ACCOUNTS - Final Accounts

Operating profit

The operating profit is stated after charging:

Registered number: 05355007

BEC (LONDON) LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

BEC (LONDON) LIMITED

COMPANY INFORMATION

Directors	S L Damney
	L T Galea


Secretary	S L Damney


Registered number	05355007


Registered office	11 Thames Road
	Barking
	Essex
	IG11 0HG


Independent auditor	Barnes Roffe Audit Limited
	Chartered Accountants Statutory Auditor
	Leytonstone House
	3 Hanbury Drive
	London
	E11 1GA


Bankers	Barclays Bank Plc
	1 - 2 Trinity Way
	Chingford
	London
	E4 8US

BEC (LONDON) LIMITED

CONTENTS

	Page
Group strategic report	1
Directors' report	2 - 3
Independent auditor's report	4 - 7
Consolidated profit and loss account	8
Consolidated statement of comprehensive income	9
Consolidated balance sheet	10
Company balance sheet	11
Consolidated statement of changes in equity	12
Company statement of changes in equity	13
Consolidated statement of cash flows	14 - 15
Consolidated analysis of net debt	16
Notes to the financial statements	17 - 39

BEC (LONDON) LIMITED

GROUP STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction

The directors present their strategic report for the period:

Business review

We aim to present a balanced and comprehensive review of the development and performance of our business during the year and its position at the year end. Our review is consistent with the size and nature of our business and is written in the context of the risks and uncertainties we face.
The directors are pleased with the results for the year and to report a profit after tax of £1,219,364 (2023 - £968,587).

Principal risks and uncertainties

The business environment in which we operate continues to be challenging. However, the group continues to provide a mixture of repair, new supply and on-site services to manage the risk.
The defined benefit pension scheme valuation reported a small increase in scheme liabilities, mainly due to underlying valuation assumptions. The group continues to fund the scheme in accordance with a recovery plan.

Financial key performance indicators

We consider that our key financial performance indicators are those that communicate the financial performance and strength of the group as a whole, these being turnover which increased by 0.39% during the year, gross profit margin, being of 49.2% (2023 – 44.5%). The resultant operating profit was £1,843,469 (2023 - £1,289,164).

Other key performance indicators

Liquidity and cash flow risk are managed through agreeing appropriate payment terms with customers and suppliers. The group manages financial risk by ensuring sufficient liquidity is available to meet foreseeable needs with short-term flexibility provided by a sales finance facility.
The group's principal financial assets are trade debtors for which credit risk is managed by setting limits for customers based on a combination of payment history and reputation. Credit limits are reviewed on a regular basis in conjunction with debt ageing and collection history and to ensure sales finance facility covenants are met.
Future Developments
The directors continue to ensure that the highest level of service is provided to their customers and the directors expect the continued profit trend to continue for the subsequent year.

This report was approved by the board on 16 July 2025 and signed on its behalf.

S L Damney

Director

Page 1

BEC (LONDON) LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

The directors present their report and the financial statements for the year ended 31 December 2024.

Directors' responsibilities statement

The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 the Group and of the profit or loss of the Group for that period.

In preparing these financial statements, the directors are required to:

∙select suitable accounting policies for the Group's financial statements and then apply them consistently;

∙make judgments 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 Group 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 the Group and to 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Principal activity

The principal activity of the company during the year was that of a holding company.
The principal activity of the wholly owned subsidiary, Browning's Electric Company Limited, was that of electrical motor repairs and mechanical engineering.
The principal activity of the subsidiary, Browning's Employee Services LLP, was the provision of staff to Browning's Electric Company Limited.

Results and dividends

The profit for the year, after taxation, amounted to £1,219,364 (2023 - £968,587).

The directors do not recommend payment of a final dividend (2023 - Nil).

Directors

The directors who served during the year were:

B E Kemp (resigned 11 July 2025)

S L Damney

L T Galea

Page 2

BEC (LONDON) LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Disclosure of information to auditor

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditor is unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditor is aware of that information.

