J H Lowson & Company Limited Company accounts

COMPANY REGISTRATION NUMBER: 08013456

J H Lowson & Company Limited

Financial Statements

31 March 2026

J H Lowson & Company Limited

Financial Statements

Year ended 31 March 2026

Contents	Page

Officers and professional advisers	1

Strategic report	2

Directors' report	5

Independent auditor's report to the members	7

Income statement	11

Statement of financial position	12

Statement of changes in equity	13

Statement of cash flows	14

Notes to the financial statements	15

J H Lowson & Company Limited

Officers and Professional Advisers

The board of directors	Mr J H Lowson
	Mrs S W Bateman

Registered office	3rd Floor
	Rosemary House
	North Road
	Lancaster
	LA1 1LU

Auditor	Riverside Accountancy Lancaster Limited
	Chartered accountants & statutory auditor
	Suite 2, 2 Mannin Way
	Lancaster Business Park
	Caton Road
	Lancaster
	LA1 3SU

Bankers	Barclays Bank PLC
	38 Market Street
	Lancaster
	Lancashire
	LA1 1HR

J H Lowson & Company Limited

Strategic Report

Year ended 31 March 2026

Review of the business The company offers investment management and independent financial advisory services to retail and corporate customers. " Profit for the period: £213,983 (2025: £224,188) " Shareholders' funds: £247,799 (2025: £196,345) " Dividends paid: £109,500 (2025: £120,375) Revenues from Investment Management Services increased by 2.8%. Investment Management Services revenues are based on Funds Under Management. Revenue increase is mainly a result of an increase in asset values over the period but also some new business growth. Revenues from Advisory Services also grew by about 11.5%. Once again, Advisory Service revenues are predominantly based on Funds Under Management. Revenues has increased through an increase in the asset values, but we also entered into an agreement with another business - who have introduced new clients to the company (increasing funds under management). Consultancy Services remained broadly the same - as expected for non-core services. Overall, Company revenues increased by 9.9% (£35,461) however, cost of sales increased by £33,281 (being a payaway/fee share with our new introducer) and overheads increased by 13.6% (£19,060), primarily due to higher staff costs, increased cost of finance (interest payable) and increased property costs (service charges and utilities). Net profit was therefore down about 4.6% (£10,205).

Principal risks and uncertainties Compliance with regulatory, legal and ethical standards - the company not only has obligations under the industry regulator (Financial Conduct Authority) but also to its professional body (The Chartered Insurance Institute), which awards the company's Corporate Chartered Firm status. Maintaining regulatory permissions and professional recognition is a high priority for the company. Due to the sector in which the company operates, many of the financial risks such as price and credit risk are minimised. The process of risk acceptance and risk management is addressed through a framework of policies, procedures and internal controls. The company has developed a framework for identifying risks which focuses on the management of its capital requirements and the financial resources at its disposal to meet those costs. The company operates exclusively within the United Kingdom and has all the usual risks associated with operating a business. The company still has around 4.4% of Investment Management Funds Under Management that it is at risk of withdrawal (from a former business introducer). Put into perspective, the complete withdrawal of these remaining assets would result in a loss of only about 1.1% of total revenues and only about 2% of Net Profit, before tax. This decline has been very gradual (four years, so far) and is expected to continue in the same manner. In fact, the rate of withdrawal has slowed considerably, as clients become more "sticky" (i.e. those that are less engaged with the former introducer and less likely to transfer away). In all likelihood, organic growth from new business and increase in asset values/funds under management is likely to outstrip any further decline from that source. Operating costs are expected to increase over the next financial period, in line with the increase in revenue. We have recently agreed a new introducer agreement and will be paying away a share of fees an commissions under that agreement. Other costs are expected to increase considerably this year. Ordinary expenditure is likely to increase in line with inflation. However, the Company is also embarking on the development of a property (combined Office and Investment property) and this is going to require an extensive capital outlay.

