REGISTERED NUMBER: 02896868 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
DCD LONDON & MUTUAL PLC |
REGISTERED NUMBER: 02896868 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
DCD LONDON & MUTUAL PLC |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Contents of the Consolidated Financial Statements |
for the Year Ended 31 December 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 17 |
DCD LONDON & MUTUAL PLC |
Company Information |
for the Year Ended 31 December 2023 |
Directors: |
Secretary: |
Registered office: |
Registered number: |
Senior statutory auditor: | Naresh Jani FCCA |
Auditors: |
1st Floor |
156 Cromwell Road |
Kensington |
London |
SW7 4EF |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Group Strategic Report |
for the Year Ended 31 December 2023 |
The directors present their strategic report of the company and the group for the year ended 31 December 2023. |
Principal risks and uncertainties |
The principal activities of the group are those of property investment and management. There have been no changes in the company's activities in the year under review. |
The group profit and loss account is set out on page 9. The group turnover for the year was £ 3,553,377 (2022 - £ 3,661,331 ). The group (loss) / profit before tax for the year was £ (240,607) (2022 - profit £ 226,041 ). |
The property management business in 2022 remained stable. |
The company monitors cash flow as part of its day to day control procedures. The Board considers cash flow projections on a monthly basis and ensures that appropriate facilities are available to be drawn upon as necessary. |
Results and dividends |
The group income statement is set out on page 8 and shows the results for the year. The directors do not recommend payment of a dividend (2022: Nil). |
On behalf of the board: |
Director |
31 October 2024 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Report of the Directors |
for the Year Ended 31 December 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023. |
Dividends |
No dividends will be distributed for the year ended 31 December 2023. |
Directors |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
Charitable contributions and political donations |
During the year the group made donations totalling £301 (2022 - £19,001) to charitable organisations and political contributions during the year of £42,705 (2022 - £30,205). |
Statement of directors' responsibilities |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
Statement as to disclosure of information to auditors |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Report of the Directors |
for the Year Ended 31 December 2023 |
Auditors |
All of the current directors have taken all the steps that they ought to have taken to make themselves aware of any information needed by the company's auditors for the purposes of their audit and to establish that the auditors are aware of that information. The directors are not aware of any relevant audit information of which the auditors are unaware. |
Andertons Europe Ltd have expressed their willingness to continue in office and a resolution to re appoint them will be proposed at the annual general meeting. |
On behalf of the board: |
Report of the Independent Auditors to the Members of |
DCD LONDON & MUTUAL PLC |
Opinion |
We have audited the financial statements of DCD LONDON & MUTUAL PLC (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2023 and of the group's loss 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 group 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 the 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. |
Report of the Independent Auditors to the Members of |
DCD LONDON & MUTUAL PLC |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
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. |
In connection with our audit of the financial statements, 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 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 the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company 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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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 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 group's and 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
DCD LONDON & MUTUAL PLC |
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 a Report of the Auditors 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. |