Post balance sheet events

There have been no significant events affecting the Group since the year end.

Auditor

After the year end Barnes Roffe LLP resigned as auditors due to the transfer of its business and its successor Barnes Roffe Audit Limited was appointed by the directors under s485 Companies Act 2006.

This report was approved by the board on 16 July 2025 and signed on its behalf.

S L Damney

Director

Page 3

BEC (LONDON) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BEC (LONDON) LIMITED

Opinion

We have audited the financial statements of BEC (London) Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024, which comprise the Group Profit and loss account, the Group Statement of comprehensive income, the Group and Company Balance sheets, the Group Statement of cash flows, the Group and Company Statement of changes in equity and the related notes, 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 Group's and of the parent Company's affairs as at 31 December 2024 and of the Group's 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 Group's or the parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Page 4

BEC (LONDON) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BEC (LONDON) LIMITED (CONTINUED)

Other information

The directors are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Auditor's report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Opinion 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 Group strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Group strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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:

∙adequate accounting records have not been kept by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or

∙the parent Company 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 Directors' responsibilities statement set out on page 2, 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 Group's and the parent Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or the parent Company or to cease operations, or have no realistic alternative but to do so.

Page 5

BEC (LONDON) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BEC (LONDON) LIMITED (CONTINUED)

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 Group financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

In identifying and assessing risks of material misstatement in respect of irregularities we considered the
following:

∙Obtained an understanding of the nature of the industry and sector, including the legal and regulatory frameworks that the group and parent company operates in and how the group and parent company are complying with the legal and regulatory frameworks;

∙Enquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud; and

∙Discussed matters about non-compliance with laws and regulations and how fraud might occur including assessment of how and where the financial statements may be susceptible to fraud.

All relevant laws and regulations identified at a Group level and areas susceptible to fraud that could have a material effect on the financial statements were communicated. Any instances of non-compliance with laws and regulations identified were considered in our audit approach.

The most significant laws and regulations were determined as follows:

∙UK GAAP FRS 102 and Companies Act;

∙Tax compliance regulations.

Additional audit procedures performed by the audit engagement team included:

∙Review of the financial statement disclosures and testing to supporting documentation;

∙Completion of disclosure checklists to identify areas of non-compliance.

The areas that we identified as being susceptible to material misstatement due to fraud were:

∙Revenue Recognition;

∙Management Override.

Audit procedures in response to the identified areas above:

∙Obtaining an understanding of the processes and controls around revenue recognition;

∙Substantively testing revenue via various testing including transactional, cut off and sequencing;

∙Evaluation of the appropriateness of the accounting policies;

∙Testing the appropriateness of journal entries and other adjustments;

∙Assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and

∙Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

Page 6

BEC (LONDON) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BEC (LONDON) LIMITED (CONTINUED)

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team
members and remained alert to any indications of fraud or noncompliance with laws and regulations throughout
the audit.

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 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.

Stuart Moon (Senior statutory auditor)

for and on behalf of

Barnes Roffe Audit Limited

Chartered Accountants

Statutory Auditor

Leytonstone House

3 Hanbury Drive

London
E11 1GA

E11 1GA

1 August 2025

Page 7

BEC (LONDON) LIMITED

CONSOLIDATED PROFIT AND LOSS ACCOUNT

FOR THE YEAR ENDED 31 DECEMBER 2024

	2024	2023
Note	£	£


Turnover	4	11,529,008	11,484,612
Cost of sales		(5,856,948)	(6,373,684)
Gross profit		5,672,060	5,110,928
Distribution costs		(721,771)	(719,831)
Administrative expenses		(3,106,820)	(3,101,933)
Operating profit	5	1,843,469	1,289,164
Interest receivable and similar income	9	39,868	14,932
Interest payable and similar expenses	10	(27,408)	(27,649)
Other finance income		(51,000)	(68,000)
Profit before tax		1,804,929	1,208,447
Tax on profit	12	(585,565)	(239,860)
Profit for the financial year		1,219,364	968,587

Profit for the year attributable to:
Owners of the parent	1,219,364	968,587
	1,219,364	968,587

The notes on pages 17 to 39 form part of these financial statements.

Page 8

BEC (LONDON) LIMITED

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2024

				2024	2023
				£	£

Profit for the financial year	1,219,364	968,587
Other comprehensive income
Unrealised surplus on revaluation of tangible fixed assets	106,756	-
Actuarial gain on defined benefit schemes	750,000	17,000
Movement on deferred tax relating to pension gains	-	(4,250)
Total comprehensive income for the year	2,076,120	981,337

Profit for the year attributable to:
Owners of the parent Company		1,219,364	968,587

Total comprehensive income attributable to:
Owners of the parent Company		2,076,120	981,337

The notes on pages 17 to 39 form part of these financial statements.

Page 9

BEC (LONDON) LIMITED

REGISTERED NUMBER: 05355007

CONSOLIDATED BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Intangible assets	14		19,816		67,357
Tangible assets	15		3,213,364		3,489,849
			3,233,180		3,557,206
Current assets
Stocks	17	401,773		290,551
Debtors: amounts falling due within one year	18	3,193,194		2,872,814
Cash at bank and in hand	19	1,324,420		1,396,039
		4,919,387		4,559,404
Creditors: amounts falling due within one year	20	(1,997,331)		(2,268,343)
Net current assets			2,922,056		2,291,061
Deferred taxation	21	(258,427)		-
			(258,427)		-
Net assets excluding pension liability			5,896,809		5,848,267
Pension liability			(102,000)		(1,151,000)
Net assets			5,794,809		4,697,267

Capital and reserves
Called up share capital	22	1,192	1,192
Share premium account	23	98,808	98,808
Revaluation reserve	23	1,507,985	1,401,229
Capital redemption reserve	23	820	820
Profit and loss account	23	4,186,004	3,195,218
Equity attributable to owners of the parent Company		5,794,809	4,697,267

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 16 July 2025.

S L Damney	L T Galea
Director	Director

The notes on pages 17 to 39 form part of these financial statements.

Page 10

BEC (LONDON) LIMITED

REGISTERED NUMBER: 05355007

COMPANY BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Investments	16		1,532,725		1,532,725
Current assets
Debtors: amounts falling due within one year	18	900,000		26,443
Cash at bank and in hand	19	60		60
		900,060		26,503
Creditors: amounts falling due within one year	20	(1,803,576)		(930,019)
Net current liabilities			(903,516)		(903,516)


Net assets			629,209		629,209

Capital and reserves
Called up share capital	22		1,192		1,192
Share premium account	23		98,808		98,808
Capital redemption reserve	23		820		820
Profit and loss account brought forward		528,389		528,389
Profit for the year		791,078		1,207,895
Dividends	13	(791,078)		(1,207,895)
Profit and loss account carried forward			528,389		528,389
			629,209		629,209

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 16 July 2025.

S L Damney	L T Galea
Director	Director

The notes on pages 17 to 39 form part of these financial statements.

Page 11

BEC (LONDON) LIMITED

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Share premium account	Capital redemption reserve	Revaluation reserve	Profit and loss account	Total equity
	£	£	£	£	£	£
At 1 January 2023	1,192	98,808	820	1,401,229	3,421,776	4,923,825
Comprehensive income for the year
Profit for the year	-	-	-	-	968,587	968,587
Actuarial gains on pension scheme	-	-	-	-	17,000	17,000
Deferred tax movements	-	-	-	-	(4,250)	(4,250)
Contributions by and distributions to owners
Dividends: Equity capital	-	-	-	-	(1,207,895)	(1,207,895)

At 1 January 2024	1,192	98,808	820	1,401,229	3,195,218	4,697,267
Comprehensive income for the year
Profit for the year	-	-	-	-	1,219,364	1,219,364
Actuarial gains on pension scheme	-	-	-	-	750,000	750,000
Deferred tax movements	-	-	-	-	(187,500)	(187,500)
Surplus on revaluation of freehold property	-	-	-	106,756	-	106,756
Contributions by and distributions to owners
Dividends: Equity capital	-	-	-	-	(791,078)	(791,078)
At 31 December 2024	1,192	98,808	820	1,507,985	4,186,004	5,794,809

The notes on pages 17 to 39 form part of these financial statements.

