28. Deferred credits
|
(in millions of euros) |
31 December 2023 |
31 December 2022 |
|
Lump sum payments |
108 |
125 |
|
Adjustment mechanism for franchise fee |
18 |
37 |
|
Financing advantage interest rate swaps |
33 |
- |
|
Deferred income |
159 |
162 |
|
Less: to current |
-36 |
-34 |
|
Total non-current as at 31 December 2023 |
123 |
128 |
The lump-sum payment for wage increases resulting from making the Railway and Public Transport Pension Fund independent in 1994 is expected to be released up to 2035 and to be credited to the income statement. The franchise fee adjustment mechanism is included in the implementation agreement for the main rail network franchise (see note 33). The amounts will be released on a straight-line basis and be credited to the income statement during the term of the franchise (up to and including 2024).
The financing benefit for interest rate swaps concerns the result on forward starting interest rate swaps that is released on a straight-line basis over the term of the associated loans (maximum 10 years). At year-end 2023, all forward starting interest rate swaps were dissolved and linked to loans.
Accounting policy
This income concerns amounts received in a single payment under agreements with terms extending to future years. The income is credited to the income statement over the term of the agreements to which the income relates. The income is measured at amortised cost.