Company registration number 02263381 (England and Wales)
TANGMERE AIRFIELD NURSERIES LTD
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
TANGMERE AIRFIELD NURSERIES LTD
COMPANY INFORMATION
Director
Mr D Houweling
Secretary
Mr R D Searle
Company number
02263381
Registered office
The Old Airfield
City Fields Way
Tangmere
Chichester
West Sussex
PO20 2FT
Auditor
Sumer Audit
Amelia House
Crescent Road
Worthing
West Sussex
BN11 1RL
TANGMERE AIRFIELD NURSERIES LTD
CONTENTS
Page
Strategic report
1
Director's report
2 - 3
Director's responsibilities statement
4
Independent auditor's report
5 - 7
Statement of comprehensive income
8
Balance sheet
9
Statement of changes in equity
10
Notes to the financial statements
11 - 20
TANGMERE AIRFIELD NURSERIES LTD
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -

The director presents the strategic report for the year ended 31 December 2023.

Business review and financial KPIs

 

Turnover:

Turnover reduced by 2.8% due to a combination of a 4% reduction in volume sold, coupled with a 2% improvement in the sales mix. This resulted in an improved average sales price as the quality of our production meant that a greater proportion was sold to our primary customers.

 

Gross profit margin:

2023 has seen an important improvement in our gross profitability verses the previous years challenging results. This has arisen due to the cost of primary inputs levelling out and reducing in some areas, for example gas. We have worked hard to reduce the number of labour hours consumed, by investment in automation and process changes. The business has also obtained improved sales prices that better reflect the inflationary pressures prevalent in the global economy.

 

Net profit percentage:

The net profit percentage shows a slight improvement, which reflects the actions taken to improve the gross profit margin.

Principal risks and uncertainties

 

Factors affecting crop performance

Operating in the horticultural industry has an inherent risk associated with the health of the crop. The major focus of the group is around using industry leading integrated crop management techniques to ensure the best possible growing environment is maintained.

 

Energy prices

The crop requires significant heat, particularly during the colder months, and also needs CO2 all year round. This results in exposure to gas and electric prices. The group works closely with its energy partners to ensure a flexible and dynamic relationship, that capitalises on opportunities, positive price fluctuations, and aims to minimise the exposure to adverse prices. This approach helps to minimise the degree of uncertainty inherent in the energy market.

 

Euro Exchange rate

The group makes significant purchases in Euros throughout each year. The group closely monitors rate movements and utilises hedging techniques to obtain elements of certainty.

On behalf of the board

Mr D Houweling
Director
19 September 2024
TANGMERE AIRFIELD NURSERIES LTD
DIRECTOR'S REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -

The director presents his annual report and financial statements for the year ended 31 December 2023.

Principal activities

The principal activity of the company continued to be that of nurserymen and market gardeners, growing, packing and distributing peppers.

Results and dividends

The results for the year are set out on page 8.

No ordinary dividends were paid. The director does not recommend payment of a final dividend.

Director

The director who held office during the year and up to the date of signature of the financial statements was as follows:

Mr D Houweling
Financial instruments
Liquidity risk

The company manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the company has sufficient liquid resources to meet the operating needs of the business.

Foreign currency risk

The company’s principal foreign currency exposures arise from trading with overseas companies. Company policy permits but does not demand that these exposures may be hedged in order to fix the cost in Sterling. This hedging activity involves the use of foreign exchange forward contracts.

Credit risk

Investments of cash surpluses, borrowings and derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board.

Research and development

The company aims to maximise crop yields. Research and development is carried out on identifying ways in which yield could be improved.

Future developments

The company faces continued price pressure and as such needs to adapt to maintain margins. The company continues to make changes to its energy management, developing new growing techniques and varieties and improvement to its packing operation. During the year the business invested heavily in AGVs (automated guided vehicles) and commenced a project to modernise the packhouse building.

Auditor

The auditor, Sumer Audit, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

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 director has individually taken all the necessary steps that they ought to have taken as a director in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

TANGMERE AIRFIELD NURSERIES LTD
DIRECTOR'S REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -
On behalf of the board
Mr D Houweling
Director
19 September 2024
TANGMERE AIRFIELD NURSERIES LTD
DIRECTOR'S RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 4 -

The director is responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

 

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is required to:

 

 

The director is 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. He is 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.

