REGISTERED NUMBER: 02835532 (England and Wales)

PADDOCK ST HOLDINGS LTD

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

3

to

7

DIRECTORS:

M A Johnson

A C E Axiom

REGISTERED OFFICE:

11 Luard Road

Cambridge

CB2 8PJ

REGISTERED NUMBER:

02835532 (England and Wales)

ACCOUNTANTS:

Duncan & Toplis Limited

3 Castlegate

Grantham

Lincolnshire

NG31 6SF

FIXED ASSETS

Investments

4

1,501

1,501

Investment property

5

1,845,235

1,842,500

1,846,736

1,844,001

CURRENT ASSETS

Inventories

7,375,000

7,881,299

Debtors

6

1,958,700

1,884,905

Cash at bank

106,330

31,749

9,440,030

9,797,953

CREDITORS

Amounts falling due within one year

7

6,846,780

7,554,758

NET CURRENT ASSETS

2,593,250

2,243,195

TOTAL ASSETS LESS CURRENT LIABILITIES

4,439,986

4,087,196

PROVISIONS FOR LIABILITIES

8

134,341

145,841

NET ASSETS

4,305,645

3,941,355

CAPITAL AND RESERVES

Called up share capital

9

166,322

166,322

Share premium

47,025

47,025

Retained earnings

4,092,298

3,728,008

SHAREHOLDERS' FUNDS

4,305,645

3,941,355

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2024.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2024 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 19 September 2025 and were signed on its behalf by:

A C E Axiom - Director

1.	STATUTORY INFORMATION

Paddock St Holdings Ltd is a private company, limited by shares, registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

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 £.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared on a going concern basis under the historical cost convention as modified by the revaluation of certain assets.

Revenue

Revenue is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

When cash inflows are deferred and represent a financing agreement, the fair value of the consideration is the present value of the future projects. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Tangible fixed assets

Tangible assets are initially measured at cost and subsequently measured at or valuation, net of depreciation and any impairment losses.

Depreciation if recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following basis:

Land and buildings freehold No depreciation

In the opinion of the directors the property is fully maintained and any depreciation would be immaterial.

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 and loss.

Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs. Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

Investments in subsidiaries and associates

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

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

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.

Inventories

Property held for development is stated at the lower of direct cost and net realisable value. Direct costs include acquisition fees and taxes, contractors' costs, associated professional charges and other attributable overheads. Net realisable value is assessed by estimating selling prices and further costs to completion, including sales and marketing expenses.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Property held for development

Properties held by the company with a carrying value of £7,375,000 have been treated as stock as the directors consider that they can practicably be sold at any time, and that rental income receivable is incidental to the company's primary objective to develop and sell the properties. Similar properties have been sold by the company on this basis in the current and prior years. These properties are therefore held at the lower of cost and net realisable value, rather than at fair value through profit or loss.

Financial instruments

The company has chosen to adopt the FRS102 1A in respect of financial instruments.

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitute a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the income statement.

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

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

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 statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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 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.

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.

Provisions

Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

Going concern

The financial statements have been prepared on the going concern basis which assumes that the company will continue in operational existence for the foreseeable future.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 2 (2023 - 1 ) .

4.	FIXED ASSET INVESTMENTS

Shares in

Interest

group

in

undertakings

associates

Totals

£

£

£

COST

At 1 January 2024

and 31 December 2024

1

1,500

1,501

NET BOOK VALUE

At 31 December 2024

1

1,500

1,501

At 31 December 2023

1

1,500

1,501

The company's investments at the Statement of Financial Position date in the share capital of companies include the following:

Subsidiary

Chartwell House Service Company Limited

Registered office: Flint Buildings, 1 Bedding Lane, Norwich, Norfolk, United Kingdom, NR3 1RG

Nature of business: Dormant

%

Class of shares:

holding

Limited by guarantee

100.00

Associated company

Pigeon (Werrington) Limited

Registered office: Salisbury House, Station Road, Cambridge, Cambridgeshire, United Kingdom, CB1 2LA

Nature of business: Property development

%

Class of shares:

holding

B Ordinary

42.25

5.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 January 2024

1,842,500

Additions

2,735

At 31 December 2024

1,845,235

NET BOOK VALUE

At 31 December 2024

1,845,235

At 31 December 2023

1,842,500

The fair value of the investment property has been arrived at on the basis of a valuation carried out in December 2021 by Roche Chartered Surveyors, who are independent of the company and have experience of valuing similar properties. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

The directors have revisited the professional valuations undertaken by Roche at the end of 2021 and in the light of the available evidence consider those valuations realistic in the current market. There is in their view no justification for the expense involved in seeking a new valuation. Any valuation is likely to be highly approximate as illustrated by recent sales at a price considerably in excess of what was then a very recent valuation. The values used, although subject to large margins of error, are considered fair for the above reasons.

Fair value at 31 December 2024 is represented by:

£

Valuation in 2024

1,845,235

6.

DEBTORS

2024

2023

£

£

Amounts falling due within one year:

Trade debtors

31,100

30,284

Amounts owed by related parties

317,552

172,888

Other debtors

6,116

9,337

Tax

15,212

67,444

VAT

20,602

17,760

Prepayments and accrued income

10,719

36,095

401,301

333,808

Amounts falling due after more than one year:

Amounts owed by associates

1,557,399

1,551,097

Aggregate amounts

1,958,700

1,884,905

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade creditors

12,464

47,122

Amounts owed to related parties

6,748,727

7,456,199

Other taxes and social security

6,820

4,290

Other creditors

5,275

5,185

Accruals and deferred income

73,494

41,962

6,846,780

7,554,758

8.	PROVISIONS FOR LIABILITIES

2024

2023

£

£

Deferred tax

Accelerated capital allowances

134,341

134,341

Other provisions

-

11,500

134,341

145,841

Deferred

Other

tax

provisions

£

£

Balance at 1 January 2024

134,341

11,500

Provided during year

-

(11,500

)

Balance at 31 December 2024

134,341

-

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2024

2023

value:

£

£

166,322

Ordinary shares

£1

166,322

166,322

10.	FINANCIAL COMMITMENTS, GUARANTEES AND CONTINGENT LIABILITIES

The directors consider that contingent liabilities may arise due to the risk of service charges, and in particular rates, being absorbed by the company should vacant letting periods arise.

The property market has proved volatile in recent years and there have been unexpected changes in tenancies which have caused vacancies. It is impracticable to calculate the financial effect of the potential liabilities due to the uncertainties relating to timings and amounts.

The likelihood of being able to recover costs for any vacant letting periods is remote and the company would then be obliged to discharge certain liabilities prior to occupation of the premises by a new tenant.

11.	ULTIMATE PARENT COMPANY