Company registration number 09039776 (England and Wales)
SUNDERLAND GP ALLIANCE LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
SUNDERLAND GP ALLIANCE LIMITED
COMPANY INFORMATION
Directors
M Weatherhead
R Mackinnon
J Bell
G R R Bethapudi
T Lucas
C Aitken
T M M I Mansour
(Appointed 1 August 2024)
S D Childs
(Appointed 1 June 2025)
Company number
09039776
Registered office
Second Floor Business & Innovation Centre
Wearfield
Sunderland
SR5 2TA
Accountants
RMT Accountants and Business Advisors Ltd
Gosforth Park Avenue
Newcastle upon Tyne
NE12 8EG
Auditor
Sumer Auditco Limited
Unit 2
Gosforth Park Avenue
Newcastle Upon Tyne
NE12 8EG
SUNDERLAND GP ALLIANCE LIMITED
CONTENTS
Page
Strategic report
1 - 3
Directors' report
4 - 5
Independent auditor's report
6 - 8
Profit and loss account
9
Statement of comprehensive income
10
Balance sheet
11
Statement of changes in equity
12
Statement of cash flows
13
Notes to the financial statements
14 - 23
SUNDERLAND GP ALLIANCE LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2025
- 1 -

The directors present the strategic report for the year ended 31 March 2025.

Fair Review of the Business

Sunderland GP Alliance (‘SGPA’) is a clinically led not-for-profit organisation owned by the GP practices of Sunderland, helping GPs work collaboratively for the benefit of patients and staff. Any surplus funds are reinvested into the services provided by the organisation. Founded in 2014, SGPA provides a portfolio of NHS funded services in Sunderland. These services include:

 

Many of these services utilise staff recruited under NHS England’s Additional Roles Reimbursement Scheme (ARRS).

SGPA also run practices in Silksworth, South Hylton, Barmston and at The Galleries shopping centre, where we aim to provide the best possible services for patients. South Hylton surgery was rated "outstanding" by the Care Quality Commission in February 2025 and New Silksworth and Monument (Barmston and the Galleries) have been rated as ‘good’ .

Meanwhile, a number of SGPA's other services support the wider system to function effectively and sustainably. These include the delivery of decision support tools for clinicians, the recruitment and retention of GPs in an area where recruitment has been historically difficult, and providing additional resilience to address winter pressures.

 

 

SUNDERLAND GP ALLIANCE LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 2 -
Principal Risks and Uncertainties

The management of the business and the execution of the company’s strategy are subject to a number of risks. The board reviews these risks, and puts in place policies to mitigate them.

Recruitment

Whilst the shortage of GPs has eased over the last twelve months, there continues to be a shortage of some key skill sets, most notably Practice Nurses. As such, there is a risk that the organisation becomes overly reliant on the locum workforce at a significant additional cost to the business. To mitigate this risk, the company has set itself the ambition of being an employer of choice, and operates attractive terms and conditions, including an enhanced benefits package, and an open and inclusive culture as evidenced by its achievement of The Sunday Times Best Places to Work award which it has retained in 2025. Meanwhile, the organisation is actively diversifying its workforce through the use of allied health professionals, has established itself as a training practice for qualifying GPs, and is a Tier 2 sponsor for the employment of non-UK nationals.

System Reorganisation

In March 2025, the Government announced the dissolution of NHS England with its functions to be absorbed by the Department of Health and Social Care. In addition, ICBs have been instructed to cut running costs by an average of 50%. The implications of these changes are still being worked through but it is likely that some commissioning functions will transfer to other organisations, whilst some will cease altogether. It is also likely that significant system resource will be required to effect an organisational restructure delaying some important transformation work. The effect of these changes on the organisation remain unclear at this time.

Financial

The NHS is subject to significant budgetary pressures and it is possible that demanding efficiency targets will be set at system level for achievement in the 25/26 financial year. Meanwhile, new models of care are being discussed, in particular a transition to neighbourhood centred services, and these will be informed by the Ten-Year Plan published on 3 July 2025.

