Group Financial Statements 2012 - Riverside

Retirement benefits
The Group operates a group pension scheme,
contributes to local government pension schemes and
the Social Housing Pension Scheme (SHPS). All are
defined benefit schemes. The assets of the schemes
are held separately from those of the Group. The Group
also contributes to defined contribution schemes.
The assets of the pension schemes are measured
using market values. The liabilities of the pension
schemes are measured using a projected unit method
discounted at the current rate of return on a high
quality corporate bond of equivalent term and currency
to the liabilities.
Due to the nature of SHPS, it is not possible to
identify the share of underlying assets and liabilities
belonging to individual participating employers. As a
result, no surplus or deficit is included in the financial
statements and the accounting charge for the period is
represented by the employer contribution payable.
Excluding SHPS, the surpluses of the pension schemes
(to the extent that they are recoverable) or deficits
are recognised in full. The movements in the schemes’
surpluses/deficits are included in the income and
expenditure account and shown in the statement
of total recognised surpluses and deficits, under the
heading actuarial gains and losses.
Fixed assets
Tangible fixed assets are stated at cost less
accumulated depreciation. The cost of housing land
and properties comprises purchase price together
with incidental costs of acquisition and improvements,
including related administration charges.
Housing properties are principally properties available
for rent. Cost includes the cost of acquiring the land
and buildings, development costs and expenditure
incurred in respect of improvements.
Depreciation and impairment
During the year ended 31 March 2012 The Riverside
Group adopted full component accounting in relation
to the capitalisation and depreciation of its completed
housing property stock.
Until 31 March 2011 The Riverside Group depreciated
housing properties over the estimated useful lives of
the asset as a whole.
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