Company registration number SC398240 (Scotland)
Melville Independent plc
Annual report and financial statements
for the year ended 31 December 2025
Melville Independent plc
Company information
Directors
Kristofor Banks
Matthew Irvine
Barry McKenzie
Secretary
Matthew Irvine
Company number
SC398240
Registered office
10 Melville Street
Edinburgh
EH3 7NS
Auditor
Henderson Loggie LLP
The Stamp Office
Level 5
10 - 14 Waterloo Place
Edinburgh
EH1 3EG
Melville Independent plc
Contents
Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 7
Statement of income and retained earnings
8
Balance sheet
9
Statement of cash flows
10
Notes to the financial statements
11 - 26
Melville Independent Plc
Melville Independent plc
Strategic Report
for the year ended 31 December 2025
- 1 -

The directors present the strategic report and financial statements for the year ended 31 December 2025.

Review of the business

Melville Independent plc (“the Company”) is a well-established, professionally managed independent financial advisor, based in Edinburgh with clients throughout the United Kingdom. The Company’s service to clients includes personal financial planning, investment, pensions and employee benefits to both personal and corporate clients.

The Company was established in 2011 with a number of key individuals having operated within the industry since the early 1990’s. The Company has developed a client base from longstanding and trusted relationships with existing clients and professional introducers, including solicitors, accountants and private equity houses. The nature of the advice and relationships Melville Independent plc builds with its clients has led to the development of three key successful Divisions:

Wealth Management Division

Corporate Solutions Division

Mortgage Division

Melville Independent plc is an appointed representative of JKFS (UK) Limited, who are authorised and regulated by the Financial Conduct Authority.

Principal risks and uncertainties

The management of Melville Independent plc and the execution of the Company's strategy are subject to a number of risks.

The key business risks and uncertainties affecting the Company are considered to relate to regulatory changes, industry factors outwith Melville Independent's control and the retention of staff. The Company applies a risk management strategy to ensure they are continually aware of any material impact these factors might have on the successful operation of the firm.

Development and performance

Company turnover for the year was £3.4m, up from £3.1m. Ongoing income increased from £2.17m to £2.4m as the company continues to increase its funds under management and develops relationships with its ongoing clients. This provides a strong foundation for the company to operate going forward as it aims to achieve sustainable growth.

At the end of the reporting period the Company operated with 15 registered individuals who have a wide range of qualifications all from level 4 upwards. This increase in individuals from the previous year came from internal development and will build on strong client retention from a focus on high quality advice and client relationship management.

The company retains a high level of capital and reserves which enable it to manage periodic fluctuations in business activity, additional costs or react to opportunities for growth through expansion should the situation arise.

The results for the year and financial position at the year end were considered satisfactory by the directors who expect growth in future periods.

Melville Independent Plc
Melville Independent plc
Strategic Report (continued)
for the year ended 31 December 2025
- 2 -
Key performance indicators

Given the nature of the IFA business, Melville Independent's directors are of the opinion that analysis using key performance indicators is not necessary for an understanding of the development, performance and position of the firm.

On behalf of the board

Matthew Irvine
Director
29 May 2026
Melville Independent plc
Directors' report
for the year ended 31 December 2025
- 3 -

The directors present their annual report and financial statements for the year ended 31 December 2025.

Principal activities

The principal activity of the company continued to be that of independent financial advisors.

Results and dividends

The results for the year are set out on page 8.

Ordinary dividends were paid amounting to £383,505. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Kristofor Banks
Matthew Irvine
Barry McKenzie
Auditor

The auditor, Henderson Loggie LLP, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

Energy and carbon report

As the company has not consumed more than 40,000 kWh of energy in this reporting period, it qualifies as a low energy user under these regulations and is not required to report on its emissions, energy consumption or energy efficiency activities.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

On behalf of the board
Matthew Irvine
Director
29 May 2026
Melville Independent plc
Directors' responsibilities statement
for the year ended 31 December 2025
- 4 -

The directors are responsible for preparing the annual 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 of the profit or loss of the company for that period.

In preparing these financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;

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

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

- 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.

Melville Independent plc
Independent auditor's report
to the members of Melville Independent plc
- 5 -
Opinion

We have audited the financial statements of Melville Independent plc (the 'C ompany') for the year ended 31 December 2025 which comprise the statement of income and retained earnings, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

- give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its 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 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 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.