TANGMERE AIRFIELD NURSERIES LTD
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF TANGMERE AIRFIELD NURSERIES LTD
- 5 -
Opinion

We have audited the financial statements of Tangmere Airfield Nurseries Ltd (the 'company') for the year ended 31 December 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:

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 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 director's 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 director 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 auditor's report thereon. The director is 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:

TANGMERE AIRFIELD NURSERIES LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF TANGMERE AIRFIELD NURSERIES LTD
- 6 -
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 director's 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:

Responsibilities of director

As explained more fully in the director's responsibilities statement, the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or has 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.

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.

 

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

 

 

As a result of these procedures, we considered the opportunities and incentives that may exist within the company for fraud. We are also required to perform specific procedures to respond to the risk of management override. As a result of performing the above, we identified the following areas as those most likely to have an impact on the financial statements: health & safety, employment law, and compliance with the UK Companies Act.

TANGMERE AIRFIELD NURSERIES LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF TANGMERE AIRFIELD NURSERIES LTD
- 7 -

In addition to the above, our procedures to respond to risks identified included the following:

 

 

Due to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). For instance, the further removed non-compliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it or to recognise the non-compliance.

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.

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 him 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.

Alex Chidwick FCCA (Senior Statutory Auditor)
For and on behalf of Sumer Audit
20 September 2024
Chartered Accountants
Statutory Auditor
Worthing
Sumer Audit is the trading name of Sumer Auditco Limited
TANGMERE AIRFIELD NURSERIES LTD
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 8 -
2023
2022
£
£
Turnover
3
22,081,315
22,716,856
Cost of sales
(21,114,905)
(22,925,323)
Gross profit/(loss)
966,410
(208,467)
Administrative expenses
(2,903,394)
(2,274,975)
Other operating income
2,612,988
2,733,723
Operating profit
4
676,004
250,281
Interest receivable and similar income
304,342
90,972
Interest payable and similar expenses
-
0
(2,755)
Gain/(loss) on financial assets held at fair value through profit and loss
(3,546)
192,295
Profit before taxation
976,800
530,793
Tax on profit
7
36,748
174,710
Profit for the financial year
1,013,548
705,503
The statement of comprehensive income was prepared on the basis that all operations are continuing operations.
TANGMERE AIRFIELD NURSERIES LTD
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 9 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
8
7,689,848
7,551,752
Investments
9
1,392,620
1,392,620
9,082,468
8,944,372
Current assets
Stocks
11
2,579,451
2,955,357
Debtors
12
6,005,217
8,314,186
Cash at bank and in hand
13,514,940
9,821,178
22,099,608
21,090,721
Creditors: amounts falling due within one year
13
(2,289,838)
(2,053,703)
Net current assets
19,809,770
19,037,018
Total assets less current liabilities
28,892,238
27,981,390
Provisions for liabilities
Deferred tax liability
14
1,024,500
1,127,200
(1,024,500)
(1,127,200)
Net assets
27,867,738
26,854,190
Capital and reserves
Called up share capital
16
100,000
100,000
Profit and loss reserves
27,767,738
26,754,190
Total equity
27,867,738
26,854,190

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved and signed by the director and authorised for issue on 19 September 2024
Mr D Houweling
Director
Company registration number 02263381 (England and Wales)
TANGMERE AIRFIELD NURSERIES LTD
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 January 2022
100,000
26,048,687
26,148,687
Year ended 31 December 2022:
Profit and total comprehensive income
-
705,503
705,503
Balance at 31 December 2022
100,000
26,754,190
26,854,190
Year ended 31 December 2023:
Profit and total comprehensive income
-
1,013,548
1,013,548
Balance at 31 December 2023
100,000
27,767,738
27,867,738
TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
1
Accounting policies
Company information

Tangmere Airfield Nurseries Ltd is a private company limited by shares incorporated in England and Wales. The registered office is The Old Airfield, City Fields Way, Tangmere, Chichester, West Sussex, PO20 2FT.

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 £1.

The financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. 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:

 

 

The company has taken advantage of the exemption under section 400 of the Companies Act 2006 not to prepare consolidated accounts. The financial statements present information about the company as an individual entity and not about its group.

