recognised – – 6 Lower taxes on profit on disposal of business – 3 – Re-measurement of deferred tax balances 11 63 96 Other non-recurring items – – (19 ) Total taxation expense (620 ) (485 ) (508 ) Exclude specific items (note 8) (87 ) (217 ) (166 ) Total taxation expense before specific items (707 ) (702 ) (674 ) a Includes income that is not taxable or UK income taxable at a different rate, and expenses for which no tax relief is received. Examples include some types of depreciation and amortisation and the benefit of R&D tax incentives. b Reflects the differences between initial accounting estimates and tax returns submitted to tax authorities, including the release and establishment of provisions for uncertain tax positions. c s m o e e n e c d p a o e e e f xa p n r b |
Summary of Tax Components of Other Comprehensive Income | T a n e e e s c o m Year ended 31 March 2018 Tax credit (expense) £m 2017 Tax credit (expense) £m 2016 Tax credit (expense) £m Tax on items that will not be reclassified to the income statement Pension remeasurements (346 ) 416 (240 ) Tax on items that have been or may be reclassified subsequently to the income statement Exchange differences on translation of foreign operations (9 ) 21 38 Fair value movements on cash flow hedges – net fair value gains or losses 57 (131 ) (72 ) – recognised in income and expense (47 ) 139 39 (345 ) 445 (235 ) Current tax credit a 203 122 231 Deferred tax (expense) credit (548 ) 323 (466 ) (345 ) 445 (235 ) a I d £ 1 7 2 / £ m a s o u d e c r n n o a s . |
Summary of Tax (Expense) Credit Recognised Directly in Equity | T a s e e d e n s e i Year ended 31 March 2018 £m 2017 £m 2016 £m Tax (expense) credit relating to share-based payments (2 ) (6 ) 12 |
Summary of Deferred Taxation | Deferred taxation Fixed asset temporary differences £m Retirement benefit obligations £m a Share- based payments £m Tax losses £m Other £m Jurisdictional offset £m Total £m At 1 April 2016 1,618 (1,149 ) (54 ) (325 ) (75 ) – 15 (Credit) expense recognised in the income statement (181 ) (82 ) 14 65 (1 ) – (185 ) (Credit) expense recognised in other comprehensive income (5 ) (306 ) – (3 ) (9 ) – (323 ) Expense recognised in equity – – 23 – – – 23 Exchange differences – – – (7 ) – – (7 ) At 31 March 2017 1,432 (1,537 ) (17 ) (270 ) (85 ) – (477 ) Non-current Deferred tax asset (117 ) (1,537 ) (17 ) (270 ) (96 ) 320 (1,717 ) Deferred tax liability 1,549 – – – 11 (320 ) 1,240 At 1 April 2017 1,432 (1,537 ) (17 ) (270 ) (85 ) – (477 ) Expense (credit) recognised in the income statement 11 (104 ) 4 89 – – – Expense (credit) recognised in other comprehensive income – 558 – – (10 ) – 548 Expense recognised in equity – – 6 – – – 6 Exchange differences – – – (2 ) 5 – 3 Transfer to current tax 17 – – – – – 17 At 31 March 2018 1,460 (1,083 ) (7 ) (183 ) (90 ) – 97 Non-current Deferred tax asset (41 ) (1,083 ) (7 ) (183 ) (90 ) 161 (1,243 ) Deferred tax liability 1,501 – – – – (161 ) 1,340 At 31 March 2018 1,460 (1,083 ) (7 ) (183 ) (90 ) – 97 a I d e t s o 1 7 m i n t a i i o e n |
Summary of Restricted Loss | A summary of ex p i a e o o e e h t t o p e u e o At 31 March 2018 £m Expiry Restricted losses Europe 14 2019–2027 Americas 204 2019-2037 Other 2 2019–2027 Total restricted losses 220 Unrestricted operating losses 3,784 No expiry Other temporary differences 77 No expiry Total 4,081 |
Intangible assets (Tables)
Intangible assets (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Intangible Assets [Abstract] | |
Summary of Intangible Assets | Goodwill £m Customer relationships and brands £m Telecoms licences and other £m Internally developed software £m Purchased software £m Total £m Cost At 1 April 2016 7,915 3,401 2,930 4,073 1,610 19,929 Acquisitions 5 – – – – 5 Additions – – – 483 138 621 Disposals and adjustments a (23 ) – – (131 ) 2 (152 ) Transfers – – – (66 ) 62 (4 ) Exchange differences 145 21 15 4 41 226 At 31 March 2017 8,042 3,422 2,945 4,363 1,853 20,625 Additions – – – 517 125 642 Acquisitions 14 – 3 – – 17 Disposals and adjustments a (3 ) – (3 ) (55 ) (413 ) (474 ) Exchange differences (100 ) (12 ) 6 (3 ) 9 (100 ) At 31 March 2018 7,953 3,410 2,951 4,822 1,574 20,710 Accumulated amortisation At 1 April 2016 – 418 131 2,747 1,175 4,471 Charge for the year b – 383 140 556 101 1,180 Disposals and adjustments a – – – (114 ) (7 ) (121 ) Exchange differences – 12 9 4 33 58 At 31 March 2017 – 813 280 3,193 1,302 5,588 Charge for the year b – 379 141 525 78 1,123 Disposals and adjustments a – – (3 ) (36 ) (426 ) (465 ) Exchange differences – (1 ) 3 (2 ) 9 9 At 31 March 2018 – 1,191 421 3,680 963 6,255 Carrying amount At 31 March 2018 7,953 2,219 2,530 1,142 611 14,455 At 31 March 2017 8,042 2,609 2,665 1,170 551 15,037 a Fully depreciated assets in the group’s fixed asset registers were reviewed during the year, as part of the group’s annual asset verification exercise, and certain assets that were no longer in use have been written off, reducing cost and accumulated depreciation by £0.4bn (2016/17: £nil). b I d e i a s r e h t t l e p o r n a a B f u e |
Summary of Goodwill Allocated to Cash Generating Units | T h p e n h l e i d e n b g p a h g e n e a n l l a e n p n e o i n o o o t h e o u p o e n i o w i a o d p 0 6 e g i o u e n n o C G U a h a a a t e o d l W e a l o o w BT o u i n b i e o o e e a W h o a a e i l n o d w l w a l a e h l l n n t u a d d goodwill being allocated to this CGU for the first time, e r a g t t h am o u n a l o c a t e t t h o he a e h g n o o d i a o e o o Cost BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Total £m At 1 April 2016 1,183 4,917 662 1,153 – 7,915 Re-organisation – (2,149 ) 1,921 (709 ) 937 – Exchange differences – – 10 135 – 145 Acquisitions and disposals – – (23 ) – 5 (18 ) At 31 March 2017 1,183 2,768 2,570 579 942 8,042 Exchange differences – – (8 ) (92 ) – (100 ) Acquisitions and disposals – – – 11 – 11 At 31 March 2018 1,183 2,768 2,562 498 942 7,953 |
Property, plant and equipment (
Property, plant and equipment (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Property Plant And Equipment [Abstract] | |
Summary of the Carrying Values of Software, Property, Plant and Equipment | T h n l e p r o p e a n u p r d o b e o n n o 1 u i p i e p n a g o e a a i e p a g es 115 and Land and buildings £m a Network infrastructure £m a Other £m b Assets in course of construction £m Total £m Cost At 31 March 2016 1,278 48,194 1,870 1,108 52,450 Additions c 6 40 128 2,672 2,846 Transfers 14 2,393 (1 ) (2,402 ) 4 Disposals and adjustments d (45 ) (1,637 ) (106 ) 30 (1,758 ) Exchange differences 49 382 47 5 483 At 31 March 2017 1,302 49,372 1,938 1,413 54,025 Additions c 12 193 92 2,597 2,894 Transfers 36 2,793 16 (2,845 ) – Disposals and adjustments d (82 ) (1,540 ) (119 ) (48 ) (1,789 ) Exchange differences (6 ) (35 ) (13 ) 1 (53 ) At 31 March 2018 1,262 50,783 1,914 1,118 55,077 Accumulated depreciation At 31 March 2016 750 34,287 1,513 – 36,550 Charge for the year 64 2,224 104 – 2,392 Disposals and adjustments d (36 ) (1,627 ) (104 ) – (1,767 ) Exchange differences 39 330 41 – 410 At 31 March 2017 817 35,214 1,554 – 37,585 Charge for the year 57 2,213 121 – 2,391 Disposals and adjustments d (96 ) (1,613 ) (107 ) – (1,816 ) Exchange differences (5 ) (24 ) (10 ) – (39 ) At 31 March 2018 773 35,790 1,558 – 38,121 Carrying amount At 31 March 2018 489 14,993 356 1,118 16,956 Engineering stores – – – 44 44 Total at 31 March 2018 489 14,993 356 1,162 17,000 At 31 March 2017 485 14,158 384 1,413 16,440 Engineering stores – – – 58 58 Total at 31 March 2017 485 14,158 384 1,471 16,498 a The carrying amount of the group’s property, plant and equipment includes an amount of £53m (2016/17: £73m) in respect of assets held under finance leases, comprising land and buildings of £42m (2016/17: £45m) and network infrastructure of £11m (2016/17: £28m). The depreciation expense on those assets in 2017/18 was £10m (2016/17: £10m), comprising land and buildings of £3m (2016/17: £3m) and network infrastructure of £7m (2016/17: £7m). b Other mainly comprises motor vehicles, computers and fixtures and fittings. c Net of grant funding of £74m (2016/17: £28m net grant deferral). d Fully depreciated assets in the group’s fixed asset registers were reviewed during the year, as part of the group’s annual asset verification exercise, and certain assets that were no longer in use have been written off, reducing cost and accumulated depreciation by £1.3bn (2016/17: £1.1bn). |
Summary of Property Plant and Equipment | At 31 March 2018 £m 2017 £m The carrying amount of land and buildings, including leasehold improvements, comprised: Freehold 261 269 Leasehold 228 216 Total land and buildings 489 485 |
Programme rights (Tables)
Programme rights (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Programme Rights [Abstract] | |
Summary of Programme Rights | Total £m At 1 April 2016 225 Additions 753 Amortisation (714 ) At 1 April 2017 264 Additions 771 Amortisation (763 ) At 31 March 2018 272 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Inventories [Abstract] | |
Summary of Inventories | At 31 March 2018 £m 2017 £m 2016 £m Consumables 22 24 26 Work in progress 6 23 11 Finished goods 211 180 152 239 227 189 |
Trade and other receivables (Ta
Trade and other receivables (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Trade And Other Receivables [Abstract] | |
Schedule of Trade and Other Receivables | The carrying value of assets comprising the costs of the initial set-up, transition or transformation phase of long-term networked IT services contracts is disclosed below. At 31 March 2018 £m 2017 £m 2016 £m Non-current Other assets a 317 360 218 a Other assets includes costs relating to the initial set-up, transition or transformation phase of long-term networked IT services contracts of £145m (2016/17: £163m, 2015/16: £111m), and prepayments and leasing debtors of £172m (2016/17: £197m, 2015/16: £107m). At 31 March 2018 £m 2017 £m 2016 £m Current Trade receivables 1,741 1,774 1,803 Amounts owed by ultimate parent company 15 25 9 Prepayments a 1,103 733 702 Accrued income 777 955 1,072 Other receivables b 393 373 401 4,029 3,860 3,987 a Prepayments includes £325m (2016/17: £nil, 2015/16: £nil) in respect of the acquisition of spectrum in April 2018. The spectrum auction bidding cut across the 2017/18 and 2018/19 financial years. Whilst £325m was on deposit with Ofcom at 31 March 2018, we went on to win spectrum for a total price of £304m and the excess deposit balance has since been refunded. This will be transferred to intangible assets in 2018/19. b Other receivables includes assets held for sale of £ nil (2016/17: £22m, 2015/16: £nil ). |
Summary of Trade Receivables After Deducting Allowances for Doubtful Debts | Trade receivables are stated after deducting allowances for doubtful debts, as follows: 2018 £m 2017 £m 2016 £m At 1 April 303 195 196 Expense 129 211 77 Utilised (61 ) (114 ) (89 ) Exchange differences 4 11 11 At 31 March 375 303 195 |
Summary of Trade Receivables Past Due and Not Specifically Impaired | Trade receivables are due as follows: Past due and not specifically impaired At 31 March Not past due £m Trade receivables specifically impaired net of provision £m Between 0 and 3 months £m Between 3 and 6 months £m Between 6 and 12 months £m Over 12 months £m Total £m 2018 1,251 61 293 44 25 67 1,741 2017 1,184 146 292 17 41 94 1,774 2016 1,152 98 368 51 44 90 1,803 |
Schedule of Trade Receivables Not Past Due and Accrued Income | Trade receivables not past due and accrued income are analysed below by customer-facing unit. Trade receivables not past due Accrued income At 31 March 2018 £m 2017 £m 2016 £m 2018 £m 2017 £m 2016 £m BT Consumer 157 128 138 86 90 83 EE 206 335 267 122 170 312 Business and Public Sector 253 200 115 134 151 146 Global Services 477 444 555 222 297 351 Wholesale and Ventures 92 75 76 145 167 99 Openreach 61 1 1 67 78 79 Other 5 1 – 1 2 2 Total 1,251 1,184 1,152 777 955 1,072 |
Trade and other payables (Table
Trade and other payables (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Trade And Other Payables [Abstract] | |
Summary of Trade and Other Payables | At 31 March 2018 £m 2017 £m 2016 £m Current Trade payables 3,991 4,205 4,331 Amounts owed to parent company 50 63 70 Other taxation and social security 704 704 682 Other payables 428 648 527 Accrued expenses 492 382 418 Deferred income a 1,525 1,474 1,435 7,190 7,476 7,463 At 31 March 2018 £m 2017 £m 2016 £m Non-current Other payables b 871 885 876 Deferred income a 455 413 230 1,326 1,298 1,106 a Includes £ 132 m (2016/17: £71m, 2015/16: £71m) current and £ 404 m (2016/17: £375m, 2015/16: £187m) non-current liabilities relating to the Broadband Delivery UK programme, for which grants received by the group may be subject to re-investment or repayment depending on the level of take-up. b Other payables relate to operating lease liabilities and deferred gains on a 2001 sale and finance leaseback transaction. |
Provisions (Tables)
Provisions (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Provisions [Abstract] | |
Details of Estimate of the Provisions | The outcome of our estimate of the provisions is disclosed below. Restructuring £m a Property £m Network ARO £m Network share £m Regulatory £m Litigation £m Other £m Total £m At 31 March 2016 20 296 78 60 64 73 152 743 Income statement expense – 38 27 5 426 6 34 536 Unwind of discount – 12 2 2 – – – 16 Utilised or released (10 ) (54 ) (24 ) (17 ) (11 ) (11 ) (8 ) (135 ) Transfers – – – – – – (3 ) (3 ) Exchange differences 1 – – – – 1 2 4 At 31 March 2017 11 292 83 50 479 69 177 1,161 Income statement expense 4 37 2 – 51 6 33 133 Unwind of discount – 11 2 2 – – – 15 Utilised or released (2 ) (46 ) (16 ) (19 ) (210 ) (11 ) (32 ) (336 ) Transfers – – – – – – 85 85 Exchange differences (1 ) – – – – – (2 ) (3 ) At 31 March 2018 12 294 71 33 320 64 261 1,055 a Restructuring costs for which the timing and amount are certain. These amounts are reflected in trade and other payables. |
Details of Provisions | At 31 March 2018 £m 2017 £m 2016 £m Analysed as: Current 603 625 178 Non-current 452 536 565 1,055 1,161 743 |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Summary of Expense or Income from Retirement Benefit Arrangements Recognised in Income Statement | The expense or income arising from all group retirement benefit arrangements recognised in the group income statement is shown below. Year ended 31 March 2018 £m 2017 £m 2016 £m Recognised in the income statement before specific items Service cost (including administration expenses & PPF levy): – defined benefit plans 376 281 301 – defined contribution plans 265 240 193 Past service credit a (17 ) – – Total operating expense 624 521 494 Net interest expense on pensions deficit included in specific items (note 8) 218 209 221 Total recognised in the income statement 842 730 715 a Past service credit primarily relates to pension plans operating outside the UK which were closed to future accrual during the year. |
Summary of Pension Obligation in Respect of Defined Benefit Plans Reported in Balance Sheet | The net pension obligation in respect of defined benefit plans reported in the group balance sheet is set out below. 2018 2017 At 31 March Assets £m Present value of liabilities £m Deficit £m Assets £m Present value of liabilities £m Deficit £m BTPS 49,894 (55,783 ) (5,889 ) 50,090 (58,649 ) (8,559 ) EEPS 763 (920 ) (157 ) 748 (973 ) (225 ) Other plans a 299 (624 ) (325 ) 274 (578 ) (304 ) Retirement benefit obligation 50,956 (57,327 ) (6,371 ) 51,112 (60,200 ) (9,088 ) Adjustments due to effect of asset ceiling (IFRIC 14) – – Deferred tax asset 1,081 1,535 Net pension obligation (5,290 ) (7,553 ) a Included in the present value of obligations of other plans is £97m (2016/17: £104m) related to unfunded pension arrangements. |
Summary of Movements on Pension Assets and Liabilities | The table below shows the movements on the pension assets and liabilities and shows where they are reflected in the financial statements. Assets £m Liabilities £m Deficit £m At 31 March 2016 43,968 (50,350 ) (6,382 ) Service cost (including administration expenses and PPF levy) (44 ) (237 ) (281 ) Interest on pension deficit 1,413 (1,622 ) (209 ) Included in the group income statement (490 ) Return on plan assets above the amount included in the group income statement 7,475 – 7,475 Actuarial loss arising from changes in financial assumptions a – (10,221 ) (10,221 ) Actuarial loss arising from changes in demographic assumptions a – (206 ) (206 ) Actuarial gain arising from experience adjustments b – 163 163 Included in the group statement of comprehensive income (2,789 ) Regular contributions by employer 313 – 313 Deficit contributions by employer 274 – 274 Included in the group cash flow statement 587 Contributions by employees 8 (8 ) – Benefits paid (2,315 ) 2,315 – Foreign exchange 20 (34 ) (14 ) Other movements (14 ) At 31 March 2017 51,112 (60,200 ) (9,088 ) Service cost (including administration expenses and PPF levy) (67 ) (309 ) (376 ) Past service credit – 17 17 Interest on pension deficit 1,201 (1,419 ) (218 ) Included in the group income statement (577 ) Return on plan assets above the amount included in the group income statement 10 – 10 Actuarial gain arising from changes in financial assumptions a – 2,251 2,251 Actuarial loss arising from changes in demographic assumptions a – (221 ) (221 ) Actuarial gain arising from experience adjustments b – 120 120 Included in the group statement of comprehensive income 2,160 Regular contributions by employer 264 – 264 Deficit contributions by employer 872 – 872 Included in the group cash flow statement 1,136 Contributions by employees 2 (2 ) – Benefits paid (2,449 ) 2,449 – Foreign exchange 11 (13 ) (2 ) Other movements (2 ) At 31 March 2018 50,956 (57,327 ) (6,371 ) a The actuarial gain or loss arises from changes in the assumptions used to value the defined benefit liabilities at the end of the year compared with the assumptions used at the start of the year. This includes both financial assumptions, which are based on market conditions at the year end, and demographic assumptions such as life expectancy. b The actuarial loss or gain arising from experience adjustments on defined benefit liabilities represents the impact on the liabilities of differences between actual experience during the year compared with the assumptions made at the start of the year. Such differences might arise, for example, from members choosing different benefit options at retirement, actual salary increases being different from those assumed or actual benefit increases being different to the pension increase assumption. |
Summary of Analysis of Membership | The membership is analysed below. Analysis of BTPS Active members Deferred members Pensioners Total Sections A and B liabilities (£bn) a 4.9 4.3 29.6 38.8 Section C liabilities (£bn) 7.7 5.7 3.6 17.0 Total IAS 19 liabilities (£bn) 12.6 10.0 33.2 55.8 Total number of members 30,000 60,500 202,500 293,000 a Sections A and B have been aggregated in this table as Section A members have typically elected to take Section B benefits at retirement. |
Summary of Fair Value of Assets of BTPS Analysed by Asset Category | The fair value of the assets of the BTPS analysed by asset category are shown below. These are subdivided by assets that have a quoted market price in an active market and those that do not (such as investment funds). 2018 a 2017 a Total assets £bn of which quoted £bn b Total % Total assets £bn of which quoted £bn b Total % Growth Equities UK 0.5 0.5 1 0.7 0.6 2 Overseas developed 7.8 7.3 16 9.1 8.6 18 Emerging markets 0.5 0.4 1 0.5 0.1 1 Private Equity 1.9 – 4 1.9 – 4 Property UK 3.9 – 8 4.1 – 8 Overseas 1.2 – 2 1.7 – 3 Other growth assets Absolute Return funds c 1.5 – 3 2.3 – 5 Non Core Credit d 3.4 1.0 7 3.5 1.1 7 Mature Infrastructure 1.4 – 3 1.7 – 3 Liability matching Government bonds UK Index Linked 12.5 12.5 25 12.3 12.0 25 Investment grade credit Global 10.0 8.0 20 7.6 5.9 15 Cash, derivatives and other Cash balances 3.8 – 7 1.7 – 3 Longevity insurance contract e (0.4 ) – (1 ) (0.3 ) – (1 ) Other non-physical cash f 1.9 – 4 3.3 – 7 Total 49.9 29.7 100 50.1 28.3 100 a £ nil) . The Scheme also held £10m (2016/17: £10m) of index-linked bonds issued by the group . b Assets with a quoted price in an active market. c This allocation seeks to generate returns irrespective of the direction of markets. Managers within this allocation will typically manage their portfoilios without close regard to a specific market benchmark. d This allocation includes a range of credit investments, including emerging market, sub-investment grade and unrated credit. The allocation seeks to exploit investment opportunities within credit markets using the expertise of a range of specialist investment managers. e The Trustee has hedged some of the Scheme’s longevity risk through a longevity insurance contract which was entered into in 2014. The value reflects experience to date on the contract from higher than expected deaths. This amount partly offsets a reduction recognised in the Scheme’s liabilities. f Non-physical cash includes offsets in future positions and cash collateral posted in relation to derivatives held by the Scheme. |
Summary of Approach Used to Set Key IAS 19 Assumptions | The table below summarises the approach used to set the key IAS 19 assumptions for the BTPS. Approa c s t h s Disc o IAS 19 requires that the discount rate is determined by reference to market yields at the reporting date on high quality corporate bonds. The currency and term of these should be consistent with the currency and estimated term of the pension obligations. The assumption is calculated by applying the projected BTPS benefit cash flows to a corporate bond yield curve constructed based on the yield on AA-rated corporate bonds. In setting the yield curve, judgement is required on the selection of appropriate bonds to be included in the universe and the approach used to then derive the yield curve. At 31 March 2018, the discount rate model used to select bonds and derive the yield curve was updated to better reflect yields on corporate bonds over the life of the Scheme. A key difference is that the revised model excludes bonds which have either an implicit or explicit Government guarantee, which is more consistent with the requirements of IAS19, and reflects developing practice. Both the old and revised models are standard models developed by our external actuary. The impact of this change is a £2.1bn reduction in the BTPS liabilities. RPI o The RPI inflation assumption is set using the entire inflation curve, weighted by projected BTPS benefit cash flows, and making an adjustment for an inflation risk premium (to reflect the extra premium paid by investors for inflation protection), which is currently assumed to be 20bps. CPI o CPI P k i i Salary a Long-term Pensi o n B e r e r R C u o b e r f r e t r i a e Lo n v The longevity assumption has been updated to take into account: – the actual mortality experience of the BTPS pensioners, based on a formal review conducted at the 2014 triennial funding valuation – future improvements in longevity based on a model published by UK actuarial profession’s Continuous Mortality Investigation (using the CMI 2016 Mortality Projections model with a 1.25% per year long-term improvement parameter). |
Summary of Key Financial Assumptions Used to Measure Liabilities of BTPS | T h i a a u n u e h a l e o h b e l o Nominal rates (per year) Real rates (per year) a At 31 March 2018 % 2017 % 2016 % 2018 % 2017 % 2016 % Rate used to discount liabilities 2.65 2.40 3.30 (0.44) (0.78) 0.44 Inflation – increase in RPI 3.10 3.20 2.85 – – – Inflation – increase in CPI 2.00 b 2.00 c 1.65 d (1.1) b (1.2) c (1.2) d a The real rate is calculated relative to RPI inflation. b Assumed to be 0.1% higher until 31 March 2023. c Assumed to be 0.5% higher until 31 March 2019. d Assumed to be 0.2% higher until 31 March 2017. |
Summary of Average Life Expectancies for Members Aged Sixty | T h a g l p e n a o n h a a d a o e e 6 a o g a l w Number of years from valuation date June 2017 assumptions June 2014 assumptions Male in lower pay bracket 25.9 26.1 Male in medium pay bracket 27.2 27.5 Male in high pay bracket 28.6 29.0 Female in lower pay bracket 28.6 28.9 Female in high pay bracket 28.9 29.2 Average improvement for a member retiring at age 60 in 10 years’ time 0.9 1.3 |
Summary of Assessed Potential Negative Impact of Key Risk | B T r Scenario 1-in-20 events 2018 2017 1. Fall in discount rate a 1.10% 1.00% 2. Increase to inflation rate b 0.70% 0.90% 3. Increase to life expectancy 1.35 years 1.35 years a Scenario assumes a fall in the yields on both government and corporate bonds. b Assuming RPI, CPI, pension increases and salary increases all increase by the same amount. |
Summary of Two Most Recent Triennial Valuations | T h l t o o e e n a u n o b e o June 2017 valuation £bn June 2014 valuation £bn BTPS liabilities (60.4) (47.2 ) Market value of BTPS assets 49.1 40.2 Funding deficit (11.3) (7.0 ) Percentage of accrued benefits covered by BTPS assets at the valuation date 81.3% 85.2% Percentage of accrued benefits on a solvency basis covered by the BTPS assets at the valuation date 62.2% 63.0% |
Summary of Prudent Long-Term Assumptions | T h l u a t i e e e n i n o o n u d e n l g p i n Nominal rates (per year) Real rates (per year) a June 2017 valuation % June 2014 valuation % June 2017 valuation % June 2014 valuation % Average single equivalent discount rate 2.6 4.5 (0.8) 1.0 Average long-term increase in RPI 3.4 3.5 – – Average long-term increase in CPI 2.4 2.5 (1.0) (1.0 ) a T e t c l i n o h p o |
Summary of Payments Made to BTPS | Payments made to the BTPS Year ended 31 March 2018 £m 2017 £m Ordinary contributions 248 303 Deficit contributions 850 250 Total contributions in the year 1,098 553 |
Schedule of Future Deficit Payment to BTPS | BT h u e a d e e i w h l e w Year to 31 March 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Deficit contribution (£m) 850 2,000 a 1,250 b 900 c 900 d 907 907 907 907 907 907 907 907 a due to be paid shortly, but no later than 30 June 2019. b payable by 30 June 2019. c £400m payable by 30 June 2020. d £200m payable by 30 June 2021. |
BTPS [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Summary of Average Life Expectancies for Members Aged Sixty | B a h e a pe a o m b g 6 a f o At 31 March 2018 Number of years 2017 Number of years Male in lower pay bracket 25.8 26.2 Male in medium pay bracket 27.1 27.5 Male in higher pay bracket 28.5 28.9 Female in lower pay bracket 28.5 28.9 Female in higher pay bracket 28.7 29.2 Average improvement for a member retiring at age 60 in 10 years' time 0.7 1.0 |
Share-based payments (Tables)
Share-based payments (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Text Block1 [Abstract] | |
Summary of Plans and Analysis of Total Charge by Type of Award | Year ended 31 March 2018 £m 2017 £m 2016 £m Employee Saveshare Plans 42 40 27 Executive Share Plans: Incentive Share Plan (ISP) 16 – 21 Deferred Bonus Plan (DBP) 4 9 4 Retention Share Plan (RSP) a 21 8 1 Other plans 1 – 5 84 57 58 a Re-presented to show RSPs separately from other plans. |
Movements in Employee Saveshare Options | Movements in Employee Saveshare options are shown below. Movement in the number of share options Weighted average exercise price Year ended 31 March 2018 millions 2017 millions 2016 millions 2018 pence 2017 pence 2016 pence Outstanding at 1 April 189 197 226 313 287 226 Granted 69 44 47 250 362 385 Forfeited (41 ) (18 ) (12 ) 328 345 306 Exercised (30 ) (33 ) (63 ) 169 208 139 Expired (12 ) (1 ) (1 ) 353 345 247 Outstanding at 31 March 175 189 197 306 313 287 Exercisable at 31 March – – – 320 237 140 |
Summarises Information Relating to Options Outstanding and Exercisable Under Employee Saveshare Plans | The following table summarises information relating to options outstanding and exercisable under Employee Saveshare plans at 31 March 2018. Normal dates of vesting and exercise (based on calendar years) Exercise price per share Weighted average exercise price Number of outstanding options millions Weighted average remaining contractual life 2018 249p – 423p 306 p 25 10 months 2019 319p – 397p 333 p 53 22 months 2020 243p – 376p 307 p 44 34 months 2021 353p 353 p 17 46 months 2022 243p 243 p 36 58 months Total 306 p 175 33 months |
Movements in Executive Share Plan Awards | Movements in executive share plan awards during 2017/18 are shown below: Number of shares (millions) ISP DBP RSP Total At 1 April 2017 45 7 4 56 Awards granted 26 2 10 38 Awards vested – (3 ) (2 ) (5 ) Awards lapsed (20 ) – (1 ) (21 ) Dividend shares reinvested 3 – 1 4 At 31 March 2018 54 6 12 72 |
Summary of Fair Values and Key Assumptions Used for Valuing Grants Made Under Employee Saveshare Plans and ISP | The following table summarises the fair values and key assumptions used for valuing grants made under the Employee Saveshare plans and ISP in 2017/18, 2016/17 and 2015/16. 2018 2017 2016 Year ended 31 March Employee Saveshare ISP Employee Saveshare ISP Employee Saveshare ISP Weighted average fair value 56p 202p 72p 328p 81p 364p Weighted average share price 296p 281p 422p 426p 454p 451p Weighted average exercise price 250p n/a 362p n/a 385p n/a Expected dividend yield 3.12% – 3.21% n/a 2.9% – 3.4% n/a 3.2% –3.7% n/a Risk free rates 0.1% – 0.2% 0.2% 0.5% – 0.8% 0.6% 0.7% – 1.6% 0.7% Expected volatility 23.1% – 24.3% 23.6% 19.0% – 21.5% 21.8% 19.7% –22.7% 22.0% |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Investments [Abstract] | |
Summary of Investments | At 31 March 2018 £m 2017 £m 2016 £m Non-current assets Available-for-sale 46 37 39 Amounts owed by ultimate parent company 2,983 1,371 1,409 Amounts owed by parent company 10,318 10,191 10,510 Fair value through profit or loss 7 7 7 13,354 11,606 11,965 Current assets Available-for-sale 2,575 1,437 2,878 Amounts owed by ultimate parent company 34 28 26 Amounts owed by parent company 168 192 327 Loans and receivables 447 83 40 3,224 1,740 3,271 |
