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Registered number: 12491136 OCTANE PROPERTY FINANCE 4 LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
OCTANE PROPERTY FINANCE 4 LIMITED COMPANY INFORMATION
Directors | N Bhandari (resigned 20 March 2026)
| Y Leysen (resigned 20 March 2026)
| R J Maddows
| T J Zollinger-Read (appointed 20 March 2026)
Registered number | 12491136
Registered office | 20 Grafton Street
| London
| England
| W1S 4DZ
Independent auditors | Nyman Libson Paul LLP
| Chartered Accountants & Statutory Auditors
| 124 Finchley Road
| London
| NW3 5JS
OCTANE PROPERTY FINANCE 4 LIMITED CONTENTS
| Page
Strategic report | 1 - 2
Directors' report | 3 - 4
Independent auditors' report | 5 - 8
Statement of income and retained earnings | 9
Statement of financial position | 10
Notes to the financial statements | 11 - 18
OCTANE PROPERTY FINANCE 4 LIMITED STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2025 The Directors present their annual report on the affairs of the Company together with the financial statements and auditor's report for the year ended 31 December 2025. This strategic report has been prepared for Octane Property Finance 4 Limited (the "Company") and gives greater emphasis to those matters which are significant to the Company.
Introduction
Octane Capital Limited is the parent company of the Octane Group, which at the balance sheet date consists of Octane Capital Limited and three wholly owned subsidiaries.
Business review
The Company's principal activity is the origination and administration of medium to long-term buy-to-let finance loans in the property sector. The Company looks to differentiate itself from competitors within the market with a product less approach, pricing loans based on the risk of each individual deal and set of circumstances.
Principal risks and uncertainties
The Company's financial risk management seeks to minimise the exposure to price risk, credit risk, and liquidity and cash flow risk.
Price Risk
The main risk the Company faces is that the property market could fall significantly, which could result in difficulty with recouping the full exposure of loans. The key mitigant to this risk is that the average loan to value of loans advanced are maintained at a conservative level to allow for a reasonable buffer should property prices fall. This risk is further mitigated by the fact that the loans are closely monitored throughout the term of the loan.
Credit Risk
Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The elevated interest rate environment creates risk to the Company through increased borrowing costs and servicing risk from customers being able to meet their loan repayments within scheduled timeframes. As a product less lender who prices loans based on risk, the Company will continue to assess pricing and loan to values on a case-by-case basis. Customer credit risk is analysed on a case-by-case basis during the underwriting process, and is continually monitored by an experienced credit risk team.
Liquidity and Cashflow Risk
Liquidity and Cashflow risk are managed by ensuring sufficient cash is avalable to fund the Company's ongoing and future operations. The Company has aligned its financial liabilities with its financial assets so as to mitigate the impact to cashflow arising from fluctuations in interest rates. Liquidity risk is the risk that a party will encounter difficulty in meeting obligations associated with financial liabilities. The Company manages this risk through ongoing cashflow forecasting together with ensuring it has sufficient credit facilities in place to ensure it meets its obligations as they fall due.
Financial key performance indicators
The key performance indicator for the Company is turnover. Turnover for the year was £14,669,677 (2024: £16,723,895). Page 1
OCTANE PROPERTY FINANCE 4 LIMITED STRATEGIC REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025
Other key performance indicators
Other key performance indicators are brokers and introducers transacted with, and conversion ratios of loan enquiry through to completion. The number of introducers engaged and the conversion ratios were deemed by Directors to be acceptable. This report was approved by the board on 3 June 2026 and signed on its behalf.
R J Maddows Director
Page 2
OCTANE PROPERTY FINANCE 4 LIMITED DIRECTORS' REPORT FOR THE YEAR ENDED 31 DECEMBER 2025 The Directors present their report and the financial statements for the year ended 31 December 2025.
Directors
The Directors who served during the year were:
N Bhandari (resigned 20 March 2026)
Y Leysen (resigned 20 March 2026)
R J Maddows
Directors' responsibilities statement
The Directors are responsible for preparing the Strategic report, the 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently; ∙make judgments 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; ∙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 to 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.
Results and dividends
The profit for the year, after taxation, amounted to £943,480 (2024 - £1,493,155). Dividends amounting to £Nil (2024: £Nil) were paid during the year.
