The directors present the strategic report for the year ended 31 December 2024.

Vizion experienced its strongest trading year to date in 2024, with turnover, underlying gross margin, and net profitability all improving on previous periods – this despite ongoing supply chain challenges and a return to more normalised repair volumes.

Turnover rose to £454 million, an increase of £29 million (7%) compared to the previous year. This growth was primarily driven by increased income from Vizion’s SaaS offerings and a broader, more diversified product range.

While overall business volumes declined by 5% in 2024 – reflecting the stabilisation of the repair market and the clearance of post-COVID work-in-progress – gross profit grew to £20.3 million, up £1.8 million (9.5%) year-on-year. This uplift was largely attributable to stronger margins generated by Vizion’s administration fees and enhanced software products.

Our senior leadership team continues to evolve, growing in size, capability, and strategic maturity. Significant restructuring across the business has positioned us for further sustained growth both in the UK and Europe with long-term resilience. Driving positive change within the motor and financial services sectors remains central to our philosophy, underpinned by an unprecedented level of collaboration that continues to deliver exceptional results.

Achieving carbon neutrality as a business and committing to the Science Based Targets initiative (SBTi) marked a major milestone towards our near-term goal of a carbon-neutral supply chain and our longer-term ambition to achieve net zero by 2050 – or sooner. This strategy is bold and requires fundamental change across the repair sector. We are prepared to lead this transformation by equipping our supply partners with the tools and resources they need to adapt, innovate, and share in the commercial benefits. To this end, Vizion has been instrumental in the design and build of the UK’s Accident Repair Industry Environmental Standard (ARIES), delivering a new way to measure and actively reduce carbon, bringing decarbonisation in reach whilst applying correct commercial balance to the market approach through funding based on auditable progress and ongoing improvements.

Focus and collaboration remain the cornerstones of our success. Our strategic priority is to build resilience, reduce risk, and create mutual commercial benefits for all stakeholders. At Vizion, we aim to be the driving force behind industry improvement, challenging traditional processes and pioneering new ones that combine the best of people and technology. Our ultimate goal: a sustainable, efficient, and profitable future for the entire sector.

2023 saw our biggest Kinetic conference to date, attracting over 1,200 senior industry representatives. The event featured keynote speakers from some of the world’s leading insurers and vehicle manufacturers. Innovations on display included advancements in alternative fuel technologies such as Battery Electric, E-Fuels, and Hydrogen power. This event reaffirmed that our success is defined by the quality of our partnerships. The planning for Kinetic’25 is already underway, we expect more than 1,400 to attend this time and the exhibition and conference will be the standard to follow. BYD, Ford Stellantis and many other super brands have already committed to attend Kinetic’25 and show their very latest technologies.

In a world where geopolitical and commercial conditions shift constantly, technological innovation is essential. The ability to anticipate change, identify opportunities, and deliver solutions ahead of demand remains at the heart of our strategy. This proactive approach ensures our services and solutions remain market leading.

We continue to focus on sustainability, automation, and efficiency to deliver cost savings and reduce risk across the supply chain. By eliminating repetitive manual tasks and leveraging data-driven automation, we improve system efficiency and stability, creating value for all partners. AI analytics and customer directive technologies such as self-service continue to remove large scale costs for clients and associated service providers whilst increasing customer satisfaction.

Supporting our repair network is our core purpose. We are committed to fostering a diverse and inclusive ecosystem of partners, helping them grow stronger collectively. By sharing in our technology, knowledge, and innovation, we strengthen both our network and the wider industry. The success of our partners defines our success.

The Company's system of internal control is developed through processes which are designed to identify and evaluate the nature and extent of the risks to which the Company could be exposed. The purpose is to help manage and control risk, rather than eliminate it at the expense of opportunity, as the generation of income and the achievement of other business objectives is, in part, the reward for successful and sensible risk taking.

The principal elements of the company's system of internal control are as follows:

Control environment

The Company has an organisational structure with clearly defined levels of responsibility and authority and appropriate operation and financial reporting procedures. The Company's employees perform their duties with reference to agreed policies and operating procedures and controls are documented for key business processes.