Fair Value Hierarchy of Investments | Fair value hierarchy At 31 March 2018 Level 1 £m Level 2 £m Level 3 £m Total held at fair value £m Non-current and current investments Available-for-sale investments 32 2,575 14 2,621 Fair value through profit or loss 7 – – 7 Total 39 2,575 14 2,628 At 31 March 2017 Level 1 £m Level 2 £m Level 3 £m Total held at fair value £m Non-current and current investments Available-for-sale investments 21 1,437 16 1,474 Fair value through profit or loss 7 – – 7 Total 28 1,437 16 1,481 At 31 March 2016 Level 1 £m Level 2 £m Level 3 £m Total held at fair value £m Non-current and current investments Available-for-sale investments 24 2,878 15 2,917 Fair value through profit or loss 7 – – 7 Total 31 2,878 15 2,924 |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Cash And Cash Equivalents [Abstract] | |
Summary of Cash and Cash Equivalents | At 31 March 2018 £m 2017 £m 2016 £m Cash at bank and in hand 439 467 893 Cash equivalents Loans and receivables US deposits 26 32 44 UK deposits 31 1 20 Other deposits 25 26 32 Total cash equivalents 82 59 96 Total cash and cash equivalents 521 526 989 Bank overdrafts (note 23) (29 ) (17 ) (537 ) Cash and cash equivalents per the cash flow statement 492 509 452 |
Loans and other borrowings (Tab
Loans and other borrowings (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Text Block1 [Abstract] | |
Summary of Key Components of External Gross Debt | The table below shows the key components of external gross debt and of the increase of £2,195m this year. At 1 April 2017 £m Issuance/ (maturities) £m Fair value movements £m Foreign exchange £m Transfer to within one year £m Accrued interest movements £m At 31 March 2018 £m Debt due within one year a 2,632 (1,401 ) (18 ) (95 ) 1,163 – 2,281 Debt due after one year 10,081 3,760 (60 ) (440 ) (1,347 ) – 11,994 Cash flows from Derivatives related to net debt – (188 ) – – 188 – – Overdrafts – 4 – – (4 ) – – Impact of cross-currency swaps b (1,419 ) – – 545 – – (874 ) Removal of the accrued interest and fair value adjustments c (314 ) – 78 – – 10 (226 ) External gross debt 10,980 2,175 – 10 – 10 13,175 a Including accrued interest and bank overdrafts . b Translation of debt balances at swap rates where hedged by cross currency swaps. c Removal of accrued interest applied to reflect the effective interest rate method and removal of fair value adjustments. |
Summary of Reconciliation From Most Directly Comparable IFRS Measure to Net Debt | The table below gives the details of the listed bonds and other debt. At 31 March 2018 £m 2017 £m 2016 £m 1.625% US$600m bond due June 2016 a – – 419 8.50% £678m bond due December 2016 (minimum 7.50% b – – 696 3.5% €500m bond due February 2017 a – – 398 1.25% US$500m bond due February 2017 a – – 348 6.625% £500m bond due June 2017 a – 526 525 5.95% US$1,100m bond due January 2018 a – 891 775 3.25% €600m bond due August 2018 a 541 539 510 2.35% US$800m bond due February 2019 a 572 642 558 4.38% £450m bond due March 2019 455 460 464 1.125% €1,000m bond due June 2019 a 883 863 800 8.625% £300m bond due March 2020 300 300 300 0.625% €1,500m bond due March 2021 a 1,309 1,282 1,190 0.5% €575m bond due June 2022 a 502 – – 1.125% €1,100m bond due March 2023 a 961 942 873 1% €575m bond due June 2024 a 506 – – 1% €1,100m bond due November 2024 a 959 – – 3.50% £250m index linked bond due April 2025 419 403 396 1.75% €1,300m bond due March 2026 a 1,137 1,113 1,032 1.5% €1,150m bond due June 2027 a 1,009 – – 5.75% £600m bond due December 2028 721 731 741 9.125% US$2,670m bond due December 2030 a b 1,943 2,191 1,910 3.125% £500m bond due November 2031 502 – – 6.375% £500m bond due June 2037 a 522 522 522 3.625% £250m bond due November 2047 250 – – Total listed bonds 13,491 11,405 12,457 Finance leases 223 229 233 LIBOR + 0.95% £438m Syndicated loan facilities due April 2016 – – 438 2.21% £350m bank loan due December 2017 – 352 354 Acquisition facility – – 181 Other loans 532 710 561 Bank overdrafts (note 22) 29 17 537 Amounts due to ultimate company c 1,061 1,183 1,024 Total other loans and borrowings 1,622 2,262 3,095 Total loans and borrowings 15,336 13,896 15,785 a Designated in a cash flow hedge relationship. b The interest rate payable on this bond attracts an additional 0.25% for a downgrade by one credit rating by either Moody’s or S&P to the group’s senior unsecured debt below A3/A–respectively. In addition, if Moody’s or S&P subsequently increase the ratings then the interest rate will be decreased by 0.25% for each rating category upgrade by each rating agency. In no event will the interest rate be reduced below the minimum rate reflected in the above table. c Amounts due to ultimate parent company are denominated in Sterling and incur a floating rate of interest based on LIBOR. |
Summary of Loans and Other Borrowings | L o n o At 31 March 2018 £m 2017 £m 2016 £m Current liabilities Listed bonds 1,702 1,539 2,013 Finance leases 18 15 8 Bank loans – 352 – Syndicated loan facilities – – 619 Other loans and bank overdrafts a 561 726 1,096 Amounts due to ultimate parent company 17 159 20 Total current liabilities 2,298 2,791 3,756 Non-current liabilities Listed bonds 11,789 9,866 10,444 Finance leases 205 214 225 Bank loans – – 354 Other loans – 1 2 Amounts due to ultimate parent company 1,044 1,024 1,004 Total non-current liabilities 13,038 11,105 12,029 Total 15,336 13,896 15,785 a Incl u des c olla t eral r e cei v ed on sw a ps of £525m (2 0 16/ 1 7: £702 m , 20 15 /16: £553m). |
Summary of Principal Repayments of Loans and Other Borrowings | The p n p a e a n o a n n o o g a e ge a e o £14,219 2 2 £14,756 a n e a d u a l w 2018 2017 2016 At 31 March Carrying amount £m Effect of hedging and interest £m Principal repayments at hedged rates £m Carrying amount £m Effect of hedging and interest £m Principal repayments at hedged rates £m Carrying amount £m Effect of hedging and interest £m Principal repayments at hedged rates £m Within one year, or on demand 2,289 (308 ) 1,981 2,791 (523 ) 2,268 3,756 (252 ) 3,504 Between one and two years 1,192 (66 ) 1,126 1,614 (197 ) 1,417 1,632 (216 ) 1,416 Between two and three years 1,332 (154 ) 1,178 1,166 (43 ) 1,123 1,488 (72 ) 1,416 Between three and four years 18 – 18 1,295 (121 ) 1,174 1,103 18 1,121 Between four and five years 1,489 (111 ) 1,378 12 – 12 1,199 (26 ) 1,173 After five years 8,943 (405 ) 8,538 6,868 (724 ) 6,144 6,428 (302 ) 6,126 Total due for repayment after more than one year 12,974 (736 ) 12,238 10,955 (1,085 ) 9,870 11,850 (598 ) 11,252 Total repayments 15,263 (1,044 ) 14,219 13,746 (1,608 ) 12,138 15,606 (850 ) 14,756 Fair value adjustments 73 150 179 Total loans and other borrowings 15,336 13,896 15,785 |
Summary of Obligations Under Finance Leases | O b g n d a l e n l a l w 2018 2017 2016 2018 2017 2016 Minimum lease payments Repayment of outstanding lease obligations At 31 March £m £m £m £m Amounts payable under finance leases: Due within one year 33 29 13 18 14 8 Between two to five years 122 102 105 71 50 51 After five years 193 237 265 130 165 174 348 368 383 219 229 233 Less: future finance charges (129 ) (139 ) (150 ) – – – Fair value adjustments for purchase price adjustment 4 – – 4 – – Total finance lease obligations 223 229 233 223 229 233 |
Finance expense (Tables)
Finance expense (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Finance Income Expense [Abstract] | |
Summary of Finance Expense and Income | Year ended 31 March 2018 £m 2017 £m 2016 £m Finance expense Interest on: Financial liabilities at amortised cost and associated derivatives 478 567 489 Finance leases 16 15 14 Derivatives 14 12 11 Fair value movements on derivatives not in a designated hedge relationship 1 (2 ) (5 ) Reclassification of cash flow hedge from other comprehensive income 34 (1 ) 3 Unwinding of discount on provisions 15 16 8 Interest payable on ultimate parent company borrowings 18 25 20 Total finance expense before specific items 576 632 540 Specific items (note 8) 218 210 229 Total finance expense 794 842 769 Year ended 31 March 2018 £m 2017 £m 2016 £m Finance income Interest on available-for-sale investments 5 6 8 Interest on loans and receivables 7 7 6 Other interest and similar income – – 23 Interest income on loans to immediate and ultimate parent company 203 219 352 Total finance income 215 232 389 Year ended 31 March 2018 £m 2017 £m 2016 £m Net finance expense before specific items 361 400 151 Specific items (note 8) 218 210 229 Net finance expense 579 610 380 |
Financial instruments and ris64
Financial instruments and risk management (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Text Block1 [Abstract] | |
Summary of Currency and Interest Rate Profile of Loans and Borrowings | The table below reflects the currency and interest rate profile of our loans and borrowings after the impact of hedging. 2018 2017 2016 At 31 March Fixed rate interest £m Floating rate interest £m Total £m Fixed rate interest £m Floating rate interest £m Total £m Fixed rate interest £m Floating rate interest £m Total £m Sterling 11,990 1,720 13,710 9,633 1,864 11,497 11,417 2,752 14,169 Euro – 509 509 – 641 641 – 587 587 Total 11,990 2,229 14,219 9,633 2,505 12,138 11,417 3,339 14,756 Ratio of fixed to floating 84% 16% 100% 79% 21% 100% 77% 23% 100% Weighted average effective fixed interest rate – Sterling 4.4% 4.9% 6.0% |
Summary of Impact on Equity, Before Tax, of a 1% Increase in Interest | The impact on equity, before tax, of a 1% increase in interest rates and a 10% strengthening in Sterling against other currencies is as detailed below: At 31 March 2018 £m Increase (reduce) 2017 £m Increase (reduce) 2016 £m Increase (reduce) Sterling interest rates 628 554 626 US Dollar interest rates (267 ) (348 ) (374 ) Euro interest rates (401 ) (229 ) (263 ) Sterling strengthening (236 ) (269 ) (98 ) |
Summary of Credit Ratings | Our credit ratings were as detailed below: 2018 2017 2016 At 31 March Rating Outlook Rating Outlook Rating Outlook Rating agency Moody’s Baa2 Stable Baa1 Negative Baa2 Positive Standard & Poor’s BBB+ Negative BBB+ Negative BBB Positive |
Remaining Contractually-Agreed Cash Flows Including Interest Payable for Non-Derivative Financial Liabilities on Undiscounted Basis | The following table provides an analysis of the remaining contractually-agreed cash flows including interest payable for our non- derivative financial liabilities on an undiscounted basis, which therefore differs from both the carrying value and fair value. Non-derivative financial liabilities At 31 March 2018 Loans and other borrowings £m Interest on loans and other borrowings £m Trade and other payables £m Provisions £m Total £m Due within one year 2,120 468 4,961 54 7,603 Between one and two years 1,192 421 – 34 1,647 Between two and three years 1,332 381 – 25 1,738 Between three and four years 18 374 – 43 435 Between four and five years 1,489 372 – 19 1,880 After five years 8,943 3,300 – 197 12,440 15,094 5,316 4,961 372 25,743 Interest payments not yet accrued – (5,147 ) – – (5,147 ) Fair value adjustment 73 – – – 73 Impact of discounting – – – (72 ) (72 ) Carrying value on the balance sheet a 15,167 169 4,961 300 20,597 a Foreign currency-related cash flows were translated at closing rates as at the relevant reporting date. Future variable interest rate cash flows were calculated using the most recent rate applied at the relevant balance sheet date. Non-derivative financial liabilities At 31 March 2017 Loans and other borrowings £m Interest on loans and other borrowings £m Trade and other payables £m Provisions £m Total £m Due within one year 2,602 532 5,298 62 8,494 Between one and two years 1,614 415 – 41 2,070 Between two and three years 1,166 364 – 21 1,551 Between three and four years 1,295 327 – 18 1,640 Between four and five years 12 319 – 17 348 After five years 6,868 2,726 – 310 9,904 13,557 4,683 5,298 469 24,007 Interest payments not yet accrued – (4,494 ) – – (4,494 ) Fair value adjustment 150 – – – 150 Impact of discounting – – – (177 ) (177 ) Carrying value on the balance sheet a 13,707 189 5,298 292 19,486 a Foreign currency-related cash flows were translated at closing rates as at the relevant reporting date. Future variable interest rate cash flows were calculated using the most recent rate applied at the relevant balance sheet date. Non-derivative financial liabilities At 31 March 2016 Loans and other borrowings £m Interest on loans and other borrowings £m Trade and other payables £m Provisions £m Total £m Due within one year 3,558 513 5,346 50 9,467 Between one and two years 1,632 435 – 30 2,097 Between two and three years 1,488 357 – 25 1,870 Between three and four years 1,103 343 – 15 1,461 Between four and five years 1,199 308 – 16 1,523 After five years 6,428 2,885 – 326 9,639 15,408 4,841 5,346 462 26,057 Interest payments not yet accrued – (4,643 ) – – (4,643 ) Fair value adjustment 179 – – – 179 Impact of discounting – – – (166 ) (166 ) Carrying value on the balance sheet a 15,587 198 5,346 296 21,427 a Foreign currency-related cash flows were translated at closing rates as at the relevant reporting date. Future variable interest rate cash flows were calculated using the most recent rate applied at the relevant balance sheet date. |
Disclosure Of Maturity Analysis For Derivative Financial Liabilities Explanatory | The following table provides an analysis of the contractually agreed cash flows in respect of the group’s derivative financial instruments. Cash flows are presented on a net or gross basis in accordance with the settlement arrangements of the instruments. Derivatives – Analysed by earliest payment date a Derivatives – Analysed based on holding instrument to maturity Derivative financial liabilities At 31 March 2018 Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Due within one year 140 587 (547 ) 180 91 587 (547 ) 131 Between one and two years 135 183 (166 ) 152 91 183 (166 ) 108 Between two and three years 156 442 (446 ) 152 85 69 (47 ) 107 Between three and four years 143 52 (29 ) 166 80 68 (47 ) 101 Between four and five years 161 52 (29 ) 184 80 68 (47 ) 101 After five years 291 2,234 (2,149 ) 376 599 2,575 (2,512 ) 662 Total b 1,026 3,550 (3,366 ) 1,210 1,026 3,550 (3,366 ) 1,210 b Derivatives – Analysed by earliest payment date a Derivatives – Analysed based on holding instrument to maturity Derivative financial liabilities At 31 March 2017 Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Due within one year 291 582 (576 ) 297 92 582 (576 ) 98 Between one and two years 296 1,139 (1,097 ) 338 92 1,139 (1,097 ) 134 Between two and three years 198 – – 198 92 – – 92 Between three and four years 114 – – 114 88 – – 88 Between four and five years 104 – – 104 83 – – 83 After five years 123 – – 123 679 – – 679 Total b 1,126 1,721 (1,673 ) 1,174 1,126 1,721 (1,673 ) 1,174 Derivatives – Analysed by earliest payment date a Derivatives – Analysed based on holding instrument to maturity Derivative financial liabilities At 31 March 2016 Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Net settled £m Gross settled outflows £m Gross settled inflows £m Total £m Due within one year 268 263 (250 ) 281 91 263 (250 ) 104 Between one and two years 386 38 (27 ) 397 88 38 (27 ) 99 Between two and three years 371 38 (27 ) 382 88 38 (27 ) 99 Between three and four years 60 838 (836 ) 62 90 838 (836 ) 92 Between four and five years 81 17 (18 ) 80 84 17 (18 ) 83 After five years – 165 (180 ) (15 ) 725 165 (180 ) 710 Total b 1,166 1,359 (1,338 ) 1,187 1,166 1,359 (1,338 ) 1,187 a Certain derivative financial instruments contain break clauses whereby either the group or bank counterparty can terminate the swap on certain dates and the mark to market position is settled in cash. b |
Summary of Maximum Credit Risk Exposure of Financial Assets | The maximum credit risk exposure of the group’s financial assets at the balance sheet date is as follows: At 31 March Notes 2018 £m 2017 £m 2016 £m Derivative financial assets 1,509 2,246 1,639 Investments 21 16,578 13,346 15,236 Trade and other receivables c 16 2,533 2,754 2,884 Cash and cash equivalents 22 521 526 989 21,141 18,872 20,748 c The carrying amount excludes £317m (2016/17: £360m, 2015/16: £218m) of non-current trade and other receivables which relate to non-financial assets, and £1,496m (2016/17: £1,106m, 2015/16: £1,103m) of prepayments and other receivables. |
Summary of Credit Quality and Credit Concentration of Cash Equivalents, Current Asset Investments and Derivative Financial Assets | The credit quality and credit concentration of cash equivalents, current asset investments and derivative financial assets are detailed in the tables below. Where the opinion of Moody’s and S&P differ, the lower rating is used. Moody’s/S&P credit rating of counterparty 2018 £m 2017 £m 2016 £m Aa2/AA and above 2,575 1,444 2,878 Aa3/AA– 313 208 120 A1/A+ a 651 952 64 A2/A a 628 370 939 A3/A– a 180 204 160 Baa1/BBB+ a 59 561 492 Baa2/BBB and below a 207 86 – 4,613 3,825 4,653 a We hold cash collateral of £492m (2016/17: £702m, 2015/16: £553m) in respect of derivative financial assets with certain counterparties. |
Summary of Offsetting of Financial Assets and Liabilities | The table below shows our financial assets and liabilities that are subject to offset in the group’s balance sheet and the impact of enforceable master netting or similar agreements. Related amounts not set off in the balance sheet Financial assets and liabilities At 31 March 2018 Amounts presented in the balance sheet £m Right of set off with derivative counterparties £m Cash collateral £m Net amount £m Derivative financial assets 1,509 (754 ) (492 ) 263 Derivative financial liabilities (837 ) 754 60 (23 ) Total 672 – (432 ) 240 Related amounts not set off in the balance sheet Financial assets and liabilities At 31 March 2017 Amounts presented in the balance sheet £m Right of set off with derivative counterparties £m Cash collateral £m Net amount £m Derivative financial assets 2,246 (693 ) (702 ) 851 Derivative financial liabilities (903 ) 693 64 (146 ) Total 1,343 – (638 ) 705 Related amounts not set off in the balance sheet Financial assets and liabilities At 31 March 2016 Amounts presented in the balance sheet £m Right of set off with derivative counterparties £m Cash collateral £m Net amount £m Derivative financial assets 1,639 (456 ) (553 ) 630 Derivative financial liabilities (911 ) 456 40 (415 ) Total 728 – (513 ) 215 |
Summary of Derivative Financial Instruments are Held at Fair Value on Balance Sheet | All of our derivative financial instruments are held at fair value on the balance sheet. The fair values of outstanding swaps and foreign exchange contracts are estimated using discounted cash flow models and market rates of interest and foreign exchange at the balance sheet date. At 31 March 2018 Current asset £m Non-current asset £m Current liability £m Non-current liability £m Designated in a cash flow hedge 187 1,061 41 587 Other 10 251 9 200 Total derivatives 197 1,312 50 787 At 31 March 2017 Current asset £m Non-current asset £m Current liability £m Non-current liability £m Designated in a cash flow hedge 417 1,508 25 616 Other 11 310 9 253 Total derivatives 428 1,818 34 869 At 31 March 2016 Current asset £m Non-current asset £m Current liability £m Non-current liability £m Designated in a cash flow hedge 166 1,158 40 618 Other 11 304 8 245 Total derivatives 177 1,462 48 863 |
Other reserves (Tables)
Other reserves (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Reserves Within Equity [Abstract] | |
Summary of Other Reserves | Other comprehensive income Cash flow reserve £m a Available- for-sale reserve £m b Translation reserve £m c Merger and other reserves £m d Total £m At 1 April 2015 55 18 278 858 1,209 Exchange differences – – 29 – 29 Net fair value gain on cash flow hedges 381 – – – 381 Recognised in income and expense (230 ) – – – (230 ) Fair value movement on available-for-sale assets – (2 ) – – (2 ) Tax recognised in other comprehensive income (33 ) – 38 – 5 At 1 April 2016 173 16 345 858 1,392 Exchange differences – – 227 – 227 Net fair value gain on cash flow hedges 884 – – – 884 Recognised in income and expense (938 ) – – – (938 ) Fair value movement on available-for-sale assets – (3 ) – – (3 ) Tax recognised in other comprehensive income 8 – 21 – 29 At 31 March 2017 127 13 593 858 1,591 Exchange differences e – – (188 ) – (188 ) Net fair value loss on cash flow hedges (368 ) – – – (368 ) Recognised in income and expense 277 – – – 277 Fair value movement on available-for-sale assets – 11 – – 11 Tax recognised in other comprehensive income 10 – (9 ) – 1 Transfer to realised profit (83 ) – – – (83 ) At 31 March 2018 (37 ) 24 396 858 1,241 a The cash flow reserve is used to record the effective portion of the cumulative net change in the fair value of cash flow hedging instruments related to hedged transactions that have not yet occurred. Amounts ‘recognised in income and expense’ include a net credit to the cash flow reserve of £295m (2016/17: charge of £941m, 2015/16: charge of £255m) relating to fair value movements on derivatives. The items generating these foreign exchange movements are in designated cash flow hedge relationships. b The available-for-sale reserve is used to record the cumulative fair value gains and losses on available-for-sale financial assets. The cumulative gains and losses are recycled to the income statement on disposal of the assets. c The translation reserve is used to record cumulative translation differences on the assets and liabilities of foreign operations. The cumulative translation differences are recycled to the income statement on disposal of the foreign operation. d Excludes £1m (2016/17: £10m, 2015/16: £nil) of exchange differences in relation to retained earnings attributed to non-controlling interests . |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Transactions Between Related Parties [Abstract] | |
Balances with Parent and Ultimate Parent Companies and Finance Income or Expense | A summary of the balances with the parent and ultimate parent companies and the finance income or expense arising in respect of these balances is set out below: 2018 2017 2016 Notes Asset (liability) at 31 March £m Finance income (expense) £m Asset (liability) at 31 March £m Finance income (expense) £m Asset (liability) at 31 March £m Finance income (expense) £m Amounts owed by (to) parent company Loan facility – non-current assets investments 21,24 10,318 169 10,191 191 10,510 326 Loan facility – current asset investments 21 168 n/a 192 n/a 327 n/a Trade and other payables 17 (50 ) n/a (63 ) n/a (70 ) n/a Amounts owed by (to) ultimate parent company a Non-current assets investments 21,24 2,983 34 1,371 28 1,409 26 Non-current liabilities loans 23 (1,044 ) (18 ) (1,024 ) (25 ) (1,004 ) (20 ) Trade and other receivables 16 15 n/a 25 n/a 9 n/a Current asset investments 21 34 n/a 28 n/a 26 n/a Current liabilities loans 23 (18 ) – (159 ) – (20 ) – a During the year we made cash payments of £1,722m to BT Group plc offset by the receipt of £45m from BT Group plc resulting in net cash outflow of £1,677m. In addition there are non cash movements of £63m on non-current asset investments relating to interest on loans, employee share schemes and tax settlements made by BT plc on behalf of BT Group plc. |
Financial commitments and con67
Financial commitments and contingent liabilities (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Financial Commitments [Abstract] | |
Disclosure of Financial Commitments | Financial commitments were as follows: At 31 March 2018 £m 2017 £m Capital commitments 993 889 Other commitments 362 367 Device purchase commitments 262 423 TV programme rights commitments 2,823 2,644 Total 4,440 4,323 |
Disclosure of Future Minimum Operating Lease Payments | Future minimum operating lease payments were as follows: 2018 £m 2017 £m Payable in the year ending 31 March: 2018 – 650 2019 600 610 2020 550 558 2021 513 532 2022 486 505 2023 463 475 Thereafter 3,985 3,830 Total future minimum operating lease payments 6,597 7,160 |
Post Balance Sheet Events (Tabl
Post Balance Sheet Events (Tables) | 12 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |
Summary of Results of Reportable Segments | We have set out below information regarding the results of each reportable segment. S e e e e a i Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 5,066 5,294 4,563 5,013 2,009 5,123 8 27,076 Internal revenue (66 ) (37 ) (115 ) – (134 ) (2,978 ) – (3,330 ) Revenue from external customers a 5,000 5,257 4,448 5,013 1,875 2,145 8 23,746 EBITDA b 1,023 1,353 1,418 434 754 2,520 6 7,508 Depreciation and amortisation (216 ) (776 ) (365 ) (424 ) (311 ) (1,360 ) (62 ) (3,514 ) Operating profit (loss) a 807 577 1,053 10 443 1,160 (56 ) 3,994 Specific items (note 8) (610 ) Operating profit 3,384 Net finance expense c (579 ) Share of post tax profit (loss) of associates and joint ventures (1 ) Profit before tax 2,804 Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 4,934 5,090 4,758 5,479 2,109 5,098 10 27,478 Internal revenue (63 ) (37 ) (122 ) – (138 ) (3,036 ) – (3,396 ) Revenue from external customers a 4,871 5,053 4,636 5,479 1,971 2,062 10 24,082 EBITDA b 1,012 1,156 1,528 495 834 2,633 (10 ) 7,648 Depreciation and amortisation (209 ) (780 ) (352 ) (439 ) (306 ) (1,369 ) (55 ) (3,510 ) Operating profit (loss) a 803 376 1,176 56 528 1,264 (65 ) 4,138 Specific items (note 8) (968 ) Operating profit 3,170 Net finance expense c (610 ) Share of post tax profit (loss) of associates and joint ventures (9 ) Profit before tax 2,551 Year ended 31 March 2016 BT Consumer £m EE £m d Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Segment revenue 4,608 841 4,294 5,074 2,274 5,100 11 22,202 Internal revenue (65 ) (7 ) (99 ) – (94 ) (3,058 ) – (3,323 ) Revenue from external customers a 4,543 834 4,195 5,074 2,180 2,042 11 18,879 EBITDA b 1,055 173 1,414 479 755 2,659 (77 ) 6,458 Depreciation and amortisation (207 ) (146 ) (284 ) (422 ) (253 ) (1,301 ) (18 ) (2,631 ) Operating profit (loss) a 848 27 1,130 57 502 1,358 (95 ) 3,827 Specific items (note 8) (212 ) Operating profit 3,615 Net finance expense c (380 ) Share of post tax profit (loss) of associates and joint ventures 6 Profit before tax 3,241 a Before specific items. b EBITDA is stated before specific items and is the group’s profitability measure for segments. c Net finance expense includes specific item expense of £ 218 m (2016/17: £210m, 2015/16: £229m). See note 8. d EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. |
Summary of Internal Revenue and Costs Recorded by Each Reportable Segment | The tables below show internal revenue and costs recorded by each reportable segment. Internal cost recorded by Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 24 20 4 – 18 66 EE – – – – 37 – – 37 Business and Public Sector 62 2 – 32 19 – – 115 Global Services – – – – – – – – Wholesale and Ventures 1 2 13 10 – 42 66 134 Openreach 896 – 210 125 232 – 1,515 2,978 Total 959 4 247 187 292 42 1,599 3,330 Internal cost recorded by Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 21 20 4 – 18 63 EE – – – – 37 – – 37 Business and Public Sector 60 3 – 39 20 – – 122 Global Services – – – – – – – – Wholesale and Ventures – – 2 23 – 39 74 138 Openreach 910 – 236 158 260 – 1,472 3,036 Total 970 3 259 240 321 39 1,564 3,396 Internal cost recorded by Year ended 31 March 2016 BT Consumer £m EE £m a Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Internal revenue recorded by BT Consumer – – 20 23 4 – 18 65 EE a – – – – 7 – – 7 Business and Public Sector 60 1 – 18 19 1 – 99 Global Services – – – – – – – – Wholesale and Ventures – 12 5 22 – 55 – 94 Openreach 905 – 262 173 264 – 1,454 3,058 Total 965 13 287 236 294 56 1,472 3,323 a EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. |
Summary of Capital Expenditure | Capital expenditure Year ended 31 March 2018 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 106 130 93 92 87 70 64 642 Property, plant and equipment 185 498 211 186 142 1,588 70 2,880 Capital expenditure a 291 628 304 278 229 1,658 134 3,522 Year ended 31 March 2017 BT Consumer £m EE £m Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 92 133 64 126 77 74 55 621 Property, plant and equipment 145 483 211 235 149 1,499 111 2,833 Capital expenditure a 237 616 275 361 226 1,573 166 3,454 Year ended 31 March 2016 BT Consumer £m EE £m b Business and Public Sector £m Global Services £m Wholesale and Ventures £m Openreach £m Other £m Total £m Intangible assets 88 29 36 62 70 62 65 412 Property, plant and equipment 119 67 117 293 139 1,385 90 2,210 Capital expenditure a 207 96 153 355 209 1,447 155 2,622 a Net of government grants. b EE reflects results for the period from acquisition on 29 January 2016 to 31 March 2016. |
Segment Revenue and Profit [Member] | |
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |
Summary of Results of Reportable Segments | Segment revenue and profit Year ended 31 March 2018 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Segment revenue 10,360 6,540 5,013 5,123 8 27,044 Internal revenue (103 ) (217 ) – (2,978 ) – (3,298 ) Revenue from external customers a 10,257 6,323 5,013 2,145 8 23,746 EBITDA b 2,376 2,172 434 2,520 6 7,508 Depreciation and amortisation (992 ) (676 ) (424 ) (1,360 ) (62 ) (3,514 ) Operating profit (loss) a 1,384 1,496 10 1,160 (56 ) 3,994 Specific items (610 ) Operating profit 3,384 Net finance expense c (579 ) Share of post tax loss of associates and joint ventures (1 ) Profit before tax 2,804 a Before specific items. b EBITDA is stated before specific items and is the group’s profitability measure for segments. c Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). Year ended 31 March 2017 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Segment revenue 10,024 6,845 5,479 5,098 10 27,456 Internal revenue (100 ) (238 ) – (3,036 ) – (3,374 ) Revenue from external customers a 9,924 6,607 5,479 2,062 10 24,082 EBITDA b 2,168 2,362 495 2,633 (10 ) 7,648 Depreciation and amortisation (989 ) (658 ) (439 ) (1,369 ) (55 ) (3,510) Operating profit (loss) a 1,179 1,704 56 1,264 (65 ) 4,138 Specific items (968) Operating profit 3,170 Net finance expense c (610 ) Share of post tax loss of associates and joint ventures (9 ) Profit before tax 2,551 Year ended 31 March 2016 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Segment revenue 5,449 6,544 5,074 5,100 11 22,178 Internal revenue (72 ) (169 ) – (3,058 ) – (3,299 ) Revenue from external customers a 5,377 6,375 5,074 2,042 11 18,879 EBITDA b 1,228 2,169 479 2,659 (77 ) 6,458 Depreciation and amortisation (353 ) (537 ) (422 ) (1,301 ) (18 ) (2,631 ) Operating profit (loss) a 875 1,632 57 1,358 (95 ) 3,827 Specific items (212 ) Operating profit 3,615 Net finance expense c (380 ) Share of post tax loss of associates and joint ventures 6 Profit before tax 3,241 a Before specific items. b EBITDA is stated before specific items and is the group’s profitability measure for segments. c Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). |
