| REGISTERED NUMBER: |
| G & H BUILDING SERVICES LIMITED |
| STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| REGISTERED NUMBER: |
| G & H BUILDING SERVICES LIMITED |
| STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| CONTENTS OF THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| Page |
| Company Information | 1 |
| Strategic Report | 2 |
| Report of the Directors | 4 |
| Report of the Independent Auditors | 6 |
| Income Statement | 10 |
| Balance Sheet | 11 |
| Statement of Changes in Equity | 12 |
| Notes to the Financial Statements | 13 |
| G & H BUILDING SERVICES LIMITED |
| COMPANY INFORMATION |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| DIRECTORS: |
| SECRETARY: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| SENIOR STATUTORY AUDITOR: |
| AUDITORS: |
| Statutory Auditors |
| Glenewes House |
| Gate Way Drive |
| Leeds |
| West Yorkshire |
| LS19 7XY |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| STRATEGIC REPORT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| The directors present their strategic report for the year ended 31 December 2024. |
| REVIEW OF BUSINESS |
| The board of Directors have completed the financial year for the year ended 31 December 2024 and present our Strategic Report, which provides a summary of our current status. |
| Turnover during the period was just under £45M, which includes the turnover of G & H Projects and G & H Engineering Services who work as divisions of G & H Building Services Ltd. |
| This turnover was lower than anticipated due to earlier appointment on a number of larger projects, resulting in extended design periods & pre-construction phases. The delayed turnover will reflect in 2025, as the projects will commence on site during 2025/26, with a forecasted £100M turnover for the 2025 period. |
| Risks identified in the coming period is the Building Safety Act approval periods as projects are secured but cannot commence on site until Gateway 2 approval is given. The government is taking steps to speed up this process which may then present a problem with too many secured schemes hitting site at the same time. |
| Our strategy of focusing on our existing client base continues to be key to maintaining our turnover, allowing us to expand our offering to a number of new clients for who we have secured work and we intend to build on these new clients in the coming years. |
| The value of projects secured continues to increase in line with our strategy of engaging in fewer projects but with a higher project value and longer contract periods. This allows us to have a more predictable workload, cashflow and resource allocation throughout the business. |
| We continue to receive positive feedback from our existing clients for the projects we have completed leading to them offering us opportunities to negotiate further phases and introducing us to other similar future projects. |
| 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 key business risks affecting the company are: |
| - Retention of staff and operatives |
| - The delayed start to larger schemes impacted by the Building Safety Act. |
| Financial risks |
| The company's objectives when managing capital is to safeguard its ability to continue as a going concern in order to provide returns for shareholders and benefits for other stakeholders. |
| The company has no material exposure to currency risk. |
| The company continues to monitor credit risk closely and considers that its current policy of credit checks and subscription to a reputable credit agency providing live updates meets its objectives of managing such exposure. |
| Employee motivation |
| Our employees continue to be central to our operations. The company actively encourages employee involvement throughout all areas of the business to ensure that the workforce remain informed, motivated and committed. We have regular meetings with the different teams, both office and site based to get feedback to determine what we can do better and to resolve any issues which arise. |
| General |
| Apart from factors outside the company's control, the directors are not aware of any significant risk which may adversely impact on the company during the forthcoming financial year, indeed due to projects start dates in 2024 moving we anticipate that turnover in 2025 will significantly increase. In the view of the directors, the performance of the company's business is primarily dependent upon maintaining client relations and retaining our highly motivated and well-rewarded workforce. |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| STRATEGIC REPORT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| KEY PERFORMANCE INDICATORS |
| In order to achieve growth in profitability and control cash flow, strong financial management is maintained by the company. A number of key financial performance indicators are used as measures to ensure the company grows and remains financially strong to enable it to invest in the future. The indicators are drawn from the accounts and are shown below. |
| 2024 | 2023 |
| £ | £ |
| Turnover | 44,906,971 | 50,952,154 |
| Gross profit | 8,469,914 | 9,153,321 |
| Shareholders' funds | 7,503,323 | 6,116,737 |
| ON BEHALF OF THE BOARD: |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| REPORT OF THE DIRECTORS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| The directors present their report with the financial statements of the company for the year ended 31 December 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the company in the year under review was that of the provision of building services to the construction sector. |
| DIVIDENDS |
| No dividends will be distributed for the year ended 31 December 2024. |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report. |
