REGISTERED NUMBER: 11927627 (England and Wales)

Group Strategic Report, Report of the Directors and

Audited Consolidated Financial Statements for the Year Ended 31 December 2024

for

Trusted Hands Care Group Ltd

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

7

Consolidated Income Statement

11

Consolidated Other Comprehensive Income

12

Consolidated Balance Sheet

13

Company Balance Sheet

14

Consolidated Statement of Changes in Equity

16

Company Statement of Changes in Equity

17

Consolidated Cash Flow Statement

18

Notes to the Consolidated Cash Flow Statement

19

Notes to the Consolidated Financial Statements

21

DIRECTORS:

M Pereplochick

B Z Pereplotchik

REGISTERED OFFICE:

37 Adshead Road

Dudley

DY2 8ST

REGISTERED NUMBER:

11927627 (England and Wales)

SENIOR STATUTORY AUDITOR:

Gordon Levy BA, FCA

AUDITORS:

Gordon Levy Limited

Statutory Auditors

Suite 5, 4th floor

3 Universal Square

Devonshire Street North

Manchester

M12 6JH

The directors present their strategic report of the company and the group for the year ended 31 December 2024.

REVIEW OF BUSINESS

Trusted Hands Care Group was established in 2017 and, as at year-end 2024, operates five residential care homes and a supported living service for adults with learning disabilities. All services are currently rated "Good" by the Care Quality Commission (CQC). The Group operates across Stoke-on-Trent, Dudley, and Solihull.

The Group is dedicated to providing high-quality care and support to vulnerable adults with learning disabilities, autism spectrum disorder, physical disabilities, and associated conditions.

OPERATIONS AND GROWTH

Today, Trusted Hands provides residential care to 48 residents across its care homes and supports a further 14 individuals through its supported living service.

The Group’s first two homes - Mereside Care Home and Roughcote Hall Farm - were acquired in September 2017. In May 2018, Kenwood House, located in Shelton, Stoke-on-Trent, was opened, expanding the Group’s portfolio to three homes.

In 2019, Trusted Hands further expanded by purchasing, refurbishing, and converting two additional properties into specialist care homes:

Elmdon Care Home, located in Marston Green, Solihull, accommodating up to six adults with learning disabilities.

Cobden Street Bungalow, a former residential bungalow in Dresden, Stoke-on-Trent, accommodating up to six adults with physical and learning disabilities (PLD).

In August 2023, Trusted Hands Care Group acquired Grazebrook Homes Ltd, a care group based in Dudley, West Midlands. Grazebrook operates two residential care homes, each accommodating nine residents with learning disabilities and associated conditions, and also provides supported living services to adults living in their own homes.

PRINCIPAL ACTIVITIES

The Group operates five residential care homes and supported living services, all dedicated to adults with low to mild learning disabilities.

Residential care services include:

- 24-hour on-site support staff,

- Furnished accommodation,

- All meals and food provision,

- Weekly activities and engagement programmes.

Supported living services provide 24-hour care and support to individuals living in their own homes, enabling greater independence while ensuring appropriate levels of supervision and assistance.

At the core of the Group’s philosophy are respect and dignity. All care plans are person-centred, tailored to individual needs, and designed to maximise independence. The Group’s highly experienced and qualified staff support residents with daily living activities while treating them with compassion and respect.

Care homes and services

1. Mereside Care Home. Located on St Bernards Road, Olton, Solihull, Mereside Care Home supports 15 adults with low to mild learning disabilities. All bedrooms have en-suite bathrooms, and a modern lift provides access to the upper floors.

2. Roughcote Hall Farm. Set within 3.5 acres of countryside in the Staffordshire Moorlands, approximately half a mile from Stoke-on-Trent. The home supports nine adults with mild to moderate learning disabilities.

3. Kenwood House. Located in central Stoke-on-Trent, close to Hanley town centre, Hanley Park, and Cauldon Park. Kenwood House is a small residential care home supporting six residents with mild to moderate learning disabilities and related needs.

4. Summerfield House. Situated on a quiet residential street near Dudley Town Centre, Summerfield House supports nine adults with learning disabilities and related needs.

5. Fairfield House. A residential care home supporting nine residents, located opposite a small park and within walking distance of Dudley Town Centre.

6. Trusted Hands Supported Living. Trusted Hands Supported Living enables individuals to live independently in their own homes, either alone or in shared accommodation (typically 2–4 residents per property). Support is tailored following a full assessment of individual needs. Each resident holds their own tenancy agreement with the landlord, ensuring genuine independence. Housing is provided in partnership with trusted housing providers.

