Queensgate Hotel Edinburgh Ltd - Limited company accounts 25.1

REGISTERED NUMBER: 09708281 (England and Wales)

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

FOR

QUEENSGATE HOTEL EDINBURGH LTD

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditors

3

Statement of Comprehensive Income

7

Statement of Financial Position

8

Statement of Changes in Equity

9

Notes to the Financial Statements

10

DIRECTORS:

Mrs R J Kantaria

J R Kantaria

R G Sachdev

R J Kantaria

REGISTERED OFFICE:

505 Pinner Road

Harrow

Middlesex

HA2 6EH

REGISTERED NUMBER:

09708281 (England and Wales)

AUDITORS:

STGCA LLP t/a Sterling

Chartered Accountants

& Statutory Auditors

505 Pinner Road

Harrow

Middlesex

HA2 6EH

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 is operating and managing of a hotel owned by the group.

DIRECTORS

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

Mrs R J Kantaria

J R Kantaria

R G Sachdev

R J Kantaria

CHARITABLE DONATIONS

During the year the company made charitable donations of £85,846 (2024: £23,100) to UK-registered charities.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing 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 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.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

ON BEHALF OF THE BOARD:

J R Kantaria - Director

5 December 2025

Opinion

We have audited the financial statements of Queensgate Hotel Edinburgh Ltd (the 'company') for the year ended 31 March 2025 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity and 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 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 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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Directors has 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 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; or

-	the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Responsibilities of directors

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

- 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

TURNOVER

10,985,710

10,299,759

Cost of sales

(4,192,324

)

(4,232,205

)

GROSS PROFIT

6,793,386

6,067,554

Administrative expenses

(4,353,732

)

(3,884,837

)

2,439,654

2,182,717

Other operating income

204,121

74,670

OPERATING PROFIT

4

2,643,775

2,257,387

Interest receivable and similar income

8,115

-

PROFIT BEFORE TAXATION

2,651,890

2,257,387

Tax on profit

5

88,365

(571,189

)

PROFIT FOR THE FINANCIAL YEAR

2,740,255

1,686,198

OTHER COMPREHENSIVE INCOME

-

TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

2,740,255

1,686,198

FIXED ASSETS

Tangible assets

6

226,258

212,348

CURRENT ASSETS

Stocks

8,875

8,082

Debtors

7

5,253,971

2,923,394

Cash at bank

331,410

305,910

5,594,256

3,237,386

CREDITORS

Amounts falling due within one year

8

1,169,737

1,541,067

NET CURRENT ASSETS

4,424,519

1,696,319

TOTAL ASSETS LESS CURRENT
LIABILITIES

4,650,777

1,908,667

PROVISIONS FOR LIABILITIES

11

54,942

53,087

NET ASSETS

4,595,835

1,855,580

CAPITAL AND RESERVES

Called up share capital

12

1

Retained earnings

4,595,834

1,855,579

SHAREHOLDERS' FUNDS

4,595,835

1,855,580

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

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

Total

capital

earnings

equity

£

Balance at 1 April 2023

1

1,169,381

1,169,382

Changes in equity

Dividends

-

(1,000,000

)

(1,000,000

)

Total comprehensive income

-

1,686,198

Balance at 31 March 2024

1

1,855,579

1,855,580

Changes in equity

Total comprehensive income

-

2,740,255

Balance at 31 March 2025

1

4,595,834

4,595,835

1.	STATUTORY INFORMATION

Queensgate Hotel Edinburgh Ltd 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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

Turnover comprises of revenue received (excluding VAT) from renting of hotel rooms and provision of ancilliary services in relation to the Hotel Operations. It arose entirely in the United Kingdom.

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.

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 or substantively 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 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.

Leasing commitments

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.

Holiday pay accrual

As the company’s policy does not permit carry-forward of unused leave, the company has made a Nil provision (2024: £Nil) in the accounts in respect of Holiday pay.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 49 (2024 - 48 ) .

AGENCY STAFF:

House keeping function is outsourced and on average 17 (2024: 12) 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.

DIRECTORS' REMUNERATION:

Directors' remuneration for the year including employers NI was £218,520 (2024 £193,957). It includes cross charges from Queensgate Hotel Limited amounting to £163,659 (2024: £163,659).

4.	OPERATING PROFIT

The operating profit is stated after charging:

2025

2024

£

Depreciation - owned assets

83,492

38,730

Auditors' remuneration

12,950

12,000

Auditors' fees for other non-audit services

1,850

2,764

5.

TAX

Analysis of the tax (credit)/charge

The tax (credit)/charge on the profit for the year was as follows:

2025

2024

£

Current tax:

UK corporation tax

(90,220

)

530,063

Deferred tax

1,855

41,126

Tax on profit

(88,365

)

571,189

Reconciliation of total tax (credit)/charge included in profit and loss

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

2025

2024

£

Profit before tax

2,651,890

2,257,387

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

662,973

564,347

Effects of:

Expenses not deductible for tax purposes

1,086

6,842

Capital allowances in excess of depreciation

(5,206

)

(41,126

)

Group relief

(219,010

)

-

Prior year tax adjustment

(530,063

)

-

Deferred tax

1,855

41,126

Total tax (credit)/charge

(88,365

)

571,189

6.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Computer

machinery

fittings

equipment

Totals

£

COST

At 1 April 2024

28,273

147,727

110,690

286,690

Additions

18,131

68,000

11,271

97,402

At 31 March 2025

46,404

215,727

121,961

384,092

DEPRECIATION

At 1 April 2024

2,193

32,897

39,252

74,342

Charge for year

3,551

41,732

38,209

83,492

At 31 March 2025

5,744

74,629

77,461

157,834

NET BOOK VALUE

At 31 March 2025

40,660

141,098

44,500

226,258

At 31 March 2024

26,080

114,830

71,438

212,348

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

Trade debtors

19,677

149,668

Amounts owed by group undertakings

4,920,467

2,704,768

Other debtors

72,172

5,052

Tax

153,272

-

Prepayments and accrued income

88,383

63,906

5,253,971

2,923,394

Tax amount is shown after netting off £530k relating to the previous financial year, which arose from a group relief claim determined during the filing of the tax return.

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

Trade creditors

241,220

208,044

Tax

-

430,063

Social security and other taxes

16,788

14,511

Pensions creditor

3,706

6,925

VAT

30,278

28,793

Other creditors

570,378

383,124

Accrued expenses

307,367

469,607

1,169,737

1,541,067

9.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2025

2024

£

Within one year

2,110,097

2,068,722

Between one and five years

8,870,931

8,696,991

In more than five years

21,360,708

23,644,744

32,341,736

34,410,457

The operating lease relates to hotel premises leased from Queensgate Hotel Edinburgh LP (group company). The annual rent of the property is £2,028,000 and the lease will expire on 31 August 2038. An annual inflation rate of 2% has been applied to calculate future rent as required by the rental agreement. Rent projections are not the same as accounted in comparatives due to change in inflation rate in 2024-25.

10.	SECURED DEBTS

Fixed and floating charge has been registered which includes a negative pledge created by Clydesdale Bank Plc ( trading as Virgin Money) over all the assets of the company, including the lease, to secure the loan.

All and whole the tenant's interest in the lease between Queensgate Hotel Edinburgh GP Limited, as general partner and trustee fo Queensgate Hotel Edinburghr LP and Queensgate Hotel Edinburgh Limited.

11.	PROVISIONS FOR LIABILITIES

2025

2024

£

Deferred tax

Accelerated capital allowances

1,855

41,126

Deferred tax

53,087

11,961

54,942

53,087

Deferred

tax

£

Balance at 1 April 2024

53,087

Provided during year

1,855

Balance at 31 March 2025

54,942

12.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2025

2024

value:

£

1

Ordinary

1

13.	RELATED PARTY DISCLOSURES

Key management personnel are considered to be the directors, details of their remuneration are detailed under note 3.

The following balances were owed (to)/from the related parties:

2025

2024

£

Queensgate Hotel Edinburgh LP

3,540,792

2,324,860

Queensgate Hotel Limited

179,675

179,909

Queensgate Hotel Edinburgh GP Ltd

1,200,000

200,000

4,920,467

2,704,769

During the year, the Company made charitable donations amounting to £85,846 (2024: £23,100) to Krishan Kantaria Charitable Trust, where the Directors of the Company are also the trustees of the Trust..

14.	ULTIMATE CONTROLLING PARTY

The company is a 100% subsidiary of Queensgate Hotel Edinburgh GP Limited, a company registered in England and Wales. The ultimate parent is The P R Sachdev 1989 Discretionary Settlement whose Trustees are the ultimate controlling party.