REGISTERED NUMBER: 06764257 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

FOR

QUEENSGATE HOTEL LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

Income Statement

8

Other Comprehensive Income

9

Statement of Financial Position

10

Statement of Changes in Equity

11

Statement of Cash Flows

12

Notes to the Statement of Cash Flows

13

Notes to the Financial Statements

14

DIRECTORS:

R G Sachdev

Mrs R J Kantaria

J R Kantaria

REGISTERED OFFICE:

505 Pinner Road

Harrow

Middlesex

HA2 6EH

REGISTERED NUMBER:

06764257 (England and Wales)

SENIOR STATUTORY AUDITOR:

Bharat Vanza BSc (Hons) FCA FCCA

AUDITORS:

STGCA LLP t/a Sterling

Chartered Accountants

& Statutory Auditors

505 Pinner Road

Harrow

Middlesex

HA2 6EH

The directors present their strategic report for the year ended 31 March 2025.

The company owns hotel operating as the Holiday Inn, Stevenage. It's a 4 star modern hotel in Stevenage and boasts 140 high specification air conditioned guest rooms, contemporary restaurant, mini gymnasium and excellent conference and meeting facilities.

REVIEW OF BUSINESS

Whilst there have been signs of improved trading, there are still challenges in the business mainly related to inflation in terms of wages, utilities and general cost of sale. Corporate business remains strong but leisure demand has softened. Further works for the Stevenage regeneration programme continue to support additional business in the Stevenage area.

PRINCIPAL RISKS AND UNCERTAINTIES

The main concerns are increases to minimum wage and business rates along with continued inflation. There has also been a trend toward ordering food from outside impacting sleeper diner ratios. The team are refreshing the food menus more regularly and trying to offer more fresh food. There has been trend on some negative guest review based on the condition of rooms and bathrooms but to mitigate this, the business is proceeding with refurbishment of all bedrooms and bathrooms with a continued strategy of long term investment in the asset.

DEVELOPMENT AND PERFORMANCE OF THE COMPANY'S BUSINESS

The result for the company shows a profit before tax of £545,543 (2024: £490,516) and sales of £4,662,751 (2024: £4,584,354) for the year. The directors are satisfied with the overall result as the Company's performance has slightly improved compared to last year. The asset has been well maintained and the team has worked hard to meet and exceed the IHG 'Way of Clean' brand standard to ensure guests feel safe staying at the hotel. The key focus now is to manage costs whilst exploring every opportunity. There is pent-up demand and the team look forward to strong trading from both corporate and leisure customers.

POSITION OF THE COMPANY'S BUSINESS AT YEAR END

The company has net assets of £8,730,952 (2024: £9,810,976) and net current assets of £1,262,273 (24:£1,089,216).

The Board will continue to support capital expenditure and focus on driving the IHG brand metrics. The Board believes the key trading is in a good position to meet its financial obligations and objectives.

KEY FINANCIAL PERFORMANCE INDICATORS (KPI’S)

The hotel's EBITDA in current year increased by 21% from £1,008k in 2024 to £1223k in 2025. During the year, average occupancy rate rose by 2% compared to the previous year and average room rate increased by 2%.

Directors are satisfied with the KPI's achieved during the year.

ON BEHALF OF THE BOARD:

J R Kantaria - Director

5 December 2025

The directors present their report with the financial statements of the company for the year ended 31 March 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of operating and managing of a hotel.

DIVIDENDS

No dividends will be distributed for the year ended 31 March 2025.

DIRECTORS

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

R G Sachdev

Mrs R J Kantaria

J R Kantaria

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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

J R Kantaria - Director

5 December 2025

Opinion

We have audited the financial statements of Queensgate Hotel Limited (the 'company') for the year ended 31 March 2025 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Statement of Cash Flows, 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 March 2025 and of its loss 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.

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect irregularities, including fraud. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.

- We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and determined that the most significant are those that relate to the reporting framework (FRS 102 and the Companies Act 2006) and the relevant direct and indirect tax compliance regulations; and those that indirectly affect the financial statements where non-compliance could have a material effect on the financial statements, in particular Health and Safety Regulations, Bribery Act, Employment Law, Modern Slavery Act, Proceeds of Crime Act 2002, Money Laundering Regulations 2003 and the General Data Protection Regulation (GDPR).

- We understood how the Company is complying with those frameworks through enquiry with management, by identifying the company's policies and procedures regarding compliance with laws and regulations, and through the review of minutes of meetings held by those charged with governance for any instances of non-compliance with laws and regulations.

- We assessed the susceptibility of the company's financial statements to material misstatement, including how fraud might occur by enquiring with the management to understand their interactions during the year with various Head of the Department (HOD) to assess the risks of material misstatement due to fraud. As part of our procedures, we enquired with HOD the risks assessment process conducted by them. This procedure evaluates the risk of material misstatement due to fraud by considering the nature and complexity of the company's reporting structure, and the likelihood of material misstatements.