Future developments
The Company entered in an agreement for the sale of its trade and certain assets since the balance sheet date. As a result, the Company has ceased originating new business and is managing its remaining assets and settling its liabilities. Page 3
OCTANE PROPERTY FINANCE 4 LIMITED DIRECTORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025
Disclosure of information to auditors
Each of the persons who are Directors at the time when this Directors' report is approved has confirmed that: ∙so far as the Director is aware, there is no relevant audit information of which the Company's auditors are unaware, and ∙the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.
Post balance sheet events
The Company sold its trade and certain assets in March 2026, and as a result has ceased originating new business.
Auditors
The auditors, Nyman Libson Paul LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006. This report was approved by the board on 3 June 2026 and signed on its behalf.
R J Maddows Director
Page 4
OCTANE PROPERTY FINANCE 4 LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF OCTANE PROPERTY FINANCE 4 LIMITED
Opinion
We have audited the financial statements of Octane Property Finance 4 Limited (the 'Company') for the year ended 31 December 2025, which comprise the Statement of income and retained earnings, the Statement of financial position 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 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 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 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. Page 5
OCTANE PROPERTY FINANCE 4 LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF OCTANE PROPERTY FINANCE 4 LIMITED (CONTINUED)
Other information
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.
Opinion 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 set out on page 3, 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. Page 6
OCTANE PROPERTY FINANCE 4 LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF OCTANE PROPERTY FINANCE 4 LIMITED (CONTINUED)
Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' 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: We gained an understanding of the legal and regulatory framework applicable to the Company and the industry in which it operates, and considered the risk of acts by the Company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of notinclusing fraud detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional mis-srepresentations, or through collusion. We focused on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation, enquiries with management and enquiries of legal counsel. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the Directors that represented a risk of material misstatement due to fraud. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report. Page 7
OCTANE PROPERTY FINANCE 4 LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF OCTANE PROPERTY FINANCE 4 LIMITED (CONTINUED)
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 Auditors' 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. Ankit Shah (Senior statutory auditor) for and on behalf of Nyman Libson Paul LLP Chartered Accountants Statutory Auditors 124 Finchley Road London NW3 5JS 5 June 2026 Page 8
OCTANE PROPERTY FINANCE 4 LIMITED STATEMENT OF INCOME AND RETAINED EARNINGS FOR THE YEAR ENDED 31 DECEMBER 2025
| 2025 | 2024
Note | £ | £
Turnover | 4 | 14,669,677 | 16,723,895
Cost of sales |  | (8,431,375) | (9,179,675)
Gross profit |  | 6,238,302 | 7,544,220
Administrative expenses |  | (5,085,398) | (6,086,467)
Operating profit |  | 1,152,904 | 1,457,753
Interest receivable and similar income | 7 | 105,070 | 58,326
Profit before tax |  | 1,257,974 | 1,516,079
Tax on profit | 8 | (314,494) | (22,924)
Profit after tax |  | 943,480 | 1,493,155
Retained earnings at the beginning of the year |  | 3,194,299 | 1,701,144
Profit for the year |  | 943,480 | 1,493,155
Retained earnings at the end of the year |  | 4,137,779 | 3,194,299
There were no recognised gains and losses for 2025 or 2024 other than those included in the statement of income and retained earnings.
The notes on pages 11 to 18 form part of these financial statements.
Page 9
OCTANE PROPERTY FINANCE 4 LIMITED REGISTERED NUMBER: 12491136 STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2025
|  | 2025 |  | 2024
Note |  | £ |  | £
Current assets |  |  |  |  |
Debtors | 9 | 219,884,288 |  | 277,702,889 |
Cash at bank and in hand | 10 | 4,911,582 |  | 2,502,855 |
|  | 224,795,870 |  | 280,205,744 |
Creditors: amounts falling due within one year | 11 | (167,673,654) |  | (70,226,188) |
Net current assets |  |  | 57,122,216 |  | 209,979,556
Total assets less current liabilities |  |  | 57,122,216 |  | 209,979,556
Creditors: amounts falling due after more than one year | 12 |  | (52,984,436) |  | (206,785,256)
Net assets |  |  | 4,137,780 |  | 3,194,300
Capital and reserves |  |  |  |  |
Called up share capital | 13 |  | 1 |  | 1
Profit and loss account | 14 |  | 4,137,779 |  | 3,194,299
|  |  | 4,137,780 |  | 3,194,300
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 3 June 2026.
