15 Tax credit
| 2009 | 2008 | |
|---|---|---|
| £m | £m | |
| Corporation tax credit | ||
| UK corporation tax and income tax on profit for the year | (2.6) | (1.4) |
| Utilisation of losses from prior years | 11.1 | 7.1 |
| Other | (0.4) | – |
| 8.1 | 5.7 | |
| Deferred tax credit | ||
| Origination and reversal of temporary differences | 1.7 | 3.6 |
| Adjustment for changes in estimates | (0.4) | – |
| 1.3 | 3.6 | |
| 9.4 | 9.3 |
Within the utilisation of losses from prior years of £11.1m (2008: £7.1m) is £11.9m of losses (2008: £3.4m) which were not recognised in prior years due to the uncertainty of their availability.
The effective rate of tax for 2009 is lower (2008: lower) than the standard rate of corporation tax in the UK. The differences are explained below:
| 2009 | 2008 | |
|---|---|---|
| £m | £m | |
| Loss before tax | (34.9) | (606.5) |
| Expected tax credit based on the standard rate of corporation tax | ||
| in the UK of 28.0% (2008: 28.5%) | 9.8 | 172.9 |
| Difference between tax and accounting profit on disposals | (8.5) | (0.6) |
| REIT exempt income | 8.2 | 4.0 |
| Expenses and fair value adjustments not (allowable)/deductible for tax purposes | 4.0 | (5.3) |
| Revaluation deficit attributable to REIT properties | (19.7) | (171.6) |
| Capital allowances | 4.6 | 3.9 |
| Other differences | (0.1) | (1.1) |
| Tax charge/(credit) on current year’s loss | (1.7) | 2.2 |
| Adjustments in respect of prior years’ tax | 11.1 | 7.1 |
| 9.4 | 9.3 |