Audit response to risks identified: |
We considered the extent of compliance with laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the company's records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the group policies and procedures for compliance with laws and regulations with members of management responsible for compliance. |
During the planning meeting, attention was drawn to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. The review at the completion stage of the audit, included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non- compliance with laws and regulations and fraud. |
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. |
A further description of our responsibilities 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 Report of the Auditors. |
Report of the Independent Auditors to the Members of |
DCD LONDON & MUTUAL PLC |
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 a Report of the Auditors 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. |
for and on behalf of |
1st Floor |
156 Cromwell Road |
Kensington |
London |
SW7 4EF |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Consolidated Income Statement |
for the Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
Turnover | 3,553,377 | 3,661,331 |
Cost of sales | (872,626 | ) | (784,352 | ) |
Gross profit | 2,680,751 | 2,876,979 |
Distribution costs | (2,589 | ) | (13,082 | ) |
Administrative expenses | (2,578,872 | ) | (2,214,229 | ) |
Operating profit | 4 | 99,290 | 649,668 |
Profit/loss on sale of invest | 5 | - | 100,012 |
99,290 | 749,680 |
Interest receivable and similar income | 245,177 | 32,548 |
344,467 | 782,228 |
Amounts written off investments | 6 | (41,000 | ) | - |
303,467 | 782,228 |
Interest payable and similar expenses | 7 | (544,074 | ) | (556,187 | ) |
(Loss)/profit before taxation | (240,607 | ) | 226,041 |
Tax on (loss)/profit | 8 | 3,001 | (44,329 | ) |
(Loss)/profit for the financial year | ( | ) |
(Loss)/profit attributable to: |
Owners of the parent | (194,221 | ) | 89,103 |
Non-controlling interests | (43,385 | ) | 92,609 |
(237,606 | ) | 181,712 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Consolidated Other Comprehensive Income |
for the Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
(Loss)/profit for the year | (237,606 | ) | 181,712 |
Other comprehensive income |
Capital contribution Interest |
Imputed Interest | (21,033 | ) | (20,520 | ) |
Income tax relating to other comprehensive income | - | - |
Other comprehensive income for the year, net of income tax | (21,033 | ) | (20,520 | ) |
Total comprehensive income for the year | (258,639 | ) | 161,192 |
Total comprehensive income attributable to: |
Owners of the parent | (258,639 | ) | 161,192 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Consolidated Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
Fixed assets |
Intangible assets | 10 | 1,909,867 | 1,909,867 |
Tangible assets | 11 | 37,409,384 | 36,212,847 |
Investments | 12 | 12,588,068 | 13,522,297 |
51,907,319 | 51,645,011 |
Current assets |
Debtors | 13 | 5,651,797 | 5,395,047 |
Cash at bank and in hand | 33,336,167 | 33,937,926 |
38,987,964 | 39,332,973 |
Creditors |
Amounts falling due within one year | 14 | 38,422,389 | 38,425,057 |
Net current assets | 565,575 | 907,916 |
Total assets less current liabilities | 52,472,894 | 52,552,927 |
Creditors |
Amounts falling due after more than one year | 15 | (20,374,709 | ) | (20,193,102 | ) |
Provisions for liabilities | 17 | (1,273,602 | ) | (1,276,603 | ) |
Net assets | 30,824,583 | 31,083,222 |
Capital and reserves |
Called up share capital | 18 | 2,166,660 | 2,166,660 |
Other reserves | 19 | 5,796,104 | 5,796,104 |
Retained earnings | 19 | (792,072 | ) | (576,818 | ) |
Shareholders' funds | 7,170,692 | 7,385,946 |
Non-controlling interests | 23,653,891 | 23,697,276 |
Total equity | 30,824,583 | 31,083,222 |
The financial statements were approved by the Board of Directors and authorised for issue on 31 October 2024 and were signed on its behalf by: |
F A Randeree - Director |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Company Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
Fixed assets |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
Current assets |
Debtors | 13 |
Cash at bank |
Creditors |
Amounts falling due within one year | 14 |
Net current liabilities | ( | ) | ( | ) |
