Cover
Cover | 12 Months Ended |
Dec. 31, 2023 shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document Period End Date | Dec. 31, 2023 |
Current Fiscal Year End Date | --12-31 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-38159 |
Entity Registrant Name | British American Tobacco p.l.c. |
Entity Incorporation, State or Country Code | X0 |
Entity Address, Address Line One | Globe House |
Entity Address, Address Line Two | 4 Temple Place |
Entity Address, City or Town | London |
Entity Address, Postal Zip Code | WC2R 2PG |
Entity Address, Country | GB |
Entity Common Stock Shares Outstanding | 2,456,867,420 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Emerging Growth Company | false |
ICFR Auditor Attestation Flag | true |
Entity Shell Company | false |
Entity Central Index Key | 0001303523 |
Amendment Flag | false |
Document Fiscal Year Focus | 2023 |
Document Fiscal Period Focus | FY |
Document Accounting Standard | International Financial Reporting Standards |
Document Financial Statement Error Correction | false |
Auditor Name | KPMG LLP |
Auditor Firm ID | 1118 |
Auditor Location | 15 Canada Square, London, E14 5GL |
American Depositary Shares (evidenced by American Depositary Receipts) | |
Document Information [Line Items] | |
Title of 12(b) Security | American Depositary Shares (evidenced by American Depositary Receipts) |
Trading Symbol | BTI |
Security Exchange Name | NYSE |
Ordinary shares, nominal value 25 pence per share | |
Document Information [Line Items] | |
Title of 12(b) Security | Ordinary shares, nominal value 25 pence per share |
Trading Symbol | BTI |
Security Exchange Name | NYSE |
5.931% Notes due 2029 | |
Document Information [Line Items] | |
Title of 12(b) Security | 5.931% Notes due 2029 |
Trading Symbol | BTI29A |
Security Exchange Name | NYSE |
6.343% Notes due 2030 | |
Document Information [Line Items] | |
Title of 12(b) Security | 6.343% Notes due 2030 |
Trading Symbol | BTI30A |
Security Exchange Name | NYSE |
6.421% Notes due 2033 | |
Document Information [Line Items] | |
Title of 12(b) Security | 6.421% Notes due 2033 |
Trading Symbol | BTI33 |
Security Exchange Name | NYSE |
7.079% Notes due 2043 | |
Document Information [Line Items] | |
Title of 12(b) Security | 7.079% Notes due 2043 |
Trading Symbol | BTI43 |
Security Exchange Name | NYSE |
7.081% Notes due 2053 | |
Document Information [Line Items] | |
Title of 12(b) Security | 7.081% Notes due 2053 |
Trading Symbol | BTI53 |
Security Exchange Name | NYSE |
7.750% Notes due 2032 | |
Document Information [Line Items] | |
Title of 12(b) Security | 7.750% Notes due 2032 |
Trading Symbol | BTI32A |
Security Exchange Name | NYSE |
4.742% Notes due 2032 | |
Document Information [Line Items] | |
Title of 12(b) Security | 4.742% Notes due 2032 |
Trading Symbol | BTI32 |
Security Exchange Name | NYSE |
5.650% Notes due 2052 | |
Document Information [Line Items] | |
Title of 12(b) Security | 5.650% Notes due 2052 |
Trading Symbol | BTI52 |
Security Exchange Name | NYSE |
4.448% Notes due 2028 | |
Document Information [Line Items] | |
Title of 12(b) Security | 4.448% Notes due 2028 |
Trading Symbol | BTI28A |
Security Exchange Name | NYSE |
2.259% Notes due 2028 | |
Document Information [Line Items] | |
Title of 12(b) Security | 2.259% Notes due 2028 |
Trading Symbol | BTI28 |
Security Exchange Name | NYSE |
2.726% Notes due 2031 | |
Document Information [Line Items] | |
Title of 12(b) Security | 2.726% Notes due 2031 |
Trading Symbol | BTI31 |
Security Exchange Name | NYSE |
3.734% Notes due 2040 | |
Document Information [Line Items] | |
Title of 12(b) Security | 3.734% Notes due 2040 |
Trading Symbol | BTI40 |
Security Exchange Name | NYSE |
3.984% Notes due 2050 | |
Document Information [Line Items] | |
Title of 12(b) Security | 3.984% Notes due 2050 |
Trading Symbol | BTI50A |
Security Exchange Name | NYSE |
1.668% Notes due 2026 | |
Document Information [Line Items] | |
Title of 12(b) Security | 1.668% Notes due 2026 |
Trading Symbol | BTI26A |
Security Exchange Name | NYSE |
4.700% Notes due 2027 | |
Document Information [Line Items] | |
Title of 12(b) Security | 4.700% Notes due 2027 |
Trading Symbol | BTI27A |
Security Exchange Name | NYSE |
4.906% Notes due 2030 | |
Document Information [Line Items] | |
Title of 12(b) Security | 4.906% Notes due 2030 |
Trading Symbol | BTI30 |
Security Exchange Name | NYSE |
5.282% Notes due 2050 | |
Document Information [Line Items] | |
Title of 12(b) Security | 5.282% Notes due 2050 |
Trading Symbol | BTI50 |
Security Exchange Name | NYSE |
2.789% Notes due 2024 | |
Document Information [Line Items] | |
Title of 12(b) Security | 2.789% Notes due 2024 |
Trading Symbol | BTI24 |
Security Exchange Name | NYSE |
3.215% Notes due 2026 | |
Document Information [Line Items] | |
Title of 12(b) Security | 3.215% Notes due 2026 |
Trading Symbol | BTI26 |
Security Exchange Name | NYSE |
3.462% Notes due 2029 | |
Document Information [Line Items] | |
Title of 12(b) Security | 3.462% Notes due 2029 |
Trading Symbol | BTI29 |
Security Exchange Name | NYSE |
4.758% Notes due 2049 | |
Document Information [Line Items] | |
Title of 12(b) Security | 4.758% Notes due 2049 |
Trading Symbol | BTI49 |
Security Exchange Name | NYSE |
3.222% Notes due 2024 | |
Document Information [Line Items] | |
Title of 12(b) Security | 3.222% Notes due 2024 |
Trading Symbol | BTI24A |
Security Exchange Name | NYSE |
3.557% Notes due 2027 | |
Document Information [Line Items] | |
Title of 12(b) Security | 3.557% Notes due 2027 |
Trading Symbol | BTI27 |
Security Exchange Name | NYSE |
4.390% Notes due 2037 | |
Document Information [Line Items] | |
Title of 12(b) Security | 4.390% Notes due 2037 |
Trading Symbol | BTI37 |
Security Exchange Name | NYSE |
4.540% Notes due 2047 | |
Document Information [Line Items] | |
Title of 12(b) Security | 4.540% Notes due 2047 |
Trading Symbol | BTI47 |
Security Exchange Name | NYSE |
Business Contact | |
Document Information [Line Items] | |
Entity Address, Address Line One | Globe House |
Entity Address, Address Line Two | 4 Temple Place |
Entity Address, City or Town | London |
Entity Address, Postal Zip Code | WC2R 2PG |
Entity Address, Country | GB |
Contact Personnel Name | Caroline Ferland |
City Area Code | (0)20 |
Local Phone Number | 7845 1000 |
Contact Personnel Fax Number | 7240 0555 |
Group Cash Flow Statement (Pare
Group Cash Flow Statement (Parenthetical) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 GBP (£) | ||
Statement [Line Items] | ||
Transferred from/(to) held-for-sale | £ 368 | [1] |
Foreign exchange loss | ||
Statement [Line Items] | ||
Transferred from/(to) held-for-sale | £ 102 | |
[1] Included in the transferred from held-for-sale in 2023 is £102 million of foreign exchange loss due to the devaluation of the Russian ruble, as explained in note 27(d)(i) . |
Group Income Statement
Group Income Statement - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Profit or loss [abstract] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
Raw materials and consumables used | (4,545) | (4,781) | (4,542) | |
Changes in inventories of finished goods and work in progress | (96) | 227 | 160 | |
Employee benefit costs | (2,664) | (2,972) | (2,717) | |
Depreciation, amortisation and impairment costs | (28,614) | (1,305) | (1,076) | |
Other operating income | 432 | 722 | 196 | |
Loss on reclassification from amortised cost to fair value | (9) | (5) | (3) | |
Other operating expenses | (7,538) | (9,018) | (7,468) | |
(Loss)/profit from operations | (15,751) | 10,523 | 10,234 | |
Net finance costs | (1,895) | (1,641) | (1,486) | |
Share of post-tax results of associates and joint ventures | 585 | 442 | 415 | |
(Loss)/profit before taxation | (17,061) | 9,324 | 9,163 | |
Taxation on ordinary activities | 2,872 | (2,478) | (2,189) | |
(Loss)/profit for the year | (14,189) | 6,846 | 6,974 | |
Attributable to: | ||||
Owners of the parent | (14,367) | 6,666 | 6,801 | |
Non-controlling interests | 178 | 180 | 173 | |
(Loss)/profit for the year | £ (14,189) | £ 6,846 | £ 6,974 | |
(Loss)/earnings per share | ||||
Basic (loss)/earnings (in GBP per share) | £ (6.466) | £ 2.933 | £ 2.969 | |
Diluted (loss)/earnings per share (in GBP per share) | £ (6.466) | £ 2.919 | £ 2.956 | |
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Group Income Statement (Parenth
Group Income Statement (Parenthetical) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Profit or loss [abstract] | |||
Duty excise and other taxes levied on tobacco and tobacco related products | £ 36,917 | £ 38,527 | £ 38,595 |
Group Statement of Comprehensiv
Group Statement of Comprehensive Income - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of comprehensive income [abstract] | |||
(Loss)/profit for the year | £ (14,189) | £ 6,846 | £ 6,974 |
Other comprehensive (expense)/income | |||
Items that may be reclassified subsequently to profit or loss: | (3,317) | 8,506 | 509 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | (4,049) | 8,923 | 32 |
– reclassified and reported in profit for the year | 552 | 5 | 291 |
– net investment hedges - net fair value gains/(losses) on derivatives | 236 | (578) | 75 |
– net investment hedges - differences on exchange on borrowings | 9 | (21) | 24 |
Cash flow hedges | |||
– net fair value gains | 59 | 81 | 95 |
– reclassified and reported in profit for the year | 12 | 101 | 32 |
– tax on net fair value gains in respect of cash flow hedges | (23) | (17) | (32) |
Investments held at fair value | |||
– net fair value (losses)/gains | (6) | 6 | 9 |
Associates – share of OCI, net of tax | (107) | 6 | (17) |
Items that will not be reclassified subsequently to profit or loss: | (57) | 201 | 313 |
Retirement benefit schemes | |||
– net actuarial (losses)/gains | (106) | 316 | 382 |
– surplus recognition | 24 | (39) | (1) |
– tax on actuarial losses/(gains) in respect of subsidiaries | 30 | (95) | (82) |
Associates – share of OCI, net of tax | (5) | 19 | 14 |
Total other comprehensive (expense)/income for the year, net of tax | (3,374) | 8,707 | 822 |
Total comprehensive (expense)/income for the year, net of tax | (17,563) | 15,553 | 7,796 |
Attributable to: | |||
Owners of the parent | (17,699) | 15,370 | 7,622 |
Non-controlling interests | 136 | 183 | 174 |
Total comprehensive (expense)/income for the year, net of tax | £ (17,563) | £ 15,553 | £ 7,796 |
Group Statement of changes in E
Group Statement of changes in Equity - GBP (£) £ in Millions | Total | held in employee share ownership trusts | Presented In C I E | Total attributable to owners of parent £m | Total attributable to owners of parent £m held in employee share ownership trusts | Total attributable to owners of parent £m Presented In C I E | Share capital £m | Share premium, capital redemption and merger reserves £m | Other reserves £m | Other reserves £m held in employee share ownership trusts | Other reserves £m Presented In C I E | Retained earnings £m | Retained earnings £m held in employee share ownership trusts | In respect of assets held-for-sale £m | Perpetual hybrid bonds | Non- controlling interests £m |
Balance, beginning at Dec. 31, 2020 | £ 62,955 | £ 62,673 | £ 614 | £ 26,618 | £ (6,600) | £ 42,041 | £ 0 | £ 282 | ||||||||
Total comprehensive (expense)/income for the year, net of tax | 7,796 | 7,622 | 523 | 7,099 | 174 | |||||||||||
(Loss)/profit for the year | 6,974 | 6,801 | 0 | 6,801 | 173 | |||||||||||
Other comprehensive (expense)/income for the year | 822 | 821 | 523 | 298 | 1 | |||||||||||
Other changes in equity | ||||||||||||||||
Cash flow hedges reclassified and reported in total assets | £ 45 | £ 45 | 45 | £ 45 | ||||||||||||
Employee share options | ||||||||||||||||
value of employee services | 76 | 76 | 0 | 76 | ||||||||||||
treasury shares used for share option schemes | 0 | 0 | 4 | 0 | (4) | |||||||||||
Dividends and other appropriations | ||||||||||||||||
ordinary shares | (4,904) | (4,904) | 0 | (4,904) | ||||||||||||
to non-controlling interests | (162) | 0 | (162) | |||||||||||||
Purchase of own shares | ||||||||||||||||
held in employee share ownership trusts | £ (82) | £ (82) | £ 0 | £ (82) | ||||||||||||
Perpetual hybrid bonds | ||||||||||||||||
proceeds, net of issuance fees | 1,681 | 0 | 1,681 | |||||||||||||
tax on issuance fees | 4 | 0 | 4 | |||||||||||||
coupons paid | (6) | (6) | 0 | (6) | ||||||||||||
tax on coupons paid | 1 | 1 | 0 | 1 | ||||||||||||
Non-controlling interests – acquisitions | (5) | (5) | 0 | (5) | ||||||||||||
Other movements – non-controlling interests | 6 | 0 | 6 | |||||||||||||
Other movements | (4) | (4) | 0 | (4) | ||||||||||||
Balance, ending at Dec. 31, 2021 | 67,401 | 65,416 | 614 | 26,622 | (6,032) | 44,212 | £ 0 | 1,685 | 300 | |||||||
Total comprehensive (expense)/income for the year, net of tax | 15,553 | 15,370 | 8,521 | 6,849 | 183 | |||||||||||
(Loss)/profit for the year | 6,846 | 6,666 | 0 | 6,666 | 180 | |||||||||||
Other comprehensive (expense)/income for the year | 8,707 | 8,704 | 8,521 | 183 | 3 | |||||||||||
Other changes in equity | ||||||||||||||||
Cash flow hedges reclassified and reported in total assets | 129 | 129 | (129) | 129 | ||||||||||||
Employee share options | ||||||||||||||||
value of employee services | 81 | 81 | 0 | 81 | ||||||||||||
proceeds from new shares issued | 5 | 5 | 5 | |||||||||||||
treasury shares used for share option schemes | 0 | 0 | 1 | 0 | (1) | |||||||||||
Dividends and other appropriations | ||||||||||||||||
ordinary shares | (4,915) | (4,915) | 0 | (4,915) | ||||||||||||
to non-controlling interests | (141) | 0 | (141) | |||||||||||||
Purchase of own shares | ||||||||||||||||
held in employee share ownership trusts | (80) | £ (80) | 0 | (80) | ||||||||||||
share buy-back programme | (2,012) | (2,012) | 0 | (2,012) | ||||||||||||
Perpetual hybrid bonds | ||||||||||||||||
coupons paid | (59) | (59) | 0 | (59) | ||||||||||||
tax on coupons paid | 11 | 11 | 0 | 11 | ||||||||||||
Non-controlling interests – acquisitions | (1) | (1) | 0 | (1) | ||||||||||||
Reclassification of equity in respect of assets classified as held-for-sale | 0 | 0 | 295 | (295) | ||||||||||||
Other movements | (4) | (4) | 0 | (4) | ||||||||||||
Balance, ending at Dec. 31, 2022 | 75,710 | 73,683 | 614 | 26,628 | 2,655 | 44,081 | (295) | 1,685 | 342 | |||||||
Total comprehensive (expense)/income for the year, net of tax | (17,563) | (17,699) | (3,281) | (14,418) | 136 | |||||||||||
(Loss)/profit for the year | (14,189) | (14,367) | 0 | (14,367) | 178 | |||||||||||
Other comprehensive (expense)/income for the year | (3,374) | (3,332) | (3,281) | (51) | (42) | |||||||||||
Other changes in equity | ||||||||||||||||
Cash flow hedges reclassified and reported in total assets | £ 27 | £ 27 | 27 | £ 27 | ||||||||||||
Employee share options | ||||||||||||||||
value of employee services | 71 | 71 | 0 | 71 | ||||||||||||
proceeds from new shares issued | 2 | 2 | 2 | |||||||||||||
treasury shares used for share option schemes | 0 | |||||||||||||||
Dividends and other appropriations | ||||||||||||||||
ordinary shares | (5,071) | (5,071) | 0 | (5,071) | ||||||||||||
to non-controlling interests | (110) | 0 | (110) | |||||||||||||
Purchase of own shares | ||||||||||||||||
held in employee share ownership trusts | £ (110) | (110) | £ 0 | £ (110) | ||||||||||||
Perpetual hybrid bonds | ||||||||||||||||
coupons paid | (58) | (58) | 0 | (58) | ||||||||||||
tax on coupons paid | 14 | 14 | 0 | 14 | ||||||||||||
Reclassification of equity in respect of assets classified as held-for-sale | 0 | 0 | (295) | 295 | ||||||||||||
Other movements | 22 | 22 | 0 | 22 | ||||||||||||
Balance, ending at Dec. 31, 2023 | £ 52,934 | £ 50,881 | £ 614 | £ 26,630 | £ (894) | £ 24,531 | £ 0 | £ 1,685 | £ 368 |
Group Balance Sheet
Group Balance Sheet - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Intangible assets | £ 95,562 | £ 129,075 |
Property, plant and equipment | 4,583 | 4,867 |
Investments in associates and joint ventures | 1,970 | 2,020 |
Retirement benefit assets | 956 | 1,000 |
Deferred tax assets | 911 | 682 |
Trade and other receivables | 321 | 241 |
Investments held at fair value | 118 | 121 |
Derivative financial instruments | 109 | 131 |
Total non-current assets | 104,530 | 138,137 |
Inventories | 4,938 | 5,671 |
Income tax receivable | 172 | 149 |
Trade and other receivables | 3,621 | 4,367 |
Investments held at fair value | 601 | 579 |
Derivative financial instruments | 181 | 430 |
Cash and cash equivalents | 4,659 | 3,446 |
Total current assets other than non-current assets classified as held for sale | 14,172 | 14,642 |
Assets classified as held-for-sale | 14 | 767 |
Total current assets | 14,186 | 15,409 |
Total assets | 118,716 | 153,546 |
Equity – capital and reserves | ||
Share capital | 614 | 614 |
Share premium, capital redemption and merger reserves | 26,630 | 26,628 |
Other reserves | (894) | 2,655 |
Retained earnings | 24,531 | 44,081 |
In respect of assets held-for-sale | 0 | (295) |
Owners of the parent | 50,881 | 73,683 |
Perpetual hybrid bonds | 1,685 | 1,685 |
Non-controlling interests | 368 | 342 |
Total equity | 52,934 | 75,710 |
Liabilities | ||
Non-current borrowings | 35,406 | 38,726 |
Retirement benefit liabilities | 881 | 949 |
Deferred tax liabilities | 12,192 | 18,428 |
Other provisions for liabilities | 531 | 434 |
Trade and other payables | 893 | 944 |
Derivative financial instruments | 206 | 502 |
Non-current liabilities | 50,109 | 59,983 |
Current borrowings | 4,324 | 4,413 |
Income tax payable | 992 | 1,049 |
Other provisions for liabilities | 468 | 1,087 |
Trade and other payables | 9,700 | 10,449 |
Derivative financial instruments | 189 | 427 |
Current liabilities other than liabilities included in disposal groups classified as held for sale | 15,673 | 17,425 |
Liabilities associated with assets classified as held-for-sale | 0 | 428 |
Current liabilities | 15,673 | 17,853 |
Total equity and liabilities | £ 118,716 | £ 153,546 |
Group Cash Flow Statement
Group Cash Flow Statement - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Statement of cash flows [abstract] | ||||
(Loss)/profit for the year | £ (14,189) | £ 6,846 | £ 6,974 | |
Taxation on ordinary activities | (2,872) | 2,478 | 2,189 | |
Share of post-tax results of associates and joint ventures | (585) | (442) | (415) | |
Net finance costs | 1,895 | 1,641 | 1,486 | |
Profit/(loss) from operations | (15,751) | 10,523 | 10,234 | |
Adjustments for | ||||
– depreciation, amortisation and impairment costs | 28,614 | 1,305 | 1,076 | |
– decrease/(increase) in inventories | 265 | (246) | 433 | |
– increase in trade and other receivables | (487) | (42) | (393) | |
– decrease in Master Settlement Agreement payable | (287) | (145) | (36) | |
– increase in trade and other payables | 640 | 3 | 183 | |
– decrease in net retirement benefit liabilities | (111) | (110) | (104) | |
– (decrease)/increase in other provisions for liabilities | (489) | 643 | (145) | |
– other non-cash items | 436 | 606 | 430 | |
Cash generated from operating activities | 12,830 | 12,537 | 11,678 | |
Dividends received from associates | 506 | 394 | 353 | |
Tax paid | (2,622) | (2,537) | (2,314) | |
Net cash generated from operating activities | 10,714 | 10,394 | 9,717 | |
Cash flows from investing activities | ||||
Interest received | 145 | 85 | 33 | |
Purchases of property, plant and equipment | (460) | (523) | (527) | |
Proceeds on disposal of property, plant and equipment | 54 | 31 | 31 | |
Purchases of intangibles | (141) | (133) | (218) | |
Proceeds on disposals of intangibles | 27 | 3 | 0 | |
Purchases of investments | (448) | (257) | (369) | |
Proceeds on disposals of investments | 405 | 128 | 141 | |
Investment in associates and acquisitions of other subsidiaries net of cash acquired | (37) | (39) | (133) | |
Disposal of subsidiary, net of cash disposed of | 159 | 0 | (98) | |
Net cash used in investing activities | (296) | (705) | (1,140) | |
Cash flows from financing activities | ||||
Interest paid | (1,682) | (1,578) | (1,479) | |
Interest element of lease liabilities | (30) | (25) | (23) | |
Capital element of lease liabilities | (162) | (161) | (154) | |
Proceeds from increases in and new borrowings | 5,134 | 3,267 | 978 | |
Reductions in and repayments of borrowings | (6,769) | (3,044) | (4,843) | |
(Outflows)/inflows relating to derivative financial instruments | (480) | (117) | 229 | |
Purchase of own shares | 0 | (2,012) | 0 | |
Purchases of own shares held in employee share ownership trusts | (110) | (80) | (82) | |
Proceeds from the issue of perpetual hybrid bonds, net of issuance costs | 0 | 0 | 1,681 | |
Coupon paid on perpetual hybrid bonds | (59) | (60) | (6) | |
Dividends paid to owners of the parent | (5,055) | (4,915) | (4,904) | |
Capital injection from and purchases of non-controlling interests | 0 | (1) | 1 | |
Dividends paid to non-controlling interests | (105) | (158) | (150) | |
Other | 4 | 6 | 3 | |
Net cash used in financing activities | (9,314) | (8,878) | (8,749) | |
Net cash flows generated from/(used in) operating, investing and financing activities | 1,104 | 811 | (172) | |
Transferred from/(to) held-for-sale | [1] | 368 | (368) | 0 |
Differences on exchange | (292) | 431 | (253) | |
Increase/(decrease) in net cash and cash equivalents in the year | 1,180 | 874 | (425) | |
Net cash and cash equivalents at 1 January | 3,337 | 2,463 | 2,888 | |
Net cash and cash equivalents at 31 December | £ 4,517 | £ 3,337 | £ 2,463 | |
[1] Included in the transferred from held-for-sale in 2023 is £102 million of foreign exchange loss due to the devaluation of the Russian ruble, as explained in note 27(d)(i) . |
Accounting policies
Accounting policies | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Accounting Policies [Abstract] | |
Accounting policies | 1 Accounting policies Basis of preparation The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB) and UK-adopted international accounting standards. UK-adopted international accounting standards differ in certain respects from IFRS as issued by the IASB. The differences have no impact on the Group’s consolidated financial statements for the periods presented. The consolidated financial statements have been prepared on a going concern basis under the historical cost convention except as described in the accounting policy below on financial instruments. In performing its going concern assessment, Management considered forecasts and liquidity requirements covering a period of at least twelve months from the date of approval of the financial statements and including the Group’s ability to fund its operations and generate cash to pay for debt as it falls due and takes into account the payments arising from the Master Settlement Agreement due in the U.S. in 2024 and other known liabilities or future payments (including interim dividends), as they fall due. This assessment includes consideration of geopolitical events in Europe and the general outlook in the global economy, as well as plausible downside scenarios after taking into account the Group’s Principal Risks and how they could impact the Group’s operations. Any mitigating actions, should they be required, are all within management’s control and could include reductions in discretionary spending such as acquisitions and capital expenditure, or drawdowns on committed facilities. After reviewing the Group’s annual budget, plans and financing arrangements, the Directors consider that the Group has adequate resources to continue operating and that it is therefore appropriate to continue to adopt the going concern basis in preparing the Annual Report and Form 20‑F. In preparing the financial statements, Management has considered the impact of climate change and determined that the impact is not expected to be material: – On the going concern of the Group; – On the Group’s assessment of future cash flows (including as related to the capital expenditure plans as related to the Group’s Scope 1 and 2 GHG emission reduction commitments) as used in impairment assessments for the value in use of non-current assets including goodwill (note 12(b) ); and – In respect of factors including useful lives and residual values that determine the carrying value of non-financial current assets. There has been no material impact identified on the financial reporting judgements and estimates. Management is aware that the risks related to climate change are developing and ever changing. Accordingly, these judgements and estimates will be kept under review as the future impacts of climate change on the Group’s financial statements depend on environmental, regulatory and other factors outside of the Group’s control which are not all currently known. The preparation of the consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities at the date of the financial statements. The key estimates and assumptions are set out in the accounting policies below, together with the related notes to the accounts. The critical accounting judgements include: – the determination as to whether control (subsidiaries), joint control (joint arrangements), or significant influence (associates) exists in relation to the investments held by the Group. This is assessed after taking into account the Group’s ability to appoint Directors to the entity’s Board, its relative shareholding compared with other shareholders, any significant contracts or arrangements with the entity or its other shareholders and other relevant facts and circumstances. The application of these policies to Group subsidiaries in territories, including Canada, is explained in note 32 ; – the determination as to whether the disposal of a business or businesses is significant enough to require disclosure in current and prior years as a discontinued operation; – the review of applicable exchange rates for transactions with and translation of entities in territories where there are restrictions on free access to foreign currency, or multiple exchange rates; – the determination as to whether to recognise provisions and the exposures to contingent liabilities related to pending litigation or other outstanding claims, as well as other contingent liabilities. The accounting policy on contingent liabilities, which are not provided for, is set out below and the contingent liabilities of the Group are explained in note 31 . Judgement is necessary to assess the likelihood that a pending claim is probable (more likely than not to succeed), possible or remote; – the determination as to whether perpetual hybrid bonds should be classified as equity instead of borrowings (note 22(d) ); and – the identification and quantification of adjusting items. These are separately disclosed as memorandum information as explained below, and the impact of these on the calculation of adjusted earnings per share is described in note 11 . The critical accounting estimates include: – the review of asset values, including indefinite life assets, such as goodwill and certain trademarks and similar intangibles. The key assumptions used in respect of the impairment testing are the determination of cash-generating units, the budgeted and forecast cash flows of these units, the long-term growth rate for cash flow projections and the rate used to discount the cash flow projections. These are described in note 12 ; – the estimation of amounts to be recognised in respect of taxation and legal matters, and the estimation of other provisions for liabilities and charges are subject to uncertain future events, may extend over several years and so the amount and/or timing may differ from current assumptions. The accounting policy for taxation is explained below. The recognised deferred tax assets and liabilities, together with a note of unrecognised amounts, are shown in note 16 , and a contingent tax asset is explained in note 10(b) . Other provisions for liabilities and charges are as set out in note 24 . Litigation related deposits are shown in note 17 . The application of these accounting policies to the payments made and credits recognised under the Master Settlement Agreement by Reynolds American Inc. (Reynolds American) is described in note 6(b) ; and – the estimation of and accounting for retirement benefit costs. The determination of the carrying value of assets and liabilities, as well as the charge for the year, and amounts recognised in other comprehensive income, involves judgements made in conjunction with independent actuaries. These involve estimates about uncertain future events on a country-by-country basis, including life expectancy of scheme members, salary and pension increases, inflation, as well as discount rates and asset values at the year-end. The assumptions used by the Group and sensitivity analyses are described in note 15 . Such estimates and assumptions are based on historical experience and various other factors that are believed to be reasonable in the circumstances and constitute management’s best judgement at the date of the financial statements. In the future, actual experience may deviate from these estimates and assumptions, which could affect the financial statements as the original estimates and assumptions are modified, as appropriate, in the year in which the circumstances change. These consolidated financial statements were authorised for issue by the Board of Directors on 7 February 2024 . With effect from 1 January 2023, the Group has adopted two Amendments to IAS 12 Income Taxes : in respect of deferred tax in relation to assets and liabilities arising from a single transaction; and in respect of exceptions from the recognition and disclosure of deferred tax related to income taxes arising from tax law enacted or substantively enacted to implement the Pillar Two model rules published by the Organisation for Economic Co-operation and Development (OECD), including tax law that implements qualified domestic minimum top-up taxes described in those rules. The impact of applying these amendments was not material. In addition, an Amendment to IAS 1 Presentation of Financial Statements requires the disclosure of material accounting policy information as part of the Notes to the Accounts and these are set out below. Accounting policy information is material if, when considered together with other information included in an entity’s financial statements, it can reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements. Basis of consolidation The consolidated financial information includes the financial statements of British American Tobacco p.l.c. and its subsidiary undertakings, collectively ‘the Group’, together with the Group’s share of the results of its associates and joint arrangements. A subsidiary is an entity controlled by the Group. Non-controlling interests represent the share of earnings or equity in subsidiaries that is not attributable, directly or indirectly, to shareholders of the Group. Identifiable assets and liabilities acquired in a business combination are measured at fair value at the date of acquiring control. Disposals of subsidiaries and businesses due to sale or market withdrawal are accounted for as disposals from the date of losing control and may be classified as held-for-sale disposal groups at the balance sheet date if specific tests under IFRS 5 Non-current Assets Held For Sale and Discontinued Operations are met. Discontinued operations, where applicable, comprise material disposal groups representing a significant geographical area of operations or business activities. Associates comprise investments in undertakings, which are not subsidiary undertakings or joint arrangements, where the Group exercises significant influence. They are accounted for using the equity method. Joint arrangements comprise contractual arrangements where two or more parties have joint control and where decisions regarding the relevant activities of the entity require unanimous consent. Joint ventures are accounted for using the equity method. The Group accounts for its share of the assets, liabilities, income and expenses of joint operations. F oreign currencies and hyperinflationary territories The functional currency of the Parent Company is sterling and this is also the presentation currency of the Group. The income and cash flow statements of Group undertakings expressed in currencies other than sterling are translated to sterling using exchange rates applicable to the dates of the underlying transactions. Average rates of exchange in each year are used where the average rate approximates the relevant exchange rate at the date of the underlying transactions. Assets and liabilities of Group undertakings are translated at the applicable rates of exchange at the end of each year. In territories where there are restrictions on free access to foreign currency or multiple exchange rates, the applicable rates of exchange are regularly reviewed. The differences arising on the retranslation to sterling of Group undertakings with functional currencies other than sterling are presented as a separate component of equity in the Translation reserve within Other reserves, as shown in note 22 . They are recognised in the income statement when the gain or loss on disposal of a Group undertaking is recognised. Transactional foreign exchange gains and losses on the revaluation or settlement of receivables and payables are recognised in the income statement, except when deferred in equity on intercompany net investment loans, on qualifying net investment hedges, or as qualifying cash flow hedges. Foreign exchange gains or losses recognised in the income statement are included in profit from operations or net finance costs depending on the underlying transactions that gave rise to these exchange differences. In addition, for hyperinflationary countries where the effect on the Group results would be significant, the financial statements in local currency are adjusted to reflect the impact of local inflation prior to translation into sterling, in accordance with IAS 29 Financial Reporting in Hyperinflationary Economies . Where applicable, IAS 29 requires all transactions to be indexed by an inflationary factor to the balance sheet date, potentially leading to a monetary gain or loss on indexation. The results and balance sheets of operations in hyperinflationary territories are translated at the period end rate. Provisions, contingent liabilities and contingent assets Provisions are recognised when either a legal or constructive obligation as a result of a past event exists at the balance sheet date, it is probable that an outflow of economic resources will be required to settle the obligation and a reasonable estimate can be made of the amount of the obligation. Subsidiaries and associate companies are defendants in tobacco- related and other litigation. These exposures are regularly reviewed on an on-going basis and provision for this litigation (including legal costs) is made at such time as an unfavourable outcome becomes probable and the amount can be reasonably estimated. Contingent assets are possible assets whose existence will only be confirmed by future events not wholly within the control of the entity and are not recognised as assets until the realisation of income is virtually certain. Where a provision has not been recognised, the Group records its external legal fees and other external defence costs for tobacco- related and other litigation as these costs are incurred. As explained in note 17 , certain litigation-related deposits are recognised as assets within loans and other receivables where management has determined that these payments represent a resource controlled by the entity. These deposits are held at the fair value of consideration transferred less impairment, if applicable , and have not been discounted. Taxation Tax is chargeable on the profits for the period, together with deferred tax. The current income tax charge is calculated on the basis of tax laws enacted or substantively enacted at the balance sheet date in the countries where the Group’s subsidiaries, associates and joint arrangements operate and generate taxable income. Deferred tax is determined using the tax rates that have been enacted or substantively enacted by the balance sheet date and are expected to apply when the related deferred tax asset is realised or deferred tax liability is settled. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the asset can be utilised. Tax is recognised in the income statement except to the extent that it relates to items recognised in other comprehensive income or directly in equity, in which case it is recognised in the statement of other comprehensive income or the statement of changes in equity. The Group has exposures in respect of the payment or recovery of taxes and the financial statements reflect the probable outcome with estimated amounts determined based on the most likely amount or the expected value, depending on which method is expected to better predict the resolution of the uncertainty. Equity instruments Instruments are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements. Instruments that cannot be settled in the Group’s own equity instruments and that include no contractual obligation to deliver cash or another financial asset are classified as equity. Equity instruments issued by the Group are recognised at the proceeds received, net of issuance costs . Goodwill Goodwill in respect of the acquisition of subsidiaries is included in intangible assets, net of impairment, where applicable. In respect of associates and joint ventures, goodwill is included in the carrying value of the investment in the associated company or joint venture. Intangible assets other than goodwill The intangible assets shown on the Group balance sheet consist mainly of trademarks and similar intangibles, including certain intellectual property, acquired by the Group’s subsidiary undertakings and computer software. Acquired trademarks and similar assets are carried at cost less accumulated amortisation and impairment. Trademarks with indefinite lives are not amortised but are reviewed annually for impairment. Other trademarks and similar assets are amortised on a straight-line basis over their remaining useful lives, consistent with the pattern of economic benefits expected to be received, which do not exceed 20 years . Any impairments of trademarks are recognised in the income statement, but increases in trademark values are not recognised. With effect from 1 January 2024, the Group’s indefinite-lived combustible trademarks and similar assets will be amortised on a straight-lined basis over periods not exceeding 30 years . The revision in useful economic life reflects the ongoing challenging macro-economic conditions and revised forecast in the U.S., with an expected increase in amortisation expense of £ 1.4 billion per annum. The Group's non-combustible trademarks will remain as indefinite-lived assets. Computer software is carried at cost less accumulated amortisation and impairment, and, with the exception of global software solutions, is amortised on a straight-line basis over periods ranging from three years to five years . Global software solutions are software assets designed to be implemented on a global basis and used as a standard solution by all of the operating companies in the Group. Historically, these assets were amortised on a straight-line basis over periods not exceeding 13 years . With effect from 1 January 2023, global software solutions are amortised on a straight-line basis over periods not exceeding 15 years. The revision in useful life is a result of ongoing use of Global software solutions due to the extension of third-party supplier support. The estimated impact of this change in accounting estimate is a reduction in annual amortisation expense of £16 million in 2023 , with similar reductions expected in 2024 and 2025 . Property, plant and equipment Purchased property, plant and equipment are stated at cost less accumulated depreciation and impairment. Depreciation is calculated on a straight-line basis to write off the assets over their useful economic life. Purchased freehold and leasehold property are depreciated at rates between 2.5% and 4% per annum, and plant and equipment at rates between 3% and 25% per annum. No depreciation is provided on freehold land or assets classified as held-for-sale. Non-current assets are classified as held-for sale if their carrying value will be recovered principally through a sale transaction rather than through continuing use and if all of the conditions of IFRS 5 are met . Leased assets and lease liabilities The Group applies IFRS 16 Leases to contractual arrangements which are, or contain, leases of assets. Right-of-use assets are included as part of property, plant and equipment in note 13 , with the lease liabilities included as part of borrowings in note 23 . Right- of-use lease assets are initially recognised at an amount equal to the lease liability, adjusted for initial direct costs in relation to the assets, then depreciated over the shorter of the lease term and their estimated useful lives. Lease liabilities are initially recognised at an amount equal to the present value of estimated contractual lease payments at the inception of the lease, discounted using the interest rate implicit in the lease if this can be readily determined, or the applicable incremental rate of borrowing, as appropriate. The Group has adopted several practical expedients available under the Standard including not applying the requirements of IFRS 16 to leases of intangible assets, and not applying the recognition and measurement requirements of IFRS 16 to leases of less than 12 months maximum duration or to leases of low-value assets. Except for property-related leases, non-lease components have not been separated from lease components. Impairment of non-financial assets Assets are reviewed for impairment whenever events indicate that the carrying amount of a cash-generating unit may not be recoverable. In addition, assets that have indefinite useful lives are tested annually for impairment. An impairment loss is recognised to the extent that the carrying value exceeds the higher of the asset’s fair value less costs to sell and its value-in-use. A cash-generating unit is the smallest identifiable group of assets that generates cash flows which are largely independent of the cash flows from other assets or groups of assets. At the acquisition date, any goodwill acquired is allocated to the relevant cash-generating unit or group of cash-generating units expected to benefit from the acquisition for the purpose of impairment testing of goodwill. Retirement benefit schemes The Group's subsidiary undertakings operate various funded and unfunded defined benefit schemes, including pension and post- retirement healthcare schemes, as well as defined contribution schemes in various jurisdictions. The liabilities arising in respect of defined benefit schemes are determined in accordance with the advice of independent, professionally qualified actuaries, using the projected unit credit method. The net deficit or surplus for each defined benefit pension scheme is calculated on the present value of the defined benefit obligation at the balance sheet date less the fair value of the scheme assets adjusted, where appropriate, for any surplus restrictions or the effect of minimum funding requirements. Benefits provided through defined contribution schemes are charged as an expense as payments fall due. Financial instruments The Group’s business model for managing financial assets aims: to protect against the loss of principal, to maximise Group liquidity by concentrating cash at the centre, to align the maturity profile of external investments with that of the forecast liquidity profile, to match the interest rate profile of external investments to that of debt maturities or fixings wherever practicable, and to optimise the investment yield within the Group’s investment parameters. The majority of financial assets are held in order to collect contractual cash flows (typically cash and cash equivalents and loans and other receivables), but some assets (typically investments) are held for investment potential. Financial assets and financial liabilities are recognised when the Group becomes a party to the contractual provisions of the relevant instrument and derecognised when it ceases to be a party to such provisions. Non-derivative financial assets are classified on initial recognition in accordance with the Group’s business model as investments, loans and receivables, or cash and cash equivalents and accounted for as follows: – Investments : these are non-derivative financial assets that cannot be classified as loans and other receivables or cash and cash equivalents. Dividend and interest income on these investments are included within finance income when the Group’s right to receive payments is established. This category includes financial assets at fair value through profit and loss and financial assets at fair value through other comprehensive income. – Loans and other receivables : these are non-derivative finan cial assets with fixed or determinable payments that are solely payments of principal and interest on the principal amount outstanding, that are primarily held in order to collect contractual cash flows. These balances are measured at amortised cost, using the effective interest rate method, and stated net of allowances for credit losses, and include trade and other receivables, and deposits with banks and other financial institutions which cannot be classified as cash and cash equivalents. In addition, as explained in no te 17 , certain litigation related deposits are recognised as assets within loans and other receivables where management has determined that these payments represent a resource controlled by the entity as a result of past events. These deposits are held at the fair value of consideration transferred less impairment, if applicable, and have not been discounted. – Cash and cash equivalents : cash and cash equivalents include cash in hand and deposits held on call, together with other short- term highly liquid investments including investments in certain money market funds. Fair values for quoted investments are based on observable market prices. If there is no active market for a financial asset, the fair value is established by using valuation techniques principally involving discounted cash flow analysis. Non-derivative financial liabilities , including borrowings and trade payables, are stated at amortised cost using the effective interest method. For borrowings, their carrying value includes accrued interest payable, as well as unamortised issue costs. Drawdowns and repayments of short-term borrowings which have a maturity period of three months or less are stated net in the cash flow statement; drawdowns and repayments on all other borrowings are stated gross in the cash flow statement. Current liabilities include amounts where the entity does not have an unconditional right to defer settlement of the liability for at least 12 months after the balance sheet date. As shown in note 23 , certain borrowings are subject to fair value hedges, as defined below. Derivative financial assets and liabilities are initially recognised, and subsequently measured, at fair value, which includes accrued interest receivable and payable where relevant. Changes in their fair values are recognised as follows: – for derivatives that are designated as cash flow hedges, the changes in their fair values are recognised directly in other comprehensive income, to the extent that they are effective, with the ineffective portion being recognised in the income statement. Accumulated gains and losses are reclassified to the income statement in the same periods as the hedged item, unless the hedged item results in a non-financial asset where the accumulated gains and losses are included in the initial carrying value of the asset (basis adjustment); – for derivatives that are designated as fair value hedges, the carrying value of the hedged item is adjusted for the fair value changes attributable to the risk being hedged, with the corresponding entry being made in the income statement. The changes in fair value of these derivatives are also recognised in the income statement; – for derivatives that are designated as hedges of net investments in foreign operations, the changes in their fair values are recognised directly in other comprehensive income, to the extent that they are effective, with the ineffective portion being recognised in the income statement. Where non-derivatives such as foreign currency borrowings are designated as net investment hedges, the relevant exchange differences are similarly recognised. The accumulated gains and losses are reclassified to the income statement when the foreign operation is disposed of; and – for derivatives that do not qualify for hedge accounting or are not designated as hedges, the changes in their fair values are recognised in the income statement in the period in which they arise. These are referred to as ‘held-for-trading’. In order to qualify for hedge accounting, the Group is required to demonstrate an assessment of the economic relationship between the item being hedged and the hedging instrument, which shows that the hedge will be highly effective on an ongoing basis. This effectiveness testing is re-performed periodically to ensure that the hedge has remained, and is expected to remain, highly effective. Hedge accounting is discontinued when a hedging instrument is derecognised (e.g. through expiry or disposal), or no longer qualifies for hedge accounting. Where the hedged item is a highly probable forecast transaction, the related gains and losses remain in equity until the transaction takes place, when they are reclassified to the income statement in the same manner as for cash flow hedges as described above. When a hedged future transaction is no longer expected to occur, any related gains and losses, previously recognised in other comprehensive income, are immediately reclassified to the income statement. Derivative fair value changes recognised in the income statement are either reflected in arriving at profit from operations (if the hedged item is similarly reflected) or in finance costs . Impairment of financial assets held at amortised cost Loss allowances for expected credit losses on financial assets which are held at amortised cost are recognised on initial recognition of the underlying asset. As permitted by IFRS 9 Financial Instruments , loss allowances on trade receivables arising from the recognition of revenue under IFRS 15 Revenue from Contracts with Customers are initially measured at an amount equal to lifetime expected losses. Allowances in respect of loans and other receivables are initially recognised at an amount equal to 12-month expected credit losses. Allowances are measured at an amount equal to the lifetime expected credit losses where the credit risk on the receivables increases significantly after initial recognition. Revenue Revenue principally comprises sales of cigarettes, other tobacco products, and nicotine products, to external customers. Revenue excludes duty, excise and other taxes related to sales in the period and is stated after deducting rebates, returns and other similar discounts and payments to direct and indirect customers. For the vast majority of the Group’s sales, revenue is recognised when control of the goods is transferred to a customer at a point in time; this is usually evidenced by a transfer of the significant risks and rewards of ownership upon delivery to the customer, which in terms of timing is not materially different to the date of shipping. For certain e-commerce subscription sales, revenue is allocated to each component of the subscription, with revenue recognised as each component is delivered to the customer. These sales are not material to the Group’s results. Inventories Inventories are stated at the lower of cost and net realisable value. Cost is based on the weighted average cost incurred in acquiring inventories and bringing them to their existing location and condition, which will include raw materials, direct labour and overheads, where appropriate. Net realisable value is the estimated selling price less costs to completion and sale. Tobacco inventories which have an operating cycle that exceeds 12 months are classified as current assets, consistent with recognised industry practice. Segmental analysis The Group is organised and managed on the basis of its geographic regions. These are the reportable segments for the Group as they form the focus of the Group’s internal reporting systems and are the basis used by the chief operating decision maker, identified as the Management Board, for assessing performance and allocating resources. While the Group has clearly differentiated brands, global segmentation between a wide portfolio of brands is not part of the regular internally reported financial information. The results of New Category products are reported as part of the results of each geographic region. Adjusting items Adjusting items are significant items of income or expense in revenue, profit from operations, net finance costs, taxation and the Group’s share of the post-tax results of associates and joint ventures which individually or, if of a similar type, in aggregate, are relevant to an understanding of the Group’s underlying financial performance because of their size, nature or incidence. In identifying and quantifying adjusting items, the Group consistently applies a policy that defines criteria that are required to be met for an item to be classified as adjusting. These items are separately disclosed in the segmental analyses or in the notes to the accounts as appropriat |
Segmental analyses (revised)
Segmental analyses (revised) | 12 Months Ended |
Dec. 31, 2023 | |
Reportable Segments [Abstract] | |
Segmental analyses (revised) | 2 Segmental analyses (revised) 1 The chief operating decision maker, the Management Board, reviews adjusted profit from operations at constant currencies to evaluate segment performance and allocate resources to the overall business on a geographic region basis, including the results of New Categories (comprising Vapour products, Heated Products and Modern Oral products), which are reported to the Management Board as part of the results of each geographic region. The Management Board also reviews, at constant currencies, revenues on a geographic region basis, which are included within adjusted profit from operations. As part of plans to reduce complexity and drive efficiency in management structures and achieve a better balance in the scale of the Group's regions, the management structure was reduced from four regions to three regions, with the new organisational structures in place beginning April 2023 as follows: – Americas and Europe (AME), comprising largely the former Europe region with the inclusion of the markets in Latin America and Canada that were part of the former AmSSA region; – Asia-Pacific, Middle East and Africa (APMEA) comprising the former APME region with the inclusion of the markets in Sub-Saharan Africa. Armenia, Azerbaijan, Caucasus, Georgia, Kazakhstan, Kyrgyzstan, Mongolia, Tajikistan, Turkmenistan and Uzbekistan that were part of the former Europe region are now included as part of APMEA; and – the U.S. has remained unchanged. The three geographic regions are the reportable segments for the Group as they form the focus of the Group’s internal reporting systems and are the basis used by the Management Board for assessing performance and allocating resources. Transactions between Group subsidiaries are conducted on arm’s length terms in accordance with appropriate transfer pricing rules and Organisation for Economic Cooperation & Development (OECD) principles. Net finance costs (comprising interest income and interest expense), share of post-tax results of associates and joint ventures and taxation are centrally managed, and accordingly, such items are not presented by segment as they are excluded from the measure of segment profitability. Regional Directors are responsible for delivering the operating and financial results of their Region inclusive of all product categories. Therefore, the results of New Categories (comprising Vapour products, Heated Products and Modern Oral products) are reported to the Management Board as part of the results of each geographic region. However, additional information has been provided to disaggregate revenue based on product category to enable investors to better compare the Group’s business performance across periods and by reference to the Group’s investment activity. In respect of the U.S. region, all financial statements and financial information provided by or with respect to the U.S. business or Reynolds American Inc. (RAI) (and/or RAI and its subsidiaries (collectively, the ‘Reynolds Group’)) are prepared on the basis of U.S. GAAP and constitute the primary financial statements or financial information of the U.S. business or RAI (and/or the Reynolds Group). Solely for the purpose of consolidation within the results of BAT p.l.c. and the BAT Group, this financial information is then converted to IFRS. To the extent any such financial information provided in these financial statements relates to the U.S. business or RAI (and/or the Reynolds Group), it is provided as an explanation of the U.S. business’s or RAI’s (and/or the Reynolds Group’s) primary U.S. GAAP based financial statements and information. The following table shows 2023 revenue at 2023 rates of exchange, and 2023 revenue translated using 2022 rates of exchange. The 2022 figures are stated at the 2022 rates of exchange. 2023 2022 Revenue constant rates £m Translation exchange £m Revenue current rates £m Revenue current rates £m U.S. 12,065 (71) 11,994 12,639 AME 9,989 (198) 9,791 9,287 APMEA 6,042 (544) 5,498 5,729 Revenue 28,096 (813) 27,283 27,655 Note: 1. Effective from 2023, the Group revised its regional structure from four regions to three , with the comparator data provided on this revised basis. The following table shows 2022 revenue at 2022 rates of exchange, and 2022 revenue translated using 2021 rates of exchange. The 2021 figures are stated at the 2021 rates of exchange. 2022 2021 Revenue constant rates £m Translation exchange £m Revenue current rates £m Revenue current rates £m U.S. 11,358 1,281 12,639 11,691 AME 9,119 168 9,287 8,444 APMEA 5,796 (67) 5,729 5,549 Revenue 26,273 1,382 27,655 25,684 The following table shows 2023 loss from operations and adjusted profit from operations at 2023 rates of exchange, and 2023 adjusted profit from operations using 2022 rates of exchange. 2023 Adjusted* segment result constant rates £m Translation exchange £m Adjusted* segment result current rates £m Adjusting* items £m Segment result current rates £m U.S. 6,863 (42) 6,821 (27,602) (20,781) AME 3,547 (87) 3,460 (266) 3,194 APMEA 2,379 (195) 2,184 (348) 1,836 Profit/(loss) from operations 12,789 (324) 12,465 (28,216) (15,751) Net finance costs (1,895) Share of post-tax results of associates and joint ventures 585 Loss before taxation (17,061) Taxation on ordinary activities 2,872 Loss for the year (14,189) Note: * The adjustments to profit from operations are explained in notes 3 , 4 , 5(a) , 6(d) , 6(f) , 6(h) , 6(j) and 7 . The following table shows 2022 profit from operations and adjusted profit from operations at 2022 rates of exchange, and 2022 adjusted profit from operations using 2021 rates of exchange. 2022 Adjusted* segment result constant rates £m Translation exchange £m Adjusted* segment result current rates £m Adjusting* items £m Segment result current rates £m U.S. 6,095 740 6,835 (630) 6,205 AME 3,268 80 3,348 (422) 2,926 APMEA 2,263 (38) 2,225 (833) 1,392 Profit from operations 11,626 782 12,408 (1,885) 10,523 Net finance costs (1,641) Share of post-tax results of associates and joint ventures 442 Profit before taxation 9,324 Taxation on ordinary activities (2,478) Profit for the year 6,846 Note: * The adjustments to profit from operations are explained in notes 3 , 4 , 5(a) , 6(d) , 6(f) , 6(h) , 6(i) , 6(j) , and 7 . The following table shows 2021 profit from operations and adjusted profit from operations at the 2021 rates of exchange. 2021 Adjusted* segment result £m Adjusting* items £m Segment result £m U.S. 5,887 (321) 5,566 AME 3,059 (157) 2,902 APMEA 2,204 (438) 1,766 Profit from operations 11,150 (916) 10,234 Net finance costs (1,486) Share of post-tax results of associates and joint ventures 415 Profit before taxation 9,163 Taxation on ordinary activities (2,189) Profit for the year 6,974 Note: * The adjustments to profit from operations are explained in notes 3 , 4 , 6(d) , 6(f) , 6(g) and 7 . Depreciation, amortisation and impairment charges Adjusted profit from operations at constant rates of exchange of £ 12,789 million ( 2022 at constant rates: £ 11,626 million; 2021 at current rates: £ 11,150 million) excludes adjusting depreciation, amortisation and impairment charges as explained in notes 4 and 7 . These are excluded from segmental adjusted profit from operations as per table below. 2023 and 2022 are disclosed at constant rates of exchange and 2021 is disclosed at current rate of exchange. 2023 Adjusted depreciation, amortisation and impairment constant rates £m Translation exchange £m Adjusted depreciation, amortisation and impairment current rates £m Adjusting items £m Deprecia tion, amortisation and impairment current rates £m U.S. 218 — 218 27,518 27,736 AME 333 3 336 44 380 APMEA 218 (13) 205 293 498 769 (10) 759 27,855 28,614 2022 Adjusted depreciation, amortisation and impairment constant rates £m Translation exchange £m Adjusted depreciation, amortisation and impairment current rates £m Adjusting items £m Depreciation, amortisation and impairment current rates £m U.S. 221 16 237 322 559 AME 363 10 373 116 489 APMEA 186 4 190 67 257 770 30 800 505 1,305 2021 Adjusted depreciation, amortisation and impairment £m Adjusting items £m Depreciation, amortisation and impairment £m U.S. 203 276 479 AME 333 56 389 APMEA 188 20 208 724 352 1,076 Additional information by product category Although the Group’s operations are managed on a Regional basis, additional information for revenue is provided based on product category as follows: Revenue 2023 £m 2022 £m 2021 £m New Categories 3,347 2,894 2,054 Vapour 1,812 1,436 927 HP 996 1,060 853 Modern Oral 539 398 274 Traditional Oral 1,163 1,209 1,118 Combustibles 22,108 23,030 22,029 Other 665 522 483 Revenue 27,283 27,655 25,684 External revenue and non-current assets other than financial instruments, deferred tax assets and retirement benefit assets are analysed between the UK and all foreign countries at current rates of exchange as follows: United Kingdom All foreign countries Group Revenue is based on location of sale 2023 £m 2022 £m 2021 £m 2023 £m 2022 £m 2021 £m 2023 £m 2022 £m 2021 £m External revenue 255 228 209 27,028 27,427 25,475 27,283 27,655 25,684 United Kingdom All foreign countries Group 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Intangible assets 447 529 95,115 128,546 95,562 129,075 Property, plant and equipment 362 215 4,221 4,652 4,583 4,867 Investments in associates and joint ventures — — 1,970 2,020 1,970 2,020 The consolidated results of the Reynolds Group operating in the U.S. met the criteria for separate disclosure under the requirements of IFRS 8 Operating Segments . Revenue arising from the operations of the Reynolds Group, inclusive of the sales made to fellow Group companies, in 2023 , 2022 and 2021 was £ 11,985 million, £ 12,635 million and £ 11,707 million, respectively. The majority of sales are to customers based in the U.S. Non-current assets attributable to the operations of the Reynolds Group were £ 86,598 million ( 2022 : £ 119,707 million). The main acquisitions comprising the goodwill balance of £ 41,091 million ( 2022 : £ 47,956 million), included in intangible assets, are provided in note 12 . Included in investments in associates and joint ventures are amounts of £ 1,851 million ( 2022 : £ 1,865 million) attributable to the investment in ITC Ltd. Further information is provided in notes 9 and 14 . |
Employee benefit costs
Employee benefit costs | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of defined benefit plans [abstract] | |
Employee benefit costs | 3 Employee benefit costs Note 2023 £m 2022 £m 2021 £m Wages and salaries 2,263 2,553 2,315 Social security costs 219 201 185 Other pension and retirement benefit costs 15 108 133 139 Share-based payments - equity and cash-settled 28 74 85 78 2,664 2,972 2,717 Included within employee benefits costs is a credit in relation to the Group’s restructuring and integration initiatives of £ 26 million ( 2022 : £ 315 million charge; 2021 : £ 160 million charge), as explained in note 7 . Following a partial buy-out in 2021, in 2022, a second partial buy-out was concluded in the U.S. with approximately US$1.6 billion ( £1.3 billion ) (2021: US$1.9 billion ( £1.4 billion )) of plan liabilities being removed from the balance sheet, resulting in a settlement gain of £ 16 million (2021: £35 million ), which was reported in the income statement, and recognised as an adjusting item. |
Depreciation, amortisation and
Depreciation, amortisation and impairment costs | 12 Months Ended |
Dec. 31, 2023 | |
Depreciation Amortisation And Impairment Costs [Abstract] | |
Depreciation, amortisation and impairment costs | 4 Depreciation, amortisation and impairment costs 2023 £m 2022 £m 2021 £m Intangibles – amortisation and impairment of trademarks and similar intangibles 23,232 317 333 – amortisation and impairment of computer software 125 142 129 – impairment of goodwill 4,614 — 57 Property, plant and equipment - depreciation and impairment 643 846 557 28,614 1,305 1,076 Enumerated below are movements in costs that have impacted depreciation, amortisation and impairment in 2023 , 2022 and 2021 . These include changes in the Group's underlying business performance, as well as impact of adjusting items, as defined in note 1 . Intangibles – amortisation and impairment of trademarks and similar intangibles Acquisitions in previous years have resulted in the capitalisation of trademarks and similar intangibles, including those which are amortised over their expected useful lives, which do not exceed 20 years . As mentioned in note 12 , the amortisation and impairment of these acquired trademarks and similar intangibles are charged to the income statement of which the adjusting element is £ 23,202 million ( 2022 : £ 288 million; 2021 : £ 306 million). In 2022, included under amortisation and impairment of trademarks and similar intangibles is a £ 3 million gain ( 2021 : £ nil million) related to a trademark disposal, which has been treated as adjusting. Impairment of goodwill The impairment of goodwill is charged to the income statement as adjusting. During 2023, the Group impaired £ 4,614 million of goodwill in the U.S., South Africa and Peru, as explained in note 12(b) . During 2022, the Group made no impairments of goodwill. During 2021, the Group impaired £3 million of goodwill held in Myanmar as a result of the decision to cease activities in the market. The Group also recognised a goodwill impairment charge of £54 million in 2021 due to continued difficult trading conditions in Peru as a consequence of the COVID-19 pandemic. Property, plant and equipment – depreciation and impairment The following items are included within depreciation and impairment of property, plant and equipment: – Restructuring and integration related depreciation and impairment costs were a net charge of £39 million ( 2022 : £ 220 million net cost; 2021 : £ 11 million net credit) comprising an impairment of £ 46 million for machinery in Reynolds due to the adverse impact from macro- economic headwinds and industry volume declines in the U.S., as explained in note 12(b)(iv) . This was partially offset by depreciation and impairment costs and reversals resulting from obsolete machines in relation to downsizing and factory rationalisation. These were treated as adjusting, as mentioned in note 7 ; and – Gains and losses recognised on disposal of property, plant and equipment . |
Other operating income
Other operating income | 12 Months Ended |
Dec. 31, 2022 | |
Other Operating Income [Abstract] | |
Other operating income | 5 Other operating income Other operating income of £ 432 million ( 2022 : £ 722 million; 2021 : £ 196 million) comprises income that is associated with the Group’s normal activities, but which falls outside the definition of revenue and includes gain on one-off transactions, such as capital profits arising from the disposals of fixed assets, recoveries of indirect taxation and levies paid, and transfers of trademark rights. (a) Brazil tax matters In 2023 , in Brazil, £ 150 million of income has been recognised in respect of excise on social contributions, as well as £ 19 million ( 2022 : £ 472 million) in respect of historical VAT on social contributions in Brazil. In 2023 and 2022 , such recognised income has been treated as an adjusting item. In addition, in 2022, £78 million of the contingent asset in respect of historical VAT on social contributions claims was sold to financial institutions for £38 million . In 2021, the Group recognised £5 million in respect of a tax case in Brazil and £130 million of the unrecognised contingent asset in respect of historical VAT on social contributions claims was sold to financial institutions for £45 million . (b) Sale and leaseback In 2023, the Group recognised £ 15 million of gains arising from a sale and leaseback transaction on excess warehousing capacity in Argentina. (c) Reynolds In 2021, R.J. Reynolds Tobacco Company (RJRT) reached an agreement with several Master Settlement Agreement (MSA) states to waive RJRT’s claims under the MSA in connection with a settlement between those MSA states and a non-participating manufacturer, S&M Brands, Inc. (S&M Brands), under which the states released certain claims against S&M Brands in exchange for receiving a portion of the funds S&M Brands had deposited into escrow accounts in those states pursuant to the states’ escrow statutes. In consideration for waiving claims, RJRT, together with Santa Fe Natural Tobacco Company, received approximately £40 million from the escrow funds paid to those MSA states under their settlement with S&M Brands. |
Other operating expenses
Other operating expenses | 12 Months Ended |
Dec. 31, 2023 | |
Expenses by nature [abstract] | |
Other operating expenses | 6 Other operating expenses (a) Items included within other operating expenses The following items are included within other operating expenses: Notes 2023 £m 2022 £m 2021 £m Other operating expenses 7,538 9,018 7,468 The following items are included within other operating expenses: Master Settlement Agreement and State Settlement Agreements 6(b) , (d) 2,023 2,387 2,486 Marketing costs in operating expenses 6(c) 1,152 1,160 1,242 Inventory write-offs 20 250 250 215 Research and development expenses (excluding employee benefit costs and depreciation) 6(e) 181 138 141 Loss/(gain) on disposal of businesses 6(f) 546 (6) 358 Excise, VAT and penalties in respect of disputes in Türkiye and South Korea 6(g) — — 26 Charges in respect of DOJ and OFAC investigation 6(h) 75 450 — (Reversals)/charges in respect of assets held-for-sale 6(j) (195) 612 — Charges in respect of Nigerian FCCPC case 6(i) — 79 — Brazil other taxes 6(k) 49 12 — Exchange differences 17 92 19 Hedge ineffectiveness within operating profit (12) 36 (5) Expenses relating to short-term leases 13 11 8 Expenses relating to leases of low-value assets 1 1 1 Auditor’s remuneration 6(m) 29 29 27 (b) Master Settlement Agreement and State Settlement Agreements In 1998, the major U.S. cigarette manufacturers (including the R.J. Reynolds Tobacco Company, Lorillard and Brown & Williamson, businesses which are now part of the Reynolds Group) entered into the Master Settlement Agreement (MSA) with attorneys general representing most U.S. states and territories. The MSA imposes a perpetual stream of future payment obligations on the major U.S. cigarette manufacturers. The amounts of money that the participating manufacturers are required to annually contribute are based upon, amongst other things, the volume of cigarettes sold and market share (based on cigarette shipments in that year). The MSA has been subject to certain adjustments since 1998, including agreements related to the Non-Participating Manufacturer (NPM) adjustment under the MSA reached with various U.S. states between 2012 and 2023. The amounts payable by Group companies under the arrangement accrue as and when shipments of tobacco products are made. Adjustments to amounts due in relation to past payments are typically received in the form of credits offsettable only against current or future performance obligations. Unless credits have been realised by way of cash refund or by offset against liabilities due, they are treated as contingent assets until realised. Credits in respect of future years’ payments and the NPM adjustment claims would be accounted for in the applicable year and will not be treated as adjusting items. Only credits in respect of prior year payments are included as adjusting items. The charge in each reporting period and the cashflow impact in the same period are not directly related, as the MSA is generally settled once a year in April of the following year. The BAT Group is subject to substantial payment obligations under the MSA and the state settlement agreements with the States of Mississippi, Florida, Texas and Minnesota (such settlement agreements, collectively State Settlement Agreements). Reynolds Group’s operating subsidiaries’ expenses and payments under the MSA and the State Settlement Agreements for 2023 amounted to US$2,516 million ( 2022 : US$2,951 million ; 2021 : US$3,420 million ) in respect of settlement expenses and US$2,874 million ( 2022 : US$3,129 million ; 2021 : US$3,744 million ) in respect of settlement cash payments. Note US$m 2023 £m US$m 2022 £m US$m 2021 £m Opening MSA liability 25 2,637 2,193 2,815 2,079 3,139 2,296 Settlement expense 31 2,516 2,023 2,951 2,387 3,420 2,486 Cash paid 31 (2,874) (2,311) (3,129) (2,531) (3,744) (2,722) Difference on exchange — (117) — 258 — 19 Closing MSA liability 25 2,279 1,788 2,637 2,193 2,815 2,079 Non-Participating Manufacturer adjustments During 2012, R.J. Reynolds Tobacco Company, Santa Fe Natural Tobacco Company (SFNTC), various other tobacco manufacturers, 17 states, the District of Columbia and Puerto Rico reached an agreement related to the Non-Participating Manufacturer (NPM) adjustment under the MSA, and three more states joined the agreement in 2013. Under this agreement, R.J. Reynolds Tobacco Company has received credits of more than US$1 billion , in respect of its Non-Participating Manufacturer (NPM) Adjustment claims related to the period from 2003 to 2012. These credits have been applied against the companies’ MSA payments over a period of five years from 2013, subject to, and dependent upon, meeting the various ongoing performance obligations. During 2014, two additional states agreed to settle NPM disputes related to claims for the period 2003 to 2012. R.J. Reynolds Tobacco Company has received US$170 million in credits, which has been applied over a five -year period from 2014. During 2015, another state agreed to settle NPM disputes related to claims for the period 2004 to 2014 and included a method to determine future adjustments from 2015 forward. R.J. Reynolds Tobacco Company has received US$285 million in credits, which was applied over a four -year period from 2016. During 2016, no additional states agreed to settle NPM disputes. During 2017, two more states agreed to settle NPM disputes related to claims for the period 2004 to 2014. R.J. Reynolds Tobacco Company has received US$61 million in credits through the 2020 fiscal year. During 2018, nine more states agreed to settle NPM disputes related to claims for the period 2004 to 2019, with an option through 2022, subject to certain conditions. R.J. Reynolds Tobacco Company has received US$182 million in credits for settled periods through 2017. Also, in 2018, one additional state agreed to settle NPM disputes related to claims for the period 2004 to 2024, subject to certain conditions. R.J. Reynolds Tobacco Company has received US$205 million in credits for settled periods through 2022. In the first quarter of 2020, certain conditions set forth in the 2017 and 2018 agreements were met for those 10 states. In 2022, an additional state settled NPM disputes related to claims for the period 2005 to 2028. It is estimated that R.J. Reynolds Tobacco Company will receive a credit of US$130 million for settled periods through 2018, which will be applied over a five -year period from 2022. In 2023, an additional state settled NPM disputes related to claims for the period 2005 to 2029. It is estimated that R.J. Reynolds Tobacco Company will receive a credit of US$29 million for settled periods through 2018, which will be applied over a five-year period from 2024. State Settlement Agreements In 2020, R.J. Reynolds Tobacco Company recognised additional expenses under the state settlement agreements in the States of Mississippi, Florida, Texas and Minnesota. R.J. Reynolds Tobacco Company recognised US$241 million of expense for payment obligations to the State of Florida for the ITG Brands, LLC acquired brands from the date of divestiture, June 12, 2015, as a result of an unfavourable judgment. In addition, R.J. Reynolds Tobacco Company recognised US$264 million related to the resolution of claims against it in the States of Texas, Minnesota and Mississippi for payment obligations to those states for the ITG Brands, LLC acquired brands from the date of divestiture. Finally, R.J. Reynolds Tobacco Company settled certain related claims with Phillip Morris USA under the state settlement agreements in the states of Mississippi, Texas and Minnesota for US$8 million . During 2021, an additional US$17 million expense was recognised in relation to the final resolution of the Texas and Minnesota claims. Additional information related to the resolution of these claims is included in notes 6(d) and 31 . In 2022, R.J. Reynolds Tobacco Company recognised US$37 million in additional expenses related to a settlement with Philip Morris USA resolving prior operating profit disputes under the MSA related to the ITG Brands, LLC acquired brands. (c) Marketing costs recognised as operating expenses Certain marketing activities, such as discounts or allowances provided to customers, are required to be deducted from revenue as explained in note 1 . Other marketing expenses, such as point of sale and promotional materials, media advertising and sponsorship, and consumer research, are reported as operating expenses and have been shown in the table above. (d) Litigation costs Litigation costs included within other operating expenses, and reported as an adjusting item, were £96 million ( 2022 : £170 million ; 2021 : £54 million ) predominantly related to litigation costs including Engle progeny and other health-related claims. Included in 2023 is an NPM credit of £6 million recognised for the settlement with the state of Iowa. In 2022, the Group received £26 million of NPM credits related to a favourable resolution in respect of MSA litigation in the state of Illinois. During 2021, a £12 million expense was recognised in relation to the final resolution of the Texas and Minnesota claims, under the state settlement agreements, for payment obligations related to brands previously sold to a third party. (e) Research and development Total research and development costs, including employee benefit costs and depreciation, are £408 million ( 2022 : £323 million ; 2021 : £304 million ). (f) Loss on disposal of businesses On 13 September 2023, the Group disposed of its Russian and Belarusian businesses in compliance with international and local laws. The Group had two subsidiaries in Russia ("BAT Russia"), being JSC British American Tobacco-SPb and JS C 'International Tobacco Marketing Services', and one subsidiary in Belarus, International Tobacco Marketing Services BY. As explained in note 27(d)(i) , net held-for-sale assets of £ 770 million were disposed of for proceeds of £ 425 m illion, with an impairment charge of £ 345 million recorded at that time . As discussed in note 6(j) , the impairment charge recognised in 2022 of £554 million (net of £14 million utilised during the year) was reversed and offset by the above mentioned £345 million recorded at the date of sale, with a net reversal of impairment recognised of £ 195 million. The loss on disposal of businesses included within other operating expenses and recognised as an adjusting item in 2023 is a charge of £ 548 million and includes £ 554 million of foreign exchange reclassified from other comprehensive income (note 22(c)(i) ) and associated costs of £ 3 million partially offset by a realised foreign exchange gain on the proceeds received of £ 9 million. The total net impact after the partial reversal and loss on disposal recognised in 2023 was therefore £ 353 million. On 6 August 2021, the Group disposed of its Iranian subsidiary, B.A.T. Pars Company PJSC (BAT Pars). Included within other operating expenses, and recognised as an adjusting item in 2021, was a charge of £ 358 million comprising £272 million of foreign exchange reclassified from other comprehensive income (note 22(c)(i) ) and an impairment charge and associated costs of £88 million . In 2022, as a result of the unwind of discounting on the deferred proceeds and a true-up on the completion of accounts, a credit of £6 million ( 2021 : £2 million ) was recognised. In 2023, a credit of £2 million arising from the revaluation of the receivable was recognised. (g) Tax disputes in Türkiye and South Korea The settlement of tax disputes in Türkiye and South Korea were recognised as adjusting items. Türkiye British American Tobacco Tutun Mamulleri Sanayi ve Ticaret Anonim Sirketi (BAT Tutun) was subject to a series of tax audits mainly on inventory movements for the years 2015, 2016 and 2019. In August 2021, BAT Tutun applied under the relevant tax amnesty law to settle its retrospective tax assessments. Based on the settlement through the tax amnesty procedure, in 2021, BAT Tutun agreed to pay £47 million in 18 instalments from 1 November 2021 until 31 July 2024 . Of the £47 million , £30 million of excise and penalties were recognised and charged to operating profit, £11 million as interest in net finance costs (note 8(b) ) and £6 million in taxation. South Korea As explained in note 31 , on 16 September 2021, Rothmans Far East B.V. Korea Branch Office received £4 million in relation to a VAT case. In line with the treatment of the associated expense incurred in 2016, the cash received was recognised as an adjusting item in 2021. (h) Charges in respect of DOJ and OFAC investigations From time to time, the Group investigates, and becomes aware of governmental authorities’ investigations into allegations of misconduct, including alleged breaches of sanctions and allegations of corruption, against Group companies. Some of these allegations are currently being investigated. The Group cooperates with the authorities, where appropriate. On 25 April 2023, the Group announced that it had reached an agreement with the DOJ and OFAC to resolve previously disclosed investigations into suspicions of sanctions breaches. These concerned business activities relating to the Democratic People’s Republic of Korea between 2007 and 2017. The Company entered into a three -year deferred prosecution agreement (DPA) with the DOJ and a civil settlement agreement with OFAC. The DOJ’s charges against the Company − one count of conspiring to commit bank fraud and one count of conspiring to violate sanctions laws − were filed and will later be dismissed if the Company abides by the terms of the DPA. In addition, a BAT subsidiary in Singapore, British-American Tobacco Marketing (Singapore) Private Limited, pleaded guilty to the same charges. The total amount payable to the U.S. authorities is US$635 million plus interest. Having recognised an initial provision of £ 450 million (US $540 million ) in 2022, the Group has recognised an additional charge of £ 75 million in 2023. Refer to notes 24 and 25 for further details. Both charges are included within other operating expenses and recognised as an adjusting item in 2023 and 2022. (i) Charges in respect of Nigerian FCCPC case In 2022, a charge of £ 79 million was recognised within other operating expenses, and treated as an adjusting item , relating to the conclusion of the investigation into alleged violations of the Nigerian Competition and Consumer Protection Act and National Tobacco Control Act. (j) Reversals/charges in respect of assets held-for-sale On 11 March 2022, the Group announced the intention to transfer its Russian business in full compliance with international and local laws. At that time, the Group had two subsidiaries in Russia (BAT Russia), being JSC British American Tobacco-SPb and JSC International Tobacco Marketing Services. In September 2023, the Group formally entered into an agreement to sell the Group's Russian and Belarusian businesses to a consortium led by then members of BAT Russia’s Management team, in compliance with local and international laws. As previously announced, due to operational dependencies between BAT Russia and the Group’s subsidiary in Belarus (International Tobacco Marketing Services BY) (BAT Belarus), the Belarusian business was included in the sale. The transaction was completed on 13 September 2023 and, since completion, the buyer consortium has wholly owned both businesses. These businesses are now known as the ITMS Group . In accordance with IFRS 5 Non-current Assets Held For Sale and Discontinued Operations , the assets and liabilities of these subsidiaries were classified as held-for-sale at 31 December 2022 and presented as such on the balance sheet at an estimated fair value less costs to sell. An impairment charge of £ 554 million (and associated costs of £ 58 million) was recognised in other operating expenses as adjusting items in 2022. During 2023, the previously recognised impairment was reversed (net of £14 million impairment utilised), offset by the net £345 million (being the impairment arising on disposal of £ 770 million net assets for sales proceeds of £ 425 million). This resulted in a net partial reversal of £ 195 million. This has been treated as a non-cash adjusting item. Further information on the sale of the Russian and Belarusian businesses can be found in note 6(f) and note 27(d)(i) . (k) Brazil other taxes Since 2017, Souza Cruz LTDA (BAT Brazil) has been involved in a legal case over whether a 10% tax imposed on a tax benefit associated with investment grants by the Rio de Janeiro State was constitutional. In October 2023, the Supreme Court concluded on the leading case’s trial, recognising that the tax was constitutional. This decision has binding effects on all taxpayers. BAT Brazil’s individual lawsuit has not yet concluded. However, given the decision in the leading case, in 2023, £47 million was recognised in other operating expenses, as an adjusting item, to reflect the probability of an unfavourable decision. Out of the £47 million , £40 million was reported as provisions (note 24 ) and £7 million was reported as trade and other payables. In addition, a charge of £2 million has been recognised in other operating expenses, as an adjusting item, in respect of social contributions relating to the Brazil excise case, as mentioned in note 5(a) . In 2022, a charge of £12 million was recognised in other operating expenses, as an adjusting item, in respect of social contributions related to the Brazil VAT case, as mentioned in note 5(a) . (l) Sustainability costs Included in other expenses are recycling costs in relation to our Take-Back schemes and waste collection costs mandated by Extended Producer Responsibility (EPR) schemes and similar schemes. EPR schemes are where the producer’s responsibility for a product is extended to the post-consumer stage of a product’s life cycle. In 2023, these costs amounted to £ 27 million. There are no meaningful comparative costs available for prior years. Also included in other expenses are costs of £ 2 million in 2023 in relation to the purchase of renewable energy attribute certificates. In 2023, an extreme weather event caused the destruction of a stock of tobacco leaves in a warehouse. The impact of the write-off of this inventory is £ 9 million. (m) Auditor’s remuneration 2023 £m 2022 £m 2021 £m Auditor’s remuneration Total expense for audit services pursuant to legislation: – fees to KPMG LLP for Parent Company and Group audit 11.4 9.4 8.7 – fees to KPMG LLP firms and associates for local statutory and Group reporting audits 9.4 11.0 9.5 Total audit fees expense - KPMG LLP firms and associates 20.8 20.4 18.2 Audit fees expense to other firms 0.2 0.2 0.2 Total audit fees expense 21.0 20.6 18.4 Fees to KPMG LLP firms and associates for other services: – audit-related assurance services 6.9 7.1 8.0 – other assurance services 0.9 0.9 0.3 – tax advisory services — — — – tax compliance — — — – audit of defined benefit schemes of the Company 0.2 0.2 0.4 – other non-audit services — — — 8.0 8.2 8.7 The total auditor’s remuneration to KPMG firms and associates included above are £ 28.8 million ( 2022 : £ 28.6 million; 2021 : £ 26.9 million). Under SEC regulations, the remuneration to KPMG firms and associates of £ 28.8 million in 2023 ( 2022 : £ 28.6 million; 2021 : £ 26.9 million) is required to be presented as follows: audit fees £ 27.7 million ( 2022 : £ 27.5 million; 2021 : £ 26.2 million), audit-related fees £ 0.2 million ( 2022 : £ 0.2 million; 2021 : £ 0.4 million), tax fees £ nil million ( 2022 : £ nil million; 2021 : £ nil million) and all other fees £ 0.9 million ( 2022 : £ 0.9 million; 2021 : £ 0.3 million). Audit-related fees are in respect of services provided to associated pension schemes. All other fees are in respect of other assurance services, including those provided over information derived from the financial information systems subject to audit |
Restructuring and integration c
Restructuring and integration costs | 12 Months Ended |
Dec. 31, 2023 | |
Expenses by nature [abstract] | |
Restructuring and integration costs | 7 Restructuring and integration costs Restructuring costs reflect the costs incurred as a result of initiatives to improve the effectiveness and the efficiency of the Group as a globally integrated enterprise. These costs represent additional expenses incurred that are not related to the normal business and day-to-day activities. These initiatives include the costs associated with Quantum, being a review of the Group’s organisational structure announced in 2019 to simplify the business and create a more efficient, agile and focused company. In 2022, these also included a review of the Group’s manufacturing operations. No further Quantum restructuring charges were recognised as adjusting in 2023, following the completion of the Quantum programme. The costs of the Group’s initiatives are included in profit from operations under the following headings: Notes 2023 £m 2022 £m 2021 £m Employee benefit costs 3 (26) 315 160 Depreciation, amortisation and impairment costs 4 39 220 (11) Other operating income 5 — (1) — Other operating expenses (15) 237 1 (2) 771 150 The adjusting charge in 2022 and 2021 related to the cost of employee packages in respect of Quantum and the ongoing costs associated with initiatives to improve the effectiveness and efficiency of the Group as a globally integrated organisation. In addition, Quantum initiatives in certain countries have resulted in the move to above market business models utilising local distributors as importers. As a consequence, with the cessation of a physical presence in these markets, foreign exchange previously recognised in other comprehensive income for these countries has been reclassified to the income statement and reported within other operating expenses (note 22(c)(i) ). In 2023, following the completion of the Quantum programme, a credit of £ 26 million has been recognised due to the reversal of restructuring provisions recognised in respect of employee packages. In addition, a credit of £7 million was recognised in relation to impairment reversals associated with the Quantum programme. Included in this is an impairment reversal of £4 million in relation to machinery in South Africa as the asset can be used by another market in the Group. In addition, in 2023, an adjusting impairment charge of £ 46 million has been recognised for machinery in Reynolds due to the adverse impact from macro-economic headwinds and industry volume decline in the U.S., as explained in note 12(b)(iv) . The reversal recognised in other expenses of £ 15 million includes unutilised Quantum provisions along with £3 million relating to the release of a provision originally raised in 2007 relating to site clean up costs in Canada. As no further work is required on the site the remaining provision has been reversed. The restructuring costs in 2022 include costs related to factory closures or rationalisation in APMEA, AME and the U.S. and costs recognised as part of the Group's announced exit from Egypt. In 2021, included under the Quantum initiatives above is a charge of £27 million , including £4 million for foreign exchange reclassified from equity (note 22(c)(i) ), related to the Group's withdrawal from Myanmar. In addition, as set out in note 4 , goodwill in relation to Myanmar was impaired and charged to the income statement. The depreciation, amortisation and impairment costs in 2021 included a credit of £25 million due to a partial reversal of previously estimated impairment following the revision of factory rationalisation initiatives. Also, in 2021, included within other operating expenses is a credit of £59 million representing the release of an accrual on the successful conclusion of the dispute with former shareholders of Reynolds American, as explained in note 31 |
Net finance costs
Net finance costs | 12 Months Ended |
Dec. 31, 2023 | |
Net Finance Costs [Abstract] | |
Net finance costs | 8 Net finance costs (a) Net finance costs/(income) 2023 £m 2022 £m 2021 £m Interest expense 1,786 1,602 1,436 Interest expense on lease liabilities 30 25 24 Facility fees 19 21 33 Impact of the early repurchase of bonds (note 8(b) ) 29 — — Interest related to adjusting tax payables (note 8(b) ) 71 36 31 Fair value changes on derivative financial instruments, hedged items and investments 599 (473) 252 Fair value change on other financial items (note 8(b) ) (4) (2) 24 Exchange differences (449) 524 (279) Finance costs 2,081 1,733 1,521 Interest income under the effective interest method (186) (92) (35) Finance income (186) (92) (35) Net finance costs 1,895 1,641 1,486 The Group manages foreign exchange gains and losses and fair value changes on a net basis excluding adjusting items, which are explained in note 8(b) . The derivatives that generate the fair value changes are explained in note 19 . Facility fees principally relate to the Group’s central banking facilities. In August 2023, the Group completed a tender offer to repurchase sterling-equivalent £3,133 million of bonds, including £43 million of accrued interest. Further details on the tender offer are provided in note 26. Other net costs directly associated with the early repurchase of bonds were treated as adjusting items as detailed in note 8(b) . Finance income includes income on cash and cash equivalents of which £ 97 million (2022: £ 42 million) relates to restricted cash balances (see note 21 ). (b) Adjusting items included in net finance costs Adjusting items are significant items in net finance costs which individually or, if of a similar type, in aggregate, are relevant to an understanding of the Group’s underlying financial performance. In 2023, in relation to the early repurchase of bonds, the Group incurred a fair value loss of £ 151 million on debt-related derivatives, realised a net gain of £ 129 million arising on the difference between the redemption value and the amortised cost of the bonds, and incurred other transaction costs of £ 7 million. The Group recognised interest on adjusting tax payables of £ 71 million ( 2022 : £ 36 million; 2021 : £ 31 million), which included interest of £ 60 million ( 2022 : £ 33 million; 2021 : £ 20 million) in relation to the Franked Investment Income Group Litigation Order (FII GLO) (note 10(b) ), interest of £ 16 million in relation to a tax provision in the Netherlands, a £ 3 million credit from the reversal of interest on a tax provision in relation to the factory closure in Switzerland and a £ 2 million credit from the reversal of interest on tax provisions related to Russia. In prior periods, the interest on adjusting tax payables also included £ 3 million in respect of a potential tax claw back due to the factory closure in Switzerland in 2022 and an amnesty tax payment of £11 million in Türkiye in 2021. Included within fair value changes on other financial items are: (i) In 2021, as part of the disposal of the Group’s operations in Iran (note 27(d) ), a provision of £ 24 million was charged to net finance costs against non-current investments held at fair value due to the uncertainty around recovery of these funds. In 2022, part of these funds were recovered and therefore a reversal of the provision of £ 17 million was recognised in net finance costs. In 2023, a further £ 4 million was recovered and recognised in net finance costs; and (ii) In 2022, £ 15 million of foreign exchange loss was recognised in net finance costs, arising on the revaluation of foreign currency balances held in Russia that no longer qualified for hedge accounting due to the proposed sale of the Group's Russian business as detailed in note 27(d)(i) . |
