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Registered number: 01528784
U AND I GROUP LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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U AND I GROUP LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2025
The directors of U and I Group Limited (the 'Company') present their report and the audited financial statements for the year ended 31 March 2025.
Directors' responsibilities statement
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The directors are responsible for preparing the Directors' Report and the audited financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare audited financial statements for each financial year. Under that law the directors have elected to prepare the audited financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 101 ‘Reduced Disclosure Framework’. Under company law the directors must not approve the audited 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 audited 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 audited 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 audited 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.
The Company has continued its business of investment holding in the United Kingdom. No changes in the Company's principal activity are anticipated in the foreseeable future.
The directors have determined that preparing the financial statements on the going concern basis is appropriate due to the continued financial support of the ultimate parent company, Land Securities Group PLC (together with its subsidiaries referred to as the ‘Group’). The directors’ going concern assessment covers the period to 30 June 2027 and confirmation has been received that Land Securities Group PLC will support the Company until this date, so long as the Company remains a subsidiary of Land Securities Group PLC. If the Company was sold within the period to 30 June 2027, confirmation has been received that Land Securities Group PLC would ensure the Company remains in a position to continue as a going concern at the point of sale. The Company’s ability to meet its future liabilities is therefore dependent on the financial performance, position and liquidity of the Group as a whole. At the Group level, considerations included potential risks and uncertainties in the business, credit, market, property valuation and liquidity risks, including the availability and repayment profile of bank facilities, as well as forecast covenant compliance. Stress testing has been carried out to ensure the Group has sufficient cash resources to continue in operation for the period to 30 June 2027. This stress testing modelled a scenario with materially reduced levels of cash receipts over the next 12 months. Based on these considerations, together with available market information and the directors’ knowledge and experience of the Company, the directors continue to adopt the going concern basis in preparing the financial statements for the year ended 31 March 2025.
Results for the year and dividend
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The results are set out in the Statement of Comprehensive Income on page 6.
The directors do not recommend the payment of a dividend for the year ended 31 March 2025 (2024: £Nil).
The directors who held office during the year and up to the date of this report were:
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U and I Director 1 Limited
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U and I Director 2 Limited
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The Company has made qualifying third-party indemnity provisions for the benefit of the respective directors which were in place throughout the year and which remain in place at the date of this report.
Small companies exemption
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The Company has taken advantage of the exemption under S414B of the Companies Act 2006 not to prepare a Strategic Report.
Page 1
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U AND I GROUP LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
Statement of disclosure of information to auditor
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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 auditor is 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 auditor is aware of that information.
This report was approved by the Board and signed on its behalf.
M Smout, for and on behalf of U and I Company Secretaries Limited
Company Secretary
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Registered and domiciled in England and Wales
Registered number: 01528784
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U AND I GROUP LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF U AND I GROUP LIMITED
Opinion
We have audited the financial statements of U and I Group Limited (the ‘Company’) for the year ended 31 March 2025 which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and the related notes 1 to 23, including material accounting policy information. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 101 “Reduced Disclosure Framework" (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
∙give a true and fair view of the Company's affairs as at 31 March 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 to 30 June 2027.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. However, because not all future events or conditions can be predicted, this statement is not a guarantee as to the Company’s ability to continue as a going concern.
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 this 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 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 the other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Directors’ Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Directors’ Report has been prepared in accordance with applicable legal requirements.
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U AND I GROUP LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF U AND I GROUP LIMITED (CONTINUED)
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 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; or
∙the directors were not entitled to take advantage of the small companies’ exemptions in preparing the directors’ report and from the requirement to prepare a strategic report.
Responsibilities of directors
As explained more fully in the directors’ responsibilities statement set out on page 1, 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
Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect irregularities, including fraud. The risk of not 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 misrepresentations, or through collusion. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.
Our approach was as follows:
∙We obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant are those that relate to the reporting framework (FRS 101 and the Companies Act 2006), relevant tax regulations in the United Kingdom, the UK General Data Protection Regulation (GDPR) and the Bribery Act.
