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REGISTERED NUMBER: 10483863 (England and Wales)











Money Redress Limited

Financial Statements

for the Year Ended 31 December 2023






Money Redress Limited (Registered number: 10483863)

Contents of the Financial Statements
for the Year Ended 31 December 2023










Page

Company Information 1

Balance Sheet 2

Notes to the Financial Statements 3


Money Redress Limited

Company Information
for the Year Ended 31 December 2023







DIRECTORS: R Ladak
S Boyd
M S Khadr
C Rutherford





REGISTERED OFFICE: 22 High View Close
Vantage Park
Leicester
Leicestershire
LE4 9LJ





REGISTERED NUMBER: 10483863 (England and Wales)





AUDITORS: Haines Watts Tamworth Limited
Chartered Accountants and Statutory Auditors
Sterling House
97 Lichfield Street
Tamworth
Staffordshire
B79 7QF

Money Redress Limited (Registered number: 10483863)

Balance Sheet
31 December 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 4 20,379 42,263

CURRENT ASSETS
Debtors 5 27,030,024 27,252,902
Cash at bank 1,161,571 593,502
28,191,595 27,846,404
CREDITORS
Amounts falling due within one year 6 551,432 682,008
NET CURRENT ASSETS 27,640,163 27,164,396
TOTAL ASSETS LESS CURRENT
LIABILITIES

27,660,542

27,206,659

CREDITORS
Amounts falling due after more than one year 7 (5,500,000 ) (5,500,000 )

PROVISIONS FOR LIABILITIES 9 (5,171,347 ) (5,417,613 )
NET ASSETS 16,989,195 16,289,046

CAPITAL AND RESERVES
Called up share capital 10 1,500,100 1,500,100
Retained earnings 15,489,095 14,788,946
SHAREHOLDERS' FUNDS 16,989,195 16,289,046

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 30 July 2024 and were signed on its behalf by:





C Rutherford - Director


Money Redress Limited (Registered number: 10483863)

Notes to the Financial Statements
for the Year Ended 31 December 2023


1. STATUTORY INFORMATION

Money Redress Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Related party exemption
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.

Critical accounting judgements and key sources of estimation uncertainty
The fair value of receivables for future fee income and the related payables was calculated using a discounted cash flow model. A risk adjusted interest rate relevant to the risk profile of the Company was utilised for discounting. The cash flows for the model were estimated considering the following key assumptions:

- expected fee per claim, based on historic claims experience and pension values;
- number of active claims, based on current claims being processed and claims lodged with regulatory bodies;
- expected claim success rate, based on historic experience for the stage of case completion; and
- expected timing of receipt, based on historic experience and management assessment of future trends.

Turnover
Turnover is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account any direct discounts or write offs.

The company recognises revenue when:
- the amount of revenue can be reliably measured;
- it is probable that future economic benefits will flow to the entity; and
- specific criteria have been met for the company's activities.

Money Redress Limited (Registered number: 10483863)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


2. ACCOUNTING POLICIES - continued

Tangible fixed assets
Tangible fixed assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

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.

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.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Depreciation is charged to write off the cost of assets over their estimated useful lives, as follows:

Office equipment3 years (straight line)
Furniture & fixtures3 years (straight line)
Computer equipment3 years (straight line)

Residual values, estimated useful lives and depreciation rates and methods are reviewed, and adjusted prospectively if required, if there is an indication of a significant change since the last reporting date.

Money Redress Limited (Registered number: 10483863)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


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.

Financial assets are recognised when the company becomes party to the contracts that gives rise to them and are classified as loans or borrowings, receivable, payables, financial instruments fair valued through profit and loss or available for sale financial assets as appropriate. The company determines the classification of its financial assets and liabilities at initial recognition and, where allowed and appropriate, re-evaluate this designation at each financial year end.

Receivables relating to future fee income are classified as Available for Sale. Such receivables are carried at fair value, and the company has elected to recognise changes in the fair value recognised through Other Comprehensive Income as allowed under FRS 102 and will recycle gains to the P&L when they become realised. The associated commission and fees will be classed as Other Financial Liabilities (financial liability) and are carried at amortised cost with movements being recognised through the Profit and Loss account.

The fair value of receivables for future fee income and the related payables is calculated using a discounted cash flow model. A risk adjusted interest rate relevant to the risk profile of the company is utilised for discounting. The cash flows for the model are estimated considering the following key assumptions:

- expected fee per claim;
- number of active claims;
- expected claim success rate; and
- expected timing of receipt.

Financial liabilities are recognised when the company becomes party to the contracts that give rise to them and are classified as loans or borrowings, receivables, payables, financial instruments fair valued through profit and loss or available for sale financial asset as appropriate. The company determines the classification of its financial assets and liabilities at initial recognition and, where allowed and appropriate, re-evaluate this designation at each financial year end.

