Caseware UK (AP4) 2022.0.179 2022.0.179 2023-04-302023-04-3042022-05-01false4truefalse 5458099 2022-05-01 2023-04-30 5458099 2021-05-01 2022-04-30 5458099 2023-04-30 5458099 2022-04-30 5458099 2021-05-01 5458099 1 2022-05-01 2023-04-30 5458099 1 2021-05-01 2022-04-30 5458099 2 2022-05-01 2023-04-30 5458099 2 2021-05-01 2022-04-30 5458099 d:CompanySecretary1 2022-05-01 2023-04-30 5458099 d:Director1 2022-05-01 2023-04-30 5458099 d:Director2 2022-05-01 2023-04-30 5458099 d:Director3 2022-05-01 2023-04-30 5458099 d:Director5 2022-05-01 2023-04-30 5458099 d:Director6 2022-05-01 2023-04-30 5458099 d:RegisteredOffice 2022-05-01 2023-04-30 5458099 e:LeaseholdInvestmentProperty 2023-04-30 5458099 e:LeaseholdInvestmentProperty 2022-04-30 5458099 e:LeaseholdInvestmentProperty 2 2022-05-01 2023-04-30 5458099 e:CurrentFinancialInstruments 2023-04-30 5458099 e:CurrentFinancialInstruments 2022-04-30 5458099 e:CurrentFinancialInstruments e:WithinOneYear 2023-04-30 5458099 e:CurrentFinancialInstruments e:WithinOneYear 2022-04-30 5458099 e:ReportableOperatingSegment1 2022-05-01 2023-04-30 5458099 e:ReportableOperatingSegment1 2021-05-01 2022-04-30 5458099 e:UKTax 2022-05-01 2023-04-30 5458099 e:UKTax 2021-05-01 2022-04-30 5458099 e:ShareCapital 2022-05-01 2023-04-30 5458099 e:ShareCapital 2023-04-30 5458099 e:ShareCapital 2021-05-01 2022-04-30 5458099 e:ShareCapital 2022-04-30 5458099 e:ShareCapital 2021-05-01 5458099 e:InvestmentPropertiesRevaluationReserve 2022-05-01 2023-04-30 5458099 e:InvestmentPropertiesRevaluationReserve 2023-04-30 5458099 e:InvestmentPropertiesRevaluationReserve 1 2022-05-01 2023-04-30 5458099 e:InvestmentPropertiesRevaluationReserve 2 2022-05-01 2023-04-30 5458099 e:InvestmentPropertiesRevaluationReserve 2021-05-01 2022-04-30 5458099 e:InvestmentPropertiesRevaluationReserve 2022-04-30 5458099 e:InvestmentPropertiesRevaluationReserve 2021-05-01 5458099 e:InvestmentPropertiesRevaluationReserve 1 2021-05-01 2022-04-30 5458099 e:InvestmentPropertiesRevaluationReserve 2 2021-05-01 2022-04-30 5458099 e:RetainedEarningsAccumulatedLosses 2022-05-01 2023-04-30 5458099 e:RetainedEarningsAccumulatedLosses 2023-04-30 5458099 e:RetainedEarningsAccumulatedLosses 1 2022-05-01 2023-04-30 5458099 e:RetainedEarningsAccumulatedLosses 2 2022-05-01 2023-04-30 5458099 e:RetainedEarningsAccumulatedLosses 2021-05-01 2022-04-30 5458099 e:RetainedEarningsAccumulatedLosses 2022-04-30 5458099 e:RetainedEarningsAccumulatedLosses 2021-05-01 5458099 e:RetainedEarningsAccumulatedLosses 1 2021-05-01 2022-04-30 5458099 e:RetainedEarningsAccumulatedLosses 2 2021-05-01 2022-04-30 5458099 d:FRS102 2022-05-01 2023-04-30 5458099 d:Audited 2022-05-01 2023-04-30 5458099 d:FullAccounts 2022-05-01 2023-04-30 5458099 d:PrivateLimitedCompanyLtd 2022-05-01 2023-04-30 5458099 e:AcceleratedTaxDepreciationDeferredTax 2023-04-30 5458099 e:AcceleratedTaxDepreciationDeferredTax 2022-04-30 iso4217:GBP xbrli:pure

Registered number: 5458099










KENRIGHT PROPERTIES LIMITED










DIRECTORS' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2023

 
KENRIGHT PROPERTIES LIMITED
 

COMPANY INFORMATION


DIRECTORS
Mark Pears CBE 
Sir Trevor Pears CMG 
David Pears 
Samuel Teshuva 
WPG Registrars Limited 