Internal Revenue and Costs [Member] | |
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |
Summary of Internal Revenue and Costs Recorded by Each Reportable Segment | Internal revenue and costs Year ended 31 March 2018 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Internal revenue recorded by Consumer – 65 20 – 18 103 Enterprise 67 – 42 42 66 217 Global Services – – – – – – Openreach 896 442 125 – 1,515 2,978 Total 963 507 187 42 1,599 3,298 Year ended 31 March 2017 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Internal revenue recorded by Consumer – 62 20 – 18 100 Enterprise 63 – 62 39 74 238 Global Services – – – – – – Openreach 910 496 158 – 1,472 3,036 Total 973 558 240 39 1,564 3,374 Year ended 31 March 2016 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Internal revenue recorded by Consumer – 31 23 – 18 72 Enterprise 73 – 40 56 – 169 Global Services – – – – – – Openreach 905 526 173 – 1,454 3,058 Total 978 557 236 56 1,472 3,299 |
Capital Expenditure [Member] | |
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |
Summary of Capital Expenditure | Capital expenditure Year ended 31 March 2018 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Intangible assets 236 180 92 70 64 642 Property, plant and equipment 683 353 186 1,588 70 2,880 Capital expenditure a 919 533 278 1,658 134 3,522 Year ended 31 March 2017 Consumer £m BT Enterprise £m Global Services £m Openreach £m Other £m Total £m Intangible assets 225 141 126 74 55 621 Property, plant and equipment 628 360 235 1,499 111 2,833 Capital expenditure a 853 501 361 1,573 166 3,454 Year ended 31 March 2016 Consumer £m Enterprise £m Global Services £m Openreach £m Other £m Total £m Intangible assets 117 106 62 62 65 412 Property, plant and equipment 186 256 293 1,385 90 2,210 Capital expenditure a 303 362 355 1,447 155 2,622 a Net of government grants. |
Basis of Preparation - Addition
Basis of Preparation - Additional Information (Detail) - Retained Earnings (Loss) [Member] - Financial Impact [Member] £ in Billions | Apr. 01, 2018GBP (£) |
Bottom of Range [Member] | |
Disclosure Of Basis Of Preparation Of Financial Statements [Line Items] | |
Cumulative increase in retained earnings | £ 1.1 |
Top of Range [Member] | |
Disclosure Of Basis Of Preparation Of Financial Statements [Line Items] | |
Cumulative increase in retained earnings | £ 1.5 |
Significant Accounting Polici70
Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended |
Mar. 31, 2018Segment | |
Significant Accounting Policies [Abstract] | |
Number of operating segments | 4 |
Cash and cash equivalents original maturity period | three months or less |
Significant Accounting Polici71
Significant Accounting Policies - Summary of Estimated Useful Lives Assigned to Principal Categories of Assets (Detail) | 12 Months Ended |
Mar. 31, 2018 | |
Freehold Buildings [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 14 to 50 years |
Short-Term Leasehold Improvements [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | Shorter of 10 years or lease term |
Leasehold Land and Buildings [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | Unexpired portion of lease or 40 years, whichever is the shorter |
Network Infrastructure [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | more than 18 years |
Network Infrastructure [Member] | Duct [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 40 years |
Network Infrastructure [Member] | Cable [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 3 to 25 years |
Network Infrastructure [Member] | Fibre Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 5 to 20 years |
Network Infrastructure [Member] | Exchange Equipment [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 2 to 13 years |
Network Infrastructure [Member] | Other Network Equipment [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 2 to 20 years |
Motor Vehicles [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 2 to 9 years |
Computers and Office Equipment [Member] | |
Disclosure of detailed information about property, plant and equipment [Line Items] | |
Estimated useful lives of property, plant and equipment | 3 to 7 years |
Significant Accounting Polici72
Significant Accounting Policies - Summary of Estimated Useful Economic Lives Assigned to Principal Categories of Intangible Assets (Detail) | 12 Months Ended |
Mar. 31, 2018 | |
Computer Software [Member] | |
Disclosure of detailed information about intangible assets [Line Items] | |
Estimated useful economic lives of intangible assets | 2 to 10 years |
Telecommunications Licences [Member] | |
Disclosure of detailed information about intangible assets [Line Items] | |
Estimated useful economic lives of intangible assets | 2 to 20 years |
Customer Relationships and Brands [Member] | |
Disclosure of detailed information about intangible assets [Line Items] | |
Estimated useful economic lives of intangible assets | 1 to 15 years |
Segment Information - Summary o
Segment Information - Summary of Results of Reportable Segments (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure of operating segments [Line Items] | ||||
Revenue | £ 23,723 | £ 24,062 | £ 19,012 | |
Depreciation and amortisation | (3,514) | (3,510) | (2,631) | |
Operating profit (loss) | 3,384 | 3,170 | 3,615 | |
Net finance expense | [1] | (579) | (610) | (380) |
Share of post tax profit (loss) of associates and joint ventures | (1) | (9) | 6 | |
Profit (loss) before taxation | 2,804 | 2,551 | 3,241 | |
Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | [2] | 23,746 | 24,082 | 18,879 |
EBITDA | 7,508 | 7,648 | 6,458 | |
Depreciation and amortisation | (3,514) | (3,510) | (2,631) | |
Operating profit (loss) | [2] | 3,994 | 4,138 | 3,827 |
Net finance expense | (361) | (400) | (151) | |
Share of post tax profit (loss) of associates and joint ventures | (1) | (9) | 6 | |
Profit (loss) before taxation | 3,632 | 3,729 | 3,682 | |
Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | [3] | (23) | (20) | 133 |
Operating profit (loss) | [3] | (610) | (968) | (212) |
Net finance expense | [3] | (218) | (210) | (229) |
Profit (loss) before taxation | [3] | (828) | (1,178) | (441) |
Segment Revenue [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 27,044 | 27,456 | 22,178 | |
Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 27,076 | 27,478 | 22,202 | |
Internal Revenue [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 3,330 | 3,396 | 3,323 | |
Internal Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | (3,330) | (3,396) | (3,323) | |
BT Consumer [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,000 | 4,871 | 4,543 | |
EBITDA | 1,023 | 1,012 | 1,055 | |
Depreciation and amortisation | (216) | (209) | (207) | |
Operating profit (loss) | 807 | 803 | 848 | |
BT Consumer [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,066 | 4,934 | 4,608 | |
BT Consumer [Member] | Internal Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | (66) | (63) | (65) | |
EE [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,257 | 5,053 | 834 | |
EBITDA | 1,353 | 1,156 | 173 | |
Depreciation and amortisation | (776) | (780) | (146) | |
Operating profit (loss) | 577 | 376 | 27 | |
EE [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,294 | 5,090 | 841 | |
EE [Member] | Internal Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | (37) | (37) | (7) | |
Business and Public Sector [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 4,448 | 4,636 | 4,195 | |
EBITDA | 1,418 | 1,528 | 1,414 | |
Depreciation and amortisation | (365) | (352) | (284) | |
Operating profit (loss) | 1,053 | 1,176 | 1,130 | |
Business and Public Sector [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 4,563 | 4,758 | 4,294 | |
Business and Public Sector [Member] | Internal Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | (115) | (122) | (99) | |
Global Services [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Depreciation and amortisation | (424) | (439) | (422) | |
Global Services [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | [2] | 5,013 | 5,479 | 5,074 |
EBITDA | 434 | 495 | 479 | |
Depreciation and amortisation | (424) | (439) | (422) | |
Operating profit (loss) | [2] | 10 | 56 | 57 |
Global Services [Member] | Segment Revenue [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,013 | 5,479 | 5,074 | |
Global Services [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,013 | 5,479 | 5,074 | |
Wholesale and Ventures [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 1,875 | 1,971 | 2,180 | |
EBITDA | 754 | 834 | 755 | |
Depreciation and amortisation | (311) | (306) | (253) | |
Operating profit (loss) | 443 | 528 | 502 | |
Wholesale and Ventures [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 2,009 | 2,109 | 2,274 | |
Wholesale and Ventures [Member] | Internal Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | (134) | (138) | (94) | |
Openreach [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Depreciation and amortisation | (1,360) | (1,369) | (1,301) | |
Openreach [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | [2] | 2,145 | 2,062 | 2,042 |
EBITDA | 2,520 | 2,633 | 2,659 | |
Depreciation and amortisation | (1,360) | (1,369) | (1,301) | |
Operating profit (loss) | [2] | 1,160 | 1,264 | 1,358 |
Openreach [Member] | Segment Revenue [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,123 | 5,098 | 5,100 | |
Openreach [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 5,123 | 5,098 | 5,100 | |
Openreach [Member] | Internal Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | (2,978) | (3,036) | (3,058) | |
Other [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Depreciation and amortisation | (62) | (55) | (18) | |
Other [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | [2] | 8 | 10 | 11 |
EBITDA | 6 | (10) | (77) | |
Depreciation and amortisation | (62) | (55) | (18) | |
Operating profit (loss) | [2] | (56) | (65) | (95) |
Other [Member] | Segment Revenue [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | 8 | 10 | 11 | |
Other [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Revenue | £ 8 | £ 10 | £ 11 | |
[1] | Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). | |||
[2] | Before specific items. | |||
[3] | a For a definition of specific items, see page 209. An analysis of specific items is provided in note 8. |
Segment Information - Summary74
Segment Information - Summary of Results of Reportable Segments (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure of operating segments [Line Items] | ||||
Net finance expense | [1] | £ 579 | £ 610 | £ 380 |
Specific Items [Member] | ||||
Disclosure of operating segments [Line Items] | ||||
Net finance expense | [2] | £ 218 | £ 210 | £ 229 |
[1] | Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). | |||
[2] | a For a definition of specific items, see page 209. An analysis of specific items is provided in note 8. |
Segment Information - Summary75
Segment Information - Summary of Internal Revenue and Costs Recorded by Each Reportable Segment (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Internal revenue recorded by | |||
Internal cost | £ 20,339 | £ 20,892 | £ 15,397 |
Internal revenue | 23,723 | 24,062 | 19,012 |
Elimination of Intersegment Amounts [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 3,330 | 3,396 | 3,323 |
Elimination of Intersegment Amounts [Member] | Global Services [Member] | |||
Internal revenue recorded by | |||
Internal cost | 187 | 240 | 236 |
Elimination of Intersegment Amounts [Member] | Other [Member] | |||
Internal revenue recorded by | |||
Internal cost | 1,599 | 1,564 | 1,472 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal cost | 959 | 970 | 965 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal cost | 62 | 60 | 60 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal cost | 1 | ||
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal cost | 896 | 910 | 905 |
Elimination of Intersegment Amounts [Member] | EE [Member] | |||
Internal revenue recorded by | |||
Internal cost | 4 | 3 | 13 |
Elimination of Intersegment Amounts [Member] | EE [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal cost | 2 | 3 | 1 |
Elimination of Intersegment Amounts [Member] | EE [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal cost | 2 | 12 | |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal cost | 247 | 259 | 287 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal cost | 24 | 21 | 20 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal cost | 13 | 2 | 5 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal cost | 210 | 236 | 262 |
Elimination of Intersegment Amounts [Member] | Global Services [Member] | |||
Internal revenue recorded by | |||
Internal cost | 187 | 240 | 236 |
Elimination of Intersegment Amounts [Member] | Global Services [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal cost | 20 | 20 | 23 |
Elimination of Intersegment Amounts [Member] | Global Services [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal cost | 32 | 39 | 18 |
Elimination of Intersegment Amounts [Member] | Global Services [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal cost | 10 | 23 | 22 |
Elimination of Intersegment Amounts [Member] | Global Services [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal cost | 125 | 158 | 173 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal cost | 292 | 321 | 294 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal cost | 4 | 4 | 4 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | EE [Member] | |||
Internal revenue recorded by | |||
Internal cost | 37 | 37 | 7 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal cost | 19 | 20 | 19 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal cost | 232 | 260 | 264 |
Elimination of Intersegment Amounts [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal cost | 42 | 39 | 56 |
Internal revenue | 2,978 | 3,036 | 3,058 |
Elimination of Intersegment Amounts [Member] | Openreach [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal cost | 1 | ||
Elimination of Intersegment Amounts [Member] | Openreach [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal cost | 42 | 39 | 55 |
Elimination of Intersegment Amounts [Member] | Openreach [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 896 | 910 | 905 |
Elimination of Intersegment Amounts [Member] | Openreach [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 210 | 236 | 262 |
Elimination of Intersegment Amounts [Member] | Openreach [Member] | Global Services [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 125 | 158 | 173 |
Elimination of Intersegment Amounts [Member] | Openreach [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 232 | 260 | 264 |
Elimination of Intersegment Amounts [Member] | Openreach [Member] | Other [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 1,515 | 1,472 | 1,454 |
Elimination of Intersegment Amounts [Member] | Other [Member] | |||
Internal revenue recorded by | |||
Internal cost | 1,599 | 1,564 | 1,472 |
Elimination of Intersegment Amounts [Member] | Other [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal cost | 18 | 18 | 18 |
Elimination of Intersegment Amounts [Member] | Other [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal cost | 66 | 74 | |
Elimination of Intersegment Amounts [Member] | Other [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal cost | 1,515 | 1,472 | 1,454 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 66 | 63 | 65 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 24 | 21 | 20 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Global Services [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 20 | 20 | 23 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 4 | 4 | 4 |
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Other [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 18 | 18 | 18 |
Elimination of Intersegment Amounts [Member] | EE [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 37 | 37 | 7 |
Elimination of Intersegment Amounts [Member] | EE [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 37 | 37 | 7 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 115 | 122 | 99 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 1 | ||
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 62 | 60 | 60 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | EE [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 2 | 3 | 1 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | Global Services [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 32 | 39 | 18 |
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 19 | 20 | 19 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 134 | 138 | 94 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | Openreach [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 42 | 39 | 55 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | BT Consumer [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 1 | ||
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | EE [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 2 | 12 | |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | Business and Public Sector [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 13 | 2 | 5 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | Global Services [Member] | |||
Internal revenue recorded by | |||
Internal revenue | 10 | 23 | £ 22 |
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | Other [Member] | |||
Internal revenue recorded by | |||
Internal revenue | £ 66 | £ 74 |
Segment Information - Summary76
Segment Information - Summary of Revenue by Products and Services (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure of products and services [Line Items] | ||||
Revenue | £ 23,723 | £ 24,062 | £ 19,012 | |
Before Specific Items [Member] | ||||
Disclosure of products and services [Line Items] | ||||
Revenue | [1] | 23,746 | 24,082 | 18,879 |
Before Specific Items [Member] | ICT and Managed Networks [Member] | ||||
Disclosure of products and services [Line Items] | ||||
Revenue | 5,530 | 5,927 | 6,193 | |
Before Specific Items [Member] | Broadband and TV [Member] | ||||
Disclosure of products and services [Line Items] | ||||
Revenue | 4,655 | 4,477 | 3,535 | |
Before Specific Items [Member] | Mobile [Member] | ||||
Disclosure of products and services [Line Items] | ||||
Revenue | 6,451 | 6,358 | 1,326 | |
Before Specific Items [Member] | Calls, Lines and Connections [Member] | ||||
Disclosure of products and services [Line Items] | ||||
Revenue | 5,126 | 5,069 | 5,920 | |
Before Specific Items [Member] | Transit [Member] | ||||
Disclosure of products and services [Line Items] | ||||
Revenue | 265 | 404 | 419 | |
Before Specific Items [Member] | Other Products and Services [Member] | ||||
Disclosure of products and services [Line Items] | ||||
Revenue | £ 1,719 | £ 1,847 | £ 1,486 | |
[1] | Before specific items. |
Segment Information - Summary77
Segment Information - Summary of Capital Expenditure (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of operating segments [Line Items] | |||
Capital expenditure | £ 3,522 | £ 3,454 | £ 2,622 |
Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 2,880 | 2,833 | 2,210 |
Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 642 | 621 | 412 |
BT Consumer [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 291 | 237 | 207 |
BT Consumer [Member] | Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 185 | 145 | 119 |
BT Consumer [Member] | Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 106 | 92 | 88 |
EE [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 628 | 616 | 96 |
EE [Member] | Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 498 | 483 | 67 |
EE [Member] | Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 130 | 133 | 29 |
Business and Public Sector [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 304 | 275 | 153 |
Business and Public Sector [Member] | Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 211 | 211 | 117 |
Business and Public Sector [Member] | Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 93 | 64 | 36 |
Global Services [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 278 | 361 | 355 |
Global Services [Member] | Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 186 | 235 | 293 |
Global Services [Member] | Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 92 | 126 | 62 |
Wholesale and Ventures [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 229 | 226 | 209 |
Wholesale and Ventures [Member] | Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 142 | 149 | 139 |
Wholesale and Ventures [Member] | Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 87 | 77 | 70 |
Openreach [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 1,658 | 1,573 | 1,447 |
Openreach [Member] | Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 1,588 | 1,499 | 1,385 |
Openreach [Member] | Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 70 | 74 | 62 |
Other [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 134 | 166 | 155 |
Other [Member] | Property, Plant and Equipment [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | 70 | 111 | 90 |
Other [Member] | Intangible Assets [Member] | |||
Disclosure of operating segments [Line Items] | |||
Capital expenditure | £ 64 | £ 55 | £ 65 |
Segment Information - Summary78
Segment Information - Summary of Geographic Information by Revenue from External Customers and Non-Current Assets (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure of geographical areas [Line Items] | ||||
Revenue | £ 23,723 | £ 24,062 | £ 19,012 | |
Before Specific Items [Member] | ||||
Disclosure of geographical areas [Line Items] | ||||
Revenue | [1] | 23,746 | 24,082 | 18,879 |
Non-current assets | 31,810 | 31,926 | 31,671 | |
UK [Member] | Before Specific Items [Member] | ||||
Disclosure of geographical areas [Line Items] | ||||
Revenue | 19,687 | 19,421 | 14,814 | |
Non-current assets | 28,843 | 28,818 | 28,583 | |
Europe, Middle East and Africa, Excluding the UK [Member] | Before Specific Items [Member] | ||||
Disclosure of geographical areas [Line Items] | ||||
Revenue | 2,489 | 2,841 | 2,442 | |
Non-current assets | 2,527 | 2,535 | 2,349 | |
Asia Pacific [Member] | Before Specific Items [Member] | ||||
Disclosure of geographical areas [Line Items] | ||||
Revenue | 574 | 672 | 612 | |
Non-current assets | 109 | 149 | 191 | |
Americas [Member] | Before Specific Items [Member] | ||||
Disclosure of geographical areas [Line Items] | ||||
Revenue | 996 | 1,148 | 1,011 | |
Non-current assets | £ 331 | £ 424 | £ 548 | |
[1] | Before specific items. |
Operating Costs - Summary of Op
Operating Costs - Summary of Operating Costs (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure Of Operating Costs [Line Items] | ||||
Wages and salaries | £ 4,223 | £ 4,128 | £ 3,684 | |
Social security costs | 461 | 477 | 398 | |
Other pension costs | 624 | 521 | 494 | |
Share-based payment expense | 84 | 57 | 58 | |
Total staff costs | 5,392 | 5,183 | 4,634 | |
Own work capitalised | (798) | (813) | (720) | |
Net staff costs | 4,594 | 4,370 | 3,914 | |
Net indirect labour costs | 315 | 399 | 304 | |
Net labour costs | 4,909 | 4,769 | 4,218 | |
Payments to telecommunications operators | 2,306 | 2,653 | 2,183 | |
Property and energy costs | 1,285 | 1,202 | 1,024 | |
Network operating and IT costs | 963 | 983 | 644 | |
TV programme rights charges | 763 | 714 | 544 | |
Other operating costs | 6,234 | 6,298 | 4,023 | |
Other operating income | (222) | (185) | (215) | |
Amortisation of intangible assets | 1,123 | 1,118 | 621 | |
Internal cost | 20,339 | 20,892 | 15,397 | |
Operating costs before specific items include the following: | ||||
Leaver costs | 50 | 86 | 109 | |
Research and development expenditure | 632 | 638 | 574 | |
Operating lease charges | 732 | 692 | 441 | |
Foreign currency gains | (12) | (1) | ||
Government grants | (3) | (5) | (6) | |
Owned Property Plant and Equipment [Member] | ||||
Disclosure Of Operating Costs [Line Items] | ||||
Owned assets | 2,381 | 2,382 | 2,000 | |
Finance Leased Property Plant and Equipment [Member] | ||||
Disclosure Of Operating Costs [Line Items] | ||||
Owned assets | 10 | 10 | 10 | |
Before Specific Items [Member] | ||||
Disclosure Of Operating Costs [Line Items] | ||||
Internal cost | 19,752 | 19,944 | 15,052 | |
Specific Items [Member] | ||||
Disclosure Of Operating Costs [Line Items] | ||||
Internal cost | [1] | £ 587 | £ 948 | £ 345 |
[1] | a For a definition of specific items, see page 209. An analysis of specific items is provided in note 8. |
Operating Costs - Summary of 80
Operating Costs - Summary of Operating Costs (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Operating Costs [Line Items] | |||
Net of capitalised indirect labour costs | £ 612 | £ 463 | £ 430 |
Leaver costs associated with restructuring and integration | 168 | 37 | 0 |
Internal cost | 20,339 | 20,892 | 15,397 |
Internally Developed Computer Software and Operating Expenses [Member] | |||
Disclosure Of Operating Costs [Line Items] | |||
Internal cost | 59 | 61 | 73 |
Internally Developed Software [Member] | |||
Disclosure Of Operating Costs [Line Items] | |||
Amortisation relating to write off of software costs | 573 | 577 | 501 |
Capitalised Software Development Costs [Member] | |||
Disclosure Of Operating Costs [Line Items] | |||
Internal cost | 450 | 457 | 399 |
Specific Item [Member] | |||
Disclosure Of Operating Costs [Line Items] | |||
Amortisation relating to write off of software costs | £ 0 | £ 62 | £ 0 |
Operating Costs - Summary of Co
Operating Costs - Summary of Compensation of Key Management Personnel (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Operating Costs [Abstract] | |||
Short-term employee benefits | £ 12.4 | £ 10.9 | £ 10.3 |
Post employment benefits | 1.4 | 1.4 | 1.2 |
Share-based payments | 6.6 | 5.8 | 5.9 |
Termination benefits | 2.2 | 0.6 | |
Compensation of key management personnel | £ 22.6 | £ 18.1 | £ 18 |
Employees - Summary of Number o
Employees - Summary of Number of Employees in the Group (Detail) - Employee | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 105,800 | 106,400 | 102,500 |
Average | 106,200 | 105,000 | 91,000 |
BT Consumer [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 8,800 | 8,700 | 6,700 |
Average | 8,800 | 7,700 | 6,300 |
EE [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 9,400 | 9,200 | 9,000 |
Average | 9,200 | 9,100 | 1,300 |
Business and Public Sector [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 10,100 | 10,300 | 10,300 |
Average | 10,300 | 10,200 | 9,300 |
Global Services [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 16,900 | 17,500 | 16,800 |
Average | 17,300 | 17,400 | 16,500 |
Wholesale and Ventures [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 3,800 | 3,800 | 3,700 |
Average | 3,900 | 3,700 | 3,800 |
Openreach [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 30,500 | 30,200 | 31,500 |
Average | 30,400 | 30,900 | 32,100 |
Other [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 26,300 | 26,700 | 24,500 |
Average | 26,300 | 26,000 | 21,700 |
UK [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 82,200 | 82,800 | 81,400 |
Average | 82,500 | 82,200 | 71,800 |
Non-United Kingdom [Member] | |||
Disclosure Of Number And Average Number Of Employees [Line Items] | |||
Year end | 23,600 | 23,600 | 21,100 |
Average | 23,700 | 22,800 | 19,200 |
Audit, Audit Related and Othe83
Audit, Audit Related and Other Non-Audit Services - Summary of Fees Paid or Payable to Company's Auditors (Detail) - GBP (£) £ in Thousands | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Auditor Remuneration [Line Items] | |||
Audit services fees | £ 11,238 | £ 9,935 | £ 8,944 |
Other services fees | 803 | 3,009 | 3,844 |
Total services | 13,672 | 14,809 | 14,998 |
British Telecommunications plc [Member] | |||
Auditor Remuneration [Line Items] | |||
Audit services fees | 5,372 | 4,271 | 3,871 |
Subsidiaries [Member] | |||
Auditor Remuneration [Line Items] | |||
Audit services fees | 5,866 | 5,664 | 5,073 |
Audit Related Assurance Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Other services fees | 1,631 | 1,865 | 2,210 |
Tax Compliance Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Taxation services fees | 366 | 412 | |
Tax Advisory Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Taxation services fees | 111 | 156 | |
Other Assurance Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Other services fees | 211 | 200 | 1,611 |
All Other Non Audit Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Other services fees | £ 592 | £ 2,332 | £ 1,665 |
Audit, Audit Related and Othe84
Audit, Audit Related and Other Non-Audit Services - Additional Information (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
BT Pension Scheme [Member] | |||
Auditor Remuneration [Line Items] | |||
Total fees paid to auditors | £ 2.1 | £ 2.1 | £ 1.7 |
Audit, Audit Related and Othe85
Audit, Audit Related and Other Non-Audit Services - Summary of Total Fees Received by Company's Auditors from the BT Pension Scheme (Detail) - GBP (£) £ in Thousands | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Auditor Remuneration [Line Items] | |||
Audit services fees | £ 11,238 | £ 9,935 | £ 8,944 |
Audit related assurance services | 803 | 3,009 | 3,844 |
Total services | 13,672 | 14,809 | 14,998 |
Audit Related Assurance Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Audit related assurance services | 1,631 | 1,865 | 2,210 |
Tax Compliance Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Taxation services fees | 366 | 412 | |
Tax Advisory Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Taxation services fees | 111 | 156 | |
