In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Shaw Estate Management Limited for the year ended 31 December 2025 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/regulation.

This report is made solely to the board of directors of Shaw Estate Management Limited, as a body, in accordance with the terms of our engagement. Our work has been undertaken solely to prepare for your approval the financial statements of Shaw Estate Management Limited and state those matters that we have agreed to state to the board of directors of Shaw Estate Management Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Shaw Estate Management Limited and its board of directors as a body, for our work or for this report.

It is your duty to ensure that Shaw Estate Management Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Shaw Estate Management Limited. You consider that Shaw Estate Management Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Shaw Estate Management Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

For the financial year ended 31 December 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

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

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

Shaw Estate Management Limited is a private company limited by shares incorporated in England and Wales. The company's registered number and registered office address can be found on the company information page.

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 as applicable to companies subject to the small companies regime. 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 financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the investment properties at fair value. The principal accounting policies adopted are set out below.

The company has prepared the financial statements on a going concern basis which is reliant upon the continued support of group companies and the group's bankers.

The company has used bank loans and funds provided by other group companies to finance the purchase of property and to fund investment property development opportunities. These bank loans are subject to a charge over all of the group's properties and other assets and are repayable under an agreed repayment schedule to which the company adheres at all times. The group's bankers remain supportive and the directors are not aware of any reason why either the bank support or that of other group companies would be withdrawn.

After considering the support of bankers and group companies and having considered expected future cashflows for at least the next 12 months from the date of approval of the financial statements they have concluded that the company is a going concern and should prepare financial statements on that basis.

Revenue comprises rental income receivable from properties let during the year. Rental income is recognised on a straight line basis over the term of the lease. Any rental incentive or rent free period given is spread over the term of the lease.

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.

Stock principally comprises properties developed and held for sale. All stock is carried at the lower of cost and net realisable value. Cost comprises land and direct purchase cost. Net realisable value represents the estimated selling price less any further costs expected to be incurred to completion and disposal. Inventory is transferred to investment properties only when the asset meets the definition of an investment property.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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, 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.

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, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

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

Equity instruments 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.

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

In the application of the company’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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

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

The directors have reviewed the value of the investment properties at 31 December 2025 and consider that the quality of the portfolio and the current market conditions reflect the increase in valuation reflected in these financial statements.

Bank loans and overdrafts are secured, see secured debts note.

Bank loans and overdrafts are secured, see secured debts note.

The bank loans are secured by way of a legal charge over the investment properties and work in progress held by the company and guarantees with other group companies and by a personal guarantee by Mr and Mrs A J Shaw to £1,273,915 (2024 - £1,273,915).

The following are the major deferred tax liabilities and assets recognised by the company:

Mr and Mrs A J Shaw have provided a personal guarantee limited to £1,273,915 (2024 - £1273,915) in relation to the original principal of the loans advanced by Secure Trust Bank PLC.

The Beeches Development Limited is a related party, because it is a fellow subsidiary company. During the year the company purchased investment properties from this related party for amounts totalling £1,946,265.

Inglenook Development Limited is a related party, because it is a fellow subsidiary company. During the year the company purchased investment properties from this related party for amounts totalling £753,657.

Balances with related parties at year end

Andy Shaw Developments Limited is a related party because it is the company's parent company. At the year end the company owed this related party £3,506,737 (2024 - £4,849,788).

ASD Contracts Limited is a related party because it is a fellow subsidiary company. At the year end the company owed this related party £631,636 (2024 - the company was owed £533,111).

The Beeches Development Limited is a related party because it a fellow subsidiary company. At the year end the company owed this related party £754,323 (2024 - the company was owed £Nil).

Inglenook Development Limited is a related party because it a fellow subsidiary company. At the year end the company owed this related party £250,774 (2024 - £Nil).

Shaw Estate Management 2 Limited is a related party because it a fellow subsidiary company. At the year end the company owed this related party £2,850 (2024 - the company was owed £385,086).

The immediate and ultimate parent undertaking is Andy Shaw Developments Limited, a company incorporated in England and Wales, whose registered office is 23 Lombard Street, Lichfield, Staffordshire WS13 6DP.