∙We understood how the Company is complying with those frameworks through enquiry with the Company and by identifying the Company's policies and procedures regarding compliance with laws and regulations. We also identified those members of the Company who have the primary responsibility for ensuring compliance with laws and regulations, and for reporting any known instances of non-compliance to those charged with governance.
∙We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur by reviewing the Land Securities Group risk register and through enquiry with the Company's Management during the planning and execution phases of the audit. Where the risk was considered to be higher we performed audit procedures to address each identified fraud risk, specifically the risk over impairment of investment in subsidiaries and amounts due from related parties.
∙Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved:
°Enquiry of Management, and when appropriate, those charged with governance of the Company regarding their knowledge of any non-compliance or potential non-compliance with laws and regulations that could affect the financial statements;
°Reading minutes of meetings of those charged with governance
°Obtaining electronic confirmations from the Company's banking providers to vouch the existence of cash balances;
°Obtaining and reading correspondence from legal and regulatory bodies, including HMRC; and
°Journal entry testing, with a focus on manual journals and journals indicating large or unusual transactions based on our understanding the business
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at https://www.frc.org.uk /auditorsresponsibilities. This description forms part of our auditor’s report.
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U AND I GROUP LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF U AND I GROUP 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 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.
Becky Turner (Senior statutory auditor)
For and on behalf of
Ernst & Young LLP, Statutory Auditor
London
19 June 2026
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U AND I GROUP LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2025
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Other contract expenditure
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Reversal of impairment of amounts owed by Group undertakings
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Impairment and write off of amounts owed by joint ventures
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Property management and administrative expenses
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Gain on disposal of other investments
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Reversal of impairment/(impairment) of investments in subsidiary undertakings, joint ventures and other investments
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Profit/(loss) on disposal of development and investment projects
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Profit for the financial year
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There were no other comprehensive income and losses for 2025 or 2024 other than those included in the Statement of Comprehensive Income.
All amounts are derived from continuing activities.
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U AND I GROUP LIMITED
REGISTERED NUMBER: 01528784
BALANCE SHEET
AS AT 31 MARCH 2025
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Investments in subsidiary undertakings
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Trade and other receivables
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Amounts due from joint ventures
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Cash and cash equivalents
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Amounts owed to Group undertakings
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Capital redemption reserve
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Total shareholders' deficit
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The results for the year ended 31 March 2024 have been restated. Refer to note 23.
The financial statements on pages 6 to 21 were approved by the Board of Directors and were signed on its behalf by:
Page 7
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U AND I GROUP LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2025
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Capital redemption reserve
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At 1 April 2023 as restated
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Profit for the financial year as restated
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At 31 March 2024 as restated
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Profit for the financial year
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The results for the year ended 31 March 2024 have been restated. Refer to note 23.
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Page 8
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
1.Accounting policies
The financial statements have been prepared on a going concern basis and in accordance with Financial Reporting Standard 101 'Reduced Disclosure Framework' ('FRS 101') and the Companies Act 2006. The financial statements are prepared under the historical cost convention.
U and I Group Limited (the ‘Company’) is a private company limited by shares and is incorporated, domiciled and registered in England and Wales (Registered number: 01528784). The nature of the Company’s operations is set out in the Directors' Report on page 1. The results of the Company are included in the consolidated financial statements of Land Securities Group PLC which are available from the Company's registered office at 100 Victoria Street, London, SW1E 5JL.
The accounting policies which follow set out those policies which apply in preparing the financial statements for the year ended 31 March 2025. The financial statements are prepared in Pounds Sterling (£) and are rounded to the nearest thousand pounds (£000), unless otherwise indicated.
The financial statements present information about the Company as an individual undertaking and not about its group. The Company has not prepared group accounts as it is exempt from the requirement to do so by section 400 of the Companies Act 2006 as it is a subsidiary of Land Securities Group PLC, a Company incorporated in England and Wales whose consolidated financial statements are publicly available.
