Pennington Choices Group Limited
Annual report and Financial Statements
For the year ended 31 March 2024
Pennington Choices Group Limited
Company information
Director
Mr M Seaborn
Company number
13811500
Registered office
Brookfield House
Tarporley Road
Norcott Brook
Warrington
England
WA4 4EA
Auditor
DJH Audit Limited
St George's House
56 Peter Street
Manchester
M2 3NQ
Pennington Choices Group Limited
Contents
Page
Strategic report
1 - 7
Director's report
8 - 9
Independent auditor's report
10 - 13
Group statement of comprehensive income
14
Group statement of financial position
15
Company statement of financial position
16
Group statement of changes in equity
17
Company statement of changes in equity
18
Group statement of cash flows
19
Notes to the financial statements
20 - 34
Pennington Choices Group Limited
Strategic report
For the year ended 31 March 2024
- 1 -

The director presents the strategic report for the year ended 31 March 2024.

Review of the business

 

The 2023/24 financial year marked the final year of our second 5-year business planning cycle, during which the business achieved a turnover of £16.4 million. Performance exceeded both turnover and profit targets set against that plan.

 

The year was also a pivotal one for the business, marked by a change in share ownership through the mid-year completion of a partial management buyout, and the appointment of our new Managing Director, Greg Davies. This leadership transition is set to propel us into our next growth cycle, bringing fresh energy and perspective to the business. Furthermore, the partial management buyout has empowered all our directors with a stake in the business, fostering a deeper commitment and aligning our collective interests towards the growth and continued success of the company. This alignment of leadership and ownership will be a powerful catalyst as we embark on our next phase of growth.

 

Cost of living pressures continued to be a focal point during 2023/24 as the economy was still feeling the impact of the peak in inflation during 2022/23. The sharp rise in the cost of living across the UK during 2021 and 2022 saw the annual rate of inflation reach a 41 year high of 11.1% in October 2022. Although inflation eased in subsequent months, reaching the Bank of England’s target of 2.0% in May 2024 for the first time since July 2021, its impact on our overall cost of delivery was significant. The trading environment in 2023/24 was particularly challenging, as ongoing inflationary pressures fuelled the cost-of-living crisis, leading some clients to reduce their spending whilst exerting upward pressure on our cost of delivery .

 

In response, the Board sought to mitigate the impact of inflation by negotiating commensurate increases to contracts where possible. This approach allowed us to remain competitive in crucial aspects of the business, such as recruitment and retention of staff, and to protect our net profit levels for the year ending 31st March 2024. Our financially strong foundations, commitment to innovation, and diligent cost management have positioned us well to continue our growth journey and reach our future aspirations.

 

Our methodology for financial reporting will continue to be innovative, accurate and timely, enabling directors and managers to make early interventions and well-informed business decisions. We will continue to promote cohesion and support between key functional areas of the business, including sales, finance and operations to drive sustained growth.

 

As we enter a new 5-year growth journey ending in March 2029, we do so with optimism and determination. The coming years will be a period of transformation and exciting challenges as we strive to grow the business further. This plan will be anchored by three core facets: deepening our understanding of sales, strengthening our market position, and implementing process improvements and technological solutions. By adhering to our mission, vision and values, we aim to ensure that Pennington Choices remains a great place to work and continues to thrive in its ever evolving marketplace.

Pennington Choices Group Limited
Strategic report (continued)
For the year ended 31 March 2024
- 2 -
Principal risks and uncertainties

 

On at least an annual basis, we identify all pertinent strategic risks as part of our business planning process, with emerging risks being addressed as they arise during fortnightly Senior Management Team (SMT) Meetings. Through our embedded approach to risk management, the Board and wider company are well placed to navigate any uncertainty, and effectively manage the risks.

 

The Strategic Risk Register, managed by Corporate Services, is reviewed and updated quarterly with additional updates as needed for emerging risks. Each service area maintains its own Service Risk Register and relevant Project Managers manage Project RAAIDD (Risk, Assumption, Actions, Issues, Decisions, Dependencies) logs. The following are the top strategic risks and challenges with the biggest potential impact on the business:

 

Compliance and Quality Standards: Ensuring compliance and maintaining high-quality standards are essential to our operations. All managers and employees are responsible for operating safely and efficiently, guided by our accredited service delivery procedures which require Risk Assessment and Method Statements (RAMS) for all work. These RAMS help to identify and mitigate project risks through clearly defined control measures. The Board holds overall responsibility for this policy.

Our Business Continuity Management Plan is based on our strategic risk register and is designed to ensure resilience and the continuity of business-critical services during major incidents. It guarantees service delivery to customers, whilst supporting recovery operations. We record all major incidents or 'near misses' and update the plan accordingly. Business continuity is further embedded through employee training, rehearsal exercises and regular plan reviews. We run conduct scenario-based testing every six months to enhance our ability to manage threats to service delivery. The plan outlines Incident Management Team roles and responsibilities, immediate response protocols, site closures and procedures for standing down the plan.