All Other Non Audit Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Audit related assurance services | 592 | 2,332 | 1,665 |
BT Pension Scheme [Member] | |||
Auditor Remuneration [Line Items] | |||
Total services | 2,137 | 2,122 | 1,705 |
BT Pension Scheme [Member] | Audit Of Financial Statements Of Associates [Member] | |||
Auditor Remuneration [Line Items] | |||
Audit services fees | 345 | 251 | 213 |
BT Pension Scheme [Member] | Audit Related Assurance Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Audit related assurance services | 10 | ||
BT Pension Scheme [Member] | Tax Compliance Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Taxation services fees | 153 | 210 | 198 |
BT Pension Scheme [Member] | Tax Advisory Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Taxation services fees | 1,074 | 493 | 681 |
BT Pension Scheme [Member] | All Other Non Audit Services [Member] | |||
Auditor Remuneration [Line Items] | |||
Audit related assurance services | £ 565 | £ 1,168 | £ 603 |
Specific Items - Summary of Spe
Specific Items - Summary of Specific Items (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Revenue | ||||
Total revenue | £ (23,723) | £ (24,062) | £ (19,012) | |
Operating costs | ||||
Profit on disposal of businesses | 1 | 16 | ||
Operating costs | 20,339 | 20,892 | 15,397 | |
Operating loss | (3,384) | (3,170) | (3,615) | |
Net finance expense | ||||
Total net finance expense | [1] | 579 | 610 | 380 |
Net specific items charge before tax | (2,804) | (2,551) | (3,241) | |
Taxation | ||||
Tax credit on re-measurement of deferred tax | (63) | |||
Total taxation | 620 | 485 | 508 | |
Net specific items charge after tax | (2,184) | (2,066) | (2,733) | |
Specific Items [Member] | ||||
Revenue | ||||
Italian business investigation | 22 | |||
Regulatory matters | 23 | (2) | (203) | |
EE fair value adjustment | 70 | |||
Total revenue | 23 | 20 | (133) | |
Operating costs | ||||
EE acquisition warranty claims | 225 | 0 | 0 | |
Restructuring charges | 241 | 0 | 0 | |
EE acquisition and integration costs | 46 | 215 | 113 | |
Property rationalisation costs | 28 | 0 | 29 | |
Regulatory matters | 26 | 481 | 203 | |
Italian business investigation | 22 | 238 | ||
Out of period irrecoverable VAT | 30 | |||
Profit on disposal of businesses | (1) | (16) | ||
Operating costs | 587 | 948 | 345 | |
Operating loss | 610 | 968 | 212 | |
Net finance expense | ||||
Interest expense on retirement benefit obligation | 218 | 209 | 221 | |
EE related finance cost | 8 | |||
Interest on out of period irrecoverable VAT | 1 | |||
Total net finance expense | 218 | 210 | 229 | |
Net specific items charge before tax | 828 | 1,178 | 441 | |
Taxation | ||||
Tax credit on specific items above | (87) | (154) | (70) | |
Tax credit on re-measurement of deferred tax | (63) | (96) | ||
Total taxation | (87) | (217) | (166) | |
Net specific items charge after tax | £ 741 | £ 961 | £ 275 | |
[1] | Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). |
Specific Items - Additional Inf
Specific Items - Additional Information (Detail) - GBP (£) | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Specific Items [Line Items] | |||
Total expected cost related to projects in first phase | £ 300,000,000 | ||
Amortisation charge relating to write-off of IT assets | 400,000,000 | ||
Deemed consent charge, net | 300,000,000 | ||
Ladder pricing agreements costs recognised | 8,000,000 | £ 203,000,000 | |
Provision recognized | 133,000,000 | 536,000,000 | |
Regulatory [Member] | |||
Disclosure Of Specific Items [Line Items] | |||
Provision recognized | 51,000,000 | 426,000,000 | |
Specific Items [Member] | |||
Disclosure Of Specific Items [Line Items] | |||
EE acquisition warranty claim | 225,000,000 | 0 | 0 |
Restructuring charges | 241,000,000 | 0 | 0 |
EE acquisition and integration costs | 46,000,000 | 215,000,000 | 113,000,000 |
Amortisation charge relating to write-off of IT assets | 62,000,000 | 0 | |
Property rationalisation costs | 28,000,000 | 0 | 29,000,000 |
Regulatory matters effect | 49,000,000 | 479,000,000 | 0 |
Regulatory matters revenue | 23,000,000 | (2,000,000) | (203,000,000) |
Regulatory costs recognised as specific items | 26,000,000 | ||
Deemed consent charge | 342,000,000 | 0 | |
Regulatory matters effect | 42,000,000 | ||
Deemed consent charge, net | 300,000,000 | ||
Ladder pricing agreements revenue recognised | 8,000,000 | 203,000,000 | |
Fees incurred related to investigation of specific items | 22,000,000 | 15,000,000 | |
Charge recognised related to investigation of specific items | 245,000,000 | ||
Profit on disposal of businesses | 1,000,000 | 16,000,000 | 0 |
EE fair value adjustment | £ 70,000,000 | ||
Out of period irrecoverable VAT | 30,000,000 | ||
Interest on out of period irrecoverable VAT | 1,000,000 | ||
Specific Items [Member] | Regulatory [Member] | |||
Disclosure Of Specific Items [Line Items] | |||
Increase in net charge | 49,000,000 | £ 137,000,000 | |
Provision recognized | 51,000,000 | ||
Release of amount in trade and other payables | £ 2,000,000 |
Taxation - Additional Informati
Taxation - Additional Information (Detail) - GBP (£) | Apr. 01, 2020 | Apr. 01, 2017 | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Income Tax Expense [Line Items] | |||||
Approximate percentage of provision under tax authority examination | 80.00% | ||||
Provision for tax uncertainties included in current tax liabilities | £ 240,000,000 | £ 281,000,000 | |||
Additional amount required for tax settlement | £ 471,000,000 | ||||
Corporation tax | 19.00% | 17.00% | 17.00% | 19.00% | |
Deferred tax credit specific item recognised | £ 63,000,000 | ||||
Unused tax losses for which no deferred tax asset recognised | £ 4,100,000,000 | 4,400,000,000 | |||
Undistributed earnings | 11,327,000,000 | 7,163,000,000 | £ 9,761,000,000 | ||
UK [Member] | |||||
Disclosure Of Income Tax Expense [Line Items] | |||||
Current tax expense | (614,000,000) | (594,000,000) | (684,000,000) | ||
Unused tax losses for which no deferred tax asset recognised | 16,900,000,000 | 17,000,000,000 | |||
Income tax | 23,000,000 | 26,200,000 | |||
Non-United Kingdom [Member] | |||||
Disclosure Of Income Tax Expense [Line Items] | |||||
Current tax expense | (66,000,000) | (109,000,000) | £ (80,000,000) | ||
Deferred tax liability | 0 | ||||
Undistributed earnings | 2,400,000,000 | £ 3,500,000,000 | |||
European Union [Member] | |||||
Disclosure Of Income Tax Expense [Line Items] | |||||
Undistributed earnings | 940,000,000 | ||||
Additional income tax | 23,900,000 | ||||
Events After Reporting Period [Member] | |||||
Disclosure Of Income Tax Expense [Line Items] | |||||
Corporation tax | 17.00% | ||||
EE [Member] | |||||
Disclosure Of Income Tax Expense [Line Items] | |||||
Deferred tax asset on historical tax losses | 92,000,000 | ||||
Current tax expense | £ 382,000,000 |
Taxation - Analysis of Our Taxa
Taxation - Analysis of Our Taxation Expenses (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Income Tax Expense [Line Items] | |||
Origination and reversal of temporary differences | £ 46 | £ 96 | £ 70 |
Adjustments in respect of earlier years | (57) | 26 | 2 |
Total current tax expense | (620) | (670) | (676) |
Impact of change in UK corporation tax rate to 17% (2016/17: 17%, 2015/16: 19%) | 63 | 96 | |
Remeasurement of temporary differences | 11 | ||
Total deferred taxation credit | 185 | 168 | |
Total taxation expense | (620) | (485) | (508) |
UK [Member] | |||
Disclosure Of Income Tax Expense [Line Items] | |||
Current | (614) | (594) | (684) |
Adjustments in respect of earlier years | 37 | 33 | 59 |
Non-United Kingdom [Member] | |||
Disclosure Of Income Tax Expense [Line Items] | |||
Current | (66) | £ (109) | (80) |
Adjustments in respect of earlier years | £ 23 | £ 29 |
Taxation - Analysis of Our Ta90
Taxation - Analysis of Our Taxation Expenses (Parenthetical) (Detail) | Apr. 01, 2017 | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Income Tax Expense [Line Items] | ||||
Change in corporation tax rate | 19.00% | 17.00% | 17.00% | 19.00% |
UK [Member] | ||||
Disclosure Of Income Tax Expense [Line Items] | ||||
Corporation tax rate | 19.00% | 20.00% | 20.00% |
Taxation - Summary of Factors A
Taxation - Summary of Factors Affecting Our Taxation Expense for the Year (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Factors Affecting Our Taxation Expense For The Year [Abstract] | |||
Profit before taxation | £ 2,804 | £ 2,551 | £ 3,241 |
Expected taxation expense at UK rate of 19% (2016/17: 20%, 2015/16: 20%) | (533) | (510) | (648) |
(Higher) lower taxes on non-UK profits | (8) | (29) | 4 |
Net permanent differences between tax and accounting | (100) | (183) | (12) |
Adjustments in respect of earlier years | 3 | 59 | 90 |
Prior year non-UK losses used against current year profits | 16 | 120 | 9 |
Non-UK losses not recognised | (9) | (8) | (34) |
Other deferred tax assets not recognised | 6 | ||
Lower taxes on profit on disposal of business | 3 | ||
Re-measurement of deferred tax balances | 11 | 63 | 96 |
Other non-recurring items | (19) | ||
Total taxation expense | (620) | (485) | (508) |
Exclude specific items (note 8) | (87) | (217) | (166) |
Total taxation expense before specific items | £ (707) | £ (702) | £ (674) |
Taxation - Summary of Factors92
Taxation - Summary of Factors Affecting Our Taxation Expense for the Year (Parenthetical) (Detail) | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Factors Affecting Our Taxation Expense For The Year [Abstract] | |||
Tax rate | 19.00% | 20.00% | 20.00% |
Taxation - Summary of Tax Compo
Taxation - Summary of Tax Components of Other Comprehensive Income (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Income Tax Relating To Components Of Other Comprehensive Income [Abstract] | |||
Pension remeasurements | £ (346) | £ 416 | £ (240) |
Exchange differences on translation of foreign operations | (9) | 21 | 38 |
Fair value movements on cash flow hedges - net fair value gains or losses | 57 | (131) | (72) |
Fair value movements on cash flow hedges - recognised in income and expense | (47) | 139 | 39 |
Income tax relating to components of other comprehensive income | (345) | 445 | (235) |
Current tax credit | 203 | 122 | 231 |
Deferred tax (expense) credit | (548) | 323 | (466) |
Total income tax expense | £ (345) | £ 445 | £ (235) |
Taxation - Summary of Tax Com94
Taxation - Summary of Tax Components of Other Comprehensive Income (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Income Tax Relating To Components Of Other Comprehensive Income [Abstract] | |||
Current tax credit includes cash contributions made to reduce retirement benefit obligations | £ 212 | £ 110 | £ 217 |
Taxation - Summary of Tax (Expe
Taxation - Summary of Tax (Expense) Credit Recognised Directly in Equity (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Tax Expense Credit Recognised Directly In Equity [Abstract] | |||
Tax (expense) credit relating to share-based payments | £ (2) | £ (6) | £ 12 |
Taxation - Summary of Deferred
Taxation - Summary of Deferred Taxation (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Beginning balance | £ (477) | £ 15 | |
(Credit) expense recognised in the income statement | (185) | ||
(Credit) expense recognised in other comprehensive income | 548 | (323) | |
Expense recognised in equity | 6 | 23 | |
Exchange differences | 3 | (7) | |
Transfer to current tax | 17 | ||
Ending balance | 97 | (477) | |
Deferred tax asset | (1,243) | (1,717) | £ (1,247) |
Deferred tax liability | 1,340 | 1,240 | £ 1,262 |
Fixed Asset Temporary Differences [Member] | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Beginning balance | 1,432 | 1,618 | |
(Credit) expense recognised in the income statement | 11 | (181) | |
(Credit) expense recognised in other comprehensive income | (5) | ||
Transfer to current tax | 17 | ||
Ending balance | 1,460 | 1,432 | |
Deferred tax asset | (41) | (117) | |
Deferred tax liability | 1,501 | 1,549 | |
Retirement Benefit Obligations [Member] | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Beginning balance | (1,537) | (1,149) | |
(Credit) expense recognised in the income statement | (104) | (82) | |
(Credit) expense recognised in other comprehensive income | 558 | (306) | |
Ending balance | (1,083) | (1,537) | |
Deferred tax asset | (1,083) | (1,537) | |
Share-Based Payments [Member] | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Beginning balance | (17) | (54) | |
(Credit) expense recognised in the income statement | 4 | 14 | |
Expense recognised in equity | 6 | 23 | |
Ending balance | (7) | (17) | |
Deferred tax asset | (7) | (17) | |
Tax Losses [Member] | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Beginning balance | (270) | (325) | |
(Credit) expense recognised in the income statement | 89 | 65 | |
(Credit) expense recognised in other comprehensive income | (3) | ||
Exchange differences | (2) | (7) | |
Ending balance | (183) | (270) | |
Deferred tax asset | (183) | (270) | |
Other [Member] | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Beginning balance | (85) | (75) | |
(Credit) expense recognised in the income statement | (1) | ||
(Credit) expense recognised in other comprehensive income | (10) | (9) | |
Exchange differences | 5 | ||
Ending balance | (90) | (85) | |
Deferred tax asset | (90) | (96) | |
Deferred tax liability | 11 | ||
Jurisdictional Offset [Member] | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Deferred tax asset | 161 | 320 | |
Deferred tax liability | £ (161) | £ (320) |
Taxation - Summary of Deferre97
Taxation - Summary of Deferred Taxation (Parenthetical) (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Total deferred tax | £ (97) | £ 477 | £ (15) |
Defined Contribution Plan [Member] | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [Line Items] | |||
Total deferred tax | £ 2 | £ 2 |
Taxation - Summary of Restricte
Taxation - Summary of Restricted Loss (Detail) £ in Millions | 12 Months Ended |
Mar. 31, 2018GBP (£) | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Total restricted losses | £ 220 |
Unrestricted operating losses | 3,784 |
Other temporary differences | 77 |
Total | 4,081 |
Europe [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Total restricted losses | £ 14 |
Europe [Member] | Bottom of Range [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Deferred tax assets restricted losses expiry date | 2,019 |
Europe [Member] | Top of Range [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Deferred tax assets restricted losses expiry date | 2,027 |
Americas [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Total restricted losses | £ 204 |
Americas [Member] | Bottom of Range [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Deferred tax assets restricted losses expiry date | 2,019 |
Americas [Member] | Top of Range [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Deferred tax assets restricted losses expiry date | 2,037 |
Other Countries [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Total restricted losses | £ 2 |
Other Countries [Member] | Bottom of Range [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Deferred tax assets restricted losses expiry date | 2,019 |
Other Countries [Member] | Top of Range [Member] | |
Disclosure Of Unrecognised Tax Losses And Other Temporary Differences [Line Items] | |
Deferred tax assets restricted losses expiry date | 2,027 |
Dividends - Additional Informat
Dividends - Additional Information (Detail) - GBP (£) | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | Apr. 01, 2018 | |
Disclosure Of Dividends Paid And Proposed [Line Items] | ||||
Dividends paid | £ 2,350,000,000 | £ 1,450,000,000 | ||
BT Group Investments Limited [Member] | ||||
Disclosure Of Dividends Paid And Proposed [Line Items] | ||||
Dividends paid | £ 0 | 2,350,000,000 | 1,450,000,000 | |
Final dividend declared | £ 0 | £ 2,350,000,000 | ||
BT Group Investments Limited [Member] | Events After Reporting Period [Member] | ||||
Disclosure Of Dividends Paid And Proposed [Line Items] | ||||
Final dividend declared | £ 2,500,000,000 |
Intangible Assets - Summary of
Intangible Assets - Summary of Intangible Assets (Detail) - GBP (£) £ in Millions | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | £ 15,037 | £ 15,458 |
Ending balance | 14,455 | 15,037 |
Gross Carrying Amount [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 20,625 | 19,929 |
Acquisitions | 17 | 5 |
Additions | 642 | 621 |
Disposals and adjustments | (474) | (152) |
Transfers | (4) | |
Exchange differences | (100) | 226 |
Ending balance | 20,710 | 20,625 |
Accumulated Depreciation and Amortisation [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 5,588 | 4,471 |
Charge for the year | 1,123 | 1,180 |
Disposals and adjustments | (465) | (121) |
Exchange differences | 9 | 58 |
Ending balance | 6,255 | 5,588 |
Goodwill [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 8,042 | |
Ending balance | 7,953 | 8,042 |
Goodwill [Member] | Gross Carrying Amount [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 8,042 | 7,915 |
Acquisitions | 14 | 5 |
Disposals and adjustments | (3) | (23) |
Exchange differences | (100) | 145 |
Ending balance | 7,953 | 8,042 |
Customer Relationships and Brands [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 2,609 | |
Ending balance | 2,219 | 2,609 |
Customer Relationships and Brands [Member] | Gross Carrying Amount [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 3,422 | 3,401 |
Exchange differences | (12) | 21 |
Ending balance | 3,410 | 3,422 |
Customer Relationships and Brands [Member] | Accumulated Depreciation and Amortisation [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 813 | 418 |
Charge for the year | 379 | 383 |
Exchange differences | (1) | 12 |
Ending balance | 1,191 | 813 |
Telecoms Licences and Other [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 2,665 | |
Ending balance | 2,530 | 2,665 |
Telecoms Licences and Other [Member] | Gross Carrying Amount [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 2,945 | 2,930 |
Acquisitions | 3 | |
Disposals and adjustments | (3) | |
Exchange differences | 6 | 15 |
Ending balance | 2,951 | 2,945 |
Telecoms Licences and Other [Member] | Accumulated Depreciation and Amortisation [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 280 | 131 |
Charge for the year | 141 | 140 |
Disposals and adjustments | (3) | |
Exchange differences | 3 | 9 |
Ending balance | 421 | 280 |
Internally Developed Software [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 1,170 | |
Ending balance | 1,142 | 1,170 |
Internally Developed Software [Member] | Gross Carrying Amount [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 4,363 | 4,073 |
Additions | 517 | 483 |
Disposals and adjustments | (55) | (131) |
Transfers | (66) | |
Exchange differences | (3) | 4 |
Ending balance | 4,822 | 4,363 |
Internally Developed Software [Member] | Accumulated Depreciation and Amortisation [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 3,193 | 2,747 |
Charge for the year | 525 | 556 |
Disposals and adjustments | (36) | (114) |
Exchange differences | (2) | 4 |
Ending balance | 3,680 | 3,193 |
Purchased Software [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 551 | |
Ending balance | 611 | 551 |
Purchased Software [Member] | Gross Carrying Amount [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 1,853 | 1,610 |
Additions | 125 | 138 |
Disposals and adjustments | (413) | 2 |
Transfers | 62 | |
Exchange differences | 9 | 41 |
Ending balance | 1,574 | 1,853 |
Purchased Software [Member] | Accumulated Depreciation and Amortisation [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Beginning balance | 1,302 | 1,175 |
Charge for the year | 78 | 101 |
Disposals and adjustments | (426) | (7) |
Exchange differences | 9 | 33 |
Ending balance | £ 963 | £ 1,302 |
Intangible Assets - Summary 101
Intangible Assets - Summary of Intangible Assets (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Amortisation charge related to write off of assets | £ 400 | |
Internally Developed Software [Member] | ||
Disclosure Of Reconciliation Of Changes In Intangible Assets And Goodwill [Line Items] | ||
Amortisation charge related to write off of assets | £ 62 |
Intangible Assets - Summary 102
Intangible Assets - Summary of Goodwill Allocated to Cash Generating Units (Detail) - GBP (£) £ in Millions | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure Of Goodwill Allocated To C G Us [Line Items] | ||
Beginning balance | £ 8,042 | £ 7,915 |
Exchange differences | (100) | 145 |
Acquisitions and disposals | 11 | (18) |
Ending balance | 7,953 | 8,042 |
Consumer [Member] | ||
Disclosure Of Goodwill Allocated To C G Us [Line Items] | ||
Beginning balance | 1,183 | 1,183 |
Ending balance | 1,183 | 1,183 |
EE [Member] | ||
Disclosure Of Goodwill Allocated To C G Us [Line Items] | ||
Beginning balance | 2,768 | 4,917 |
Re-organisation | (2,149) | |
Ending balance | 2,768 | 2,768 |
Business and Public Sector [Member] | ||
Disclosure Of Goodwill Allocated To C G Us [Line Items] | ||
Beginning balance | 2,570 | 662 |
Re-organisation | 1,921 | |
Exchange differences | (8) | 10 |
Disposals | (23) | |
Ending balance | 2,562 | 2,570 |
Global Services [Member] | ||
Disclosure Of Goodwill Allocated To C G Us [Line Items] | ||
Beginning balance | 579 | 1,153 |
Re-organisation | (709) | |
Exchange differences | (92) | 135 |
Acquisitions | 11 | |
Ending balance | 498 | 579 |
Wholesale and Ventures [Member] | ||
Disclosure Of Goodwill Allocated To C G Us [Line Items] | ||
Beginning balance | 942 | |
Re-organisation | 937 | |
Acquisitions | 5 | |
Ending balance | £ 942 | £ 942 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 |
Disclosure of information for cash-generating units [Line Items] | ||
Pre-tax discount rate | 8.40% | 8.60% |
Global Services [Member] | ||
Disclosure of information for cash-generating units [Line Items] | ||
Pre-tax discount rate | 8.80% | 9.00% |
Perpetuity growth rate | 2.30% | 2.40% |
Amount by which unit's recoverable amount exceeds its carrying amount | £ 768 | £ 586 |
Sensitivity analysis, percentage to increase in discount rate | 11.50% | |
Sensitivity analysis of reduction in perpetuity growth rate revised assumption | 1.40% | |
Sensitivity analysis, decrease in cash flows projection | 34.00% | |
Business and Public Sector [Member] | ||
Disclosure of information for cash-generating units [Line Items] | ||
Perpetuity growth rate | 2.00% | 2.00% |
Consumer [Member] | ||
Disclosure of information for cash-generating units [Line Items] | ||
Perpetuity growth rate | 2.00% | 2.00% |
EE [Member] | ||
Disclosure of information for cash-generating units [Line Items] | ||
Perpetuity growth rate | 2.00% | 2.00% |
Wholesale and Ventures [Member] | ||
Disclosure of information for cash-generating units [Line Items] | ||
Perpetuity growth rate | 2.00% | 2.00% |
Property, Plant and Equipment -
Property, Plant and Equipment - Summary of the Carrying Values of Software, Property, Plant and Equipment (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | £ 16,498 | £ 15,971 | |
Ending balance | 17,000 | 16,498 | |
Carrying amount before engineering stores | 16,956 | 16,440 | |
Engineering stores | 44 | 58 | |
Carrying amount including engineering stores | 17,000 | 16,498 | |
Gross Carrying Amount [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | 54,025 | 52,450 | |
Additions | [1] | 2,894 | 2,846 |
Transfers | 4 | ||
Disposals and adjustments | [2] | (1,789) | (1,758) |
Exchange differences | (53) | 483 | |
Ending balance | 55,077 | 54,025 | |
Accumulated Depreciation and Amortisation [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | (37,585) | (36,550) | |
Depreciation of property, plant and equipment | 2,391 | 2,392 | |
Disposals and adjustments | [2] | (1,816) | (1,767) |
Exchange differences | (39) | 410 | |
Ending balance | (38,121) | (37,585) | |
Land and Buildings [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Carrying amount before engineering stores | [3] | 489 | 485 |
Carrying amount including engineering stores | [3] | 489 | 485 |
Land and Buildings [Member] | Gross Carrying Amount [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | [3] | 1,302 | 1,278 |
Additions | [1],[3] | 12 | 6 |
Transfers | [3] | 36 | 14 |
Disposals and adjustments | [2],[3] | (82) | (45) |
Exchange differences | [3] | (6) | 49 |
Ending balance | [3] | 1,262 | 1,302 |
Land and Buildings [Member] | Accumulated Depreciation and Amortisation [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | [3] | (817) | (750) |
Depreciation of property, plant and equipment | [3] | 57 | 64 |
Disposals and adjustments | [2],[3] | (96) | (36) |
Exchange differences | [3] | (5) | 39 |
Ending balance | [3] | (773) | (817) |
Network Infrastructure [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Carrying amount before engineering stores | [3] | 14,993 | 14,158 |
Carrying amount including engineering stores | [3] | 14,993 | 14,158 |
Network Infrastructure [Member] | Gross Carrying Amount [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | [3] | 49,372 | 48,194 |
Additions | [1],[3] | 193 | 40 |
Transfers | [3] | 2,793 | 2,393 |
Disposals and adjustments | [2],[3] | (1,540) | (1,637) |
Exchange differences | [3] | (35) | 382 |
Ending balance | [3] | 50,783 | 49,372 |
Network Infrastructure [Member] | Accumulated Depreciation and Amortisation [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | [3] | (35,214) | (34,287) |
Depreciation of property, plant and equipment | [3] | 2,213 | 2,224 |
Disposals and adjustments | [2],[3] | (1,613) | (1,627) |
Exchange differences | [3] | (24) | 330 |
Ending balance | [3] | (35,790) | (35,214) |
Land and Buildings [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Carrying amount before engineering stores | [4] | 356 | 384 |
Carrying amount including engineering stores | [4] | 356 | 384 |
Land and Buildings [Member] | Gross Carrying Amount [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | [4] | 1,938 | 1,870 |
Additions | [1],[4] | 92 | 128 |
Transfers | [4] | 16 | (1) |
Disposals and adjustments | [2],[4] | (119) | (106) |
Exchange differences | [4] | (13) | 47 |
Ending balance | [4] | 1,914 | 1,938 |
Land and Buildings [Member] | Accumulated Depreciation and Amortisation [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | [4] | (1,554) | (1,513) |
Depreciation of property, plant and equipment | [4] | 121 | 104 |
Disposals and adjustments | [2],[4] | (107) | (104) |
Exchange differences | [4] | (10) | 41 |
Ending balance | [4] | (1,558) | (1,554) |
Assets in Course of Construction [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Carrying amount before engineering stores | 1,118 | 1,413 | |
Engineering stores | 44 | 58 | |
Carrying amount including engineering stores | 1,162 | 1,471 | |
Assets in Course of Construction [Member] | Gross Carrying Amount [Member] | |||
Disclosure of detailed information about property, plant and equipment [Line Items] | |||
Opening balance | 1,413 | 1,108 | |
Additions | [1] | 2,597 | 2,672 |
Transfers | (2,845) | (2,402) | |
Disposals and adjustments | [2] | (48) | 30 |
Exchange differences | 1 | 5 | |
Ending balance | £ 1,118 | £ 1,413 | |
[1] | Net of grant funding of £74m (2016/17: £28m net grant deferral). | ||
[2] | Fully depreciated assets in the group’s fixed asset registers were reviewed during the year, as part of the group’s annual asset verification exercise, and certain assets that were no longer in use have been written off, reducing cost and accumulated depreciation by £1.3bn (2016/17: £1.1bn). | ||
[3] | The carrying amount of the group’s property, plant and equipment includes an amount of £53m (2016/17: £73m) in respect of assets held under finance leases, comprising land and buildings of £42m (2016/17: £45m) and network infrastructure of £11m (2016/17: £28m). The depreciation expense on those assets in 2017/18 was £10m (2016/17: £10m), comprising land and buildings of £3m (2016/17: £3m) and network infrastructure of £7m (2016/17: £7m). | ||
[4] | Other mainly comprises motor vehicles, computers and fixtures and fittings. |
Property, Plant and Equipmen105
Property, Plant and Equipment - Summary of the Carrying Values of Software, Property, Plant and Equipment (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Carrying amount of assets held under finance leases | £ 53 | £ 73 |
Depreciation on assets held under finance leases | 10 | 10 |
Net grant deferral/funding | 74 | 28 |
Write off of fully depreciated assets | 1,300 | 1,100 |
Land and Buildings [Member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Carrying amount of assets held under finance leases | 42 | 45 |
Depreciation on assets held under finance leases | 3 | 3 |
Network Infrastructure [Member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Carrying amount of assets held under finance leases | 11 | 28 |
Depreciation on assets held under finance leases | £ 7 | £ 7 |
Property, Plant and Equipmen106
Property, Plant and Equipment - Summary of Property, Plant and Equipment (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 |
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Total land and buildings | £ 489 | £ 485 |
Freehold [Member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Total land and buildings | 261 | 269 |
Leasehold [Member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Total land and buildings | £ 228 | £ 216 |
Property, Plant and Equipmen107
Property, Plant and Equipment - Additional Information (Detail) - GBP (£) £ in Millions | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Net book value of assets | £ 526 | £ 591 |
Net grant deferral/funding | £ 74 | 28 |
Percentage of change in take up assumption rate | 4.00% | |
Movement in deferred grant funding based on change in take up assumption rate | £ 50 | |
Deferred grant funding | £ 536 | £ 446 |
UK [Member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
BDUK take-up assumption rate | 41.00% | 39.00% |
Network Infrastructure [Member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Net book value of assets | £ 132 | £ 179 |
Network Infrastructure [Member] | ||
Disclosure of detailed information about property, plant and equipment [Line Items] | ||
Net book value of assets | £ 8,300 | £ 8,000 |