Total assets less current liabilities |
Creditors |
Amounts falling due after more than one year | 15 |
Net assets |
Capital and reserves |
Called up share capital | 18 |
Retained earnings | 19 |
Shareholders' funds |
Company's (loss)/profit for the financial year | (215,219 | ) | 9,774 |
The financial statements were approved by the Board of Directors and authorised for issue on |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up |
share | Retained | Other |
capital | earnings | reserves |
£ | £ | £ |
Balance at 1 January 2022 | 2,166,660 | (645,401 | ) | 5,796,104 |
Changes in equity |
Total comprehensive income | - | 68,583 | - |
Balance at 31 December 2022 | 2,166,660 | (576,818 | ) | 5,796,104 |
Changes in equity |
Total comprehensive income | - | (215,254 | ) | - |
2,166,660 | (792,072 | ) | 5,796,104 |
Non-controlling interest arising on business combination | - | - | - |
Balance at 31 December 2023 | 2,166,660 | (792,072 | ) | 5,796,104 |
Non-controlling | Total |
Total | interests | equity |
£ | £ | £ |
Balance at 1 January 2022 | 7,317,363 | 23,697,276 | 31,014,639 |
Changes in equity |
Total comprehensive income | 68,583 | - | 68,583 |
Balance at 31 December 2022 | 7,385,946 | 23,697,276 | 31,083,222 |
Changes in equity |
Total comprehensive income | (215,254 | ) | - | (215,254 | ) |
7,170,692 | 23,697,276 | 30,867,968 |
Non-controlling interest arising on business combination | - | (43,385 | ) | (43,385 | ) |
Balance at 31 December 2023 | 7,170,692 | 23,653,891 | 30,824,583 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Company Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Total comprehensive income | - | ( | ) | ( | ) |
Balance at 31 December 2022 |
Changes in equity |
Total comprehensive income | - | ( | ) | ( | ) |
Balance at 31 December 2023 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (96,319 | ) | (2,615,384 | ) |
Interest paid | (544,074 | ) | (556,187 | ) |
Tax paid | (44,337 | ) | (19,042 | ) |
- | (4,644,151 | ) |
Net cash from operating activities | (684,730 | ) | (7,834,764 | ) |
Cash flows from investing activities |
Purchase of tangible fixed assets | (1,215,259 | ) | (7,343,998 | ) |
Purchase of fixed asset investments | - | (2,556,149 | ) |
Reduction of fixed asset investments | 871,446 | 5,820,798 |
Interest received | 245,177 | 32,548 |
Net cash from investing activities | (98,636 | ) | (4,046,801 | ) |
Cash flows from financing activities |
New loans in year | 181,607 | - |
Loan repayments in year | - | (266,163 | ) |
Net cash from financing activities | 181,607 | (266,163 | ) |
Decrease in cash and cash equivalents | (601,759 | ) | (12,147,728 | ) |
Cash and cash equivalents at beginning of year | 2 | 33,937,926 | 46,117,303 |
Cash and cash equivalents at end of year | 2 | 33,336,167 | 33,937,926 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
1. | Reconciliation of (loss)/profit before taxation to cash generated from operations |
2023 | 2022 |
£ | £ |
(Loss)/profit before taxation | (240,607 | ) | 226,041 |
Depreciation charges | 60,472 | 54,806 |
Profit on disposal of fixed assets | - | (100,012 | ) |
Finance costs | 544,074 | 556,187 |
Finance income | (245,177 | ) | (32,548 | ) |
118,762 | 704,474 |
(Increase)/decrease in trade and other debtors | (343,417 | ) | 1,103,130 |
Increase/(decrease) in trade and other creditors | 128,336 | (4,422,988 | ) |
Cash generated from operations | (96,319 | ) | (2,615,384 | ) |
2. | Cash and cash equivalents |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Cash and cash equivalents | 33,336,167 | 33,937,926 |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 33,937,926 | 46,117,303 |
3. | Analysis of changes in net funds |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 33,937,926 | (601,759 | ) | 33,336,167 |
33,937,926 | (601,759 | ) | 33,336,167 |
Debt |
Debts falling due within 1 year | (86,667 | ) | 86,667 | - |
Debts falling due after 1 year | (20,193,102 | ) | (181,607 | ) | (20,374,709 | ) |
(20,279,769 | ) | (94,940 | ) | (20,374,709 | ) |
Total | 13,658,157 | (696,699 | ) | 12,961,458 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 December 2023 |
1. | Statutory information |
DCD LONDON & MUTUAL PLC is a |
2. | Accounting policies |
Basis of preparing the financial statements |
Basis of consolidation |
