Caseware UK (AP4) 2024.0.164 2024.0.164 2025-03-312025-03-312024-04-01falsetruefalsefalse148158 06694979 2024-04-01 2025-03-31 06694979 2023-04-01 2024-03-31 06694979 2025-03-31 06694979 2024-03-31 06694979 2023-04-01 06694979 1 2024-04-01 2025-03-31 06694979 1 2023-04-01 2024-03-31 06694979 5 2024-04-01 2025-03-31 06694979 5 2023-04-01 2024-03-31 06694979 d:CompanySecretary1 2024-04-01 2025-03-31 06694979 d:Director1 2024-04-01 2025-03-31 06694979 d:Director3 2024-04-01 2025-03-31 06694979 d:Director5 2024-04-01 2025-03-31 06694979 d:Director5 2025-03-31 06694979 d:Director6 2024-04-01 2025-03-31 06694979 d:Director6 2025-03-31 06694979 d:RegisteredOffice 2024-04-01 2025-03-31 06694979 e:PlantMachinery 2024-04-01 2025-03-31 06694979 e:PlantMachinery 2025-03-31 06694979 e:PlantMachinery 2024-03-31 06694979 e:PlantMachinery e:OwnedOrFreeholdAssets 2024-04-01 2025-03-31 06694979 e:CurrentFinancialInstruments 2025-03-31 06694979 e:CurrentFinancialInstruments 2024-03-31 06694979 e:Non-currentFinancialInstruments 2025-03-31 06694979 e:Non-currentFinancialInstruments 2024-03-31 06694979 e:CurrentFinancialInstruments e:WithinOneYear 2025-03-31 06694979 e:CurrentFinancialInstruments e:WithinOneYear 2024-03-31 06694979 e:Non-currentFinancialInstruments e:AfterOneYear 2025-03-31 06694979 e:Non-currentFinancialInstruments e:AfterOneYear 2024-03-31 06694979 e:ShareCapital 2024-04-01 2025-03-31 06694979 e:ShareCapital 2025-03-31 06694979 e:ShareCapital 2023-04-01 2024-03-31 06694979 e:ShareCapital 2024-03-31 06694979 e:ShareCapital 2023-04-01 06694979 e:RetainedEarningsAccumulatedLosses 2024-04-01 2025-03-31 06694979 e:RetainedEarningsAccumulatedLosses 2025-03-31 06694979 e:RetainedEarningsAccumulatedLosses 2023-04-01 2024-03-31 06694979 e:RetainedEarningsAccumulatedLosses 2024-03-31 06694979 e:RetainedEarningsAccumulatedLosses 2023-04-01 06694979 d:OrdinaryShareClass1 2024-04-01 2025-03-31 06694979 d:OrdinaryShareClass1 2025-03-31 06694979 d:OrdinaryShareClass1 2024-03-31 06694979 d:FRS102 2024-04-01 2025-03-31 06694979 d:Audited 2024-04-01 2025-03-31 06694979 d:FullAccounts 2024-04-01 2025-03-31 06694979 d:PrivateLimitedCompanyLtd 2024-04-01 2025-03-31 06694979 e:WithinOneYear 2025-03-31 06694979 e:WithinOneYear 2024-03-31 06694979 e:BetweenOneFiveYears 2025-03-31 06694979 e:BetweenOneFiveYears 2024-03-31 06694979 e:HirePurchaseContracts e:WithinOneYear 2025-03-31 06694979 e:HirePurchaseContracts e:WithinOneYear 2024-03-31 06694979 e:HirePurchaseContracts e:BetweenOneFiveYears 2025-03-31 06694979 e:HirePurchaseContracts e:BetweenOneFiveYears 2024-03-31 06694979 e:PlantMachinery e:LeasedAssetsHeldAsLessee 2025-03-31 06694979 e:PlantMachinery e:LeasedAssetsHeldAsLessee 2024-03-31 06694979 e:LeasedAssetsHeldAsLessee 2025-03-31 06694979 e:LeasedAssetsHeldAsLessee 2024-03-31 06694979 f:PoundSterling 2024-04-01 2025-03-31 xbrli:shares iso4217:GBP xbrli:pure
Registered number: 06694979








