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Company Information
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Contents
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Directors' report
for the year ended 31 March 2022
The directors present their report together with the Strategic report and the financial statements of Regents Park Securities Limited ('the Company') for the year ended 31 March 2022.
The loss for the year, after taxation, amounted to £28,649 (2021 - profit £204,294).
The directors did not recommend payment of any dividends in the year (2020 - £nil).
The directors who served during the year were:
The directors are responsible for preparing the Director's report, the Strategic report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102, ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Company's financial statements and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The company's pillar 3 disclosures are made publicly available at the company's website www.rpsec.co.uk.
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Directors' report (continued)
for the year ended 31 March 2022
report information required by Schedule 7 of the Large and Medium sized Companies and Groups (Accounts and Reports) Regulations 2008 to be contained in the Directors' report. It has done so in respect of risk exposure, future developments, and engagement with suppliers, customers and others.
This report was approved by the board on
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Strategic report
for the year ended 31 March 2022
The directors present their Strategic report of the Company for the year ended 31 March 2022.
Our relentless focus continues to be on providing personal service to our clients while using the latest portfolio
management and direct market access trading technologies. We have global software and services partners who are aligned with our vision and are helping us build a new kind of stock brokerage. Regents Park Securities Ltd is authorised by the United Kingdom Financial Conduct Authority ('the FCA') to provide brokerage services and to hold client money.
The directors are of the opinion that the Company is in a good position to progress into the next financial year
and believe that their expertise should help ensure that the Company is successful.
The principal risk for the Company is its exposure to the volatility of economic conditions and possible economic
downturns. Such downturns will likely have an impact on investor confidence, which will likely impact the frequency and value of trades undertaken by customers.
With the implementation of IFPR and the regime covering key areas of the firm, including capital, liquidity, reporting and the new internal capital and risk assessment process (the ICARA). The firm has assessed and reviewed all aspects of the regime including the robustness of systems and controls, governance leadership, adequacy of financial resources to be held. Based on the assessment, the firm continues meet regulatory rules including sufficient capital and liquidity.
The directors have always held surplus company funds on account, so there has been minimal impact with the increase in IFPR capital requirements and the firm continues to have sufficient financial resources. The firm will continue to monitor and assess the key areas as defined in the regime to ensure there is no impact to our business or clients.
Company turnover: £1,434,432 (2021 - £1,543,608)
Operating loss: £-36,308 (2021 - profit £252,553)
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Strategic report (continued)
for the year ended 31 March 2022
This section serves as our section 172 statement and should be read in conjunction with the rest of the Strategic report. Section 172 of the Companies Act 2006 requires directors to take into consideration the interests of stakeholders in their decision making.
The directors are aware of their duty under s.172 of the Companies Act 2006 to act in the way which they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole and, in doing so, to have regard (amongst other matters) to: • the likely consequences of any decision in the long term; • the interests of the Company’s employees; • the need to foster the Company’s business relationships with suppliers, customers and others; • the impact of the Company’s operations on the community and the environment; • the desirability of the Company maintaining a reputation for high standards of business conduct; and • the need to act fairly as between members of the Company. To ensure the Company is operating in line with good corporate practice, the directors have been trained in relation to the scope and application of s.172. This focused activity allowed the Board to reflect on how the Company engages with its stakeholders and opportunities for enhancement in the future. We acknowledge that, in order to progress to the next phase in the Company’s future, we will need to continue to form strategic partnerships with other companies and groups in the sectors within which we operate. We continue to explore possibilities along these lines. In doing so, our twin aims are to maximise the Company’s ability to grow profits and market share whilst returning the highest possible value to the shareholders. The Board reviews our principal stakeholders and how we engage with them. The stakeholder voice is brought into the boardroom throughout the annual cycle through information provided by the directors, and also by direct engagement with stakeholders themselves. Our principal stakeholders are the owners of the Company, our employees, our counterparties and our clients. By providing timely updates to all of these stakeholders and by the relatively small size and fully transparent operating model, we believe that we have endeavoured to foster good relationships and communication with all of these interested parties. The Board continues to enhance its methods of engagement with employees. We aim to work responsibly with our suppliers and customers and are committed to supporting and respecting human rights in the workplace and in the wider community.
This report was approved by the board on 7 July 2022 and signed on its behalf.
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Independent auditor's report to the members of Regents Park Securities Limited
for the year ended 31 March 2022
We have audited the financial statements of Regents Park Securities Limited (the 'Company') for the year ended 31 March 2022, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of cash flows, the Statement of changes in equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102, ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the Annual Report other than the financial statements and
our Auditor's report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
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Independent auditor's report to the members of Regents Park Securities Limited (continued)
for the year ended 31 March 2022
Other information (continued)
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Directors' report and the Strategic report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Directors' report and the Strategic report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors' report and the Strategic report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
∙adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
∙the financial statements are not in agreement with the accounting records and returns; or
∙certain disclosures of directors' remuneration specified by law are not made; or
∙we have not received all the information and explanations we require for our audit.