 

Recruitment and Retention of Staff: Recruitment and retention have remained a major challenge over the past 12 months. We have increased our focus on proactive recruitment, ensuring we hire ahead of need, and continue to invest in our employees and development to maximising long-term retention. Our strategic talent management approach is designed to attract, retain and develop the best people, ensuring we deliver services to the highest standard and achieve our business goals. This strategy encompasses six core elements, including business context, assessing people, developing people, attracting people, retaining people and succession planning. We will continue to invest in trainees to strengthen the business of tomorrow and are committed to enhancing our induction process to provide each new employee with an informative and exceptional welcome to the organisation.

 

Pennington Choices Group Limited
Strategic report (continued)
For the year ended 31 March 2024
- 3 -

 

Climate Change and Net Zero: Addressing climate change and operating sustainably is both a strategic challenge and an opportunity. We are committed to reducing our current Greenhouse Gas (GHG) emissions and have set ambitious yet achievable targets of becoming Carbon Neutral by 2030. This commitment is outlined in our Carbon Reduction Plan (CRP), which details our current position based on data collected as part of our ISO14064 accreditation and provides a roadmap with key milestones and targets to achieve our goals.

 

We recognise our responsibility to support our clients in achieving their net zero goals. To do so, we have developed a robust data recording and data provision infrastructure that enables us to share our environmental management model (accredited to ISO14001) and GHG emission data from our service activities. Additionally, we offer direct support to clients on their net zero journey, whether related to their building portfolios or broader organisational activities. Our experts, equipped with industry-leading expertise, will work alongside our clients to provide innovative and effective solutions.

 

While our key service offerings have historically been influenced by government policy and legislation, we do not anticipate any major policy changes regarding climate change and net zero that would negatively impact our services. However, we remain vigilant to the risks and are prepared to respond to any challenges that arise.

 

IT Infrastructure: A robust IT infrastructure and strategy are crucial for delivering our services in a secure cyber environment and for driving improvements across business processes and systems. Staying ahead of technological advancements is essential to streamlining our operations and delivery models, thereby enhancing performance and profitability. We have made significant strides in integrating digital solutions, including software upgrades such as SimPRO, our cloud-based project management software, and HubSpot, our CRM system for sales and marketing.

 

Our efforts to strengthen internal security and IT processes have included incorporating Mimecast email filtering and migrating key data and systems to a secure cloud network. These improvements have enhanced our business system integration, earning us Cyber Essentials Plus accreditation and Bullet Proof Penetration certification. Business systems development and data management will remain key objectives and areas of focus for 2024/25.

Pennington Choices Group Limited
Strategic report (continued)
For the year ended 31 March 2024
- 4 -
Key performance indicators

 

Financial Health - Effective Financial Management

 

Year

 

2022/23

 

2023/24

Turnover

 

£14,001,082

 

£16,387,432

EBITDA

 

£1,748,531

 

£2,420,810

EBITDA %

 

12.5%

 

14%

 

 

 

 

 

 

 

In 2023/24, our turnover increased compared to the previous year, reflecting our continued growth and strong performance. This momentum allowed us to exceed our budgeted targets in both revenue and gross profit (GP). We achieved a GP of £5.4 million (33%), surpassing our budgeted GP of £5.1 million (31%) by £327k.However, the year was not without its challenges. Inflation significantly impacted our cost of delivery, creating pressure on resource management, efficiency, and profitability. Despite these obstacles, we successfully navigated these challenges, underscoring our resilience and adaptability.

 

Looking ahead, the Board remains steadfast in its commitment to achieving the ambitious targets set for our next 5-year business plan, which will run from April 2024 to March 2029. Our primary financial Key Business Objective (KBO) is to achieve consistent EBITDA growth, with a goal of reaching a net profit of £5.3 million by the end of the plan. Additionally, we have set financial objectives focused on cash flow management, debtor control, and cost management, all of which are overseen by our finance department. These objectives will be crucial as we strive to maintain our trajectory of growth and success.

Pennington Choices Group Limited
Strategic report (continued)
For the year ended 31 March 2024
- 5 -
Other performance indicators

 

Service Delivery/Productivity KPIs

 

We actively manage service delivery and productivity across all sectors of our business operations to ensure that we consistently meet or exceed client expectations. During the project mobilisation phase, we collaborate with clients to establish a comprehensive suite of key performance indicators (KPIs) that serve as the foundation for assessing our service performance. Continuous improvement is at the core of our approach, enabling us to refine and enhance our service offerings and consistently deliver high-quality services that represent value for money.

 

To ensure that each project meets these high standards, we appoint a director who is responsible for achieving value for money and ensuring that the contract aligns with both our ISO9001 accreditation and the specific requirements of our clients. Each business stream upholds its own service-specific accreditations, adhering to stringent delivery standards, such as UKAS 17020/17025 for Asbestos services, BAFE, IFE, and FPA for fire safety, and RICS for building surveying activities.

