REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements for the Year Ended 31 December 2021 |
for |
Shanghai Electric UK Company Limited |
REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements for the Year Ended 31 December 2021 |
for |
Shanghai Electric UK Company Limited |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Contents of the Financial Statements |
for the Year Ended 31 December 2021 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Statement of Directors' Responsibilities | 5 |
Report of the Independent Auditors | 6 |
Income Statement | 10 |
Other Comprehensive Income | 11 |
Statement of Financial Position | 12 |
Statement of Changes in Equity | 13 |
Notes to the Financial Statements | 14 |
Shanghai Electric UK Company Limited |
Company Information |
for the Year Ended 31 December 2021 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Certified Accountants |
and Statutory Auditors |
9 St Clare Street |
London |
EC3N 1LQ |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Strategic Report |
for the Year Ended 31 December 2021 |
The directors present their strategic report for the year ended 31 December 2021. |
REVIEW OF BUSINESS |
The company has been involved in the engineering, procurement and construction ("EPC") of photovoltaic solar power projects in the United Kingdom (UK) and Greece this year. In the current year, the company has completed the UK project Branston and 51 contracted Greece projects near Volos and Magnesia, Greece. Due to the outbreak of the pandemic Covid 19 resulting in national lockdown measures being enforced in 2020, eight projects in the UK have been delayed to 2021. At the time of signing these financial statements, project WSE has been connected with National Grid and generated income in Feburary 2022 under price purchase agreement ("PPA"). Projects Ingham, Outwood and Bishop are in the process to connect with National Grid. The management constantly monitors the progress of all projects and confident that the rest of four porjects are going to be connected and generating electricity income by the end of 2022. |
During the year ended 31 December 2021 the business has grown its revenue by 43% to £49,664K (2020: £34,638K) following the progress of its eight UK projects. The company's profit before taxation for the financial year is £3,331K (2020: £2,072K). |
FUTURE DEVELOPMENT |
The company is continuously looking for new projects, to create solar power by building responsible and sustainable projects for businesses and local communities. The company expects its solar projects to have a positive impact on the environments and communities. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The management of the business and the execution of the company's strategy are subject to a number of risks. The main risks and uncertainties are as follows: |
Health & Safety risk |
Inherently working with electricity exposes the company to health and safety risk. Creating and maintaining a long term, continuously safe and healthy environment is always the company's top priority. The company is committed to ensure all safety measures are taken to protect its employees, customers and business partners, to safe delivery of its business to the communities, and continuously creating sustainable solutions that are safe by design. |
Liquidity risk |
The ability of the company to meet its current obligations needs to be continually considered, particularly more than ever now in the current macro-economic environment and Covid pandemic. The company monitors its liquidity forecasting on a quarterly basis, providing the management information and time to identify and remedy any worse situations before they happy. |
Financing risk |
The company's activities expose it primarily to the financial risks of continuation of work contracts, and the associated funding, from the parent company. Short-term financing risk is managed by close liaison with the parent company to ensure that loan facility is available and supported in a timely matter. |
Foreign exchange risk |
The company's profitability may increase or decrease if the change in costs or income due to exchange rate fluctuates from that originally expected, therefore, the management ensures to have a robust foreign exchange strategy along with associated policies and procedures in place to deal with this change. |
Ukraine conflict |
Following the outbreak of the conflict in Ukraine, the company has acknowledged price risks. As such, the company continues to monitor its contracts, works with its consultants and its customers to ensure the appropriate actions are taken to minimise the impact to the business. |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Strategic Report |
for the Year Ended 31 December 2021 |
KEY PERFORMANCE INDICATORS |
The key performance indicators of the company were as follows: |
31 December 2021 | 31 December 2020 | Change |
£'000 | £'000 |
Turnover | 49,664 | 34,638 | 43%+ |
Gross profit | 5,116 | 1,138 | 350%+ |
Operating profit | 3,845 | 2,619 | 47%+ |
As at 31 December 2021, the Company had net current assets amounts to £9,476K (2020: £6,778K). |
In conjunction with the management of costs and working capital to improve profit, the company uses a number of KPIs to monitor performance. These KPIs are monitored both on a contract basis and also for the company as a whole, compared to budget. |
ON BEHALF OF THE BOARD: |
9 September 2022 |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Report of the Directors |
for the Year Ended 31 December 2021 |
The directors present their report with the financial statements of the company for the year ended 31 December 2021. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of construction of utility projects for electricity and telecommunications. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2021. |
DIRECTORS |
DISCLOSURE IN THE STRATEGIC REPORT |
The company has chosen in accordance with Companies Act 2006, s. 4.14C(11) to set out in the company's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch.7 to be contained in the directors' report. It has done so in respect of review of the business, future developments and risk management. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Shinewing Wilson Accountancy Limited, has been accepted for appointment at the Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Statement of Directors' Responsibilities |
for the Year Ended 31 December 2021 |
The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
Report of the Independent Auditors to the Members of |
Shanghai Electric UK Company Limited |
Opinion |
We have audited the financial statements of Shanghai Electric UK Company Limited (the 'company') for the year ended 31 December 2021 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity and Notes to the Financial Statements, 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). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 December 2021 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
