Notes to the consolidated financial statements

20. Cash and cash equivalents


 

 

 

 

 
2009
£m
2008
£m
Cash at bank         87 93
Short-term deposits         650 81
Cash and cash equivalents excluding bank overdrafts         737 174
Bank overdrafts         (17) (10)
Net cash and cash equivalents         720 164

The carrying amounts of cash and cash equivalents and bank overdrafts approximate their fair values.

Cash at bank earns interest at floating rates based on daily bank deposit rates. Short-term deposits are made for varying periods of between one day and three months, depending on the immediate cash requirements, and earn interest at the respective short-term deposit rates.

Net cash and cash equivalents held in currencies other than sterling have been converted into sterling at year-end exchange rates. For further information on currency exposures, refer to note 33.

At 31 March 2009, £52m (2008: £61m) of cash and cash equivalents were restricted. This primarily relates to cash held in insurance captive companies.

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