Future developments Core revenues from Advisory services and Investment Management Services are expected to follow the same long-term trend - increasing with the general rise in asset prices. However, the Company has recently entered into an Introducer Agreement that is likely to see revenue from these services increase by around £100,000 per year - over the coming period. This initial introducer agreement is a precursor to an expected purchase of the clients from the Introducing Firm, over the course of a number of years. So, this arrangement is likely to result in a permanent increase in Advisory and Investment Management Service revenues. Over the longer term, the company aims to expand the business through further acquisitions as well as organic growth. The Company has also agreed to purchase a new Property. This property will need to be developed (probably over a period of 1 to 2 years) with the aim of using part of the property as offices for the business and part as an Investment. In the longer term, this offers revenue potential for the Company - and it is hoped that this revenue will cover some or all of the long term financing and running costs of the property. In the meantime, the Company will be moving address - to temporary office accommodation. A move that is likely to see our property costs reduce considerably (potentially saving as much as £15,000 to £20,000 a year). We hope to move into our new, purpose built offices in around 12 months.

This report was approved by the board of directors on 1 May 2026 and signed on behalf of the board by:

Mr J H Lowson

Director

Registered office:

3rd Floor

Rosemary House

North Road

Lancaster

LA1 1LU

J H Lowson & Company Limited

Directors' Report

Year ended 31 March 2026

The directors present their report and the financial statements of the company for the year ended 31 March 2026 .

Principal activities

The principal activity of the company during the year continued to be investment management and independent financial advisory services. It is making steady progress in line with director's forecasts.

Directors

The directors who served the company during the year were as follows:

Mr J H Lowson
Mrs S W Bateman

Dividends

Particulars of recommended dividends are detailed in note 12 to the financial statements.

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, directors' report 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 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 judgments 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.

Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.

This report was approved by the board of directors on 1 May 2026 and signed on behalf of the board by:

Mr J H Lowson

Director

Registered office:

3rd Floor

Rosemary House

North Road

Lancaster

LA1 1LU

J H Lowson & Company Limited

Independent Auditor's Report to the Members of J H Lowson & Company Limited

Year ended 31 March 2026

Opinion

We have audited the financial statements of J H Lowson & Company Limited (the 'company') for the year ended 31 March 2026 which comprise the income statement, statement of financial position, statement of changes in equity, statement of cash flows and the related notes, 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 FRS 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 2026 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 auditor's 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 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. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

- the strategic report and the directors' report 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 directors' report. We have nothing to report in respect of the following matters in relation to which 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 directors' responsibilities statement, 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 is 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.

Auditor's 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 an auditor’s report 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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: - Review of directors minutes and review of nominal postings for legal and professional fees ensured we identified any regulatory compliance issues and laws that company must follow in the year and to the date of signing the financial statements. - The assessment of fraud was consider as low due to the segregation of duties seen, the low levels of cash handled and the regular reporting requirements to the members. A review of journal entries and consideration of their appropriateness was carried out through the audit. - During the audit we speak to management, test the systems and speak to various members of the finance function to understand the entity its processes and the nature of trade to assist in determining if the financial statements are true and fair. - Challenging assumptions made by management in making their significant accounting estimates. - Reviewing financial statement disclosure and testing to supporting documentation to assess compliance with applicable laws and regulations. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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 an auditor's report 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.

Penelope Bowden ACA

(Senior Statutory Auditor)

For and on behalf of

Riverside Accountancy Lancaster Limited

Chartered accountants & statutory auditor

Suite 2, 2 Mannin Way

Lancaster Business Park

Caton Road

Lancaster

LA1 3SU

1 May 2026

J H Lowson & Company Limited

Income Statement

Year ended 31 March 2026

		2026	2025
Note		£	£
Turnover	4	394,313	358,852

Cost of sales	33,281	–
	---------	---------
Gross profit	361,032	358,852

Administrative expenses		150,315	133,372
		---------	---------
Operating profit	5	210,717	225,480

Other interest receivable and similar income	9	3,376	3,362
Amounts written back to investments		( 8,011)	( 1,346)
Interest payable and similar expenses	10	8,121	6,000
		---------	---------
Profit before taxation		213,983	224,188

Tax on profit	11	53,029	56,074
		---------	---------
Profit for the financial year		160,954	168,114
		---------	---------

All the activities of the company are from continuing operations.

The company has no other recognised items of income and expenses other than the results for the year as set out above.