SALISBURY TRADING LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
















Fletcher & Partners
Chartered Accountants
Salisbury

 
SALISBURY TRADING LIMITED
 

COMPANY INFORMATION


Directors
Mr M L Hawker 
Mr K J Newton 
Mrs L Thomas (resigned 21 November 2024)
Mr M J Ellis (appointed 21 November 2024)




Company secretary
Wilsons (Company secretaries) Limited



Registered number
06694979



Registered office
Salisbury District Hospital
Odstock Road

Salisbury

Wiltshire

SP2 8BJ




Independent auditors
Fletcher & Partners
Chartered Accountants & Statutory Auditors

Crown Chambers

Bridge Street

Salisbury

Wiltshire

SP1 2LZ





 
SALISBURY TRADING LIMITED
 

CONTENTS



Page
Strategic report
1 - 3
Directors' report
4 - 5
Independent auditors' report
6 - 9
Statement of comprehensive income
10
Statement of financial position
11
Statement of changes in equity
12
Statement of cash flows
13
Analysis of net debt
14
Notes to the financial statements
15 - 25

 
SALISBURY TRADING LIMITED
 

STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2025

Introduction
 
Salisbury Trading Limited commenced trading on 1 October 2013 following the transfer from Salisbury NHS Foundation Trust (SFT) of the laundry facility, its equipment and contracts, and its staff. The company remains as a 100% owned subsidiary of SFT.

Business review
 
Salisbury Trading Limited provides a range of linen management services to NHS Trusts, private hospitals and other organisations in the healthcare and personal care sectors across the South West and South East UK.

Linen management is an essential service that is typically outsourced by healthcare providers. The range of our services drives value for our customers through efficient operations, excellent service and a practical approach to the supply chain which enables us to target our resources to our customers' needs.

The business performance of Salisbury Trading Limited having experienced significant recovery over the past few year’s challenges presented by the COVID pandemic has now settled into a more consistent and balanced business flow.

Again, challenges throughout this financial year due to continuing fluctuation in global energy and fuel prices affecting all areas of the business including transportation and raw material prices plus wages inflation and interest rate fluctuations have where feasible been mitigated through improved efficiencies and attempting devolution of some of the cost increases through to the customer base. However, customers are also experiencing similar challenges making new price negotiations longer and even more challenging than in previous years.

As a result, revenue has managed to remain relatively steady with laundry sales only decreasing from £11,505K to £11,415K. This downturn in actual turnover was driven by the termination of a specific contract at the end of the previous financial year and further small contract changes throughout this financial year. Profits for this financial year reflect the change in accounting estimate for the depreciation of stock from a three-year term to a five-year term. This change is justified as appropriate laundry care has been shown to extend the average life span beyond the originally estimated period.

Trading in the current year is more positive, and the company is in advanced negotiations for new contracts although these are slowed by complexities availability of funding in customers’ frameworks. It would be expected that the full benefit of the new contracts may well not be seen until year ending 2027.Simultaniously, operating laundry facilities entails a high level of fixed costs and additional revenue will lead to improvements in operating profits as and when the revenue becomes available.

Page 1

 
SALISBURY TRADING LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025

Principal risks and uncertainties
 
The necessary governance framework has been developed to ensure sufficient review of key risks and the opportunity to regularly review the adequacy and effectiveness of our mitigating controls and strategies.

Risk Management supports the Company's vision to build and maintain a lasting reputation and its core values by:

• building and protecting the Company's reputation by championing a responsible approach to business;
• achieving brand and business resilience supported by effective risk management;
• developing the culture and capability across the Company to manage changing risks and opportunities; and
• ensuring the safety and well-being of employees and others who could be affected by our business activities.

The Risk Management strategy enables and supports the Company to identify and manage its own risks. This is accomplished by embedding risk management and translating risk management into operational ownership, defining clear responsibilities and measuring risk management performance in line with assisted oversight and governance protocols provision through SFT governance committees.

Financial Risk

The measures used by the Company to manage financial risk include the preparation of profit & loss, balance sheet, cash flow forecasts and other financial information matrix on a monthly and 12 monthly forecast basis, with monthly monitoring of actual performance against these forecasts and ensuring that adequate financing facilities are in place to meet the requirements of the business.
Credit Risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations and arises principally from the Company's receivables from customers. The Company has no significant concentration of credit risk. The amounts presented in the balance sheet are net of allowances for impairment. Management has credit policies in place to manage risk and to monitor exposure to risk on an ongoing basis. These policies are based on past and ongoing experience, and the Company believes that its financial assets are of good credit quality.

