The Audit Committee met three times during the year and its members were Colin Garrett, David Mann and Richard King up to the date of his retirement. Nick Prest was appointed to the Audit Committee on his appointment to the Board. The Chairman of the Committee, Colin Garrett, is deemed by the Board to have recent and relevant financial experience as he is a Chartered Accountant and has held a number of senior financial roles in his career.

The Committee met during the year to review the scope of the audit and the audit procedures, the format and content of the audited financial statements and interim reports, including the notes and the accounting principles applied. In addition, a separate meeting was held to review the transition to IFRS and the impact on the financial statements.

The Committee will also review any proposed change in accounting policies and any recommendations from the Group’s auditors regarding improvements to internal controls and the adequacy of resources within the Group’s finance function. The Audit Committee advises the Board on the appointment of external auditors and on their remuneration both for audit and non-audit work, and discusses the nature, scope and results of the audit with external auditors.

The Audit Committee keeps under review the cost effectiveness and the independence and objectivity of the external auditors. Copies of the Audit Committee terms of reference are available on request from the Company’s registered office.

The Audit Committee monitors fees paid to the auditors for non-audit work. Non-audit work performed by the auditors was tax compliance and tax advisory work. The Audit Committee believes that it is cost effective for the auditors to carry out these services and that the nature of such work does not impair the independence and objectivity of the auditors. Another firm of accountants was employed during the year for valuation services for business combinations and share-based payments in relation to International
Financial Reporting Standards work.

The Board has considered the requirement to have an internal audit function and given the Group’s relative size, does not consider one necessary at this point but will continue to monitor this annually.