Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 December 2024

for

City Tool Hire Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Statement of Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

14

DIRECTORS:

W Burgess

R Burgess

L Burgess

SECRETARY:

Mrs R Burgess

REGISTERED OFFICE:

5-6 Boeing Way

International Trading Estate

Southall

Middlesex

UB2 5LB

REGISTERED NUMBER:

07775730 (England and Wales)

AUDITORS:

Williams & Co Epsom LLP

Statutory Auditors

8-10 South Street

Epsom

Surrey

KT18 7PF

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

REVIEW OF BUSINESS

The company has enjoyed another successful year with turnover of £22.32m (2023: £20.26m) resulting in the company reporting a profit before tax of just over £1.8m (2023: £3.00m).

The reduction in profits was expected and planned for as the company puts the necessary infrastructure in place to expand its operations in accordance with its business plan.

PRINCIPAL RISKS AND UNCERTAINTIES

The company continues to operate in a very competitive environment and it continues to monitor both its cost base and pricing strategy to generate profits

The company maintained its objectives to ensure its liquidity and net asset value will be used to fund any expansion in activities in this financial year. To remain competitive, the company needs to invest in new equipment to replace heavy duty use and also keep in with technological changes.

The company and the whole industry have been met with the ongoing challenge that the Ukraine crises has brought to the supply chain, but have managed to remain largely unaffected.

COMPANY STRATEGY

The company's mission is to revolutionize the future of tool hire and provide excellent customer experience. World-class operations is key to our value proposition, and providing a frictionless, fast & accurate service standard that drives retention and loyalty whilst increasing the market share.

Our ESG plan drives our commitment to keeping colleagues and customers safe. We are committed to delivering the highest-quality services with all applicable laws and standards. We aim to be the best place to work for our employees, providing opportunities for learning and development, embracing diversity and inclusion, and assuring a safe and healthy work environment.

KEY PERFORMANCE INDICATORS

The company monitors carefully its KPIs on a monthly basis and the directors use these measures to assess how the business is performing as well as identifying any potential risks.

NPS: The company is committed to maintain its Net Promoter Score (NPS) above 85, measuring how likely our customers are to recommend City Hire, and continues to strengthen its position in the hire industry.

GER: Company constantly monitors and tracks Gross Error Rate KPI to remain at 95% or above to eliminate delayed deliveries, breakdowns on faulty equipment, errors in site address and incomplete or wrong equipment selections.

POLICY ON PAYMENT OF CREDITORS

The company has strong relationships with its suppliers and ensures that payment is made in line with the terms of that supplier

ON BEHALF OF THE BOARD:

W Burgess - Director

25 September 2025

The directors present their report with the financial statements of the company for the year ended 31 December 2024.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of hiring out of plant and machinery.

DIVIDENDS

No interim dividends were paid during the year ended 31 December 2024.

The directors recommend final dividends per share as follows:

Ordinary £1 shares

£333.33

Preference £1 shares

NIL

The total distribution of dividends for the year ended 31 December 2024 will be £ 550,000 .

FUTURE DEVELOPMENTS

The company plans to expand operations further with additional sites in the UK.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

W Burgess

R Burgess

L Burgess

POLITICAL DONATIONS AND EXPENDITURE

No donations were made in the year of a political nature.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 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;

-	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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Williams & Co Epsom LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

W Burgess - Director

25 September 2025

Opinion

We have audited the financial statements of City Tool Hire Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the 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 Auditors' 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 directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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 the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where 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 directors' remuneration specified by law are not made; or

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

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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 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.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors 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. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatements due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

However it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud, the audit engagement team made enquiries of management, and those charged with governance, regarding the procedures relating to identifying, evaluating and complying with;

1. laws and regulations and whether they were aware of any instances of non-compliance;

2. detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;

3. the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations;

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102 and General Data Protection Regulations. We performed audit procedures to detect non-compliance, which may have a material impact on the financial statements. These included reviewing financial statement disclosures. There were no significant laws and regulations we deemed as having an indirect impact on the financial statements.

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

The audit engagement team identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments and evaluating the rationale in relation to any significant, unusual transactions and transactions entered into outside of the normal course of business.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

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 a Report of the Auditors 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.