Financial reporting and information systems

The Company has and continues to develop comprehensive planning and financial reporting procedures, which include the preparation of an annual budget, cash flow projections and a strategic plan, all of which are approved by the board of directors. Monthly trading results and expenditure are reported against budget. Significant variances to budget and key performance indicators are examined monthly by Management to assess progress towards objectives and appropriate action is taken where required. Forecasts are regularly updated throughout the year, considering the financial performance for the year to date and these are also approved by the board of directors.

Training and career development

Vizion remains firmly committed to investing in its greatest asset – its people. The insurer claims and collision market is shaped by a complex and highly technical landscape, making deep expertise across both internal teams and external partners essential. This knowledge plays a crucial role in supporting our sales efforts and enhancing our product offer.

We also continue to provide our staff with supplementary training both internally and externally, covering areas such as IT, finance, personal development, management and compliance with GDPR, Modern Slavery and Health & Safety requirements.

As referenced earlier, Vizion’s financial results year have significantly exceeded past years’ performances on several levels. Turnover has continued to increase year-on-year, thanks to the continued success of Vizion’s ‘Lenz’ Fintech products, which optimise operational and revenue benefits. This required a change in the contractual terms and the accounting needed to reflect a principal as opposed to agent relationship between the parties.

As a result of these contractual changes and resulting increase in turnover, the Gross Profit percentage has been diluted superficially to 4.5% (2023 – 4.4%) although it remains clear that Vizion’s underlying Gross Profit margin i.e., after adjusting for these changes, has remained strong, due principally to increased returns from its Fintech products.

The directors’ report covers R&D expenditure on page 7 and environmental targets are detailed in the Energy and Carbon section on pages 10 to 11.

Our statement is made in accordance with section 54 of the Modern Slavery Act 2015.

Vizion is the largest vehicle body repair network in the UK and Ireland, incorporating British Standard accredited collision repairers and Vehicle Manufacturer approved body shops. We were employing over 300 people within our organisation as at 31 December 2024, and engage with approximately 16,500 individuals throughout our supply chain. Most of our clients are major motor insurers and vehicle manufacturers.

We operate several internal policies to ensure we are conducting business in an ethical and transparent manner. These include our Modern Slavery and Human Trafficking Policy, our Recruitment Policy, Whistleblowing Policy, and our Vizion Values/ Code of Conduct.

We conduct due diligence on all suppliers before and after they become active. This includes onsite audits to review working conditions. We also require that suppliers confirm to us that:

a. they have taken steps to eradicate modern slavery within their business;

b. they hold their own suppliers to account over modern slavery;

c. they pay their employees at least the national minimum wage/national living wage (as appropriate); and

d. we may terminate the contract at any time should any instances of modern slavery come to light.

In identifying and addressing risks, we set out to identify the extent of any slavery and human trafficking in our supply chains by:

a. conducting internal spot-checks at suppliers across the UK;

b. interviewing individuals to discuss their conditions and their rights;

c. collaborating with our suppliers to develop an awareness plan to address related issues; and

d. instituting an annual review questionnaire for existing suppliers to self-assess against the issues.

We measure activity and will know the effectiveness of the steps we are taking when:

a. no reports are received to indicate that modern slavery practices have been identified;

b. we measure the number of people completing training and passing post training questionnaires;

c. supplier self-assessment responses show no activity; and

d. due diligence spot checks reveal no signs of activity.

We have promoted cultural change through training and in the last financial year we:

a. delivered online training modules to Vizion employees;

b. distributed posters on slavery and human trafficking and workers' rights;

c. ran training seminars for our supplier managers at our offices in Hull and Wellingborough; and

d. started development of a dedicated Vizion training and knowledge resource webpage.

We want to satisfy our customers, employees, shareholders, and society in equal measure. In our industry sector we believe we are leaders, in terms of both technology and organization and aim to achieve continuous growth that is above the average. We equally aim for an appropriate return on capital that enables us to afford our balanced expenditure on research and development as well as investments made by our own efforts.