Liquidity Risk

Liquidity risk arises from the Company's management of its working capital and the finance charges and principal repayments on any debt instruments. It is the risk that the Company will encounter difficulty in meeting its financial obligations as they fall due. The Company's policy is to ensure that it will always have sufficient cash to allow it to meet its financial obligations when they become due. To achieve this the Company's management makes use of rolling monthly cash forecasts and 12 month rolling monthly forecasts.

Financial key performance indicators
 
The Company measures profitability of the company using EBITDA (Earnings before interest, taxation, depreciation and amortisation).

The Company's key financial performance indicators during the period were:

     
2025   2024
     £’000   £’000

Turnover    11,415  11,505

Operating profit / (loss)  430   (782)

EBITDA    650   (523)

Operating profit / (loss) margin 3.8 %   (6.8) %

Page 2

 
SALISBURY TRADING LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025

Other key performance indicators
 
The maintenance of health and safety standards remains a key issue by management. The Company continues to invest in the health and welfare of its employees, monitoring and reporting on all incidents to the Board.

Environmental factors continue to be of significant importance to the Company and it continues to monitor and where possible improve its environmental credentials. This includes but is not limited to logistics efficiency and pollution control with investment in transport efficiencies to improve utilisation and energy consumption.

The Linen Services industry remains competitive and is only now beginning to recover from unprecedented cost. 

increases in labour, gas, power, linen and chemicals and increased interest rates. The industry has reacted where possible across all sectors by introducing strategic price increases to the customer base.

The Company has a robust record in retaining contracts at renewal and continues to bid on new business tenders.

The directors confirm that they have regard to broader stakeholder interests when performing their duty under section 172 of the Companies Act 2006 and in doing so have regard to (amongst other matters):

• the likely consequence of any decision in the long term
• the interests of employees
• fostering of business relationships with suppliers, customers and others
• the impact of operations on the community and the environment
• maintaining a reputation for high standards of business conduct
• acting fairly as between members of the company


This report was approved by the board on 1 December 2025 and signed on its behalf.



Mr M L Hawker
Director

Page 3

 
SALISBURY TRADING LIMITED
 

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2025

The directors present their report and the financial statements for the year ended 31 March 2025.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic report, the Directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 for the Company's financial statements 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Principal activity

The principal activity of the company is the provision of laundry services.

Directors

The directors who served during the year were:

Mr M L Hawker 
Mr K J Newton 
Mrs L Thomas (resigned 21 November 2024)
Mr M J Ellis (appointed 21 November 2024)

Page 4

 
SALISBURY TRADING LIMITED
 

 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025


Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Auditors

The auditorsFletcher & Partnerswill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 1 December 2025 and signed on its behalf.
 





Mr M L Hawker
Director

Page 5

 
SALISBURY TRADING LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SALISBURY TRADING LIMITED
 

Opinion


We have audited the financial statements of Salisbury Trading Limited (the 'Company') for the year ended 31 March 2025, which comprise the Statement of comprehensive income, the Analysis of net debt, the Statement of financial position, the Statement of cash flows, the Statement of changes in equity and the related notes, including a summary of significant accounting policiesThe 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 March 2025 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 United Kingdom, including the Financial Reporting Council'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 Auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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.


Page 6

 
SALISBURY TRADING LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SALISBURY TRADING LIMITED (CONTINUED)


Opinion 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 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.


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 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 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 Directors' responsibilities statement set out on page 4, 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.


Page 7

 
SALISBURY TRADING LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SALISBURY TRADING LIMITED (CONTINUED)


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 an Auditors' 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:
We ensured that the engagement team collectively had the appropriate competence and capabilities to recognise non-compliance with applicable laws and regulations.

We identified the laws applicable to the company through discussions with directors and management, and from our knowledge and experience of the company and the sector; and

We ensured that the laws and regulations which we identified were communicated to the engagement team and that they remained alert to instances of non- compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

 • making enquiries of management as to their assessment of the risk of fraud and their knowledge of      actual or alleged fraud; and
 • considering the effectiveness of internal controls to mitigate the risks of fraud and non-compliance with      laws and regulations.