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Financial reporting standard 101 - reduced disclosure exemptions
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The Company has taken advantage of the following disclosure exemptions under FRS 101:
∙the requirements of IFRS 7 Financial Instruments: Disclosures
∙the requirements of paragraphs 91-99 of IFRS 13 Fair Value Measurement
∙the requirement in paragraph 38 of IAS 1 'Presentation of Financial Statements' to present comparative information in respect of:
- paragraph 79(a)(iv) of IAS 1;
- paragraph 73(e) of IAS 16 Property, Plant and Equipment;
- paragraph 118(e) of IAS 38 Intangible Assets; and
- paragraphs 76 and 79(d) of IAS 40 Investment Property
∙the requirements of paragraphs 10(d), 10(f), 16, 38A, 38B, 38C, 38D, 40A, 40B, 40C, 40D, 111 and 134-136 of IAS 1 Presentation of Financial Statements
∙the requirements of IAS 7 Statement of Cash Flows
∙the requirements of paragraphs 30 and 31 of IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors
∙the requirements of paragraphs 88C and 88D of IAS 12 Income Taxes
∙the requirements in IAS 24 Related Party Disclosures to disclose related party transactions entered into between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member
∙the requirements of paragraphs 134(d)-134(f) and 135(c)-135(e) of IAS 36 Impairment of Assets.
The equivalent disclosures relating to IFRS 7, IFRS 13 and IAS 36 are included in the consolidated financial statements of Land Securities Group PLC, in which the entity is consolidated.
This category comprises computers, furniture, fixtures and fittings and improvements to Company offices. These assets are stated at cost less accumulated depreciation and are depreciated to their residual value on a straight-line basis over their estimated useful lives of between two and five years.
The residual values and useful lives of all property, plant and equipment are reviewed, and adjusted if appropriate, at least at each financial year end.
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Investment in joint ventures
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Investments in joint ventures are carried at cost, less any repayment of joint venture capital and provision for impairment in value (see 1.15).
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Investment in subsidiary undertakings
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Investments in subsidiary undertakings are stated at cost, less any repayment of capital and provision for impairment in value (see 1.15).
Other investments are financial assets held at fair value, which is based on the quoted market price available on the London Stock Exchange and is a Level 1 input as per IFRS 13. Changes to fair value are recorded within the Statement of Comprehensive Income.
Page 9
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
1.Accounting policies (continued)
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Trade and other receivables
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Trade and other receivables are recognised initially at fair value, subsequently at amortised cost and, where relevant, adjusted for the time value of money. The Company assesses on a forward-looking basis, the expected credit losses associated with its trade receivables. A provision for impairment is made for the lifetime expected credit losses on initial recognition of the receivable. If collection is expected in more than one year, the balance is presented within non-current assets.
In determining the expected credit losses, the Company takes into account any recent payment behaviours and future expectations of likely default events (i.e. not making payment on the due date) based on individual customer credit ratings, actual or expected insolvency filings or company voluntary arrangements and market expectations and trends in the wider macro-economic environment in which our customers operate.
Trade and other receivables are written off once all avenues to recover the balances are exhausted and the lease has ended. Receivables written off are no longer subject to any enforcement activity.
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Cash and cash equivalents
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Cash and cash equivalents comprises cash balances, deposits held at call with banks and other short-term highly liquid investments with original maturities of three months or fewer.
A provision is recognised in the Balance Sheet when the Company has a constructive or legal obligation as a result of a past event and it is probable that an outflow of economic benefits will be required to settle the obligation. Where relevant, provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability.
Ordinary shares are classified as equity.