PRINCIPAL RISKS AND UNCERTAINTIES

The Group’s activities expose it to a number of financial and operational risks, including credit risk, liquidity risk, occupancy risk, and regulatory and compliance risk. Financial risk is managed by the finance team in accordance with policies approved by the Board of Directors.

Credit Risk: Credit risk arises from cash and cash equivalents and from trade and other receivables. The Group’s policy is to place surplus cash only with banks and financial institutions with strong credit ratings. Trade receivables primarily relate to a limited number of counterparties with good credit standing. The maximum exposure to credit risk is represented by the carrying value of financial assets recognised in the statement of financial position.

Liquidity Risk: Liquidity risk is the risk that the Group may encounter difficulty in meeting its financial obligations as they fall due. The Group manages this risk through regular monitoring of forecast and actual cash flows and by maintaining sufficient cash and cash equivalents to meet obligations in the short and medium term.

Occupancy Risk: Occupancy risk arises where lower-than-expected occupancy levels could adversely impact revenue and the financial performance of individual care homes and services. The Group seeks to mitigate this risk by maintaining high standards of care, fostering strong relationships with residents and their families, and actively monitoring occupancy levels. Market trends and demand are regularly reviewed, and operational strategies are adapted where necessary.

Regulatory and Compliance Risk: The care sector is subject to stringent and evolving regulatory requirements. The Group manages regulatory and compliance risk through continuous identification, assessment, mitigation, and monitoring of potential compliance issues, ensuring that all services meet applicable regulatory standards.

FINANCIAL REVIEW

For the year ended 2024, the Group recorded a turnover of £4.8 million (2023: £2.9 million), representing an increase of 66% compared with the previous year. This growth reflects the acquisition of additional care homes, most notably Grazebrook Homes Ltd, and the resulting expansion of resident capacity and service provision.

The Group’s cost base is primarily driven by staff salaries and associated employment costs, which represent the main operating expense. The Group also incurs significant interest expenses on bank loans secured against its property assets.

For the year, the Group achieved an operating profit of £507,180, showing an operating margin of 10.5% (2023: 8.4%), reflecting improved operational performance and increased service capacity following the expansion of the Group.

FUTURE DEVELOPMENTS

Management will continue to focus on the integration, development, and refurbishment of recently acquired properties, while maintaining high standards of care for residents. The Group will also seek to optimise occupancy levels and operational efficiency across its existing portfolio, while remaining attentive to regulatory requirements and market conditions.

ON BEHALF OF THE BOARD:

B Z Pereplotchik - Director

30 December 2025

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

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of providing residential care services.

DIVIDENDS

No dividends were distributed for the year ended 31 December 2024 (2023: £0).

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

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

M Pereplochick

B Z Pereplotchik

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company's website.

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 group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, Gordon Levy Limited, are deemed to be reappointed under section 487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:

B Z Pereplotchik - Director

30 December 2025

Opinion

We have audited the financial statements of Trusted Hands Care Group Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 group's and of the parent company affairs as at 31 December 2024 and of the group's 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 group 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 group's and the parent 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 auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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.

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.

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 Group 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 Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

- the comparative figures were not audited.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

This report is made solely to the Group'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 Group'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 Group and the Group's members as a body, for our audit work, for this report, or for the opinions we have formed.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page five, 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 group's and the parent 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 group or the parent 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.

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.

Based on our understanding of the group and parent company and its industry, we considered that non-compliance with the following laws and regulations might have a material effect on the financial statements: employment regulation, health and safety regulation, anti-money laundering regulation.

To help us identify instances of non-compliance with these laws and regulations, and in identifying and assessing the risks of material misstatement in respect to non-compliance, our procedures included, but were not limited to:

- Inquiring of management and, where appropriate, those charged with governance, as to whether the company is in compliance with laws and regulations, and discussing their policies and procedures regarding compliance with laws and regulations;

- Inspecting correspondence, if any, with relevant licensing or regulatory authorities;

- Communicating identified laws and regulations to the engagement team and remaining alert to any indications of non-compliance throughout our audit; and

- Considering the risk of acts by the company which were contrary to applicable laws and regulations, including fraud.

We also considered those laws and regulations that have a direct effect on the preparation of the financial statements, such as tax legislation, pension legislation, the Companies Act 2006. In addition, we evaluated the directors' and management's incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of management override of controls, and determined that the principal risks related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, revenue recognition (which we pinpointed to the cut-off assertion), and significant one-off or unusual transactions.

Our audit procedures in relation to fraud included but were not limited to:

- Making enquiries of the directors and management on whether they had knowledge of any actual, suspected or alleged fraud;

- Gaining an understanding of the internal controls established to mitigate risks related to fraud;

- Discussing amongst the engagement team the risks of fraud; and

- Addressing the risks of fraud through management override of controls by performing journal entry testing. There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud tests with management.