The same high performance and quality expectations followed by the Company are also placed on our employees. The safeguarding of jobs is a high priority for us, as is a fair system of remuneration. We promote our employees' personal and professional competence. Creative freedom is just as important as a readiness to express, and constructive criticism and debate are seen as opportunities.

We endeavour to provide conditions that enable our employees to perform well in safe environments. This includes a healthy work life balance, health and mental wellbeing and the pursuit of diversity among our employees. We have also worked with our employees to put in place safe working practices in line with government guidance.

Please also refer to comments made in the Directors’ Report: sub section: Future developments.

Our services are known in the market to be innovative and reliable as well as tried and tested in industry conditions. With the continuous development of our software solutions, we develop and maintain strong relationships with both suppliers and customers alike.

Our corporate responsibility is to handle resources carefully and to avoid negative impact on the environment as much as possible coupled with a conscious approach to plan for the long-term and to actively involve ourselves in shaping the conditions in which we operate.

On behalf of the board

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

The principal activities of the Company are handling vehicle accidental damage repair, via digitally integrated network solutions. It develops and licenses digital systems for both B2B and B2C clients, featuring advanced claims integrations, analytics, and financial management solutions.

The results for the year are set out on page 17.

During the year, ordinary dividends were paid amounting to £2m (2023: £Nil). Subsequent to the year end, £2m dividends were declared and paid, with a further £1m proposed to be paid by the end of Q3 2025.

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

R&D remains a key part of Vizion's strategic planning. Dedicated teams have been assembled to review and improve operational efficiencies and affect change in the wider market, creating opportunities, whilst others are dedicated to the developmental work of new product lines in several existing and new areas of the business.

Direct expenditure regarding HMRC definable R&D during the year amounted to c. £200,000, with a significant amount more being invested in the wider reinvention of the business’s operational elements.

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

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

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

There is no employee share scheme at present, but the directors are considering the introduction of such a scheme as a means of further encouraging the involvement of employees in the company's performance.

Reference to our engagement with clients, suppliers and other stakeholders is covered in our Section 172 Statement on pages 5-6.

At Vizion, we don’t just adapt to change – we anticipate it. Our digital experiences are evolving at pace, reshaping how customers and partners interact with us forever. As our industry faces new challenges, Vizion continues to lead with proactive innovation, ensuring we remain future-ready across every part of our operations.

We have followed the UK Government Environmental Reporting Guidance referencing the GHG Protocol. The Paris Agreement goal is to curb global temperature rise by halving Greenhouse Gases by 2030, dropping to net-zero by 2050.

Our emission reduction target is to reduce our global Scope 1 and 2 emissions in tonnes of CO2 per £1m turnover by 10% per annum, and we will work with our clients and supply chain to effect measurable reduction in Scope 3 emission. 

The environmental impacts of our organisation encompass mandatory Greenhouse Gas Protocol Scope 1, which are direct GHG emissions, e.g. from company cars, and gas heating boilers, and Scope 2, indirect emissions, e.g. emission released into the atmosphere associated with the purchase and use of electricity. We also include more detail on Scope 3 in relation to business use and staff owned vehicles, staff commuting, and the wider upstream and downstream supply chain.

Purchase prices of fuel, gas and electricity and the equivalent kg per litre, and kWh, are used to calculate the associated metric tonnes of emissions produced.

Scope 1 emissions from activities for which the company own or control, including combustion of fuel from company vehicles and gas emissions from the operation of our facilities, is calculated at 44 metric tonnes of CO2 in 2024, compared with 55 metric tonnes of CO2 in 2019, our base year.

Scope 2 emissions, associated with electricity purchased for facility use is the equivalent of zero metric tonnes of CO2 for 2024, compared with 41 metric tonnes of CO2 in 2019. This is due to a renewable energy guarantee from our energy supplier and our leased office.

Scope 3 emission, which is as a consequence of our actions, but occur at sources which we do not own or control, i.e. within our supply chain, has been refined and re-calculated. This includes the purchase of goods and services, capital goods, business travel, employee commuting, upstream leased assets, but excludes Scope 3 categories where we have no trading activity. Further research of Scope 3 emissions means 2019 emissions have been revised to 52,305 metric tonnes, with 2024 calculated at 70,938 metric tonnes.