Associates and joint ventures
Associates and joint ventures | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Associates And Joint Ventures [Abstract] | |
Associates and joint ventures | 9 Associates and joint ventures 2023 2022 2021 Total £m Group’s share £m Total £m Group's share £m Total £m Group's share £m Revenue 9,412 2,630 9,486 2,675 7,668 2,164 Profit from operations 2,596 783 1,971 622 1,911 567 Net finance income 15 4 21 4 13 2 Profit on ordinary activities before taxation 2,611 787 1,992 626 1,924 569 Taxation on ordinary activities (664) (194) (595) (176) (499) (147) Profit on ordinary activities after taxation 1,947 593 1,397 450 1,425 422 Non-controlling interests (28) (8) (27) (8) (22) (7) Post-tax results of associates and joint ventures 1,919 585 1,370 442 1,403 415 Enumerated below are movements that have impacted the post-tax results of associates and joint ventures in 2023 , 2022 and 2021 . The amounts below were reported as adjusting items under the share of profit from associates in the income statement. (a) Adjusting items In 2023 , the Group’s interest in ITC Limited (ITC), an associate of the Group in India, decreased from 29.19% to 29.02% ( 2022 : 29.38% to 29.19% ; 2021 : 29.42% to 29.38% ) as a result of ITC issuing ordinary shares under the ITC Employee Share Option Scheme. The issue of these shares and change in the Group’s share of ITC resulted in a gain of £ 40 million ( 2022 : £ 3 million loss; 2021 : £ 6 million gain), which is treated as a deemed partial disposal and included in the income statement. In 2023, ITC recognised a credit in respect of the proceeds received in partial settlement of the insurance claim towards the cost of leaf tobacco stocks destroyed in a third-party warehouse fire, the Group’s share of which was £2 million . During the year, the Group impaired the investment in Organigram by £ 34 million ( 2022 : £ 59 million) (net of tax), driven primarily by the decrease in the company’s share price. As a result of the impairment, the balance relating to goodwill and acquired intangibles associated with the acquisition of Organigram in March 2021 was reduced to £ nil million and therefore no further amortisation charge was incurred during the year ( 2022 : £ 2 million; 2021 : £ 2 million). During 2022, the Group decided to cease business activities altogether in Yemen, including participating in the management of the Group's associates, due to the challenging operating environment in the country. This led to the full impairment of the investment in the Group's remaining associate in Yemen, United Industries Company Limited, with a charge of £ 18 million to the income statement. In 2021, due to a challenging operating environment, the Group had already impaired the investment in Kamaran Industry & Investment Company, the Group’s other associate in Yemen. This resulted in a charge of £ 18 million to the income statement. Also, in 2021, as a result of the liquidation of Tisak d.d., the Group reclassified the foreign exchange previously recognised in other comprehensive income to the income statement. This resulted in a credit of £2 million to the income statement. (b) Other financial information The Group’s share of the results of associates and joint ventures is shown in the table below. 2023 2022 2021 Group’s share £m Group’s share £m Group’s share £m Profit on ordinary activities after taxation – attributable to owners of the parent 585 442 415 Other comprehensive income: Items that may be reclassified to profit and loss (107) 6 (17) Items that will not be reclassified to profit and loss (5) 19 14 Total comprehensive income 473 467 412 Summarised financial information of the Group’s associates and joint ventures is shown below. 2023 ITC £m Others £m Total £m Revenue 6,805 2,607 9,412 Profit on ordinary activities before taxation 2,813 (202) 2,611 Post-tax results of associates and joint ventures 2,121 (202) 1,919 Other comprehensive income (368) (20) (388) Total comprehensive income 1,753 (222) 1,531 2022 ITC £m Others £m Total £m Revenue 7,126 2,360 9,486 Profit on ordinary activities before taxation 2,395 (403) 1,992 Post-tax results of associates and joint ventures 1,761 (391) 1,370 Other comprehensive income 56 32 88 Total comprehensive income 1,817 (359) 1,458 2021 ITC £m Others £m Total £m Revenue 5,312 2,356 7,668 Profit on ordinary activities before taxation 1,931 (7) 1,924 Post-tax results of associates and joint ventures 1,427 (24) 1,403 Other comprehensive income (11) — (11) Total comprehensive income 1,416 (24) 1,392 |
Taxation on ordinary activities
Taxation on ordinary activities | 12 Months Ended |
Dec. 31, 2023 | |
Major components of tax expense (income) [abstract] | |
Taxation on ordinary activities | 10 Taxation on ordinary activities (a) Summary of taxation on ordinary activities 2023 £m 2022 £m 2021 £m UK corporation tax 32 (3) (25) Comprising: – current year tax expense 20 2 1 – adjustments in respect of prior periods 12 (5) (26) Overseas tax 2,779 2,721 2,401 Comprising: – current year tax expense 2,804 2,675 2,418 – adjustments in respect of prior periods (25) 46 (17) Total current tax 2,811 2,718 2,376 Deferred tax (5,683) (240) (187) Comprising: – deferred tax relating to origination and reversal of temporary differences (5,577) (174) (29) – deferred tax relating to changes in tax rates (106) (66) (158) (2,872) 2,478 2,189 (b) Franked Investment Income Group Litigation Order The Group is the principal test claimant in an action in the United Kingdom against HM Revenue and Customs (HMRC) in the Franked Investment Income Group Litigation Order (FII GLO). There were 17 corporate groups in the FII GLO as at 31 December 2023 . The case concerns the treatment for UK corporate tax purposes of profits earned overseas and distributed to the UK. The original claim was filed in 2003. The trial of the claim was split broadly into issues of liability and quantification. The main liability issues were heard by the High Court, Court of Appeal and Supreme Court in the UK and the European Court of Justice in the period to November 2012. The detailed technical issues of the quantification mechanics of the claim were heard by the High Court during May and June 2014 and the judgment handed down on 18 December 2014. The High Court determined that in respect of issues concerning the calculation of unlawfully charged corporation tax and advance corporation tax, the law of restitution including the defence on change of position and questions concerning the calculation of overpaid interest, the approach of the Group was broadly preferred. The conclusion reached by the High Court would, if upheld, produce an estimated receivable of £1.2 billion for the Group. Appeals on a majority of the issues were made to the Court of Appeal, which heard the arguments in June 2016. The Court of Appeal determined in November 2016 on the majority of issues that the conclusion reached by the High Court should be upheld. The Supreme Court gave permission for a number of issues to be appealed in two separate hearings. The first, in February 2020, concerned the time limit for bringing claims. In its application for permission HMRC sought to reverse established House of Lords’ authorities on which those earlier judgments were based. They were granted permission to do so by the Supreme Court who divided the appeal into two hearings, the first on the issue of time limits and the second on the issue of interest and related topics. In November 2020, the Supreme Court handed down its judgment on the first stage of that appeal. The Supreme Court agreed to overturn its existing case law partially but introduced a new test for determining whether claims of this type are in time. The case was then remitted to the High Court to apply that new test to the facts. The judgment from the second hearing was handed down in July 2021. Applying that judgment reduces the value of BAT's FII claim to approximately £0.3 billion , mainly as the result of the application of simple interest and the limitation to claims for advance corporation tax offset against lawful corporation tax charges, which is subject to the determination of the remitted timing issue by the High Court and any subsequent appeal. The High Court hearing on time limits was heard in late November 2023 with judgment handed down in February 2024. The High Court determined that claims should have been filed within 6 years of June 2000 meaning that BAT’s claims are in time. It is uncertain whether HMRC will appeal the judgment. During 2015, HMRC paid to the Group a gross amount of £1,224 million in two separate payments. The payments made by HMRC have been made without any admission of liability and are subject to refund were HMRC to succeed on appeal. The second payment in November 2015 followed the introduction of a new 45% tax on the interest component of restitution claims against HMRC. HMRC held back £261 million from the second payment contending that it represents the new 45% tax on that payment, leading to total cash received by the Group of £963 million . Actions challenging the legality of the withholding of the 45% tax have been lodged by the Group. The First Tier Tribunal found in favour of HMRC in July 2017 and the Group’s appeal to the Upper Tribunal was heard in July 2018 and judgment has not yet been handed down. The net £0.9 billion held by the Group is higher than the current value of the claim referred to above. Due to the uncertainty of the amounts and eventual outcome, the Group has not recognised any impact in the Income Statement in the current or prior period. The receipt, net of the deduction by HMRC, is held within trade and other payables as disclosed in note 25 . Any future recognition as income will be treated as an adjusting item, due to the size of the amount, with interest of £ 60 million for the 12 months to 31 December 2023 ( 2022 : £ 33 million; 2021 : £ 20 million) accruing on the balance, which was also treated as an adjusting item. The final resolution of all issues in the litigation is likely to take a number of years. The Group made interim repayments to HMRC of £50 million in 2023 and 2022, and intends to make further interim repayments in future periods. (c) Factors affecting the taxation charge The taxation charge differs from the standard rate of corporation tax in the UK of 23.5 % for 2023 , 19.0 %for 2022 and 19.0 % 2021 . The major causes of this difference are listed below: 2023 2022 2021 £m % £m % £m % (Loss)/Profit before tax (17,061) 9,324 9,163 Less: share of post-tax results of associates and joint ventures (see note 9 ) (585) (442) (415) (17,646) 8,882 8,748 Tax at 23.5% ( 2022 : 19% and 2021 : 19% ) on the above (4,147) 23.5 1,688 19.0 1,662 19.0 Factors affecting the tax rate: Tax at standard rates other than UK corporation tax rate 619 (3.5) 397 4.5 319 3.6 Other national tax charges 310 (1.8) 244 2.7 184 2.1 Permanent differences 845 (4.8) 83 0.9 87 1.0 Overseas withholding taxes 179 (1.0) 156 1.8 189 2.2 Double taxation relief on UK profits (46) 0.3 (26) (0.3) (23) (0.3) (Utilised)/unutilised tax losses (15) 0.1 12 0.1 (10) (0.1) Adjustments in respect of prior periods (13) 0.1 41 0.5 (43) (0.5) Deferred tax relating to changes in tax rates (106) 0.6 (66) (0.7) (158) (1.8) Additional net deferred tax (credits)/charges (498) 2.8 (51) (0.6) (18) (0.2) (2,872) 16.3 2,478 27.9 2,189 25.0 The Group's reported 2023 tax rate is significantly impacted by the impairment of intangible assets as described in note 12. – Permanent differences in 2023 consist mainly of the tax impact of the goodwill impairment (for which no tax relief is available). – Additional net deferred tax (credits)/charges in 2023 consist mainly of the U.S. state deferred tax impact of the trademark impairment (please see further in note 16). (d) Adjusting items included in taxation In 2023 , adjusting items in taxation included a net credit of £ 73 million relating to the revaluation of deferred tax liabilities arising on trademarks recognised in the Reynolds American acquisition in 2017 due to changes in U.S. state tax rates, the reversal of provisions for Russia tax risks and a potential clawback of tax reliefs arising on the closure of the Group's factory in Switzerland offset by a provision for potential tax exposures in the Netherlands and the tax impact in Brazil of the legal case regarding Rio de Janeiro VAT incentives (described further in note 6(k)). In 2022 , adjusting items in taxation included a net credit of £ 27 million mainly relating to the revaluation of deferred tax liabilities arising on trademarks recognised in the Reynolds American acquisition in 2017 due to changes in U.S. state tax rates and a potential clawback of tax reliefs arising on the closure of the Group's factory in Switzerland. In 2021 , adjusting items in taxation included a net credit of £ 91 million mainly relating to the revaluation of deferred tax liabilities arising on trademarks recognised in the Reynolds American acquisition in 2017 due to changes in U.S. state tax rates. (e) Tax on adjusting items In addition, the tax on adjusting items, separated between the different categories, as per note 11 , amounted to £ 5,415 million ( 2022 : £ 176 million; 2021 : £ 119 million). The adjustment to the adjusted earnings per share (note 11 ) also includes £ 1 million ( 2022 : £ 5 million; 2021 : £ 6 million) in respect of the non-controlling interests’ share of the adjusting items net of tax. (f) Tax on items recognised directly in other comprehensive income 2023 £m 2022 £m 2021 £m Current tax (5) (6) (4) Deferred tax 12 (106) (110) (Charged)/credited to other comprehensive income 7 (112) (114) (g) Tax on items recognised directly in equity In relation to the perpetual hybrid bonds issued on 27 September 2021 (note 22(d) ), tax relief of £14 million ( 2022 : £11 million ; 2021 : £5 million ) has been recognised, principally in relation to the coupon incurred. (h) Global minimum tax In December 2021, the OECD released model rules for a new global minimum corporate tax framework applicable to multinational enterprise groups with global revenues of over €750 million (“Pillar Two” rules). The UK substantively enacted legislation implementing these rules on 20 June 2023 and the rules apply to the Group as of 1 January 2024. The Group is reviewing this legislation together with developing guidance. The Group is also monitoring the status of implementation of the model rules outside of the UK to assess the potential impact. Based on the information currently available, the impact of these rules on the Group tax position is not expected to be material. |
Earnings per share
Earnings per share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings per share [abstract] | |
Earnings per share | 11 Earnings per share Earnings used in the basic, diluted and headline earnings per share calculation represent the profit attributable to the ordinary equity shareholders after deducting amounts representing the coupon on perpetual hybrid bonds on a pro-rata basis regardless of whether coupons have been deferred or paid in the period. Below is a reconciliation of the earnings used to calculate earnings per share: 2023 £m 2022 £m 2021 £m (Loss)/earnings attributable to owners of the parent (14,367) 6,666 6,801 Coupon on perpetual hybrid bonds (59) (60) (15) Tax on coupon on perpetual hybrid bonds 14 11 3 (Loss)/earnings (14,412) 6,617 6,789 In 2023, the Group reported a loss for the year. Following the requirements of IAS 33 Earnings per Share , the impact of share options would be antidilutive and are excluded from the calculation of diluted earnings per share. Below is a reconciliation from basic to diluted earnings per share for 2022 and 2021: 2023 2022 2021 Loss £m Weighted average number of shares m Loss per share pence Earnings £m Weighted average number of shares m Earnings per share pence Earnings £m Weighted average number of shares m Earnings per share pence Basic (loss)/earnings per share (ordinary shares of 25 p each) (14,412) 2,229 (646.6) 6,617 2,256 293.3 6,789 2,287 296.9 Share options — — — — 11 (1.4) — 10 (1.3) Diluted (loss)/ earnings per share* (14,412) 2,229 (646.6) 6,617 2,267 291.9 6,789 2,297 295.6 Note: * In 2023, the Group reported a loss for the year. Following the requirements of IAS 33, the impact of share options would be antidilutive and is therefore excluded, for 2023, from the calculation of diluted earnings per share, calculated in accordance with IFRS, for that year. For remuneration purposes, and reflective of the Group's positive earnings on an adjusted basis, management have included the dilutive effect of share options in calculating adjusted diluted earnings per share. There were 8 million share options on a weighted average basis in 2023. Adjusted earnings per share calculation Earnings have been affected by a number of adjusting items, which are described in notes 3 to 10 . Adjusting items are significant items in the profit from operations, net finance costs, taxation and the Group’s share of the post-tax results of associates and joint ventures which individually or, if of a similar type, in aggregate, are relevant to an understanding of the Group’s underlying financial performance. The Group believes that these items are useful to users of the Group financial statements in helping them to understand the underlying business performance. To illustrate the impact of these items, an adjusted earnings per share calculation is shown below. Basic 2023 2022 2021 Notes (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Basic (loss)/earnings per share (14,412) (646.6) 6,617 293.3 6,789 296.9 Effect of amortisation and impairment of goodwill, trademarks and similar intangibles 4 27,816 1,247.9 285 12.6 363 15.9 Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles 10(e) (5,390) (241.8) (67) (3.0) (71) (3.1) Net effect of excise and VAT cases 5(a) , 6(j) , 6(k) (167) (7.5) (460) (20.4) 26 1.1 Tax on excise and VAT cases 10(e) 41 1.8 72 3.2 (3) (0.1) Effect of disposal of subsidiaries 6(f) 546 24.5 (6) (0.3) 358 15.7 Effect of Brazil other taxes 6(k) 47 2.1 — — — — Tax on Brazil other taxes 10(e) (16) (0.7) — — — — Effect of charges in respect of DOJ and OFAC investigations 6(h) 75 3.4 450 19.9 — — Effect of charges in respect of Nigerian FCCPC case 6(i) — — 79 3.5 — — Effect of planned disposal of subsidiaries 6(j) (195) (8.7) 612 27.2 — — Tax on planned disposal of subsidiaries 10(e) — — (10) (0.4) — — Effect of restructuring and integration costs 7 (2) (0.1) 771 34.2 150 6.5 Tax and non-controlling interests on restructuring and integration costs 10(d) (e) (3) (0.1) (116) (5.1) (39) (1.7) Other adjusting items 3 , 6(d) 96 4.3 154 6.8 19 0.8 Tax effect on other adjusting items 10(e) (22) (1.0) (37) (1.6) (5) (0.2) Effect of early repurchase of bonds 8(b) 29 1.3 — — — — Tax effect of early repurchase of bonds 10(e) (8) (0.4) — — — — Effect of interest on FII GLO settlement and other 8(b) 67 3.0 34 1.5 55 2.4 Tax effect of interest on FII GLO settlement and other 10(e) (18) (0.8) (6) (0.3) — — Effect of associates' adjusting items net of tax 9(a) (8) (0.4) 92 4.1 12 0.5 Deferred tax relating to changes in tax rates 10(d) (97) (4.4) (44) (2.0) (98) (4.3) Adjusting items in tax 10(d) 24 1.2 — — — — Adjusted earnings per share (basic) 8,403 377.0 8,420 373.2 7,556 330.4 Diluted 2023 2022 2021 Notes (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Diluted (loss)/earnings per share (14,412) (646.6) 6,617 291.9 6,789 295.6 Effect of amortisation and impairment of goodwill, trademarks and similar intangibles 4 27,816 1,247.9 285 12.6 363 15.8 Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles 10(e) (5,390) (241.8) (67) (3.0) (71) (3.1) Net effect of excise and VAT cases 5(a) , 6(j) , 6(k) (167) (7.5) (460) (20.3) 26 1.1 Tax on excise and VAT cases 10(e) 41 1.8 72 3.2 (3) (0.1) Effect of disposal of subsidiaries 6(f) 546 24.5 (6) (0.3) 358 15.6 Effect of Brazil other taxes 6(k) 47 2.1 — — — — Tax on Brazil other taxes 10(e) (16) (0.7) — — — — Effect of charges in respect of DOJ and OFAC investigations 6(h) 75 3.4 450 19.9 — — Effect of charges in respect of Nigerian FCCPC case 6(i) — — 79 3.5 — — Effect of planned disposal of subsidiaries 6(j) (195) (8.7) 612 26.8 — — Tax on planned disposal of subsidiaries 10(e) — — (10) (0.4) — — Effect of restructuring and integration costs 7 (2) (0.1) 771 34.0 150 6.6 Tax and non-controlling interests on restructuring and integration costs 10(d)(e) (3) (0.1) (116) (5.1) (39) (1.7) Other adjusting items 3,6(d) 96 4.3 154 6.8 19 0.8 Tax effect on other adjusting items 10(e) (22) (1.0) (37) (1.6) (5) (0.2) Effect of early repurchase of bonds 8(b) 29 1.3 — — — — Tax effect of early repurchase of bonds 10(e) (8) (0.4) — — — — Effect of interest on FII GLO settlement and other 8(b) 67 3.0 34 1.5 55 2.4 Tax effect of interest on FII GLO settlement and other 10(e) (18) (0.8) (6) (0.3) — — Effect of associates' adjusting items net of tax 9(a) (8) (0.4) 92 4.1 12 0.5 Deferred tax relating to changes in tax rates 10(d) (97) (4.4) (44) (1.9) (98) (4.3) Adjusting items in tax 10(d) 24 1.2 — — Impact of dilution* — (1.4) Adjusted diluted earnings per share 8,403 375.6 8,420 371.4 7,556 329.0 Note: * In 2023, the Group reported a loss for the year. Following the requirements of IAS 33, the impact of share options would be antidilutive and is therefore excluded, for 2023, from the calculation of diluted earnings per share, calculated in accordance with IFRS, for that year. For remuneration purposes, and reflective of the Group's positive earnings on an adjusted basis, management have included the dilutive effect of share options in calculating adjusted diluted earnings per share. Headline earnings per share as required by the JSE Limited The presentation of headline earnings per share, as an alternative measure of earnings per share, is mandated under the JSE Listing Requirements. It is calculated in accordance with Circular 1/2023 ‘Headline Earnings’, as issued by the South African Institute of Chartered Accountants. Basic 2023 2022 2021 (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Basic (loss)/earnings per share (14,412) (646.6) 6,617 293.3 6,789 296.9 Effect of impairment of intangibles, property, plant and equipment, associates and assets held-for-sale 27,800 1,247.2 429 19.0 138 6.0 Tax and non-controlling interests on intangibles, property, plant and equipment, associates and assets held-for-sale (5,430) (243.6) (77) (3.4) (42) (1.8) Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (125) (5.6) (21) (0.9) (10) (0.4) Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback 27 1.2 5 0.2 2 0.1 Effect of impairment of subsidiaries transferred to held-for- sale and associated costs (203) (9.1) 548 24.2 83 3.6 Tax on impairment of subsidiaries and associated costs — — (10) (0.4) — — Effect of foreign exchange reclassification from reserves to the income statement - Subsidiaries 552 24.8 6 0.3 291 12.7 - Associates — — (1) — (2) (0.1) Issue of shares and change in shareholding of an associate (40) (1.8) 3 0.1 (6) (0.3) Headline earnings per share (basic) 8,169 366.5 7,499 332.4 7,243 316.7 Diluted 2023 2022 2021 (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Diluted earnings per share (14,412) (646.6) 6,617 291.9 6,789 295.6 Effect of impairment of intangibles, property, plant and equipment, associates and assets held-for-sale 27,800 1,247.2 429 18.9 138 6.0 Tax and non-controlling interests on intangibles, property, plant and equipment, associates and assets held-for-sale (5,430) (243.6) (77) (3.4) (42) (1.8) Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (125) (5.6) (21) (0.9) (10) (0.4) Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback 27 1.2 5 0.2 2 0.1 Effect of impairment of subsidiaries transferred to held-for- sale and associated costs (203) (9.1) 548 24.1 83 3.6 Tax on impairment of subsidiaries and associated costs — — (10) (0.4) — — Effect of foreign exchange reclassification from reserves to the income statement - Subsidiaries 552 24.8 6 0.3 291 12.6 - Associates — — (1) — (2) (0.1) Issue of shares and change in shareholding of an associate (40) (1.8) 3 0.1 (6) (0.3) Headline earnings per share (diluted) 8,169 366.5 7,499 330.8 7,243 315.3 |
Intangible assets (revised)
Intangible assets (revised) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about intangible assets [abstract] | |
Intangible assets (revised) | 12 Intangible assets (revised) 1 (a) Overview of intangible assets 2023 Trademarks and similar intangibles £m Goodwill 2 £m Computer software £m Assets in the course of development £m Total 2 £m 1 January Cost 83,454 48,488 1,379 153 133,474 Accumulated amortisation and impairment (2,851) (532) (1,005) (11) (4,399) Net book value at 1 January 80,603 47,956 374 142 129,075 Differences on exchange (3,431) (2,251) (4) 1 (5,685) Additions – internal development — — — 75 75 – separately acquired 59 — — 3 62 Reallocations 2 — 115 (111) 6 Amortisation charge (237) — (120) — (357) Impairment (22,995) (4,614) (5) — (27,614) 31 December Cost 78,848 46,021 1,408 110 126,387 Accumulated amortisation and impairment (24,847) (4,930) (1,048) — (30,825) Net book value at 31 December 54,001 41,091 360 110 95,562 2022 Trademarks and similar intangibles £m Goodwill 2 £m Computer software £m Assets in the course of development £m Total 2 £m 1 January Cost 74,227 43,715 1,266 156 119,364 Accumulated amortisation and impairment (2,360) (521) (858) — (3,739) Net book value at 1 January 71,867 43,194 408 156 115,625 Differences on exchange 9,033 4,762 5 2 13,802 Additions – internal development — — — 37 37 – separately acquired — — — 85 85 Reallocations 29 — 96 (125) — Amortisation charge (309) — (128) — (437) Impairment (10) — (3) (11) (24) Disposals (7) — — — (7) Held for sale — — (4) (2) (6) 31 December Cost 83,454 48,488 1,379 153 133,474 Accumulated amortisation and impairment (2,851) (532) (1,005) (11) (4,399) Net book value at 31 December 80,603 47,956 374 142 129,075 Notes: 1. Effective from 2023, the Group revised its regional structure from four regions to three , with the comparator data provided on this revised basis. 2. The table above has been re-presented for both the current and the comparative period to give a more meaningful disclosure of the Group's accumulated impairment of goodwill, which was previously shown net in the opening and closing balances. (b) Impairment testing (i) Overview a. Estimation uncertainty As described in note 1 , the critical accounting estimates used in the preparation of the consolidated financial statements include the review of asset values, especially indefinite-lived assets such as goodwill and certain trademarks and similar intangibles. There is significant judgement with regard to assumptions and estimates involved in the forecasting of future cash flows, which form the basis of the assessment of the recoverability of these assets, with the effect that the value-in-use of calculations incorporate estimation uncertainty, particularly for certain assets held in relation to the Canadian and U.S. markets. b. Impact of climate change The impact of climate change has been considered in preparation of the financial statements. For impairment testing and valuation purposes, the Group have included certain climate-related costs within the discounted cash flow forecast for impairment assessment. The Group also completed scenario analyses of the potential impact of those climate change-related risks. This sensitised discounted cash flow included such items as product taxes and carbon taxes within the future cash flows and resulted in no material adverse impact to the impairment assessment. (ii) Discount rates Post-tax discount rates were used in the impairment testing, based on the Group’s weighted average cost of capital, taking into account the cost of capital and borrowings, to which specific market-related premium adjustments are made. These adjustments are derived from external sources and are based on the spread between bonds (or credit default swaps, or similar indicators) issued by the relevant local (or comparable) government, adjusted for the Group’s own credit market risk. Valuations derived from applying post-tax discount rates to post-tax cash flows are aligned to those that would arise from applying pre-tax discount rates to pre-tax cash flows. For ease of use and consistency in application, these results are periodically calibrated into bands based on internationally recognised credit ratings. This applies to all CGUs with the exception of Reynolds, which had its discount rate independently determined based on a weighted average cost of capital in respect of the U.S. and U.S. market-related premiums, and Malaysia where the discount rate reflects BAT Malaysia's weighted average cost of capital. The long-term growth rates and discount rates have been applied to the budgeted cash flows of each cash-generating unit. These cash flows have been determined by local management based on experience, specific market and brand trends, as well as pricing and cost expectations. These have been endorsed by Group management as part of the consolidated Group’s approved budget. Please refer to the discount rates applied for intangible assets with indefinite lives in note 12(b)(iv) and for cash-generating units in note 12(b)(iii) . (iii) Impairment testing - summary Total impairment charges of £27,614 million have been recognised in 2023, of which £27,291 million related to Reynolds American (being a charge against goodwill of £4,299 million and against trademarks of £22,992 million), £ 291 million related to South Africa goodwill, £ 24 million related to Peru goodwill and the remaining relating to other intangible assets. a. Goodwill Goodwill of £ 41,091 million ( 2022 : £ 47,956 million) is included in intangible assets in the balance sheet of which the following are the significant acquisitions: Reynolds American £ 30,938 million ( 2022 : 37,181 million); Rothmans Group £ 4,274 million ( 2022 : £ 4,704 million); Imperial Tobacco Canada £ 2,386 million ( 2022 : £ 2,460 million; ETI (Italy) £ 1,428 million ( 2022 : £ 1,461 million) and ST (principally Scandinavia) £ 1,074 million ( 2022 : £ 1,102 million). The principal allocations of goodwill in the Rothmans acquisition are to the cash- generating units of Europe and South Africa, with the remainder relating to operations in APMEA. In 2023 , goodwill was allocated for impairment testing purposes to 17 ( 2022 : 17 ) individual cash-generating units (CGUs) – one in the U.S. ( 2022 : one ), nine in AME ( 2022 : nine ) and seven in APMEA ( 2022 : seven ). For the purpose of impairment testing, goodwill has been attributed to the following cash-generating units: 2023 2022 Carrying amount £m Pre-tax discount rate % Carrying amount £m Pre-tax discount rate % Cash-generating unit Reynolds American 30,938 9.6 37,181 8.8 Europe 5,596 6.6 5,670 7.5 Canada 2,386 20.3 2,460 19.4 Australia 717 7.3 755 8.2 South Africa 189 14.3 541 10.4 Singapore 382 7.4 398 7.9 GTR 253 7.6 264 7.6 Malaysia 217 10.2 240 11.4 Peru 73 12.4 103 7.5 Other 340 6.7 344 8.0 Total 41,091 47,956 Included within ‘Other’ above is goodwill arising on various acquisitions that have been allocated to eight cash-generating units which are, individually, insignificant. The pre-tax discount rate represents the weighted average pre-tax discount rate. During 2023 , the Group recognised a total impairment charge to goodwill of £ 4,614 million ( 2022 : £ nil million) related to South Africa and Peru as explained in note 12(b)(vi) and to Reynolds American as explained in note 12(b)(iv) below. b. Trademarks and similar intangibles with indefinite lives The net book value of trademarks and similar intangibles with indefinite lives is £ 51,930 million ( 2022 : £ 78,228 million) and relates to the acquisition of Reynolds American. The trademarks acquired, including Newport, Camel, Natural American Spirit, Grizzly and Pall Mall, all of which are part of the Group’s Strategic Portfolio of key brands, form the core focus of the U.S. business and receive significant support in the form of dedicated internal resources, forecasting and, where appropriate, marketing investment. These trademarks have significant market share and positive cash flow expectations. There are no regulatory or contractual restrictions on the use of the trademarks, and there are no plans by management to significantly redirect resources elsewhere. c. Trademarks and similar intangibles with definite lives The majority of trademarks and similar intangibles with definite lives relate to trademarks acquired in previous years. These trademarks are amortised over their expected useful lives, which do not exceed 20 years . As discussed below in Note 12(b)(iv), with effect from 1 January 2024, this category will be amortised over periods not exceeding 30 years to accommodate the estimate of useful economic lives for Newport, Camel, Pall Mall and Natural American Spirit. Included in the net book value of trademarks and similar intangibles are trademarks relating to the acquisition of Reynolds American £ 1,809 million ( 2022 : £ 2,071 million). The following disclosure will consider Reynolds American, Canada and the Rest of the World in turn. (iv) Impairment testing – Reynolds American Goodwill and the indefinite-lived brand intangibles relating to Reynolds American Subsequent to the FDA announcement on 28 April 2022 of a proposed product standard to prohibit menthol as a characterising flavour in cigarettes, the FDA formally submitted the final product standard to the Office of Management and Budget on 18 October 2023. Management notes that the proposal of a product standard does not itself constitute a ban on menthol in cigarettes given the proposed standard is still required to go through the established comprehensive U.S. rule-making process, the timetable and outcome for which was, and remains, uncertain. Further to this, on 21 June 2022, the FDA announced plans to develop a proposed product standard that would establish a maximum nicotine level in cigarettes and certain other combustible tobacco products to reduce addictiveness. Management notes that the FDA announcement does not itself constitute restrictions on nicotine levels in cigarettes, and any proposed regulation of nicotine in cigarettes would need to be introduced through the established comprehensive U.S. rule-making process, the timetable and outcome for which was, and remains, uncertain. Management do not deem this to be a new development but rather a continuation of the rulemaking process that the FDA initiated in 2017 that was later put on hold. In December 2022, the sale of most tobacco products with characterising flavours (including menthol) other than tobacco were banned in the state of California. The impact of the ban in California has been reflected in the cash flow forecasts used in the impairment model. The Group has a long-standing track record of managing regulatory shifts and, in the event of regulatory change, the Group remains confident in its ability to navigate that environment successfully. In line with the approach used in 2022, the value-in-use calculations have been determined based on probability weighted scenarios to derive a risk-adjusted cash flow forecast applied within the valuations. These scenarios incorporate varying assumptions on potential timing for a final product standard to prohibit menthol as a characterising flavour in cigarettes becoming effective. However, the impact of the timing of any potential menthol ban was not deemed to be a key assumption. Management note that the U.S. combustibles market has experienced substantial volatility since 2020. In the period immediately prior to the COVID-19 pandemic, U.S. combustibles industry volumes declined by c.5.0-5.5% per annum (2017-2019). During COVID-19, due to changes in consumer behaviour, industry volume was largely flat in 2020 (0.1% decline) with 2021 also declining by only 3.0%. However, in 2022, as the U.S. exited the pandemic combined with adverse impacts from the macro-economic headwinds, industry volume declined by 10.6%. At the time, it was Management’s assessment that the performance was a rebalancing and would return to a more consistent decline rate in future periods, supporting the judgement that it was not possible to reliably determine a definite useful life for the brands. Accordingly, an indefinite life continued to be applied and the brands were not amortised in 2022 or 2023. During 2023, however, evolving insights indicated that the decline in industry volume would be higher than forecast due to the continued macro-economic headwinds in the U.S. combined with an acceleration of the vapour category growth. This growth is driven by combustible consumers turning to Vapour devices (specifically through the use of illicit single-use products) with this market segment growing by c.100% in the period. Due to the continued challenging trading conditions in the U.S., a detailed external study was commissioned to assist Management with an independent view of the potential forecast performance for the market. The study assessed the future industry size, based upon, among other things: – Macro-economic factors; – Pricing and elasticity; and – Long term trend assumptions which themselves include category-specific consumption patterns in comparison to other categories. This review assisted Management in preparing the Group’s five -year forecast of the U.S. market, with further extrapolation based upon the estimated performance of the brands. Following the review and as a result of the higher forecast combustibles market decline as described above, a total impairment of £27,291 million in respect of the U.S. CGU was identified. The impairment charge has been recognised using the exchange rate prevailing on the date of the impairment assessment of £1 : US $1.213 as the underlying cash flows and net assets are US$ denominated. Impairment of trademarks and assessment of useful economic lives Concurrent to the impairment assessment, and reflecting Management's revised volume projections, Management concluded that it was appropriate to redesignate Newport, Camel, Natural American Spirit and Pall Mall as definite-lived from 1 January 2024 (2023: indefinite-lived, 2022: indefinite-lived) with an estimated life of between 20 - 30 years . It was also concluded that it remains appropriate to continue to recognise Grizzly and Camel snus as indefinite-lived brands given the expected continued performance of the traditional oral sector. Corporate costs are allocated to the brand budgets based on either specific allocations, where appropriate, or based on revenue. As the trademarks and similar intangibles with indefinite lives relate to the acquisition of Reynolds American, the brand budgets used in the value-in- use calculations have also been incorporated into the budget information used in the impairment testing of Reynolds American goodwill. The value-in-use calculations for the Reynolds American cash-generating unit and the indefinite-lived brands have been prepared based on a five -year risk-adjusted cash flow forecast, incorporating the probability weighted scenarios above. After this forecast, for the Reynolds American cash-generating unit and for the indefinite-lived brands Grizzly and Camel Snus, a probability weighted growth rate of 1.0% ( 2022 : 1.0% ) is applied. In order to support the long-term growth rates for Newport, Camel, Natural American Spirit and Pall Mall, a cash flow forecast has also been prepared on a discrete basis, reflecting the revised useful economic lives from 1 January 2024. The long-term growth rates implied by these value-in-use calculations with cash flows capped at 30 years or 20 years , as appropriate, are -4.7% ( 2022 : 0.89% ) for Newport, -7.4% ( 2022 : 0.93% ) for Camel, -1.15% ( 2022 : 1.0% ) for Natural American Spirit and -13.7% ( 2022 : 1.0% ) for Pall Mall. As a result of the revised forecasts, an impairment charge of £ 22,992 million has been recognised in relation to the brands. Management recognise that the date at which the redesignation to definite-lived is made is judgemental and have determined that amortisation will commence from 1 January 2024. From 2024, amortisation will be charged on a straight-line basis with the increase in annual amortisation expense expected to be £ 1.4 billion (US$ 1.8 billion) per annum. 2023 2022 Carrying amount £m Volume 5 Year CAGR** Pre-tax discount rate* % Carrying amount £m Volume 5 Year CAGR Pre-tax discount rate % Indefinite-lived intangibles Newport 20,753 (11.3) % 8.7 33,236 (6.7) % 9.2 Camel 7,822 (12.3) % 8.9 14,058 (6.4) % 8.9 Pall Mall 2,608 (18.8) % 9.4 6,252 (13.0) % 8.6 Natural American Spirit 10,439 (7.6) % 7.9 13,019 (2.5) % 8.6 Camel Snus 1,099 (5.4) % 7.8 1,355 (5.3) % 8.6 Grizzly 9,209 (3.9) % 7.8 10,308 (3.7) % 8.6 Total 51,930 78,228 Notes: * For the purpose of current year impairment assessment, the value-in-use calculations for the combustibles brands have been prepared based on a five -year risk adjusted cash flow forecast, supplemented by a forecast on a discrete period basis reflecting the revised useful economic life effective 1 January 2024 for the combustibles brands to support the long term growth rates. Following these updates, the Group has revisited the methodology by which the Tax Amortisation Benefit (TAB) included in the brand valuation is treated when determining the pre-tax discount rates. In the previous years, the Group had considered the pre-TAB value-in-use to derive the pre-tax discount rate, however, under the revised approach, the Group has considered the post-TAB value-in-use in deriving the pre-tax discount rates for disclosure purposes. If the revised methodology is applied to the year 2022, the pre-tax discount rate will result in 7.9% for Newport, 7.6% for Camel and 7.4% for Pall Mall, Natural American Spirit, Camel Snus and Grizzly. The revision of the pre-tax discount rates does not result in any change in the impairment assessment or the headroom calculated for each of the intangible assets in the year 2022. There are no other financial impacts on the financial statements for year-end 2022 as a result of this revision in methodology in the application of the TAB factor for deriving pre-tax discount rate for disclosure purposes. Valuations derived from applying post-tax discount rates to post-tax cash flows are aligned to those that would arise from applying pre-tax discount rates to pre-tax cash flows. ** Five year CAGR is calculated by reference to the first five years annual volumes in the value-in-use model against the 2023 baseline. The below table indicates the additional amount of impairment that would be required if the following individual changes were made to the key assumptions used in the impairment model: Newport £m Camel £m Pall Mall £m Natural American Spirit £m Grizzly £m Camel Snus £m Assumptions Volume decline by additional 1% year on year * (1,135) (427) (142) (572) (559) (68) Decrease in long-term growth rate by 50bps (560) (163) (32) (467) (593) (70) Increase in pre-tax discount rate by 75bps (1,105) (354) (86) (804) (945) (112) Note: * Volume sensitivity results in a proportional reduction in both net revenue and direct costs with no impact to operating margin %. Fixed overhead cost allocations remain flat. This demonstrates a year-on-year decrease in operating cash flow for the discrete forecast years. The volume decline assumption is based on the year on year decline rate increasing by an additional 1% each year in the five-year cash flow forecast without any future recovery and assumes that other assumptions are not changed. The above sensitivities have been translated using the exchange rate prevailing on the date of the impairment assessment of £1 : US $1.213 as the underlying cash flows and net assets are US$ denominated. Impairment assessment of Reynolds American goodwill As a consequence of the challenges in the U.S. market and the impact to the Group's ongoing financial forecast, and having recognised an impairment charge in respect of the trademarks referenced above, the Group has also recognised an additional impairment in respect of U.S. goodwill of £ 4,299 million (2022: £nil million). The table below indicates the additional amount of impairment that would be required if the following individual changes were made to key assumptions within the value-in-use model and it has been translated using the exchange rate prevailing on the date of the impairment assessment of £1 : US $1.213 as the underlying cash flows and net assets are US$ denominated: Reynolds American goodwill impairment charge for 2023 (£m) Assumptions Change in key assumption Possible additional impairment (£m) 4,299 Pre-tax discount rate Increase of 0.67% (6,169) Long-term growth rates Decrease of 0.50% (4,962) Note: * The sensitivity to increase the pre-tax discount rate for the Reynolds American goodwill has been considered in isolation without any uplift to the brands discount rate (impact of which is shown in the sensitivity table above). In the event of an increase to the brand's discount rate, any additional impairment to the Reynolds American goodwill will reduce by the respective amount due to the resulting reduction to its net assets. Reynolds American Summary The following is a summary table showing the movement of the Reynolds American goodwill and other intangible and similar assets in the U.S. during 2023 2023 Opening balance £m Differences on exchange £m Impairment £m Closing balance £m Reynolds American goodwill 37,181 (1,944) (4,299) 30,938 Newport 33,236 (1,339) (11,144) 20,753 Camel 14,058 (517) (5,719) 7,822 Pall Mall 6,252 (187) (3,457) 2,608 Natural American Spirit 13,019 (642) (1,938) 10,439 Grizzly 10,308 (554) (545) 9,209 Camel snus 1,355 (67) (189) 1,099 (v) Impairment testing – Canada Goodwill relating to Imperial Tobacco Canada Ltd (ITCAN) In March 2019, ITCAN obtained an Initial Order from the Ontario Superior Court of Justice granting it protection under the Companies’ Creditors Arrangement Act (CCAA). If the CCAA creditor protection were to end, significant liabilities might crystallise. As a consequence, to reflect the risk to future operating cash flows, the value-in-use calculations have been prepared based on a five -year cash flow forecast, after which a growth rate of -2.5 % and a pre-tax discount rate of 20.3 % ( 2022 : 19.4 %) have been assumed. Further information on the Quebec Class Actions and CCAA can be found in note 31 . In addition to the increase in discount rate, a reasonable range of sensitivities was applied to the value-in-use calculation, and there was no risk of an impairment charge identified. The excess of value-in-use earnings over the carrying values (headroom) of the ITCAN goodwill would be reduced to nil if the following individual changes, none of which are considered reasonably possible by management, were made to the key assumptions used in the impairment model. Canada goodwill % Assumptions Decrease in revenue by * 17.4 Increase in pre-tax discount rate by 8.5 Note: * Revenue sensitivities are performed in isolation and do not include the removal of the corresponding variable cost of sales. This demonstrates a decrease in revenue in each of the forecast years. Below is the summary of ITCAN's income statement: 2023 £m 2022 £m Revenue 1,003 1,055 Profit from operations 600 589 Profit after tax 517 478 Please refer to note 32 for ITCAN's assets which are subject to restrictions. The £ 2,386 million of goodwill relating to ITCAN on the Group’s balance sheet at 31 December 2023 will continue to be reviewed on a regular basis. Any impairment charge would result in a non-cash charge to the income statement that will be treated as an adjusting item. (vi) Impairment testing – Goodwill and indefinite-lived brands (excluding Reynolds American and Canada) The value-in-use calculations use cash flows based on detailed financial budgets prepared by management covering a one-year period extrapolated over a 10 -year horizon with growth of 3% ( 2022 : 3% ) in years two to ten , after which a growth rate of 1% ( 2022 : 1% ) has been assumed as the long-term volume decline is more than offset by pricing to drive revenue growth. A 10 -year horizon is considered appropriate based on the Group’s history of profit and cash growth, its well-balanced portfolio of brands and the industry in which it operates. For the Malaysian cash-generating unit, as a result of regulatory and macro-economic conditions, the above assumptions were amended to reflect the short- to medium-term plans of the country or area management spanning a period of five years after which a long-term growth rate of 0% for New Categories and -0.9% for combustibles has been assumed. For the Malaysian cash-generating unit headroom to reduce to £ nil , the forecasted cash flows would need to reduce by 30.7% in each discrete year in the five -year period or the pre-tax discount rate would have to increase by 5.5% , both of which Management does not consider to be reasonably possible. The Group will continue to monitor Malaysia's performance going forward to identify if any impairment triggers materialise. Trading conditions have continued to be difficult in South Africa with the growth in illicit trade following the ban of the sale of tobacco products introduced during the COVID-19 pandemic becoming further entrenched and, as a result, the Group has recognised an impairment charge of £ 291 million. Due to further market deterioration in Peru, which negatively impacts future forecasted operating cash flows for the CGU, the Group has recognised an impairment charge of £ 24 million. Value-in-use calculations for both the South African CGU and the Peruvian CGU have been based on Management's five -year cash flow forecast, after which a long-term growth rate of 0% has been assumed. The table below shows the headroom and the impairment charge that would be recognised if the assumptions used in the value-in-use calculation were changed: Carrying amount of CGU £m Increase in discount rate* £m Decrease in cash flows* £m Decrease in terminal value* £m Change in headroom/impairment charge Cash-generating unit South Africa 189 (28) (38) (19) Peru 73 (11) (11) (8) Note: * Sensitivities applied to key assumptions are a 100 bps increase in the pre-tax discount rate, a 10% decrease in forecast cash flows reflecting a loss in volumes arising from difficult trading conditions and a 100 bps decrease in terminal value growth rate. With the exception of South African and Peruvian cash-generating units, following the application of a reasonable range of sensitivities to all cash-generating units, there was no reasonably possible scenario identified that would lead to a potential impairment charge. (c) Computer software and assets in the course of development Included in computer software and assets in the course of development are internally developed assets with a carrying value of £ 450 million ( 2022 : £ 423 million). The costs of internally developed assets include capitalised expenses of employees working full time on software development projects, third-party consultants and software licence fees from third-party suppliers. The Group has £ 2 million of future contractual commitments ( 2022 : £ 1 million) related to intangible assets. |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Property, plant and equipment | 13 Property, plant and equipment (a) Overview of property, plant and equipment, including right-of-use assets 2023 Freehold property £m Leasehold property £m Plant, equipment and other owned £m Plant, equipment and other leased £m Assets in the course of construction £m Total £m 1 January Cost 1,475 940 5,962 362 767 9,506 Accumulated depreciation and impairment (473) (474) (3,507) (185) (4,639) Net book value at 1 January 1,002 466 2,455 177 767 4,867 Differences on exchange (41) (25) (135) (8) (43) (252) Additions – right-of-use assets — 112 — 84 — 196 – separately acquired — — 20 — 460 480 Reallocations 69 24 431 — (524) — Depreciation (34) (102) (293) (77) — (506) Impairment — (5) (131) (9) (6) (151) Right-of-use assets − reassessments, modifications and terminations — (15) — (13) — (28) Disposals (1) (3) (5) — — (9) Net reclassifications as held-for-sale (14) — — — — (14) 31 December Cost 1,418 895 5,702 375 654 9,044 Accumulated depreciation and impairment (437) (443) (3,360) (221) (4,461) Net book value at 31 December 981 452 2,342 154 654 4,583 2022 Freehold property £m Leasehold property £m Plant, equipment and other owned £m Plant, equipment and other leased £m Assets in the course of construction £m Total £m 1 January Cost 1,421 847 5,750 247 706 8,971 Accumulated depreciation and impairment (388) (370) (3,130) (130) (4,018) Net book value at 1 January 1,033 477 2,620 117 706 4,953 Differences on exchange 68 30 164 9 48 319 Additions – right-of-use assets — 117 — 117 — 234 – separately acquired — — 32 — 471 503 Reallocations 44 21 374 2 (441) — Depreciation (36) (112) (323) (68) — (539) Impairment (62) (39) (210) (4) (4) (319) Right-of-use assets − reassessments, modifications and terminations — (16) — 4 — (12) Disposals (4) (2) (15) — 3 (18) Net reclassifications as held-for-sale (41) (10) (187) — (16) (254) 31 December Cost 1,475 940 5,962 362 767 9,506 Accumulated depreciation and impairment (473) (474) (3,507) (185) (4,639) Net book value at 31 December 1,002 466 2,455 177 767 4,867 Refer to notes 4 and 7 for more information on property, plant and equipment impairments. In 2022 , the £ 254 million of assets reclassified as held-for-sale primarily relates to the Group's businesses in Russia and Belarus. As mentioned in note 5(b) , the Group completed a sale and leaseback transaction in 2023. The cash flow effect of this transaction is £ 15 million . ESG Investments: Included in additions in 2023 is an amount of £ 34 million ( 2022 : £27.1 million ) related to investments directed towards equipment to drive energy efficiency and renewable energy generation, water recycling and efficiency projects, waste reduction, and product innovation-led specification improvements to drive recyclability and reduce waste. The Group has £ 60 million of future contractual commitments ( 2022 : £ 80 million) related to property, plant and equipment. (b) Right-of-use assets In accordance with IFRS 16 Leases , the right-of-use assets related to leased properties have been included in the asset class ‘Leasehold Property’ (note 13(c) ) and other right-of-use assets have been reported under ‘Plant, equipment and other leased’. The Group leases various offices, warehouses, retail spaces, equipment and vehicles through its subsidiaries across the globe. Arrangements are entered into in the course of ordinary business, and lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions reflecting local commercial practice. The lease agreements do not impose any covenants other than the security interests in the leased assets that are held by the lessor. Leased assets may not be used as security for borrowing purposes. Assets representing ‘plant, equipment and other’ relate to leases of various assets including tobacco vending machines, industrial equipment and distribution vehicles in Brazil, China, Japan, Mexico, Pakistan, Poland, Romania, the U.S. and other countries. (c) Leasehold property As of 31 December 2023 , the Group holds £ 147 million ( 2022 : £ 152 million) of leasehold properties acquired and another £ 305 million ( 2022 : £ 314 million) of right-of-use leased properties. Assets representing ‘leasehold property’ relate to leases in respect of offices, retail space, warehouses and manufacturing facilities occupied by Group subsidiaries and include property leases with lease terms of more than five years in Bangladesh, Brazil, China, Germany, Japan, Poland, Romania, the UK and the U.S., amongst other countries. In addition, capitalised expenditure representing leasehold improvements is included in this asset class. 2023 £m 2022 £m Leasehold land and property comprises - net book value of long leasehold 18 15 - net book value of short leasehold 434 451 452 466 2023 Leasehold property net book value movements for the year ended 31 December 2023 Net book value at 1 January £m Differences on exchange £m Depreciation and impairment £m Other net movements * £m Net book value at 31 December £m - Property acquired (IAS 16) 152 (10) (12) 17 147 - Right-of-use properties (IFRS 16) 314 (15) (95) 101 305 466 (25) (107) 118 452 2022 Leasehold property net book value movements for the year ended 31 December 2022 Net book value at 1 January £m Differences on exchange £m Depreciation and impairment £m Other net movements* £m Net book value at 31 December £m - Property acquired (IAS 16) 165 11 (41) 17 152 - Right-of-use properties (IFRS 16) 312 19 (110) 93 314 477 30 (151) 110 466 Note: * Property acquired (IAS 16 Property, plant and equipment ) other net movements for leasehold improvements represent additions (directly acquired and/or transferred from assets in the course of construction) net of disposals, whereas other net movements for right-of-use properties (IFRS 16) relate to new leases net of reassessments, modifications and terminations as reported in the Property, plant and equipment movement table in note 13(a). (d) Freehold property As of 31 December 2023 , the Group owns freehold property amounting to £ 981 million ( 2022 : £ 1,002 million), representing factories, warehouses and office buildings together with adjoining land, mainly in the U.S., the UK, Bangladesh, Indonesia and Mexico. 2023 £m 2022 £m Cost of freehold land within freehold property on which no depreciation is provided 238 246 |
Investments in associates and j
Investments in associates and joint ventures | 12 Months Ended |
Dec. 31, 2023 | |
Investments in subsidiaries, joint ventures and associates reported in separate financial statements [abstract] | |
Investments in associates and joint ventures | 14 Investments in associates and joint ventures 2023 £m 2022 £m 1 January 2,020 1,948 Total comprehensive income (note 9 ) 473 467 Dividends (559) (438) Additions (note 27(c) ) 13 39 Other equity movements 23 4 31 December 1,970 2,020 Non-current assets 1,331 1,400 Current assets 1,168 1,138 Non-current liabilities (78) (75) Current liabilities (451) (443) 1,970 2,020 ITC Ltd. (Group’s share of the market value is £ 15,767 million ( 2022 : £ 12,059 million)) 1,851 1,865 Other listed associates (Group’s share of the market value is £ 175 million ( 2022 : £ 206 million)) 64 106 Unlisted associates 55 49 1,970 2,020 The principal associate undertaking of the Group is ITC Ltd. (ITC). Included within the dividends amount of £ 559 million ( 2022 : £ 438 million) are £ 545 million ( 2022 : £ 427 million) attributable to dividends declared by ITC. ITC Ltd. ITC is an Indian conglomerate based in Kolkata and maintains a presence in cigarettes, hotels, paper and packaging, agri-business and other fast-moving goods (e.g. confectionery, branded apparel, personal care, stationery and safety matches). BAT’s interest in ITC is 29.02% . ITC prepares accounts on a quarterly basis with a 31 March year-end. As permitted by IAS 28 Investments in associates and joint ventures , results up to 30 September 2023 have been used in applying the equity method. This is driven by the availability of information at the half-year, to be consistent with the treatment in the Group’s interim accounts. Any further information available after the date used for reporting purposes is reviewed and any material items adjusted for in the final results. The latest published information available is at 31 December 2023 . 2023 £m 2022 £m Non-current assets 4,261 4,402 Current assets 3,622 3,465 Non-current liabilities (240) (233) Current liabilities (1,267) (1,244) 6,376 6,390 Group’s share of ITC Ltd. ( 2023 : 29.02 %; 2022 : 29.19 %) 1,851 1,865 On 24 July 2023, ITC announced a proposed demerger of its ‘Hotels Business’ under a scheme of arrangement by which 60% of the newly incorporated entity would be held directly by ITC's shareholders proportionate to their shareholding in ITC. On 14 August 2023, ITC's Board of Directors approved the scheme of arrangement subject to necessary regulatory approvals. The demerger is expected to complete by the end of 2024. Organigram On 11 March 2021, the Group announced a strategic collaboration agreement with Organigram Inc., a wholly owned subsidiary of publicly traded Organigram Holdings Inc. (collectively, Organigram). Under the terms of the transaction, a Group subsidiary acquired a 19.9% ( 2023 : 18.79% ; 2022 : 19.4% ) equity stake in Organigram Holdings Inc. (listed on both the Nasdaq and Toronto Stock Exchange under the symbol ‘OGI’) to become its largest shareholder. The Group’s share of the fair value of net assets acquired included £49 million of intangibles and £30 million of goodwill, representing a strategic premium to enter the legal cannabis market in North America. During 2023 Management reassessed the carrying value of the Group’s investment in Organigram Holdings Inc. due to a reduction in the entity's share price being identified as a trigger for a detailed impairment assessment to be undertaken. As part of this exercise, management took into consideration Organigram’s share price, internal value-in-use calculations, external trading multiples and broker forecasts. As a result of this analysis, it was concluded that an impairment charge of £ 36 million (or £ 34 million net of tax) ( 2022 : £ 65 million (or £ 59 million net of tax)), was required against the carrying value of the investment in associate, with the recoverable amount as at 31 December 2023 being £ 30 million ( 2022 : £ 73 million). Management will continue to monitor the carrying value, in line with IAS 36, over the course of future periods. In November 2023, the Group announced the signing of an agreement for a further investment in Organigram Holdings Inc. (Organigram). At 31 December 2023, the proposed investment of CAD$125 million (approximately £74 million ) was subject to customary conditions, including necessary approvals by the shareholders of Organigram, which was given on 18 January 2024. On 24 January 2024, BAT made the first tranche investment of CAD $42 million ( £24 million ) acquiring a further 12,893,175 common shares of Organigram at a price of CAD $3.22 per share. Subject to conditions, the remaining 25,786,350 shares subscribed for shall be issued at the same price in two further equal tranches by the end of August 2024 and February 2025, respectively. Based on Organigram’s current outstanding share capital, this investment will increase the Group’s equity position from c. 19% to c. 45% (restricted to 30% voting rights) once all three tranches have been completed. Charlotte’s Web Holdings Inc. In November 2022, the Group announced a £48 million investment in Charlotte’s Web Holdings, Inc. (Charlotte's Web). Based in Colorado, USA, and listed on the Toronto Stock Exchange, Charlotte’s Web holds a prominent position in innovative hemp extract wellness products. The Group’s investment has been made via a seven -year convertible debenture which is convertible at the Group’s discretion into a non-controlling equity stake in Charlotte’s Web of around 19.9% . As part of the investment agreement, the Group has the right to appoint directors to the Board of Charlotte’s Web. However, given the investment does not give the Group any current right to a share of the earnings or net assets of the investee, the investment has been classified as an investment at fair value through profit and loss (see note 18). On conversion of the loan note, the Group would equity account for its investment. |
Deferred tax
Deferred tax | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [abstract] | |
Deferred tax | 16 Deferred tax Net deferred tax (liabilities)/assets comprise: Stock relief £m Excess of capital allowances over depreciation £m Tax losses £m Undistributed earnings of associates and subsidiaries £m Retirement benefits £m Trademarks £m Other temporary differences £m Total £m 1 January 2023 30 (115) 210 (229) 38 (18,773) 1,093 (17,746) Differences on exchange 2 26 1 12 1 798 (78) 762 (Charged)/credited to the income statement (1) 72 153 (4) (35) 5,384 8 5,577 Credited/(charged) relating to changes in tax rates — — 9 — — 105 (8) 106 Credited/(charged) to other comprehensive income — — — — 35 — (23) 12 Net reclassifications as held-for-sale 1 (4) — — — — 11 8 31 December 2023 32 (21) 373 (221) 39 (12,486) 1,003 (11,281) 1 January 2022 (4) (151) 94 (221) 139 (16,779) 1,071 (15,851) Differences on exchange (8) (20) 5 (8) 7 (2,109) 126 (2,007) Credited/(charged) to the income statement 46 50 77 — (18) 70 (51) 174 (Charged)/credited relating to changes in tax rates — (3) 34 — (1) 45 (9) 66 Charged to other comprehensive income — — — — (89) — (17) (106) Net reclassifications as held-for-sale (4) 9 — — — — (27) (22) 31 December 2022 30 (115) 210 (229) 38 (18,773) 1,093 (17,746) The net deferred tax liabilities are reflected in the Group balance sheet as follows: deferred tax asset of £ 911 million and deferred tax liability of £ 12,192 million ( 2022 : deferred tax asset of £ 682 million and deferred tax liability of £ 18,428 million), after offsetting assets and liabilities where there is a legally enforceable right to offset current tax assets and liabilities and where the deferred income taxes relate to the same fiscal authority. The Group net deferred tax liability of £11,281 million includes a net deferred tax asset of £493 million in relation to UK Group companies, which relates mainly to tax losses ( £363 million) and the excess of capital allowances over depreciation ( £196 million). The tax losses are expected to be utilised in future periods as a result of increased profitability in UK Group companies which is expected follow from improved efficiency in the delivery of business activities. Based on current forecasts UK group companies are expected to generate taxable profits from 2026, from which time it is expected that the tax losses will start to reduce. The losses are forecast to be fully utilised within 6 years thereafter, accounting for a 10% increase or decrease in the total profits of UK group companies. As disclosed in Note 1 Accounting Policies, the Group has applied the mandatory exception to recognising and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes in accordance with IAS12 Income Taxes . At the balance sheet date, the Group has not recognised a deferred tax asset in respect of unused tax losses of £ 360 million ( 2022 : £ 364 million) which have no expiry date and unused tax losses of £ 285 million ( 2022 : £ 429 million) which will expire within the next 20 years . In 2023 and 2022 the Group has not recognised any deferred tax asset in respect of deductible temporary differences which have no expiry date and has not recognised £ 25 million ( 2022 : £ 41 million) in respect of deductible temporary differences which will expire within the next 10 years . At the balance sheet date, the Group has unused tax credits of £ 80 million ( 2022 : £ 80 million) which have no expiry date. No amount of deferred tax has been recognised in respect of these unused tax credits. At the balance sheet date, the aggregate amount of undistributed earnings of subsidiaries which would be subject to dividend withholding tax and for which no withholding tax liability has been recognised was £ 1.1 billion ( 2022 : £ 1.6 billion). |
Trade and other receivables
Trade and other receivables | 12 Months Ended |
Dec. 31, 2023 | |
Trade and other receivables [abstract] | |
Trade and other receivables | 17 Trade and other receivables 2023 £m 2022 £m Trade receivables 2,887 2,609 Loans and other receivables 663 1,568 Prepayments and accrued income 392 431 3,942 4,608 Current 3,621 4,367 Non-current 321 241 3,942 4,608 The majority of receivables are held in order to collect contractual cash flows, in accordance with the Group’s business model for managing financial assets, and hence are measured at amortised cost. In certain countries, however, the Group has entered into factoring arrangements and periodically sells certain trade receivables to banks and other financial institutions, without recourse, for cash. These trade receivables have been derecognised from the statement of financial position to reflect the transfer by the Group of substantially all of the risks and rewards of the receivables, including credit risk. Consequently, the cash inflows have been recognised within operating cash flows. Typically in these arrangements, the Group also acts as a collection agent for the bank. At 31 December 2023 , the value of trade receivables derecognised through the factoring arrangements where the Group acts as a collection agent was £ 545 million ( 2022 : £ 533 million) and where the Group does not act as a collection agent was £16 million ( 2022 : £ 22 million). Included in trade receivables above is £ 189 million ( 2022 : £ 164 million) of trade debtor balances which were available for factoring under these arrangements. In addition, the Group participates in certain supply chain finance programmes utilised by our customers allowing us to receive payment for invoices earlier than the agreed due date at a discounted value. At 31 December 2023 , the value of trade receivables derecognised through these arrangements was £ 141 million ( 2022 : £ 81 million). Included in loans and other receivables are £ 131 million of litigation related deposits ( 2022 : £ 114 million). Management has determined that these payments represent a resource controlled by the entity, as a result of past events and from which future economic benefits are expected to flow to the entity either by being recoverable on conclusion of ongoing appeal processes or by reducing amounts potentially payable should the appeal process fail. These deposits are held at the fair value of consideration transferred and are offset against provisions, if applicable, only once funds have transferred out from the deposit account. The effect of discounting would be immaterial. In March 2017, the Brazilian Supreme Court ruled that for all taxpayers VAT should not be included in the calculation of social contribution taxes (PIS/Cofins) which are levied based on revenue. In August 2022, Souza Cruz achieved the favourable final and unappealable decision in its individual lawsuit in respect of overpaid taxes to the government. Accordingly, an asset was recognised in the amount of £624 million (principal amount plus interest) . Furthermore, the Group had a right related to an earn-out linked to the timing of the credit compensation of £97 million . In 2023, Souza Cruz fully offset the tax credit receivable with ordinary federal taxes payable, as allowed by local legislation. As explained in note 27(d)(ii) , loans and other receivables include £56 million ( 2022 : £56 million ) in relation to outstanding proceeds from the sale of the Group’s Iranian subsidiary in 2021 as a current receivable. Given the ongoing political situation, heightened sanctions and other uncertainties coupled with the passage of time the receivable has been outstanding, the Group has recognised an expected credit loss of £ 28 million at 31 December 2023. Also included in loans and other receivables are deposits that do not meet the definition of cash and cash equivalents as well as loans provided to farmers. The cash flows arising from these transactions are included in investing activities and have been reconciled, in note 18 , to the cash flow statement. Prepayments and accrued income include £ 17 million ( 2022 : £ 21 million) of accrued income primarily in relation to rebates. Amounts receivable from related parties including associated undertakings are shown in note 30 . Trade and other receivables have been reported in the balance sheet net of allowances as follows: 2023 £m 2022 £m Trade receivables – gross 2,957 2,660 Trade receivables – allowance (70) (51) Loans and other receivables – gross 691 1,568 Loans and other receivables – allowance (28) — Prepayments and accrued income 392 431 Net trade and other receivables per balance sheet 3,942 4,608 The movements in the allowance account are as follows: 2023 2022 Trade receivables £m Loans and other receivables £m Total £m Trade receivables £m Loans and other receivables £m Total £m 1 January 51 — 51 37 — 37 Differences on exchange 2 — 2 2 — 2 Provided in the year 33 28 61 28 — 28 Released (16) — (16) (16) — (16) 31 December 70 28 98 51 — 51 As permitted by IFRS 9, the loss allowance on trade receivables arising from the recognition of revenue under IFRS 15 is initially measured at an amount equal to lifetime expected losses. Allowances in respect of loans and other receivables are initially recognised at an amount equal to 12-month expected credit losses. Allowances are measured at an amount equal to the lifetime expected credit losses where the credit risk on the receivables increases significantly after initial recognition. The Group holds bank guarantees, other guarantees and credit insurance in respect of some of the past due debtor balances. Trade and other receivables are predominantly denominated in the functional currencies of subsidiary undertakings apart from the following: US dollar: 3.3 % ( 2022 : 1.9 %), Euro: 6.6 % ( 2022 : 5.7 %) and other currencies: 1.4 % ( 2022 : 2.4 %). There is no material difference between the above amounts for trade and other receivables and their fair value due to the short-term duration of the majority of trade and other receivables as determined using discounted cash flow analysis. There is no concentration of credit risk with respect to trade receivables as the Group has a large number of internationally dispersed customers. |
Investments held at fair value
Investments held at fair value | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Investments Held At Fair Value [Abstract] | |
Investments held at fair value | 18 Investments held at fair value 2023 2022 Fair value through P&L £m Fair value through OCI £m Total £m Fair value through P&L £m Fair value through OCI £m Total £m 1 January 640 60 700 469 37 506 Difference on exchange (52) (1) (53) 18 1 19 Additions 405 11 416 209 19 228 Disposals (372) — (372) (93) (3) (96) Provisions 4 — 4 17 — 17 Reclassifications (3) 3 — — — — Other fair value movements 30 (6) 24 20 6 26 31 December 652 67 719 640 60 700 Current 601 — 601 579 — 579 Non-current 51 67 118 61 60 121 652 67 719 640 60 700 The Group’s investments principally consist of non-derivative financial assets that cannot be classified as loans and other receivables or cash and cash equivalents, as well as investments made by the Group’s corporate venture capital unit, Btomorrow Ventures, and other Group companies. Investments held at fair value through profit and loss principally consist of government securities, indexed deposits, treasury bills or other treasury products with maturities of more than three months which, if held for less than 12 months, form part of the Group’s definition of net debt. Investments held at fair value through profit and loss also includes the Group’s investment in Charlotte’s Web (see note 14 ). Investments held at fair value through other comprehensive income (OCI) include equity investments in various start-up businesses which are held for their strategic value. Investments held at fair value through profit and loss above include restricted amounts of £ 446 million ( 2022 : £ 396 million) due to investments held by subsidiaries in CCAA protection (note 32 ), as well as £ 89 million ( 2022 : £ 78 million) subject to potential exchange control restrictions. In 2021, as part of the disposal of the Group’s operations in Iran (note 27(d) ), a provision of £24 million against non-current investments held at fair value was charged to net finance costs as recoverability of these funds was not certain. During 2022, £17 million was recovered with some progress on resolving issues over the release of the remaining funds. During 2023, an additional £4 million was recovered. Investments held at fair value are predominantly denominated in the functional currencies of subsidiary undertakings with less than 6% in other currencies ( 2022 : less than 5% in other currencies). There is no material difference between the investments held at fair value and their gross contractual values. The classification of these investments under the IFRS 13 Fair Value Measurement fair value hierarchy is given in note 26 . Fair values for quoted investments are based on observable market prices. If there is no active market for a financial asset, the fair value is established by using valuation techniques, including discounted cash flow analyses and share of net assets. The fair value of the seven -year convertible debenture in Charlotte’s Web has been determined using a binomial option pricing model. Included in the values in the table above are £192 million ( 2022 : £186 million ) of level 3 assets. Movements in these assets in 2023 included £123 million ( 2022 : £133 million ) of additions, £90 million ( 2022 : £82 million ) of disposals and £27 million of net fair value loss ( 2022 : £26 million net fair value gain). Below is a reconciliation of the fair value investments cash flows to the cash flow statement – investing activities: 2023 £m 2022 £m Cash outflow from investments held at fair value 416 228 Cash outflow from loans and other receivables 32 29 Cash outflows from investments per cash flow statement 448 257 Cash inflow from investments held at fair value (372) (96) Cash inflow from loans and other receivables (33) (32) Cash inflows from investments per cash flow statement (405) (128) |
Derivative financial instrument
Derivative financial instruments | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Derivative Financial Instruments [Abstract] | |
Derivative financial instruments | 19 Derivative financial instruments The fair values of derivatives are determined based on market data (primarily yield curves, implied volatilities and exchange rates) to calculate the present value of all estimated flows associated with each derivative at the balance sheet date. In the absence of sufficient market data, fair values would be based on the quoted market price of similar derivatives. The classification of these derivative assets and liabilities under the IFRS 13 fair value hierarchy is given in note 26 . 2023 2022 Assets £m Liabilities £m Assets £m Liabilities £m Fair value hedges – interest rate swaps 10 187 27 435 – cross-currency swaps 18 — 126 — Cash flow hedges – interest rate swaps — — 5 — – cross-currency swaps 97 13 127 121 – forward foreign currency contracts 48 55 70 71 Net investment hedges – forward foreign currency contracts 81 9 45 247 Held-for-trading * – interest rate swaps — — 12 14 – forward foreign currency contracts 36 131 149 41 Total 290 395 561 929 Current 181 189 430 427 Non-current 109 206 131 502 290 395 561 929 Derivatives – in respect of net debt ** 147 317 438 605 – other 143 78 123 324 290 395 561 929 Notes: * Derivatives which do not meet the tests for hedge accounting under IFRS 9 or which are not designated as hedging instruments are referred to as ‘held-for-trading’. These derivatives principally consist of interest rate swaps and forward foreign currency contracts which have not been designated as hedges due to their value changes offsetting with other components of net finance costs relating to financial assets and financial liabilities. The Group does not use derivatives for speculative purposes. All derivatives are undertaken for risk management purposes. ** Derivatives in respect of net debt are in a net liability position of £ 170 million as at 31 December 2023 ( 2022 : net asset position of £ 167 million). The Group’s net debt is presented in note 23 . For cash flow hedges, the timing of expected cash flows is as follows: assets of £ 144 million ( 2022 : £ 202 million) of which £ 46 million ( 2022 : £ 72 million) is expected within one year and £ nil million ( 2022 : £ nil million) beyond five years and liabilities of £ 68 million ( 2022 : £ 192 million) of which £ 52 million ( 2022 : £ 134 million) is expected within one year and £ nil million ( 2022 : £ nil million) beyond five years. The Group’s cash flow hedges are principally in respect of sales or purchases of inventory and certain debt instruments. A certain number of forward foreign currency contracts were used to manage the currency profile of external borrowings and are reflected in the currency table in note 23 . Interest rate swaps have been used to manage the interest rate profile of external borrowings and are reflected in the re-pricing table in note 23 . The table below sets out the maturities of the Group’s derivative financial instruments on an undiscounted contractual basis, based on spot rates. The table has been re-presented for the comparative period to include interest rates swaps, based on the nature of the actual settlement. These cash flows are stated net in the cash flow statement. The maturity dates of all gross-settled derivative financial instruments are as follows: 2023 2022 Assets Liabilities Assets Liabilities Inflow £m Outflow £m Inflow £m Outflow £m Inflow £m Outflow £m Inflow £m Outflow £m Within one year – forward foreign currency contracts 8,163 (8,006) 10,354 (10,549) 12,506 (12,249) 8,691 (9,049) – interest rate swaps — — 124 (256) 132 (144) 152 (310) – cross-currency swaps 34 (42) 6 (10) 731 (608) 689 (767) Between one and two years – forward foreign currency contracts 171 (168) 182 (186) 199 (193) 243 (247) – interest rate swaps — — 77 (151) — — 152 (283) – cross-currency swaps 34 (35) 306 (316) 9 (15) 10 (17) Between two and three years – interest rate swaps — — 77 (124) — — 103 (192) – cross-currency swaps 34 (33) — — 9 (15) 460 (502) Between three and four years – interest rate swaps — — 39 (31) — — 104 (169) – cross-currency swaps 618 (488) — — 9 (15) — — Between four and five years – interest rate swaps — — — — — — 52 (43) – cross-currency swaps 26 (21) — — 756 (579) — — Beyond five years – cross-currency swaps 458 (453) — — — — — — 9,538 (9,246) 11,165 (11,623) 14,351 (13,818) 10,656 (11,579) Group's net-settled derivative financial instruments are all due within one year with assets inflow of £ 10 million ( 2022 : £ 7 million inflow) and liabilities outflow of £ 5 million ( 2022 : £ 5 million outflow). The items designated as hedging instruments are as follows: 2023 2022 Nominal amount of hedging instrument £m Changes in fair value used for calculating hedge ineffectiveness £m Nominal amount of hedging instrument £m Changes in fair value used for calculating hedge ineffectiveness £m Interest rate risk exposure: Fair value hedges – interest rate swaps 2,798 79 4,657 (417) – cross-currency swaps 451 13 710 11 Cash flow hedges – interest rate swaps — — 1,247 (5) – cross-currency swaps 859 (26) 1,825 60 Foreign currency risk exposure: Cash flow hedges – forward foreign currency contracts 2,807 (6) 3,695 (2) Net investment hedges (derivative related) – forward foreign currency contracts 4,329 69 6,407 (208) Net investment hedges (non-derivative related) – debt (carrying value) in borrowings designated as net investment hedges of net assets 380 9 389 21 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2023 | |
Classes of current inventories [abstract] | |
Inventories | 20 Inventories 2023 £m 2022 £m Raw materials and consumables 2,198 2,370 Finished goods and work in progress 2,584 3,159 Goods purchased for resale 156 142 4,938 5,671 Write-offs taken to other operating expenses in the Group income statement were £ 250 million ( 2022 : £ 250 million; 2021 : £ 215 million). As mentioned in note 6(l) , this includes a write-off of stock of leaf following an extreme weather event. Goods purchased for resale include Group brands produced under third-party contract manufacturing arrangements. |
Cash and cash equivalents
Cash and cash equivalents | 12 Months Ended |
Dec. 31, 2023 | |
Cash and cash equivalents [abstract] | |
Cash and cash equivalents | 21 Cash and cash equivalents 2023 £m 2022 £m Cash and bank balances 3,247 3,116 Cash equivalents 1,412 330 4,659 3,446 The carrying value of cash and cash equivalents approximates their fair value. Cash and cash equivalents are denominated in the functional currency of the subsidiary undertaking or other currencies as shown below: 2023 £m 2022 £m Functional currency 4,147 2,979 US dollar 373 207 Euro 81 129 Other currencies 58 131 4,659 3,446 In the Group cash flow statement, net cash and cash equivalents are shown after deducting bank overdrafts and accrued interest where applicable, as follows: 2023 £m 2022 £m Cash and cash equivalents as above 4,659 3,446 Less overdrafts and accrued interest (142) (109) Net cash and cash equivalents 4,517 3,337 Cash and cash equivalents also include £ 38 million ( 2022 : £ 34 million) of cash that is held as a hedging instrument. Accrued interest of £39 million (2022: £3 million ) is primarily due to high cash and cash equivalent balances in certain markets, including Brazil, where accumulated cash is temporarily higher than normal due to the recognition of tax credits, as explained in note 17 , being offset against tax liabilities payable. Restricted cash Cash and cash equivalents include restricted amounts of £ 1,904 million ( 2022 : £ 1,411 million) due to subsidiaries in CCAA protection (note 32 ), as well as £ 392 million ( 2022 : £ 324 million) principally due to exchange control restriction |
Capital and reserves
Capital and reserves | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Capital And Reserve Reconciliation Of Movement In Equity [Abstract] | |
Capital and reserves | 22 Capital and reserves (a) Share capital Ordinary shares of 25 p each Number of shares £m Allotted and fully paid 1 January 2023 2,456,867,420 614.21 Changes during the year – share option schemes 74,489 0.02 31 December 2023 2,456,941,909 614.23 Allotted and fully paid 1 January 2022 2,456,617,788 614.15 Changes during the year – share option schemes 249,632 0.06 31 December 2022 2,456,867,420 614.21 Allotted and fully paid 1 January 2021 2,456,591,597 614.14 Changes during the year – share option schemes 26,191 0.01 31 December 2021 2,456,617,788 614.15 Share capital The Company’s ordinary shares are fully paid and no further contribution of capital may be required by the Company from the shareholders. All ordinary shares rank equally with regard to participation in dividends and to share in the proceeds of the Company’s residual assets upon a winding up of the Company. Shareholders may, by ordinary resolution, declare final dividends, but not in excess of the amount recommended by the Directors. Holders of ordinary shares have no pre-emptive rights. On a show of hands every shareholder who is present in person at a general meeting is entitled to one vote regardless of the number of shares held by the shareholder, unless a poll is demanded. On a poll, every shareholder who is present in person or by proxy has one vote for every share held by the shareholder. The Company’s Annual General Meeting voting is undertaken by way of a poll. All rights attached to the Company’s shares held by the Group as treasury shares are suspended until those shares are reissued. (b) Share premium account, capital redemption reserves and merger reserves comprise: Share premium account £m Capital redemption reserves £m Merger reserves £m Total £m 31 December 2023 115 101 26,414 26,630 31 December 2022 113 101 26,414 26,628 31 December 2021 107 101 26,414 26,622 Share premium account The share premium account includes the difference between the value of shares issued and their nominal value. The share premium increase includes £ 2 million ( 2022 : £ 5 million; 2021 : £ nil million) in respect of ordinary shares issued under the Company’s share option schemes. A further £ nil million ( 2022 : £ 1 million; 2021 : £ 4 million) increase in share premium is related to shares repurchased and not cancelled that have been transferred from the Company to other Group undertakings, to be granted to certain employees on vesting of awards, and represents the excess of transfer price of the share over the original weighted average cost of shares. Capital redemption account On the purchase of own shares as part of the share buy-back programme for shares which are cancelled, a transfer is made from retained earnings to the capital redemption reserve equivalent to the nominal value of shares purchased. Purchased shares which are not cancelled are classified as treasury shares and presented as a deduction from total equity. Merger reserve account The merger reserve comprises: a. In 1999, shares were issued for the acquisition of the Rothmans International B.V. Group and the difference between the fair value of shares issued and their nominal value of £3,748 million was credited to merger reserves; and b. On 25 July 2017, the Group announced the completion of the acquisition of the remaining 57.8% of RAI not already owned by the Group. Shares were issued for the acquisition and the difference between the fair value of shares issued and their nominal value of £22,666 million was credited to merger reserves. (c) Equity attributed to owners of the parent − movements in other reserves and retained earnings (which are after deducting treasury shares) comprise: Retained earnings Translation reserve (i) £m Hedging reserve (ii) £m Fair value reserve (iii) £m Revaluation reserve (iv) £m Other (v) £m Total other reserves £m Treasury shares (vi) £m Other £m 1 January 2023 2,200 (327) 30 179 573 2,655 (7,116) 51,197 Comprehensive income and expense Loss for the year — — — — — — — (14,367) Foreign currency translation and hedges of net investments in foreign operations – differences on exchange from translation of foreign operations (4,007) — — — — (4,007) — — – reclassified and reported in profit for the year 552 — — — — 552 — — – net investment hedges − net fair value gains on derivatives 236 — — — — 236 — — – net investment hedges − differences on exchange on borrowings 9 — — — — 9 — — Cash flow hedges – net fair value gains — 59 — — — 59 — — – reclassified and reported in profit for the year — 12 — — — 12 — — – tax on net fair value gains in respect of cash flow hedges (note 10(f) ) — (23) — — — (23) — — Investments held at fair value – net fair value losses — — (6) — — (6) — — Associates − share of OCI, net of tax (note 9 ) (165) 58 — — — (107) — — Retirement benefit schemes – net actuarial losses (note 15 ) — — — — — — — (106) – surplus recognition (note 15 ) — — — — — — — 24 – tax on actuarial losses in respect of subsidiaries (note 10(f) ) — — — — — — — 30 Associates − share of OCI, net of tax (note 9 ) — — (6) — — (6) — 1 Other changes in equity Cash flow hedges reclassified and reported in total assets — 27 — — — 27 — — Employee share options – value of employee services — — — — — — — 71 – treasury shares used for share option schemes — — — — — — 14 (14) Dividends and other appropriations – ordinary shares — — — — — — — (5,071) Purchase of own shares – held in employee share ownership trusts — — — — — — (110) — Perpetual hybrid bonds – coupons paid — — — — — — — (58) – tax on coupons paid — — — — — — — 14 Reclassification of equity related to assets held-for- sale (295) — — — — (295) — — Other movements — — — — — — 116 (94) 31 December 2023 (1,470) (194) 18 179 573 (894) (7,096) 31,627 Retained earnings Translation reserve (i) £m Hedging reserve (ii) £m Fair value reserve (iii) £m Revaluation reserve (iv) £m Other (v) £m Total other reserves £m Treasury shares (vi) £m Other £m 1 January 2022 (6,427) (363) 6 179 573 (6,032) (5,122) 49,334 Comprehensive income and expense Profit for the year — — — — — — — 6,666 Foreign currency translation and hedges of net investments in foreign operations – differences on exchange from translation of foreign operations 8,920 — — — — 8,920 — — – reclassified and reported in profit for the year 5 — — — — 5 — — – net investment hedges – net fair value gains on derivatives (578) — — — — (578) — — – net investment hedges – differences on exchange on borrowings (21) — — — — (21) — — Cash flow hedges – net fair value gains — 81 — — — 81 — — – reclassified and reported in profit for the year — 101 — — — 101 — — – tax on net fair value gains in respect of cash flow hedges (note 10(f) ) — (17) — — — (17) — — Investments held at fair value – net fair value gains — — 6 — — 6 — — Associates – share of OCI, net of tax (note 9 ) 6 — — — — 6 — — Retirement benefit schemes – net actuarial gains (note 15 ) — — — — — — — 316 – surplus recognition (note 15 ) — — — — — — — (39) – tax on actuarial gains in respect of subsidiaries (note 10(f) ) — — — — — — — (95) Associates − share of OCI, net of tax (note 9 ) — — 18 — — 18 — 1 Other changes in equity Cash flow hedges reclassified and reported in total assets — (129) — — — (129) — — Employee share options – value of employee services — — — — — — — 81 – treasury shares used for share option schemes — — — — — — 14 (15) Dividends and other appropriations – ordinary shares — — — — — — — (4,915) Purchase of own shares – held in employee share ownership trusts — — — — — — (80) — – share buy-back programme — — — — — — (2,012) — Perpetual hybrid bonds – coupons paid — — — — — — — (59) – tax on coupons paid — — — — — — — 11 Non-controlling interests – acquisitions (note 27(b) ) — — — — — — — (1) Reclassification of equity in respect of assets classified as held-for-sale 295 — — — — 295 — — Other movements — — — — — — 84 (88) 31 December 2022 2,200 (327) 30 179 573 2,655 (7,116) 51,197 Retained earnings Translation reserve (i) £m Hedging reserve (ii) £m Fair value reserve (iii) £m Revaluation reserve (iv) £m Other (v) £m Total other reserves £m Treasury shares (vi) £m Other £m 1 January 2021 (6,830) (504) (18) 179 573 (6,600) (5,150) 47,191 Comprehensive income and expense Loss for the year — — — — — — — 6,801 Foreign currency translation and hedges of net investments in foreign operations – differences on exchange from translation of foreign operations 31 — — — — 31 — — – reclassified and reported in profit for the year 291 — — — — 291 — — – net investment hedges – net fair value gain on derivatives 75 — — — — 75 — — – net investment hedges – differences on exchange on borrowings 24 — — — — 24 — — Cash flow hedges – net fair value gains — 95 — — — 95 — — – reclassified and reported in profit for the year — 32 — — — 32 — — – tax on net fair value gains in respect of cash flow hedges (note 10(f) ) — (32) — — — (32) — — Investments held at fair value – net fair value gains — — 9 — — 9 — — Associates – share of OCI, net of tax (note 9 ) (18) 1 — — — (17) — — Retirement benefit schemes – net actuarial gains (note 15 ) — — — — — — — 382 – surplus recognition (note 15 ) — — — — — — — (1) – tax on actuarial gains in respect of subsidiaries (note 10(f) ) — — — — — — — (82) Associates - share of OCI, net of tax (note 9 ) — — 15 — — 15 — (1) Other changes in equity Cash flow hedges reclassified and reported in total assets — 45 — — — 45 — — Employee share options – value of employee services — — — — — — — 76 – treasury shares used for share option schemes — — — — — — 13 (17) Dividends and other appropriations – ordinary shares — — — — — — — (4,904) Purchase of own shares – held in employee share ownership trusts — — — — — — (82) — Perpetual hybrid bonds – coupons paid — — — — — — — (6) – tax on coupons paid — — — — — — — 1 Non-controlling interests − acquisitions (note 27(b)) — — — — — — — (5) Other movements — — — — — — 97 (101) 31 December 2021 (6,427) (363) 6 179 573 (6,032) (5,122) 49,334 (i) Translation reserve: The translation reserve is explained in the accounting policy on foreign currencies in note 1 . In 2023, included within the differences on exchange from translation of foreign operations is £ 552 mill ion ( 2022 : £ 5 million; 2021 : £ 291 million) which has been reclassified from reserves to the income statement and recognised in other operating expenses as an adjusting item. In 2023, this amount includes £ 554 million in respect of the sale of the Russian and Belarusian subsidiaries. In 2022, £4 million was in respect of the exit from Egypt and, in 2021, £272 million was in respect of the disposal of BAT Pars. In certain markets, the Group has moved to above market business models utilising local distributors as importers. As a consequence, with the cessation of a physical presence in these markets, foreign exchange previously recognised in other comprehensive income for these entities has been reclassified to the income statement. In 2023, a loss of £2 million was recognised in reserves in relation to the move to above market business models. In 2022 and 2021, a gain of £2 million and £ 19 million, respectively, was recognised in relation to the move to above market business models and Quantum-related initiatives. Also, in 2022, as a result of the liquidation of Yemen, the Group reclassified to the income statement the foreign exchange previously recognised in associates other comprehensive income. This resulted in a credit of £ 1 million to the income statement. (ii) Hedging reserve: The hedging reserve is explained in the accounting policy on financial instruments in note 1 . Of the amounts reclassified from the hedging reserve and reported in profit for the year, a loss of £51 million ( 2022 : £16 million loss; 2021 : £29 million loss) and a loss of £4 million ( 2022 : £2 million loss; 2021 : £6 million gain) were reported within revenue and raw materials and consumables, respectively, together with a loss of £17 million ( 2022 : £46 million gain; 2021 : £4 million loss) reported in other operating expenses, and a gain of £84 million ( 2022 : £73 million gain; 2021 : £59 million gain) reported within net finance costs. The Group hedges certain foreign currency denominated borrowings with cross-currency interest rate swaps. As permitted by IFRS 9 Financial Instruments , the foreign currency basis spreads have been separated from the hedging instrument and are recognised in reserves as a ‘cost of hedging’ and are reclassified to the income statement in the same period in which profit and loss is affected by the hedged expected cash flows as a component of the associated interest expense. The basis spreads are included within hedging reserves as they are not material. Included within the balance of hedging reserves at 31 December 2023 is an accumulated loss of £6 million ( 2022 : £5 million gain; 2021 : £4 million gain) in respect of the cost of hedging. (iii) Fair value reserve: The fair value reserve is explained in the accounting policy on financial instruments in note 1 . Fair value gains and losses arising from investments held at fair value through other comprehensive income are recognised in this reserve. (iv) Revaluation reserve: The revaluation reserve relates to the acquisition of the cigarette and snus business of ST in 2008. (v) Other reserves: Other reserves comprise: (a) £483 million which arose in 1998 from merger accounting in a Scheme of Arrangement and Reconstruction whereby British American Tobacco p.l.c. acquired the entire share capital of B.A.T Industries p.l.c. and the share capital of that company’s principal financial services subsidiaries was distributed, so effectively demerging them; and (b) In the 1999 Rothmans transaction, convertible redeemable preference shares were issued as part of the consideration. The discount on these shares was amortised by crediting other reserves and charging retained earnings. The £90 million balance in other reserves comprises the accumulated balance in respect of the preference shares converted during 2004. (vi) Treasury shares: Total equity attributable to owners of the parent is stated after deducting the cost of treasury shares which include £ 6,807 million ( 2022 : £ 6,821 million; 2021 : £ 4,823 million) for shares repurchased and not cancelled and £ 289 million ( 2022 : £ 295 million; 2021 : £ 299 million) in respect of the cost of own shares held in employee share ownership trusts. On 10 February 2022, the Board approved a proposed £2 billion share buy-back programme for 2022. The previous share buy-back programme was suspended from 30 July 2014. As at 31 December 2023, treasury shares include 5,951,979 ( 2022 : 5,920,638 ; 2021 : 6,269,959 ) shares held in trust and 220,533,855 ( 2022 : 221,000,192 ; 2021 : 161,930,217 ) shares repurchased and not cancelled as part of the Company’s share buy-back programme. From March 2020, the Company has utilised shares acquired in the share buy-back programme to satisfy shared-based payment awards made to certain employees. (d) Perpetual hybrid bonds On 27 September 2021, the Group issued two €1 billion perpetual hybrid bonds amounting to £1,703 million , which have been classified as equity. Issuance costs of these bonds, amounting to €26 million ( £22 million ), have been recognised within equity. These bonds include redemption options exercisable at the Group’s discretion from September 2026 to December 2026 (the 3% perpetual hybrid bond) and June 2029 to September 2029 (the 3.75% perpetual hybrid bond), on specified dates thereafter, or in the event of specific circumstances (such as a change in IFRS or tax regime) as set out in the individual terms of each issue. The coupons associated with these perpetual hybrid bonds are fixed at 3% until 2026 and 3.75% until 2029, respectively, and would reset to rates determined by the contractual terms of each instrument on certain dates thereafter. The bonds are perpetual in nature and do not have maturity dates for the repayment of principal. The contractual terms of the perpetual hybrid bonds allow the Group to defer coupon payments, however certain contingent events could trigger mandatory payments of such deferred coupons, including the payment of dividends on, and the repurchase of, ordinary shares, subject to certain exceptions in each case. The full terms and conditions of such events can be found in the prospectus dated 27 September 2021 which is available under the debt facilities section of the Group’s debt microsite (bat.com/debt). As the Group has the unconditional right to avoid transferring cash or another financial asset in relation to these bonds, they are classified as equity instruments in the consolidated financial statements. During the year, the Group did not defer any eligible coupon payments and paid a coupon of £33 million in September 2023 (September 2022: £ 33 million) on the 3.75% September 2029 bond and £ 26 million in December 2023 (December 2022: £27 million ) on the 3% December 2026 bond which has been recognised within equity. Differences between the coupon recognised in the capital and reserves statement and the coupon paid on perpetual hybrid bonds in the cash flow statement are due to foreign exchange arising on short timing differences between recognition and settlement. The fair value of these bonds at 31 December 2023 is £ 1,512 million ( 2022 : £ 1,331 million). (e) Non-controlling interests Movements in non-controlling interests primarily relate to profit for the year and dividends (reported as a movement in retained earnings) and differences on exchange arising from the translation into sterling (reported as a movement in other reserves). Information on subsidiaries with material non-controlling interests is provided in note 32 . (f) Dividends and other appropriations The interim quarterly dividend payment for the year ended 31 December 2022 of 230.9 p per ordinary share ( 31 December 2021 : 217.8 p per ordinary share) was payable in four equal instalments: amounts payable in May 2023 of £ 1,282 million (May 2022 : £ 1,239 million), August 2023 of £ 1,284 million (August 2022 : £ 1,223 million), November 2023 of £ 1,293 million (November 2022 : £ 1,219 million) and £ 1,287 million in February 2024 (February 2023 : £ 1,211 million), respectively. The total dividends recognised as an appropriation from reserves in 2023 was £ 5,071 million ( 2022 : £ 4,915 million; 2021 : £ 4,904 million). The Board has declared an interim dividend of 235.5 p per ordinary share of 25 p, for the year ended 31 December 2023 , payable in four equal quarterly instalments of 58.9 p per ordinary share in May 2024 , August 2024 , November 2024 and February 2025 . These payments will be recognised as appropriations from reserves in 2024 and 2025 . The total amount payable is estimated to be £ 5,267 million based on the number of shares outstanding at the date of these accounts . |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about borrowings [abstract] | |