 

For every project, a contract manager is designated to build strong relationships and maintain clear lines of communication with client stakeholders. Our performance is tracked, measured, and reported against the pre-agreed KPI/SLA metrics during regular formal meetings with our clients. For instance, our KPI for void properties across all Asbestos contracts this financial year is to achieve a 95% completion rate within 3 days. Each meeting includes a dedicated agenda item to discuss KPIs and continuous improvement, where we share the latest industry developments, successes from other projects, and any updates to relevant legislation or guidance.

 

We are committed to continuous improvement, guided by our Continuous Improvement Policy and our ISO9001 quality management system. We conduct annual reviews and external audits to ensure the ongoing effectiveness of this system. This process includes identifying opportunities to enhance our services through lessons learned, KPI analysis, and client feedback. Furthermore, we have a formal review process for all projects, incorporating a holistic analysis of our performance against both external and internal KPIs throughout the contract term. We also benchmark our performance against similar contracts to ensure we maintain high standards.

 

Finally, we apply lessons learned from previous projects to our future operational methodology and models, ensuring that we continuously evolve and improve our service delivery. This commitment to reflection and adaptation allows us to stay ahead of industry trends and maintain our reputation for excellence in service delivery.

Pennington Choices Group Limited
Strategic report (continued)
For the year ended 31 March 2024
- 6 -
Other information and explanations

 

Staff Engagement

 

One of the most significant factors limiting our growth and commercial success is our ability to recruit and retain sufficient top talent. We have long recognised this challenge and have made it a Key Business Objective to be an excellent employer of exceptional people. We measure our employee engagement annually by participating in the Best Companies employee engagement survey, with the goal of maintaining our recognition as one of the top mid-sized companies to work for in the UK and consistently achieving a 1* or above accreditation.

 

In 2023, we were proud to be ranked among the top ten best architect and surveyor companies to work for in the UK and the 31st best mid-sized company to work for in London. This recognition reflects our ongoing commitment to creating a workplace where our employees can thrive.

 

This year, we made significant investments in our people and organisational capabilities. We focused on enhancing the development of our team through targeted training and developmental activities and ensuring that our salary offerings are competitive with market rates. Our goal is to create an environment where our people can flourish, benefiting both our clients and our business.

 

In 2024, we achieved Gold accreditation from Investor in Customers, underscoring our vision and commitment to continuous improvement. This accreditation highlights our proactive approach to seeking feedback, which enables us to refine and improve our processes, services, and overall customer satisfaction. Achieving Gold not only recognises our success in providing high-quality experiences for both our customers and employees but also reinforces the trust and confidence that our stakeholders have in our brand. This trust is crucial as we strive to continue attracting and retaining top talent and clients.

 

We continue to promote our Employer Brand campaign # LifeAtPC, which showcases what it's like to work at Pennington Choices. The campaign features content from our employees, offering potential recruits a glimpse into our culture and values, allowing them to "look through the window" and experience what it means to be part of our team. By attracting the best new talent and uniting our existing talented people, # LifeAtPC strengthens our team and fosters a positive work environment.

 

Our commitment to attracting and retaining staff has also driven the implementation of our people plan. This plan focuses on organisational development, driving company performance in a rapidly changing environment, and enhancing the experiences of both employees and stakeholders. As part of this plan, we introduced changes to our working environment, such as reducing the standard workweek to 37.5 hours from 40 hours. These initiatives have contributed to a year-on-year decline in staff turnover, from 37% in 2021 to 30% in 2022, and further down to 26% in 2023.

 

The people plan also introduced new internal communication channels, leading to higher engagement levels across social platforms and increased employee attendance at company-organised events. We remain committed to building on our employer brand and improving our company culture. As part of this ongoing effort, we are working towards B Corp certification in 2024/25, demonstrating our commitment to balancing people, planet, and profit. We believe that this certification will further support our mission to attract and retain top talent, increase engagement levels, and enhance our reputation among potential recruits and clients.

Pennington Choices Group Limited
Strategic report (continued)
For the year ended 31 March 2024
- 7 -

On behalf of the board

Mr M Seaborn
Director
30 September 2024
Pennington Choices Group Limited
Director's report
For the year ended 31 March 2024
- 8 -

The director presents his annual report and financial statements for the year ended 31 March 2024.

Principal activities

The principal activity of the company and group continued to be that of property surveying, consultancy and project management services.

Results and dividends

The results for the year are set out on page 14.

Ordinary dividends were paid amounting to £550,547.The director does not recommend payment of a further dividend.

Director

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

Mr M Seaborn
Statement of director's responsibilities

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

 

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:

 

 

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the 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. He is 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.

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.

Pennington Choices Group Limited
Director's report (continued)
For the year ended 31 March 2024
- 9 -
On behalf of the board
Mr M Seaborn
Director
30 September 2024
Pennington Choices Group Limited
Independent auditor's report
To the members of Pennington Choices Group Limited
- 10 -
Opinion

We have audited the financial statements of Pennington Choices Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the group statement of comprehensive income, the group statement of financial position, the company statement of financial position, 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 director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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 director with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The director is responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

Pennington Choices Group Limited
Independent auditor's report (continued)
To the members of Pennington Choices Group Limited
- 11 -

Opinions on other matters prescribed by the Companies Act 2006

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

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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the director's report.