We addressed the risk of fraud through management bias and the over-ride of controls by assessing whether judgements and assumptions made by management were indicative of potential bias and by investigating the rationale behind significant or unusual transactions. 

In order to address the risk of irregularities we carried out procedures which included agreeing the financial statements to underlying documentation and enquiring of management as to actual and potential litigation and instances of non-compliance. 


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 Auditors' 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 2006Our 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 Auditors' 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.


Page 8

 
SALISBURY TRADING LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SALISBURY TRADING LIMITED (CONTINUED)





James Fletcher (Senior statutory auditor)
  
for and on behalf of
Fletcher & Partners
 
Chartered Accountants & Statutory Auditors
  
Crown Chambers
Bridge Street
Salisbury
Wiltshire
SP1 2LZ

17 December 2025
Page 9

 
SALISBURY TRADING LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2025

2025
2024
Note
£
£

  

Turnover
  
11,414,832
11,504,981

Cost of sales
  
(7,496,762)
(8,099,441)

Gross profit
  
3,918,070
3,405,540

Distribution costs
  
(1,449,980)
(1,550,331)

Administrative expenses
  
(2,037,615)
(2,637,420)

Operating profit/(loss)
 4 
430,475
(782,211)

Interest payable and similar expenses
 7 
(107,949)
(151,901)

Profit/(loss) before tax
  
322,526
(934,112)

Tax on profit/(loss)
 8 
-
(4,889)

Profit/(loss) for the year
  
322,526
(939,001)

There were no recognised gains and losses for 2025 or 2024 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2025 (2024:£NIL).

The notes on pages 15 to 25 form part of these financial statements.

Page 10

 
SALISBURY TRADING LIMITED
REGISTERED NUMBER: 06694979

STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2025

2025
2024
Note
£
£

Fixed assets
  

Tangible assets
 9 
1,491,449
1,645,975

  
1,491,449
1,645,975

Current assets
  

Stocks
 10 
2,073,886
1,591,770

Debtors: amounts falling due within one year
 11 
1,378,953
1,716,715

Cash at bank and in hand
 12 
1,873,194
1,102,755

  
5,326,033
4,411,240

Creditors: amounts falling due within one year
 13 
(4,545,544)
(4,176,749)

Net current assets
  
 
 
780,489
 
 
234,491

Total assets less current liabilities
  
2,271,938
1,880,466

Creditors: amounts falling due after more than one year
 14 
(1,456,177)
(1,387,231)

  

Net assets
  
815,761
493,235


Capital and reserves
  

Called up share capital 
 16 
500,001
500,001

Profit and loss account
  
315,760
(6,766)

  
815,761
493,235


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 1 December 2025.




Mr M L Hawker
Director

The notes on pages 15 to 25 form part of these financial statements.

Page 11

 
SALISBURY TRADING LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2025


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 April 2023
500,001
932,235
1,432,236


Comprehensive income for the year

Loss for the year

-
(939,001)
(939,001)


Other comprehensive income for the year
-
-
-


Total comprehensive income for the year
-
(939,001)
(939,001)


Total transactions with owners
-
-
-



At 1 April 2024
500,001
(6,766)
493,235


Comprehensive income for the year

Profit for the year

-
322,526
322,526


Other comprehensive income for the year
-
-
-


Total comprehensive income for the year
-
322,526
322,526


Total transactions with owners
-
-
-


At 31 March 2025
500,001
315,760
815,761


The notes on pages 15 to 25 form part of these financial statements.

