Ann: Half Yearly Report and Accounts, page-33

Hi, I read the transcript from the call and I thought the CEO spoke well. However I still can't get my head around this grants R&D revenue. Without going into the logic of counting it as ARR, surely if grants are given for R&D LVT need to show equivalent expenditure otherwise the grant wouldnt be fully accquitted? However we aren't seeing an equivalent decline in operating costs. Is it possible that some of the development costs were capitalised previously?