Melville Independent plc
Independent auditor's report
to the members of Melville Independent plc (continued)
- 6 -

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

- the information given in the strategic report and the directors' r eport 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 identifie d material misstatements in the strategic report or the directors' r eport.

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' r esponsibilities s tatement, 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.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

As part of our planning process:

- We enquired of management the systems and controls the company has in place, the areas of the financial statements that are mostly susceptible to the risk of irregularities and fraud, and whether there was any known, suspected or alleged fraud. Management informed us that there were no instances of known, suspected or alleged fraud;

- We identified the following areas as those most likely to have a material impact on the financial statements: FCA regulations; employment law (including the Working Time Directive); anti-bribery and corruption; GDPR; and compliance with the Companies Act 2006;

- We considered the incentives and opportunities that exist in the company, including the extent of management bias, which present a potential for irregularities and fraud to be perpetrated, and tailored our risk assessment accordingly; and

- Using our knowledge of the company, together with the discussions held with management at the planning stage, we formed a conclusion on the risk of misstatement due to irregularities including fraud and tailored our procedures according to this risk assessment.

Melville Independent plc
Independent auditor's report
to the members of Melville Independent plc (continued)
- 7 -

The key procedures we undertook to detect irregularities including fraud during the course of the audit included:

- Enquiring with management about any known or suspected instances of non-compliance with laws and regulations, including FCA regulations, employment law (including the Working Time Directive); anti-bribery and corruption; GDPR, the Companies Act 2006; and fraud;

- Review of legal fee expenditure and board minutes;

- Challenging assumptions and judgements made by management in their significant accounting estimates, in particular in relation to valuation of tangible fixed assets, valuation of lease liabilities and right-of-use assets, and accruals and provisions; and

- Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness.

Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). For instance, the further removed non-compliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it or to recognise the non-compliance.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

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.

Diana Penny (Senior Statutory Auditor)
For and on behalf of Henderson Loggie LLP, Statutory Auditor
Chartered Accountants
The Stamp Office
Level 5
10 - 14 Waterloo Place
Edinburgh
EH1 3EG
29 May 2026
Melville Independent Plc
Melville Independent plc
Statement of income and retained earnings
for the year ended 31 December 2025
- 8 -
2025
2024
Notes
£
£
Turnover
4
3,431,297
3,114,728
Cost of sales
(864,707)
(687,066)
Gross profit
2,566,590
2,427,662
Administrative expenses
(2,274,990)
(2,295,314)
Other operating income
30,418
30,071
Operating profit
5
322,018
162,419
Interest receivable and similar income
9
8,242
13,842
Interest payable and similar expenses
10
(7,870)
-
0
Fair value gains and losses on investments
-
39
Profit before taxation
322,390
176,300
Tax on profit
11
(57,802)
(30,312)
Profit for the financial year
264,588
145,988
Retained earnings brought forward
188,644
417,369
Dividends
12
(383,505)
(374,713)
Retained earnings carried forward
69,727
188,644

The profit and loss account has been prepared on the basis that all operations are continuing operations.

Melville Independent plc
Balance sheet
as at 31 December 2025
- 9 -
2025
2024
Notes
£
£
£
£
Fixed assets
Tangible assets
13
401,403
67,321
Current assets
Debtors
14
194,265
163,967
Cash at bank and in hand
380,526
691,313
574,791
855,280
Creditors: amounts falling due within one year
15
(436,915)
(536,333)
Net current assets
137,876
318,947
Total assets less current liabilities
539,279
386,268
Creditors: amounts falling due after more than one year
16
(309,552)
(47,624)
Provisions for liabilities
Provisions
18
(110,000)
(100,000)
(110,000)
(100,000)
Net assets
119,727
238,644
Capital and reserves
Called up share capital
20
50,000
50,000
Profit and loss reserves
69,727
188,644
Total equity
119,727
238,644
The financial statements were approved by the board of directors and authorised for issue on 29 May 2026 and are signed on its behalf by:
Matthew Irvine
Director
Company registration number SC398240 (Scotland)
Melville Independent plc
Statement of cash flows
for the year ended 31 December 2025
- 10 -
2025
2024
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
23
210,143
521,551
Interest paid
(7,870)
-
0
Income taxes paid
(34,170)
(48,873)
Net cash inflow from operating activities
168,103
472,678
Investing activities
Purchase of tangible fixed assets
51,647
(1,222)
Proceeds from disposal of tangible fixed assets
(31,123)
200
Proceeds from disposal of investments
-
0
145
Interest received
8,242
13,842
Net cash generated from investing activities
28,766
12,965
Financing activities
Payment of lease liabilities
(124,151)
(11,779)
Dividends paid
(383,505)
(374,713)
Net cash used in financing activities
(507,656)
(386,492)
Net (decrease)/increase in cash and cash equivalents
(310,787)
99,151
Cash and cash equivalents at beginning of year
691,313
592,162
Cash and cash equivalents at end of year
380,526
691,313
Melville Independent plc
Notes to the financial statements
for the year ended 31 December 2025
- 11 -
1
Accounting policies
Company information