The consolidated financial statements incorporate those of DCD London & Mutual Plc and all of its subsidiaries for the financial year. Subsidiaries are consolidated using the acquisition method and their results are included from the date of acquisition. All subsidiaries have prepared financial statements to 31 December 2023. |
Turnover |
Turnover represents the total sales to external customers at the invoiced value exclusive of value added tax during the year. |
Goodwill |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Depreciation is provided on fixed assets from the date of acquisition and up to the date of disposal at the following annual rates which are estimated to write off their cost less estimated net realisable value on a straight line basis over their expected useful lives: |
Leasehold improvements - 5% per annum |
Fixtures, fittings and equipment - 10% per annum |
Computer equipment - 33 1/3% per annum |
Motor vehicles - 25% per annum |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Financial instruments |
Financial liabilities are equity are classified according to the substance of the financial instrument's contractual obligations, rather than its legal form. |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | Accounting policies - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed by the balance sheet date except that: |
" deferred tax is not recognised on timing differences arising on revalued properties unless the company has entered into a binding sale agreement and is not proposing to take advantage of rollover relief; and |
" the recognition of deferred tax assets is limited to the extent that the company anticipates to make sufficient taxable profits in the future to absorb the reversal of the underlying timing differences. |
Deferred tax liabilities and assets are not discounted. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Pension costs |
The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in independently administered funds. Pension payments are charged against the profits in the year to which they relate. |
Dividends |
Equity dividends are recognised when they become legally payable. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | Accounting policies - continued |
Interest free loans |
FRS 102 requires that an imputed rate is used and the effective interest charges are recognized in profit and loss for the year. An imputed interest rate of 3.035 % has been applied based on the directors' estimate of market value rate of interest at the date of inception of the loan. |
Lease assets |
Assets held under finance leases and hire purchase contracts are capitalised in the balance sheet and depreciated over their expected useful lives. The interest element of leasing payments represents a constant proportion of the capital balance outstanding and is charged to the profit and loss account over the term of the lease. |
All other leases are regarded as operating leases and the payments made under them are charged to the profit and loss account on a straight-line basis over the term of the lease. |
Valuation of investments |
Investments held as fixed assets are stated at cost less any provision for impairment. Investments held as current assets are stated at the lower of cost and net realisable value. |
Investment properties |
Investment properties are properties held to earn rentals and/or for capital appreciation. Investment properties are initially measured at cost, including transaction costs. Subsequently investment properties whose fair value can be measured reliably without undue cost or effort on an on-going basis are measured at fair value. Gains and losses arising from changes in the fair value of investment properties are included in profit or loss in the period in which they arise. Investment properties whose fair value cannot be measured reliably without undue cost or effort on an on-going basis are included in plant, property and equipment at cost less accumulated depreciation and accumulated impairment losses. |
3. | Employees and directors |
2023 | 2022 |
£ | £ |
Wages and salaries | 1,115,818 | 1,056,692 |
Social security costs | 126,087 | 124,991 |
Other pension costs | 67,084 | 37,398 |
1,308,989 | 1,219,081 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Management | 3 | 3 |
Administration | 17 | 16 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
3. | Employees and directors - continued |
2023 | 2022 |
£ | £ |
Directors' remuneration | 311,656 | 300,932 |
Directors' pension contributions to money purchase schemes | 67,084 | 7,749 |
