Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-313falsefalse2023-01-013falsefalse 02528475 2023-01-01 2023-12-31 02528475 2022-01-01 2022-12-31 02528475 2023-12-31 02528475 2022-12-31 02528475 2022-01-01 02528475 6 2023-01-01 2023-12-31 02528475 6 2022-01-01 2022-12-31 02528475 d:Director1 2023-01-01 2023-12-31 02528475 d:Director2 2023-01-01 2023-12-31 02528475 d:Director3 2023-01-01 2023-12-31 02528475 d:RegisteredOffice 2023-01-01 2023-12-31 02528475 d:Agent1 2023-01-01 2023-12-31 02528475 e:PlantMachinery 2023-01-01 2023-12-31 02528475 e:PlantMachinery 2023-12-31 02528475 e:PlantMachinery 2022-12-31 02528475 e:PlantMachinery e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 02528475 e:CurrentFinancialInstruments 2023-12-31 02528475 e:CurrentFinancialInstruments 2022-12-31 02528475 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 02528475 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-31 02528475 e:UKTax 2023-01-01 2023-12-31 02528475 e:UKTax 2022-01-01 2022-12-31 02528475 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 02528475 e:RetainedEarningsAccumulatedLosses 2023-12-31 02528475 e:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 02528475 e:RetainedEarningsAccumulatedLosses 2022-12-31 02528475 e:RetainedEarningsAccumulatedLosses 2022-01-01 02528475 e:OtherDeferredTax 2023-12-31 02528475 e:OtherDeferredTax 2022-12-31 02528475 e:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2023-01-01 2023-12-31 02528475 e:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2023-12-31 02528475 e:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2022-12-31 02528475 d:OrdinaryShareClass1 2023-01-01 2023-12-31 02528475 d:OrdinaryShareClass1 2023-12-31 02528475 d:OrdinaryShareClass1 2022-12-31 02528475 d:OrdinaryShareClass2 2023-01-01 2023-12-31 02528475 d:OrdinaryShareClass2 2023-12-31 02528475 d:OrdinaryShareClass2 2022-12-31 02528475 d:FRS102 2023-01-01 2023-12-31 02528475 d:Audited 2023-01-01 2023-12-31 02528475 d:FullAccounts 2023-01-01 2023-12-31 02528475 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 02528475 e:WithinOneYear 2023-12-31 02528475 e:WithinOneYear 2022-12-31 02528475 e:BetweenOneFiveYears 2023-12-31 02528475 e:BetweenOneFiveYears 2022-12-31 02528475 e:MoreThanFiveYears 2023-12-31 02528475 e:MoreThanFiveYears 2022-12-31 02528475 f:PoundSterling 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure
Registered number: 02528475







YORKSHIRE WINDPOWER LIMITED
 
DIRECTORS' REPORT AND FINANCIAL STATEMENTS
 
FOR THE YEAR ENDED 31 DECEMBER 2023

 
YORKSHIRE WINDPOWER LIMITED
 

COMPANY INFORMATION


Directors
A D K Brierley 
I R Dunn 
T J Rosser 




Registered number
02528475



Registered office
Uk House
5th Floor

164-182 Oxford Street

London

United Kingdom

W1D 1NN




Independent auditors
Wilder Coe Ltd
Chartered Accountants and Statutory Auditors

1st Floor Sackville House

143-149 Fenchurch Street

London

EC3M 6BL




Bankers
Barclays Bank Plc
1 Churchill Place

London

E14 5HP





 
YORKSHIRE WINDPOWER LIMITED
 

CONTENTS



Page
Directors' Report
 
1 - 2
Independent Auditors' Report
 
3 - 6
Statement of Comprehensive Income
 
7
Balance Sheet
 
8
Statement of Changes in Equity
 
9
Notes to the Financial Statements
 
10 - 19


 
YORKSHIRE WINDPOWER LIMITED
 

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report and the audited financial statements of Yorkshire Windpower Limited ("the company") for the year ended 31 December 2023. This report has been prepared in accordance with the special provisions to small companies within Part 15 of the Companies Act/section 415A.

Directors' responsibilities statement

The directors are responsible for preparing the Directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Principal activity

The principal activities of the company during the year continued to be the ownership, maintenance and operation of two wind farms at Ovenden Moor and Royd Moor, Yorkshire and the sale of associated electrical generation under power purchase agreements.