R J Maddows
Director
The notes on pages 11 to 18 form part of these financial statements. Page 10
OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
1. | General information
Octane Property Finance 4 Limited is a private Company limited by shares and incorporated in England. Its registered office is 20 Grafton Street, London, England, W1S 4DZ. The Company's principal activity is to offer medium to long-term buy-to-let loan finance to customers purchasing residential or commercial property. 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 Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006. The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3). The Company's functional and presentational currency is GBP, rounded to the nearest £1. The following principal accounting policies have been applied:
| 2.2 | Financial Reporting Standard 102 - reduced disclosure exemptions
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": ∙the requirements of Section 7 Statement of Cash Flows; ∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d); ∙the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c); ∙the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A; ∙the requirements of Section 33 Related Party Disclosures paragraph 33.7. This information is included in the consolidated financial statements of Octane Capital Limited as at 31 December 2025 and these financial statements may be obtained from https://beta.companieshouse .gov.uk/. Page 11
OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2. Accounting policies (continued)
| 2.3 | Going concern
Following the year end, the Company entered into an agreement for the sale of its trade and certain assets, as described in Note 17. As a result, the Company has ceased originating new business and is managing its remaining assets and settling its liabilities. The Company expects to meet its liabilities as they fall due through a combination of proceeds from the transaction, existing cash resources and continued financial support from its parent undertaking. The Directors have prepared cash flow forecasts covering a period of at least twelve months from the date of approval of these financial statements. Based on these forecasts, and taking into account the factors described above, the Directors have a reasonable expectation that the Company has adequate resources to continue to meet its obligations as they fall due. Accordingly, the financial statements have been prepared on a going concern basis.
| 2.4 | Revenue recognition
Revenue consists of interest on loans issued and other set-up fees. 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. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts and rebates, using the effective interest method which allocates interest and direct and incremental fees over the expected useful lives of the loans.
| 2.5 | Borrowing costs
All borrowing costs are recognised in profit or loss in the period in which they are incurred. Costs are charged over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount.
| 2.6 | Interest income
Interest income is recognised in profit or loss using the effective interest method.
| 2.7 | Taxation
Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively. The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.
| 2.8 | 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. Page 12
OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2. Accounting policies (continued)
| 2.9 | Cash and cash equivalents
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.
| 2.10 | 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.
| 2.11 | Financial instruments
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties and loans to or from related parties. Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. 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 13
OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
3. | Judgments in applying accounting policies 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 for assets and liabilities as at the reporting date and the amount reported for revenue and expenditure during the period. However, the nature of estimations means that actual outcomes could differ from those estimates. The following are the Company's key sources of estimation uncertainty. Impairment of debtors Trade debtors are recorded in the accounts at cost. Some debtors may not pay part or all of the balance due, and thus, the debtor balance in the financial statements will need to be amortised to reflect the lower of cost and market value. The Company records a provision for bad debts to estimate the total impact of non-payments, considering factors such as the value of the outstanding amount in excess of the security, the recoverable amount ascertained by an independent valuer, the credit rating of customers, the ageing profile of debtors, and historical experience. Accruals The Company makes an estimate of interest, commissions, and other costs that relate to the current financial reporting period, but have not yet been invoiced.
4. | Turnover
| An analysis of turnover by class of business is as follows:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Interest receivable | 13,399,386 | 15,240,875
| Fees income | 1,270,291 | 1,483,020
|  | 14,669,677 | 16,723,895
| All turnover arose within the United Kingdom.
5. | Auditors' remuneration
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Fees payable to the Company's auditors for the audit of the Company's financial statements | 15,800 | 15,400
| The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.