COMPANY SECRETARY
William Bennett



REGISTERED NUMBER
5458099



REGISTERED OFFICE
Ground Floor
30 City Road

London

EC1Y 2AB




INDEPENDENT AUDITORS
Gravita II LLP
Chartered Accountants & Statutory Auditor

Ground Floor

30 City Road

London

EC1Y 2AB





 
KENRIGHT PROPERTIES LIMITED
 

CONTENTS



Page
Directors' Report
1 - 2
Independent Auditors' Report
3 - 6
Statement of Comprehensive Income
7
Statement of Financial Position
8
Statement of Changes in Equity
9
Notes to the Financial Statements
10 - 17


 
KENRIGHT PROPERTIES LIMITED
 

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 APRIL 2023

The directors present their report and the financial statements for the year ended 30 April 2023.

DIRECTORS' RESPONSIBILITIES STATEMENT

The directors are responsible for preparing the Directors' 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 judgments 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

PRINCIPAL ACTIVITY

The principal activity of the company is property investment.

DIRECTORS

The directors who served during the year were:

Mark Pears CBE 
Sir Trevor Pears CMG 
David Pears 
Samuel Teshuva 
WPG Registrars Limited 

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Page 1

 
KENRIGHT PROPERTIES LIMITED
 

 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2023


SMALL COMPANIES NOTE

In preparing this report, the directors have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

This report was approved by the board on 9 November 2023 and signed on its behalf.
 





William Bennett
Secretary

Page 2

 
KENRIGHT PROPERTIES LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF KENRIGHT PROPERTIES LIMITED
 


OPINION

We have audited the financial statements of Kenright Properties Limited (the 'Company') for the year ended 30 April 2023, which comprise the Statement of comprehensive income, the Statement of financial position, 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).

In our opinion the financial statements:

give a true and fair view of the state of the Company's affairs as at 30 April 2023 and of its loss 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 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.

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. However, because not all future events or conditions can be predicted this statement is not a guarantee as to the company's ability to continue as a going concern.

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 other information comprises the information included in the Annual Report other than the financial statements and  our Auditors' 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. 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.
Page 3

 
KENRIGHT PROPERTIES LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF KENRIGHT PROPERTIES LIMITED (CONTINUED)


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  Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the  Directors' report has been prepared in accordance with applicable legal requirements.

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  Directors' 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; or
the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Directors' report and from the requirement to prepare a Strategic report.

RESPONSIBILITIES OF DIRECTORS
 
As explained more fully in the Directors' responsibilities statement set out on page 1, 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 is 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.

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 an Auditors' 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. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.
Page 4

 
KENRIGHT PROPERTIES LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF KENRIGHT PROPERTIES LIMITED (CONTINUED)


The extent to which 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 engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the property sector;
we focused 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, but not limited to, the Companies Act 2006,  and taxation legislation;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting correspondence; and
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

understanding the business model as part of the control and business environment;
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations and;
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud.

To address the risk of fraud through management bias and override of controls, we:

performed analytical procedures to identify any unusual or unexpected relationships;
tested journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

agreeing financial statement disclosures to underlying supporting documentation;
enquiring of management as to actual and potential litigation and claims;
reviewing correspondence and enquiring with the company of actual and potential non-compliance with laws and regulations; and
reading the minutes of meetings of those charged with governance.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. 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.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment by for example forgery, or intentional misrepresentations or through collusion. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations.
Page 5

 
KENRIGHT PROPERTIES LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF KENRIGHT PROPERTIES LIMITED (CONTINUED)


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 Auditors' report.

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 an Auditors' 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.





Ian Hughes ACA (Senior statutory auditor)
for and on behalf of
Gravita II LLP
Chartered Accountants
Statutory Auditor
Ground Floor
London
EC1Y 2AB
22 November 2023

Page 6

 
KENRIGHT PROPERTIES LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 APRIL 2023

2023
2022
Note
£
£

  

Turnover
 3 
487,372
500,629

Cost of sales
  
(67,435)
(280,086)

GROSS PROFIT
  
419,937
220,543

Administrative expenses
  
(13,100)
(12,500)

Sundry capital receipt
 6 
492,000
-

Fair value movements
 9 
(1,300,000)
(4,000)

OPERATING (LOSS)/PROFIT
  
(401,163)
204,043

Interest receivable and similar income
  
6,722
2

Interest payable and similar expenses
 7 
-
(7,262)

(LOSS)/PROFIT BEFORE TAX
  
(394,441)
196,783

Tax on (loss)/profit
 8 
133,393
(310,355)

LOSS FOR THE FINANCIAL YEAR
  
(261,048)
(113,572)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR
  
(261,048)
(113,572)

The notes on pages 10 to 17 form part of these financial statements.

