rate expectations. We expect a reduction in capitalised interest in 2026 to around £10-15 million (2025: £26.8 million), driven by a reduced level of development activity. The Group’s average debt maturity has remained broadly unchanged at 4.0 years (31 December 2024: 3.8 years). DIVIDEND We are proposing a final dividend payment of 24.9p per share (2024: 24.9p), totalling 37.7p for the full year (2024: 37.3p) and representing a 1% increase compared to 2024. This represents a payout ratio of 79% of adjusted EPS. The final dividend will be fully paid as a Property Income Distribution (PID) of 24.9p, which will fully satisfy our PID requirement for the 2025 financial year. Subject to approval at Unite’s Annual General Meeting on 15 May 2026, the dividend will be paid on 29 May 2026 to shareholders on the register at close of business on 17 April 2026. During 2025, scrip elections were received for 5% and 10% of shares in issue for the 2024 final dividend and 2025 interim dividend respectively. The Company does not intend to offer a scrip alternative for the 2025 final dividend. The Company intends to maintain a stable dividend payout in 2026, distributing 37.7p for the financial year,balancing confidence in the medium-term outlook with the expected reduction in adjusted EPS for the year ahead. TAX AND REIT STATUS The Group holds REIT status and is exempt from tax on its property business. During the year, we recognised a corporation tax charge of £3.1 million (2024: £4.8 million charge) with the decrease primarily due to lower taxable profits from interest income. FUNDS AND JOINT VENTURES The table below summarises the key financials at 31 December 2025 for our co-investment vehicles USAF and LSAV. Property assets £m Net debt £m Other liabilities £m Net assets £m Unite share of NTA £m Total return Maturity Unite share USAF 2,844 (697) (35) 2,112 614 3.3% Infinite 30% LSAV 2,083 (647) (50) 1,386 685 4.3% 2032 50% Property valuations increased by 0.7% for USAF and 0.5% in LSAV over the year, on a like-for-like basis, with rental growth more than offsetting the impact of increases to property yields. Property yields increased by 12bps for USAF and 18bps for LSAV to a weighted average yield of 5.3% and 4.7% respectively. During the year, £117 million of USAF redemption requests were cleared, with £105 million traded on the secondary market at an average 2% discount to NAV and £12 million paid to unitholders out of disposal proceeds. Unite’s ownership of USAF increased by 0.7% to 29.8% following redemptions paid to unitholders during the year. USAF has capital available to invest, which will part fund the acquisition of St Pancras Way from Unite for £186 million, increasing USAF’s portfolio weighting to London. MANAGEMENT FEES During the year, the Group recognised net fees of £17.4 million from its fund and asset management activities (2024: £17.3 million), which remained unchanged in the year. The benefit of increased fees from higher income and property valuations were offset by lower fees following redemptions in USAF over the past two years. 2025 £m 2024 £m USAF asset management fee 12.3 12.4 LSAV asset and property management fee 5.0 4.9 Total fees 17.43 17.3 THE UNITE GROUP PLC Annual Report and Accounts 2025 41