Melville Independent plc is a public company limited by shares incorporated in Scotland. The registered office is 10 Melville Street, Edinburgh, EH3 7NS.

1.1
Basis of preparation

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include fair value movements on investments through profit and loss. The principal accounting policies adopted are set out below.

1.2
Going concern

The company's directors have considered the business plan and projections of the company for a period of at least 12 months from the date of signing, including levels of ongoing income which provide substantial value in the business, and believe that the going concern basis is appropriate in the preparation of the financial statements. true

1.3
Revenue

Fee income represents revenue earned under a wide variety of contracts to provide professional services. Revenue is recognised as earned when, and to the extent that, the firm obtains the right to consideration in exchange for its performance under these contracts. It is measured at the fair value of the right to consideration, which represents amounts chargeable to clients, including expenses and disbursements but excluding value added tax.

Revenue is generally recognised as contract activity progresses so that for incomplete contracts it reflects the partial performance of the contractual obligations. For such contracts, the amount of revenue reflects the accrual of the right to consideration by reference to the value of work performed.

1.4
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Right-of-use assets
Over the remaining lease term, on a straight‑line basis
Plant and machinery
25% on a straight‑line basis
Fixtures, fittings & equipment
25% on a straight‑line basis
Motor vehicles
25% on a straight‑line basis

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.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
1
Accounting policies (continued)
- 12 -
1.5
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.6
Cash and cash equivalents

Cash at bank and in hand are basic financial assets and include cash in hand, and deposits held at call with banks.

1.7
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ 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.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention 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 including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
1
Accounting policies (continued)
- 13 -
Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

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.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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 paymen ts 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. A m ounts 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.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
1
Accounting policies (continued)
- 14 -
1.8
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.9
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and 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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.10
Provisions

Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision i s measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

1.11
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
1
Accounting policies (continued)
- 15 -
1.12
Retirement benefits
The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are charged to the profit and loss account in the year they are payable.
1.13
Leases
As lessee

The company has adopted the amendments to FRS102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’, specifically Section 20 Leases (as amended in 2024) for the financial year beginning on 31 December 2025.

The amendments have been applied using the modified retrospective approach (cumulative catch-up approach). Consequently, comparatives information for the prior year has not been restated. The cumulative effect of applying the amendments has been recognised as an adjustment to the opening balance retained earnings as per note 2.

Under the amended standard, the company recognises Right-of-Use (ROU) assets and lease liabilities for leases previously classified as operating leases. Lease liabilities are measured at the present value of remaining lease payments, discounted using the company incremental borrowing rate at the date of initial application. ROU assets are recognised at an amount equal to the lease liability, adjusted by prepaid or accrued lease payments.

Impact of adoption

The adoption of these amendments has resulted in a significant increase in non-current assets and financial liabilities on the balance sheet. In the profit and loss account, the straight-line operating lease expense is replaced by depreciation on the ROU asset and interest expense on the lease liability. This change increases operating profit but increase total expenses in the earlier years of the lease terms due to the front-loading of interest.

At inception, the company assesses whether a contract is, or contains, a lease. A lease arises where the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Control of the use of an asset occurs where the company has both the right to direct the use of the asset, and the right to obtain substantially all the economic benefits from that use.

Where a tangible asset is acquired through a lease, the company recognises a right-of-use asset and a lease liability at the lease commencement date. Right-of-use assets are included within the same line items on the Balance sheet as owned assets.

The right-of-use asset is initially measured at cost, which comprises the initial measurement of the lease liability adjusted for lease payments made at or before the commencement date less any lease incentives or grants received, plus initial direct costs and an estimate of the cost of obligations to dismantle, remove or restore the underlying asset and the site on which it is located.