1.2
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. The directors have considered relevant information, including the company’s principal risks and uncertainties, the annual budget, forecast future cash flows and the impact of subsequent events in making their assessment. Based on these assessments and having regard to the resources available to the entity, the directors have concluded that there is no material uncertainty and that they can continue to adopt the going concern basis in preparing the annual report and financial statements.true

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods 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 trade discounts, settlement discounts and volume rebates.

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.4
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.

TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 12 -

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

Leasehold buildings
4% and 4.5% per annum on a straight line basis
Plant and machinery
10% and 20% per annum on a straight line basis
Motor vehicles
25% per annum on a diminishing balance basis

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 recognised in the profit and loss account.

1.5
Fixed asset investments

Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

1.6
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.

1.7
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. Cost is based on the cost of purchase on a first in, first out basis.

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.

Work in progress represents the crop that will be harvested in the next financial period when it matures. The crop sold in the current financial year is completely harvested in the year and next year's crop is planted after a period of preparation. There is a distinguishable period between the old crop ending and a new one being planted, therefore it is appropriate for all direct costs that are incurred after this period to be included in the year end valuation for work in progress. Direct costs include: greenhouse preparation costs, plants and materials and direct labour in relation to preparation and planting.

1.8
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include deposits held at call with banks.

1.9
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.

TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 13 -
Basic financial assets

Basic financial assets, which include trade and other 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.

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.

Basic financial liabilities

Basic financial liabilities, including trade and other creditors, 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.

Derecognition of financial liabilities

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

1.10
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.

1.11
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.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

1.12
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.

1.13
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 14 -
1.14
Foreign exchange

Transactions in currencies other than pounds Sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

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.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Tangible fixed assets

The company leases the land from which it trades from a company under common control. Whilst there is no formal lease in place, the shareholders have confirmed that they intend to continue to lease the land to the company for a period in excess of the remaining useful lives of all tangible fixed assets. On this basis the directors do not believe any impairment, or changes to the accounting estimates in relation to depreciation, of fixed assets are required.

3
Turnover and other revenue
2023
2022
£
£
Turnover analysed by class of business
Sale of goods
22,081,315
22,716,856

An analysis of significant classes of turnover has not been provided as it is the opinion of the director that to do so would be seriously prejudicial to the company's interest.

 

In the current and comparative period, all turnover arose within the United Kingdom.

4
Operating profit
2023
2022
Operating profit for the year is stated after charging:
£
£
Fees payable to the company's auditor for the audit of the company's financial statements
20,000
17,500
Depreciation of owned tangible fixed assets
979,652
999,465
TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 15 -
5
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2023
2022
Number
Number
Production
123
118
Administration and support
11
11
Other departments
5
5
Total
139
134

Their aggregate remuneration comprised:

2023
2022
£
£
Wages and salaries
4,092,478
3,786,032
Social security costs
399,454
388,629
Pension costs
126,398
111,836
4,618,330
4,286,497
6
Director's remuneration
2023
2022
£
£
Remuneration for qualifying services
109,879
108,377
7
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
-
0
(129,960)
Adjustments in respect of prior periods
(35,835)
7,950
Total UK current tax
(35,835)
(122,010)
Adjustments in foreign tax in respect of prior periods
101,787
-
0
Total current tax
65,952
(122,010)
Deferred tax
Origination and reversal of timing differences
(102,700)
(52,700)
Total tax credit
(36,748)
(174,710)
TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
7
Taxation
(Continued)
- 16 -

The actual credit 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
976,800
530,793
Expected tax charge based on the standard rate of corporation tax in the UK of 19.00% (2022: 19.00%)
185,592
100,851
Tax effect of expenses that are not deductible in determining taxable profit
3,002
5,237
Adjustments in respect of prior years
35,835
7,950
Depreciation on assets not qualifying for tax allowances
1,660
1,959
Research and development tax credit
(260,601)
(296,400)
Dividend income
(9)
(7)
Other differences leading to an increase (decrease) in the tax charge
22,301
(7,552)
Difference between corporation tax and deferred tax rates
(24,528)
13,252
Taxation credit for the year
(36,748)
(174,710)
8
Tangible fixed assets
Leasehold buildings
Plant and machinery
Motor vehicles
Total
£
£
£
£
Cost
At 1 January 2023
13,030,382
15,918,702
51,961
29,001,045
Additions
-
0
1,117,748
-
0
1,117,748
At 31 December 2023
13,030,382
17,036,450
51,961
30,118,793
Depreciation and impairment
At 1 January 2023
7,967,741
13,461,266
20,286
21,449,293
Depreciation charged in the year
411,727
560,006
7,919
979,652
At 31 December 2023
8,379,468
14,021,272
28,205
22,428,945
Carrying amount
At 31 December 2023
4,650,914
3,015,178
23,756
7,689,848
At 31 December 2022
5,062,641
2,457,436
31,675
7,551,752

There is a fixed and floating debenture and first legal charge secured over all leasehold property. Also provided is a fixed charge over book and other debts, chattels, goodwill and uncalled capital both present and in the future.

TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 17 -
9
Fixed asset investments
2023
2022
Notes
£
£
Investments in subsidiaries
10
1,391,631
1,391,631
Listed investments
989
989
1,392,620
1,392,620
Movements in fixed asset investments
Shares in subsidiaries
Other investments
Total
£
£
£
Cost or valuation
At 1 January 2023 & 31 December 2023
1,391,631
989
1,392,620
Carrying amount
At 31 December 2023
1,391,631
989
1,392,620
At 31 December 2022
1,391,631
989
1,392,620
10
Subsidiaries

Details of the company's subsidiaries at 31 December 2023 are as follows:

Name of undertaking
Address
Class of
% Held
shares held
Direct
Finca de Pela P.L.
1
Ordinary
100.00
Tangmere Airfield Nurseries Marketing Ltd
2
Ordinary
100.00

Registered office addresses (all UK unless otherwise indicated):

1
Ctra. Nacional 430 Km.141, Navalvillar de Pela (Badajoz), Spain
2
The Old Airfield, City Fields Way, Tangmere, Chichester, PO20 2FT, United Kingdom
11
Stocks
2023
2022
£
£
Raw materials and consumables
556,467
689,285
Work in progress (crop valuation)
2,022,984
2,266,072
2,579,451
2,955,357
TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 18 -
12
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
364,407
770,799
Corporation tax recoverable
238,543
284,154
Amounts owed by group undertakings
1,387,129
403,744
Other debtors
794,372
2,192,909
Prepayments and accrued income
1,024,624
2,397,100
3,809,075
6,048,706
2023
2022
Amounts falling due after more than one year:
£
£
Amounts owed by group undertakings
2,196,142
2,265,480
Total debtors
6,005,217
8,314,186
13
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
771,594
927,492
Amounts owed to group undertakings
991,565
-
0
Taxation and social security
106,081
92,178
Other creditors
198,924
616,634
Accruals and deferred income
221,674
417,399
2,289,838
2,053,703

 

14
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Liabilities
Liabilities
2023
2022
Balances:
£
£
Accelerated capital allowances
1,237,800
1,122,100
Tax losses
(207,500)
-
Retirement benefit obligations
(5,800)
5,100
1,024,500
1,127,200
TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
14
Deferred taxation
(Continued)
- 19 -
2023
Movements in the year:
£
Liability at 1 January 2023
1,127,200
Credit to profit or loss
(102,700)
Liability at 31 December 2023
1,024,500
15
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
126,398
111,836

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.

16
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100,000
100,000
100,000
100,000

All of the ordinary shares carry full voting, dividend and capital distribution (including on winding up) rights.

17
Operating lease commitments

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
9,470
9,470
Between two and five years
15,784
25,254
25,254
34,724
TANGMERE AIRFIELD NURSERIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 20 -
18
Related party transactions

Summary of transactions with other related parties

 

During the year the company provided management services to a company of which one of its shareholders is a director. The value of these services was £60,000 (2022 - £50,000) and services were also received from this company totalling £1,324,706 (2022 - £2,671,777). At the balance sheet date the amount the company owed totalled £15,092 (2022 - £92,907) and this amount is included within other creditors.

 

During the year the company provided services to a company under common control totalling £2,559,163 (2022 - £2,667,937) and also received services from this company totalling £3,965,648 (2022 - £2,640,772). At the balance sheet date the company was due £566,491 (2022 - £1,891,842) and this amount is included within prepayments and accrued income. The company also owed £267,799 (2022 - £302,389) included within accruals and deferred income and other creditors, to this connected company. There has been a restatement to the prior year figures due to some reclassification of postings relating to services provided and received during the year, this has affected this disclosure only.