As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

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 Group'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 Group'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 Group and the Group's members as a body, for our audit work, for this report, or for the opinions we have formed.

Gordon Levy BA, FCA (Senior Statutory Auditor)

for and on behalf of Gordon Levy Limited

Statutory Auditors

Suite 5, 4th floor

3 Universal Square

Devonshire Street North

Manchester

M12 6JH

30 December 2025

TURNOVER

4,835,326

2,904,159

Administrative expenses

(4,328,146

)

(2,661,322

)

OPERATING PROFIT

4

507,180

242,837

Interest receivable and similar income

201

-

507,381

242,837

Interest payable and similar expenses

5

(393,752

)

(215,105

)

PROFIT BEFORE TAXATION

113,629

27,732

Tax on profit

6

-

-

PROFIT FOR THE FINANCIAL YEAR

113,629

27,732

Profit attributable to:

Owners of the parent

113,629

27,732

PROFIT FOR THE YEAR

113,629

27,732

OTHER COMPREHENSIVE INCOME

Bonus share issue

-

(1

)

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

-

(1

)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

113,629

27,731

Total comprehensive income attributable to:

Owners of the parent

113,629

27,731

FIXED ASSETS

Intangible assets

9

1,144,367

1,256,991

Tangible assets

10

4,881,739

4,885,989

Investments

11

-

-

6,026,106

6,142,980

CURRENT ASSETS

Debtors

12

1,005,341

1,882,558

Cash at bank and in hand

49,334

101,188

1,054,675

1,983,746

CREDITORS

Amounts falling due within one year

13

2,131,336

3,171,334

NET CURRENT LIABILITIES

(1,076,661

)

(1,187,588

)

TOTAL ASSETS LESS CURRENT LIABILITIES

4,949,445

4,955,392

CREDITORS

Amounts falling due after more than one year

14

4,286,660

4,406,236

NET ASSETS

662,785

549,156

CAPITAL AND RESERVES

Called up share capital

16

101

101

Retained earnings

17

662,684

549,055

SHAREHOLDERS' FUNDS

662,785

549,156

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:

B Z Pereplotchik - Director

FIXED ASSETS

Intangible assets

9

1,144,367

1,256,991

Tangible assets

10

1,206,434

1,206,434

Investments

11

222

222

2,351,023

2,463,647

CURRENT ASSETS

Debtors

12

2,326,708

2,821,454

Cash at bank

306

3,395

2,327,014

2,824,849

CREDITORS

Amounts falling due within one year

13

1,353,436

1,231,557

NET CURRENT ASSETS

973,578

1,593,292

TOTAL ASSETS LESS CURRENT LIABILITIES

3,324,601

4,056,939

CREDITORS

Amounts falling due after more than one year

14

4,204,752

4,298,636

NET LIABILITIES

(880,151

)

(241,697

)

CAPITAL AND RESERVES

Called up share capital

16

101

101

Retained earnings

17

(880,252

)

(241,798

)

SHAREHOLDERS' FUNDS

(880,151

)

(241,697

)

Company's loss for the financial year

(638,454

)

(241,447

)

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:

B Z Pereplotchik - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

100

521,324

521,424

Changes in equity

Issue of share capital

1

-

1

Total comprehensive income

-

27,731

27,731

Balance at 31 December 2023

101

549,055

549,156

Changes in equity

Total comprehensive income

-

113,629

113,629

Balance at 31 December 2024

101

662,684

662,785

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

100

(350

)

(250

)

Changes in equity

Issue of share capital

1

-

1

Total comprehensive income

-

(241,448

)

(241,448

)

Balance at 31 December 2023

101

(241,798

)

(241,697

)

Changes in equity

Total comprehensive income

-

(638,454

)

(638,454

)

Balance at 31 December 2024

101

(880,252

)

(880,151

)

Cash flows from operating activities

Cash generated from operations

1

478,374

406,903

Interest paid

(393,752

)

(215,105

)

Tax paid (acquisition adjustment 2023)

-

(72,315

)

Net cash from operating activities

84,622

119,483

Cash flows from investing activities

Purchase of intangible fixed assets

-

(1,256,991

)

Purchase of tangible fixed assets

(20,391

)

(1,252,591

)

Sale of tangible fixed assets

1

4,487

Interest received

201

-

Net cash from investing activities

(20,189

)

(2,505,095

)

Cash flows from financing activities

New loans in year

-

2,479,547

Loan repayments in year

(72,246

)

-

Amount introduced by directors

16,089

-

Amount withdrawn by directors

(60,130

)

-

Share issue

-

(1

)

Net cash from financing activities

(116,287

)