Borrowings | 23 Borrowings Currency Maturity dates Interest rates 2023 £m 2022 £m Eurobonds Euro 2024 to 2045 1.3% to 5.4% 5,569 7,149 UK sterling 2024 to 2055 2.1% to 7.3% 3,097 3,884 Swiss franc 2026 1.4% 234 226 Bonds issued pursuant to Rules under the U.S. Securities Act (as amended) US dollar 2024 to 2053 1.7% to 8.1% 29,913 30,152 Bonds and notes 38,813 41,411 Commercial paper — 27 Other loans 100 875 Bank loans 216 203 Bank overdrafts 103 106 Lease liabilities 498 517 39,730 43,139 Perpetual hybrid bonds issued by the Group have been classified as equity (note 22(d) ) and are therefore excluded from borrowings. Other loans comprise £ 100 million ( 2022 : £ 875 million) relating to a bilateral facility. Commercial paper is issued at competitive rates to meet short-term borrowing requirements as and when needed. Current borrowings per the balance sheet include interest payable of £ 573 million at 31 December 2023 ( 2022 : £ 524 million). Included within borrowings are £ 5,935 million ( 2022 : £ 9,223 million) of borrowings subject to fair value hedges where their amortised cost has been decreased by £ 110 million ( 2022 : £ 355 million decrease). The fair value of borrowings is estimated to be £ 36,000 million ( 2022 : £ 37,170 million) of which £ 35,083 million ( 2022 : £ 35,440 million) has been calculated using quoted market prices and is within level 1 of the fair value hierarchy and £ 917 million ( 2022 : £ 1,730 million) has been calculated based on discounted cash flow analysis and is within level 3 of the fair value hierarchy. Amounts secured on Group assets including property, plant and equipment, inventory and receivables as at 31 December 2023 are £ nil million ( 2022 : £ 9 million). The majority of lease liabilities are also secured against the associated assets. Borrowings are repayable as follows: Per balance sheet Contractual gross maturities 2023 £m 2022 £m 2023 £m 2022 £m Within one year 4,324 4,413 5,359 5,426 Between one and two years 3,319 4,253 4,784 5,763 Between two and three years 2,558 4,406 3,920 5,673 Between three and four years 2,947 3,013 4,393 4,141 Between four and five years 3,410 4,077 4,600 5,494 Beyond five years 23,172 22,977 35,163 33,806 39,730 43,139 58,219 60,303 The contractual gross maturities in each year include the borrowings maturing in that year together with forecast interest payments on all borrowings which are outstanding for all or part of that year. Borrowings are denominated in the functional currency of the subsidiary undertaking or other currencies as shown below: Functional currency £m U.S. dollar £m UK sterling £m Euro £m Other currencies £m Total £m 31 December 2023 Total borrowings 32,215 3,656 302 3,301 256 39,730 Effect of derivative financial instruments – cross-currency swaps 1,214 (451) (300) (559) — (96) – forward foreign currency contracts (57) (892) — 537 414 2 33,372 2,313 2 3,279 670 39,636 31 December 2022 Total borrowings 33,438 3,383 452 5,579 287 43,139 Effect of derivative financial instruments – cross-currency swaps 2,356 — (450) (2,085) — (179) – forward foreign currency contracts (40) (998) — 590 454 6 35,754 2,385 2 4,084 741 42,966 The exposure to interest rate changes when borrowings are re-priced is as follows: Within 1 year £m Between 1-2 years £m Between 2-3 years £m Between 3-4 years £m Between 4-5 years £m Beyond 5 years £m Total £m 31 December 2023 Total borrowings 4,324 3,319 2,558 2,947 3,410 23,172 39,730 Effect of derivative financial instruments – interest rate swaps 2,798 (229) (786) — (1,783) — — – cross-currency swaps 448 — 6 — (98) (452) (96) 7,570 3,090 1,778 2,947 1,529 22,720 39,634 31 December 2022 Total borrowings 4,398 4,246 4,407 3,013 4,077 22,998 43,139 Effect of derivative financial instruments – interest rate swaps 4,657 (500) (1,247) — (2,910) — — – cross-currency swaps (77) — 36 — (138) — (179) 8,978 3,746 3,196 3,013 1,029 22,998 42,960 Lease liabilities are repayable as follows: Per balance sheet Contractual gross maturities 2023 £m 2022 £m 2023 £m 2022 £m Within one year 131 142 155 161 Between one and two years 103 109 122 122 Between two and three years 77 76 91 85 Between three and four years 59 58 70 65 Between four and five years 29 50 38 54 Beyond five years 99 82 140 112 498 517 616 599 For more information on leasing arrangements, refer to note 13(b) . As at 31 December 2023 , the Group’s undrawn committed borrowing facilities (note 26 ) amount to £ 7,923 million ( 2022 : £ 7,828 million) with £ 5,077 million maturing within one year ( 2022 : £ 4,828 million maturing within one year), £ 154 million maturing between one and two years ( 2022 : £ nil million maturing between one and two years), £ 154 million maturing between two and three years ( 2022 : £ 150 million maturing between two and three years), £ 2,538 million maturing between three and four years ( 2022 : £ 350 million maturing between three and four years) and £ nil maturing between four and five years ( 2022 : £ 2,500 million maturing between four and five years). The Group’s composition and movements in net debt are presented below along with a reconciliation to the financing activities in the Group Cash Flow Statement: 2023 £m Notes Opening balance Cash flow Foreign exchange Fair value, accrued interest and other Held for Sale Closing balance Borrowings (excluding lease liabilities) * 42,622 (1,638) (1,956) 204 — 39,232 Lease liabilities 517 (162) (25) 168 — 498 Derivatives in respect of net debt 19 167 (238) 564 (323) — 170 Cash and cash equivalents 21 (3,446) (1,101) 30 226 (368) (4,659) Current investments held at fair value 18 (579) (22) 49 (49) — (601) 39,281 (3,161) (1,338) 226 (368) 34,640 2022 £m Notes Opening balance Cash flow Foreign exchange Fair value, accrued interest and other Held for Sale Closing balance Borrowings (excluding lease liabilities) * 39,212 (17) 3,881 (454) — 42,622 Lease liabilities 446 (161) 30 218 (16) 517 Derivatives in respect of net debt 19 (91) 348 (435) 345 — 167 Cash and cash equivalents 21 (2,809) (571) (431) (3) 368 (3,446) Current investments held at fair value 18 (456) (86) (15) (22) — (579) 36,302 (487) 3,030 84 352 39,281 Note: * Borrowings as at 31 December 2023 include £ 700 million ( 2022 : £ 798 million) in respect of the purchase price adjustments relating to the acquisition of Reynolds American. In the table above, movements in accrued interest relate to the net movement year on year and cash flows related to interest payments are not included. ' Fair value, accrued interest and other’ movements in lease liabilities in 2023 mainly comprise additions of £ 168 million ( 2022 : £ 218 million) (net of reassessments, modifications and terminations), see note 13(a) . The movement of £ 49 million ( 2022 : £ 22 million) in current investments held at fair value represents the fair value gains for these investments. 2023 £m 2022 £m Cash flows per net debt statement (3,161) (487) Non-financing cash flows included in net debt 1,126 897 Interest paid (1,682) (1,578) Interest element of lease liabilities (30) (25) Remaining cash flows relating to derivative financial instruments (242) (465) Purchases of own shares held in employee share ownership trusts (110) (80) Purchase of own shares — (2,012) Coupon paid on perpetual hybrid bonds (59) (60) Dividends paid to owners of the parent (5,055) (4,915) Capital injection from and purchase of non-controlling interests — (1) Dividends paid to non-controlling interests (105) (158) Other 4 6 Net cash used in financing activities per cash flow statement (9,314) (8,878) |
Provisions for liabilities
Provisions for liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of other provisions [abstract] | |
Provisions for liabilities | 24 Provisions for liabilities Restructuring of existing businesses £m Employee- related benefits £m Fox River £m DOJ and OFAC investigations £m Other provisions £m Total £m 1 January 2023 297 44 54 450 676 1,521 Differences on exchange (32) (4) — — (46) (82) Provided in respect of the year (*) (21) 13 — (450) 240 (218) Utilised during the year (105) (11) (10) — (96) (222) 31 December 2023 139 42 44 — 774 999 Analysed on the balance sheet as – current 96 13 3 — 356 468 – non-current 43 29 41 — 418 531 139 42 44 — 774 999 Restructuring of existing businesses £m Employee- related benefits £m Fox River £m DOJ and OFAC investigations £m Other provisions £m Total £m 1 January 2022 179 41 62 — 571 853 Differences on exchange 9 2 — — 15 26 Provided in respect of the year (*) 198 10 — 450 187 845 Transferred to liabilities associated with assets held for sale (20) — — — (6) (26) Utilised during the year (69) (9) (8) — (91) (177) 31 December 2022 297 44 54 450 676 1,521 Analysed on the balance sheet as – current 240 14 10 450 373 1,087 – non-current 57 30 44 — 303 434 297 44 54 450 676 1,521 Note: * Amounts provided above are shown net of reversals of unused provisions which include reversals of £ 42 million ( 2022 : £ 35 million) for restructuring of existing businesses, £ 14 million ( 2022 : £ 10 million) for employee benefits and £ 128 million ( 2022 : £ 225 million) for other provisions. For DOJ and OFAC investigations, £ 450 million that were provided in 2022 were reclassified to trade and other payables in 2023. Restructuring of existing businesses The restructuring provisions relate to the restructuring and integration costs incurred and are reported as adjusting items. The principal restructuring activities in 2022 are as described in note 7 and primarily include the cost of employee packages and long-term social plans associated with redundancy programmes from previous years, mainly in relation to Quantum. No further Quantum restructuring charges were recognised as adjusting in 2023 , following the completion of the Quantum programme. Provisions associated with redundancy packages are determined based on termination packages offered in each country. The long-term social plans primarily relate to social plans in Germany, which span over several years and are based on actuarial calculations. These are discounted to present value using Central Bank rates. We do not consider the effect of discounting to be material. The provisions for long-term social plans include future payments related to contracts that are already fixed. Given that there is little or no variability expected in the timing and amount of the payments, no additional risk has been incorporated in the discounting. While some elements of the non-current provisions of £ 43 million will unwind over several years, as termination payments are made over extended periods in some countries, it is estimated that approximately 97% of these non-current provisions will unwind within five years . Employee-related benefits Employee-related benefits mainly relate to employee benefits other than post-employment benefits. The principal components of these provisions are gratuity and termination awards, ‘jubilee’ payments due after a certain service period and expected payments associated with long-term disability. The majority of these provisions are calculated by actuaries. It is estimated that approximately 67% of the non- current provisions of £ 29 million will unwind within five years . Fox River A provision of £274 million was made in 2011 for a potential claim under a 1998 settlement agreement entered into by a Group subsidiary in respect of the clean-up of sediment in the Fox River. On 30 September 2014, the Group, NCR, Appvion and Windward Prospects entered into a funding agreement; the details of this agreement are explained in note 31 . This agreement led to payments of £ nil million in 2023 ( 2022 : £ 1 million). In addition, the Group incurred legal costs of £ 10 million ( 2022 : £ 7 million), which were also charged against the provision. It is expected that the non-current provision will unwind within five years . DOJ/OFAC investigations As discussed earlier (in note 6(h) ), on 25 April 2023, the Group announced that it had reached an agreement with the DOJ and OFAC for a total amount payable to the U.S. authorities of US$ 635 million plus interest. Having recognised an initial provision of £ 450 million ( US$540 million ), in 2022, the Group has recognised an additional charge of £ 75 million in 2023. During 2023, as a result of payment terms being finalised, the provision was reversed and the liability was transferred to sundry payables where US$ 5 million (£ 4 million) was paid in April, US$ 321 million (£ 258 million) including interest was paid in September and US$ 326 million (£ 263 million) including interest will be paid in the first half of 2024. Other Other provisions comprise balances set up in the ordinary course of general business that cannot be classified within the other categories, such as sales returns and onerous contracts together with amounts in respect of supplier, excise and other disputes. The nature of the amounts provided in respect of disputes is such that the extent and timing of cash flows are difficult to estimate and the ultimate liability may vary from the amounts provided. In accordance with IFRS 15 Revenue from Contracts with Customers, s ales return provisions are recognised based on a reasonable estimate of likely returns. In 2023 , the sales return provision, included in other provisions, was £ 55 million ( 2022 : £ 62 million). Included within other provisions there is a provision for interest of £ 244 million ( 2022 : £ 183 million) in relation to the Franked Investment Income Group Litigation Order (FII GLO), as mentioned in notes 8(b) and 10(b) . The provision is calculated based on the UK central bank base rate plus 2% and has been charged to net finance costs. As there is uncertainty over the potential timing of the utilisation, as explained in note 10(b) , the provision has been reported as a non-current provision. Other provisions also include a provision of £ 89 million in relation to litigation-related deposits as explained in note 17 . In addition, BAT Brazil has recognised a provision of £ 40 million in relation to a legal case over whether a 10% tax imposed on a tax benefit associated with investment grants by the Rio de Janeiro State was constitutional (as explained in note 6(k) ). |
Trade and other payables
Trade and other payables | 12 Months Ended |
Dec. 31, 2023 | |
Trade and other current payables [abstract] | |
Trade and other payables | 25 Trade and other payables 2023 £m 2022 £m Trade payables 1,707 1,862 Master settlement agreement (U.S.) 1,788 2,193 Duty, excise and other taxes 2,994 3,104 Accrued charges and deferred income 2,608 2,713 FII GLO (note 10(b) ) 863 913 Social security and other taxation 46 61 Sundry payables 587 547 10,593 11,393 Current 9,700 10,449 Non-current 893 944 10,593 11,393 As explained in note 17 , the Group acts as a collection agent for banks and other financial institutions in certain debt factoring arrangements. The cash collected in respect of these arrangements that has not yet been remitted amounts to £ 138 million ( 2022 : £ 119 million) and is included in sundry payables. In addition, the Group has certain Supply Chain Financing (SCF) or ‘reverse factoring’ arrangements in place. The principal purpose of these arrangements is to provide the supplier with the option to access liquidity earlier through the sale of its receivables due from the Group to a bank or other financial institution prior to their due date. Management has determined that the Group’s payables to these suppliers have neither been extinguished nor have the liabilities been significantly modified by these arrangements. The value of amounts payable, invoice due dates and other terms and conditions applicable, from the Group’s perspective, remain unaltered, with only the ultimate payee being changed. At 31 December 2023 , the value of amounts payable under the SCF programmes was £ 201 million ( 2022 : £ 257 million). The cash outflows in respect of these arrangements have been recognised within operating cash flows. Included in this amount is £ 110 million ( 2022 : £ 161 million) of leaf payables where the standard payment terms with the vendor is 150 days, consistent with credit terms normally available in certain markets. In 2023, the Group announced that it had reached an agreement with the DOJ and OFAC to resolve previously disclosed investigations into historical sanctions breaches. Included within sundry payables is US$ 326 million (£ 263 million) plus interest representing the third and final payment due in the first half of 2024. Refer to note 24 for more information. In 2022, following an investigation by the Nigerian Federal Competition and Consumer Protection Commission (FCCPC) into alleged violations of the Nigerian Competition and Consumer Protection Act and National Tobacco Control Act, a consent order was entered into between the FCCPC and British American Tobacco (Holdings) Limited, British American Tobacco (Nigeria) Limited and British American Tobacco Marketing (Nigeria) Limited, terminating the investigation and associated proceedings. A penalty equivalent to US $110 million was accrued for with the resulting payments (equivalent to £ 59 million) made during 2023, among other measures. Accrued charges and deferred income include £ 18 million of deferred income ( 2022 : £ 20 million) relating to certain customer deposits in advance of shipments and £ 82 million ( 2022 : £ 66 million) in respect of interest payable mainly related to tax matters. FII GLO of £ 863 million (2022: £ 913 million) relates to receipts in 2015, in respect of the Franked Investment Income Government Litigation Order (note 10(b) ). Amounts payable to related parties including associated undertakings are shown in note 30 . There is no material difference between the above amounts for trade and other payables and their fair value due to the short-term duration of the majority of trade and other payables, as determined using discounted cash flow analysis. Trade and other payables are predominantly denominated in the functional currencies of subsidiary undertakings with less than 10 % in other currencies ( 2022 : less than 7 % in other currencies). |
Financial instruments and risk
Financial instruments and risk management | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Abstract] | |
Financial instruments and risk management | 26 Financial instruments and risk management Management of financial risks One of the principal responsibilities of Treasury is to manage the financial risks arising from the Group’s underlying operations. Specifically, Treasury manages, within an overall policy framework set by the Group’s Main Board and Corporate Finance Committee (CFC), the Group’s exposure to funding and liquidity, interest rate, foreign exchange and counterparty risks. The Group’s treasury position is monitored by the CFC which meets regularly throughout the year and is chaired by the Group Finance Director. The approach is one of risk reduction within an overall framework of delivering total shareholder return. The Group defines capital as net debt (note 23 ) and equity (note 22 ). There are no externally imposed capital requirements for the Group. Group policies include a set of financing principles that provide a framework within which the Group’s capital base is managed and, in particular, the policies on dividends (as a percentage of long-term sustainable earnings) and share buy-back are decided. The key objective of the financing principles is to appropriately balance the interests of equity and debt holders in driving an efficient financing mix for the Group. The Group’s average cost of debt in 2023 is 5.2 % ( 2022 : 4.0 %). The Group manages its financial risks in line with the classification of its financial assets and liabilities in the Group’s balance sheet and related notes. The Group’s management of specific risks is dealt with as follows: Liquidity risk It is the policy of the Group to maximise financial flexibility and minimise refinancing risk by issuing debt with a range of maturities, generally matching the projected cash flows of the Group and obtaining this financing from a wide range of sources. The Group has a target average centrally managed debt maturity of at least five years with no more than 20% of centrally managed debt maturing in a single rolling year. As at 31 December 2023 , the average centrally managed debt maturity was 10.5 years ( 2022 : 9.9 years) and the highest proportion of centrally managed debt maturing in a single rolling year was 15.7% ( 2022 : 18.6% ). Perpetual hybrid bonds are treated as equity (note 22(d) ) and therefore not included within the debt maturity analysis. The Group utilises cash pooling and zero balancing bank account structures in addition to intercompany loans and borrowings to mobilise cash efficiently within the Group. The key objectives of Treasury in respect of cash and cash equivalents are to protect their principal value, to concentrate cash at the centre, to minimise the required debt issuance and to optimise the yield earned. The amount of debt issued by the Group is determined by forecasting the net debt requirement after the mobilisation of cash. The Group continues to target a solid investment-grade credit rating. Moody’s, S&P's and Fitch's current ratings for the Group are Baa2 (positive outlook), BBB+ (negative outlook) and BBB (positive outlook), respectively. The Group is confident of its continued ability to successfully access the debt capital markets for future refinancing requirements. As part of its short-term cash management, the Group invests in a range of cash and cash equivalents, including money market funds, which are regarded as highly liquid and are not exposed to significant changes in fair value. These are kept under continuous review as described in the credit risk section below. At 31 December 2023 , the Group had £173 million invested in money market funds ( 2022 : £ nil million). As part of its working capital management, in certain countries, the Group has entered into factoring arrangements and supply chain financing arrangements. These are explained in further detail in note 17 and note 25 . Subsidiary companies are funded by share capital and retained earnings, loans from the central finance companies on commercial terms, or through local borrowings by the subsidiaries in appropriate currencies to predominantly fund short- to medium- term working capital requirements. Available facilities in current year: It is Group policy that short-term sources of funds (including drawings under both the Group US$4 billion U.S. commercial paper (U.S. CP) programme and the Group £3 billion euro commercial paper (ECP) programme) are backed by undrawn committed lines of credit and cash. Commercial paper is issued by B.A.T. International Finance p.l.c., B.A.T. Netherlands Finance B.V. and B.A.T Capital Corporation and guaranteed by British American Tobacco p.l.c. At 31 December 2023 , commercial paper of £ nil million was outstanding ( 2022 : £ 27 million). Cash flows relating to commercial paper that have maturity periods of three months or less are presented on a net basis in the Group’s cash flow statement. At 31 December 2023 , the Group had access to a £ 5.4 billion revolving credit facility. In March 2023, the Group refinanced the £ 2.7 billion 364 -day tranche of the revolving credit facility at the reduced amount of £ 2.5 billion , maturing in March 2024 with two one -year extension options, and a one -year term out option. Additionally, £ 2.85 billion of the five -year tranche remains available until March 2025, with £ 2.7 billion extended to March 2026 and £ 2.5 billion extended to March 2027. During 2023 , the Group extended short-term bilateral facilities totalling £ 2.65 billion. As at 31 December 2023 , £ 100 million was drawn on a short-term basis with £ 2.55 billion undrawn and still available under such bilateral facilities. Cash flows relating to bilateral facilities that have maturity periods of three months or less are presented on a net basis in the Group’s cash flow statement. Issuance, drawdowns and repayments in current year: – In January 2023, the Group repaid a €750 million bond at maturity; – In February 2023, the Group accessed the Euro market under its EMTN Programme, raising a total of €800 million ; – In May 2023, the Group repaid a total of US$48 million of bonds at maturity; – Given the refinancing levels in the medium term and to reduce near term refinancing risks, in August 2023, the Group accessed the US dollar market under its SEC Shelf Programme, raising a total of US$5 billion across five tranches whilst also announcing a concurrent capped debt tender offer, targeting a series of GBP-, EUR- and USD-denominated bonds maturing between 2024 and 2027. Pursuant to this tender offer, BAT repurchased bonds prior to their maturity in a principal amount of £3.1 billion ; an d – In September, October and November 2023, the Group repaid US$550 million , €800 million and €750 million of bonds at maturity, respectivel y. Available facilities in prior year: At 31 December 2022 , the Group had access to a £ 5.69 billion revolving credit facility. This facility was undrawn at 31 December 2022 . During 2022 , the Group extended short-term bilateral facilities totalling £ 3.0 billion. As at 31 December 2022 , £ 875 million was drawn on a short-term basis. Issuance, drawdowns and repayments in prior year: – In March 2022, the Group accessed the US dollar market under its SEC Shelf Programme, raising a total of US$2.5 billion across three tranches; – In May 2022, the Group repaid a €600 million bond at maturity; – In June 2022, the Group repaid US$419 million and £180 million bonds at maturity; – In August 2022, the Group repaid US$750 million and US$601 million bonds at maturity; and – In October 2022, the Group raised US$600 million in the US dollar market under its SEC Shelf Programme. Currency risk The Group is subject to exposure on the translation of the net assets of foreign currency subsidiaries and associates into its reporting currency, sterling. The Group’s primary balance sheet translation exposures are to the US dollar, euro, Canadian dollar, Australian dollar, Indian rupee, South African rand, Danish krone, Indonesian rupiah, Brazilian real, Singaporean dollar and Swiss franc. These exposures are kept under continuous review. The Group’s policy on borrowings is to broadly match the currency of these borrowings with the currency of cash flows arising from the Group’s underlying operations. Within this overall policy, the Group aims to minimise all balance sheet translation exposure where it is practicable and cost-effective to do so through matching currency assets with currency borrowings. The main objective of these policies is to protect shareholder value by increasing certainty and minimising volatility in earnings per share. At 31 December 2023 , the currency profile of the Group’s gross debt, after taking into account derivative contracts, was 72 % US dollar ( 2022 : 71 %), 14 % euro ( 2022 : 13 %), 9 % sterling ( 2022 : 12 %) and 5 % other currencies ( 2022 : 4 %). The Group faces currency exposures arising from the translation of profits earned in foreign currency subsidiaries and associates and joint arrangements; these exposures are not normally hedged. Exposures also arise from: (i) foreign currency denominated trading transactions undertaken by subsidiaries. These exposures comprise committed and highly probable forecast sales and purchases, which are offset wherever possible. The remaining exposures are hedged within the Treasury policies and procedures with forward foreign exchange contracts and options, which are designated as hedges of the foreign exchange risk of the identified future transactions; and (ii) forecast dividend flows from subsidiaries to the centre. To ensure cash flow certainty, the Group enters into forward foreign exchange contracts which are designated as net investment hedges of the foreign exchange risk arising from the investments in these subsidiaries. IFRS 7 Financial Instruments: Disclosures requires a sensitivity analysis that shows the impact on the income statement and on items recognised directly in other comprehensive income of hypothetical changes of exchange rates in respect of non- functional currency financial assets and liabilities held across the Group. All other variables are held constant although, in practice, market rates rarely change in isolation. Financial assets and liabilities held in the functional currency of the Group’s subsidiaries, as well as non-financial assets and liabilities and translation risk, are not included in the analysis. The Group considers a 10% strengthening or weakening of the functional currency against the non-functional currency of its subsidiaries as a reasonably possible change. The impact is calculated with reference to the financial asset or liability held as at the year-end, unless this is unrepresentative of the position during the year. A 10% strengthening of functional currencies against non-functional currencies would result in pre-tax profit being £ 61 million lower ( 2022 : £ 49 million lower; 2021 : £ 53 million lower) and items recognised directly in other comprehensive income being £ 273 million higher ( 2022 : £ 445 million higher; 2021 : £ 144 million higher). A 10% weakening of functional currencies against non- functional currencies would result in pre-tax profit being £ 72 million higher ( 2022 : £ 60 million higher; 2021 : £ 65 million higher) and items recognised directly in other comprehensive income being £ 333 million lower ( 2022 : £ 543 million lower; 2021 : £ 177 million lower). The exchange sensitivities on items recognised directly in other comprehensive income relate to hedging of certain net asset currency positions in the Group, as well as on cash flow hedges in respect of future transactions, but do not include sensitivities in respect of exchange on non-financial assets or liabilities. Interest rate risk The objectives of the Group’s interest rate risk management policy are to lessen the impact of adverse interest rate movements on the earnings, cash flow and economic value of the Group. Additional objectives are to minimise the cost of hedging and the associated counterparty risk. In order to manage its interest rate risk, the Group maintains both floating rate and fixed rate debt. The Group sets targets (within overall guidelines) for the desired ratio of floating to fixed rate debt on a net basis (at least 50% fixed on a net basis in the short to medium term) as a result of regular reviews of market conditions and strategy by the Corporate Finance Committee and the board of the main central finance company. Underlying borrowings are arranged on both a fixed rate and a floating rate basis and, where appropriate, the Group uses derivatives, primarily interest rate swaps to vary the fixed and floating mix, or forward starting swaps to manage the refinancing risk. The interest rate profile of liquid assets included in net debt are considered to offset floating rate debt and are taken into account in determining the net interest rate exposure. At 31 December 2023 , the relevant ratio of floating to fixed rate borrowings after the impact of derivatives was 10 : 90 ( 2022 : 12 : 88 ). On a net debt basis, after offsetting liquid assets and excluding cash and other liquid assets in Canada, which are subject to certain restrictions under CCAA protection, the ratio of floating to fixed rate borrowings was 2 : 98 ( 2022 : 7 : 93 ). IFRS 7 requires a sensitivity analysis that shows the impact on the income statement and on items recognised directly in other comprehensive income of hypothetical changes of interest rates in respect of financial assets and liabilities of the Group. All other variables are held constant although, in practice, market rates rarely change in isolation. For the purposes of this sensitivity analysis, financial assets and liabilities with fixed interest rates are not included. The Group considers a 100 basis point change in interest rates a reasonably possible change except where rates are less than 100 basis points. In these instances, it is assumed that the interest rates increase by 100 basis points and decrease to zero for the purpose of performing the sensitivity analysis. The impact is calculated with reference to the financial asset or liability held as at the year-end, unless this is unrepresentative of the position during the year. A 100 basis point increase in interest rates would result in pre-tax profit being £ 5 million lower ( 2022 : £ 50 million lower; 2021 : £ 44 million lower). A 100 basis point decrease in interest rates, or less where applicable, would result in pre-tax profit being £ 5 million higher ( 2022 : £ 50 million higher; 2021 : £ 47 million higher). The effect of these interest rate changes on items recognised directly in other comprehensive income is not material in either year. Following the decision taken by global regulators in 2018 to replace Interbank Offered Rates with alternative nearly risk-free rates, such benchmark rates were expected to be largely discontinued after 2021. Following announcements by the respective regulators, EURIBOR is expected to continue for the foreseeable future, with USD LIBOR rates discontinued (other than on a synthetic basis) from June 2023. The Group is party to the ISDA fallback protocol and in January 2022, it automatically replaced the GBP LIBOR with economically equivalent interest rate derivatives referencing SONIA on their reset date. The four impacted derivatives (cross currency interest rate swaps) with nominal values totalling €800 million ( £672 million ) matured in October 2023 and were in fair value hedge relationships which were indexed to GBP LIBOR interest rates. As of 31 December 2023, the Group does not have any outstanding financial instruments using the historical benchmarks that are no longer available. Credit risk The Group has no significant concentrations of customer credit risk . Subsidiaries have policies in place requiring appropriate credit checks on potential customers before sales commence. The process for monitoring and managing credit risk once sales to customers have been made varies depending on local practice in the countries concerned. Certain territories have bank guarantees, other guarantees or credit insurance provided in the Group’s favour in respect of Group trade receivables, the issuance and terms of which are dependent on local practices in the countries concerned. All derivatives are subject to ISDA agreements or equivalent documentation. Cash deposits and other financial instruments give rise to credit risk on the amounts due from the related counterparties. Generally, the Group aims to transact with counterparties with strong investment grade credit ratings. However, the Group recognises that due to the need to operate over a large geographic footprint, this will not always be possible. Counterparty credit risk is managed on a global basis by limiting the aggregate amount and duration of exposure to any one counterparty, taking into account its credit rating. The credit ratings of all counterparties are reviewed regularly. The Group ensures that it has sufficient counterparty credit capacity of requisite quality to undertake all anticipated transactions throughout its geographic footprint, while at the same time ensuring that there is no geographic concentration in the location of counterparties. With the following exceptions, the maximum exposure to the credit risk of financial assets at the balance sheet date is reflected by the carrying values included in the Group’s balance sheet. The Group has entered into short-term risk participation agreements in relation to certain leaf supply arrangements and the maximum exposure under these would be £ 51 million ( 2022 : £ 90 million). In addition, the Group has entered into a guarantee arrangement to support a short-term bank credit facility with a supply chain partner. The maximum exposure under the arrangement would be £ 1 million ( 2022 : £ 1 million). Price risk The Group is exposed to price risk on investments held by the Group, which are included in investments held at fair value on the consolidated balance sheet, but the quantum of such is not material. Hedge accounting In order to qualify for hedge accounting, the Group is required to document prospectively the economic relationship between the item being hedged and the hedging instrument. The Group is also required to demonstrate an assessment of the economic relationship between the hedged item and the hedging instrument, which shows that the hedge will be highly effective on an ongoing basis. This effectiveness testing is repeated periodically to ensure that the hedge has remained, and is expected to remain, highly effective. The prospective effectiveness testing determines that an economic relationship between the hedged item and the hedging instrument exists. In accordance with the Group Treasury Policy, the exact hedge ratios and profile of a hedge relationship will depend on several factors, including the desired degree of certainty and reduced volatility of net interest costs and market conditions, trends and expectations in the relevant markets. The sources of ineffectiveness include spot and forward differences, impact of time value and timing differences between periods in the hedged item and hedging instrument. The Group’s risk management strategy has been explained in further detail under the interest rate risk and currency risk sections of this note. Fair value estimation The fair values of financial assets and liabilities with maturities of less than one year, other than derivatives, are assumed to approximate their book values. For other financial instruments which are measured at fair value in the balance sheet, the basis for fair values is described below. Fair value hierarchy In accordance with IFRS 13 classification hierarchy, the following table presents the Group’s financial assets and liabilities that are measured at fair value: 2023 2022 Notes Level 1 £m Level 2 £m Level 3 £m Total £m Level 1 £m Level 2 £m Level 3 £m Total £m Assets at fair value Investment held at fair value 18 527 — 192 719 514 — 186 700 Derivatives relating to – interest rate swaps 19 — 10 — 10 — 43 — 43 – cross-currency swaps 19 — 115 — 115 — 254 — 254 – forward foreign currency contracts 19 — 165 — 165 — 264 — 264 Assets at fair value 527 290 192 1,009 514 561 186 1,261 Liabilities at fair value Derivatives relating to – interest rate swaps 19 — 187 — 187 — 450 — 450 – cross-currency swaps 19 — 13 — 13 — 121 — 121 – forward foreign currency contracts 19 — 195 — 195 — 358 — 358 Liabilities at fair value — 395 — 395 — 929 — 929 Level 2 financial instruments are not traded in an active market, but the fair values are based on quoted market prices, broker/dealer quotations, or alternative pricing sources with reasonable levels of price transparency. The Group’s level 2 financial instruments include OTC derivatives. Netting arrangements of derivative financial instruments The gross fair value of derivative financial instruments as presented in the Group balance sheet, together with the Group’s rights of offset associated with recognised financial assets and recognised financial liabilities subject to enforceable master netting arrangements and similar agreements, is summarised as follows: 2023 2022 Amount presented in the Group balance sheet* £m Related amounts not offset in the Group balance sheet £m Net amount £m Amount presented in the Group balance sheet* £m Related amounts not offset in the Group balance sheet £m Net amount £m Financial assets – Derivative financial instruments (note 19 ) 290 (199) 91 561 (405) 156 Financial liabilities – Derivative financial instruments (note 19 ) (395) 199 (196) (929) 405 (524) (105) — (105) (368) — (368) Note: * No financial instruments have been offset in the Group balance sheet. The Group is subject to master netting arrangements in force with financial counterparties with whom the Group trades derivatives. The master netting arrangements determine the proceedings should either party default on their obligations. In case of any event of default, the non-defaulting party will calculate the sum of the replacement cost of outstanding transactions and amounts owed to it by the defaulting party. If that sum exceeds the amounts owed to the defaulting party, the defaulting party will pay the balance to the non-defaulting party. If the sum is less than the amounts owed to the defaulting party, the non-defaulting party will pay the balance to the defaulting party. The hedged items by risk category are presented below: 2023 Carrying amount of the hedged item £m Accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item £m Line item in the statement of financial position where the hedged item is included Changes in fair value used for calculating hedge ineffectiveness £m Cash flow hedge reserve (gross of tax) £m Fair value hedges Interest rate risk – borrowings (liabilities) 5,935 110 Borrowings (81) Cash flow hedges Interest rate risk – borrowings (liabilities) 858 Borrowings 26 (362) 2022 Carrying amount of the hedged item £m Accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item £m Line item in the statement of financial position where the hedged item is included Changes in fair value used for calculating hedge ineffectiveness £m Cash flow hedge reserve (gross of tax) £m Fair value hedges Interest rate risk – borrowings (liabilities) 9,223 (355) Borrowings 399 Cash flow hedges Interest rate risk – borrowings (liabilities) 1,824 Borrowings (55) (464) £ 380 million ( 2022 : £ 389 million) of the Group’s borrowings are designated as net investment hedge instruments of the Group’s net investments in foreign operations. In line with the Group’s risk management policies, the net investment hedge relationships are reviewed periodically. The change in the value used for calculating hedge ineffectiveness for hedged items designated under net investment hedge relationships is £ 9 million ( 2022 : £ 21 million). As at 31 December 2023 , the accumulated balance of the cash flow hedge reserve was a loss of £ 194 million ( 2022 : loss of £ 327 million) including an accumulated loss of £ 362 million ( 2022 : loss of £ 464 million) in relation to interest rate exposure and foreign currency exposure arising from borrowings held by the Group, and an accumulated gain of £77 million ( 2022 : gain of £ 99 million) in relation to deferred tax arising from cash flow hedges. The remainder related to the Group’s foreign currency exposure on forecasted transactions and cos t of hedging (note 22(c)(ii) ). |
Changes in the Group
Changes in the Group | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about business combination [abstract] | |
Changes in the Group | 27 Changes in the Group (a) Acquisitions The Group acquired certain businesses and other tobacco assets as noted below. The financial impact of these transactions to the Group were immaterial individually and in aggregate. Except as noted, there were no material differences between the fair value and book values of net assets acquired in business combinations. On 30 September 2019, the Group acquired control of Twisp Proprietary Limited , a South African e-cigarette/nicotine Vapour company for a purchase price of £25 million of which £6 million was deferred and contingent upon future performance in the market. The final payment of deferred consideration of £3 million was paid in 2021. (b) Non-controlling interests During 2023, the Group acquired a further 1.31% in Hrvatski Duhani d.d. , at a cost of less than £1 million , following the acquisitions in 2022 ( 3.3% at a cost of £1 million ) and 2021 ( 2.7% at a cost of £1 million ). In 2021, the Group made a capital contribution to Brascuba Cigarrillos S.A . at a cost of £ 6 million. This contribution was in proportion to a capital contribution made by the non-controlling interest to the company and as such, the Group’s shareholding remains unchanged. Also in 2021, as part of a Voluntary Tender Offer for the non- controlling interests of the Group’s Indonesian subsidiary, the Group acquired 0.2% additional shares at a cost of £4 million as explained in note 30. (c) Other transactions (i) Organigram On 11 March 2021, the Group announced a strategic collaboration agreement with Organigram Inc., a wholly owned subsidiary of publicly traded Organigram Holdings Inc. (collectively, Organigram). Under the terms of the transaction, a Group subsidiary acquired a 19.9% equity stake in Organigram Holdings Inc. to become its largest shareholder, with the ability to appoint two directors to Organigram Holdings Inc.’s board of directors and representation on its investment committee. The Group accounts for the investment as an associate. The Group’s initial investment of £129 million was allocated against the Group’s share of Organigram’s net assets, including the recognition of £49 million of intangibles, and goodwill of £30 million , which represents a strategic premium to enter the legal cannabis market in North America. As a result of certain acquisitions made by Organigram during 2021, the Group’s shareholding was reduced to 18.8% . In 2022, the Group exercised its top-up rights and invested a further £4 million to maintain its ownership stake. In November 2023, the Group announced the signing of an agreement for a further investment in Organigram. At 31 December 2023, the proposed investment of CAD$125 million (approximately £74 million ) was subject to customary conditions, including necessary approvals by the shareholders of Organigram, which was given on 18 January 2024. On 24 January 2024, BAT made the first tranche investment of CAD $42 million ( £24 million ) acquiring a further 12,893,175 common shares of Organigram at a price of CAD $3.22 per share. Subject to certain conditions, the remaining 25,786,350 shares subscribed for shall be issued at the same price in two further equal tranches by the end of August 2024 and February 2025, respectively. Based on Organigram’s outstanding share capital at the end of 2023, this investment will increase the Group’s equity position from c. 19% to c. 45% (restricted to 30% voting rights) once all three tranches have been completed. (ii) Other transactions and announcements In April 2023, the Group announced a strategic joint venture agreement between a Group subsidiary, AJNA BioSciences PBC, and Charlotte’s Web . Under the terms of the transaction, a Group subsidiary acquired a 20% stake in the new entity, DeFloria LLC , at a cost of £ 8 million ( US$10 million ). On 24 July 2023, ITC Limited (ITC), an associate of the Group in India, announced a proposed demerger of its ‘Hotels Business’ under a scheme of arrangement by which 60% of the newly incorporated entity would be held directly by ITC's shareholders proportionate to their shareholding in ITC. On 14 August 2023, ITC’s Board of Directors approved the scheme of arrangement subject to necessary regulatory approvals. The demerger is expected to complete by the end of 2024. On 26 September 2022, the Group announced a £32 million investment in exchange for 16% of Sanity Group GmbH (Sanity Group), a German based cannabis company which has a well- established product portfolio of CBD consumer brands and medical cannabis brands and is actively engaged in the research, development, and marketing of cannabis products. The Group’s investment was part of a series-B investment round. As part of the investment agreement, the Group has the right to nominate directors to the Sanity Group's board and accounts for the investment as an associate. The Group’s investment was allocated against the Group’s share of Sanity Group’s net assets, including the recognition of £4 million of intangibles, and goodwill of £28 million , which represents a strategic premium in expectation of the legalisation of cannabis in Germany and elsewhere in Europe. In November 2022, the Group announced that it had invested in Charlotte’s Web Holdings, Inc. (Charlotte’s Web), via a convertible debenture of £48 million . Charlotte's Web is based in Colorado, USA, listed on the Toronto Stock Exchange, and holds a prominent position in innovative hemp extract wellness products across major retail channels, including food/drug/mass retail, and natural grocery and vitamin retailers. Their product formats include tinctures, capsules, chews and topicals. The debenture is currently convertible into a non-controlling equity stake in Charlotte’s Web of approximately 19.9% and is convertible at BAT’s discretion. Given that the nature of the investment as a convertible loan note does not give the Group any current right to a share of the earnings or net assets of the investee, despite the ability to appoint directors, the investment will be recognised at fair value through profit and loss with fair value changes in the investment recognised in net finance costs. On conversion of the loan note, the Group will equity account for its investment. During 2022, the Group increased its ownership of a wholesale producer and distributor operating in the agriculture sector based in Uzbekistan, FE 'Samfruit' JSC by 2.8% to 45.4% , for £1 million . In 2021, the ownership was increased by 4% , for £1 million . The Group accounts for the investment as an associate. In addition, during 2022, the Group made a non-controlling investment in Steady State LLC (trading as Open Book Extracts) , a U.S. based cGMP certified manufacturer and distributor of cannabinoid ingredients, food products and nutraceuticals, for £4 million . A second investment of £4 million was made in May 2023. The Group accounts for the investment as an associate. A further investment of £8 million was made in October 2023 by way of a convertible loan note, which will be accounted for as an investment at fair value through profit and loss until such time as it is converted into shares and accumulated into the investment in the associate. (d) Assets held for sale and business disposals (i) BAT Russia and BAT Belarus On 11 March 2022, the Group announced the intention to transfer its Russian business in full compliance with international and local laws. At that time, the Group had two subsidiaries in Russia (BAT Russia), being JSC British American Tobacco-SPb and JSC International Tobacco Marketing Services . In September 2023, the Group formally entered into an agreement to sell the Group's Russian and Belarusian businesses to a consortium led by then members of BAT Russia’s Management team, in compliance with local and international laws. As previously announced, due to operational dependencies between BAT Russia and the Group’s subsidiary in Belarus (International Tobacco Marketing Services BY) (BAT Belarus), the Belarusian business was included in the sale. The transaction was completed on 13 September 2023 and, since completion, the buyer consortium has wholly owned both businesses. These businesses are now known as the ITMS Group. In accordance with IFRS, the assets and liabilities of the subsidiaries comprising BAT Russia and BAT Belarus were classified as held- for-sale as of 31 December 2022 and presented as such on the balance sheet at an estimated recoverable value. Impairment charges of £ 554 million and associated costs of £ 58 million were recognised in 2022 as adjusting items. Upon completion, the businesses were deconsolidated from the Group's balance sheet. This included assets primarily comprised of £ 177 million of property, plant and equipment and other non-current assets, £ 342 million of trade and other receivables, £ 266 million of cash and cash equivalents and £ 211 million of other current assets principally relating to inventories. In addition, liabilities primarily composed of £ 7 million of borrowings and £ 219 million of trade creditors and other current liabilities were deconsolidated, resulting in a net asset position of £ 770 million. Proceeds of £ 425 million were received in 2023, resulting in a partial reversal of £ 195 million of the previously recognised impairment. In addition to this, £ 554 million of foreign exchange previously recognised in the statement of other comprehensive income has been reclassified to the income statement upon completion of the transaction, which has been treated as a non-cash adjusting item. This resulted in a net charge to the income statement of £ 353 million which includes disposal-related costs of £ 3 million and £ 9 million of foreign exchange gains on proceeds received. As part of the disposal agreements, the Group holds call options to reacquire the ITMS Group entities. No value has been ascribed to these options as they cannot be sold or transferred outside the BAT Group, they expire within two years of the completion of the transaction, and current sanctions and counter sanctions would restrict the ability of the Group to exercise these options. In addition, no value has been ascribed to the options the Group holds to reacquire certain trademarks and brands utilised by the ITMS businesses which only expire after 100 years . The likelihood of exercise of these options within the foreseeable future is remote, and assuming the higher returns that any market participant would require given the perceived risk of investing in Russia going forwards, and a consequent high discount rate, any value associated with exercising the options would be immaterial. Judgement is required to determine whether or not the disposal of any particular product, business or end market from the Group would be significant enough to be classified as a discontinued operation. The Group has established criteria as to what would meet such a definition, including: the disposal of an entire geographic segment as currently disclosed within note 2 ; the disposal of a significant portion of the same region as part of a unified plan; the disposal of any individual business unit representing more than 10% of Group revenue or 10% of Group profit from operations; and the withdrawal from a product category. Management have concluded that the disposal of the Russian and Belarusian businesses does not qualify to be presented as discontinued operations. (ii) B.A.T. Pars Company PJSC (BAT Pars) On 25 June 2021, the Group agreed to dispose of its Iranian subsidiary, BAT Pars to DTM ME FZE LLC. Completion took place on 6 August 2021. £272 million in respect of foreign exchange previously recognised in other comprehensive income was reclassified to the income statement and an impairment charge and associated costs of £88 million was recognised in the income statement and treated as an adjusting item. The value of the consideration ( €64 million ) remains outstanding at 31 December 2023 , and £56 million ( 2022 : £56 million ) is recognised as a current receivable. Given the ongoing political situation, heightened sanctions and other uncertainties coupled with the passage of time the receivable has been outstanding, the Group has recognised an expected credit loss of £ 28 million at 31 December 2023 . In 2022 , as a result of the unwind of discounting on the deferred proceeds and a true-up on the completion of accounts, a credit of £6 million (2021: £2 million ) was recognised. The discount was unwound in full in 2022. In addition, in 2021, £24 million of related investments held at fair value were provided against as a charge to net finance costs given uncertainties regarding recovery of these funds. During 2023 , £4 million ( 2022 : £17 million ) was recovered in respect of these funds. |
Share-based payments
Share-based payments | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | |
Share-based payments | 28 Share-based payments The Group operates a number of share-based payment arrangements of which the three principal ones are: Performance Share Plan (PSP): Since 2020, performance-related conditional awards under which shares are released automatically following a three -year vesting period ( five -year period for the Executive Directors). Awards granted up to 2019 are nil-cost options exercisable after three years from date of grant ( five years for Executive Directors) with a contractual life of 10 years . For awards granted in 2021, 2020 and 2019, vesting is subject to performance conditions measured over a three -year period (for all awards), based on earnings per share ( 40% of grant), operating cash flow ( 20% of grant), total shareholder return ( 20% of grant) and net turnover ( 20% of grant). Total shareholder return combines the share price and dividend performance of the Company by reference to a comparator group. For 2022 and 2023 awards, the performance conditions are based on earnings per share ( 30% of grant), operating cash flow ( 20% of grant), total shareholder return ( 20% of grant), net turnover ( 15% of the grant) and New Categories revenue growth ( 15% of the grant). Participants are not entitled to dividends prior to the vesting or exercise of the awards. A cash equivalent dividend accrues through the vesting period (other than for the Executive Directors where additional shares are delivered in lieu of cash) and is paid on vesting. Both equity and cash-settled PSP awards are granted in March each year. In the U.S., PSP awards are made over BAT American Depository Shares (ADSs). Restricted Share Plan (RSP): Introduced in 2020, conditional awards under which shares are released three years from date of grant, subject to a continuous employment condition during the three -year vesting period. Participants are not entitled to dividends prior to shares vesting. A cash equivalent dividend accrues through the vesting period and is paid on vesting. Both equity and cash settled RSP awards are granted in March or September. In the U.S., RSP awards are made over BAT American Depository Shares (ADSs). Deferred Share Bonus Scheme (DSBS): Granted in connection with annual bonuses, conditional awards under which shares are released three years from date of grant subject to a continuous employment condition during the three -year vesting period. A cash equivalent dividend accrues through the vesting period and is paid quarterly (other than for the Executive Directors where additional shares are delivered in lieu of cash). Both equity and cash-settled DSBS awards are granted in March each year. The Group also has a number of other arrangements which are not material for the Group and these are as follows: Sharesave Scheme (SAYE) Options are granted in March each year by invitation at a 20% discount to the market price. Options under this equity-settled scheme are exercisable at the end of a three -year or five -year savings contract. Participants are not entitled to dividends prior to the exercise of the options. The maximum amount that can be saved by a participant in this way is £6,000 in any tax year. Share Reward Scheme (SRS) Free shares are granted in April each year (up to an equivalent of £3,600 in any year) under the equity-settled schemes and are subject to a three -year holding period. Participants receive dividends during the holding period which are reinvested to buy further shares. The shares are held in a UK-based trust and are normally capable of transfer to participants tax-free after a five-year holding period. International Share Reward Scheme (ISRS) Conditional shares are granted in April each year (up to an equivalent of £3,600 in any year) subject to a three -year vesting period. Dividend equivalents accrue through the vesting period and additional shares are delivered at vesting. Awards may be equity or cash-settled. Partnership Share Scheme Employees can allocate part of their pre-tax salary to purchase shares in British American Tobacco p.l.c. (maximum £1,800 in any year). The shares purchased are held in a UK-based trust and are normally capable of transfer to participants tax-free after a five -year holding period. The amounts recognised in the income statement in respect of share-based payments were as follows: 2023 2022 2021 Notes Equity- settled £m Cash- settled £m Equity- settled £m Cash- settled £m Equity- settled £m Cash- settled £m PSP & RSP 28(a) 27 2 38 1 30 — DSBS 28(b) 38 1 36 3 39 2 Other schemes 6 — 7 — 7 — Total recognised in the income statement 3 71 3 81 4 76 2 Share-based payment liability The Group issues to certain employees cash-settled share-based payments that require the Group to pay the intrinsic value of these share-based payments to the employee at the date of exercise. The Group has recorded liabilities in respect of vested and unvested grants at the end of 2023 and 2022: 2023 2022 Vested £m Unvested £m Vested £m* Unvested £m PSP & RSP (0.4) 0.8 (0.3) 1.9 DSBS — 3.1 0.5 6.6 Total liability (0.4) 3.9 0.2 8.5 Note: * The reduction in the liabilities for vested LTIPs was due to shares being exercised at prices lower than the share price at date of grant. (a) PSP & RSP Details of the movements for the equity- and cash-settled LTI schemes during the years ended 31 December 2023 and 31 December 2022 , were as follows: 2023 2022 Equity-settled Number of options in thousands Cash-settled Number of options in thousands Equity-settled Number of options in thousands Cash-settled Number of options in thousands Outstanding at start of year 8,960 196 9,891 243 Granted during the period 3,379 94 2,927 58 Exercised during the period (2,401) (51) (1,606) (58) Forfeited during the period (2,132) (41) (2,252) (47) Outstanding at end of year 7,806 198 8,960 196 Exercisable at end of year 513 24 661 40 As at 31 December 2023 , the Group has 7,806,000 shares ( 2022 : 8,960,000 shares) outstanding which includes 1,527,898 shares ( 2022 : 1,749,762 shares) which are related to Reynolds American LTI awards from which nil shares ( 2022 : nil shares) are exercisable at the end of the year. The weighted average British American Tobacco p.l.c. share price at the date of exercise for share options exercised during the period was £ 27.65 ( 2022 : £ 32.84 ; 2021 : £ 27.67 ) for equity-settled and £ 25.85 ( 2022 : £ 33.01 ; 2021 : £ 27.59 ) for cash-settled options. The weighted average British American Tobacco p.l.c. share price for ADS on the New York Stock Exchange at the date of exercise for share options exercised during the period relating to equity-settled Reynolds American LTIP awards was US$ 39.39 ( 2022 : US$ 38.37 ; 2021 : US$ 35.93 ). The outstanding shares for the year ended 31 December 2023 had a weighted average remaining contractual life of 1.5 years ( 2022 : 1.8 years; 2021 : 3.7 years) for the equity-settled scheme, 1.8 years for Reynolds American equity-settled scheme ( 2022 : 1.80 years; 2021 : 1.70 years) and 1.5 years ( 2022 : 1.7 years; 2021 : 4.1 years) for the cash-settled share-based payment arrangements. (b) Deferred Share Bonus Scheme Details of the movements for the equity- and cash-settled DSBS scheme during the years ended 31 December 2023 and 31 December 2022 , were as follows: 2023 2022 Equity-settled Number of options in thousands Cash-settled Number of options in thousands Equity-settled Number of options in thousands Cash-settled Number of options in thousands Outstanding at start of year 4,015 141 4,141 223 Granted during the period 1,675 211 1,616 85 Exercised during the period (1,743) (81) (1,609) (159) Forfeited during the period (96) (10) (133) (8) Outstanding at end of year 3,851 261 4,015 141 Exercisable at end of year — 1 1 14 The weighted average British American Tobacco p.l.c. share price at the date of exercise for share options exercised during the financial year was £ 27.39 ( 2022 : £ 32.20 ; 2021 : £ 27.58 ) for equity-settled and £ 25.56 ( 2022 : £ 32.50 ; 2021 : £ 27.70 ) for cash-settled options. The outstanding shares for the year ended 31 December 2023 had a weighted average remaining contractual life of 1.3 years ( 2022 : 1.3 years; 2021 : 1.3 years) for the equity-settled scheme and 1.3 years ( 2022 : 1.1 years; 2021 : 1.3 years) for the cash-settled scheme. Valuation assumptions Assumptions used in the Black-Scholes models to determine the fair value of share options at grant date were as follows: 2023 2022 PSP & RSP DSBS PSP & RSP DSBS Expected volatility (%) 27.0 27.0 27.0 27.0 Average expected term to exercise (years) 3.0 3.0 3.0 3.0 Risk-free rate (%) 3.5 3.5 1.4 1.4 Expected dividend yield (%) 7.7 7.7 6.8 6.8 Share price at date of grant (£) 29.71 29.71 32.18 32.18 Fair value at grant date (£) * 23.15 / 23.61 23.61 27.46 / 26.28 26.28 Fair value at grant date (£) * - Management Board 20.46 / 23.61 23.61 24.8 / 26.28 26.28 Note: * Where two figures have been quoted for the Long-Term Incentive Plan, the numbers relate to PSP and RSP awards, respectively. Market condition features were incorporated into the Monte-Carlo models for the total shareholder return elements of the PSP, in determining fair value at grant date. Assumptions used in these models were as follows: 2023 PSP 2022 PSP Average share price volatility FMCG comparator group (%) 24 23 Average correlation FMCG comparator group (%) 29 31 Fair values determined from the Black-Scholes and Monte-Carlo models use assumptions revised at the end of each reporting period for cash-settled share-based payment arrangements. The expected British American Tobacco p.l.c. share price volatility was determined taking account of the return index (the share price index plus the dividend reinvested) over a five -year period. The FMCG share price volatility and correlation was also determined over the same periods. The average expected term to exercise used in the models has been adjusted, based on management’s best estimate, for the effects of non-transferability, exercise restrictions and behavioural conditions, forfeiture and historical experience. The risk-free rate has been determined from market yield curves for government gilts with outstanding terms equal to the average expected term to exercise for each relevant grant. The expected dividend yield was determined by calculating the yield from the last two declared dividends divided by the grant share price. In addition to these valuation assumptions , LTI awards, excluding RSP, contain earnings per share performance conditions. As these are non- market performance conditions they are not included in the determination of fair value of share options at the grant date, however, they are used to estimate the number of awards expected to vest. This payout calculation is based on expectations published in analysts’ forecasts. |
Group employees
Group employees | 12 Months Ended |
Dec. 31, 2023 | |
Number and average number of employees [abstract] | |
Group employees | 29 Group employees (revised 1 ) The average number of persons employed by the Group and its associates during the year, including Directors, was 75,452 ( 2022 : 77,951 ). 2023 Number 2022 Number U.S. 3,861 4,274 AME 32,948 34,162 APMEA 13,030 13,641 Subsidiary undertakings 49,839 52,077 Associates 25,613 25,874 75,452 77,951 Note: 1. Effective from 2023, the Group revised its regional structure from four regions to three , with the comparator data provided on this revised basis. Included within the employee numbers for AME are certain employees in the UK in respect of central functions. Some of the costs of these employees are allocated or charged to the various regions and markets in the Group. |
Related party disclosures
Related party disclosures | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of transactions between related parties [abstract] | |
Related party disclosures | 30 Related party disclosures The Group has a number of transactions and relationships with related parties, as defined in IAS 24 Related Party Disclosures , all of which are undertaken in the normal course of business. Transactions with CTBAT International Limited (a joint operation) are not included in these disclosures as the results are immaterial to the Group. Intercompany transactions and balances are eliminated on consolidation and therefore are not disclosed. Transactions and balances with associates relate mainly to the sale and purchase of cigarettes and tobacco leaf. The Group’s share of dividends from associates, included in other income in the table below, was £ 559 million ( 2022 : £ 438 million; 2021 : £ 392 million). 2023 £m 2022 £m 2021 £m Transactions – revenue 523 494 524 – purchases (178) (190) (123) – other income 560 441 393 – other expenses (6) (1) (6) Amounts receivable at 31 December 48 51 48 Amounts payable at 31 December (4) (4) (3) In November 2023, the Group announced the signing of an agreement for a further investment in Organigram. At 31 December 2023, the proposed investment of CAD$125 million (approximately £74 million ) was subject to customary conditions, including necessary approvals by the shareholders of Organigram, which was given on 18 January 2024. On 24 January 2024, BAT made the first tranche investment of CAD $42 million ( £24 million ), acquiring a further 12,893,175 common shares of Organigram at a price of CAD $3.22 per share. Subject to certain conditions, the remaining 25,786,350 shares subscribed for shall be issued at the same price in two further equal tranches by the end of August 2024 and February 2025, respectively. Based on Organigram’s outstanding share capital at the end of 2023, this investment will increase the Group’s equity position from c. 19% to c. 45% (restricted to 30% voting rights) once all three tranches have been completed. In addition, as mentioned in note 27, in 2023, the Group also acquired 20% of DeFloria for £ 8 million and increased its ownership in Steady State LLC (trading as Open Book Extracts) from 5.76% to 10.8% for £4 million . In October 2023, a further investment of £8 million was made in Steady State LLC by way of a convertible loan note. During 2023, the Group acquired a further 1.31% in Hrvatski Duhani d.d., at a cost of less than £1 million , following the acquisitions in 2022 ( 3.3% at a cost of £1 million ) and 2021 ( 2.7% at a cost of £1 million ). In 2022 , as mentioned in note 27 , the Group made a £32 million investment in exchange for 16% of Sanity Group GmbH and made a non-controlling investment in Steady State LLC for £4 million . During 2022 , the Group increased its ownership of a wholesale producer and distributor operating in the agriculture sector based in Uzbekistan, FE 'Samfruit' JSC to 45.40% for £1 million . In 2021 , the Group increased its ownership to 42.61% , for £1 million . In November 2022, the Group invested in Charlotte's Web via a convertible debenture of £48 million which is currently convertible into a non-controlling equity stake of approximately 19.9% (as explained in note 27(c) ) . In 2021 , the Group made a capital contribution in Brascuba Cigarrillos S.A. at a cost of £ 6 million. There was a capital reduction in CTBAT International Limited of approximately US$ 171 million with funds remitted prorata to investors in 2021. On 5 October 2021, PT Bentoel Internasional Investama Tbk (Bentoel) announced its intention to delist from the Indonesia Stock Exchange and go private by conducting a Voluntary Tender Offer (VTO). As part of this, in two phases in November and December 2021, the Group acquired an additional 0.2% of shares in Bentoel from independent shareholders at a cost of £4 million and terminated the total return swap (as explained in note 32 ). As explained in note 15 , in 2022 the Group provided a temporary liquidity facility to the main UK pension fund. As at 31 December 2023 this facility was undrawn. The Group and Organigram also entered into a Product Development Collaboration Agreement following which a Centre of Excellence has been established to focus on developing the next generation of cannabis products with an initial focus on cannabidiol (CBD). As a result of the implementation of the EU Single-Use Plastic Directive in certain EU countries, the Group, along with other tobacco manufacturers, established Producer Responsibility Organisations for the management of the Extended Producer Responsibility obligations relating to tobacco product butt filter waste collection. The costs incurred by the Group in relation to this waste disposal is included in note 6(l) . The key management personnel of British American Tobacco consist of the members of the Board of Directors of British American Tobacco p.l.c. and the members of the Management Board. No such person had any material interest during the year in a contract of significance (other than a service contract) with the Company or any subsidiary company. The term key management personnel in this context includes their close family members. 2023 £m 2022 £m 2021 £m The total compensation for key management personnel, including Directors, was: – salaries and other short-term employee benefits 17 19 18 – post-employment benefits 1 1 1 – share-based payments 13 17 16 31 37 35 The following table, which is not part of IAS 24 disclo sures, shows the aggregate emoluments of the Directors of the Company. Executive Directors Chair Non-Executive Directors Total 2023 £'000 2022 £'000 2021 £'000 2023 £'000 2022 £'000 2021 £'000 2023 £'000 2022 £'000 2021 £'000 2023 £'000 2022 £'000 2021 £'000 Salary; fees; benefits; incentives – salary 1,644 2,129 2,119 1,644 2,129 2,119 – fees 688 670 727 1,059 1,027 1,045 1,747 1,697 1,772 – taxable benefits 395 449 420 17 59 55 31 78 2 443 586 477 – short-term incentives 1,650 3,761 4,128 1,650 3,761 4,128 – long-term incentives 1,371 7,888 3,399 1,371 7,888 3,399 Sub-total 5,060 14,227 10,066 705 729 782 1,090 1,105 1,047 6,855 16,061 11,895 Pension; other emoluments – pension 248 320 318 248 320 318 – other emoluments 2 6 6 2 6 6 Sub-total 250 326 324 250 326 324 Total emoluments 5,310 14,553 10,390 705 729 782 1,090 1,105 1,047 7,105 16,387 12,219 |
Contingent liabilities and fina
Contingent liabilities and financial commitments | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of contingent liabilities [abstract] | |