Useful life of assets | more than 18 years |
Programme Rights - Summary of P
Programme Rights - Summary of Programme Rights (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of detailed information about intangible assets [Line Items] | |||
Beginning balance | £ 264 | £ 225 | |
Amortisation | (1,123) | (1,118) | £ (621) |
Ending balance | 272 | 264 | 225 |
Programme Rights [Member] | |||
Disclosure of detailed information about intangible assets [Line Items] | |||
Beginning balance | 264 | 225 | |
Additions | 771 | 753 | |
Amortisation | (763) | (714) | |
Ending balance | £ 272 | £ 264 | £ 225 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Classes Of Inventories [Abstract] | |||
Consumables | £ 22 | £ 24 | £ 26 |
Work in progress | 6 | 23 | 11 |
Finished goods | 211 | 180 | 152 |
Inventories | £ 239 | £ 227 | £ 189 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) - GBP (£) £ in Millions | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Classes Of Inventories [Abstract] | ||
Inventories expenses | £ 2,588 | £ 2,680 |
Trade and Other Receivables - S
Trade and Other Receivables - Schedule of Trade and Other Receivables (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Non-current | ||||
Other assets | [1] | £ 317 | £ 360 | £ 218 |
Current | ||||
Trade receivables | 1,741 | 1,774 | 1,803 | |
Amounts owed by ultimate parent company | 15 | 25 | 9 | |
Prepayments | [2] | 1,103 | 733 | 702 |
Accrued income | 777 | 955 | 1,072 | |
Other receivables | [3] | 393 | 373 | 401 |
Trade and other receivable current | £ 4,029 | £ 3,860 | £ 3,987 | |
[1] | Other assets includes costs relating to the initial set-up, transition or transformation phase of long-term networked IT services contracts of £145m (2016/17: £163m, 2015/16: £111m), and prepayments and leasing debtors of £172m (2016/17: £197m, 2015/16: £107m). | |||
[2] | Prepayments includes £325m (2016/17: £nil, 2015/16: £nil) in respect of the acquisition of spectrum in April 2018. The spectrum auction bidding cut across the 2017/18 and 2018/19 financial years. Whilst £325m was on deposit with Ofcom at 31 March 2018, we went on to win spectrum for a total price of £304m and the excess deposit balance has since been refunded. This will be transferred to intangible assets in 2018/19. | |||
[3] | Other receivables includes assets held for sale of £nil (2016/17: £22m, 2015/16: £nil). |
Trade and Other Receivables 112
Trade and Other Receivables - Schedule of Trade and Other Receivables (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure of Trade and Other Receivables [line items] | ||||
Other assets relating to initial set-up, transition or transformation phase of long-term networked IT services contracts | £ 145 | £ 163 | £ 111 | |
Other assets relating to prepayments and leasing debtors | 172 | 197 | 107 | |
Other receivables | [1] | 393 | 373 | 401 |
Spectrum [Member] | ||||
Disclosure of Trade and Other Receivables [line items] | ||||
Prepayments in respect of acquisition | 325 | 0 | 0 | |
Cash transferred in respect of acquisition | 304 | |||
Current Assets Held for Sale [Member] | ||||
Disclosure of Trade and Other Receivables [line items] | ||||
Other receivables | £ 0 | £ 22 | £ 0 | |
[1] | Other receivables includes assets held for sale of £nil (2016/17: £22m, 2015/16: £nil). |
Trade and Other Receivables 113
Trade and Other Receivables - Summary of Trade Receivables After Deducting Allowances for Doubtful Debts (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Trade And Other Receivables [Abstract] | |||
At 1 April | £ 303 | £ 195 | £ 196 |
Expense | 129 | 211 | 77 |
Utilised | (61) | (114) | (89) |
Exchange differences | 4 | 11 | 11 |
At 31 March | £ 375 | £ 303 | £ 195 |
Trade and Other Receivables 114
Trade and Other Receivables - Summary of Trade Receivables Past Due and Not Specifically Impaired (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables | £ 1,741 | £ 1,774 | £ 1,803 |
Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables | 1,251 | 1,184 | 1,152 |
Current [Member] | Trade Receivables Specifically Impaired Net of Provision [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables | 61 | 146 | 98 |
Between 0 and 3 Months [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables | 293 | 292 | 368 |
Between 3 and 6 Months [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables | 44 | 17 | 51 |
Between 6 and 12 Months [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables | 25 | 41 | 44 |
Over 12 Months [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables | £ 67 | £ 94 | £ 90 |
Trade and Other Receivables - A
Trade and Other Receivables - Additional Information (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of Trade and Other Receivables [line items] | |||
Cash collateral held against trade and other receivables | £ 6 | £ 4 | £ 4 |
Gross Trade Receivables Specifically Impaired [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Gross trade receivables specifically impaired | £ 124 | £ 238 | £ 192 |
Trade and Other Receivables 116
Trade and Other Receivables - Schedule of Trade Receivables Not Past Due and Accrued Income (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | £ 777 | £ 955 | £ 1,072 |
Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | 1,251 | 1,184 | 1,152 |
BT Consumer [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | 86 | 90 | 83 |
BT Consumer [Member] | Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | 157 | 128 | 138 |
EE [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | 122 | 170 | 312 |
EE [Member] | Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | 206 | 335 | 267 |
Business and Public Sector [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | 134 | 151 | 146 |
Business and Public Sector [Member] | Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | 253 | 200 | 115 |
Global Services [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | 222 | 297 | 351 |
Global Services [Member] | Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | 477 | 444 | 555 |
Wholesale and Ventures [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | 145 | 167 | 99 |
Wholesale and Ventures [Member] | Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | 92 | 75 | 76 |
Openreach [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | 67 | 78 | 79 |
Openreach [Member] | Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | 61 | 1 | 1 |
Other [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Accrued income | 1 | 2 | £ 2 |
Other [Member] | Current [Member] | |||
Disclosure of Trade and Other Receivables [line items] | |||
Trade receivables not past due | £ 5 | £ 1 |
Trade and Other Payables - Summ
Trade and Other Payables - Summary of Trade and Other Payables (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Current | ||||
Trade payables | £ 3,991 | £ 4,205 | £ 4,331 | |
Amounts owed to parent company | 50 | 63 | 70 | |
Other taxation and social security | 704 | 704 | 682 | |
Other payables | 428 | 648 | 527 | |
Accrued expenses | 492 | 382 | 418 | |
Deferred income | [1] | 1,525 | 1,474 | 1,435 |
Total current trade and other payables | 7,190 | 7,476 | 7,463 | |
Non-current | ||||
Other payables | [2] | 871 | 885 | 876 |
Deferred income | [1] | 455 | 413 | 230 |
Total non-current trade and other payables | £ 1,326 | £ 1,298 | £ 1,106 | |
[1] | Includes £132m (2016/17: £71m, 2015/16: £71m) current and £404m (2016/17: £375m, 2015/16: £187m) non-current liabilities relating to the Broadband Delivery UK programme, for which grants received by the group may be subject to re-investment or repayment depending on the level of take-up | |||
[2] | Other payables relate to operating lease liabilities and deferred gains on a 2001 sale and finance leaseback transaction. |
Trade and Other Payables - S118
Trade and Other Payables - Summary of Trade and Other Payables (Parenthetical) (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Trade And Other Payables [Line Items] | ||||
Deferred income current | [1] | £ 1,525 | £ 1,474 | £ 1,435 |
Deferred income non-current | [1] | 455 | 413 | 230 |
Broadband Delivery UK Programme [Member] | ||||
Disclosure Of Trade And Other Payables [Line Items] | ||||
Deferred income current | 132 | 71 | 71 | |
Deferred income non-current | £ 404 | £ 375 | £ 187 | |
[1] | Includes £132m (2016/17: £71m, 2015/16: £71m) current and £404m (2016/17: £375m, 2015/16: £187m) non-current liabilities relating to the Broadband Delivery UK programme, for which grants received by the group may be subject to re-investment or repayment depending on the level of take-up |
Provisions - Additional Informa
Provisions - Additional Information (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of other provisions [Line Items] | |||
Additional provisions | £ 133 | £ 536 | |
Trade and other payables | 7,190 | 7,476 | £ 7,463 |
Internal cost | 20,339 | 20,892 | £ 15,397 |
Contract loss provisions | 38 | 29 | |
Regulatory [Member] | |||
Disclosure of other provisions [Line Items] | |||
Additional provisions | 51 | 426 | |
Fine [Member] | |||
Disclosure of other provisions [Line Items] | |||
Trade and other payables | 42 | ||
Network Share Provision [Member] | |||
Disclosure of other provisions [Line Items] | |||
Additional provisions | 5 | ||
Specific Item [Member] | |||
Disclosure of other provisions [Line Items] | |||
Additional provisions | £ 51 | 126 | |
Specific Item [Member] | Regulatory [Member] | |||
Disclosure of other provisions [Line Items] | |||
Additional provisions | 300 | ||
Specific Item [Member] | Provision [Member] | |||
Disclosure of other provisions [Line Items] | |||
Internal cost | £ 342 | ||
Top of Range [Member] | Network Share Provision [Member] | |||
Disclosure of other provisions [Line Items] | |||
Number of years for which costs are expected to be incurred | 20 years |
Provisions - Details of Estimat
Provisions - Details of Estimate of the Provisions (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of other provisions [Line Items] | |||
Opening balance | £ 1,161 | £ 743 | |
Income statement expense | 133 | 536 | |
Unwind of discount | 15 | 16 | £ 8 |
Utilised or released | (336) | (135) | |
Transfers | 85 | (3) | |
Exchange differences | (3) | 4 | |
Ending balance | 1,055 | 1,161 | 743 |
Restructuring Provision [Member] | |||
Disclosure of other provisions [Line Items] | |||
Opening balance | 11 | 20 | |
Income statement expense | 4 | ||
Utilised or released | (2) | (10) | |
Exchange differences | (1) | 1 | |
Ending balance | 12 | 11 | 20 |
Property, plant and equipment [member] | |||
Disclosure of other provisions [Line Items] | |||
Opening balance | 292 | 296 | |
Income statement expense | 37 | 38 | |
Unwind of discount | 11 | 12 | |
Utilised or released | (46) | (54) | |
Ending balance | 294 | 292 | 296 |
Network ARO Provision [Member] | |||
Disclosure of other provisions [Line Items] | |||
Opening balance | 83 | 78 | |
Income statement expense | 2 | 27 | |
Unwind of discount | 2 | 2 | |
Utilised or released | (16) | (24) | |
Ending balance | 71 | 83 | 78 |
Network Share Provision [Member] | |||
Disclosure of other provisions [Line Items] | |||
Opening balance | 50 | 60 | |
Income statement expense | 5 | ||
Unwind of discount | 2 | 2 | |
Utilised or released | (19) | (17) | |
Ending balance | 33 | 50 | 60 |
Regulatory [Member] | |||
Disclosure of other provisions [Line Items] | |||
Opening balance | 479 | 64 | |
Income statement expense | 51 | 426 | |
Utilised or released | (210) | (11) | |
Ending balance | 320 | 479 | 64 |
Litigation [Member] | |||
Disclosure of other provisions [Line Items] | |||
Opening balance | 69 | 73 | |
Income statement expense | 6 | 6 | |
Utilised or released | (11) | (11) | |
Exchange differences | 1 | ||
Ending balance | 64 | 69 | 73 |
Other [Member] | |||
Disclosure of other provisions [Line Items] | |||
Opening balance | 177 | 152 | |
Income statement expense | 33 | 34 | |
Utilised or released | (32) | (8) | |
Transfers | 85 | (3) | |
Exchange differences | (2) | 2 | |
Ending balance | £ 261 | £ 177 | £ 152 |
Provisions - Details of Provisi
Provisions - Details of Provisions (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Other Provisions [Abstract] | |||
Current | £ 603 | £ 625 | £ 178 |
Non-current | 452 | 536 | 565 |
Total | £ 1,055 | £ 1,161 | £ 743 |
Retirement Benefit Plans - Addi
Retirement Benefit Plans - Additional Information (Detail) £ in Thousands | Apr. 01, 2009 | Dec. 31, 2017Employee | Jun. 30, 2017GBP (£) | Jun. 30, 2014GBP (£) | Mar. 31, 2019GBP (£) | Mar. 31, 2018GBP (£)MemberValuation | Mar. 31, 2017GBP (£) | Mar. 31, 2016GBP (£) | Jun. 30, 2017GBP (£) |
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Transition payments percentage | 2.00% | ||||||||
Weighted average term of liabilities | 16 years | ||||||||
Length of time over which payments will be made to all retirees from the fund | 70 years | ||||||||
Normal pensionable age | 60 years | ||||||||
Maximum period of addressing deficit | 20 years | ||||||||
Number of recent triennial valuations | Valuation | 2 | ||||||||
Percentage of investment in growth asset | 45.00% | 60.00% | 45.00% | ||||||
De-risking to low risk investment approach year | 2,034 | 2,034 | |||||||
Flat discount rate | 1.00% | 1.00% | |||||||
Threshold dividend per share | 10.00% | ||||||||
Threshold dividend per share of share buybacks | £ 200,000 | ||||||||
Share buybacks in excess per year | 200,000 | ||||||||
Threshold for BTPS | 1,500,000 | ||||||||
Deficit threshold level for application for provision | £ 2,000,000 | ||||||||
BTRSS [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Number of active members | Member | 35,000 | ||||||||
Contribution to plan | £ 167,000 | ||||||||
Each Month Between 1 April 2018 and November 2020 | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Monthly payments to bridge funding deficit | 1,875 | ||||||||
Group Contribution | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Group contributions based on funding valuation agreement | £ 2,075,000 | ||||||||
Top of Range [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Prudent discount rate | 1.40% | 1.40% | |||||||
Proceeds from disposals net of acquisitions | £ 1,000,000 | 1,000,000 | |||||||
Bottom of Range [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Prudent discount rate | 0.70% | 0.70% | |||||||
Trade and Other Payables [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Present value of liabilities | £ 17,000 | £ 15,000 | £ 15,000 | ||||||
BT Pension Scheme [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Percentage of future benefit accrual | 99.00% | ||||||||
Number of members in pension scheme | Member | 293,000 | ||||||||
BT Retirement Saving Scheme [Mmeber] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Contribution rate | 10.00% | ||||||||
BT Retirement Saving Scheme [Mmeber] | Top of Range [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Contribution rate | 11.00% | ||||||||
BTPS [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Normal pensionable age | 65 years | ||||||||
Percentage of group's retirement benefit obligation | 97.00% | ||||||||
Percentage retirement benefit obligation are rounded | 0.05% | ||||||||
Percentage of exposure covered by longevity insurance | 25.00% | ||||||||
Funding deficit contribution | £ 2,000,000 | £ 2,000,000 | |||||||
Asset return percentage | 10.50% | ||||||||
Funding deficit | £ 11,300,000 | £ 7,000,000 | £ 11,300,000 | ||||||
Recovery period | 13 years | ||||||||
Payments under recovery plan | £ 850,000 | ||||||||
Fixed interest on bonds | 1,000 | ||||||||
CPI Linked Bonds | £ 1,000 | ||||||||
Annual payment term | 10 years | ||||||||
Annual payment maturity range start | 2020-04 | ||||||||
Annual payment maturity range end | 2030-03 | ||||||||
Annual payment amount | £ 900,000 | ||||||||
Deficit contributions | 850,000 | £ 250,000 | |||||||
BTPS [Member] | Financial Year 2020/2021 [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Deficit contributions | £ 400,000 | ||||||||
Deficit contributions payment date | 2020-06 | ||||||||
BTPS [Member] | Due in 30 June 2020 [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Material contributions included in recovery plan | £ 4,500,000 | ||||||||
BTPS [Member] | Issuance of Bond [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Proceeds from issuance of bond | £ 2,000,000 | ||||||||
BTPS [Member] | Over Three Years to 31 March 2020 [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Payments under recovery plan | 2,100,000 | ||||||||
BTPS [Member] | Over Two Years to 30 June 2019 [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Payments under recovery plan | £ 1,250,000 | ||||||||
BTPS [Member] | Top of Range [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Bond maturity term | 2,042 | ||||||||
BTPS [Member] | Bottom of Range [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Bond maturity term | 2,033 | ||||||||
Ordinary Contributions [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Group contributions based on funding valuation agreement | £ 75,000 | ||||||||
Deficit Contributions [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Group contributions based on funding valuation agreement | 2,000,000 | ||||||||
EEPS [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Funding deficit | 141,000 | ||||||||
Defined benefit liabilities | £ 900,000 | ||||||||
Number of active members | Member | 11,500 | ||||||||
EE Pension Scheme [Member] | Global Equities [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Percentage of assets of benefit plan | 28.00% | ||||||||
EE Pension Scheme [Member] | Property and Illiquid Alternatives [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Percentage of assets of benefit plan | 22.00% | ||||||||
EE Pension Scheme [Member] | Absolute Return Portfolio [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Percentage of assets of benefit plan | 25.00% | ||||||||
EE Pension Scheme [Member] | Liability Driven Investment Portfolio [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Percentage of assets of benefit plan | 25.00% | ||||||||
Other Pension Plans [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Number of defined benefit plans closed | Employee | 2 | ||||||||
Contribution to plan | £ 14,000 | ||||||||
Other Pension Plans [Member] | Foreign Country [Member] | |||||||||
Disclosure Of Retirement Benefit Plans [Line Items] | |||||||||
Contribution to plan | £ 3,000 |
Retirement Benefit Plan - Summa
Retirement Benefit Plan - Summary of Retirement Benefit Plan (Detail) | 12 Months Ended |
Mar. 31, 2018 | |
Defined Contribution Plans [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
What are they? | Benefits in a defined contribution plan are linked to: – contributions paid – the performance of each individual’s chosen investments – the form in which individuals choose to take their benefits. Contributions are paid into an independently administered fund. |
How do they impact BT’s financial statements? | The income statement charge in respect of defined contribution plans represents the contribution payable by the group based upon a fixed percentage of employees’ pay. The group has no exposure to investment and other experience risks. |
Defined Benefit Plan [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
What are they? | Benefits in a defined benefit plan are: – determined by the plan rules, dependent on factors such as age, years of service and pensionable pay – not dependent upon actual contributions made by the company or members. |
How do they impact BT’s financial statements? | The income statement service cost in respect of defined benefit plans represents the increase in the defined benefit liability arising from pension benefits earned by active members in the current period. The group is exposed to investment and other experience risks and may need to make additional contributions where it is estimated that the benefits will not be met from regular contributions, expected investment income and assets held. |
Retirement Benefit Plan - Su124
Retirement Benefit Plan - Summary of Expense or Income from Retirement Benefit Arrangements Recognised in Income Statement (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Service cost (including administration expenses & PPF levy): | |||
Service cost (including administration expenses & PPF levy) | £ 624 | £ 521 | £ 494 |
Net interest expense on pensions deficit included in specific items (note 8) | 218 | 209 | 221 |
Total recognised in the income statement | 842 | 730 | 715 |
Defined Benefit Plan [Member] | |||
Service cost (including administration expenses & PPF levy): | |||
Service cost (including administration expenses & PPF levy) | 376 | 281 | 301 |
Defined Contribution Plans [Member] | |||
Service cost (including administration expenses & PPF levy): | |||
Service cost (including administration expenses & PPF levy) | 265 | £ 240 | £ 193 |
Past Service Credit [Member] | |||
Service cost (including administration expenses & PPF levy): | |||
Service cost (including administration expenses & PPF levy) | £ (17) |
Retirement Benefit Plan - Su125
Retirement Benefit Plan - Summary of Pension Obligation in Respect of Defined Benefit Plans Reported in Balance Sheet (Parenthetical) (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Unfunded Pension Arrangements [Member] | Other Plans [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Present value of liabilities | £ 97 | £ 104 | £ 104 |
Retirement Benefit Plan - Su126
Retirement Benefit Plan - Summary of Pension Obligation in Respect of Defined Benefit Plans Reported in Balance Sheet (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 |
Disclosure Of Defined Benefit Plans [Line Items] | ||
Deficit | £ (5,290) | £ (7,553) |
Retirement Benefit Obligation Before Adjustments [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Assets | 50,956 | 51,112 |
Present value of liabilities | (57,327) | (60,200) |
Deficit | (6,371) | (9,088) |
Retirement Benefit Obligation Before Adjustments [Member] | BT Pension Scheme [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Assets | 49,894 | 50,090 |
Present value of liabilities | (55,783) | (58,649) |
Deficit | (5,889) | (8,559) |
Retirement Benefit Obligation Before Adjustments [Member] | EE Pension Scheme [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Assets | 763 | 748 |
Present value of liabilities | (920) | (973) |
Deficit | (157) | (225) |
Retirement Benefit Obligation Before Adjustments [Member] | Other Pension Plans [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Assets | 299 | 274 |
Present value of liabilities | (624) | (578) |
Deficit | (325) | (304) |
Deferred Tax Asset [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Deficit | £ 1,081 | £ 1,535 |
Retirement Benefit Plan - Su127
Retirement Benefit Plan - Summary of Movements on Pension Assets and Liabilities (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Defined Benefit Plans [Line Items] | |||
Service cost (including administration expenses and PPF levy) | £ (624) | £ (521) | £ (494) |
Interest on pension deficit | (218) | (209) | (221) |
Assets [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Beginning balance | 50,956 | 51,112 | 43,968 |
Service cost (including administration expenses and PPF levy) | (67) | (44) | |
Interest on pension deficit | 1,201 | 1,413 | |
Return on plan assets above the amount included in the group income statement | 10 | 7,475 | |
Regular contributions by employer | 264 | 313 | |
Deficit contributions by employer | 872 | 274 | |
Contributions by employees | 2 | 8 | |
Benefits paid | (2,449) | (2,315) | |
Foreign exchange | 11 | 20 | |
Liabilities [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Beginning balance | (57,327) | (60,200) | (50,350) |
Service cost (including administration expenses and PPF levy) | (309) | (237) | |
Interest on pension deficit | (1,419) | (1,622) | |
Actuarial loss arising from changes in financial assumptions | 2,251 | (10,221) | |
Actuarial loss arising from changes in demographic assumptions | (221) | (206) | |
Actuarial gain arising from experience adjustments | 120 | 163 | |
Contributions by employees | (2) | (8) | |
Benefits paid | 2,449 | 2,315 | |
Foreign exchange | (13) | (34) | |
Past service credit | 17 | ||
Deficit [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Beginning balance | (6,371) | (9,088) | £ (6,382) |
Service cost (including administration expenses and PPF levy) | (376) | (281) | |
Interest on pension deficit | (218) | (209) | |
Included in the group income statement | (577) | (490) | |
Return on plan assets above the amount included in the group income statement | 10 | 7,475 | |
Actuarial loss arising from changes in financial assumptions | 2,251 | (10,221) | |
Actuarial loss arising from changes in demographic assumptions | (221) | (206) | |
Actuarial gain arising from experience adjustments | 120 | 163 | |
Included in the group statement of comprehensive income | 2,160 | (2,789) | |
Regular contributions by employer | 264 | 313 | |
Deficit contributions by employer | 872 | 274 | |
Included in the group cash flow statement | 1,136 | 587 | |
Foreign exchange | (2) | (14) | |
Other movements | (2) | £ (14) | |
Past service credit | £ 17 |
Retirement Benefit Plan - Su128
Retirement Benefit Plan - Summary of Analysis of Membership (Detail) - BT Pension Scheme [Member] £ in Billions | Mar. 31, 2018GBP (£)Member |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 55.8 |
Total number of members | Member | 293,000 |
IAS 19 Sections A and B Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 38.8 |
IAS 19 Section C Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | 17 |
Active [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 12.6 |
Total number of members | Member | 30,000 |
Active [Member] | IAS 19 Sections A and B Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 4.9 |
Active [Member] | IAS 19 Section C Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | 7.7 |
Deferred Members [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 10 |
Total number of members | Member | 60,500 |
Deferred Members [Member] | IAS 19 Sections A and B Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 4.3 |
Deferred Members [Member] | IAS 19 Section C Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | 5.7 |
Pensioners [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 33.2 |
Total number of members | Member | 202,500 |
Pensioners [Member] | IAS 19 Sections A and B Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 29.6 |
Pensioners [Member] | IAS 19 Section C Liabilities [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
IAS 19 liabilities (bn) | £ 3.6 |
Retirement Benefit Plan - Su129
Retirement Benefit Plan - Summary of Fair Value of Assets of BTPS Analysed by Asset Category (Detail) - At Fair Value [Member] - BT Pension Scheme [Member] - GBP (£) £ in Billions | Mar. 31, 2018 | Mar. 31, 2017 | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 49.9 | £ 50.1 | ||
of which quoted £bn | [1] | £ 29.7 | £ 28.3 | [2] | |
Total | [1] | 100.00% | [2] | 100.00% | |
Private Equity [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 1.9 | £ 1.9 | ||
Total | [1] | 4.00% | [2] | 4.00% | |
UK Equity [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 0.5 | £ 0.7 | ||
of which quoted £bn | [1] | £ 0.5 | £ 0.6 | [2] | |
Total | [1] | 1.00% | [2] | 2.00% | |
Overseas Developed Equity [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 7.8 | £ 9.1 | ||
of which quoted £bn | [1] | £ 7.3 | £ 8.6 | [2] | |
Total | [1] | 16.00% | [2] | 18.00% | |
Emerging Markets Equity [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 0.5 | £ 0.5 | ||
of which quoted £bn | [1] | £ 0.4 | £ 0.1 | [2] | |
Total | [1] | 1.00% | [2] | 1.00% | |
UK Property [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 3.9 | £ 4.1 | ||
Total | [1] | 8.00% | [2] | 8.00% | |
Overseas Property [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 1.2 | £ 1.7 | ||
Total | [1] | 2.00% | [2] | 3.00% | |
Absolute Return [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1],[3] | £ 1.5 | £ 2.3 | ||
Total | [1],[3] | 3.00% | [2] | 5.00% | |
Non Core Credit [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1],[4] | £ 3.4 | £ 3.5 | ||
of which quoted £bn | [1],[4] | £ 1 | £ 1.1 | [2] | |
Total | [1],[4] | 7.00% | [2] | 7.00% | |
Mature Infrastructure [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 1.4 | £ 1.7 | ||
Total | [1] | 3.00% | [2] | 3.00% | |
UK Index Linked Government Bonds [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 12.5 | £ 12.3 | ||
of which quoted £bn | [1] | £ 12.5 | £ 12 | [2] | |
Total | [1] | 25.00% | [2] | 25.00% | |
Global Investment Grade Credit [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 10 | £ 7.6 | ||
of which quoted £bn | [1] | £ 8 | £ 5.9 | [2] | |
Total | [1] | 20.00% | [2] | 15.00% | |
Cash Balances [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1] | £ 3.8 | £ 1.7 | ||
Total | [1] | 7.00% | [2] | 3.00% | |
Longevity Insurance Contract [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1],[5] | £ (0.4) | £ (0.3) | ||
Total | [1],[5] | (1.00%) | [2] | (1.00%) | |
Other Non-physical Cash [Member] | |||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||
Total assets £bn | [1],[6] | £ 1.9 | £ 3.3 | ||
Total | [1],[6] | 4.00% | [2] | 7.00% | |
[1] | a At 31 March 2018, the Scheme’s assets included equity issued by the group of £3m (2016/17: £nil) . The Scheme also held £10m (2016/17: £10m) of index-linked bonds issued by the group. | ||||
[2] | Assets with a quoted price in an active market. | ||||
[3] | This allocation seeks to generate returns irrespective of the direction of markets. Managers within this allocation will typically manage their portfoilios without close regard to a specific market benchmark. | ||||
[4] | This allocation includes a range of credit investments, including emerging market, sub-investment grade and unrated credit. The allocation seeks to exploit investment opportunities within credit markets using the expertise of a range of specialist investment managers. | ||||
[5] | The Trustee has hedged some of the Scheme’s longevity risk through a longevity insurance contract which was entered into in 2014. The value reflects experience to date on the contract from higher than expected deaths. This amount partly offsets a reduction recognised in the Scheme’s liabilities. | ||||