SGPA ensures that its structure is flexible and agile so that it can respond appropriately to any changes in funding. Meanwhile, any costs associated with adapting the business to a new operating environment are anticipated and fully provided for.

Patient Confidentiality and GDPR

The company is subject to strict guidelines on the collection, processing, and storage of patient data. It must also ensure compliance with the Common Law Duty of Confidentiality. All staff are required to protect patient information, and all manual and computerised records are stored in secure environments with access strictly controlled.

SUNDERLAND GP ALLIANCE LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 3 -
Key performance indicators

The directors consider the following to be the key measure of the company’s performance.

Financial

Non-Financial

Future developments

The organisation continues to develop new and innovative services to improve the offer for patients and member practices. For example, in recent months, SGPA has leased an outreach bus to take services closer to under-served communities and address health inequalities. Meanwhile, a number of plans are in development for other new services such as weight management through the use of medications traditionally used for the management of diabetes, commercial research in primary care, and piloting the use of ultrasound in the management of DVTs in the community. It is anticipated that the organisation will continue to improve the number and quality of services available to local residents over the next twelve months.

 

 

On behalf of the board

R Mackinnon
G R R Bethapudi
Director
Director
30 July 2025
31 July 2025
SUNDERLAND GP ALLIANCE LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2025
- 4 -

The directors present their annual report and financial statements for the year ended 31 March 2025.

Principal activities

The principal activity of the company continued to be the provision of services to support general medical practice in Sunderland.

Directors

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

M Weatherhead
R Mackinnon
J Bell
A Place
(Resigned 31 July 2024)
G R R Bethapudi
F Khalil
(Resigned 31 March 2025)
T Lucas
C Aitken
T M M I Mansour
(Appointed 1 August 2024)
S D Childs
(Appointed 1 June 2025)
Results and dividends

The results for the year are set out on page 9.

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

Disabled persons

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the company continues and that the appropriate training is arranged. It is the policy of the company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

Employee involvement

The company's policy is to consult and discuss with employees, through unions, staff councils and at meetings, matters likely to affect employees' interests.

 

Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the company's performance.

Auditor

In accordance with the company's articles, a resolution proposing that Sumer Auditco Limited be reappointed as auditor of the company will be put at a General Meeting.

Statement of directors' responsibilities

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

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 company’s auditor 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 company’s auditor is aware of that information.

SUNDERLAND GP ALLIANCE LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 5 -
On behalf of the board
R Mackinnon
G R R Bethapudi
Director
Director
Approved by the board on 31 July 2025
SUNDERLAND GP ALLIANCE LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SUNDERLAND GP ALLIANCE LIMITED
- 6 -
Opinion

We have audited the financial statements of Sunderland GP Alliance Limited (the 'company') for the year ended 31 March 2025 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity, the 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 company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

 

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

 

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

Other information

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

 

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

SUNDERLAND GP ALLIANCE LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SUNDERLAND GP ALLIANCE LIMITED
- 7 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

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

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

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.

SUNDERLAND GP ALLIANCE LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SUNDERLAND GP ALLIANCE LIMITED
- 8 -
Capability of the audit in detecting irregularities, including fraud

Discussions with and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.

 

The following laws and regulations were identified as being of significance to the entity:

 

 

 

Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: inquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence and legal costs incurred; review of board minutes; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud.

 

No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).

A further description of our responsibilities 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.

Maxine Pott
Senior Statutory Auditor
For and on behalf of Sumer Auditco Limited
Statutory Auditor
Unit 2
Gosforth Park Avenue
Newcastle Upon Tyne
NE12 8EG
31 July 2025
SUNDERLAND GP ALLIANCE LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2025
- 9 -
2025
2024
Notes
£
£
Turnover
3
15,917,765
15,205,341
Cost of sales
(12,852,176)
(12,376,292)
Gross profit
3,065,589
2,829,049
Administrative expenses
(3,019,016)
(3,052,691)
Operating profit/(loss)
6
46,573
(223,642)
Interest receivable and similar income
315,545
318,049
Profit before taxation
362,118
94,407
Tax on profit
8
(90,636)
(22,005)
Profit for the financial year
271,482
72,402

The profit and loss account has been prepared on the basis that all operations are continuing operations.