Contingent liabilities and financial commitments | U.S. Tobacco Litigation 12. Group companies, notably RJRT (individually and as successor by merger to Lorillard Tobacco) and B&W as well as other leading cigarette manufacturers, are defendants in a number of product liability cases. In a number of these cases, the amounts of compensatory and punitive damages sought are significant. 13. The total number of U.S. tobacco product liability cases pending as at 31 December 2023 involving RJRT, B&W and/or Lorillard Tobacco was approximately 1,748 . 14. Since many of these pending cases seek unspecified damages, it is not possible to quantify the total amounts being claimed, but the aggregate amounts involved in such litigation are significant, possibly totalling billions of US dollars. The cases fall into four broad categories: medical reimbursement cases; class actions; individual cases; and other claims. 15. RJRT (individually and as successor by merger to Lorillard Tobacco), American Snuff Co., Santa Fe Natural Tobacco Company, Inc. (SFNTC), R.J. Reynolds Vapor Company (RJR Vapor), Reynolds American, Lorillard Inc., other Reynolds American affiliates and indemnitees, including but not limited to B&W (collectively, the Reynolds Defendants), believe that they have valid defences to the tobacco-related litigation claims against them, as well as valid bases for appeal of adverse verdicts against them. The Reynolds Defendants have, through their counsel, filed pleadings and memoranda in pending tobacco-related litigation that set forth and discuss a number of grounds and defences that they and their counsel believe have a valid basis in law and fact. 16. Scheduled trials. Trial schedules are subject to change, and many cases are dismissed before trial. In the U.S., there are 44 cases, exclusive of Engle progeny cases, scheduled for trial as at 31 December 2023 through 31 December 2024 , for the Reynolds Defendants: 33 individual smoking and health cases, nine Filter Cases, one class action case and one other case. There are also approximately 28 Engle progeny cases against RJRT (individually and as successor to Lorillard Tobacco) and B&W scheduled for trial through 31 December 2024. It is not known how many of these cases will actually be tried. 17. Trial results. From 1 January 2021 through 31 December 2023, 58 trials occurred in individual smoking and health, Engle progeny, and patent cases in which the Reynolds Defendants were defendants, including 11 where mistrials were declared. Verdicts in favour of the Reynolds Defendants and, in some cases, other defendants, were returned in 15 cases, tried in Florida ( eight ), Oregon ( one ), Massachusetts ( four ), Illinois ( one ) and District of Columbia ( one ). Verdicts in favour of the plaintiffs were returned in 32 cases, tried in Florida ( 23 ), Massachusetts ( three ), New Mexico ( two ), Oregon ( two ), Virginia ( one ) and North Carolina ( one ). Two of the cases (in Florida) were dismissed during trial. One of the cases (in Florida) was a punitive damages re-trial that was retried twice (the first retrial resulted in a plaintiff verdict; the second retrial resulted in a defense verdict). (a) Medical Reimbursement Cases 18. These civil actions seek to recover amounts spent by government entities and other third-party providers on healthcare and welfare costs claimed to result from illnesses associated with smoking. 19. As at 31 December 2023, one U.S. medical reimbursement suit ( Crow Creek Sioux Tribe v. American Tobacco Co. , filed in 1997) was pending against RJRT, B&W and Lorillard Tobacco in a Native American tribal court in South Dakota. The plaintiffs seek to recover actual and punitive damages, restitution, funding of a clinical cessation programme, funding of a corrective public education programme, and disgorgement of unjust profits from sales to minors. There has been no recent activity in this case, and no other medical reimbursement suits are pending against these companies by county or other political subdivisions of the states. U.S. Department of Justice Action 20. On 22 September 1999, the U.S. Department of Justice (DOJ) brought an action in the U.S. District Court for the District of Columbia against various industry members, including RJRT, B&W, Lorillard Tobacco, B.A.T Industries p.l.c. (Industries) and Investments ( United States v. Philip Morris USA Inc. ). The DOJ initially sought (i) recovery of certain federal funds expended in providing health care to smokers who developed alleged smoking-related diseases and (ii) equitable relief under the civil provisions of the Racketeer Influenced and Corrupt Organizations Act (RICO), including (a) disgorgement of roughly US$280 billion (approximately £219.6 billion ) in profits allegedly earned from a purported racketeering ‘enterprise’ - a remedy the U.S. Court of Appeals for the DC Circuit ruled in February 2005 was not available - and (b) certain ‘corrective communications’. In September 2000, the district court dismissed Industries for lack of personal jurisdiction and dismissed the health care cost recovery claims. 21. After a roughly nine-month non-jury trial of the remaining RICO claims, the district court issued its Final Judgment and Remedial Order (the Remedial Order) on 17 August 2006. That order found certain defendants, including RJRT, B&W, Lorillard Tobacco and Investments, had violated RICO, imposed financial penalties and enjoined the defendants from committing future racketeering acts, participating in certain trade organisations, making misrepresentations concerning smoking and health and youth marketing, and using certain brand descriptors such as ‘low tar’, ‘light’, ‘ultra-light’, ‘mild’ and ‘natural’. The Remedial Order also required the defendants to issue ‘corrective communications’ on five subjects, including smoking and health and addiction, and to comply with further undertakings, including maintaining websites of historical corporate documents and disseminating certain marketing information on a confidential basis to the government. In addition, the district court placed restrictions on the defendants’ ability to dispose of certain assets for use in the United States, unless the transferee agrees to abide by the terms of the district court’s order. 22. The parties appealed and cross-appealed and, on 22 May 2009, the DC Circuit affirmed the district court’s RICO liability judgment but vacated the Remedial Order in part and remanded for further factual findings and clarification as to whether liability should be imposed against B&W, based on changes in the nature of B&W’s business operations (including the extent of B&W’s control over tobacco operations). The DC Circuit also remanded three other discrete issues relating to the injunctive remedies, including for the district court ‘to reformulate’ the injunction on the use of low-tar descriptors ‘to exempt foreign activities that have no substantial, direct, and foreseeable domestic effects,’ and for the district court to evaluate whether corrective communications could be required at point-of-sale displays (which requirement the DC Circuit vacated). On 28 June 2010, the U.S. Supreme Court denied the parties' petitions for further review. 23. On 22 December 2010, the district court dismissed B&W from the litigation. Due to intervening changes in controlling law, on 28 March 2011, the district court ruled that the Remedial Order no longer applied to Investments prospectively, and for this reason, Investments would not have to comply with any of the remaining injunctive remedies. In November 2012, the district court entered an order setting forth the text of the corrective statements and directed the parties to engage in discussions with the Special Master to implement them. After various proceedings and appeals, the district court in October 2017 ordered RJRT and the other U.S. tobacco company defendants to fund the publication of compelled public statements in various U.S. media outlets, including in newspapers, on television, on the companies’ websites, and in onserts on cigarette packaging. The compelled public statements in newspapers and on television were completed in 2018 and in package onserts in mid-2020. The compelled public statements now also appear on RJRT websites. The final issue regarding corrective statements was their display at retail point of sale. On 6 December 2022, the district court entered a consent order requiring the tobacco company defendants to have the compelled public statements posted at retail point of sale. Installation of the statements began in July 2023, and the statements will remain in stores through June 2025. (b) Class Actions 24. As at 31 December 2023, RJRT, B&W and Lorillard Tobacco were named as defendants in one action asserting claims on behalf of putative classes of persons allegedly injured or financially impacted by their smoking, and Reynolds American, RJRT, and SFNTC (a subsidiary of Reynolds American) were named in 17 putative class actions relating to the use of the words ‘natural’, ‘ 100% additive-free’ or ‘organic’ in Natural American Spirit (NAS) brand advertising and promotional materials. If the classes are or remain certified, separate trials may be needed to assess individual plaintiffs’ damages. Among the pending class actions, 16 specified the amount of the claim in the complaint and alleged that the plaintiffs were seeking in excess of US$5 million (approximately £3.9 million ) and one alleged that the plaintiffs were seeking less than US$75,000 (approximately £58,823 ) per class member plus unspecified punitive damages. No Additive/Natural/Organic Claim Cases 25. A total of 17 pending putative class actions were filed in nine U.S. federal district courts against Reynolds American, RJRT, and SFNTC, which cases generally allege, in various combinations, violations of state deceptive and unfair trade practice statutes, and claim state common law fraud, negligent misrepresentation, and unjust enrichment based on the use of descriptors such as ‘natural’, ‘organic’ and ‘ 100% additive-free’ in the marketing, labelling, advertising, and promotion of SFNTC’s NAS brand cigarettes. In these actions, the plaintiffs allege that the use of these terms suggests that NAS brand cigarettes are less harmful than other cigarettes and, for that reason, violated state consumer protection statutes or amounted to fraud or a negligent or intentional misrepresentation. The actions seek various categories of recovery, including economic damages, injunctive relief (including medical monitoring and cessation programmes), interest, restitution, disgorgement, treble and punitive damages, and attorneys’ fees and costs. In April 2016, the U.S. Judicial Panel on Multidistrict Litigation (JPML) consolidated the 16 cases pending at that time for pre-trial purposes before a federal district court in New Mexico, and a later-filed case was transferred there for pre-trial purposes in 2018. On 21 December 2017 , that court granted the defendants’ motion to dismiss in part, dismissing a number of claims with prejudice, and denied it in part. The district court conducted a five -day hearing on the motion for class certification and on the motion challenging the admissibility of expert opinion testimony in December 2020. On 1 September 2023, the district court entered an order certifying a subset of the plaintiffs’ proposed classes covering purchasers of NAS menthol cigarettes in six states and declining to certify the other proposed classes. The defendants and plaintiffs both appealed from that order to the U.S. Court of Appeals for the Tenth Circuit. Briefing in that court is scheduled to be completed in July 2024. Other Putative Class Actions 26. Young v. American Tobacco Co. is a putative class action filed in November 1997 in the Circuit Court, Orleans Parish, Louisiana against various U.S. cigarette manufacturers, including RJRT, B&W, Lorillard Tobacco and certain parent companies. This action was brought on behalf of a putative class of Louisiana residents who, though not themselves cigarette smokers, have been exposed to second-hand smoke from cigarettes manufactured by the defendants, and who allegedly suffered injury as a result of that exposure. The action seeks an unspecified amount of compensatory and punitive damages. In March 2016, the court entered an order staying the case, including all discovery, pending the completion of an ongoing smoking cessation programme ordered by the court in a now-concluded Louisiana state court certified class action, Scott v. American Tobacco Co. Engle Class Action and Engle Progeny Cases (Florida) 27. In July 1998, trial began in Engle v. R. J. Reynolds Tobacco Co. , a then-certified class action filed in Circuit Court, Miami-Dade County, Florida, against U.S. cigarette manufacturers, including RJRT, B&W, Lorillard Tobacco and Lorillard Inc. The then-certified class consisted of Florida citizens and residents, and their survivors, who suffered from smoking-related diseases that first manifested between 5 May 1990, and 21 November 1996, and were caused by an addiction to cigarettes. In July 1999, the jury in this Phase I found against RJRT, B&W, Lorillard Tobacco, Lorillard Inc. and the other defendants on common issues relating to the defendants’ conduct, general causation, the addictiveness of cigarettes, and entitlement to punitive damages. 28. In July 2000, the jury in Phase II awarded the class a total of approximately US$145 billion (approximately £113.7 billion ) in punitive damages, apportioned US$36.3 billion (approximately £28.5 billion ) to RJRT, US$17.6 billion (approximately £13.8 billion ) to B&W, and US$16.3 billion (approximately £12.8 billion ) to Lorillard Tobacco and Lorillard Inc. The three class representatives in the Engle class action were awarded US$13 million (approximately £10.2 million ) in compensatory damages. 29. This decision was appealed and ultimately resulted in the Florida Supreme Court in December 2006 decertifying the class and allowing judgments entered for only two of the three Engle class representatives to stand and setting aside the punitive damages award. The court preserved certain of the jury’s Phase I findings, including that cigarettes can cause certain diseases, nicotine is addictive, and defendants placed defective cigarettes on the market, breached duties of care, concealed health-related information and conspired. Putative Engle class members were permitted to file individual lawsuits, deemed ‘ Engle progeny cases’, against the Engle defendants, within one year of the Supreme Court’s decision (subsequently extended to 11 January 2008 ). 30. During 2015, RJRT and Lorillard Tobacco, together with Philip Morris USA Inc. (PM USA), settled virtually all of the Engle progeny cases then pending against them in federal district court. The total amount of the settlement was US$100 million (approximately £78.4 million ) divided as follows: RJRT US$42.5 million (approximately £33.3 million ); PM USA US$42.5 million (approximately £33.3 million ); and Lorillard Tobacco US$15 million (approximately £11.8 million ). The settlement covered more than 400 federal Engle progeny cases but did not cover 12 federal progeny cases previously tried to verdict and then pending on post-trial motions or appeal, and two federal progeny cases filed by different lawyers from the ones who negotiated the settlement for the plaintiffs. 31. As at 31 December 2023, there were approximately 305 Engle progeny cases pending in which RJRT, B&W and/or Lorillard Tobacco have all been named as defendants and served. These cases include claims by or on behalf of 380 plaintiffs. In addition, as at 31 December 2023, RJRT was aware of five additional Engle progeny cases that have been filed but not served. The number of pending cases fluctuates for a variety of reasons, including voluntary and involuntary dismissals. Voluntary dismissals include cases in which a plaintiff accepts an ‘offer of judgment’ from RJRT and/or RJRT’s affiliates and indemnitees. An offer of judgment, if rejected by the plaintiff, preserves the offering party's right to seek attorneys’ fees under Florida law in the event of a favourable verdict. Such offers are sometimes made through court-ordered mediations. 32. 35 trials occurred in Engle progeny cases in Florida state and federal courts against RJRT, B&W and/or Lorillard Tobacco from 1 January 2021 through 31 December 2023, and additional state court trials are scheduled for 2024. 33. The following chart identifies the number of trials in Engle progeny cases as at 31 December 2023 and additional information about the adverse judgments entered: Trials/verdicts/judgments of individual Engle progeny cases from 1 January 2021 through 31 December 2023 : Total number of trials 35 Number of trials resulting in plaintiffs’ verdicts 20 * Total damages awarded in final judgments against RJRT US$81,492,000 (approximately £64 million) Amount of overall damages comprising ‘compensatory damages’ (approximately) US$58,427,000 (of overall US$81,492,000 ) (approximately £46 million of £64 million) Amount of overall damages comprising ‘punitive damages’ (approximately) US$23,065,000 (of overall US$81,492,000 ) (approximately £18 million of £64 million) Note: * Of the 20 trials resulting in plaintiffs’ verdicts 1 January 2021 to 31 December 2023 (note 31(k)): Number of adverse judgments appealed by RJRT (note 31(l) ) 14 Number of adverse judgments, in which RJRT still has time to file an appeal 0 Number of adverse judgments in which an appeal was not, and can no longer be, sought 6 (Note 31(k)) The 35 trials include two cases that were tried twice ( Rutkowski v. R. J. Reynolds Tobacco Co. and Miller v R. J. Reynolds Tobacco Co. ). In each case, the first trial resulted in mistrial, while the second resulted in a verdict for the plaintiff. The 35 trials also include one trial that resulted in a plaintiff verdict and a new trial was ordered, but the case was resolved and later dismissed ( Leidinger v. R. J. Reynolds Tobacco Co. ), and two punitive damages retrials for the same case ( Ledo v R. J. Reynolds Tobacco Co.). (Note 31(l) ) Of the 14 adverse verdicts appealed by RJRT as a result of judgments arising in the period 1 January 2021 to 31 December 2023: a. six appeals remain undecided in the District Courts of Appeal; b. two judgments were affirmed and paid; c. one judgment was reversed and remanded for new trial on the plaintiff's entitlement to punitive damages; d. one judgment was affirmed and review of the Florida Supreme Court not sought; and e. there were four appeals in which the cases were resolved and the appeals dismissed. 34. By statute, Florida applies a US$200 million (approximately £156.9 million ) bond cap to all Engle progeny cases in the aggregate. Individual bond caps for any given Engle progeny case vary depending on the number of judgments in effect at a given time. Judicial attempts by several plaintiffs in the Engle progeny cases to challenge the bond cap as violating the Florida Constitution have failed. In addition, bills have been introduced in sessions of the Florida legislature that would eliminate the Engle progeny bond cap, but those bills have not been enacted as at 31 December 2023. 35. In 2023, RJRT paid judgments in eight Engle progeny cases. Those payments totalled approximately US$38.5 million (approximately £30.2 million ) in compensatory or punitive damages. Additional costs were paid in respect of attorneys’ fees and statutory interest. 36. In addition, accruals for damages and attorneys’ fees and statutory interest for three cases ( Konzelman v. R. J. Reynolds Tobacco Co. , Blackwood v. R. J. Reynolds Tobacco Co ., Spurlock v. R. J. Reynolds Tobacco Co. ), four resolution bundles and interest and attorneys’ fees in the John Long v. R. J. Reynolds Tobacco Co. case were recorded in Reynolds American’s consolidated balance sheet as at 31 December 2023 to the value of approximately US$22.9 million (approximately £18.0 million). (c) Individual Cases 37. As at 31 December 2023, 202 individual cases were pending in the United States against RJRT, B&W and/or Lorillard Tobacco. This category of cases includes smoking and health cases alleging personal injuries caused by tobacco use or exposure brought by or on behalf of individual plaintiffs based on theories of negligence, strict liability in tort, design defect, failure to warn, fraud, misrepresentation, breach of express or implied warranty, violations of state deceptive trade practices or consumer protection statutes, and conspiracy. The plaintiffs seek to recover compensatory damages, attorneys’ fees and costs, and punitive damages. The category does not include the Engle progeny cases, Broin II cases, and Filter Cases discussed above and below. Two of the individual cases are brought by or on behalf of an individual or his/her survivors alleging personal injury as a result of exposure to Environmental Tobacco Smoke (ETS). 38. The following chart identifies the number of individual cases pending as at 31 December 2023 as against the number pending as at 31 December 2022, along with the number of Engle progeny cases, Broin II cases, and Filter Cases, which are discussed further below. Case Type U.S. Case Numbers 31 December 2023 U.S. Case Numbers 31 December 2022 Change in Number Increase / (Decrease) Individual Smoking and Health Cases (note 31(m) ) 202 206 (4) Engle Progeny Cases (Number of Plaintiffs) (note 31(n)) 305 (380) 665 (838) (360) (458) Broin II Cases (note 31(o)) 1,171 1,183 (12) Filter Cases (note 31(p)) 35 46 (11) (Note 31(m) ) Out of the 202 pending individual smoking and health cases, five have received adverse verdicts or judgments in the court of first instance or on appeal, and the total amount of those verdicts or judgments is approximately US$248.7 million (approximately £195.1 million ), of which $200 million (approximately £157 million ) is the result of the jury’s verdict in the Treniece Jones v. R. J. Reynolds Tobacco Co. case, from which RJRT will have the right to appeal following post-trial motions. (Note 31(n) ) The number of Engle progeny cases will fluctuate as cases are dismissed or if any of the dismissed cases are appealed. Please see earlier table in paragraph 33. (Note 31(o) ) Broin v. Philip Morris, Inc. was a class action filed in Circuit Court in Miami-Dade County, Florida in 1991 and brought on behalf of flight attendants alleged to have suffered from diseases or ailments caused by exposure to ETS in airplane cabins. In October 1997, RJRT, B&W, Lorillard Tobacco and other cigarette manufacturer defendants settled Broin , agreeing to pay a total of US$300 million (approximately £235 million ) in three annual US$100 million (approximately £78.4 million ) instalments, allocated among the companies by market share, to fund research on the early detection and cure of diseases associated with tobacco smoke. It also required those companies to pay a total of US$49 million (approximately £38.4 million ) for the plaintiffs’ counsel’s fees and expenses. RJRT’s portion of these payments was approximately US$86 million (approximately £67.5 million ); B&W’s was approximately US$57 million (approximately £44.7 million ); and Lorillard Tobacco’s was approximately US$31 million (approximately £24.3 million ). The settlement agreement, among other things, limits the types of claims class members may bring and eliminates claims for punitive damages. The settlement agreement also provides that, in individual cases by class members that are referred to as Broin II lawsuits, the defendants will bear the burden of proof with respect to whether ETS can cause certain specifically enumerated diseases, referred to as ‘general causation’. With respect to all other liability issues, including whether an individual plaintiff’s disease was caused by his or her exposure to ETS in airplane cabins, referred to as ‘specific causation’, individual plaintiffs will bear the burden of proof. On 7 September 1999, the Florida Supreme Court approved the settlement. There have been no Broin II trials since 2007. There have been periodic efforts to activate cases and the Group expects this to continue over time. (Note 31(p) ) Includes claims brought against Lorillard Tobacco and Lorillard Inc. by individuals who seek damages resulting from their alleged exposure to asbestos fibres that were incorporated into filter material used in one brand of cigarettes manufactured by a predecessor to Lorillard Tobacco for a limited period of time ending more than 60 years ago. Pursuant to a 1952 agreement between P. Lorillard Company and H&V Specialties Co., Inc. (the manufacturer of the filter material), Lorillard Tobacco is required to indemnify Hollingsworth & Vose for legal fees, expenses, judgments and resolutions in cases and claims alleging injury from finished products sold by P. Lorillard Company that contained the filter material. As at 31 December 2023, Lorillard Tobacco and/or Lorillard Inc. was a defendant in 35 Filter Cases. Since 1 January 2021, Lorillard Tobacco and RJRT have paid, or have reached agreement to pay, a total of approximately US$21.5 million (approximately £17 million ) in settlements to resolve 88 Filter Cases. (d) State Settlement Agreements 39. In November 1998, the major U.S. cigarette manufacturers, including RJRT, B&W and Lorillard Tobacco, entered into the Master Settlement Agreement (MSA) with attorneys general representing 46 U.S. states, the District of Columbia and certain U.S. territories and possessions. These cigarette manufacturers previously settled four other cases, brought on behalf of Mississippi, Florida, Texas and Minnesota, by separate agreements with each state (collectively and with the MSA, the ‘State Settlement Agreements’). 40. These State Settlement Agreements settled all health care cost recovery actions brought by, or on behalf of, the settling jurisdictions; released the defending major U.S. cigarette manufacturers from various additional present and potential future claims; imposed future payment obligations in perpetuity on RJRT, B&W, Lorillard Tobacco and other major U.S. cigarette manufacturers; and placed significant restrictions on their ability to market and sell cigarettes and smokeless tobacco products. In accordance with the MSA, various tobacco companies agreed to fund a US$5.2 billion (approximately £4.1 billion ) trust fund to be used to address the possible adverse economic impact of the MSA on tobacco growers. 41. RJRT and SFNTC are subject to the substantial payment obligations under the State Settlement Agreements. Payments under the State Settlement Agreements are subject to various adjustments for, among other things, the volume of cigarettes sold, relative market share, operating profit and inflation. Reynolds American’s operating subsidiaries’ expenses and payments under the State Settlement Agreements for 2020, 2021, 2022 and 2023 and the projected expenses and payments for 2024 and onwards are set forth below (in millions of US dollars) * : 2020 2021 2022 2023 2024 2025 and thereafter Settlement expenses $3,572 $3,420 $2,951 $2,516 Settlement cash payments $2,848 $3,744 $3,129 $2,874 Projected settlement expenses > $2,100 > $2,100 Projected settlement cash payments > $2,500 > $2,100 Note: * Subject to adjustments for changes in sales volume, inflation, operating profit and other factors. Payments are allocated among the companies on the basis of relative market share or other methods. 42. The State Settlement Agreements have materially adversely affected RJRT’s shipment volumes. Reynolds American believes that these settlement obligations may materially adversely affect the results of operations, cash flows or financial position of Reynolds American and RJRT in future periods. The degree of the adverse impact will depend, among other things, on the rate of decline in U.S. cigarette sales in the premium and value categories, RJRT’s share of the domestic premium and value cigarette categories, and the effect of any resulting cost advantage of manufacturers not subject to the State Settlement Agreements. 43. In addition, the MSA includes an adjustment that potentially reduces the annual payment obligations of RJRT, Lorillard Tobacco and the other signatories to the MSA, known as ‘Participating Manufacturers’ (PMs). Certain requirements, collectively referred to as the ‘Adjustment Requirements’, must be satisfied before the Non-Participating Manufacturers (NPM) Adjustment for a given year is available: (i) an Independent Auditor must determine that the PMs have experienced a market share loss, beyond a triggering threshold, to those manufacturers that do not participate in the MSA (such non-participating manufacturers being referred to as NPMs); and (ii) in a binding arbitration proceeding, a firm of independent economic consultants must find that the disadvantages of the MSA were a significant factor contributing to the loss of market share. This finding is known as a significant factor determination. 44. When the Adjustment Requirements are satisfied, the MSA provides that the NPM Adjustment applies to reduce the annual payment obligation of the PMs. However, an individual settling state may avoid its share of the NPM Adjustment if it had in place and diligently enforced during the entirety of the relevant year a ‘Qualifying Statute’ that imposes escrow obligations on NPMs that are comparable to what the NPMs would have owed if they had joined the MSA. In such event, the state’s share of the NPM Adjustment is reallocated to other settling states, if any, that did not have in place and diligently enforce a Qualifying Statute. 45. RJRT, Lorillard Tobacco and SFNTC are or were involved in the NPM Adjustment proceedings concerning the years 2003 to 2020. In 2012, RJRT, Lorillard Tobacco, and SFNTC entered into an agreement (the Term Sheet) with certain settling states that resolved accrued and future NPM adjustments. After an arbitration panel ruled in September 2013 that six states had not diligently enforced their qualifying statutes in the year 2003, additional states joined the Term Sheet. RJRT executed the NPM Adjustment Settlement Agreement on 25 September 2017 (which incorporated the Term Sheet). Since the NPM Adjustment Settlement Agreement was executed, an additional 12 states have joined. The arbitration panels ruled in September 2021 that two states had not diligently enforced their qualifying statutes in the year 2004. In September 2022, a panel ruled that an additional state, New Mexico, had not diligently enforced its qualifying statute in the year 2004. On 30 August, 2023, the New Mexico District Court vacated this decision. A notice of appeal was filed on 27 September 2023. In December 2023, a panel ruled that an additional state had not diligently enforced its qualifying statute in the years 2005, 2006 and 2007. NPM proceedings are ongoing and could result in further reductions of the companies’ MSA-related payments. 46. On 18 January 2017, the State of Florida filed a motion to join Imperial Tobacco Group, PLC (ITG) as a defendant and to enforce the Florida State Settlement Agreement, which motion sought payment under the Florida State Settlement Agreement of approximately US$45 million (approximately £35.3 million ) with respect to the four brands (Winston, Salem, Kool and Maverick) that were sold to ITG in the divestiture of certain assets, on 12 June 2015, by subsidiaries or affiliates of Reynolds American and Lorillard, to a wholly owned subsidiary of Imperial Brands plc (the Divestiture), referred to as the ‘Acquired Brands’. The motion also claimed future annual losses of approximately US$30 million per year (approximately £23.5 million ) absent the court’s enforcement of the Florida State Settlement Agreement. The State’s motion sought, among other things, an order declaring that RJRT and ITG are in breach of the Florida Settlement Agreement and are required, jointly and severally, to make annual payments to the State under the Florida State Settlement Agreement with respect to the Acquired Brands. By order dated 30 March 2017, ITG was joined into the enforcement action. In addition, on 18 January 2017, PM USA filed a motion to enforce the Florida State Settlement Agreement asserting, among other things, that RJRT and ITG breached that agreement by failing to make settlement payments as to the Acquired Brands, which PM USA asserts improperly shifted settlement payment obligations to PM USA. 47. After a bench trial, on 27 December 2017 the court entered an order holding RJRT (not ITG) liable for annual settlement payments for the Acquired Brands |
Interests in subsidiaries
Interests in subsidiaries | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of subsidiaries [abstract] | |
Interests in subsidiaries | 32 Interests in subsidiaries Subsidiaries with material non-controlling interests Non-controlling interests principally arise from the Group’s listed investment in Bangladesh (British American Tobacco Bangladesh Company Limited) where the Group held 72.91% in 2023 , 2022 and 2021 . Summarised financial information for Bangladesh is shown below as required by IFRS 12 Disclosure of interest in other entities . No adjustments have been made to the information below for the elimination of intercompany transactions and balances with the rest of the Group. Summarised financial information 2023 £m 2022 £m 2021 £m Revenue 680 732 640 Profit for the year 133 153 127 – Attributable to non-controlling interests 36 41 34 Total comprehensive income 91 132 127 – Attributable to non-controlling interests 25 36 34 Dividends paid and other appropriations made to non-controlling interests (11) (32) (28) Summary net assets: Non-current assets 299 322 303 Current assets 437 253 345 Non-current liabilities 71 78 70 Current liabilities 284 166 262 Total equity at the end of the year 381 331 316 – Attributable to non-controlling interests 103 90 86 Net cash generated from operating activities 167 164 52 Net cash used in investing activities (51) (46) (26) Net cash used in financing activities (41) (147) (55) Differences on exchange 1 4 — Increase/(decrease) in net cash and cash equivalents 76 (25) (29) Net cash and cash equivalents at 1 January (24) 1 30 Net cash and cash equivalents at 31 December 52 (24) 1 Subsidiaries subject to restrictions: As a result of the Group’s Canadian subsidiary, Imperial Tobacco Canada (ITCAN), entering CCAA protection, the assets of ITCAN are subject to restrictions. The table below summarises the assets and liabilities of ITCAN: Summarised financial information 2023 £m 2022 £m Non-current assets 2,471 2,554 Current assets 2,621 2,193 Non-current liabilities (103) (114) Current liabilities (494) (526) 4,495 4,107 Under the terms of CCAA, the court has appointed FTI Consulting Canada Inc. to act as a monitor. This monitor has no operational input and is not involved in the management of the business. The Group considers that ITCAN continues to meet the requirements of IFRS 10 Consolidated Financial Statements , and, until such requirements are not met, the Group will continue to consolidate the results of ITCAN. Whilst the Group continues to control the operations of its Canadian subsidiary, there are restrictions over the ability to access or use certain assets including the ability to remit dividends. Included in non-current assets for 2023 and 2022 is goodwill of £ 2.4 billion subject to impairment reviews (note 12 ). Included in current liabilities are trade and other payables of £ 333 million ( 2022 : £ 391 million), the majority of which are amounts payable in respect of duties and excise and accrued charges. A breakdown of current assets has been provided below. 2023 £m 2022 £m Cash and cash equivalents * 2,042 1,569 Inventory 103 182 Investments held at fair value 446 396 Other 30 46 2,621 2,193 Note: * Cash and cash equivalents above include £ 1,904 million ( 2022 : £ 1,411 million) of restricted cash and cash equivalents. The Group defines restricted cash and cash equivalents as where there are significant restrictions on its ability to access or use the assets and settle the liabilities of the Group, but excludes cash and cash equivalents where there are also outstanding local currency borrowings or where there is an outstanding excise liability. In addition, dividends payable would also be excluded from restricted cash and cash equivalents if the dividend has been approved by the necessary regulatory channels. Refer to note 31 for information on the Quebec Class Actions. Other shareholdings At 31 December 2023 , the Group holds almost 100 % ( 2022 : almost 100 %; 2021 : 99 %) of the equity shares of PT Bentoel Internasional Investama Tbk (Bentoel). Between 2011 and 2021, the Group was party to a total return swap on approximately 7% of Bentoel’s issued capital. While the Group did not have legal ownership of these shares in this period, it retained the risks and rewards associated with them which resulted in the Group continuing to recognise an effective interest in 99% of Bentoel’s net assets and results. In 2021, the Group terminated the total return swap as part of its intention to delist from the Indonesia Stock Exchange and go private by conducting a Voluntary Tender Offer (VTO), as a result of which the Group acquired 0.2% additional shares at a cost of £4 million . Shares from over one thousand individual shareholders who could not be contacted were transferred to a courts-approved Public Trustee during 2023 and the company was subsequently delisted on 16 January 2024. |
Summarised Financial Informatio
Summarised Financial Information | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Condensed Consolidating Financial Information [Abstract] | |
Summarised financial information | 33 Summarised financial information The following summarised financial information is required by the rules of the Securities and Exchange Commission and has been prepared as a requirement of the Regulation S-X 3-10 in respect of the guarantees of: – US$9.10 billion of outstanding bonds issued by B.A.T Capital Corporation (BATCAP) in connection with the acquisition of Reynolds American Inc. (Reynolds American), including registered bonds issued in exchange for the initially issued bonds (the 2017 Bonds); – US$12.15 billion of outstanding bonds issued by BATCAP pursuant to the Shelf Registration Statement on Form F-3 filed on July 17, 2019, and US $4.6 billion of outstanding bonds issued by BATCAP pursuant to the Shelf Registration Statement on Form F-3 filed on July 1, 2022 pursuant to which BATCAP, BATIF or the Company may issue an indefinite amount of debt securities; and – US$2.50 billion of outstanding bonds issued by BATIF pursuant to the Shelf Registration Statement on Form F-3 filed on July 17, 2019, and US $1 billion of outstanding bonds issued by BATIF pursuant to the Shelf Registration Statement on Form F-3 filed on July 1, 2022 pursuant to which BATCAP, BATIF or the Company may issue an indefinite amount of debt securities. As of July 28, 2020, all relevant Group entities suspended their reporting obligations with respect to the US$6.7 billion (2022: US$7.7 billion ) of Reynolds American unsecured notes and US$22.1 million (2022: US$40.9 million ) of Lorillard unsecured notes. As such, no summarised financial information is provided with respect to these securities. As described below, Reynolds American is a subsidiary guarantor of all outstanding series of BATCAP and BATIF bonds. Under the terms of the indentures governing such notes, any subsidiary guarantor (including Reynolds American) other than BATCAP or BATIF, as applicable, BATNF and BATHTN, will automatically and unconditionally be released from all obligations under its guarantee, and such guarantee shall thereupon terminate and be discharged and of no further force or effect, in the event that (1) its guarantee of all then outstanding notes issued under the Group’s EMTN Programme is released or (2) at substantially the same time its guarantee of the debt securities is terminated, such subsidiary guarantor is released from all obligations in respect of indebtedness for borrowed money for which such subsidiary guarantor is an obligor (as a guarantor or borrower). Under the EMTN Programme, Reynolds American’s guarantee is released if at any time the aggregate amount of indebtedness for borrowed money, subject to certain exceptions, for which Reynolds American is an obligor does not exceed 10% of the outstanding long-term debt of BAT as reflected in the balance sheet included in BAT’s most recent publicly released interim or annual consolidated financial statements. Reynolds American’s guarantee may be released notwithstanding Reynolds American guaranteeing other indebtedness, provided Reynolds American’s guarantee of outstanding notes issued under the EMTN Programme is released. If Reynolds American’s guarantee is released, BAT is not required to replace such guarantee, and the debt securities will have the benefit of fewer subsidiary guarantees for the remaining maturity of the debt securities. Note: The following summarised financial information report the unconsolidated contribution of each applicable company to the Group’s consolidated results and not the separate financial statements for each applicable company as local financial statements are prepared in accordance with local legislative requirements and may differ from the financial information provided below. In particular, in respect of the U.S. region, all financial statements and financial information provided by or with respect to the U.S. business or RAI (and/or RAI and its subsidiaries (collectively, the Reynolds Group)) are prepared on the basis of U.S. GAAP and constitute the primary financial statements or financial information of the U.S. business or RAI (and/or the Reynolds Group). Solely for the purpose of consolidation within the results of BAT p.l.c. and the BAT Group, this financial information is then converted to IFRS. To the extent any such financial information provided in these financial statements relates to the U.S. business or RAI (and/or the Reynolds Group), it is provided as an explanation of the U.S. business’s or RAI’s (and/or the Reynolds Group’s) primary U.S. GAAP based financial statements and information. The subsidiaries disclosed below are wholly-owned and the guarantees provided are full and unconditional, and joint and several: a. British American Tobacco p.l.c. (as the parent guarantor), referred to as ‘BAT p.l.c.’ in the financials below; b. B.A.T Capital Corporation (as an issuer or a subsidiary guarantor, as the case may be), referred to as ‘BATCAP’ in the financials below; c. B.A.T. International Finance p.l.c. (as an issuer or a subsidiary guarantor, as the case may be), referred to as ‘BATIF’ in the financials below; d. B.A.T. Netherlands Finance B.V. (as a subsidiary guarantor), referred to as ‘BATNF’ in the financials below; e. Reynolds American Inc. (as a subsidiary guarantor), referred to as ‘RAI’ in the financials below; and f. British American Tobacco Holdings (The Netherlands) B.V. (as a subsidiary guarantor of the 2017 Bonds only), referred to as ‘BATHTN’ in the financials below. In accordance with Regulation S-X 13-01, information in respect of investments in subsidiaries that are not issuers or guarantors has been excluded from non-current assets as shown in the balance sheet table below. The ‘BATHTN’ column in the summarised financial information is only applicable in the context of the 2017 Bonds. British American Tobacco Holdings (The Netherlands) B.V. (BATHTN) is not an issuer nor guarantor of any of the other securities referenced in this note. None of the issuers or other guarantors has material balances with or an investment in BATHTN. Investments in subsidiaries represents share capital acquired in relation to or issued by subsidiary undertakings. Summarised Financial Information Year ended 31 December 2023 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Income Statement Revenue — — — — — — (Loss)/profit from operations (642) 3 4 — — 5 Dividend income 4,950 — 1 — 5,234 424 Net finance income/(costs) 488 (204) 857 1 (538) — Profit/(loss) before taxation 4,796 (201) 862 1 4,696 429 Taxation on ordinary activities (25) 22 17 — 127 (1) Profit/(loss) for the year 4,771 (179) 879 1 4,823 428 Intercompany Transactions – Income Statement Transactions with non-issuer/non-guarantor subsidiaries (expense)/income (120) (1) — — 30 — Transactions with non-issuer/non-guarantor subsidiaries net finance income 293 768 1,445 — 26 — Dividend income from non-issuer/non-guarantor subsidiaries 4,950 — — — 5,234 424 Summarised Financial Information Year ended 31 December 2022 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Income Statement Revenue — — — — — — (Loss)/profit from operations (115) (1) (2) — 5 1 Dividend income 7,515 — — — 4,835 148 Net finance income/(costs) 264 (52) 187 — (500) — Profit/(loss) before taxation 7,664 (53) 185 — 4,340 149 Taxation on ordinary activities (10) (9) (21) — 110 — Profit/(loss) for the year 7,654 (62) 164 — 4,450 149 Intercompany Transactions – Income Statement Transactions with non-issuer/non-guarantor subsidiaries (expense)/income (116) (1) (2) — 47 — Transactions with non-issuer/non-guarantor subsidiaries net finance income 52 815 732 — 25 — Dividend income from non-issuer/non-guarantor subsidiaries 7,515 — — — 4,835 148 Summarised Financial Information As at 31 December 2023 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Balance Sheet Non-current assets 1,917 20,691 2,238 1,422 318 43 Current assets 9,128 12,739 43,431 790 942 10 Non-current liabilities 1,580 18,266 12,901 1,422 9,163 11 Non-current borrowings 1,571 18,101 12,662 1,422 9,113 — Other non-current liabilities 9 165 239 — 50 11 Current liabilities 339 15,137 30,091 789 1,301 4 Current borrowings 39 15,102 29,512 788 597 2 Other current liabilities 300 35 579 1 704 2 Intercompany Transactions – Balance Sheet Amounts due from non-issuer/non-guarantor subsidiaries 9,074 16,837 43,279 — 1,229 10 Amounts due to non-issuer/non-guarantor subsidiaries — 3,735 25,686 — 18 1 Investment in subsidiaries (that are not issuers or guarantors) 27,234 — 718 — 25,185 1,537 Summarised Financial Information As at 31 December 2022 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Balance Sheet Non-current assets 1,917 20,962 2,480 1,500 405 45 Current assets 9,166 7,947 42,748 22 1,135 8 Non-current liabilities 1,580 20,018 14,058 1,500 10,094 12 Non-current borrowings 1,572 19,762 13,510 1,500 10,033 — Other non-current liabilities 8 256 548 — 61 12 Current liabilities 55 8,749 29,379 21 1,011 1 Current borrowings 23 8,657 28,525 21 568 1 Other current liabilities 32 92 854 — 443 — Intercompany Transactions - Balance Sheet Amounts due from non-issuer/non-guarantor subsidiaries 9,117 17,003 42,752 — 700 8 Amounts due to non-issuer/non-guarantor subsidiaries 5 3,890 22,702 — 34 1 Investment in subsidiaries (that are not issuers or guarantors) 27,234 — 718 — 26,690 1,573 Perpetual hybrid bonds BAT p.l.c. has issued two €1 billion of perpetual hybrid bonds which have been classified as equity as there is no contractual obligation to either repay the principal or make payments of interest (note 22(d) ). BAT p.l.c.’s unconsolidated contribution to the Group’s consolidated equity results is shown below: BAT p.l.c. As at 31 December 2023 £m 2022 £m Total equity 36,360 36,682 Share capital 614 614 Share premium 112 113 Perpetual hybrid bonds 1,685 1,685 Other equity 33,949 34,270 |
Accounting policies (Policies)
Accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Accounting Policies [Abstract] | |
Basis of preparation | Basis of preparation The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB) and UK-adopted international accounting standards. UK-adopted international accounting standards differ in certain respects from IFRS as issued by the IASB. The differences have no impact on the Group’s consolidated financial statements for the periods presented. The consolidated financial statements have been prepared on a going concern basis under the historical cost convention except as described in the accounting policy below on financial instruments. In performing its going concern assessment, Management considered forecasts and liquidity requirements covering a period of at least twelve months from the date of approval of the financial statements and including the Group’s ability to fund its operations and generate cash to pay for debt as it falls due and takes into account the payments arising from the Master Settlement Agreement due in the U.S. in 2024 and other known liabilities or future payments (including interim dividends), as they fall due. This assessment includes consideration of geopolitical events in Europe and the general outlook in the global economy, as well as plausible downside scenarios after taking into account the Group’s Principal Risks and how they could impact the Group’s operations. Any mitigating actions, should they be required, are all within management’s control and could include reductions in discretionary spending such as acquisitions and capital expenditure, or drawdowns on committed facilities. After reviewing the Group’s annual budget, plans and financing arrangements, the Directors consider that the Group has adequate resources to continue operating and that it is therefore appropriate to continue to adopt the going concern basis in preparing the Annual Report and Form 20‑F. In preparing the financial statements, Management has considered the impact of climate change and determined that the impact is not expected to be material: – On the going concern of the Group; – On the Group’s assessment of future cash flows (including as related to the capital expenditure plans as related to the Group’s Scope 1 and 2 GHG emission reduction commitments) as used in impairment assessments for the value in use of non-current assets including goodwill (note 12(b) ); and – In respect of factors including useful lives and residual values that determine the carrying value of non-financial current assets. There has been no material impact identified on the financial reporting judgements and estimates. Management is aware that the risks related to climate change are developing and ever changing. Accordingly, these judgements and estimates will be kept under review as the future impacts of climate change on the Group’s financial statements depend on environmental, regulatory and other factors outside of the Group’s control which are not all currently known. The preparation of the consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities at the date of the financial statements. The key estimates and assumptions are set out in the accounting policies below, together with the related notes to the accounts. The critical accounting judgements include: – the determination as to whether control (subsidiaries), joint control (joint arrangements), or significant influence (associates) exists in relation to the investments held by the Group. This is assessed after taking into account the Group’s ability to appoint Directors to the entity’s Board, its relative shareholding compared with other shareholders, any significant contracts or arrangements with the entity or its other shareholders and other relevant facts and circumstances. The application of these policies to Group subsidiaries in territories, including Canada, is explained in note 32 ; – the determination as to whether the disposal of a business or businesses is significant enough to require disclosure in current and prior years as a discontinued operation; – the review of applicable exchange rates for transactions with and translation of entities in territories where there are restrictions on free access to foreign currency, or multiple exchange rates; – the determination as to whether to recognise provisions and the exposures to contingent liabilities related to pending litigation or other outstanding claims, as well as other contingent liabilities. The accounting policy on contingent liabilities, which are not provided for, is set out below and the contingent liabilities of the Group are explained in note 31 . Judgement is necessary to assess the likelihood that a pending claim is probable (more likely than not to succeed), possible or remote; – the determination as to whether perpetual hybrid bonds should be classified as equity instead of borrowings (note 22(d) ); and – the identification and quantification of adjusting items. These are separately disclosed as memorandum information as explained below, and the impact of these on the calculation of adjusted earnings per share is described in note 11 . The critical accounting estimates include: – the review of asset values, including indefinite life assets, such as goodwill and certain trademarks and similar intangibles. The key assumptions used in respect of the impairment testing are the determination of cash-generating units, the budgeted and forecast cash flows of these units, the long-term growth rate for cash flow projections and the rate used to discount the cash flow projections. These are described in note 12 ; – the estimation of amounts to be recognised in respect of taxation and legal matters, and the estimation of other provisions for liabilities and charges are subject to uncertain future events, may extend over several years and so the amount and/or timing may differ from current assumptions. The accounting policy for taxation is explained below. The recognised deferred tax assets and liabilities, together with a note of unrecognised amounts, are shown in note 16 , and a contingent tax asset is explained in note 10(b) . Other provisions for liabilities and charges are as set out in note 24 . Litigation related deposits are shown in note 17 . The application of these accounting policies to the payments made and credits recognised under the Master Settlement Agreement by Reynolds American Inc. (Reynolds American) is described in note 6(b) ; and – the estimation of and accounting for retirement benefit costs. The determination of the carrying value of assets and liabilities, as well as the charge for the year, and amounts recognised in other comprehensive income, involves judgements made in conjunction with independent actuaries. These involve estimates about uncertain future events on a country-by-country basis, including life expectancy of scheme members, salary and pension increases, inflation, as well as discount rates and asset values at the year-end. The assumptions used by the Group and sensitivity analyses are described in note 15 . Such estimates and assumptions are based on historical experience and various other factors that are believed to be reasonable in the circumstances and constitute management’s best judgement at the date of the financial statements. In the future, actual experience may deviate from these estimates and assumptions, which could affect the financial statements as the original estimates and assumptions are modified, as appropriate, in the year in which the circumstances change. These consolidated financial statements were authorised for issue by the Board of Directors on 7 February 2024 . With effect from 1 January 2023, the Group has adopted two Amendments to IAS 12 Income Taxes : in respect of deferred tax in relation to assets and liabilities arising from a single transaction; and in respect of exceptions from the recognition and disclosure of deferred tax related to income taxes arising from tax law enacted or substantively enacted to implement the Pillar Two model rules published by the Organisation for Economic Co-operation and Development (OECD), including tax law that implements qualified domestic minimum top-up taxes described in those rules. The impact of applying these amendments was not material. In addition, an Amendment to IAS 1 Presentation of Financial Statements requires the disclosure of material accounting policy information as part of the Notes to the Accounts and these are set out below. Accounting policy information is material if, when considered together with other information included in an entity’s financial statements, it can reasonably be expected to influence decisions that the primary users of general purpose financial |
Basis of consolidation | Basis of consolidation The consolidated financial information includes the financial statements of British American Tobacco p.l.c. and its subsidiary undertakings, collectively ‘the Group’, together with the Group’s share of the results of its associates and joint arrangements. A subsidiary is an entity controlled by the Group. Non-controlling interests represent the share of earnings or equity in subsidiaries that is not attributable, directly or indirectly, to shareholders of the Group. Identifiable assets and liabilities acquired in a business combination are measured at fair value at the date of acquiring control. Disposals of subsidiaries and businesses due to sale or market withdrawal are accounted for as disposals from the date of losing control and may be classified as held-for-sale disposal groups at the balance sheet date if specific tests under IFRS 5 Non-current Assets Held For Sale and Discontinued Operations are met. Discontinued operations, where applicable, comprise material disposal groups representing a significant geographical area of operations or business activities. Associates comprise investments in undertakings, which are not subsidiary undertakings or joint arrangements, where the Group exercises significant influence. They are accounted for using the equity method. Joint arrangements comprise contractual arrangements where two or more parties have joint control and where decisions regarding the relevant activities of the entity require unanimous consent. Joint ventures are accounted for using the equity method. The Group accounts for its share of the assets, liabilities, income and expenses of joint operations. |
Foreign currencies | oreign currencies and hyperinflationary territories The functional currency of the Parent Company is sterling and this is also the presentation currency of the Group. The income and cash flow statements of Group undertakings expressed in currencies other than sterling are translated to sterling using exchange rates applicable to the dates of the underlying transactions. Average rates of exchange in each year are used where the average rate approximates the relevant exchange rate at the date of the underlying transactions. Assets and liabilities of Group undertakings are translated at the applicable rates of exchange at the end of each year. In territories where there are restrictions on free access to foreign currency or multiple exchange rates, the applicable rates of exchange are regularly reviewed. The differences arising on the retranslation to sterling of Group undertakings with functional currencies other than sterling are presented as a separate component of equity in the Translation reserve within Other reserves, as shown in note 22 . They are recognised in the income statement when the gain or loss on disposal of a Group undertaking is recognised. Transactional foreign exchange gains and losses on the revaluation or settlement of receivables and payables are recognised in the income statement, except when deferred in equity on intercompany net investment loans, on qualifying net investment hedges, or as qualifying cash flow hedges. Foreign exchange gains or losses recognised in the income statement are included in profit from operations or net finance costs depending on the underlying transactions that gave rise to these exchange differences. In addition, for hyperinflationary countries where the effect on the Group results would be significant, the financial statements in local currency are adjusted to reflect the impact of local inflation prior to translation into sterling, in accordance with IAS 29 Financial Reporting in Hyperinflationary Economies . Where applicable, IAS 29 requires all transactions to be indexed by an inflationary factor to the balance sheet date, potentially leading to a monetary gain or loss on indexation. The results and balance sheets of operations in |
Contingent liabilities and contingent assets | Provisions, contingent liabilities and contingent assets Provisions are recognised when either a legal or constructive obligation as a result of a past event exists at the balance sheet date, it is probable that an outflow of economic resources will be required to settle the obligation and a reasonable estimate can be made of the amount of the obligation. Subsidiaries and associate companies are defendants in tobacco- related and other litigation. These exposures are regularly reviewed on an on-going basis and provision for this litigation (including legal costs) is made at such time as an unfavourable outcome becomes probable and the amount can be reasonably estimated. Contingent assets are possible assets whose existence will only be confirmed by future events not wholly within the control of the entity and are not recognised as assets until the realisation of income is virtually certain. Where a provision has not been recognised, the Group records its external legal fees and other external defence costs for tobacco- related and other litigation as these costs are incurred. As explained in note 17 , certain litigation-related deposits are recognised as assets within loans and other receivables where management has determined that these payments represent a resource controlled by the entity. These deposits are held at the fair value of consideration transferred less impairment, if applicable , and have not been discounted. |
Provisions | Provisions, contingent liabilities and contingent assets Provisions are recognised when either a legal or constructive obligation as a result of a past event exists at the balance sheet date, it is probable that an outflow of economic resources will be required to settle the obligation and a reasonable estimate can be made of the amount of the obligation. Subsidiaries and associate companies are defendants in tobacco- related and other litigation. These exposures are regularly reviewed on an on-going basis and provision for this litigation (including legal costs) is made at such time as an unfavourable outcome becomes probable and the amount can be reasonably estimated. Contingent assets are possible assets whose existence will only be confirmed by future events not wholly within the control of the entity and are not recognised as assets until the realisation of income is virtually certain. Where a provision has not been recognised, the Group records its external legal fees and other external defence costs for tobacco- related and other litigation as these costs are incurred. As explained in note 17 , certain litigation-related deposits are recognised as assets within loans and other receivables where management has determined that these payments represent a resource controlled by the entity. These deposits are held at the fair value of consideration transferred less impairment, if applicable , and have not been discounted. |
Taxation | Taxation Tax is chargeable on the profits for the period, together with deferred tax. The current income tax charge is calculated on the basis of tax laws enacted or substantively enacted at the balance sheet date in the countries where the Group’s subsidiaries, associates and joint arrangements operate and generate taxable income. |
Deferred taxation | Deferred tax is determined using the tax rates that have been enacted or substantively enacted by the balance sheet date and are expected to apply when the related deferred tax asset is realised or deferred tax liability is settled. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the asset can be utilised. Tax is recognised in the income statement except to the extent that it relates to items recognised in other comprehensive income or directly in equity, in which case it is recognised in the statement of other comprehensive income or the statement of changes in equity. The Group has exposures in respect of the payment or recovery of taxes and the financial statements reflect the probable outcome with estimated amounts determined based on the most likely amount or the expected value, depending on which method is |
Equity instruments | Equity instruments Instruments are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements. Instruments that cannot be settled in the Group’s own equity instruments and that include no contractual obligation to deliver cash or another financial asset are classified as equity. Equity instruments issued by the Group are recognised at the proceeds received, net of issuance costs |
Goodwill | Goodwill Goodwill in respect of the acquisition of subsidiaries is included in intangible assets, net of impairment, where applicable. In respect of associates and joint ventures, goodwill is included in the carrying value of the investment in the associated company or |
Intangible assets other than goodwill | Intangible assets other than goodwill The intangible assets shown on the Group balance sheet consist mainly of trademarks and similar intangibles, including certain intellectual property, acquired by the Group’s subsidiary undertakings and computer software. Acquired trademarks and similar assets are carried at cost less accumulated amortisation and impairment. Trademarks with indefinite lives are not amortised but are reviewed annually for impairment. Other trademarks and similar assets are amortised on a straight-line basis over their remaining useful lives, consistent with the pattern of economic benefits expected to be received, which do not exceed 20 years . Any impairments of trademarks are recognised in the income statement, but increases in trademark values are not recognised. With effect from 1 January 2024, the Group’s indefinite-lived combustible trademarks and similar assets will be amortised on a straight-lined basis over periods not exceeding 30 years . The revision in useful economic life reflects the ongoing challenging macro-economic conditions and revised forecast in the U.S., with an expected increase in amortisation expense of £ 1.4 billion per annum. The Group's non-combustible trademarks will remain as indefinite-lived assets. Computer software is carried at cost less accumulated amortisation and impairment, and, with the exception of global software solutions, is amortised on a straight-line basis over periods ranging from three years to five years . Global software solutions are software assets designed to be implemented on a global basis and used as a standard solution by all of the operating companies in the Group. Historically, these assets were amortised on a straight-line basis over periods not exceeding 13 years . With effect from 1 January 2023, global software solutions are amortised on a straight-line basis over periods not exceeding 15 years. The revision in useful life is a result of ongoing use of Global software solutions due to the extension of third-party supplier support. The estimated impact of this change in accounting estimate is a reduction in annual amortisation expense of £16 million in 2023 , with similar reductions expected in 2024 and 2025 |
Property, plant and equipment | Property, plant and equipment Purchased property, plant and equipment are stated at cost less accumulated depreciation and impairment. Depreciation is calculated on a straight-line basis to write off the assets over their useful economic life. Purchased freehold and leasehold property are depreciated at rates between 2.5% and 4% per annum, and plant and equipment at rates between 3% and 25% per annum. No depreciation is provided on freehold land or assets classified as held-for-sale. Non-current assets are classified as held-for sale if their carrying value will be recovered principally through a sale transaction rather than through continuing use and if all of the conditions of IFRS 5 are met |
Leased assets and lease liabilities | Leased assets and lease liabilities The Group applies IFRS 16 Leases to contractual arrangements which are, or contain, leases of assets. Right-of-use assets are included as part of property, plant and equipment in note 13 , with the lease liabilities included as part of borrowings in note 23 . Right- of-use lease assets are initially recognised at an amount equal to the lease liability, adjusted for initial direct costs in relation to the assets, then depreciated over the shorter of the lease term and their estimated useful lives. Lease liabilities are initially recognised at an amount equal to the present value of estimated contractual lease payments at the inception of the lease, discounted using the interest rate implicit in the lease if this can be readily determined, or the applicable incremental rate of borrowing, as appropriate. The Group has adopted several practical expedients available under the Standard including not applying the requirements of IFRS 16 to leases of intangible assets, and not applying the recognition and measurement requirements of IFRS 16 to leases of less than 12 months maximum duration or to leases of low-value assets. Except for property-related leases, non-lease components |
Impairment of non-financial assets | Impairment of non-financial assets Assets are reviewed for impairment whenever events indicate that the carrying amount of a cash-generating unit may not be recoverable. In addition, assets that have indefinite useful lives are tested annually for impairment. An impairment loss is recognised to the extent that the carrying value exceeds the higher of the asset’s fair value less costs to sell and its value-in-use. A cash-generating unit is the smallest identifiable group of assets that generates cash flows which are largely independent of the cash flows from other assets or groups of assets. At the acquisition date, any goodwill acquired is allocated to the relevant cash-generating unit or group of cash-generating units expected to benefit from the acquisition for the purpose of impairment testing of goodwill. |
Retirement benefit schemes | Retirement benefit schemes The Group's subsidiary undertakings operate various funded and unfunded defined benefit schemes, including pension and post- retirement healthcare schemes, as well as defined contribution schemes in various jurisdictions. The liabilities arising in respect of defined benefit schemes are determined in accordance with the advice of independent, professionally qualified actuaries, using the projected unit credit method. The net deficit or surplus for each defined benefit pension scheme is calculated on the present value of the defined benefit obligation at the balance sheet date less the fair value of the scheme assets adjusted, where appropriate, for any surplus restrictions or the effect of minimum funding requirements. Benefits provided through defined contribution schemes are charged as an expense as payments fall due. |
Financial instruments | Financial instruments The Group’s business model for managing financial assets aims: to protect against the loss of principal, to maximise Group liquidity by concentrating cash at the centre, to align the maturity profile of external investments with that of the forecast liquidity profile, to match the interest rate profile of external investments to that of debt maturities or fixings wherever practicable, and to optimise the investment yield within the Group’s investment parameters. The majority of financial assets are held in order to collect contractual cash flows (typically cash and cash equivalents and loans and other receivables), but some assets (typically investments) are held for investment potential. Financial assets and financial liabilities are recognised when the Group becomes a party to the contractual provisions of the relevant instrument and derecognised when it ceases to be a party to such provisions. Non-derivative financial assets are classified on initial recognition in accordance with the Group’s business model as investments, loans and receivables, or cash and cash equivalents and accounted for as follows: – Investments : these are non-derivative financial assets that cannot be classified as loans and other receivables or cash and cash equivalents. Dividend and interest income on these investments are included within finance income when the Group’s right to receive payments is established. This category includes financial assets at fair value through profit and loss and financial assets at fair value through other comprehensive income. – Loans and other receivables : these are non-derivative finan cial assets with fixed or determinable payments that are solely payments of principal and interest on the principal amount outstanding, that are primarily held in order to collect contractual cash flows. These balances are measured at amortised cost, using the effective interest rate method, and stated net of allowances for credit losses, and include trade and other receivables, and deposits with banks and other financial institutions which cannot be classified as cash and cash equivalents. In addition, as explained in no te 17 , certain litigation related deposits are recognised as assets within loans and other receivables where management has determined that these payments represent a resource controlled by the entity as a result of past events. These deposits are held at the fair value of consideration transferred less impairment, if applicable, and have not been discounted. – Cash and cash equivalents : cash and cash equivalents include cash in hand and deposits held on call, together with other short- term highly liquid investments including investments in certain money market funds. Fair values for quoted investments are based on observable market prices. If there is no active market for a financial asset, the fair value is established by using valuation techniques principally involving discounted cash flow analysis. Non-derivative financial liabilities , including borrowings and trade payables, are stated at amortised cost using the effective interest method. For borrowings, their carrying value includes accrued interest payable, as well as unamortised issue costs. Drawdowns and repayments of short-term borrowings which have a maturity period of three months or less are stated net in the cash flow statement; drawdowns and repayments on all other borrowings are stated gross in the cash flow statement. Current liabilities include amounts where the entity does not have an unconditional right to defer settlement of the liability for at least 12 months after the balance sheet date. As shown in note 23 , certain borrowings are subject to fair value hedges, as defined below. Derivative financial assets and liabilities are initially recognised, and subsequently measured, at fair value, which includes accrued interest receivable and payable where relevant. Changes in their fair values are recognised as follows: – for derivatives that are designated as cash flow hedges, the changes in their fair values are recognised directly in other comprehensive income, to the extent that they are effective, with the ineffective portion being recognised in the income statement. Accumulated gains and losses are reclassified to the income statement in the same periods as the hedged item, unless the hedged item results in a non-financial asset where the accumulated gains and losses are included in the initial carrying value of the asset (basis adjustment); – for derivatives that are designated as fair value hedges, the carrying value of the hedged item is adjusted for the fair value changes attributable to the risk being hedged, with the corresponding entry being made in the income statement. The changes in fair value of these derivatives are also recognised in the income statement; – for derivatives that are designated as hedges of net investments in foreign operations, the changes in their fair values are recognised directly in other comprehensive income, to the extent that they are effective, with the ineffective portion being recognised in the income statement. Where non-derivatives such as foreign currency borrowings are designated as net investment hedges, the relevant exchange differences are similarly recognised. The accumulated gains and losses are reclassified to the income statement when the foreign operation is disposed of; and – for derivatives that do not qualify for hedge accounting or are not designated as hedges, the changes in their fair values are recognised in the income statement in the period in which they arise. These are referred to as ‘held-for-trading’. In order to qualify for hedge accounting, the Group is required to demonstrate an assessment of the economic relationship between the item being hedged and the hedging instrument, which shows that the hedge will be highly effective on an ongoing basis. This effectiveness testing is re-performed periodically to ensure that the hedge has remained, and is expected to remain, highly effective. Hedge accounting is discontinued when a hedging instrument is derecognised (e.g. through expiry or disposal), or no longer qualifies for hedge accounting. Where the hedged item is a highly probable forecast transaction, the related gains and losses remain in equity until the transaction takes place, when they are reclassified to the income statement in the same manner as for cash flow hedges as described above. When a hedged future transaction is no longer expected to occur, any related gains and losses, previously recognised in other comprehensive income, are immediately reclassified to the income statement. Derivative fair value changes recognised in the income statement are either reflected in arriving at profit from operations (if the hedged item is similarly reflected) or in finance costs . |
Impairment of financial assets held at amortized cost | Impairment of financial assets held at amortised cost Loss allowances for expected credit losses on financial assets which are held at amortised cost are recognised on initial recognition of the underlying asset. As permitted by IFRS 9 Financial Instruments , loss allowances on trade receivables arising from the recognition of revenue under IFRS 15 Revenue from Contracts with Customers are initially measured at an amount equal to lifetime expected losses. Allowances in respect of loans and other receivables are initially recognised at an amount equal to 12-month expected credit losses. Allowances are measured at an amount equal to the lifetime expected credit losses where the credit risk on the receivables increases significantly after initial recognition. |
Revenue | Revenue Revenue principally comprises sales of cigarettes, other tobacco products, and nicotine products, to external customers. Revenue excludes duty, excise and other taxes related to sales in the period and is stated after deducting rebates, returns and other similar discounts and payments to direct and indirect customers. For the vast majority of the Group’s sales, revenue is recognised when control of the goods is transferred to a customer at a point in time; this is usually evidenced by a transfer of the significant risks and rewards of ownership upon delivery to the customer, which in terms of timing is not materially different to the date of shipping. For certain e-commerce subscription sales, revenue is allocated to each component of the subscription, with revenue recognised as each component is delivered to the customer. These sales are not material to the Group’s results. |
Inventories | Inventories Inventories are stated at the lower of cost and net realisable value. Cost is based on the weighted average cost incurred in acquiring inventories and bringing them to their existing location and condition, which will include raw materials, direct labour and overheads, where appropriate. Net realisable value is the estimated selling price less costs to completion and sale. Tobacco inventories which have an operating cycle that exceeds 12 months are classified as current assets, consistent with recognised industry practice. |
Segmental analysis | Segmental analysis The Group is organised and managed on the basis of its geographic regions. These are the reportable segments for the Group as they form the focus of the Group’s internal reporting systems and are the basis used by the chief operating decision maker, identified as the Management Board, for assessing performance and allocating resources. While the Group has clearly differentiated brands, global segmentation between a wide portfolio of brands is not part of the regular internally reported financial information. The results of New Category products are reported as part of the results of each geographic region. |
Adjusting items | Adjusting items Adjusting items are significant items of income or expense in revenue, profit from operations, net finance costs, taxation and the Group’s share of the post-tax results of associates and joint ventures which individually or, if of a similar type, in aggregate, are relevant to an understanding of the Group’s underlying financial performance because of their size, nature or incidence. In identifying and quantifying adjusting items, the Group consistently applies a policy that defines criteria that are required to be met for an item to be classified as adjusting. These items are separately disclosed in the segmental analyses or in the notes to the accounts as appropriate. The Group believes that these items are useful to users of the Group financial statements in helping them to understand the underlying business performance and are used to derive the Group’s principal non-GAAP measures of adjusted profit from operations and adjusted diluted earnings per share, all of which are before the impact of adjusting items and which are reconciled from profit from operations and diluted earnings per share. |
Share-based payments | Share-based payments – The Group has equity-settled and cash-settled share-based compensation plans. – Equity-settled share-based payments are measured at fair value at the date of grant. The fair value determined at the grant date of the equity-settled share-based payments is expensed over the vesting period, based on the Group’s estimate of awards that will eventually vest. For plans where vesting conditions are based on total shareholder returns, the fair value at date of grant reflects these conditions, whereas earnings per share vesting conditions are reflected in the calculation of awards that will eventually vest over the vesting period. – For cash-settled share-based payments, a liability equal to the portion of the services received is recognised at its current fair value determined at each balance sheet date. – Fair value is measured by the use of the Black-Scholes option pricing model, except where vesting is dependent on market conditions when the Monte-Carlo option pricing model is used. The expected life used in the models has been adjusted, based on management’s best estimate, for the effects of non- transferability, exercise restrictions and behavioural considerations. |
Research and development | Research and development Research expenditure is charged to profit or loss in the year in which it is incurred. Development expenditure is charged to profit or loss in the year it is incurred, unless it meets the recognition criteria of IAS 38 Intangible Assets to be capitalised as |
Capitalised interest | Capitalised interest Borrowing costs which are directly attributable to the acquisition, construction or production of intangible assets or property, plant and equipment that takes a substantial period of time to get ready for its intended use or sale, are capitalised as part of the cost of the asset. |
Biological assets | Biological Assets The investments in associates and joint ventures shown in the Group balance sheet include biological assets held by Organigram Holdings Inc. In accordance with IAS 41 Agriculture , the Group measures biological assets at fair value less costs to sell up to the point of harvest, at which point this becomes the basis for the cost of finished goods inventories after harvest with subsequent expenditures incurred on these being capitalised, where applicable, in accordance with IAS 2 Inventories . Unrealised fair value gains and losses arising during the growth of biological assets are recognised immediately in the income statement. |
Dividends | Dividends The Company pays interim quarterly dividends, and the Group recognises the interim dividend in the period in which it is paid. |
Repurchase of share capital | Repurchase of share capital When share capital is repurchased, the amount of consideration paid, including directly attributable costs, is recognised as a deduction from equity. Repurchased shares which are not cancelled, or shares purchased for the employee share ownership trusts, are classified as treasury shares and presented as a deduction from total equity. |
Future changes to accounting policies | Future changes to accounting policies Certain changes to IFRS will be applicable to the Group financial statements in future years, but are not expected to have a material effect on reported profit or equity or on the disclosures in the financial statements. |
Segmental analyses (revised) (T
Segmental analyses (revised) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Reportable Segments [Abstract] | |
Disclosure of Operating Segment Information | The following table shows 2023 revenue at 2023 rates of exchange, and 2023 revenue translated using 2022 rates of exchange. The 2022 figures are stated at the 2022 rates of exchange. 2023 2022 Revenue constant rates £m Translation exchange £m Revenue current rates £m Revenue current rates £m U.S. 12,065 (71) 11,994 12,639 AME 9,989 (198) 9,791 9,287 APMEA 6,042 (544) 5,498 5,729 Revenue 28,096 (813) 27,283 27,655 Note: 1. Effective from 2023, the Group revised its regional structure from four regions to three , with the comparator data provided on this revised basis. The following table shows 2022 revenue at 2022 rates of exchange, and 2022 revenue translated using 2021 rates of exchange. The 2021 figures are stated at the 2021 rates of exchange. 2022 2021 Revenue constant rates £m Translation exchange £m Revenue current rates £m Revenue current rates £m U.S. 11,358 1,281 12,639 11,691 AME 9,119 168 9,287 8,444 APMEA 5,796 (67) 5,729 5,549 Revenue 26,273 1,382 27,655 25,684 The following table shows 2023 loss from operations and adjusted profit from operations at 2023 rates of exchange, and 2023 adjusted profit from operations using 2022 rates of exchange. 2023 Adjusted* segment result constant rates £m Translation exchange £m Adjusted* segment result current rates £m Adjusting* items £m Segment result current rates £m U.S. 6,863 (42) 6,821 (27,602) (20,781) AME 3,547 (87) 3,460 (266) 3,194 APMEA 2,379 (195) 2,184 (348) 1,836 Profit/(loss) from operations 12,789 (324) 12,465 (28,216) (15,751) Net finance costs (1,895) Share of post-tax results of associates and joint ventures 585 Loss before taxation (17,061) Taxation on ordinary activities 2,872 Loss for the year (14,189) Note: * The adjustments to profit from operations are explained in notes 3 , 4 , 5(a) , 6(d) , 6(f) , 6(h) , 6(j) and 7 . The following table shows 2022 profit from operations and adjusted profit from operations at 2022 rates of exchange, and 2022 adjusted profit from operations using 2021 rates of exchange. 2022 Adjusted* segment result constant rates £m Translation exchange £m Adjusted* segment result current rates £m Adjusting* items £m Segment result current rates £m U.S. 6,095 740 6,835 (630) 6,205 AME 3,268 80 3,348 (422) 2,926 APMEA 2,263 (38) 2,225 (833) 1,392 Profit from operations 11,626 782 12,408 (1,885) 10,523 Net finance costs (1,641) Share of post-tax results of associates and joint ventures 442 Profit before taxation 9,324 Taxation on ordinary activities (2,478) Profit for the year 6,846 Note: * The adjustments to profit from operations are explained in notes 3 , 4 , 5(a) , 6(d) , 6(f) , 6(h) , 6(i) , 6(j) , and 7 . The following table shows 2021 profit from operations and adjusted profit from operations at the 2021 rates of exchange. 2021 Adjusted* segment result £m Adjusting* items £m Segment result £m U.S. 5,887 (321) 5,566 AME 3,059 (157) 2,902 APMEA 2,204 (438) 1,766 Profit from operations 11,150 (916) 10,234 Net finance costs (1,486) Share of post-tax results of associates and joint ventures 415 Profit before taxation 9,163 Taxation on ordinary activities (2,189) Profit for the year 6,974 Note: * The adjustments to profit from operations are explained in notes 3 , 4 , 6(d) , 6(f) , 6(g) and 7 . |
Summary of Depreciation Amortisation and Impairment Charges | Adjusted profit from operations at constant rates of exchange of £ 12,789 million ( 2022 at constant rates: £ 11,626 million; 2021 at current rates: £ 11,150 million) excludes adjusting depreciation, amortisation and impairment charges as explained in notes 4 and 7 . These are excluded from segmental adjusted profit from operations as per table below. 2023 and 2022 are disclosed at constant rates of exchange and 2021 is disclosed at current rate of exchange. 2023 Adjusted depreciation, amortisation and impairment constant rates £m Translation exchange £m Adjusted depreciation, amortisation and impairment current rates £m Adjusting items £m Deprecia tion, amortisation and impairment current rates £m U.S. 218 — 218 27,518 27,736 AME 333 3 336 44 380 APMEA 218 (13) 205 293 498 769 (10) 759 27,855 28,614 2022 Adjusted depreciation, amortisation and impairment constant rates £m Translation exchange £m Adjusted depreciation, amortisation and impairment current rates £m Adjusting items £m Depreciation, amortisation and impairment current rates £m U.S. 221 16 237 322 559 AME 363 10 373 116 489 APMEA 186 4 190 67 257 770 30 800 505 1,305 2021 Adjusted depreciation, amortisation and impairment £m Adjusting items £m Depreciation, amortisation and impairment £m U.S. 203 276 479 AME 333 56 389 APMEA 188 20 208 724 352 1,076 |
Disclosure of Additional Information by Product Category | Additional information by product category Although the Group’s operations are managed on a Regional basis, additional information for revenue is provided based on product category as follows: Revenue 2023 £m 2022 £m 2021 £m New Categories 3,347 2,894 2,054 Vapour 1,812 1,436 927 HP 996 1,060 853 Modern Oral 539 398 274 Traditional Oral 1,163 1,209 1,118 Combustibles 22,108 23,030 22,029 Other 665 522 483 Revenue 27,283 27,655 25,684 |
Disclosure of Geographical Information of External Revenue | External revenue and non-current assets other than financial instruments, deferred tax assets and retirement benefit assets are analysed between the UK and all foreign countries at current rates of exchange as follows: United Kingdom All foreign countries Group Revenue is based on location of sale 2023 £m 2022 £m 2021 £m 2023 £m 2022 £m 2021 £m 2023 £m 2022 £m 2021 £m External revenue 255 228 209 27,028 27,427 25,475 27,283 27,655 25,684 |
Disclosure of Geographical Information of Non-Current Assets | United Kingdom All foreign countries Group 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Intangible assets 447 529 95,115 128,546 95,562 129,075 Property, plant and equipment 362 215 4,221 4,652 4,583 4,867 Investments in associates and joint ventures — — 1,970 2,020 1,970 2,020 |
Employee benefit costs (Tables)
Employee benefit costs (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of defined benefit plans [abstract] | |
Summary of Employee Benefit Costs | Note 2023 £m 2022 £m 2021 £m Wages and salaries 2,263 2,553 2,315 Social security costs 219 201 185 Other pension and retirement benefit costs 15 108 133 139 Share-based payments - equity and cash-settled 28 74 85 78 2,664 2,972 2,717 |
Depreciation, amortisation an_2
Depreciation, amortisation and impairment costs (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Depreciation Amortisation And Impairment Costs [Abstract] | |
Summary of Depreciation Amortisation and Impairment Costs | 2023 £m 2022 £m 2021 £m Intangibles – amortisation and impairment of trademarks and similar intangibles 23,232 317 333 – amortisation and impairment of computer software 125 142 129 – impairment of goodwill 4,614 — 57 Property, plant and equipment - depreciation and impairment 643 846 557 28,614 1,305 1,076 |
Other operating expenses (Table
Other operating expenses (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Expenses by nature [abstract] | |
Summary of Other Operating Expenses | The following items are included within other operating expenses: Notes 2023 £m 2022 £m 2021 £m Other operating expenses 7,538 9,018 7,468 The following items are included within other operating expenses: Master Settlement Agreement and State Settlement Agreements 6(b) , (d) 2,023 2,387 2,486 Marketing costs in operating expenses 6(c) 1,152 1,160 1,242 Inventory write-offs 20 250 250 215 Research and development expenses (excluding employee benefit costs and depreciation) 6(e) 181 138 141 Loss/(gain) on disposal of businesses 6(f) 546 (6) 358 Excise, VAT and penalties in respect of disputes in Türkiye and South Korea 6(g) — — 26 Charges in respect of DOJ and OFAC investigation 6(h) 75 450 — (Reversals)/charges in respect of assets held-for-sale 6(j) (195) 612 — Charges in respect of Nigerian FCCPC case 6(i) — 79 — Brazil other taxes 6(k) 49 12 — Exchange differences 17 92 19 Hedge ineffectiveness within operating profit (12) 36 (5) Expenses relating to short-term leases 13 11 8 Expenses relating to leases of low-value assets 1 1 1 Auditor’s remuneration 6(m) 29 29 27 Note US$m 2023 £m US$m 2022 £m US$m 2021 £m Opening MSA liability 25 2,637 2,193 2,815 2,079 3,139 2,296 Settlement expense 31 2,516 2,023 2,951 2,387 3,420 2,486 Cash paid 31 (2,874) (2,311) (3,129) (2,531) (3,744) (2,722) Difference on exchange — (117) — 258 — 19 Closing MSA liability 25 2,279 1,788 2,637 2,193 2,815 2,079 |
Summary of Auditor"s Remuneration | (m) Auditor’s remuneration 2023 £m 2022 £m 2021 £m Auditor’s remuneration Total expense for audit services pursuant to legislation: – fees to KPMG LLP for Parent Company and Group audit 11.4 9.4 8.7 – fees to KPMG LLP firms and associates for local statutory and Group reporting audits 9.4 11.0 9.5 Total audit fees expense - KPMG LLP firms and associates 20.8 20.4 18.2 Audit fees expense to other firms 0.2 0.2 0.2 Total audit fees expense 21.0 20.6 18.4 Fees to KPMG LLP firms and associates for other services: – audit-related assurance services 6.9 7.1 8.0 – other assurance services 0.9 0.9 0.3 – tax advisory services — — — – tax compliance — — — – audit of defined benefit schemes of the Company 0.2 0.2 0.4 – other non-audit services — — — 8.0 8.2 8.7 |
Restructuring and Integration_2
Restructuring and Integration Costs (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Expenses by nature [abstract] | |
Summary of Cost of Initiatives in Profit from Operations | The costs of the Group’s initiatives are included in profit from operations under the following headings: Notes 2023 £m 2022 £m 2021 £m Employee benefit costs 3 (26) 315 160 Depreciation, amortisation and impairment costs 4 39 220 (11) Other operating income 5 — (1) — Other operating expenses (15) 237 1 (2) 771 150 |
Net finance costs (Tables)
Net finance costs (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Net Finance Costs [Abstract] | |
Summary of Net Finance Costs/(Income) | (a) Net finance costs/(income) 2023 £m 2022 £m 2021 £m Interest expense 1,786 1,602 1,436 Interest expense on lease liabilities 30 25 24 Facility fees 19 21 33 Impact of the early repurchase of bonds (note 8(b) ) 29 — — Interest related to adjusting tax payables (note 8(b) ) 71 36 31 Fair value changes on derivative financial instruments, hedged items and investments 599 (473) 252 Fair value change on other financial items (note 8(b) ) (4) (2) 24 Exchange differences (449) 524 (279) Finance costs 2,081 1,733 1,521 Interest income under the effective interest method (186) (92) (35) Finance income (186) (92) (35) Net finance costs 1,895 1,641 1,486 |
Associates and joint ventures (
Associates and joint ventures (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Associates And Joint Ventures [Abstract] | |
Schedule of Profit (Loss) of Associates and Joint Ventures Accounted for Using Equity Method | 2023 2022 2021 Total £m Group’s share £m Total £m Group's share £m Total £m Group's share £m Revenue 9,412 2,630 9,486 2,675 7,668 2,164 Profit from operations 2,596 783 1,971 622 1,911 567 Net finance income 15 4 21 4 13 2 Profit on ordinary activities before taxation 2,611 787 1,992 626 1,924 569 Taxation on ordinary activities (664) (194) (595) (176) (499) (147) Profit on ordinary activities after taxation 1,947 593 1,397 450 1,425 422 Non-controlling interests (28) (8) (27) (8) (22) (7) Post-tax results of associates and joint ventures 1,919 585 1,370 442 1,403 415 |
Summary of Group's Share of the Result of Associates and Joint Ventures | The Group’s share of the results of associates and joint ventures is shown in the table below. 2023 2022 2021 Group’s share £m Group’s share £m Group’s share £m Profit on ordinary activities after taxation – attributable to owners of the parent 585 442 415 Other comprehensive income: Items that may be reclassified to profit and loss (107) 6 (17) Items that will not be reclassified to profit and loss (5) 19 14 Total comprehensive income 473 467 412 |
Summary of Financial Information of the Group's Associates and Joint Ventures | Summarised financial information of the Group’s associates and joint ventures is shown below. 2023 ITC £m Others £m Total £m Revenue 6,805 2,607 9,412 Profit on ordinary activities before taxation 2,813 (202) 2,611 Post-tax results of associates and joint ventures 2,121 (202) 1,919 Other comprehensive income (368) (20) (388) Total comprehensive income 1,753 (222) 1,531 2022 ITC £m Others £m Total £m Revenue 7,126 2,360 9,486 Profit on ordinary activities before taxation 2,395 (403) 1,992 Post-tax results of associates and joint ventures 1,761 (391) 1,370 Other comprehensive income 56 32 88 Total comprehensive income 1,817 (359) 1,458 2021 ITC £m Others £m Total £m Revenue 5,312 2,356 7,668 Profit on ordinary activities before taxation 1,931 (7) 1,924 Post-tax results of associates and joint ventures 1,427 (24) 1,403 Other comprehensive income (11) — (11) Total comprehensive income 1,416 (24) 1,392 |
Taxation on ordinary activiti_2
Taxation on ordinary activities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Major components of tax expense (income) [abstract] | |
Summary of Taxation on Ordinary Activities | (a) Summary of taxation on ordinary activities 2023 £m 2022 £m 2021 £m UK corporation tax 32 (3) (25) Comprising: – current year tax expense 20 2 1 – adjustments in respect of prior periods 12 (5) (26) Overseas tax 2,779 2,721 2,401 Comprising: – current year tax expense 2,804 2,675 2,418 – adjustments in respect of prior periods (25) 46 (17) Total current tax 2,811 2,718 2,376 Deferred tax (5,683) (240) (187) Comprising: – deferred tax relating to origination and reversal of temporary differences (5,577) (174) (29) – deferred tax relating to changes in tax rates (106) (66) (158) (2,872) 2,478 2,189 |
Summary of Factors Affecting Taxation Charge | The taxation charge differs from the standard rate of corporation tax in the UK of 23.5 % for 2023 , 19.0 %for 2022 and 19.0 % 2021 . The major causes of this difference are listed below: 2023 2022 2021 £m % £m % £m % (Loss)/Profit before tax (17,061) 9,324 9,163 Less: share of post-tax results of associates and joint ventures (see note 9 ) (585) (442) (415) (17,646) 8,882 8,748 Tax at 23.5% ( 2022 : 19% and 2021 : 19% ) on the above (4,147) 23.5 1,688 19.0 1,662 19.0 Factors affecting the tax rate: Tax at standard rates other than UK corporation tax rate 619 (3.5) 397 4.5 319 3.6 Other national tax charges 310 (1.8) 244 2.7 184 2.1 Permanent differences 845 (4.8) 83 0.9 87 1.0 Overseas withholding taxes 179 (1.0) 156 1.8 189 2.2 Double taxation relief on UK profits (46) 0.3 (26) (0.3) (23) (0.3) (Utilised)/unutilised tax losses (15) 0.1 12 0.1 (10) (0.1) Adjustments in respect of prior periods (13) 0.1 41 0.5 (43) (0.5) Deferred tax relating to changes in tax rates (106) 0.6 (66) (0.7) (158) (1.8) Additional net deferred tax (credits)/charges (498) 2.8 (51) (0.6) (18) (0.2) (2,872) 16.3 2,478 27.9 2,189 25.0 |
Summary of Tax on Items Recognised Directly in Other Comprehensive Income | (f) Tax on items recognised directly in other comprehensive income 2023 £m 2022 £m 2021 £m Current tax (5) (6) (4) Deferred tax 12 (106) (110) (Charged)/credited to other comprehensive income 7 (112) (114) |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings per share [abstract] | |
Summary of Reconciliation of Earnings Used To Calculate Earnings Per Share | Earnings used in the basic, diluted and headline earnings per share calculation represent the profit attributable to the ordinary equity shareholders after deducting amounts representing the coupon on perpetual hybrid bonds on a pro-rata basis regardless of whether coupons have been deferred or paid in the period. Below is a reconciliation of the earnings used to calculate earnings per share: 2023 £m 2022 £m 2021 £m (Loss)/earnings attributable to owners of the parent (14,367) 6,666 6,801 Coupon on perpetual hybrid bonds (59) (60) (15) Tax on coupon on perpetual hybrid bonds 14 11 3 (Loss)/earnings (14,412) 6,617 6,789 |
Summary of Reconciliation from Basic to Diluted Earnings Per Share | Below is a reconciliation from basic to diluted earnings per share for 2022 and 2021: 2023 2022 2021 Loss £m Weighted average number of shares m Loss per share pence Earnings £m Weighted average number of shares m Earnings per share pence Earnings £m Weighted average number of shares m Earnings per share pence Basic (loss)/earnings per share (ordinary shares of 25 p each) (14,412) 2,229 (646.6) 6,617 2,256 293.3 6,789 2,287 296.9 Share options — — — — 11 (1.4) — 10 (1.3) Diluted (loss)/ earnings per share* (14,412) 2,229 (646.6) 6,617 2,267 291.9 6,789 2,297 295.6 Note: * In 2023, the Group reported a loss for the year. Following the requirements of IAS 33, the impact of share options would be antidilutive and is therefore excluded, for 2023, from the calculation of diluted earnings per share, calculated in accordance with IFRS, for that year. For remuneration purposes, and reflective of the Group's positive earnings on an adjusted basis, management have included the dilutive effect of share options in calculating adjusted diluted earnings per share. There were 8 million share options on a weighted average basis in 2023. |
Summary of Adjusted Earnings Per Share | Adjusted earnings per share calculation Earnings have been affected by a number of adjusting items, which are described in notes 3 to 10 . Adjusting items are significant items in the profit from operations, net finance costs, taxation and the Group’s share of the post-tax results of associates and joint ventures which individually or, if of a similar type, in aggregate, are relevant to an understanding of the Group’s underlying financial performance. The Group believes that these items are useful to users of the Group financial statements in helping them to understand the underlying business performance. To illustrate the impact of these items, an adjusted earnings per share calculation is shown below. Basic 2023 2022 2021 Notes (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Basic (loss)/earnings per share (14,412) (646.6) 6,617 293.3 6,789 296.9 Effect of amortisation and impairment of goodwill, trademarks and similar intangibles 4 27,816 1,247.9 285 12.6 363 15.9 Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles 10(e) (5,390) (241.8) (67) (3.0) (71) (3.1) Net effect of excise and VAT cases 5(a) , 6(j) , 6(k) (167) (7.5) (460) (20.4) 26 1.1 Tax on excise and VAT cases 10(e) 41 1.8 72 3.2 (3) (0.1) Effect of disposal of subsidiaries 6(f) 546 24.5 (6) (0.3) 358 15.7 Effect of Brazil other taxes 6(k) 47 2.1 — — — — Tax on Brazil other taxes 10(e) (16) (0.7) — — — — Effect of charges in respect of DOJ and OFAC investigations 6(h) 75 3.4 450 19.9 — — Effect of charges in respect of Nigerian FCCPC case 6(i) — — 79 3.5 — — Effect of planned disposal of subsidiaries 6(j) (195) (8.7) 612 27.2 — — Tax on planned disposal of subsidiaries 10(e) — — (10) (0.4) — — Effect of restructuring and integration costs 7 (2) (0.1) 771 34.2 150 6.5 Tax and non-controlling interests on restructuring and integration costs 10(d) (e) (3) (0.1) (116) (5.1) (39) (1.7) Other adjusting items 3 , 6(d) 96 4.3 154 6.8 19 0.8 Tax effect on other adjusting items 10(e) (22) (1.0) (37) (1.6) (5) (0.2) Effect of early repurchase of bonds 8(b) 29 1.3 — — — — Tax effect of early repurchase of bonds 10(e) (8) (0.4) — — — — Effect of interest on FII GLO settlement and other 8(b) 67 3.0 34 1.5 55 2.4 Tax effect of interest on FII GLO settlement and other 10(e) (18) (0.8) (6) (0.3) — — Effect of associates' adjusting items net of tax 9(a) (8) (0.4) 92 4.1 12 0.5 Deferred tax relating to changes in tax rates 10(d) (97) (4.4) (44) (2.0) (98) (4.3) Adjusting items in tax 10(d) 24 1.2 — — — — Adjusted earnings per share (basic) 8,403 377.0 8,420 373.2 7,556 330.4 Diluted 2023 2022 2021 Notes (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Diluted (loss)/earnings per share (14,412) (646.6) 6,617 291.9 6,789 295.6 Effect of amortisation and impairment of goodwill, trademarks and similar intangibles 4 27,816 1,247.9 285 12.6 363 15.8 Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles 10(e) (5,390) (241.8) (67) (3.0) (71) (3.1) Net effect of excise and VAT cases 5(a) , 6(j) , 6(k) (167) (7.5) (460) (20.3) 26 1.1 Tax on excise and VAT cases 10(e) 41 1.8 72 3.2 (3) (0.1) Effect of disposal of subsidiaries 6(f) 546 24.5 (6) (0.3) 358 15.6 Effect of Brazil other taxes 6(k) 47 2.1 — — — — Tax on Brazil other taxes 10(e) (16) (0.7) — — — — Effect of charges in respect of DOJ and OFAC investigations 6(h) 75 3.4 450 19.9 — — Effect of charges in respect of Nigerian FCCPC case 6(i) — — 79 3.5 — — Effect of planned disposal of subsidiaries 6(j) (195) (8.7) 612 26.8 — — Tax on planned disposal of subsidiaries 10(e) — — (10) (0.4) — — Effect of restructuring and integration costs 7 (2) (0.1) 771 34.0 150 6.6 Tax and non-controlling interests on restructuring and integration costs 10(d)(e) (3) (0.1) (116) (5.1) (39) (1.7) Other adjusting items 3,6(d) 96 4.3 154 6.8 19 0.8 Tax effect on other adjusting items 10(e) (22) (1.0) (37) (1.6) (5) (0.2) Effect of early repurchase of bonds 8(b) 29 1.3 — — — — Tax effect of early repurchase of bonds 10(e) (8) (0.4) — — — — Effect of interest on FII GLO settlement and other 8(b) 67 3.0 34 1.5 55 2.4 Tax effect of interest on FII GLO settlement and other 10(e) (18) (0.8) (6) (0.3) — — Effect of associates' adjusting items net of tax 9(a) (8) (0.4) 92 4.1 12 0.5 Deferred tax relating to changes in tax rates 10(d) (97) (4.4) (44) (1.9) (98) (4.3) Adjusting items in tax 10(d) 24 1.2 — — Impact of dilution* — (1.4) Adjusted diluted earnings per share 8,403 375.6 8,420 371.4 7,556 329.0 Note: * In 2023, the Group reported a loss for the year. Following the requirements of IAS 33, the impact of share options would be antidilutive and is therefore excluded, for 2023, from the calculation of diluted earnings per share, calculated in accordance with IFRS, for that year. For remuneration purposes, and reflective of the Group's positive earnings on an adjusted basis, management have included the dilutive effect of share options in calculating adjusted diluted earnings per share. |
Summary of Headline Earnings Per Share | Headline earnings per share as required by the JSE Limited The presentation of headline earnings per share, as an alternative measure of earnings per share, is mandated under the JSE Listing Requirements. It is calculated in accordance with Circular 1/2023 ‘Headline Earnings’, as issued by the South African Institute of Chartered Accountants. Basic 2023 2022 2021 (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Basic (loss)/earnings per share (14,412) (646.6) 6,617 293.3 6,789 296.9 Effect of impairment of intangibles, property, plant and equipment, associates and assets held-for-sale 27,800 1,247.2 429 19.0 138 6.0 Tax and non-controlling interests on intangibles, property, plant and equipment, associates and assets held-for-sale (5,430) (243.6) (77) (3.4) (42) (1.8) Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (125) (5.6) (21) (0.9) (10) (0.4) Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback 27 1.2 5 0.2 2 0.1 Effect of impairment of subsidiaries transferred to held-for- sale and associated costs (203) (9.1) 548 24.2 83 3.6 Tax on impairment of subsidiaries and associated costs — — (10) (0.4) — — Effect of foreign exchange reclassification from reserves to the income statement - Subsidiaries 552 24.8 6 0.3 291 12.7 - Associates — — (1) — (2) (0.1) Issue of shares and change in shareholding of an associate (40) (1.8) 3 0.1 (6) (0.3) Headline earnings per share (basic) 8,169 366.5 7,499 332.4 7,243 316.7 Diluted 2023 2022 2021 (Loss)/ earnings £m (Loss)/ earnings per share pence Earnings £m Earnings per share pence Earnings £m Earnings per share pence Diluted earnings per share (14,412) (646.6) 6,617 291.9 6,789 295.6 Effect of impairment of intangibles, property, plant and equipment, associates and assets held-for-sale 27,800 1,247.2 429 18.9 138 6.0 Tax and non-controlling interests on intangibles, property, plant and equipment, associates and assets held-for-sale (5,430) (243.6) (77) (3.4) (42) (1.8) Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (125) (5.6) (21) (0.9) (10) (0.4) Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback 27 1.2 5 0.2 2 0.1 Effect of impairment of subsidiaries transferred to held-for- sale and associated costs (203) (9.1) 548 24.1 83 3.6 Tax on impairment of subsidiaries and associated costs — — (10) (0.4) — — Effect of foreign exchange reclassification from reserves to the income statement - Subsidiaries 552 24.8 6 0.3 291 12.6 - Associates — — (1) — (2) (0.1) Issue of shares and change in shareholding of an associate (40) (1.8) 3 0.1 (6) (0.3) Headline earnings per share (diluted) 8,169 366.5 7,499 330.8 7,243 315.3 |