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 Auditors' 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 UK, including the FRC'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. |
Conclusions relating to going concern |
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. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report, the Report of the Directors and the Statement of Directors' Responsibilities, but does not include the financial statements and our Report of the Auditors thereon. |
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. |
In connection with our audit of the financial statements, 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 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. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Shanghai Electric UK Company Limited |
Matters on which we are required to report by exception |
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 Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where 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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Shanghai Electric UK Company Limited |
Auditors' responsibilities for the audit of the financial statements |
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 a Report of the Auditors 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Discussions with and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity. |
The following laws and regulations were identified as being of significance to the entity: |
- Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, Company Law and Tax legislation. |
- Those laws and regulations for which non-compliance may be fundamental to the operating aspects of the business and therefore may have a material effect on the financial statements include environmental regulations, health and safety legislation, General Data Protection Regulation (GDPR), Electricity Act 1989, The Town and Country Planning Act 1990, The Energy Act 2013 and Construction legislation 2015. |
Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: inquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; review of board minutes; testing the appropriateness of entries in the nominal ledger, including journal entries; reviewing transactions around the end of the reporting period; and the performance of analytical procedures to identify unexpected movements in account balances which may be indicative of fraud. |
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK). |
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 Report of the Auditors. |
Report of the Independent Auditors to the Members of |
Shanghai Electric UK Company Limited |
Use of our 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 a Report of the Auditors 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 |
Chartered Certified Accountants |
and Statutory Auditors |
9 St Clare Street |
London |
EC3N 1LQ |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Income Statement |
for the Year Ended 31 December 2021 |
31.12.21 | 31.12.20 |
as restated |
Notes | £ | £ |
TURNOVER | 4 |
Cost of sales |
GROSS PROFIT |
Administrative expenses | ( |
) |
3,845,034 | 2,618,491 |
Other operating income |
OPERATING PROFIT | 6 |
Interest receivable and similar income |
3,845,034 | 2,619,006 |
Interest payable and similar expenses | 7 |
PROFIT BEFORE TAXATION |
Tax on profit | 8 |
PROFIT FOR THE FINANCIAL YEAR |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Other Comprehensive Income |
for the Year Ended 31 December 2021 |
31.12.21 | 31.12.20 |
as restated |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Statement of Financial Position |
31 December 2021 |
31.12.21 | 31.12.20 |
as restated |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 10 |
CURRENT ASSETS |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 14 |
Retained earnings |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Statement of Changes in Equity |
for the Year Ended 31 December 2021 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2020 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2020 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2021 |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements |
for the Year Ended 31 December 2021 |
1. | STATUTORY INFORMATION |
Shanghai Electric UK Company Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Financial Reporting Standard 102 - reduced disclosure exemptions |
The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
• | the requirements of Section 7 Statement of Cash Flows. |
Going concern |
The company's profit before tax for the year ended 31 December 2021 was £3.33mil and its net current assets as at 31 December 2021 amounted to £9.48mil (2020: £6.78mil). In addition, the immediate parent has confirmed to continuously provide financial support to the company for at least twelve months from the date of signing these financial statements to meet the company's liabilities. At the time of approving the financial statements, the Director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Therefore, they continue to adopt the going concern basis of accounting in preparing the financial statements. |
Comparative figures |
Certain comparative figures have been restated where necessary to conform with current period presentation. |
Turnover |
The company generates income from its construction contracts. |
Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognized by reference to the stage of completion of the contract activity at the reporting date, measured as the proportion that contract costs incurred for work performed to date bear to the estimated total contract costs, except where this would not be representative of the stage of completion. Variations in contract work, claims and incentive payments are included to the extent that they have been agreed with the customer. Where the outcome of the construction contract cannot be estimated reliably, contract revenue is recognised only to the extent of contract costs incurred that it is probable will be recoverable. |
Accrued income represents turnover recognised in excess of payments on accounts. |
Tangible fixed assets |
Computer equipment | - |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. |
Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
Basic financial assets |
Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the financial asset is measured at the present value of the future receipts discounted at a market rate of interest. |
Classification of financial liabilities |
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
Basic financial liabilities |
Basic financial liabilities, including trade and other payables, and loans from group undertakings, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. |