Page 12

BEC (LONDON) LIMITED

COMPANY STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Share premium account	Capital redemption reserve	Profit and loss account	Total equity
	£	£	£	£	£
At 1 January 2023	1,192	98,808	820	528,389	629,209
Comprehensive income for the year
Profit for the year	-	-	-	1,207,895	1,207,895
Contributions by and distributions to owners
Dividends: Equity capital	-	-	-	(1,207,895)	(1,207,895)

At 1 January 2024	1,192	98,808	820	528,389	629,209
Comprehensive income for the year
Profit for the year	-	-	-	791,078	791,078
Contributions by and distributions to owners
Dividends: Equity capital	-	-	-	(791,078)	(791,078)
At 31 December 2024	1,192	98,808	820	528,389	629,209

	The notes on pages 17 to 39 form part of these financial statements.

Page 13

BEC (LONDON) LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2024

			2024	2023
			£	£

Cash flows from operating activities
Profit for the financial year	1,219,364	968,587
Adjustments for:
Amortisation of intangible assets	47,541	47,541
Depreciation of tangible assets	70,600	114,215
Impairments of fixed assets	400,743	-
Loss on disposal of tangible assets	(1,917)	(1,000)
Interest paid	27,408	27,649
Interest received	(39,868)	(14,932)
Taxation charge	585,565	239,860
(Increase)/decrease in stocks	(111,222)	172,232
(Increase)/decrease in debtors	(524,127)	4,389
(Decrease)/increase in creditors	(271,012)	461,693
(Decrease) in net pension assets/liabilities	(299,000)	(262,000)
Corporation tax (paid)	(354,755)	(557,437)
Net cash generated from operating activities	749,320	1,200,797

Cash flows from investing activities
Purchase of tangible fixed assets	(17,426)	(21,045)
Sale of tangible fixed assets	1,917	1,000
Interest received	13,056	14,932
Net cash from investing activities	(2,453)	(5,113)
Cash flows from financing activities
Dividends paid	(791,078)	(1,207,895)
Interest paid	(27,408)	(27,649)
Net cash used in financing activities	(818,486)	(1,235,544)

Page 14

BEC (LONDON) LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

		2024	2023
		£	£

Net (decrease) in cash and cash equivalents	(71,619)	(39,860)
Cash and cash equivalents at beginning of year	1,396,039	1,435,899
Cash and cash equivalents at the end of year	1,324,420	1,396,039

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	1,324,420	1,396,039

The notes on pages 17 to 39 form part of these financial statements.

Page 15

BEC (LONDON) LIMITED

CONSOLIDATED ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 DECEMBER 2024


At 1 January 2024	Cash flows	At 31 December 2024
£	£	£

Cash at bank and in hand	1,396,039	(71,619)	1,324,420
Debt due within 1 year	(610,018)	145,969	(464,049)
	786,021	74,350	860,371

The notes on pages 17 to 39 form part of these financial statements.

Page 16

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1.	General information

BEC (London) Limited ("the Company") is a Company limited by shares, incorporated in England and Wales. Its registered office is 11 Thames Road, Barking, Essex, IG11 0HG.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Profit and loss account in these financial statements.

The following principal accounting policies have been applied:

2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated profit and loss account from the date on which control is obtained. They are deconsolidated from the date control ceases.

Page 17

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Group will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

Revenue is recognised on delivery.

2.4

Intangible assets

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities at the date of acquisition. Subsequent to initial recognition, Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight line basis to the profit and loss account over its useful economic life.