 

During the year the company received services from a company under common control totalling £1,000,000 (2022 - £1,000,000). At the balance sheet the amount due from this company totalled £Nil (2022 - £1,997,603) and this amount was included within other debtors.

 

At the balance sheet date a shareholder of the ultimate parent company had an unsecured loan owed by the company of £14,470 (2022 - £37,456) and this amount is included within other creditors. No interest is charged on this balance.

19
Directors' transactions

The unsecured directors loan is not subject to an interest charge and is repayable on demand.

Description
% Rate
Opening balance
Amounts advanced
Amounts repaid
Closing balance
£
£
£
£
Mr D Houweling -
-
(47,906)
781,856
(750,000)
(16,050)
(47,906)
781,856
(750,000)
(16,050)
20
Ultimate controlling party

The immediate and ultimate parent company is The Old Airfield Tangmere Holdings Limited, a company incorporated in England and Wales. The registered office is The Old Airfield, City Fields Way, Tangmere, Chichester, West Sussex, PO20 2FT.

 

The Old Airfield Tangmere Holdings Limited prepares consolidated financial statements and copies can be obtained from Companies House.

The ultimate controlling party is Mr D Houweling.

2023-12-312023-01-01falseCCH SoftwareCCH Accounts Production 2024.200Mr D HouwelingMr R D Searlefalsefalse022633812023-01-012023-12-3102263381bus:Director12023-01-012023-12-3102263381bus:CompanySecretary12023-01-012023-12-3102263381bus:RegisteredOffice2023-01-012023-12-31022633812023-12-31022633812022-01-012022-12-3102263381core:RetainedEarningsAccumulatedLosses2022-01-012022-12-3102263381core:RetainedEarningsAccumulatedLosses2023-01-012023-12-31022633812022-12-3102263381core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-12-3102263381core:PlantMachinery2023-12-3102263381core:MotorVehicles2023-12-3102263381core:LandBuildingscore:LeasedAssetsHeldAsLessee2022-12-3102263381core:PlantMachinery2022-12-3102263381core:MotorVehicles2022-12-3102263381core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3102263381core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-3102263381core:CurrentFinancialInstruments2023-12-3102263381core:CurrentFinancialInstruments2022-12-3102263381core:ShareCapital2023-12-3102263381core:ShareCapital2022-12-3102263381core:RetainedEarningsAccumulatedLosses2023-12-3102263381core:RetainedEarningsAccumulatedLosses2022-12-3102263381core:ShareCapital2021-12-3102263381core:RetainedEarningsAccumulatedLosses2021-12-3102263381core:LandBuildingscore:LongLeaseholdAssets2023-01-012023-12-3102263381core:PlantMachinery2023-01-012023-12-3102263381core:MotorVehicles2023-01-012023-12-3102263381core:UKTax2023-01-012023-12-3102263381core:UKTax2022-01-012022-12-3102263381core:ForeignTax2023-01-012023-12-3102263381core:ForeignTax2022-01-012022-12-310226338112023-01-012023-12-310226338112022-01-012022-12-310226338122023-01-012023-12-310226338122022-01-012022-12-310226338132023-01-012023-12-310226338132022-01-012022-12-3102263381core:LandBuildingscore:LeasedAssetsHeldAsLessee2022-12-3102263381core:PlantMachinery2022-12-3102263381core:MotorVehicles2022-12-31022633812022-12-3102263381core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-01-012023-12-3102263381core:Non-currentFinancialInstruments2023-12-3102263381core:Non-currentFinancialInstruments2022-12-3102263381core:Non-currentFinancialInstrumentscore:ListedExchangeTraded2023-12-3102263381core:Non-currentFinancialInstrumentscore:ListedExchangeTraded2022-12-3102263381core:Subsidiary12023-01-012023-12-3102263381core:Subsidiary22023-01-012023-12-3102263381core:Subsidiary112023-01-012023-12-3102263381core:Subsidiary212023-01-012023-12-3102263381core:AfterOneYear2023-12-3102263381core:AfterOneYear2022-12-3102263381core:WithinOneYear2023-12-3102263381core:WithinOneYear2022-12-3102263381core:BetweenTwoFiveYears2023-12-3102263381core:BetweenTwoFiveYears2022-12-3102263381bus:PrivateLimitedCompanyLtd2023-01-012023-12-3102263381bus:FRS1022023-01-012023-12-3102263381bus:Audited2023-01-012023-12-3102263381bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP