REGISTERED NUMBER: SC315255 (Scotland)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

FOR

CLAYMORE HOMES LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

to

4

Report of the Independent Auditors

5

to

8

Statement of Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Notes to the Financial Statements

12

to

24

DIRECTORS:

Mrs B C Allardyce

Mr J B Smith Jnr

Mrs C M Smith

Mr A L Webster

Mr C T Anthony

REGISTERED OFFICE:

Aden Business Park

Newlands Road

MINTLAW

Aberdeenshire

AB42 5BP

REGISTERED NUMBER:

SC315255 (Scotland)

AUDITORS:

Bain Henry Reid

Statutory Auditors

Chartered Accountants

4 West Craibstone Street

Bon-Accord Square

ABERDEEN

AB11 6YL

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

REVIEW OF BUSINESS AND FUTURE DEVELOPMENTS

During the year the company started one new development and continued with its existing developments in Aberdeenshire for private individuals which was the main revenue stream in the financial year. Challenging market conditions still continue as a result of higher interest rates, higher inflation and higher cost of living which has had an impact on consumer confidence. These market conditions have impacted turnover and margins. Financial key performance indicators for 2024 are discussed below.

Revenue was generated from private sales from developments in Peterhead, Cruden Bay, Oldmeldrum, Cairnbulg, Memsie and St Combs and will continue to do so in the forthcoming year. The Board regularly review the risks and uncertainties affecting the business and are continuing to explore new private development opportunities as well as affordable housing opportunities to increase future revenue income.

PRINCIPAL RISKS AND UNCERTAINTIES

The management of the business and execution of the company's strategy are subject to a number of risks. The key business risks and uncertainties facing the company are considered below. The company considers itself to be structured appropriately to plan for and mitigate these risks.

Competitive Risk

The company operates in highly competitive markets and therefore a key factor is the ability to retain key customers, attract and develop skilled personnel and grow the business. The geographical spread of operations allows the company to be competitive and reduces the possible effect of failing to retain contracts.

Credit Risk

This is primarily attributed to trade debtors. All clients who wish to trade on credit terms are subject to credit verification procedures. To mitigate the credit risk, trade debtors are monitored on a regular basis and large contracts are set up to include the requirement for stage payments to ensure the level of bad debt risk is minimised.

Liquidity Risk

Due to the nature of contracts in the construction industry, liquidity and cashflow management require careful monitoring and control. The company has ensured they have adequate working capital and longer term funding facilities in place to allow operations to continue.

FINANCIAL KEY PERFORMANCE INDICATORS

In assessing the financial performance of the business, the directors monitor gross profit at development level. The directors are satisfied with the margins earned in the year. A summary of the results is as follows:

2024

2023

Movement

Turnover

£17.9m

£13.1m

37%

Gross profit

£1.5m

£1.3m

15%

Gross profit margin

8.4%

10%

(1.6%)

FINANCIAL INSTRUMENTS

The company has a normal level of exposure to price, credit, liquidity and cash flow risks arising form trading activities which are conducted in Sterling. The company does not enter into any formally designated hedging arrangements.

RESEARCH AND DEVELOPMENT

The company is not currently undertaking research and development.

ON BEHALF OF THE BOARD:

Mr J B Smith Jnr - Director

30 December 2025

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

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the building and sale of residential property.

DIVIDENDS

Interim dividends per share were paid during the year as follows:

'A' Ordinary £1

-

£300

- 26 November 2024

'B' Ordinary £1

-

£300

- 26 November 2024

'C' Ordinary £1

-

£300

- 26 November 2024

The total distribution of dividends for the year ended 31 December 2024 will be £ 300,000 .

DIRECTORS

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

Mrs B C Allardyce

Mr J B Smith Jnr

Mrs C M Smith

Mr A L Webster

Mr C T Anthony

Other changes in directors holding office are as follows:

Mr P Cowie - resigned 29 August 2024

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

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

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

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

AUDITORS

The auditors, Bain Henry Reid, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr J B Smith Jnr - Director

30 December 2025

Opinion

We have audited the financial statements of Claymore Homes Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Balance Sheet, 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 December 2024 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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

-

we identified the laws and regulations applicable to the company through discussions with directors, and from our commercial knowledge and experience of the house building sector;

-

we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company including the Companies Act 2006, FRS 102 requirements, taxation, building regulations applicable to Scotland, planning laws and regulations applicable to Scotland, and HSE regulations. We also considered those with an indirect effect including employment, data protection, anti-money laundering and other environmental and health and safety legislation; and

-

we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management, review of financial statement disclosures, inspecting any tax/legal or regulatory correspondence, and review of legal invoices.

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 where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;

-

considering the internal controls in place to mitigate the risks of fraud and of non-compliance with laws and regulations; and

-

exercised professional judgement and maintained professional scepticism throughout the audit.

To address the risk of fraud through management bias and override of controls, we:

-

conducted a review of large or unusual items, and transactions outwith the normal course of business;

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

considered the possibility of undisclosed related party transactions;

-

tested journal entries to identify unusual transactions;

-

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

-

investigated the rationale behind significant or unusual transactions.

