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

The principal activity of the group during the year was the provision of unsecured loans.

The general economic uncertainty that existed in the UK during the year created continued demand for the group's products but also needed careful management both in respect of lending decisions and monitoring recoverability of the loans.

The short to medium term aim was, and still is, to continue to grow the business further via the implementation of new loan products and to reduce the recoverability risk within the portfolio. This is reflected in the current year trading results. The directors consider that good steps have been made in regards to both objectives and the overall state of the group is considered to be satisfactory.

With the introduction of Consumer Duty in 2023 the directors remain optimistic about the future trading conditions of the market in which the group operates. In response to the regulations, during the year the board instigated a complete review of historic claims to ensure that customers had been treated fairly and transparently.

Key risks have been monitored by the board throughout the year to identify changes and respond as required.

The most significant principal risk throughout the year and post year-end has been business strategy. If the wrong strategy is implemented or the strategy is not implemented effectively the business may be adversely impacted. The sector continues to evolve with increased regulation and oversight which is welcomed by the board. Product offering and pricing are monitored to ensure that the group maintains market share, and the way in which customers access finance and product information via group platforms is optimised so as to provide a streamlined and straightforward service.

The group itself is not immune from the effects of the inflationary environment in the UK which has seen increases in certain underlying costs of the business. The board monitor the impact the ongoing economic pressures are having on trading but are confident overall it does not pose a significant threat to the group's trading and profitability.

The group employed, on average, 119 staff during the year who are critical to the success of the group and invaluable in the help and support that they provide to our customers. Attracting good staff and maintaining good relations is important in promoting the future success of the business.

Given the nature of the group's operations financial risk management policies are essential with the board ensuring that the group's liquidity is maintained by entering into long or short term financial instruments as necessary, to support its operations and other funding requirements.

Maintaining compliance with regulatory policies and procedures is a cornerstone of everything that we do as a business and the group has a compliance officer and supporting team which reports to the board on a regular basis to ensure matters are addressed promptly and effectively to meet the required standards.

The financial results and balance sheet position of the group are set on pages 9 and 10 of the financial statements.

The group's turnover has decreased in the year by £5.1m to £50.5m. The group's main key performance indicators remain both the number of loans advanced in the year and the capital funds advanced. Whilst the number of loans issued was lower than in 2023, the value lent showed an increase.

The group has recorded a profit before tax of £10.4m in the year, compared to a profit of £15.5m in the prior year. The group's net asset and net current asset positions have also strengthened in the year and the directors are satisfied with the group's financial position at the balance sheet date.

The group comprises one main trading company in addition to a number of dormant group companies.

The board of directors, in line with their duties under the Companies Act 2006, act in way that they consider, in good faith, would be most likely to promote the success of the group for the members as a whole, and in doing so have regard to a range of matters when making decisions for the long term. Key decisions and matters that are of strategic importance to the group are appropriately informed by s.172 factors.

Details of the group’s key stakeholders and how we engage with them are set out below.

Shareholders

Maximising the long-term value for our shareholders is important. Monthly meetings are held with investors which cover not only financial performance but also operational outputs, strategic options available to the group, regulatory compliance and wider factors including the welfare of our customers. The short-term objectives of the group include exciting developments in product offering which we consider to be unique in our sector.

Colleagues

Our team are crucial to the success of the group and with that in mind, we have continued to engage closely with them and invest in appropriate training and development. We ensure that all appropriate policies and procedures are in place to promote employee wellbeing and that employees have access to support where needed. The group has a group wide incentive scheme linked to both the group’s financial performance and individual appraisals, which in turn are based on agreed objectives and group-wide values and behaviours, in line with our Consumer Duty responsibilities.

Customers

We strive to ensure that our customers receive the highest standards of service and care. We use our knowledge of the industry to ensure that we offer products and services that are attuned to our customers’ needs. Given the nature of our business, we handle recovery of loans in a sensitive way and in compliance with regulatory standards to achieve a fair outcome for all parties.

Suppliers

We engage closely with our suppliers to ensure that our relationships are mutually beneficial and long lasting. We onboard suppliers to the business in a controlled way, to ensure that the services they provide are appropriate with the key objective to meet customer requirements and their expectations.

Communities

We aim to work closely with the communities in which we operate and as far as possible we support charitable work carried out by our employees. We ensure that staff our aware of our policies in respect of promoting the continued wellbeing of those within our operational responsibilities.

Environment

The group/company is committed to environmental responsibility. Operations are conducted from a single site which incorporate energy saving measures such as motion sensor systems and LED lighting. A paperless office environment is encouraged and all IT systems are configured to reduce reliance on printer usage and paper. The board welcomes government initiatives towards net zero carbon emissions and a sustainable future for generations to come.