Based on this understanding we designed our audit procedures which involved.

- verifying loan covenants to check compliance requirements;

- examining supporting documents of all material balances, transactions and disclosures;

- review of the Board meetings held during the year;

- evaluation of the selection and application of accounting policies related to subjective measurements and complex transactions;

- analytical procedures to identify any unusual or unexpected relationship.

- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias;

- tested journal entries to identify significant or unusual transactions and investigated the rationale behind those transactions;

- enquiring of management as to actual and potential litigation and claims.

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.

Bharat Vanza BSc (Hons) FCA FCCA (Senior Statutory Auditor)

for and on behalf of STGCA LLP t/a Sterling

Chartered Accountants

& Statutory Auditors

505 Pinner Road

Harrow

Middlesex

HA2 6EH

5 December 2025

REVENUE

4,662,751

4,584,354

Cost of sales

(2,413,792

)

(2,354,608

)

GROSS PROFIT

2,248,959

2,229,746

Administrative expenses

(1,306,113

)

(1,463,027

)

OPERATING PROFIT

5

942,846

766,719

Interest receivable and similar income

6,209

5,385

949,055

772,104

Interest payable and similar expenses

6

(403,512

)

(281,588

)

PROFIT BEFORE TAXATION

545,543

490,516

Tax on profit

7

(1,625,567

)

(145,952

)

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(1,080,024

)

344,564

(LOSS)/PROFIT FOR THE YEAR

(1,080,024

)

344,564

OTHER COMPREHENSIVE INCOME

Revaluation of Stevenage Holiday Inn

-

6,568,509

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

-

6,568,509

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(1,080,024

)

6,913,073

FIXED ASSETS

Property, plant and equipment

8

14,781,257

14,509,897

CURRENT ASSETS

Inventories

9

20,363

15,821

Debtors

10

2,424,787

2,495,993

Cash at bank and in hand

559,116

455,672

3,004,266

2,967,486

CREDITORS

Amounts falling due within one year

11

1,741,993

1,878,270

NET CURRENT ASSETS

1,262,273

1,089,216

TOTAL ASSETS LESS CURRENT LIABILITIES

16,043,530

15,599,113

CREDITORS

Amounts falling due after more than one year

12

(5,005,000

)

(5,225,000

)

PROVISIONS FOR LIABILITIES

15

(2,307,578

)

(563,137

)

NET ASSETS

8,730,952

9,810,976

CAPITAL AND RESERVES

Called up share capital

16

100,000

100,000

Revaluation reserve

17

10,924,204

10,924,204

Retained earnings

17

(2,293,252

)

(1,213,228

)

SHAREHOLDERS' FUNDS

8,730,952

9,810,976

The financial statements were approved by the Board of Directors and authorised for issue on 5 December 2025 and were signed on its behalf by:

J R Kantaria - Director

Called up

share

Retained

Revaluation

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 April 2023

100,000

(1,557,792

)

4,355,695

2,897,903

Changes in equity

Total comprehensive income

-

344,564

6,568,509

6,913,073

Balance at 31 March 2024

100,000

(1,213,228

)

10,924,204

9,810,976

Changes in equity

Total comprehensive income

-

(1,080,024

)

-

(1,080,024

)

Balance at 31 March 2025

100,000

(2,293,252

)

10,924,204

8,730,952

Cash flows from operating activities

Cash generated from operations

1

1,266,111

923,180

Tax paid

-

1

Net cash from operating activities

1,266,111

923,181

Cash flows from investing activities

Purchase of tangible fixed assets

(545,364

)

(156,118

)

Interest received

6,209

5,385

Net cash from investing activities

(539,155

)

(150,733

)

Cash flows from financing activities

New loans in year

-

2,111,662

Loan repaid during the year

(220,000

)

-

Inter company loans

-

(2,332,172

)

Interest paid

(403,512

)

(281,588

)

Net cash from financing activities

(623,512

)

(502,098

)

Increase in cash and cash equivalents

103,444

270,350

Cash and cash equivalents at beginning of year

2

455,672

185,322

Cash and cash equivalents at end of year

2

559,116

455,672

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

2025

2024

£

£

Profit before taxation

545,543

490,516

Depreciation charges

274,004

236,166

Finance costs

403,512

281,588

Finance income

(6,209

)

(5,385

)

1,216,850

1,002,885

(Increase)/decrease in inventories

(4,542

)

3,837

Decrease/(increase) in trade and other debtors

93,437

(16,950

)

Decrease in trade and other creditors

(39,634

)

(66,592

)

Cash generated from operations

1,266,111

923,180

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

559,116

455,672

Year ended 31 March 2024

31.3.24

1.4.23

£

£

Cash and cash equivalents

455,672

185,322

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank and in hand

455,672

103,444

559,116

455,672

103,444

559,116

Debt

Debts falling due within 1 year

(220,000

)

-

(220,000

)

Debts falling due after 1 year

(5,225,000

)

220,000

(5,005,000

)

(5,445,000

)

220,000

(5,225,000

)

Total

(4,989,328

)

323,444

(4,665,884

)

1.	STATUTORY INFORMATION

Queensgate Hotel 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 as modified by the revaluation of certain assets.