Intangible assets (revised) (Ta
Intangible assets (revised) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about intangible assets [abstract] | |
Schedule of Movement in Intangible Assets | 2023 Trademarks and similar intangibles £m Goodwill 2 £m Computer software £m Assets in the course of development £m Total 2 £m 1 January Cost 83,454 48,488 1,379 153 133,474 Accumulated amortisation and impairment (2,851) (532) (1,005) (11) (4,399) Net book value at 1 January 80,603 47,956 374 142 129,075 Differences on exchange (3,431) (2,251) (4) 1 (5,685) Additions – internal development — — — 75 75 – separately acquired 59 — — 3 62 Reallocations 2 — 115 (111) 6 Amortisation charge (237) — (120) — (357) Impairment (22,995) (4,614) (5) — (27,614) 31 December Cost 78,848 46,021 1,408 110 126,387 Accumulated amortisation and impairment (24,847) (4,930) (1,048) — (30,825) Net book value at 31 December 54,001 41,091 360 110 95,562 2022 Trademarks and similar intangibles £m Goodwill 2 £m Computer software £m Assets in the course of development £m Total 2 £m 1 January Cost 74,227 43,715 1,266 156 119,364 Accumulated amortisation and impairment (2,360) (521) (858) — (3,739) Net book value at 1 January 71,867 43,194 408 156 115,625 Differences on exchange 9,033 4,762 5 2 13,802 Additions – internal development — — — 37 37 – separately acquired — — — 85 85 Reallocations 29 — 96 (125) — Amortisation charge (309) — (128) — (437) Impairment (10) — (3) (11) (24) Disposals (7) — — — (7) Held for sale — — (4) (2) (6) 31 December Cost 83,454 48,488 1,379 153 133,474 Accumulated amortisation and impairment (2,851) (532) (1,005) (11) (4,399) Net book value at 31 December 80,603 47,956 374 142 129,075 Notes: 1. Effective from 2023, the Group revised its regional structure from four regions to three , with the comparator data provided on this revised basis. 2. The table above has been re-presented for both the current and the comparative period to give a more meaningful disclosure of the Group's accumulated impairment of goodwill, which was previously The following is a summary table showing the movement of the Reynolds American goodwill and other intangible and similar assets in the U.S. during 2023 2023 Opening balance £m Differences on exchange £m Impairment £m Closing balance £m Reynolds American goodwill 37,181 (1,944) (4,299) 30,938 Newport 33,236 (1,339) (11,144) 20,753 Camel 14,058 (517) (5,719) 7,822 Pall Mall 6,252 (187) (3,457) 2,608 Natural American Spirit 13,019 (642) (1,938) 10,439 Grizzly 10,308 (554) (545) 9,209 Camel snus 1,355 (67) (189) 1,099 |
Schedule of Cash Generating Unit | For the purpose of impairment testing, goodwill has been attributed to the following cash-generating units: 2023 2022 Carrying amount £m Pre-tax discount rate % Carrying amount £m Pre-tax discount rate % Cash-generating unit Reynolds American 30,938 9.6 37,181 8.8 Europe 5,596 6.6 5,670 7.5 Canada 2,386 20.3 2,460 19.4 Australia 717 7.3 755 8.2 South Africa 189 14.3 541 10.4 Singapore 382 7.4 398 7.9 GTR 253 7.6 264 7.6 Malaysia 217 10.2 240 11.4 Peru 73 12.4 103 7.5 Other 340 6.7 344 8.0 Total 41,091 47,956 |
Schedule of impairment of intangible assets with indefinite useful life | 2023 2022 Carrying amount £m Volume 5 Year CAGR** Pre-tax discount rate* % Carrying amount £m Volume 5 Year CAGR Pre-tax discount rate % Indefinite-lived intangibles Newport 20,753 (11.3) % 8.7 33,236 (6.7) % 9.2 Camel 7,822 (12.3) % 8.9 14,058 (6.4) % 8.9 Pall Mall 2,608 (18.8) % 9.4 6,252 (13.0) % 8.6 Natural American Spirit 10,439 (7.6) % 7.9 13,019 (2.5) % 8.6 Camel Snus 1,099 (5.4) % 7.8 1,355 (5.3) % 8.6 Grizzly 9,209 (3.9) % 7.8 10,308 (3.7) % 8.6 Total 51,930 78,228 Notes: * For the purpose of current year impairment assessment, the value-in-use calculations for the combustibles brands have been prepared based on a five -year risk adjusted cash flow forecast, supplemented by a forecast on a discrete period basis reflecting the revised useful economic life effective 1 January 2024 for the combustibles brands to support the long term growth rates. Following these updates, the Group has revisited the methodology by which the Tax Amortisation Benefit (TAB) included in the brand valuation is treated when determining the pre-tax discount rates. In the previous years, the Group had considered the pre-TAB value-in-use to derive the pre-tax discount rate, however, under the revised approach, the Group has considered the post-TAB value-in-use in deriving the pre-tax discount rates for disclosure purposes. If the revised methodology is applied to the year 2022, the pre-tax discount rate will result in 7.9% for Newport, 7.6% for Camel and 7.4% for Pall Mall, Natural American Spirit, Camel Snus and Grizzly. The revision of the pre-tax discount rates does not result in any change in the impairment assessment or the headroom calculated for each of the intangible assets in the year 2022. There are no other financial impacts on the financial statements for year-end 2022 as a result of this revision in methodology in the application of the TAB factor for deriving pre-tax discount rate for disclosure purposes. Valuations derived from applying post-tax discount rates to post-tax cash flows are aligned to those that would arise from applying pre-tax discount rates to pre-tax cash flows. ** Five year CAGR is calculated by reference to the first five years annual volumes in the value-in-use model against the 2023 baseline. |
Schedule of Impairment Charge From Possible Change in Assumptions | The below table indicates the additional amount of impairment that would be required if the following individual changes were made to the key assumptions used in the impairment model: Newport £m Camel £m Pall Mall £m Natural American Spirit £m Grizzly £m Camel Snus £m Assumptions Volume decline by additional 1% year on year * (1,135) (427) (142) (572) (559) (68) Decrease in long-term growth rate by 50bps (560) (163) (32) (467) (593) (70) Increase in pre-tax discount rate by 75bps (1,105) (354) (86) (804) (945) (112) Note: * Volume sensitivity results in a proportional reduction in both net revenue and direct costs with no impact to operating margin %. Fixed overhead cost allocations remain flat. This demonstrates a year-on-year decrease in operating cash flow for the discrete forecast years. The table below indicates the additional amount of impairment that would be required if the following individual changes were made to key assumptions within the value-in-use model and it has been translated using the exchange rate prevailing on the date of the impairment assessment of £1 : US $1.213 as the underlying cash flows and net assets are US$ denominated: Reynolds American goodwill impairment charge for 2023 (£m) Assumptions Change in key assumption Possible additional impairment (£m) 4,299 Pre-tax discount rate Increase of 0.67% (6,169) Long-term growth rates Decrease of 0.50% (4,962) Note: * The sensitivity to increase the pre-tax discount rate for the Reynolds American goodwill has been considered in isolation without any uplift to the brands discount rate (impact of which is shown in the sensitivity table above). In the event of an increase to the brand's discount rate, any additional impairment to the Reynolds American goodwill will reduce by the respective amount due to the resulting reduction to its net assets. Canada goodwill % Assumptions Decrease in revenue by * 17.4 Increase in pre-tax discount rate by 8.5 Note: * Revenue sensitivities are performed in isolation and do not include the removal of the corresponding variable cost of sales. This demonstrates a decrease in revenue in each of the forecast years. The table below shows the headroom and the impairment charge that would be recognised if the assumptions used in the value-in-use calculation were changed: Carrying amount of CGU £m Increase in discount rate* £m Decrease in cash flows* £m Decrease in terminal value* £m Change in headroom/impairment charge Cash-generating unit South Africa 189 (28) (38) (19) Peru 73 (11) (11) (8) Note: * Sensitivities applied to key assumptions are a 100 bps increase in the pre-tax discount rate, a 10% decrease in forecast cash flows reflecting a loss in volumes arising from difficult trading conditions and a 100 |
Schedule of Income Statement of Subsidiary | Below is the summary of ITCAN's income statement: 2023 £m 2022 £m Revenue 1,003 1,055 Profit from operations 600 589 Profit after tax 517 478 |
Property, plant and equipment (
Property, plant and equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Schedule of Property, Plant and Equipment | (a) Overview of property, plant and equipment, including right-of-use assets 2023 Freehold property £m Leasehold property £m Plant, equipment and other owned £m Plant, equipment and other leased £m Assets in the course of construction £m Total £m 1 January Cost 1,475 940 5,962 362 767 9,506 Accumulated depreciation and impairment (473) (474) (3,507) (185) (4,639) Net book value at 1 January 1,002 466 2,455 177 767 4,867 Differences on exchange (41) (25) (135) (8) (43) (252) Additions – right-of-use assets — 112 — 84 — 196 – separately acquired — — 20 — 460 480 Reallocations 69 24 431 — (524) — Depreciation (34) (102) (293) (77) — (506) Impairment — (5) (131) (9) (6) (151) Right-of-use assets − reassessments, modifications and terminations — (15) — (13) — (28) Disposals (1) (3) (5) — — (9) Net reclassifications as held-for-sale (14) — — — — (14) 31 December Cost 1,418 895 5,702 375 654 9,044 Accumulated depreciation and impairment (437) (443) (3,360) (221) (4,461) Net book value at 31 December 981 452 2,342 154 654 4,583 2022 Freehold property £m Leasehold property £m Plant, equipment and other owned £m Plant, equipment and other leased £m Assets in the course of construction £m Total £m 1 January Cost 1,421 847 5,750 247 706 8,971 Accumulated depreciation and impairment (388) (370) (3,130) (130) (4,018) Net book value at 1 January 1,033 477 2,620 117 706 4,953 Differences on exchange 68 30 164 9 48 319 Additions – right-of-use assets — 117 — 117 — 234 – separately acquired — — 32 — 471 503 Reallocations 44 21 374 2 (441) — Depreciation (36) (112) (323) (68) — (539) Impairment (62) (39) (210) (4) (4) (319) Right-of-use assets − reassessments, modifications and terminations — (16) — 4 — (12) Disposals (4) (2) (15) — 3 (18) Net reclassifications as held-for-sale (41) (10) (187) — (16) (254) 31 December Cost 1,475 940 5,962 362 767 9,506 Accumulated depreciation and impairment (473) (474) (3,507) (185) (4,639) Net book value at 31 December 1,002 466 2,455 177 767 4,867 |
Schedule of Leasehold Land and Property Comprises | 2023 £m 2022 £m Leasehold land and property comprises - net book value of long leasehold 18 15 - net book value of short leasehold 434 451 452 466 |
Schedule of Leasehold Property Net Book Value Movements | 2023 Leasehold property net book value movements for the year ended 31 December 2023 Net book value at 1 January £m Differences on exchange £m Depreciation and impairment £m Other net movements * £m Net book value at 31 December £m - Property acquired (IAS 16) 152 (10) (12) 17 147 - Right-of-use properties (IFRS 16) 314 (15) (95) 101 305 466 (25) (107) 118 452 2022 Leasehold property net book value movements for the year ended 31 December 2022 Net book value at 1 January £m Differences on exchange £m Depreciation and impairment £m Other net movements* £m Net book value at 31 December £m - Property acquired (IAS 16) 165 11 (41) 17 152 - Right-of-use properties (IFRS 16) 312 19 (110) 93 314 477 30 (151) 110 466 Note: * Property acquired (IAS 16 Property, plant and equipment ) other net movements for leasehold improvements represent additions (directly acquired and/or transferred from assets in the course of construction) net of disposals, whereas other net movements for right-of-use properties (IFRS 16) relate to new leases net of reassessments, modifications and terminations |
Schedule of Cost of Freehold Land | 2023 £m 2022 £m Cost of freehold land within freehold property on which no depreciation is provided 238 246 |
Investments in associates and_2
Investments in associates and joint ventures (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments in subsidiaries, joint ventures and associates reported in separate financial statements [abstract] | |
Summary of Investments In Associates And Joint Ventures | 2023 £m 2022 £m 1 January 2,020 1,948 Total comprehensive income (note 9 ) 473 467 Dividends (559) (438) Additions (note 27(c) ) 13 39 Other equity movements 23 4 31 December 1,970 2,020 Non-current assets 1,331 1,400 Current assets 1,168 1,138 Non-current liabilities (78) (75) Current liabilities (451) (443) 1,970 2,020 ITC Ltd. (Group’s share of the market value is £ 15,767 million ( 2022 : £ 12,059 million)) 1,851 1,865 Other listed associates (Group’s share of the market value is £ 175 million ( 2022 : £ 206 million)) 64 106 Unlisted associates 55 49 1,970 2,020 |
Summary of Latest Published Information | The latest published information available is at 31 December 2023 . 2023 £m 2022 £m Non-current assets 4,261 4,402 Current assets 3,622 3,465 Non-current liabilities (240) (233) Current liabilities (1,267) (1,244) 6,376 6,390 Group’s share of ITC Ltd. ( 2023 : 29.02 %; 2022 : 29.19 %) 1,851 1,865 |
Retirement Benefit Schemes (Tab
Retirement Benefit Schemes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of defined benefit plans [abstract] | |
Schedule of Defined Benefit Amounts Recognised in Balance Sheets | The amounts recognised in the balance sheet are determined as follows: Pension schemes Healthcare schemes Total 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Present value of funded scheme liabilities (6,267) (6,310) (150) (205) (6,417) (6,515) Fair value of funded scheme assets 7,172 7,271 145 153 7,317 7,424 905 961 (5) (52) 900 909 Unrecognised funded scheme surpluses (40) (61) — — (40) (61) 865 900 (5) (52) 860 848 Present value of unfunded scheme liabilities (380) (387) (405) (410) (785) (797) 485 513 (410) (462) 75 51 The above net asset/(liability) is recognised in the balance sheet as follows: – retirement benefit scheme liabilities (467) (483) (414) (466) (881) (949) – retirement benefit scheme assets 952 996 4 4 956 1,000 485 513 (410) (462) 75 51 The net assets of funded pension schemes by territory are as follows: Liabilities Assets Total 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m – U.S. (1,439) (1,552) 1,890 2,046 451 494 – UK (2,132) (2,114) 2,315 2,256 183 142 – Germany (741) (711) 863 861 122 150 – Canada (556) (574) 594 613 38 39 – Netherlands (736) (693) 780 739 44 46 – Switzerland (273) (279) 295 308 22 29 – Rest of Group (390) (387) 435 448 45 61 Funded schemes (6,267) (6,310) 7,172 7,271 905 961 The movements in scheme liabilities are as follows: Pension schemes Healthcare schemes Total 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Present value at 1 January 6,697 10,414 615 707 7,312 11,121 Differences on exchange (153) 567 (34) 78 (187) 645 Current service cost 36 50 1 1 37 51 Past service (credit)/cost and settlements (67) (1,308) 1 1 (66) (1,307) Interest on scheme liabilities 315 224 32 23 347 247 Contributions by scheme members 2 3 — — 2 3 Benefits paid (484) (586) (52) (59) (536) (645) Actuarial (gains)/losses – arising from changes in demographic assumptions (28) (18) — — (28) (18) – arising from changes in financial assumptions 268 (2,775) 9 (145) 277 (2,920) Experience losses/(gains) 61 126 (17) 9 44 135 Present value at 31 December 6,647 6,697 555 615 7,202 7,312 Scheme liabilities by scheme membership: Pension schemes Healthcare schemes Total 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Active members 656 756 23 31 679 787 Deferred members 1,025 1,055 1 1 1,026 1,056 Retired members 4,966 4,886 531 583 5,497 5,469 Present value at 31 December 6,647 6,697 555 615 7,202 7,312 Pension schemes Healthcare schemes Total 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Fair value of scheme assets at 1 January 7,271 10,644 153 172 7,424 10,816 Differences on exchange (182) 606 (10) 21 (192) 627 Settlements (60) (1,294) — — (60) (1,294) Interest on scheme assets 345 240 9 6 354 246 Company contributions 64 74 — — 64 74 Contributions by scheme members 2 3 — — 2 3 Benefits paid (448) (546) (14) (15) (462) (561) Actuarial gains/(losses) 180 (2,456) 7 (31) 187 (2,487) Fair value of scheme assets at 31 December 7,172 7,271 145 153 7,317 7,424 Pension schemes Healthcare schemes Total 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Equities ‒ listed 629 623 5 5 634 628 Equities ‒ unlisted 675 756 49 50 724 806 Bonds ‒ listed 1,139 1,167 17 18 1,156 1,185 Bonds ‒ unlisted 803 768 58 64 861 832 Buy-in insurance policies 2,585 2,453 — — 2,585 2,453 Other assets ‒ listed 556 473 8 7 564 480 Other assets ‒ unlisted 785 1,031 8 9 793 1,040 Fair value of scheme assets at 31 December 7,172 7,271 145 153 7,317 7,424 |
Schedule of Defined Benefit Amounts Recognised in Income Statement | The amounts recognised in the income statement are as follows: Pension schemes Healthcare schemes Total 2023 £m 2022 £m 2023 £m 2022 £m 2023 £m 2022 £m Defined benefit schemes Service cost – current service cost 36 50 1 1 37 51 – past service (credit)/cost, curtailments and settlements (7) (14) 1 1 (6) (13) Net interest on the net defined benefit liability – interest on scheme liabilities 315 224 32 23 347 247 – interest on scheme assets (345) (240) (9) (6) (354) (246) – interest on unrecognised funded scheme surpluses 4 1 — — 4 1 3 21 25 19 28 40 Defined contribution schemes 80 93 — — 80 93 Total amount recognised in the income statement (note 3 ) 83 114 25 19 108 133 |
Disclosure - Retirement Benefit Schemes - Summary of Movements in the Unrecognised Scheme Surpluses Recognised in Other Comprehensive Income | The movements in the unrecognised scheme surpluses, recognised in other comprehensive income, are as follows: Pension schemes Healthcare schemes Total 2023 £m 2022 £m 2021 £m 2023 £m 2022 £m 2021 £m 2023 £m 2022 £m 2021 £m Unrecognised funded scheme surpluses at 1 January (60) (16) (16) — — — (60) (16) (16) Differences on exchange — (4) 2 — — — — (4) 2 Interest on unrecognised funded scheme surpluses (4) (1) (1) — — — (4) (1) (1) Movement in year (note 22 ) 24 (39) (1) — — — 24 (39) (1) Unrecognised funded scheme surpluses at 31 December (40) (60) (16) — — — (40) (60) (16) |
Disclosure - Retirement Benefit Schemes - Summary of Actuarial Assumptions Rate for Valuations Plans | The principal actuarial assumptions (weighted to reflect individual scheme differences) used in the following territories are shown below. In both years, discount rates are determined by reference to normal yields on high quality corporate bonds at the balance sheet date. 2023 2022 U.S. UK Germany Canada Netherlands Switzerland U.S. UK Germany Canada Netherlands Switzerland Rate of increase in salaries (%) 3.3 Nil 2.5 2.5 1.4 2.0 3.3 Nil 2.5 2.5 1.4 1.5 Rate of increase in pensions in payment (%) 2.4 3.1 2.3 Nil 2.5 Nil 2.4 3.2 2.3 Nil 2.2 Nil Rate of increase in deferred pensions (%) 0.1 2.5 2.3 Nil 2.5 — 0.1 2.8 2.3 Nil 2.2 — Discount rate (%) 5.2 4.8 3.5 4.6 3.3 1.4 5.5 5.0 4.2 5.0 3.7 2.1 General inflation (%) 2.5 3.1 2.5 2.0 2.0 1.4 2.5 3.2 2.3 2.0 2.0 1.2 2023 2022 U.S. UK Germany Canada Netherlands Switzerland U.S. UK Germany Canada Netherlands Switzerland Weighted average duration of liabilities (years) 10.2 12.2 10.6 9.0 15.0 10.8 10.7 12.4 10.9 9.0 14.4 10.2 For healthcare inflation in the U.S., the assumption is 7.5 % for 2023 ( 2022 : 7.5 %) and in Canada, the assumption is 5.0 % for both years. Mortality assumptions are subject to regular review. The principal schemes used the following tables: U.S. Pri-2012 mortality tables without collar or amount adjustments projected with MP-2021 generational projection except for a specific group of retired members for which the mortality assumption is 99.5% of the RP-2006 table with white collar adjustment, projected with MP-2021 generational projection (both years) UK S3NA (YOB) with the CMI (2022) improvement model (smoothing parameter of 7) and 25% weighting to the 2022 data with a 1.25% long-term improvement rate applied from 2020 onwards ( 2022 : S3PA (YOB) with the CMI (2021) improvement model with a 1.25% long-term improvement rate) Germany RT Heubeck 2018 G (both years) Canada CPM-2014 Private Table (both years) Netherlands AG Prognosetafel 2022 (both years) Switzerland LPP/BVG 2020 base table with CMI projection factors for mortality improvements with a 1.5% long-term improvement rate (both years) Based on the above, the weighted average life expectancy, in years, for mortality tables used to determine benefit obligations is as follows: U.S. UK Germany Canada Netherlands Switzerland Male Female Male Female Male Female Male Female Male Female Male Female 31 December 2023 Member age 65 (current life expectancy) 22.1 23.6 22.6 24.1 20.6 24.0 22.1 24.4 21.0 24.4 22.0 23.8 Member age 45 (life expectancy at age 65) 22.2 24.1 24.1 26.1 23.0 26.8 23.1 25.4 23.2 26.3 24.0 25.7 31 December 2022 Member age 65 (current life expectancy) 22.1 23.6 22.9 24.2 20.6 24.0 22.0 24.4 21.0 24.4 22.0 23.7 Member age 45 (life expectancy at age 65) 22.2 24.1 24.5 26.0 23.4 26.3 23.0 25.3 23.2 26.3 23.9 25.6 For the remaining territories, typical assumptions are that real salary increases will be from 0% to 11.7% ( 2022 : 0% to 8.0% ) per annum and discount rates will be from 0% to 7.0% ( 2022 : 0% to 7.5% ) above inflation. Pension increases, where allowed for, are generally assumed to be in line with inflation. Assumptions of life expectancy are in line with best practice in each territory. For countries where there is not a deep market in such corporate bonds, the yield on government bonds is used. The valuation of retirement benefit schemes involves judgements about uncertain future events. Sensitivities in respect of the key assumptions used to measure the principal pension schemes as at 31 December 2023 are set out below. These sensitivities show the hypothetical impact of a change in each of the listed assumptions in isolation, with the exception of the sensitivity to inflation which incorporates the impact of certain correlating assumptions such as salary increases and pension increases. While each of these sensitivities holds all other assumptions constant, in practice such assumptions rarely change in isolation, while asset values also change, and the impacts may offset to some extent. 1 year increase £m 1 year decrease £m percentage increase £m percentage decrease £m Average life expectancy – increase/(decrease) of scheme liabilities 184 (185) Rate of inflation (+/- 25bps ) – increase/(decrease) of scheme liabilities 95 (96) Discount rate (+/- 50bps ) – (decrease)/increase of scheme liabilities (308) 336 |
Deferred tax (Tables)
Deferred tax (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [abstract] | |
Summary of Reconciliation of Net Deferred Tax Assets/(Liabilities) | Net deferred tax (liabilities)/assets comprise: Stock relief £m Excess of capital allowances over depreciation £m Tax losses £m Undistributed earnings of associates and subsidiaries £m Retirement benefits £m Trademarks £m Other temporary differences £m Total £m 1 January 2023 30 (115) 210 (229) 38 (18,773) 1,093 (17,746) Differences on exchange 2 26 1 12 1 798 (78) 762 (Charged)/credited to the income statement (1) 72 153 (4) (35) 5,384 8 5,577 Credited/(charged) relating to changes in tax rates — — 9 — — 105 (8) 106 Credited/(charged) to other comprehensive income — — — — 35 — (23) 12 Net reclassifications as held-for-sale 1 (4) — — — — 11 8 31 December 2023 32 (21) 373 (221) 39 (12,486) 1,003 (11,281) 1 January 2022 (4) (151) 94 (221) 139 (16,779) 1,071 (15,851) Differences on exchange (8) (20) 5 (8) 7 (2,109) 126 (2,007) Credited/(charged) to the income statement 46 50 77 — (18) 70 (51) 174 (Charged)/credited relating to changes in tax rates — (3) 34 — (1) 45 (9) 66 Charged to other comprehensive income — — — — (89) — (17) (106) Net reclassifications as held-for-sale (4) 9 — — — — (27) (22) 31 December 2022 30 (115) 210 (229) 38 (18,773) 1,093 (17,746) |
Trade and other receivables (Ta
Trade and other receivables (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Trade and other receivables [abstract] | |
Summary of trade and other receivables | 2023 £m 2022 £m Trade receivables 2,887 2,609 Loans and other receivables 663 1,568 Prepayments and accrued income 392 431 3,942 4,608 Current 3,621 4,367 Non-current 321 241 3,942 4,608 |
Summary of trade and other receivables reported in balance sheet net of allowances | Trade and other receivables have been reported in the balance sheet net of allowances as follows: 2023 £m 2022 £m Trade receivables – gross 2,957 2,660 Trade receivables – allowance (70) (51) Loans and other receivables – gross 691 1,568 Loans and other receivables – allowance (28) — Prepayments and accrued income 392 431 Net trade and other receivables per balance sheet 3,942 4,608 |
Summary of movements in allowance account | The movements in the allowance account are as follows: 2023 2022 Trade receivables £m Loans and other receivables £m Total £m Trade receivables £m Loans and other receivables £m Total £m 1 January 51 — 51 37 — 37 Differences on exchange 2 — 2 2 — 2 Provided in the year 33 28 61 28 — 28 Released (16) — (16) (16) — (16) 31 December 70 28 98 51 — 51 |
Investments held at fair value
Investments held at fair value (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Investments Held At Fair Value [Abstract] | |
Investments Held at Fair Value | 2023 2022 Fair value through P&L £m Fair value through OCI £m Total £m Fair value through P&L £m Fair value through OCI £m Total £m 1 January 640 60 700 469 37 506 Difference on exchange (52) (1) (53) 18 1 19 Additions 405 11 416 209 19 228 Disposals (372) — (372) (93) (3) (96) Provisions 4 — 4 17 — 17 Reclassifications (3) 3 — — — — Other fair value movements 30 (6) 24 20 6 26 31 December 652 67 719 640 60 700 Current 601 — 601 579 — 579 Non-current 51 67 118 61 60 121 652 67 719 640 60 700 |
Schedule of Reconciliation of Fair Value Investments Cash Flows to Cash Flow Statements | Below is a reconciliation of the fair value investments cash flows to the cash flow statement – investing activities: 2023 £m 2022 £m Cash outflow from investments held at fair value 416 228 Cash outflow from loans and other receivables 32 29 Cash outflows from investments per cash flow statement 448 257 Cash inflow from investments held at fair value (372) (96) Cash inflow from loans and other receivables (33) (32) Cash inflows from investments per cash flow statement (405) (128) |
Derivative financial instrume_2
Derivative financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Derivative Financial Instruments [Abstract] | |
Summary of derivatives | 2023 2022 Assets £m Liabilities £m Assets £m Liabilities £m Fair value hedges – interest rate swaps 10 187 27 435 – cross-currency swaps 18 — 126 — Cash flow hedges – interest rate swaps — — 5 — – cross-currency swaps 97 13 127 121 – forward foreign currency contracts 48 55 70 71 Net investment hedges – forward foreign currency contracts 81 9 45 247 Held-for-trading * – interest rate swaps — — 12 14 – forward foreign currency contracts 36 131 149 41 Total 290 395 561 929 Current 181 189 430 427 Non-current 109 206 131 502 290 395 561 929 Derivatives – in respect of net debt ** 147 317 438 605 – other 143 78 123 324 290 395 561 929 Notes: * Derivatives which do not meet the tests for hedge accounting under IFRS 9 or which are not designated as hedging instruments are referred to as ‘held-for-trading’. These derivatives principally consist of interest rate swaps and forward foreign currency contracts which have not been designated as hedges due to their value changes offsetting with other components of net finance costs relating to financial assets and financial liabilities. The Group does not use derivatives for speculative purposes. All derivatives are undertaken for risk management purposes. ** Derivatives in respect of net debt are in a net liability position of £ 170 million as at 31 December 2023 ( 2022 : net asset position of £ 167 million). The Group’s net debt is presented in note 23 . |
Summary of maturity dates of derivative financial instruments | The maturity dates of all gross-settled derivative financial instruments are as follows: 2023 2022 Assets Liabilities Assets Liabilities Inflow £m Outflow £m Inflow £m Outflow £m Inflow £m Outflow £m Inflow £m Outflow £m Within one year – forward foreign currency contracts 8,163 (8,006) 10,354 (10,549) 12,506 (12,249) 8,691 (9,049) – interest rate swaps — — 124 (256) 132 (144) 152 (310) – cross-currency swaps 34 (42) 6 (10) 731 (608) 689 (767) Between one and two years – forward foreign currency contracts 171 (168) 182 (186) 199 (193) 243 (247) – interest rate swaps — — 77 (151) — — 152 (283) – cross-currency swaps 34 (35) 306 (316) 9 (15) 10 (17) Between two and three years – interest rate swaps — — 77 (124) — — 103 (192) – cross-currency swaps 34 (33) — — 9 (15) 460 (502) Between three and four years – interest rate swaps — — 39 (31) — — 104 (169) – cross-currency swaps 618 (488) — — 9 (15) — — Between four and five years – interest rate swaps — — — — — — 52 (43) – cross-currency swaps 26 (21) — — 756 (579) — — Beyond five years – cross-currency swaps 458 (453) — — — — — — 9,538 (9,246) 11,165 (11,623) 14,351 (13,818) 10,656 (11,579) |
Summary of items designated as hedging instruments | The items designated as hedging instruments are as follows: 2023 2022 Nominal amount of hedging instrument £m Changes in fair value used for calculating hedge ineffectiveness £m Nominal amount of hedging instrument £m Changes in fair value used for calculating hedge ineffectiveness £m Interest rate risk exposure: Fair value hedges – interest rate swaps 2,798 79 4,657 (417) – cross-currency swaps 451 13 710 11 Cash flow hedges – interest rate swaps — — 1,247 (5) – cross-currency swaps 859 (26) 1,825 60 Foreign currency risk exposure: Cash flow hedges – forward foreign currency contracts 2,807 (6) 3,695 (2) Net investment hedges (derivative related) – forward foreign currency contracts 4,329 69 6,407 (208) Net investment hedges (non-derivative related) – debt (carrying value) in borrowings designated as net investment hedges of net assets 380 9 389 21 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Classes of current inventories [abstract] | |
Summary of Inventories | 2023 £m 2022 £m Raw materials and consumables 2,198 2,370 Finished goods and work in progress 2,584 3,159 Goods purchased for resale 156 142 4,938 5,671 |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Cash and cash equivalents [abstract] | |
Schedule Representing Cash and Cash Equivalents | 2023 £m 2022 £m Cash and bank balances 3,247 3,116 Cash equivalents 1,412 330 4,659 3,446 |
Summary of Cash and Cash Equivalents Denominated in the Functional Currency of the Subsidiary Undertaking or Other Currencies | Cash and cash equivalents are denominated in the functional currency of the subsidiary undertaking or other currencies as shown below: 2023 £m 2022 £m Functional currency 4,147 2,979 US dollar 373 207 Euro 81 129 Other currencies 58 131 4,659 3,446 |
Summary of Net Cash and Cash Equivalents Shown After Deducting Bank Overdrafts and Accrued Interest | In the Group cash flow statement, net cash and cash equivalents are shown after deducting bank overdrafts and accrued interest where applicable, as follows: 2023 £m 2022 £m Cash and cash equivalents as above 4,659 3,446 Less overdrafts and accrued interest (142) (109) Net cash and cash equivalents 4,517 3,337 |
Capital and reserves (Tables)
Capital and reserves (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Capital And Reserve Reconciliation Of Movement In Equity [Abstract] | |
Summary of Capital and Reserves - Reconciliation of Movement in Total Equity | (a) Share capital Ordinary shares of 25 p each Number of shares £m Allotted and fully paid 1 January 2023 2,456,867,420 614.21 Changes during the year – share option schemes 74,489 0.02 31 December 2023 2,456,941,909 614.23 Allotted and fully paid 1 January 2022 2,456,617,788 614.15 Changes during the year – share option schemes 249,632 0.06 31 December 2022 2,456,867,420 614.21 Allotted and fully paid 1 January 2021 2,456,591,597 614.14 Changes during the year – share option schemes 26,191 0.01 31 December 2021 2,456,617,788 614.15 |
Summary of Composition of Share Premium Account, Capital Redemption Reserves and Merger Reserves | (b) Share premium account, capital redemption reserves and merger reserves comprise: Share premium account £m Capital redemption reserves £m Merger reserves £m Total £m 31 December 2023 115 101 26,414 26,630 31 December 2022 113 101 26,414 26,628 31 December 2021 107 101 26,414 26,622 |
Summary of Movements in Other Reserves and Retained Earnings | (c) Equity attributed to owners of the parent − movements in other reserves and retained earnings (which are after deducting treasury shares) comprise: Retained earnings Translation reserve (i) £m Hedging reserve (ii) £m Fair value reserve (iii) £m Revaluation reserve (iv) £m Other (v) £m Total other reserves £m Treasury shares (vi) £m Other £m 1 January 2023 2,200 (327) 30 179 573 2,655 (7,116) 51,197 Comprehensive income and expense Loss for the year — — — — — — — (14,367) Foreign currency translation and hedges of net investments in foreign operations – differences on exchange from translation of foreign operations (4,007) — — — — (4,007) — — – reclassified and reported in profit for the year 552 — — — — 552 — — – net investment hedges − net fair value gains on derivatives 236 — — — — 236 — — – net investment hedges − differences on exchange on borrowings 9 — — — — 9 — — Cash flow hedges – net fair value gains — 59 — — — 59 — — – reclassified and reported in profit for the year — 12 — — — 12 — — – tax on net fair value gains in respect of cash flow hedges (note 10(f) ) — (23) — — — (23) — — Investments held at fair value – net fair value losses — — (6) — — (6) — — Associates − share of OCI, net of tax (note 9 ) (165) 58 — — — (107) — — Retirement benefit schemes – net actuarial losses (note 15 ) — — — — — — — (106) – surplus recognition (note 15 ) — — — — — — — 24 – tax on actuarial losses in respect of subsidiaries (note 10(f) ) — — — — — — — 30 Associates − share of OCI, net of tax (note 9 ) — — (6) — — (6) — 1 Other changes in equity Cash flow hedges reclassified and reported in total assets — 27 — — — 27 — — Employee share options – value of employee services — — — — — — — 71 – treasury shares used for share option schemes — — — — — — 14 (14) Dividends and other appropriations – ordinary shares — — — — — — — (5,071) Purchase of own shares – held in employee share ownership trusts — — — — — — (110) — Perpetual hybrid bonds – coupons paid — — — — — — — (58) – tax on coupons paid — — — — — — — 14 Reclassification of equity related to assets held-for- sale (295) — — — — (295) — — Other movements — — — — — — 116 (94) 31 December 2023 (1,470) (194) 18 179 573 (894) (7,096) 31,627 Retained earnings Translation reserve (i) £m Hedging reserve (ii) £m Fair value reserve (iii) £m Revaluation reserve (iv) £m Other (v) £m Total other reserves £m Treasury shares (vi) £m Other £m 1 January 2022 (6,427) (363) 6 179 573 (6,032) (5,122) 49,334 Comprehensive income and expense Profit for the year — — — — — — — 6,666 Foreign currency translation and hedges of net investments in foreign operations – differences on exchange from translation of foreign operations 8,920 — — — — 8,920 — — – reclassified and reported in profit for the year 5 — — — — 5 — — – net investment hedges – net fair value gains on derivatives (578) — — — — (578) — — – net investment hedges – differences on exchange on borrowings (21) — — — — (21) — — Cash flow hedges – net fair value gains — 81 — — — 81 — — – reclassified and reported in profit for the year — 101 — — — 101 — — – tax on net fair value gains in respect of cash flow hedges (note 10(f) ) — (17) — — — (17) — — Investments held at fair value – net fair value gains — — 6 — — 6 — — Associates – share of OCI, net of tax (note 9 ) 6 — — — — 6 — — Retirement benefit schemes – net actuarial gains (note 15 ) — — — — — — — 316 – surplus recognition (note 15 ) — — — — — — — (39) – tax on actuarial gains in respect of subsidiaries (note 10(f) ) — — — — — — — (95) Associates − share of OCI, net of tax (note 9 ) — — 18 — — 18 — 1 Other changes in equity Cash flow hedges reclassified and reported in total assets — (129) — — — (129) — — Employee share options – value of employee services — — — — — — — 81 – treasury shares used for share option schemes — — — — — — 14 (15) Dividends and other appropriations – ordinary shares — — — — — — — (4,915) Purchase of own shares – held in employee share ownership trusts — — — — — — (80) — – share buy-back programme — — — — — — (2,012) — Perpetual hybrid bonds – coupons paid — — — — — — — (59) – tax on coupons paid — — — — — — — 11 Non-controlling interests – acquisitions (note 27(b) ) — — — — — — — (1) Reclassification of equity in respect of assets classified as held-for-sale 295 — — — — 295 — — Other movements — — — — — — 84 (88) 31 December 2022 2,200 (327) 30 179 573 2,655 (7,116) 51,197 Retained earnings Translation reserve (i) £m Hedging reserve (ii) £m Fair value reserve (iii) £m Revaluation reserve (iv) £m Other (v) £m Total other reserves £m Treasury shares (vi) £m Other £m 1 January 2021 (6,830) (504) (18) 179 573 (6,600) (5,150) 47,191 Comprehensive income and expense Loss for the year — — — — — — — 6,801 Foreign currency translation and hedges of net investments in foreign operations – differences on exchange from translation of foreign operations 31 — — — — 31 — — – reclassified and reported in profit for the year 291 — — — — 291 — — – net investment hedges – net fair value gain on derivatives 75 — — — — 75 — — – net investment hedges – differences on exchange on borrowings 24 — — — — 24 — — Cash flow hedges – net fair value gains — 95 — — — 95 — — – reclassified and reported in profit for the year — 32 — — — 32 — — – tax on net fair value gains in respect of cash flow hedges (note 10(f) ) — (32) — — — (32) — — Investments held at fair value – net fair value gains — — 9 — — 9 — — Associates – share of OCI, net of tax (note 9 ) (18) 1 — — — (17) — — Retirement benefit schemes – net actuarial gains (note 15 ) — — — — — — — 382 – surplus recognition (note 15 ) — — — — — — — (1) – tax on actuarial gains in respect of subsidiaries (note 10(f) ) — — — — — — — (82) Associates - share of OCI, net of tax (note 9 ) — — 15 — — 15 — (1) Other changes in equity Cash flow hedges reclassified and reported in total assets — 45 — — — 45 — — Employee share options – value of employee services — — — — — — — 76 – treasury shares used for share option schemes — — — — — — 13 (17) Dividends and other appropriations – ordinary shares — — — — — — — (4,904) Purchase of own shares – held in employee share ownership trusts — — — — — — (82) — Perpetual hybrid bonds – coupons paid — — — — — — — (6) – tax on coupons paid — — — — — — — 1 Non-controlling interests − acquisitions (note 27(b)) — — — — — — — (5) Other movements — — — — — — 97 (101) 31 December 2021 (6,427) (363) 6 179 573 (6,032) (5,122) 49,334 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of detailed information about borrowings [abstract] | |
Schedule of Detailed Information About Borrowings | Currency Maturity dates Interest rates 2023 £m 2022 £m Eurobonds Euro 2024 to 2045 1.3% to 5.4% 5,569 7,149 UK sterling 2024 to 2055 2.1% to 7.3% 3,097 3,884 Swiss franc 2026 1.4% 234 226 Bonds issued pursuant to Rules under the U.S. Securities Act (as amended) US dollar 2024 to 2053 1.7% to 8.1% 29,913 30,152 Bonds and notes 38,813 41,411 Commercial paper — 27 Other loans 100 875 Bank loans 216 203 Bank overdrafts 103 106 Lease liabilities 498 517 39,730 43,139 |
Schedule of Detailed Information About Repayment of Borrowings | Borrowings are repayable as follows: Per balance sheet Contractual gross maturities 2023 £m 2022 £m 2023 £m 2022 £m Within one year 4,324 4,413 5,359 5,426 Between one and two years 3,319 4,253 4,784 5,763 Between two and three years 2,558 4,406 3,920 5,673 Between three and four years 2,947 3,013 4,393 4,141 Between four and five years 3,410 4,077 4,600 5,494 Beyond five years 23,172 22,977 35,163 33,806 39,730 43,139 58,219 60,303 |
Schedule of Analysis of Borrowings by Currency | Borrowings are denominated in the functional currency of the subsidiary undertaking or other currencies as shown below: Functional currency £m U.S. dollar £m UK sterling £m Euro £m Other currencies £m Total £m 31 December 2023 Total borrowings 32,215 3,656 302 3,301 256 39,730 Effect of derivative financial instruments – cross-currency swaps 1,214 (451) (300) (559) — (96) – forward foreign currency contracts (57) (892) — 537 414 2 33,372 2,313 2 3,279 670 39,636 31 December 2022 Total borrowings 33,438 3,383 452 5,579 287 43,139 Effect of derivative financial instruments – cross-currency swaps 2,356 — (450) (2,085) — (179) – forward foreign currency contracts (40) (998) — 590 454 6 35,754 2,385 2 4,084 741 42,966 |
Schedule of Analysis of Borrowings by Interest Rate Changes | The exposure to interest rate changes when borrowings are re-priced is as follows: Within 1 year £m Between 1-2 years £m Between 2-3 years £m Between 3-4 years £m Between 4-5 years £m Beyond 5 years £m Total £m 31 December 2023 Total borrowings 4,324 3,319 2,558 2,947 3,410 23,172 39,730 Effect of derivative financial instruments – interest rate swaps 2,798 (229) (786) — (1,783) — — – cross-currency swaps 448 — 6 — (98) (452) (96) 7,570 3,090 1,778 2,947 1,529 22,720 39,634 31 December 2022 Total borrowings 4,398 4,246 4,407 3,013 4,077 22,998 43,139 Effect of derivative financial instruments – interest rate swaps 4,657 (500) (1,247) — (2,910) — — – cross-currency swaps (77) — 36 — (138) — (179) 8,978 3,746 3,196 3,013 1,029 22,998 42,960 |
Disclosure of Detailed Information About Repayment of Lease Liabilities | Lease liabilities are repayable as follows: Per balance sheet Contractual gross maturities 2023 £m 2022 £m 2023 £m 2022 £m Within one year 131 142 155 161 Between one and two years 103 109 122 122 Between two and three years 77 76 91 85 Between three and four years 59 58 70 65 Between four and five years 29 50 38 54 Beyond five years 99 82 140 112 498 517 616 599 |
Schedule of Analysis of Net Debt Movements Along with Reconciliation to the Financing Activities in the Group Cash Flow Statement | The Group’s composition and movements in net debt are presented below along with a reconciliation to the financing activities in the Group Cash Flow Statement: 2023 £m Notes Opening balance Cash flow Foreign exchange Fair value, accrued interest and other Held for Sale Closing balance Borrowings (excluding lease liabilities) * 42,622 (1,638) (1,956) 204 — 39,232 Lease liabilities 517 (162) (25) 168 — 498 Derivatives in respect of net debt 19 167 (238) 564 (323) — 170 Cash and cash equivalents 21 (3,446) (1,101) 30 226 (368) (4,659) Current investments held at fair value 18 (579) (22) 49 (49) — (601) 39,281 (3,161) (1,338) 226 (368) 34,640 2022 £m Notes Opening balance Cash flow Foreign exchange Fair value, accrued interest and other Held for Sale Closing balance Borrowings (excluding lease liabilities) * 39,212 (17) 3,881 (454) — 42,622 Lease liabilities 446 (161) 30 218 (16) 517 Derivatives in respect of net debt 19 (91) 348 (435) 345 — 167 Cash and cash equivalents 21 (2,809) (571) (431) (3) 368 (3,446) Current investments held at fair value 18 (456) (86) (15) (22) — (579) 36,302 (487) 3,030 84 352 39,281 Note: * Borrowings as at 31 December 2023 include £ 700 million ( 2022 : £ 798 million) in respect of the purchase price adjustments relating to the acquisition of Reynolds American. In the table above, movements in accrued interest relate to the net movement year on year and cash flows related to interest payments are not included. ' Fair value, accrued interest and other’ movements in lease liabilities in 2023 mainly comprise additions of £ 168 million ( 2022 : £ 218 million) (net of reassessments, modifications and terminations), see note 13(a) . The movement of £ 49 million ( 2022 : £ 22 million) in current investments held at fair value represents the fair value gains for these investments. 2023 £m 2022 £m Cash flows per net debt statement (3,161) (487) Non-financing cash flows included in net debt 1,126 897 Interest paid (1,682) (1,578) Interest element of lease liabilities (30) (25) Remaining cash flows relating to derivative financial instruments (242) (465) Purchases of own shares held in employee share ownership trusts (110) (80) Purchase of own shares — (2,012) Coupon paid on perpetual hybrid bonds (59) (60) Dividends paid to owners of the parent (5,055) (4,915) Capital injection from and purchase of non-controlling interests — (1) Dividends paid to non-controlling interests (105) (158) Other 4 6 Net cash used in financing activities per cash flow statement (9,314) (8,878) |
Provisions for liabilities (Tab
Provisions for liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of other provisions [abstract] | |
Summary of Provisions Excluding Post-Retirement Benefits | Restructuring of existing businesses £m Employee- related benefits £m Fox River £m DOJ and OFAC investigations £m Other provisions £m Total £m 1 January 2023 297 44 54 450 676 1,521 Differences on exchange (32) (4) — — (46) (82) Provided in respect of the year (*) (21) 13 — (450) 240 (218) Utilised during the year (105) (11) (10) — (96) (222) 31 December 2023 139 42 44 — 774 999 Analysed on the balance sheet as – current 96 13 3 — 356 468 – non-current 43 29 41 — 418 531 139 42 44 — 774 999 Restructuring of existing businesses £m Employee- related benefits £m Fox River £m DOJ and OFAC investigations £m Other provisions £m Total £m 1 January 2022 179 41 62 — 571 853 Differences on exchange 9 2 — — 15 26 Provided in respect of the year (*) 198 10 — 450 187 845 Transferred to liabilities associated with assets held for sale (20) — — — (6) (26) Utilised during the year (69) (9) (8) — (91) (177) 31 December 2022 297 44 54 450 676 1,521 Analysed on the balance sheet as – current 240 14 10 450 373 1,087 – non-current 57 30 44 — 303 434 297 44 54 450 676 1,521 Note: * Amounts provided above are shown net of reversals of unused provisions which include reversals of £ 42 million ( 2022 : £ 35 million) for restructuring of existing businesses, £ 14 million ( 2022 : £ 10 million) for employee benefits and £ 128 million ( 2022 : £ 225 million) for other provisions. For DOJ and OFAC investigations, £ 450 million that were provided in 2022 were reclassified to trade and other payables in 2023. |
Trade and other payables (Table
Trade and other payables (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Trade and other current payables [abstract] | |
Summary of Trade and Other Payables | 2023 £m 2022 £m Trade payables 1,707 1,862 Master settlement agreement (U.S.) 1,788 2,193 Duty, excise and other taxes 2,994 3,104 Accrued charges and deferred income 2,608 2,713 FII GLO (note 10(b) ) 863 913 Social security and other taxation 46 61 Sundry payables 587 547 10,593 11,393 Current 9,700 10,449 Non-current 893 944 10,593 11,393 |
Financial instruments and ris_2
Financial instruments and risk management (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Abstract] | |
Summary of Assets and Liabilities Measured at Fair Value | In accordance with IFRS 13 classification hierarchy, the following table presents the Group’s financial assets and liabilities that are measured at fair value: 2023 2022 Notes Level 1 £m Level 2 £m Level 3 £m Total £m Level 1 £m Level 2 £m Level 3 £m Total £m Assets at fair value Investment held at fair value 18 527 — 192 719 514 — 186 700 Derivatives relating to – interest rate swaps 19 — 10 — 10 — 43 — 43 – cross-currency swaps 19 — 115 — 115 — 254 — 254 – forward foreign currency contracts 19 — 165 — 165 — 264 — 264 Assets at fair value 527 290 192 1,009 514 561 186 1,261 Liabilities at fair value Derivatives relating to – interest rate swaps 19 — 187 — 187 — 450 — 450 – cross-currency swaps 19 — 13 — 13 — 121 — 121 – forward foreign currency contracts 19 — 195 — 195 — 358 — 358 Liabilities at fair value — 395 — 395 — 929 — 929 |
Summary of Derivative Financial Asset and Liabilities Offsetting Arrangements | The gross fair value of derivative financial instruments as presented in the Group balance sheet, together with the Group’s rights of offset associated with recognised financial assets and recognised financial liabilities subject to enforceable master netting arrangements and similar agreements, is summarised as follows: 2023 2022 Amount presented in the Group balance sheet* £m Related amounts not offset in the Group balance sheet £m Net amount £m Amount presented in the Group balance sheet* £m Related amounts not offset in the Group balance sheet £m Net amount £m Financial assets – Derivative financial instruments (note 19 ) 290 (199) 91 561 (405) 156 Financial liabilities – Derivative financial instruments (note 19 ) (395) 199 (196) (929) 405 (524) (105) — (105) (368) — (368) Note: * No financial instruments have been offset in the Group balance sheet. |
Schedule of Detailed Information About Hedged Items by Risk Category | The hedged items by risk category are presented below: 2023 Carrying amount of the hedged item £m Accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item £m Line item in the statement of financial position where the hedged item is included Changes in fair value used for calculating hedge ineffectiveness £m Cash flow hedge reserve (gross of tax) £m Fair value hedges Interest rate risk – borrowings (liabilities) 5,935 110 Borrowings (81) Cash flow hedges Interest rate risk – borrowings (liabilities) 858 Borrowings 26 (362) 2022 Carrying amount of the hedged item £m Accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item £m Line item in the statement of financial position where the hedged item is included Changes in fair value used for calculating hedge ineffectiveness £m Cash flow hedge reserve (gross of tax) £m Fair value hedges Interest rate risk – borrowings (liabilities) 9,223 (355) Borrowings 399 Cash flow hedges Interest rate risk – borrowings (liabilities) 1,824 Borrowings (55) (464) |
Share-based payments (Tables)
Share-based payments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | |
Summary of Share-based Payment Expense | The amounts recognised in the income statement in respect of share-based payments were as follows: 2023 2022 2021 Notes Equity- settled £m Cash- settled £m Equity- settled £m Cash- settled £m Equity- settled £m Cash- settled £m PSP & RSP 28(a) 27 2 38 1 30 — DSBS 28(b) 38 1 36 3 39 2 Other schemes 6 — 7 — 7 — Total recognised in the income statement 3 71 3 81 4 76 2 |
Summary of Share-based Payment Liability | The Group has recorded liabilities in respect of vested and unvested grants at the end of 2023 and 2022: 2023 2022 Vested £m Unvested £m Vested £m* Unvested £m PSP & RSP (0.4) 0.8 (0.3) 1.9 DSBS — 3.1 0.5 6.6 Total liability (0.4) 3.9 0.2 8.5 Note: * The reduction in the liabilities for vested LTIPs was due to shares being exercised at prices lower than the share price at date of grant. Details of the movements for the equity- and cash-settled LTI schemes during the years ended 31 December 2023 and 31 December 2022 , were as follows: 2023 2022 Equity-settled Number of options in thousands Cash-settled Number of options in thousands Equity-settled Number of options in thousands Cash-settled Number of options in thousands Outstanding at start of year 8,960 196 9,891 243 Granted during the period 3,379 94 2,927 58 Exercised during the period (2,401) (51) (1,606) (58) Forfeited during the period (2,132) (41) (2,252) (47) Outstanding at end of year 7,806 198 8,960 196 Exercisable at end of year 513 24 661 40 Details of the movements for the equity- and cash-settled DSBS scheme during the years ended 31 December 2023 and 31 December 2022 , were as follows: 2023 2022 Equity-settled Number of options in thousands Cash-settled Number of options in thousands Equity-settled Number of options in thousands Cash-settled Number of options in thousands Outstanding at start of year 4,015 141 4,141 223 Granted during the period 1,675 211 1,616 85 Exercised during the period (1,743) (81) (1,609) (159) Forfeited during the period (96) (10) (133) (8) Outstanding at end of year 3,851 261 4,015 141 Exercisable at end of year — 1 1 14 |
Summary of Valuation Assumptions Used to Determine Fair Value of Share Options | Assumptions used in the Black-Scholes models to determine the fair value of share options at grant date were as follows: 2023 2022 PSP & RSP DSBS PSP & RSP DSBS Expected volatility (%) 27.0 27.0 27.0 27.0 Average expected term to exercise (years) 3.0 3.0 3.0 3.0 Risk-free rate (%) 3.5 3.5 1.4 1.4 Expected dividend yield (%) 7.7 7.7 6.8 6.8 Share price at date of grant (£) 29.71 29.71 32.18 32.18 Fair value at grant date (£) * 23.15 / 23.61 23.61 27.46 / 26.28 26.28 Fair value at grant date (£) * - Management Board 20.46 / 23.61 23.61 24.8 / 26.28 26.28 Note: * Where two figures have been quoted for the Long-Term Incentive Plan, the numbers relate to PSP and RSP awards, respectively. |
Summary of Valuation Assumptions Used in Monte-Carlo Models | Market condition features were incorporated into the Monte-Carlo models for the total shareholder return elements of the PSP, in determining fair value at grant date. Assumptions used in these models were as follows: 2023 PSP 2022 PSP Average share price volatility FMCG comparator group (%) 24 23 Average correlation FMCG comparator group (%) 29 31 |
Group employees (Tables)
Group employees (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Number and average number of employees [abstract] | |
Summary of Average Number of Persons Employed by Group and Associates | 2023 Number 2022 Number U.S. 3,861 4,274 AME 32,948 34,162 APMEA 13,030 13,641 Subsidiary undertakings 49,839 52,077 Associates 25,613 25,874 75,452 77,951 Note: 1. Effective from 2023, the Group revised its regional structure from four regions to three |
Related party disclosures (Tabl
Related party disclosures (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of transactions between related parties [abstract] | |
Summary of Transactions Between Related Parties | 2023 £m 2022 £m 2021 £m Transactions – revenue 523 494 524 – purchases (178) (190) (123) – other income 560 441 393 – other expenses (6) (1) (6) Amounts receivable at 31 December 48 51 48 Amounts payable at 31 December (4) (4) (3) |
Summary of Amounts Incurred by Entity for Provision of Key Management Personnel Services | 2023 £m 2022 £m 2021 £m The total compensation for key management personnel, including Directors, was: – salaries and other short-term employee benefits 17 19 18 – post-employment benefits 1 1 1 – share-based payments 13 17 16 31 37 35 The following table, which is not part of IAS 24 disclo sures, shows the aggregate emoluments of the Directors of the Company. Executive Directors Chair Non-Executive Directors Total 2023 £'000 2022 £'000 2021 £'000 2023 £'000 2022 £'000 2021 £'000 2023 £'000 2022 £'000 2021 £'000 2023 £'000 2022 £'000 2021 £'000 Salary; fees; benefits; incentives – salary 1,644 2,129 2,119 1,644 2,129 2,119 – fees 688 670 727 1,059 1,027 1,045 1,747 1,697 1,772 – taxable benefits 395 449 420 17 59 55 31 78 2 443 586 477 – short-term incentives 1,650 3,761 4,128 1,650 3,761 4,128 – long-term incentives 1,371 7,888 3,399 1,371 7,888 3,399 Sub-total 5,060 14,227 10,066 705 729 782 1,090 1,105 1,047 6,855 16,061 11,895 Pension; other emoluments – pension 248 320 318 248 320 318 – other emoluments 2 6 6 2 6 6 Sub-total 250 326 324 250 326 324 Total emoluments 5,310 14,553 10,390 705 729 782 1,090 1,105 1,047 7,105 16,387 12,219 |
Contingent liabilities and fi_2
Contingent liabilities and financial commitments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Commitments And Contingencies [Abstract] | |
Summary of Cases | Case Type Notes Case Numbers as at 31 December 2023 (note 31(a)) Case Numbers as at 31 December 2022 (note 31(a)) Change in Number Increase/(decrease) U.S. tobacco-related actions Medical reimbursement cases 31(b) 2 2 No change Class actions 31(c) 19 20 (1) Individual smoking and health cases 31(d) 202 206 (4) Engle Progeny Cases 31(e) 305 665 (360) Broin II Cases 31(f) 1,171 1,183 (12) Filter Cases 31(g) 35 46 (11) State Settlement Agreements – Enforcement and Validity 31(h) 4 1 3 Non-U.S. tobacco-related actions Medical reimbursement cases 18 18 No change Class actions 31(i) 12 12 No change Individual smoking and health cases 31(j) 54 51 3 Trials/verdicts/judgments of individual Engle progeny cases from 1 January 2021 through 31 December 2023 : Total number of trials 35 Number of trials resulting in plaintiffs’ verdicts 20 * Total damages awarded in final judgments against RJRT US$81,492,000 (approximately £64 million) Amount of overall damages comprising ‘compensatory damages’ (approximately) US$58,427,000 (of overall US$81,492,000 ) (approximately £46 million of £64 million) Amount of overall damages comprising ‘punitive damages’ (approximately) US$23,065,000 (of overall US$81,492,000 ) (approximately £18 million of £64 million) Note: * Of the 20 trials resulting in plaintiffs’ verdicts 1 January 2021 to 31 December 2023 (note 31(k)): Number of adverse judgments appealed by RJRT (note 31(l) ) 14 Number of adverse judgments, in which RJRT still has time to file an appeal 0 Number of adverse judgments in which an appeal was not, and can no longer be, sought 6 (Note 31(k)) The 35 trials include two cases that were tried twice ( Rutkowski v. R. J. Reynolds Tobacco Co. and Miller v R. J. Reynolds Tobacco Co. ). In each case, the first trial resulted in mistrial, while the second resulted in a verdict for the plaintiff. The 35 trials also include one trial that resulted in a plaintiff verdict and a new trial was ordered, but the case was resolved and later dismissed ( Leidinger v. R. J. Reynolds Tobacco Co. ), and two punitive damages retrials for the same case ( Ledo v R. J. Reynolds Tobacco Co.). (Note 31(l) ) Of the 14 adverse verdicts appealed by RJRT as a result of judgments arising in the period 1 January 2021 to 31 December 2023: a. six appeals remain undecided in the District Courts of Appeal; b. two judgments were affirmed and paid; c. one judgment was reversed and remanded for new trial on the plaintiff's entitlement to punitive damages; d. one judgment was affirmed and review of the Florida Supreme Court not sought; and e. there were four appeals in which the cases were resolved and the appeals dismissed. Case Type U.S. Case Numbers 31 December 2023 U.S. Case Numbers 31 December 2022 Change in Number Increase / (Decrease) Individual Smoking and Health Cases (note 31(m) ) 202 206 (4) Engle Progeny Cases (Number of Plaintiffs) (note 31(n)) 305 (380) 665 (838) (360) (458) Broin II Cases (note 31(o)) 1,171 1,183 (12) Filter Cases (note 31(p)) 35 46 (11) |
Operating Subsidiaries' Expenses and Payments under State Settlement Agreements | Reynolds American’s operating subsidiaries’ expenses and payments under the State Settlement Agreements for 2020, 2021, 2022 and 2023 and the projected expenses and payments for 2024 and onwards are set forth below (in millions of US dollars) * : 2020 2021 2022 2023 2024 2025 and thereafter Settlement expenses $3,572 $3,420 $2,951 $2,516 Settlement cash payments $2,848 $3,744 $3,129 $2,874 Projected settlement expenses > $2,100 > $2,100 Projected settlement cash payments > $2,500 > $2,100 Note: * Subject to adjustments for changes in sales volume, inflation, operating profit and other factors. Payments are allocated among the companies on the basis of relative market share or other methods. |
Closed Litigation Matters Explanatory | The following matters on which the Company reported in the contingent liabilities and financial commitments note 31 to the Company’s 2022 financial statements have been dismissed, concluded or resolved as noted below: Matter Jurisdiction Companies named as Defendants Description Disposition Distributor Customs Dispute Qatar British American Tobacco Middle East S.P.C. Indemnity Litigation Resolved Carlson/Alloway/Wolfe asbestos litigation U.S. BATUS Holdings Inc Personal Injury Voluntary dismissal by plaintiffs Philip Morris Products S.A. EP (UK) patent counterclaim ('Glo' tobacco heating devices) UK Nicoventures Trading Limited, British American Tobacco (Investments) Limited IP Court judgment of dismissal in favour of Defendants Jones v American Tobacco Co Missouri RJRT, B&W, Lorillard Tobacco and certain parent companies Class action Closed by court as an inactive file |
Schedule of Total Future Minimum Lease Payment under Non-cancellable Operating Leases | The total future minimum payments under non-cancellable service contracts based on when payments fall due: 2023 £m 2022 £m Service contracts Within one year 41 45 Between one and five years 46 66 Beyond five years — — 87 111 |
Interests in subsidiaries (Tabl
Interests in subsidiaries (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of subsidiaries [abstract] | |
Summarised Financial Information of Subsidiaries With Material Noncontrolling Interests Explanatory | Summarised financial information 2023 £m 2022 £m 2021 £m Revenue 680 732 640 Profit for the year 133 153 127 – Attributable to non-controlling interests 36 41 34 Total comprehensive income 91 132 127 – Attributable to non-controlling interests 25 36 34 Dividends paid and other appropriations made to non-controlling interests (11) (32) (28) Summary net assets: Non-current assets 299 322 303 Current assets 437 253 345 Non-current liabilities 71 78 70 Current liabilities 284 166 262 Total equity at the end of the year 381 331 316 – Attributable to non-controlling interests 103 90 86 Net cash generated from operating activities 167 164 52 Net cash used in investing activities (51) (46) (26) Net cash used in financing activities (41) (147) (55) Differences on exchange 1 4 — Increase/(decrease) in net cash and cash equivalents 76 (25) (29) Net cash and cash equivalents at 1 January (24) 1 30 Net cash and cash equivalents at 31 December 52 (24) 1 |
Summary of Financial Information of Subsidiaries Subject to Significant Restrictions | The table below summarises the assets and liabilities of ITCAN: Summarised financial information 2023 £m 2022 £m Non-current assets 2,471 2,554 Current assets 2,621 2,193 Non-current liabilities (103) (114) Current liabilities (494) (526) 4,495 4,107 |
Summary of Breakdown of Current Assets | A breakdown of current assets has been provided below. 2023 £m 2022 £m Cash and cash equivalents * 2,042 1,569 Inventory 103 182 Investments held at fair value 446 396 Other 30 46 2,621 2,193 Note: * Cash and cash equivalents above include £ 1,904 million ( 2022 : £ 1,411 million) of restricted cash and cash equivalents. The Group defines restricted cash and cash equivalents as where there are significant restrictions on its ability to access or use the assets and settle the liabilities of the Group, but excludes cash and cash equivalents where there are also outstanding local currency borrowings or where there is an outstanding excise liability. In addition, dividends payable would also be excluded from restricted cash and cash equivalents if the dividend has been approved by the necessary regulatory channels. |
Summarised financial informat_2
Summarised financial information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure Of Condensed Consolidating Financial Information [Abstract] | |
Summarised Financial Information of Income Statement | Summarised Financial Information Year ended 31 December 2023 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Income Statement Revenue — — — — — — (Loss)/profit from operations (642) 3 4 — — 5 Dividend income 4,950 — 1 — 5,234 424 Net finance income/(costs) 488 (204) 857 1 (538) — Profit/(loss) before taxation 4,796 (201) 862 1 4,696 429 Taxation on ordinary activities (25) 22 17 — 127 (1) Profit/(loss) for the year 4,771 (179) 879 1 4,823 428 Intercompany Transactions – Income Statement Transactions with non-issuer/non-guarantor subsidiaries (expense)/income (120) (1) — — 30 — Transactions with non-issuer/non-guarantor subsidiaries net finance income 293 768 1,445 — 26 — Dividend income from non-issuer/non-guarantor subsidiaries 4,950 — — — 5,234 424 Summarised Financial Information Year ended 31 December 2022 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Income Statement Revenue — — — — — — (Loss)/profit from operations (115) (1) (2) — 5 1 Dividend income 7,515 — — — 4,835 148 Net finance income/(costs) 264 (52) 187 — (500) — Profit/(loss) before taxation 7,664 (53) 185 — 4,340 149 Taxation on ordinary activities (10) (9) (21) — 110 — Profit/(loss) for the year 7,654 (62) 164 — 4,450 149 Intercompany Transactions – Income Statement Transactions with non-issuer/non-guarantor subsidiaries (expense)/income (116) (1) (2) — 47 — Transactions with non-issuer/non-guarantor subsidiaries net finance income 52 815 732 — 25 — Dividend income from non-issuer/non-guarantor subsidiaries 7,515 — — — 4,835 148 |
Summarised Financial Information of Balance Sheet | Summarised Financial Information As at 31 December 2023 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Balance Sheet Non-current assets 1,917 20,691 2,238 1,422 318 43 Current assets 9,128 12,739 43,431 790 942 10 Non-current liabilities 1,580 18,266 12,901 1,422 9,163 11 Non-current borrowings 1,571 18,101 12,662 1,422 9,113 — Other non-current liabilities 9 165 239 — 50 11 Current liabilities 339 15,137 30,091 789 1,301 4 Current borrowings 39 15,102 29,512 788 597 2 Other current liabilities 300 35 579 1 704 2 Intercompany Transactions – Balance Sheet Amounts due from non-issuer/non-guarantor subsidiaries 9,074 16,837 43,279 — 1,229 10 Amounts due to non-issuer/non-guarantor subsidiaries — 3,735 25,686 — 18 1 Investment in subsidiaries (that are not issuers or guarantors) 27,234 — 718 — 25,185 1,537 Summarised Financial Information As at 31 December 2022 BAT p.l.c. £m BATCAP £m BATIF £m BATNF £m RAI £m BATHTN £m Balance Sheet Non-current assets 1,917 20,962 2,480 1,500 405 45 Current assets 9,166 7,947 42,748 22 1,135 8 Non-current liabilities 1,580 20,018 14,058 1,500 10,094 12 Non-current borrowings 1,572 19,762 13,510 1,500 10,033 — Other non-current liabilities 8 256 548 — 61 12 Current liabilities 55 8,749 29,379 21 1,011 1 Current borrowings 23 8,657 28,525 21 568 1 Other current liabilities 32 92 854 — 443 — Intercompany Transactions - Balance Sheet Amounts due from non-issuer/non-guarantor subsidiaries 9,117 17,003 42,752 — 700 8 Amounts due to non-issuer/non-guarantor subsidiaries 5 3,890 22,702 — 34 1 Investment in subsidiaries (that are not issuers or guarantors) 27,234 — 718 — 26,690 1,573 |
Summary of Unconsolidated Equity Results | BAT p.l.c.’s unconsolidated contribution to the Group’s consolidated equity results is shown below: BAT p.l.c. As at 31 December 2023 £m 2022 £m Total equity 36,360 36,682 Share capital 614 614 Share premium 112 113 Perpetual hybrid bonds 1,685 1,685 Other equity 33,949 34,270 |
Accounting policies (Details)
Accounting policies (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Accounting Policies [Line Items] | |||
Amortisation expense | £ 357 | £ 437 | |
Freehold Land Or Assets Classified As Held For Sale | |||
Disclosure Of Accounting Policies [Line Items] | |||
Property plant and equipment depreciation rates | 0% | ||
Global Software Solutions | |||
Disclosure Of Accounting Policies [Line Items] | |||
Reduction in annual amortization expense | £ 16 | ||
Bottom of range | - Property acquired (IAS 16) | |||
Disclosure Of Accounting Policies [Line Items] | |||
Property plant and equipment depreciation rates | 2.50% | ||
Bottom of range | Plant And Equipment | |||
Disclosure Of Accounting Policies [Line Items] | |||
Property plant and equipment depreciation rates | 3% | ||
Bottom of range | Computer software | |||
Disclosure Of Accounting Policies [Line Items] | |||
Intangible assets, remaining useful lives | 3 years | ||
Top of range | - Property acquired (IAS 16) | |||
Disclosure Of Accounting Policies [Line Items] | |||
Property plant and equipment depreciation rates | 4% | ||
Top of range | Plant And Equipment | |||
Disclosure Of Accounting Policies [Line Items] | |||
Property plant and equipment depreciation rates | 25% | ||
Top of range | Brand names | |||
Disclosure Of Accounting Policies [Line Items] | |||
Intangible assets, remaining useful lives | 20 years | ||
Top of range | Brand names | Forecast | |||
Disclosure Of Accounting Policies [Line Items] | |||
Intangible assets, remaining useful lives | 30 years | ||
Top of range | Computer software | |||
Disclosure Of Accounting Policies [Line Items] | |||
Intangible assets, remaining useful lives | 5 years | ||
Top of range | Global Software Solutions | |||
Disclosure Of Accounting Policies [Line Items] | |||
Intangible assets, remaining useful lives | 13 years |
Segmental Analyses (revised) -
Segmental Analyses (revised) - Disclosure of Operating Segment Information (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
Profit/(loss) from operations | (15,751) | 10,523 | 10,234 | |
Net finance costs | (1,895) | (1,641) | (1,486) | |
Share of post-tax results of associates and joint ventures | 585 | 442 | 415 | |
Loss before taxation | (17,061) | 9,324 | 9,163 | |
Taxation on ordinary activities | 2,872 | (2,478) | (2,189) | |
(Loss)/profit for the year | (14,189) | 6,846 | 6,974 | |
Reported at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 28,096 | 26,273 | ||
Adjusted at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 12,789 | 11,626 | ||
Translation exchange | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | (813) | 1,382 | ||
Profit/(loss) from operations | (324) | 782 | ||
Adjusted at current rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 12,465 | 12,408 | 11,150 | |
Adjusting Items | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | (28,216) | (1,885) | (916) | |
Reported | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 27,283 | 27,655 | 25,684 | |
Profit/(loss) from operations | (15,751) | 10,523 | 10,234 | |
Net finance costs | (1,895) | (1,641) | (1,486) | |
Share of post-tax results of associates and joint ventures | 585 | 442 | 415 | |
Loss before taxation | (17,061) | 9,324 | 9,163 | |
Taxation on ordinary activities | 2,872 | (2,478) | (2,189) | |
(Loss)/profit for the year | (14,189) | 6,846 | 6,974 | |
U.S. | Reported at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 12,065 | 11,358 | ||
U.S. | Adjusted at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 6,863 | 6,095 | ||
U.S. | Translation exchange | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | (71) | 1,281 | ||
Profit/(loss) from operations | (42) | 740 | ||
U.S. | Adjusted at current rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 6,821 | 6,835 | 5,887 | |
U.S. | Adjusting Items | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | (27,602) | (630) | (321) | |
U.S. | Reported | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 11,994 | 12,639 | 11,691 | |
Profit/(loss) from operations | (20,781) | 6,205 | 5,566 | |
AME | Reported at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 9,989 | 9,119 | ||
AME | Adjusted at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 3,547 | 3,268 | ||
AME | Translation exchange | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | (198) | 168 | ||
Profit/(loss) from operations | (87) | 80 | ||
AME | Adjusted at current rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 3,460 | 3,348 | 3,059 | |
AME | Adjusting Items | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | (266) | (422) | (157) | |
AME | Reported | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 9,791 | 9,287 | 8,444 | |
Profit/(loss) from operations | 3,194 | 2,926 | 2,902 | |
APMEA | Reported at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 6,042 | 5,796 | ||
APMEA | Adjusted at constant rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 2,379 | 2,263 | ||
APMEA | Translation exchange | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | (544) | (67) | ||
Profit/(loss) from operations | (195) | (38) | ||
APMEA | Adjusted at current rates | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | 2,184 | 2,225 | 2,204 | |
APMEA | Adjusting Items | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Profit/(loss) from operations | (348) | (833) | (438) | |
APMEA | Reported | ||||
Disclosure Of Operating Segments [Line Items] | ||||
Revenue | 5,498 | 5,729 | 5,549 | |
Profit/(loss) from operations | £ 1,836 | £ 1,392 | £ 1,766 | |
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Segmental Analyses (revised) _2
Segmental Analyses (revised) - Additional Information (Details) £ in Millions | 12 Months Ended | |||||
Dec. 31, 2023 GBP (£) segment | Dec. 31, 2022 GBP (£) segment | Dec. 31, 2021 GBP (£) | Apr. 01, 2023 segment | Mar. 31, 2023 segment | ||
Disclosure Of Geographical Areas [Line Items] | ||||||
Reportable segments | segment | 3 | 4 | 3 | 4 | ||
Profit/(loss) from operations | £ (15,751) | £ 10,523 | £ 10,234 | |||
Revenue from operations | [1] | 27,283 | 27,655 | 25,684 | ||
Non-current assets for operations | 104,530 | 138,137 | ||||
Intangible assets | 95,562 | 129,075 | 115,625 | |||
Goodwill | ||||||
Disclosure Of Geographical Areas [Line Items] | ||||||
Intangible assets | 41,091 | 47,956 | 43,194 | |||
ITC Ltd. | ||||||
Disclosure Of Geographical Areas [Line Items] | ||||||
Revenue from operations | 6,805 | 7,126 | 5,312 | |||
Non-current assets for operations | 4,261 | 4,402 | ||||
Investments in associates and joint ventures | 1,851 | 1,865 | ||||
Reynolds | U.S. | ||||||
Disclosure Of Geographical Areas [Line Items] | ||||||
Revenue from operations | 11,985 | 12,635 | 11,707 | |||
Non-current assets for operations | 86,598 | 119,707 | ||||
Adjusted at constant rates | ||||||
Disclosure Of Geographical Areas [Line Items] | ||||||
Profit/(loss) from operations | 12,789 | 11,626 | ||||
Adjusted at constant rates | U.S. | ||||||
Disclosure Of Geographical Areas [Line Items] | ||||||
Profit/(loss) from operations | 6,863 | 6,095 | ||||
Adjusted at current rates | ||||||
Disclosure Of Geographical Areas [Line Items] | ||||||
Profit/(loss) from operations | 12,465 | 12,408 | 11,150 | |||
Adjusted at current rates | U.S. | ||||||
Disclosure Of Geographical Areas [Line Items] | ||||||
Profit/(loss) from operations | £ 6,821 | £ 6,835 | £ 5,887 | |||
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Segmental Analyses (revised) _3
Segmental Analyses (revised) - Summary of Depreciation Amortisation and Impairment Charges (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | £ 28,614 | £ 1,305 | £ 1,076 |
Adjusted at constant rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 769 | 770 | |
Translation exchange | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | (10) | 30 | |
Adjusted at current rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 759 | 800 | 724 |
Adjusting Items | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 27,855 | 505 | 352 |
Reported | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 28,614 | 1,305 | 1,076 |
U.S. | Adjusted at constant rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 218 | 221 | |
U.S. | Translation exchange | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 0 | 16 | |
U.S. | Adjusted at current rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 218 | 237 | 203 |
U.S. | Adjusting Items | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 27,518 | 322 | 276 |
U.S. | Reported | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 27,736 | 559 | 479 |
AME | Adjusted at constant rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 333 | 363 | |
AME | Translation exchange | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 3 | 10 | |
AME | Adjusted at current rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 336 | 373 | 333 |
AME | Adjusting Items | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 44 | 116 | 56 |
AME | Reported | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 380 | 489 | 389 |
APMEA | Adjusted at constant rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 218 | 186 | |
APMEA | Translation exchange | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | (13) | 4 | |
APMEA | Adjusted at current rates | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 205 | 190 | 188 |
APMEA | Adjusting Items | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | 293 | 67 | 20 |
APMEA | Reported | |||
Disclosure Of Depreciation Amortization And Impairment [Line Items] | |||
Depreciation, amortisation and impairment | £ 498 | £ 257 | £ 208 |
Segmental Analyses (revised) _4
Segmental Analyses (revised) - Disclosure of Additional Information by Product Category (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
New Categories | ||||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | 3,347 | 2,894 | 2,054 | |
New Categories | Vapour | ||||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | 1,812 | 1,436 | 927 | |
New Categories | HP | ||||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | 996 | 1,060 | 853 | |
New Categories | Modern Oral | ||||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | 539 | 398 | 274 | |
Traditional Oral | ||||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | 1,163 | 1,209 | 1,118 | |
Combustibles | ||||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | 22,108 | 23,030 | 22,029 | |
Other | ||||
Disclosure Of Products And Services [Line Items] | ||||
Revenue | £ 665 | £ 522 | £ 483 | |
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Segmental Analyses (revised) _5
Segmental Analyses (revised) - Disclosure of Geographical Information of External Revenue (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure Of Geographical Information Of External Revenue Non Current Assets [Line Items] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
Intangible assets | 95,562 | 129,075 | 115,625 | |
Property, plant and equipment | 4,583 | 4,867 | ||
Investments in associates and joint ventures | 1,970 | 2,020 | ||
United Kingdom | ||||
Disclosure Of Geographical Information Of External Revenue Non Current Assets [Line Items] | ||||
Revenue | 255 | 228 | 209 | |
Intangible assets | 447 | 529 | ||
Property, plant and equipment | 362 | 215 | ||
Investments in associates and joint ventures | 0 | 0 | ||
All foreign countries | ||||
Disclosure Of Geographical Information Of External Revenue Non Current Assets [Line Items] | ||||
Revenue | 27,028 | 27,427 | £ 25,475 | |
Intangible assets | 95,115 | 128,546 | ||
Property, plant and equipment | 4,221 | 4,652 | ||
Investments in associates and joint ventures | £ 1,970 | £ 2,020 | ||
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Employee Benefit Costs - Summar
Employee Benefit Costs - Summary of Employee Benefit Costs (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of defined benefit plans [abstract] | |||
Wages and salaries | £ 2,263 | £ 2,553 | £ 2,315 |
Social security costs | 219 | 201 | 185 |
Other pension and retirement benefit costs | 108 | 133 | 139 |
Share-based payments - equity and cash-settled | 74 | 85 | 78 |
Employee benefit costs | £ 2,664 | £ 2,972 | £ 2,717 |
Employee Benefit Costs - Additi
Employee Benefit Costs - Additional Information (Details) £ in Millions, $ in Billions | 12 Months Ended | ||||||||
Jun. 07, 2022 GBP (£) | Oct. 07, 2021 GBP (£) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2022 USD ($) | Jun. 07, 2022 USD ($) | Dec. 31, 2021 USD ($) | Oct. 07, 2021 USD ($) | |
Disclosure Of Defined Benefit Plans [Line Items] | |||||||||
Employee benefit costs | £ (26) | £ 315 | £ 160 | ||||||
United States | |||||||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||||||
Gain (loss) on settlement of plan assets and liabilities | 35 | ||||||||
United States | Reynolds american funded retirement plan (PEP and Affiliates) | |||||||||
Disclosure Of Defined Benefit Plans [Line Items] | |||||||||
Retirement plan liabilities | £ 1,300 | £ 1,400 | £ 1,300 | £ 1,400 | $ 1.6 | $ 1.6 | $ 1.9 | $ 1.9 | |
Gain (loss) on settlement of plan assets and liabilities | £ 16 | £ 35 |
Depreciation, Amortisation an_3
Depreciation, Amortisation and Impairment Costs - Summary of Depreciation Amortisation and Impairment Costs (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment costs | £ 28,614 | £ 1,305 | £ 1,076 |
Impairment of goodwill | 4,614 | 0 | 57 |
Property, plant and equipment | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment costs | 643 | 846 | 557 |
Brand names | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment costs | 23,232 | 317 | 333 |
Computer software | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment costs | £ 125 | £ 142 | £ 129 |
Depreciation, Amortisation an_4
Depreciation, Amortisation and Impairment Costs - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment | £ 28,614 | £ 1,305 | £ 1,076 |
Impairment of goodwill | 4,614 | 0 | 57 |
Impairment of property, plant and equipment | 151 | 319 | |
Depreciation and impairment income (cost) | 39 | 220 | (11) |
Adjusting Items | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment | 27,855 | 505 | 352 |
United States, South Africa, Peru | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Impairment of goodwill | 4,614 | ||
Myanmar | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Impairment of goodwill | 3 | ||
Peru | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Impairment of goodwill | 24 | ||
Peru | COVID-19 | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Impairment of goodwill | 54 | ||
United States | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Impairment of goodwill | 4,299 | 0 | |
Impairment of property, plant and equipment | 46 | ||
Trademarks and similar intangibles | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment | 23,232 | 317 | 333 |
Gains on disposals of non-current assets | 3 | ||
Trademarks and similar intangibles | Adjusting Items | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Depreciation, amortisation and impairment | £ 23,202 | £ 288 | £ 306 |
Top of range | Trademarks and similar intangibles | |||
Depreciation Amortisation And Impairment Costs [Line Items] | |||
Intangible assets, remaining useful lives | 20 years |
Other Operating Income - Additi
Other Operating Income - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Operating Income [Line Items] | |||
Other operating income | £ 432 | £ 722 | £ 196 |
Gains arising from sale and leaseback transactions | 15 | ||
Trademarks and brands | |||
Other Operating Income [Line Items] | |||
Gains on disposals of trademarks | 85 | 27 | 0 |
Brazil | |||
Other Operating Income [Line Items] | |||
Tax credit other than income tax credits | (19) | (472) | |
Master settlement agreement | RJRT | |||
Other Operating Income [Line Items] | |||
Amount received from escrow funds paid under settlement | 40 | ||
Brazil | |||
Other Operating Income [Line Items] | |||
Excise income on social contributions | £ 150 | ||
Increase (decrease) in contingent consideration asset (liability) | (78) | (130) | |
Adjustment to other taxes levied on tobacco and tobacco related products | 5 | ||
Social contribution claims sold to financial institutions | £ 38 | £ 45 |
Other Operating Expenses - Summ
Other Operating Expenses - Summary of Other Operating Expenses (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Operating Expenses [Line Items] | |||
Other operating expenses | £ 7,538 | £ 9,018 | £ 7,468 |
The following items are included within other operating expenses: | |||
Losses on litigation settlements | 2,023 | 2,387 | 2,486 |
Marketing costs in operating expenses | 1,152 | 1,160 | 1,242 |
Inventory write-offs | 250 | 250 | 215 |
Research and development expenses (excluding employee benefit costs and depreciation) | 181 | 138 | 141 |
Loss/(gain) on disposal of businesses | 546 | (6) | 358 |
(Reversals)/charges in respect of assets held-for-sale | (195) | 612 | 0 |
Brazil other taxes | 49 | 12 | 0 |
Exchange differences | (17) | (92) | (19) |
Hedge ineffectiveness within operating profit | (12) | 36 | (5) |
Expenses relating to short-term leases | 13 | 11 | 8 |
Expenses relating to leases of low-value assets | 1 | 1 | 1 |
Gains arising from sale and leaseback transactions | 15 | ||
Auditor’s remuneration | 29 | 29 | 27 |
Charges in respect of DOJ and OFAC investigation | |||
The following items are included within other operating expenses: | |||
Losses on litigation settlements | 75 | 450 | 0 |
Competition investigations | |||
The following items are included within other operating expenses: | |||
Other adjusting items in other operating expenses | 0 | 79 | 0 |
Excise dispute in Turkey, South Korea and Russia | |||
The following items are included within other operating expenses: | |||
Other adjusting items in other operating expenses | £ 0 | £ 0 | £ 26 |
Other Operating Expenses - Mast
Other Operating Expenses - Master Settlements Agreement - Additional Information (Details) £ in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||
Mar. 31, 2020 State | Dec. 31, 2023 GBP (£) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 GBP (£) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 GBP (£) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Dec. 31, 2019 USD ($) | Dec. 31, 2018 USD ($) State | Dec. 31, 2017 USD ($) State | Dec. 31, 2016 State | Dec. 31, 2015 USD ($) | Dec. 31, 2014 USD ($) State | Dec. 31, 2013 USD ($) State | Dec. 31, 2012 State | |
Other Operating Expenses [Line Items] | ||||||||||||||||
Losses on litigation settlements | £ | £ 2,023 | £ 2,387 | £ 2,486 | |||||||||||||
R J Reynolds Tobacco Company | Texas, Minnesota and Mississippi | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Payments of litigation claim settlements | $ 8 | |||||||||||||||
R J Reynolds Tobacco Company | Payment obligation | Florida | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Losses on litigation settlements | 241 | |||||||||||||||
R J Reynolds Tobacco Company | Resolution of claims | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Losses on litigation settlements | $ 37 | |||||||||||||||
R J Reynolds Tobacco Company | Resolution of claims | Texas, Minnesota and Mississippi | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Losses on litigation settlements | $ 264 | |||||||||||||||
R J Reynolds Tobacco Company | Final resolution | Texas and Minnesota | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Losses on litigation settlements | 12 | $ 17 | ||||||||||||||
R J Reynolds Tobacco Company | Master Settlement Agreement and State Settlement Agreements | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Losses on litigation settlements | 2,023 | $ 2,516 | 2,387 | 2,951 | 2,486 | 3,420 | ||||||||||
Settlement cash payments | £ 2,311 | 2,874 | 2,531 | $ 3,129 | £ 2,722 | $ 3,744 | ||||||||||
R J Reynolds Tobacco Company | Master settlement agreement | Illinois | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Additional credit received | £ | £ 26 | |||||||||||||||
Claims related to period 2003 to 2012 | R J Reynolds Tobacco Company | Master settlement agreement | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Number of states | State | 2 | 0 | 2 | 3 | 17 | |||||||||||
Increase of income related to payment obligation | $ 1,000 | |||||||||||||||
Credit period | 5 years | 5 years | ||||||||||||||
Additional credit received | $ 170 | |||||||||||||||
Claims related to period 2004 to 2014 | R J Reynolds Tobacco Company | Master settlement agreement | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Credit period | 4 years | |||||||||||||||
Claims related to period 2004 to 2014 | R J Reynolds Tobacco Company | Master settlement agreement | Five-Year Period from 2016 | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Additional credit received | $ 285 | |||||||||||||||
Claims related to period 2004 to 2014 | R J Reynolds Tobacco Company | Master settlement agreement | Five-Year Period from 2017 | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Additional credit recognised | $ 61 | |||||||||||||||
Claims related to period 2004 To 2019 | R J Reynolds Tobacco Company | Master settlement agreement | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Number of states | State | 9 | |||||||||||||||
Claims related to period 2004 to 2017 | R J Reynolds Tobacco Company | Master settlement agreement | Five-Year Period from 2018 | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Additional credit recognised | $ 182 | |||||||||||||||
Claims related to period 2004 to 2017 | R J Reynolds Tobacco Company | Master settlement agreement | Five-Year Period from 2019 | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Additional credit recognised | $ 205 | |||||||||||||||
Claims related to period 2004 To 2024 | R J Reynolds Tobacco Company | Master settlement agreement | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Number of states | State | 10 | 1 | ||||||||||||||
Claims related to period 2004 To 2018 | R J Reynolds Tobacco Company | Master settlement agreement | Five-Year Period from 2019 | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Credit period | 5 years | 5 years | ||||||||||||||
Additional credit recognised | $ 130 | |||||||||||||||
Claims related to period 2004 To 2018 | R J Reynolds Tobacco Company | Master settlement agreement | Five-Year Period from 2024 | ||||||||||||||||
Other Operating Expenses [Line Items] | ||||||||||||||||
Credit period | 5 years | 5 years | ||||||||||||||
Additional credit recognised | $ 29 |
Other operating expenses - MSA
Other operating expenses - MSA Liability (Details) £ in Millions, $ in Millions | 12 Months Ended | 36 Months Ended | ||||||
Dec. 31, 2023 GBP (£) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 GBP (£) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 GBP (£) | Dec. 31, 2021 USD ($) | Dec. 31, 2023 GBP (£) | Dec. 31, 2023 USD ($) | |
Other Operating Expenses [Line Items] | ||||||||
Opening MSA liability | £ 2,193 | |||||||
Settlement expense | 2,023 | £ 2,387 | £ 2,486 | |||||
Closing MSA liability | 1,788 | 2,193 | £ 1,788 | |||||
Master Settlement Agreement and State Settlement Agreements | R J Reynolds Tobacco Company | ||||||||
Other Operating Expenses [Line Items] | ||||||||
Opening MSA liability | 2,193 | $ 2,637 | 2,079 | $ 2,815 | 2,296 | $ 3,139 | 2,296 | $ 3,139 |
Settlement expense | 2,023 | 2,516 | 2,387 | 2,951 | 2,486 | 3,420 | ||
Cash paid | (2,311) | (2,874) | (2,531) | (3,129) | (2,722) | (3,744) | ||
Difference on exchange | (117) | 0 | 258 | 0 | 19 | 0 | ||
Closing MSA liability | £ 1,788 | $ 2,279 | £ 2,193 | $ 2,637 | £ 2,079 | $ 2,815 | £ 1,788 | $ 2,279 |
Other Operating Expenses - Liti
Other Operating Expenses - Litigation costs - Additional Information (Details) £ in Millions, $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2021 USD ($) | |
Other Operating Expenses [Line Items] | ||||
Losses on litigation settlements | £ 2,023 | £ 2,387 | £ 2,486 | |
R J Reynolds Tobacco Company | Illinois | Master settlement agreement | ||||
Other Operating Expenses [Line Items] | ||||
Additional credit received | 26 | |||
Engle and Other Litigations Costs | ||||
Other Operating Expenses [Line Items] | ||||
Other adjusting items which have been adjusted within other operating expenses | 96 | £ 170 | 54 | |
Engle And Other Litigations Costs, NPM Adjustment Credit | ||||
Other Operating Expenses [Line Items] | ||||
Other adjusting items which have been adjusted within other operating expenses | £ (6) | |||
Final resolution | R J Reynolds Tobacco Company | Texas and Minnesota | ||||
Other Operating Expenses [Line Items] | ||||
Losses on litigation settlements | £ 12 | $ 17 |
Other Operating Expenses - Rese
Other Operating Expenses - Research and Development - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Expenses by nature [abstract] | |||
Research and development costs including employee benefit costs and depreciation | £ 408 | £ 323 | £ 304 |
Other Operating Expenses - Loss
Other Operating Expenses - Loss on Disposal of Business - Additional Information (Details) £ in Millions | 12 Months Ended | |||||
Sep. 13, 2023 GBP (£) subsidiary | Aug. 06, 2021 GBP (£) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Mar. 11, 2022 subsidiary | |
Other Operating Expenses [Line Items] | ||||||
Provisions utilised | £ 222 | £ 177 | ||||
Gains (losses) recognised when control of subsidiary is lost | 546 | (6) | £ 358 | |||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | (552) | (5) | (291) | |||
BAT Russia | Discontinued operations | ||||||
Other Operating Expenses [Line Items] | ||||||
Impairment loss recognised in profit or loss | £ 345 | 554 | ||||
Provisions utilised | 14 | |||||
BAT Russia | Before impairment | Discontinued operations | ||||||
Other Operating Expenses [Line Items] | ||||||
Net assets classified as held for sale | £ 770 | |||||
Russia | ||||||
Other Operating Expenses [Line Items] | ||||||
Number of subsidiaries | subsidiary | 2 | 2 | ||||
Belarus | ||||||
Other Operating Expenses [Line Items] | ||||||
Number of subsidiaries | subsidiary | 1 | |||||
Russian and Belarusian Businesses | ||||||
Other Operating Expenses [Line Items] | ||||||
Proceeds from disposal | £ 425 | |||||
Provisions utilised | 195 | |||||
Gains (losses) recognised when control of subsidiary is lost | (548) | |||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | 554 | |||||
Associated costs | 3 | |||||
Foreign exchange gain | 9 | |||||
Gain (loss) on disposal, net of impairment reversal | £ (353) | |||||
B.A.T. Pars Company PJSC | ||||||
Other Operating Expenses [Line Items] | ||||||
Gains (losses) recognised when control of subsidiary is lost | 358 | |||||
Foreign exchange recycled from equity | £ 272 | |||||
Impairment charge and associated costs | £ 88 | |||||
Unwinding discounted proceeds | 6 | £ 2 | ||||
Reversal of impairment loss recognised in profit or loss, trade receivables | £ 2 |
Other Operating Expenses - Tax
Other Operating Expenses - Tax Disputes in Turkey, South Korea and Russia - Additional Information (Details) £ in Millions, ₩ in Billions | 12 Months Ended | ||
Sep. 16, 2021 GBP (£) | Aug. 23, 2019 KRW (₩) | Dec. 31, 2021 GBP (£) INSTALMENT | |
Turkey | BAT Tutun | |||
Other Operating Expenses [Line Items] | |||
Tax installment amount | £ 47 | ||
South Korea | BAT Korea | Tax reassessment | VAT | |||
Other Operating Expenses [Line Items] | |||
Settlement received | £ 4 | ₩ 6.7 | |
Tax Disputes in Turkey | Turkey | BAT Tutun | |||
Other Operating Expenses [Line Items] | |||
Tax installment amount | £ 47 | ||
Number of tax payment instalment | INSTALMENT | 18 | ||
Tax Disputes in Turkey | Turkey | BAT Tutun | Excise and penalties disputes | |||
Other Operating Expenses [Line Items] | |||
Tax installment amount | £ 30 | ||
Tax Disputes in Turkey | Turkey | BAT Tutun | Interest in net finance costs | |||
Other Operating Expenses [Line Items] | |||
Tax installment amount | 11 | ||
Tax Disputes in Turkey | Turkey | BAT Tutun | Taxation | |||
Other Operating Expenses [Line Items] | |||
Tax installment amount | £ 6 |
Other Operating Expenses - DOJ
Other Operating Expenses - DOJ and OFAC investigations - Additional Information (Details) £ in Millions | 1 Months Ended | 12 Months Ended | ||||||||
Apr. 25, 2023 | Oct. 31, 2023 GBP (£) | Oct. 31, 2023 USD ($) | Apr. 30, 2023 GBP (£) | Apr. 30, 2023 USD ($) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 GBP (£) | Dec. 31, 2023 USD ($) | |
Other Operating Expenses [Line Items] | ||||||||||
Trade and other payables | £ 9,700 | £ 10,449 | ||||||||
Other provisions | 845 | |||||||||
– increase in trade and other payables | 640 | 3 | £ 183 | |||||||
DOJ and OFAC investigations | ||||||||||
Other Operating Expenses [Line Items] | ||||||||||
Agreement term | 3 years | |||||||||
Trade and other payables | $ | $ 635,000,000 | |||||||||
– increase in trade and other payables | £ (258) | $ (321,000,000) | £ (4) | $ (5,000,000) | 75 | |||||
Other provisions | ||||||||||
Other Operating Expenses [Line Items] | ||||||||||
Other provisions | £ 240 | 187 | ||||||||
Other provisions | DOJ and OFAC investigations | ||||||||||
Other Operating Expenses [Line Items] | ||||||||||
Other provisions | £ 450 | $ 540,000,000 |
Other Operating Expenses - Char