The directors have determined that preparing the financial statements on the going concern basis is appropriate due to the continued financial support of the ultimate parent company, Land Securities Group PLC (together with its subsidiaries referred to as the ‘Group’). The directors’ going concern assessment covers the period to 30 June 2027 and confirmation has been received that Land Securities Group PLC will support the Company until this date, so long as the Company remains a subsidiary of Land Securities Group PLC. If the Company was sold within the period to 30 June 2027, confirmation has been received that Land Securities Group PLC would ensure the Company remains in a position to continue as a going concern at the point of sale. The Company’s ability to meet its future liabilities is therefore dependent on the financial performance, position and liquidity of the Group as a whole. At the Group level, considerations included potential risks and uncertainties in the business, credit, market, property valuation and liquidity risks, including the availability and repayment profile of bank facilities, as well as forecast covenant compliance. Stress testing has been carried out to ensure the Group has sufficient cash resources to continue in operation for the period to 30 June 2027. This stress testing modelled a scenario with materially reduced levels of cash receipts over the next 12 months. Based on these considerations, together with available market information and the directors’ knowledge and experience of the Company, the directors continue to adopt the going concern basis in preparing the financial statements for the year ended 31 March 2025.
Revenue is recognised over time because the benefit from the services as soon as they are rendered by the Company.
Contract expenditure is expensed as incurred.
The carrying amounts of the Company’s non-financial assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated (see below). An impairment loss is recognised in the Statement of Comprehensive Income whenever the carrying amount of an asset exceeds its recoverable amount.
The recoverable amount of an asset is the greater of its fair value less costs to sell and its value in use. The value in use is determined as the net present value of the future cash flows expected to be derived from the asset, discounted using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset.
An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount after the reversal does not exceed the amount that would have been determined, net of applicable depreciation, if no impairment loss had been recognised.
Page 10
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
1.Accounting policies (continued)
Income tax on the profit or loss for the year comprises current and deferred tax. Current tax is the tax payable on the taxable income for the year and any adjustment in respect of previous years. Deferred tax is provided in full using the Balance Sheet liability method on temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is determined using tax rates that have been enacted or substantively enacted by the reporting date and are expected to apply when the asset is realised or the liability is settled.
No provision is made for temporary differences (i) arising on the initial recognition of assets or liabilities, other than on a business combination, that affect neither accounting nor taxable profit and (ii) relating to investments in subsidiaries to the extent that they will not reverse in the foreseeable future.
Amounts owed to Group undertakings
Amounts owed to Group undertakings are recognised initially at fair value less attributable transaction costs. Subsequent to initial recognition, amounts owed to Group undertakings are stated at amortised cost with any difference between the amount initially recognised and redemption value being recognised in the Statement of Comprehensive Income over the period of the loan, using the effective interest method.
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Amount owed by joint ventures
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Amounts owed by joint venture are recognised initially at fair value less attributable transaction costs. Subsequent to initial recognition, amounts owed by joint ventures are stated at amortised cost and, where relevant, adjusted for the time value of money. The Company assesses on a forward-looking basis, the expected credit losses associated with its amounts due from joint ventures. A provision for impairment is made for the lifetime expected credit losses on initial recognition of the amounts due. If collection is expected in more than one year, the balance is presented within non-current assets.
In determining the expected credit losses, the Company takes into account any future expectations of likely default events based on the level of capitalisation of the counterparty.
Trade and other payables with no stated interest rate and payable within one year are recorded at transaction price. Trade and other payables after one year are discounted based on the amortised cost method using the effective interest rate.
Final dividend distributions to the Company’s shareholders are recognised as a liability in the Company’s financial statements in the period in which the dividends are approved by the Company’s shareholders. Interim dividends are recognised when paid.
Dividend income is recognised when the Company’s right to receive payment is established.
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Changes in accounting policies and standards
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The accounting policies used in these financial statements are consistent with those applied in the last annual financial statements, as amended where relevant to reflect the adoption of new standards, amendments and interpretations which became effective in the year. There have been no new accounting standards, amendments or interpretations during the year that have a material impact on the financial statements of the Company.
