Company registration number 05182775 (England and Wales)
INTERIORS UK LIMITED
ANNUAL REPORT AND
FINANCIAL STATEMENTS
INTERIORS UK LIMITED
COMPANY INFORMATION
Directors
D Nolan
P Tyler
T Linley
Company number
05182775
Registered office
The New Oakes
Wellington Street
Oakes
Huddersfield
West Yorkshire
HD3 3EP
Auditor
UHY Hacker Young Manchester LLP
St James Building
79 Oxford Street
Manchester
M1 6HT
Business address
The New Oakes
Wellington Street
Oakes
Huddersfield
West Yorkshire
HD3 3EP
Bankers
National Westminister Bank Plc
8 Market Place
Huddersfield
HD1 2AL
Solicitors
Chadwick Lawrence LLP
13 Railway Street
Huddersfield
HD1 1JS
INTERIORS UK LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2 - 3
Independent auditor's report
4 - 6
Statement of comprehensive income
7
Balance sheet
8
Statement of changes in equity
9
Notes to the financial statements
10 - 19
INTERIORS UK LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 JULY 2023
- 1 -
The directors present the strategic reporttrue for the year ended 31 July 2023.
Review of the business
The business managed to perform profitably again following the Covid disruptions in the last 2 financial years with a small increase in turnover occurring despite the hospitality sector continuing to struggle. Gross profit declined slightly to 11.7% due to increased labour costs.
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 key business risks and uncertainties affecting the company are considered to relate to competition, employee retention and the economic state of the hospitality sector.
The directors believe that the company is well placed to embrace these challenges and deliver a strong financial performance in the future.
Key performance indicators
Given the nature of the business, the directors are of the opinion that analysis using KPI's is not necessary for an understanding of the development, performance or position of the business.
Other information and explanations
The company finances its operations through retained profits, with the management's objectives to retain sufficient liquid funds to enable to meet its day today obligations as they fall due whilst maximising returns on surplus funds.
Where appropriate, funds are held primarily in short term variable rate deposit accounts. The directors believe that this gives them the flexibility to release cash resources at short notice and allows them to take advantage of changing conditions in the finance markets as they arise. All deposits are with reputable UK banks and the directors believe their choice of bank minimises any credit risk associated with not paying funds on deposit with a UK clearing bank.
P Tyler
Director
23 April 2024
INTERIORS UK LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 JULY 2023
- 2 -
The directors present their annual report and financial statements for the year ended 31 July 2023.
Principal activities
The principal activity of the company continued to be that of specialist leisure contractors.
Results and dividends
The results for the year are set out on page 7.
Ordinary dividends were paid amounting to £350,628. The directors do not recommend payment of a further dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
D Nolan
P Tyler
T Linley
Future developments
Interiors UK Limited envisages no change to the direction of its strategy.
Auditor
In accordance with the company's articles, a resolution proposing that UHY Hacker Young Manchester LLP be reappointed as auditor of the company will be put at a General Meeting.
Statement of directors' responsibilities
The directors are responsible for preparing the annual 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 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;
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 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.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
INTERIORS UK LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 3 -
Financial instruments
The company has a normal level of exposure to price, credit, liquidity and cash flow risks arising from its trading activities which are only conducted in sterling. The company does not enter into any hedging transactions.
Going concern
The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis in preparing the annual financial statements.
On behalf of the board
P Tyler
Director
23 April 2024
INTERIORS UK LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF INTERIORS UK LIMITED
- 4 -
Opinion
We have audited the financial statements of Interiors UK Limited (the 'company') for the year ended 31 July 2023 which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including 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 July 2023 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.
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 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.
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. 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.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
• the information given in the strategic report and the directors' truereport for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
INTERIORS UK LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF INTERIORS UK LIMITED
- 5 -
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 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 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 directors' responsibilities statement, 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.
Auditor's 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 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.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Identifying and assessing potential risks related to irregularities
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, we considered the following:
1.the nature of the industry and sector, control environment and business performance
2.any matters we identified having obtained and reviewed the company’s documentation of their policies and procedures relating to
a.identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance,
b.detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;
the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; and
the matters discussed among the audit engagement team and involving relevant internal specialists, including tax, regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.
As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.
We also obtained an understanding of the legal and regulatory frameworks the company operates in, focussing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and tax legislation.
INTERIORS UK LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF INTERIORS UK LIMITED
- 6 -
Our procedures to respond to risks identified included the following:
reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
Enquiring of management and those charged with governance concerning actual and potential litigation claims;
In addressing the risk of fraud through
In assessing the risk of fraud through management override of controls, testing the appropriateness of journal entries and assessing whether judgments made in making accounting estimates are indicative of potential bias.