Other Operating Expenses - Charges in Respect of Nigerian FCCPC Case - Additional Information (Details) - Competition investigations - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Operating Expenses [Line Items] | |||
Other adjusting items in other operating expenses | £ 0 | £ 79 | £ 0 |
Nigerian court | |||
Other Operating Expenses [Line Items] | |||
Other adjusting items in other operating expenses | £ 79 |
Other Operating Expenses - Asse
Other Operating Expenses - Assets held for sale - Additional Information (Details) £ in Millions | 12 Months Ended | ||||
Sep. 13, 2023 GBP (£) subsidiary | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Mar. 11, 2022 subsidiary | |
Other Operating Expenses [Line Items] | |||||
(Reversals)/charges in respect of assets held-for-sale | £ (195) | £ 612 | £ 0 | ||
Provisions utilised | 222 | 177 | |||
Russia | |||||
Other Operating Expenses [Line Items] | |||||
Number of subsidiaries | subsidiary | 2 | 2 | |||
Russian and Belarusian Businesses | |||||
Other Operating Expenses [Line Items] | |||||
Provisions utilised | £ 195 | ||||
Proceeds from disposal | £ 425 | ||||
BAT Russia | Discontinued operations | |||||
Other Operating Expenses [Line Items] | |||||
Impairment charges and associated costs | 554 | ||||
(Reversals)/charges in respect of assets held-for-sale | 58 | ||||
Provisions utilised | 14 | ||||
Impairment loss recognised in profit or loss | 345 | £ 554 | |||
BAT Russia | Discontinued operations | Cost | |||||
Other Operating Expenses [Line Items] | |||||
Net assets classified as held for sale | £ 770 |
Other operating expenses - Braz
Other operating expenses - Brazil Social Contributions (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Operating Expenses [Line Items] | |||
Social security costs | £ 219 | £ 201 | £ 185 |
Brazil | |||
Other Operating Expenses [Line Items] | |||
Miscellaneous other operating expense | 47 | ||
Social security costs | 2 | £ 12 | |
Brazil | Other provisions [member] | |||
Other Operating Expenses [Line Items] | |||
Miscellaneous other operating expense | 40 | ||
Brazil | Trade and other payables | |||
Other Operating Expenses [Line Items] | |||
Miscellaneous other operating expense | £ 7 |
Other operating expenses - Sust
Other operating expenses - Sustainability Costs (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Operating Expenses [Line Items] | |||
Recycling costs | £ 27 | ||
Renewable energy attribute certificates cost | 2 | ||
Inventory write-offs | 250 | £ 250 | £ 215 |
Weather | |||
Other Operating Expenses [Line Items] | |||
Inventory write-offs | £ 9 |
Other Operating Expenses - Su_2
Other Operating Expenses - Summary of Auditor's Remuneration (Details) - KPMG LLP Firms and Associates - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Operating Expenses [Line Items] | |||
Fees payable for other services | £ 8 | £ 8.2 | £ 8.7 |
audit-related assurance services | |||
Other Operating Expenses [Line Items] | |||
Fees payable for other services | 6.9 | 7.1 | 8 |
other assurance services | |||
Other Operating Expenses [Line Items] | |||
Fees payable for other services | 0.9 | 0.9 | 0.3 |
tax advisory services | |||
Other Operating Expenses [Line Items] | |||
Fees payable for other services | 0 | 0 | 0 |
tax compliance | |||
Other Operating Expenses [Line Items] | |||
Fees payable for other services | 0 | 0 | 0 |
audit of defined benefit schemes of the Company | |||
Other Operating Expenses [Line Items] | |||
Fees payable for other services | 0.2 | 0.2 | 0.4 |
other non-audit services | |||
Other Operating Expenses [Line Items] | |||
Fees payable for other services | 0 | 0 | 0 |
Other firms | |||
Other Operating Expenses [Line Items] | |||
Total audit fees expense | 0.2 | 0.2 | 0.2 |
Audit providers | |||
Other Operating Expenses [Line Items] | |||
Total audit fees expense | 21 | 20.6 | 18.4 |
Parent Company and Group Audit | |||
Other Operating Expenses [Line Items] | |||
Total audit fees expense | 11.4 | 9.4 | 8.7 |
Local Statutory and Group Reporting Audits | |||
Other Operating Expenses [Line Items] | |||
Total audit fees expense | 9.4 | 11 | 9.5 |
Parent Company Local Statutory And Group Audits | |||
Other Operating Expenses [Line Items] | |||
Total audit fees expense | £ 20.8 | £ 20.4 | £ 18.2 |
Other Operating Expenses - Audi
Other Operating Expenses - Auditor's Remuneration - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Operating Expenses [Line Items] | |||
Auditor’s remuneration | £ 29 | £ 29 | £ 27 |
KPMG LLP Firms and Associates | |||
Other Operating Expenses [Line Items] | |||
Auditor’s remuneration | 28.8 | 28.6 | 26.9 |
KPMG LLP Firms and Associates | SEC Regulations | |||
Other Operating Expenses [Line Items] | |||
Auditor’s remuneration | 28.8 | 28.6 | 26.9 |
Remuneration of auditor, other audit-related fees | 0.2 | 0.2 | 0.4 |
Remuneration of auditor, tax fees | 0 | 0 | 0 |
Remuneration of auditor, all other fees | 0.9 | 0.9 | 0.3 |
Accounting firms | SEC Regulations | |||
Other Operating Expenses [Line Items] | |||
Remuneration of auditor, audit fees | £ 27.7 | £ 27.5 | £ 26.2 |
Restructuring and Integration_3
Restructuring and Integration Costs - Summary of Cost of Initiatives in Profit from Operations (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Expenses by nature [abstract] | |||
Employee benefit costs | £ (26) | £ 315 | £ 160 |
Depreciation, amortisation and impairment costs | (39) | (220) | 11 |
Other operating income | (1) | ||
Other operating expenses | (15) | 237 | 1 |
Business combination integration cost | £ (2) | £ 771 | £ 150 |
Restructuring and Integration_4
Restructuring and Integration Costs - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Expense Of Restructuring Activities [Line Items] | |||
Employee benefit costs | £ (26) | £ 315 | £ 160 |
Depreciation and impairment income (cost) | 39 | 220 | (11) |
Other operating expenses | (15) | £ 237 | 1 |
Quantum provision | |||
Expense Of Restructuring Activities [Line Items] | |||
Depreciation and impairment income (cost) | (7) | ||
Macro-economic | |||
Expense Of Restructuring Activities [Line Items] | |||
Depreciation and impairment income (cost) | 46 | ||
Site clean up costs | |||
Expense Of Restructuring Activities [Line Items] | |||
Other operating expenses | (3) | ||
Machinery | |||
Expense Of Restructuring Activities [Line Items] | |||
Reversal of impairment loss | £ 4 | ||
Reynolds American | |||
Expense Of Restructuring Activities [Line Items] | |||
Reversal of accrual related to shareholders litigation claims | 59 | ||
Factory rationalisation partial reversal of previously estimated impairment | |||
Expense Of Restructuring Activities [Line Items] | |||
Depreciation, amortisation and impairment costs | (25) | ||
Myanmar | |||
Expense Of Restructuring Activities [Line Items] | |||
Quantum initiatives charge | 27 | ||
Quantum initiatives foreign exchange reclassified from equity included in total charge | £ 4 |
Net finance costs - Summary of
Net finance costs - Summary of Net Finance Costs/(Income) (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net Finance Costs [Abstract] | |||
Interest expense | £ 1,786 | £ 1,602 | £ 1,436 |
Interest expense on lease liabilities | 30 | 25 | 24 |
Facility fees | 19 | 21 | 33 |
Interest and fair value related to early repurchase of bonds | 29 | 0 | 0 |
Interest related to adjusting tax payables | 36 | 31 | |
Fair value changes on derivative financial instruments, hedged items and investments | 599 | (473) | 252 |
Fair value change on other financial items | (4) | (2) | 24 |
Exchange differences | (449) | 524 | (279) |
Finance costs | 2,081 | 1,733 | 1,521 |
Interest income under the effective interest method | (186) | (92) | (35) |
Finance income | (186) | (92) | (35) |
Net finance costs | £ 1,895 | £ 1,641 | £ 1,486 |
Net finance costs - Additional
Net finance costs - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Oct. 31, 2020 | |
Disclosure Of Finance Income And Costs [Line Items] | ||||
Tender offer | £ 3,133 | |||
Tender offer accrued interest | £ 43 | |||
Fair value loss on debt-related derivatives | £ 599 | £ (473) | £ 252 | |
Gain on repurchase of bonds | 129 | |||
Transaction costs on repurchase of bonds | 7 | |||
Interest related to adjusting tax payables | 36 | 31 | ||
Differences on exchange | (292) | 431 | (253) | |
Restricted cash | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Income on cash and cash equivalents | 97 | 42 | ||
Derivatives | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Fair value loss on debt-related derivatives | 151 | |||
Adjusting items which have been adjusted within net finance costs | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Provision charged to net finance costs against non-current investments | 24 | |||
Provision reversal | 4 | (17) | ||
Russia | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Differences on exchange | 15 | |||
Adjusting items which have been adjusted within net finance costs | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Interest related to adjusting tax payables | 71 | 36 | 31 | |
Adjusting items which have been adjusted within net finance costs | Interest on tax payables including FIIGLO | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Interest related to adjusting tax payables | 60 | 33 | 20 | |
Adjusting items which have been adjusted within net finance costs | Netherlands | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Interest related to adjusting tax payables | 16 | |||
Adjusting items which have been adjusted within net finance costs | Switzerland | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Interest related to adjusting tax payables | (3) | |||
Adjusting items which have been adjusted within net finance costs | Russia | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Interest related to adjusting tax payables | £ (2) | |||
Adjusting items which have been adjusted within net finance costs | Factory closure in switzerland | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Interest related to adjusting tax payables | £ 3 | |||
Adjusting items which have been adjusted within net finance costs | Amnesty tax payment in Turkey | ||||
Disclosure Of Finance Income And Costs [Line Items] | ||||
Interest related to adjusting tax payables | £ 11 |
Associates and Joint Ventures -
Associates and Joint Ventures - Schedule of Profit Loss of Associates and Joint Ventures Accounted for Using Equity Method (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
Profit from operations | (15,751) | 10,523 | 10,234 | |
Net finance income | (1,895) | (1,641) | (1,486) | |
Loss before taxation | (17,061) | 9,324 | 9,163 | |
Taxation on ordinary activities | 2,872 | (2,478) | (2,189) | |
(Loss)/profit for the year | (14,189) | 6,846 | 6,974 | |
Non-controlling interests | (178) | (180) | (173) | |
Share of post-tax results of associates and joint ventures | 585 | 442 | 415 | |
Associates and JVs | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Revenue | 9,412 | 9,486 | 7,668 | |
Profit from operations | 2,596 | 1,971 | 1,911 | |
Net finance income | 15 | 21 | 13 | |
Loss before taxation | 2,611 | 1,992 | 1,924 | |
Taxation on ordinary activities | (664) | (595) | (499) | |
(Loss)/profit for the year | 1,947 | 1,397 | 1,425 | |
Non-controlling interests | (28) | (27) | (22) | |
Share of post-tax results of associates and joint ventures | 1,919 | 1,370 | 1,403 | |
Groups Share in Associates and Joint Ventures | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Revenue | 2,630 | 2,675 | 2,164 | |
Profit from operations | 783 | 622 | 567 | |
Net finance income | 4 | 4 | 2 | |
Loss before taxation | 787 | 626 | 569 | |
Taxation on ordinary activities | (194) | (176) | (147) | |
(Loss)/profit for the year | 593 | 450 | 422 | |
Non-controlling interests | (8) | (8) | (7) | |
Share of post-tax results of associates and joint ventures | £ 585 | £ 442 | £ 415 | |
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Associates and Joint Ventures_2
Associates and Joint Ventures - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Intangible assets | £ 95,562 | £ 129,075 | £ 115,625 | |
ITC Ltd. | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Ownership interest in associates | 29.02% | 29.19% | 29.38% | 29.42% |
Adjustments for gain (loss) on disposal of investments in subsidiaries, joint ventures and associates | £ 40 | £ (3) | £ 6 | |
Share of loss of associates | £ 2 | |||
Organigram Inc. | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Ownership interest in associates | 19% | |||
Impairment loss, net of tax | £ 34 | 59 | ||
Intangible assets | 0 | |||
Amortisation of acquired intangibles | 0 | 2 | 2 | |
Impairment loss recognised in profit or loss | £ 36 | £ 65 | ||
Kamaran Industry & Investment Company | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Impairment loss recognised in profit or loss | 18 | |||
Tisak d.d. | ||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||
Reclassified foreign exchange previously recognised in other comprehensive income | £ 2 |
Associates and Joint Ventures_3
Associates and Joint Ventures - Summary of Group's Share of the Result of Associates and Joint Ventures (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Analysis Of Other Comprehensive Income By Item [Line Items] | |||
Share of post-tax results of associates and joint ventures | £ 585 | £ 442 | £ 415 |
Other comprehensive income: | |||
Items that may be reclassified to profit and loss | (107) | 6 | (17) |
Items that will not be reclassified to profit and loss | (5) | 19 | 14 |
Groups Share in Associates and Joint Ventures | |||
Disclosure Of Analysis Of Other Comprehensive Income By Item [Line Items] | |||
Share of post-tax results of associates and joint ventures | 585 | 442 | 415 |
Other comprehensive income: | |||
Items that may be reclassified to profit and loss | (107) | 6 | (17) |
Items that will not be reclassified to profit and loss | (5) | 19 | 14 |
Total comprehensive income (note 9) | £ 473 | £ 467 | £ 412 |
Associates and Joint Ventures_4
Associates and Joint Ventures - Summary of Financial Information of the Group's Associates and Joint Ventures (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure of Associate and Joint Venture Results and Other Comprehensive Income [Line Items] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
Loss before taxation | (17,061) | 9,324 | 9,163 | |
Post-tax results of associates and joint ventures | 585 | 442 | 415 | |
Other comprehensive (expense)/income for the year | (3,374) | 8,707 | 822 | |
Total comprehensive income | (17,563) | 15,553 | 7,796 | |
ITC Ltd. | ||||
Disclosure of Associate and Joint Venture Results and Other Comprehensive Income [Line Items] | ||||
Revenue | 6,805 | 7,126 | 5,312 | |
Loss before taxation | 2,813 | 2,395 | 1,931 | |
Post-tax results of associates and joint ventures | 2,121 | 1,761 | 1,427 | |
Other comprehensive (expense)/income for the year | (368) | 56 | (11) | |
Total comprehensive income | 1,753 | 1,817 | 1,416 | |
Other associates | ||||
Disclosure of Associate and Joint Venture Results and Other Comprehensive Income [Line Items] | ||||
Revenue | 2,607 | 2,360 | 2,356 | |
Loss before taxation | (202) | (403) | (7) | |
Post-tax results of associates and joint ventures | (202) | (391) | (24) | |
Other comprehensive (expense)/income for the year | (20) | 32 | 0 | |
Total comprehensive income | (222) | (359) | (24) | |
Associates and Joint Ventures | ||||
Disclosure of Associate and Joint Venture Results and Other Comprehensive Income [Line Items] | ||||
Revenue | 9,412 | 9,486 | 7,668 | |
Loss before taxation | 2,611 | 1,992 | 1,924 | |
Post-tax results of associates and joint ventures | 1,919 | 1,370 | 1,403 | |
Other comprehensive (expense)/income for the year | (388) | 88 | (11) | |
Total comprehensive income | £ 1,531 | £ 1,458 | £ 1,392 | |
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Taxation on Ordinary Activiti_3
Taxation on Ordinary Activities - Summary of Taxation on Ordinary Activities (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Major Components Of Tax Expense Income [Line Items] | |||
Total current tax | £ 2,811 | £ 2,718 | £ 2,376 |
– adjustments in respect of prior periods | (13) | 41 | (43) |
Deferred tax | (5,683) | (240) | (187) |
– deferred tax relating to origination and reversal of temporary differences | (5,577) | (174) | (29) |
Deferred tax relating to changes in tax rates | (106) | (66) | (158) |
Taxation on ordinary activities | (2,872) | 2,478 | 2,189 |
United Kingdom | |||
Major Components Of Tax Expense Income [Line Items] | |||
Total current tax | 32 | (3) | (25) |
– current year tax expense | 20 | 2 | 1 |
– adjustments in respect of prior periods | 12 | (5) | (26) |
All foreign countries | |||
Major Components Of Tax Expense Income [Line Items] | |||
Total current tax | 2,779 | 2,721 | 2,401 |
– current year tax expense | 2,804 | 2,675 | 2,418 |
– adjustments in respect of prior periods | £ (25) | £ 46 | £ (17) |
Taxation on Ordinary Activiti_4
Taxation on Ordinary Activities - Additional Information (Details) £ in Millions | 1 Months Ended | 12 Months Ended | 24 Months Ended | |||||
Jul. 31, 2021 GBP (£) | Nov. 30, 2016 CLASSACTION | Dec. 31, 2023 GBP (£) CorporateGroup | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2015 GBP (£) payment | Dec. 31, 2014 GBP (£) | Dec. 31, 2023 GBP (£) | |
Income Tax Disclosure [Line Items] | ||||||||
Interest related to adjusting tax payables | £ 36 | £ 31 | ||||||
Corporation tax rate | 23.50% | 19% | 19% | |||||
Adjusting items in tax | £ (73) | £ (27) | £ (91) | |||||
Tax on adjusting items | (5,415) | (176) | (119) | |||||
Non-controlling interests' share of the adjusting items net of tax | 1 | 5 | 6 | |||||
Perpetual hybrid bonds | ||||||||
Income Tax Disclosure [Line Items] | ||||||||
Tax relief on issuance cost and coupon incurred | 14 | 11 | 5 | |||||
Adjusting items which have been adjusted within net finance costs | ||||||||
Income Tax Disclosure [Line Items] | ||||||||
Interest related to adjusting tax payables | £ 71 | 36 | 31 | |||||
Interest on tax payables including FIIGLO | ||||||||
Income Tax Disclosure [Line Items] | ||||||||
Number of corporate groups in FII GLO | CorporateGroup | 17 | |||||||
Litigation settlement amount ordered by court | £ 1,200 | |||||||
Number of hearings to be appealed | CLASSACTION | 2 | |||||||
Litigation settlement amount, applying judgement | £ 300 | |||||||
Litigation settlement amount received | £ 1,224 | |||||||
Number of payments | payment | 2 | |||||||
Tax on litigation settlement | £ 261 | |||||||
Tax rate on litigation settlement | 45% | |||||||
Litigation settlement amount received after tax | £ 900 | £ 963 | ||||||
Interim repayment made on litigation settlement | £ 50 | |||||||
Interest on tax payables including FIIGLO | Adjusting items which have been adjusted within net finance costs | ||||||||
Income Tax Disclosure [Line Items] | ||||||||
Interest related to adjusting tax payables | £ 60 | £ 33 | £ 20 |
Taxation on Ordinary Activiti_5
Taxation on Ordinary Activities - Summary of Factors Affecting the Taxation Charge (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Major components of tax expense (income) [abstract] | |||
(Loss)/profit before taxation | £ (17,061) | £ 9,324 | £ 9,163 |
Share of post-tax results of associates and joint ventures | (585) | (442) | (415) |
Profit before tax excluding associates and joint ventures | (17,646) | 8,882 | 8,748 |
Tax at 23.5% (2022: 19% and 2021: 19%) on the above | (4,147) | 1,688 | 1,662 |
Tax at standard rates other than UK corporation tax rate | 619 | 397 | 319 |
Other national tax charges | 310 | 244 | 184 |
Permanent differences | 845 | 83 | 87 |
Overseas withholding taxes | 179 | 156 | 189 |
Double taxation relief on UK profits | (46) | (26) | (23) |
(Utilised)/unutilised tax losses | (15) | 12 | (10) |
Adjustments in respect of prior periods | (13) | 41 | (43) |
Deferred tax relating to changes in tax rates | (106) | (66) | (158) |
Additional net deferred tax (credits)/charges | (498) | (51) | (18) |
Taxation on ordinary activities | £ (2,872) | £ 2,478 | £ 2,189 |
Tax at 23.5% (2022: 19% and 2021: 19%) on the above | 23.50% | 19% | 19% |
Tax at standard rates other than UK corporation tax rate, percentage | (3.50%) | 4.50% | 3.60% |
Other national tax charges, percentage | (1.80%) | 2.70% | 2.10% |
Permanent differences, percentage | (4.80%) | 0.90% | 1% |
Overseas withholding taxes, percentage | (1.00%) | 1.80% | 2.20% |
Double taxation relief on UK profits, percentage | (0.30%) | 0.30% | 0.30% |
(Utilised)/unutilised tax losses, percentage | 0.10% | 0.10% | (0.10%) |
Adjustments in respect of prior periods, percentage | 0.10% | 0.50% | (0.50%) |
Deferred tax relating to changes in tax rates, percentage | 0.60% | (0.70%) | (1.80%) |
Additional net deferred tax (credits)/charges, percentage | 2.80% | (0.60%) | (0.20%) |
Total average effective tax rate | 16.30% | 27.90% | 25% |
Taxation on Ordinary Activiti_6
Taxation on Ordinary Activities - Summary of Tax on Items Recognised Directly in Other Comprehensive Income (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Major components of tax expense (income) [abstract] | |||
Current tax | £ (5) | £ (6) | £ (4) |
Deferred tax | 12 | (106) | (110) |
(Charged)/credited to other comprehensive income | £ 7 | £ (112) | £ (114) |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Reconciliation of Earnings Used To Calculate Earnings Per Share (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings per share [abstract] | |||
(Loss)/earnings attributable to owners of the parent | £ (14,367) | £ 6,666 | £ 6,801 |
Coupon on perpetual hybrid bonds | (59) | (60) | (15) |
Tax on coupon on perpetual hybrid bonds | 14 | 11 | 3 |
(Loss)/earnings | £ (14,412) | £ 6,617 | £ 6,789 |
Earnings Per Share - Summary _2
Earnings Per Share - Summary of Reconciliation from Basic to Diluted Earnings Per Share (Details) - GBP (£) £ / shares in Units, £ in Millions, shares in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings per share [abstract] | |||
Price per ordinary shares (in GBP pence per share) | £ 0.25 | ||
Basic (loss)/earnings per share (ordinary shares of 25p each), Earnings | £ (14,412) | £ 6,617 | £ 6,789 |
Diluted (loss)/earnings per share, Earnings | £ (14,412) | £ 6,617 | £ 6,789 |
Basic (loss)/earnings per share (ordinary shares of 25p each), Weighted average number of shares (in shares) | 2,229 | 2,256 | 2,287 |
Share options, Weighted average number of shares (in shares) | 11 | 10 | |
Diluted (loss)/earnings per share, Weighted average number of shares (in shares) | 2,229 | 2,267 | 2,297 |
Basic (loss)/earnings per share (in GBP per share) | £ (6.466) | £ 2.933 | £ 2.969 |
Share options (in GBP pence per share) | (0.014) | (0.014) | (0.013) |
Diluted (loss)/earnings per share (in GBP per share) | £ (6.466) | £ 2.919 | £ 2.956 |
Earnings Per Share - Summary _3
Earnings Per Share - Summary of Adjusted Earnings Per Share (Details) - GBP (£) £ / shares in Units, £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Adjustments to reconcile profit (loss) to numerator used in calculating basic earnings per share [abstract] | |||
Basic (loss)/earnings | £ (14,412) | £ 6,617 | £ 6,789 |
Effect of amortisation and impairment of goodwill, trademarks and similar intangibles | 27,816 | 285 | 363 |
Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles | (5,390) | (67) | (71) |
Net effect of excise and VAT cases | (167) | (460) | 26 |
Tax on excise and VAT cases | 41 | 72 | (3) |
Effect of disposal of subsidiaries | 546 | (6) | 358 |
Effect of Brazil other taxes | 47 | 0 | 0 |
Tax on Brazil other taxes | 16 | 0 | 0 |
Effect of charges in respect of DOJ and OFAC investigations | 75 | 450 | 0 |
Effect of charges in respect of Nigerian FCCPC case | 0 | 79 | 0 |
Effect of planned disposal of subsidiaries | (195) | 612 | 0 |
Tax on planned disposal of subsidiaries | 0 | 10 | 0 |
Effect of restructuring and integration costs | (2) | 771 | 150 |
Tax and non-controlling interests on restructuring and integration costs | (3) | (116) | (39) |
Other adjusting items | 96 | 154 | 19 |
Tax effect on other adjusting items | (22) | (37) | (5) |
Effect of early repurchase of bonds | 29 | 0 | 0 |
Tax effect of early repurchase of bonds | 8 | 0 | 0 |
Effect of interest on FII GLO settlement and other | 67 | 34 | 55 |
Tax effect of interest on FII GLO settlement and other | (18) | (6) | 0 |
Effect of associates' adjusting items net of tax | (8) | 92 | 12 |
Deferred tax relating to changes in tax rates | (97) | (44) | (98) |
Adjusting items in tax | 24 | 0 | 0 |
Adjusted (loss)/earnings (basic) | £ 8,403 | £ 8,420 | £ 7,556 |
Basic earnings per share [abstract] | |||
Basic (loss)/earnings per share (in GBP per share) | £ (6.466) | £ 2.933 | £ 2.969 |
Effect of amortisation and impairment of goodwill, trademarks and similar intangibles (in GBP per share) | 12.479 | 0.126 | 0.159 |
Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles per share (in GBP per share) | (2.418) | (0.030) | (0.031) |
Effect of Brazil excise & VAT case (in GBP per share) | (0.075) | (0.204) | 0.011 |
Tax on Brazil excise & VAT case (in GBP per share) | 0.018 | 0.032 | (0.001) |
Effect of disposal of subsidiaries (in GBP per share) | 0.245 | (0.003) | 0.157 |
Effect of excise and VAT disputes (in GBP per share) | 0.021 | 0 | 0 |
Tax on excise and VAT disputes (in GBP per share) | (0.007) | 0 | 0 |
Effect of charges in respect of DOJ and OFAC investigations (in GBP per share) | 0.034 | 0.199 | 0 |
Effect of charges in respect of Nigerian FCCPC case (in GBP per share) | 0 | 0.035 | 0 |
Effect of impairment on held-for-sale assets and associated costs (in GBP per share) | (0.087) | 0.272 | 0 |
Tax effect of impairment of assets held-for-sale and associated costs (in GBP per share) | 0 | (0.004) | 0 |
Effect of restructuring and integration costs (in GBP per share) | (0.001) | 0.342 | 0.065 |
Tax and non-controlling interests on restructuring and integration costs (in GBP per share) | (0.001) | (0.051) | (0.017) |
Other adjusting items (in GBP per share) | 0.043 | 0.068 | 0.008 |
Tax effect on other adjusting items (in GBP per share) | (0.010) | (0.016) | (0.002) |
Effect of early repurchase of bonds (in GBP per share) | 0.013 | 0 | 0 |
Tax effect of early repurchase of bonds (in GBP per share) | (0.004) | 0 | 0 |
Effect of interest on FII GLO settlement and other (in GBP per share) | 0.030 | 0.015 | 0.024 |
Tax effect of interest on FII GLO settlement and other (in GBP per share) | (0.008) | (0.003) | 0 |
Effect of associates' adjusting items net of tax (in GBP per share) | (0.004) | 0.041 | 0.005 |
Deferred tax relating to changes in tax rates (in GBP per share) | (0.044) | (0.020) | (0.043) |
Effect of adjusting items in tax (in GBP per share) | 0.012 | 0 | 0 |
Adjusted (loss)/earnings per share (basic) (GBP per share) | £ 3.770 | £ 3.732 | £ 3.304 |
Adjustments to reconcile profit (loss) to numerator used in calculating diluted earnings per share [Abstract] | |||
Diluted (loss)/earnings per share | £ (14,412) | £ 6,617 | £ 6,789 |
Effect of amortisation and impairment of goodwill, trademarks and similar intangibles | 27,816 | 285 | 363 |
Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles | (5,390) | (67) | (71) |
Net effect of excise and VAT cases | (167) | (460) | 26 |
Tax on excise and VAT cases | 41 | 72 | (3) |
Effect of disposal of subsidiaries | 546 | (6) | 358 |
Effect of Brazil other taxes | 47 | 0 | 0 |
Tax on Brazil other taxes | (16) | 0 | 0 |
Effect of charges in respect of DOJ and OFAC investigations | 75 | 450 | 0 |
Effect of charges in respect of Nigerian FCCPC case | 0 | 79 | 0 |
Effect of planned disposal of subsidiaries | (195) | 612 | 0 |
Tax on planned disposal of subsidiaries | 0 | (10) | 0 |
Effect of restructuring and integration costs | (2) | 771 | 150 |
Tax and non-controlling interests on restructuring and integration costs | (3) | (116) | (39) |
Other adjusting items | 96 | 154 | 19 |
Tax effect on other adjusting items | (22) | (37) | (5) |
Effect of early repurchase of bonds | 29 | 0 | 0 |
Tax effect of early repurchase of bonds | (8) | 0 | 0 |
Effect of interest on FII GLO settlement and other | 67 | 34 | 55 |
Tax effect of interest on FII GLO settlement and other | (18) | (6) | 0 |
Effect of associates' adjusting items net of tax | (8) | 92 | 12 |
Deferred tax relating to changes in tax rates | (97) | (44) | (98) |
Adjusting items in tax | 24 | 0 | |
Adjusted (loss)/earnings (diluted) | £ 8,403 | £ 8,420 | £ 7,556 |
Diluted earnings per share [abstract] | |||
Diluted (loss)/earnings per share (in GBP per share) | £ (6.466) | £ 2.919 | £ 2.956 |
Effect of amortisation and impairment of goodwill, trademarks and similar intangibles per share (in GBP per share) | 12.479 | 0.126 | 0.158 |
Tax and non-controlling interests on amortisation and impairment of goodwill, trademarks and similar intangibles per share (in GBP per share) | (2.418) | (0.030) | (0.031) |
Effect of Brazil excise & VAT case per share (in GBP per share) | (0.075) | (0.203) | 0.011 |
Tax on Brazil excise & VAT case per share (in GBP per share) | 0.018 | 0.032 | (0.001) |
Effect of disposal of subsidiaries (in GBP per share) | 0.245 | (0.003) | 0.156 |
Effect of excise and VAT disputes (in GBP per share) | 0.021 | 0 | 0 |
Tax on excise and VAT disputes (in GBP per share) | (0.007) | 0 | 0 |
Effect of charges in respect of DOJ and OFAC investigations (in GBP per share) | 0.034 | 0.199 | 0 |
Effect of charges in respect of Nigerian FCCPC case (in GBP per share) | 0 | 0.035 | 0 |
Effect of impairment on held-for-sale assets and associated costs (in GBP per share) | (0.087) | 0.268 | 0 |
Tax on effect of disposal of subsidiaries Tax effect of impairment of assets held-for-sale and associated costs (in GBP per share) | 0 | (0.004) | 0 |
Effect of restructuring and integration costs per share (in GBP per share) | (0.001) | 0.340 | 0.066 |
Tax and non-controlling interests on restructuring and integration costs (in GBP per share) | (0.001) | (0.051) | (0.017) |
Other adjusting items per share (in GBP per share) | 0.043 | 0.068 | 0.008 |
Tax effect on other adjusting items (in GBP per share) | (0.010) | (0.016) | (0.002) |
Effect of early repurchase of bonds (in GBP per share) | 0.013 | 0 | 0 |
Tax effect of early repurchase of bonds (in GBP per share) | (0.004) | 0 | 0 |
Effect of interest on FII GLO settlement and other (in GBP per share) | 0.030 | 0.015 | 0.024 |
Tax effect of interest on FII GLO settlement and other (in GBP per share) | (0.008) | (0.003) | 0 |
Effect of associates' adjusting items net of tax (in GBP per share) | (0.004) | 0.041 | 0.005 |
Deferred tax relating to changes in tax rates (in GBP per share) | (0.044) | (0.019) | (0.043) |
Effect of adjusting items in tax (in GBP per share) | 0.012 | 0 | |
Impact of dilution (in GBP pence per share) | (0.014) | (0.014) | (0.013) |
Adjusted (loss)/earnings per share (diluted) (GBP per share) | £ 3.756 | £ 3.714 | £ 3.290 |
Earnings Per Share - Summary _4
Earnings Per Share - Summary of Headline Earnings Per Share (Details) - GBP (£) £ / shares in Units, £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Basic earnings per share [abstract] | |||
Basic (loss)/earnings | £ (14,412) | £ 6,617 | £ 6,789 |
Effect of impairment of intangibles, property, plant and equipment, associates and assets held-for-sale | 27,800 | 429 | 138 |
Tax and non-controlling interests on intangibles, property, plant and equipment, associates and assets held-for-sale | (5,430) | (77) | (42) |
Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback | (125) | (21) | (10) |
Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback | 27 | 5 | 2 |
Effect of impairment of subsidiaries transferred to held-for-sale and associated costs | (203) | 548 | 83 |
Tax on impairment of subsidiaries and associated costs | 0 | 10 | 0 |
Issue of shares and change in shareholding of an associate | (40) | 3 | (6) |
Headline earnings per share (basic) | £ (8,169) | £ 7,499 | £ 7,243 |
Basic (loss)/earnings per share (in GBP per share) | £ (6.466) | £ 2.933 | £ 2.969 |
Effect of impairment of intangibles, property, plant and equipment, and assets held for sale (in GBP per share) | 12.472 | 0.190 | 0.060 |
Tax and non-controlling interests on impairment of intangibles, and property, plant and equipment per share (in GBP per share) | (2.436) | (0.034) | (0.018) |
Effect of (gains)/losses on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (in GBP per share) | (0.056) | (0.009) | (0.004) |
Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (in GBP per share) | 0.012 | 0.002 | 0.001 |
Effect of impairment of subsidiaries (in GBP per share) | (0.091) | 0.242 | 0.036 |
Tax on impairment of subsidiaries (in GBP per share) | 0 | (0.004) | 0 |
Issue of shares and change in shareholding in associate per share (in GBP per share) | (0.018) | 0.001 | (0.003) |
Headline (loss)/earnings per share (basic) (in GBP per share) | £ 3.665 | £ 3.324 | £ 3.167 |
Diluted earnings per share [abstract] | |||
Diluted (loss)/earnings per share | £ (14,412) | £ 6,617 | £ 6,789 |
Effect of impairment of intangibles, property, plant and equipment, associates and assets held-for-sale | 27,800 | 429 | 138 |
Tax and non-controlling interests on intangibles, property, plant and equipment, associates and assets held-for-sale | (5,430) | (77) | (42) |
Effect of gains on disposal of property, plant and equipment, trademarks, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback | (125) | (21) | (10) |
Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback | 27 | 5 | 2 |
Effect of impairment of subsidiaries transferred to held-for-sale and associated costs | (203) | 548 | 83 |
Tax on impairment of subsidiaries and associated costs | 0 | 10 | 0 |
Issue of shares and change in shareholding of an associate | (40) | 3 | (6) |
Headline earnings per share (diluted) | £ 8,169 | £ 7,499 | £ 7,243 |
Basic (loss)/earnings (in GBP per share) | £ (6.466) | £ 2.933 | £ 2.969 |
Diluted (loss)/earnings per share (in GBP per share) | (6.466) | 2.919 | 2.956 |
Effect of impairment of intangibles, property, plant and equipment, and assets held for sale per share (in GBP per share) | 12.472 | 0.189 | 0.060 |
Tax and non-controlling interests on impairment of intangibles, and property, plant and equipment per share (in GBP per share) | (2.436) | (0.034) | (0.018) |
Effect of (gains)/losses on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (in GBP per share) | (0.056) | (0.009) | (0.004) |
Tax and non-controlling interests on disposal of property, plant and equipment, held-for-sale assets, partial/full termination of IFRS 16 leases, and sale and leaseback (in GBP per share) | 0.012 | 0.002 | 0.001 |
Effect of impairment in subsidiaries (in GBP per share) | (0.091) | 0.241 | 0.036 |
Tax on impairment of subsidiaries (in GBP per share) | 0 | (0.004) | 0 |
Issue of shares and change in shareholding in associate (in GBP per share) | (0.018) | 0.001 | (0.003) |
Headline (loss)/earnings per share (diluted) | £ 3.665 | £ 3.308 | £ 3.153 |
- Subsidiaries | |||
Basic earnings per share [abstract] | |||
Effect of foreign exchange reclassification from reserves to the income statement | £ 552 | £ 6 | £ 291 |
Effect of foreign exchange reclassification from reserves to the income statement (in GBP per share) | £ 0.248 | £ 0.003 | £ 0.127 |
Diluted earnings per share [abstract] | |||
Effect of foreign exchange reclassification from reserves to the income statement | £ 552 | £ 6 | £ 291 |
Effect of foreign exchange reclassification from reserves to the income statement (in GBP per share) | £ 0.248 | £ 0.003 | £ 0.126 |
Associates | |||
Basic earnings per share [abstract] | |||
Effect of foreign exchange reclassification from reserves to the income statement | £ 0 | £ (1) | £ (2) |
Effect of foreign exchange reclassification from reserves to the income statement (in GBP per share) | £ 0 | £ 0 | £ (0.001) |
Diluted earnings per share [abstract] | |||
Effect of foreign exchange reclassification from reserves to the income statement | £ 0 | £ (1) | £ (2) |
Effect of foreign exchange reclassification from reserves to the income statement (in GBP per share) | £ 0 | £ 0 | £ (0.001) |
Intangible assets (revised) - S
Intangible assets (revised) - Schedule of Movement In Intangible Assets (Details) £ in Millions | 12 Months Ended | ||||
Dec. 31, 2023 GBP (£) segment | Dec. 31, 2022 GBP (£) segment | Apr. 01, 2023 segment | Mar. 31, 2023 segment | Dec. 31, 2021 GBP (£) | |
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | £ 129,075 | £ 115,625 | |||
Differences on exchange | (5,685) | 13,802 | |||
Reallocations | 6 | 0 | |||
Amortisation charge | (357) | (437) | |||
Impairment | (27,614) | (24) | |||
Disposals | (7) | ||||
Held for sale | (6) | ||||
Net book value at 31 December | £ 95,562 | £ 129,075 | |||
Reportable segments | segment | 3 | 4 | 3 | 4 | |
– internal development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | £ 75 | £ 37 | |||
– separately acquired | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– separately acquired | 62 | 85 | |||
Cost | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 133,474 | 119,364 | |||
Net book value at 31 December | 126,387 | 133,474 | |||
Accumulated amortisation and impairment | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Accumulated amortisation and impairment | 30,825 | 4,399 | £ 3,739 | ||
Trademarks and similar intangibles | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 80,603 | 71,867 | |||
Differences on exchange | (3,431) | 9,033 | |||
Reallocations | 2 | 29 | |||
Amortisation charge | (237) | (309) | |||
Impairment | (22,995) | (10) | |||
Disposals | (7) | ||||
Held for sale | 0 | ||||
Net book value at 31 December | 54,001 | 80,603 | |||
Trademarks and similar intangibles | – internal development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | 0 | 0 | |||
Trademarks and similar intangibles | – separately acquired | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– separately acquired | 59 | 0 | |||
Trademarks and similar intangibles | Cost | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 83,454 | 74,227 | |||
Net book value at 31 December | 78,848 | 83,454 | |||
Trademarks and similar intangibles | Accumulated amortisation and impairment | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Accumulated amortisation and impairment | 24,847 | 2,851 | 2,360 | ||
Goodwill | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 47,956 | 43,194 | |||
Differences on exchange | (2,251) | 4,762 | |||
Reallocations | 0 | 0 | |||
Impairment | (4,614) | 0 | |||
Disposals | 0 | ||||
Held for sale | 0 | ||||
Net book value at 31 December | 41,091 | 47,956 | |||
Goodwill | – internal development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | 0 | 0 | |||
Goodwill | – separately acquired | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– separately acquired | 0 | 0 | |||
Goodwill | Cost | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 48,488 | 43,715 | |||
Net book value at 31 December | 46,021 | 48,488 | |||
Goodwill | Accumulated amortisation and impairment | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Accumulated amortisation and impairment | 4,930 | 532 | 521 | ||
Computer software | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 374 | 408 | |||
Differences on exchange | (4) | 5 | |||
Reallocations | 115 | 96 | |||
Amortisation charge | (120) | (128) | |||
Impairment | (5) | (3) | |||
Disposals | 0 | ||||
Held for sale | (4) | ||||
Net book value at 31 December | 360 | 374 | |||
Computer software | – internal development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | 0 | 0 | |||
Computer software | – separately acquired | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– separately acquired | 0 | 0 | |||
Computer software | Cost | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 1,379 | 1,266 | |||
Net book value at 31 December | 1,408 | 1,379 | |||
Computer software | Accumulated amortisation and impairment | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Accumulated amortisation and impairment | 1,048 | 1,005 | £ 858 | ||
Assets in the course of development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 142 | 156 | |||
Differences on exchange | 1 | 2 | |||
Reallocations | (111) | (125) | |||
Amortisation charge | 0 | 0 | |||
Impairment | 0 | (11) | |||
Disposals | 0 | ||||
Held for sale | (2) | ||||
Net book value at 31 December | 110 | 142 | |||
Assets in the course of development | – internal development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | 75 | 37 | |||
Assets in the course of development | – separately acquired | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– separately acquired | 3 | 85 | |||
Assets in the course of development | Cost | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Net book value at 1 January | 153 | 156 | |||
Net book value at 31 December | 110 | 153 | |||
Assets in the course of development | Accumulated amortisation and impairment | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Accumulated amortisation and impairment | £ 0 | £ 11 |
Intangible assets (revised) - A
Intangible assets (revised) - Additional Information (Details) £ in Millions | 12 Months Ended | ||||
Dec. 31, 2024 GBP (£) | Dec. 31, 2024 USD ($) | Dec. 31, 2023 GBP (£) USD ($) CASHGENERATINGUNIT | Dec. 31, 2022 GBP (£) CASHGENERATINGUNIT | Dec. 31, 2021 GBP (£) | |
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment loss recognised in profit or loss, intangible assets and goodwill | £ (27,614) | £ (24) | |||
Impairment of goodwill | £ 4,614 | £ 0 | £ 57 | ||
Number of cash-generating units assessed for impairment | CASHGENERATINGUNIT | 17 | 17 | |||
Value-in-use calculation on detailed financial budgets extrapolated period | 10 years | 10 years | |||
Amortisation expense | £ 357 | £ 437 | |||
Goodwill | £ 41,091 | £ 47,956 | |||
Percentage of growth of operating units in financial budget in year 2 to 10 per annum | 3% | 3% | |||
Value-in-use calculation on detailed financial budgets, period | 2 years | ||||
Percentage of growth of operating units in financial budget after year 10 per annum | 1% | 1% | |||
Future contractual commitments | £ 2 | £ 1 | |||
US dollar | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Foreign exchange rate | $ | 1.213 | ||||
Newport | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Long-term growth rates | (4.70%) | 0.89% | |||
Camel | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Long-term growth rates | (7.40%) | 0.93% | |||
Pall Mall | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Long-term growth rates | (13.70%) | 1% | |||
Natural American Spirit | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Long-term growth rates | (1.15%) | 1% | |||
Reynolds American Inc, Grizzly & Camel Snus | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Value-in-use calculation on detailed financial budgets extrapolated period | 5 years | ||||
Percentage of growth of operating units in financial budget after year 5 per annum | 1% | 1% | |||
Decrease in long term growth rates | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Assumptions decrease in combustible volume | 1% | ||||
Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment loss recognised in profit or loss, intangible assets and goodwill | £ (22,995) | £ (10) | |||
Carrying amount | £ 51,930 | 78,228 | |||
Value-in-use calculation on detailed financial budgets extrapolated period | 5 years | ||||
Amortisation expense | £ 237 | 309 | |||
Brand names | Newport | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Carrying amount | £ 20,753 | £ 33,236 | |||
Pre-tax discount rates | 8.70% | 9.20% | |||
Volume 5 Year CAGR | (11.30%) | (6.70%) | |||
Brand names | Camel | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Carrying amount | £ 7,822 | £ 14,058 | |||
Pre-tax discount rates | 8.90% | 8.90% | |||
Volume 5 Year CAGR | (12.30%) | (6.40%) | |||
Brand names | Pall Mall | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Carrying amount | £ 2,608 | £ 6,252 | |||
Pre-tax discount rates | 9.40% | 8.60% | |||
Volume 5 Year CAGR | (18.80%) | (13.00%) | |||
Brand names | Natural American Spirit | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Carrying amount | £ 10,439 | £ 13,019 | |||
Pre-tax discount rates | 7.90% | 8.60% | |||
Volume 5 Year CAGR | (7.60%) | (2.50%) | |||
Brand names | Camel snus | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Carrying amount | £ 1,099 | £ 1,355 | |||
Pre-tax discount rates | 7.80% | 8.60% | |||
Volume 5 Year CAGR | (5.40%) | (5.30%) | |||
Brand names | Grizzly | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Carrying amount | £ 9,209 | £ 10,308 | |||
Pre-tax discount rates | 7.80% | 8.60% | |||
Volume 5 Year CAGR | (3.90%) | (3.70%) | |||
Forecast | Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Amortisation expense | £ 1,400 | $ 1,800,000,000 | |||
Pro Forma | Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Amortisation and impairment of intangibles | £ 22,992 | ||||
Pro Forma | Brand names | Newport | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Pre-tax discount rates | 7.90% | ||||
Pro Forma | Brand names | Camel | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Pre-tax discount rates | 7.60% | ||||
Top of range | Newport, Camel, Natural American Spirit & Pall Mall | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Intangible assets, remaining useful lives | 30 years | ||||
Top of range | Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Intangible assets, remaining useful lives | 20 years | ||||
Value-in-use calculation on detailed financial budgets extrapolated period | 30 years | ||||
Top of range | Forecast | Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Intangible assets, remaining useful lives | 30 years | 30 years | |||
Bottom of range | Newport, Camel, Natural American Spirit & Pall Mall | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Intangible assets, remaining useful lives | 20 years | ||||
Bottom of range | Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Value-in-use calculation on detailed financial budgets extrapolated period | 20 years | ||||
– internal development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | £ 75 | £ 37 | |||
– internal development | Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | 0 | 0 | |||
– internal development | Cost | Computer software and assets in the course of development | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
– internal development | 450 | £ 423 | |||
South Africa | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment of goodwill | £ 291 | ||||
Forecast assumptions amended period | 5 years | ||||
Percentage of growth of operating units in financial budget after year 5 per annum | 0% | ||||
Pre-tax discount rates | 14.30% | 10.40% | |||
Goodwill | £ 189 | £ 541 | |||
Peru | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment of goodwill | £ 24 | ||||
Forecast assumptions amended period | 5 years | ||||
Percentage of growth of operating units in financial budget after year 5 per annum | 0% | ||||
Pre-tax discount rates | 12.40% | 7.50% | |||
Goodwill | £ 73 | £ 103 | |||
United States | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment of goodwill | £ 4,299 | £ 0 | |||
Number of cash-generating units assessed for impairment | CASHGENERATINGUNIT | 1 | 1 | |||
Forecast assumptions amended period | 5 years | ||||
AME | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Number of cash-generating units assessed for impairment | CASHGENERATINGUNIT | 9 | 9 | |||
APMEA | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Number of cash-generating units assessed for impairment | CASHGENERATINGUNIT | 7 | 7 | |||
Malaysia | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Forecast assumptions amended period | 5 years | ||||
Pre-tax discount rates | 10.20% | 11.40% | |||
Goodwill | £ 217 | £ 240 | |||
Percentage of decrease in forecast cash flows to reduce headroom to nil | 30.70% | ||||
Percentage of increase in pre-tax discount to reduce headroom to nil | 5.50% | ||||
Malaysia | New Categories | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Percentage of growth of operating units in financial budget after year 5 per annum | 0% | ||||
Malaysia | Combustibles | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Percentage of growth of operating units in financial budget after year 5 per annum | (0.90%) | ||||
Other | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Number of cash-generating units assessed for impairment | CASHGENERATINGUNIT | 8 | ||||
Pre-tax discount rates | 6.70% | 8% | |||
Goodwill | £ 340 | £ 344 | |||
Reynolds American | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment loss recognised in profit or loss, intangible assets and goodwill | (27,291) | ||||
Impairment of goodwill | 4,299 | ||||
Reynolds American | Brand names | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment charges of intangibles | 22,992 | ||||
Carrying amount | 51,930 | 78,228 | |||
Intangible assets | 1,809 | 2,071 | |||
Reynolds American | Reynolds Goodwill | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Goodwill | 30,938 | 37,181 | |||
Rothmans Group | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Goodwill | 4,274 | £ 4,704 | |||
Imperial Tobacco Canada | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Impairment of goodwill | £ 0 | ||||
Long-term growth rates | (2.50%) | ||||
Period of value in use calculation on basis of cash flow forecast | 5 years | ||||
Pre-tax discount rates | 20.30% | 19.40% | |||
Goodwill | £ 2,386 | £ 2,460 | |||
ETI | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Goodwill | 1,428 | 1,461 | |||
S T | |||||
Disclosure Of Intangible Assets [Line Items] | |||||
Goodwill | £ 1,074 | £ 1,102 |
Intangible assets (revised) -_2
Intangible assets (revised) - Schedule of Cash Generating Unit (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 41,091 | £ 47,956 |
Reynolds American | Reynolds Goodwill | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | 30,938 | 37,181 |
Europe | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 5,596 | £ 5,670 |
Pre-tax discount rates | 6.60% | 7.50% |
Canada | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 2,386 | £ 2,460 |
Pre-tax discount rates | 20.30% | 19.40% |
Australia | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 717 | £ 755 |
Pre-tax discount rates | 7.30% | 8.20% |
South Africa | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 189 | £ 541 |
Pre-tax discount rates | 14.30% | 10.40% |
Singapore | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 382 | £ 398 |
Pre-tax discount rates | 7.40% | 7.90% |
Malaysia | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 217 | £ 240 |
Pre-tax discount rates | 10.20% | 11.40% |
Peru | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 73 | £ 103 |
Pre-tax discount rates | 12.40% | 7.50% |
Other | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 340 | £ 344 |
Pre-tax discount rates | 6.70% | 8% |
Reynolds American | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 30,938 | £ 37,181 |
Pre-tax discount rates | 9.60% | 8.80% |
GTR | ||
Disclosure Of Information For Individual Asset Or Cashgenerating Unit With Significant Amount Of Goodwill Or Intangible Assets With Indefinite Useful Lives [Line Items] | ||
Carrying amount | £ 253 | £ 264 |
Pre-tax discount rates | 7.60% | 7.60% |
Intangible assets (revised) - I
Intangible assets (revised) - Indefinite Lived Intangible Assets (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure of intangible assets with indefinite useful life [line items] | ||
Value-in-use calculation on detailed financial budgets extrapolated period | 10 years | 10 years |
Brand names | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Carrying amount | £ 51,930 | £ 78,228 |
Value-in-use calculation on detailed financial budgets extrapolated period | 5 years | |
Newport | Brand names | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Carrying amount | £ 20,753 | £ 33,236 |
Volume 5 Year CAGR | (11.30%) | (6.70%) |
Pre-tax discount rates | 8.70% | 9.20% |
Newport | Brand names | Pro Forma | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Pre-tax discount rates | 7.90% | |
Camel | Brand names | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Carrying amount | £ 7,822 | £ 14,058 |
Volume 5 Year CAGR | (12.30%) | (6.40%) |
Pre-tax discount rates | 8.90% | 8.90% |
Camel | Brand names | Pro Forma | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Pre-tax discount rates | 7.60% | |
Pall Mall | Brand names | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Carrying amount | £ 2,608 | £ 6,252 |
Volume 5 Year CAGR | (18.80%) | (13.00%) |
Pre-tax discount rates | 9.40% | 8.60% |
Natural American Spirit | Brand names | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Carrying amount | £ 10,439 | £ 13,019 |
Volume 5 Year CAGR | (7.60%) | (2.50%) |
Pre-tax discount rates | 7.90% | 8.60% |
Camel snus | Brand names | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Carrying amount | £ 1,099 | £ 1,355 |
Volume 5 Year CAGR | (5.40%) | (5.30%) |
Pre-tax discount rates | 7.80% | 8.60% |
Grizzly | Brand names | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Carrying amount | £ 9,209 | £ 10,308 |
Volume 5 Year CAGR | (3.90%) | (3.70%) |
Pre-tax discount rates | 7.80% | 8.60% |
Pall Mall Grizzly CamelSnus Natural American Spirit | Brand names | Pro Forma | ||
Disclosure of intangible assets with indefinite useful life [line items] | ||
Pre-tax discount rates | 7.40% |
Intangible assets (revised) -_3
Intangible assets (revised) - Schedule of Impairment Charge From Possible Change in Assumptions (Details) £ in Millions | 12 Months Ended |
Dec. 31, 2023 GBP (£) | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Assumptions increase in pre-tax discount rate | 1% |
Volume decline | Newport | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | £ (1,135) |
Volume decline | Camel | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (427) |
Volume decline | Pall Mall | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (142) |
Volume decline | Natural American Spirit | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (572) |
Volume decline | Grizzly | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (559) |
Volume decline | Camel snus | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | £ (68) |
Decrease in long term growth rates | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Assumptions decrease in combustible volume | 1% |
Assumptions decrease in long term growth rate | 0.50% |
Decrease in long term growth rates | Newport | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | £ (560) |
Decrease in long term growth rates | Camel | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (163) |
Decrease in long term growth rates | Pall Mall | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (32) |
Decrease in long term growth rates | Natural American Spirit | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (467) |
Decrease in long term growth rates | Grizzly | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (593) |
Decrease in long term growth rates | Camel snus | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | £ (70) |
Increase in pre tax discount rate | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Assumptions increase in pre-tax discount rate | 0.75% |
Increase in pre tax discount rate | Newport | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | £ (1,105) |
Increase in pre tax discount rate | Camel | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (354) |
Increase in pre tax discount rate | Pall Mall | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (86) |
Increase in pre tax discount rate | Natural American Spirit | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (804) |
Increase in pre tax discount rate | Grizzly | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | (945) |
Increase in pre tax discount rate | Camel snus | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |
Possible impairment | £ (112) |
Intangible assets (revised) - R
Intangible assets (revised) - Reynolds Goodwill Impairment (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |||
Impairment of goodwill | £ 4,614 | £ 0 | £ 57 |
Assumptions increase in pre-tax discount rate | 1% | ||
Increase in pre tax discount rate | |||
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |||
Assumptions increase in pre-tax discount rate | 0.75% | ||
Decrease in long term growth rates | |||
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |||
Assumptions decrease in long term growth rate | 0.50% | ||
Reynolds American | |||
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |||
Impairment of goodwill | £ 4,299 | ||
Reynolds American | Increase in pre tax discount rate | |||
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |||
Assumptions increase in pre-tax discount rate | 0.67% | ||
Possible impairment | £ (6,169) | ||
Reynolds American | Decrease in long term growth rates | |||
Disclosure Of Impairment Loss And Reversal Of Impairment Loss [Line Items] | |||
Assumptions decrease in long term growth rate | 0.50% | ||
Possible impairment | £ (4,962) |
Intangible assets (revised) - C
Intangible assets (revised) - Changes in Goodwill (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | £ 47,956 | ||
Impairment | (4,614) | £ 0 | £ (57) |
Closing balance | 41,091 | 47,956 | |
Reynolds American | |||
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | 37,181 | ||
Differences on exchange | (1,944) | ||
Impairment | (4,299) | ||
Closing balance | 30,938 | 37,181 | |
Newport | |||
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | 33,236 | ||
Differences on exchange | (1,339) | ||
Impairment | (11,144) | ||
Closing balance | 20,753 | 33,236 | |
Camel | |||
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | 14,058 | ||
Differences on exchange | (517) | ||
Impairment | (5,719) | ||
Closing balance | 7,822 | 14,058 | |
Pall Mall | |||
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | 6,252 | ||
Differences on exchange | (187) | ||
Impairment | (3,457) | ||
Closing balance | 2,608 | 6,252 | |
Natural American Spirit | |||
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | 13,019 | ||
Differences on exchange | (642) | ||
Impairment | (1,938) | ||
Closing balance | 10,439 | 13,019 | |
Grizzly | |||
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | 10,308 | ||
Differences on exchange | (554) | ||
Impairment | (545) | ||
Closing balance | 9,209 | 10,308 | |
Camel snus | |||
Reconciliation of changes in goodwill [abstract] | |||
Opening balance | 1,355 | ||
Differences on exchange | (67) | ||
Impairment | (189) | ||
Closing balance | £ 1,099 | £ 1,355 |
Intangible assets (revised) -_4
Intangible assets (revised) - Canada Goodwill Impairment (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |
Assumptions increase in pre-tax discount rate | 1% |
Imperial Tobacco Canada | |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |
Assumptions increase in pre-tax discount rate | 8.50% |
Decrease in revenue | Imperial Tobacco Canada | |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |
Decrease in revenue by | 17.40% |
Intangible assets (revised) -_5
Intangible assets (revised) - Income Statement of Subsidiary (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure Of Intangible Assets [Line Items] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
Profit/(loss) from operations | (15,751) | 10,523 | 10,234 | |
(Loss)/profit for the year | (14,189) | 6,846 | £ 6,974 | |
Imperial Tobacco Canada | ||||
Disclosure Of Intangible Assets [Line Items] | ||||
Revenue | 1,003 | 1,055 | ||
Profit/(loss) from operations | 600 | 589 | ||
(Loss)/profit for the year | £ 517 | £ 478 | ||
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Intangible assets (revised) -_6
Intangible assets (revised) - Cash Generating Unit, Goodwill (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Intangible Assets [Line Items] | ||
Goodwill | £ 41,091 | £ 47,956 |
Assumptions increase in pre-tax discount rate | 1% | |
Assumptions decrease each year in forecast cash flows | 10% | |
Assumptions increase in terminal decline | 1% | |
South Africa | ||
Disclosure Of Intangible Assets [Line Items] | ||
Goodwill | £ 189 | 541 |
South Africa | Discount rate | ||
Disclosure Of Intangible Assets [Line Items] | ||
Increase (decrease) | (28) | |
South Africa | Cash flows | ||
Disclosure Of Intangible Assets [Line Items] | ||
Increase (decrease) | (38) | |
South Africa | Terminal value | ||
Disclosure Of Intangible Assets [Line Items] | ||
Increase (decrease) | (19) | |
Peru | ||
Disclosure Of Intangible Assets [Line Items] | ||
Goodwill | 73 | £ 103 |
Peru | Discount rate | ||
Disclosure Of Intangible Assets [Line Items] | ||
Increase (decrease) | (11) | |
Peru | Cash flows | ||
Disclosure Of Intangible Assets [Line Items] | ||
Increase (decrease) | (11) | |
Peru | Terminal value | ||
Disclosure Of Intangible Assets [Line Items] | ||
Increase (decrease) | £ (8) |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | £ 4,867 | £ 4,953 |
Differences on exchange | (252) | 319 |
Additions | 480 | 503 |
Reallocations | 0 | 0 |
Depreciation | (506) | (539) |
Impairment | (151) | (319) |
Right-of-use assets − reassessments, modifications and terminations | (28) | (12) |
Disposals | (9) | (18) |
Net reclassifications as held-for-sale | 14 | 254 |
Property, plant and equipment including right-of-use assets closing balance | 4,583 | 4,867 |
Cost | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 9,506 | 8,971 |
Property, plant and equipment including right-of-use assets closing balance | 9,044 | 9,506 |
Accumulated depreciation and impairment | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | (4,639) | (4,018) |
Property, plant and equipment including right-of-use assets closing balance | (4,461) | (4,639) |
- Right-of-use properties (IFRS 16) | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Additions | 196 | 234 |
Freehold property | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 1,002 | 1,033 |
Differences on exchange | (41) | 68 |
Additions | 0 | 0 |
Reallocations | 69 | 44 |
Depreciation | (34) | (36) |
Impairment | 0 | (62) |
Right-of-use assets − reassessments, modifications and terminations | 0 | 0 |
Disposals | (1) | (4) |
Net reclassifications as held-for-sale | 14 | 41 |
Property, plant and equipment including right-of-use assets closing balance | 981 | 1,002 |
Freehold property | Cost | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 1,475 | 1,421 |
Property, plant and equipment including right-of-use assets closing balance | 1,418 | 1,475 |
Freehold property | Accumulated depreciation and impairment | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | (473) | (388) |
Property, plant and equipment including right-of-use assets closing balance | (437) | (473) |
Freehold property | - Right-of-use properties (IFRS 16) | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Additions | 0 | 0 |
Leasehold property | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 466 | 477 |
Differences on exchange | (25) | 30 |
Additions | 0 | 0 |
Reallocations | 24 | 21 |
Depreciation | (102) | (112) |
Impairment | (5) | (39) |
Right-of-use assets − reassessments, modifications and terminations | (15) | (16) |
Disposals | (3) | (2) |
Net reclassifications as held-for-sale | 0 | 10 |
Property, plant and equipment including right-of-use assets closing balance | 452 | 466 |
Leasehold property | Cost | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 940 | 847 |
Property, plant and equipment including right-of-use assets closing balance | 895 | 940 |
Leasehold property | Accumulated depreciation and impairment | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | (474) | (370) |
Property, plant and equipment including right-of-use assets closing balance | (443) | (474) |
Leasehold property | - Right-of-use properties (IFRS 16) | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Additions | 112 | 117 |
Plant, Equipment and Other Owned | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 2,455 | 2,620 |
Differences on exchange | (135) | 164 |
Additions | 20 | 32 |
Reallocations | 431 | 374 |
Depreciation | (293) | (323) |
Impairment | (131) | (210) |
Right-of-use assets − reassessments, modifications and terminations | 0 | 0 |
Disposals | (5) | (15) |
Net reclassifications as held-for-sale | 0 | 187 |
Property, plant and equipment including right-of-use assets closing balance | 2,342 | 2,455 |
Plant, Equipment and Other Owned | Cost | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 5,962 | 5,750 |
Property, plant and equipment including right-of-use assets closing balance | 5,702 | 5,962 |
Plant, Equipment and Other Owned | Accumulated depreciation and impairment | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | (3,507) | (3,130) |
Property, plant and equipment including right-of-use assets closing balance | (3,360) | (3,507) |
Plant, Equipment and Other Owned | - Right-of-use properties (IFRS 16) | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Additions | 0 | 0 |
Plant, Equipment and Other Leased | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 177 | 117 |
Differences on exchange | (8) | 9 |
Additions | 0 | 0 |
Reallocations | 0 | 2 |
Depreciation | (77) | (68) |
Impairment | (9) | (4) |
Right-of-use assets − reassessments, modifications and terminations | (13) | 4 |
Disposals | 0 | 0 |
Net reclassifications as held-for-sale | 0 | 0 |
Property, plant and equipment including right-of-use assets closing balance | 154 | 177 |
Plant, Equipment and Other Leased | Cost | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 362 | 247 |
Property, plant and equipment including right-of-use assets closing balance | 375 | 362 |
Plant, Equipment and Other Leased | Accumulated depreciation and impairment | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | (185) | (130) |
Property, plant and equipment including right-of-use assets closing balance | (221) | (185) |
Plant, Equipment and Other Leased | - Right-of-use properties (IFRS 16) | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Additions | 84 | 117 |
Assets in the Course of Construction | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 767 | 706 |
Differences on exchange | (43) | 48 |
Additions | 460 | 471 |
Reallocations | (524) | (441) |
Depreciation | 0 | 0 |
Impairment | (6) | (4) |
Right-of-use assets − reassessments, modifications and terminations | 0 | 0 |
Disposals | 0 | (3) |
Net reclassifications as held-for-sale | 0 | 16 |
Property, plant and equipment including right-of-use assets closing balance | 654 | 767 |
Assets in the Course of Construction | Cost | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Property, plant and equipment including right-of-use assets opening balance | 767 | 706 |
Property, plant and equipment including right-of-use assets closing balance | 654 | 767 |
Assets in the Course of Construction | - Right-of-use properties (IFRS 16) | ||
Disclosure Of Property Plant And Equipment [Line Items] | ||
Additions | £ 0 | £ 0 |
Property, Plant and Equipment_2
Property, Plant and Equipment - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Property Plant And Equipment [Line Items] | |||
Decrease through classified as held for sale, property, plant and equipment | £ 14 | £ 254 | |
Gains arising from sale and leaseback transactions | 15 | ||
Additions | 480 | 503 | |
Future contractual commitments | 60 | 80 | |
Property, plant and equipment | 4,583 | 4,867 | £ 4,953 |
Property, plant and equipment | 4,583 | 4,867 | |
BAT Pars Company PJSC | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Decrease through classified as held for sale, property, plant and equipment | 254 | ||
ESG investment equipment | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Additions | 34 | 27.1 | |
Leasehold property | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Decrease through classified as held for sale, property, plant and equipment | 0 | 10 | |
Additions | 0 | 0 | |
Property, plant and equipment | £ 452 | 466 | 477 |
Leasehold property | Bottom of range | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Lease term | 5 years | ||
Freehold property | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Decrease through classified as held for sale, property, plant and equipment | £ 14 | 41 | |
Additions | 0 | 0 | |
Property, plant and equipment | 981 | 1,002 | £ 1,033 |
Freehold property | US, UK, Bangladesh, Indonesia and South Korea | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | £ 981 | £ 1,002 |
Property, Plant and Equipment_3
Property, Plant and Equipment - Schedule of Leasehold Land and Property Comprises (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | £ 4,583 | £ 4,867 | £ 4,953 |
Leasehold property | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | 452 | 466 | £ 477 |
Leasehold property | - Property acquired (IAS 16) | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | 452 | 466 | |
Leasehold property | Beyond 50 years | - Property acquired (IAS 16) | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | 18 | 15 | |
Leasehold property | Not later than 50 years | - Property acquired (IAS 16) | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | £ 434 | £ 451 |
Property, Plant And Equipment_4
Property, Plant And Equipment - Schedule of Leasehold Property Net Book Value Movements (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment including right-of-use assets opening balance | £ 4,867 | £ 4,953 | |
Differences on exchange | (252) | 319 | |
Depreciation, amortisation and impairment | 28,614 | 1,305 | £ 1,076 |
Property, plant and equipment including right-of-use assets closing balance | 4,583 | 4,867 | 4,953 |
Leasehold property | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment including right-of-use assets opening balance | 466 | 477 | |
Differences on exchange | (25) | 30 | |
Depreciation, amortisation and impairment | 107 | 151 | |
Other net movements | 118 | 110 | |
Property, plant and equipment including right-of-use assets closing balance | 452 | 466 | 477 |
- Property acquired (IAS 16) | Leasehold property | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment including right-of-use assets opening balance | 466 | ||
Property, plant and equipment including right-of-use assets closing balance | 452 | 466 | |
- Property acquired (IAS 16) | IAS16 | Leasehold property | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment including right-of-use assets opening balance | 152 | 165 | |
Differences on exchange | (10) | 11 | |
Depreciation, amortisation and impairment | 12 | 41 | |
Other net movements | 17 | 17 | |
Property, plant and equipment including right-of-use assets closing balance | 147 | 152 | 165 |
- Right-of-use properties (IFRS 16) | Impact of IFRS 16 | Leasehold property | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment including right-of-use assets opening balance | 314 | 312 | |
Differences on exchange | (15) | 19 | |
Depreciation, amortisation and impairment | 95 | 110 | |
Other net movements | 101 | 93 | |
Property, plant and equipment including right-of-use assets closing balance | £ 305 | £ 314 | £ 312 |
Property, Plant and Equipment_5
Property, Plant and Equipment - Schedule of Cost of Freehold Land (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | £ 4,583 | £ 4,867 | £ 4,953 |
Cost | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | 9,044 | 9,506 | £ 8,971 |
Freehold Land within Freehold Property on Which no Depreciate is Provided | Cost | |||
Disclosure Of Property Plant And Equipment [Line Items] | |||
Property, plant and equipment | £ 238 | £ 246 |
Investments in Associates and_3
Investments in Associates and Joint Ventures - Summary of Investments In Associates And Joint Ventures (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||
1 January | £ 2,020 | ||
31 December | 1,970 | £ 2,020 | |
Non-current assets | 104,530 | 138,137 | |
Current assets | 14,186 | 15,409 | |
Non-current liabilities | (50,109) | (59,983) | |
Current liabilities | (15,673) | (17,853) | |
Associates and JVs | |||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||
1 January | 2,020 | 1,948 | |
Dividends | (559) | (438) | £ (392) |
Additions (note 27(c)) | 13 | 39 | |
Other equity movements | (23) | (4) | |
31 December | 1,970 | 2,020 | 1,948 |
Non-current assets | 1,331 | 1,400 | |
Current assets | 1,168 | 1,138 | |
Non-current liabilities | (78) | (75) | |
Current liabilities | (451) | (443) | |
Groups Share in Associates and Joint Ventures | |||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||
Total comprehensive income (note 9) | 473 | 467 | £ 412 |
ITC Ltd. | |||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||
Dividends | (545) | (427) | |
Non-current assets | 4,261 | 4,402 | |
Current assets | 3,622 | 3,465 | |
Non-current liabilities | (240) | (233) | |
Current liabilities | (1,267) | (1,244) | |
Market value of investments in associates | 15,767 | 12,059 | |
Other Listed Associates | |||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||
1 January | 106 | ||
31 December | 64 | 106 | |
Unlisted Associates | |||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||
1 January | 49 | ||
31 December | 55 | 49 | |
Other Lead Associates | |||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||
Market value of investments in associates | £ 175 | £ 206 |
Investments in Associates and_4
Investments in Associates and Joint Ventures - Additional Information (Details) $ / shares in Units, £ in Millions, $ in Millions | 1 Months Ended | 12 Months Ended | 13 Months Ended | 14 Months Ended | |||||||||
Jan. 24, 2024 GBP (£) shares | Jan. 24, 2024 CAD ($) $ / shares shares | Jul. 24, 2023 | Mar. 11, 2021 GBP (£) | Nov. 30, 2023 GBP (£) | Nov. 30, 2023 CAD ($) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2020 | Feb. 28, 2025 tranche shares | Feb. 28, 2025 tranche | Nov. 30, 2022 GBP (£) | |
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Investments in associates and joint ventures | £ 1,970 | £ 2,020 | |||||||||||
Investments held at fair value | £ 118 | 121 | |||||||||||
ITC Ltd. | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Percentage of voting | 60% | ||||||||||||
Charlotte's Web Holdings, Inc. | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Investments held at fair value | £ 48 | ||||||||||||
Investment term | 7 years | ||||||||||||
Potential proportion ownership interest | 19.90% | ||||||||||||
Associates and JVs | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Dividends paid by the associate | £ 559 | 438 | £ 392 | ||||||||||
Investments in associates and joint ventures | 1,970 | 2,020 | £ 1,948 | ||||||||||
ITC Ltd. | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Dividends paid by the associate | £ 545 | £ 427 | |||||||||||
Ownership interest in associates | 29.02% | 29.19% | 29.38% | 29.42% | |||||||||
Organigram Inc. | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Ownership interest in associates | 19% | ||||||||||||
Acquisition percentage | 19.90% | 18.79% | 19.40% | ||||||||||
Impairment loss recognised in profit or loss | £ 36 | £ 65 | |||||||||||
Impairment loss, net of tax | 34 | 59 | |||||||||||
Investments in associates and joint ventures | £ 30 | 73 | |||||||||||
Purchase of interests in investments accounted for using equity method | £ 4 | ||||||||||||
Organigram Inc. | Major purchases of assets [member] | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Consideration paid | £ 24 | $ 42 | |||||||||||
Shares acquired (in shares) | shares | 12,893,175 | 12,893,175 | |||||||||||
Price per share (CAD per share) | $ / shares | $ 3.22 | ||||||||||||
Organigram Inc. | Forecast | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Ownership interest in associates | 45% | ||||||||||||
Purchase of interests in investments accounted for using equity method | £ 74 | $ 125 | |||||||||||
Shares acquired (in shares) | shares | 25,786,350 | ||||||||||||
Number of tranches | tranche | 2 | 3 | |||||||||||
Proportion of voting rights held in associate | 30% | ||||||||||||
Organigram Inc. | Intangible assets other than goodwill | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Fair value of net assets acquired | £ 49 | ||||||||||||
Organigram Inc. | Goodwill | |||||||||||||
Disclosure Of Significant Investments In Associates And Joint Ventures [Line Items] | |||||||||||||
Fair value of net assets acquired | £ 30 |
Investments in Associates and_5
Investments in Associates and Joint Ventures - Summary of Principal Associate Undertakings (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Significant Investments In Associates [Line Items] | ||||
Non-current assets | £ 104,530 | £ 138,137 | ||
Current assets | 14,186 | 15,409 | ||
Non-current liabilities | (50,109) | (59,983) | ||
Current liabilities | (15,673) | (17,853) | ||
ITC Ltd. | ||||
Disclosure Of Significant Investments In Associates [Line Items] | ||||
Non-current assets | 4,261 | 4,402 | ||
Current assets | 3,622 | 3,465 | ||
Non-current liabilities | (240) | (233) | ||
Current liabilities | (1,267) | (1,244) | ||
Net assets (liabilities) | £ 6,376 | £ 6,390 | ||
Ownership interest in associates | 29.02% | 29.19% | 29.38% | 29.42% |
Investments in associates and joint ventures | £ 1,851 | £ 1,865 |
Retirement Benefit Schemes - Ad
Retirement Benefit Schemes - Additional Information (Details) £ in Millions, $ in Millions, $ in Billions | 12 Months Ended | |||||||||||||||||||
Nov. 14, 2023 GBP (£) insurer | Nov. 14, 2023 CAD ($) insurer | Oct. 26, 2022 GBP (£) | Jun. 07, 2022 GBP (£) | Oct. 07, 2021 GBP (£) | Sep. 02, 2021 GBP (£) | Sep. 02, 2021 CAD ($) | May 19, 2021 GBP (£) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 GBP (£) | Jun. 07, 2022 USD ($) | Jun. 07, 2022 GBP (£) | Dec. 31, 2021 USD ($) | Dec. 31, 2021 GBP (£) | Oct. 07, 2021 USD ($) | Oct. 07, 2021 GBP (£) | Mar. 31, 2020 GBP (£) | |
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Percentage of principal schemes to total defined benefit schemes | 90% | |||||||||||||||||||
Percentage of defined benefit net costs charged to the adjusted profit | 70% | |||||||||||||||||||
Valuation frequency | 3 years | |||||||||||||||||||
Surplus (deficit) in plan | £ 75 | £ 51 | ||||||||||||||||||
Employee benefit costs, in respect of settlements, past service costs and defined contribution costs reported as part of restructuring costs | £ (9) | |||||||||||||||||||
Current service costs | £ 10 | 13 | ||||||||||||||||||
Percentage of scheme liabilities relate to guaranteed benefits | 95% | 95% | 95% | |||||||||||||||||
Healthcare inflation | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Percentage of reasonably possible increase in actuarial assumption | 1% | |||||||||||||||||||
Percentage of reasonably possible decrease in actuarial assumption | 1% | |||||||||||||||||||
Plan assets | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions | £ 64 | 74 | ||||||||||||||||||
United States | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Gain (loss) on settlement of plan assets and liabilities | £ 35 | |||||||||||||||||||
General inflation (%) | 2.50% | 2.50% | 2.50% | |||||||||||||||||
Rate of increase in salaries (%) | 3.30% | 3.30% | 3.30% | |||||||||||||||||
Discount rate (%) | 5.20% | 5.50% | 5.50% | |||||||||||||||||
United Kingdom | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
General inflation (%) | 3.10% | 3.20% | 3.20% | |||||||||||||||||
Rate of increase in salaries (%) | 0% | 0% | 0% | |||||||||||||||||
Discount rate (%) | 4.80% | 5% | 5% | |||||||||||||||||
Netherlands | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
General inflation (%) | 2% | 2% | 2% | |||||||||||||||||
Rate of increase in salaries (%) | 1.40% | 1.40% | 1.40% | |||||||||||||||||
Discount rate (%) | 3.30% | 3.70% | 3.70% | |||||||||||||||||
Germany | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
General inflation (%) | 2.50% | 2.30% | 2.30% | |||||||||||||||||
Rate of increase in salaries (%) | 2.50% | 2.50% | 2.50% | |||||||||||||||||
Discount rate (%) | 3.50% | 4.20% | 4.20% | |||||||||||||||||
Canada | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
General inflation (%) | 2% | 2% | 2% | |||||||||||||||||
Rate of increase in salaries (%) | 2.50% | 2.50% | 2.50% | |||||||||||||||||
Discount rate (%) | 4.60% | 5% | 5% | |||||||||||||||||
United States and United Kingdom | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Unfunded healthcare expected settlement within 10 years | 50% | |||||||||||||||||||
Unfunded healthcare expected settlement between 10 and 20 years | 29% | |||||||||||||||||||
Unfunded healthcare expected settlement between 20 and 30 years | 14% | |||||||||||||||||||
Unfunded healthcare expected settlement after 30 years | 7% | |||||||||||||||||||
United States and Canada | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Unfunded healthcare expected settlement within 10 years | 70% | |||||||||||||||||||
Unfunded healthcare expected settlement between 10 and 20 years | 24% | |||||||||||||||||||
Unfunded healthcare expected settlement between 20 and 30 years | 5% | |||||||||||||||||||
Unfunded healthcare expected settlement after 30 years | 1% | |||||||||||||||||||
All other countries | Bottom of range | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Rate of increase in salaries (%) | 0% | 0% | 0% | |||||||||||||||||
Discount rate (%) | 0% | 0% | 0% | |||||||||||||||||
All other countries | Top of range | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Rate of increase in salaries (%) | 11.70% | 8% | 8% | |||||||||||||||||
Discount rate (%) | 7% | 7.50% | 7.50% | |||||||||||||||||
Funded defined benefit plans | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions to pension schemes, next fiscal year | £ 48 | |||||||||||||||||||
Surplus (deficit) in plan | 860 | £ 848 | ||||||||||||||||||
Funded Defined Benefit | Funded defined benefit plans | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions | 64 | |||||||||||||||||||
Pension schemes | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Surplus (deficit) in plan | 485 | 513 | ||||||||||||||||||
Pension schemes | Plan assets | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions | 64 | £ 74 | ||||||||||||||||||
Pension schemes | United States | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions | £ 2 | |||||||||||||||||||
Percentage of funding status remaining fully funded long-term | 90% | |||||||||||||||||||
Percentage of unfunded benefit schemes | 38% | 39% | ||||||||||||||||||
Pension schemes | United Kingdom | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Percentage of risk-reducing assets scheme | 65% | |||||||||||||||||||
Percentage of return-seeking assets scheme | 35% | |||||||||||||||||||
Percentage of unfunded benefit schemes | 48% | 47% | ||||||||||||||||||
Pension schemes | Canada, the Netherlands and Switzerland | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions to pension schemes, 2024 | £ 7 | |||||||||||||||||||
Company contributions to pension schemes. 2025 | 7 | |||||||||||||||||||
Company contributions to pension schemes, 2026 | 7 | |||||||||||||||||||
Company contributions to pension schemes, 2027 | 7 | |||||||||||||||||||
Pension schemes | Germany | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions to pension schemes, 2024 | 38 | |||||||||||||||||||
Company contributions to pension schemes. 2025 | 38 | |||||||||||||||||||
Company contributions to pension schemes, 2026 | 38 | |||||||||||||||||||
Company contributions to pension schemes, 2027 | 38 | |||||||||||||||||||
Pension schemes | Funded defined benefit plans | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Surplus (deficit) in plan | 865 | 900 | ||||||||||||||||||
Pension schemes | Funded defined benefit plans | Canada, the Netherlands and Switzerland | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions to pension schemes, next fiscal year | 12 | |||||||||||||||||||
Pension schemes | Funded defined benefit plans | Germany | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions to pension schemes, next fiscal year | 19 | |||||||||||||||||||
Pension schemes | Schemes in surplus only | Netherlands | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Net retirement benefit asset | 44 | 46 | ||||||||||||||||||
Pension schemes | Schemes in surplus only | Germany | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Net retirement benefit asset | 122 | 150 | ||||||||||||||||||
Pension schemes | Schemes in surplus only | Canada | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Net retirement benefit asset | 33 | 35 | ||||||||||||||||||
Reynolds american funded retirement plan (PEP and Affiliates) | United States | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Retirement plan liabilities | $ 1.6 | 1,300 | $ 1.6 | £ 1,300 | $ 1.9 | £ 1,400 | $ 1.9 | £ 1,400 | ||||||||||||
Gain (loss) on settlement of plan assets and liabilities | £ 16 | £ 35 | ||||||||||||||||||
Surplus (deficit) in plan | 516 | 567 | ||||||||||||||||||
British American Tobacco UK Pension Fund | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Net retirement benefit asset | 184 | 143 | ||||||||||||||||||
British American Tobacco UK Pension Fund | Funded defined benefit plans | United Kingdom | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions to pension schemes, next fiscal year | 36 | |||||||||||||||||||
Company contributions | £ 0 | |||||||||||||||||||
Surplus (deficit) in plan | £ 111 | |||||||||||||||||||
Net defined benefit liability (asset) | 0 | 0 | ||||||||||||||||||
Assets of benefit plan | 184 | £ 143 | ||||||||||||||||||
British American Tobacco UK Pension Fund | Funded defined benefit plans | United Kingdom | Temporary liquidity facility | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Nominal value | £ 40 | |||||||||||||||||||
Borrowings maturity term | 2 years | |||||||||||||||||||
Commitment charge percentage | 0.56% | |||||||||||||||||||
British American Tobacco UK Pension Fund | Funded defined benefit plans | United Kingdom | Temporary liquidity facility | SONIA | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Borrowings, adjustment to interest rate basis | 2.25% | |||||||||||||||||||
British American Tobacco UK Pension Fund | Funded defined benefit plans | United Kingdom | Interim payment | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions to pension schemes, next fiscal year | £ 18 | |||||||||||||||||||
Buy-in contract | United Kingdom | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Defined benefit plan, transfer of assets | £ 198 | £ 383 | ||||||||||||||||||
Defined benefit plan, deferred premium | £ 35 | |||||||||||||||||||
Proportion of scheme assets represented by buy-in contracts | 92% | 94% | 94% | |||||||||||||||||
Proportion of scheme liabilities represented by buy-in contracts | 100% | 100% | 100% | |||||||||||||||||
Imperial Tobacco Corporate Pension Plan | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Insurers party to agreement | insurer | 2 | 2 | ||||||||||||||||||
Imperial Tobacco Corporate Pension Plan | Canada | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Defined benefit plan, transfer of assets | £ 114 | $ 194 | ||||||||||||||||||
Imasco Pension Fund Society Plan | Canada | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Defined benefit plan, transfer of assets | £ 451 | $ 766 | ||||||||||||||||||
Healthcare schemes | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Surplus (deficit) in plan | £ (410) | £ (462) | ||||||||||||||||||
Increase of actuarial assumption | 20 | |||||||||||||||||||
Decrease of actuarial assumption | 18 | |||||||||||||||||||
Healthcare schemes | Plan assets | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Company contributions | £ 0 | £ 0 | ||||||||||||||||||
Healthcare schemes | United States | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Percentage of unfunded benefit schemes | 86% | 86% | ||||||||||||||||||
General inflation (%) | 7.50% | 7.50% | 7.50% | |||||||||||||||||
Healthcare schemes | Canada | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
General inflation (%) | 5% | |||||||||||||||||||
Healthcare schemes | Funded defined benefit plans | ||||||||||||||||||||
Disclosure Of Defined Benefit Plans [Line Items] | ||||||||||||||||||||
Surplus (deficit) in plan | £ (5) | £ (52) |
Retirement Benefit Schemes - Sc
Retirement Benefit Schemes - Schedule of Defined Benefit Amounts Recognised in Balance Sheets (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | £ (7,202) | £ (7,312) | ||
Fair value of funded scheme assets | 7,317 | 7,424 | ||
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 900 | 909 | ||
Unrecognised funded scheme surpluses | 40 | 60 | £ 16 | £ 16 |
Surplus (deficit) in plan | 75 | 51 | ||
Non-current net defined benefit liability | (881) | (949) | ||
Retirement benefit assets | 956 | 1,000 | ||
Funded defined benefit plans | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | (6,417) | (6,515) | ||
Fair value of funded scheme assets | 7,317 | 7,424 | ||
Unrecognised funded scheme surpluses | (40) | (61) | ||
Surplus (deficit) in plan | 860 | 848 | ||
Unfunded Defined Benefit Plans | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | (785) | (797) | ||
Pension schemes | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | (6,647) | (6,697) | ||
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 905 | 961 | ||
Unrecognised funded scheme surpluses | 40 | 60 | 16 | 16 |
Surplus (deficit) in plan | 485 | 513 | ||
Non-current net defined benefit liability | (467) | (483) | ||
Retirement benefit assets | 952 | 996 | ||
Pension schemes | Funded defined benefit plans | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | (6,267) | (6,310) | ||
Fair value of funded scheme assets | 7,172 | 7,271 | ||
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 905 | 961 | ||
Unrecognised funded scheme surpluses | (40) | (61) | ||
Surplus (deficit) in plan | 865 | 900 | ||
Pension schemes | Unfunded Defined Benefit Plans | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | (380) | (387) | ||
Healthcare schemes | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | (555) | (615) | ||
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | (5) | (52) | ||
Unrecognised funded scheme surpluses | 0 | 0 | £ 0 | £ 0 |
Surplus (deficit) in plan | (410) | (462) | ||
Non-current net defined benefit liability | (414) | (466) | ||
Retirement benefit assets | 4 | 4 | ||
Healthcare schemes | Funded defined benefit plans | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | (150) | (205) | ||
Fair value of funded scheme assets | 145 | 153 | ||
Unrecognised funded scheme surpluses | 0 | 0 | ||
Surplus (deficit) in plan | (5) | (52) | ||
Healthcare schemes | Unfunded Defined Benefit Plans | ||||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||||
Present value of funded/unfunded scheme liabilities | £ (405) | £ (410) |
Retirement Benefit Schemes - _2
Retirement Benefit Schemes - Schedule of Net Liabilities of Funded Pension Schemes by Territory (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | £ (7,202) | £ (7,312) |
Fair value of funded scheme assets | 7,317 | 7,424 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 900 | 909 |
Funded defined benefit plans | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (6,417) | (6,515) |
Fair value of funded scheme assets | 7,317 | 7,424 |
Pension schemes | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (6,647) | (6,697) |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 905 | 961 |
Pension schemes | Funded defined benefit plans | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (6,267) | (6,310) |
Fair value of funded scheme assets | 7,172 | 7,271 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 905 | 961 |
Pension schemes | United States | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (1,439) | (1,552) |
Fair value of funded scheme assets | 1,890 | 2,046 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 451 | 494 |
Pension schemes | United Kingdom | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (2,132) | (2,114) |
Fair value of funded scheme assets | 2,315 | 2,256 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 183 | 142 |
Pension schemes | Germany | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (741) | (711) |
Fair value of funded scheme assets | 863 | 861 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 122 | 150 |
Pension schemes | Canada | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (556) | (574) |
Fair value of funded scheme assets | 594 | 613 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 38 | 39 |
Pension schemes | Netherlands | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (736) | (693) |
Fair value of funded scheme assets | 780 | 739 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 44 | 46 |
Pension schemes | Switzerland | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (273) | (279) |
Fair value of funded scheme assets | 295 | 308 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | 22 | 29 |
Pension schemes | Rest of Group | ||
Disclosure Of Net Defined Benefit Liability Asset [Line Items] | ||
Present value of funded/unfunded scheme liabilities | (390) | (387) |
Fair value of funded scheme assets | 435 | 448 |
Surplus (deficit) in funded plans excluding unrecognised scheme surpluses | £ 45 | £ 61 |
Retirement Benefit Schemes - _3
Retirement Benefit Schemes - Schedule of Defined Benefit Amounts Recognised in Income Statement (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Defined Benefit Plans [Line Items] | |||
– current service cost | £ 37 | £ 51 | |
– past service credit, curtailments and settlements | (6) | (13) | |
– interest on scheme liabilities | 347 | 247 | |
– interest on scheme assets | (354) | (246) | |
– interest on unrecognised funded scheme surpluses | 4 | 1 | £ 1 |
Defined benefit schemes | 28 | 40 | |
Defined contribution schemes | 80 | 93 | |
Total amount recognised in the income statement | 108 | 133 | 139 |
Pension schemes | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
– current service cost | 36 | 50 | |
– past service credit, curtailments and settlements | (7) | (14) | |
– interest on scheme liabilities | 315 | 224 | |
– interest on scheme assets | (345) | (240) | |
– interest on unrecognised funded scheme surpluses | 4 | 1 | 1 |
Defined benefit schemes | 3 | 21 | |
Defined contribution schemes | 80 | 93 | |
Total amount recognised in the income statement | 83 | 114 | |
Healthcare schemes | |||
Disclosure Of Defined Benefit Plans [Line Items] | |||
– current service cost | 1 | 1 | |
– past service credit, curtailments and settlements | 1 | 1 | |
– interest on scheme liabilities | 32 | 23 | |
– interest on scheme assets | (9) | (6) | |
– interest on unrecognised funded scheme surpluses | 0 | 0 | £ 0 |
Defined benefit schemes | 25 | 19 | |
Defined contribution schemes | 0 | 0 | |
Total amount recognised in the income statement | £ 25 | £ 19 |
Retirement Benefit Schemes - _4
Retirement Benefit Schemes - Schedule of Movements in Scheme Liabilities (Details) - Liabilities - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Changes in net defined benefit liability (asset) [abstract] | ||
Present value beginning balance | £ 7,312 | £ 11,121 |
Differences on exchange | (187) | 645 |
Current service cost | 37 | 51 |
Past service (credit)/cost and settlements | (66) | (1,307) |
Interest on scheme liabilities | 347 | 247 |
Contributions by scheme members | (2) | (3) |
Benefits paid | (536) | (645) |
Actuarial losses/(gains) arising from changes in demographic assumptions | (28) | (18) |
Actuarial losses/(gains)arising from changes in financial assumptions | 277 | (2,920) |
Experience losses/(gains) | (44) | (135) |
Present value ending balance | 7,202 | 7,312 |
Pension schemes | ||
Changes in net defined benefit liability (asset) [abstract] | ||
Present value beginning balance | 6,697 | 10,414 |
Differences on exchange | (153) | 567 |
Current service cost | 36 | 50 |
Past service (credit)/cost and settlements | (67) | (1,308) |
Interest on scheme liabilities | 315 | 224 |
Contributions by scheme members | (2) | (3) |
Benefits paid | (484) | (586) |
Actuarial losses/(gains) arising from changes in demographic assumptions | (28) | (18) |
Actuarial losses/(gains)arising from changes in financial assumptions | 268 | (2,775) |
Experience losses/(gains) | (61) | (126) |
Present value ending balance | 6,647 | 6,697 |
Healthcare schemes | ||
Changes in net defined benefit liability (asset) [abstract] | ||
Present value beginning balance | 615 | 707 |
Differences on exchange | (34) | 78 |
Current service cost | 1 | 1 |
Past service (credit)/cost and settlements | 1 | 1 |
Interest on scheme liabilities | 32 | 23 |
Contributions by scheme members | 0 | 0 |
Benefits paid | (52) | (59) |
