Company Registration No. 05609443 (England and Wales)
CITYHEART LIMITED
ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
CITYHEART LIMITED
COMPANY INFORMATION
Directors
Mr William Mark McNamee
Mr Warren Thomas Taylor
Mr Asif Ausaf abbas
(Appointed 6 November 2023)
Mr Jonathan Hayes Wrigley
(Appointed 6 November 2023)
Secretary
Mr Jeffrey Andrew Gillbanks
Company number
05609443
Registered office
2 Hilliards Court
Chester Business Park
Chester
Cheshire
CH4 9QP
Auditor
Haines Watts Chester
Military House
24 Castle Street
Chester
CH1 2DS
CITYHEART LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditor's report
4 - 6
Profit and loss account
7
Group statement of comprehensive income
8
Group balance sheet
9
Company balance sheet
10
Group statement of changes in equity
11
Company statement of changes in equity
12
Group statement of cash flows
13
Notes to the financial statements
14 - 32
CITYHEART LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -

The directors present the strategic report for the year ended 31 December 2023.

Buisness review

The group continued its principle activities for the year. As reported in the profit and loss account, loss after tax was £2,509,839 (2022: £184,151 loss). The balance sheet shows that the net assets have moved from £9,789,726 to £14,012,033.

Principal risks and uncertainties

The director monitors the key risks facing the Company along with the controls used for managing these risks.

 

The principal risks and uncertainties are as follows:

 

Economic downturn leading to a reduced level in activity in the property market. The overheads of the business are carefully managed and monitored. A reduction in activity in the market will be regularly assessed and the overhead base adjusted accordingly.

 

Loss of key personnel which would lead to a significant although temporary set back with the use of key man insurance products to cushion the costs of seeking and employing an adequate replacement.

On behalf of the board

Mr William Mark McNamee
Director
25 September 2024
CITYHEART LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -

The directors present their annual report and financial statements for the year ended 31 December 2023.

Principal activities

The principal activity of the company and group continued to be that of property development and consultancy.

Results and dividends

The results for the year are set out on page 7.

No ordinary dividends were paid. The directors do not recommend payment of a further dividend.

Preference dividends were paid amounting to £140,601. The directors do not recommend payment of a final dividend.

Directors

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

Mr William Mark McNamee
Mr Warren Thomas Taylor
Mr Wasim Wali Choudhury
(Resigned 28 August 2024)
Mr Asif Ausaf abbas
(Appointed 6 November 2023)
Mr Jonathan Hayes Wrigley
(Appointed 6 November 2023)
Auditor

Haines Watts Chester were appointed as auditor to the group and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be re-appointed will be put at a General Meeting.

Strategic report

The truegroup has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the group's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect of risks and business performance.

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 auditor of the company 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 auditor of the company is aware of that information.

Small companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

On behalf of the board
Mr William Mark McNamee
Director
25 September 2024
CITYHEART LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -

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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

CITYHEART LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF CITYHEART LIMITED
- 4 -
Opinion

We have audited the financial statements of Cityheart Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows 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 group and parent 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 group's and parent 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.

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 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:

CITYHEART LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF CITYHEART LIMITED
- 5 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the directors' report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

 

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 parent 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 parent 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.

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.

Enquiries of management and those charged with governance were held in order to identify any laws and regulations that could be expected to have a material impact on the financial statements. Throughout the audit, the team were updated with the outcomes of these enquiries including consideration as to where and how fraud may occur in the company.

 

The audit procedures undertaken to address any potential risk in relation to irregularities (which include fraud and non-compliance with laws and regulations) included: enquiries of management and those charged with governance on how the company complies with relevant laws, regulations and any cases of actual or potential litigation or claims; examination of appropriate legal correspondence; testing of journal entries for appropriateness; and analytical procedures on account balances to identify variances against expectation which may show indications of fraud.

 

No instances of material non-compliance were identified, although the prospect of detecting irregularities, including fraud, is inherently difficult. This is due to; difficulty in detecting irregularities; limits imposed by the effectiveness of the entity’s controls; and the nature, timing and extent of the audit procedures performed. Irregularities as a result of fraud are inherently more difficult to detect than those resulting from error. Despite this, the audit has being planned and performed in accordance with ISAs (UK), there is an unavoidable risk that material misstatements may not be detected.

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.

