Notes to the consolidated financial statements

20. PROVISIONS

	Property provisions	^a	Other provisions	^b	Total
	£m		£m		£m

At 1 April 2006	226		105		331
Charged to the income statement^c	85		30		115
Unwind of discount	3		–		3
Utilised in the year	(74	)	(50	)	(124	)

At 31 March 2007	240		85		325

^a	Property provisions comprise amounts provided for obligations to complete nearly finished new properties and remedial work to be undertaken on properties and the onerous lease provision on rationalisation of the group’s property portfolio. The provisions will be utilised over the remaining lease periods, which range from 1 to 24 years.
^b	Other provisions include amounts provided for legal or constructive obligations arising from insurance claims and litigation which will be utilised as the obligations are settled. Also included are amounts provided for the estimated incremental and directly attributable costs arising from the group’s obligation to set up Openreach, which will be utilised over one year.
^c	Includes specific items of £64 million for property rationalisation costs and £30 million relating to the estimated incremental and directly attributable costs arising from the group’s obligation to set up Openreach and meet the requirements of the Undertakings, see note 4.