J H Lowson & Company Limited

Statement of Financial Position

31 March 2026

	2026	2025
Note	£	£

Fixed assets

Tangible assets	14	151,148	151,113

Current assets

Debtors	15	315,764	6,980
Investments	16	–	95,346
Cash at bank and in hand		263,010	168,442
		---------	---------
		578,774	270,768

Creditors: amounts falling due within one year	17	170,787	168,240
		---------	---------
Net current assets		407,987	102,528
		---------	---------
Total assets less current liabilities		559,135	253,641

Creditors: amounts falling due after more than one year	18	310,282	56,123

Provisions	19	1,054	1,173
		---------	---------
Net assets		247,799	196,345
		---------	---------

Capital and reserves

Called up share capital	22	45,000	45,000
Profit and loss account	23	202,799	151,345
		---------	---------
Shareholders funds		247,799	196,345
		---------	---------

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

These financial statements were approved by the board of directors and authorised for issue on 1 May 2026 , and are signed on behalf of the board by:

Mr J H Lowson

Director

Company registration number: 08013456

J H Lowson & Company Limited

Statement of Changes in Equity

Year ended 31 March 2026

		Called up share capital	Profit and loss account	Total
		£	£	£
At 1 April 2024		45,000	103,606	148,606

Profit for the year			168,114	168,114
		--------	---------	---------
Total comprehensive income for the year		–	168,114	168,114

Dividends paid and payable	12	–	( 120,375)	( 120,375)
		--------	---------	---------
Total investments by and distributions to owners		–	( 120,375)	( 120,375)

At 31 March 2025		45,000	151,345	196,345

Profit for the year			160,954	160,954
		--------	---------	---------
Total comprehensive income for the year		–	160,954	160,954

Dividends paid and payable	12	–	( 109,500)	( 109,500)
		----	---------	---------
Total investments by and distributions to owners		–	( 109,500)	( 109,500)

		--------	---------	---------
At 31 March 2026		45,000	202,799	247,799
		--------	---------	---------

J H Lowson & Company Limited

Statement of Cash Flows

Year ended 31 March 2026

	2026	2025
	£	£

Cash flows from operating activities

Profit for the financial year	160,954	168,114

Adjustments for:
Depreciation of tangible assets	1,383	1,328
Gain/Loss on investments	( 8,011)	( 1,346)
Other interest receivable and similar income	( 3,376)	( 3,362)
Interest payable and similar expenses	8,121	6,000
Tax on profit	53,029	56,074
Accrued expenses/(income)	4,590	( 1,276)

Changes in:
Trade and other debtors	( 308,861)	( 76)
Trade and other creditors	( 284)	( 5,688)
	---------	---------
Cash generated from operations	( 92,455)	219,768

Interest paid	( 8,121)	( 6,000)
Interest received	3,376	3,362
Tax paid	( 55,873)	( 11,720)
	---------	---------
Net cash (used in)/from operating activities	( 153,073)	205,410
	---------	---------

Cash flows from investing activities

Purchase of tangible assets	( 1,418)	( 338)
Purchases of other investments	–	( 92,301)
Proceeds from sale of other investments	103,357	6,000
	---------	---------
Net cash from/(used in) investing activities	101,939	( 86,639)
	---------	---------

Cash flows from financing activities

Proceeds from borrowings	260,000	100,000
Repayments of borrowings	( 4,798)	( 4,277)
Dividends paid	( 109,500)	( 120,375)
	---------	---------
Net cash from/(used in) financing activities	145,702	( 24,652)
	---------	---------

Net increase in cash and cash equivalents	94,568	94,119
Cash and cash equivalents at beginning of year	168,442	82,022
	---------	---------
Cash and cash equivalents at end of year	263,010	176,141
	---------	---------

J H Lowson & Company Limited

Notes to the Financial Statements

Year ended 31 March 2026

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is 3rd Floor, Rosemary House, North Road, Lancaster, LA1 1LU.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss. The financial statements are prepared in sterling, which is the functional currency of the entity. The financial statements are rounded to the nearest £1.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Significant judgements There have been no critical judgements made by the directors in the process of applying the company's accounting policies that have a significant effect on the amounts recognised in the statutory financial statements. Key sources of estimation uncertainty Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows: (i) Recoverability of debtors The company establishes a provision for debtors that are estimated not to be recoverable. When assessing recoverability the directors have considered factors such as the ageing of the debtors, past experience of recoverability, and the credit profile of individual groups of customers. (ii) Tangible fixed assets Useful economic life of tangible fixed assets: the annual depreciation charge is sensitive to changes in the estimated economic lives and residual value of tangible fixed assets; the directors review this annually, though it is generally found that the policies are adequate and representative of the useful lives. Where is it found that they are no longer representative of the assets' value and lives the policy is changed and updated to better reflect the useful lives of the assets and give a more accurate value.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable services rendered, stated net of discounts and of Value Added Tax. Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that it is probable the expenses recognised will be recovered.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