CITYHEART LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF CITYHEART LIMITED
- 6 -

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an 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.

Michael Forshaw FCA (Senior Statutory Auditor)
For and on behalf of Haines Watts Chester
25 September 2024
Accountants
Statutory Auditor
Military House
24 Castle Street
Chester
CH1 2DS
CITYHEART LIMITED
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
Year
Period
ended
ended
31 December
2023
31 December 2022
Notes
£
£
Turnover
3
17,873,183
22,049,843
Cost of sales
(18,401,561)
(20,648,440)
Gross (loss)/profit
(528,378)
1,401,403
Administrative expenses
(2,263,629)
(1,351,549)
Other operating income
222,936
71,372
Exceptional item
4
-
0
(444,072)
Operating loss
5
(2,569,071)
(322,846)
Share of profits of joint ventures
55,209
56,250
Interest receivable and similar income
8
10,565
96,436
Interest payable and similar expenses
9
(64)
(14,107)
Loss before taxation
(2,503,361)
(184,267)
Tax on loss
10
(1,478)
116
Loss for the financial year
(2,504,839)
(184,151)
Loss for the financial year is all attributable to the owners of the parent company.
CITYHEART LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 8 -
Year
Period
ended
ended
31 December
2023
31 December 2022
£
£
Loss for the year
(2,504,839)
(184,151)
Other comprehensive income
-
-
Total comprehensive income for the year
(2,504,839)
(184,151)
Total comprehensive income for the year is all attributable to the owners of the parent company.
CITYHEART LIMITED
GROUP BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 9 -
31 December 2023
31 December 2022
Notes
£
£
£
£
Fixed assets
Intangible assets
12
2,875
2,875
Tangible assets
13
16,847
10,934
Investments
14
157,895
157,895
177,617
171,704
Current assets
Debtors
19
15,284,042
14,122,998
Cash at bank and in hand
2,568,439
517,818
17,852,481
14,640,816
Creditors: amounts falling due within one year
20
(3,335,190)
(4,008,133)
Net current assets
14,517,291
10,632,683
Total assets less current liabilities
14,694,908
10,804,387
Creditors: amounts falling due after more than one year
21
(678,664)
(1,011,928)
Provisions for liabilities
Deferred tax liability
22
4,211
2,733
(4,211)
(2,733)
Net assets
14,012,033
9,789,726
Capital and reserves
Called up share capital
25
13,818,294
6,950,547
Profit and loss reserves
193,739
2,839,179
Total equity
14,012,033
9,789,726
The financial statements were approved by the board of directors and authorised for issue on 25 September 2024 and are signed on its behalf by:
25 September 2024
Mr William Mark McNamee
Director
Company registration number 05609443 (England and Wales)
CITYHEART LIMITED
COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2023
31 December 2023
- 10 -
31 December 2023
31 December 2022
Notes
£
£
£
£
Fixed assets
Intangible assets
12
2,875
2,875
Tangible assets
13
16,847
10,934
Investments
14
158,098
158,098
177,820
171,907
Current assets
Debtors
19
14,588,300
11,968,719
Cash at bank and in hand
1,797,258
512,469
16,385,558
12,481,188
Creditors: amounts falling due within one year
20
(2,402,976)
(2,663,976)
Net current assets
13,982,582
9,817,212
Total assets less current liabilities
14,160,402
9,989,119
Creditors: amounts falling due after more than one year
21
(405,664)
(498,484)
Provisions for liabilities
Deferred tax liability
22
4,211
2,733
(4,211)
(2,733)
Net assets
13,750,527
9,487,902
Capital and reserves
Called up share capital
25
13,818,294
6,950,547
Profit and loss reserves
(67,767)
2,537,355
Total equity
13,750,527
9,487,902

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company's loss for the year was £2,464,521 (2022 - £329,926 loss).true