Information regarding the highest paid director is as follows: |
2023 | 2022 |
£ | £ |
Accrued pension at 31 December 2023 | 1 | - |
4. | Operating profit |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Hire of plant and machinery | 6,114 | 4,726 |
Other operating leases | 150,000 | 112,876 |
Depreciation - owned assets | 18,722 | 21,555 |
Auditors' remuneration | 28,250 | 27,250 |
Foreign exchange differences | - | (2 | ) |
5. | Exceptional items |
2023 | 2022 |
£ | £ |
Profit/loss on sale of invest | - | 100,012 |
6. | Amounts written off investments |
2023 | 2022 |
£ | £ |
Amounts w/o invs | 41,000 | - |
7. | Interest payable and similar expenses |
2023 | 2022 |
£ | £ |
Bank interest | - | 21,839 |
Bank loan interest | 421,551 | 379,048 |
Interest payable | 122,523 | 155,300 |
544,074 | 556,187 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
8. | Taxation |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | - | 48,349 |
Deferred tax | (3,001 | ) | (4,020 | ) |
Tax on (loss)/profit | (3,001 | ) | 44,329 |
Reconciliation of total tax (credit)/charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
(Loss)/profit before tax | (240,607 | ) | 226,041 |
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of 23.520 % (2022 - 19 %) | (56,591 | ) | 42,948 |
Effects of: |
Expenses not deductible for tax purposes | 44,054 | 38,889 |
Income not taxable for tax purposes | (4,947 | ) | (3,939 | ) |
Depreciation in excess of capital allowances | 13,144 | 10,784 |
Utilisation of tax losses | (62,888 | ) | (46,872 | ) |
Losses carried forward | 67,228 | 6,539 |
Deferred tax | (3,001 | ) | (4,020 | ) |
Total tax (credit)/charge | (3,001 | ) | 44,329 |
Tax effects relating to effects of other comprehensive | income |
2023 |
Gross | Tax | Net |
£ | £ | £ |
Capital contribution Interest |
Imputed Interest | (21,033 | ) | - | (21,033 | ) |
(21,033 | ) | - | (21,033 | ) |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
8. | Taxation - continued |
2022 |
Gross | Tax | Net |
£ | £ | £ |
Capital Contribution Interest |
Imputed Interest | (20,520 | ) | - | (20,520 | ) |
(20,520 | ) | - | (20,520 | ) |
9. | Individual income statement |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
10. | Intangible fixed assets |
Group |
Goodwill |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 | 1,909,867 |
NET BOOK VALUE |
At 31 December 2023 | 1,909,867 |
At 31 December 2022 | 1,909,867 |
Goodwill is on incorporation. |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
11. | Tangible fixed assets |
Group |
Freehold | Short | Properties |
property | leasehold | on hand |
£ | £ | £ |
COST |
At 1 January 2023 | 33,980,374 | 122,275 | 2,175,000 |
Additions | 1,209,237 | - | - |
At 31 December 2023 | 35,189,611 | 122,275 | 2,175,000 |
DEPRECIATION |
At 1 January 2023 | 276 | 84,700 | - |
Charge for year | 69 | 10,608 | - |
At 31 December 2023 | 345 | 95,308 | - |
NET BOOK VALUE |
At 31 December 2023 | 35,189,266 | 26,967 | 2,175,000 |
At 31 December 2022 | 33,980,098 | 37,575 | 2,175,000 |
Fixtures |
and | Computer |
fittings | equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | 94,643 | 105,471 | 36,477,763 |
Additions | 473 | 5,549 | 1,215,259 |
At 31 December 2023 | 95,116 | 111,020 | 37,693,022 |
DEPRECIATION |
At 1 January 2023 | 79,647 | 100,293 | 264,916 |
Charge for year | 2,474 | 5,571 | 18,722 |
At 31 December 2023 | 82,121 | 105,864 | 283,638 |
NET BOOK VALUE |
At 31 December 2023 | 12,995 | 5,156 | 37,409,384 |
At 31 December 2022 | 14,996 | 5,178 | 36,212,847 |
Freehold property is freehold investment property. |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
11. | Tangible fixed assets - continued |
Company |
Fixtures |
Properties | and | Computer |
on hand | fittings | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
If the properties had not been revalued, they would have been included in the following historical cost : |
Cost £ 2,274,935. |
The properties were valued on an open market by the directors. |
12. | Fixed asset investments |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Shares in group undertakings | 713,437 | 713,461 |
Loans to group undertakings | 137,646 | 158,679 |
Other investments not loans | 8,883,902 | 9,304,651 |
Other loans | 2,853,083 | 3,345,506 |
12,588,068 | 13,522,297 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | Fixed asset investments - continued |