Goodwill

Goodwill arises on business acquisitions and represents the excess of the cost of the acquisition over the company's interest in the net amount of the identifiable assets, liabilities and contingent liabilities of the acquired business. Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. It is amortised on a straight-line basis over its useful life. Where a reliable estimate of the useful life of goodwill or intangible assets cannot be made, the life is presumed not to exceed ten years.

Amortisation

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:

	Goodwill	-	straight line over economic life of 5 years

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Long leasehold property	-	Improvement costs depreciated straight line over 10 years.
Equipment	-	25% reducing balance

Investment property

Investment property is initially recorded at cost, which includes purchase price and any directly attributable expenditure. Investment property is subsequently revalued to its fair value and any changes in fair value are recognised in profit or loss.

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

4. Turnover

Turnover arises from:

	2026	2025
	£	£
Investment management services	65,521	63,720
Fees and commissions	322,627	289,445
Consultancy fees	6,165	5,687
	---------	---------
	394,313	358,852
	---------	---------

The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.

5. Operating profit

Operating profit or loss is stated after charging:

	2026	2025
	£	£
Depreciation of tangible assets	1,383	1,328
	-------	-------

6. Auditor's remuneration

	2026	2025
	£	£
Fees payable for the audit of the financial statements	2,340	2,220
	-------	-------

7. Staff costs

The average number of persons employed by the company during the year, including the directors, amounted to:

	2026	2025
	No.	No.
Administrative staff	1	1
Management staff	2	2
	----	----
	3	3
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2026	2025
	£	£
Wages and salaries	79,509	73,773
Social security costs	366	755
Other pension costs	7,392	5,974
	--------	--------
	87,267	80,502
	--------	--------

8. Directors' remuneration

The directors' aggregate remuneration in respect of qualifying services was:

	2026	2025
	£	£
Remuneration	55,353	60,910
	--------	--------

9. Other interest receivable and similar income

	2026	2025
	£	£
Interest on cash and cash equivalents	3,357	3,362
Other interest receivable and similar income	19	–
	-------	-------
	3,376	3,362
	-------	-------

10. Interest payable and similar expenses

	2026	2025
	£	£
Interest on banks loans and overdrafts	5,121	6,000
Other interest payable and similar charges	3,000	–
	-------	-------
	8,121	6,000
	-------	-------

11. Tax on profit

Major components of tax expense

	2026	2025
	£	£

Current tax:

UK current tax expense	53,148	55,872

Deferred tax:

Origination and reversal of timing differences	( 119)	202
	--------	--------
Tax on profit	53,029	56,074
	--------	--------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is higher than (2025: higher than) the standard rate of corporation tax in the UK of 24.75 % (2025: 24.83 %).

	2026	2025
	£	£
Profit on ordinary activities before taxation	213,983	224,188
	---------	---------
Profit on ordinary activities by rate of tax	52,968	55,666
Effect of expenses not deductible for tax purposes	189	119
Effect of capital allowances and depreciation	( 9)	289
Effect of different UK tax rates on some earnings	(119)	–
	---------	---------
Tax on profit	53,029	56,074
	---------	---------

12. Dividends

	2026	2025
	£	£
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year )	109,500	120,375
	---------	---------

13. Intangible assets

	Goodwill
	£
Cost
At 1 April 2025 and 31 March 2026	30,000
	--------
Amortisation
At 1 April 2025 and 31 March 2026	30,000
	--------
Carrying amount
At 31 March 2026	–
	--------
At 31 March 2025	–
	--------

Goodwill was written off in equal monthly instalments over its estimated useful economic life of 5 years.

