Editing Freetrade (section)

=== Revenue ===
Revenue is recognised in the consolidated statement of comprehensive income on the following basis:

==== Transaction revenue ====
The group does not charge a commission on stockbroking transactions entered into on behalf of customers but does provide a foreign exchange service to enable customers to purchase instruments listed on exchanges in the United States and Europe. Revenue consisting of a predetermined flat fee is recognised on the execution date of the transaction. This is the date on which services are provided to customers and the group becomes entitled to the revenue. There is no variable consideration in relation to transactional revenue.

Transaction revenue for the financial year ended 30th September 2021 was £9,408,000 (2020: £1,323,000), which represented 74% (2020: 80%) of total revenue.

==== Recurring revenue ====
Revenue consisting of account subscription fees, are charged monthly in advance. All obligations to the customer are satisfied across the period in which the service is provided. Recognition of recurring revenue is on an accruals basis over the period in which the service is provided. The consideration due is based on a fixed fee and there is no variable income in which judgement or estimation is involved.

Recurring revenue for the financial year ended 30th September 2021 was £3,274,000 (2020: £338,000), which represented 26% (2020: 20%) of total revenue.