Company Registration No. 13767565 (England and Wales)
LONDON WALL OFFICE LIMITED
FINANCIAL STATEMENTS
FOR THE PERIOD FROM 26 NOVEMBER 2021 TO 31 MARCH 2023
PAGES FOR FILING WITH REGISTRAR
John Cumming Ross Limited
Chartered Certified Accountants
1st Floor, Kirkland House
11-15 Peterborough Road
Harrow
Middlesex
HA1 2AX
LONDON WALL OFFICE LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
LONDON WALL OFFICE LIMITED
BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 1 -
2023
Notes
£
£
Fixed assets
Tangible assets
3
20,677,660
Current assets
Debtors
4
1,234,020
Cash at bank and in hand
983,156
2,217,176
Creditors: amounts falling due within one year
5
(21,601,094)
Net current liabilities
(19,383,918)
Net assets
1,293,742
Capital and reserves
Called up share capital
7
100
Profit and loss reserves
1,293,642
Total equity
1,293,742
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 18 November 2024 and are signed on its behalf by:
Mr H S Matharu
Director
Company Registration No. 13767565
LONDON WALL OFFICE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD FROM 26 NOVEMBER 2021 TO 31 MARCH 2023
- 2 -
1
Accounting policies
Company information
London Wall Office Limited is a private company limited by shares incorporated in England and Wales. The registered office is 72-75 Red Lion Street, London, WC1R 4NA.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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.
1.2
Going concern
At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company had net current liabilities at 31 March 2023. Globalgem Hotels Limited a fellow group undertaking has agreed to provide ongoing financial support to the company. Hence, the directors have chosen to continue to adopt the going concern basis of accounting in preparing the financial statements. true
1.3
Reporting period
The financial statements are presented for a period longer than one year. The directors have opted to align the financial year end with that of its parent undertaking.
1.4
Turnover
Turnover represents rental income excluding value added tax, on assets leased under operating leases and is recognised on a straight line basis over the lease term.
1.5
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:
Freehold land and buildings
1% - 2% per annum on a stright line basis
Plant and equipment
20% per annum on a straight line basis
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
LONDON WALL OFFICE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD FROM 26 NOVEMBER 2021 TO 31 MARCH 2023
1
Accounting policies
(Continued)
- 3 -
Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.
The Companies Act requires all property to be depreciated. However, this requirement conflicts with the generally accepted accounting principle set out in FRS 102. The directors consider that, because investment properties are not held for consumption, but for their investment potential, to depreciate them would not give a true and fair view.
If this departure from the Companies Act 2006 had not been made in order to give a true and fair view, the profit for the financial year would have been reduced by depreciation. However, the amount of depreciation cannot reasonable be quantified, because depreciation is only one of many factors reflected in the annual valuation and the amount relating to the depreciation of the property cannot be separately identified.
1.6
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.7
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
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.
LONDON WALL OFFICE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD FROM 26 NOVEMBER 2021 TO 31 MARCH 2023
1
Accounting policies
(Continued)
- 4 -
Basic financial liabilities
Basic financial liabilities, including creditors, and loans from fellow group companies, 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.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has 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
Employees
The average monthly number of persons (including directors) employed by the company during the period was:
2023
Number
Total
4
LONDON WALL OFFICE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD FROM 26 NOVEMBER 2021 TO 31 MARCH 2023
- 5 -
3
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 26 November 2021
Additions
20,677,007
687
20,677,694
At 31 March 2023
20,677,007
687
20,677,694
Depreciation and impairment
At 26 November 2021
Depreciation charged in the period
34
34
At 31 March 2023
34
34
Carrying amount
At 31 March 2023
20,677,007
653
20,677,660
Land and buildings comprise entirely of investment properties, which are valued by the Directors. The Directors have considered the investment properties and, in their opinion, there is no material difference between the carrying value and the market value at 31 March 2023.
4
Debtors
2023
Amounts falling due within one year:
£
Amounts owed by group undertakings
100
Other debtors
276,409
276,509
Deferred tax asset (note 6)
957,511
1,234,020
Amounts owed by group undertakings are interest free and repayable on demand.
LONDON WALL OFFICE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD FROM 26 NOVEMBER 2021 TO 31 MARCH 2023
- 6 -
5
Creditors: amounts falling due within one year
2023
£
Trade creditors
122,186
Amounts owed to group undertakings
20,856,889
Taxation and social security
19,840
Other creditors
602,179
21,601,094
Amounts owed to fellow group undertakings are interest free and repayable on demand.
6
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Assets
2023
Balances:
£
Accelerated capital allowances
957,511
2023
Movements in the period:
£
Liability at 26 November 2021
-
Credit to profit or loss
(957,511)
Asset at 31 March 2023
(957,511)
7
Called up share capital
2023
2023
Ordinary share capital
Number
£
Issued, allotted and fully paid
Ordinary equity shares of £1 each
100
100
8
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
The senior statutory auditor was Balvantkumar B Patel and the auditor was John Cumming Ross Limited.
LONDON WALL OFFICE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD FROM 26 NOVEMBER 2021 TO 31 MARCH 2023
- 7 -
9
Related party transactions
Transactions with related parties
During the period the company entered into the following transactions with related parties:
At the balance sheet date, an amount of £20,856,889 was due to Globalgem Hotels Limited, a fellow group undertaking.
At the balance sheet date, an amount of £100 was due from New Gem Holdings Limited, the parent undertaking.