Company No: 01654646 (England and Wales)

Contents

• Statement of Financial Position
• Notes to the Financial Statements

	Note	2025		2024
		£		£
Fixed assets
Tangible assets	4	161,163		132,495
		161,163		132,495
Current assets
Stocks	5	5,150		5,150
Debtors	6	228,849		590,733
Cash at bank and in hand		278,651		165,631
		512,650		761,514
Creditors: amounts falling due within one year	7	( 302,049)		( 696,968)
Net current assets		210,601		64,546
Total assets less current liabilities		371,764		197,041
Creditors: amounts falling due after more than one year	8	( 84,386)		( 80,596)
Provision for liabilities		( 32,279)		( 24,694)
Net assets		255,099		91,751
Capital and reserves
Called-up share capital		10,000		10,000
Profit and loss account		245,099		81,751
Total shareholder's funds		255,099		91,751

For the financial year ending 31 August 2025 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The member has not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Income Statement has not been delivered.

The financial statements of Hepple Engineering Services Limited (registered number: 01654646) were approved and authorised for issue by the Board of Directors on 28 April 2026. They were signed on its behalf by:

Alan Hepple Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Hepple Engineering Services Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is 3 Industry Road, Heaton, Newcastle Upon Tyne, NE6 5XB, United Kingdom.

The financial statements have been prepared under the historical cost convention, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Turnover

Turnover is stated net of VAT and is recognised when the significant risks and rewards are considered to have been transferred to the buyer.

In respect of long-term contracts and contracts for on-going services, turnover represent the value of work done in the year, including estimates of amounts not invoiced. Turnover in respect of long-term contracts and contracts for on-going services is recognised by reference to the stage of completion.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Statement of Financial Position date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Plant and machinery	4 years straight line
Vehicles	25 - 33.33 % reducing balance
Fixtures and fittings	5 years straight line
Computer equipment	5 years straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Income Statement over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Statement of Financial Position date. If there is objective evidence of impairment, an impairment loss is recognised in the Income Statement as described below.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost includes materials, direct labour and an attributable proportion of manufacturing overheads based on normal levels of activity. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include deposits held at call with banks.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities
Basic financial liabilities, including creditors, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Equity instruments
Equity instruments issued by the Company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.

2. Critical accounting judgements and key sources of estimation uncertainty

In the application of the Company’s accounting policies, the directors are required to make judgements that have a significant impact on the amounts recognised. The following are the critical judgements that the directors have made in the process of applying the Company’s accounting policies and that have the most significant effect on the amounts recognised in the financial statements.

Valuation of work in progress and amounts recoverable on contracts - The Company uses the "percentage of completion method" to determine the appropriate amount to recognise in a given period. The value is calculated by reference to the value of work done at the year end compared to the total value of the contract on completion. The percentage completed at the year end is included within other debtors in the financial statements. The value of amounts recoverable on contracts at the year end is £20,927.

3. Employees

	2025		2024
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	12		12

4. Tangible assets

	Plant and machinery		Vehicles		Fixtures and fittings		Computer equipment		Total
	£		£		£		£		£
Cost
At 01 September 2024	17,836		153,501		23,664		26,826		221,827
Additions	0		61,889		0		571		62,460
Disposals	( 2,500)		0		0		0		( 2,500)
At 31 August 2025	15,336		215,390		23,664		27,397		281,787
Accumulated depreciation
At 01 September 2024	17,836		27,023		21,018		23,455		89,332
Charge for the financial year	0		31,079		934		1,779		33,792
Disposals	( 2,500)		0		0		0		( 2,500)
At 31 August 2025	15,336		58,102		21,952		25,234		120,624
Net book value
At 31 August 2025	0		157,288		1,712		2,163		161,163
At 31 August 2024	0		126,478		2,646		3,371		132,495

5. Stocks

	2025		2024
	£		£
Stocks	5,150		5,150

6. Debtors

	2025		2024
	£		£
Trade debtors	158,328		465,870
Amounts owed by Parent undertakings	21,983		46,243
Other debtors	48,538		78,620
	228,849		590,733

Amounts owed by parent undertaking is recoverable on demand and are not interest bearing.

7. Creditors: amounts falling due within one year

	2025		2024
	£		£
Trade creditors	118,500		486,000
Accruals	33,678		20,164
Taxation and social security	49,584		41,142
Obligations under finance leases and hire purchase contracts	21,600		11,098
Other creditors	78,687		138,564
	302,049		696,968

Assets held on hire purchase are secured on the assets to which they relate.

8. Creditors: amounts falling due after more than one year

	2025		2024
	£		£
Obligations under finance leases and hire purchase contracts	84,386		80,596

Assets held on hire purchase are secured on the assets to which they relate.

9. Related party transactions

Transactions with the entity's directors

	2025		2024
	£		£
S Limerick	397		397

Amounts owed by directors are interest free and repayable on demand.

Other related party transactions

Hepple Engineering Services Ltd operates rent free from premises owned by its parent company Hepple NE Ltd. The market value of rent would otherwise be £25,000 per annum.

10. Ultimate controlling party

Parent Company:

Hepple NE Limited