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

The financial statements were approved by the board of directors and authorised for issue on 25 September 2024 and are signed on its behalf by:
25 September 2024
Mr William Mark McNamee
Director
Company registration number 05609443 (England and Wales)
CITYHEART LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 December 2021
100
3,261,038
3,261,138
Period ended 31 December 2022:
Loss and total comprehensive income
-
(184,151)
(184,151)
Issue of share capital
25
6,950,447
-
6,950,447
Dividends
11
-
(237,708)
(237,708)
Balance at 31 December 2022
6,950,547
2,839,179
9,789,726
Year ended 31 December 2023:
Loss and total comprehensive income
-
(2,504,839)
(2,504,839)
Issue of share capital
25
6,867,747
-
6,867,747
Dividends
11
-
(140,601)
(140,601)
Balance at 31 December 2023
13,818,294
193,739
14,012,033
CITYHEART LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 12 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 December 2021
100
3,104,989
3,105,089
Period ended 31 December 2022:
Loss and total comprehensive income for the period
-
(329,926)
(329,926)
Issue of share capital
25
6,950,447
-
6,950,447
Dividends
11
-
(237,708)
(237,708)
Balance at 31 December 2022
6,950,547
2,537,355
9,487,902
Year ended 31 December 2023:
Profit and total comprehensive income
-
(2,464,521)
(2,464,521)
Issue of share capital
25
6,867,747
-
6,867,747
Dividends
11
-
(140,601)
(140,601)
Balance at 31 December 2023
13,818,294
(67,767)
13,750,527
CITYHEART LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 13 -
2023
31 December 2022
Notes
£
£
£
£
Cash flows from operating activities
Cash absorbed by operations
29
(4,732,462)
(6,750,498)
Interest paid
(64)
(14,107)
Income taxes paid
-
0
(49,688)
Net cash outflow from operating activities
(4,732,526)
(6,814,293)
Investing activities
Purchase of tangible fixed assets
(9,773)
-
Share of profits from joint venture
55,209
56,249
Proceeds from disposal of investments
-
100,937
Interest received
10,565
2,079
Dividends received
-
0
94,357
Net cash generated from investing activities
56,001
253,622
Financing activities
Proceeds from issue of shares
6,867,747
6,950,447
Repayment of borrowings
-
(761,387)
Dividends paid to equity shareholders
(140,601)
(237,708)
Net cash generated from financing activities
6,727,146
5,951,352
Net increase/(decrease) in cash and cash equivalents
2,050,621
(609,319)
Cash and cash equivalents at beginning of year
517,818
1,127,137
Cash and cash equivalents at end of year
2,568,439
517,818
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 14 -
1
Accounting policies
Company information

Cityheart Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is 2 Hilliards Court, Chester Business Park, Chester, Cheshire, CH4 9QP.

 

The group consists of Cityheart Limited and all of its subsidiaries.

1.1
Reporting period

The current period financial statements cover the 13 month period from 1 December 2021 to 31 December 2022. The comparative statements cover the 12 month period to 30 November 2021, as a result the figures presented are not entirely comparable. The reporting period was extended in order to align Cityheart with its wider group.

1.2
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.

The 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 for parent company information presented within the consolidated financial statements:

 

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 15 -
1.3
Business combinations

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

1.4
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Cityheart Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 December 2023. Adjustments have been made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group for the comparative figures.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

 

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

 

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

1.5
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group 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.

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 16 -
1.6
Turnover

Turnover on long term contracts is recognised in the profit and loss account as the contract progresses.

Contract turnover includes the value of work completed during the financial period after reference to the total sales value and stage completion of the project and including the settlement of claims arising from previous years.

Profits on long term contracts are calculated in accordance with industry standard accounting practice and do not directly relate to turnover. Profit on current contracts is only taken at the stage near enough to completion for that profit to be reasonably certain. Provision is made for all losses incurred to the accounting date together with any further losses that are foreseen in bringing contract to completion.

Costs for this purpose include valuation of all work done by subcontractors, whether certified or not, and all overheads other than those relating to the general administration of the relevant companies. For any contracts where receipts exceed the book value of work done, the excess is included in creditors as payments on account.

1.7
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

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

Website costs
Straight line over 5 years
1.8
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.

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

Fixtures and fittings
25% reducing balance
Computers
25% reducing balance

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.

1.9
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 17 -

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

 

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.10
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible 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.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

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.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 18 -
1.11
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.12
Financial instruments

The group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and 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.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

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.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

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 group 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.

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 19 -
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 group 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.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

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

1.13
Equity instruments

Equity instruments issued by the group 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 group.

1.14
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 group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 20 -
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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.15
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.

 

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.

1.16
Retirement benefits

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

1.17
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 leased asset are consumed.

2
Judgements and key sources of estimation uncertainty

In the application of the group’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.