2.5

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

2.6

Leased assets: the Group as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

Page 18

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.8

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 19

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.10

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the Group in independently administered funds.

Defined benefit pension plan

The Group operates a defined benefit plan for certain employees. A defined benefit plan defines the pension benefit that the employee will receive on retirement, usually dependent upon several factors including but not limited to age, length of service and remuneration. A defined benefit plan is a pension plan that is not a defined contribution plan.

The liability recognised in the Balance sheet in respect of the defined benefit plan is the present value of the defined benefit obligation at the end of the balance sheet date less the fair value of plan assets at the balance sheet date (if any) out of which the obligations are to be settled.

The defined benefit obligation is calculated using the projected unit credit method. Annually the company engages independent actuaries to calculate the obligation. The present value is determined by discounting the estimated future payments using market yields on high quality corporate bonds that are denominated in sterling and that have terms approximating to the estimated period of the future payments ('discount rate').

The fair value of plan assets is measured in accordance with the FRS102 fair value hierarchy and in accordance with the Group's policy for similarly held assets. This includes the use of appropriate valuation techniques.

Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions are charged or credited to other comprehensive income. These amounts together with the return on plan assets, less amounts included in net interest, are disclosed as 'Remeasurement of net defined benefit liability'.

The cost of the defined benefit plan, recognised in profit or loss as employee costs, except where included in the cost of an asset, comprises:

a) the increase in net pension benefit liability arising from employee service during the period; and

b) the cost of plan introductions, benefit changes, curtailments and settlements.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. This cost is recognised in profit or loss as a 'finance expense'.

Page 20

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.11

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Land is not depreciated. Depreciation on other assets is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on the following annual basis:.

Depreciation is provided on the following basis:

Freehold property	-	2% straight line
Plant and machinery	-	10% reducing balance
Motor vehicles	-	20% and 25% straight line
Fixtures, fittings and equipment	-	15% - 20% reducing balance
Leasehold improvements	-	over the period of the lease

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

2.12

Revaluation of tangible fixed assets

Individual freehold land and buildings are carried at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the Balance sheet date.
Fair values are determined from market based evidence and are undertaken by the directors.
Revaluation gains and losses are recognised in the Consolidated statement of comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

2.13

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment. Where merger relief is applicable, the cost of the investment in a subsidiary undertaking is measured at the nominal value of the shares issued together with the fair value of any additional consideration paid.

Page 21

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.14

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.15

Debtors

Short term debtors are measured at transaction price, less any impairment.

2.16

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

2.17

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.18

Financial instruments

The Group has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Group's Balance sheet when the Group becomes party to the contractual provisions of the instrument.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Page 22

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.18

Financial instruments (continued)

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Basic financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Group's contractual obligations expire or are discharged or cancelled.

Page 23

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.19

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

3.	Judgments in applying accounting policies and key sources of estimation uncertainty

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Critical accounting estimates and assumptions
Revaluation of tangible fixed assets
In the current year, the directors measured the market value of the property. The valuation was based upon market values as at the balance sheet date on a 'open market value' basis. See note 15 for further information.
Defined benefit pension scheme
The Group has obligations to pay pension benefits to certain current and former employees. The cost of these benefits and the present value of the obligation depend on a number of factors, including; life expectancy, salary increases, asset valuations and the discount rate on corporate bonds. Management estimates these factors in determining the net pension obligation in the balance sheet. The assumptions reflect historical experience and current trends. See note 24 for further information.
Work in progress
Work in progress consists of labour, materials and overhead costs of ongoing projects at the balance sheet date. Management estimate the value of materials and overheads based upon a percentage of the value of labour work at that time. The percentages used are based upon the management's knowledge and experience of the industry taking into account current pricing factors. The value of work in progress is £195,593 (2023 - £138,118).

Turnover

The whole of the turnover is attributable to principal activity of Browning's Electric Company Limited, being that of electrical motor repairs and mechanical engineering.