Additional information is as follows: |
Group |
Shares in |
group | Unlisted |
undertakings | investments | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | 713,461 | 13,287,033 | 14,000,494 |
Reclassification/transfer | (24 | ) | (378,999 | ) | (379,023 | ) |
At 31 December 2023 | 713,437 | 12,908,034 | 13,621,471 |
PROVISIONS |
At 1 January 2023 | - | 3,982,382 | 3,982,382 |
Provision for year | - | 41,750 | 41,750 |
At 31 December 2023 | - | 4,024,132 | 4,024,132 |
NET BOOK VALUE |
At 31 December 2023 | 713,437 | 8,883,902 | 9,597,339 |
At 31 December 2022 | 713,461 | 9,304,651 | 10,018,112 |
Company |
Shares in |
group | Unlisted |
undertakings | investments | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | 10,866,963 |
Additions | 654,650 |
Reclassification/transfer | ( | ) | (24 | ) |
At 31 December 2023 | 11,521,589 |
PROVISIONS |
At 1 January 2023 | - | 733,500 | 733,500 |
Provision for year | - | 41,000 | 41,000 |
At 31 December 2023 | - | 774,500 | 774,500 |
NET BOOK VALUE |
At 31 December 2023 | 10,747,089 |
At 31 December 2022 | 10,133,463 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | Fixed asset investments - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
SANCTUARY MAIDA VALE (LONDON) LLP |
Registered office: 85 Strand, 1st floor London WC2R 0DW |
Nature of business: Property management |
% |
Class of shares: | holding |
Ordinary shares | 30.00 |
31.12.23 | 31.12.22 |
£ | £ |
Aggregate capital and reserves | (34,661 | ) | (16,293 | ) |
DCD Properties Limited |
Registered office: 85 Strand, 1st floor London WC2R 0DW |
Nature of business: Property management |
% |
Class of shares: | holding |
Ordinary shares | 15.00 |
31.12.23 | 31.12.22 |
£ | £ |
Aggregate capital and reserves | 27,726,078 | 27,810,992 |
DCD Properties Limited is managed on a unified basis with other property companies and consolidated. |
West Wickham LLP |
Registered office: 85 Strand, 1st floor London WC2R 0DW |
Nature of business: Property management |
% |
Class of shares: | holding |
ordinary shares | 99.00 |
31.12.23 |
£ |
Aggregate capital and reserves | 3,693 |
West Wickham LLP was dissolved on 09 July 2024. |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | Fixed asset investments - continued |
Contantia Properties Ltd |
Registered office: 85 Strand, 1st floor London WC2R 0DW |
Nature of business: Property management |
% |
Class of shares: | holding |
ordinary shares | 100.00 |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves | 151,613 | 157,555 |
Sanctuary Ventures Farrington Ltd |
Registered office: 85 Strand, 1st floor London WC2R 0DW |
Nature of business: Property Management |
% |
Class of shares: | holding |
ordinary shares | 75.00 |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves | 175,992 | 42,458 |
Richmond George Street LLP |
Registered office: 85 Strand, 1st floor London WC2R 0DW |
Nature of business: Property manegement |
% |
Class of shares: | holding |
Ordinary shares | 50.00 |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves | (67,813 | ) | 23,606 |
Chaddesley Glen DCD Ltd |
Registered office: 85 Strand, 1st floor London WC2R 0DW |
Nature of business: Property management |
% |
Class of shares: | holding |
ordinary shares | 75.00 |
2023 |
£ |
Aggregate capital and reserves | 3,217 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | Fixed asset investments - continued |
Group |
Loans to |
group | Other |
undertakings | loans | Totals |
£ | £ | £ |
At 1 January 2023 | 158,679 | 3,345,506 | 3,504,185 |
New in year | - | 218,250 | 218,250 |
Repayment in year | - | (710,673 | ) | (710,673 | ) |
Other movement | (21,033 | ) | - | (21,033 | ) |
At 31 December 2023 | 137,646 | 2,853,083 | 2,990,729 |
Company |
Loans to |
group | Other |
undertakings | loans | Totals |
£ | £ | £ |
At 1 January 2023 |
New in year |
Repayment in year | ( | ) | ( | ) |
Other movement | ( | ) | ( | ) |
At 31 December 2023 |
13. | Debtors |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 949,715 | 602,801 |
Amounts owed by group undertakings | - | - |
Amounts owed by participating interests | 24,637 | 24,586 | 24,637 | 24,586 |
Other debtors | 4,464,784 | 4,425,214 |
Prepayments and accrued income | 212,661 | 342,446 |
5,651,797 | 5,395,047 |
Amounts falling due after more than | one year: |
Amounts owed by group companies | - | - | 862,354 | 841,321 |
Aggregate amounts | 5,651,797 | 5,395,047 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