[6] | Non-physical cash includes offsets in future positions and cash collateral posted in relation to derivatives held by the Scheme. |
Retirement Benefit Plan - Su130
Retirement Benefit Plan - Summary of Fair Value of Assets of BTPS Analysed by Asset Category (Parenthetical) (Detail) - BT Pension Scheme [Member] - GBP (£) | Mar. 31, 2018 | Mar. 31, 2017 |
Disclosure Of Defined Benefit Plans [Line Items] | ||
Ordinary shares held under scheme | £ 3,000,000 | £ 0 |
Index-linked bonds held under scheme | £ 10,000,000 | £ 10,000,000 |
Retirement Benefit Plan - Su131
Retirement Benefit Plan - Summary of Approach Used to Set the Key IAS 19 Assumptions (Detail) - BT Pension Scheme [Member] | 12 Months Ended |
Mar. 31, 2018 | |
Actuarial Assumption of Discount Rates [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Approach used to set key IAS 19 assumptions | IAS 19 requires that the discount rate is determined by reference to market yields at the reporting date on high quality corporate bonds. The currency and term of these should be consistent with the currency and estimated term of the pension obligations. The assumption is calculated by applying the projected BTPS benefit cash flows to a corporate bond yield curve constructed based on the yield on AA-rated corporate bonds. In setting the yield curve, judgement is required on the selection of appropriate bonds to be included in the universe and the approach used to then derive the yield curve. At 31 March 2018, the discount rate model used to select bonds and derive the yield curve was updated to better reflect yields on corporate bonds over the life of the Scheme. A key difference is that the revised model excludes bonds which have either an implicit or explicit Government guarantee, which is more consistent with the requirements of IAS19, and reflects developing practice. Both the old and revised models are standard models developed by our external actuary. The impact of this change is a £2.1bn reduction in the BTPS liabilities. |
Actuarial Assumption of Expected Rates Off Retail Prices Index Inflation [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Approach used to set key IAS 19 assumptions | The RPI inflation assumption is set using the entire inflation curve, weighted by projected BTPS benefit cash flows, and making an adjustment for an inflation risk premium (to reflect the extra premium paid by investors for inflation protection), which is currently assumed to be 20bps. |
Actuarial Assumption of Expected Rates of Consumer Prices Index Inflation [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Approach used to set key IAS 19 assumptions | CPI is assessed at a margin below RPI taking into account market forecasts and independent estimates of the expected difference. |
Actuarial Assumption of Expected Rates of Salary Increases [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Approach used to set key IAS 19 assumptions | Long-term salary increases for BTPS members are assumed to be equal to CPI inflation. |
Actuarial Assumption of Expected Rates of Pension Increases [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Approach used to set key IAS 19 assumptions | Benefits are assumed to increase in line with the RPI or CPI inflation assumptions, based on the relevant index for increasing benefits, as prescribed by the rules of the BTPS and summarised above. |
Actuarial Assumption of Mortality Rates [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Approach used to set key IAS 19 assumptions | The longevity assumption has been updated to take into account: – the actual mortality experience of the BTPS pensioners, based on a formal review conducted at the 2014 triennial funding valuation – future improvements in longevity based on a model published by UK actuarial profession’s Continuous Mortality Investigation (using the CMI 2016 Mortality Projections model with a 1.25% per year long-term improvement parameter). |
Retirement Benefit Plan - Su132
Retirement Benefit Plan - Summary of Approach Used to Set the Key IAS 19 Assumptions (Parenthetical) (Detail) £ in Billions | 12 Months Ended |
Mar. 31, 2018GBP (£) | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Mortality Projections model, long-term improvement parameter, per year | 1.25% |
BT Pension Scheme [Member] | |
Disclosure Of Defined Benefit Plans [Line Items] | |
Reduction in liabilities | £ 2.1 |
Retirement Benefit Plan - Su133
Retirement Benefit Plan - Summary of Key Financial Assumptions Used to Measure Liabilities of BTPS (Detail) | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Real Rates [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Rate used to discount liabilities | (0.44%) | (0.78%) | 0.44% |
Real Rates [Member] | Consumer Price Index [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Inflation – increase | (1.10%) | (1.20%) | (1.20%) |
Nominal Rates [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Rate used to discount liabilities | 2.65% | 2.40% | 3.30% |
Nominal Rates [Member] | Retail Price Index [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Inflation – increase | 3.10% | 3.20% | 2.85% |
Nominal Rates [Member] | Consumer Price Index [Member] | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
Inflation – increase | 2.00% | 2.00% | 1.65% |
Retirement Benefit Plan - Su134
Retirement Benefit Plan - Summary of Key Financial Assumptions Used to Measure Liabilities of BTPS (Parenthetical) (Detail) | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Defined Benefit Plans [Abstract] | |||
Maximum assumed real rate | 0.10% | 0.50% | 0.20% |
Retirement Benefit Plan - Su135
Retirement Benefit Plan - Summary of Forecast Life Expectancies for BTPS Members Aged 60 (Detail) - yr | Mar. 31, 2018 | Jun. 30, 2017 | Mar. 31, 2017 | Jun. 30, 2014 |
Male in Lower Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Number of years | 25.8 | 25.9 | 26.2 | 26.1 |
Male in Medium Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Number of years | 27.1 | 27.2 | 27.5 | 27.5 |
Male in Higher Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Number of years | 28.5 | 28.6 | 28.9 | 29 |
Female in Lower Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Number of years | 28.5 | 28.6 | 28.9 | 28.9 |
Female in Higher Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Number of years | 28.7 | 28.9 | 29.2 | 29.2 |
Average Improvement for a Member Retiring at Age 60 in 10 Years Time [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Number of years | 0.7 | 0.9 | 1 | 1.3 |
Retirement Benefit Plans - Summ
Retirement Benefit Plans - Summary of Assessed Potential Negative Impact of Key Risk (Detail) | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure Of Defined Benefit Plans [Abstract] | ||
Fall in discount rate | 1.10% | 1.00% |
Increase to inflation rate | 0.70% | 0.90% |
Increase to life expectancy | 1 year 4 months 6 days | 1 year 4 months 6 days |
Retirement Benefit Plan - Su137
Retirement Benefit Plan - Summary of Two Most Recent Triennial Valuations (Detail) - BTPS [Member] - GBP (£) £ in Billions | Jun. 30, 2017 | Jun. 30, 2014 |
Disclosure Of Defined Benefit Plans [Line Items] | ||
BTPS liabilities | £ (60.4) | £ (47.2) |
Market value of BTPS assets | 49.1 | 40.2 |
Funding deficit | £ (11.3) | £ (7) |
Percentage of accrued benefits covered by BTPS assets at the valuation date | 81.30% | 85.20% |
Percentage of accrued benefits on a solvency basis covered by the BTPS assets at the valuation date | 62.20% | 63.00% |
Retirement Benefit Plan - Su138
Retirement Benefit Plan - Summary of Prudent Long-Term Assumptions (Detail) | Jun. 30, 2017 | Jun. 30, 2014 |
Nominal Rates [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Average single equivalent discount rate | 2.60% | 4.50% |
Average long-term increase in RPI | 3.40% | 3.50% |
Average long-term increase in CPI | 2.40% | 2.50% |
Real Rates [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Average single equivalent discount rate | (0.80%) | 1.00% |
Average long-term increase in CPI | (1.00%) | (1.00%) |
Retirement Benefit Plan - Su139
Retirement Benefit Plan - Summary of Average Life Expectancies for Members Aged 60 (Detail) - yr | Mar. 31, 2018 | Jun. 30, 2017 | Mar. 31, 2017 | Jun. 30, 2014 |
Male in Lower Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Assumptions | 25.8 | 25.9 | 26.2 | 26.1 |
Male in Medium Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Assumptions | 27.1 | 27.2 | 27.5 | 27.5 |
Male in Higher Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Assumptions | 28.5 | 28.6 | 28.9 | 29 |
Female in Lower Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Assumptions | 28.5 | 28.6 | 28.9 | 28.9 |
Female in Higher Pay Bracket [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Assumptions | 28.7 | 28.9 | 29.2 | 29.2 |
Average Improvement for a Member Retiring at Age 60 in 10 Years Time [Member] | ||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||
Assumptions | 0.7 | 0.9 | 1 | 1.3 |
Retirement Benefit Plan - Su140
Retirement Benefit Plan - Summary of Payments Made to BTPS (Detail) - BTPS [Member] - GBP (£) £ in Millions | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure Of Defined Benefit Plans [Line Items] | ||
Ordinary contributions | £ 248 | £ 303 |
Deficit contributions | 850 | 250 |
Total contributions in the year | £ 1,098 | £ 553 |
Retirement Benefit Plans - Sche
Retirement Benefit Plans - Schedule of Future Deficit Payments to BTPS (Detail) £ in Millions | 12 Months Ended |
Mar. 31, 2018GBP (£) | |
2018 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | £ 850 |
2019 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 2,000 |
2020 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 1,250 |
2021 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 900 |
2022 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 900 |
2023 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 907 |
2024 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 907 |
2025 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 907 |
2026 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 907 |
2027 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 907 |
2028 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 907 |
2029 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | 907 |
2030 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution (£m) | £ 907 |
Retirement Benefit Plans - S142
Retirement Benefit Plans - Schedule of Future Deficit Payments to BTPS (Parenthetical) (Detail) £ in Millions | 12 Months Ended |
Mar. 31, 2018GBP (£) | |
2020 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution payable amount | £ 400 |
2021 [Member] | |
Disclosure of defined benefit plans [Line Items] | |
Deficit contribution payable amount | £ 200 |
Share-Based Payments - Summary
Share-Based Payments - Summary of Plans and Analysis of Total Charge by Type of Award (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share/Save Plans | £ 84 | £ 57 | £ 58 |
Employee Saveshare Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share/Save Plans | 42 | 40 | 27 |
Incentive Share Plan [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share/Save Plans | 16 | 21 | |
Deferred Bonus Plan [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share/Save Plans | 4 | 9 | 4 |
Retention Share Plan [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share/Save Plans | 21 | £ 8 | 1 |
Other Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share/Save Plans | £ 1 | £ 5 |
Share-Based Payments - Addition
Share-Based Payments - Additional Information (Detail) | 12 Months Ended | ||
Mar. 31, 2018GBP (£)yr | Mar. 31, 2017GBP (£) | Mar. 31, 2016GBP (£) | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share-based arrangements, term (in years) | yr | 3 | ||
Share-based awards, awards grant date | in 2017/18, 2016/17 and 2015/16 | ||
Percentage of each award linked to total shareholder return | 40.00% | ||
Percentage of each award linked to three-year cumulative free cash flow measure | 40.00% | ||
Percentage of growth in underlying revenue excluding transit | 20.00% | ||
Cumulative period for free cash flow measure | 3 years | ||
Weighted average share price | £ 3.11 | £ 3.57 | £ 4.63 |
Options pricing model | Binomial options pricing model | ||
Options pricing model, valuation method | Monte Carlo simulations | ||
Share-based awards, performance period | three-year | ||
Share-based awards, expected life after vesting date | 3 months | ||
Employee Saveshare Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Savings-related share option plan saving period basis | Monthly | ||
Share-based awards, term | Over a three or five-year period | ||
Share-based awards, exercise period | 6 months | ||
Weighted average share price | £ 2.96 | 4.22 | 4.54 |
Employee Saveshare Plans [Member] | Bottom of Range [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share-based arrangements, term (in years) | yr | 3 | ||
Employee Saveshare Plans [Member] | Top of Range [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Share-based arrangements, term (in years) | yr | 5 | ||
Employee Saveshare Plans [Member] | Five Year Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Percentage of discount set to market price | 20.00% | ||
Employee Saveshare Plans [Member] | Three Year Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Percentage of discount set to market price | 10.00% | ||
Deferred Bonus Plan [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Weighted average share price | £ 2.82 | 4.21 | 4.51 |
Retention Share Plan [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Weighted average share price | £ 2.82 | £ 4.17 | £ 4.20 |
Share-Based Payments - Summa145
Share-Based Payments - Summary of Movements in Employee Saveshare Options - Movement in Number of Share Options(Detail) - Option Option in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Outstanding at 31 March | 175 | ||
Employee Saveshare Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Outstanding at 1 April | 189 | 197 | 226 |
Granted | 69 | 44 | 47 |
Forfeited | (41) | (18) | (12) |
Exercised | (30) | (33) | (63) |
Expired | (12) | (1) | (1) |
Outstanding at 31 March | 175 | 189 | 197 |
Share-Based Payments - Summa146
Share-Based Payments - Summary of Movements in Employee Saveshare Options - Weighted Average Share Price (Detail) - GBP (£) | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Outstanding at 31 March | £ 3.06 | ||
Employee Saveshare Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Outstanding at 1 April | 3.13 | £ 2.87 | £ 2.26 |
Granted | 2.50 | 3.62 | 3.85 |
Forfeited | 3.28 | 3.45 | 3.06 |
Exercised | 1.69 | 2.08 | 1.39 |
Expired | 3.53 | 3.45 | 2.47 |
Outstanding at 31 March | 3.06 | 3.13 | 2.87 |
Exercisable at 31 March | £ 3.20 | £ 2.37 | £ 1.40 |
Share-Based Payments - Summaris
Share-Based Payments - Summarises Information Relating to Options Outstanding and Exercisable Under Employee Saveshare Plans (Detail) Option in Millions | Mar. 31, 2018GBP (£)Optionmo |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Weighted average exercise price | £ 3.06 |
Number of outstanding options | Option | 175 |
Weighted average remaining contractual life | mo | 33 |
2018 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Weighted average exercise price | £ 3.06 |
Number of outstanding options | Option | 25 |
Weighted average remaining contractual life | mo | 10 |
2018 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Weighted average exercise price | £ 3.33 |
Number of outstanding options | Option | 53 |
Weighted average remaining contractual life | mo | 22 |
2019 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Weighted average exercise price | £ 3.07 |
Number of outstanding options | Option | 44 |
Weighted average remaining contractual life | mo | 34 |
2020 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Weighted average exercise price | £ 3.53 |
Number of outstanding options | Option | 17 |
Weighted average remaining contractual life | mo | 46 |
2021 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Weighted average exercise price | £ 2.43 |
Number of outstanding options | Option | 36 |
Weighted average remaining contractual life | mo | 58 |
Bottom of Range [Member] | 2018 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | £ 2.49 |
Bottom of Range [Member] | 2018 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | 3.19 |
Bottom of Range [Member] | 2019 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | 2.43 |
Top of Range [Member] | 2018 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | 4.23 |
Top of Range [Member] | 2018 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | 3.97 |
Top of Range [Member] | 2019 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | 3.76 |
Top of Range [Member] | 2020 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | 3.53 |
Top of Range [Member] | 2021 [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
Exercise price per share | £ 2.43 |
Share-Based Payments - Summa148
Share-Based Payments - Summary of Movements in Executive Share Plan Awards (Detail) shares in Millions, Instrument in Millions | 12 Months Ended |
Mar. 31, 2018Instrumentshares | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
At 1 April 2017 | 56 |
Awards granted | 38 |
Awards vested | (5) |
Awards lapsed | (21) |
Dividend shares reinvested | shares | 4 |
At 31 March 2018 | 72 |
Incentive Share Plan [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
At 1 April 2017 | 45 |
Awards granted | 26 |
Awards lapsed | (20) |
Dividend shares reinvested | shares | 3 |
At 31 March 2018 | 54 |
Deferred Bonus Plan [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
At 1 April 2017 | 7 |
Awards granted | 2 |
Awards vested | (3) |
At 31 March 2018 | 6 |
Retention Share Plan [Member] | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |
At 1 April 2017 | 4 |
Awards granted | 10 |
Awards vested | (2) |
Awards lapsed | (1) |
Dividend shares reinvested | shares | 1 |
At 31 March 2018 | 12 |
Share-Based Payments - Summa149
Share-Based Payments - Summary of Fair Values and Key Assumptions Used for Valuing Grants Made Under Employee Saveshare Plans and ISP (Detail) - GBP (£) | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Weighted average share price | £ 3.11 | £ 3.57 | £ 4.63 |
Employee Saveshare Plans [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Weighted average fair value | 0.56 | 0.72 | 0.81 |
Weighted average share price | 2.96 | 4.22 | 4.54 |
Weighted average exercise price | £ 250 | £ 362 | £ 385 |
Employee Saveshare Plans [Member] | Bottom of Range [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Expected dividend yield | 3.12% | 2.90% | 3.20% |
Risk free rates | 0.10% | 0.50% | 0.70% |
Expected volatility | 23.10% | 19.00% | 19.70% |
Employee Saveshare Plans [Member] | Top of Range [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Expected dividend yield | 3.21% | 3.40% | 3.70% |
Risk free rates | 0.20% | 0.80% | 1.60% |
Expected volatility | 24.30% | 21.50% | 22.70% |
Incentive Share Plan [Member] | |||
Disclosure of terms and conditions of share-based payment arrangement [Line Items] | |||
Weighted average fair value | £ 2.02 | £ 3.28 | £ 3.64 |
Weighted average share price | £ 2.81 | £ 4.26 | £ 4.51 |
Risk free rates | 0.20% | 0.60% | 0.70% |
Expected volatility | 23.60% | 21.80% | 22.00% |
Investments - Summary of Invest
Investments - Summary of Investments (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Non-current assets | |||
Available-for-sale | £ 46 | £ 37 | £ 39 |
Non-current assets | 13,354 | 11,606 | 11,965 |
Fair value through profit or loss | 7 | 7 | 7 |
Current assets | |||
Available-for-sale | 2,575 | 1,437 | 2,878 |
Current assets | 3,224 | 1,740 | 3,271 |
Loans and receivables | 447 | 83 | 40 |
Ultimate Parent Company [Member] | |||
Non-current assets | |||
Non-current assets | 2,983 | 1,371 | 1,409 |
Current assets | |||
Current assets | 34 | 28 | 26 |
British Telecommunications plc [Member] | |||
Non-current assets | |||
Non-current assets | 10,318 | 10,191 | 10,510 |
Current assets | |||
Current assets | £ 168 | £ 192 | £ 327 |
Investments - Additional Inform
Investments - Additional Information (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of investment [line items] | |||
Available-for-sale investments | £ 2,621 | £ 1,474 | £ 2,917 |
Level 2 [Member] | |||
Disclosure of investment [line items] | |||
Available-for-sale investments | 2,575 | 1,437 | 2,878 |
Level 3 [Member] | |||
Disclosure of investment [line items] | |||
Available-for-sale investments | 14 | 16 | 15 |
Sterling [Member] | |||
Disclosure of investment [line items] | |||
Investments in term deposits denominated in currencies | 416 | 35 | 10 |
Sterling [Member] | Level 2 [Member] | |||
Disclosure of investment [line items] | |||
Available-for-sale investments | 2,180 | 900 | 2,430 |
USD [Member] | |||
Disclosure of investment [line items] | |||
Investments in term deposits denominated in currencies | 27 | 30 | 30 |
Other Currencies [Member] | |||
Disclosure of investment [line items] | |||
Investments in term deposits denominated in currencies | 4 | 18 | |
Euros [Member] | Level 2 [Member] | |||
Disclosure of investment [line items] | |||
Available-for-sale investments | £ 395 | £ 537 | £ 448 |
Investments - Fair Value Hierar
Investments - Fair Value Hierarchy of Investments (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Non-current and current investments | |||
Available-for-sale investments | £ 2,621 | £ 1,474 | £ 2,917 |
Fair value through profit or loss | 7 | 7 | 7 |
Total | 2,628 | 1,481 | 2,924 |
Level 1 [Member] | |||
Non-current and current investments | |||
Available-for-sale investments | 32 | 21 | 24 |
Fair value through profit or loss | 7 | 7 | 7 |
Total | 39 | 28 | 31 |
Level 2 [Member] | |||
Non-current and current investments | |||
Available-for-sale investments | 2,575 | 1,437 | 2,878 |
Total | 2,575 | 1,437 | 2,878 |
Level 3 [Member] | |||
Non-current and current investments | |||
Available-for-sale investments | 14 | 16 | 15 |
Total | £ 14 | £ 16 | £ 15 |
Cash and Cash Equivalents - Sum
Cash and Cash Equivalents - Summary of Cash and Cash Equivalents (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2015 | |
Disclosure of cash and cash equivalents [line items] | |||||
Cash at bank and in hand | £ 439 | £ 467 | £ 893 | ||
Loans and receivables | |||||
Total cash equivalents | 82 | 59 | 96 | ||
Total cash and cash equivalents | 521 | 526 | 989 | ||
Bank overdrafts | (29) | (17) | (537) | ||
Cash and cash equivalents per the cash flow statement | [1] | 492 | 509 | 452 | £ 402 |
US Deposits [Member] | |||||
Loans and receivables | |||||
Other deposits | 26 | 32 | 44 | ||
UK Deposits [Member] | |||||
Loans and receivables | |||||
Other deposits | 31 | 1 | 20 | ||
Other Deposits [Member] | |||||
Loans and receivables | |||||
Other deposits | £ 25 | £ 26 | £ 32 | ||
[1] | Net of bank overdrafts of £29m (2016/17: £17m, 2015/16: £537m). |
Cash and Cash Equivalents - Add
Cash and Cash Equivalents - Additional Information (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Cash and Cash Equivalents [Line Items] | |||
Restricted cash | £ 32 | £ 43 | £ 51 |
Held In Countries Prevent From Accessing Cash Balance [Member] | |||
Cash and Cash Equivalents [Line Items] | |||
Restricted cash | 29 | 41 | 44 |
Held in Escrow Accounts or in Commercial Arrangements [Member] | |||
Cash and Cash Equivalents [Line Items] | |||
Restricted cash | £ 3 | £ 2 | £ 7 |
Loans and Other Borrowings - Su
Loans and Other Borrowings - Summary of Key Components of External Gross Debt (Detail) £ in Millions | 12 Months Ended |
Mar. 31, 2018GBP (£) | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
At 1 April 2017 £m | £ 10,980 |
Issuance/ (maturities) £m | 2,175 |
Foreign exchange £m | 10 |
Accrued interest movements £m | 10 |
At 31 March 2018 £m | 13,175 |
2018 [Member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
At 1 April 2017 £m | 2,632 |
Issuance/ (maturities) £m | (1,401) |
Fair value movements £m | (18) |
Foreign exchange £m | (95) |
Transfer to within one year £m | 1,163 |
At 31 March 2018 £m | 2,281 |
Over 12 Months [Member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
At 1 April 2017 £m | 10,081 |
Issuance/ (maturities) £m | 3,760 |
Fair value movements £m | (60) |
Foreign exchange £m | (440) |
Transfer to within one year £m | (1,347) |
At 31 March 2018 £m | 11,994 |
Cash Flows From Derivatives Related to Net Debt [Member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
Issuance/ (maturities) £m | (188) |
Transfer to within one year £m | 188 |
Overdrafts [Member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
Issuance/ (maturities) £m | 4 |
Transfer to within one year £m | (4) |
Impact of Cross-currency Swaps [Member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
At 1 April 2017 £m | (1,419) |
Foreign exchange £m | 545 |
At 31 March 2018 £m | (874) |
Removal of the Accrued Interest and Fair Value [Member] | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |
At 1 April 2017 £m | (314) |
Fair value movements £m | 78 |
Accrued interest movements £m | 10 |
At 31 March 2018 £m | £ (226) |
Loans and Other Borrowings -156
Loans and Other Borrowings - Summary of Reconciliation From Most Directly Comparable IFRS Measure to Net Debt (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | £ 13,491 | £ 11,405 | £ 12,457 |
Finance leases | 223 | 229 | 233 |
Acquisition facility | 181 | ||
Other loans | 532 | 710 | 561 |
Bank overdrafts (note 22) | 29 | 17 | 537 |
Amounts due to ultimate company | 1,061 | 1,183 | 1,024 |
Total other loans and borrowings | 1,622 | 2,262 | 3,095 |
Total loans and borrowings | 15,336 | 13,896 | 15,785 |
1.625% Bond Due June 2016 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 419 | ||
8.50% Bond Due December 2016 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 696 | ||
3.5% Bond Due February 2017 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 398 | ||
1.25% Bond Due February 2017 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 348 | ||
6.625% Bond Due June 2017 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 526 | 525 | |
5.95% Bond Due January 2018 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 891 | 775 | |
3.25% Bond Due August 2018 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 541 | 539 | 510 |
2.35% Bond Due February 2019 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 572 | 642 | 558 |
4.38% Bond Due March 2019 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 455 | 460 | 464 |
1.125% Bond Due June 2019 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 883 | 863 | 800 |
8.625% Bond Due March 2020 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 300 | 300 | 300 |
0.625% Bond Due March 2021 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 1,309 | 1,282 | 1,190 |
0.5% Bond Due June 2022 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 502 | ||
1.125% Bond Due March 2023 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 961 | 942 | 873 |
1% Bond Due June 2024 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 506 | ||
1% Bond Due November 2024 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 959 | ||
3.50% Index Linked Bond Due April 2025 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 419 | 403 | 396 |
1.75% Bond Due March 2026 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 1,137 | 1,113 | 1,032 |
1.5% Bond Due June 2027 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 1,009 | ||
5.75% Bond Due December 2028 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 721 | 731 | 741 |
9.125% Bond Due December 2030 (Minimum 8.625%) [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 1,943 | 2,191 | 1,910 |
3.125% Bond Due November 2031 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 502 | ||
6.375% Bond Due June 2037 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | 522 | 522 | 522 |
3.625% bond due November 2047 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total listed bonds | £ 250 | ||
LIBOR Plus 0.95% Syndicated Loan Facilities Due April 2016 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Loan due | 438 | ||
2.21% Bank Loan Due December 2017 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Loan due | £ 352 | £ 354 |
Loans and Other Borrowings -157
Loans and Other Borrowings - Summary of Reconciliation From Most Directly Comparable IFRS Measure to Net Debt (Parenthetical) (Detail) € in Millions, £ in Millions, $ in Millions | 12 Months Ended | ||||||||
Mar. 31, 2018GBP (£) | Mar. 31, 2017GBP (£) | Mar. 31, 2016GBP (£) | Mar. 31, 2018USD ($) | Mar. 31, 2018EUR (€) | Mar. 31, 2017USD ($) | Mar. 31, 2017EUR (€) | Mar. 31, 2016USD ($) | Mar. 31, 2016EUR (€) | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Upgrade rating percentage | 0.25% | ||||||||
Downgrade rating percentage | 0.25% | ||||||||
1.625% Bond Due June 2016 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | $ | $ 600 | ||||||||
Loans and borrowings, interest rate | 1.625% | 1.625% | 1.625% | ||||||
Loans and borrowings, original currency | USD | ||||||||
Loans and borrowings, maturity | June 2,016 | ||||||||
8.50% Bond Due December 2016 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 678 | ||||||||
Loans and borrowings, interest rate | 8.50% | 8.50% | 8.50% | ||||||
Loans and borrowings, original currency | GBP | ||||||||
Loans and borrowings, maturity | December 2,016 | ||||||||
8.50% Bond Due December 2016 [Member] | Bottom of Range [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, interest rate | 7.50% | 7.50% | 7.50% | ||||||
3.5% Bond Due February 2017 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 500 | ||||||||
Loans and borrowings, interest rate | 3.50% | 3.50% | 3.50% | ||||||
Loans and borrowings, original currency | EUR | ||||||||
Loans and borrowings, maturity | February 2,017 | ||||||||
1.25% Bond Due February 2017 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | $ | $ 500 | ||||||||
Loans and borrowings, interest rate | 1.25% | 1.25% | 1.25% | ||||||
Loans and borrowings, original currency | USD | ||||||||