Paul Smith BSc FCA (Senior Statutory Auditor)

for and on behalf of Williams & Co Epsom LLP

Statutory Auditors

8-10 South Street

Epsom

Surrey

KT18 7PF

25 September 2025

TURNOVER

3

22,323,382

20,260,282

Cost of sales

12,857,093

10,975,334

GROSS PROFIT

9,466,289

9,284,948

Administrative expenses

7,624,841

6,194,697

OPERATING PROFIT

5

1,841,448

3,090,251

Interest receivable and similar income

25,155

19,601

1,866,603

3,109,852

Interest payable and similar expenses

6

122,395

109,923

PROFIT BEFORE TAXATION

1,744,208

2,999,929

Tax on profit

7

724,322

797,670

PROFIT FOR THE FINANCIAL YEAR

1,019,886

2,202,259

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,019,886

2,202,259

FIXED ASSETS

Intangible assets

9

217,855

321,288

Tangible assets

10

8,806,586

8,874,400

Investments

11

-

1,000,000

9,024,441

10,195,688

CURRENT ASSETS

Stocks

12

169,400

190,070

Debtors

13

5,321,897

4,937,789

Cash at bank and in hand

507,855

806,485

5,999,152

5,934,344

CREDITORS

Amounts falling due within one year

14

4,294,232

5,543,251

NET CURRENT ASSETS

1,704,920

391,093

TOTAL ASSETS LESS CURRENT LIABILITIES

10,729,361

10,586,781

CREDITORS

Amounts falling due after more than one year

15

(874,115

)

(1,454,522

)

PROVISIONS FOR LIABILITIES

18

(951,502

)

(698,401

)

NET ASSETS

8,903,744

8,433,858

CAPITAL AND RESERVES

Called up share capital

19

1,001,500

1,002,000

Capital redemption reserve

20

500

-

Retained earnings

20

7,901,744

7,431,858

SHAREHOLDERS' FUNDS

8,903,744

8,433,858

The financial statements were approved by the Board of Directors and authorised for issue on 25 September 2025 and were signed on its behalf by:

W Burgess - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 January 2023

1,002,000

5,844,599

-

6,846,599

Changes in equity

Dividends

-

(615,000

)

-

(615,000

)

Total comprehensive income

-

2,202,259

-

2,202,259

Balance at 31 December 2023

1,002,000

7,431,858

-

8,433,858

Changes in equity

Issue of share capital

(500

)

-

-

(500

)

Dividends

-

(550,000

)

-

(550,000

)

Total comprehensive income

-

1,019,886

500

1,020,386

Balance at 31 December 2024

1,001,500

7,901,744

500

8,903,744

Cash flows from operating activities

Cash generated from operations

1

2,548,913

6,303,742

Interest paid

(62,166

)

(55,170

)

Interest element of hire purchase payments paid

(60,229

)

(54,753

)

Tax paid

(531,600

)

(252,183

)

Net cash from operating activities

1,894,918

5,941,636

Cash flows from investing activities

Purchase of intangible fixed assets

(49,234

)

(79,818

)

Purchase of tangible fixed assets

(2,456,228

)

(4,222,114

)

Purchase of fixed asset investments

-

(1,445,255

)

Sale of tangible fixed assets

837,416

672,246

Impact of asset transfers

316,006

(97,055

)

Interest received

25,155

19,601

Net cash from investing activities

(1,326,885

)

(5,152,395

)

Cash flows from financing activities

Loans to group companies

(312,244

)

(364,080

)

Capital repayments in year

(671,085

)

(370,503

)

Amount introduced by shareholders

1,879,998

999,999

Amount withdrawn by shareholders

(1,213,332

)

(928,540

)

Share capital reduction

(500

)

-

Capital Redemption Reserve

500

-

Equity dividends paid

(550,000

)

(564,085

)

Net cash from financing activities

(866,663

)

(1,227,209

)

Decrease in cash and cash equivalents

(298,630

)

(437,968

)

Cash and cash equivalents at beginning of year

2

806,485

1,244,453

Cash and cash equivalents at end of year

2

507,855

806,485

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2024

2023

£

£

Profit before taxation

1,744,208

2,999,929

Depreciation charges

2,799,344

2,093,839

Profit on disposal of fixed assets

(350,902

)

(323,211

)

Finance costs

122,395

109,923

Finance income

(25,155

)

(19,601

)

4,289,890

4,860,879

Decrease/(increase) in stocks

20,670

(2,067

)

Increase in trade and other debtors

(99,670

)

(1,018,340

)

(Decrease)/increase in trade and other creditors

(1,661,977

)

2,463,270

Cash generated from operations

2,548,913

6,303,742

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

507,855

806,485

Year ended 31 December 2023

31.12.23

1.1.23

£

£

Cash and cash equivalents

806,485

1,244,453

3.	ANALYSIS OF CHANGES IN NET FUNDS/(DEBT)

Other

non-cash

At 1.1.24

Cash flow

changes

At 31.12.24

£

£

£

£

Net cash

Cash at bank

and in hand

806,485

(298,630

)

507,855

806,485

(298,630

)

507,855

Debt

Finance leases

(731,027

)

671,085

(925,154

)

(985,096

)

Debts falling due

within 1 year

(24,167

)

(48,333

)

-

(72,500

)

Debts falling due

after 1 year

-

(14,784

)

-

(14,784

)

(755,194

)

607,968

(925,154

)

(1,072,380

)

Total

51,291

309,338

(925,154

)

(564,525

)

1.	STATUTORY INFORMATION

City Tool Hire Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Critical accounting judgements and key sources of estimation uncertainty

1. Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is based on managements estimate as to the economic lives of the assets. Assets are depreciated at varying rates depending on the estimate made and this is largely based on the nature of the asset.