6. | Employees
The Company has no employees other than the 3 (2024 - 3) Directors, who did not receive any remuneration (2024 - £Nil). Page 14
OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
7. | Interest receivable
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Other interest receivable | 105,070 | 58,326
8. | Taxation
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Corporation tax |  |
| Current tax on profits for the year | 314,494 | 379,020
| Adjustments in respect of previous periods | - | (356,096)
| Total current tax | 314,494 | 22,924
| Factors affecting tax charge for the year
| The tax assessed for the year is the same as (2024 - lower than) the standard rate of corporation tax in the UK of 25% (2024 - 25%). The differences are explained below:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Profit on ordinary activities before tax | 1,257,974 | 1,516,079
| Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%) | 314,494 | 379,020
| Effects of: |  |
| Adjustments to tax charge in respect of prior periods | - | (277,706)
| Group relief | - | (110,826)
| Compensation for group relief | - | 32,436
| Total tax charge for the year | 314,494 | 22,924
| Factors that may affect future tax charges
There were no factors that may affect future tax charges. Page 15
OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
9. | Debtors
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Due after more than one year |  |
| Trade debtors | 64,439,151 | 252,698,698
| Prepayments and accrued income | 2,113,770 | 7,646,005
|  | 66,552,921 | 260,344,703
| Due within one year |  |
| Trade debtors | 148,171,480 | 16,364,178
| Other debtors | 179,255 | 261,220
| Prepayments and accrued income | 4,980,632 | 732,788
|  | 219,884,288 | 277,702,889
10. | Cash and cash equivalents
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Cash at bank and in hand | 4,911,582 | 2,502,855
11. | Creditors: Amounts falling due within one year
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Amounts owed to group undertakings | 164,896,452 | 69,243,582
| Other creditors | 364,284 | 456,447
| Accruals | 2,412,918 | 526,159
|  | 167,673,654 | 70,226,188
| Unsecured loans Included in amounts owed to group undertakings is an unsecured and interest free balance of £197,814 (2024: £Nil) due to the ultimate parent company PCO HoldCo II Sarl.
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OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
12. | Creditors: Amounts falling due after more than one year
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Amounts owed to group undertakings | 51,168,209 | 201,027,765
| Accruals and deferred income | 1,816,227 | 5,757,491
|  | 52,984,436 | 206,785,256
| Secured Loans Included in amounts owed to group undertakings are loans of £168,977,126 (2024: £214,036,259) due to the ultimate parent company PCO HoldCo II Sarl. These loans are interest bearing at varying rates linked to the characteristics of the underlying borrower loans and are short and medium term in duration up to a maximum of 5 years. The loans are secured by fixed and floating charge over the assets of the Company and by a legal charge against the properties.
13. | Share capital
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
|  | Allotted, called up and fully paid |  |
|  | 1 (2024 - 1) Ordinary "A" Shares share of £1.00 | 1 | 1
14. | Reserves
Profit and loss account The profit and loss account represents cumulative profits or losses, net of dividends paid, and any other adjustments.
15. | Contingent liabilities
The Directors are aware that HMRC consider that some of the interest payable previously recognised as deductible could be treated as a deemed distribution for corporation tax purposes, resulting in a potential additional corporation tax liability. However, on advice from external tax advisors, the Directors consider that it is unlikely that a disallowance will arise. The potential financial impact of any such disallowance cannot be estimated reliably at this time.
16. | Related party transactions
| The Company is a wholly owned subsidiary within a group for which consolidated financial statements are publicly available and accordingly has taken advantage of the exemptions provided by "Financial Reporting Standard 102" not to disclose transactions with the other group entities including its parent and fellow subsidiary undertakings.
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OCTANE PROPERTY FINANCE 4 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
17. | Post balance sheet events
Following the balance sheet date, the Company sold its trade and certain assets to a third-party purchaser in March 2026. The Directors consider the financial terms of the transaction to be commercially sensitive, and accordingly the Company has elected not to disclose the consideration or the detailed financial effects of the sale. The Directors consider this non-disclosure appropriate to the users of the financial statements. As the transaction was entered into after the balance sheet date and had not completed by the date these financial statements were authorised for issue, it reflects conditions that arose after the year end. Therefore, no adjustments have been made to the financial statements in respect of this event. The Directors have assessed the implications of the transaction and concluded that the Company will be able to meet its liabilities as they fall due through the proceeds of the transaction, existing cash resources and continued support from its parent undertaking.
18. | Controlling party
The immediate parent company is Octane Capital Limited, whose registered office is located at 20 Grafton Street, London, England, W1S 4DZ. The ultimate controlling party is Letterone Investments Holdings S.A., incorporated in Luxembourg.
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