Going concern

The financial statements have been prepared on the going concern basis. The directors have prepared cash flow forecasts and reviewed capital requirements for the twelve months from the date of approving these financial statements, which indicate the business can continue to trade for at least twelve months. Factors supporting the assessment are as follows:
 
The Company owns wind plants which generate cash flows throughout the year.
The wind plants have Renewable Obligation Certificate (ROC) accreditation, which is a 20-year government subsidy administered by Office of Gas and Electricity Markets (OFGEM) which guarantees a stream of revenue as long as the plants are generating electricity, at a price to be determined based on demand.
The Company's cash flow forecasts have utilised forward pricing curves and the directors have applied sensitivities and considered debt repayments due over the next 12 months.

Further, the company's ultimate joint shareholders, Renewable Energy Income Partnership III B Holdings Limited and REIP IV Holdings Limited, will continue to support the operations of the company for a period of 12 months from the date on which the financial statements are approved. The directors will continue to monitor the situation and take any necessary actions to minimise the possible impacts of these events.

Page 1

 
YORKSHIRE WINDPOWER LIMITED
 

 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Results and dividends

The company's profit for the financial year, after taxation, amounted to £7,085,000 (2022: £7,725,000. Ordinary dividends of £9,300,000 were paid during the year (2022: £6,450,000).

Directors

The directors of the company, who held office during the year and up to the date of signing of these financial statements, are given below:

A D K Brierley 
I R Dunn 
T J Rosser 

Directors' third party indemnity provisions

A qualifying third-party indemnity provision as defined in section 234 of the Companies Act 2006 was in force throughout the financial year and at the date of approval of the financial statements, for the benefit of each of the directors in respect of liabilities incurred as a result of their office, to the extent permitted by law. In respect of those liabilities for which directors may not be indemnified, the parent companies maintained a directors' and officers' liability insurance policy throughout the financial year and up to the date of signing the financial statements.

Statement of disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved have confirmed that:
 
So far as each of the directors are aware, there is no relevant audit information of which the company's auditors are unaware, and they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Auditors

The auditorsWilder Coe Ltdwill be proposed for reappointment in accordance with section 489 of the Companies Act 2006.

Small company exemption

In preparing this report, the directors have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

The directors have also taken advantage of the small company exemptions provided by section 414B of the Companies Act 2006 and have not prepared a strategic report.
This report was approved by the board on 30 September 2024 and signed on its behalf.
 





T J Rosser
Director

Page 2

 
YORKSHIRE WINDPOWER LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF YORKSHIRE WINDPOWER LIMITED
 

Opinion


We have audited the financial statements of Yorkshire Windpower Limited (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 the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


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 Auditors' 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 United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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.


Page 3

 
YORKSHIRE WINDPOWER LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF YORKSHIRE WINDPOWER LIMITED (CONTINUED)


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Directors' Report has been prepared in accordance with applicable legal requirements.


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 Directors' Report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Directors' Report and from the requirement to prepare a Strategic Report.

Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 1, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.


Page 4

 
YORKSHIRE WINDPOWER LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF YORKSHIRE WINDPOWER LIMITED (CONTINUED)


Auditors' 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 Auditors' 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:
Discussions with and enquiries of management and those charged with governance were held with a view to identify those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.
 
The following laws and regulations were identified as being of significance to the entity:
 
Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, company law, tax legislation and distributable profits legislation; and
Those laws and regulations for which non-compliance may be fundamental to the operating aspects of the business and therefore may have a material effect on the financial statements.

Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: enquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; review of board minutes; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud.
 
Where irregularities have been found and treatments have differed from what we have expected additional procedures have been conducted to ratify the discrepancies. If the irregularity is financial in nature then samples have been extended, and the irregular items extrapolated to ensure that no material misstatement has occurred. These irregularities are also communicated to management so that they can rectify the discrepancies or provide an explanation for the difference. Where the irregularity is a difference in treatment to what we had expected this has been communicated to management and additional explanation has been added ensure adequate disclosure where necessary.
 
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).



A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.


Page 5

 
YORKSHIRE WINDPOWER LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF YORKSHIRE WINDPOWER LIMITED (CONTINUED)


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 2006Our 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 Auditors' 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.