Note 2 contains the depreciation policies for each class of asset and note 10 shows the carrying values of each class of asset.

2. Impairment of debtors

It is management's policy that debtors are only deemed impaired if the customer has entered into administration or liquidation. Of course, once in liquidation or administration the amount the company is likely to receive is almost always nil. Therefore, it is company policy that once they're notified of one of the indicators as mentioned, the full debt is impaired.

All other debts, regardless of age are treated as recoverable. General provisions are not made against old debts. See note 13 for the carrying value of debtors.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

The Company's activities consist of supplying the hire of plant and machinery within the UK. Turnover is measured based on the consideration specified in a customer contract and excludes value added tax.

The company recognises revenue when (a) the significant risks and rewards of ownership have been transferred to the buyer, (b) the company retains no continuing involvement or control over the goods, (c) the amount of revenue can be measured reliably, (d) it is probable that future economic benefits will flow to the entity. (e) when the specific criteria relating to the each of company’s sales channels have been met, as described below.

There is one main type of service provided and this is outlined below:

Type of Product or Service

Nature of Performance Obligation

Revenue Recognition

Hire and rehire

Equipment hired to customers is under the customers control from the point the item is collected or delivered. Control is restored to the Company when the asset is returned. Account customers pay based on agreed credit terms. Cash customers pay a deposit before the hire is undertaken.

Revenue is recognised over the life of the hire contract. The contract begins when the customer takes control of the asset and ends when the asset is returned. Delivery charges are recognised at the point the asset is delivered to the customer.

Other sales are recognised when the goods are transferred to the customer.

Goodwill

Goodwill relating to the incorporation of the business in 2011 has been written down over its estimated useful life of 10 years This amount was fully written down in the year.

Goodwill has arisen due to the absorption by the company of its newly acquired subsidiary in 2021. The acquisition details are disclosed in Note 11 of the financial statements with the subsequent carrying value as a result of the transfer of assets into the parent company. This value is being amortised over 5 years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Computer software is being amortised evenly over its estimated useful life of four years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Improvements to property

-

in accordance with the property

Plant and machinery

-

at varying rates on cost and at variable rates on reducing balance

Fixtures fittings tools and equipment

-

25% on reducing balance

Motor vehicles

-

25% on cost

Computer equipment

-

25% on cost

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

The stock valuation is done so on the average cost method.

Financial instruments

Financial assets:

Basic financial instruments, including trade and other debtors, cash and bank balances are initially recognised at the transaction price.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets are reviewed for evidence of impairment, with any impairment losses 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 when (a) the contractual rights to the cash flows from the asset expire or are settled or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Financial liabilities:

Basic financial liabilities, including trade and other creditors, and loans are initially recognised at the transaction price and for those not classed as financing transactions, are subsequently measured at amortised cost, being the transaction price less any amounts settled.

Trade creditors are classified as current liabilities where they are due within one year. If they are not, they are classified as non-current liabilities.

Where an arrangement constitutes a financing arrangement, the creditor is initially measured at the present value of future payments discounted at a market rate of interest for a similar instrument, and subsequently measured at amortised cost.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Going concern

The company meets its day-to-day working capital requirements through its bank facilities and maintains a healthy cash balance. No loan facilities are currently in place, nor have they been required throughout the period. There has been a significant purchase of plant on hire purchase terms but this is not a reflection of the cash within the business.

The company's forecasts show that the company should continue to be able to operate within the level of its current financing arrangements.

The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and therefore, the company continues to adopt the going concern basis of accounts preparation.

Group accounts

The company prepared group accounts in 2023 as it acquired a subsidiary company in the year and subsequently hived all the assets and liabilities of that company before the end of 2023. As a result, all trading activity of this business has been accounted for within City Tool Hire Limited and it subsequently disposed of the shares in this company on 1 January 2024.

The company also owns the entire share capital of Liver Tool & plant Hire Limited which is a dormant company with no assets or liabilities.

As a result, the company has not prepared Group accounts on the basis there is no need to as the reported figures are the same as it is reporting itself.

3.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2024

2023

£

£

Hire

20,585,189

18,624,631

Other sales

1,738,193

1,635,651

22,323,382

20,260,282