2,479,546

(Decrease)/increase in cash and cash equivalents

(51,854

)

93,934

Cash and cash equivalents at beginning of year

2

101,188

7,254

Cash and cash equivalents at end of year

2

49,334

101,188

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

31.12.24

31.12.23

(Unaudited)

(Restated)

£

£

Profit before taxation

113,629

27,732

Depreciation charges

137,263

20,299

Loss on disposal of fixed assets

-

116

Other adjustments

1

(82,950

)

Finance costs

393,752

215,105

Finance income

(201

)

-

644,444

180,302

Decrease/(increase) in trade and other debtors

877,217

(530,005

)

(Decrease)/increase in trade and other creditors

(1,043,287

)

756,606

Cash generated from operations

478,374

406,903

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

49,334

101,188

Year ended 31 December 2023

31.12.23

1.1.23

(Unaudited)

(Restated)

£

£

Cash and cash equivalents

101,188

7,254

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.1.24

Cash flow

At 31.12.24

£

£

£

Net cash

Cash at bank and in hand

101,188

(51,854

)

49,334

101,188

(51,854

)

49,334

Debt

Debts falling due within 1 year

(112,171

)

(8,209

)

(120,380

)

Debts falling due after 1 year

(4,406,236

)

119,576

(4,286,660

)

(4,518,407

)

111,367

(4,407,040

)

Total

(4,417,219

)

59,513

(4,357,706

)

4.	COMPARATIVE INFORMATION

The comparative consolidated cash flow statement is unaudited and has been prepared on a basis consistent with the restated comparative consolidated balance sheet.

1.	STATUTORY INFORMATION

Trusted Hands Care Group 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 General 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 unless otherwise specified within these accounting policies.

This is the first year in which the company’s financial statements have been subject to statutory audit. Accordingly, the comparative figures for the year ended 31 December 2023 were unaudited.

The financial statements are presented in GBP as that is the functional currency of the entities.

Basis of consolidation

The consolidated financial statements incorporate the financial statements of Trusted Hands Care Group Ltd (the"Company") and its subsidiaries (together, the "Group"). Subsidiaries are entities controlled by the Group. The Group controls an entity when it is exposed, or has rights, to variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. In assessing control, the Group considers existing and potential voting rights, contractual arrangements, and de facto control. The financial statements of subsidiaries are included in the consolidated financial statements from the date on which control is obtained until the date on which control ceases. Consistent accounting policies are applied throughout the Group. Intra-group balances, transactions, income and expenses are eliminated in full on consolidation. Unrealised gains and losses arising from intra-group transactions are eliminated, unless the transaction provides evidence of impairment of the asset transferred. See note 11 for details of the subsidiaries.

Restatement of comparative figures

The comparative figures for the year ended 31 December 2023 have been restated to reflect adjustments arising from the first year audit of the group. The restatement relates primarily to consolidation adjustments and the removal of pre-acquisition transactions.

The restatement has affected the presentation of comparative equity and the comparative consolidated cash flow statement. There has been no impact on the group’s cash position at the reporting date.

Going concern

These financial statements have been prepared on a going concern basis. The directors, having considered the financial position of the Group for a period of at least twelve months from the date of approval of these financial statements, have no reason to believe that a material uncertainty exists that may cast significant doubt on the ability of the Group to continue as a going concern. Accordingly, the directors have a reasonable expectation that the Group will continue in operational existence and therefore continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable for services provided by the Group, excluding discounts, rebates, value added tax and other sales taxes.

Goodwill

Goodwill arising on the acquisition of a subsidiary is recognised as the excess of the cost of acquisition over the Group’s interest in the fair value of the identifiable assets, liabilities and contingent liabilities acquired at the date of acquisition.

Goodwill is initially recognised as an asset and subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

In accordance with FRS 102, goodwill is amortised on a straight-line basis over its estimated useful economic life. Where the useful economic life of goodwill cannot be reliably estimated, it is amortised on a straight-line basis over a period of 10 years.

Goodwill is reviewed for impairment when there is an indication that the asset may be impaired.

Tangible fixed assets

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses.

Depreciation is provided so as to write off the cost of tangible fixed assets, less their estimated residual values, on a straight-line basis over their estimated useful economic lives.

The principal annual rates used for this purpose are as follows:

- Plant and machinery: 25% straight-line

- Lift installations: 5% straight-line

- Furniture and fittings: 7% straight-line

- Motor vehicles: 20% straight-line

Depreciation commences when the asset is available for use and is reviewed annually, together with residual values and useful lives.

Freehold land and freehold buildings are not depreciated.

Tangible fixed assets are reviewed for impairment when events or changes in circumstances indicate that the carrying amount may not be recoverable.