Company: BDRX
Filing Date: 2025-01-28
Form Type: 424B3
Source: 0001214659-25-001409
Chunk: 403

Company: Biodexa Pharmaceuticals Plc
Filing Date: 2025-01-28
Form: 424B3
Chunk 403
---
442 |     | –             |

More details with regard
to the line items above are included in the respective notes:

| · | Trade and other payables – note 15 |

| · | Borrowings – note 16 |

As a result of
the Strategic Review undertaken in March 2020 the Group repaid all Government Research loans during 2020 and 2021.

| F-66 |

| 19 | Financial instruments – risk management (continued) |

Capital risk management

The Group monitors capital
which comprises all components of equity (i.e. share capital, share premium, foreign exchange reserve and accumulated deficit).

The Group’s objectives
when maintaining capital are:

| · | to safeguard the entity’s ability to continue as a going concern; and |

| · | to have sufficient resource to take development projects forward towards commercialisation. |

The Group continues
to incur substantial operating expenses. Until the Group generates positive net cash inflows from the commercialisation of its products
it remains dependent upon additional funding through the injection of equity capital and government funding. The Group may not be able
to generate positive net cash inflows in the future or to attract such additional required funding at all, or on suitable terms. In such
circumstances the development programmes may be delayed or cancelled, and business operations cut back.

The Group seeks to reduce
this risk by keeping a tight control on expenditure, avoiding long term supplier contracts (other than clinical trials), prioritising
development spend on products closest to potential revenue generation, obtaining government grants (where applicable), maintaining a focussed
portfolio of products under development and keeping shareholders informed of progress.

There have been no changes
to the Group’s processes for managing capital risk since the previous year.

| 20 | Deferred tax |

Deferred tax is calculated
in full on temporary differences under the liability method using tax rates applicable in the tax jurisdictions where the tax asset or
liability would arise.

The movement on the
deferred tax account in 2023 is £nil (2022: £nil, 2021: £nil) as the net credit arising on the amortisation of intangible
assets and other timing differences has been matched by a reduction in the deferred tax asset recognised on the losses offsetting the
liability remaining.

Unused tax losses carried
forward, subject to agreement with local tax authorities, were as follows:

| Schedule of unused tax losses carried forward |     |                    |     |              |
|                                               |     | Gross losses £’000 |