| FINANCIAL INSTRUMENTS |
| The company uses various financial instruments which include cash, trade debtors and trade creditors which arise directly from its operations and sources of funding including hire purchase contracts. The main risks arising from the company's financial instruments are cash flow, interest rate risk, credit risk and liquidity risk. The directors review and agree policies for managing each of these risks and they are summarised below: |
| Credit risk |
| Strict debtor procedures are in place for current and potential customers to keep the potential risk of bad debts to a minimum. The directors set limits for customers based on a combination of payment history and third party credit references. Credit limits are reviewed by the credit controller on a regular basis in conjunction with debt ageing and collection history. |
| Liquidity risk |
| The company seeks to manage financial risk by ensuring that sufficient liquidity is available to meet foreseeable needs. |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
| Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
| - | select suitable accounting policies and then apply them consistently; |
| - | make judgements and accounting estimates that are reasonable and prudent; |
| - | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
| The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| REPORT OF THE DIRECTORS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
| So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
| ON BEHALF OF THE BOARD: |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| G & H BUILDING SERVICES LIMITED |
| Opinion |
| We have audited the financial statements of G & H Building Services Limited (the 'company') for the year ended 31 December 2024 which comprise the Income Statement, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
| In our opinion the financial statements: |
| - | give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the year then ended; |
| - | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
| - | have been prepared in accordance with the requirements of the Companies Act 2006. |
| Basis for opinion |
| We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
| Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
| In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
| Opinions on other matters prescribed by the Companies Act 2006 |
| In our opinion, based on the work undertaken in the course of the audit: |
| - | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| G & H BUILDING SERVICES LIMITED |
| 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 Report of the Directors. |
| We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
| - | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
| - | the financial statements are not in agreement with the accounting records and returns; or |
| - | certain disclosures of directors' remuneration specified by law are not made; or |
| - | we have not received all the information and explanations we require for our audit. |
| Responsibilities of directors |
| As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
| In preparing the financial statements, the directors are responsible for assessing the 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. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| G & H BUILDING SERVICES LIMITED |
| Auditors' responsibilities for the audit of the financial statements |
| Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
| The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
| Irregularities, including fraud, are instances of non-compliance with laws and regulations. We designed procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures were capable of detecting irregularities, including fraud is detailed below: |
| To identify risks of material misstatement due to irregularities, including fraud (fraud risks) we assessed events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud. Our risk assessment procedures involved enquiring of the directors as to the company's policies and procedures to prevent and detect fraud, as well as whether they had knowledge of any actual, suspected, or alleged fraud. We communicated identified fraud risks throughout the audit team and remained alert to any indications of fraud throughout the audit. |
| As required by auditing standards and considering our overall knowledge of the control environment, we performed procedures to address the risk of management override of controls, in particular the risk that management may be able to make inappropriate accounting entries. We concluded that there was limited opportunity for manipulation or management override of controls. We performed procedures including a review of accounting entries to supporting documentation. We did not identify any additional fraud risks. |
| We identified Health and Safety, and Employment Law as areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements. |
| We communicated the identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. The company is subject to laws and regulations that directly affect the financial statements, including financial reporting and taxation legislation, and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. |
| Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and key management and inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit will not detect that breach. |
| It is considered that our procedures can detect irregularities, including fraud. However, because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission, or misrepresentation. |
| A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| G & H BUILDING SERVICES LIMITED |
| Use of our report |