Caryl King ACA BSc (Senior Statutory Auditor)
for and on behalf of

 
Wilder Coe Ltd
Chartered Accountants and Statutory Auditors
1st Floor Sackville House
143-149 Fenchurch Street
London
EC3M 6BL
 

1 October 2024
Page 6

 
YORKSHIRE WINDPOWER LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£000
£000

  

Turnover
  
10,166
12,444

Cost of sales
  
(2,783)
(3,183)

Gross profit
  
7,383
9,261

Administrative expenses
  
(127)
(58)

Operating profit
  
7,256
9,203

Interest receivable and similar income
  
80
19

Profit on ordinary activities before taxation
  
7,336
9,222

Taxation on profit on ordinary activities
 7 
(251)
(1,497)

Profit for the financial year
  
7,085
7,725

All items dealt with in the income statement above relate to continung operations.
The company has no other comprehensive income other than the results above and therefore no separate statement of total comprehensive income has been prepared.
The notes on pages 10 to 19 form part of these financial statements.

Page 7

 
YORKSHIRE WINDPOWER LIMITED
REGISTERED NUMBER: 02528475

BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note
£000
£000

Fixed assets
  

Tangible assets
 9 
18,835
18,997

Current assets
  

Stocks
 10 
59
59

Debtors
 11 
2,729
2,497

Cash at bank and in hand
  
2,565
5,561

  
5,353
8,117

Creditors: amounts falling due within one year
 12 
(1,982)
(2,947)

Net current assets
  
 
 
3,371
 
 
5,170

Total assets less current liabilities
  
22,206
24,167

Provisions for liabilities
  

Deferred taxation
 13 
(2,478)
(2,767)

Other provisions
 14 
(1,102)
(559)

  
 
 
(3,580)
 
 
(3,326)

Net assets
  
18,626
20,841


Capital and reserves
  

Retained earnings
  
18,626
20,841

Total shareholders' funds
  
18,626
20,841


The financial statements have been prepared in accordance with the provisions applicable to small companies within Part 15 of the Companies Act 2006 and in accordance with the provisions of Financial Reporting Standard 102, "The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland" as amended by Section 1A "Small Entities".

The financial statements were approved and authorised for issue by the board and were signed on its behalf on
 30 September 2024.




T J Rosser
Director

The notes on pages 10 to 19 form part of these financial statements.

Page 8

 
YORKSHIRE WINDPOWER LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Profit and loss account
Total equity

£000
£000


At 1 January 2022
19,566
19,566



Profit for the year
7,725
7,725

Dividends: Equity capital
(6,450)
(6,450)



At 31 December 2022 and 1 January 2023
20,841
20,841



Profit for the year
7,085
7,085

Dividends: Equity capital
(9,300)
(9,300)


At 31 December 2023
18,626
18,626


The notes on pages 10 to 19 form part of these financial statements.

Page 9

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

Yorkshire Windpower Limited owns, operates and maintains two wind farms at Ovenden Moor and Royd Moor, Yorkshire and sells the associated electrical generation under power purchase agreement.
The company is a private company limited by shares and is incorporated and registered in the United Kingdom. The address of its registered office is UK House, 5th Floor, 164-182 Oxford Street, London, United Kingdom, W1D 1NN.


2.


Statement of compliance

The financial statements of Yorkshire Windpower Limited have been prepared in accordance with United Kingdom Accounting Standards, including Financial Reporting Standard 102, "The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland" ("FRS 102") and the Companies Act 2006.

3.Accounting policies

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all periods presented, unless otherwise stated.

 
3.1

Basis of preparation of financial statements

The financial statements are prepared on the going concern basis, under the historical cost convention in accordance with the Companies Act 2006 and applicable United Kingdom accounting standards, including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland" ("FRS 102").
The preparation of financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgment in the process of applying the company accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed in note 4.
Exemptions for qualifying entities under FRS 102
FRS 102 allows a qualifying entity certain disclosure exemptions, subject to certain conditions, which have been complied with, including notification of, and no objection to, the use of exemptions by the company's shareholders.
The company has taken advantage of the following exemptions:


from preparing a statement of cash flows, required under Section 7 of FRS 102 and para 3.17(d), on the basis that it is a small company;
from disclosing the company's key management personnel compensation as required by FRS 102 para 33.7; and
from disclosing related party transactions that are wholly owned within the same group.

 
3.2

Turnover

Amounts disclosed as turnover are net of trade allowances, duties and taxes paid. Turnover generated from wind operations is recognised where there is a signed unconditional contract of sale and as electricity is generated at the contracted rate on the date of generation, except where that rate cannot be determined with reasonable accuracy in which case it is recognised when the rate can be determined with reasonable certainty.

