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Company registration number: 16105173
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THE CITY OF LONDON LAW SOCIETY
(A COMPANY LIMITED BY GUARANTEE)
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ANNUAL REPORT
INFORMATION FOR FILING WITH THE REGISTRAR
FOR THE PERIOD ENDED
31 DECEMBER 2025
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THE CITY OF LONDON LAW SOCIETY
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CONTENTS
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Notes to the financial statements
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THE CITY OF LONDON LAW SOCIETY
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COMPANY INFORMATION
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F. W. Smith, Riches & Co.
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Chartered Accountants & Statutory Auditors
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THE CITY OF LONDON LAW SOCIETY
REGISTERED NUMBER:16105173
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BALANCE SHEET
AS AT 31 DECEMBER 2025
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Debtors: amounts falling due within one year
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Creditors: amounts falling due within one year
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Total assets less current liabilities
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Creditors: amounts falling due after more than one year
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The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.
The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The Company has opted not to file the profit and loss account in accordance with provisions applicable to companies subject to the small companies' regime.
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 29 June 2026.
The notes on pages 3 to 9 form part of these financial statements.
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THE CITY OF LONDON LAW SOCIETY
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2025
1.Accounting policies
The Society’s principal activity is the performance of the role of the local law society for the City of London.
The City of London Law Society is a private company limited by guarantee and is incorporated and domiciled in England and Wales. The company was incorporated on 27 November 2024. The address of its registered office and principle place of business is 12 Austin Friars, London, EC2N 2HE.
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Basis of preparation of financial statements
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The financial statements have been prepared in accordance with United Kingdom Accounting Standards, including Section 1A of Financial Reporting Standard 102, ‘the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland’ (“FRS 102”) and in accordance with the Society’s constitution. The financial statements have been prepared under the historical cost convention.
The preparation of financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Society's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 2.
Revenue is recognised to the extent that the Society obtains the right to consideration in exchange for its performance. Revenue is measured at the fair value of the consideration received or receivable, net of discounts, rebates and value added tax. The following criteria must also be met before revenue is recognised:
Subscriptions
Members’ subscriptions relating to the year of account are recognised on an accruals basis. Any amounts received in advance are carried forward and recognised in the years to which they relate.
Interest income
Revenue is recognised as interest accrues using the effective interest method.
The City of London Law Society is registered for Value Added Tax.
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THE CITY OF LONDON LAW SOCIETY
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2025
1.Accounting policies (continued)
Intangible fixed assets are stated at cost less accumulated amortisation and accumulated impairment losses. Cost includes the original purchase price and costs directly attributable to bringing the asset to its working condition for its intended use. For IT software, costs in relation to training staff in the use of the software is expensed as incurred.
Once the asset is brought into use it is amortised on a straight line basis over its expected useful life. The expected useful life for IT software is 5 years.
The assets’ residual values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively.
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price, costs directly attributable to bringing the asset to its working condition for its intended use and dismantling and restoration costs.
The assets’ residual values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively.
Assets are depreciated on a straight line basis over the course of their useful lives. The useful lives of fixtures and fittings, office equipment, and computer equipment is 3-5 years.
Subsequent costs are included in the assets’ carrying amount or recognised as a separate asset, as appropriate, only when it is probable that economic benefits associated with the item will flow to the Society and the cost can be measured reliably. Repairs and maintenance costs are expensed as incurred.
Tangible fixed assets are derecognised on disposal or when no future economic benefits are expected. On disposal, the difference between the net disposal proceeds and the carrying amount is recognised in the Profit and Loss account and included in administrative expenses.
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THE CITY OF LONDON LAW SOCIETY
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2025
1.Accounting policies (continued)
The Society has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.
Short term debtors and creditors
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the Profit and Loss Account in ‘administrative expenses’.
Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and in hand.
Offsetting
Financial assets and liabilities are offset and 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.
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Foreign currency translation
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Functional and presentation currency
The Society’s functional and presentation currency is the pound sterling.
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Defined contribution pension plans
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The Society contributes to a defined contribution pension plan for some of its employees. A defined contribution plan is a pension plan under which the Society pays fixed contributions into a separate entity. Once the contributions have been paid the Society has no further payment obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown in accruals in the Balance Sheet. The assets of the plan are held separately from the Society in independently administered funds.
Any surplus arising from members' subscriptions is exempt from corporation tax. No such exemption applies to the Society's interest receivable which is subject to corporation tax. Corporation tax is recognised in the year it arises.
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THE CITY OF LONDON LAW SOCIETY
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2025
1.Accounting policies (continued)
On 30 September 2025, the trade and assets of an unincorporated association (The City of London Law Society - unincorporated association) were transferred to the Company, and the Company assumed responsibility for settling all liabilities of the unincorporated association, whether arising before, on or after the date of the transfer. The transfer was determined to be a transfer under common control, as there was no change in the ultimate members/beneficiaries before and after the transfer.
Accordingly, the transaction has been accounted for using merger accounting in accordance with FRS 102. The assets and liabilities transferred have been recognised at their existing book values as recorded by the unincorporated association. No goodwill has been recognised. The difference between the book value of the net assets transferred and the consideration given has been recognised directly in equity within a merger reserve.
The results for the period are presented on a continuity basis, as if the trade had always been carried on by the Company. Therefore the effective date of transfer for these accounts is 1 January 2025. The net assets transferred at that date are set out in note 11.
As these are the Company’s first statutory financial statements, no comparative information is presented.
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Judgements in applying accounting policies and key sources of estimation uncertainty
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In preparing the financial statements management are required to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from these estimates. Whilst management have made judgements, estimates and assumptions in preparing the financial statements, they consider that these have not had a significant effect on amounts recognised.
The average monthly number of employees, including directors, during the period was 3.
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THE CITY OF LONDON LAW SOCIETY
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2025
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THE CITY OF LONDON LAW SOCIETY
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2025
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Amounts owed by related parties
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Prepayments and accrued income
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Creditors: Amounts falling due within one year
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Other taxation and social security
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Accruals and deferred income
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Creditors: Amounts falling due after more than one year
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Merger Reserve
The merger reserve represents the cumulative reserves of the unincorporated association prior to the transfer to the Society.
Profit and loss account
The profit and loss account represents accumulated surpluses of the Society.
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THE CITY OF LONDON LAW SOCIETY
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2025
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Transfer from unincorporated association
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On 30 September 2025, the trade and assets of an unincorporated association (The City of London Law Society - unincorporated association) were transferred to the Company.
For accounting purposes, the transfer has been treated as if it took place on 1 January 2025. The net assets transferred into the Society are as follows:
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The auditors' report on the financial statements for the period ended 31 December 2025 was unqualified.
The audit report was signed on 29 June 2026 by J. Lowden (Senior statutory auditor) on behalf of F. W. Smith, Riches & Co..
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