Page 12

 
SALISBURY TRADING LIMITED
 

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2025

2025
2024
£
£

Cash flows from operating activities

Profit/(loss) for the financial year
322,526
(939,001)

Adjustments for:

Depreciation of tangible assets
219,962
264,432

Interest paid
107,949
151,901

Taxation charge
-
4,889

(Increase)/decrease in stocks
(482,116)
103,793

Decrease in debtors
337,762
999,398

Decrease in amounts owed by groups
-
149,168

Increase/(decrease) in creditors
200,910
(614,546)

Increase in amounts owed to groups
396,779
584,570

Net cash generated from operating activities

1,103,772
704,604


Cash flows from investing activities

Purchase of tangible fixed assets
(65,436)
(64,169)

Net cash from investing activities

(65,436)
(64,169)

Cash flows from financing activities

Repayment of/new finance leases
(159,948)
(148,619)

Interest paid
(107,949)
(151,901)

Net cash used in financing activities
(267,897)
(300,520)

Net increase in cash and cash equivalents
770,439
339,915

Cash and cash equivalents at beginning of year
1,102,755
762,840

Cash and cash equivalents at the end of year
1,873,194
1,102,755


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
1,873,194
1,102,755

1,873,194
1,102,755


The notes on pages 15 to 25 form part of these financial statements.

Page 13

 
SALISBURY TRADING LIMITED
 

ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 MARCH 2025




At 1 April 2024
Cash flows
At 31 March 2025
£

£

£

Cash at bank and in hand

1,102,755

770,439

1,873,194

Finance leases

(874,961)

159,948

(715,013)


227,794
930,387
1,158,181

The notes on pages 15 to 25 form part of these financial statements.

Page 14

 
SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

1.


General information

Salisbury Trading Limited is a private company limited by shares and incorporated in England. It's registered office is Salisbury District Hospital, Odstock Road, Salisbury, Wiltshire, SP2 8BJ. The financial statements are presented in Sterling, which is the functional currency of the company.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue 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 revenue is recognised:

Rendering of services

Revenue 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 of the following conditions are satisfied:
the amount of revenue 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.

 
2.3

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

The Company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)


2.3
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and machinery
-
1 to 20 years straight line

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.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.4

Stocks

Stocks are valued at the lower of cost and net realisable value. The laundry stock value is based on the original cost less an adjustment to reflect usage, over a five year life, in determining an approximation of net realisable value.

 
2.5

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.6

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

 
2.7

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The Company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

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

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially
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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)


2.7
Financial instruments (continued)

measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

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

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Basic financial liabilities

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 the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

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

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially
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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)


2.7
Financial instruments (continued)

recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

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

 
2.8

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.9

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.10

Operating leases: the Company as lessee

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

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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

 
2.11

Pensions

The company operates a defined contribution scheme. Employer's pension costs are charged to operating expenses as and when they become due.

Employees who transferred from Salisbury NHS Foundation Trust when the company commenced trading on 1 October 2013 were eligible to remain in the NHS Pension Scheme. This is an unfunded defined benefit scheme primarily for NHS employers, General Practices and other bodies, allowed under the direction of the Secretary of State in England and Wales. It is not possible for Salisbury Trading Limited to identify its share of the underlying scheme liabilities. Therefore the scheme is accounted for as a defined contribution scheme.

Employers pension cost contributions in respect of the NHS Pension Scheme are charged to operating expenses as and when they become due.

 
2.12

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.



3.


Judgements in applying accounting policies and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities at the balance sheet date and the amounts reported for revenues and expenses during the year.  The judgement that has the most significant effect on amounts recognised in the financial statements is the valuation and accounting treatment of laundry stock.  The company contracts to supply clean linen and scrubs to it's customers which they return in a soiled state.  In the directors' judgement these amounts therefore have the character of stock.  This is valued on the basis of the original cost less an adjustment to reflect usage in accordance with the accounting policy Note 2.4. In the year ended 31 March 2025 management changed the basis of this estimate for the useful life of laundry stock from three years to five years.


4.


Operating profit/(loss)

The operating profit/(loss) is stated after charging:

2025
2024
£
£

Other operating lease rentals
552,378
516,085

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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

5.


Employees

2025
2024
£
£

Wages and salaries
4,511,325
4,613,087

Social security costs
434,288
439,080

Cost of defined contribution scheme
221,630
224,661

5,167,243
5,276,828


The average monthly number of employees, including the directors, during the year was as follows:


        2025
        2024
            No.
            No.







Administration
13
13



Drivers
14
16



Engineers
9
9



Laundry Operatives
112
120

148
158


6.


Directors' remuneration

2025
2024
£
£

Directors' emoluments
129,858
129,966

Company contributions to defined contribution pension schemes
5,447
5,659

135,305
135,625


During the year retirement benefits were accruing to 1 director (2024 - 1) in respect of defined contribution pension schemes.