Amendments to accounting standards
A number of new standards, amendments to standards and interpretations have been issued but are not yet effective for the Company, none of which are expected to have a material impact on the financial statements of the Company.
Page 11
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Significant accounting judgements and estimates
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The Company’s significant accounting policies are stated in note 1 above. Not all of these significant accounting policies require management to make difficult, subjective or complex judgements or estimates. The following is intended to provide an understanding of the policies that management consider critical because of the level of complexity, judgement or estimation involved in their application and their impact on the financial statements. These estimates involve assumptions or judgements in respect of future events. Actual results may differ from these estimates.
Estimates
(a) Amounts owed by joint ventures
The Company is required to estimate the impairment of amounts owed by joint ventures. It does this by assessing on a forward-looking basis, the expected credit losses associated with its amounts owed by joint ventures. A provision for impairment is made for the lifetime expected credit losses on initial recognition of the amounts due. In determining the expected credit losses, the Company takes into account any future expectations of likely default events based on the level of capitalisation of the counterparty, which is a fellow subsidiary undertaking of Land Securities Group PLC.
(b) Property provisions
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions are estimated considering various possible outcomes and determining the most likely outcome. When the Company expects some or all of a provision to be reimbursed, the reimbursement is recognised as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the income statement net of any reimbursement.
If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.
Judgements
(a) Impairment of investment in subsidiary undertakings and joint ventures
The Company is required to judge when there is sufficient objective evidence to require the impairment of investments in subsidiaries and joint ventures. It does this by assessing the net asset value of each subsidiary undertaking and joint venture as at year end. A provision for impairment is made if the net asset value of the subsidiary undertaking or joint venture is lower than the carrying amount of the investment recorded by the Company.
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Other direct property or contract expenditure
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Page 12
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Management and administrative expenses
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(a) Directors’ remuneration
The Group's directors' emoluments are borne by Land Securities Properties Limited. The directors of the Company, who are key management personnel of the Company, received no emoluments from Land Securities Properties Limited for their services to the Company (2024: £Nil).
(b) Auditor remuneration
The Group auditor’s remuneration is borne by Land Securities Properties Limited. The proportion of the remuneration which relates to the Company amounts to £66,897 (2024: £14,405). No non-audit services were provided to the Company during the year (2024: £Nil).
(c) Provision for impairment in value
An impairment charge of £4,033,000 (2024: impairment charge of £3,509,000) in respect of amounts due from JVs has been recognised in the Statement of Comprehensive Income for the year.
An impairment reversal of £Nil (2024 (restated): impairment reversal of £1,960,000) in respect of amounts due from Group undertakings has been recognised in the Statement of Comprehensive Income for the year.
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Management and administrative expenses include the following:
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Profit/(Loss) on disposal of development and investment projects
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Profit/(Loss) on disposal of development and investment projects
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Profit on disposal of development and investment projects in the current year relates to the release of provision for investment in subs and the profit on disposal of development project.
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Interest on amounts owed to Group undertakings
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Page 13
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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The Company received dividends from its subsidiaries totalling £190,000 (2024: £45,167,000).
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Amounts receivable in respect of group relief
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Total income tax credit in the Income Statement
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Factors affecting tax credit for the year
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The tax for the year is lower than (2024 - lower than) the standard rate of corporation tax in the UK of 25% (2024 - 25%) as set out below:
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Profit before tax multiplied by UK corporation tax rate
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Other (reversal of expenses)/expenses not deductible for tax purposes
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Adjustments in respect of prior year group relief
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Total tax credit for the year
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Land Securities Group PLC is a Real Estate Investment Trust (REIT). As a result, Land Securities Group Companies do not pay UK corporation tax on the profits and gains from qualifying rental business in the UK provided it meets certain conditions. Non-qualifying profits and gains of the Company continue to be subject to corporation tax as normal.
As at 31 March 2025 there is £581,000 of unrecognised tax losses which will be carried forward as there is no expected future taxable income.