Government and regulators

A key area of focus for the business is ensuring compliance with all applicable laws and regulations. In particular, compliance with Financial Conduct Authority regulations. To that end, the group has a dedicated compliance officer to ensure that all reporting requirements are met, and that any customer complaints are handled and addressed appropriately. The board is kept fully appraised of any legal and regulatory developments as and when they arise.

On behalf of the board

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

The principal activity of the company is that of a holding company. The principal activity of the group continued to be that of the provision of unsecured loans.

The results for the year are set out on page 9.

Ordinary dividends were paid amounting to £3,000,000 (2023: £3,000,000). The directors do not recommend payment of final dividend.

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

The group's policy throughout the year has been that, to ensure continuity of funding, the repayment profiles for its borrowings can be adequately satisfied from forecast future cash surpluses generated from its operations.

The group has access to funding from a group credit facility that is designed to ensure that sufficient funds are available for operations and other funding requirements.

The group incurs interest on the group credit facility which is at fixed rates for fixed terms so as to provide certainty around cash flows and eliminates exposure to changes in underlying market rates associated with variable rate borrowing.

The group consider its policies and procedures in place are robust enough to reduce this risk to an acceptable level, whilst acknowledging it cannot be eliminated fully and is a commercial risk of operating in the unsecured loan market.

Overall loan book size is slightly lower than end of 2023, but in taking that measure the group has improved its risk assessment and underwriting systems.

The auditor, JS. Audit Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

As the group has not consumed more than 40,000 kWh of energy in this reporting period, it qualifies as a low energy user under these regulations and is not required to report on its emissions, energy consumption or energy efficiency activities.

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). 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 group and company, 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 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 group and company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The truegroup has chosen in accordance with Companies Act 2006, s.414C(11) to set out in the group's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect of the review of the business, principal risks and uncertainties, and future developments of the group.

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 auditor of the company 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 auditor of the company is aware of that information.

We have audited the financial statements of Money in Minutes Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group 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 group's and 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 and parent 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 group's and 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.

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 group and the parent company and their 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 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.

As explained more fully in the directors' responsibilities statement included within the directors' report, 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.

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 extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Based on our understanding of the company and sector, we identified that the principal risks of non-compliance with laws and regulations related to, but was not limited to, the Companies Act 2006, distributable profits, UK tax, employment, pension, health and safety and environmental legislation, as well as non-compliance with the regulatory requirements of the Financial Conduct Authority. We considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as UK financial reporting standards and the Companies Act 2006.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates and judgements and the risk of fraud in revenue recognition.

Our procedures to respond to risks identified included the following:

• reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;

• enquiring of management about actual and potential litigation and claims, their policies and procedures to prevent and detect fraud as well as whether they have knowledge of any actual, suspected or alleged fraud;

• performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

• reading minutes of meetings of those charged with governance and reviewing regulatory correspondence with the Financial Conduct Authority;

• obtaining an understanding of provisions and holding discussions with management to understand the basis of recognition or non-recognition of tax provisions; and

• in addressing the risk of fraud through management override of controls: testing the appropriateness of journal entries; assessing whether the accounting estimates, judgements and decisions made by management 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.

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 non-compliance with laws and regulations throughout the audit.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or 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 member, 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 member 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 member as a body, for our audit work, for this report, or for the opinions we have formed.

There were no items of other comprehensive income (2023: £nil).

As permitted by s408 of the Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £6,711,367 (2023 - £10,239,230 profit).

Money in Minutes Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is Bridge Studios, 34A Deodar Road, Putney, London, SW15 2NN.

The group consists of Money in Minutes Limited and all of its subsidiaries.

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.

The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:

• Section 4 ‘Statement of Financial Position’ – Reconciliation of the opening and closing number of shares;

• Section 7 ‘Statement of Cash Flows’ – Presentation of a statement of cash flow and related notes and disclosures;

• Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’ – Carrying amounts, interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;

• Section 33 ‘Related Party Disclosures’ – Compensation for key management personnel.

The directors have revised the financial statements for the presentation of gains on disposal of subsidiary undertakings, provisions for doubtful debts and debts written off, exceptional gains on conversion of foreign currency borrowings, together with the elimination of redeemable preferences shares in subsidiary undertaking on consolidation. The necessary amendments have been applied retrospectively by way of prior period adjustments as disclosed in note 28 of the financial statements.

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

The consolidated financial statements incorporate those of Money in Minutes Limited and all of its subsidiaries (ie entities that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits). Subsidiaries acquired during the year are consolidated using the purchase method. Their results are incorporated from the date that control passes.

All financial statements are made up to 31 December 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

The accounts have been prepared on a going concern basis, which assumes that the group will have sufficient funds to continue to pay its debts as and when they fall due and thus continue to trade for a period of not less than 12 months from the date of signing these financial statements. In making their assessment the directors have reviewed and considered the expected performance across the group's loan book. They have also taken into consideration the timing of when key debts fall due and the impact these have on expected cash flows.