| This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
| for and on behalf of |
| Statutory Auditors |
| Glenewes House |
| Gate Way Drive |
| Leeds |
| West Yorkshire |
| LS19 7XY |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| INCOME STATEMENT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| TURNOVER |
| Cost of sales |
| GROSS PROFIT |
| Administrative expenses |
| 121,943 | 2,752,816 |
| Other operating income |
| OPERATING PROFIT | 4 |
| Interest receivable and similar income |
| 959,589 | 3,305,165 |
| Interest payable and similar expenses | 5 |
| PROFIT BEFORE TAXATION |
| Tax on profit | 6 | ( |
) |
| PROFIT FOR THE FINANCIAL YEAR |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| BALANCE SHEET |
| 31 DECEMBER 2024 |
| 2024 | 2023 |
| Notes | £ | £ | £ | £ |
| FIXED ASSETS |
| Tangible assets | 8 |
| CURRENT ASSETS |
| Debtors: amounts falling due within one year |
9 |
| Debtors: amounts falling due after more than one year |
9 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 10 |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| PROVISIONS FOR LIABILITIES | 12 |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 13 |
| Retained earnings | 14 |
| SHAREHOLDERS' FUNDS |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| STATEMENT OF CHANGES IN EQUITY |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| Called up |
| share | Retained | Total |
| capital | earnings | equity |
| £ | £ | £ |
| Balance at 1 January 2023 |
| Changes in equity |
| Dividends | - | ( |
) | ( |
) |
| Total comprehensive income | - |
| Balance at 31 December 2023 |
| Changes in equity |
| Total comprehensive income | - |
| Balance at 31 December 2024 |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 1. | STATUTORY INFORMATION |
| G & H Building Services Limited is a |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| The financial statements are presented in sterling which is the functional currency of the company rounded to the nearest pound. |
| The financial statements have been prepared using the going concern basis. |
| The current economic conditions present risks for all businesses. In response to such conditions, the directors have carefully considered these risks, including an assessment of uncertainty on future trading projections for a period of at least 12 months from the date of signing the financial statements, and the extent to which they might affect the preparation of the financial statements on a going concern basis. |
| Based on this assessment, the directors consider that the company maintains an appropriate level of liquidity sufficient to meet the demands of the business including any capital and servicing obligations of external debt liabilities. |
| In addition, the company's assets are assessed for recoverability on a regular basis, and the directors consider that the company is not exposed to losses on these assets which would affect their decision to adopt the going concern basis. |
| The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and that there are no material uncertainties that lead to significant doubt upon the company's ability to continue as a going concern. In addition, the company has already secured orders which will provide turnover for the next 12 months in excess of that reported in these financial statements. Thus the directors have continued to adopt the going concern basis of accounting in preparing these financial statements. |
| The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
| • | the requirements of Section 7 Statement of Cash Flows. |
| The information is included in the consolidated financial statements of G & H Group of Companies (Holdings) Limited as at 31 December 2024. |
| Preparation of consolidated financial statements |
| The company is included in the accounts of its ultimate parent company, G & H Group of Companies (Holdings) Limited. These consolidated accounts are available from Companies House. |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Judgements and key sources of estimation uncertainty |
| The preparation of the financial statements requires the directors to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. These estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events. However, the nature of estimation means that actual results may differ from these estimates. |
| Critical areas of judgement |
| In categorising leases as finance leases or operating leases, management makes judgements as to |
| whether significant risks and rewards of ownership have transferred to the company as lessee. |
| Key sources of estimation uncertainty |
| Determining the stage of completion on long term contracts is done using the method that most reliably measures the work performed. Where surveys of work performed are not used, estimated total costs of a project are used which relies on the directors estimate. This is then compared with the costs incurred for work performed to date to evaluate the company's right to consideration and to recognise the appropriate amount of revenue as income for the period. In determining total expected contract costs the directors apply their considerable experience and knowledge of the market and their customers. |
| Determining appropriate rates of depreciation requires an estimation of the useful lives and expected residual values of fixed assets. The net carrying amount of assets is £1,348,005 (2023:£1,006,392) During the year depreciation of £294,120 has been provided (2023:£246,882). |
| Revenue recognition |
| Revenue is recognised to the extent that the company obtains the right to consideration in exchange for its performance. Revenue is measured at the fair value of the consideration received or receivable, excluding discounts and rebates, and is stated net of Value Added Tax. |