Actuarial losses/(gains) arising from changes in demographic assumptions | 0 | 0 |
Actuarial losses/(gains)arising from changes in financial assumptions | 9 | (145) |
Experience losses/(gains) | 17 | (9) |
Present value ending balance | £ 555 | £ 615 |
Retirement Benefit Schemes - _5
Retirement Benefit Schemes - Schedule of Scheme Liabilities by Scheme Membership (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | £ 7,202 | £ 7,312 |
Pension schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 6,647 | 6,697 |
Healthcare schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 555 | 615 |
Active members | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 679 | 787 |
Active members | Pension schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 656 | 756 |
Active members | Healthcare schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 23 | 31 |
Deferred members | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 1,026 | 1,056 |
Deferred members | Pension schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 1,025 | 1,055 |
Deferred members | Healthcare schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 1 | 1 |
Retired members | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 5,497 | 5,469 |
Retired members | Pension schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | 4,966 | 4,886 |
Retired members | Healthcare schemes | ||
Disclosure Of Defined Benefit Plans [Line Items] | ||
Defined benefit obligation, at present value | £ 531 | £ 583 |
Retirement Benefit Schemes - Su
Retirement Benefit Schemes - Summary of Movements in Funded Scheme Assets (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Changes in Plan Assets [Abstract] | ||
Fair value of scheme assets at 1 January | £ 7,424 | |
Fair value of scheme assets at 31 December | 7,317 | £ 7,424 |
Fair value of scheme assets at 31 December | 7,317 | 7,424 |
Listed | ||
Changes in Plan Assets [Abstract] | ||
Equities | 634 | 628 |
Bonds | 1,156 | 1,185 |
Other assets | 564 | 480 |
Unlisted | ||
Changes in Plan Assets [Abstract] | ||
Equities | 724 | 806 |
Bonds | 861 | 832 |
Buy-in insurance policies | 2,585 | 2,453 |
Other assets | 793 | 1,040 |
Plan assets | ||
Changes in Plan Assets [Abstract] | ||
Fair value of scheme assets at 1 January | 7,424 | 10,816 |
Differences on exchange | (192) | 627 |
Settlements | (60) | (1,294) |
Interest on scheme assets | 354 | 246 |
Company contributions | 64 | 74 |
Contributions by scheme members | 2 | 3 |
Benefits paid | (462) | (561) |
Actuarial losses/(gains)arising from changes in financial assumptions | (187) | 2,487 |
Fair value of scheme assets at 31 December | 7,317 | 7,424 |
Fair value of scheme assets at 31 December | 7,317 | 7,424 |
Plan assets | Pension schemes | ||
Changes in Plan Assets [Abstract] | ||
Fair value of scheme assets at 1 January | 7,271 | 10,644 |
Differences on exchange | (182) | 606 |
Settlements | (60) | (1,294) |
Interest on scheme assets | 345 | 240 |
Company contributions | 64 | 74 |
Contributions by scheme members | 2 | 3 |
Benefits paid | (448) | (546) |
Actuarial losses/(gains)arising from changes in financial assumptions | (180) | 2,456 |
Fair value of scheme assets at 31 December | 7,172 | 7,271 |
Fair value of scheme assets at 31 December | 7,172 | 7,271 |
Plan assets | Pension schemes | Listed | ||
Changes in Plan Assets [Abstract] | ||
Equities | 629 | 623 |
Bonds | 1,139 | 1,167 |
Other assets | 556 | 473 |
Plan assets | Pension schemes | Unlisted | ||
Changes in Plan Assets [Abstract] | ||
Equities | 675 | 756 |
Bonds | 803 | 768 |
Buy-in insurance policies | 2,585 | 2,453 |
Other assets | 785 | 1,031 |
Plan assets | Healthcare schemes | ||
Changes in Plan Assets [Abstract] | ||
Fair value of scheme assets at 1 January | 153 | 172 |
Differences on exchange | (10) | 21 |
Settlements | 0 | 0 |
Interest on scheme assets | 9 | 6 |
Company contributions | 0 | 0 |
Contributions by scheme members | 0 | 0 |
Benefits paid | (14) | (15) |
Actuarial losses/(gains)arising from changes in financial assumptions | (7) | 31 |
Fair value of scheme assets at 31 December | 145 | 153 |
Fair value of scheme assets at 31 December | 145 | 153 |
Plan assets | Healthcare schemes | Listed | ||
Changes in Plan Assets [Abstract] | ||
Equities | 5 | 5 |
Bonds | 17 | 18 |
Other assets | 8 | 7 |
Plan assets | Healthcare schemes | Unlisted | ||
Changes in Plan Assets [Abstract] | ||
Equities | 49 | 50 |
Bonds | 58 | 64 |
Buy-in insurance policies | 0 | 0 |
Other assets | £ 8 | £ 9 |
Retirement Benefit Schemes - _6
Retirement Benefit Schemes - Summary of Movements in the Unrecognised Scheme Surpluses Recognised in Other Comprehensive Income (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Changes in Unrecognised Funded Scheme Surpluses Deficit [Abstract] | |||
Unrecognised funded scheme surpluses, beginning balance | £ 60 | £ 16 | £ 16 |
Differences on exchange | 0 | 4 | (2) |
Interest on unrecognised funded scheme surpluses | (4) | (1) | (1) |
Movement in year | (24) | 39 | 1 |
Unrecognised funded scheme surpluses, ending balance | 40 | 60 | 16 |
Pension schemes | |||
Changes in Unrecognised Funded Scheme Surpluses Deficit [Abstract] | |||
Unrecognised funded scheme surpluses, beginning balance | 60 | 16 | 16 |
Differences on exchange | 0 | 4 | (2) |
Interest on unrecognised funded scheme surpluses | (4) | (1) | (1) |
Movement in year | (24) | 39 | 1 |
Unrecognised funded scheme surpluses, ending balance | 40 | 60 | 16 |
Healthcare schemes | |||
Changes in Unrecognised Funded Scheme Surpluses Deficit [Abstract] | |||
Unrecognised funded scheme surpluses, beginning balance | 0 | 0 | 0 |
Differences on exchange | 0 | 0 | 0 |
Interest on unrecognised funded scheme surpluses | 0 | 0 | 0 |
Movement in year | 0 | 0 | 0 |
Unrecognised funded scheme surpluses, ending balance | £ 0 | £ 0 | £ 0 |
Retirement Benefit Schemes - _7
Retirement Benefit Schemes - Summary of Actuarial Assumptions Rate for Valuations Plans (Details) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
United States | ||
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | ||
Rate of increase in salaries (%) | 3.30% | 3.30% |
Rate of increase in pensions in payment (%) | 2.40% | 2.40% |
Rate of increase in deferred pensions (%) | 0.10% | 0.10% |
Discount rate (%) | 5.20% | 5.50% |
General inflation (%) | 2.50% | 2.50% |
Weighted average duration of liabilities (years) | 10 years 2 months 12 days | 10 years 8 months 12 days |
United Kingdom | ||
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | ||
Rate of increase in salaries (%) | 0% | 0% |
Rate of increase in pensions in payment (%) | 3.10% | 3.20% |
Rate of increase in deferred pensions (%) | 2.50% | 2.80% |
Discount rate (%) | 4.80% | 5% |
General inflation (%) | 3.10% | 3.20% |
Weighted average duration of liabilities (years) | 12 years 2 months 12 days | 12 years 4 months 24 days |
Germany | ||
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | ||
Rate of increase in salaries (%) | 2.50% | 2.50% |
Rate of increase in pensions in payment (%) | 2.30% | 2.30% |
Rate of increase in deferred pensions (%) | 2.30% | 2.30% |
Discount rate (%) | 3.50% | 4.20% |
General inflation (%) | 2.50% | 2.30% |
Weighted average duration of liabilities (years) | 10 years 7 months 6 days | 10 years 10 months 24 days |
Canada | ||
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | ||
Rate of increase in salaries (%) | 2.50% | 2.50% |
Rate of increase in pensions in payment (%) | 0% | 0% |
Rate of increase in deferred pensions (%) | 0% | 0% |
Discount rate (%) | 4.60% | 5% |
General inflation (%) | 2% | 2% |
Weighted average duration of liabilities (years) | 9 years | 9 years |
Netherlands | ||
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | ||
Rate of increase in salaries (%) | 1.40% | 1.40% |
Rate of increase in pensions in payment (%) | 2.50% | 2.20% |
Rate of increase in deferred pensions (%) | 2.50% | 2.20% |
Discount rate (%) | 3.30% | 3.70% |
General inflation (%) | 2% | 2% |
Weighted average duration of liabilities (years) | 15 years | 14 years 4 months 24 days |
Switzerland | ||
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | ||
Rate of increase in salaries (%) | 2% | 1.50% |
Rate of increase in pensions in payment (%) | 0% | 0% |
Rate of increase in deferred pensions (%) | 0% | 0% |
Discount rate (%) | 1.40% | 2.10% |
General inflation (%) | 1.40% | 1.20% |
Weighted average duration of liabilities (years) | 10 years 9 months 18 days | 10 years 2 months 12 days |
Retirement Benefit Schemes - _8
Retirement Benefit Schemes - Summary of Weighted Average Life Expectancy Used to Determine Benefit Obligations (Details) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
United States | ||
Disclosure Of Life Expectancy [Line Items] | ||
Member age 65 (current life expectancy), Male | 22 years 1 month 6 days | 22 years 1 month 6 days |
Member age 65 (current life expectancy), Female | 23 years 7 months 6 days | 23 years 7 months 6 days |
Member age 45 (life expectancy at age 65), Male | 22 years 2 months 12 days | 22 years 2 months 12 days |
Member age 45 (life expectancy at age 65), Female | 24 years 1 month 6 days | 24 years 1 month 6 days |
United Kingdom | ||
Disclosure Of Life Expectancy [Line Items] | ||
Member age 65 (current life expectancy), Male | 22 years 7 months 6 days | 22 years 10 months 24 days |
Member age 65 (current life expectancy), Female | 24 years 1 month 6 days | 24 years 2 months 12 days |
Member age 45 (life expectancy at age 65), Male | 24 years 1 month 6 days | 24 years 6 months |
Member age 45 (life expectancy at age 65), Female | 26 years 1 month 6 days | 26 years |
Germany | ||
Disclosure Of Life Expectancy [Line Items] | ||
Member age 65 (current life expectancy), Male | 20 years 7 months 6 days | 20 years 7 months 6 days |
Member age 65 (current life expectancy), Female | 24 years | 24 years |
Member age 45 (life expectancy at age 65), Male | 23 years | 23 years 4 months 24 days |
Member age 45 (life expectancy at age 65), Female | 26 years 9 months 18 days | 26 years 3 months 18 days |
Canada | ||
Disclosure Of Life Expectancy [Line Items] | ||
Member age 65 (current life expectancy), Male | 22 years 1 month 6 days | 22 years |
Member age 65 (current life expectancy), Female | 24 years 4 months 24 days | 24 years 4 months 24 days |
Member age 45 (life expectancy at age 65), Male | 23 years 1 month 6 days | 23 years |
Member age 45 (life expectancy at age 65), Female | 25 years 4 months 24 days | 25 years 3 months 18 days |
Netherlands | ||
Disclosure Of Life Expectancy [Line Items] | ||
Member age 65 (current life expectancy), Male | 21 years | 21 years |
Member age 65 (current life expectancy), Female | 24 years 4 months 24 days | 24 years 4 months 24 days |
Member age 45 (life expectancy at age 65), Male | 23 years 2 months 12 days | 23 years 2 months 12 days |
Member age 45 (life expectancy at age 65), Female | 26 years 3 months 18 days | 26 years 3 months 18 days |
Switzerland | ||
Disclosure Of Life Expectancy [Line Items] | ||
Member age 65 (current life expectancy), Male | 22 years | 22 years |
Member age 65 (current life expectancy), Female | 23 years 9 months 18 days | 23 years 8 months 12 days |
Member age 45 (life expectancy at age 65), Male | 24 years | 23 years 10 months 24 days |
Member age 45 (life expectancy at age 65), Female | 25 years 8 months 12 days | 25 years 7 months 6 days |
Retirement Benefit Schemes - _9
Retirement Benefit Schemes - Summary of Sensitivity Analysis (Details) £ in Millions | Dec. 31, 2023 GBP (£) |
Life expectancy | 1 Year Increase | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
1 year increase | £ 184 |
Life expectancy | 1 Year Decrease | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
1 year decrease | £ (185) |
Rate of inflation | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
Percentage of reasonably possible increase in actuarial assumption | 0.25% |
Percentage of reasonably possible decrease in actuarial assumption | 0.25% |
Rate of inflation | 1 Year Increase | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
1 year increase | £ 95 |
Rate of inflation | 1 Year Decrease | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
1 year decrease | £ (96) |
Discount rate | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
Percentage of reasonably possible increase in actuarial assumption | 0.50% |
Percentage of reasonably possible decrease in actuarial assumption | 0.50% |
Discount rate | 1 Year Increase | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
1 year increase | £ (308) |
Discount rate | 1 Year Decrease | |
Disclosure Of Sensitivity Analysis For Actuarial Assumptions [Line Items] | |
1 year decrease | £ 336 |
Deferred tax - Summary of Recon
Deferred tax - Summary of Reconciliation of Net Deferred Tax Assets/(Liabilities) (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | £ 17,746 | £ 15,851 | |
Differences on exchange | 762 | (2,007) | |
Credited/(charged) to the income statement | 5,577 | 174 | |
Credited/(charged) relating to changes in tax rates | 106 | 66 | £ 158 |
Deferred tax | 12 | (106) | (110) |
Net reclassifications as held-for-sale | 8 | (22) | |
Ending balance at 31 December | 11,281 | 17,746 | 15,851 |
Stock relief | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | (30) | 4 | |
Differences on exchange | 2 | (8) | |
Credited/(charged) to the income statement | (1) | 46 | |
Credited/(charged) relating to changes in tax rates | 0 | 0 | |
Deferred tax | 0 | 0 | |
Net reclassifications as held-for-sale | 1 | (4) | |
Ending balance at 31 December | (32) | (30) | 4 |
Excess of capital allowances over depreciation | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | 115 | 151 | |
Differences on exchange | 26 | (20) | |
Credited/(charged) to the income statement | 72 | 50 | |
Credited/(charged) relating to changes in tax rates | 0 | (3) | |
Deferred tax | 0 | 0 | |
Net reclassifications as held-for-sale | (4) | 9 | |
Ending balance at 31 December | 21 | 115 | 151 |
Tax losses | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | (210) | (94) | |
Differences on exchange | 1 | 5 | |
Credited/(charged) to the income statement | 153 | 77 | |
Credited/(charged) relating to changes in tax rates | 9 | 34 | |
Deferred tax | 0 | 0 | |
Net reclassifications as held-for-sale | 0 | 0 | |
Ending balance at 31 December | (373) | (210) | (94) |
Undistributed earnings of associates and subsidiaries | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | 229 | 221 | |
Differences on exchange | 12 | (8) | |
Credited/(charged) to the income statement | (4) | 0 | |
Credited/(charged) relating to changes in tax rates | 0 | 0 | |
Deferred tax | 0 | 0 | |
Net reclassifications as held-for-sale | 0 | 0 | |
Ending balance at 31 December | 221 | 229 | 221 |
Retirement benefits | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | (38) | (139) | |
Differences on exchange | 1 | 7 | |
Credited/(charged) to the income statement | (35) | (18) | |
Credited/(charged) relating to changes in tax rates | 0 | (1) | |
Deferred tax | 35 | (89) | |
Net reclassifications as held-for-sale | 0 | 0 | |
Ending balance at 31 December | (39) | (38) | (139) |
Trademarks | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | 18,773 | 16,779 | |
Differences on exchange | 798 | (2,109) | |
Credited/(charged) to the income statement | 5,384 | 70 | |
Credited/(charged) relating to changes in tax rates | 105 | 45 | |
Deferred tax | 0 | 0 | |
Net reclassifications as held-for-sale | 0 | 0 | |
Ending balance at 31 December | 12,486 | 18,773 | 16,779 |
Other temporary differences | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Beginning balance at 1 January | (1,093) | (1,071) | |
Differences on exchange | (78) | 126 | |
Credited/(charged) to the income statement | 8 | (51) | |
Credited/(charged) relating to changes in tax rates | (8) | (9) | |
Deferred tax | (23) | (17) | |
Net reclassifications as held-for-sale | 11 | (27) | |
Ending balance at 31 December | £ (1,003) | £ (1,093) | £ (1,071) |
Deferred tax - Additional Infor
Deferred tax - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Deferred tax assets | £ 911 | £ 682 | |
Deferred tax liabilities | 12,192 | 18,428 | |
Net deferred tax liability | (11,281) | (17,746) | £ (15,851) |
Net deferred tax assets | 493 | ||
Undistributed earnings of subsidiaries for which deferred tax liabilities have not been recognised | 1,100 | 1,600 | |
Tax losses | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Net deferred tax liability | 373 | 210 | £ 94 |
Net deferred tax assets | 363 | ||
Excess of capital allowances over depreciation | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Net deferred tax assets | 196 | ||
No expiry date | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Unused tax losses for which no deferred tax asset recognised | 360 | 364 | |
Unused tax credits for which no deferred tax asset recognised | 80 | 80 | |
Within next 20 years | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Unused tax losses for which no deferred tax asset recognised | 285 | 429 | |
Within next 10 years | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Deductible temporary differences for which no deferred tax asset is recognised | £ 25 | £ 41 | |
Profit growth rate | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Percentage of reasonably possible increase in unobservable input, assets | 10% | ||
Percentage of reasonably possible decrease in unobservable input, assets | 10% | ||
Forecast | |||
Disclosure of Temporary Difference Unused Tax Losses and Unused Tax Credits | |||
Utilisation period | 6 years |
Trade and other receivables - S
Trade and other receivables - Summary of trade and other receivables (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Trade and other receivables [abstract] | ||
Trade receivables | £ 2,887 | £ 2,609 |
Loans and other receivables | 663 | 1,568 |
Prepayments and accrued income | 392 | 431 |
Net trade and other receivables per balance sheet | 3,942 | 4,608 |
Trade and other receivables, Current | 3,621 | 4,367 |
Trade and other receivables, Non-current | £ 321 | £ 241 |
Trade and other receivables - A
Trade and other receivables - Additional Information (Details) € in Millions, £ in Millions | Dec. 31, 2023 GBP (£) | Dec. 31, 2023 EUR (€) | Dec. 31, 2022 GBP (£) |
Disclosure Of Trade And Other Receivables [Line Items] | |||
Trade debtor balance | £ 189 | £ 164 | |
Litigation deposits | 131 | 114 | |
Prepayments and accrued income | 17 | 21 | |
BAT Pars Company PJSC | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Disposal group discontinued operation discounted consideration receivable | 56 | € 64 | £ 56 |
BAT Pars Company PJSC | Allowance | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Disposal group discontinued operation discounted consideration receivable | £ 28 | ||
US dollar | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Percentage of trade and other receivables denominated in other currencies | 3.30% | 3.30% | 1.90% |
Euro | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Percentage of trade and other receivables denominated in other currencies | 6.60% | 6.60% | 5.70% |
Other currencies | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Percentage of trade and other receivables denominated in other currencies | 1.40% | 1.40% | 2.40% |
Souza Cruz | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Current receivables from taxes other than income tax | £ 624 | ||
Other current receivables | 97 | ||
Factoring of receivables | Collection agent | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Trade receivables derecognised | £ 545 | 533 | |
Factoring of receivables | Non collection agent | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Trade receivables derecognized | 16 | 22 | |
Supply chain financing arrangements | |||
Disclosure Of Trade And Other Receivables [Line Items] | |||
Trade receivables derecognized | £ 141 | £ 81 |
Trade and other receivables -_2
Trade and other receivables - Summary of trade and other receivables reported in balance sheet net of allowances (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Trade And Other Receivables [Line Items] | ||
Trade receivables | £ 2,887 | £ 2,609 |
Loans and other receivables | 663 | 1,568 |
Prepayments and accrued income | 392 | 431 |
Net trade and other receivables per balance sheet | 3,942 | 4,608 |
Cost | ||
Disclosure Of Trade And Other Receivables [Line Items] | ||
Trade receivables | 2,957 | 2,660 |
Loans and other receivables | 691 | 1,568 |
Allowance | ||
Disclosure Of Trade And Other Receivables [Line Items] | ||
Trade receivables | (70) | (51) |
Loans and other receivables | £ (28) | £ 0 |
Trade and other receivables -_3
Trade and other receivables - Summary of movements in allowance accounts (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Trade And Other Receivables [Line Items] | ||
Allowance account for credit losses of financial assets at beginning of period | £ 51 | £ 37 |
Differences on exchange | 2 | 2 |
Provided in the year | 61 | 28 |
Released | (16) | (16) |
Allowance account for credit losses of financial assets at end of period | 98 | 51 |
Loans and other receivables | ||
Disclosure Of Trade And Other Receivables [Line Items] | ||
Allowance account for credit losses of financial assets at beginning of period | 0 | 0 |
Differences on exchange | 0 | 0 |
Provided in the year | 28 | 0 |
Released | 0 | 0 |
Allowance account for credit losses of financial assets at end of period | 28 | 0 |
Trade receivables | ||
Disclosure Of Trade And Other Receivables [Line Items] | ||
Allowance account for credit losses of financial assets at beginning of period | 51 | 37 |
Differences on exchange | 2 | 2 |
Provided in the year | 33 | 28 |
Released | (16) | (16) |
Allowance account for credit losses of financial assets at end of period | £ 70 | £ 51 |
Investments held at fair valu_2
Investments held at fair value - Schedule of Investments (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Financial Assets [Line Items] | ||
Beginning balance | £ 700 | £ 506 |
Difference on exchange | (53) | 19 |
Additions | 416 | 228 |
Disposals | (372) | (96) |
Provisions | 4 | 17 |
Reclassifications | 0 | 0 |
Other fair value movements | 24 | 26 |
Ending balance | 719 | 700 |
Current | 601 | 579 |
Non-current | 118 | 121 |
Fair value through P&L | ||
Disclosure Of Financial Assets [Line Items] | ||
Beginning balance | 640 | 469 |
Difference on exchange | (52) | 18 |
Additions | 405 | 209 |
Disposals | (372) | (93) |
Provisions | 4 | 17 |
Reclassifications | (3) | 0 |
Other fair value movements | 30 | 20 |
Ending balance | 652 | 640 |
Current | 601 | 579 |
Non-current | 51 | 61 |
Fair value through OCI | ||
Disclosure Of Financial Assets [Line Items] | ||
Beginning balance | 60 | 37 |
Difference on exchange | (1) | 1 |
Additions | 11 | 19 |
Disposals | 0 | (3) |
Provisions | 0 | 0 |
Reclassifications | 3 | 0 |
Other fair value movements | (6) | 6 |
Ending balance | 67 | 60 |
Current | 0 | 0 |
Non-current | £ 67 | £ 60 |
Investments Held at Fair Valu_3
Investments Held at Fair Value - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Financial Assets [Line Items] | |||
Investments held at fair value | £ 601 | £ 579 | |
Investments held at fair value through profit and loss due to exchange control restrictions | £ 89 | £ 78 | |
Percentage of investments held at fair value denominated in other than the functional currency of the subsidiary | 6% | 5% | |
Investments other than investments accounted for using equity method | £ 719 | £ 700 | £ 506 |
Additions | 416 | 228 | |
Disposals | 372 | 96 | |
Other fair value movements | 24 | 26 | |
Level 3 | |||
Disclosure Of Financial Assets [Line Items] | |||
Investments other than investments accounted for using equity method | 192 | 186 | |
Additions | 123 | 133 | |
Disposals | 90 | 82 | |
Other fair value movements | £ 27 | 26 | |
Charlotte's Web Holdings, Inc. | |||
Disclosure Of Financial Assets [Line Items] | |||
Investment term | 7 years | ||
Iran | |||
Disclosure Of Financial Assets [Line Items] | |||
Reversal of provision | £ 4 | 17 | £ 24 |
Imperial Tobacco Canada | |||
Disclosure Of Financial Assets [Line Items] | |||
Investments held at fair value | £ 446 | £ 396 |
Investments Held at Fair Valu_4
Investments Held at Fair Value - Schedule of Reconciliation of Fair Value Investments Cash Flows to Cash Flow Statements (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Available-for-sale financial assets [abstract] | ||
Cash outflow from investments held at fair value | £ 416 | £ 228 |
Cash outflow from loans and other receivables | 32 | 29 |
Cash outflows from investments per cash flow statement | 448 | 257 |
Cash inflow from investments held at fair value | (372) | (96) |
Cash inflow from loans and other receivables | (33) | (32) |
Cash inflows from investments per cash flow statement | £ (405) | £ (128) |
Derivative Financial Instrume_3
Derivative Financial Instruments - Summary of Derivatives (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | £ 290 | £ 561 | |
Liabilities | 395 | 929 | |
Derivative financial assets, Current | 181 | 430 | |
Derivative financial assets, Non-current | 109 | 131 | |
Assets, Derivatives - in respect of net debt | 147 | 438 | |
Assets, Derivatives - other | 143 | 123 | |
Derivative financial liabilities, Current | 189 | 427 | |
Derivative financial liabilities, Non-current | 206 | 502 | |
Liabilities, Derivatives - in respect of net debt | 317 | 605 | |
Liabilities, Derivatives - other | 78 | 324 | |
Net debt | 34,640 | 39,281 | £ 36,302 |
Derivatives in respect of net debt | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Net debt | 170 | 167 | £ (91) |
interest rate swaps | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 10 | 43 | |
Liabilities | 187 | 450 | |
– cross-currency swaps | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 115 | 254 | |
Liabilities | 13 | 121 | |
– forward foreign currency contracts | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 165 | 264 | |
Liabilities | 195 | 358 | |
Fair value hedges | interest rate swaps | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 10 | 27 | |
Liabilities | 187 | 435 | |
Fair value hedges | – cross-currency swaps | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 18 | 126 | |
Liabilities | 0 | 0 | |
Cash flow hedges | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 144 | 202 | |
Liabilities | 68 | 192 | |
Cash flow hedges | interest rate swaps | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 0 | 5 | |
Liabilities | 0 | 0 | |
Cash flow hedges | – cross-currency swaps | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 97 | 127 | |
Liabilities | 13 | 121 | |
Cash flow hedges | – forward foreign currency contracts | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 48 | 70 | |
Liabilities | 55 | 71 | |
Net investment hedges | – forward foreign currency contracts | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 81 | 45 | |
Liabilities | 9 | 247 | |
Held-for-trading | interest rate swaps | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 0 | 12 | |
Liabilities | 0 | 14 | |
Held-for-trading | – forward foreign currency contracts | |||
Disclosure Of Derivative Financial Instruments [Line Items] | |||
Assets | 36 | 149 | |
Liabilities | £ 131 | £ 41 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Additional Information (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Derivative Financial Instruments [Line Items] | ||
Assets | £ 290 | £ 561 |
Liabilities | 395 | 929 |
Inflow | Net settled | ||
Disclosure Of Derivative Financial Instruments [Line Items] | ||
Assets inflow | 10 | 7 |
Outflow | Net settled | ||
Disclosure Of Derivative Financial Instruments [Line Items] | ||
Liabilities outflow | 5 | 5 |
Cash flow hedges | ||
Disclosure Of Derivative Financial Instruments [Line Items] | ||
Assets | 144 | 202 |
Liabilities | 68 | 192 |
Cash flow hedges | Within one year | ||
Disclosure Of Derivative Financial Instruments [Line Items] | ||
Assets | 46 | 72 |
Liabilities | 52 | 134 |
Cash flow hedges | Beyond five years | ||
Disclosure Of Derivative Financial Instruments [Line Items] | ||
Assets | 0 | 0 |
Liabilities | £ 0 | £ 0 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Summary of Maturity Dates of Gross-settled Derivative Financial Instruments (Details) - Gross Settled - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | £ 9,538 | £ 14,351 |
Liabilities inflow | 11,165 | 10,656 |
Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (9,246) | (13,818) |
Liabilities outflow | (11,623) | (11,579) |
Within one year | – forward foreign currency contracts | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 8,163 | 12,506 |
Liabilities inflow | 10,354 | 8,691 |
Within one year | – forward foreign currency contracts | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (8,006) | (12,249) |
Liabilities outflow | (10,549) | (9,049) |
Within one year | interest rate swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 0 | 132 |
Liabilities inflow | 124 | 152 |
Within one year | interest rate swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | 0 | (144) |
Liabilities outflow | (256) | (310) |
Within one year | – cross-currency swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 34 | 731 |
Liabilities inflow | 6 | 689 |
Within one year | – cross-currency swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (42) | (608) |
Liabilities outflow | (10) | (767) |
Later than one year and not later than two years | – forward foreign currency contracts | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 171 | 199 |
Liabilities inflow | 182 | 243 |
Later than one year and not later than two years | – forward foreign currency contracts | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (168) | (193) |
Liabilities outflow | (186) | (247) |
Later than one year and not later than two years | interest rate swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 0 | 0 |
Liabilities inflow | 77 | 152 |
Later than one year and not later than two years | interest rate swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | 0 | 0 |
Liabilities outflow | (151) | (283) |
Later than one year and not later than two years | – cross-currency swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 34 | 9 |
Liabilities inflow | 306 | 10 |
Later than one year and not later than two years | – cross-currency swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (35) | (15) |
Liabilities outflow | (316) | (17) |
2025 and thereafter | interest rate swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 0 | 0 |
Liabilities inflow | 77 | 103 |
2025 and thereafter | interest rate swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | 0 | 0 |
Liabilities outflow | (124) | (192) |
2025 and thereafter | – cross-currency swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 34 | 9 |
Liabilities inflow | 0 | 460 |
2025 and thereafter | – cross-currency swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (33) | (15) |
Liabilities outflow | 0 | (502) |
Between three and four years | interest rate swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 0 | 0 |
Liabilities inflow | 39 | 104 |
Between three and four years | interest rate swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | 0 | 0 |
Liabilities outflow | (31) | (169) |
Between three and four years | – cross-currency swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 618 | 9 |
Liabilities inflow | 0 | 0 |
Between three and four years | – cross-currency swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (488) | (15) |
Liabilities outflow | 0 | 0 |
Between four and five years | interest rate swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 0 | 0 |
Liabilities inflow | 0 | 52 |
Between four and five years | interest rate swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | 0 | 0 |
Liabilities outflow | 0 | (43) |
Between four and five years | – cross-currency swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 26 | 756 |
Liabilities inflow | 0 | 0 |
Between four and five years | – cross-currency swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (21) | (579) |
Liabilities outflow | 0 | 0 |
Beyond five years | – cross-currency swaps | Inflow | ||
Disclosure of derivative financial instruments | ||
Assets inflow | 458 | 0 |
Liabilities inflow | 0 | 0 |
Beyond five years | – cross-currency swaps | Outflow | ||
Disclosure of derivative financial instruments | ||
Assets outflow | (453) | 0 |
Liabilities outflow | £ 0 | £ 0 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Summary of Items Designated As Hedging Instruments (Details) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | |
Fair value hedges | interest rate swaps | Interest rate risk exposure | ||
Disclosure of derivative financial instruments | ||
Nominal amount of hedging instrument | 2,798 | 4,657 |
Changes in fair value used for calculating hedge ineffectiveness | £ 79 | £ (417) |
Fair value hedges | – cross-currency swaps | Interest rate risk exposure | ||
Disclosure of derivative financial instruments | ||
Nominal amount of hedging instrument | 451 | 710 |
Changes in fair value used for calculating hedge ineffectiveness | £ 13 | £ 11 |
Cash flow hedges | interest rate swaps | Interest rate risk exposure | ||
Disclosure of derivative financial instruments | ||
Nominal amount of hedging instrument | 0 | 1,247 |
Changes in fair value used for calculating hedge ineffectiveness | £ 0 | £ (5) |
Cash flow hedges | – cross-currency swaps | Interest rate risk exposure | ||
Disclosure of derivative financial instruments | ||
Nominal amount of hedging instrument | 859 | 1,825 |
Changes in fair value used for calculating hedge ineffectiveness | £ (26) | £ 60 |
Cash flow hedges | – forward foreign currency contracts | Foreign currency risk exposure | ||
Disclosure of derivative financial instruments | ||
Nominal amount of hedging instrument | 2,807 | 3,695 |
Changes in fair value used for calculating hedge ineffectiveness | £ (6) | £ (2) |
Net investment hedges (derivative related) | – forward foreign currency contracts | Foreign currency risk exposure | ||
Disclosure of derivative financial instruments | ||
Nominal amount of hedging instrument | 4,329 | 6,407 |
Changes in fair value used for calculating hedge ineffectiveness | £ 69 | £ (208) |
Net investment hedges (non-derivative related) | Long-term Borrowings | ||
Disclosure of derivative financial instruments | ||
Nominal amount of hedging instrument | 380 | 389 |
Changes in fair value used for calculating hedge ineffectiveness | £ 9 | £ 21 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Classes of current inventories [abstract] | ||
Raw materials and consumables | £ 2,198 | £ 2,370 |
Finished goods and work in progress | 2,584 | 3,159 |
Goods purchased for resale | 156 | 142 |
Inventories | £ 4,938 | £ 5,671 |
Inventories - Additional Inform
Inventories - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Classes of current inventories [abstract] | |||
Inventory write-offs | £ 250 | £ 250 | £ 215 |
Cash and Cash Equivalents - Sch
Cash and Cash Equivalents - Schedule Representing Cash and Cash Equivalents (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Cash and cash equivalents [abstract] | ||
Cash and bank balances | £ 3,247 | £ 3,116 |
Cash equivalents | 1,412 | 330 |
Cash and cash equivalents | £ 4,659 | £ 3,446 |
Cash and Cash Equivalents - Sum
Cash and Cash Equivalents - Summary of Cash and Cash Equivalents Denominated in the Functional Currency of the Subsidiary Undertaking or Other Currencies (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | £ 4,659 | £ 3,446 |
Functional currency | ||
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | 4,147 | 2,979 |
US dollar | ||
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | 373 | 207 |
Euro | ||
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | 81 | 129 |
Other currencies | ||
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | £ 58 | £ 131 |
Cash and Cash Equivalents - S_2
Cash and Cash Equivalents - Summary of Net Cash and Cash Equivalents Shown After Deducting Bank Overdrafts and Accrued Interest (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Cash and cash equivalents [abstract] | ||||
Cash and cash equivalents | £ 4,659 | £ 3,446 | ||
Less overdrafts and accrued interest | (142) | (109) | ||
Net cash and cash equivalents | £ 4,517 | £ 3,337 | £ 2,463 | £ 2,888 |
Cash and Cash Equivalents - Add
Cash and Cash Equivalents - Additional Information (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | £ 4,659 | £ 3,446 |
Accrued interest | 39 | 3 |
Restricted cash and cash equivalents principally due to exchange control restrictions | 392 | 324 |
Imperial Tobacco Canada | ||
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | 2,042 | 1,569 |
Restricted cash and cash equivalents | 1,904 | 1,411 |
Hedging Instrument | ||
Cash And Cash Equivalent [Line Items] | ||
Cash and cash equivalents | £ 38 | £ 34 |
Capital and reserves - Summary
Capital and reserves - Summary of Movements of Called Up Share Capital (Details) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 GBP (£) shares | Dec. 31, 2022 GBP (£) shares | Dec. 31, 2021 GBP (£) shares | |
Disclosure Of Classes Of Share Capital [Line Items] | |||
Allotted and fully paid beginning balance | £ 614,000 | ||
Changes during the year - share option schemes | 2,000 | £ 5,000 | |
Allotted and fully paid ending balance | £ 614,000 | £ 614,000 | |
Ordinary shares, nominal value 25 pence per share | |||
Disclosure Of Classes Of Share Capital [Line Items] | |||
Allotted and fully paid beginning balance (in shares) | shares | 2,456,867,420 | 2,456,617,788 | 2,456,591,597 |
Changes during the year - share option schemes (in shares) | shares | 74,489 | 249,632 | 26,191 |
Allotted and fully paid ending balance (in shares) | shares | 2,456,941,909 | 2,456,867,420 | 2,456,617,788 |
Allotted and fully paid beginning balance | £ 614,210 | £ 614,150 | £ 614,140 |
Changes during the year - share option schemes | 20 | 60 | 10 |
Allotted and fully paid ending balance | £ 614,230 | £ 614,210 | £ 614,150 |
Capital and reserves - Summar_2
Capital and reserves - Summary of Composition of Share Premium Account, Capital Redemption Reserves and Merger Reserves (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure Of Capital And Reserve Reconciliation Of Movement In Equity [Line Items] | ||||
Total equity | £ 52,934 | £ 75,710 | £ 67,401 | £ 62,955 |
Share premium account | ||||
Disclosure Of Capital And Reserve Reconciliation Of Movement In Equity [Line Items] | ||||
Total equity | 115 | 113 | 107 | |
Capital redemption reserve | ||||
Disclosure Of Capital And Reserve Reconciliation Of Movement In Equity [Line Items] | ||||
Total equity | 101 | 101 | 101 | |
Merger reserves | ||||
Disclosure Of Capital And Reserve Reconciliation Of Movement In Equity [Line Items] | ||||
Total equity | 26,414 | 26,414 | 26,414 | |
Share premium, capital redemption and merger reserves £m | ||||
Disclosure Of Capital And Reserve Reconciliation Of Movement In Equity [Line Items] | ||||
Total equity | £ 26,630 | £ 26,628 | £ 26,622 | £ 26,618 |
Capital and reserves - Addition
Capital and reserves - Additional Information (Details) £ / shares in Units, € in Millions, £ in Millions | 1 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||
Feb. 10, 2022 GBP (£) | Sep. 27, 2021 GBP (£) BOND | Sep. 27, 2021 EUR (€) BOND | Feb. 28, 2025 £ / shares | Nov. 30, 2024 £ / shares | Aug. 31, 2024 £ / shares | May 31, 2024 £ / shares | Feb. 29, 2024 GBP (£) | Dec. 31, 2023 GBP (£) vote INSTALMENT £ / shares shares | Nov. 30, 2023 GBP (£) | Sep. 30, 2023 GBP (£) | Aug. 31, 2023 GBP (£) | May 31, 2023 GBP (£) | Feb. 28, 2023 GBP (£) | Dec. 31, 2022 GBP (£) shares | Nov. 30, 2022 GBP (£) | Sep. 30, 2022 GBP (£) | Aug. 31, 2022 GBP (£) | May 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) shares | Sep. 30, 2021 | Dec. 31, 2023 GBP (£) vote INSTALMENT £ / shares shares | Dec. 31, 2022 GBP (£) £ / shares shares | Dec. 31, 2021 GBP (£) £ / shares shares | Sep. 27, 2021 EUR (€) | Dec. 31, 2020 GBP (£) | Dec. 31, 2019 GBP (£) | Jul. 25, 2017 GBP (£) | Dec. 31, 2004 GBP (£) | Dec. 31, 1999 GBP (£) | |
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Number Of Votes Per Shareholder | vote | 1 | 1 | ||||||||||||||||||||||||||||
Increase decrease from share based payment transactions | £ 71 | £ 81 | £ 76 | |||||||||||||||||||||||||||
Total equity | £ 52,934 | £ 75,710 | £ 67,401 | 52,934 | 75,710 | 67,401 | £ 62,955 | |||||||||||||||||||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | (552) | (5) | (291) | |||||||||||||||||||||||||||
Cost of treasury shares repurchased and not cancelled | 6,807 | 6,821 | 4,823 | |||||||||||||||||||||||||||
Cost of own shares held in employee share ownership trusts | £ 289 | £ 295 | £ 299 | |||||||||||||||||||||||||||
Proposed treasury shares repurchase amount | £ 2,000 | |||||||||||||||||||||||||||||
Treasury shares held in trust | shares | 5,951,979 | 5,920,638 | 6,269,959 | 5,951,979 | 5,920,638 | 6,269,959 | ||||||||||||||||||||||||
Treasury shares repurchased | shares | 220,533,855 | 221,000,192 | 161,930,217 | 220,533,855 | 221,000,192 | 161,930,217 | ||||||||||||||||||||||||
Number of perpetual hybrid bonds issued | BOND | 2 | 2 | ||||||||||||||||||||||||||||
Perpetual hybrid bonds | € | € 1,000 | |||||||||||||||||||||||||||||
Perpetual hybrid bonds total | £ 1,685 | £ 1,685 | £ 1,685 | £ 1,685 | ||||||||||||||||||||||||||
Total issuance cost | £ 22 | € 26 | ||||||||||||||||||||||||||||
Payment of coupons | £ 59 | £ 60 | £ 6 | |||||||||||||||||||||||||||
Interim quarterly Dividend declared per share | £ / shares | £ 2.355 | £ 2.309 | £ 2.178 | |||||||||||||||||||||||||||
Dividend payable | £ 1,293 | £ 1,284 | £ 1,282 | £ 1,211 | £ 1,219 | £ 1,223 | £ 1,239 | |||||||||||||||||||||||
Dividend recognised as appropriation from reserves | £ 5,071 | £ 4,915 | £ 4,904 | |||||||||||||||||||||||||||
Price per ordinary shares (in GBP pence per share) | £ / shares | £ 0.25 | £ 0.25 | ||||||||||||||||||||||||||||
Dividends payable number of installments | INSTALMENT | 4 | 4 | ||||||||||||||||||||||||||||
Dividend payables | £ 5,267 | £ 5,267 | ||||||||||||||||||||||||||||
At Fair Value | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Perpetual hybrid bonds total | 1,512 | 1,331 | 1,512 | 1,331 | ||||||||||||||||||||||||||
September 2021 equity classified bonds 1&2 | 3.75% Perpetual hybrid bond | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Payment of coupons | £ 33 | £ 33 | ||||||||||||||||||||||||||||
September 2021 equity classified bonds 1&2 | 3% Perpetual hybrid bond | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Payment of coupons | 26 | 27 | ||||||||||||||||||||||||||||
Five year tranches | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Percentage of coupon associated with perpetual bonds | 3% | 3% | 3% | |||||||||||||||||||||||||||
Eight year tranches | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Percentage of coupon associated with perpetual bonds | 3.75% | 3.75% | 3.75% | |||||||||||||||||||||||||||
Ordinary share | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Dividend payable | £ 1,287 | |||||||||||||||||||||||||||||
Dividend payable per ordinary share | £ / shares | £ 58.9 | £ 58.9 | £ 58.9 | £ 58.9 | ||||||||||||||||||||||||||
B A T Industries Plc | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
BAT Plc acquisition of BAT Industries 1998 | £ 483 | |||||||||||||||||||||||||||||
Rothmans | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Accumulated balance preference shares converted 2004 relating to Rothmans transactions | £ 90 | |||||||||||||||||||||||||||||
Kamaran Industry & Investment Company | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | (1) | |||||||||||||||||||||||||||||
Reynolds American | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Ownership interest acquired | 57.80% | |||||||||||||||||||||||||||||
Share premium account | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Total equity | 115 | 113 | £ 107 | 115 | 113 | 107 | ||||||||||||||||||||||||
Share premium account | Ordinary shares issued under share option schemes | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Increase decrease from share based payment transactions | 2 | 5 | 0 | |||||||||||||||||||||||||||
Share premium account | Shares repurchased and not cancelled | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Increase decrease from share based payment transactions | 0 | 1 | 4 | |||||||||||||||||||||||||||
Merger reserves | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Total equity | 26,414 | 26,414 | 26,414 | 26,414 | 26,414 | 26,414 | ||||||||||||||||||||||||
Merger reserves | Reynolds American | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Total equity | £ 22,666 | |||||||||||||||||||||||||||||
Merger reserves | Rothmans International B.V. Group | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Total equity | £ 3,748 | |||||||||||||||||||||||||||||
Exchange difference relating to Egypt | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | 4 | |||||||||||||||||||||||||||||
Exchange difference relating to BAT Pars | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | 272 | |||||||||||||||||||||||||||||
Difference on exchange relating to other entities | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | (2) | (2) | (19) | |||||||||||||||||||||||||||
Hedging reserve | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Increase decrease from share based payment transactions | 0 | 0 | 0 | |||||||||||||||||||||||||||
Total equity | (194) | (327) | (363) | (194) | (327) | (363) | (504) | |||||||||||||||||||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | 0 | 0 | ||||||||||||||||||||||||||||
(Loss) Gain reported in revenue | (51) | (16) | 29 | |||||||||||||||||||||||||||
(Loss) gain reported in raw materials and consumables | (4) | 2 | 6 | |||||||||||||||||||||||||||
Gain (loss) reported in operating expenses | (17) | (46) | (4) | |||||||||||||||||||||||||||
Gain (loss) reported in net finance costs | 84 | 73 | 59 | |||||||||||||||||||||||||||
Foreign exchange basis spread gain in respect of cost of hedging | 6 | 5 | 4 | |||||||||||||||||||||||||||
Dividend recognised as appropriation from reserves | 0 | 0 | 0 | |||||||||||||||||||||||||||
Perpetual hybrid bonds | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Total equity | 1,685 | 1,685 | 1,685 | 1,685 | 1,685 | 1,685 | 0 | |||||||||||||||||||||||
Perpetual hybrid bonds total | £ 1,703 | |||||||||||||||||||||||||||||
Translation reserve | ||||||||||||||||||||||||||||||
Disclosure Of Share Capital Reserves And Other Equity Interest [Line Items] | ||||||||||||||||||||||||||||||
Increase decrease from share based payment transactions | 0 | 0 | 0 | |||||||||||||||||||||||||||
Total equity | £ (1,470) | £ 2,200 | £ (6,427) | (1,470) | 2,200 | (6,427) | £ (6,830) | |||||||||||||||||||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | 552 | 5 | 291 | |||||||||||||||||||||||||||
Dividend recognised as appropriation from reserves | £ 0 | £ 0 | £ 0 |
Capital and reserves - Summar_3
Capital and reserves - Summary of Equity Attributed to Owners of The Parent - Movements in Other Reserves and Retained Earnings (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | £ 75,710 | £ 67,401 | £ 62,955 |
Comprehensive income and expense | |||
(Loss)/profit for the year | (14,189) | 6,846 | 6,974 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | (4,049) | 8,923 | 32 |
– reclassified and reported in profit for the year | 552 | 5 | 291 |
– net investment hedges - net fair value gains/(losses) on derivatives | 236 | (578) | 75 |
net investment hedges − differences on exchange on borrowings | 9 | (21) | 24 |
Cash flow hedges | |||
– net fair value gains/(losses) | 59 | 81 | 95 |
– reclassified and reported in profit for the year | 12 | 101 | 32 |
– tax on net fair value (gains)/losses in respect of cash flow hedges | (23) | (17) | (32) |
Investments held at fair value | |||
– net fair value (losses)/gains | (6) | 6 | 9 |
Associates – share of OCI, net of tax | (107) | 6 | (17) |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | (106) | 316 | 382 |
– surplus recognition | 24 | (39) | (1) |
– tax on actuarial (gains)/losses in respect of subsidiaries | 30 | (95) | (82) |
Associates – share of OCI, net of tax | (5) | 19 | 14 |
Employee share options | |||
value of employee services | 71 | 81 | 76 |
treasury shares used for share option schemes | 0 | 0 | |
Dividends and other appropriations | |||
– ordinary shares | (5,071) | (4,915) | (4,904) |
Purchase of own shares | |||
share buy-back programme | 2,012 | ||
Perpetual hybrid bonds | |||
coupons paid | (58) | (59) | (6) |
tax on coupons paid | 14 | 11 | 1 |
Non-controlling interests – acquisitions | (1) | (5) | |
Other movements | 22 | (4) | (4) |
Balance, ending | 52,934 | 75,710 | 67,401 |
held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | (110) | (80) | (82) |
Translation reserve | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | 2,200 | (6,427) | (6,830) |
Comprehensive income and expense | |||
(Loss)/profit for the year | 0 | 0 | 0 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | (4,007) | 8,920 | 31 |
– reclassified and reported in profit for the year | (552) | (5) | (291) |
– net investment hedges - net fair value gains/(losses) on derivatives | 236 | (578) | 75 |
net investment hedges − differences on exchange on borrowings | (9) | 21 | (24) |
Cash flow hedges | |||
– net fair value gains/(losses) | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | 0 |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 0 | 0 | 0 |
Investments held at fair value | |||
– net fair value (losses)/gains | 0 | 0 | 0 |
Associates – share of OCI, net of tax | (165) | 6 | (18) |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | 0 | 0 | 0 |
– surplus recognition | 0 | 0 | 0 |
– tax on actuarial (gains)/losses in respect of subsidiaries | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | 0 | 0 | 0 |
Employee share options | |||
value of employee services | 0 | 0 | 0 |
treasury shares used for share option schemes | 0 | 0 | 0 |
Dividends and other appropriations | |||
– ordinary shares | 0 | 0 | 0 |
Purchase of own shares | |||
share buy-back programme | 0 | ||
Perpetual hybrid bonds | |||
coupons paid | 0 | 0 | 0 |
tax on coupons paid | 0 | 0 | 0 |
Non-controlling interests – acquisitions | 0 | 0 | |
Reclassification of equity related to assets held-for-sale | (295) | 295 | |
Other movements | 0 | 0 | 0 |
Balance, ending | (1,470) | 2,200 | (6,427) |
Translation reserve | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | 0 | 0 | 0 |
Hedging reserve | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | (327) | (363) | (504) |
Comprehensive income and expense | |||
(Loss)/profit for the year | 0 | 0 | 0 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | |
– net investment hedges - net fair value gains/(losses) on derivatives | 0 | 0 | 0 |
net investment hedges − differences on exchange on borrowings | 0 | 0 | 0 |
Cash flow hedges | |||
– net fair value gains/(losses) | 59 | 81 | 95 |
– reclassified and reported in profit for the year | (12) | (101) | (32) |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 23 | 17 | 32 |
Investments held at fair value | |||
– net fair value (losses)/gains | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 58 | 0 | 1 |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | 0 | 0 | 0 |
– surplus recognition | 0 | 0 | 0 |
– tax on actuarial (gains)/losses in respect of subsidiaries | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | (27) | 129 | (45) |
Employee share options | |||
value of employee services | 0 | 0 | 0 |
treasury shares used for share option schemes | 0 | 0 | 0 |
Dividends and other appropriations | |||
– ordinary shares | 0 | 0 | 0 |
Purchase of own shares | |||
share buy-back programme | 0 | ||
Perpetual hybrid bonds | |||
coupons paid | 0 | 0 | 0 |
tax on coupons paid | 0 | 0 | 0 |
Non-controlling interests – acquisitions | 0 | 0 | |
Reclassification of equity related to assets held-for-sale | 0 | 0 | |
Other movements | 0 | 0 | 0 |
Balance, ending | (194) | (327) | (363) |
Hedging reserve | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | 0 | 0 | 0 |
Fair value reserve | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | 30 | 6 | (18) |
Comprehensive income and expense | |||
(Loss)/profit for the year | 0 | 0 | 0 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | |
– net investment hedges - net fair value gains/(losses) on derivatives | 0 | 0 | 0 |
net investment hedges − differences on exchange on borrowings | 0 | 0 | 0 |
Cash flow hedges | |||
– net fair value gains/(losses) | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | 0 |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 0 | 0 | 0 |
Investments held at fair value | |||
– net fair value (losses)/gains | (6) | 6 | 9 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | 0 | 0 | 0 |
– surplus recognition | 0 | 0 | 0 |
– tax on actuarial (gains)/losses in respect of subsidiaries | 0 | 0 | 0 |
Associates – share of OCI, net of tax | (6) | 18 | 15 |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | 0 | 0 | 0 |
Employee share options | |||
value of employee services | 0 | 0 | 0 |
treasury shares used for share option schemes | 0 | 0 | 0 |
Dividends and other appropriations | |||
– ordinary shares | 0 | 0 | 0 |
Purchase of own shares | |||
share buy-back programme | 0 | ||
Perpetual hybrid bonds | |||
coupons paid | 0 | 0 | 0 |
tax on coupons paid | 0 | 0 | 0 |
Non-controlling interests – acquisitions | 0 | 0 | |
Reclassification of equity related to assets held-for-sale | 0 | 0 | |
Other movements | 0 | 0 | 0 |
Balance, ending | 18 | 30 | 6 |
Fair value reserve | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | 0 | 0 | 0 |
Revaluation reserve | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | 179 | 179 | 179 |
Comprehensive income and expense | |||
(Loss)/profit for the year | 0 | 0 | 0 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | |
– net investment hedges - net fair value gains/(losses) on derivatives | 0 | 0 | 0 |
net investment hedges − differences on exchange on borrowings | 0 | 0 | 0 |
Cash flow hedges | |||
– net fair value gains/(losses) | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | 0 |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 0 | 0 | 0 |
Investments held at fair value | |||
– net fair value (losses)/gains | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | 0 | 0 | 0 |
– surplus recognition | 0 | 0 | 0 |
– tax on actuarial (gains)/losses in respect of subsidiaries | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | 0 | 0 | 0 |
Employee share options | |||
value of employee services | 0 | 0 | 0 |
treasury shares used for share option schemes | 0 | 0 | 0 |
Dividends and other appropriations | |||
– ordinary shares | 0 | 0 | 0 |
Purchase of own shares | |||
share buy-back programme | 0 | ||
Perpetual hybrid bonds | |||
coupons paid | 0 | 0 | 0 |
tax on coupons paid | 0 | 0 | 0 |
Non-controlling interests – acquisitions | 0 | 0 | |
Reclassification of equity related to assets held-for-sale | 0 | 0 | |
Other movements | 0 | 0 | 0 |
Balance, ending | 179 | 179 | 179 |
Revaluation reserve | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | 0 | 0 | 0 |
Other | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | 573 | 573 | 573 |
Comprehensive income and expense | |||
(Loss)/profit for the year | 0 | 0 | 0 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | |
– net investment hedges - net fair value gains/(losses) on derivatives | 0 | 0 | 0 |
net investment hedges − differences on exchange on borrowings | 0 | 0 | 0 |
Cash flow hedges | |||
– net fair value gains/(losses) | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | 0 |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 0 | 0 | 0 |
Investments held at fair value | |||
– net fair value (losses)/gains | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | 0 | 0 | 0 |
– surplus recognition | 0 | 0 | 0 |
– tax on actuarial (gains)/losses in respect of subsidiaries | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | 0 | 0 | 0 |
Employee share options | |||
value of employee services | 0 | 0 | 0 |
treasury shares used for share option schemes | 0 | 0 | 0 |
Dividends and other appropriations | |||
– ordinary shares | 0 | 0 | 0 |
Purchase of own shares | |||
share buy-back programme | 0 | ||
Perpetual hybrid bonds | |||
coupons paid | 0 | 0 | 0 |
tax on coupons paid | 0 | 0 | 0 |
Non-controlling interests – acquisitions | 0 | 0 | |
Reclassification of equity related to assets held-for-sale | 0 | 0 | |
Other movements | 0 | 0 | 0 |
Balance, ending | 573 | 573 | 573 |
Other | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | 0 | 0 | 0 |
Total other reserves | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | 2,655 | (6,032) | (6,600) |
Comprehensive income and expense | |||
(Loss)/profit for the year | 0 | 0 | 0 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | (4,007) | 8,920 | 31 |
– reclassified and reported in profit for the year | (552) | (5) | (291) |
– net investment hedges - net fair value gains/(losses) on derivatives | 236 | (578) | 75 |
net investment hedges − differences on exchange on borrowings | (9) | 21 | (24) |
Cash flow hedges | |||
– net fair value gains/(losses) | 59 | 81 | 95 |
– reclassified and reported in profit for the year | (12) | (101) | (32) |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 23 | 17 | 32 |
Investments held at fair value | |||
– net fair value (losses)/gains | (6) | 6 | 9 |
Associates – share of OCI, net of tax | (107) | 6 | (17) |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | 0 | 0 | 0 |
– surplus recognition | 0 | 0 | 0 |
– tax on actuarial (gains)/losses in respect of subsidiaries | 0 | 0 | 0 |
Associates – share of OCI, net of tax | (6) | 18 | 15 |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | (27) | 129 | (45) |
Employee share options | |||
value of employee services | 0 | 0 | 0 |
treasury shares used for share option schemes | 0 | 0 | 0 |
Dividends and other appropriations | |||
– ordinary shares | 0 | 0 | 0 |
Purchase of own shares | |||
share buy-back programme | 0 | ||
Perpetual hybrid bonds | |||
coupons paid | 0 | 0 | 0 |
tax on coupons paid | 0 | 0 | 0 |
Non-controlling interests – acquisitions | 0 | 0 | |
Reclassification of equity related to assets held-for-sale | (295) | 295 | |
Other movements | 0 | 0 | 0 |
Balance, ending | (894) | 2,655 | (6,032) |
Total other reserves | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | 0 | 0 | 0 |
Retained earnings - Treasury shares | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | (7,116) | (5,122) | (5,150) |
Comprehensive income and expense | |||
(Loss)/profit for the year | 0 | 0 | 0 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | |
– net investment hedges - net fair value gains/(losses) on derivatives | 0 | 0 | 0 |
net investment hedges − differences on exchange on borrowings | 0 | 0 | 0 |
Cash flow hedges | |||
– net fair value gains/(losses) | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | 0 |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 0 | 0 | 0 |
Investments held at fair value | |||
– net fair value (losses)/gains | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | 0 | 0 | 0 |
– surplus recognition | 0 | 0 | 0 |
– tax on actuarial (gains)/losses in respect of subsidiaries | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | 0 | 0 | 0 |
Employee share options | |||
value of employee services | 0 | 0 | 0 |
treasury shares used for share option schemes | 14 | 14 | 13 |
Dividends and other appropriations | |||
– ordinary shares | 0 | 0 | 0 |
Purchase of own shares | |||
share buy-back programme | 2,012 | ||
Perpetual hybrid bonds | |||
coupons paid | 0 | 0 | 0 |
tax on coupons paid | 0 | 0 | 0 |
Non-controlling interests – acquisitions | 0 | 0 | |
Reclassification of equity related to assets held-for-sale | 0 | 0 | |
Other movements | 116 | 84 | 97 |
Balance, ending | (7,096) | (7,116) | (5,122) |
Retained earnings - Treasury shares | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | 110 | 80 | 82 |
Retained earnings - Other | |||
Disclosure Of Reserves Within Equity [Line Items] | |||
Balance, beginning | 51,197 | 49,334 | 47,191 |
Comprehensive income and expense | |||
(Loss)/profit for the year | (14,367) | 6,666 | 6,801 |
Foreign currency translation and hedges of net investments in foreign operations | |||
– differences on exchange from translation of foreign operations | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | |
– net investment hedges - net fair value gains/(losses) on derivatives | 0 | 0 | 0 |
net investment hedges − differences on exchange on borrowings | 0 | 0 | 0 |
Cash flow hedges | |||
– net fair value gains/(losses) | 0 | 0 | 0 |
– reclassified and reported in profit for the year | 0 | 0 | 0 |
– tax on net fair value (gains)/losses in respect of cash flow hedges | 0 | 0 | 0 |
Investments held at fair value | |||
– net fair value (losses)/gains | 0 | 0 | 0 |
Associates – share of OCI, net of tax | 0 | 0 | 0 |
Retirement benefit schemes | |||
– net actuarial gains/(losses) | (106) | 316 | 382 |
– surplus recognition | 24 | (39) | (1) |
– tax on actuarial (gains)/losses in respect of subsidiaries | (30) | 95 | 82 |
Associates – share of OCI, net of tax | 1 | 1 | (1) |
Other changes in equity | |||
Cash flow hedges reclassified and reported in total assets | 0 | 0 | 0 |
Employee share options | |||
value of employee services | 71 | 81 | 76 |
treasury shares used for share option schemes | (14) | (15) | (17) |
Dividends and other appropriations | |||
– ordinary shares | 5,071 | 4,915 | 4,904 |
Purchase of own shares | |||
share buy-back programme | 0 | ||
Perpetual hybrid bonds | |||
coupons paid | (58) | (59) | (6) |
tax on coupons paid | 14 | 11 | 1 |
Non-controlling interests – acquisitions | (1) | (5) | |
Reclassification of equity related to assets held-for-sale | 0 | 0 | |
Other movements | (94) | (88) | (101) |
Balance, ending | 31,627 | 51,197 | 49,334 |
Retained earnings - Other | held in employee share ownership trusts | |||
Purchase of own shares | |||
– held in employee share ownership trusts | £ 0 | £ 0 | £ 0 |
Borrowings - Schedule of Detail
Borrowings - Schedule of Detailed Information About Borrowings (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Bonds and notes | £ 38,813 | £ 41,411 |
Commercial paper | 0 | |
Other loans | 100 | 875 |
Bank loans | 216 | 203 |
Bank overdrafts | 103 | 106 |
Lease liabilities | 498 | 517 |
Borrowings | £ 39,730 | 43,139 |
Minimum | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings, interest rate | 1.70% | |
Eurobonds One | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Bonds and notes | £ 5,569 | 7,149 |
Eurobonds One | Minimum | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings, interest rate | 1.30% | |
Eurobonds One | Maximum | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings, interest rate | 5.40% | |
Eurobonds Three | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Bonds and notes | £ 3,097 | 3,884 |
Eurobonds Three | Minimum | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings, interest rate | 2.10% | |
Eurobonds Three | Maximum | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings, interest rate | 7.30% | |
Eurobonds Four | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings, interest rate | 1.40% | |
Bonds and notes | £ 234 | 226 |
Bonds Issued One | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Bonds and notes | £ 29,913 | £ 30,152 |
Bonds Issued One | Maximum | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings, interest rate | 8.10% |
Borrowings - Additional Informa
Borrowings - Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Other loans | £ 100 | £ 875 |
Interest payable | 573 | 524 |
Borrowings | 39,730 | 43,139 |
Borrowings subject to fair value hedges, Increase in amortised cost | (110) | (355) |
Undrawn committed borrowing facilities | 7,923 | 7,828 |
Within one year | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 4,324 | 4,413 |
Undrawn committed borrowing facilities | 5,077 | 4,828 |
Later than one year and not later than two years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 3,319 | 4,253 |
Undrawn committed borrowing facilities | 154 | 0 |
2025 and thereafter | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 2,558 | 4,406 |
Undrawn committed borrowing facilities | 154 | 150 |
Between three and four years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 2,947 | 3,013 |
Undrawn committed borrowing facilities | 2,538 | 350 |
Between four and five years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 3,410 | 4,077 |
Undrawn committed borrowing facilities | 0 | 2,500 |
Property, Plant and Equipment, Inventory and Receivables | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowing amounts secured on group assets | 0 | 9 |
At Fair Value | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 36,000 | 37,170 |
At Fair Value | Quoted Market Prices | Level 1 | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 35,083 | 35,440 |
At Fair Value | Discounted Cash Flow | Level 3 | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 917 | 1,730 |
Borrowings subject to fair value hedges | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 5,935 | 9,223 |
Bilateral facilities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Other loans | 100 | 875 |
Lease liabilities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Increase in lease liabilities | 168 | 218 |
Current investments held at fair value | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Increase in current investments held at fair value | £ (49) | £ (22) |
Borrowings - Schedule of Deta_2
Borrowings - Schedule of Detailed Information About Repayment of Borrowings (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | £ 39,730 | £ 43,139 |
Lease liabilities | 498 | 517 |
Contractual gross maturities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 58,219 | 60,303 |
Lease liabilities | 616 | 599 |
Within one year | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 4,324 | 4,413 |
Lease liabilities | 131 | 142 |
Within one year | Contractual gross maturities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 5,359 | 5,426 |
Lease liabilities | 155 | 161 |
Later than one year and not later than two years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 3,319 | 4,253 |
Lease liabilities | 103 | 109 |
Later than one year and not later than two years | Contractual gross maturities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 4,784 | 5,763 |
Lease liabilities | 122 | 122 |
Between two and three years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 2,558 | 4,406 |
Lease liabilities | 77 | 76 |
Between two and three years | Contractual gross maturities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 3,920 | 5,673 |
Lease liabilities | 91 | 85 |
Between three and four years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 2,947 | 3,013 |
Lease liabilities | 59 | 58 |
Between three and four years | Contractual gross maturities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 4,393 | 4,141 |
Lease liabilities | 70 | 65 |
Between four and five years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 3,410 | 4,077 |
Lease liabilities | 29 | 50 |
Between four and five years | Contractual gross maturities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 4,600 | 5,494 |
Lease liabilities | 38 | 54 |
Beyond five years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 23,172 | 22,977 |
Lease liabilities | 99 | 82 |
Beyond five years | Contractual gross maturities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 35,163 | 33,806 |
Lease liabilities | £ 140 | £ 112 |
Borrowings - Schedule of Analys
Borrowings - Schedule of Analysis of Borrowings by Currency (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | £ 39,730 | £ 43,139 |
Borrowings net, derivative instruments adjustment | 39,636 | 42,966 |
Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (96) | (179) |
– forward foreign currency contracts | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 2 | 6 |
Functional currency | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 32,215 | 33,438 |
Borrowings net, derivative instruments adjustment | 33,372 | 35,754 |
Functional currency | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 1,214 | 2,356 |
Functional currency | – forward foreign currency contracts | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (57) | (40) |
US dollar | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 3,656 | 3,383 |
Borrowings net, derivative instruments adjustment | 2,313 | 2,385 |
US dollar | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (451) | 0 |
US dollar | – forward foreign currency contracts | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (892) | (998) |
UK sterling | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 302 | 452 |
Borrowings net, derivative instruments adjustment | 2 | 2 |
UK sterling | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (300) | (450) |
UK sterling | – forward foreign currency contracts | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 0 | 0 |
Euro | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 3,301 | 5,579 |
Borrowings net, derivative instruments adjustment | 3,279 | 4,084 |
Euro | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (559) | (2,085) |
Euro | – forward foreign currency contracts | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 537 | 590 |
Other currencies | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings | 256 | 287 |
Borrowings net, derivative instruments adjustment | 670 | 741 |
Other currencies | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 0 | 0 |
Other currencies | – forward foreign currency contracts | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | £ 414 | £ 454 |
Borrowings - Schedule of Anal_2
Borrowings - Schedule of Analysis of Borrowings by Interest Rate Changes (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Repriced borrowings | £ 39,730 | £ 43,139 |
Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (96) | (179) |
Interest rate risk | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings net, derivative instruments adjustment | 39,634 | 42,960 |
Interest rate risk | interest rate swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 0 | 0 |
Interest rate risk | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (96) | (179) |
Within 1 year | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Repriced borrowings | 4,324 | 4,398 |
Within 1 year | Interest rate risk | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings net, derivative instruments adjustment | 7,570 | 8,978 |
Within 1 year | Interest rate risk | interest rate swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 2,798 | 4,657 |
Within 1 year | Interest rate risk | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 448 | (77) |
Between 1-2 years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Repriced borrowings | 3,319 | 4,246 |
Between 1-2 years | Interest rate risk | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings net, derivative instruments adjustment | 3,090 | 3,746 |
Between 1-2 years | Interest rate risk | interest rate swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (229) | (500) |
Between 1-2 years | Interest rate risk | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 0 | 0 |
Between two and three years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Repriced borrowings | 2,558 | 4,407 |
Between two and three years | Interest rate risk | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings net, derivative instruments adjustment | 1,778 | 3,196 |
Between two and three years | Interest rate risk | interest rate swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (786) | (1,247) |
Between two and three years | Interest rate risk | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 6 | 36 |
Between 3-4 years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Repriced borrowings | 2,947 | 3,013 |
Between 3-4 years | Interest rate risk | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings net, derivative instruments adjustment | 2,947 | 3,013 |
Between 3-4 years | Interest rate risk | interest rate swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 0 | 0 |
Between 3-4 years | Interest rate risk | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 0 | 0 |
Between 4-5 years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Repriced borrowings | 3,410 | 4,077 |
Between 4-5 years | Interest rate risk | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings net, derivative instruments adjustment | 1,529 | 1,029 |
Between 4-5 years | Interest rate risk | interest rate swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (1,783) | (2,910) |
Between 4-5 years | Interest rate risk | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | (98) | (138) |
Beyond 5 years | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Repriced borrowings | 23,172 | 22,998 |
Beyond 5 years | Interest rate risk | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Borrowings net, derivative instruments adjustment | 22,720 | 22,998 |
Beyond 5 years | Interest rate risk | interest rate swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | 0 | 0 |
Beyond 5 years | Interest rate risk | Cross-currency swaps | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Effect of derivative financial instruments | £ (452) | £ 0 |
Borrowings - Schedule of Anal_3
Borrowings - Schedule of Analysis of Net Debt Movements (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Net debt, Opening balance | £ 39,281 | £ 36,302 |
Cash flows per net debt statement | (3,161) | (487) |
Foreign exchange | (1,338) | 3,030 |
Fair value, accrued interest and other | 226 | 84 |
Held for Sale | (368) | 352 |
Net debt, Closing balance | 34,640 | 39,281 |
Reynolds American | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Purchase price adjustments relating to acquisition | 700 | 798 |
Borrowings (excluding lease liabilities) | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Net debt, Opening balance | 42,622 | 39,212 |
Cash flows per net debt statement | (1,638) | (17) |
Foreign exchange | (1,956) | 3,881 |
Fair value, accrued interest and other | 204 | (454) |
Held for Sale | 0 | 0 |
Net debt, Closing balance | 39,232 | 42,622 |
Lease liabilities | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Net debt, Opening balance | 517 | 446 |
Cash flows per net debt statement | (162) | (161) |
Foreign exchange | (25) | 30 |
Held for Sale | 0 | (16) |
Net debt, Closing balance | 498 | 517 |
Derivatives in respect of net debt | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Net debt, Opening balance | 167 | (91) |
Cash flows per net debt statement | (238) | 348 |
Foreign exchange | 564 | (435) |
Fair value, accrued interest and other | (323) | 345 |
Held for Sale | 0 | 0 |
Net debt, Closing balance | 170 | 167 |
Cash and cash equivalents | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Net debt, Opening balance | (3,446) | (2,809) |
Cash flows per net debt statement | (1,101) | (571) |
Foreign exchange | 30 | (431) |
Fair value, accrued interest and other | 226 | (3) |
Held for Sale | (368) | 368 |
Net debt, Closing balance | (4,659) | (3,446) |
Current investments held at fair value | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Net debt, Opening balance | (579) | (456) |
Cash flows per net debt statement | (22) | (86) |
Foreign exchange | 49 | (15) |
Held for Sale | 0 | 0 |
Net debt, Closing balance | £ (601) | £ (579) |
Borrowings - Schedule of Anal_4
Borrowings - Schedule of Analysis of Net Debt Movements Along with Reconciliation to the Financing Activities in the Group Cash Flow Statement (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of reconciliation of liabilities arising from financing activities [abstract] | |||
Cash flows per net debt statement | £ (3,161) | £ (487) | |
Non-financing cash flows included in net debt | 1,126 | 897 | |
Interest paid | (1,682) | (1,578) | £ (1,479) |
Interest element of lease liabilities | (30) | (25) | (23) |
Remaining cash flows relating to derivative financial instruments | (242) | (465) | |
Purchases of own shares held in employee share ownership trusts | (110) | (80) | (82) |
Purchase of own shares | 0 | (2,012) | 0 |
Coupon paid on perpetual hybrid bonds | (59) | (60) | (6) |
Dividends paid to owners of the parent | (5,055) | (4,915) | (4,904) |
Capital injection from and purchases of non-controlling interests | 0 | (1) | 1 |
Dividends paid to non-controlling interests | (105) | (158) | (150) |
Other | 4 | 6 | 3 |
Net cash used in financing activities | £ (9,314) | £ (8,878) | £ (8,749) |
Provisions for liabilities - Su
Provisions for liabilities - Summary of Provisions Excluding Post-Retirement Benefits (Details) £ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2022 USD ($) | |
Disclosure Of Other Provisions [Line Items] | |||
Beginning balance | £ 1,521 | £ 853 | |
Differences on exchange | (82) | 26 | |
Provided in respect of the year | 845 | ||
Transferred from liabilities associated with assets held for sale | 26 | ||
Utilised during the year | (222) | (177) | |
Ending balance | 999 | 1,521 | |
– current | 468 | 1,087 | |
– non-current | 531 | 434 | |
Provisions for liabilities | 999 | 1,521 | |
Restructuring of existing businesses | |||
Disclosure Of Other Provisions [Line Items] | |||
Beginning balance | 297 | 179 | |
Differences on exchange | (32) | 9 | |
Provided in respect of the year | 198 | ||
Transferred from liabilities associated with assets held for sale | 20 | ||
Utilised during the year | (105) | (69) | |
Ending balance | 139 | 297 | |
– current | 96 | 240 | |
– non-current | 43 | 57 | |
Provisions for liabilities | 139 | 297 | |
Reversals of unused provisions | 42 | 35 | |
Net restructuring of existing businesses | |||
Disclosure Of Other Provisions [Line Items] | |||
Provided in respect of the year | (21) | ||
Employee-related benefits | |||
Disclosure Of Other Provisions [Line Items] | |||
Beginning balance | 44 | 41 | |
Differences on exchange | (4) | 2 | |
Provided in respect of the year | 13 | 10 | |
Transferred from liabilities associated with assets held for sale | 0 | ||
Utilised during the year | (11) | (9) | |
Ending balance | 42 | 44 | |
– current | 13 | 14 | |
– non-current | 29 | 30 | |
Provisions for liabilities | 42 | 44 | |
Reversals of unused provisions | 14 | 10 | |
Fox River | |||
Disclosure Of Other Provisions [Line Items] | |||
Beginning balance | 54 | 62 | |
Differences on exchange | 0 | 0 | |
Provided in respect of the year | 0 | 0 | |
Transferred from liabilities associated with assets held for sale | 0 | ||
Utilised during the year | (10) | (8) | |
Ending balance | 44 | 54 | |
– current | 3 | 10 | |
– non-current | 41 | 44 | |
Provisions for liabilities | 44 | 54 | |
Other provisions | |||
Disclosure Of Other Provisions [Line Items] | |||
Beginning balance | 676 | 571 | |
Differences on exchange | (46) | 15 | |
Provided in respect of the year | 240 | 187 | |
Transferred from liabilities associated with assets held for sale | 6 | ||
Utilised during the year | (96) | (91) | |
Ending balance | 774 | 676 | |
– current | 356 | 373 | |
– non-current | 418 | 303 | |
Provisions for liabilities | 774 | 676 | |
Reversals of unused provisions | 128 | 225 | |
Other provisions | DOJ and OFAC investigations | |||
Disclosure Of Other Provisions [Line Items] | |||
Beginning balance | 450 | 0 | |
Differences on exchange | 0 | 0 | |
Provided in respect of the year | 450 | $ 540 | |
Transferred from liabilities associated with assets held for sale | 0 | ||
Utilised during the year | 0 | 0 | |
Ending balance | 0 | 450 | |
– current | 0 | 450 | |
– non-current | 0 | 0 | |
Provisions for liabilities | 0 | £ 450 | |
Net other provisions | DOJ and OFAC investigations | |||
Disclosure Of Other Provisions [Line Items] | |||
Provided in respect of the year | (450) | ||
Net total provisions | |||
Disclosure Of Other Provisions [Line Items] | |||
Provided in respect of the year | (218) | ||
Trade and other payables | |||
Disclosure Of Other Provisions [Line Items] | |||
Reversals of unused provisions | £ 450 |
Provisions for liabilities - Ad
Provisions for liabilities - Additional Information (Details) £ in Millions | 1 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2023 GBP (£) | Oct. 31, 2023 USD ($) | Apr. 30, 2023 GBP (£) | Apr. 30, 2023 USD ($) | Jun. 30, 2024 GBP (£) | Jun. 30, 2024 USD ($) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 GBP (£) | Dec. 31, 2011 GBP (£) | Dec. 31, 2023 USD ($) | |
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | £ 531 | £ 434 | ||||||||||
Trade and other payables | 9,700 | 10,449 | ||||||||||
– increase in trade and other payables | 640 | 3 | £ 183 | |||||||||
Provided in respect of the year | 845 | |||||||||||
Repayment of sundry payables | (640) | (3) | £ (183) | |||||||||
Provision for interest | £ 244 | 183 | ||||||||||
Percentage of base rate charged to net finance costs | 2% | |||||||||||
DOJ and OFAC investigations | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Trade and other payables | $ | $ 635,000,000 | |||||||||||
– increase in trade and other payables | £ (258) | $ (321,000,000) | £ (4) | $ (5,000,000) | £ 75 | |||||||
Repayment of sundry payables | £ 258 | $ 321,000,000 | £ 4 | $ 5,000,000 | (75) | |||||||
DOJ and OFAC investigations | Forecast | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
– increase in trade and other payables | £ (263) | $ (326,000,000) | ||||||||||
Repayment of sundry payables | £ 263 | $ 326,000,000 | ||||||||||
Restructuring of existing businesses | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | £ 43 | 57 | ||||||||||
Estimated unwind percentage of noncurrent provisions relates to termination payments | 97% | |||||||||||
Provided in respect of the year | 198 | |||||||||||
Employee-related benefits | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | £ 29 | 30 | ||||||||||
Estimated unwind percentage of noncurrent provisions | 67% | |||||||||||
Provided in respect of the year | £ 13 | 10 | ||||||||||
Fox River | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | 41 | 44 | ||||||||||
Charges in respect of DOJ and OFAC investigation | £ 274 | |||||||||||
Payments for funding agreement | 0 | 1 | ||||||||||
Legal costs incurred | 10 | 7 | ||||||||||
Provided in respect of the year | 0 | 0 | ||||||||||
Other provisions | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | 418 | 303 | ||||||||||
Provided in respect of the year | 240 | 187 | ||||||||||
Other provisions | DOJ and OFAC investigations | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | 0 | 0 | ||||||||||
Provided in respect of the year | 450 | $ 540,000,000 | ||||||||||
Sales return provision | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | 55 | £ 62 | ||||||||||
Litigation related deposits | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | 89 | |||||||||||
Litigation related deposits | Brazil | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Other provisions for liabilities | £ 40 | |||||||||||
Top of range | Restructuring of existing businesses | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Expected unwind period | 5 years | |||||||||||
Top of range | Employee-related benefits | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Expected unwind period | 5 years | |||||||||||
Top of range | Fox River | ||||||||||||
Disclosure Of Other Provisions [Line Items] | ||||||||||||
Expected unwind period | 5 years |
Trade and other payables - Summ
Trade and other payables - Summary of Trade and Other Payables (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Trade and other payables [abstract] | ||
Trade payables | £ 1,707 | £ 1,862 |
Master Settlement Agreement (US) | 1,788 | 2,193 |
Duty, excise and other taxes | 2,994 | 3,104 |
Accrued charges and deferred income | 2,608 | 2,713 |
FII GLO (note 10(b)) | 863 | 913 |
Social security and other taxation | 46 | 61 |
Sundry payables | 587 | 547 |
Trade and other payables | 10,593 | 11,393 |
Trade and other payables, Current | 9,700 | 10,449 |
Trade and other payables, Non-current | £ 893 | £ 944 |
Trade and other payables - Addi
Trade and other payables - Additional Information (Details) £ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 GBP (£) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 GBP (£) | |
Trade And Other Payables [Line Items] | |||
Cash collected debt factoring arrangements | £ 587 | £ 547 | |
Trade payables | 1,707 | 1,862 | |
Leaf payables | 110 | 161 | |
Deferred income | 18 | 20 | |
Interest payable | 82 | 66 | |
FII GLO (note 10(b)) | £ 863 | £ 913 | |
Percentage of trade and other payables denominated in other than the functional currency of the subsidiary | 10% | 10% | 7% |
Competition investigations | |||
Trade And Other Payables [Line Items] | |||
Penalty due | £ 59 | $ 110 | |
Factoring of receivables | |||
Trade And Other Payables [Line Items] | |||
Cash collected debt factoring arrangements | 138 | £ 119 | |
Supply chain financing arrangements | |||
Trade And Other Payables [Line Items] | |||
Trade payables | £ 201 | £ 257 |
Financial instruments and ris_3
Financial instruments and risk management - Management of Financial Risks, Additional Information (Details) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Abstract] | ||
Proportion of average cost of debt | 5.20% | 4% |
Financial instruments and ris_4
Financial instruments and risk management - Liquidity Risk, Additional Information (Details) € in Millions, £ in Millions, $ in Millions | 1 Months Ended | 12 Months Ended | ||||||||||||||||||
Nov. 30, 2023 EUR (€) | Oct. 31, 2023 EUR (€) | Sep. 30, 2023 USD ($) | Aug. 31, 2023 GBP (£) tranche | Aug. 31, 2023 USD ($) tranche | May 31, 2023 USD ($) | Mar. 31, 2023 GBP (£) extensionOption | Feb. 28, 2023 EUR (€) | Jan. 31, 2023 EUR (€) | Oct. 31, 2022 USD ($) | Aug. 31, 2022 USD ($) | Jun. 30, 2022 GBP (£) | Jun. 30, 2022 USD ($) | May 31, 2022 GBP (£) | Mar. 31, 2022 USD ($) | Feb. 28, 2022 GBP (£) | Dec. 31, 2023 GBP (£) tranche | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2023 USD ($) | |
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Cash and cash equivalents | £ 4,659 | £ 3,446 | ||||||||||||||||||
Commercial paper | 0 | |||||||||||||||||||
Current borrowings | 4,324 | 4,413 | ||||||||||||||||||
Proceeds from the issue of perpetual hybrid bonds, net of issuance costs | £ 0 | £ 0 | £ 1,681 | |||||||||||||||||
Liquidity Risk | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Target average centrally managed debt maturity | 5 years | |||||||||||||||||||
Average centrally managed debt maturity | 10 years 6 months | 9 years 10 months 24 days | 10 years 6 months | |||||||||||||||||
Peak maturity of centrally managed debt maturing in a rolling 12-month period | 15.70% | 18.60% | 15.70% | |||||||||||||||||
Commercial paper issuance facility amount | £ 3,000 | $ 4,000 | ||||||||||||||||||
Commercial paper | 0 | £ 27 | ||||||||||||||||||
Revolving credit facility | £ 5,400 | 5,690 | ||||||||||||||||||
Amount repaid | € 750 | € 800 | $ 550 | £ 3,100 | $ 48 | £ 180 | $ 419 | £ 600 | ||||||||||||
Proceeds from the issue of perpetual hybrid bonds, net of issuance costs | $ 5,000 | € 800 | $ 600 | $ 2,500 | ||||||||||||||||
Number of tranches | tranche | 5 | 5 | 3 | |||||||||||||||||
Liquidity Risk | March 2024 | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Revolving credit facility | £ 2,500 | |||||||||||||||||||
Liquidity Risk | Until March 2025 | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Revolving credit facility | 2,850 | |||||||||||||||||||
Liquidity Risk | March 2026 - March 2027 | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Revolving credit facility | £ 2,500 | |||||||||||||||||||
Liquidity Risk | 364-day Tranche | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Period of tranche | 364 days | |||||||||||||||||||
Number of extension options | extensionOption | 2 | |||||||||||||||||||
Extension period | 1 year | |||||||||||||||||||
Term out period | 1 year | |||||||||||||||||||
Liquidity Risk | Five year tranches | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Period of tranche | 5 years | |||||||||||||||||||
Liquidity Risk | Five year tranches | March 2025 - March 2026 | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Revolving credit facility | £ 2,700 | |||||||||||||||||||
Liquidity Risk | Bilateral facilities | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Current borrowings | £ 2,650 | 3,000 | ||||||||||||||||||
Amount withdrawn and outstanding | 100 | 875 | ||||||||||||||||||
Remaining amount available | 2,550 | |||||||||||||||||||
Liquidity Risk | Bond repaid, August 2022 one | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Amount repaid | $ | $ 750 | |||||||||||||||||||
Liquidity Risk | Bond repaid, August 2022 two | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Amount repaid | $ | $ 601 | |||||||||||||||||||
Liquidity Risk | Bond repaid, January 2023 | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Amount repaid | € | € 750 | |||||||||||||||||||
Liquidity Risk | March 2023 | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Revolving credit facility | £ 2,700 | |||||||||||||||||||
Liquidity Risk | Money Market fund | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Cash and cash equivalents | £ 173 | £ 0 | ||||||||||||||||||
Liquidity Risk | Top of range | ||||||||||||||||||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||||||||||||||||||
Target centrally managed debt maturing in a rolling 12-month period | 20% |
Financial instruments and ris_5
Financial instruments and risk management - Currency Risk, Additional Information (Details) - Currency Risk - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||
Currency risk sensitivity factor | 10% | ||
Impact of 10% strengthening of functional currencies against non-functional currencies on pre-tax profit | £ 61 | £ 49 | £ 53 |
Impact of 10% strengthening of functional currencies against non-functional currencies on items recognised directly in other comprehensive income | 273 | 445 | 144 |
Impact of 10% weakening of functional currencies against non-functional currencies on pre-tax profit | 72 | 60 | 65 |
Impact of 10% weakening of functional currencies against non-functional currencies on items recognised directly in other comprehensive incomee | £ 333 | £ 543 | £ 177 |
Rest of Group | |||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||
Percentage of gross debt after taking into account derivative contracts | 500% | 400% | |
US dollar | |||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||
Percentage of gross debt after taking into account derivative contracts | 7,200% | 7,100% | |
Euro | |||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||
Percentage of gross debt after taking into account derivative contracts | 1,400% | 1,300% | |
UK Sterling | |||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||
Percentage of gross debt after taking into account derivative contracts | 900% | 1,200% |
Financial instruments and ris_6
Financial instruments and risk management - Interest Rate Risk, Additional Information (Details) € in Millions, £ in Millions | 12 Months Ended | ||||
Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Jan. 31, 2022 GBP (£) Derivative | Jan. 31, 2022 EUR (€) Derivative | |
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||||
Ratio of floating rate borrowings after impact of derivatives | 0.10 | 0.12 | |||
Ratio of fixed rate borrowings after impact of derivatives | 0.90 | 0.88 | |||
Ratio of floating rate borrowings, excluding cash and other liquid assets in Canada | 0.02 | 0.07 | |||
Ratio of fixed rate borrowings, excluding cash and other liquid assets in Canada | 0.98 | 0.93 | |||
Interest rate risk | |||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||||
Decrease in pre-tax profit based on 100 basis point increase in interest rates | £ 5 | £ 50 | £ 44 | ||
Increase in pre-tax profit based on 100 basis point decrease in interest rates, or less | £ 5 | £ 50 | £ 47 | ||
Number of impacted derivatives | Derivative | 4 | 4 | |||
Nominal value | £ 672 | € 800 | |||
Interest rate risk | Interest rate | |||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||||
Percentage of reasonably possible increase in unobservable input, liabilities | 1% | ||||
Percentage of reasonably possible decrease in unobservable input, liabilities | 1% | ||||
Interest rate risk | Interest rate lower than 1% | |||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||||
Percentage of reasonably possible increase in unobservable input, liabilities | 1% | ||||
Fixed rate | Interest rate risk | |||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | |||||
Target for floating to fixed rate debt | 50% |
Financial instruments and ris_7
Financial instruments and risk management - Credit Risk, Additional Information (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Short Term Credit Facility | ||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||
Maximum exposure to credit risk | £ 1 | £ 1 |
Leaf Supply Arrangements | ||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||
Maximum exposure to credit risk | £ 51 | £ 90 |
Financial instruments and ris_8
Financial instruments and risk management - Summary of Assets and Liabilities Measured at Fair Value (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Investment held at fair value | £ 719 | £ 700 | £ 506 |
Assets | 290 | 561 | |
Assets at fair value | 1,009 | 1,261 | |
Liabilities | 395 | 929 | |
Liabilities at fair value | 395 | 929 | |
Level 1 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Investment held at fair value | 527 | 514 | |
Assets at fair value | 527 | 514 | |
Liabilities at fair value | 0 | 0 | |
Level 2 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Investment held at fair value | 0 | 0 | |
Assets at fair value | 290 | 561 | |
Liabilities at fair value | 395 | 929 | |
Level 3 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Investment held at fair value | 192 | 186 | |
Assets at fair value | 192 | 186 | |
Liabilities at fair value | 0 | 0 | |
interest rate swaps | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 10 | 43 | |
Liabilities | 187 | 450 | |
interest rate swaps | Level 1 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 0 | 0 | |
Liabilities | 0 | 0 | |
interest rate swaps | Level 2 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 10 | 43 | |
Liabilities | 187 | 450 | |
interest rate swaps | Level 3 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 0 | 0 | |
Liabilities | 0 | 0 | |
– cross-currency swaps | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 115 | 254 | |
Liabilities | 13 | 121 | |
– cross-currency swaps | Level 1 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 0 | 0 | |
Liabilities | 0 | 0 | |
– cross-currency swaps | Level 2 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 115 | 254 | |
Liabilities | 13 | 121 | |
– cross-currency swaps | Level 3 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 0 | 0 | |
Liabilities | 0 | 0 | |
– forward foreign currency contracts | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 165 | 264 | |
Liabilities | 195 | 358 | |
– forward foreign currency contracts | Level 1 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 0 | 0 | |
Liabilities | 0 | 0 | |
– forward foreign currency contracts | Level 2 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 165 | 264 | |
Liabilities | 195 | 358 | |
– forward foreign currency contracts | Level 3 | |||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [Line Items] | |||
Assets | 0 | 0 | |
Liabilities | £ 0 | £ 0 |
Financial instruments and ris_9
Financial instruments and risk management - Summary of Derivative Financial Asset and Liabilities Offsetting Arrangements (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Derivative Financial Asset And Liabilities Offsetting Arrangements [Line Items] | ||
Amount presented in the Group balance sheet, assets | £ 290 | £ 561 |
Related amounts not offset in the Group balance sheet | (199) | (405) |
Amount presented in the Group balance sheet, liabilities | (395) | (929) |
Related amounts not offset in the Group balance sheet | 199 | 405 |
Amount presented in the Group balance sheet | (105) | (368) |
Net amount | (105) | (368) |
Financial assets | ||
Derivative Financial Asset And Liabilities Offsetting Arrangements [Line Items] | ||
Net amount | 91 | 156 |
Financial liabilities | ||
Derivative Financial Asset And Liabilities Offsetting Arrangements [Line Items] | ||