There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://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.
Stephen Grayson ACA FCCA
Senior Statutory Auditor
For and on behalf of UHY Hacker Young Manchester LLP
23 April 2024
Chartered Accountants
Statutory Auditor
St James Building
79 Oxford Street
Manchester
M1 6HT
INTERIORS UK LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 JULY 2023
- 7 -
2023
2022
Notes
£
£
Turnover
4
23,513,319
22,429,912
Cost of sales
(20,759,710)
(19,660,408)
Gross profit
2,753,609
2,769,504
Administrative expenses
(1,686,529)
(1,774,592)
Operating profit
5
1,067,080
994,912
Interest receivable and similar income
8
20,604
228
Profit before taxation
1,087,684
995,140
Tax on profit
9
(456,661)
(378,209)
Profit for the financial year
631,023
616,931
The profit and loss account has been prepared on the basis that all operations are continuing operations.
INTERIORS UK LIMITED
BALANCE SHEET
- 8 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
11
142,531
147,734
Current assets
Stocks
12
49,226
91,269
Debtors
13
6,281,653
7,127,063
Cash at bank and in hand
4,146,287
3,152,828
10,477,166
10,371,160
Creditors: amounts falling due within one year
14
(3,904,868)
(4,084,460)
Net current assets
6,572,298
6,286,700
Net assets
6,714,829
6,434,434
Capital and reserves
Called up share capital
17
100
100
Profit and loss reserves
6,714,729
6,434,334
Total equity
6,714,829
6,434,434
The financial statements were approved by the board of directors and authorised for issue on 23 April 2024 and are signed on its behalf by:
P Tyler
Director
Company registration number 05182775 (England and Wales)
INTERIORS UK LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JULY 2023
- 9 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 August 2021
100
6,051,404
6,051,504
Year ended 31 July 2022:
Profit and total comprehensive income
-
616,931
616,931
Dividends
10
-
(234,001)
(234,001)
Balance at 31 July 2022
100
6,434,334
6,434,434
Year ended 31 July 2023:
Profit and total comprehensive income
-
631,023
631,023
Dividends
10
-
(350,628)
(350,628)
Balance at 31 July 2023
100
6,714,729
6,714,829
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2023
- 10 -
1
Accounting policies
Company information
Interiors UK Limited is a private company limited by shares incorporated in England and Wales. The registered office is The New Oakes, Wellington Street, Oakes, Huddersfield, West Yorkshire, HD3 3EP.
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.
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. The principal accounting policies adopted are set out below.
This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:
• Section 7 ‘Statement of Cash Flows’ – Presentation of a statement of cash trueflow and related notes and disclosures;
• Section 33 ‘Related Party Disclosures’ – Compensation for key management personneltrue.
The financial statements of the company are consolidated in the financial statements of IUKH NLT Limited. These consolidated financial statements are available from its registered office, IUKH NLT Limited, The New Oakes, Wellington Street, Oakes, Huddersfield, West Yorkshire, HD3 3EP .
1.2
Going concern
Atruet 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 the financial statements.
1.3
Turnover
Turnover represents the value of goods sold and services provided net of value added tax and in the case of incomplete contracts, the fair value of work done during the period compared with the total fair value of the contract. Revenues are recognised when there are no significant obligations remaining by the vendor and collection of the resulting receivables is considered probable.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 11 -
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:
Fixtures, fittings & equipment
25% - 33.33% straight line
Motor vehicles
25% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.6
Stocks
Stocks and work in progress are stated at the lower of cost and estimated selling price less costs to complete and sell. Work in progress represents initial costs incurred on contracts not started at the year end.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks or work in progress over their estimated selling price less costs to complete and sell are recognised as impairment losses in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.7
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’true 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.
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 12 -
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
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.
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
1.9
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.
1.10
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred taxation is provided in full in respect of taxation deferred by timing differences between the treatment of certain items for taxation and accounting purposes. The deferred tax balance has not been discounted.
A net deferred tax asset is regarded as recoverable and therefore recognised only to the extent that, on the basis of all available evidence, it can be regarded as more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
1
Accounting policies
(Continued)
- 13 -
1.11
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
1.12
Retirement benefits
The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are charged to the profit and loss account in the year they are payable.
1.13
Leases
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.
1.14
Amounts recoverable on contracts
Amounts recoverable on contracts, which are included in debtors, are stated at the net sales value of the work done after provision for contingencies and anticipated future losses on contracts, less amounts received as progress payments on account. Excess progress payments are included in creditors, within accruals.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are 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.
