For the financial year ended 31 December 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

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

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

Exceptional Hotels and Resorts (UK) Limited is a private company limited by shares incorporated in England and Wales. The registered office is c/o DoubleTree by Hilton Hotel, Nuthall Road, Nottingham, NG8 6AZ.

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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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.

Thetrue financial statements have been prepared on a going concern basis not withstanding the net liabilities at 31 December 2024. This is because a financing loan is provided by a related party, which has pledged its ongoing support for Exceptional Hotels and Resorts (UK) Limited and, as such, the directors are confident that the company will be able to meet it's liabilities as and when they fall due. Accordingly the financial statements have been prepared on a going concern basis.

Revenue from the sale of goods in the bar and restaurant is recognised when the goods are sold to the customer. Revenue from sale of goods on account are recognised at the end of the customer's stay or the date of the event.

Revenue from contracts for the provision of services is recognised on the date the service is provided to the customer. For weddings and events this is recognised on the date of the event. Revenue from accommodation is recognised on the date of the overnight stay.

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

Depreciation 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:

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.

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

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 balance sheet when the company becomes party to the contractual provisions of the instrument.

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price. Financial assets classified as receivable within one year are not amortised.

Financial liabilities are classified according to the substance of the contractual arrangements entered into.

Basic financial liabilities, including creditors and loans from related party companies, are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.

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.

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 profit and loss account 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.

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 company 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 leases asset are consumed.

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

Included within taxation and social security are amounts owed to the defined contribution pension scheme of £nil (2023 - £nil).

This comprises the opening accumulated losses and the profit or loss for the year.

At the balance sheet date, the company owed a related party £593,048 (2023 - £938,673). The interest free loan is repayable on demand and is included within other creditors.

At the balance sheet date, the company owed one of the directors £312,246 (2023 - £312,246). The loan is repayable on demand and is included within other creditors. Interest of £48,478 (2023 - £49,665) was charged on the loan during the year.

The company has paid management charges of £158,093 (2023 - £182,703) to Alnosafa Management Ltd, a company based in the United Arab Emirates and controlled by a related party. At the balance sheet date, the company owed £185,000 (2023 - £2,750 debtor) to Alnosafa Management Ltd.

The company owes a loan of £9,811,734 (2023: £9,491,665) to Exceptional Hotels and Resorts Limited, a company based in Guernsey and controlled by a related party. The company was charged rent by Exceptional Hotels and Resorts Limited of £425,000 (2023 - £425,000). At the balance sheet date, the company is owed £nil (2023 - owed £106,250) to the Guernsey company which is included within trade creditors. Interest is charged on the loan at 6% above the Bank of England base rate. During the year interest of £203,000 (2023 - £480,000) is payable which relates to the year ended 31 December 2024. The loan is repayable on demand and is included within other creditors.