In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Tenor Insurance Brokers Limited for the year ended 1 June 2025 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/regulation.

This report is made solely to the board of directors of Tenor Insurance Brokers Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the financial statements of Tenor Insurance Brokers Limited and state those matters that we have agreed to state to the board of directors of Tenor Insurance Brokers Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Tenor Insurance Brokers Limited and its board of directors as a body, for our work or for this report.

It is your duty to ensure that Tenor Insurance Brokers Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Tenor Insurance Brokers Limited. You consider that Tenor Insurance Brokers Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Tenor Insurance Brokers Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

For the financial year ended 1 June 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

Tenor Insurance Brokers Limited is a private company limited by shares incorporated in England and Wales. The registered office is 114 Walter Road, Swansea, SA1 5QQ.

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.

Turnover represents net commission and fees earned from the arrangement of insurance policies.

Goodwill, being the amount paid in connection with the acquisition of a business in 1975, is being amortised evenly over its estimated useful life of ten years.

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:

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.

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.

Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value through the profit and loss if the investments are publicly traded or their fair value can otherwise be measured reliably. Other investments are measured at cost less impairment.

The tax expense represents the sum of the tax currently payable and deferred 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 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.

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

Revenue and expense recognition

It is impracticable to devise accounting policies that consistently match revenue from brokerage with the relevant expenses. Accordingly the following bases are adopted:

1. Net retained brokerage

This represents fees and commission received on the arrangement of insurance policies. Net retained brokerage represents brokerage and fees that are (mainly) taken to credit when debit or fee premiums are due from the insured person. Alterations in brokerage arising from return and additional premiums and adjustments are taken into account as and when these occur.

2. Expenses

Costs are written off as incurred.

Insurance debtors and creditors

In the normal course of business, settlement is required to be made with certain markets, market settlement bureaux and insurance intermediaries on the basis of net settlement due to or from the market, bureau or insurance intermediary in question, rather than the amounts due to and from the individual parties, which it represents. Insurance debtors and creditors reflect this basis of settlement.

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

The fixed asset investments have been revalued in the year and there is a surplus of £90,573 (2024: surplus of £161,917).

Investment property comprises 114 Walter Road, Swansea SA1 5QQ. The fair value of the investment property has been arrived at on the basis of a valuation carried out at 5 August 2024 by Rees Richards & Partners Chartered Surveyors, who are not connected with the company. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

The property was reclassified as an investment property from freehold land and buildings in the year, following the cessation of the company's trading activities.

During the year, Tenor Insurance Brokers Ltd was paid £147,000 for goodwill and £3,000 for fixtures and fittings by Stuart Collins & Co Ltd. At 1st June 2025, Tenor Insurance Brokers Ltd was owed £356,795 by Stuart Collins & Co Ltd. Stuart Collins & Co Ltd is related by virtue of common directors. Mr. Stuart Collins, a director of the company, owed the company £3,788 at 1st June 2025 (2024: £945).

Dividends totalling £41,250 (2024 - £49,450) were paid in the year in respect of shares held by the company's directors.

The company is controlled by the trustees of the Tenor Insurance Brokers Limited Succession Trust by virtue of their shareholding.