Page 7

 
KENRIGHT PROPERTIES LIMITED
REGISTERED NUMBER: 5458099

STATEMENT OF FINANCIAL POSITION
AS AT 30 APRIL 2023

2023
2022
Note
£
£

FIXED ASSETS
  

Investment property
 9 
5,200,000
6,500,000

  
5,200,000
6,500,000

CURRENT ASSETS
  

Debtors: amounts falling due within one year
 10 
851,906
37,922

Cash at bank and in hand
  
274,080
336,884

  
1,125,986
374,806

Creditors: amounts falling due within one year
 11 
(614,001)
(629,576)

NET CURRENT ASSETS/(LIABILITIES)
  
 
 
511,985
 
 
(254,770)

TOTAL ASSETS LESS CURRENT LIABILITIES
  
5,711,985
6,245,230

PROVISIONS FOR LIABILITIES
  

Deferred tax
 12 
(895,453)
(1,167,650)

  
 
 
(895,453)
 
 
(1,167,650)

NET ASSETS
  
4,816,532
5,077,580


CAPITAL AND RESERVES
  

Called up share capital 
  
1,000
1,000

Investment property revaluation reserve
  
2,788,240
3,816,043

Profit and loss account
  
2,027,292
1,260,537

TOTAL EQUITY
  
4,816,532
5,077,580


The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




David Pears
Samuel Teshuva
Director
Director


Date: 9 November 2023

The notes on pages 10 to 17 form part of these financial statements.

Page 8

 
KENRIGHT PROPERTIES LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2023


Called up share capital
Investment property revaluation reserve
Profit and loss account
Total equity

£
£
£
£

At 1 May 2022
1,000
3,816,043
1,260,537
5,077,580


COMPREHENSIVE INCOME FOR THE YEAR

Loss for the year
-
-
(261,048)
(261,048)

Transfer revaluation in year
-
(1,300,000)
1,300,000
-

Deferred tax movement
-
272,197
(272,197)
-
TOTAL COMPREHENSIVE INCOME FOR THE YEAR
-
(1,027,803)
766,755
(261,048)


AT 30 APRIL 2023
1,000
2,788,240
2,027,292
4,816,532



STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2022


Called up share capital
Investment property revaluation reserve
Profit and loss account
Total equity

£
£
£
£

At 1 May 2021
1,000
4,095,368
1,094,784
5,191,152


COMPREHENSIVE INCOME FOR THE YEAR

Loss for the year
-
-
(113,572)
(113,572)

Transfer revaluation in year
-
(4,000)
4,000
-

Deferred tax movement
-
(275,325)
275,325
-
TOTAL COMPREHENSIVE INCOME FOR THE YEAR
-
(279,325)
165,753
(113,572)


AT 30 APRIL 2022
1,000
3,816,043
1,260,537
5,077,580


The notes on pages 10 to 17 form part of these financial statements.

Page 9

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023

1.


GENERAL INFORMATION

Kenright Properties Limited is a private company limited by shares incorporated in England and Wales. The registered office is Ground Floor, 30 City Road, London, EC1Y 2AB.  The principal place of business is Haskell House, 152 West End Lane, London, NW6 1SD.

2.ACCOUNTING POLICIES

 
2.1

BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006 other than where additional disclosure is required to show a true and fair view.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies.

The company's functional and presentational currency is GBP and rounded to the nearest £1.

The following principal accounting policies have been applied:

 
2.2

GOING CONCERN

At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing these financial statements.

 
2.3

TURNOVER

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Turnover is measured as the fair value of the rents receivable.

  
2.4

PROPERTY TRANSACTIONS

Purchases and sales of properties are included on the basis of completions occurring during the year.

  
2.5

INVESTMENT PROPERTY

Investment property is carried at fair value determined annually by the directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the Statement of Comprehensive Income. 

 
2.6

DEBTORS

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Page 10

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023

2.ACCOUNTING POLICIES (CONTINUED)

 
2.7

CASH AND CASH EQUIVALENTS

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.8

FINANCIAL INSTRUMENTS

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Statement of Financial Position 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, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

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 the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Page 11

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023

2.ACCOUNTING POLICIES (CONTINUED)


2.8
FINANCIAL INSTRUMENTS (CONTINUED)

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

 
2.9

CREDITORS

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.10

FINANCE COSTS

Finance costs are charged to the Statement of Comprehensive Income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 12

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023

2.ACCOUNTING POLICIES (CONTINUED)

 
2.11

CURRENT AND DEFERRED TAXATION

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively. 

