Pdf
Customer relationshipsBrandsTotal
2017
£000
2016
£000
2017
£000
2016
£000
2017
£000
2016
£000
Gross carrying value
Balance at 1 January5,7964,722965,8924,722
Acquired through business combinations – brands9696
Acquired through business combinations – customer relationships (note 24)3,4181,0743,4181,074
Balance at 31 December9,2145,79696969,3105,892
Amortisation and impairment
Balance at 1 January1,096543161,112543
Amortisation7495531916768569
Balance at 31 December1,8451,09635161,8801,112
Carrying amount at 31 December7,3694,70061807,4304,780

Additions in the year to customer relationships relate to the acquisitions of Hydraulics and Transmissions Limited, Hi-Power Limited, Orange County Limited, The Hydraulic Group BV and Group HES Limited. The estimated useful life has been determined as ten years based on the expected future cash flows that they would generate in arriving at their fair value.

The amortisation of customer relationships and brands is charged to administration costs in the Consolidated Income Statement and is referred to as the amortisation of acquired intangibles.