SUNDERLAND GP ALLIANCE LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2025
- 10 -
2025
2024
£
£
Profit for the year
271,482
72,402
Other comprehensive income
-
-
Total comprehensive income for the year
271,482
72,402
SUNDERLAND GP ALLIANCE LIMITED
BALANCE SHEET
AS AT
31 MARCH 2025
31 March 2025
- 11 -
2025
2024
Notes
£
£
£
£
Fixed assets
Tangible assets
9
105,903
68,423
Investments
10
2
2
105,905
68,425
Current assets
Debtors
12
2,152,628
4,126,101
Cash at bank and in hand
10,298,016
9,954,922
12,450,644
14,081,023
Creditors: amounts falling due within one year
13
(11,766,368)
(13,633,182)
Net current assets
684,276
447,841
Total assets less current liabilities
790,181
516,266
Provisions for liabilities
(19,539)
(17,106)
Net assets
770,642
499,160
Capital and reserves
Called up share capital
16
2,560
2,560
Profit and loss reserves
768,082
496,600
Total equity
770,642
499,160
The financial statements were approved by the board of directors and authorised for issue on 31 July 2025 and are signed on its behalf by:
R Mackinnon
G R R Bethapudi
Director
Director
Company Registration No. 09039776
SUNDERLAND GP ALLIANCE LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2025
- 12 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 April 2023
2,560
424,198
426,758
Year ended 31 March 2024:
Profit and total comprehensive income for the year
-
72,402
72,402
Balance at 31 March 2024
2,560
496,600
499,160
Year ended 31 March 2025:
Profit and total comprehensive income for the year
-
271,482
271,482
Balance at 31 March 2025
2,560
768,082
770,642
SUNDERLAND GP ALLIANCE LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2025
- 13 -
2025
2024
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
18
145,084
(1,919,169)
Income taxes paid
(32,982)
(28,738)
Net cash inflow/(outflow) from operating activities
112,102
(1,947,907)
Investing activities
Purchase of tangible fixed assets
(84,553)
(19,823)
Interest received
315,545
318,049
Net cash generated from investing activities
230,992
298,226
Net increase/(decrease) in cash and cash equivalents
343,094
(1,649,681)
Cash and cash equivalents at beginning of year
9,954,922
11,604,603
Cash and cash equivalents at end of year
10,298,016
9,954,922
SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
- 14 -
1
Accounting policies
Company information

Sunderland GP Alliance Limited is a private company limited by shares incorporated in England and Wales. The registered office is Second Floor Business & Innovation Centre, Wearfield, Sunderland, SR5 2TA.

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.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Going concern

Atruet 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. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover

Turnover represents amounts receivable for the provision of services to support general medical practice in Sunderland. Turnover is attributable to the continuing principal activity of the company and arose wholly within the United Kingdom.

Contractual funding received from the NHS in relation to Alternative Provider Medical Services and General Medical Services is recognised as revenue when costs are incurred in respect of such services. Any excess funding received is deferred and recognised in future periods.

1.4
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:

Medical equipment
33.33% straight line
Computer equipment
33.33% straight line
Fixtures and fittings
25% straight line

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.

1.5
Fixed asset investments

Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

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

SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
1
Accounting policies
(Continued)
- 15 -
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).

1.7
Cash at bank and in hand

Cash at bank and in hand are basic financial assets and include cash in hand and deposits held at call with banks.

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.

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.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

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

 

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

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company 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 company after deducting all of its liabilities.

SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
1
Accounting policies
(Continued)
- 16 -
Basic financial liabilities

Basic financial liabilities, including creditors 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.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

1.9
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.10
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.