 

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

Responsibilities of director

As explained more fully in the director's responsibilities statement, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the director is responsible for assessing the 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 director either intends to liquidate the parent company or to cease operations, or has no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Pennington Choices Group Limited
Independent auditor's report (continued)
To the members of Pennington Choices Group Limited
- 12 -

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the company through discussions with directors and other management;

- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including legislation such as the Companies Act 2006, taxation legislation, data protection, employment, and health and safety legislation;

- we assessed the extent of compliance with the laws and regulations through making enquiries of management and reviewing legal and professional fee invoices and inspecting legal correspondence; and

- identified laws and regulations were communicated within the audit team and the audit team remained alert to instances of non-compliance throughout the audit.

 

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

 

To address the risk of fraud through management bias and override of controls, we:

- performed analytical procedures to identify any unusual or unexpected relationships;

- tested journal entries posted during the period and at the period end to identify unusual transactions and agreed to underlying supporting documentation;

- investigated the rationale behind significant or unusual transactions; and

- performed walkthrough tests on major transaction cycles; and

- performed detailed testing relating to the significant accounting estimate of the dilapidation provision.

 

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

- agreeing financial statement disclosures to underlying supporting documentation;

- enquiring of management as to actual and potential litigation and claims;

- reviewing correspondence with regulators; and

- reviewing legal and professional fees incurred during the period to identify any potential indications of non-compliance with laws and regulations.

 

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

 

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

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

Pennington Choices Group Limited
Independent auditor's report (continued)
To the members of Pennington Choices Group Limited
- 13 -
Susan Redmond FCA
30 September 2024
Senior Statutory Auditor
For and on behalf of DJH Audit Limited
Accountants and registered auditors
St George's House
56 Peter Street
Manchester
M2 3NQ
Pennington Choices Group Limited
Group statement of comprehensive income
For the year ended 31 March 2024
- 14 -
Year
Period
ended
ended
31 March
31 March
2024
2023
Notes
£
£
Turnover
3
16,387,431
14,001,082
Cost of sales
(5,777,050)
(5,202,864)
Gross profit
10,610,381
8,798,218
Distribution costs
(803,432)
(667,008)
Administrative expenses
(7,679,194)
(6,538,825)
Operating profit
4
2,127,755
1,592,385
Interest receivable and similar income
7
21,857
7,339
Interest payable and similar expenses
8
(48,166)
(3,365)
Profit before taxation
2,101,446
1,596,359
Tax on profit
9
(531,777)
(365,053)
Profit for the financial year
1,569,669
1,231,306
Profit for the financial year is all attributable to the owners of the parent company.
Total comprehensive income for the year is all attributable to the owners of the parent company.
Pennington Choices Group Limited
Group statement of financial position
As at 31 March 2024
31 March 2024
- 15 -
2024
2023
Notes
£
£
£
£
Fixed assets
Goodwill
11
197,682
230,691
Tangible assets
12
397,081
388,030
594,763
618,721
Current assets
Debtors
15
9,120,376
3,801,033
Cash at bank and in hand
1,049,441
2,213,810
10,169,817
6,014,843
Creditors: amounts falling due within one year
16
(3,090,134)
(1,823,753)
Net current assets
7,079,683
4,191,090
Total assets less current liabilities
7,674,446
4,809,811
Creditors: amounts falling due after more than one year
17
(1,898,032)
(27,682)
Provisions for liabilities
Provisions
19
-
0
20,160
Deferred tax liability
20
77,038
68,404
(77,038)
(88,564)
Net assets
5,699,376
4,693,565
Capital and reserves
Called up share capital
22
950
945
Share premium account
3,983,903
3,977,221
Capital redemption reserve
325
323
Profit and loss reserves
1,714,198
715,076
Total equity
5,699,376
4,693,565
The financial statements were approved and signed by the director and authorised for issue on 30 September 2024
30 September 2024
Mr M Seaborn
Director
Company registration number 13811500 (England and Wales)
Pennington Choices Group Limited
Company statement of financial position
As at 31 March 2024
31 March 2024
- 16 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investments
13
3,945,543
3,945,543
Current assets
Debtors
15
3,843,775
-
0
Cash at bank and in hand
50,309
1,000,000
3,894,084
1,000,000
Creditors: amounts falling due within one year
16
(917,273)
-
Net current assets
2,976,811
1,000,000
Total assets less current liabilities
6,922,354
4,945,543
Creditors: amounts falling due after more than one year
17
(1,873,426)
-
Net assets
5,048,928
4,945,543
Capital and reserves
Called up share capital
22
950
945
Share premium account
3,951,280
3,944,598
Capital redemption reserve
2
-
0
Profit and loss reserves
1,096,696
1,000,000
Total equity
5,048,928
4,945,543

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £667,242 (2023 - £1,379,067 profit).