The right-of-use asset is subsequently adjusted for remeasurements of the lease liability and applies the relevant cost model, fair value model or revaluation model as set out within the accounting policies for the applicable asset class. Where the cost model is applied, the asset is depreciated from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term, and is periodically reduced by impairment losses, if any.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
1
Accounting policies (continued)
- 16 -

The lease liability is initially measured at the present value of the lease payments that are unpaid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the company's incremental borrowing rate or the company’s obtainable borrowing rate. Lease payments included in the measurement of the lease liability comprise fixed payments less any lease incentives receivable, variable lease payments that depend on an index or a rate, amounts expected to be payable under residual value guarantees, the exercise price of any purchase options that the company is reasonably certain to exercise, and any penalties for early termination of a lease.

At each financial period end, the lease liability is adjusted to reflect payments made and interest accrued. Also, the lease liability is remeasured to reflect lease modifications and any changes to the factors considered at initial measurement, as set out above. When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or recognised in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.

The company has elected not to recognise right-of-use assets and lease liabilities for short-term leases of machinery that have a lease term of 12 months or less, or for leases of low-value assets including IT equipment. The payments associated with these leases are recognised in profit or loss on a straight-line basis over the lease term.

In the comparative period, the company classified leases as finance leases whenever the terms of the lease transferred substantially all the risks and rewards of ownership to the lessees. All other leases were classified as operating leases. Assets held under finance leases were recognised as assets at the lower of the assets' fair value at the date of inception and the present value of the minimum lease payments. The related liability was included in the balance sheet as a finance lease obligation. Lease payments were treated as consisting of capital and interest elements and the interest was charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability. Rentals payable under operating leases, less any lease incentives received, were charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis was more representative of the time pattern in which economic benefits from the leased asset were consumed.

As lessor

When the company acts as a lessor, a lease is classified as a finance lease whenever it transfers substantially all the risks and rewards of ownership of the underlying asset to the lessee, either at the end of the lease term or for the major part of the economic life of the asset. All other leases are classified as operating leases. If an arrangement contains both lease and non-lease components, the company allocates the consideration in the contract to the two elements.

Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
- 17 -
2
Change in accounting policy

In the current year, the FRS 102 Periodic Review 2024 was applied by the company for the first time and affects the financial statements as follows.

Leases

The company has applied the FRS 102 Periodic Review 2024 amendments to Section 20 Leases as an adjustment to the opening balance of retained earnings at the date of initial application. Comparative information is not restated.

The company’s revised accounting policies for leases are set out in note 1 and the adjustment for each financial statement line item affected by the application of the Periodic Review 2024 in the current period is set out below.

Current year adjustments as a result of applying the Periodic Review 2024
2025
Cumulative effect on the opening balance of retained earnings
£
Increase/(decrease) in retained earnings:
- Effect of amendments to FRS 102 Section 20 - Leasing
-
- Effect of amendments to FRS 102 Section 23 - Revenue
-
Total adjustment
-
2025
Effect on current year profit or loss
£
Arising from amendments to FRS 102 Section 20 - Leasing:
- Decrease in profit or loss
(3,195)
Arising from amendments to FRS 102 Section 23 - Revenue:
- Increase in total revenue
-
- Increase in profit or loss
-
Total effect on profit or loss
(3,195)
3
Judgements and key sources of estimation uncertainty

In the application of the director's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
3
Judgements and key sources of estimation uncertainty (continued)
- 18 -
Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Accruals

The director s estimate requirements for accruals using post year end information. This identifies costs that are expected to be incurred. Accruals are only released when there is a reasonable expectation that these costs will not be invoiced in the future.

Valuation of fixed assets

The directors exercise judgement in determining the useful economic lives and residual values of all tangible and right-of-use assets. For right-of-use office assets, the depreciation period is determined by the lease term, which includes periods covered by extension or termination options where the directors are reasonably certain such options will be exercised. Any improvements associated with the ROU asset are depreciated over their useful economic life. For other fixed assets, including IT equipment and office improvements, lives are estimated based on industry standards and the expected period over which the company will derive economic benefit.

Valuation of lease liabilities and right-of-use assets

In determining the lease term, the directors consider all facts and circumstances that create an economic incentive to exercise an extension option, or not exercise a termination option. Extension options are only included in the lease term if the lease is reasonably certain to be extended. The directors reassess the lease term if a significant event or a significant change in circumstances occurs which affects this assessment and that is within the control of the company.