14. | Creditors: amounts falling due within one year |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 16) | - | 86,667 |
Trade creditors | 55,975 | 127,391 |
Funds & amounts due to clients | 30,794,789 | 31,698,601 | - | - |
Amounts owed to group undertakings | - | - |
Amounts owed to participating interests | 6,105,952 | 5,195,827 | - | - |
Tax | 5,987 | 50,324 |
Social security and other taxes | 145,175 | 139,815 |
Other creditors | 756,346 | 647,941 |
Loans from group companies | - | - | 7,601,980 | 7,369,039 |
Accruals and deferred income | 558,165 | 478,491 |
38,422,389 | 38,425,057 |
15. | Creditors: amounts falling due after more than one year |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans (see note 16) | 9,168,785 | 9,193,787 |
Other loans (see note 16) | 11,205,924 | 10,999,315 |
Amounts owed to group undertakings | - | - | 811,160 | 787,267 |
20,374,709 | 20,193,102 |
Bank loans are secured on the Groups properties carrying interest at varying rates. |
Other loans are unsecured loans with no fixed repayment terms. |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
16. | Loans |
An analysis of the maturity of loans is given below: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year | or on demand: |
Bank loans | - | 86,667 |
Amounts falling due in more than | five years: |
Repayable otherwise than by | instalments |
Bank loans more 5 yrs non-inst | 9,168,785 | 9,193,787 | - | - |
Other loans more 5yrs non-inst | 11,205,924 | 10,999,315 | 5,722,262 | 5,702,741 |
20,374,709 | 20,193,102 | 5,722,262 | 5,702,741 |
17. | Provisions for liabilities |
Group |
2023 | 2022 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 8,563 | 11,564 |
Deferred tax | 1,265,039 | 1,265,039 |
1,273,602 | 1,276,603 |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2023 | 1,276,603 |
Utilised during year | (3,001 | ) |
Balance at 31 December 2023 | 1,273,602 |
18. | Called up share capital |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 2,166,660 | 2,166,660 |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
19. | Reserves |
Group |
Retained | Other |
earnings | reserves | Totals |
£ | £ | £ |
At 1 January 2023 | (576,818 | ) | 5,796,104 | 5,219,286 |
Deficit for the year | (194,221 | ) | (194,221 | ) |
Inputted Interest | (21,033 | ) | - | (21,033 | ) |
At 31 December 2023 | (792,072 | ) | 5,796,104 | 5,004,032 |
Company |
Retained |
earnings |
£ |
At 1 January 2023 |
Deficit for the year | ( | ) |
Inputted Interest | (21,033 | ) |
At 31 December 2023 |
20. | Capital commitments |
The group had annual commitments under non-cancellable operating leases as set out below: |
2023 | 2023 | 2022 | 2022 |
Land and | Land and |
buildings | Other | buildings | Other |
£ | £ | £ | £ |
Operating leases which expire : |
Within one year | 150,000 | 1,475 | - | - |
Between one to five years | - | - | 150,000 | 1,475 |
More than five years | - | - | - | - |
-------------- | ---------- | ------------- | ---------- |
150,000 | 1,475 | 150,000 | 1,475 |
======= | ===== | ======= | ===== |
DCD LONDON & MUTUAL PLC (Registered number: 02896868) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
21. | Related party disclosures |
The following amounts were due from related parties : |
2023 | 2022 |
£ | £ |
Fan TV Ltd | 183,622 | 183,622 |
DCD Alliance | 100,000 | - |
DCD Holdings Ltd | 1,124,866 | 1,124,866 |
N-Genuis Vehicles Solutions | 442,624 | 327,551 |
The directors have considered the requirements of FRS 8 "Related Party Transactions", and have identified the companies detailed below to be related parties. The directors have not provided complete disclosure of the transactions with these companies, as they consider the disclosures to be excessive in length. In the opinion of the directors the failure to disclose all transactions does not have a significant impact on the financial statements. In addition, the directors are of the opinion that the transactions were undertaken on an arms length basis. |
The following companies have been identified as additional related parties arising primarily from property management and professional services: |
Tarhouse Management Limited |
22. | Ultimate controlling party |
At 31 December 2023 the company's ultimate parent company and controlling party was DCD Alliance Holdings Limited, a company incorporated in Seychelles, which is parent of both the smallest and largest groups of which the company is a member. |