All turnover arose within the United Kingdom.

Page 24

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Depreciation of tangible fixed assets	70,600	114,215
Amortisation of goodwill	47,541	47,541
Other operating lease rentals	231,363	175,769
Impairment of freehold property	400,743	-
Defined contribution pension cost	272,849	566,711

Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements

25,000

Page 25

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

7.	Employees
	Staff costs, including directors' remuneration, were as follows:

		Group	Group
		2024	2023
		£	£


Wages and salaries	3,299,250	3,301,125
Social security costs	320,115	298,125
Cost of defined contribution scheme	272,849	566,711
	3,892,214	4,165,961

The average monthly number of employees, including the directors, during the year was as follows:

	2024	2023
	No.	No.

Production	38	39
Office and management	18	19
Administration	9	9

	65	67

8.	Directors' remuneration
		2024	2023
		£	£

Directors' emoluments	181,988	191,464
Group contributions to defined contribution pension schemes	160,425	450,000
	342,413	641,464

During the year retirement benefits were accruing to no directors (2023 - 3) in respect of defined contribution pension schemes.

The directors' remuneration is in respect of services to the subsidiary company, Browning's Electric Company Limited and members' remuneration charged as an expense in the company's subsidiary, Browning's Employee Services LLP. This members' remuneration charged as an expense is due to the individuals who are also directors of this company in their capacity as members of the LLP for managing the LLP. This is included in directors' remuneration above in accordance with the Companies Act 2006.

Page 26

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

9.	Interest receivable and similar income
		2024	2023
		£	£

Other interest receivable

39,868

14,932

10.	Interest payable and similar charges
		2024	2023
		£	£

Other loan interest payable

27,408

27,649

11.	Other finance costs
		2024	2023
		£	£

	Net interest on net defined benefit liability	51,000	68,000

Corporation tax
Current tax on profits for the year	517,420	258,527
Adjustments in respect of previous periods	(3,835)	-

Total current tax	513,585	258,527

Deferred tax
Origination and reversal of timing differences	72,708	(18,667)
Adjustment from previous periods	(728)	-
Total deferred tax	71,980	(18,667)


		585,565	239,860

Page 27

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

12.Taxation (continued)

Profit on ordinary activities before tax

1,804,929

1,208,447

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.5%)	451,230	283,985
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	336,668	3,777
Amortisation	-	9,673
Adjustments to tax charge in respect of defined benefit scheme contributions	-	(57,575)
Non-taxable income	(197,770)	-
Adjustment from previous periods	(4,563)	-
Total tax charge for the year	585,565	239,860

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

13.	Dividends
		2024	2023
		£	£

Dividends paid on equity shares

791,078

1,207,895

Page 28

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

14.	Intangible assets
	Group and Company

		Goodwill
		£
	Cost
	At 1 January 2024	950,827
	At 31 December 2024	950,827
	Amortisation
	At 1 January 2024	883,470
	Charge for the year on owned assets	47,541
	At 31 December 2024	931,011
	Net book value
	At 31 December 2024	19,816
	At 31 December 2023	67,357

Page 29

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

15.	Tangible fixed assets
	Group

	Freehold land and buildings	Plant and machinery	Motor vehicles	Fixtures and fittings	Total
	£	£	£	£	£
Cost or valuation
At 1 January 2024	3,503,970	675,749	336,990	298,866	4,815,575
Additions	-	6,278	-	11,148	17,426
Revaluations	(403,970)	-	-	-	(403,970)
At 31 December 2024	3,100,000	682,027	336,990	310,014	4,429,031
Depreciation
At 1 January 2024	139,639	566,131	335,853	284,103	1,325,726
Charge for the year on owned assets	41,020	23,298	1,137	5,145	70,600
On revalued assets	(180,659)	-	-	-	(180,659)
At 31 December 2024	-	589,429	336,990	289,248	1,215,667
Net book value
At 31 December 2024	3,100,000	92,598	-	20,766	3,213,364
At 31 December 2023	3,364,331	109,618	1,137	14,763	3,489,849