14. Tangible assets

	Long leasehold property	Equipment	Total
	£	£	£
Cost
At 1 April 2025	152,035	9,642	161,677
Additions	–	1,418	1,418
	---------	--------	---------
At 31 March 2026	152,035	11,060	163,095
	---------	--------	---------
Depreciation
At 1 April 2025	3,694	6,870	10,564
Charge for the year	334	1,049	1,383
	---------	--------	---------
At 31 March 2026	4,028	7,919	11,947
	---------	--------	---------
Carrying amount
At 31 March 2026	148,007	3,141	151,148
	---------	--------	---------
At 31 March 2025	148,341	2,772	151,113
	---------	--------	---------

Included within the above is investment property as follows:

	£
	---------
At 1 April 2025 and 31 March 2026	148,001
	---------

The investment property has not been revalued at 31st March 2026.

15. Debtors

	2026	2025
	£	£
Trade debtors	2,450	2,600
Prepayments and accrued income	313,314	4,380
	---------	-------
	315,764	6,980
	---------	-------

16. Investments

	2026	2025
	£	£
Other investments	–	95,346
	----	--------

17. Creditors: amounts falling due within one year

	2026	2025
	£	£
Bank loans and overdrafts	5,320	4,277
Accruals and deferred income	10,913	6,400
Corporation tax	53,148	55,873
Social security and other taxes	1,406	1,690
Director loan accounts	100,000	100,000
	---------	---------
	170,787	168,240
	---------	---------

Included within creditors is an amount for a loan provided from a director, interest free, repayable other than by installments within 12 months.

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

	2026	2025
	£	£
Bank loans and overdrafts	50,282	56,123
Other creditors	260,000	–
	---------	--------
	310,282	56,123
	---------	--------

Within other creditors is a loan provided to the business for a fixed 5 year term, with interest payable at a rate of 4.62% per annum.

Included within creditors: amounts falling due after more than one year is an amount of £23,953 (2025: £40,647) in respect of liabilities payable or repayable by instalments which fall due for payment after more than five years from the reporting date.

The bank loan is secured on leasehold property bought in 2018 on a 125 year lease, the interest rate being 4.7% over base rate per annum, the average interest rate for the year being 9% (2025: 10%).

19. Provisions

	Deferred tax (note 20)
	£
At 1 April 2025	1,173
Charge against provision	( 119)
	-------
At 31 March 2026	1,054
	-------

20. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	2026	2025
	£	£
Included in provisions (note 19)	1,054	1,173
	-------	-------

The deferred tax account consists of the tax effect of timing differences in respect of:

	2026	2025
	£	£
Accelerated capital allowances	1,054	1,006
Fair value adjustment of financial assets	–	167
	-------	-------
	1,054	1,173
	-------	-------

21. Employee benefits

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 7,392 (2025: £ 5,974 ).

22. Called up share capital

Issued, called up and fully paid

	2026		2025
	No.	£	No.	£
Ordinary shares of £ 1 each	45,000	45,000	45,000	45,000
	--------	--------	--------	--------

23. Reserves

Profit and loss account - This reserve records retained earnings and accumulated losses.

24. Analysis of changes in net debt

	At 1 Apr 2025	Cash flows	At 31 Mar 2026
	£	£	£
Cash at bank and in hand	168,442	94,568	263,010
Debt due within one year	(104,277)	(1,043)	(105,320)
Debt due after one year	(56,123)	5,841	(50,282)
Current asset investments	95,346	(95,346)	–
	---------	--------	---------
	103,388	4,020	107,408
	---------	--------	---------

J H Lowson & Company Limited

Notes to the Financial Statements (continued)

Year ended 31 March 2026

25. Capital commitments

Capital expenditure contracted for but not provided for in the financial statements is as follows:

	2026	2025
	£	£
Tangible assets	309,011	–
	---------	----

26. Operating leases

The total future minimum lease payments under non-cancellable operating leases are as follows:

	2026	2025
	£	£
Not later than 1 year	–	12,280
	----	--------

27. Related party transactions

During the year the investment property was rented our to a related party at a peppercorn rate, a benefit in kind has been included within the financial statements. In 2025 a director advanced a loan of £100,000, interest free, repayable other than by instalments within one year. The balance outstanding at 31st March 2026 was £100,000 (2025: £100,000). During the year the company took out a loan with a related party totalling £260,000, this is a market rate loan with interest paid monthly and the lump sum due after five years.

28. Controlling party

The company is ultimately controlled by J H Lowson .