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Page 14
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Investment in subsidiary undertakings
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At the beginning of the financial year (restated)
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Reversal / (charge) of Impairment
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Investments written off - reversal of provision
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The directors believe that the carrying value of the investment is supported by the fair value of the net assets of the subsidiaries.
During the year ended 31 March 2025, U and I Group Limited acquired the remaining 50% of shares in the Plus X group, which consists of five entities previously owned as part of a joint venture arrangement. This took the total shareholding to 100%, making it a subsidiary of U and I Group Limited. U and I Group Limited's total shareholding in the Plux X group was sold for £1 in accordance with an SPA dated 11 June 2025, with the transaction closing on the 12 June 2025. The Plus X entities were fully impaired as at 31 March 2024 and so a gain of £1 was made. As part of the sale, U and I Group Limited has entered into a loan agreement with Plus X Holdings Limited, where U and I Group Limited has provided a loan facility of £1,700,000.
Additionally, during the year ended 31 March 2025, U and I Group acquired a further 29% in Northpoint Developments Limited. This increased the total holding of this entity to 71%, making it a subsidiary of U and I Group Limited
On 13 December 2024 the Company disposed of its 100% interest in U and I (Harwell) Limited. The Company received £1 from the sale of U and I (Harwell) Limited during the year, which resulted in a profit on disposal of £Nil. Further, on 28 May 2024, the Company dissolved its interest in Development Securities (No. 19) Limited.
The total cost of investment in subsidiary undertakings is £105,918,000 (2024: £105,918,000). The total provision for impairment of investment in subsidiary undertakings is £76,142,000 (2024 (restated): £81,038,000).
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Page 15
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U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
10. Investment in subsidiary undertakings (continued)
The subsidiary undertakings of the Company are:
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Class of shares / units owned
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Principal country of incorporation
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Development Securities (HDD) Limited
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Development Securities (Investments) Limited
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U and I (Cambridge) Limited
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U and I (Development and Trading) Limited
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U and I (Pincents Lane) LIMITED
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U and I (PB) Commercial Limited
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U and I Investment Portfolio Limited
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U and I Plus X TC Limited
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DS Jersey (Capital Partners) Limited
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Management services company
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Development Securities Estates Ltd
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Development Securities (Investment Ventures) Limited
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U and I (Bromley Commercial) Limited
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Cathedral (Bromley Esco) Limited
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U and I Company Secretaries Limited
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Management services company
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U and I Director 1 Limited
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Management services company
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U and I Director 2 Limited
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Management services company
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Management services company
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Northpoint Developments Limited
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All subsidiary undertakings with a place of incorporation of England and Wales are registered at 100 Victoria Street, London, SW1E 5JL.
All subsidiary undertakings with a place of incorporation of Jersey are registered at Fifth Floor, 37 Esplanade, St Helier, JE1 2TR, Jersey.
U and I Netherlands B.V is registered at Basisweg 10, 1043 AP Amsterdam, The Netherlands.
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At the beginning of the year
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The Company holds a participating interest in WS HoldCo Inc, an, entity incorporated in the United States that draws up accounts to 31 December.
A profit of £771,000 has been recognised during the year from the disposal of an investment in Matterport Inc, an entity incorporated in the United States.
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Page 16
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|
U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Charge for the year on owned assets
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Trade and other receivables
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Total current trade receivables
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Social security and other taxes
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Total trade and other receivables
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Amounts due from joint ventures
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Amounts due from joint ventures
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The total gross amounts due from joint ventures is £Nil (2024: £7,543,000). The total provision for impairment of amounts due from joint ventures is £Nil (2024: £3,510,000)
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Page 17
|
|
U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
|
|
Cash and cash equivalents
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Total trade and other payables
|
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Amounts owed to Group undertakings
|
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Amounts owed to Group undertakings
|
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Total amounts owed to Group undertakings
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The unsecured amounts owed to Group undertakings are repayable on demand with no fixed repayment date. Interest is charged at 4.9% per annum (2024: 4.9%).