7.


Interest payable and similar expenses

2025
2024
£
£


Other loan interest payable
107,949
151,901

107,949
151,901

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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

8.


Taxation


2025
2024
£
£

Total current tax
 
-
 
-

Deferred tax


Origination and reversal of timing differences
-
4,889

Total deferred tax
-
4,889

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2024 - lower than) the standard rate of corporation tax in the UK of 25% (2024 - 25%). The differences are explained below:

2025
2024
£
£


Profit/(loss) on ordinary activities before tax
322,526
(934,112)


Profit/(loss) on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)
80,632
(233,528)

Effects of:


Capital allowances for year in excess of depreciation
28,879
(357,310)

Utilisation of tax losses
(109,511)
-

Other timing differences leading to an increase (decrease) in taxation
-
4,889

Unrelieved tax losses carried forward
-
590,838

Total tax charge for the year
-
4,889


Factors that may affect future tax charges

The Company pays corporation tax at the standard rates set by government tax policy.

The Company is not aware of any specific circumstances that would lead to significant changes for taxation in future periods.

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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

9.


Tangible fixed assets


Plant and machinery

£



Cost or valuation


At 1 April 2024
3,884,857


Additions
65,436



At 31 March 2025

3,950,293



Depreciation


At 1 April 2024
2,238,882


Charge for the year
219,962



At 31 March 2025

2,458,844



Net book value



At 31 March 2025
1,491,449



At 31 March 2024
1,645,975

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


2025
2024
£
£



Plant and machinery
1,165,628
1,321,045

1,165,628
1,321,045

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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

10.


Stocks

2025
2024
£
£

Finished goods and goods for resale
2,073,886
1,591,770

2,073,886
1,591,770



11.


Debtors

2025
2024
£
£


Trade debtors
1,196,174
1,378,913

Other debtors
58,621
58,621

Prepayments and accrued income
124,158
279,181

1,378,953
1,716,715



12.


Cash and cash equivalents

2025
2024
£
£

Cash at bank and in hand
1,873,194
1,102,755

1,873,194
1,102,755



13.


Creditors: Amounts falling due within one year

2025
2024
£
£

Trade creditors
887,023
943,553

Amounts owed to group undertakings
2,783,459
2,623,730

Other taxation and social security
425,043
348,580

Obligations under finance lease and hire purchase contracts
166,518
158,362

Other creditors
26,547
50,714

Accruals and deferred income
256,954
51,810

4,545,544
4,176,749


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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

14.


Creditors: Amounts falling due after more than one year

2025
2024
£
£

Net obligations under finance leases and hire purchase contracts
548,495
716,599

Amounts owed to group undertakings
907,682
670,632

1,456,177
1,387,231


Loans provided by Salisbury NHS Foundation Trust have been consolidated into a single loan and attracted interest at 2%-2.25% above the Bank of England base rate during the financial year.The loan is unsecured and repayable by instalments ending in 2026.


15.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

2025
2024
£
£


Within one year
166,518
158,362

Between 1-5 years
548,495
716,599

715,013
874,961


16.


Share capital

2025
2024
£
£
Allotted, called up and fully paid



500,001 (2024 - 500,001) Ordinary Shares shares of £1.00 each
500,001
500,001



17.


Pension commitments

As mentioned in the Accounting Policies note 2.11 the company operates a defined contribution scheme and it also pays contributions to the NHS Pension Scheme for employees who were eligible to remain in that scheme when they transferred from Salisbury NHS Foundation Trust. The pension cost charge represents contributions payable by the company to the fund and amounted to £221,629 (2024: £224,661). There were £34,679 (2024 - £32,060) combined contributions payable to these funds at the year end.

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SALISBURY TRADING LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025

18.


Commitments under operating leases

At 31 March 2025 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2025
2024
£
£


Not later than 1 year
227,548
580,274

Later than 1 year and not later than 5 years
-
111,439

227,548
691,713


19.


Controlling party

The Company is a 100% subsidiary of Salisbury NHS Foundation Trust The consolidated accounts for the parent can be obtained from Salisbury District Hospital, Odstock Road, Salisbury, SP2 8BJ.

Page 25