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Independent auditor's report to the members of Regents Park Securities Limited (continued)
for the year ended 31 March 2022
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
How the audit was considered capable of detecting irregularities including fraud Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
∙the Senior Statutory Auditor ensured that the engagement team collectively had the appropriate competence,
capabilities and skills to identify or recognise non-compliance with applicable laws and regulations, including knowledge specific to auditing FCA-regulated investment brokerage firms;
∙we made enquiries of management as to where they considered there was susceptibility to fraud, and their
knowledge of actual, suspected and alleged fraud;
∙we identified the laws and regulations that could reasonably be expected to have a material effect on the financial
statements of the Company through discussions with directors and other management at the planning stage, and from our knowledge and experience of FCA-regulated investment brokerage firms;
∙the audit team held a discussion to identify any particular areas that were considered to be susceptible to
misstatement, including with respect to fraud and non-compliance with laws and regulations; and
∙we focused our planned audit work on specific laws and regulations which we considered may have a direct material
effect on the financial statements or the operations of the Company including the Companies Act 2006, The Financial Services and Markets Act 2000, employment legislation, and taxation legislation.
We assessed the extent of compliance with the laws and regulations identified above through:
∙making enquiries of management;
∙reviewing legal expenditure throughout the year for any potential litigation or claims; and
∙considering the internal controls in place that are designed to mitigate risks of fraud and non-compliance with laws
and regulations.
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Independent auditor's report to the members of Regents Park Securities Limited (continued)
for the year ended 31 March 2022
Auditor's responsibilities for the audit of the financial statements (continued)
To address the risk of fraud through management bias and override of controls, we:
∙determined the susceptibility of the Company to management override of controls by checking the implementation
of controls and enquiring of individuals involved in the financial reporting process;
∙reviewed journal entries throughout the year to identify unusual transactions,
∙performed analytical procedures to identify any large, unusual or unexpected transactions and investigated any large
variances from the prior period;
∙tested the completeness of revenue by reviewing reports generated by the trading platform to entries in the nominal ledger; and
∙carried out substantive testing to check the occurrence and cut-off of expenditure.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which
included:
∙agreeing financial statement disclosures to underlying supporting documentation; and
∙enquiring of management as to actual and potential litigation and claims.
There are inherent limitations in our audit procedures described above. Irregularities that result from fraud might be
inherently more difficult to detect than irregularities that result from error as they may involve deliberate concealment or collusion. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditor's report.
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Statutory Auditor
130 Wood Street
EC2V 6DL
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Statement of comprehensive income
for the year ended 31 March 2022
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Statement of financial position
as at
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 13 to 24 form part of these financial statements.
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Statement of changes in equity
for the year ended 31 March 2022
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Statement of cash flows
for the year ended 31 March 2022
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Notes to the financial statements
for the year ended 31 March 2022
Regents Park Securities Ltd is a private company, limited by shares, domiciled in England & Wales,
registration number 1009427 4. The registered office and principal place of business is 77 New Cavendish Street, London, W1W 6XB.
2.Accounting policies
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3). The following principal accounting policies have been applied:
The Company has reported a loss for the year of £28,649 (2021 - profit £204,294) and at the year end the
Company had net assets of £970,683 (2021 - £999,332). The directors have prepared detailed forecasts for two years after the reporting date. The directors consider that the Company continues to have sufficient financial resources to continue for the foreseeable future. The financial statements have therefore been prepared on a going concern basis. Rendering of services
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Notes to the financial statements
for the year ended 31 March 2022
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
The Company holds money on behalf of clients in accordance with the client money rules of its regulator. Client monies held in segregated bank and settlement accounts in accordance with these rules and the corresponding liabilities to these clients are not recognised on the Statement of financial position.
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Notes to the financial statements
for the year ended 31 March 2022
2.Accounting policies (continued)
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in profit and loss.
Functional and presentation currency
Transactions and balances
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Notes to the financial statements
for the year ended 31 March 2022
2.Accounting policies (continued)
Defined contribution pension plan
The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations. The contributions are recognised as an expense in profit and loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the Company in independently administered funds. Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that: Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
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Notes to the financial statements
for the year ended 31 March 2022
2.Accounting policies (continued)
reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The directors do not consider there to be any significant judgements or key sources of estimation uncertainty involved in the preparation of those financial statements, other than regarding the treatment of client money (see note 2.6).
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Notes to the financial statements
for the year ended 31 March 2022
The whole of the revenue is attributable to the Company's principal activity.
All revenue arose from activities performed within the United Kingdom.
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Notes to the financial statements
for the year ended 31 March 2022
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Notes to the financial statements
for the year ended 31 March 2022
9.Taxation (continued)
On 10 June 2021, the Finance Bill 2021 received Royal Assent. The Bill confirms an increase in the corporation tax rate from 1 April 2023. From this date, the rate will taper from 19% for businesses with profits of less than £50,000 to 25% for businesses with profits over £250,000.
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Notes to the financial statements
for the year ended 31 March 2022
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Notes to the financial statements
for the year ended 31 March 2022
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Notes to the financial statements
for the year ended 31 March 2022
15.Deferred taxation (continued)
Profit and loss account
The profit and loss account includes all current and previous years' retained earnings.
There were no contingent liabilities at 31 March 2022 or 31 March 2021.
The Company had no capital commitments at 31 March 2022 or 31 March 2021.
The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £
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Notes to the financial statements
for the year ended 31 March 2022
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