2020 | 2019 | |
€m | €m | |
At 1 January | 36.0 | - |
Initial application of IFRS 16 | - | 32.0 |
Additions | 12.5 | 12.5 |
Payments | (10.3) | (10.0) |
Disposals | (0.1) | - |
Lease interest expense recognised in period | 1.1 | 1.0 |
Currency adjustment | (0.7) | 0.5 |
At 31 December | 38.5 | 36.0 |
Analysed as: | ||
Current liabilities | 10.7 | 8.4 |
Non-current liabilities | 27.8 | 27.6 |
38.5 | 36.0 |
The maturity profile of lease liabilities is set out below:
2020 | 2019 | |
€m | €m | |
Committed lease obligations | ||
Within one year | 10.7 | 8.4 |
Between one and two years | 4.7 | 2.9 |
Between two and three years | 2.7 | 2.5 |
Between three and four years | 2.5 | 2.3 |
Between four and five years | 2.2 | 2.2 |
Between five and ten years | 1.4 | 3.4 |
Greater than ten years | 14.3 | 14.3 |
38.5 | 36.0 |
Outstanding lease terms vary from one to six years except in the case of leasehold land where the terms vary between 75 and 101 years. For the financial year ended 31 December 2020, the average incremental borrowing rate applying to lease liabilities was 2.8% (2019: 3.1%). The incremental borrowing rate in the case of lease liabilities recognised on application of IFRS 16 was estimated at 1 January 2019 and in all other cases at the date of commencement of the lease. The incremental borrowing rate is estimated as that rate of interest available to the Group for borrowings over a similar term as the obligation to acquire a similar asset. The Group’s obligations are secured by lessors’ title to the leased assets.
All lease contracts relating to land and property contain market review clauses. The leases for land and property in Dublin contain seven yearly upward only rent reviews based on market rates. The next review is due on 1 January 2024. The lease contract relating to land and property in Belfast includes an annual review based on UK Retail Price Inflation.
The above lease liabilities do not include any variable payments based on throughput of leased facilities, short term leases of less than one year or leases relating to low value assets. These are expensed as incurred and disclosed at note 9.