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Trade and other receivables | 12 Months Ended
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Dec. 31, 2022
Trade and other receivables. |
Trade and other receivables | A3. Trade and other receivables The Group’s trade receivables are recognised at the transaction price less provision for impairment. They are generally due for settlement within 30 days and are therefore all classified as current. The amount of the provision for impairment is recognised in the income statement and movements on provisions for impaired trade receivables are recognised within operating expenses in the income statement. Amounts are generally charged to the provision for impairment of trade receivables when there is no expectation of recovering additional cash. Expected credit loss (ECL) calculations are performed quarterly and are used to calculate the provision. ECL calculations are a probability weighted estimate of credit losses and are performed at country level. The Group applies the simplified method of applying lifetime ECLs to trade receivables using an allowance matrix to measure the ECLs of trade receivables from its customers, which comprise customer portfolios across several countries. Credit risk factors that are considered as part of ECL calculations may include, but are not limited to: payment history, customer size, customer type (national/residential/commercial/government), age of debt, industry strength, economy, environmental factors such as climate change and product or service provided. There is limited concentration of credit risk with respect to trade receivables due to the Group’s customer base being large and diverse. The amount of credit risk with respect to customers is represented by the carrying amount on the balance sheet. The Group policy is that credit facilities for new customers are approved by designated managers at regional level. Credit limits are set with reference to trading history and reports from credit rating agencies where they are available. Where this is not feasible the Group may request payment in advance of work being carried out, or settlement by credit card on completion of the work. There are no trade receivables that would otherwise be past due or impaired whose terms have been renegotiated. ​
​ | ​ | ​ | ​ | ​
​ | ​ | 2022 | ​ | 2021
​ | ​ | £m |  | £m
Trade receivables |  | 692 |  | 474
Less: provision for impairment of trade receivables |  | (70) |  | (50)
Trade receivables – net |  | 622 |  | 424
Other receivables |  | 110 |  | 63
Prepayments |  | 79 |  | 35
Accrued income1 |  | 111 |  | 19
Total |  | 922 |  | 541
​ | ​ | ​ | ​ | ​
Analysed as follows: |  | ​ |  |
Non-current |  | 90 |  | 14
Current |  | 832 |  | 527
Total |  | 922 |  | 541
1. | Accrued income has increased in the year primarily due to the acquisition of Terminix. At the balance sheet date, US Terminix makes up £90m (2021: £nil) of the accrued income balance.
All of the Group’s provision for impairment relates to trade receivables. Analysis of the Group’s provision for impairment of trade receivables is as follows: ​
​ | ​ | ​ | ​ | ​
​ |  | 2022 |  | 2021
​ | ​ | £m | ​ | £m
At 1 January |  | 50 |  | 61
Exchange differences |  | — |  | (1)
Additional provision |  | 30 |  | 26
Receivables written off as uncollectable |  | (27) |  | (19)
Unused amounts reversed |  | (5) |  | (17)
Acquisition of companies and businesses | ​ | 22 | ​ | —
At 31 December |  | 70 |  | 50
​ The ageing of trade receivables and provision for impairment is as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Trade |  | Provision for |  | Trade |  | Provision for
​ | ​ | receivables | ​ | impairment | ​ | receivables | ​ | impairment
​ | ​ | 2022 | ​ | 2022 | ​ | 2021 | ​ | 2021
​ | ​ | £m | ​ | £m | ​ | £m | ​ | £m
Not due |  | 290 |  | (4) |  | 224 |  | (2)
Overdue by less than 1 month |  | 155 |  | (4) |  | 100 |  | (2)
Overdue by between 1 and 3 months |  | 117 |  | (6) |  | 66 |  | (3)
Overdue by between 3 and 6 months |  | 55 |  | (8) |  | 30 |  | (4)
Overdue by between 6 and 12 months |  | 38 |  | (18) |  | 23 |  | (13)
Overdue by more than 12 months |  | 37 |  | (30) |  | 31 |  | (26)
At 31 December |  | 692 |  | (70) |  | 474 |  | (50)
​ The carrying amounts of the Group’s trade receivables are denominated in the following currencies: ​
​ | ​ | ​ | ​ | ​
​ | ​ | 2022 | ​ | 2021
​ | ​ | £m | ​ | £m
Pound sterling |  | 48 |  | 52
Euro |  | 159 |  | 150
US dollar |  | 301 |  | 133
Other currencies |  | 184 |  | 139
Carrying value |  | 692 |  | 474
​ Fair value is considered to be equal to carrying value for all trade and other receivables.

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- Definition The disclosure of trade and other receivables. [Refer: Trade and other receivables] + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Name IAS -Number 1 -IssueDate 2023-01-01 -Paragraph 10 -Subparagraph e -URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=1&code=ifrs-tx-2023-en-r&anchor=para_10_e&doctype=Standard -URIDate 2023-03-23 + Details
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