1.11
Employee benefits

The costs of short-term employee benefits, including holiday pay and other similar non-monetary benefits are recognised as an expense in the period in which the service is received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12
Retirement benefits

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

Past and present employees are covered by the provisions of the NHS Pension Scheme. The scheme is an unfunded, defined benefit scheme that covers NHS employers, GP practices and other bodies, allowed under the direction of the Secretary of State, in England and Wales. The scheme is not designed to be run in a way that would enable NHS bodies to identify their share of the underlying scheme assets and liabilities. Therefore, the scheme is accounted for as if it were a defined contribution scheme: the cost to the NHS Body of participating in the scheme is taken as equal to the contributions payable to the scheme for the accounting period.

1.13
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 17 -
2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Deferred income

Contractual funding received from the NHS in relation to Alternative Provider Medical Services and General Medical Services is recognised as revenue when costs are incurred in respect of such services. Any excess funding received is deferred and recognised in future periods. The directors exercise their judgement when determining the level of income that is deferred to ensure income recognised in line with company accounting policy.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Determining residual values and useful economic lives of tangible fixed assets

The company depreciates tangible fixed assets over their estimated useful lives. The estimation of the useful lives of assets is based on historic performance as well as expectations about future use and therefore requires estimates and assumptions to be applied by management. The actual lives of these assets can vary depending on a variety of factors, including technological innovation, product life cycles and maintenance programmes.

 

Judgement is applied by management when determining the residual values for tangible fixed assets. When determining the residual value management aim to assess the amount that the company would currently obtain for disposal of the asset, if it were already of the condition expected at the end of its useful economic life. Where possible this is done with reference to external market prices. The carrying amount of tangible fixed assets at the reporting end date was £105,903 (2024 - £68,423).

SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 18 -
3
Turnover and other revenue

An analysis of the company's turnover is as follows:

2025
2024
£
£
Turnover analysed by class of business
General medical services
15,917,765
15,205,341
2025
2024
£
£
Other revenue
Interest income
315,545
318,049
4
Auditor's remuneration
2025
2024
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
15,000
15,000
5
Employees

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

2025
2024
Number
Number
Total
273
250

Their aggregate remuneration comprised:

2025
2024
£
£
Wages and salaries
9,118,385
8,218,280
Social security costs
950,697
768,345
Pension costs
1,161,933
985,561
11,231,015
9,972,186
6
Operating profit/(loss)
2025
2024
Operating profit/(loss) for the year is stated after charging:
£
£
Depreciation of owned tangible fixed assets
47,073
63,733
Operating lease charges
989,882
1,394,303
SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 19 -
7
Directors' remuneration
2025
2024
£
£
Remuneration for qualifying services
73,500
82,199
Company pension contributions to defined contribution schemes
3,926
15,196
81,057
112,123
8
Taxation
2025
2024
£
£
Current tax
UK corporation tax on profits for the current period
88,203
32,982
Deferred tax
Origination and reversal of timing differences
2,433
(10,977)
Total tax charge
90,636
22,005

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:

2025
2024
£
£
Profit before taxation
362,118
94,407
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2024: 25.00%)
90,530
23,602
Tax effect of expenses that are not deductible in determining taxable profit
106
74
Unutilised tax losses carried forward
-
0
(1,671)
Taxation charge for the year
90,636
22,005
SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 20 -
9
Tangible fixed assets
Medical equipment
Computer equipment
Fixtures and fittings
Total
£
£
£
£
Cost
At 1 April 2024
92,352
373,564
117,800
583,716
Additions
2,193
52,692
29,668
84,553
At 31 March 2025
94,545
426,256
147,468
668,269
Depreciation and impairment
At 1 April 2024
83,933
325,831
105,529
515,293
Depreciation charged in the year
5,276
31,714
10,083
47,073
At 31 March 2025
89,209
357,545
115,612
562,366
Carrying amount
At 31 March 2025
5,336
68,711
31,856
105,903
At 31 March 2024
8,419
47,733
12,271
68,423
10
Fixed asset investments
2025
2024
Notes
£
£
Investments in subsidiaries
11
2
2
11
Subsidiaries

