ACCOUNTS - Final Accounts preparation

Registered number: 08404684

GCP RHI BOILER 1 LIMITED

AUDITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED
31 MARCH 2025

GCP RHI BOILER 1 LIMITED

COMPANY INFORMATION

Directors	Mr N S Parker
	Mr P W Kent
	Ms A L Bath (resigned 31 December 2025)
	Ms C Marlow
	Ms L C Woodhead (appointed 31 December 2025)


Registered number	08404684


Registered office	24 Savile Row
	London
	United Kingdom
	W1S 2ES


Independent auditors	Wellden Turnbull Limited
	Chartered Accountants & Statutory Auditors
	Albany House
	Claremont Lane
	Esher
	Surrey
	KT10 9FQ

GCP RHI BOILER 1 LIMITED

CONTENTS

	Page
Balance Sheet	1
Notes to the Accounts	2 - 7

GCP RHI BOILER 1 LIMITED

REGISTERED NUMBER: 08404684

BALANCE SHEET

AS AT 31 MARCH 2025

		2025		2024
Note		£000		£000


Current assets
Debtors: amounts falling due within one year	6	-		1,236
Bank and cash balances	7	-		-
		-		1,236
Current liabilities
Creditors: amounts falling due within one year	8	(2,637)		(2,460)
Net current liabilities			(2,637)		(1,224)
Total assets less current liabilities			(2,637)		(1,224)

Net liabilities			(2,637)		(1,224)

Capital and reserves
Called up share capital	9	1	1
Profit and loss account	10	(2,638)	(1,225)
		(2,637)	(1,224)

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

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

The Company has opted not to file the statement of income and retained earnings in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

Ms C Marlow

Director

Date: 13 May 2026

The notes on pages 2 to 7 form part of these financial statements.

Page 1

GCP RHI BOILER 1 LIMITED

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2025

1.	General information

GCP RHI Boiler 1 Limited is a private company, limited by shares, incorporated in England and Wales, registered number 08404684. The registered office address is 24 Savile Row, London, W1S 2ES.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland' and the requirements of the Companies Act 2006. The disclosure requirements of Section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

These financial statements are presented in sterling which is the functional currency of the Company and rounded to the nearest £'000 unless otherwise stated.

The following principal accounting policies have been applied:

2.2

Compliance with accounting standards

The financial statements have been prepared using FRS102 The Financial Reporting Standard applicable in the UK and the Republic of Ireland, including the disclosure and presentation requirements of Section 1A, applicable to small companies. There were no material departures from that standard.

2.3

Going concern

The Company was loss making in the period and is in a net liability position at the year end date. The financial statements have been prepared on a going concern basis which means the Company can be expected to meet its liabilities as they fall due for a period of at least 12 months from the date of signing the financial statements. In assessing the appropriateness of the going concern basis of presentation the Directors have taken into account the key risks of the business, including the Company's business model and the availability of cash resources.

The Company's loan debtor is engaged in the generation of heat from domestic wood boilers. The borrower was deemed non-compliant by OFGEM, the energy regulator, in its administration of the Domestic Renewable Heat Incentive (DRHI) scheme, during which time RHI receipts have been suspended. As a result, the borrower has been unable to service the loan in line with the terms of the underlying facility agreement, and there is significant uncertainty over the future cashflows receivable from the borrower. As a result, the Directors have impaired in full the loan receivable balance. An impairment of £1,413,000 has been recorded. Refer to note 5.

Due to uncertainty over the level of cashflows receivable, the Company has not been able to service its borrowings. The Company has been in communication with its lender who has provided a letter of support confirming its intention to support the Company for at least 12 months from the date of signing the financial statements and not demand repayment of the loan to the detriment of the Company. On the basis of the above, the Directors are satisfied that the Company remains a going concern and the financial statements should be prepared on that basis.

Page 2

GCP RHI BOILER 1 LIMITED

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.4

Revenue

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.

Turnover comprises interest receivable from the provision of loan financing. Interest receivable is recognised using the effective interest method, which takes into account related fees and transaction costs.

2.5

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.

2.6

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 effective interest method, less any impairment.

2.7

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.

2.8

Interest payable

Interest payable is recognised using the effective interest method, which takes into account related fees and transaction costs. Interest payable is included within cost of sales as it is directly attributable to the interest receivable included in revenue.

2.9

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Balance Sheet when the Company becomes party to the contractual provisions of the instrument.