Where the company cannot readily determine the interest rate implicit in a lease, the directors use the incremental borrowing rate (IBR) to measure lease liabilities. This is the rate of interest that the company would have to pay to borrow over a similar term, and with a similar security, the funds necessary to obtain an asset of a similar value to the right-of-use asset in a similar economic environment.

Dilapidations provisions

The directors are required to consider that estimating dilapidation costs involves inherent uncertainties regarding both the timing and amount of such costs. This process relies on key assumptions, including factors such as wear and tear, inflation rates, and applicable regulations, as well as subjective professional judgement that accounts for variables like lease terms and the condition of the property. Directors must ensure that these costs be recognised as estimates when it is probable that obligations exist, an outflow of resources is expected, and the amounts can be reliably measured.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
- 19 -
4
Turnover and other revenue
2025
2024
£
£
Turnover analysed by class of business
Independent Financial Advice
3,431,297
3,114,728
2025
2024
£
£
Other revenue
Interest income
8,242
13,842

The total turnover for the year has been derived from its principal activity wholly undertaken in the United Kingdom.

5
Operating profit
2025
2024
Operating profit for the year is stated after charging:
£
£
Depreciation of tangible fixed assets
5,546
8,498
Depreciation of right-of-use assets
98,442
11,779
6
Auditor's remuneration
2025
2024
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
13,600
12,950
7
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2025
2024
Number
Number
21
23
Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
7
Employees (continued)
- 20 -

Their aggregate remuneration comprised:

2025
2024
£
£
Wages and salaries
1,053,250
1,118,467
Social security costs
128,301
121,788
Pension costs
129,875
112,794
1,311,426
1,353,049
8
Directors' remuneration
2025
2024
£
£
Remuneration for qualifying services
220,449
232,461
Company pension contributions to defined contribution schemes
22,526
21,565
242,975
254,026

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 3 (2024 - 3).

Remuneration disclosed above include the following amounts paid to the highest paid director:
2025
2024
£
£
Remuneration for qualifying services
80,000
78,088
Company pension contributions to defined contribution schemes
8,761
8,401

The directors are considered the key management of the company.

9
Interest receivable and similar income
2025
2024
£
£
Interest income
Other interest income
8,242
13,842
10
Interest payable and similar expenses
2025
2024
£
£
Other finance costs
Interest on lease liabilities
7,870
-
Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
- 21 -
11
Taxation
2025
2024
£
£
Current tax
UK corporation tax on profits for the current period
56,955
10,882
Adjustments in respect of prior periods
(35)
-
0
Total current tax
56,920
10,882
Deferred tax
Origination and reversal of timing differences
882
19,430
Total tax charge
57,802
30,312

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2025
2024
£
£
Profit before taxation
322,390
176,300
Expected tax charge based on the standard rate of corporation tax in the UK of 25% (2024: 25%)
80,598
44,075
Tax effect of expenses that are not deductible in determining taxable profit
12,774
13,404
Change in unrecognised deferred tax assets
(9)
-
0
Adjustments in respect of prior years
-
0
15,532
Group relief
(35,526)
(24,912)
Deferred tax adjustments in respect of prior years
(35)
(17,796)
Movement in deferred tax not recognised
-
0
9
Taxation charge for the year
57,802
30,312
12
Dividends
2025
2024
£
£
Final paid
383,505
374,713
Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
- 22 -
13
Tangible fixed assets
Right-of-use assets
Plant and machinery
Fixtures, fittings & equipment
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 January 2025
-
0
55,243
47,055
76,090
178,388
Adjustments on application of Periodic Review 2024
60,098
-
0
-
0
-
0
60,098
Additions
398,496
8,451
-
0
-
0
406,947
Disposals
(60,098)
(10,200)
-
0
(28,975)
(99,273)
At 31 December 2025
398,496
53,494
47,055
47,115
546,160
Depreciation and impairment
At 1 January 2025
-
0
49,001
45,379
16,687
111,067
Depreciation charged in the year
86,664
4,448
1,098
11,778
103,988
Eliminated in respect of disposals
(60,098)
(10,200)
-
0
-
0
(70,298)
At 31 December 2025
26,566
43,249
46,477
28,465
144,757
Carrying amount
At 31 December 2025
371,930
10,245
578
18,650
401,403
At 31 December 2024
-
0
6,242
1,676
59,403
67,321
Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
13
Tangible fixed assets (continued)
- 23 -