| Rendering of services |
| Turnover shown in the income statement is derived from construction contracts, being the supply of construction work. Turnover in respect of contracts which are ongoing at the balance sheet date is recognised by reference to the stage of completion of the contract using the method that measures most reliably the work performed. The stage of completion of the contract is therefore measured either by comparing the costs incurred for work performed to date to the total estimated contract costs, or by reference to surveys of work performed, whichever is the most appropriate. Where the contract outcome cannot be measured reliably, revenue is recognised only to the extent of expenses recognised that are recoverable. |
| Management charges |
| Revenue is recognised when the right to receive payment is established. |
| Tangible fixed assets |
| Improvements to leasehold property | - |
| Plant and machinery | - |
| Fixtures and fittings | - |
| Motor vehicles | - |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Financial instruments |
| Financial assets and financial liabilities are recognised when the company becomes a party to the contractual provisions of the instrument. |
| Financial assets and liabilities are initially measured at transaction price, except for those financial assets classified as at fair value through profit or loss. |
| Basic financial instruments |
| Basic financial instruments are those with relatively straight forward terms and would normally include cash, bank balances, trade debtors, trade creditors and uncomplicated bank loans. |
| Where the arrangement does not constitute a financing transaction, e.g. trade debtors on normal commercial terms, the debtor will be valued initially at transaction price (i.e. cost) and subsequently at transaction price less impairment (if any) due to concerns over recoverability. |
| Where the arrangement does constitute a financing transaction, e.g. debt with basic terms, the initial measurement is of amortised cost using the effective interest method. In subsequent years the debt instrument is measured at amortised cost less impairment. |
| Other financial instruments |
| The company does not have any financial instruments that would not be classed as 'basic'. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
| Current or deferred taxation assets and liabilities are not discounted. |
| Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
| Deferred tax |
| Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
| Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in the financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
| Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
| Research and development |
| Expenditure on research and development is written off in the year in which it is incurred. |
| The company has made and will make claims to HMRC for Research and Development tax credits under both the SME and RDEC schemes. |
| Included in Other Operating Income is £374,820 of above the line RDEC, of which £146,897 relates to prior years. (2023: £123,952). |
| The SME relief will reduce the tax provision included in the Income Statement. |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Foreign currencies |
| Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
| Hire purchase and leasing commitments |
| Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
| Pension costs and other post-retirement benefits |
| The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
| Impairment |
| Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the assets cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the profit and loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease. |
| 3. | EMPLOYEES AND DIRECTORS |
| 2024 | 2023 |
| £ | £ |
| Wages and salaries |
| Social security costs |
| Other pension costs |
| The average number of employees during the year was as follows: |
| 2024 | 2023 |
| Production staff | 49 | 55 |
| Administrative staff | 54 | 47 |
| Management staff | 7 | 7 |
| 2024 | 2023 |
| £ | £ |
| Directors' remuneration |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 4. | OPERATING PROFIT |
| The operating profit is stated after charging/(crediting): |
| 2024 | 2023 |
| £ | £ |
| Research and development expenditure credit | (374,820 | ) | (123,952 | ) |
| Management charges received | (259,200 | ) | (364,000 | ) |
| Hire of plant and machinery | 532,467 | 736,716 |
| Other operating leases | 28,104 | 35,884 |
| Depreciation - owned assets | 294,120 | 246,882 |
| Loss/(profit) on disposal of fixed assets | 18,478 | (670 | ) |
| Auditors' remuneration | 18,500 | 19,000 |
| Management charges paid | 1,560,000 | 1,020,000 |
| 5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 2024 | 2023 |
| £ | £ |
| Other interest |
| Other finance charges |
| 6. | TAXATION |
| Analysis of the tax (credit)/charge |
| The tax (credit)/charge on the profit for the year was as follows: |
| 2024 | 2023 |
| £ | £ |
| Current tax: |
| UK corporation tax |
| Prior year tax adjustment in relation to research and development claim |
(531,712 |
) |
(312,132 |
) |
| Total current tax | ( |
) |
| Origination and reversal of timing differences |
| Tax on profit | ( |
) |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 6. | TAXATION - continued |
| Reconciliation of total tax (credit)/charge included in profit and loss |
| The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
| 2024 | 2023 |
| £ | £ |
| Profit before tax |
| Profit multiplied by the standard rate of corporation tax in the UK of |
| Effects of: |
| Expenses not deductible for tax purposes |
| Utilisation of tax losses |