Scope 1, 2 and 3 reportable data combined therefore produced 70,982 metric tonnes of CO2 in 2024, compared with a combined 52,401 metric tonnes of CO2 in 2019.

Based on 2024 turnover, our intensity ratio across Scope 1 and 2 for 2024 is 0.1 metric tonnes per £million, compared with 1.5 in 2019. We have chosen the intensity measure of CO2 metric tonnes per £1million turnover for reporting as this best fits our industry sector. Our intensity ratio for the number of vehicles handled (claims) has reduced from 0.0007 to 0.0002 tCO2e, and our ratio for full-time employees from 0.5 to 0.2 tCO2e.

We have a fixed base year of 2019 as this was the first year for which we considered we had reliable data. There has been a need to recalculate our base year for Scope 3 as further interpretation and detail has become available.

Reduction in our intensity ratio is mainly due to the renewable energy guarantee for electricity, plus confirmation the Hull office building management company have signed up to REGO, the Renewable Energy Guarantee of Origin Scheme.

Reducing business travel via use of video conferencing, increased numbers of employees working from home (where possible), electric hybrid company cars, and cycling and walking to work, are all areas we continue to encourage.

We achieved carbon neutrality across Scope 1 and 2 in 2023, two years ahead of our 2025 target, and we are encouraging our supply chain to do the same by 2030.

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

The auditor, Saffery LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

The directors are responsible for preparing the annual report 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;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

• 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.

We have audited the financial statements of Vizion Network Limited (the 'company') for the year ended 31 December 2024 which comprise the statement of comprehensive income, the statement of financial position, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

• the information given in the 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 strategic report and the directors' report have been prepared in accordance with applicable legal requirements.

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

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

• 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 remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

As explained more fully in the directors' responsibilities statement set out on page 13, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.

Identifying and assessing risks related to irregularities:

We assessed the susceptibility of the company’s financial statements to material misstatement and how fraud might occur, including through discussions with the directors, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the company by discussions with directors and by updating our understanding of the sector in which the company operates.

Laws and regulations of direct significance in the context of the company include The Companies Act 2006 and UK Tax legislation.

Audit response to risks identified

We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the company's records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the company's policies and procedures for compliance with laws and regulations with members of management responsible for compliance.

During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

The income statement has been prepared on the basis that all operations are continuing operations.

Vizion Network Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Deep Business Centre, Tower Street, Hull, East Yorkshire, HU1 4BG.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

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

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

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured, Turnover 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 turnover is recognised:

Rendering of services

Turnover 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 the following conditions are satisfied:

• the amount of turnover can be measured reliably;

• it is probable that the Company 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.

The Company has multiple income streams.

Repairers pay a monthly membership fee for access to the Vizion network. Turnover is recognised within the month of the membership. Payment is made one month in advance and deferred at the year end.

Service fees, collected from each repairer, are recognised once jobs are accepted and are in progress.

Income relating to the cost of replacement vehicles sourced for insurers is recognised as the associated costs are borne by the Company.

Income is also received where the Company manages claims on behalf of insurance companies. The Company is deemed to be acting as the principal when providing these services; being exposed to the risks and rewards associated with the sale.

Debtor and creditor balances relating to vehicle repair transactions undertaken on behalf of insurer clients are recognised in the Balance Sheet when the contractual relationship between the Company and the insurer is one of principal as opposed to agent.

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

The Company expenses research and development costs as incurred.

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

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

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

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.

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.

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

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

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets, which include debtors, are initially measured at transaction price, and are subsequently carried at amortised cost using the effective interest method. Financial assets classified as receivable within one year are not amortised. A provision is established when there is objective evidence that the Company will not be able to collect all amounts due.

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

Basic financial liabilities, including creditors, bank loans, and other loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

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 income statement 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. Where items recognised in other comprehensive income or equity are chargeable to or deductible for tax purposes, the resulting current or deferred tax expense or income is presented in the same component of comprehensive income or equity as the transaction or other event that resulted in the tax expense or income. 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.

The costs of short-term employee benefits are recognised as a liability and an expense.