The net book value of land and buildings may be further analysed as follows:
	2024	2023
	£	£

Freehold	3,100,000	3,364,331
	3,100,000	3,364,331

Page 30

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Cost or valuation at 31 December 2023 is as follows:

			Land and buildings
			£

		At cost	1,837,199
		At valuation:
		31 December 2024 based on open market value	1,262,801

			3,100,000

If the land and buildings had not been included at valuation they would have been included under the historical cost convention as follows:
	2024	2023
	£	£

Group
Cost	1,837,199	1,837,199
Accumulated depreciation	(169,975)	(158,371)
Net book value	1,667,224	1,678,828

The valuation of the freehold land and buildings was carried out by external valuers during the year.

16.	Fixed asset investments

	Company

	Investments in subsidiary companies	Unlisted investments	Total
	£	£	£
Cost or valuation
At 1 January 2024	1,532,625	100	1,532,725
At 31 December 2024	1,532,625	100	1,532,725

Page 31

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Subsidiary undertakings
The following were subsidiary undertakings of the Company:
Name	Principal activity	Class of shares	Holding

	Brownings Electric Company Limited	Electrical motor repairs & mechanical engineering -	Ordinary -	100% -
	Brownings Employee Services LLP*	Provision of personnel services -	Equity member -	100% -

* BEC (London) Limited has a controlling equity interest in Browning's Employee Services LLP.

17.	Stocks
		Group	Group
		2024	2023
		£	£

Raw materials and consumables	206,180	152,433
Work in progress (goods to be sold)	195,593	138,118
	401,773	290,551

18.

Debtors

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£


Trade debtors	1,906,335	2,069,788	-	-
Amounts owed by group undertakings	900,100	-	900,000	-
Other debtors	344,146	505,191	-	26,443
Prepayments and accrued income	42,613	226,106	-	-
Deferred taxation	-	71,729	-	-
	3,193,194	2,872,814	900,000	26,443

Page 32

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

19.	Cash and cash equivalents
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

	Cash at bank and in hand	1,324,420	1,396,039	60	60

20.	Creditors: Amounts falling due within one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Trade creditors	667,924	692,134	-	-
Amounts owed to group undertakings	-	-	1,803,576	930,019
Other taxation and social security	469,603	470,247	-	-
Other creditors	858,376	1,069,616	-	-
Accruals and deferred income	1,428	36,346	-	-
	1,997,331	2,268,343	1,803,576	930,019

21.	Deferred taxation
	Group

		2024
		£

	At beginning of year	71,729
	Charged to profit or loss	(142,656)
	Charged to other comprehensive income	(187,500)
	At end of year	(258,427)

Page 33

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

21.Deferred taxation (continued)

Company

There is no deferred tax within the Company.
The deferred taxation balance is made up as follows:
	Group	Group
	2024	2023
	£	£

Accelerated capital allowances	(17,153)	(19,923)
Defined benefit scheme liability	25,500	287,750
Revalued tangible fixed assets	(266,774)	(196,098)
	(258,427)	71,729

22.	Share capital
		2024	2023
		£	£

Allotted, called up and fully paid

425 (2023 - 425) Ordinary "A" shares of £1 each	425	425
400 (2023 - 400) Ordinary "B" shares of £1 each	400	400
355 (2023 - 355) Ordinary "C" shares of £1 each	355	355
425 (2023 - 425) Ordinary "AA" shares of £- each	4	4
400 (2023 - 400) Ordinary "BB" shares of £- each	4	4
355 (2023 - 355) Ordinary "CC" shares of £- each	4	4

	1,192	1,192

Page 34

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

23.

Reserves

Share premium account

The share premium represents amounts paid above the par value of ordinary shares.

Revaluation reserve

The revaluation reserve represents cumulative revaluation gains and losses in respect of tangible fixed assets since 2006.