The group has a credit facility which is due for renewal on 1 January 2026. In the post balance sheet period these facilities have been renewed for a further period which is due to expire on 30 July 2030.

Having due consideration to each of the above factors, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future and so the accounts are prepared on a going concern basis.

The parent company has sufficient net assets and cash reserves to continue to trade for a period of not less than 12 months from the date of signing these financial statements.

Turnover represents interest receivable on unsecured loans during the period net of redress payments, and amounts invoiced on the sale of debts.

Interest receivable is recognised on an amortised cost basis, as adjusted for amounts not expected to be recovered. Redress payments are accounted for an accruals basis based on determination by the company or independent assessment by the financial ombudsman service (or estimate thereof).

Amounts invoiced on the sale of debts are recognised at the point of sale.

Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is twenty years.

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

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

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 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 recognised in the income statement.

In the parent company financial statements, investments in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

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

All borrowing costs are recognised in profit or loss in the period in which they are incurred.

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible 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.

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

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.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

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 group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset and 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 and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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 profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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 deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts 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.

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

Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.

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 group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is 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, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the group is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

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

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 except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

Other operating income

Other operating income comprises commissions receivable on brokerage services which are recognised on an accruals basis.

In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

The directors have determined whether there are any indicators of impairment in the group's tangible and intangible assets and of the company's investments. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset and where it is a component of a larger cash generating unit, the viability and expected future performance of that unit.

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Where an indication of impairment exists, the directors will carry out an impairment review to determine the recoverable amount, which is the higher of fair value less costs to sell and value in use. The value in use calculation required the directors to estimate the future cash flows expected to arise from the asset or the cash generating unit, and a suitable discount rate in order to calculate the present value.

The group establishes a provision for receivables that are estimated to not be recoverable. Debts are automatically written off when they reach a certain age. In addition to those debts, the group makes full provision for debts due from customers that have an individual voluntary arrangement, and include a further provision against all other debts based on historic expected rate of default according to the risk profile of the loan.

The group estimates accrued interest receivable based on historic rates of recovery of interest earned on the loan book at the year-end date, and makes provision against that estimate based on historic expected rate of default according to the risk profile of the loan on which the interest is earned.

Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles, and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.

An analysis of the group's turnover is as follows:

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

Their aggregate remuneration comprised:

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:

The amortisation charge has been included within administrative expenses in the year.

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

Amounts owed by group undertakings are unsecured, interest bearing, and have no fixed repayment terms.

Amounts owed to group undertakings are unsecured, interest free and repayable on demand.

The loan is secured over the assets and liabilities of all group companies, bears interest at a fixed rate of 12% over the term of the loan, and is due for repayment on 1 January 2026.

Deferred tax assets and liabilities are offset where the group or company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

The deferred tax asset set out above is expected to reverse within 12 months and relates to accelerated capital allowances that are expected to mature within the same period.

The group has gross other timing differences carried forward at 31 December 2024 of £2,556,463. These other timing differences have not been recognised as a deferred tax asset calculated at 25% of £639,116 as there is uncertainty around the timing of their utilisation.

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund. Contributions to the fund totalling £nil (2023: £39,908) were payable to the fund at the balance sheet date.

Profit and loss reserves - cumulative profits and losses, net of distributions to shareholders.

The remuneration of key management personnel is as follows.

During the year the group entered into the following transactions with related parties:

The following amounts were outstanding at the reporting end date:

At the year end date the directors consider the ultimate parent undertaking to be UK Holdings Trust, a Trust entity established in the United States of America.

The ultimate controlling party is the trustees of the UK Holdings Trust.

Recognition of the profit on disposal of MIM Finance Company in the consolidated income statement. The directors have restated the comparative consolidated income statement for the year ended 31 December 2023 to increase reported profits and net assets/equity as at that date by £1,584,972 respectively.

Elimination of redeemable preferences shares in subsidiary undertaking on consolidation. The directors have restated net assets/equity at the start of the comparative period by £135,800.

Provisions for doubtful debts and debts written off were previously presented as a reduction in turnover. The revised presentation is to include these expenses as an administrative expense of the group. The directors have restated the comparative consolidated income statement for the year ended 31 December 2023 to increase turnover and administrative expenses by £18,242,455 (2024: £15,480,254) respectively. As shown in the tables above, there is no impact on the reported profit for the year ended 31 December 2023 or the profit and loss reserves as at that date.

The prior period disclosed exceptional currency translation differences relating to the conversion of foreign currency borrowings. The revised presentation is to include this item as an administrative expense of the group. The directors have restated the comparative consolidated income statement for the year ended 31 December 2023 to reduce exceptional gains and decrease administrative expenses by £852,732 respectively. As shown in the tables above, there is no impact on the reported profit for the year ended 31 December 2023 or the profit and loss reserves as at that date.