Integration costs

  2007
£m		 2006
£m		 2005
£m
Staff costs 18 76 148
Premises and equipment 4 10 39
Other administrative expenses 26 32 131
Depreciation and amortisation 60 16 140
  108 134 458

Integration costs in 2007 were £108 million compared with £134 million in 2006 and £458 million in 2005 comprising amortisation of internally developed software and other expenditure. Software costs were previously written-off as incurred under UK GAAP but under IFRS are now amortised over 3-5 years. All software relating to the NatWest integration was fully amortised by the end of 2005. The balance of integration costs principally relates to the integration of Churchill, First Active and Citizens' acquisitions, including Charter One which was acquired in August 2004.

Accruals in relation to integration costs are set out below.

  At
31 December
2006
£m		 Charge
to income
statement
£m		 Utilised
during
the year
£m		 At
31 December
2007
£m
Staff costs 23 18 (37) 4
Premises and equipment – 4 (2) 2
Other 8 86 (93) 1
  31 108 (132) 7