Capital redemption reserve

The capital redemption reserve represents amounts of nominal share capital redeemed by the company.

Profit and loss account

The Profit and loss account consists of distributable reserves arising from cumulative historical profits and losses less any distributions made.

Page 35

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

24.	Pension commitments

The Group operates a defined benefit pension scheme.

The amounts in the financial statements for the year ended 31 December 2024, relating to defined benefit pensions, are based on a full actuarial valuation.
The most recent full actuarial valuation was at 5 April 2022, which has been updated to 31 December 2024 by a qualified independent actuary.
The defined benefit scheme became a closed scheme on 5 April 2005 and an alternative money purchase scheme was operated for new members and to provide benefits in respect of future service for the current members of the defined benefit scheme. The Group continues to fund the defined benefit scheme to meet the minimum funding requirements (currently 6.7% of pensionable salary) in respect of obligations to members for past service benefits earned to the date of closure. Group contributions to the money purchase scheme were 5% of pensionable salaries.

Reconciliation of present value of plan liabilities:
	2024	2023
	£	£

Reconciliation of present value of plan liabilities
At the beginning of the year	4,996,000	5,075,000
Interest cost	220,000	239,000
Actuarial (gains)/losses	(711,000)	74,000
Benefits paid	(243,000)	(392,000)
At the end of the year	4,262,000	4,996,000

Reconciliation of present value of plan assets:
	2024	2023
	£	£

At the beginning of the year	3,845,000	3,645,000
Interest income	169,000	171,000
Actuarial (losses)/gains	39,000	91,000
Contributions	350,000	330,000
Benefits paid	(243,000)	(392,000)
At the end of the year	4,160,000	3,845,000

Page 36

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

24.Pension commitments (continued)

Composition of plan assets:
	2024	2023
	£	£

Equities	2,207,000	1,955,000
Fixed interest	1,090,000	1,139,000
Other	550,000	544,000
Cash	313,000	207,000
Total plan assets	4,160,000	3,845,000

None of the fair value of the assets shown above include any direct investments in the group's own financial instruments or any property occupied by, or used by, the group.
Amounts recognised in the balance sheet as a Defined Benefit Liability:

					2024	2023
					£	£

Fair value of plan assets	4,160,000	3,845,000
Present value of plan liabilities	(4,262,000)	(4,996,000)
Net pension scheme liability	(102,000)	(1,151,000)

Page 37

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

24.Pension commitments (continued)

The amounts recognised in profit or loss are as follows:
	2024	2023
	£	£

Interest on obligation

51,000

68,000

The Group expects to contribute £NIL to its defined benefit pension scheme in 2025.

Principal actuarial assumptions at the balance sheet date (expressed as weighted averages):
	2024	2023
	%	%

Discount rate	5.3	4.4
Future reduction in deferment	3.0	2.8
Future pension increases	3.2	3.0
Mortality rates
- for a male aged 65 now	21.0	21.6
- for a female aged 65 now	23.2	23.5

Defined Contribution
The Group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £586,817 (2023 - £566,711). Contributions totalling £28,535 (2023 - £28,636) were payable to the fund at the balance sheet date.

Page 38

BEC (LONDON) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

25.	Commitments under operating leases
	At 31 December 2024 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
		Group	Group
		2024	2023
		£	£


	Not later than 1 year	-	22,500

		Group	Group
		2024	2023
		£	£


Not later than 1 year	128,250	132,566
Later than 1 year and not later than 5 years	101,794	105,402
	230,044	237,968

26.	Related party transactions
	The Company is exempt from disclosing related party transactions with companies that are wholly owned within the Group. Key management personnel compensation paid during the year totalled £237,177 (2023 - £299,767). Directors had an interest in dividends paid during the year of £791,078 (2023 - £1,207,895).

27.	Controlling party

The ultimate parent undertaking is BEC (L&W) Limited, a company incorporated in England and Wales. This company was incorporated in the year to effect a management buy out of BEC (London) Limited.

Page 39