To address the risk of fraud through revenue recognition we:

-

conducted audit procedures to confirm that it was being recognised in line with the accounting policy; and

-

carried out substantive procedures to confirm the accuracy of completion and cut-off.

In response to the risk of irregularities and non-compliance with laws and regulations we designed procedures which included, but were not limited to:

-

agreeing financial statement disclosures to underlying supporting documentation;

-

enquiring of management as to actual and potential litigation and claims; and

-

reviewing correspondence with HMRC, relevant regulators and the company's legal advisers.

There are inherent limitations in our audit procedures described above. The more removed the laws and regulations are from financial statements, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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.

Karen E Gardiner BA CA CTA (Senior Statutory Auditor)

for and on behalf of Bain Henry Reid

Statutory Auditors

Chartered Accountants

4 West Craibstone Street

Bon-Accord Square

ABERDEEN

AB11 6YL

30 December 2025

TURNOVER

17,858,408

13,061,869

Cost of sales

16,384,822

11,752,273

GROSS PROFIT

1,473,586

1,309,596

Administrative expenses

4,156,870

2,048,655

(2,683,284

)

(739,059

)

Other operating income

69,552

43,584

OPERATING LOSS

4

(2,613,732

)

(695,475

)

Interest receivable and similar income

6

7,274

-

(2,606,458

)

(695,475

)

Interest payable and similar expenses

7

90,771

59,975

LOSS BEFORE TAXATION

(2,697,229

)

(755,450

)

Tax on loss

8

(656,323

)

(178,409

)

LOSS FOR THE FINANCIAL YEAR

(2,040,906

)

(577,041

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(2,040,906

)

(577,041

)

FIXED ASSETS

Tangible assets

10

2,333,605

2,157,694

Investments

11

1

1

Investment property

12

240,000

340,000

2,573,606

2,497,695

CURRENT ASSETS

Stocks

13

21,712,873

23,441,064

Debtors

14

1,040,850

436,092

Cash at bank and in hand

212,330

606,026

22,966,053

24,483,182

CREDITORS

Amounts falling due within one year

15

19,923,248

18,534,800

NET CURRENT ASSETS

3,042,805

5,948,382

TOTAL ASSETS LESS CURRENT LIABILITIES

5,616,411

8,446,077

CREDITORS

Amounts falling due after more than one year

16

465,947

954,707

NET ASSETS

5,150,464

7,491,370

CAPITAL AND RESERVES

Called up share capital

21

1,000

1,000

Retained earnings

22

5,149,464

7,490,370

SHAREHOLDERS' FUNDS

5,150,464

7,491,370

The financial statements were approved by the Board of Directors and authorised for issue on 30 December 2025 and were signed on its behalf by:

Mr J B Smith Jnr - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

1,000

8,067,411

8,068,411

Changes in equity

Total comprehensive income

-

(577,041

)

(577,041

)

Balance at 31 December 2023

1,000

7,490,370

7,491,370

Changes in equity

Dividends

-

(300,000

)

(300,000

)

Total comprehensive income

-

(2,040,906

)

(2,040,906

)

Balance at 31 December 2024

1,000

5,149,464

5,150,464

1.	STATUTORY INFORMATION

Claymore Homes Limited is a private company, limited by shares , registered in Scotland. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

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.

The principal accounting policies applied in the preparation of these financial statements have been set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows.

Preparation of consolidated financial statements

The financial statements contain information about Claymore Homes Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, JNF Holdings Limited, Little Mains, Crichie Woods, Stuartfield, AB42 5DY.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Significant judgements and estimates

Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include:

Estimated useful lives and residual values of fixed assets

As described in the notes to the financial statements, depreciation of tangible fixed assets has been based on the estimated useful lives and residual values deemed appropriate by the director. Estimated useful lives and residual values are reviewed annually. They are amended where necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of tangible fixed assets.

Impairment of work in progress

In applying the accounting policy management are required to assess the stage of completion of developments. This assessment is based on cost incurred as a proportion of expected total development costs. Total development costs includes an estimate of costs required to complete the development, which is based on the company's past experience and professional judgement.

Going concern

The directors, having made due and careful enquiry, are of the opinion that the company has adequate working capital to execute its operations over the next 12 months. The directors, therefore, have made an informed judgement, at the time of approving the financial statements, that there is a reasonable expectation that the company has adequate resources to continue in operational existence for at least 12 months. As a result, the directors have continued to adopt the going concern basis of accounting in preparing the annual financial statements.

Revenue recognition

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. Sale of residential properties are recognised on legal completion which occurs when properties are completed and an agreement is in place to transfer the significant risks and rewards of ownership to the customer.

Tangible fixed assets

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

Heritable property

-

in accordance with the property

Plant and machinery

-

20% on reducing balance

Fixtures and fittings

-

25% straight line

Motor vehicles

-

20% on reducing balance

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.

Land included within heritable property is not depreciated. 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 disposal are determined by comparing proceeds with the carrying amount and are recognised in the Statement of Comprehensive Income.

Investments in subsidiaries

Investments in subsidiaries are measured at cost less accumulated impairment.