There were no key judgements.
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Estimates and provisions
Included within income, expenditure, debtors and creditors are estimated costs and revenues relating to contracts which were on going at the year end. The amounts brought in are to bring the contract costs and revenues in line with their stage of completion at the year end date, based on their expected margin upon completion of the contract.
At the year end the following amounts had been estimated based on these assumptions:
Accrued income £1,591,083 (2022 - £2,076,003), deferred income £838,629 (2022 - £614,120), work in progress £49,226 (2022 - £91,269), and accrued expenditure £992,226 (2022 - £919,056).
In addition to this there is a further estimation of revenues brought in to account for retentions due from customers. These are estimated as 2.5% of the total contract value. At the year end, these are estimated to be £201,172 (2022 - £194,603).
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 14 -
3
Exceptional item
2023
2022
£
£
Expenditure
Amounts written off from group undertakings
1,000,000
1,000,000
The exceptional item relates to a write off of £1,000,000, for amounts owed from group companies.
4
Turnover and other revenue
An analysis of the company's turnover is as follows:
2023
2022
£
£
Turnover analysed by class of business
Services provided
23,513,319
22,429,912
2023
2022
£
£
Other revenue
Interest income
20,604
228
5
Operating profit
2023
2022
Operating profit for the year is stated after charging/(crediting):
£
£
Fees payable to the company's auditor for the audit of the company's financial statements
24,500
22,500
Depreciation of owned tangible fixed assets
58,330
72,453
Profit on disposal of tangible fixed assets
(30,325)
(13,516)
Operating lease charges
38,011
33,520
6
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Weekly
36
34
Monthly
31
28
Total
67
62
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
6
Employees
(Continued)
- 15 -
Their aggregate remuneration comprised:
2023
2022
£
£
Wages and salaries
3,619,335
3,338,680
Social security costs
373,645
365,014
Pension costs
265,687
231,044
4,258,667
3,934,738
7
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
105,020
136,095
Company pension contributions to defined contribution schemes
84,275
87,225
189,295
223,320
The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 3 (2022 - 3).
8
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
20,604
228
9
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
437,254
378,209
Deferred tax
Origination and reversal of timing differences
11,254
Adjustment in respect of prior periods
8,153
Total deferred tax
19,407
Total tax charge
456,661
378,209
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
9
Taxation
(Continued)
- 16 -
On 6 April 2023 the UK corporation tax rate increase from 19% to 25%. The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2023
2022
£
£
Profit before taxation
1,087,684
995,140
Expected tax charge based on the standard rate of corporation tax in the UK of 21.00% (2022: 19.00%)
228,414
189,077
Tax effect of expenses that are not deductible in determining taxable profit
214,126
192,667
Adjustments in respect of prior years
8,153
Permanent capital allowances in excess of depreciation
(338)
(720)
Other adjustments
102
Remeasurment to deferred tax in respect to change of rates
1,146
979
Movement in deferred tax not recognised
4,080
(4,080)
Amounts charged directly to STRGL
978
286
Taxation charge for the year
456,661
378,209
10
Dividends
2023
2022
£
£
Final paid
350,628
234,001
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 17 -
11
Tangible fixed assets
Fixtures, fittings & equipment
Motor vehicles
Total
£
£
£
Cost
At 1 August 2022
134,944
347,361
482,305
Additions
9,317
45,500
54,817
Disposals
(121,081)
(121,081)
At 31 July 2023
144,261
271,780
416,041
Depreciation and impairment
At 1 August 2022
123,347
211,224
334,571
Depreciation charged in the year
7,787
50,543
58,330
Eliminated in respect of disposals
(119,391)
(119,391)
At 31 July 2023
131,134
142,376
273,510
Carrying amount
At 31 July 2023
13,127
129,404
142,531
At 31 July 2022
11,597
136,137
147,734
12
Stocks
2023
2022
£
£
Work in progress
49,226
91,269
13
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
2,545,645
2,556,283
Corporation tax recoverable
34,808
Amounts owed by group undertakings
2,004,184
2,386,654
Other debtors
29,975
26,233
Prepayments and accrued income
1,610,566
2,090,163
6,225,178
7,059,333
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
13
Debtors
(Continued)
- 18 -
2023
2022
Amounts falling due after more than one year:
£
£
Deferred tax asset (note 15)
56,475
67,730
Total debtors
6,281,653
7,127,063
14
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
1,489,236
1,540,004
Corporation tax
219,535
Other taxation and social security
154,206
205,246
Other creditors
14,983
5,284
Accruals and deferred income
2,246,443
2,114,391
3,904,868
4,084,460
15
Deferred taxation
Deferred tax assets and liabilities are offset where the company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:
Assets
Assets
2023
2022
Balances:
£
£
Accelerated capital allowances
52,955
66,199
Other timing differences
3,520
1,531
56,475
67,730
2023
Movements in the year:
£
Asset at 1 August 2022
(67,730)
Charge to profit or loss
11,255
Asset at 31 July 2023
(56,475)
INTERIORS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JULY 2023
- 19 -
16
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
265,687
231,044
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.