| Adjustment in respect of additional research and development expenditure | ( |
) |
( |
) |
| Timing differences in respect of research and development tax credits | ( |
) |
( |
) |
| Research and development enhanced expenditure | ( |
) |
| Timing differences applied to deferred tax | ( |
) |
| Total tax (credit)/charge | (437,171 | ) | 540,730 |
| The main rate of corporation tax in the UK increased from 19% to 25% from 1 April 2023. This is |
| reflected in the standard rate of tax applied to the reported profit for the financial year ended 31st |
| December 2024 (2023 : 23.52%). |
| 7. | DIVIDENDS |
| 2024 | 2023 |
| £ | £ |
| Ordinary A shares of £1 each |
| Interim |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 8. | TANGIBLE FIXED ASSETS |
| Improvements |
| to | Fixtures |
| leasehold | Plant and | and | Motor |
| property | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| COST |
| At 1 January 2024 |
| Additions |
| Disposals | ( |
) | ( |
) | ( |
) | ( |
) |
| At 31 December 2024 |
| DEPRECIATION |
| At 1 January 2024 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) | ( |
) | ( |
) |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| 9. | DEBTORS |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due within one year: |
| Trade debtors |
| Amounts owed by group undertakings |
| Amounts recoverable on contracts |
| Other debtors |
| Directors' loan accounts | 94,080 | 59,329 |
| Taxation |
| VAT |
| Prepayments and accrued income |
| Amounts falling due after more than one year: |
| Other debtors |
| Aggregate amounts |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 10. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Trade creditors |
| Amounts owed to group undertakings |
| Taxation |
| Social security and other taxes |
| Other creditors |
| Accruals and deferred income |
| 11. | LEASING AGREEMENTS |
| Minimum lease payments under non-cancellable operating leases fall due as follows: |
| 2024 | 2023 |
| £ | £ |
| Within one year |
| Between one and five years |
| 12. | PROVISIONS FOR LIABILITIES |
| 2024 | 2023 |
| £ | £ |
| Deferred tax |
| Accelerated capital allowances |
| Deferred |
| tax |
| £ |
| Balance at 1 January 2024 |
| Provided during year |
| Balance at 31 December 2024 |
| 13. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2024 | 2023 |
| value: | £ | £ |
| Ordinary A | £1 | 1,940 | 1,940 |
| Ordinary B | £1 | 60 | 60 |
| 2,000 | 2,000 |
| The A, B Ordinary shares have the right to vote at general meetings of the shareholders and are to rank pari passu in all respects. |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 14. | RESERVES |
| Retained |
| earnings |
| £ |
| At 1 January 2024 |
| Profit for the year |
| At 31 December 2024 |
| 15. | ULTIMATE PARENT COMPANY |
| G & H Group of Companies (Holdings) Limited (incorporated in England ) is regarded by the directors as being the company's ultimate parent company. |
| 16. | FINANCIAL COMMITMENTS, GUARANTEES AND CONTINGENT LIABILITIES |
| HSBC UK Bank plc hold a Debenture including Fixed Charge over all present freehold and leasehold property; First Fixed Charge over book and other debts, chattels, goodwill and uncalled capital, both present and future; and First Floating Charge over all assets and undertaking both present and future dated 21 May 2014. |
| Additionally, the company is included in Multilateral Guarantees as follows: |
| HSBC UK Bank plc hold an unlimited Multilateral Guarantee dated 10 April 2019 given by G & H Group of Companies Limited, G & H Building Services Limited, G & H Maintenance Limited, and G&H Property Group Ltd. |
| On 24 April 2023 the company entered into a composite guarantee, along with G & H Group of Companies (Holdings) Limited, G & H Maintenance Limited and G & H Engineering Limited in favour of HSBC UK Bank plc to secure the borrowings of G & H Group of Companies Limited. |
| A fixed and floating charge over all the company's assets was taken by HSBC UK Bank plc. |
| 17. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
| The following advances and credits to a director subsisted during the years ended 31 December 2024 and 31 December 2023: |
| 2024 | 2023 |
| £ | £ |
| Balance outstanding at start of year |
| Amounts advanced |
| Amounts repaid | ( |
) |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year |
| The directors loan was repaid after the balance sheet date. |
| G & H BUILDING SERVICES LIMITED (REGISTERED NUMBER: 03610363) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 18. | RELATED PARTY DISCLOSURES |
| 2024 | 2023 |
| £ | £ |
| Recharges to |
| Recharges from |
| Purchase of fixed asset | 29,250 | - |
| Management charges (expense) | 1,560,000 | 1,020,000 |
| Dividend paid to | - | 100,000 |
| Group loss relief | - | 119,003 |
| Amount due from related parties |
| 2024 | 2023 |
| £ | £ |
| Sales | 142,950 | 161,791 |
| Purchases | 71,307 | 118,192 |
| Management charge income | 240,000 | 348,000 |
| Commission paid | 270,000 | 281,500 |
| Recharges to | 57,568 | 47,651 |
| Group loss relief | - | 16,504 |
| Purchase of fixed asset | 3,000 | 10,625 |
| Amount due from/(to) related parties | 42,110 | 184,994 |
| All of the above concern transactions with group undertakings. |
| Additionally, the company had transactions with other entities under common control and entities in which the directors had an interest as follows: |
| Loans (repaid)/granted | (3,000 | ) | (34,880 | ) |
| Amount due from related parties | 731,433 | 734,433 |
| Loans provided for as not recoverable | 90,000 | 176,720 |
| Recharges to | (2,275 | ) | 22,003 |
| Recharges from | - | 1,192 |
| Sales to | 16,084 | 59,083 |
| Management charges to | 16,000 | 16,000 |
| Purchases from | - | 24,000 |
| Amount due from related parties | 4,915 | 63,151 |