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the

Page 3

GCP RHI BOILER 1 LIMITED

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.9

Financial instruments (continued)

estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

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

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

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

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

Page 4

GCP RHI BOILER 1 LIMITED

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2025

3.	Judgements in applying accounting policies and key sources of estimation uncertainty

In preparing the financial statements, management is required to make judgements, estimates and assumptions which affect reported income, expenses, assets, liabilities and disclosure of contingent assets and liabilities. Use of available information and application of judgement are inherent in the formation of estimates, together with past experience and expectations of future events that are believed to be reasonable under the circumstances. Actual results in the future could differ from such estimates.

Management do not consider the Company to have any key sources of estimation uncertainty nor any significant judgements or assumptions in preparing these financial statements.

4.	Employees
	The Company has no employees other than the Directors, who did not receive any remuneration (2024 - £NIL).

5.	Exceptional items
		2025	2024
		£000	£000

Impairment of group loan

1,413

1,134

Due to the recoverability issues set out in note 2.3, there is significant uncertainty whether the borrower will generate any further cashflows to fund repayment of the loan. The loan receivable balance has therefore been impaired in full. An impairment has been recorded of £1,413,000 (2024 - £1,134,000).

Debtors

					2025	2024
					£000	£000


Loan with group undertaking	-	1,236

Loan with group undertakings comprise loan receivable balances accounted for at amortised cost.

Refer to note 5 on the impairment of the loan.

7.	Cash and cash equivalents

At the balance sheet date the carrying value of cash at bank and in hand was £41 (2024 - £371).

Page 5

GCP RHI BOILER 1 LIMITED

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2025

8.	Creditors: Amounts falling due within one year
		2025	2024
		£000	£000

External loan	2,547	2,371
Other creditors	81	82
Accruals and deferred income	9	7
	2,637	2,460

External loans comprise interest bearing loan notes which are accounted for at amortised cost.

The loan notes are secured by a debenture over all assets of the Company, present and future.

9.	Share capital
		2025	2024
		£000	£000

Allotted, called up and fully paid

1,000 (2024 - 1,000) Ordinary shares of £1.00 each	1	1

10.

Reserves

Profit and loss account

The profit and loss account represents cumulative profits and losses net of all adjustments.

11.	Related party transactions
	The Company is exempt under the terms of Financial Reporting Standard 102 (FRS 102) paragraph 33.1A, from disclosing related party transactions with other group companies, on the grounds that the Company is wholly owned within the Group.

12.	Controlling party

The Company's immediate and ultimate parent undertaking is GCP Intermediary Holdings Limited, a company incorporated in England and Wales.

The smallest and largest group of undertakings into which the results of the Company are consolidated is headed by GCP Intermediary Holdings Limited.

The registered office address of GCP Intermediary Holdings Limited is 24 Savile Row, London, W1S 2ES. The consolidated financial statements are available from the registered office address and Companies House.

Page 6

GCP RHI BOILER 1 LIMITED

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2025

13.	Auditors' information

The auditors' report on the financial statements for the year ended 31 March 2025 was qualified.

The qualification in the audit report was as follows:

Basis for qualified opinion

The Company's loan debtor is engaged in the generation of heat from domestic wood boilers. Due to the issues set out in note 2.3, the borrower has been unable to service its loan in line with the facility agreement and there is significant uncertainty over the future cashflows receivable from the borrower.

In the prior year, management were not able to provide forecasts to substantiate the recoverability of the loan balance at 31 March 2024. As a result, the audit evidence available to support the carrying value at 31 March 2024 of £1,236,000 was therefore limited.

In the current year, management have concluded that it is unlikely that any of the outstanding loan balance will be recovered and have impaired in full the carrying value at 31 March 2025 of £1,413,000.

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 United Kingdom, including the Financial Reporting Council'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 qualified opinion.

Material uncertainty related to going concern

We draw attention to note 2.3 in the financial statements which sets out the position of the Company with respect to going concern. The Company's loan debtor is in default and there is significant uncertainty as to the borrower's ability to generate further cashflows which in turn impacts the ability of the Company to service its borrowings. As stated in Note 2.3, these events or conditions, along with other matters as set forth in Note 2.3, indicate that a material uncertainty exists that may cast significant doubt on the company’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.

The audit report was signed on 13 May 2026 by Mark Nelligan FCA (Senior Statutory Auditor) on behalf of Wellden Turnbull Limited.

Page 7