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 21 -
3
Turnover and other revenue
2023
31 December 2022
£
£
Other revenue
Interest income
10,565
2,079
Dividends received
-
94,357
Commissions received
-
5,000
4
Exceptional item
2023
31 December 2022
£
£
Expenditure
Legal fees reorganisation
-
444,072
5
Operating loss
2023
31 December 2022
£
£
Operating loss for the year is stated after charging:
Depreciation of owned tangible fixed assets
3,860
4,062
Operating lease charges
51,668
53,868
6
Employees

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

Group
Company
2023
31 December 2022
2023
31 December 2022
Number
Number
Number
Number
9
6
9
6

Their aggregate remuneration comprised:

Group
Company
2023
31 December 2022
2023
31 December 2022
£
£
£
£
Wages and salaries
1,392,231
719,376
1,392,231
719,376
Social security costs
181,706
95,038
181,706
95,038
Pension costs
8,227
72,103
8,227
72,103
1,582,164
886,517
1,582,164
886,517
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 22 -
7
Directors' remuneration
2023
31 December 2022
£
£
Remuneration for qualifying services
479,198
338,156

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 1 (31 December 2022 - 0).

Remuneration disclosed above includes the following amounts paid to the highest paid director:
2023
31 December 2022
£
£
Remuneration for qualifying services
251,042
190,448
8
Interest receivable and similar income
2023
31 December 2022
£
£
Interest income
Interest on bank deposits
10,565
2,079
Other income from investments
Dividends received
-
0
94,357
Total income
10,565
96,436
9
Interest payable and similar expenses
2023
31 December 2022
£
£
Other interest on financial liabilities
64
18
Other interest
-
14,089
Total finance costs
64
14,107
10
Taxation
2023
31 December 2022
£
£
Deferred tax
Origination and reversal of timing differences
1,478
(116)
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
10
Taxation
(Continued)
- 23 -

The actual charge/(credit) for the year can be reconciled to the expected credit for the year based on the profit or loss and the standard rate of tax as follows:

2023
31 December 2022
£
£
Loss before taxation
(2,503,361)
(184,267)
Expected tax credit based on the standard rate of corporation tax in the UK of 25.00% (31 December 2022: 19.00%)
(625,840)
(35,011)
Tax effect of expenses that are not deductible in determining taxable profit
3,219
544
Unutilised tax losses carried forward
625,290
51,623
Permanent capital allowances in excess of depreciation
(2,492)
-
Depreciation on assets not qualifying for tax allowances
965
772
Dividend income
-
(17,928)
Deferred Tax
1,478
(116)
Taxation charge/(credit)
2,620
(116)
Taxation charge/(credit) in the financial statements
1,478
(116)
Reconciliation - the current year tax charge does not reconcile to the above analysis.  Please review figures in the database.
1,142
-
11
Dividends
2023
31 December 2022
Recognised as distributions to equity holders:
£
£
Final paid
140,601
-
Interim paid
-
237,708
140,601
237,708
12
Intangible fixed assets
Group
Website costs
£
Cost
At 1 January 2023 and 31 December 2023
2,875
Amortisation and impairment
At 1 January 2023 and 31 December 2023
-
0
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
12
Intangible fixed assets
(Continued)
- 24 -
Carrying amount
At 31 December 2023
2,875
At 31 December 2022
2,875
Company
Website costs
£
Cost
At 1 January 2023 and 31 December 2023
2,875
Amortisation and impairment
At 1 January 2023 and 31 December 2023
-
0
Carrying amount
At 31 December 2023
2,875
At 31 December 2022
2,875
13
Tangible fixed assets
Group
Fixtures and fittings
Computers
Total
£
£
£
Cost
At 1 January 2023
14,437
39,389
53,826
Additions
1,849
7,924
9,773
At 31 December 2023
16,286
47,313
63,599
Depreciation and impairment
At 1 January 2023
10,275
32,617
42,892
Depreciation charged in the year
1,288
2,572
3,860
At 31 December 2023
11,563
35,189
46,752
Carrying amount
At 31 December 2023
4,723
12,124
16,847
At 31 December 2022
4,162
6,772
10,934
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
13
Tangible fixed assets
(Continued)
- 25 -
Company
Fixtures and fittings
Computers
Total
£
£
£
Cost
At 1 January 2023
14,437
39,389
53,826
Additions
1,849
7,924
9,773
At 31 December 2023
16,286
47,313
63,599
Depreciation and impairment
At 1 January 2023
10,275
32,617
42,892
Depreciation charged in the year
1,288
2,572
3,860
At 31 December 2023
11,563
35,189
46,752
Carrying amount
At 31 December 2023
4,723
12,124
16,847
At 31 December 2022
4,162
6,772
10,934
14
Fixed asset investments
Group
Company
2023
31 December 2022
2023
31 December 2022
Notes
£
£
£
£
Investments in subsidiaries
15
-
0
-
0
203
203
Investments in joint ventures
16
3
3
3
3
Unlisted investments
157,892
157,892
157,892
157,892
157,895
157,895
158,098
158,098
Movements in fixed asset investments
Group
Shares in joint ventures
Other investments
Total
£
£
£
Cost or valuation
At 1 January 2023 and 31 December 2023
3
157,892
157,895
Carrying amount
At 31 December 2023
3
157,892
157,895
At 31 December 2022
3
157,892
157,895
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
14
Fixed asset investments
(Continued)
- 26 -
Movements in fixed asset investments
Company
Shares in subsidiaries and joint ventures
Other investments
Total
£
£
£
Cost or valuation
At 1 January 2023 and 31 December 2023
206
157,892
158,098
Carrying amount
At 31 December 2023
206
157,892
158,098
At 31 December 2022
206
157,892
158,098
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 27 -
15
Subsidiaries