The financial statements were approved and signed by the director and authorised for issue on 30 September 2024
30 September 2024
Mr M Seaborn
Director
Company registration number 13811500 (England and Wales)
Pennington Choices Group Limited
Group statement of changes in equity
For the year ended 31 March 2024
- 17 -
Share capital
Share premium account
Capital redemption reserve
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 21 December 2021
-
0
-
0
-
0
-
0
-
Period ended 31 March 2023:
Profit and total comprehensive income
-
-
-
1,231,306
1,231,306
Issue of share capital
22
945
-
0
-
-
945
Dividends
10
-
-
-
(516,230)
(516,230)
Other movements
-
3,977,221
323
-
3,977,544
Balance at 31 March 2023
945
3,977,221
323
715,076
4,693,565
Year ended 31 March 2024:
Profit and total comprehensive income
-
-
-
1,569,669
1,569,669
Issue of share capital
22
7
-
0
-
-
7
Dividends
10
-
-
-
(550,547)
(550,547)
Reduction of shares
22
(2)
-
-
(20,000)
(20,002)
Other movements
-
6,682
2
-
6,684
Balance at 31 March 2024
950
3,983,903
325
1,714,198
5,699,376
Pennington Choices Group Limited
Company statement of changes in equity
For the year ended 31 March 2024
- 18 -
Share capital
Share premium account
Capital redemption reserve
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 21 December 2021
-
0
-
0
-
0
-
0
-
Period ended 31 March 2023:
Profit and total comprehensive income for the period
-
-
-
1,379,067
1,379,067
Issue of share capital
22
945
-
0
-
-
945
Dividends
10
-
-
-
(379,067)
(379,067)
Other movements
-
3,944,598
-
-
3,944,598
Balance at 31 March 2023
945
3,944,598
-
0
1,000,000
4,945,543
Year ended 31 March 2024:
Profit and total comprehensive income
-
-
-
667,243
667,243
Issue of share capital
22
7
-
0
-
-
7
Dividends
10
-
-
-
(550,547)
(550,547)
Reduction of shares
22
(2)
-
-
(20,000)
(20,002)
Other movements
-
6,682
2
-
6,684
Balance at 31 March 2024
950
3,951,280
2
1,096,696
5,048,928
Pennington Choices Group Limited
Group statement of cash flows
For the year ended 31 March 2024
- 19 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
1
507,611
1,164,752
Interest paid
(48,166)
(3,365)
Income taxes paid
(319,811)
(26,204)
Net cash inflow from operating activities
139,634
1,135,183
Investing activities
Purchase of tangible fixed assets
(283,684)
(260,662)
Proceeds from disposal of tangible fixed assets
191,024
1,801
Purchase of subsidiaries, net of cash acquired
-
2,167,706
Loans made to other entities
(3,336,125)
-
Repayment of loans
383,734
(315,789)
Interest received
21,857
7,339
Net cash used in investing activities
(3,023,194)
(1,600,395)
Financing activities
Redemption of shares
(20,000)
-
0
Repayment of borrowings
-
(5,538)
Proceeds from new bank loans
2,380,500
-
Repayment of bank loans
(97,451)
-
Dividends paid to equity shareholders
(550,547)
(516,230)
Net cash generated from/(used in) financing activities
1,712,502
(521,768)
Net decrease in cash and cash equivalents
(1,171,058)
(2,213,810)
Cash and cash equivalents at beginning of year
2,213,810
-
0
Cash and cash equivalents at end of year
1,049,441
2,213,810
Pennington Choices Group Limited
Group statement of cash flows (continued)
For the year ended 31 March 2024
- 20 -
1
Cash generated from group operations
2024
2023
£
£
Profit for the year after tax
1,569,669
1,230,361
Adjustments for:
Taxation charged
531,777
365,053
Finance costs
48,166
3,365
Investment income
(21,857)
(7,339)
(Gain)/loss on disposal of tangible fixed assets
(44,233)
13,025
Amortisation and impairment of intangible assets
33,009
33,009
Depreciation and impairment of tangible fixed assets
127,842
110,111
Decrease in provisions
(20,160)
-
Movements in working capital:
Increase in debtors
(1,859,302)
(489,927)
Increase/(decrease) in creditors
142,700
(92,906)
Cash generated from operations
507,611
1,164,752
2
Accounting policies
Company information

Pennington Choices Group Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is Brookfield House, Tarporley Road, Norcott Brook, Warrington, WA4 4EA.

 

The group consists of Pennington Choices Group Limited and all of its subsidiaries.

2.1
Reporting period

In the financial statements to 31 March 2023, the reporting period was 465 days. The reason for the financial statements covering an extended period was due to operational reasons. This will therefore mean that the financial statements (including related notes) will not be entirely comparable with the current period.

2.2
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, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

Pennington Choices Group Limited
Notes to the group financial statements
For the year ended 31 March 2024
2
Accounting policies
(Continued)
- 21 -

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:

 

2.3
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.

2.4
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Pennington Choices Group 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 March 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

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.

Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
2
Accounting policies
(Continued)
- 22 -

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 statement of financial position 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.

2.5
Going concern

At the time of approving the financial statements, the director has a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the director continues to adopt the going concern basis of accounting in preparing the financial statements.

2.6
Turnover

Turnover is recognised to the extent it is possible that the economic benefits will flow to the company and it can be measured reliably. Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates and VAT.