When financial liabilities are recognised initially, they are measured at fair value, being the transaction price plus and directly attributable transaction costs.


Money Redress Limited (Registered number: 10483863)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


2. ACCOUNTING POLICIES - continued
Taxation
The tax expense for the year comprises current and deferred tax. Tax is recognised in the profit or loss, unless the charge is attributable to an item of income or expense recognised as other comprehensive income or to an item recognised directly in equity, in which case the tax 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.

Deferred tax is calculated at the tax rates that are expected to apply to the year when the asset is realised or the liability is settled based on tax rates that have been enacted or substantively enacted by the reporting date. Deferred tax liabilities are recognised in respect of all timing differences that exist at the reporting date. Timing differences are differences between taxable profits and total comprehensive income that arise from the inclusion of income and expenses in tax assessments in different years from their recognition in the financial statements.

Deferred tax assets are recognised only to the extent that it is probable that they will be recovered by the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies
In preparing the financial statements of the company, transactions in currencies other than the functional currency of sterling are recognised at the spot rate at the dates of the transactions, or at an average rate where this rate approximates the actual rate at the date of the transaction.

Operating leases and lease incentives
Leases where substantially all risks and rewards incidental to ownership are retained by the lessors are classified as operating leases. Payments made under operating leases (net of any incentives received from the lessors) are recognised in profit or loss on a straight-line basis over the period of the lease.

Incentives received to enter into an operating lease are credited to the profit and loss account, to reduce the lease expense, on a straight-line basis over the period of the lease.

Employee and retirement 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.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Contributions to the Company's defined contribution pension scheme are charged to profit or loss in the year in which they become payable. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments.

Going concern
As described in the Directors' Report, the Group has a significant net asset position for the year ended 31 December 2023. The Group has built up a sizeable pipeline of work which is expected to continue to generate positive cashflows and profitability over the next 4 years. After making enquiries, the board have a reasonable expectation that the company has adequate resources to continue in operational existence for the next 12 months. The Company therefore continues to adopt the going concern basis in preparing its financial statements.

Government grants
Under the performance model of grant accounting, the grant funding is released to the profit and loss account in full in the year the conditions of the grant funding had been met.

Money Redress Limited (Registered number: 10483863)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


2. ACCOUNTING POLICIES - continued

Borrowings
Interest-bearing borrowings are initially recorded at fair value and subsequently measured at amortised cost.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

3. EMPLOYEES AND DIRECTORS

The average number of employees during the year was 20 (2022 - 22 ) .

4. TANGIBLE FIXED ASSETS
Plant and
machinery
etc
£   
COST
At 1 January 2023 288,834
Additions 3,803
At 31 December 2023 292,637
DEPRECIATION
At 1 January 2023 246,571
Charge for year 25,687
At 31 December 2023 272,258
NET BOOK VALUE
At 31 December 2023 20,379
At 31 December 2022 42,263

5. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 248,996 214,520
Amounts owed by group undertakings 6,108,387 5,217,097
Other debtors 20,672,641 21,821,285
27,030,024 27,252,902

Money Redress Limited (Registered number: 10483863)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


6. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Loans and other borrowings 4,934 -
Trade creditors 161,147 162,066
Amounts owed to group undertakings 56,263 -
Taxation and social security 105,198 207,094
Other creditors 223,890 312,848
551,432 682,008

7. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2023 2022
£    £   
Other creditors 5,500,000 5,500,000

The £5.5m 'other creditor' noted above is entirely represented by Redeemable Preference Shares.

8. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2023 2022
£    £   
Within one year 6,000 15,840
Between one and five years - 6,600
6,000 22,440

9. PROVISIONS FOR LIABILITIES
2023 2022
£    £   
Deferred tax 5,171,347 5,417,613

Deferred
tax
£   
Balance at 1 January 2023 5,417,613
Credit to Income Statement during year (5,471 )
Other comprehensive income (240,795 )
Balance at 31 December 2023 5,171,347

10. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
1,500,100 Ordinary £1 1,500,100 1,500,100

Money Redress Limited (Registered number: 10483863)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


10. CALLED UP SHARE CAPITAL - continued

The Ordinary shares each carry one voting right.

Preference shares

Number:Class:Nominal 2023 2022
value:
£ £
5,500,000Preference B shares£15,500,0005,500,000

11. DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Darren Barlow FCCA (Senior Statutory Auditor)
for and on behalf of Haines Watts Tamworth Limited

12. ULTIMATE CONTROLLING PARTY

The ultimate parent undertaking is Rothley Group Limited, which owns 99.95% of the issued share capital of Rothley Holdings Limited, the immediate parent company of Money Redress Limited.

Copies of the Rothley Group Limited consolidated financial statements can be obtained from the company directors at Vantage Park, 22 High View Close, Leicester. LE4 9LJ.