Turnover

Turnover arose entirely in the United Kingdom from hotel operations.

Turnover represents net invoiced sales of food, beverages and rental of rooms, excluding value added tax.

Revenue Recognition

Revenue is recognised at the point services are provided to the guest. Room revenue for night spent between two days is recorded on the first day. Deposits received are held as a liability untill the delivery of service.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property

-

2% on cost

Plant and machinery

-

10% on cost

Fixtures and fittings

-

20% on cost

Computer equipment

-

33% on cost

Stocks

Stocks are stated at lower of cost and net realisable value after deducting direct selling costs.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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 by the statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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 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.

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.

Leased assets

Rental charges applicable to operating leases where substantially all of the benefits and risk of ownership remain with the lessor are charged against profit on a straight line basis over the lease term.

Revaluation

Surplus arising from the valuation of freehold property are taken directly to the revaluation reserve. Deficits are eliminated against any revaluation reserve in respect of that income generating unit with any excess, to the extent that it represents an impairment, being charged to profit and loss account.

Holiday pay accrual

During the year, the company has made Nil provision (2024: £Nil) in the accounts in respect of holiday pay.

3.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

1,164,150

1,099,785

Social security costs

57,968

53,721

Other pension costs

19,951

18,165

1,242,069

1,171,671

The average number of employees during the year was as follows:

2025

2024

Management Staff

4

4

Employees

57

55

61

59

AGENCY STAFF:

House keeping function is outsourced and on average 8 (2024:7) staff members performed house keeping function at the hotel during the year. The count of such employees is in addition to the average number of employees.

4.	DIRECTORS' EMOLUMENTS

2025

2024

£

£

Directors' remuneration

28,881

28,881

Directors remuneration disclosed is after netting off cross charges amounting to £163,658 (2024: £163,658) charged to Queensgate Hotel Edinburgh Limited

5.	OPERATING PROFIT

The operating profit is stated after charging:

2025

2024

£

£

Depreciation - owned assets

274,004

236,165

Auditors' remuneration

11,991

13,005

Auditors' fees for other non-audit services

1,950

2,300

6.

INTEREST PAYABLE AND SIMILAR EXPENSES

2025

2024

£

£

Bank interest

402,777

280,482

Other interest

735

1,106

403,512

281,588

7.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2025

2024

£

£

Current tax:

UK corporation tax

-

118,828

Deferred tax

1,625,567

27,124

Tax on profit

1,625,567

145,952

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2025

2024

£

£

Profit before tax

545,543

490,516

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2024 - 25%)

136,386

122,629

Effects of:

Expenses not deductible for tax purposes

81,028

1,600

Capital allowances in excess of depreciation

-

(5,401

)

Depreciation in excess of capital allowances

14,405

-

Deferred Tax

1,625,567

27,124

Group relief of losses

(231,819

)

-

Total tax charge

1,625,567

145,952

Tax effects relating to effects of other comprehensive income

There were no tax effects for the year ended 31 March 2025.

2024

Gross

Tax

Net

£

£

£

Revaluation of Stevenage Holiday Inn

6,568,509

-

6,568,509

8.	PROPERTY, PLANT AND EQUIPMENT

Fixtures

Freehold

Plant and

and

Computer

property

machinery

fittings

equipment

Totals

£

£

£

£

£

COST OR VALUATION

At 1 April 2024

15,180,247

7,083,028

1,120,168

133,076

23,516,519

Additions

-

179,501

362,209

3,654

545,364

At 31 March 2025

15,180,247

7,262,529

1,482,377

136,730

24,061,883

DEPRECIATION

At 1 April 2024

1,080,247

6,817,755

1,021,307

87,313

9,006,622

Charge for year

145,257

42,624

66,772

19,351

274,004

At 31 March 2025

1,225,504

6,860,379

1,088,079

106,664

9,280,626

NET BOOK VALUE

At 31 March 2025

13,954,743

402,150

394,298

30,066

14,781,257

At 31 March 2024

14,100,000

265,273

98,861

45,763

14,509,897

Included in cost or valuation of freehold property is freehold land of £7,917,376(2024: £7,917,376) which is not depreciated.

Freehold property was valued by CBRE, global leader in Valuation, in December 2023. Management adopted this value for revaluation of the property for the year ending on 31.03.24

The freehold property comprises:

2025

2024

£

£

Land

7,917,376

7,917,376

Building

6,037,367

6,182,624

13,954,743

14,100,000