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|
Ordinary shares of 50p each
|
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Page 18
|
|
U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
|
|
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|
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|
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At the beginning of the financial year
|
|
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|
|
(Reversal)/charge to Statement of Comprehensive Income for the year
|
|
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|
|
Reclassification from trade and other payables
|
|
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|
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Reclassification of provisions between current and non-current
|
|
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|
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Total non-current property provisions
|
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Reclassification of provisions between current and non-current
|
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|
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Total property provisions
|
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Provisions in the year relate to property provisions required on assets previously disposed of where there are potential fire safety issues.
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|
|
Investment in joint ventures
|
The joint ventures of the Company are:
|
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Class of shares / units owned
|
|
Principal country of incorporation
|
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Minevote Public Limited Company
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The immediate parent company is LS Development Holdings Limited.
The ultimate parent company and controlling party at 31 March 2025 was Land Securities Group PLC, which is registered in England and Wales. This is the largest parent company of the Group to consolidate these financial statements.
Consolidated financial statements for the year ended 31 March 2025 for Land Securities Group PLC can be obtained from the Company Secretary at the registered office of the ultimate parent company, 100 Victoria Street, London, SW1E 5JL. and from the Group website at www.landsec.com. This is the largest and smallest Group to include these accounts in its consolidated financial statements.
|
|
Events after the end of the reporting period
|
On 11 June 2025, the Company sold its investment in Plus X Holdings Limited.
On 18 December 2025, the Company sold its investment in Development Securities Estates Ltd.
On 26 January 2026, the Company sold its investment in U and I Director 1, U and I Director 2, and U and I Company Secretaries Limited.
On 17 March 2026, the Company’s joint venture Triangle London Developments LLP was dissolved.
On 30 March 2026, the Company’s subsidiary DS Jersey (Capital Partners) Limited was dissolved.
Page 19
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|
U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
|
|
Impact of prior period restatement
|
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|
The results for the year ended 31 March 2024 have been restated. This restatement arises from the incorrect accounting treatment of certain intercompany loan novations in prior periods. Intercompany balances subject to novation were incorrectly presented on a gross basis, resulting in the recognition of both receivables and payables where, in substance, a single net balance existed with a single counterparty.
In addition, the novations impacted the net asset positions of certain subsidiary undertakings, which led to an overstatement of the carrying value of investments in subsidiary undertakings in prior periods.
In accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors, as adopted under FRS 101, these errors have been corrected through prior period restatement. The correction has affected the Statement of Comprehensive Income, the Balance Sheet and retained earnings as at 31 March 2024.
The effect of the restatement is set out below:
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|
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|
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|
|
|
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|
|
Investment in subsidiary undertaking
|
|
|
|
|
|
At the beginning of the financial year
|
|
|
|
|
|
|
|
|
|
|
|
Impairment reversal/(charge)
|
|
|
|
|
|
Investments written off – reversal of provision
|
|
|
|
|
|
|
|
|
|
|
|
Amounts due from Group undertakings
|
|
|
|
|
|
At the beginning of the financial year
|
|
|
|
|
|
|
|
|
|
|
|
Amounts due to Group undertakings
|
|
|
|
Balance as at 31 March as stated
|
|
|
|
Reclassification of amounts due from Group undertakings
|
|
|
|
Impact of impairment reassessment
|
|
|
|
Intercompany interest restatement
|
|
|
|
Impact of debt waivers issued
|
|
|
|
Impact of income tax restatement
|
|
|
|
Balance as at 31 March restated
|
|
Page 20
|
|
U AND I GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
|
|
|
|
Impact of prior period restatement (continued)
|
|
|
|
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|
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|
|
(Loss)/profit for the year
|
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|
(Loss)/profit for the year
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
|
At the beginning of the financial year
|
|
|
|
|
|
(Loss)/profit for the year
|
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Page 21
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