BT 2011 Annual Report Download - page 92

FINANCIAL STATEMENTS
89BT GROUP PLC ANNUAL REPORT & FORM 20-F 2011
FINANCIAL STATEMENTS
REPORT OF THE INDEPENDENT AUDITORS
CONSOLIDATED FINANCIAL STATEMENTS
United Kingdom opinion
Independent Auditors’ Report to the members of
BT Group plc (the ‘company’)
We have audited the consolidated financial statements of BT Group
plc for the year ended 31 March 2011 which comprise the Group
income statement, the Group statement of comprehensive income,
the Group statement of changes in equity, the Group cash flow
statement, the Group balance sheet, the Accounting policies and
the related notes. The financial reporting framework that has been
applied in their preparation is applicable law and International
Financial Reporting Standards (IFRSs) as adopted by the European
Union.
Respective responsibilities of directors and auditors
As explained more fully in the Statement of directors’
responsibilities set out on page 88, the directors are responsible for
the preparation of the consolidated financial statements and for
being satisfied that they give a true and fair view. Our responsibility
is to audit and express an opinion on the consolidated financial
statements in accordance with applicable law and International
Standards on Auditing (UK and Ireland). Those standards require us
to comply with the Auditing Practices Board’s Ethical Standards for
Auditors.
This report, including the opinions, has been prepared for and only
for the company’s members as a body in accordance with Chapter 3
of Part 16 of the Companies Act 2006 and for no other purpose. We
do not, in giving these opinions, accept or assume responsibility for
any other purpose or to any other person to whom this report is
shown or into whose hands it may come save where expressly
agreed by our prior consent in writing.
Scope of the audit of the financial statements
An audit involves obtaining evidence about the amounts and
disclosures in the financial statements sufficient to give reasonable
assurance that the financial statements are free from material
misstatement, whether caused by fraud or error. This includes an
assessment of: whether the accounting policies are appropriate to
the group’s circumstances and have been consistently applied and
adequately disclosed; the reasonableness of significant accounting
estimates made by the directors; and the overall presentation of the
financial statements. In addition, we read all the financial and non-
financial information in the BT Group plc Annual Report & Form
20-F for the year ended 31 March 2011 to identify material
inconsistencies with the audited consolidated financial statements.
If we become aware of any apparent material misstatements or
inconsistencies we consider the implications for our report.
Opinion on financial statements
In our opinion the consolidated financial statements:
•give a true and fair view of the state of the group’s affairs as at
31 March 2011 and of its profit and cash flows for the year then
ended;
•have been properly prepared in accordance with IFRSs as
adopted by the European Union; and
•have been prepared in accordance with the requirements of the
Companies Act 2006 and Article 4 of the IAS Regulation.
Separate opinion in relation to IFRSs as issued by the IASB
As explained in the Accounting policies section of the consolidated
financial statements the group, in addition to complying with its
legal obligation to apply IFRSs as adopted by the European Union,
has also applied IFRSs as issued by the International Accounting
Standards Board (IASB).
In our opinion the consolidated financial statements comply with
IFRSs as issued by the IASB.
Opinion on other matters prescribed by the Companies Act 2006
In our opinion the information given in the Report of the directors
for the financial year for which the consolidated financial
statements are prepared is consistent with the consolidated
financial statements.
Matters on which we are required to report by exception
We have nothing to report in respect of the following:
Under the Companies Act 2006 we are required to report to you if,
in our opinion:
•certain disclosures of directors’ remuneration specified by law are
not made; or
•we have not received all the information and explanations we
require for our audit.
Under the Listing Rules we are required to review:
•the directors’ statement, set out on page 54, in relation to going
concern;
•the part of the Corporate Governance Statement relating to the
company’s compliance with the nine provisions of the June 2008
Combined Code specified for our review; and
•certain elements of the Report on directors’ remuneration.
Other matter
We have reported separately on the parent company financial
statements of BT Group plc for the year ended 31 March 2011 and
on the information in the Report on directors’ remuneration that is
described as having been audited.
Philip Rivett (Senior Statutory Auditor)
for and on behalf of PricewaterhouseCoopers LLP
Chartered Accountants and Statutory Auditors
London, United Kingdom
11 May 2011
OVERVIEWBUSINESS REVIEWFINANCIAL REVIEWREPORT OF THE DIRECTORSFINANCIAL STATEMENTSADDITIONAL INFORMATION