Investment property

Investment property is carried at fair value determined annually and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in the Statement of Comprehensive Income.

Stocks and work in progress

Stocks are stated at the lower of cost and net realisable value, being estimated selling price less costs to complete and sell. Work in progress includes interest payable on borrowings during the development period up to the completion of the relevant job.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit and loss.

Profit is recognised on house sales on legal completion and when construction is complete. Viability reports which include an estimate of costs to complete and remaining revenue are carried out on a regular basis. As part of this, site development costs are allocated between units built in the current year and those to be built in future years. These reports assess the profitability of each site and any impairment provisions or reversals which may be required..

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 effect interest method, less any impairment.

Taxation

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

Current or deferred taxation assets and liabilities are not discounted.

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

Deferred tax

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

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

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

Hire purchase and leasing commitments

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

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

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 Statement of Comprehensive Income in the period to which they relate. The assets of the plan are held separately from the company in independently administered funds.

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 that three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties and loans from related parties and group undertakings. These are measured at amortised cost and are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Comprehensive Income.

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.

Rental income

Rental income is recognised in the Statement of Comprehensive Income in accordance with the period to which the rental income relates to.

Interest income

Interest income is recognised in the Statement of Comprehensive Income using the effective interest method.

Finance costs

Finance costs are charged to the Statement of Comprehensive Income 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.

Borrowing costs

All borrowing costs are recognised in the Statement of Comprehensive Income in the year in which they were incurred.

Provisions for liabilities

Provisions are made where an event has taken place that gives the company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.

Provisions are charged as an expense to the Statement of Comprehensive Income in the year that the company becomes aware of the obligation, and are measured at the best estimate at the Balance Sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.

When payments are eventually made, they are charged to the provision carried in the Balance Sheet.

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the company but are presented separately due to their size or incidence.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Shared equity

The company offers shared equity home ownership schemes under which qualifying home buyers can defer payment as part of an agreed sales price up to a maximum of 20% until the earlier of 10 years, remortgage or resale of property. On the occurrence of one of these events, the company will receive a repayment based on its contributed equity percentage and the applicable market value of the property as determined by a member of the Royal Institute fo Chartered Surveyors. Early or part repayment is allowable under the scheme and amounts are secured by way of a second charge over the property.

3.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

2,412,113

2,381,200

Social security costs

255,805

250,556

Other pension costs

84,389

65,358

2,752,307

2,697,114

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

2024

2023

Management

4

4

Administration

13

12

Construction

41

42

58

58

2024

2023

£

£

Directors' remuneration

262,984

308,210

Directors' pension contributions to money purchase schemes

125,449

68,295

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

4

4

Information regarding the highest paid director is as follows:

2024

2023

£

£

Emoluments etc

95,429

110,366

Pension contributions to money purchase schemes

15,000

1,321

4.	OPERATING LOSS

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

2024

2023

£

£

Depreciation - owned assets

156,945

150,655

Depreciation - assets on hire purchase contracts

235,931

227,281

Loss/(profit) on disposal of fixed assets

6,286

(8,721

)

Auditors' remuneration

15,050

14,300

Auditors' remuneration for non audit work

1,500

-

5.	EXCEPTIONAL ITEMS

2024

2023

£

£

Impairment loss on work in progress

1,923,150

-

6.

INTEREST RECEIVABLE AND SIMILAR INCOME

2024

2023

£

£

Other interest received

7,274

-

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

2024

2023

£

£

Bank loan interest

68,630

44,381

Hire purchase

22,141

15,594

90,771

59,975

8.

TAXATION

Analysis of the tax credit

The tax credit on the loss for the year was as follows:

2024

2023

£

£

Deferred tax

(656,323

)

(178,409

)

Tax on loss

(656,323

)

(178,409

)

Reconciliation of total tax credit 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:

2024

2023

£

£

Loss before tax

(2,697,229

)

(755,450

)

Loss multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 25%)

(674,307

)

(188,863

)

Effects of:

Expenses not deductible for tax purposes

10,184

2,724

Depreciation in excess of capital allowances

7,800

7,730

to deferred tax provision

Total tax credit

(656,323

)

(178,409

)

9.

DIVIDENDS

2024

2023

£

£

'A' Ordinary shares of £1 each

Interim

150,000

-

'B' Ordinary shares of £1 each

Interim

120,000

-

'C' Ordinary shares of £1 each

Interim

30,000

-

300,000

-

10.	TANGIBLE FIXED ASSETS

Fixtures

Heritable

Plant and

and

property

machinery

fittings

£

£

£

COST OR VALUATION

At 1 January 2024

1,017,263

2,549,091

124,549

Additions

60,000

259,262

6,066

Disposals

-

-

-

At 31 December 2024

1,077,263

2,808,353

130,615

DEPRECIATION

At 1 January 2024

235,465

1,531,917

104,870

Charge for year

31,200

253,726

6,947

Eliminated on disposal

-

-

-

At 31 December 2024

266,665

1,785,643

111,817

NET BOOK VALUE

At 31 December 2024

810,598

1,022,710

18,798

At 31 December 2023

781,798

1,017,174

19,679