Page 10

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.Accounting policies (continued)

  
3.3

Tangible fixed assets

The cost of tangible fixed assets in their purchase cost, together with any incidental costs of acquisition.
Depreciation is provided on the following basis:
                    Ovenden Moor wind farm    - 24 years 
                    Royd Moor wind farm         - 20 years

  
3.4

Decommissioning provision

Provision for decommissioning is recognised at the commencement of production. The amount recognised in the value of the future expenditure determined in accordance with local conditions and requirements. Any movement in the provision is recognised in the profit and loss in the year. Any changes in the value of the estimated expenditure is reflected in and adjustment to the provision.
The directors annually review the decommissioning assessment to confirm that there are no material changes to the net liabilities or contingencies arising from the ongoing commitment to decommission the wind farms.

  
3.5

Capitalisation of interest

The cost of financing the construction of the wind farms prior to their being bought into use is included in the cost of the wind farms.

  
3.6

Stocks

Spare parts are valued at the lower of cost and net realisable value.

 
3.7

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current corporation tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the Balance Sheet date in the countries where the company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the Balance Sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the Balance Sheet date.

Page 11

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.Accounting policies (continued)

  
3.8

Leases

At inception the company assesses agreements that transfer the right to use assets. The assessments considers whether the arrangement is, or contains, a lease based on the substance of the arrangement and whether the lease should be classified as either a finance or an operating lease.
Leases of assets that transfers substantially all the risks and rewards incidental to ownership are classified as finance leases. Finance leases are capitalised at the commencement of the lease at the fair value of the leased asset and depreciated over the shorter of the lease term and the estimated useful life of the asset. Assets are assessed for impairment at each reporting date.
Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Prepayments under operating leases are charged to the income statement on a straight-line basis over the period of the lease.

 
3.9

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
3.10

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
3.11

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 12

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.Accounting policies (continued)

  
3.12

Financial instruments

The company has chosen to adopt Section 11 and 12 of FRS 102 in respect of financial instruments.
Financial assets
Basic financial assets, including trade and other receivables and cash and bank balances are initially recognised at transaction price, 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.
Such assets are subsequently carried at amortised cost using the effective interest method.
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Comprehensive Income.
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.
Financial liabilities
Basic financial liabilities, including trade and other receivables and loans from shareholder companies are initially recognised at transaction price, 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.
Debt instruments are subsequently carried at amortised cost using the effective interest rate method.
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts 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 payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
Offsetting
Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is an 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.

Page 13

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

4.


Critical accounting judgements and estimation uncertainty

Estimate and judgements are continually evaluated and based on historical experience and other factors, including expectation of future events that are believed to be reasonable under the circumstances.
(a)      Critical judgements in applying the company's accounting policies.
The directors consider that there are no critical judgements in the application of the company's accounting policies which would have a material impact on the financial statements.
(b)      Key accounting estimates and assumptions.
The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below.
(i)       Useful economic life of tangible assets
The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed periodically.
(ii)       Decommissioning
The decommissioning assessment is reviewed annually to confirm that there have not been any material changes to the net liabilities or contingencies arising from the ongoing commitment to decommission the wind farms.
(iii)       ROC Recycle income
ROC recycle revenue from the sale of ROCs is recognised at the point of sale of the associated electricity. Where these amounts are unknown, they are accrued at the most reliable value that can be determined based on generated electricity. As final value of certificates will not be known until after the approval of these financial statements, the value of recognised ROC recycle revenue may require adjustment in future periods, resulting in corresponding charge or credit to the Statement of Comprehensive Income.


5.


Going concern

The financial statements have been prepared on the going concern basis. The directors have prepared cash flow forecasts and reviewed capital requirements for the twelve months from the date of approving these financial statements, which indicate the business can continue to trade for at least twelve months. Factors supporting the assessment are as follows:
 
The Company owns wind plants which generate cash flows throughout the year.
The wind plants have Renewable Obligation Certificate (ROC) accreditation, which is a 20-year government subsidy administered by Office of Gas and Electricity Markets (OFGEM) which guarantees a stream of revenue as long as the plants are generating electricity, at a price to be determined based on demand.
The Company's cash flow forecasts have utilised forward pricing curves and the directors have applied sensitivities and considered debt repayments due over the next 12 months.