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company 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 Company in independently administered funds.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease.

Group accounts

The financial statements present information about the company as an individual undertaking and not about its group. The company and its subsidiary undertaking comprise a large-sized group but under section 405 of the Companies Act 2006, a subsidiary may be excluded from the consolidation if its inclusion is not considered material for the purpose of giving a true and fair view. The shareholders consider it appropriate to exclude the subsidiary on this basis.

The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and judgements that affect the reported amounts of assets and liabilities as well as the disclosure of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the year.

The estimates that had a significant risk of causing a material adjustment to the carrying amount of the assets and liabilities of the Company is set out below:

Vizion receives income on various contracts at nil margin. In the judgement of the directors, for some of these income streams the Company is acting as a principal, and on some as agent. This assessment is based upon the contractual provisions in place, and the substance of the arrangement. A key factor in determining whether the Company is acting as agent or principal is whether or not the credit risk sits with Vizion or another party.

Vizion makes an estimate as to the recoverable value of the trade and other debtors. When assessing the impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of the debtors and historical experience. In the directors' judgement, a provision of £nil (2023 - £1,583,957) is required for other debtors, and a provision of £215,444 (2023 - £309,110) is required for the trade debtors.

The whole of the turnover is attributable to the provision of services.

All turnover arose within the United Kingdom.

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

Their aggregate remuneration comprised:

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 5 (2023 - 5).

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

Details of the company's subsidiaries at 31 December 2024 are as follows:

The registered address for Vizion Europe Limited is The Deep Business Centre, Tower Street, Hull, East Yorkshire, United Kingdom, HU1 4BG.

The total of cash at bank and in hand includes £39,065,916 (2023 - £30,572,904) of client funds held. The liability with regards to these balances is within 'Other Creditors' in note 17.

The bank holds security by way of an unlimited debenture dated 9 January 2018, incorporating a fixed and floating charge over Vizion's assets.

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

On 7 April 2024, the Company cancelled 6 ordinary shares with a nominal value of £0.50 each.

This reserve records the nominal value of shares repurchased by the Company.

This reserve records retained earnings and accumulated losses.

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

The remuneration of key management personnel is as follows.

During the year Vizion Network Limited made sales of £2,239,859 (2023 - £1,815,478) to a number of companies under the common control of directors. At the year end, £694,018 (2023 - £659,640) remained outstanding and is presented within trade debtors.

During the year, the Company also made purchases or incurred expenses of £3,847,414 (2023 - £27,742,837) from the same companies under common control. At the year end, £66,696 (2023 - £66,120) remained outstanding and is presented within trade creditors.

Vizion is owed £4,862,659 (2023 - £5,240,599) from a company which is a related party to Vizion Network Limited. No interest accrues on this balance. It is, in substance, a prepayment for data transmission services and is presented within long-term debtors on the Balance Sheet. The other company is a related party by virtue of the significant influence that Vizion's owners have over its financial and operating policies.

Vizion has a loan balance of £305,759 (2023 - £200,000) and trade debt of £398,387 (2023 - £336,485) due from an entity related to Vizion by virtue of the common control that Vizion's owners have over the other entity. These balances are presented within short term debtors, are fully provided for and repayable on demand and accrue no interest.

Vizion has a loan balance of £Nil (2023 - £60,000) due from an entity related to Vizion by virtue of the common control that Vizion's owners have over the other entity. This loan is presented within short term debtors, is repayable on demand and accrues no interest.

In addition, three close family members of directors were remunerated for their services to the Company, with remuneration totalling £124,608 (2022 - £127,260) during the year. At the year-end £Nil (2023 - £nil) remained outstanding.

Furthermore, a company under the common control of directors has provided security to a customer of Vizion Network Limited by means of a charge over its property. The contract held with this customer is presented as a £1,842,835 (2023 - £3,279,818) balance in deferred income.

During the year, the company made purchases or incurred expenses of £22,332 (2023 - £nil) from a company which is controlled by a close family member of one of the directors of Vizion. At the year end, £7,441 (2023 - £nil) remained outstanding and is presented within trade creditors.

The directors do not consider there to be an ultimate controlling party.