Capital expenditure is the expenditure by an entity of a significant amount for the purchase or improvement of a fixed asset; the amount expended would warrant the item being amortised over an estimated useful life of a reasonably extended period. Capital expenditure is not charged against the profits of the entity when it takes place, but is regarded as an investment to be capitalised in the balance sheet as a fixed asset and subsequently charged against profits by amortising the asset over its estimated useful life.Capital expenditure for intangible assets is limited to intangible assets and associated capitalised costs only (e.g. legal fees) and does not include capital expenditure on any other asset types. 

Include:
- patents, licences and goodwill.
Exclude:
- capitalised computer software licence fees.