Tangible fixed assets includes right-of-use assets, as follows:

Right-of-use assets
Right-of-use assets
Motor vehicles
Total
£
£
£
Net carrying value at 1 January 2025
Cost
-
76,090
76,090
Accumulated depreciation and impairment
-
(16,687)
(16,687)
Previously shown as held under finance leases
-
59,403
59,403
Movements in the year
Adjustments on application of Periodic Review 2024
60,098
-
60,098
Additions
398,496
-
398,496
Disposals
(60,098)
(28,975)
(89,073)
Depreciation charge
(86,664)
(11,778)
(98,442)
Depreciation eliminated on disposal
60,098
-
60,098
Net carrying value at 31 December 2025
Cost
398,496
47,115
445,611
Accumulated depreciation and impairment
(26,566)
(28,465)
(55,031)
Net carrying value
371,930
18,650
390,580
14
Debtors
2025
2024
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
28,230
28,230
Other debtors
123,768
92,145
Prepayments and accrued income
42,267
43,592
194,265
163,967
Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
- 24 -
15
Creditors: amounts falling due within one year
2025
2024
Notes
£
£
Lease liabilities
17
84,294
11,779
Trade creditors
15,535
20,135
Corporation tax
57,802
34,170
Other taxation and social security
32,790
35,000
Other creditors
7,589
7,275
Accruals and deferred income
238,905
427,974
436,915
536,333
16
Creditors: amounts falling due after more than one year
2025
2024
Notes
£
£
Lease liabilities
17
309,552
47,624
17
Lease liabilities
2025
2024
Amounts due:
£
£
Within one year
84,294
11,779
After more than one year
309,552
47,624
393,846
59,403

Lease liabilities comprise amounts due under both finance leases and leases previously classified as operating leases, including rented leasehold property and motor vehicles. The property lease has a term of 5 years, expiring in August 2030, while motor vehicle leases typically have an average term of 4 years.

All leases are on a fixed repayment basis with no contingent rental payments. Lease liabilities are measured at the present value of outstanding lease payments, discounted using an incremental borrowing rate derived from indicative market rates.

18
Provisions for liabilities
2025
2024
£
£
Dilapidations
110,000
100,000
Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
18
Provisions for liabilities (continued)
- 25 -
Movements on provisions:
Dilapidations
£
At 1 January 2025
100,000
Additional provisions in the year
10,000
At 31 December 2025
110,000

The dilapidations provision relates to the expected costs of restoring the leased office building to its original condition, as required under the terms of the lease agreement. This provision has been estimated based on the terms of the lease and management's best estimate of the costs expected to be incurred at the end of the lease term.

19
Retirement benefit schemes
2025
2024
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
129,875
112,794

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

20
Share capital
2025
2024
2025
2024
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
50,000
50,000
50,000
50,000

The company has three classes of shares: A Ordinary, Ordinary, and B Ordinary all with a nominal value of £1.

21
Related party transactions

During the year the company paid dividends of £368,505 (2024: £357,213) to MIPLC Holdings Limited. At the year end there was £28,230 of unpaid share capital due from MIPLC Holdings included within debtors (2024: £28,230).

22
Ultimate controlling party

The ultimate controlling party was MIPLC Holdings Limited which is the largest and smallest entity which group financial statements are prepared and which are publicly available.

Melville Independent plc
Notes to the financial statements (continued)
for the year ended 31 December 2025
- 26 -
23
Cash generated from operations
2025
2024
£
£
Profit after taxation
264,588
145,988
Adjustments for:
Taxation charged
57,802
30,312
Finance costs
7,870
-
0
Investment income
(8,242)
(13,842)
Depreciation and impairment of tangible fixed assets
103,988
20,277
Gain on sale of investments
-
(39)
Increase in provisions
10,000
100,000
Movements in working capital:
(Increase)/decrease in debtors
(30,298)
12,489
(Decrease)/increase in creditors
(195,565)
226,366
Cash generated from operations
210,143
521,551
24
Analysis of changes in net funds/(debt)
1 January 2025
Cash flows
New leases
31 December 2025
£
£
£
£
Cash at bank and in hand
691,313
(310,787)
-
380,526
Lease liabilities
(59,403)
124,151
(458,594)
(393,846)
631,910
(186,636)
(458,594)
(13,320)
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