Further, the company's ultimate joint shareholders, Renewable Energy Income Partnership III B Holdings Limited and REIP IV Holdings Limited, will continue to support the operations of the company for a period of 12 months from the date on which the financial statements are approved. The directors will continue to monitor the situation and take any necessary actions to minimise the possible impacts of these events.

Page 14

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

6.


Employee information

The company paid no remuneration or wages to its directors and had no other employees during the year (2022: £Nil). The directors receive no remuneration or wages in respect of their directorship of the company (2022: £Nil).



7.


Taxation


2023
2022
£000
£000

Corporation tax


Current tax on profits for the year
1,052
1,068

Adjustments in respect of previous periods
(512)
-


Total current tax
540
1,068

Deferred tax


Origination and reversal of timing differences
(289)
429


Taxation on profit on ordinary activities
251
1,497

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - lower than) the standard rate of corporation tax in the UK of 25% (2022 - 19%). The differences are explained below:

2023
2022
£000
£000


Profit on ordinary activities before tax
7,336
9,222


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2022 - 19%)
1,834
1,752

Effects of:


Capital allowances for year in excess of depreciation
(57)
(38)

Provisions adjustment
136
-

Adjustment to prior year tax charge
(512)
-

Group relief
(796)
(646)

Deferred tax movement
(289)
429

Adjustment for change in tax rate
(65)
-

Total tax charge for the year
251
1,497

Page 15

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
7.Taxation (continued)


Factors that may affect future tax charges

The Finance Act 2021 enacted on 10 June 2021 increased the main rate of United Kingdom corporation tax from 19% to 25%, effective from 1 April 2023. This has resulted in an effective tax rate of 23.5% in the current year. The prevailing future rate of corporation tax is 25%. Deferred taxes on the balance sheet have been measured at 25% (2022: 25%) which represents the future corporation tax rate that was enacted at the Balance Sheet date.


8.


Dividends

2023
2022
£000
£000


Dividends paid
9,300
6,450


9.


Tangible fixed assets





Plant and machinery

£000



Cost or valuation


At 1 January 2023
30,986


Additions
123


Revaluations
522



At 31 December 2023

31,631



Depreciation


At 1 January 2023
11,990


Charge for the year on owned assets
807



At 31 December 2023

12,797



Net book value



At 31 December 2023
18,834



At 31 December 2022
18,997

Page 16

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

10.


Stocks

2023
2022
£000
£000

Spare parts and consumables
59
59


The replacement cost of stocks does not differ materially from the numbers disclosed above.



11.


Debtors

2023
2022
£000
£000

Amounts falling due within one year

Trade debtors
281
683

Prepayments and accrued income
2,448
1,814

2,729
2,497



12.


Creditors: Amounts falling due within one year

2023
2022
£000
£000

Trade creditors
73
128

Corporation tax
601
1,129

Accruals and deferred income
556
956

Other taxation and social security
162
734

Other creditors
590
-

1,982
2,947


Page 17

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

13.


Deferred taxation




2023


£000






At beginning of year
(2,766)


Charged to profit or loss
288



At end of year
(2,478)

The provision for deferred taxation is made up as follows:

2023
2022
£000
£000


Origination and timing differences
(2,478)
(2,766)


14.


Provisions




Decommissioning

£000





At 1 January 2023
559


Charged to profit or loss
522


Utilised in year
21



At 31 December 2023
1,102


15.


Share capital

2023
2022
£000
£000
Allotted, called up and fully paid



50 (2022 - 50) 'A' ordinary shares of £1.00 each
-
-
50 (2022 - 50) 'B' ordinary shares of £1.00 each
-
-

-

-


Page 18

 
YORKSHIRE WINDPOWER LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

16.


Other financial commitments

At 31 December 2023 the company had the following future minimum lease payments under non-cancellable operating leases for each of the following periods:

2023
2022
£000
£000


Not later than 1 year
130
130

Later than 1 year and not later than 5 years
362
362

Later than 5 years
1,950
2,080

2,442
2,572

The above charge is linked to the company's turnover and therefore these amounts are variable going forward.


17.


Parent company

Yorkshire Windpower Holdings Limited is the immediate parent undertaking.
Ultimately, the company is jointly owned by Renewable Energy Income Partnership III B Holdings Limited and REIP IV Holdings Limited, with both companies incorporated in the UK.
In the directors’ opinion there is no ultimate controlling party.


Page 19