Company Registration No. 05740791 (England and Wales)
CLAY CROSS LAND LIMITED
FINANCIAL STATEMENTS
FOR THE PERIOD ENDED
30 SEPTEMBER 2022
PAGES FOR FILING WITH REGISTRAR
Brightfield Business Hub
Bakewell Road
Orton Southgate
Peterborough
Cambridgeshire
PE2 6XU
CLAY CROSS LAND LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 6
CLAY CROSS LAND LIMITED
BALANCE SHEET
AS AT
30 SEPTEMBER 2022
30 September 2022
- 1 -
2022
2021
as restated
Notes
£
£
£
£
Current assets
Stocks
4
1,480,761
1,469,502
Debtors
5
58,052
51,353
Cash at bank and in hand
5,334
4,033
1,544,147
1,524,888
Creditors: amounts falling due within one year
6
(2,293,583)
(2,278,163)
Net current liabilities
(749,436)
(753,275)
Capital and reserves
Called up share capital
2
2
Profit and loss reserves
(749,438)
(753,277)
Total equity
(749,436)
(753,275)
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved and signed by the director and authorised for issue on 1 February 2024
K S Hick
Director
Company Registration No. 05740791
CLAY CROSS LAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 SEPTEMBER 2022
- 2 -
1
Accounting policies
Company information
Clay Cross Land Limited is a private company limited by shares incorporated in England and Wales. The registered office is Larkfleet House, Falcon Way, Southfields Business Park, Bourne, Lincolnshire, England, PE10 0FF.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
Atruet 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, the company will be supported by its parent company Phoenix Sustainable Investments Limited for a period no less than 12 months from the date of approval of these accounts. Thus the director continues to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Reporting period
The reporting period has changed from 31 December to 30 September. The reporting period has changed to align the accounting year with other group companies' financial year. Amounts presented for the 2022 reporting period are for a 9-month period. Comparative figures are for a 12-month period. Consequently, comparative amounts are not comparable.
1.4
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
CLAY CROSS LAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2022
1
Accounting policies
(Continued)
- 3 -
1.5
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.6
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 in the company's balance sheet 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 debtors 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 transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
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 creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.7
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.8
Leases
CLAY CROSS LAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2022
1
Accounting policies
(Continued)
- 4 -
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the director is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (including directors) employed by the company during the period was:
2022
2021
Number
Number
Total
4
Stocks
2022
2021
£
£
Work In Progress
1,480,761
1,469,502
5
Debtors
2022
2021
Amounts falling due within one year:
£
£
Trade debtors
50,000
50,000
Other debtors
8,052
1,353
58,052
51,353
CLAY CROSS LAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2022
- 5 -
6
Creditors: amounts falling due within one year
2022
2021
£
£
Trade creditors
136
1,210
Amounts owed to group undertakings
2,289,447
Other creditors
4,000
2,276,953
2,293,583
2,278,163
7
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
The senior statutory auditor was Mitchell Burden and the auditor was TC Group.
8
Related party transactions
The company has taken advantage of exemptions available within FRS 102 to not disclose transactions with fellow group companies. Group accounts are prepared for Phoenix Sustainable Investments Limited (the ultimate holdings company) and are available from its registered office at Larkfleet House, Falcon Way, Bourne, PE10 0FF.
There is a £50,000 (2022 - £50,000) owed from an entity under common control, this is an interest free loan.
9
Operating lease commitments
At the reporting date the company owned the leasehold to land (included in Work In Progress) of which it pays rent to a Council of £23,000+VAT. The lease term is 99 years from 1 January 1997.
10
Parent and ultimate parent undertaking
The company's immediate parent was Ayr Waste Management Limited up to 16 August 2022, incorporated in England & Wales.
From 16 August 2022 the company's immediate parent was Phoenix Sustainable Investments Limited, incorporated in England & Wales.
The ultimate controlling party is K S Hick.
CLAY CROSS LAND LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2022
- 6 -
11
Prior period adjustment
There have been two prior period adjustments in relation to the year ended 31 December 2021.
The first adjustment was to debit Administrative costs £54,723 and credit Stocks £54,723. This adjustment has reduced the profits available for distribution by £54,723. The adjustment has been made to correct an error made in the calculation of ‘Work in progress’.
The second adjustment was to debit Cost of sales £136,304 and credit Stocks £136,304. This adjustment has reduced the profits available for distribution by £136,304. The adjustment has been made to provide against certain ‘Work in progress’, which hadn’t been provided for in error.
In total these prior period adjustments reduce the profits available for distribution by £191,027.