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

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Indirect
Cityheart Developments Limited
2 Hilliards Court, Chester Buisness Park, Chester, CH4 9PX
Ordinary
100.00
-
Cityheart (Kingston) Limited
2 Hilliards Court, Chester Buisness Park, Chester, CH4 9PX
Ordinary
100.00
-
Cityheart Care Limited
2 Hilliards Court, Chester Buisness Park, Chester, CH4 9PX
Ordinary
100.00
-
Cityheart Homes Ltd
2 Hilliards Court, Chester Buisness Park, Chester, CH4 9PX
Ordinary
100.00
-
Cityheart Homes (RGV) Limited
Parkers Court, Shipgate Street, Chester, CH1 1RT
Ordinary
-
100.00
16
Joint ventures

Details of joint ventures at 31 December 2023 are as follows:

Name of undertaking
Registered office
Interest
% Held
held
Direct
Continuing Care Communities Ltd
20 Market Street, Altrincham, Cheshire, WA14 1PF
Ordinary
50.00
JR Cityheart Limited
5 Sandycroft road, Paisley, Scotland, PA3 4HP
Ordinary
50.00
HBV Cityheart Limited
Suite 1, 25 King Street, Knutsford, England, WA16 6DW
Ordinary
50.00
17
Investments in other entities

The company is also a partner in Santes Fair Management LLP and CityRise Interchange Homes LLP. The latest accounts have been filed with the registrar.

18
Financial instruments
Group
Company
2023
31 December 2022
2023
31 December 2022
£
£
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
13,574,008
5,126,968
n/a
n/a
Equity instruments measured at cost less impairment
157,892
157,892
n/a
n/a
Carrying amount of financial liabilities
Measured at amortised cost
3,823,419
4,835,719
n/a
n/a

As permitted by the reduced disclosure framework within FRS 102, the company has taken advantage of the exemption from disclosing the carrying amount of certain classes of financial instruments, denoted by 'n/a' above.

 

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 28 -
19
Debtors
Group
Company
2023
31 December 2022
2023
31 December 2022
Amounts falling due within one year:
£
£
£
£
Trade debtors
334,690
975,257
334,690
371,852
Gross amounts owed by contract customers
1
5,858,999
-
0
-
0
Corporation tax recoverable
6,068
6,068
6,068
6,068
Amounts owed by group undertakings
-
-
7,953,703
4,984,466
Other debtors
13,969,578
2,822,255
5,542,677
2,822,255
Prepayments and accrued income
206,648
3,454,961
173,230
3,130,963
14,516,985
13,117,540
14,010,368
11,315,604
Amounts falling due after more than one year:
Other debtors
767,057
1,005,458
577,932
653,115
Total debtors
15,284,042
14,122,998
14,588,300
11,968,719
20
Creditors: amounts falling due within one year
Group
Company
2023
31 December 2022
2023
31 December 2022
Notes
£
£
£
£
Trade creditors
1,605,319
2,034,668
682,344
1,282,263
Amounts owed to group undertakings
1,500,000
-
0
1,500,000
-
0
Other taxation and social security
71,871
184,342
71,871
179,460
Deferred income
23
118,564
-
0
118,564
-
0
Other creditors
4,347
2,613
3,347
1,613
Accruals and deferred income
35,089
1,786,510
26,850
1,200,640
3,335,190
4,008,133
2,402,976
2,663,976
21
Creditors: amounts falling due after more than one year
Group
Company
2023
31 December 2022
2023
31 December 2022
£
£
£
£
Trade creditors
678,664
1,011,928
405,664
498,484
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 29 -
22
Deferred taxation