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income. 
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the Statement of Financial Position date, except that: 
•       The recognition of deferred tax assets is limited to the extent that it is probable that they will be
         recovered against the reversal of deferred tax liabilities or other future taxable profits; and  
•       Any deferred tax balances are reversed if and when all conditions for retaining associated
        tax allowances have been met.
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. 


3.


TURNOVER

An analysis of turnover by class of business is as follows:


2023
2022
£
£

Rent receivable
487,372
500,629


All turnover arose within the United Kingdom.


4.


AUDITORS' REMUNERATION

During the year, the Company obtained the following services from the Company's auditors:


2023
2022
£
£

Fees payable to the Company's auditors in respect of:

The audit of the Company's financial statements
3,600
3,250
Page 13

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023

5.


EMPLOYEES

The average monthly number of employees, including the directors, during the year was as follows:


        2023
        2022
            No.
            No.







Directors
4
4


6.


SUNDRY CAPITAL RECEIPT

2023
2022
£
£

Surrender premium received
492,000
-







7.


INTEREST PAYABLE

2023
2022
£
£


On sundry loan
-
7,262


8.


TAXATION


2023
2022
£
£

CORPORATION TAX


Corporation tax payable
138,804
37,300

Adjustments in respect of previous periods
-
(2,270)


DEFERRED TAX


Origination and reversal of timing differences
(272,197)
275,325


TAXATION ON (LOSS)/PROFIT ON ORDINARY ACTIVITIES
(133,393)
310,355
Page 14

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023
 
8.TAXATION (CONTINUED)


FACTORS AFFECTING TAX CHARGE FOR THE YEAR

The tax assessed for the year is lower than (2022 -higher than) the standard rate of corporation tax in the UK of 19.5% (2022 -19%). The differences are explained below:

2023
2022
£
£


(Loss)/profit on ordinary activities before tax
(394,441)
196,783


(Loss)/profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 19.5% (2022 -19%)
(76,916)
37,389

EFFECTS OF:


Expenses not deductible for tax purposes
(36,925)
-

Capital allowances for year in excess of depreciation
(806)
(849)

Adjustments to tax charge in respect of prior periods
-
(2,270)

Other timing differences leading to an increase in taxation
(272,197)
275,325

Non-taxable income less expenses not deductible for tax purposes
253,500
760

Other differences leading to an decrease in the tax charge
(49)
-

TOTAL TAX (CREDIT)/CHARGE FOR THE YEAR
(133,393)
310,355


FACTORS THAT MAY AFFECT FUTURE TAX CHARGES

There were no factors that may affect future tax charges.

Page 15

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023

9.


INVESTMENT PROPERTY


Long term leasehold investment property

£



VALUATION


At 1 May 2022
6,500,000


Fair value movement
(1,300,000)



AT 30 APRIL 2023
5,200,000

The 2023 valuations were made by the directors, on an open market value for existing use basis.



If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:

2023
2022
£
£


Historic cost
1,516,307
1,516,307


10.


DEBTORS

2023
2022
£
£


Sundry loan
739,566
-

Other debtors
39,307
37,922

Prepayments
73,033
-

851,906
37,922



11.


CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2023
2022
£
£

Sundry loan
-
63,859

Corporation tax
138,804
37,300

VAT payable
117,428
18,619

Other creditors
277,067
301,703

Accruals and deferred income
80,702
208,095

614,001
629,576


Page 16

 
KENRIGHT PROPERTIES LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023

12.


DEFERRED TAXATION




2023
2022


£

£






At beginning of year
(1,167,650)
(892,325)


Credited/(charged) to income statement
272,197
(275,325)



AT END OF YEAR
(895,453)
(1,167,650)

The provision for deferred taxation is made up as follows:

2023
2022
£
£


Tax on revaluation of investment property
895,453
1,167,650


13.


RELATED PARTY TRANSACTIONS

Debtors include an amount of £739,566 (2022 - Creditor £63,859) owed by WPG Treasury Limited, a company in which Mark Pears CBE, Sir Trevor Pears CMG and David Pears have an interest. The financial statements include interest receivable of £6,722 (2022 - interest payable £7,262) from/to that company. 
The financial statements include an accountancy fee of £9,500 (2022 - £9,250) payable to The William Pears Group of Companies Limited, a company in which Mark Pears CBE, Sir Trevor Pears CMG and David Pears have an interest.
The financial statements also include a property management fee of £18,045 (2022 - £17,645) payable to CHP Management Limited, a company in which Mark Pears CBE, Sir Trevor Pears CMG and David Pears have an interest.


Page 17