Loans and borrowings, maturity | February 2,017 | ||||||||
6.625% Bond Due June 2017 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 500 | £ 500 | |||||||
Loans and borrowings, interest rate | 6.625% | 6.625% | 6.625% | 6.625% | 6.625% | 6.625% | |||
Loans and borrowings, original currency | GBP | GBP | |||||||
Loans and borrowings, maturity | June 2,017 | June 2,017 | |||||||
5.95% Bond Due January 2018 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | $ | $ 1,100 | $ 1,100 | |||||||
Loans and borrowings, interest rate | 5.95% | 5.95% | 5.95% | 5.95% | 5.95% | 5.95% | |||
Loans and borrowings, original currency | USD | USD | |||||||
Loans and borrowings, maturity | January 2,018 | January 2,018 | |||||||
3.25% Bond Due August 2018 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 600 | € 600 | € 600 | ||||||
Loans and borrowings, interest rate | 3.25% | 3.25% | 3.25% | 3.25% | 3.25% | 3.25% | 3.25% | 3.25% | 3.25% |
Loans and borrowings, original currency | EUR | EUR | EUR | ||||||
Loans and borrowings, maturity | August 2,018 | August 2,018 | August 2,018 | ||||||
2.35% Bond Due February 2019 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | $ | $ 800 | $ 800 | $ 800 | ||||||
Loans and borrowings, interest rate | 2.35% | 2.35% | 2.35% | 2.35% | 2.35% | 2.35% | 2.35% | 2.35% | 2.35% |
Loans and borrowings, original currency | USD | USD | USD | ||||||
Loans and borrowings, maturity | February 2,019 | February 2,019 | February 2,019 | ||||||
4.38% Bond Due March 2019 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 450 | £ 450 | £ 450 | ||||||
Loans and borrowings, interest rate | 4.38% | 4.38% | 4.38% | 4.38% | 4.38% | 4.38% | 4.38% | 4.38% | 4.38% |
Loans and borrowings, original currency | GBP | GBP | GBP | ||||||
Loans and borrowings, maturity | March 2,019 | March 2,019 | March 2,019 | ||||||
1.125% Bond Due June 2019 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 1,000 | € 1,000 | € 1,000 | ||||||
Loans and borrowings, interest rate | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% |
Loans and borrowings, original currency | EUR | EUR | EUR | ||||||
Loans and borrowings, maturity | June 2,019 | June 2,019 | June 2,019 | ||||||
8.625% Bond Due March 2020 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 300 | £ 300 | £ 300 | ||||||
Loans and borrowings, interest rate | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% |
Loans and borrowings, original currency | GBP | GBP | GBP | ||||||
Loans and borrowings, maturity | March 2,020 | March 2,020 | March 2,020 | ||||||
0.625% Bond Due March 2021 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 1,500 | € 1,500 | € 1,500 | ||||||
Loans and borrowings, interest rate | 0.625% | 0.625% | 0.625% | 0.625% | 0.625% | 0.625% | 0.625% | 0.625% | 0.625% |
Loans and borrowings, original currency | EUR | EUR | EUR | ||||||
Loans and borrowings, maturity | March 2,021 | March 2,021 | March 2,021 | ||||||
0.5% Bond Due June 2022 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 575 | ||||||||
Loans and borrowings, interest rate | 0.50% | 0.50% | 0.50% | ||||||
Loans and borrowings, original currency | EUR | ||||||||
Loans and borrowings, maturity | June 2,022 | ||||||||
1.125% Bond Due March 2023 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 1,100 | € 1,100 | € 1,100 | ||||||
Loans and borrowings, interest rate | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% | 1.125% |
Loans and borrowings, original currency | EUR | EUR | EUR | ||||||
Loans and borrowings, maturity | March 2,023 | March 2,023 | March 2,023 | ||||||
1% Bond Due June 2024 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 575 | ||||||||
Loans and borrowings, interest rate | 1.00% | 1.00% | 1.00% | ||||||
Loans and borrowings, original currency | EUR | ||||||||
Loans and borrowings, maturity | June 2,024 | ||||||||
1% Bond Due November 2024 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 1,100 | ||||||||
Loans and borrowings, interest rate | 1.00% | 1.00% | 1.00% | ||||||
Loans and borrowings, original currency | EUR | ||||||||
Loans and borrowings, maturity | November 2,024 | ||||||||
3.50% Index Linked Bond Due April 2025 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 250 | £ 250 | £ 250 | ||||||
Loans and borrowings, interest rate | 3.50% | 3.50% | 3.50% | 3.50% | 3.50% | 3.50% | 3.50% | 3.50% | 3.50% |
Loans and borrowings, original currency | GBP | GBP | GBP | ||||||
Loans and borrowings, maturity | April 2,025 | April 2,025 | April 2,025 | ||||||
1.75% Bond Due March 2026 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 1,300 | € 1,300 | € 1,300 | ||||||
Loans and borrowings, interest rate | 1.75% | 1.75% | 1.75% | 1.75% | 1.75% | 1.75% | 1.75% | 1.75% | 1.75% |
Loans and borrowings, original currency | EUR | EUR | EUR | ||||||
Loans and borrowings, maturity | March 2,026 | March 2,026 | March 2,026 | ||||||
1.5% Bond Due June 2027 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | € | € 1,150 | ||||||||
Loans and borrowings, interest rate | 1.50% | 1.50% | 1.50% | ||||||
Loans and borrowings, original currency | EUR | ||||||||
Loans and borrowings, maturity | June 2,027 | ||||||||
5.75% Bond Due December 2028 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 600 | £ 600 | £ 600 | ||||||
Loans and borrowings, interest rate | 5.75% | 5.75% | 5.75% | 5.75% | 5.75% | 5.75% | 5.75% | 5.75% | 5.75% |
Loans and borrowings, original currency | GBP | GBP | GBP | ||||||
Loans and borrowings, maturity | December 2,028 | December 2,028 | December 2,028 | ||||||
9.125% Bond Due December 2030 (Minimum 8.625%) [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | $ | $ 2,670 | $ 2,670 | $ 2,670 | ||||||
Loans and borrowings, interest rate | 9.125% | 9.125% | 9.125% | 9.125% | 9.125% | 9.125% | 9.125% | 9.125% | 9.125% |
Loans and borrowings, original currency | USD | USD | USD | ||||||
Loans and borrowings, maturity | December 2,030 | December 2,030 | December 2,030 | ||||||
9.125% Bond Due December 2030 (Minimum 8.625%) [Member] | Bottom of Range [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, interest rate | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% | 8.625% |
3.125% Bond Due November 2031 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 500 | £ 500 | £ 500 | ||||||
Loans and borrowings, interest rate | 3.125% | 3.125% | 3.125% | 3.125% | 3.125% | 3.125% | 3.125% | 3.125% | 3.125% |
Loans and borrowings, original currency | GBP | GBP | GBP | ||||||
Loans and borrowings, maturity | November 2,031 | November 2,031 | November 2,031 | ||||||
6.375% Bond Due June 2037 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 500 | £ 500 | £ 500 | ||||||
Loans and borrowings, interest rate | 6.375% | 6.375% | 6.375% | 6.375% | 6.375% | 6.375% | 6.375% | 6.375% | 6.375% |
Loans and borrowings, original currency | GBP | GBP | GBP | ||||||
Loans and borrowings, maturity | June 2,037 | June 2,037 | June 2,037 | ||||||
3.625% bond due November 2047 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 250 | ||||||||
Loans and borrowings, interest rate | 3.625% | 3.625% | 3.625% | ||||||
Loans and borrowings, original currency | GBP | ||||||||
Loans and borrowings, maturity | November 2,047 | ||||||||
LIBOR Plus 0.95% Syndicated Loan Facilities Due April 2016 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 438 | ||||||||
Loans and borrowings, maturity | April 2,016 | ||||||||
Loans and borrowings, LIBOR interest rate | 0.95% | 0.95% | 0.95% | ||||||
2.21% Bank Loan Due December 2017 [Member] | |||||||||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||||||||
Loans and borrowings, face amount | £ 350 | £ 350 | |||||||
Loans and borrowings, interest rate | 2.21% | 2.21% | 2.21% | 2.21% | 2.21% | 2.21% | |||
Loans and borrowings, maturity | December 2,017 | December 2,017 |
Loans and Other Borrowings - Ad
Loans and Other Borrowings - Additional Information (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Fair value of listed bonds and other long-term borrowings | £ 15,336 | £ 13,896 | £ 15,785 |
Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | 14,219 | 12,138 | 14,756 |
At Fair Value [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Fair value of listed bonds and other long-term borrowings | 14,878 | 13,496 | 14,500 |
Fair value of finance leases | £ 253 | £ 273 | £ 284 |
Loans and Other Borrowings -159
Loans and Other Borrowings - Summary Of Loans and Other Borrowings (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Current liabilities | |||
Listed bonds | £ 1,702 | £ 1,539 | £ 2,013 |
Finance leases | 18 | 15 | 8 |
Bank loans | 352 | ||
Syndicated loan facilities | 619 | ||
Other loans and bank overdrafts | 561 | 726 | 1,096 |
Amounts due to ultimate parent company | 17 | 159 | 20 |
Total current liabilities | 2,298 | 2,791 | 3,756 |
Non-current liabilities | |||
Listed bonds | 11,789 | 9,866 | 10,444 |
Finance leases | 205 | 214 | 225 |
Bank loans | 354 | ||
Other loans | 1 | 2 | |
Amounts due to ultimate parent company | 1,044 | 1,024 | 1,004 |
Total non-current liabilities | 13,038 | 11,105 | 12,029 |
Total | £ 15,336 | £ 13,896 | £ 15,785 |
Loans and Other Borrowings -160
Loans and Other Borrowings - Summary Of Loans and Other Borrowings (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Detailed Information About Borrowings [Abstract] | |||
Collateral received on swaps | £ 525 | £ 702 | £ 553 |
Loans and Other Borrowings -161
Loans and Other Borrowings - Summary of Principal Repayments of Loans and Other Borrowings (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | £ 13,038 | £ 11,105 | £ 12,029 |
Total | 15,336 | 13,896 | 15,785 |
Carrying Amount [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Within one year, or on demand | 2,289 | 2,791 | 3,756 |
Total | 15,263 | 13,746 | 15,606 |
Fair value adjustments | 73 | 150 | 179 |
Total loans and other borrowings | 15,336 | 13,896 | 15,785 |
Effect Of Hedging And Interest | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Within one year, or on demand | (308) | (523) | (252) |
Total | (1,044) | (1,608) | (850) |
Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Within one year, or on demand | 1,981 | 2,268 | 3,504 |
Total | 14,219 | 12,138 | 14,756 |
2018 [Member] | Carrying Amount [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 1,192 | 1,614 | 1,632 |
2018 [Member] | Effect Of Hedging And Interest | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | (66) | (197) | (216) |
2018 [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 1,126 | 1,417 | 1,416 |
2019 [Member] | Carrying Amount [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 1,332 | 1,166 | 1,488 |
2019 [Member] | Effect Of Hedging And Interest | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | (154) | (43) | (72) |
2019 [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 1,178 | 1,123 | 1,416 |
2020 [Member] | Carrying Amount [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 18 | 1,295 | 1,103 |
2020 [Member] | Effect Of Hedging And Interest | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | (121) | 18 | |
2020 [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 18 | 1,174 | 1,121 |
2021 [Member] | Carrying Amount [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 1,489 | 12 | 1,199 |
2021 [Member] | Effect Of Hedging And Interest | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | (111) | (26) | |
2021 [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 1,378 | 12 | 1,173 |
2023 [Member] | Carrying Amount [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 8,943 | 6,868 | 6,428 |
2023 [Member] | Effect Of Hedging And Interest | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | (405) | (724) | (302) |
2023 [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 8,538 | 6,144 | 6,126 |
Over 12 Months [Member] | Carrying Amount [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | 12,974 | 10,955 | 11,850 |
Over 12 Months [Member] | Effect Of Hedging And Interest | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | (736) | (1,085) | (598) |
Over 12 Months [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Total due for repayment after more than one year | £ 12,238 | £ 9,870 | £ 11,252 |
Loans and Other Borrowings -162
Loans and Other Borrowings - Summary of Obligations Under Finance Leases (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Amounts payable under finance leases | £ 348 | £ 368 | £ 383 |
Less: future finance charges | (129) | (139) | (150) |
Fair value adjustments for purchase price adjustment | 4 | ||
Total finance lease obligations | 223 | 229 | 233 |
Repayment of outstanding lease obligations | 219 | 229 | 233 |
Fair value adjustments for purchase price adjustment | 4 | ||
Total finance lease obligations | 223 | 229 | 233 |
2018 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Amounts payable under finance leases | 33 | 29 | 13 |
Repayment of outstanding lease obligations | 18 | 14 | 8 |
Between Two and Five Years [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Amounts payable under finance leases | 122 | 102 | 105 |
Repayment of outstanding lease obligations | 71 | 50 | 51 |
2023 [Member] | |||
Disclosure Of Detailed Information About Borrowings [Line Items] | |||
Amounts payable under finance leases | 193 | 237 | 265 |
Repayment of outstanding lease obligations | £ 130 | £ 165 | £ 174 |
Finance Expense - Summary of Fi
Finance Expense - Summary of Finance Expense and Income (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Interest on: | |||
Financial liabilities at amortised cost and associated derivatives | £ 478 | £ 567 | £ 489 |
Finance leases | 16 | 15 | 14 |
Derivatives | 14 | 12 | 11 |
Fair value movements on derivatives not in a designated hedge relationship | 1 | (2) | (5) |
Reclassification of cash flow hedge from other comprehensive income | 34 | (1) | 3 |
Unwinding of discount on provisions | 15 | 16 | 8 |
Interest payable on ultimate parent company borrowings | 18 | 25 | 20 |
Total finance expense | 794 | 842 | 769 |
Specific items | 218 | 210 | 229 |
Interest on available-for-sale investments | 5 | 6 | 8 |
Interest on loans and receivables | 7 | 7 | 6 |
Other interest and similar income | 23 | ||
Interest income on loans to immediate and ultimate parent company | 203 | 219 | 352 |
Total finance income | 215 | 232 | 389 |
Net finance expense | 579 | 610 | 380 |
Before Specific Items [Member] | |||
Interest on: | |||
Total finance expense | 576 | 632 | 540 |
Total finance income | 215 | 232 | 389 |
Net finance expense | £ 361 | £ 400 | £ 151 |
Financial Instruments and Ri164
Financial Instruments and Risk Management - Additional Information (Detail) - GBP (£) | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Minimum percentage of fixed rate debt on total debt | 70.00% | ||
Description of reasonable benchmarks for performing sensitivity analysis | For interest, a 1% increase in interest rates and parallel shift in yield curves across Sterling, US Dollar and Euro currencies. – For foreign exchange, a 10% strengthening/weakening in Sterling against other currencies. | ||
Percentage of reasonably possible increase in interest rate assumption | 1.00% | ||
Percentage of reasonably possible increase decrease in Sterling against other currencies | 10.00% | ||
Impact on net annual finance expense due to a 1% change in interest rate | £ 143,000,000 | £ 108,000,000 | £ 123,000,000 |
Percentage of interest accrued | 0.25% | ||
Notional value of debt outstanding | £ 1,900,000,000 | ||
Expected change in financial expenses | 10,000,000 | ||
Term debt | 2,298,000,000 | 2,791,000,000 | 3,756,000,000 |
Energy Derivative Contract [Member] | Designated in a Cash Flow Hedge [Member] | |||
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Loss on energy contract deferred | 8,000,000 | ||
Fair value of the energy derivative | 1,000,000 | 8,000,000 | 0 |
Currency Swap Contract and Interest Rate Swap [Member] | Credit Support Agreements [Member] | |||
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Fair value notional amount | 3,162,000,000 | ||
Net cash inflow from netting and credit support agreements | 220,000,000 | 100,000,000 | 79,000,000 |
Individually Insignificant Counterparties [Member] | |||
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Cash collateral held | 492,000,000 | 702,000,000 | 553,000,000 |
Non-Financial Assets [Member] | |||
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Non-current trade and other receivables | 317,000,000 | 360,000,000 | 218,000,000 |
Prepayments and Other Receivables [Member] | |||
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Non-current trade and other receivables | 1,496,000,000 | 1,106,000,000 | 1,103,000,000 |
Debt Maturing in September 2021 [Member] | |||
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Undrawn committed borrowing facilities | £ 2,100,000,000 | £ 2,100,000,000 | £ 1,500,000,000 |
Debt maturity | September 2,021 | ||
2018 [Member] | |||
Disclosure of Nature and Extent of Risks Arising From Financial Instruments [Line Items] | |||
Term debt | £ 1,600,000,000 |
Financial Instruments and Ri165
Financial Instruments and Risk Management - Summary of Currency and Interest Rate Profile of Loans and Borrowings (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure of credit risk exposure [Line Items] | |||
Ratio of fixed to floating | 100.00% | 100.00% | 100.00% |
Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | £ 14,219 | £ 12,138 | £ 14,756 |
Sterling [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | 13,710 | 11,497 | 14,169 |
Euros [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | £ 509 | £ 641 | £ 587 |
Fixed Interest Rate [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Ratio of fixed to floating | 84.00% | 79.00% | 77.00% |
fixed interest rate – Sterling | 4.40% | 4.90% | 6.00% |
Fixed Interest Rate [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | £ 11,990 | £ 9,633 | £ 11,417 |
Fixed Interest Rate [Member] | Sterling [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | £ 11,990 | £ 9,633 | £ 11,417 |
Floating Interest Rate [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Ratio of fixed to floating | 16.00% | 21.00% | 23.00% |
Floating Interest Rate [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | £ 2,229 | £ 2,505 | £ 3,339 |
Floating Interest Rate [Member] | Sterling [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | 1,720 | 1,864 | 2,752 |
Floating Interest Rate [Member] | Euros [Member] | Principal Repayment at Hedged Rates [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Principal repayments of loans and borrowings at hedged rate | £ 509 | £ 641 | £ 587 |
Financial Instruments and Ri166
Financial Instruments and Risk Management - Summary of Impact on Equity, Before Tax, of a 1% Increase in Interest (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Sterling Interest Rates [Member] | |||
Disclosure Of Foreign Currency Exchange Exposure [Line Items] | |||
Interest rate increase (reduce) | £ 628 | £ 554 | £ 626 |
US Dollar Interest Rates [Member] | |||
Disclosure Of Foreign Currency Exchange Exposure [Line Items] | |||
Interest rate increase (reduce) | (267) | (348) | (374) |
Euro Interest Rates [Member] | |||
Disclosure Of Foreign Currency Exchange Exposure [Line Items] | |||
Interest rate increase (reduce) | (401) | (229) | (263) |
Sterling Strengthening [Member] | |||
Disclosure Of Foreign Currency Exchange Exposure [Line Items] | |||
Interest rate increase (reduce) | £ (236) | £ (269) | £ (98) |
Financial Instruments and Ri167
Financial Instruments and Risk Management - Summary of Credit Ratings (Detail) | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Moodys [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Rating | Baa2 | Baa1 | Baa2 |
Outlook | Stable | Negative | Positive |
Standard And Poor's [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Rating | BBB+ | BBB+ | BBB |
Outlook | Negative | Negative | Positive |
Financial Instruments and Ri168
Financial Instruments and Risk Management - Summary of Remaining Contractually-Agreed Cash Flows Including Interest Payable for Non-Derivative Financial Liabilities on Undiscounted Basis (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | £ 15,167 | £ 13,707 | £ 15,587 |
Interest on loans and other borrowings | 169 | 189 | 198 |
Trade and other payables | 4,961 | 5,298 | 5,346 |
Provisions | 300 | 292 | 296 |
Total | 20,597 | 19,486 | 21,427 |
Gross Carrying Amount [Member] | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 15,094 | 13,557 | 15,408 |
Interest on loans and other borrowings | 5,316 | 4,683 | 4,841 |
Trade and other payables | 4,961 | 5,298 | 5,346 |
Provisions | 372 | 469 | 462 |
Total | 25,743 | 24,007 | 26,057 |
Gross Carrying Amount [Member] | 2018 [Member] | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 2,120 | 2,602 | 3,558 |
Interest on loans and other borrowings | 468 | 532 | 513 |
Trade and other payables | 4,961 | 5,298 | 5,346 |
Provisions | 54 | 62 | 50 |
Total | 7,603 | 8,494 | 9,467 |
Gross Carrying Amount [Member] | 2018 [Member] | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 1,192 | 1,614 | 1,632 |
Interest on loans and other borrowings | 421 | 415 | 435 |
Provisions | 34 | 41 | 30 |
Total | 1,647 | 2,070 | 2,097 |
Gross Carrying Amount [Member] | 2019 [Member] | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 1,332 | 1,166 | 1,488 |
Interest on loans and other borrowings | 381 | 364 | 357 |
Provisions | 25 | 21 | 25 |
Total | 1,738 | 1,551 | 1,870 |
Gross Carrying Amount [Member] | 2020 [Member] | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 18 | 1,295 | 1,103 |
Interest on loans and other borrowings | 374 | 327 | 343 |
Provisions | 43 | 18 | 15 |
Total | 435 | 1,640 | 1,461 |
Gross Carrying Amount [Member] | 2021 [Member] | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 1,489 | 12 | 1,199 |
Interest on loans and other borrowings | 372 | 319 | 308 |
Provisions | 19 | 17 | 16 |
Total | 1,880 | 348 | 1,523 |
Gross Carrying Amount [Member] | 2023 [Member] | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 8,943 | 6,868 | 6,428 |
Interest on loans and other borrowings | 3,300 | 2,726 | 2,885 |
Provisions | 197 | 310 | 326 |
Total | 12,440 | 9,904 | 9,639 |
Interest Payments Not Yet Accrued | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Interest on loans and other borrowings | (5,147) | (4,494) | (4,643) |
Total | (5,147) | (4,494) | (4,643) |
Fair Value Adjustments | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Loans and other borrowings | 73 | 150 | 179 |
Total | 73 | 150 | 179 |
Impact Of Discounting | |||
Disclosure of maturity analysis for non-derivative financial liabilities [Line Items] | |||
Provisions | (72) | (177) | (166) |
Total | £ (72) | £ (177) | £ (166) |
Financial Instruments and Ri169
Financial Instruments and Risk Management - Summary of Contractually Agreed Cash Flows in Respect of Derivative Financial Instruments (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Derivatives-Analysed by Earliest Payment Date [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | £ 1,210 | £ 1,174 | £ 1,187 |
Derivatives-Analysed by Earliest Payment Date [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 1,026 | 1,126 | 1,166 |
Derivatives-Analysed by Earliest Payment Date [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (3,366) | (1,673) | (1,338) |
Derivatives-Analysed by Earliest Payment Date [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 3,550 | 1,721 | 1,359 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 180 | 297 | 281 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 140 | 291 | 268 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (547) | (576) | (250) |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 587 | 582 | 263 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2019 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 152 | 198 | 382 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2019 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 156 | 198 | 371 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2019 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (446) | (27) | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2019 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 442 | 38 | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2020 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 166 | 114 | 62 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2020 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 143 | 114 | 60 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2020 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (29) | (836) | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2020 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 52 | 838 | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2021 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 184 | 104 | 80 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2021 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 161 | 104 | 81 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2021 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (29) | (18) | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2021 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 52 | 17 | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2023 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 376 | 123 | (15) |
Derivatives-Analysed by Earliest Payment Date [Member] | 2023 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 291 | 123 | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2023 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (2,149) | (180) | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2023 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 2,234 | 165 | |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 152 | 338 | 397 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 135 | 296 | 386 |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (166) | (1,097) | (27) |
Derivatives-Analysed by Earliest Payment Date [Member] | 2018 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 183 | 1,139 | 38 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 1,210 | 1,174 | 1,187 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 1,026 | 1,126 | 1,166 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (3,366) | (1,673) | (1,338) |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 3,550 | 1,721 | 1,359 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 131 | 98 | 104 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 91 | 92 | 91 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (547) | (576) | (250) |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 587 | 582 | 263 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2019 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 107 | 92 | 99 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2019 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 85 | 92 | 88 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2019 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (47) | (27) | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2019 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 69 | 38 | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2020 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 101 | 88 | 92 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2020 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 80 | 88 | 90 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2020 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (47) | (836) | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2020 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 68 | 838 | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2021 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 101 | 83 | 83 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2021 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 80 | 83 | 84 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2021 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (47) | (18) | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2021 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 68 | 17 | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2023 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 662 | 679 | 710 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2023 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 599 | 679 | 725 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2023 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (2,512) | (180) | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2023 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 2,575 | 165 | |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 108 | 134 | 99 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | Net Settled [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | 91 | 92 | 88 |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | Gross Settled Inflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | (166) | (1,097) | (27) |
Derivatives-Analysed Based on Holding Instrument to Maturity [Member] | 2018 [Member] | Gross Settled Outflows [Member] | |||
Disclosure of maturity analysis for derivative financial liabilities [Line Items] | |||
Derivative financial liabilities net settled | £ 183 | £ 1,139 | £ 38 |
Financial Instruments and Ri170
Financial Instruments and Risk Management - Summary of Maximum Credit Risk Exposure of Financial Assets (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of credit risk exposure [Line Items] | |||
Maximum credit risk exposure | £ 21,141 | £ 18,872 | £ 20,748 |
Derivative Financial Assets [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Maximum credit risk exposure | 1,509 | 2,246 | 1,639 |
Investments [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Maximum credit risk exposure | 16,578 | 13,346 | 15,236 |
Trade and Other Receivables [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Maximum credit risk exposure | 2,533 | 2,754 | 2,884 |
Cash and Cash Equivalent [Member] | |||
Disclosure of credit risk exposure [Line Items] | |||
Maximum credit risk exposure | £ 521 | £ 526 | £ 989 |
Financial Instruments and Ri171