Debt instruments are subsequently carried at amortised cost, using the effective interest method. |
Share capital |
Financial instruments issued by the company are classified as equity only to the extent that they do not meet the definition of a financial liability or financial asset. |
The company's ordinary shares are classified as equity instruments. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Operating leases: the company as lessee |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the application of the accounting policies and reported amounts of assets and liabilities, revenue and expenses. Actual results may differ from these estimates. |
Estimates and underlying assumptions are continually evaluated and are based on historical experience and other factors, including expectations of future events that are reasonable under the circumstances. Revisions to accounting estimates are recognised in the year in which the estimates are revised and in any future years that are affected. |
Revenue recognition and accrued income |
In order to apply the company's revenue recognition policy for contract income, management has made judgements as to the stage of completion of work in progress and the likely outcome of each contract. Normally, these contracts take between 12 and 24 months to complete. However, there have been delays in completing contracts due to Covid 19, and accordingly the revenue shown in note 3 is estimated. |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by geographical market is given below: |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
United Kingdom |
Europe |
5. | EMPLOYEES AND DIRECTORS |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
31.12.21 | 31.12.20 |
as restated |
Admin |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Directors' remuneration |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Auditors' remuneration |
Auditors' remuneration for non audit work |
Foreign exchange differences | ( |
) |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Bank interest |
Loan interest |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Current tax: |
UK corporation tax |
Tax on profit |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2020 - |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | - | ( |
) |
Depreciation in excess of capital allowances | - |
Other tax | 2 | 40 |
Total tax charge | 632,881 | 393,727 |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
9. | PRIOR YEAR ADJUSTMENT |
Comparative figures have been restated in the Statement of Financial Position, and the related notes, and in the Income Statement in the prior year accounts. Details of the balance sheet and income statement adjustments and their effect on the financial statements of the prior year, are provided below: |
i) An amount of £15,209K previously included in the amounts owed to group undertakings as at 31 December 2020, has been reclassified to trade creditors. |
ii) VAT of £272K was previously included in both turnover and cost of sale in 2020; this has now been netted off. |
These adjustments did not affect the retained earnings shown in the prior year financial statements. |
10. | TANGIBLE FIXED ASSETS |
Computer |
equipment |
£ |
COST |
At 1 January 2021 |
and 31 December 2021 |
DEPRECIATION |
At 1 January 2021 |
Charge for year |
At 31 December 2021 |
NET BOOK VALUE |
At 31 December 2021 |
At 31 December 2020 |
11. | DEBTORS |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Payment on account | 638,475 | 3,336,289 |
VAT |
Prepayments and accrued income |
Amounts falling due after more than one year: |
Office rental deposit | 41,500 | 41,500 |
Aggregate amounts |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
11. | DEBTORS - continued |
Trade Debtors | 31.12.21 | 31.12.20 |
£ | £ |
Bishops Waltham PV2 Limited | 2,446,588.80 | - |
Butyric Holdings Limited | - | - |
Ingham Renewables Limited | - | - |
WEL Solar 24 Limited | 835,596.00 | - |
WEL Solar 25 Limited | 675,475.20 | - |
WEL Solar 26 Limited | 674,017.20 | - |
WEL Solar 27 Limited | - | - |
WSE West Holcombe Limited | 699,548.40 | - |
Total | 5,331,225.60 | - |
Accrued Income | 31.12.21 | 31.12.20 |
£ | £ |
Bishops Waltham PV2 Limited | 1,812,319.40 | - |
Butyric Holdings Limited | 3,985,482.48 | - |
Ingham Renewables Limited | 8,384,234.59 | - |
WEL Solar 24 Limited | 4,480,267.12 | - |
WEL Solar 25 Limited | 1,943,029.58 | - |
WEL Solar 26 Limited | 7,699,112.47 | - |
WEL Solar 27 Limited | 11,440,207.68 | - |
WSE West Holcombe Limited | 2,108,487.34 | - |
Total | 41,763,140.66 | - |
All amounts owed by group companies are unsecured, interest free and repayable on demand. |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Other loans (see note 13) |
Trade creditors |
Amounts owed to group undertakings |
Tax |
Social security and other taxes |
Accruals and deferred income |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR - continued |
Trade Creditors | 31.12.21 | 31.12.20 |
£ | £ |
Shanghai Electric Hongkong Int'l Engineering Company Ltd | 37,386,201.50 | 10,998,900.00 |
Shanghai Electric Group Co. Ltd | 3,789,977.34 | 4,060,982.19 |
Total | 41,176,178.84 | 15,059,882.19 |
Amounts owed to group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand. |
13. | LOANS |
An analysis of the maturity of loans is given below: |
31.12.21 | 31.12.20 |
as restated |
£ | £ |
Amounts falling due within one year or on demand: |
Other loans |
Loans from group undertakings are unsecured and repayable on demand. Interest is charged at 3% per annam. Interest of £513,977 (2020: £546,548) were accrued on the principal amount of £ 28,150,233 during the year. (see note 7). |
14. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.12.21 | 31.12.20 |
value: | as restated |
£ | £ |
ordinary share | 1 | 5,000,000 | 5,000,000 |
15. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Shanghai Electric UK Company Limited (Registered number: 11940234) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2021 |
16. | ULTIMATE CONTROLLING PARTY |
The immediate parent company is Shanghai Electric Hongkong International Engineering Company Limited, a company registered in Hong Kong. |
The smallest and largest undertaking for which the company is a member and for which group financial statements are prepared is the company's intermediate parent company Shanghai Electric Group Company Limited, a company registered in the P.R. China and listed on the Hong Kong Stock Exchange. Copies of the consolidated financial statements can be obtained from their registered office, No.110 Middle Sichuan Road, Shanghai, P.R. China. |
The ultimate controlling party of the company is the State-owned Assets Supervision and Administration Commission of Shanghai Municipal Government, a government organisation in the P.R. China. |