Amounts recoverable on contracts

Amounts recoverable on contracts is valued at the stage of completion of unbilled services rendered at the balance sheet date.

2.7
Intangible fixed assets - goodwill

Goodwill, being the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

 

2.8
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:

Leasehold improvements
20% on cost
Fixtures and fittings
15% on cost
Computers
33% on cost
Motor vehicles
25% on reducing balance
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
2
Accounting policies
(Continued)
- 23 -

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 income statement.

2.9
Fixed asset investments

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost.

2.10
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.

2.11
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 statement of financial position 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.

Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
2
Accounting policies
(Continued)
- 24 -
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.

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.

2.12
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 income statement 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.

Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
2
Accounting policies
(Continued)
- 25 -
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 income statement, 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.

2.13
Provisions

Provisions are recognised when the group has a legal or constructive present obligation as a result of a past event, it is probable that the group will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

 

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

2.14
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.

2.15
Retirement benefits

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

Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
- 26 -
3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by class of business
Consultancy & training
1,337,006
1,099,304
Projects & quantity surveying
2,304,329
1,631,522
Fire protection services
1,778,323
1,282,782
Technical auditing
535,419
223,048
Energy services
1,340,380
1,301,109
Asbestos services
5,600,490
5,894,939
Stock condition services
3,058,046
1,967,205
Passive fire
433,438
601,173
16,387,431
14,001,082
2024
2023
£
£
Turnover analysed by geographical market
United Kingdom
16,387,431
14,001,082
2024
2023
£
£
Other revenue
Interest income
21,857
7,339
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Depreciation of owned tangible fixed assets
127,842
110,111
(Profit)/loss on disposal of tangible fixed assets
(44,233)
13,025
Amortisation of intangible assets
33,009
33,009
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
-
-
Audit of the financial statements of the company's subsidiaries
17,000
20,000
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
- 27 -
6
Employees

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

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Directors
8
8
-
-
Accounts
4
3
-
-
Admin
6
4
-
-
Sales
8
7
-
-
Services
123
111
-
-
Total
149
133
-
0
-
0

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
5,464,632
4,460,839
-
0
-
0
Social security costs
534,708
539,059
-
-
Pension costs
237,854
140,490
-
0
-
0
6,237,194
5,140,388
-
0
-
0
7
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
21,857
7,339
8
Interest payable and similar expenses
2024
2023
£
£
Interest on bank overdrafts and loans
48,166
340
Other interest
-
3,025
Total finance costs
48,166
3,365
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
- 28 -
9
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
552,814
272,177
Adjustments in respect of prior periods
(29,671)
74,059
Total current tax
523,143
346,236
Deferred tax
Origination and reversal of timing differences
8,634
18,817
Total tax charge
531,777
365,053

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

2024
2023
£
£
Profit before taxation
2,101,446
1,596,359
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
525,362
303,308
Tax effect of expenses that are not deductible in determining taxable profit
14,427
(8,701)
Permanent capital allowances in excess of depreciation
21,659
(3,613)
Under/(over) provided in prior years
(29,671)
-
0
Adjustment to tax charge in respect of previous periods
-
0
74,059
Taxation charge
531,777
365,053

The effective rate of corporation tax for the financial year ended 31 March 2024 for the group is 20%.

In the UK budget on 11 March 2020, it was announced legislation will be introduced in the Finance Bill 2021 to set the charge to corporation tax main rate at 25%. This change was effective from 1 April 2023.

10
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Interim paid
550,547
379,067
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
- 29 -
11
Intangible fixed assets
Group
Goodwill
£
Cost
At 1 April 2023 and 31 March 2024
616,317
Amortisation and impairment
At 1 April 2023
385,626
Amortisation charged for the year
33,009
At 31 March 2024
418,635
Carrying amount
At 31 March 2024
197,682
At 31 March 2023
230,691
The company had no intangible fixed assets at 31 March 2024 or 31 March 2023.
12
Tangible fixed assets
Group
Leasehold improvements
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2023
1,137
319,050
311,450
493,215
1,124,852
Additions
-
0
67,549
72,705
143,430
283,684
Disposals
-
0
(175,926)
(249,510)
(389,429)
(814,865)
At 31 March 2024
1,137
210,673
134,645
247,216
593,671
Depreciation and impairment
At 1 April 2023
682
184,680
266,032
285,428
736,822
Depreciation charged in the year
455
28,413
32,107
66,867
127,842
Eliminated in respect of disposals
-
0
(168,146)
(246,987)
(252,941)
(668,074)
At 31 March 2024
1,137
44,947
51,152
99,354
196,590
Carrying amount
At 31 March 2024
-
0
165,726
83,493
147,862
397,081
At 31 March 2023
455
134,370
45,418
207,787
388,030
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
12
Tangible fixed assets
(Continued)
- 30 -
The company had no tangible fixed assets at 31 March 2024 or 31 March 2023.
13
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
14
-
0
-
0
3,945,543
3,945,543
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 April 2023 and 31 March 2024
3,945,543
Carrying amount
At 31 March 2024
3,945,543
At 31 March 2023
3,945,543
14
Subsidiaries

Details of the company's subsidiaries at 31 March 2024 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Indirect
Pennington Choices Limited
Brookfield House Tarporley Road, Norcott Brook, Warrington, England, WA4 4EA
Ordinary
100.00
-
Pennington Audit Ltd
Brookfield House Tarporley Road, Norcott Brook, Warrington, England, WA4 4EA
Ordinary
0
100.00
Pennington Asbestos Ltd
Brookfield House Tarporley Road, Norcott Brook, Warrington, England, WA4 4EA
Ordinary
0
100.00
Pennington Fire Ltd
Brookfield House Tarporley Road, Norcott Brook, Warrington, England, WA4 4EA
Ordinary
0
100.00
Auburn Ainsley Ltd
Brookfield House Tarporley Road, Norcott Brook, Warrington, England, WA4 4EA
Ordinary
0
100.00
Pennington Ainsley Ltd
Summit House, 4 - 5 Mitchell Street, Edinburgh, United Kingdom, EH6 7BD
Ordinary
0
100.00
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
- 31 -
15
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
3,700,615
2,803,493
-
0
-
0
Gross amounts owed by contract customers
413,192
358,287
-
0
-
0
Other debtors
4,737,631
388,086
3,843,775
-
0
Prepayments and accrued income
268,938
251,167
-
0
-
0
9,120,376
3,801,033
3,843,775
-
16
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans
18
409,623
-
0
409,623
-
0
Trade creditors
742,751
563,847
-
0
-
0
Amounts owed to group undertakings
-
0
-
0
507,650
-
0
Corporation tax payable
552,814
349,482
-
0
-
0
Other taxation and social security
733,397
600,782
-
-
Other creditors
143,722
65,709
-
0
-
0
Accruals and deferred income
507,827
243,933
-
0
-
0
3,090,134
1,823,753
917,273
-
0
17
Creditors: amounts falling due after more than one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
18
1,873,426
-
0
1,873,426
-
0
Other creditors
24,606
27,682
-
0
-
0
1,898,032
27,682
1,873,426
-
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
- 32 -
18
Loans and overdrafts
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank loans
2,283,049
-
0
2,283,049
-
0
Payable within one year
409,623
-
0
409,623
-
0
Payable after one year
1,873,426
-
0
1,873,426
-
0

The long-term loans are secured by fixed and floating charges over all assets of the company.

19
Provisions for liabilities
Group
Company
2024
2023
2024
2023
£
£
£
£
Warranty provisions
-
20,160
-
-
20
Deferred taxation

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

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
77,038
68,404
The company has no deferred tax assets or liabilities.
Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
20
Deferred taxation
(Continued)
- 33 -
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 April 2023
68,404
-
Charge to profit or loss
8,634
-
Liability at 31 March 2024
77,038
-
21
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
237,854
140,490

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.

22
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
945
945
950
945
23
Related party transactions
Transactions with related parties

The following amounts were outstanding at the reporting end date:

Amounts due from related parties
2024
2023
Balance
Balance
£
£
Group
Other related parties
3,837,086
-
24
Ultimate controlling party

By virtue of the shareholding in the company, the ultimate controlling party is Mr M Seaborn.