Financial Instruments and Risk Management - Summary of Credit Quality and Credit Concentration of Cash Equivalents, Current Asset Investments and Derivative Financial Assets (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure of external credit grades [Line Items] | |||
Credit exposure | £ 4,613 | £ 3,825 | £ 4,653 |
Aa2/AA and Above [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Credit exposure | 2,575 | 1,444 | 2,878 |
Aa3/AA- [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Credit exposure | 313 | 208 | 120 |
A1/A+ [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Credit exposure | 651 | 952 | 64 |
A2/A [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Credit exposure | 628 | 370 | 939 |
A3/A [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Credit exposure | 180 | 204 | 160 |
Baa1/BBB+ [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Credit exposure | 59 | 561 | £ 492 |
Baa2/BBB and Below [Member] | |||
Disclosure of external credit grades [Line Items] | |||
Credit exposure | £ 207 | £ 86 |
Financial Instruments and Ri172
Financial Instruments and Risk Management - Summary of Offsetting of Financial Assets and Liabilities (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Offsetting Of Financial Assets Liabilities [Abstract] | |||
Amounts presented in the balance sheet, derivative financial liabilities | £ (837) | £ (903) | £ (911) |
Rights of set off with derivative counterparties, derivative financial liabilities | 754 | 693 | 456 |
Cash collateral, derivative financial liabilities | 60 | 64 | 40 |
Net amount, derivative financial liabilities | (23) | (146) | (415) |
Amounts presented in the balance sheet | 672 | 1,343 | 728 |
Right of set off with derivative counterparties | 0 | 0 | 0 |
Cash collateral | (432) | (638) | (513) |
Net amount | 240 | 705 | 215 |
Amounts presented in the balance sheet, derivative financial assets | 1,509 | 2,246 | 1,639 |
Right of set off with derivative counterparties,derivative financial assets | (754) | (693) | (456) |
Cash collateral, derivative financial assets | (492) | (702) | (553) |
Net amount, derivative financial assets | £ 263 | £ 851 | £ 630 |
Financial Instruments and Ri173
Financial Instruments and Risk Management - Summary of Derivative Financial Instruments are Held at Fair Value on Balance Sheet (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Current asset | £ 197 | £ 428 | £ 177 |
Non-current asset | 1,312 | 1,818 | 1,462 |
Current liability | 50 | 34 | 48 |
Non-current liability | 787 | 869 | 863 |
Designated in a Cash Flow Hedge [Member] | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Current asset | 187 | 417 | 166 |
Non-current asset | 1,061 | 1,508 | 1,158 |
Current liability | 41 | 25 | 40 |
Non-current liability | 587 | 616 | 618 |
Other [Member] | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Current asset | 10 | 11 | 11 |
Non-current asset | 251 | 310 | 304 |
Current liability | 9 | 9 | 8 |
Non-current liability | £ 200 | £ 253 | £ 245 |
Other Reserves - Summary of Oth
Other Reserves - Summary of Other Reserves (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Reserves Within Equity [Line Items] | |||
Beginning balance | £ 18,926 | £ 21,325 | £ 19,277 |
Recognised in income and expense | (34) | 1 | (3) |
Tax recognised in other comprehensive income | 345 | (445) | 235 |
Ending balance | 22,740 | 18,926 | 21,325 |
Other Reserves [Member] | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Beginning balance | 1,591 | 1,392 | 1,209 |
Exchange differences | (188) | 227 | 29 |
Net fair value gain on cash flow hedges | (368) | 884 | 381 |
Recognised in income and expense | 277 | (938) | (230) |
Fair value movement on available-for-sale assets | 11 | (3) | (2) |
Tax recognised in other comprehensive income | 1 | 29 | 5 |
Transfer to realised profit | (83) | ||
Ending balance | 1,241 | 1,591 | 1,392 |
Other Reserves [Member] | Cash Flow Reserve [Member] | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Beginning balance | 127 | 173 | 55 |
Net fair value gain on cash flow hedges | (368) | 884 | 381 |
Recognised in income and expense | 277 | (938) | (230) |
Tax recognised in other comprehensive income | 10 | 8 | (33) |
Transfer to realised profit | (83) | ||
Ending balance | (37) | 127 | 173 |
Other Reserves [Member] | Available-for-Sale Reserve [Member] | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Beginning balance | 13 | 16 | 18 |
Fair value movement on available-for-sale assets | 11 | (3) | (2) |
Ending balance | 24 | 13 | 16 |
Other Reserves [Member] | Translation Reserve [Member] | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Beginning balance | 593 | 345 | 278 |
Exchange differences | (188) | 227 | 29 |
Tax recognised in other comprehensive income | (9) | 21 | 38 |
Ending balance | 396 | 593 | 345 |
Other Reserves [Member] | Merger and Other Reserves [Member] | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Beginning balance | 858 | 858 | 858 |
Ending balance | £ 858 | £ 858 | £ 858 |
Other Reserves - Summary of 175
Other Reserves - Summary of Other Reserves (Parenthetical) (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 |
Other Reserves [Member] | Cash Flow Reserve [Member] | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Net charge to cash flow reserve relating to fair value movements on derivatives | £ 295 | £ (941) | £ (255) |
Non-controlling interests [member] | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Exchange differences in relation to retained earnings attributed to non-controlling interests | £ 1 | £ 10 | £ 0 |
Directors' Emoluments and Pensi
Directors' Emoluments and Pensions - Additional Information (Detail) | 12 Months Ended | |
Mar. 31, 2018GBP (£)£ / sharesshares | Mar. 31, 2017GBP (£) | |
Disclosure Of Defined Benefit Plans [Line Items] | ||
Deferred bonuses payable to directors | £ 319,000 | £ 88,000 |
Aggregate emoluments excluding deferred bonus | £ 2,525,000 | £ 1,149,000 |
Number of directors with accrued retirement benefits under a money purchase scheme | 0 | 1 |
Top of Range [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Deferred bonuses payable to directors | £ 302,400 | £ 36,000 |
Aggregate emoluments excluding deferred bonus | £ 1,538,000 | £ 492,000 |
BT Group Share Options Plan [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Number of director exercise options | 0 | 0 |
Nuber of options vested | £ 179,000 | £ 2,646,000 |
BT Long Term Incentive Plans [Member] | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Number of director exercise options | 6 | 3 |
Number of shares entitled to receive highest paid director | shares | 1,612,997 | |
Ordinary shares nominal value | £ / shares | £ 0.05 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - GBP (£) | 12 Months Ended | ||||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | Apr. 01, 2018 | Mar. 31, 2002 | |
Disclosure Of Transactions Between Related Parties [Line Items] | |||||
Dividends paid | £ 2,350,000,000 | £ 1,450,000,000 | |||
Loan facility [Member] | |||||
Disclosure Of Transactions Between Related Parties [Line Items] | |||||
Applicable margin to LIBOR | 1.025% | ||||
Loan facility [Member] | Top of Range [Member] | |||||
Disclosure Of Transactions Between Related Parties [Line Items] | |||||
Interest receivable on loan facilities | £ 25,000,000,000 | ||||
Loan facility [Member] | Bottom of Range [Member] | |||||
Disclosure Of Transactions Between Related Parties [Line Items] | |||||
Interest receivable on loan facilities | 10,000,000,000 | ||||
British Telecommunications plc [Member] | |||||
Disclosure Of Transactions Between Related Parties [Line Items] | |||||
Investment in the company | £ 18,500,000,000 | ||||
Dividends paid | £ 0 | 2,350,000,000 | 1,450,000,000 | ||
Final dividend declared | £ 0 | 2,350,000,000 | |||
British Telecommunications plc [Member] | Events After Reporting Period [Member] | |||||
Disclosure Of Transactions Between Related Parties [Line Items] | |||||
Final dividend declared | £ 2,500,000,000 | ||||
Ultimate Parent Company [Member] | |||||
Disclosure Of Transactions Between Related Parties [Line Items] | |||||
Equity placing | £ 1,000,000,000 |
Related Party Transactions - Ba
Related Party Transactions - Balances with Parent and Ultimate Parent Companies and Finance Income or Expense (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Transactions Between Related Parties [Line Items] | |||
Non-current assets investments | £ 13,354 | £ 11,606 | £ 11,965 |
Non-current liabilities loans | (13,038) | (11,105) | (12,029) |
Trade and other receivables | 15 | 25 | 9 |
Current asset investments | 3,224 | 1,740 | 3,271 |
Current liabilities loans | (2,298) | (2,791) | (3,756) |
Finance income | 215 | 232 | 389 |
Finance (expense) | (794) | (842) | (769) |
British Telecommunications plc [Member] | |||
Disclosure Of Transactions Between Related Parties [Line Items] | |||
Non-current assets investments | 10,318 | 10,191 | 10,510 |
Non-current liabilities loans | (14,916) | (16,874) | |
Current asset investments | 168 | 192 | 327 |
Trade and other payables | (50) | (63) | (70) |
Current liabilities loans | (18,494) | (19,999) | |
Finance income | 169 | 191 | 326 |
Ultimate Parent Company [Member] | |||
Disclosure Of Transactions Between Related Parties [Line Items] | |||
Non-current assets investments | 2,983 | 1,371 | 1,409 |
Non-current liabilities loans | (1,044) | (1,024) | (1,004) |
Trade and other receivables | 15 | 25 | 9 |
Current asset investments | 34 | 28 | 26 |
Current liabilities loans | (18) | (159) | (20) |
Finance income | 34 | 28 | 26 |
Finance (expense) | £ (18) | £ (25) | £ (20) |
Related Party Transactions -179
Related Party Transactions - Balances with Parent and Ultimate Parent Companies and Finance Income or Expense (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure Of Transactions Between Related Parties [Abstract] | ||||
Net cash outflow on non-current amounts owed by ultimate parent company | £ 1,722 | |||
Cash inflow on non-current amounts owed from ultimate parent company | 45 | |||
Cash outflow on non-current amounts owed by ultimate parent company | [1] | 1,677 | £ 1,571 | £ 4,767 |
Non cash movements on non current asset investments | £ 63 | |||
[1] | Refer to note 28 for further information. |
Financial Commitments and Co180
Financial Commitments and Contingent Liabilities - Disclosure of Financial Commitments (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 |
Financial Commitments [Abstract] | ||
Capital commitments | £ 993 | £ 889 |
Other commitments | 362 | 367 |
Device purchase commitments | 262 | 423 |
TV programme rights commitments | 2,823 | 2,644 |
Total | £ 4,440 | £ 4,323 |
Financial Commitments and Co181
Financial Commitments and Contingent Liabilities - Disclosure of Future Minimum Operating Lease Payments (Detail) - GBP (£) £ in Millions | Mar. 31, 2018 | Mar. 31, 2017 |
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | £ 6,597 | £ 7,160 |
2018 [Member] | ||
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | 650 | |
2019 [Member] | ||
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | 600 | 610 |
2020 [Member] | ||
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | 550 | 558 |
2021 [Member] | ||
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | 513 | 532 |
2022 [Member] | ||
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | 486 | 505 |
2023 [Member] | ||
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | 463 | 475 |
Thereafter [Member] | ||
Disclosure Of Operating Leases Future Minimum Payments [Line Items] | ||
Future minimum operating lease payments | £ 3,985 | £ 3,830 |
Financial Commitments and Co182
Financial Commitments and Contingent Liabilities - Additional Information (Detail) - GBP (£) £ in Millions | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | May 31, 2016 | Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of Financial Commitments [Line Items] | ||||
Average lease term | 14 years | 15 years | ||
Average fixed rental term | 14 years | 15 years | ||
Deemed consent charge, net | £ 300 | |||
Brazilian Tax Authority [Member] | ||||
Disclosure of Financial Commitments [Line Items] | ||||
value of claim | 219 | |||
Brazilian Tax Authority [Member] | One case that covers the period 2013 to 2016 [Member] | ||||
Disclosure of Financial Commitments [Line Items] | ||||
value of claim | 1.2 | |||
Brazilian Tax Authority [Member] | Eight cases took place on 21 February 2018 [Member] | ||||
Disclosure of Financial Commitments [Line Items] | ||||
value of claim | £ 43 | |||
Phones 4U Limited [Member] | ||||
Disclosure of Financial Commitments [Line Items] | ||||
Sharing of revenue under retail trading agreement due date | 2019-09 | |||
Sharing of related payment under retail trading agreement due date | 2021-04 | |||
Hutchinson 3G Limited [Member] | ||||
Disclosure of Financial Commitments [Line Items] | ||||
Claimed damages relating to loss of business | £ 167 |
Post Balance Sheet Events - Add
Post Balance Sheet Events - Additional Information (Detail) | Apr. 01, 2018GBP (£) | May 31, 2018GBP (£)Role | Mar. 31, 2018GBP (£)Employee | Mar. 31, 2017GBP (£)Employee | Mar. 31, 2016GBP (£)Employee | Apr. 30, 2018MHzGHz |
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | £ 23,723,000,000 | £ 24,062,000,000 | £ 19,012,000,000 | |||
Internal cost | £ 20,339,000,000 | £ 20,892,000,000 | £ 15,397,000,000 | |||
Year end | Employee | 105,800 | 106,400 | 102,500 | |||
Average | Employee | 106,200 | 105,000 | 91,000 | |||
Accrued income | £ 777,000,000 | £ 955,000,000 | £ 1,072,000,000 | |||
Cash in excess of deposits | 21,000,000 | |||||
Ofcom [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Deposit with Ofcom | 325,000,000 | |||||
Current [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Trade receivables not past due | £ 1,251,000,000 | £ 1,184,000,000 | £ 1,152,000,000 | |||
Consumer [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Year end | Employee | 18,200 | 17,900 | 15,700 | |||
Average | Employee | 18,000 | 16,800 | 7,600 | |||
Accrued income | £ 208,000,000 | £ 260,000,000 | £ 395,000,000 | |||
Consumer [Member] | Current [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Trade receivables not past due | £ 363,000,000 | £ 463,000,000 | £ 405,000,000 | |||
Enterprise [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Year end | Employee | 13,900 | 14,100 | 14,000 | |||
Average | Employee | 14,200 | 13,900 | 13,100 | |||
Accrued income | £ 279,000,000 | £ 318,000,000 | £ 245,000,000 | |||
Enterprise [Member] | Current [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Trade receivables not past due | £ 345,000,000 | £ 275,000,000 | £ 191,000,000 | |||
Events After Reporting Period [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Frequency of spectrum secured | MHz | 40 | |||||
Total frequeny of spectrum | GHz | 3.4 | |||||
Spectrum acquisition cost | £ 304,000,000 | |||||
Announcing Or Commencing Implementation of Major Restructuring [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Reduction in back office and middle management roles related to restructuring programme | £ 800,000,000 | |||||
Reduction payback period | 2 years | |||||
Expected cash cost reduction related to restructuring programme | £ 1,500,000,000 | |||||
Cost of balances of restructuring programme | £ 60,000,000 | |||||
Number of removal of full time equivalent roles | Role | 1,200 | |||||
Further run rate synergies related to ee integration programme | £ 110,000,000 | |||||
BT Consumer [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Year end | Employee | 8,800 | 8,700 | 6,700 | |||
Average | Employee | 8,800 | 7,700 | 6,300 | |||
Accrued income | £ 86,000,000 | £ 90,000,000 | £ 83,000,000 | |||
BT Consumer [Member] | Current [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Trade receivables not past due | £ 157,000,000 | £ 128,000,000 | £ 138,000,000 | |||
EE [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Year end | Employee | 9,400 | 9,200 | 9,000 | |||
Average | Employee | 9,200 | 9,100 | 1,300 | |||
Accrued income | £ 122,000,000 | £ 170,000,000 | £ 312,000,000 | |||
EE [Member] | Current [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Trade receivables not past due | 206,000,000 | 335,000,000 | 267,000,000 | |||
Business and Public Sector [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Accrued income | 134,000,000 | 151,000,000 | 146,000,000 | |||
Business and Public Sector [Member] | Current [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Trade receivables not past due | 253,000,000 | 200,000,000 | 115,000,000 | |||
Wholesale and Ventures [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Accrued income | 145,000,000 | 167,000,000 | 99,000,000 | |||
Wholesale and Ventures [Member] | Current [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Trade receivables not past due | 92,000,000 | 75,000,000 | 76,000,000 | |||
Elimination of Intersegment Amounts [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | 3,330,000,000 | 3,396,000,000 | 3,323,000,000 | |||
Elimination of Intersegment Amounts [Member] | Consumer [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | (103,000,000) | (100,000,000) | (72,000,000) | |||
Internal cost | 963,000,000 | 973,000,000 | 978,000,000 | |||
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Internal cost | 959,000,000 | 970,000,000 | 965,000,000 | |||
Elimination of Intersegment Amounts [Member] | BT Consumer [Member] | Events After Reporting Period [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | 0 | |||||
Internal cost | 0 | |||||
Elimination of Intersegment Amounts [Member] | EE [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | 37,000,000 | 37,000,000 | 7,000,000 | |||
Elimination of Intersegment Amounts [Member] | EE [Member] | Events After Reporting Period [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | 0 | |||||
Internal cost | £ 0 | |||||
Elimination of Intersegment Amounts [Member] | Business and Public Sector [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | 32,000,000 | 22,000,000 | 24,000,000 | |||
Internal cost | 32,000,000 | 22,000,000 | 24,000,000 | |||
Elimination of Intersegment Amounts [Member] | Wholesale and Ventures [Member] | ||||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||||
Revenue | 32,000,000 | 22,000,000 | 24,000,000 | |||
Internal cost | £ 32,000,000 | £ 22,000,000 | £ 24,000,000 |
Post Balance Sheet Events - Sum
Post Balance Sheet Events - Summary of Segment Analysis Outlining Impacts which Change in Segment Revenue and Profit (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | £ 23,723 | £ 24,062 | £ 19,012 | |
Depreciation and amortisation | (3,514) | (3,510) | (2,631) | |
Operating profit (loss) | 3,384 | 3,170 | 3,615 | |
Net finance expense | [1] | (579) | (610) | (380) |
Share of post tax loss of associates and joint ventures | (1) | (9) | 6 | |
Profit (loss) before taxation | 2,804 | 2,551 | 3,241 | |
Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | [2] | 23,746 | 24,082 | 18,879 |
EBITDA | [3] | 7,508 | 7,648 | 6,458 |
Depreciation and amortisation | (3,514) | (3,510) | (2,631) | |
Operating profit (loss) | [2] | 3,994 | 4,138 | 3,827 |
Net finance expense | (361) | (400) | (151) | |
Profit (loss) before taxation | 3,632 | 3,729 | 3,682 | |
Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | [4] | (23) | (20) | 133 |
Operating profit (loss) | [4] | (610) | (968) | (212) |
Net finance expense | [4] | (218) | (210) | (229) |
Profit (loss) before taxation | [4] | (828) | (1,178) | (441) |
Segment Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 27,044 | 27,456 | 22,178 | |
Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 27,076 | 27,478 | 22,202 | |
Internal Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | (3,298) | (3,374) | (3,299) | |
Consumer [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Depreciation and amortisation | (992) | (989) | (353) | |
Consumer [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | [2] | 10,257 | 9,924 | 5,377 |
EBITDA | [3] | 2,376 | 2,168 | 1,228 |
Operating profit (loss) | [2] | 1,384 | 1,179 | 875 |
Consumer [Member] | Segment Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 10,360 | 10,024 | 5,449 | |
Consumer [Member] | Internal Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | (103) | (100) | (72) | |
Enterprise [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Depreciation and amortisation | (676) | (658) | (537) | |
Enterprise [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | [2] | 6,323 | 6,607 | 6,375 |
EBITDA | [3] | 2,172 | 2,362 | 2,169 |
Operating profit (loss) | [2] | 1,496 | 1,704 | 1,632 |
Enterprise [Member] | Segment Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 6,540 | 6,845 | 6,544 | |
Enterprise [Member] | Internal Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | (217) | (238) | (169) | |
Global Services [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Depreciation and amortisation | (424) | (439) | (422) | |
Global Services [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | [2] | 5,013 | 5,479 | 5,074 |
EBITDA | [3] | 434 | 495 | 479 |
Depreciation and amortisation | (424) | (439) | (422) | |
Operating profit (loss) | [2] | 10 | 56 | 57 |
Global Services [Member] | Segment Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 5,013 | 5,479 | 5,074 | |
Global Services [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 5,013 | 5,479 | 5,074 | |
Openreach [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Depreciation and amortisation | (1,360) | (1,369) | (1,301) | |
Openreach [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | [2] | 2,145 | 2,062 | 2,042 |
EBITDA | [3] | 2,520 | 2,633 | 2,659 |
Depreciation and amortisation | (1,360) | (1,369) | (1,301) | |
Operating profit (loss) | [2] | 1,160 | 1,264 | 1,358 |
Openreach [Member] | Segment Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 5,123 | 5,098 | 5,100 | |
Openreach [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 5,123 | 5,098 | 5,100 | |
Openreach [Member] | Internal Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | (2,978) | (3,036) | (3,058) | |
Other [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Depreciation and amortisation | (62) | (55) | (18) | |
Other [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | [2] | 8 | 10 | 11 |
EBITDA | [3] | 6 | (10) | (77) |
Depreciation and amortisation | (62) | (55) | (18) | |
Operating profit (loss) | [2] | (56) | (65) | (95) |
Other [Member] | Segment Revenue [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | 8 | 10 | 11 | |
Other [Member] | Segment Revenue [Member] | Before Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Revenue | £ 8 | £ 10 | £ 11 | |
[1] | Net finance expense includes specific item expense of £218m (2016/17: £210m, 2015/16: £229m). | |||
[2] | Before specific items. | |||
[3] | EBITDA is stated before specific items and is the group’s profitability measure for segments. | |||
[4] | a For a definition of specific items, see page 209. An analysis of specific items is provided in note 8. |
Post Balance Sheet Events - 185
Post Balance Sheet Events - Summary of Segment Analysis Outlining Impacts which Change in Segment Revenue and Profit (Parenthetical) (Detail) - GBP (£) £ in Millions | 12 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | ||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Specific item expense | £ 794 | £ 842 | £ 769 | |
Specific Items [Member] | ||||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | ||||
Specific item expense | [1] | £ 218 | £ 210 | £ 229 |
[1] | a For a definition of specific items, see page 209. An analysis of specific items is provided in note 8. |
Post Balance Sheet events - 186
Post Balance Sheet events - Summary of Segment Analysis Outlining Impacts which Change in Internal Revenue and Costs (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | £ 20,339 | £ 20,892 | £ 15,397 |
Internal revenue | (23,723) | (24,062) | (19,012) |
Elimination of Intersegment Amounts [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | (3,330) | (3,396) | (3,323) |
Elimination of Intersegment Amounts [Member] | Global Services [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 187 | 240 | 236 |
Elimination of Intersegment Amounts [Member] | Other [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 1,599 | 1,564 | 1,472 |
Consumer [Member] | Elimination of Intersegment Amounts [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 963 | 973 | 978 |
Internal revenue | 103 | 100 | 72 |
Consumer [Member] | Elimination of Intersegment Amounts [Member] | Enterprise [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 67 | 63 | 73 |
Internal revenue | 65 | 62 | 31 |
Consumer [Member] | Elimination of Intersegment Amounts [Member] | Global Services [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | 20 | 20 | 23 |
Consumer [Member] | Elimination of Intersegment Amounts [Member] | Openreach [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 896 | 910 | 905 |
Consumer [Member] | Elimination of Intersegment Amounts [Member] | Other [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | 18 | 18 | 18 |
Enterprise [Member] | Elimination of Intersegment Amounts [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 507 | 558 | 557 |
Internal revenue | 217 | 238 | 169 |
Enterprise [Member] | Elimination of Intersegment Amounts [Member] | Consumer [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 65 | 62 | 31 |
Internal revenue | 67 | 63 | 73 |
Enterprise [Member] | Elimination of Intersegment Amounts [Member] | Global Services [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | 42 | 62 | 40 |
Enterprise [Member] | Elimination of Intersegment Amounts [Member] | Openreach [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 442 | 496 | 526 |
Internal revenue | 42 | 39 | 56 |
Enterprise [Member] | Elimination of Intersegment Amounts [Member] | Other [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | 66 | 74 | |
Global Services [Member] | Elimination of Intersegment Amounts [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 187 | 240 | 236 |
Global Services [Member] | Elimination of Intersegment Amounts [Member] | Consumer [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 20 | 20 | 23 |
Global Services [Member] | Elimination of Intersegment Amounts [Member] | Enterprise [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 42 | 62 | 40 |
Global Services [Member] | Elimination of Intersegment Amounts [Member] | Openreach [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 125 | 158 | 173 |
Openreach [Member] | Elimination of Intersegment Amounts [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 42 | 39 | 56 |
Internal revenue | 2,978 | 3,036 | 3,058 |
Openreach [Member] | Elimination of Intersegment Amounts [Member] | Consumer [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | 896 | 910 | 905 |
Openreach [Member] | Elimination of Intersegment Amounts [Member] | Enterprise [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 42 | 39 | 56 |
Internal revenue | 442 | 496 | 526 |
Openreach [Member] | Elimination of Intersegment Amounts [Member] | Global Services [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | 125 | 158 | 173 |
Openreach [Member] | Elimination of Intersegment Amounts [Member] | Other [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | 1,515 | 1,472 | 1,454 |
Other [Member] | Elimination of Intersegment Amounts [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 1,599 | 1,564 | 1,472 |
Other [Member] | Elimination of Intersegment Amounts [Member] | Consumer [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 18 | 18 | 18 |
Other [Member] | Elimination of Intersegment Amounts [Member] | Enterprise [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 66 | 74 | |
Other [Member] | Elimination of Intersegment Amounts [Member] | Openreach [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal cost | 1,515 | 1,472 | 1,454 |
Internal Revenue [Member] | Elimination of Intersegment Amounts [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Internal revenue | £ 3,298 | £ 3,374 | £ 3,299 |
Post Balance Sheet events - 187
Post Balance Sheet events - Summary of Segment Analysis Outlining Impacts which Change in Capital Expenditure (Detail) - GBP (£) £ in Millions | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Mar. 31, 2016 | |
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | £ 3,522 | £ 3,454 | £ 2,622 |
Property, Plant and Equipment [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 2,880 | 2,833 | 2,210 |
Intangible Assets [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 642 | 621 | 412 |
Consumer [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 919 | 853 | 303 |
Consumer [Member] | Property, Plant and Equipment [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 683 | 628 | 186 |
Consumer [Member] | Intangible Assets [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 236 | 225 | 117 |
Enterprise [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 533 | 501 | 362 |
Enterprise [Member] | Property, Plant and Equipment [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 353 | 360 | 256 |
Enterprise [Member] | Intangible Assets [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 180 | 141 | 106 |
Global Services [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 278 | 361 | 355 |
Global Services [Member] | Property, Plant and Equipment [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 186 | 235 | 293 |
Global Services [Member] | Intangible Assets [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 92 | 126 | 62 |
Openreach [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 1,658 | 1,573 | 1,447 |
Openreach [Member] | Property, Plant and Equipment [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 1,588 | 1,499 | 1,385 |
Openreach [Member] | Intangible Assets [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 70 | 74 | 62 |
Other [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 134 | 166 | 155 |
Other [Member] | Property, Plant and Equipment [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | 70 | 111 | 90 |
Other [Member] | Intangible Assets [Member] | |||
Disclosure Of Nonadjusting Events After Reporting Period [Line Items] | |||
Capital expenditure | £ 64 | £ 55 | £ 65 |