Details of the company's subsidiaries at 31 March 2025 are as follows:

Name of undertaking
Address
Class of
% Held
shares held
Direct
SGPA Clinical Services Limited
1
Ordinary shares
100.00
SGPA Federated Services Limited
2
Ordinary shares
100.00

Registered office addresses (all UK unless otherwise indicated):

1
Second floor Business & Innovation Centre, Wearfield, Sunderland, UK SR5 2TA
2
Second floor Business & Innovation Centre, Wearfield, Sunderland, UK SR5 2TA
SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 21 -
12
Debtors
2025
2024
Amounts falling due within one year:
£
£
Trade debtors
90,399
1,696,507
Other debtors
31,587
1,369
Prepayments and accrued income
2,030,642
2,428,225
2,152,628
4,126,101
13
Creditors: amounts falling due within one year
2025
2024
£
£
Trade creditors
239,863
808,899
Corporation tax
88,203
32,982
Other taxation and social security
4,469
11,063
Deferred income
10,048,482
11,460,300
Other creditors
54,882
115,446
Accruals
1,330,469
1,204,492
11,766,368
13,633,182
14
Deferred taxation

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

Liabilities
Liabilities
2025
2024
Balances:
£
£
Accelerated capital allowances
19,539
17,106
2025
Movements in the year:
£
Liability at 1 April 2024
17,106
Charge to profit or loss
2,433
Liability at 31 March 2025
19,539
SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 22 -
15
Retirement benefit schemes
2025
2024
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
1,161,933
985,561

Past and present employees are covered by the provisions of the NHS Pension Scheme. The scheme is an unfunded, defined benefit scheme that covers NHS employers, GP practices and other bodies, allowed under the direction of the Secretary of State, in England and Wales. The scheme is not designed to be run in a way that would enable NHS bodies to identify their share of the underlying scheme assets and liabilities. Therefore, the scheme is accounted for as if it were a defined contribution scheme: the cost to the NHS Body of participating in the scheme is taken as equal to the contributions payable to the scheme for the accounting period.

 

Contributions totalling £31,088 (2024 - (£25,213)) were overpaid (payable last year) to the fund at the balance sheet date and are included within other debtors.

16
Share capital
2025
2024
Ordinary share capital
£
£
Issued and fully paid
Ordinary A shares of £1 each
71
71
Ordinary B shares of 1p each
2,489
2,489
2,560
2,560

Ordinary A shares rank equally for voting purposes and each holder shall be entitled to one vote regardless of the number of A shares in their name. The shares have no dividend rights, are not redeemable and are paid first on any distribution made on a winding up.

 

Ordinary B shares have no voting rights, rank equally for any dividend declared, are not redeemable and are paid second (after any payments have been made to the Ordinary A shares) on any distribution made on a winding up.

 

17
Operating lease commitments
As lessee

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

2025
2024
£
£
Within 1 year
172,213
202,902
Years 2-5
485,019
622,067
After 5 years
198,765
347,488
855,997
1,172,457
SUNDERLAND GP ALLIANCE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 23 -
18
Cash generated from/(absorbed by) operations
2025
2024
£
£
Profit after taxation
271,482
72,402
Adjustments for:
Taxation charged
90,636
22,005
Investment income
(315,545)
(318,049)
Depreciation and impairment of tangible fixed assets
47,073
63,733
Movements in working capital:
Decrease in debtors
1,973,473
569,836
Decrease in creditors
(510,217)
(529,003)
Decrease in deferred income
(1,411,818)
(1,800,093)
Cash generated from/(absorbed by) operations
145,084
(1,919,169)
19
Analysis of changes in net funds
1 April 2024
Cash flows
31 March 2025
£
£
£
Cash at bank and in hand
9,954,922
343,094
10,298,016
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