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

Liabilities
Liabilities
2023
31 December 2022
Group
£
£
Accelerated capital allowances
4,211
2,733
Liabilities
Liabilities
2023
31 December 2022
Company
£
£
Accelerated capital allowances
4,211
2,733
Group
Company
2023
2023
Movements in the year:
£
£
Liability at 1 January 2023
2,733
2,733
Charge to profit or loss
1,478
1,478
Liability at 31 December 2023
4,211
4,211

The deferred tax liability set out above is expected to reverse within 12 months and relates to accelerated capital allowances that are expected to mature within the same period.

23
Deferred income
Group
Company
2023
31 December 2022
2023
31 December 2022
£
£
£
£
Other deferred income
118,564
-
118,564
-
24
Retirement benefit schemes
2023
31 December 2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
8,227
72,103

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 30 -
25
Share capital
Group and company
2023
31 December 2022
2023
31 December 2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of 1p each
10,000
10,000
100
100
2023
31 December 2022
2023
31 December 2022
Preference share capital
Number
Number
£
£
Issued and fully paid
Preference shares of £1 each
13,818,194
6,950,447
13,818,194
6,950,447
Preference shares classified as equity
13,818,194
6,950,447
Total equity share capital
13,818,294
6,950,547
26
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2023
31 December 2022
2023
31 December 2022
£
£
£
£
Within one year
45,721
33,064
45,721
33,064
Between two and five years
104,223
99,192
104,223
99,192
149,944
132,256
149,944
132,256
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 31 -
27
Related party transactions

At 31st December 2023 the Company was owed £34,154 (2022:£34,154) from related companies due to their common control. This has been disclosed in trade debtors.

 

At 31st December 2023 the Company owed £79,800 (2022: £190,800) to related companies due to their common control. This has been disclosed in trade creditors.

 

At 31st December 2023 the Company was owed £85,859 (2022: £70,950) from related companies and LLPs due to their common control. This has been disclosed in other debtors.

 

 

During the year the Company made sales to related Companies totalling £470,818 (2022: £263,655) and made purchases from related Companies totalling £577,026 (2022 £553,324). The Company also recognised £84,725 (2022: £105,828) of income from the profits of a partially owned LLP.

 

During the year the company also received a short term loan from Lote Tree Investments Limited, who own 49% of the voting share capital, of £1,500,000. This loan was interest free and unsecured. It was repaid post year end.

 

28
Controlling party

There is no ultimate controlling party.

29
Cash absorbed by group operations
2023
31 December 2022
£
£
Loss for the year after tax
(2,504,839)
(184,151)
Adjustments for:
Share of results of associates and joint ventures
(55,209)
(56,250)
Taxation charged/(credited)
1,478
(116)
Finance costs
64
14,107
Investment income
(10,565)
(96,436)
Depreciation and impairment of tangible fixed assets
3,860
4,062
Movements in working capital:
Increase in debtors
(1,161,044)
(5,043,247)
Decrease in creditors
(1,124,771)
(1,388,469)
Increase in deferred income
118,564
-
Cash absorbed by operations
(4,732,462)
(6,750,500)
Difference
-
2
Per cash flow statement page
(4,732,462)
(6,750,498)
CITYHEART LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 32 -
30
Analysis of changes in net funds - group
1 January 2023
Cash flows
31 December 2023
£
£
£
Cash at bank and in hand
517,818
2,050,621
2,568,439
2023-12-312023-01-01falseCCH SoftwareCCH Accounts Production 2024.100Mr William Mark McNameeMr Warren Thomas TaylorMr Wasim Wali ChoudhuryMr Asif Ausaf abbasMr Jonathan Hayes WrigleyMr Jeffrey Andrew 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