4.8 Equity Accounting policies Ordinary shares are classified as equity. External costs directly attributable to the issue of new shares, other than on a business combination, are shown as a deduction, net of tax, in equity from the proceeds. Share issue costs incurred directly in connection with a business combination are deducted from the proceeds of the issue. The Company’s issued share capital has increased during the year as follows: 2025 Called-up, allotted and fully paid ordinary shares of £0.25p each No. of shares Ordinary shares £m Share premium £m At 1 January 488,792,074 122.2 2,876.9 Shares issued (capital raise) - - - Shares issued (scrip dividend) 1,146,199 0.3 (0.3) Share options exercised 105,298 - - At 31 December 490,043,571 122.5 2,876.6 The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company. All shares rank equally with regard to the Company’s residual assets. The Company’s reserves are as follows: • Called-up share capital reserves contain the nominal value of the shares issued • Share premium reserves contain the excess consideration received above the nominal value of the shares issued • Merger reserves contain the excess in the value of shares issued by the Company in exchange for the value of shares acquired in respect of subsidiaries acquired (specifically on the acquisition of the Unilodge portfolio in June 2001) • Hedging reserves contain the cumulative gains and losses on hedging instruments deemed effective • Retained earnings contain the cumulative profits and losses of the Company net of dividends paid and other adjustments. 4.9 Dividends Accounting policies Dividends are recognised through equity on the earlier of their approval by the Company’s shareholders or their payment. During the year, the Company paid the final 2024 dividend of £125.8 million – 24.9p per share – and an interim 2025 dividend of £62.6 million – 12.8p per share (2024: final 2023 dividend of £64.0 million – 23.6p per share – and an interim 2024 dividend of £52.0 million – 12.4p). After the year-end, the Directors proposed a final dividend per share of 24.9p (2024: 24.9p), bringing the total dividend per share for the year to 37.7p (2024: 37.4p). No provision has been made in relation to this dividend. The Group has modelled tax adjusted property business profits for 2025 and 2026 and the PID requirement in respect of the year ended 31 December 2025 is expected to be satisfied by the end of 2026. The Directors recently became aware that interim dividends paid in 2023, 2024 and 2025 were made otherwise than in accordance with the Companies Act 2006 because interim accounts had not been filed prior to payment. A resolution has been proposed for the Annual General Meeting due to be held on 15 May 2026 to authorise the appropriation of distributable profits to the payment of the relevant dividends and remove any right for the Company to pursue shareholders or Directors for repayment. The overall effect of the resolution would be to return all parties to the position they would have been in should the relevant dividends have been made in full compliance with the Companies Act 2006. THE UNITE GROUP PLC Annual Report and Accounts 2025 189 2024 No. of shares Ordinary shares Share Premium £m £m 435,854,542 109.4 2,447.6 50,000,000 12.1 430.1 2,808,461 0.7 (0.7) 129,071 - (0.1) 488,792,074 122.2 2,876.9