Financial Statements
Notes to the consolidated accounts
18. Investment properties
| 2007 £m |
2006 £m |
|
|---|---|---|
| At 1 January | 2,426 | 1,912 |
| Purchases | 167 | 285 |
| Acquisitions through business combinations | 74 | - |
| Disposals | (91) | (39) |
| Fair value adjustments | (205) | 268 |
| At 31 December | 2,371 | 2,426 |
Investment properties are carried at fair value. The properties are independently valued in accordance with the Royal Institute of Chartered Surveyors' guidelines on the basis of open market value. The key assumptions used in preparing the property valuations relate to tenure, letting and town planning and the location, condition and state of repair of the properties.