17
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
Share capital represents the nominal value of shares that have been issued.
18
Profit and loss reserves
The profit and loss account includes all current and prior period retained profits and losses, net of dividends paid.
19
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
2023
2022
£
£
Within one year
37,420
30,701
Between two and five years
111,766
25,500
149,186
56,201
20
Related party transactions
The company has taken advantage of the exemption available in FRS102 whereby it has not disclosed transactions with its 100% parent company.
21
Ultimate controlling party
IUKH GNT Limited, a company registered in England and Wales, is the immediate parent company.
IUKH NLT Limited, a company registered in England and Wales, is the ultimate parent company and controlling party.
2023-07-312022-08-01falseCCH SoftwareCCH Accounts Production 2024.100D NolanP TylerT Linleyfalse051827752022-08-012023-07-31051827752023-07-3105182775bus:Director12022-08-012023-07-3105182775bus:Director22022-08-012023-07-3105182775bus:Director32022-08-012023-07-3105182775bus:RegisteredOffice2022-08-012023-07-3105182775bus:Agent12022-08-012023-07-31051827752021-08-012022-07-3105182775core:RetainedEarningsAccumulatedLosses2021-08-012022-07-3105182775core:RetainedEarningsAccumulatedLosses2022-08-012023-07-31051827752022-07-3105182775core:FurnitureFittings2023-07-3105182775core:MotorVehicles2023-07-3105182775core:FurnitureFittings2022-07-3105182775core:MotorVehicles2022-07-3105182775core:CurrentFinancialInstrumentscore:WithinOneYear2023-07-3105182775core:CurrentFinancialInstrumentscore:WithinOneYear2022-07-3105182775core:CurrentFinancialInstruments2023-07-3105182775core:CurrentFinancialInstruments2022-07-3105182775core:ShareCapital2023-07-3105182775core:ShareCapital2022-07-3105182775core:RetainedEarningsAccumulatedLosses2023-07-3105182775core:RetainedEarningsAccumulatedLosses2022-07-3105182775core:ShareCapital2021-07-3105182775core:RetainedEarningsAccumulatedLosses2021-07-31051827752021-07-3105182775bus:PrivateLimitedCompanyLtd2022-08-012023-07-3105182775core:FurnitureFittings2022-08-012023-07-3105182775core:MotorVehicles2022-08-012023-07-310518277512022-08-012023-07-3105182775core:Exceptional2022-08-012023-07-3105182775core:Exceptional2021-08-012022-07-3105182775core:OwnedAssets2022-08-012023-07-3105182775core:OwnedAssets2021-08-012022-07-3105182775core:UKTax2022-08-012023-07-3105182775core:UKTax2021-08-012022-07-310518277512022-08-012023-07-310518277512021-08-012022-07-310518277522022-08-012023-07-310518277522021-08-012022-07-310518277532022-08-012023-07-310518277532021-08-012022-07-310518277542022-08-012023-07-310518277542021-08-012022-07-3105182775core:FurnitureFittings2022-07-3105182775core:MotorVehicles2022-07-31051827752022-07-3105182775core:Non-currentFinancialInstruments2023-07-3105182775core:Non-currentFinancialInstruments2022-07-3105182775core:AcceleratedTaxDepreciationDeferredTax2023-07-3105182775core:AcceleratedTaxDepreciationDeferredTax2022-07-3105182775core:OtherDeferredTax2023-07-3105182775core:OtherDeferredTax2022-07-3105182775core:WithinOneYear2023-07-3105182775core:WithinOneYear2022-07-3105182775core:BetweenTwoFiveYears2023-07-3105182775core:BetweenTwoFiveYears2022-07-3105182775bus:FRS1022022-08-012023-07-3105182775bus:Audited2022-08-012023-07-3105182775bus:FullAccounts2022-08-012023-07-31xbrli:purexbrli:sharesiso4217:GBP