Net amount | £ (196) | £ (524) |
Financial instruments and ri_10
Financial instruments and risk management - Schedule of Detailed Information About Hedged Items by Risk Category (Details) - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Fair value hedges | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Carrying amount of the hedged item | £ 5,935 | £ 9,223 |
Accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item | £ 110 | £ (355) |
Line item in the statement of financial position where the hedged item is included | Borrowings | Borrowings |
Changes in fair value used for calculating hedge ineffectiveness | £ (81) | £ 399 |
Cash flow hedges | ||
Disclosure Of Detailed Information About Borrowings [Line Items] | ||
Carrying amount of the hedged item | £ 858 | £ 1,824 |
Line item in the statement of financial position where the hedged item is included | Borrowings | Borrowings |
Changes in fair value used for calculating hedge ineffectiveness | £ 26 | £ (55) |
Cash flow hedge reserve | £ (362) | £ (464) |
Financial instruments and ri_11
Financial instruments and risk management - Fair Value Estimation, Additional Information (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||
Total equity | £ 52,934 | £ 75,710 | £ 67,401 | £ 62,955 |
Hedging reserve | ||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||
Total equity | (194) | (327) | £ (363) | £ (504) |
Cash flow hedges | ||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||
Cash flow hedge reserve | (362) | (464) | ||
Cash flow hedges | Currency Risk | ||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||
Cash flow hedge reserve | £ (77) | £ 99 | ||
Long-term Borrowings | Net investment hedges (non-derivative related) | ||||
Disclosure Of Fair Value Measurement Of Liabilities [Line Items] | ||||
Nominal amount of hedging instrument | 380 | 389 | ||
Changes in fair value used for calculating hedge ineffectiveness | £ 9 | £ 21 |
Changes in the Group- Acquisiti
Changes in the Group- Acquisitions (Details) - Twisp Proprietary Limited - GBP (£) £ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Sep. 30, 2019 | |
Disclosure Of Business Combinations [Line Items] | ||
Fair value total | £ 25 | |
Contingent consideration recognised as of acquisition date | £ 6 | |
Consideration paid | £ 3 |
Changes in the Group- Non-contr
Changes in the Group- Non-controlling Interests (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Business Combinations [Line Items] | |||
Percentage of additional voting equity interests acquired | 0.20% | ||
Hrvatski Duhani D D Tobacco Leaf Processing | |||
Disclosure Of Business Combinations [Line Items] | |||
NCI percentage acquired | 1.31% | 2.70% | |
Acquisition percentage | 3.30% | ||
Payment to acquire NCI | £ 1 | £ 1 | £ 1 |
Brascuba Cigarrillos S.A | |||
Disclosure Of Business Combinations [Line Items] | |||
Payment to match contributions made by non-controlling interests | 6 | ||
Group's Indonesian subsidiary | |||
Disclosure Of Business Combinations [Line Items] | |||
Payment to acquire NCI | £ 4 | ||
Percentage of additional voting equity interests acquired | 0.20% |
Changes in the Group - Other Tr
Changes in the Group - Other Transactions (Details) $ / shares in Units, £ in Millions, $ in Millions, $ in Millions | 1 Months Ended | 12 Months Ended | 13 Months Ended | 14 Months Ended | ||||||||||||
Jan. 24, 2024 GBP (£) shares | Jan. 24, 2024 CAD ($) $ / shares shares | Jul. 24, 2023 | Dec. 31, 2021 GBP (£) | Nov. 30, 2023 GBP (£) | Nov. 30, 2023 CAD ($) | Oct. 31, 2023 GBP (£) | May 31, 2023 GBP (£) | Dec. 31, 2023 GBP (£) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 GBP (£) | Feb. 28, 2025 tranche shares | Feb. 28, 2025 tranche | Nov. 30, 2022 GBP (£) | Sep. 26, 2022 GBP (£) | Mar. 11, 2021 GBP (£) director | |
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Investments held at fair value | £ 118 | £ 121 | ||||||||||||||
ITC Ltd. | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Percentage of voting | 60% | |||||||||||||||
Charlotte's Web Holdings, Inc. | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Investments held at fair value | £ 48 | |||||||||||||||
Potential proportion ownership interest | 19.90% | 19.90% | ||||||||||||||
Organigram Inc. | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Acquisition percentage | 18.79% | 19.40% | 19.90% | |||||||||||||
Fair value total | £ 129 | |||||||||||||||
Intangibles | 49 | |||||||||||||||
Goodwill | £ 30 | |||||||||||||||
Ownership interest in associates | 19% | 19% | ||||||||||||||
Purchase of interests in investments accounted for using equity method | £ 4 | |||||||||||||||
Organigram Inc. | Business combination | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Consideration paid | £ 24 | $ 42 | ||||||||||||||
Shares acquired (in shares) | shares | 12,893,175 | 12,893,175 | ||||||||||||||
Price per share (CAD per share) | $ / shares | $ 3.22 | |||||||||||||||
Organigram Inc. | Major purchases of assets [member] | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Consideration paid | £ 24 | $ 42 | ||||||||||||||
Shares acquired (in shares) | shares | 12,893,175 | 12,893,175 | ||||||||||||||
Price per share (CAD per share) | $ / shares | $ 3.22 | |||||||||||||||
Organigram Inc. | Forecast | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Ownership interest in associates | 45% | |||||||||||||||
Purchase of interests in investments accounted for using equity method | £ 74 | $ 125 | ||||||||||||||
Shares acquired (in shares) | shares | 25,786,350 | |||||||||||||||
Number of tranches | tranche | 2 | 3 | ||||||||||||||
Proportion of voting rights held in associate | 30% | |||||||||||||||
DeFloria | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Consideration paid | £ 8 | $ 10 | ||||||||||||||
NCI percentage acquired | 20% | |||||||||||||||
Sanity Group GmbH | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Acquisition percentage | 16% | |||||||||||||||
Fair value total | £ 32 | |||||||||||||||
Intangibles | 4 | |||||||||||||||
Goodwill | £ 28 | |||||||||||||||
Steady State LLC | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Fair value total | £ 8 | £ 4 | £ 4 | |||||||||||||
Consideration paid | £ 8 | £ 4 | ||||||||||||||
NCI percentage acquired | 10.80% | 5.76% | ||||||||||||||
Canada | Organigram Inc. | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Acquisition percentage | 19.90% | |||||||||||||||
Number of directors entitled to be appointed in the acquiree | director | 2 | |||||||||||||||
Ownership interest in associates | 18.80% | |||||||||||||||
Uzbekistan | Samfruit | ||||||||||||||||
Disclosure Of Business Combinations [Line Items] | ||||||||||||||||
Acquisition percentage | 4% | 2.80% | ||||||||||||||
Fair value total | £ 1 | £ 1 | ||||||||||||||
Ownership interest in associates | 45.40% |
Changes in the Group - Assets H
Changes in the Group - Assets Held For Sale and Business Disposals - Narrative (Details) € in Millions, £ in Millions | 12 Months Ended | ||||||
Sep. 13, 2023 GBP (£) subsidiary | Jun. 25, 2021 GBP (£) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2023 EUR (€) | Mar. 11, 2022 subsidiary | |
Disclosure Of Business Combinations [Line Items] | |||||||
(Reversals)/charges in respect of assets held-for-sale | £ (195) | £ 612 | £ 0 | ||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | (552) | £ (5) | (291) | ||||
Russian and Belarusian Businesses | |||||||
Disclosure Of Business Combinations [Line Items] | |||||||
Proceeds from disposal | £ 425 | ||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | 554 | ||||||
Gain (loss) on disposal, net of impairment reversal | (353) | ||||||
Associated costs | 3 | ||||||
Foreign exchange gain | 9 | ||||||
Call options, term | 2 years | ||||||
Russian and Belarusian Businesses | Trademarks and brands | |||||||
Disclosure Of Business Combinations [Line Items] | |||||||
Call options, term | 100 years | ||||||
BAT Russia | Discontinued operations | |||||||
Disclosure Of Business Combinations [Line Items] | |||||||
Impairment charges and associated costs | £ 554 | ||||||
(Reversals)/charges in respect of assets held-for-sale | 58 | ||||||
Assets reclassified as held-for-sale | 177 | ||||||
Trade and other receivables classified as held for sale | 342 | ||||||
Cash and cash equivalents classified as part of disposal group held for sale | 266 | ||||||
Inventory classified as held for sale | 211 | ||||||
Borrowings classified as held for sale | 7 | ||||||
Trade creditors classified as held for sale | £ 219 | ||||||
BAT Pars Company PJSC | |||||||
Disclosure Of Business Combinations [Line Items] | |||||||
Foreign exchange gain loss reclassified from other comprehensive income on disposal of business | £ 272 | ||||||
Disposal group discontinued operation discounted consideration receivable | 56 | 56 | € 64 | ||||
Unwinding of discount | (6) | 2 | |||||
BAT Pars Company PJSC | Adjusting items which have been adjusted within net finance costs | |||||||
Disclosure Of Business Combinations [Line Items] | |||||||
Investments pledged | £ 24 | ||||||
Investments recovered | £ 4 | £ 17 | |||||
BAT Pars Company PJSC | Discontinued operations | |||||||
Disclosure Of Business Combinations [Line Items] | |||||||
Impairment charges and associated costs | £ 88 | ||||||
Russia | |||||||
Disclosure Of Business Combinations [Line Items] | |||||||
Number of subsidiaries | subsidiary | 2 | 2 |
Share-based payments - Addition
Share-based payments - Additional Information (Details) | 12 Months Ended | |||||||
Dec. 31, 2023 GBP (£) shares £ / shares | Dec. 31, 2023 shares $ / shares | Dec. 31, 2022 shares £ / shares | Dec. 31, 2022 shares $ / shares | Dec. 31, 2021 shares £ / shares | Dec. 31, 2021 shares $ / shares | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Share price volatility calculation period | 5 years | |||||||
Long Term Incentive Plan | Performance Share Plan (PSP) | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Options exercisable period | 3 years | |||||||
Expiration period | 10 years | |||||||
Long Term Incentive Plan | Performance Share Plan (PSP) | Earnings Per Share | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Percentage of grant | 30% | 30% | 30% | 40% | 40% | 40% | 40% | |
Long Term Incentive Plan | Performance Share Plan (PSP) | Operating Cash Flow | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Percentage of grant | 20% | 20% | 20% | 20% | 20% | 20% | 20% | |
Long Term Incentive Plan | Performance Share Plan (PSP) | Total Shareholder Return | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Percentage of grant | 20% | 20% | 20% | 20% | ||||
Long Term Incentive Plan | Performance Share Plan (PSP) | Net Turnover | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Percentage of grant | 15% | 15% | 15% | 20% | 20% | 20% | 20% | |
Long Term Incentive Plan | Performance Share Plan (PSP) | New Categories Revenue Growth | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Percentage of grant | 15% | 15% | 15% | |||||
Long Term Incentive Plan | Performance Share Plan (PSP) | Total Shareholder Return | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Percentage of grant | 20% | 20% | 20% | |||||
Long Term Incentive Plan | Performance Share Plan (PSP) | Executive director | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Options exercisable period | 5 years | |||||||
Long Term Incentive Plan | Restricted Share Plan (RSP) | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Options exercisable period | 3 years | |||||||
Deferred Share Bonus Scheme (DSBS) | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Options exercisable period | 3 years | |||||||
Sharesave Scheme (SAYE) | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Discount percentage on market price | 20% | 20% | ||||||
Maximum savings by participant to buy shares in any tax year | £ | £ 6,000 | |||||||
Sharesave Scheme (SAYE) | Bottom of range | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Options exercisable period | 3 years | |||||||
Sharesave Scheme (SAYE) | Top of range | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Options exercisable period | 5 years | |||||||
Share Reward Scheme (SRS) | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Maximum amount of free shares that can be granted | £ | £ 3,600 | |||||||
Investment holding period | 3 years | |||||||
International Share Reward Scheme (ISRS) | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Maximum amount of free shares that can be granted | £ | £ 3,600 | |||||||
Investment holding period | 3 years | |||||||
Partnership Share Scheme | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Maximum amount allocated to purchase shares | £ | £ 1,800 | |||||||
Period taken to transfer to participants tax free | 5 years | |||||||
Equity Settled Long Term Incentive Plan | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Number of options outstanding (in shares) | 7,806,000 | 7,806,000 | 8,960,000 | 8,960,000 | 9,891,000 | 9,891,000 | ||
Number of share options exercisable (in shares) | 513,000 | 513,000 | 661,000 | 661,000 | ||||
Weighted average share price at date of exercise for share options exercised (in GBP per share) | £ / shares | £ 27.65 | £ 32.84 | £ 27.67 | |||||
Weighted average remaining contractual life of outstanding shares | 1 year 6 months | 1 year 9 months 18 days | 1 year 9 months 18 days | 3 years 8 months 12 days | 3 years 8 months 12 days | |||
Equity Settled Long Term Incentive Plan | Reynolds American | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Number of options outstanding (in shares) | 1,527,898 | 1,527,898 | 1,749,762 | 1,749,762 | ||||
Number of share options exercisable (in shares) | 0 | 0 | 0 | 0 | ||||
Weighted average share price at date of exercise for share options exercised (in GBP per share) | $ / shares | $ 39.39 | $ 38.37 | $ 35.93 | |||||
Weighted average remaining contractual life of outstanding shares | 1 year 9 months 18 days | 1 year 9 months 18 days | 1 year 9 months 18 days | 1 year 8 months 12 days | 1 year 8 months 12 days | |||
LTIP, Cash-settled | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Number of options outstanding (in shares) | 198,000 | 198,000 | 196,000 | 196,000 | 243,000 | 243,000 | ||
Number of share options exercisable (in shares) | 24,000 | 24,000 | 40,000 | 40,000 | ||||
Weighted average share price at date of exercise for share options exercised (in GBP per share) | £ / shares | £ 25.85 | £ 33.01 | £ 27.59 | |||||
Weighted average remaining contractual life of outstanding shares | 1 year 6 months | 1 year 8 months 12 days | 1 year 8 months 12 days | 4 years 1 month 6 days | 4 years 1 month 6 days | |||
DSBS, Equity-settled | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Number of options outstanding (in shares) | 3,851,000 | 3,851,000 | 4,015,000 | 4,015,000 | 4,141,000 | 4,141,000 | ||
Number of share options exercisable (in shares) | 0 | 0 | 1,000 | 1,000 | ||||
Weighted average share price at date of exercise for share options exercised (in GBP per share) | £ / shares | £ 27.39 | £ 32.20 | £ 27.58 | |||||
Weighted average remaining contractual life of outstanding shares | 1 year 3 months 18 days | 1 year 3 months 18 days | 1 year 3 months 18 days | 1 year 3 months 18 days | 1 year 3 months 18 days | |||
DSBS, Cash-settled | ||||||||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||||||||
Number of options outstanding (in shares) | 261,000 | 261,000 | 141,000 | 141,000 | 223,000 | 223,000 | ||
Number of share options exercisable (in shares) | 1,000 | 1,000 | 14,000 | 14,000 | ||||
Weighted average share price at date of exercise for share options exercised (in GBP per share) | £ / shares | £ 25.56 | £ 32.50 | £ 27.70 | |||||
Weighted average remaining contractual life of outstanding shares | 1 year 3 months 18 days | 1 year 1 month 6 days | 1 year 1 month 6 days | 1 year 3 months 18 days | 1 year 3 months 18 days |
Share-based payments - Summary
Share-based payments - Summary of Share-based Payment Expense (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | £ 74 | £ 85 | £ 78 |
Equity-settled | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | 71 | 81 | 76 |
Equity Settled Long Term Incentive Plan | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | 27 | 38 | 30 |
DSBS, Equity-settled | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | 38 | 36 | 39 |
Other schemes, Equity-settled | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | 6 | 7 | 7 |
Cash-settled | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | 3 | 4 | 2 |
LTIP, Cash-settled | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | 2 | 1 | 0 |
DSBS, Cash-settled | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | 1 | 3 | 2 |
Other schemes, cash-settled | |||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | |||
Total recognised in the income statement | £ 0 | £ 0 | £ 0 |
Share-based payments - Summar_2
Share-based payments - Summary of Share-based Payment Liability (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
LTIP, Vested | True-up liability | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Total liability | £ (0.4) | £ (0.3) |
DSBS, Vested | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Total liability | 0 | 0.5 |
Vested | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Total liability | 0.2 | |
Vested | True-up liability | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Total liability | (0.4) | |
LTIP, Unvested | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Total liability | 0.8 | 1.9 |
DSBS, Unvested | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Total liability | 3.1 | 6.6 |
Unvested | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Total liability | £ 3.9 | £ 8.5 |
Share-based payments - Summar_3
Share-based payments - Summary of Movements for Equity and Cash-Settled LTIP Scheme (Details) - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Equity Settled Long Term Incentive Plan | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Number of options, Outstanding at start of year (in shares) | 8,960 | 9,891 |
Number of options granted (in shares) | 3,379 | 2,927 |
Number of options, Exercised during the period (in shares) | (2,401) | (1,606) |
Number of options, Forfeited during the period (in shares) | (2,132) | (2,252) |
Number of options, Outstanding at end of year (in shares) | 7,806 | 8,960 |
Number of options, Exercisable at end of year (in shares) | 513 | 661 |
LTIP, Cash-settled | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Number of options, Outstanding at start of year (in shares) | 196 | 243 |
Number of options granted (in shares) | 94 | 58 |
Number of options, Exercised during the period (in shares) | (51) | (58) |
Number of options, Forfeited during the period (in shares) | (41) | (47) |
Number of options, Outstanding at end of year (in shares) | 198 | 196 |
Number of options, Exercisable at end of year (in shares) | 24 | 40 |
Share-based payments - Summar_4
Share-based payments - Summary of Movements for Equity and Cash-Settled DSBS Scheme (Details) - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
DSBS, Equity-settled | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Number of options, Outstanding at start of year (in shares) | 4,015 | 4,141 |
Number of options granted (in shares) | 1,675 | 1,616 |
Number of options, Exercised during the period (in shares) | (1,743) | (1,609) |
Number of options, Forfeited during the period (in shares) | (96) | (133) |
Number of options, Outstanding at end of year (in shares) | 3,851 | 4,015 |
Number of options, Exercisable at end of year (in shares) | 0 | 1 |
DSBS, Cash-settled | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Number of options, Outstanding at start of year (in shares) | 141 | 223 |
Number of options granted (in shares) | 211 | 85 |
Number of options, Exercised during the period (in shares) | (81) | (159) |
Number of options, Forfeited during the period (in shares) | (10) | (8) |
Number of options, Outstanding at end of year (in shares) | 261 | 141 |
Number of options, Exercisable at end of year (in shares) | 1 | 14 |
Share-based payments - Valuatio
Share-based payments - Valuation Assumptions (Details) - GBP (£) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Long Term Incentive Plan | Total Company | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Expected volatility (%) | 27% | 27% |
Average expected term to exercise (years) | 3 years | 3 years |
Risk-free rate (%) | 3.50% | 1.40% |
Expected dividend yield (%) | 7.70% | 6.80% |
Share price at date of grant (in £ per share) | £ 29.71 | £ 32.18 |
Long Term Incentive Plan | Total Company | Bottom of range | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Fair value at grant date (in £ per share) | £ 23.15 | £ 27.46 |
Long Term Incentive Plan | Total Company | Top of range | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Fair value at grant date (in £ per share) | 23.61 | 26.28 |
Long Term Incentive Plan | Management Board | Bottom of range | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Fair value at grant date (in £ per share) | 20.46 | 24.8 |
Long Term Incentive Plan | Management Board | Top of range | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Fair value at grant date (in £ per share) | £ 23.61 | £ 26.28 |
Deferred Share Bonus Scheme (DSBS) | Total Company | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Expected volatility (%) | 27% | 27% |
Average expected term to exercise (years) | 3 years | 3 years |
Risk-free rate (%) | 3.50% | 1.40% |
Expected dividend yield (%) | 7.70% | 6.80% |
Share price at date of grant (in £ per share) | £ 29.71 | £ 32.18 |
Fair value at grant date (in £ per share) | £ 23.61 | £ 26.28 |
Deferred Share Bonus Scheme (DSBS) | Management Board | ||
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Fair value at grant date (in £ per share) | £ 23.61 | £ 26.28 |
Share-based payments - Summar_5
Share-based payments - Summary of Valuation Assumptions Used in Models (Details) - Long Term Incentive Plan | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Disclosure Of Terms And Conditions Of Sharebased Payment Arrangement [Line Items] | ||
Average share price volatility FMCG comparator group (%) | 24% | 23% |
Average correlation FMCG comparator group (%) | 29% | 31% |
Group employees - Additional In
Group employees - Additional Information (Details) - Employee | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Number and average number of employees [abstract] | ||
Average number of employees | 75,452 | 77,951 |
Group employees - Summary of Av
Group employees - Summary of Average Number of Persons Employed by Group and Associates (Details) | 12 Months Ended | |||
Dec. 31, 2023 Employee segment | Dec. 31, 2022 Employee segment | Apr. 01, 2023 segment | Mar. 31, 2023 segment | |
Number and Average Number of Employees [Line Items] | ||||
Average number of employees | 75,452 | 77,951 | ||
Reportable segments | segment | 3 | 4 | 3 | 4 |
Associates | ||||
Number and Average Number of Employees [Line Items] | ||||
Average number of employees | 25,613 | 25,874 | ||
Subsidiaries | ||||
Number and Average Number of Employees [Line Items] | ||||
Average number of employees | 49,839 | 52,077 | ||
Subsidiaries | U.S. | ||||
Number and Average Number of Employees [Line Items] | ||||
Average number of employees | 3,861 | 4,274 | ||
Subsidiaries | AME | ||||
Number and Average Number of Employees [Line Items] | ||||
Average number of employees | 32,948 | 34,162 | ||
Subsidiaries | APMEA | ||||
Number and Average Number of Employees [Line Items] | ||||
Average number of employees | 13,030 | 13,641 |
Related party disclosures - Add
Related party disclosures - Additional information (Details) $ / shares in Units, £ in Millions, $ in Millions, $ in Millions | 1 Months Ended | 12 Months Ended | 13 Months Ended | 14 Months Ended | ||||||||||
Jan. 24, 2024 GBP (£) shares | Jan. 24, 2024 CAD ($) $ / shares shares | Nov. 30, 2023 GBP (£) | Nov. 30, 2023 CAD ($) | Oct. 31, 2023 GBP (£) | May 31, 2023 GBP (£) | Dec. 31, 2023 GBP (£) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2021 USD ($) | Feb. 28, 2025 tranche shares | Feb. 28, 2025 tranche | Sep. 26, 2022 GBP (£) | Mar. 11, 2021 GBP (£) | |
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Percentage of additional voting equity interests acquired | 0.20% | 0.20% | ||||||||||||
CTBAT International Limited | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Capital reduction of joint operation | $ | $ 171 | |||||||||||||
Associates and JVs | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Dividends paid by the associate | £ 559 | £ 438 | £ 392 | |||||||||||
Organigram Inc. | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Purchase of interests in investments accounted for using equity method | £ 4 | |||||||||||||
Ownership interest in associates | 19% | |||||||||||||
Acquisition percentage | 18.79% | 19.40% | 19.90% | |||||||||||
Fair value total | £ 129 | |||||||||||||
Organigram Inc. | Business combination | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Consideration paid | £ 24 | $ 42 | ||||||||||||
Shares acquired (in shares) | shares | 12,893,175 | 12,893,175 | ||||||||||||
Price per share (CAD per share) | $ / shares | $ 3.22 | |||||||||||||
Organigram Inc. | Forecast | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Purchase of interests in investments accounted for using equity method | £ 74 | $ 125 | ||||||||||||
Shares acquired (in shares) | shares | 25,786,350 | |||||||||||||
Number of tranches | tranche | 2 | 3 | ||||||||||||
Ownership interest in associates | 45% | |||||||||||||
Proportion of voting rights held in associate | 30% | |||||||||||||
Sanity Group GmbH | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Acquisition percentage | 16% | |||||||||||||
Fair value total | £ 32 | |||||||||||||
Steady State LLC | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Consideration paid | £ 8 | £ 4 | ||||||||||||
NCI percentage acquired | 10.80% | 5.76% | ||||||||||||
Fair value total | £ 8 | £ 4 | £ 4 | |||||||||||
Hrvatski Duhani D D Tobacco Leaf Processing | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
NCI percentage acquired | 1.31% | 2.70% | ||||||||||||
Payment to acquire NCI | £ 1 | £ 1 | £ 1 | |||||||||||
Acquisition percentage | 3.30% | |||||||||||||
Samfruit | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Fair value total | £ 1 | £ 1 | ||||||||||||
Samfruit | Uzbekistan | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Ownership interest in associates | 45.40% | 42.61% | 42.61% | |||||||||||
Brascuba Cigarrillos S.A | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Payment to match contributions made by non-controlling interests | £ 6 | |||||||||||||
Bentoel | ||||||||||||||
Disclosure Of Transactions Between Related Parties [Line Items] | ||||||||||||||
Fair value total | £ 4 |
Related party disclosures - Sum
Related party disclosures - Summary of Transactions Between Related Parties (Details) - GBP (£) £ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Transactions | |||
– revenue | £ 523 | £ 494 | £ 524 |
– purchases | (178) | (190) | (123) |
– other income | 560 | 441 | 393 |
– other expenses | 6 | 1 | 6 |
Amounts receivable at 31 December | 48 | 51 | 48 |
Amounts payable at 31 December | £ (4) | £ (4) | £ (3) |
Related party disclosures - S_2
Related party disclosures - Summary of Amounts Incurred by Entity for Provision of Key Management Personnel Services (Details) - GBP (£) £ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
The total compensation for key management personnel, including Directors, was: | |||
– salaries and other short-term employee benefits | £ 17,000 | £ 19,000 | £ 18,000 |
– post-employment benefits | 1,000 | 1,000 | 1,000 |
– share-based payments | 13,000 | 17,000 | 16,000 |
Key management personnel compensation - total | 31,000 | 37,000 | 35,000 |
Salary; fees; benefits; incentives | |||
– salary | 2,263,000 | 2,553,000 | 2,315,000 |
Pension; other emoluments | |||
Total emoluments | 17,000 | 19,000 | 18,000 |
Executive Directors | |||
The total compensation for key management personnel, including Directors, was: | |||
– salaries and other short-term employee benefits | 5,310 | 14,553 | 10,390 |
– post-employment benefits | 248 | 320 | 318 |
Salary; fees; benefits; incentives | |||
– salary | 1,644 | 2,129 | 2,119 |
– taxable benefits | 395 | 449 | 420 |
– short-term incentives | 1,650 | 3,761 | 4,128 |
– long-term incentives | 1,371 | 7,888 | 3,399 |
Sub-total | 5,060 | 14,227 | 10,066 |
Pension; other emoluments | |||
– other emoluments | 2 | 6 | 6 |
Sub-total | 250 | 326 | 324 |
Total emoluments | 5,310 | 14,553 | 10,390 |
Chairman | |||
The total compensation for key management personnel, including Directors, was: | |||
– salaries and other short-term employee benefits | 705 | 729 | 782 |
Salary; fees; benefits; incentives | |||
– fees | 688 | 670 | 727 |
– taxable benefits | 17 | 59 | 55 |
Sub-total | 705 | 729 | 782 |
Pension; other emoluments | |||
Total emoluments | 705 | 729 | 782 |
Non-Executive Directors | |||
The total compensation for key management personnel, including Directors, was: | |||
– salaries and other short-term employee benefits | 1,090 | 1,105 | 1,047 |
Salary; fees; benefits; incentives | |||
– fees | 1,059 | 1,027 | 1,045 |
– taxable benefits | 31 | 78 | 2 |
Sub-total | 1,090 | 1,105 | 1,047 |
Pension; other emoluments | |||
Total emoluments | 1,090 | 1,105 | 1,047 |
Total Directors | |||
The total compensation for key management personnel, including Directors, was: | |||
– salaries and other short-term employee benefits | 7,105 | 16,387 | 12,219 |
– post-employment benefits | 248 | 320 | 318 |
Salary; fees; benefits; incentives | |||
– salary | 1,644 | 2,129 | 2,119 |
– fees | 1,747 | 1,697 | 1,772 |
– taxable benefits | 443 | 586 | 477 |
– short-term incentives | 1,650 | 3,761 | 4,128 |
– long-term incentives | 1,371 | 7,888 | 3,399 |
Sub-total | 6,855 | 16,061 | 11,895 |
Pension; other emoluments | |||
– other emoluments | 2 | 6 | 6 |
Sub-total | 250 | 326 | 324 |
Total emoluments | £ 7,105 | £ 16,387 | £ 12,219 |
Contingent liabilities and fi_3
Contingent liabilities and financial commitments - General Litigation Overview - Additional Information (Details) £ in Billions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) NGN (₦) HRK (kn) CAD ($) EGP (ج.م.) MZN (MT) ARS ($) AOA (Kz) TRY (₺) BRL (R$) SAR (ر.س) KRW (₩) EUR (€) JPY (¥) CASE Case | Dec. 31, 2023 GBP (£) NGN (₦) HRK (kn) CAD ($) EGP (ج.م.) MZN (MT) USD ($) ARS ($) AOA (Kz) TRY (₺) BRL (R$) SAR (ر.س) KRW (₩) EUR (€) JPY (¥) CASE Case | Dec. 31, 2022 Case | |
Disclosure Of Commitments And Contingencies [Line Items] | |||
Provisions under state settlement agreements | $ 5,200,000,000 | £ 4.1 | |
Initial number of cases | 4,000 | 4,000 | |
Number of cases after reduction | 400 | 400 | |
Class actions, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | 12 | 12 | 12 |
Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | 54 | 54 | 51 |
Outside United States | Class actions, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | 12 | 12 | |
Canada | Class actions, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | 11 | 11 | |
Canada | Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | CASE | 5 | 5 | |
Venezeula | Class actions, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | 1 | 1 | |
Italy | Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | CASE | 8 | 8 | |
Brazil | Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | CASE | 15 | 15 | |
Chile | Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | CASE | 17 | 17 | |
Argentina | Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | CASE | 5 | 5 | |
Ireland | Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | CASE | 2 | 2 | |
Further two jurisdictions | Individual smoking and health cases, Non-US tobacco related | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Number of active individual cases | 1 | 1 | |
US dollar | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | $ | 1.2748 | 1.2748 | |
Canada, Dollars | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | $ | 1.6810 | 1.6810 | |
Euro | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | € | 1.1540 | 1.1540 | |
Brazil, Brazil Real | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | R$ | 6.1925 | 6.1925 | |
Angola, Kwanza | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | Kz | 1,072.966 | 1,072.966 | |
Argentina, Pesos | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | $ | 1,030.6707 | 1,030.6707 | |
Mozambique, Meticais | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | MT | 81.4087 | 81.4087 | |
Nigeria, Nairas | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | ₦ | 1,144.133 | 1,144.133 | |
Korea (South), Won | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | ₩ | 1,641.81 | 1,641.81 | |
Croatia, Kuna | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | kn | 8.6950 | 8.6950 | |
Croatia, Kuna | Euro | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | kn | 7.5345 | 7.5345 | |
Japan, Yen | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | ¥ | 179.7213 | 179.7213 | |
Saudi Arabia, Riyals | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | ر.س | 4.7805 | 4.7805 | |
Turkey, New Lira | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | ₺ | 37.6499 | 37.6499 | |
Egypt, Pounds | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Closing foreign exchange rate of GBP 1 | ج.م. | 39.4232 | 39.4232 |
Contingent liabilities and fi_4
Contingent liabilities and financial commitments - General Litigation Overview - Schedule of Categories of Tobacco Related Actions Pending Against Group Companies (Details) - Case | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Medical reimbursement cases | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 2 | 2 |
Change in Number Increase/(decrease) | ||
Class actions | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 19 | 20 |
Change in Number Increase/(decrease) | (1) | |
Individual smoking and health cases | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 202 | 206 |
Change in Number Increase/(decrease) | (4) | |
Engle Progeny Cases | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 305 | 665 |
Change in Number Increase/(decrease) | (360) | |
Broin II Cases | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 1,171 | 1,183 |
Change in Number Increase/(decrease) | (12) | |
Filter Cases | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 35 | 46 |
Change in Number Increase/(decrease) | (11) | |
State Settlement Agreements – Enforcement and Validity | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 4 | 1 |
Change in Number Increase/(decrease) | 3 | |
Medical reimbursement cases, Non-US tobacco related | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 18 | 18 |
Change in Number Increase/(decrease) | ||
Class actions, Non-US tobacco related | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 12 | 12 |
Change in Number Increase/(decrease) | ||
Individual smoking and health cases, Non-US tobacco related | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Case numbers | 54 | 51 |
Change in Number Increase/(decrease) | 3 |
Contingent liabilities and fi_5
Contingent liabilities and financial commitments - US Tobacco Litigation - Additional Information (Details) | 12 Months Ended | 36 Months Ended | ||||||
Aug. 17, 2006 SUBJECT | Dec. 31, 2023 USD ($) DISTRICTCOURT CASE CLASSACTION REIMBURSEMENT | Dec. 31, 2023 GBP (£) DISTRICTCOURT CASE CLASSACTION REIMBURSEMENT | Dec. 31, 2023 CASE CLASSACTION REIMBURSEMENT | Apr. 30, 2016 CLASSACTION | May 22, 2009 CLASSACTION | Sep. 22, 1999 USD ($) | Sep. 22, 1999 GBP (£) | |
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Industry claim for disgorgement | $ 280,000,000,000 | £ 219,600,000,000 | ||||||
Number of brand descriptors directed by court for corrective communications | SUBJECT | 5 | |||||||
Percentage of additive-free cigarettes | 100% | 100% | ||||||
Class action alleged excess amount that plaintiffs seeking | $ 5,000,000 | £ 3,900,000 | ||||||
Top of range | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Class action alleged maximum amount that plaintiffs seeking | $ 75,000 | £ 58,823 | ||||||
US tobacco related actions | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of class action raised against plaintiffs seeking more than 5m | CLASSACTION | 16 | 16 | ||||||
Number of class action raised against plaintiffs seeking less than 75k | CLASSACTION | 1 | 1 | ||||||
Young v. American Tobacco Co. | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Other putative class action case filed date | 1997-11 | 1997-11 | ||||||
RICO judgment | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of class actions | CLASSACTION | 3 | |||||||
R J R T B and W and Lorillard Tobacco | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of class actions in lawsuit | CLASSACTION | 1 | 1 | 1 | |||||
R J R T B and W and Lorillard Tobacco | Crow Creek Sioux Tribe and American Tobacco Co | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number reimbursement pending | REIMBURSEMENT | 1 | 1 | 1 | |||||
Reynolds defendants | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of plaintiffs | 32 | |||||||
Number of cases dismissed during trial | 2 | |||||||
Number of cases for which new trial is ordered | 1 | |||||||
Reynolds defendants | Florida | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of defendants | 8 | |||||||
Total number of cases affirmed in favour of plaintiffs | 23 | |||||||
Reynolds defendants | Oregon | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of defendants | 1 | |||||||
Total number of cases affirmed in favour of plaintiffs | 2 | |||||||
Reynolds defendants | Massachusetts | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of defendants | 4 | |||||||
Total number of cases affirmed in favour of plaintiffs | 3 | |||||||
Reynolds defendants | New Mexico | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of plaintiffs | 2 | |||||||
Reynolds defendants | Illinois | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of defendants | 1 | |||||||
Reynolds defendants | DISTRICT OF COLUMBIA | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of defendants | 1 | |||||||
Reynolds defendants | VIRGINIA | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of plaintiffs | 1 | |||||||
Reynolds defendants | NORTH CAROLINA | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of cases affirmed in favour of plaintiffs | 1 | |||||||
SFNTC | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of class actions in lawsuit | CLASSACTION | 17 | 17 | 17 | |||||
Percentage of additive-free cigarettes | 100% | 100% | ||||||
Number of putative class actions filed | CLASSACTION | 17 | 17 | 17 | 16 | ||||
Hearing period | 5 days | 5 days | ||||||
United States | Engle Progeny cases | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of cases scheduled for trial | 28 | 28 | 28 | |||||
United States | R J R T B and W and Lorillard Tobacco | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Total number of tobacco product liability case | 1,748 | 1,748 | ||||||
United States | US Tobacco litigation | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Category of case | 4 | 4 | ||||||
United States | Reynolds defendants | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of cases scheduled for trial | 44 | 44 | 44 | |||||
Number of cases defendants | 58 | |||||||
Number of cases, mistrials declared | 11 | |||||||
Total number of cases affirmed in favour of defendants | 15 | |||||||
United States | Reynolds defendants | Individual smoking and health cases | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of cases scheduled for trial | 33 | 33 | 33 | |||||
United States | Reynolds defendants | Filter cases | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of cases scheduled for trial | 9 | 9 | 9 | |||||
United States | Reynolds defendants | Other non smoking and health cases | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of cases scheduled for trial | 1 | 1 | 1 | |||||
United States | SFNTC | ||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||
Number of district courts filed class actions cases | DISTRICTCOURT | 9 | 9 |
Contingent liabilities and fi_6
Contingent liabilities and financial commitments - Engle Class Action and Engle Progeny Cases (Florida) - Additional Information (Details) | 1 Months Ended | 6 Months Ended | 12 Months Ended | 30 Months Ended | 36 Months Ended | |||||||
Jul. 31, 2020 GBP (£) REPRESENTATIVE | Jul. 31, 2020 USD ($) REPRESENTATIVE | Jun. 30, 2023 CASE | Dec. 31, 2023 GBP (£) CASE REPRESENTATIVE | Dec. 31, 2023 USD ($) CASE REPRESENTATIVE | Dec. 31, 2022 GBP (£) CASE | Dec. 31, 2021 GBP (£) | Dec. 31, 2015 GBP (£) CASE | Dec. 31, 2015 USD ($) CASE | Jun. 30, 2023 CASE | Dec. 31, 2023 GBP (£) CASE | Dec. 31, 2023 USD ($) CASE | |
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Losses on litigation settlements | £ | £ 2,023,000,000 | £ 2,387,000,000 | £ 2,486,000,000 | |||||||||
Number of paid judgements cases | 8 | 8 | ||||||||||
Phase II | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Losses on litigation settlements | £ 113,700,000,000 | $ 145,000,000,000 | ||||||||||
Loss contingency amount of overall damages comprising compensatory damages | £ 10,200,000 | $ 13,000,000 | ||||||||||
Number of representative in Engle class action awarded | REPRESENTATIVE | 3 | 3 | ||||||||||
Engle class action and Engle Progeny cases Florida | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Number of representatives allowed by judgment to stand aside punitive damages award | REPRESENTATIVE | 2 | 2 | ||||||||||
Number of representative in Engle class action awarded | REPRESENTATIVE | 3 | 3 | ||||||||||
Members permitted to file description | Putative | Putative | ||||||||||
Period of permission to file individual lawsuits | 1 year | 1 year | ||||||||||
Individual lawsuits extended date | Jan. 11, 2008 | Jan. 11, 2008 | ||||||||||
Engle Progeny cases | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Losses on litigation settlements | £ 64,000,000 | $ 81,492,000 | ||||||||||
Litigation settlement amount | £ 78,400,000 | $ 100,000,000 | ||||||||||
Number of cases covered by settlement | 400 | 400 | ||||||||||
Number of cases not covered by settlement | 12 | 12 | ||||||||||
Number of cases not covered by settlement, filed by different lawyer | 2 | 2 | ||||||||||
Total number of cases | 305 | 305 | 665 | |||||||||
Number of plaintiffs | 380 | 380 | ||||||||||
Number of cases | 5 | |||||||||||
Payment for compensatory and punitive damages | £ 30,200,000 | $ 38,500,000 | ||||||||||
Number of cases for attorneys fees and statutory interest | 3 | 3 | 3 | 3 | ||||||||
Number of resolution bundles for attorneys fees and statutory interest | 4 | 4 | 4 | 4 | ||||||||
Amount paid for attorneys fees and statutory interest | £ 18,000,000 | $ 22,900,000 | ||||||||||
Engle Progeny cases | Florida | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Total number of trials | 35 | 35 | 35 | |||||||||
Total bond cap | £ 156,900,000 | $ 200,000,000 | ||||||||||
R J Reynolds Tobacco Company | Phase II | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Losses on litigation settlements | £ 28,500,000,000 | $ 36,300,000,000 | ||||||||||
R J Reynolds Tobacco Company | Engle Progeny cases | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Litigation settlement amount | £ 33,300,000 | $ 42,500,000 | ||||||||||
Brown and Williamson Holdings Inc | Phase II | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Losses on litigation settlements | 13,800,000,000 | 17,600,000,000 | ||||||||||
Lorillard Inc | Phase II | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Losses on litigation settlements | £ 12,800,000,000 | $ 16,300,000,000 | ||||||||||
PM USA | Engle Progeny cases | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Litigation settlement amount | 33,300,000 | 42,500,000 | ||||||||||
Lorillard Tobacco | Engle Progeny cases | ||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||
Litigation settlement amount | £ 11,800,000 | $ 15,000,000 |
Contingent liabilities and fi_7
Contingent liabilities and financial commitments - Engle Class Action and Engle Progeny Cases (Florida) (Details) £ in Millions | 12 Months Ended | 30 Months Ended | 36 Months Ended | |||
Dec. 31, 2023 GBP (£) CASE | Dec. 31, 2022 GBP (£) CASE | Dec. 31, 2021 GBP (£) | Jun. 30, 2023 CASE | Dec. 31, 2023 GBP (£) Case CASE | Dec. 31, 2023 USD ($) Case CASE | |
Disclosure Of Commitments And Contingencies [Line Items] | ||||||
Losses on litigation settlements | £ | £ 2,023 | £ 2,387 | £ 2,486 | |||
Number of paid judgements cases | CASE | 8 | |||||
Engle Progeny cases | ||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||
Number of trials resulting in plaintiffs’ verdicts | 20 | 20 | ||||
Losses on litigation settlements | £ 64 | $ 81,492,000 | ||||
Number of adverse judgments, still has time to file an appeal | 0 | 0 | ||||
Number of adverse judgments in which an appeal was not, and can no longer be, sought | 6 | 6 | ||||
Total number of cases | CASE | 305 | 665 | ||||
Engle Progeny cases | Judgements arising three years before reporting year | ||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||
Number of adverse judgments appealed | 14 | 14 | ||||
Number of cases for which new trial is ordered | 1 | 1 | ||||
Total number of cases | 6 | 6 | ||||
Number of paid judgements cases | 2 | 2 | ||||
Number of cases dismissed during trial | 4 | 4 | ||||
Number of judgements affirmed | 1 | 1 | ||||
Engle Progeny cases | Compensatory damages | ||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||
Losses on litigation settlements | £ 46 | $ 58,427,000 | ||||
Engle Progeny cases | Punitive damages | ||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||
Losses on litigation settlements | £ 18 | $ 23,065,000 | ||||
Engle Progeny cases | Florida | ||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||
Total number of trials | CASE | 35 | 35 | 35 | |||
Number of cases tried twice | CASE | 2 | 2 | ||||
Number of cases for which new trial is ordered | 1 | 1 | ||||
Number of retrials | 2 | 2 |
Contingent liabilities and fi_8
Contingent liabilities and financial commitments - Individual Cases - Additional Information (Details) £ in Millions, $ in Millions | 1 Months Ended | 12 Months Ended | 36 Months Ended | 204 Months Ended | ||||||
Oct. 31, 1997 USD ($) INSTALMENT | Oct. 31, 1997 GBP (£) INSTALMENT | Dec. 31, 2023 USD ($) CASE | Dec. 31, 2023 GBP (£) CASE | Dec. 31, 2023 CASE Case | Dec. 31, 2023 CASE | Dec. 31, 2022 CASE | Dec. 31, 2023 USD ($) CASE | Dec. 31, 2023 GBP (£) CASE | Dec. 31, 2023 CASE | |
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Number of individual cases is brought by or on behalf of an individual survivors alleging personal injury as result of exposure to ETS | 2 | 2 | 2 | 2 | 2 | 2 | 2 | |||
Individual smoking and health cases | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Total number of cases | 202 | 202 | 206 | |||||||
Individual smoking and health cases | US tobacco related actions | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Number of cases have received adverse verdicts or judgments | 5 | 5 | 5 | 5 | 5 | 5 | 5 | |||
Net amount against verdicts | $ 248.7 | £ 195.1 | ||||||||
Treniece Jones v. R.J. Reynolds Tobacco | US tobacco related actions | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Net amount against verdicts | $ 200 | £ 157 | ||||||||
Broin I I Cases | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Total number of cases | 1,171 | 1,183 | ||||||||
Loss Contingency Number Of Trials | 0 | |||||||||
Filter cases | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Total number of cases | 35 | 46 | ||||||||
Filter cases | Lorillard Tobacco and RJRT | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Litigation settlement amount | $ 21.5 | £ 17 | ||||||||
Number of cases | 35 | |||||||||
Number of cases for which damages paid to plaintiffs | 88 | 88 | ||||||||
Florida | Broin V Philip Morris Inc | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Litigation settlement amount | $ 300 | £ 235 | ||||||||
Number of annual installment for payment | INSTALMENT | 3 | 3 | ||||||||
Litigation settlement, annual installment amount | $ 100 | £ 78.4 | ||||||||
Amount of plaintiff's counsel fees payable | 49 | 38.4 | ||||||||
Florida | R J Reynolds Tobacco Company | Broin V Philip Morris Inc | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Loss contingency, right to re-file plaintiffs, period | 86 | 67.5 | ||||||||
Florida | Brown and Williamson Holdings Inc | Broin V Philip Morris Inc | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Loss contingency, right to re-file plaintiffs, period | 57 | 44.7 | ||||||||
Florida | Lorillard Tobacco | Broin V Philip Morris Inc | ||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||
Loss contingency, right to re-file plaintiffs, period | $ 31 | £ 24.3 |
Contingent liabilities and fi_9
Contingent liabilities and financial commitments - Summary of Individual Cases (Details) | 12 Months Ended | ||
Dec. 31, 2023 Case | Dec. 31, 2023 CASE | Dec. 31, 2022 CASE | |
Engle Progeny cases | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Total number of cases | 305 | 665 | |
Number of plaintiffs | 380 | ||
Number of plaintiffs, loss contingency | 838 | ||
Change in Number Increase/(decrease) | (360) | ||
Change in Number Increase / (Decrease) | (458) | ||
Individual smoking and health cases | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Total number of cases | 202 | 202 | 206 |
Change in Number Increase / (Decrease) | (4) | ||
Broin I I Cases | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Total number of cases | 1,171 | 1,183 | |
Change in Number Increase / (Decrease) | (12) | ||
Filter cases | |||
Disclosure Of Commitments And Contingencies [Line Items] | |||
Total number of cases | 35 | 46 | |
Change in Number Increase / (Decrease) | (11) |
Contingent liabilities and f_10
Contingent liabilities and financial commitments - State Settlement Agreements - Additional Information (Details) £ in Thousands, $ in Millions | 1 Months Ended | 2 Months Ended | 12 Months Ended | ||||||||||||||||||||||||
Mar. 02, 2023 USD ($) | Mar. 02, 2023 GBP (£) | Jul. 28, 2022 USD ($) | Jul. 28, 2022 GBP (£) | May 27, 2022 USD ($) | May 27, 2022 GBP (£) | Jun. 14, 2021 USD ($) | Jun. 14, 2021 GBP (£) | Oct. 05, 2020 USD ($) | Oct. 05, 2020 GBP (£) | Sep. 30, 2021 STATE | Nov. 30, 1998 USD ($) CASE | Sep. 30, 2013 STATE | Dec. 31, 2023 USD ($) | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 | Dec. 31, 2018 USD ($) | Dec. 31, 2018 GBP (£) | Dec. 31, 2017 USD ($) | Dec. 31, 2017 GBP (£) | Dec. 31, 2023 GBP (£) | Jun. 07, 2022 USD ($) | Jun. 07, 2022 GBP (£) | Jan. 01, 2021 USD ($) | Jan. 01, 2021 GBP (£) | Oct. 05, 2020 GBP (£) | Nov. 30, 1998 GBP (£) | |
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Trust fund | $ 5,200 | £ 4,100,000 | |||||||||||||||||||||||||
Number of states bot diligently enforced qualifying statuses | STATE | 2 | 6 | |||||||||||||||||||||||||
Fair value of bonds | £ | £ 41,411,000 | £ 38,813,000 | |||||||||||||||||||||||||
Corporation tax rate | 23.50% | 19% | 19% | ||||||||||||||||||||||||
United States | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Corporation tax rate | 21% | 21% | 35% | 35% | |||||||||||||||||||||||
Mississippi settlement agreement | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Settlement payments | $ 5.1 | £ 4,000 | |||||||||||||||||||||||||
Mississippi settlement agreement | Imperial Tobacco Group PLC | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Net operating profits claiming damages | $ 6 | £ 4,700 | |||||||||||||||||||||||||
Master settlement agreement | Iowa | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Lawsuit seek damage amount | $ 130 | £ 102,000 | |||||||||||||||||||||||||
Texas Tobacco settlement agreement | Texas | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Lawsuit seek damage amount | $ 114 | £ 89,400 | |||||||||||||||||||||||||
R J Reynolds Tobacco Company | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Fair value of bonds | $ 187.8 | £ 147,300 | |||||||||||||||||||||||||
Final judgment litigation settlement amount | $ 193 | £ 151,000 | |||||||||||||||||||||||||
R J Reynolds Tobacco Company | Florida | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Attorney fee payment | $ 3.2 | £ 2,500 | |||||||||||||||||||||||||
R J Reynolds Tobacco Company | Master settlement agreement | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Number of states representing master settlement agreement | 46 | ||||||||||||||||||||||||||
Number of previously settled cases brought forward | 4 | ||||||||||||||||||||||||||
RJRT and ITG | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Increase of income related to payment obligation | $ 80 | £ 62,700 | |||||||||||||||||||||||||
RJRT | |||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||||||||||||||||||
Extra payment ordered by court as base to calculate payment | $ 5 | £ 3,900 | |||||||||||||||||||||||||
Receipt from escrow funds | $ 55.4 | £ 43,500 | |||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | $ 37 | £ 29,000 |
Contingent liabilities and f_11
Contingent liabilities and financial commitments - Operating Subsidiaries' Expenses and Payments under State Settlement Agreements (Details) £ in Millions, $ in Millions | 12 Months Ended | 119 Months Ended | |||||||
Jan. 18, 2017 USD ($) | Jan. 18, 2017 GBP (£) | Dec. 31, 2025 USD ($) | Dec. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Dec. 31, 2012 STATE | |
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||
Settlement expenses | $ 2,516 | $ 2,951 | $ 3,420 | $ 3,572 | |||||
Settlement cash payments | $ 2,874 | $ 3,129 | $ 3,744 | $ 2,848 | |||||
Imperial Tobacco Group PLC | Florida State settlement agreement wrt 4 brands | |||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||
State settlement agreement | $ 45 | £ 35.3 | |||||||
N P M adjustment settlement agreement | |||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||
Number of states additionally joined | STATE | 12 | ||||||||
N P M adjustment settlement agreement | Imperial Tobacco Group PLC | |||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||
Future annual losses | $ 30 | £ 23.5 | |||||||
Bottom of range | 2024 | Forecast | |||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||
Projected settlement expenses | $ 2,100 | ||||||||
Projected settlement cash payments | $ 2,500 | ||||||||
Bottom of range | 2025 and thereafter | Forecast | |||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||
Projected settlement expenses | $ 2,100 | ||||||||
Projected settlement cash payments | $ 2,100 |
Contingent liabilities and f_12
Contingent liabilities and financial commitments - Tobacco-Related Litigation Outside the U.S. - Additional Information (Details) $ in Millions, ₩ in Billions, ₦ in Trillions | 1 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||||
Aug. 25, 2023 GBP (£) | Aug. 25, 2023 TRY (₺) | May 21, 2019 DISEASE | Mar. 01, 2019 GBP (£) CLASSACTION | Mar. 01, 2019 CAD ($) | Jun. 15, 2018 GBP (£) | Jun. 15, 2018 CAD ($) | Feb. 13, 2017 GBP (£) | Feb. 13, 2017 CAD ($) | Oct. 27, 2015 GBP (£) | Oct. 27, 2015 CAD ($) | Jun. 06, 2015 GBP (£) | Jun. 06, 2015 CAD ($) | May 27, 2015 GBP (£) | May 27, 2015 CAD ($) | Nov. 30, 2016 GBP (£) | Nov. 30, 2016 AOA (Kz) | Dec. 31, 2023 GBP (£) CASE ACTION CLAIM CLASSACTION Case province territory MARKET | Dec. 31, 2023 CAD ($) CASE ACTION CLAIM Case CLASSACTION | Dec. 31, 2023 NGN (₦) CASE ACTION CLAIM Case CLASSACTION | Dec. 31, 2023 KRW (₩) CASE ACTION CLAIM Case CLASSACTION | Dec. 31, 2023 ARS ($) CASE ACTION CLAIM Case CLASSACTION | Dec. 31, 2022 GBP (£) Case | Dec. 31, 2021 GBP (£) | Dec. 31, 2023 CAD ($) territory CLASSACTION province MARKET ACTION | Oct. 31, 2023 Case | Mar. 01, 2019 CAD ($) CLASSACTION | Jan. 31, 2019 GBP (£) | Jan. 31, 2019 CAD ($) | Jun. 15, 2018 CAD ($) | Jun. 30, 2010 CLASSACTION | Jun. 30, 2009 CLASSACTION | |
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Canadian provinces | province | 10 | 10 | ||||||||||||||||||||||||||||||
Canadian territories where legislation has Royal Assent | territory | 2 | 2 | ||||||||||||||||||||||||||||||
Canadian territories | territory | 3 | 3 | ||||||||||||||||||||||||||||||
Number of personal injury claims | 54 | 54 | 54 | 54 | 54 | |||||||||||||||||||||||||||
Number of claims received unfavourable verdicts | Case | 2 | 2 | 2 | 2 | 2 | |||||||||||||||||||||||||||
Losses on litigation settlements | £ | £ 2,023,000,000 | £ 2,387,000,000 | £ 2,486,000,000 | |||||||||||||||||||||||||||||
Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | Case | 54 | 54 | 54 | 54 | 54 | 51 | ||||||||||||||||||||||||||
Nigerian court | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | CLASSACTION | 5 | 5 | 5 | 5 | 5 | |||||||||||||||||||||||||||
Litigation damages sought value | £ 9,300,000,000 | ₦ 10.6 | ||||||||||||||||||||||||||||||
Case 2 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Post-judgment interest | 189,767 | $ 195,588,410 | ||||||||||||||||||||||||||||||
Losses on litigation settlements | £ 2,765 | 2,850,000 | ||||||||||||||||||||||||||||||
Tobacco product liability claims | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of markets outside US | MARKET | 12 | 12 | ||||||||||||||||||||||||||||||
Knight class action | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Cost order amount | £ 3,000,000 | $ 5 | ||||||||||||||||||||||||||||||
Compensatory damages | Case 1 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Losses on litigation settlements | 665 | 685,976 | ||||||||||||||||||||||||||||||
Punitive damages | Case 1 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Losses on litigation settlements | £ 2,425 | $ 2,500,000 | ||||||||||||||||||||||||||||||
Angola | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | £ 745,597 | Kz 800,000,000 | ||||||||||||||||||||||||||||||
Canada | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of class actions | ACTION | 11 | 11 | ||||||||||||||||||||||||||||||
Number of personal injury claims | 5 | 5 | 5 | 5 | 5 | |||||||||||||||||||||||||||
Canada | Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | CASE | 5 | 5 | 5 | 5 | 5 | |||||||||||||||||||||||||||
Canada | Tobacco Damages and Health Care Costs Recovery Act 2000 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | £ 3,000,000 | $ 5 | ||||||||||||||||||||||||||||||
Canada | Treatment of smoking and health related diseases | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of actions for recovery of health care costs | ACTION | 10 | 10 | 10 | 10 | 10 | |||||||||||||||||||||||||||
Canada | Growers class action | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Litigation damages sought value | £ 29,700,000 | $ 50 | ||||||||||||||||||||||||||||||
Canada | Quebec class actions | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of class actions in lawsuit | CLASSACTION | 2 | 2 | ||||||||||||||||||||||||||||||
Domestic manufacturers party to litigation | CLASSACTION | 2 | 2 | ||||||||||||||||||||||||||||||
Litigation settlement amount | £ 9,300,000,000 | $ 15,600 | ||||||||||||||||||||||||||||||
Litigation settlement provisional execution amount | £ 673,000,000 | $ 1,131 | ||||||||||||||||||||||||||||||
Litigation settlement guarantee amount | 3,000,000,000 | 5,000 | ||||||||||||||||||||||||||||||
Security amount to be posted by parties | £ 585,000,000 | $ 984 | ||||||||||||||||||||||||||||||
Litigation settlement reduction of total maximum adjustments | £ 8,100,000,000 | $ 13,700 | ||||||||||||||||||||||||||||||
Canada | Quebec class actions | Imperial Tobacco Canada Limited | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Litigation settlement amount | £ 6,200,000,000 | $ 10,400 | ||||||||||||||||||||||||||||||
Litigation settlement provisional execution amount | £ 441,000,000 | $ 742 | ||||||||||||||||||||||||||||||
Security amount to be posted by parties | £ 450,900,000 | $ 758 | ||||||||||||||||||||||||||||||
Payment of litigation initial deposits | 451,500,000 | $ 759 | ||||||||||||||||||||||||||||||
Litigation settlement reduction of total maximum adjustments | £ 5,500,000,000 | $ 9,200 | ||||||||||||||||||||||||||||||
Canada | Other Canadian smoking and health class actions | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of class actions in lawsuit | CLASSACTION | 7 | 7 | 4 | |||||||||||||||||||||||||||||
Canadian Province | Treatment of smoking and health related diseases | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of actions for recovery of health care costs | ACTION | 10 | 10 | 10 | 10 | 10 | |||||||||||||||||||||||||||
British Columbia | Tobacco Damages and Health Care Costs Recovery Act 2000 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | £ 70,200,000,000 | $ 118,000 | ||||||||||||||||||||||||||||||
British Columbia | Tobacco Damages and Health Care Costs Recovery Act 2000 | Bottom of range | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Tax assessment amount | £ 6,600,000,000 | $ 11,100 | ||||||||||||||||||||||||||||||
British Columbia | Tobacco Damages and Health Care Costs Recovery Act 2000 | Top of range | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Tax assessment amount | 13,800,000,000 | $ 23,200 | ||||||||||||||||||||||||||||||
Ontario | Tobacco Damages And Health Care Costs Recovery Act 2009 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | £ 196,300,000,000 | $ 330,000 | ||||||||||||||||||||||||||||||
Ontario | Tobacco Damages And Health Care Costs Recovery Act 2009 | Bottom of range | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Tax assessment amount | 167,000,000,000 | $ 280,000 | ||||||||||||||||||||||||||||||
Additon to estimated effect of contingent liabilities | £ 5,600,000,000 | $ 9,400 | ||||||||||||||||||||||||||||||
Ontario | Tobacco Damages And Health Care Costs Recovery Act 2009 | Top of range | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Tax assessment amount | £ 375,000,000,000 | $ 630,000 | ||||||||||||||||||||||||||||||
Additon to estimated effect of contingent liabilities | £ 6,500,000,000 | $ 10,900 | ||||||||||||||||||||||||||||||
South Korea | National Health Insurance Service | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Litigation damages sought value | £ 32,900,000 | ₩ 54 | ||||||||||||||||||||||||||||||
Brazil | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of class actions in lawsuit | Case | 4 | |||||||||||||||||||||||||||||||
Number of personal injury claims | 15 | 15 | 15 | 15 | 15 | |||||||||||||||||||||||||||
Brazil | Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | CASE | 15 | 15 | 15 | 15 | 15 | |||||||||||||||||||||||||||
Brazil | Federal Attorney's office | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of tobacco-related diseases allegedly expended as public health care expenses | DISEASE | 26 | |||||||||||||||||||||||||||||||
British Columbia | Other Canadian smoking and health class actions | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of class actions in lawsuit | CLASSACTION | 2 | |||||||||||||||||||||||||||||||
Chile | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of personal injury claims | 17 | 17 | 17 | 17 | 17 | |||||||||||||||||||||||||||
Chile | Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | CASE | 17 | 17 | 17 | 17 | 17 | |||||||||||||||||||||||||||
Italy | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of personal injury claims | 8 | 8 | 8 | 8 | 8 | |||||||||||||||||||||||||||
Italy | Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | CASE | 8 | 8 | 8 | 8 | 8 | |||||||||||||||||||||||||||
Argentina | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of personal injury claims | 5 | 5 | 5 | 5 | 5 | |||||||||||||||||||||||||||
Argentina | Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | CASE | 5 | 5 | 5 | 5 | 5 | |||||||||||||||||||||||||||
Ireland | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of personal injury claims | 2 | 2 | 2 | 2 | 2 | |||||||||||||||||||||||||||
Ireland | Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of active individual cases | CASE | 2 | 2 | 2 | 2 | 2 | |||||||||||||||||||||||||||
Two Jurisdictions | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of personal injury claims | 1 | 1 | 1 | 1 | 1 | |||||||||||||||||||||||||||
Turkey | Individual smoking and health cases, Non-US tobacco related | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Losses on litigation settlements | £ 265 | ₺ 10,000 | ||||||||||||||||||||||||||||||
Alberta | Crown's Right Of Recovery Act 2009 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | £ 5,900,000,000 | $ 10,000 | ||||||||||||||||||||||||||||||
Quebec | Tobacco Damages And Health Care Costs Recovery Act 2009 | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | 35,700,000,000 | 60,000 | ||||||||||||||||||||||||||||||
Imperial Tobacco Canada | Canada | ||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||
Number of class actions | CLASSACTION | 2 | 2 | ||||||||||||||||||||||||||||||
Settlement proceeds from judgement | £ 5,500,000,000 | $ 9,200 | ||||||||||||||||||||||||||||||
Settlement payments | £ 451,000,000 | $ 758 |
Contingent liabilities and f_13
Contingent liabilities and financial commitments - Non-Tobacco-Related Litigation - Additional Information (Details) € in Millions, ¥ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2023 GBP (£) Case CLASSACTION | Nov. 06, 2023 GBP (£) | Nov. 06, 2023 SAR (ر.س) | Apr. 25, 2023 | Dec. 31, 2022 GBP (£) Case | Sep. 07, 2022 GBP (£) | Sep. 07, 2022 USD ($) | Jun. 15, 2022 GBP (£) patent | Jun. 15, 2022 USD ($) patent | Jan. 25, 2021 GBP (£) | Jan. 25, 2021 SAR (ر.س) | Dec. 31, 2020 FARMER affiliate | Dec. 11, 2019 GBP (£) | Dec. 11, 2019 USD ($) | Feb. 06, 2019 GBP (£) | Feb. 06, 2019 USD ($) | Jan. 17, 2019 GBP (£) patent | Jan. 17, 2019 JPY (¥) patent | Dec. 31, 2018 GBP (£) | Dec. 31, 2018 MZN (MT) | Apr. 30, 2018 GBP (£) | Apr. 30, 2018 HRK (kn) | Apr. 30, 2018 EUR (€) | Aug. 22, 2017 GBP (£) | Aug. 22, 2017 HRK (kn) | Aug. 22, 2017 EUR (€) | Dec. 31, 2023 GBP (£) CLASSACTION | Dec. 31, 2023 USD ($) | Jan. 31, 2022 FARMER | Sep. 30, 2014 GBP (£) | Sep. 30, 2014 USD ($) | May 31, 2012 | Dec. 31, 2015 GBP (£) | Dec. 31, 2015 USD ($) | Mar. 31, 2018 GBP (£) | Mar. 31, 2018 MZN (MT) | Dec. 31, 2023 GBP (£) CLASSACTION Employee Case | Dec. 31, 2023 USD ($) Employee Case | Dec. 31, 2022 GBP (£) Case | Dec. 31, 2021 GBP (£) | Dec. 31, 2020 GBP (£) | Dec. 31, 2019 GBP (£) | Dec. 31, 2009 GBP (£) | Dec. 31, 2009 USD ($) | Dec. 31, 2009 EUR (€) | Dec. 31, 2008 GBP (£) | Dec. 31, 2008 EUR (€) | Dec. 31, 2023 USD ($) CLASSACTION | Jan. 27, 2023 | Jan. 11, 2023 Case | Jun. 08, 2022 patent | May 12, 2021 patent | Jun. 29, 2020 patent | May 28, 2020 patent | Apr. 09, 2020 patent | Nov. 30, 2019 GBP (£) | Nov. 30, 2019 USD ($) | Jun. 22, 2018 patent | |
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentage of environmental clean-up costs obligation commitment with NCR | 60% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Environmental clean-up costs paid by related party | £ 19,600,000 | $ 25,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of employees | Employee | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trade and other payables | £ | £ 9,700,000,000 | £ 10,449,000,000 | £ 9,700,000,000 | £ 9,700,000,000 | £ 10,449,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Al Naghi | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reimbursement of funds allegedly due under contract | £ 440,400,000 | ر.س 2,105,356,121 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | £ 440,400,000 | ر.س 2,105,356,121 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Customers and distributors | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lawsuit seek damage amount | £ 91,000,000 | $ 116,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Camellia Chastain | Litigation outcome | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of class actions | Case | 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Croatian distributor dispute | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of class actions | CLASSACTION | 2 | 2 | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of damages related to litigation | £ 47,000,000 | kn 408,000,000 | € 54 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of claim against damages related to litigation | £ 47,000,000 | kn 408,000,000 | € 54 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Glo litigation | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of damages claimed | £ 556,418 | ¥ 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents infringed | 2 | 2 | 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Altria Client Services LLC | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of damages related to litigation | £ 74,500,000 | $ 95,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted | 9 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted dropped | 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Altria Client Services LLC | Vuse Vibe | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted | 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Altria Client Services LLC | Vuse Alto | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted | 3 | 4 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted dropped | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents infringed | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Altria Client Services LLC | Velo oral product | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted | 3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Altria Client Services LLC | Solo | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents infringed | 3 | 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Altria Client Services LLC | Litigation outcome | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Royalty rate awarded | 5.25% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Philip Morris | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of damages related to litigation | £ 8,439,023 | $ 10,759,755 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted | 2 | 5 | 6 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of patents asserted dropped | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of damages related to litigation incl supplement | £ 11,029,601 | $ 14,062,742 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mozambican IP litigation | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of damages related to litigation | £ 178,000,000 | MT 14,500,000,000 | £ 575,018 | MT 46,811,700 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Malawi group | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of farmer claimants | FARMER | 7,500 | 3,500 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of affiliate claimants | affiliate | 5 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Asbestos litigation | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of cases | Case | 13 | 4 | 17 | 17 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of cases dismissed | Case | 8 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Asbestos litigation | New York | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of cases | Case | 10 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Asbestos litigation | Florida | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of cases | Case | 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Asbestos litigation | California | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of cases | Case | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fox River | N C R | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total estimated clean-up costs | £ 1,055,600,000 | $ 1,346,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount claimed by contractor on contractual dispute | £ 7,800,000 | $ 10,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share of NCR costs | 25% | 25% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentage of environmental clean-up costs demanded | 60% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentage of environmental clean-up costs commitment with NCR | 50% | 50% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Percentage of environmental clean-up costs commitment allocated to later period | 50% | 50% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Environmental clean-up costs paid by related party | £ | £ 2,000,000 | £ 2,000,000 | £ 32,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for environmental clean-up costs | £ | £ 44,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fox River | Windward | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Environmental clean-up costs paid by related party | £ 7,800,000 | $ 10,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Windward dividend claim | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividend paid by Windward to Sequana | £ 117,000,000 | € 135 | £ 384,000,000 | € 443 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Litigation settlement amount liable to pay due to calculation change | £ 145,100,000 | $ 185,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Windward dividend claim | Sequana | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividend paid by Windward to Sequana | £ 145,100,000 | $ 185,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividend paid by Sequana | £ | £ 10,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Kalamazoo River | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payments to made on remediation work | £ 192,000,000 | $ 245,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Kalamazoo River | N C R | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payment of outstanding judgment by a related party to related party | £ 15,700,000 | $ 20,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Kalamazoo River | NCR and Appvion | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recovery amount for future sites | £ 19,600,000 | $ 25,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
DOJ and OFAC investigations | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Agreement term | 3 years | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Trade and other payables | $ | $ 635,000,000 |
Contingent liabilities and f_14
Contingent liabilities and financial commitments - General Litigation Conclusion - Additional Information (Details) £ in Millions, $ in Millions | Mar. 01, 2019 CAD ($) People | Mar. 01, 2019 GBP (£) People |
Disclosure Of Commitments And Contingencies [Abstract] | ||
Number of persons in trial judgement panel | 5 | 5 |
Deposit amount to escrow account under Quebec Class Action | $ 1,100 | £ 654.4 |
Initial estimable deposit amount | $ 758 | £ 450.9 |
Contingent liabilities and f_15
Contingent liabilities and financial commitments - Other contingencies - Additional Information (Details) - 12 months ended Dec. 31, 2023 | GBP (£) ProductLiabilityAction | USD ($) ProductLiabilityAction |
SFRTI indemnity | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Amount of damages related to litigation | £ 3,649,418 | $ 4,653,009 |
Competition investigations | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Penalty due | £ 59,000,000 | $ 110,000,000 |
Monitorship period | 2 years | 2 years |
Loews | ||
Disclosure Of Commitments And Contingencies [Line Items] | ||
Loss contingency number of indemnity cases pending | 3 | 3 |
Contingent liabilities and f_16
Contingent liabilities and financial commitments - Tax Disputes - Additional Information (Details) ৳ in Millions, £ in Millions, R$ in Millions, ₩ in Billions | 12 Months Ended | ||||||||||
Dec. 31, 2023 GBP (£) Case | Dec. 31, 2023 BDT (৳) | Dec. 31, 2022 GBP (£) | Dec. 31, 2017 GBP (£) | Dec. 31, 2017 BDT (৳) | Dec. 31, 2015 | Dec. 31, 2023 BRL (R$) Case | Oct. 31, 2023 Case judge | Aug. 23, 2019 GBP (£) | Dec. 31, 2016 GBP (£) | Dec. 31, 2016 KRW (₩) | |
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Provided in respect of the year | £ 845 | ||||||||||
Brazil | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Reassessment, statute of limitation period | 5 years | ||||||||||
Cases with tied decisions | Case | 3 | ||||||||||
Number of class actions in lawsuit | Case | 4 | ||||||||||
Number of judges | judge | 5 | ||||||||||
Brazil | Tax reassessment | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | £ 186 | R$ 1152 | |||||||||
Brazil | Tax reassessment | Souza Cruz | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | £ 283 | R$ 1750 | |||||||||
Number of class actions in lawsuit | Case | 2 | 2 | |||||||||
Netherlands | Legal proceedings provision | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Provided in respect of the year | £ 70 | ||||||||||
Other provisions | 145 | ||||||||||
Netherlands | Tax reassessment | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | 1,148 | ||||||||||
Netherlands | Tax reassessment | Case 1 | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | 7 | ||||||||||
Netherlands | Tax reassessment | Case 2 | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | 182 | ||||||||||
Netherlands | Tax reassessment | Case 3 | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | 959 | ||||||||||
Netherlands | Tax reassessment, fine | Case 3 | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | 108 | ||||||||||
Netherlands | Tax reassessment, reduced fine | Case 3 | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | 92 | ||||||||||
Bangladesh | Tax assessment | BAT Bangladesh | Large Taxpayers Unit (LTU) | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Un-paid VAT and Supplementary Duty amount | £ 174 | ৳ 24,371 | |||||||||
Bangladesh | Tax assessment | BAT Bangladesh | National Board Of Revenue (NBR) | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Un-paid VAT and Supplementary Duty amount | £ 147 | ৳ 20,540 | |||||||||
South Korea | Tax assessment | BAT Korea | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | £ 49 | ₩ 80.7 | |||||||||
South Korea | Tax assessment | BAT Korea | VAT | |||||||||||
Disclosure Of Commitments And Contingencies [Line Items] | |||||||||||
Tax assessment amount | £ 4 |
Contingent liabilities and f_17
Contingent liabilities and financial commitments - Schedule of Total Future Minimum Lease Payments under Non-cancellable Operating Leases (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Finance Lease And Operating Lease By Lessee1 [Line Items] | ||
Total future minimum payments under non-cancellable service contracts | £ 87 | £ 111 |
Property, plant and equipment | ||
Disclosure Of Finance Lease And Operating Lease By Lessee1 [Line Items] | ||
Lease commitments for short-term leases for which recognition exemption has been used | 9 | 50 |
Property | ||
Disclosure Of Finance Lease And Operating Lease By Lessee1 [Line Items] | ||
Lease commitments for short-term leases for which recognition exemption has been used | 26 | 30 |
Within one year | ||
Disclosure Of Finance Lease And Operating Lease By Lessee1 [Line Items] | ||
Total future minimum payments under non-cancellable service contracts | 41 | 45 |
Between one and five years | ||
Disclosure Of Finance Lease And Operating Lease By Lessee1 [Line Items] | ||
Total future minimum payments under non-cancellable service contracts | 46 | 66 |
Beyond five years | ||
Disclosure Of Finance Lease And Operating Lease By Lessee1 [Line Items] | ||
Total future minimum payments under non-cancellable service contracts | £ 0 | £ 0 |
Interests in subsidiaries - Add
Interests in subsidiaries - Additional Information (Details) £ in Millions | 12 Months Ended | 132 Months Ended | |||
Dec. 31, 2023 GBP (£) shareholder | Dec. 31, 2022 GBP (£) | Dec. 31, 2021 GBP (£) | Dec. 31, 2011 | Dec. 31, 2021 GBP (£) | |
Disclosure of Significant Investments in Subsidiaries [Line Items] | |||||
Goodwill | £ 41,091 | £ 47,956 | |||
Trade and other payables | 10,593 | 11,393 | |||
Canada | |||||
Disclosure of Significant Investments in Subsidiaries [Line Items] | |||||
Goodwill | £ 2,386 | £ 2,460 | |||
British American Tobacco Bangladesh Company Limited | |||||
Disclosure of Significant Investments in Subsidiaries [Line Items] | |||||
Ownership held in non-controlling interest | 72.91% | 72.91% | 72.91% | ||
Imperial Tobacco Canada | |||||
Disclosure of Significant Investments in Subsidiaries [Line Items] | |||||
Trade and other payables | £ 333 | £ 391 | |||
Imperial Tobacco Canada | Canada | |||||
Disclosure of Significant Investments in Subsidiaries [Line Items] | |||||
Goodwill | £ 2,400 | £ 2,400 | |||
PT Bentoel Internasional Investama Tbk | |||||
Disclosure of Significant Investments in Subsidiaries [Line Items] | |||||
Ownership held in non-controlling interest | 100% | 100% | 99% | ||
Percentage of total return swap of issued capital | 7% | ||||
Effective interest recognise of net assets | 99% | ||||
Acquisition percentage | 0.20% | 0.20% | |||
Cost of acquisition | £ 4 | £ 4 | |||
Number of shareholders | shareholder | 1,000 |
Interests in subsidiaries - Sum
Interests in subsidiaries - Summary of Financial Information of Subsidiaries with Material Non-controlling Interests (Details) - GBP (£) £ in Millions | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Summarised Financial Information of Subsidiaries with Material Non-controlling Interests [Line Items] | |||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 | |
(Loss)/profit for the year | (14,189) | 6,846 | 6,974 | ||
– Attributable to non-controlling interests | 178 | 180 | 173 | ||
Total comprehensive income | (17,563) | 15,553 | 7,796 | ||
– Attributable to non-controlling interests | 136 | 183 | 174 | ||
Summary net assets: | |||||
Non-current assets | 104,530 | 138,137 | |||
Current assets | 14,186 | 15,409 | |||
Non-current liabilities | 50,109 | 59,983 | |||
Current liabilities | 15,673 | 17,853 | |||
Total equity | 52,934 | 75,710 | 67,401 | £ 62,955 | |
Net cash generated from operating activities | 10,714 | 10,394 | 9,717 | ||
Net cash used in investing activities | (296) | (705) | (1,140) | ||
Net cash used in financing activities | (9,314) | (8,878) | (8,749) | ||
Differences on exchange | (292) | 431 | (253) | ||
Increase/(decrease) in net cash and cash equivalents in the year | 1,180 | 874 | (425) | ||
Net cash and cash equivalents at 1 January | 3,337 | 2,463 | 2,888 | ||
Net cash and cash equivalents at 31 December | 4,517 | 3,337 | 2,463 | ||
British American Tobacco Bangladesh Company Limited | |||||
Summarised Financial Information of Subsidiaries with Material Non-controlling Interests [Line Items] | |||||
Revenue | 680 | 732 | 640 | ||
(Loss)/profit for the year | 133 | 153 | 127 | ||
– Attributable to non-controlling interests | 36 | 41 | 34 | ||
Total comprehensive income | 91 | 132 | 127 | ||
– Attributable to non-controlling interests | 25 | 36 | 34 | ||
Dividends paid and other appropriations made to non-controlling interests | (11) | (32) | (28) | ||
Summary net assets: | |||||
Non-current assets | 299 | 322 | 303 | ||
Current assets | 437 | 253 | 345 | ||
Non-current liabilities | 71 | 78 | 70 | ||
Current liabilities | 284 | 166 | 262 | ||
Total equity | 381 | 331 | 316 | ||
– Attributable to non-controlling interests | 103 | 90 | 86 | ||
Net cash generated from operating activities | 167 | 164 | 52 | ||
Net cash used in investing activities | (51) | (46) | (26) | ||
Net cash used in financing activities | (41) | (147) | (55) | ||
Differences on exchange | 1 | 4 | 0 | ||
Increase/(decrease) in net cash and cash equivalents in the year | 76 | (25) | (29) | ||
Net cash and cash equivalents at 1 January | (24) | 1 | 30 | ||
Net cash and cash equivalents at 31 December | £ 52 | £ (24) | £ 1 | ||
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Interests in subsidiaries - S_2
Interests in subsidiaries - Summary of Financial Information of Subsidiaries Subject to Significant Restrictions (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Summarised Financial Information of Subsidiaries with Material Non-controlling Interests [Line Items] | ||
Non-current assets | £ 104,530 | £ 138,137 |
Current assets | 14,186 | 15,409 |
Non-current liabilities | (50,109) | (59,983) |
Current liabilities | (15,673) | (17,853) |
Imperial Tobacco Canada | ||
Summarised Financial Information of Subsidiaries with Material Non-controlling Interests [Line Items] | ||
Non-current assets | 2,471 | 2,554 |
Current assets | 2,621 | 2,193 |
Non-current liabilities | (103) | (114) |
Current liabilities | (494) | (526) |
Net assets (liabilities) | £ 4,495 | £ 4,107 |
Interests in subsidiaries - S_3
Interests in subsidiaries - Summary of Breakdown of Current Assets (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Summarised Financial Information Of Subsidiaries Subject To Restrictions [Line Items] | ||
Cash and cash equivalents | £ 4,659 | £ 3,446 |
Inventories | 4,938 | 5,671 |
Investments held at fair value | 601 | 579 |
Total current assets | 14,186 | 15,409 |
Imperial Tobacco Canada | ||
Summarised Financial Information Of Subsidiaries Subject To Restrictions [Line Items] | ||
Cash and cash equivalents | 2,042 | 1,569 |
Inventories | 103 | 182 |
Investments held at fair value | 446 | 396 |
Other | 30 | 46 |
Total current assets | 2,621 | 2,193 |
Restricted cash and cash equivalents | £ 1,904 | £ 1,411 |
Summarised financial informat_3
Summarised financial information - Additional Information (Details) £ in Millions, $ in Millions, € in Billions | 12 Months Ended | |||||||
Sep. 27, 2021 EUR (€) BOND | Dec. 31, 2023 GBP (£) BOND | Dec. 31, 2023 EUR (€) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 GBP (£) | Jul. 01, 2022 USD ($) | Jul. 28, 2020 USD ($) | Jul. 17, 2019 USD ($) | |
Disclosure Of Summarised Financial Information [Line Items] | ||||||||
Bonds and notes | £ | £ 38,813 | £ 41,411 | ||||||
Number of perpetual hybrid bonds issued | BOND | 2 | |||||||
Perpetual hybrid bonds | € | € 1 | |||||||
Contractual obligation | £ | £ 60 | £ 80 | ||||||
Lorillard Inc | ||||||||
Disclosure Of Summarised Financial Information [Line Items] | ||||||||
Unsecured notes | $ 40.9 | $ 22.1 | ||||||
BAT p.l.c. | ||||||||
Disclosure Of Summarised Financial Information [Line Items] | ||||||||
Number of perpetual hybrid bonds issued | BOND | 2 | |||||||
Perpetual hybrid bonds | € | € 1 | |||||||
Contractual obligation | £ | £ 0 | |||||||
Reynolds American | ||||||||
Disclosure Of Summarised Financial Information [Line Items] | ||||||||
Unsecured notes | $ 7,700 | $ 6,700 | ||||||
Outstanding long-term debt | 10% | 10% | 10% | |||||
Registered BATCAP Bonds in Connection with the Acquisition of RAI | ||||||||
Disclosure Of Summarised Financial Information [Line Items] | ||||||||
Bonds Issued, registered portion | $ 9,100 | |||||||
Registered BATCAP bonds | ||||||||
Disclosure Of Summarised Financial Information [Line Items] | ||||||||
Bonds and notes | $ 4,600 | $ 12,150 | ||||||
Registered BATIF Bonds | ||||||||
Disclosure Of Summarised Financial Information [Line Items] | ||||||||
Bonds and notes | $ 1,000 | $ 2,500 |
Summarised financial informat_4
Summarised financial information - Summarised Financial Information of Income Statement (Details) - GBP (£) £ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Revenue | [1] | £ 27,283 | £ 27,655 | £ 25,684 |
Profit/(loss) from operations | (15,751) | 10,523 | 10,234 | |
Net finance costs | (1,895) | (1,641) | (1,486) | |
(Loss)/profit before taxation | (17,061) | 9,324 | 9,163 | |
Taxation on ordinary activities | 2,872 | (2,478) | (2,189) | |
(Loss)/profit for the year | (14,189) | 6,846 | £ 6,974 | |
Registered BATCAP bonds | BAT p.l.c. | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Revenue | 0 | 0 | ||
Profit/(loss) from operations | (642) | (115) | ||
Dividend income | 4,950 | 7,515 | ||
Net finance costs | 488 | 264 | ||
(Loss)/profit before taxation | 4,796 | 7,664 | ||
Taxation on ordinary activities | (25) | (10) | ||
(Loss)/profit for the year | 4,771 | 7,654 | ||
Registered BATCAP bonds | BAT p.l.c. | Transactions with non-issuer/non-guarantor subsidiaries | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Dividend income | 4,950 | 7,515 | ||
Net finance costs | 293 | 52 | ||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | (120) | (116) | ||
Registered BATCAP bonds | BATCAP | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Revenue | 0 | 0 | ||
Profit/(loss) from operations | 3 | (1) | ||
Dividend income | 0 | 0 | ||
Net finance costs | (204) | (52) | ||
(Loss)/profit before taxation | (201) | (53) | ||
Taxation on ordinary activities | 22 | (9) | ||
(Loss)/profit for the year | (179) | (62) | ||
Registered BATCAP bonds | BATCAP | Transactions with non-issuer/non-guarantor subsidiaries | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Dividend income | 0 | 0 | ||
Net finance costs | 768 | 815 | ||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | (1) | (1) | ||
Registered BATCAP bonds | BATIF | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Revenue | 0 | 0 | ||
Profit/(loss) from operations | 4 | (2) | ||
Dividend income | 1 | 0 | ||
Net finance costs | 857 | 187 | ||
(Loss)/profit before taxation | 862 | 185 | ||
Taxation on ordinary activities | 17 | (21) | ||
(Loss)/profit for the year | 879 | 164 | ||
Registered BATCAP bonds | BATIF | Transactions with non-issuer/non-guarantor subsidiaries | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Dividend income | 0 | 0 | ||
Net finance costs | 1,445 | 732 | ||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | 0 | (2) | ||
Registered BATCAP bonds | BATNF | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Revenue | 0 | 0 | ||
Profit/(loss) from operations | 0 | 0 | ||
Dividend income | 0 | 0 | ||
Net finance costs | 1 | 0 | ||
(Loss)/profit before taxation | 1 | 0 | ||
Taxation on ordinary activities | 0 | 0 | ||
(Loss)/profit for the year | 1 | 0 | ||
Registered BATCAP bonds | BATNF | Transactions with non-issuer/non-guarantor subsidiaries | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Dividend income | 0 | 0 | ||
Net finance costs | 0 | 0 | ||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | 0 | 0 | ||
Registered BATCAP bonds | RAI | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Revenue | 0 | 0 | ||
Profit/(loss) from operations | 0 | 5 | ||
Dividend income | 5,234 | 4,835 | ||
Net finance costs | (538) | (500) | ||
(Loss)/profit before taxation | 4,696 | 4,340 | ||
Taxation on ordinary activities | 127 | 110 | ||
(Loss)/profit for the year | 4,823 | 4,450 | ||
Registered BATCAP bonds | RAI | Transactions with non-issuer/non-guarantor subsidiaries | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Dividend income | 5,234 | 4,835 | ||
Net finance costs | 26 | 25 | ||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | 30 | 47 | ||
Registered BATCAP bonds | BATHTN | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Revenue | 0 | 0 | ||
Profit/(loss) from operations | 5 | 1 | ||
Dividend income | 424 | 148 | ||
Net finance costs | 0 | 0 | ||
(Loss)/profit before taxation | 429 | 149 | ||
Taxation on ordinary activities | (1) | 0 | ||
(Loss)/profit for the year | 428 | 149 | ||
Registered BATCAP bonds | BATHTN | Transactions with non-issuer/non-guarantor subsidiaries | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Dividend income | 424 | 148 | ||
Net finance costs | 0 | 0 | ||
Transactions with non-issuer/non-guarantor subsidiaries (expense)/income | £ 0 | £ 0 | ||
[1] Revenue is net of duty, excise and other taxes of £ 36,917 million, £ 38,527 million and £ 38,595 million for the years ended 31 December 2023 , 2022 and 2021 , respectively. |
Summarised financial informat_5
Summarised financial information - Summarised Financial Information of Balance Sheet (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Disclosure Of Summarised Financial Information [Line Items] | ||
Non-current assets | £ 104,530 | £ 138,137 |
Current assets | 14,186 | 15,409 |
Non-current liabilities | 50,109 | 59,983 |
Non-current borrowings | 35,406 | 38,726 |
Current liabilities | 15,673 | 17,853 |
Current borrowings | 4,324 | 4,413 |
Registered BATCAP bonds | BAT p.l.c. | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Non-current assets | 1,917 | 1,917 |
Current assets | 9,128 | 9,166 |
Non-current liabilities | 1,580 | 1,580 |
Non-current borrowings | 1,571 | 1,572 |
Other non-current liabilities | 9 | 8 |
Current liabilities | 339 | 55 |
Current borrowings | 39 | 23 |
Other current liabilities | 300 | 32 |
Registered BATCAP bonds | BAT p.l.c. | Transactions with non-issuer/non-guarantor subsidiaries | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Amounts due from subsidiaries | 9,074 | 9,117 |
Amounts due to subsidiaries | 0 | 5 |
Investment in subsidiaries | 27,234 | 27,234 |
Registered BATCAP bonds | BATCAP | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Non-current assets | 20,691 | 20,962 |
Current assets | 12,739 | 7,947 |
Non-current liabilities | 18,266 | 20,018 |
Non-current borrowings | 18,101 | 19,762 |
Other non-current liabilities | 165 | 256 |
Current liabilities | 15,137 | 8,749 |
Current borrowings | 15,102 | 8,657 |
Other current liabilities | 35 | 92 |
Registered BATCAP bonds | BATCAP | Transactions with non-issuer/non-guarantor subsidiaries | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Amounts due from subsidiaries | 16,837 | 17,003 |
Amounts due to subsidiaries | 3,735 | 3,890 |
Investment in subsidiaries | 0 | 0 |
Registered BATCAP bonds | BATIF | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Non-current assets | 2,238 | 2,480 |
Current assets | 43,431 | 42,748 |
Non-current liabilities | 12,901 | 14,058 |
Non-current borrowings | 12,662 | 13,510 |
Other non-current liabilities | 239 | 548 |
Current liabilities | 30,091 | 29,379 |
Current borrowings | 29,512 | 28,525 |
Other current liabilities | 579 | 854 |
Registered BATCAP bonds | BATIF | Transactions with non-issuer/non-guarantor subsidiaries | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Amounts due from subsidiaries | 43,279 | 42,752 |
Amounts due to subsidiaries | 25,686 | 22,702 |
Investment in subsidiaries | 718 | 718 |
Registered BATCAP bonds | BATNF | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Non-current assets | 1,422 | 1,500 |
Current assets | 790 | 22 |
Non-current liabilities | 1,422 | 1,500 |
Non-current borrowings | 1,422 | 1,500 |
Other non-current liabilities | 0 | 0 |
Current liabilities | 789 | 21 |
Current borrowings | 788 | 21 |
Other current liabilities | 1 | 0 |
Registered BATCAP bonds | BATNF | Transactions with non-issuer/non-guarantor subsidiaries | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Amounts due from subsidiaries | 0 | 0 |
Amounts due to subsidiaries | 0 | 0 |
Investment in subsidiaries | 0 | 0 |
Registered BATCAP bonds | RAI | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Non-current assets | 318 | 405 |
Current assets | 942 | 1,135 |
Non-current liabilities | 9,163 | 10,094 |
Non-current borrowings | 9,113 | 10,033 |
Other non-current liabilities | 50 | 61 |
Current liabilities | 1,301 | 1,011 |
Current borrowings | 597 | 568 |
Other current liabilities | 704 | 443 |
Registered BATCAP bonds | RAI | Transactions with non-issuer/non-guarantor subsidiaries | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Amounts due from subsidiaries | 1,229 | 700 |
Amounts due to subsidiaries | 18 | 34 |
Investment in subsidiaries | 25,185 | 26,690 |
Registered BATCAP bonds | BATHTN | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Non-current assets | 43 | 45 |
Current assets | 10 | 8 |
Non-current liabilities | 11 | 12 |
Non-current borrowings | 0 | 0 |
Other non-current liabilities | 11 | 12 |
Current liabilities | 4 | 1 |
Current borrowings | 2 | 1 |
Other current liabilities | 2 | 0 |
Registered BATCAP bonds | BATHTN | Transactions with non-issuer/non-guarantor subsidiaries | ||
Disclosure Of Summarised Financial Information [Line Items] | ||
Amounts due from subsidiaries | 10 | 8 |
Amounts due to subsidiaries | 1 | 1 |
Investment in subsidiaries | £ 1,537 | £ 1,573 |
Summarised financial informat_6
Summarised financial information - Summary of Unconsolidated Equity Results (Details) - GBP (£) £ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Disclosure Of Summarised Financial Information [Line Items] | ||||
Total equity | £ 52,934 | £ 75,710 | £ 67,401 | £ 62,955 |
Share capital | 614 | 614 | ||
Perpetual hybrid bonds | 1,685 | 1,685 | ||
BAT p.l.c. | ||||
Disclosure Of Summarised Financial Information [Line Items] | ||||
Total equity | 36,360 | 36,682 | ||
Share capital | 614 | 614 | ||
Share premium | 112 | 113 | ||
Perpetual hybrid bonds | 1,685 | 1,685 | ||
Other equity | £ 33,949 | £ 34,270 |