Pennington Choices Group Limited
Notes to the group financial statements (continued)
For the year ended 31 March 2024
- 34 -
25
Analysis of changes in net funds/(debt) - group
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
2,213,810
(1,164,369)
1,049,441
Borrowings excluding overdrafts
-
(2,283,049)
(2,283,049)
2,213,810
(3,447,418)
(1,233,608)
2024-03-312023-04-01falseCCH SoftwareCCH Accounts Production 2024.200Mr M Seabornfalsefalse138115002023-04-012024-03-3113811500bus:Director12023-04-012024-03-3113811500bus:RegisteredOffice2023-04-012024-03-3113811500bus:Consolidated2024-03-31138115002024-03-3113811500bus:Consolidated2023-04-012024-03-3113811500bus:Consolidated2021-12-212023-03-31138115002021-12-212023-03-3113811500core:Goodwillbus:Consolidated2024-03-3113811500core:Goodwillbus:Consolidated2023-03-3113811500bus:Consolidated2023-03-3113811500core:LeaseholdImprovementsbus:Consolidated2024-03-3113811500core:FurnitureFittingsbus:Consolidated2024-03-3113811500core:ComputerEquipmentbus:Consolidated2024-03-3113811500core:MotorVehiclesbus:Consolidated2024-03-3113811500core:LeaseholdImprovementsbus:Consolidated2023-03-3113811500core:FurnitureFittingsbus:Consolidated2023-03-3113811500core:ComputerEquipmentbus:Consolidated2023-03-3113811500core:MotorVehiclesbus:Consolidated2023-03-3113811500core:ShareCapitalbus:Consolidated2024-03-3113811500core:ShareCapitalbus:Consolidated2023-03-3113811500core:SharePremiumbus:Consolidated2024-03-3113811500core:SharePremiumbus:Consolidated2023-03-3113811500core:CapitalRedemptionReservebus:Consolidated2024-03-3113811500core:CapitalRedemptionReservebus:Consolidated2023-03-3113811500core:ShareCapital2024-03-3113811500core:ShareCapital2023-03-3113811500core:SharePremium2024-03-3113811500core:SharePremium2023-03-3113811500core:CapitalRedemptionReserve2024-03-3113811500core:CapitalRedemptionReserve2023-03-3113811500core:RetainedEarningsAccumulatedLosses2024-03-3113811500core:ShareCapitalbus:Consolidated2021-12-2013811500core:SharePremiumbus:Consolidated2021-12-2013811500core:CapitalRedemptionReservebus:Consolidated2021-12-2013811500core:RetainedEarningsAccumulatedLossesbus:Consolidated2021-12-2013811500core:RetainedEarningsAccumulatedLossesbus:Consolidated2023-03-3113811500core:RetainedEarningsAccumulatedLossesbus:Consolidated2024-03-3113811500core:ShareCapital2021-12-2013811500core:SharePremium2021-12-2013811500core:CapitalRedemptionReserve2021-12-2013811500core:RetainedEarningsAccumulatedLosses2021-12-2013811500core:RetainedEarningsAccumulatedLosses2023-03-31138115002023-03-3113811500core:ShareCapitalbus:Consolidated2021-12-212023-03-3113811500core:SharePremiumbus:Consolidated2021-12-212023-03-3113811500core:ShareCapitalbus:Consolidated2023-04-012024-03-3113811500core:SharePremiumbus:Consolidated2023-04-012024-03-3113811500core:ShareCapital2021-12-212023-03-3113811500core:SharePremium2021-12-212023-03-3113811500core:ShareCapital2023-04-012024-03-3113811500core:SharePremium2023-04-012024-03-3113811500bus:Consolidated2021-12-2013811500core:Goodwill2023-04-012024-03-3113811500core:LeaseholdImprovements2023-04-012024-03-3113811500core:FurnitureFittings2023-04-012024-03-3113811500core:ComputerEquipment2023-04-012024-03-3113811500core:MotorVehicles2023-04-012024-03-3113811500core:UKTaxbus:Consolidated2023-04-012024-03-3113811500core:UKTaxbus:Consolidated2021-12-212023-03-3113811500bus:Consolidated12023-04-012024-03-3113811500bus:Consolidated12021-12-212023-03-3113811500bus:Consolidated22023-04-012024-03-3113811500bus:Consolidated22021-12-212023-03-3113811500core:Goodwillbus:Consolidated2023-03-3113811500core:Goodwillbus:Consolidated2023-04-012024-03-3113811500core:LeaseholdImprovementsbus:Consolidated2023-03-3113811500core:FurnitureFittingsbus:Consolidated2023-03-3113811500core:ComputerEquipmentbus:Consolidated2023-03-3113811500core:MotorVehiclesbus:Consolidated2023-03-3113811500bus:Consolidated2023-03-3113811500core:LeaseholdImprovementsbus:Consolidated2023-04-012024-03-3113811500core:FurnitureFittingsbus:Consolidated2023-04-012024-03-3113811500core:ComputerEquipmentbus:Consolidated2023-04-012024-03-3113811500core:MotorVehiclesbus:Consolidated2023-04-012024-03-3113811500core:Subsidiary12023-04-012024-03-3113811500core:Subsidiary22023-04-012024-03-3113811500core:Subsidiary32023-04-012024-03-3113811500core:Subsidiary42023-04-012024-03-3113811500core:Subsidiary52023-04-012024-03-311381150012023-04-012024-03-3113811500core:Subsidiary112023-04-012024-03-3113811500core:CurrentFinancialInstrumentsbus:Consolidated2024-03-3113811500core:CurrentFinancialInstrumentsbus:Consolidated2023-03-3113811500core:CurrentFinancialInstruments2024-03-3113811500core:CurrentFinancialInstruments2023-03-3113811500core:WithinOneYearbus:Consolidated2024-03-3113811500core:WithinOneYearbus:Consolidated2023-03-3113811500core:CurrentFinancialInstrumentscore:WithinOneYear2024-03-3113811500core:CurrentFinancialInstrumentscore:WithinOneYear2023-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYearbus:Consolidated2024-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYearbus:Consolidated2023-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYear2024-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYear2023-03-3113811500core:CurrentFinancialInstrumentscore:WithinOneYearbus:Consolidated2024-03-3113811500core:CurrentFinancialInstrumentscore:WithinOneYearbus:Consolidated2023-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYearbus:Consolidated12024-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYearbus:Consolidated12023-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYear22024-03-3113811500core:Non-currentFinancialInstrumentscore:AfterOneYear22023-03-3113811500bus:PrivateLimitedCompanyLtd2023-04-012024-03-3113811500bus:FRS1022023-04-012024-03-3113811500bus:Audited2023-04-012024-03-3113811500bus:ConsolidatedGroupCompanyAccounts2023-04-012024-03-3113811500bus:FullAccounts2023-04-012024-03-31xbrli:purexbrli:sharesiso4217:GBP