Lukka Care Homes (2010) Ltd Company accounts

COMPANY REGISTRATION NUMBER: 07247902

Lukka Care Homes (2010) Ltd

Financial Statements

For the year ended

30 November 2025

Lukka Care Homes (2010) Ltd

Financial Statements

Year ended 30 November 2025

Contents	Page

Officers and professional advisers	1

Strategic report	2

Directors' report	4

Independent auditor's report to the members	6

Statement of comprehensive income	11

Statement of financial position	12

Statement of changes in equity	14

Notes to the financial statements	15

Lukka Care Homes (2010) Ltd

Officers and Professional Advisers

The board of directors	B N Lukka
	N J Lukka

Company secretary	A N Lukka

Registered office	Macneil House
	9-17 Lodge Lane
	London
	N12 8JH

Auditor	Streets Audit LLP
	Chartered accountants & statutory auditor
	Enterprise House
	38 Tyndall Court
	Commerce Road
	Lynch Wood
	Peterborough
	Cambridgeshire
	PE2 6LR

Bankers	Royal Bank of Scotland
	5-10 Great Tower Street
	London
	EC3P 3HX

	Handelsbanken
	2nd Floor Hathaway House
	Popes Drive
	Finchley Central
	London
	N3 1QF

Lukka Care Homes (2010) Ltd

Strategic Report

Year ended 30 November 2025

The directors present the strategic report for the year ended 30 November 2025. Fair review of the business The principal activity of the company continues to be that of providing nursing home facilities for the elderly. The company made a pre-tax profit of £1.8m (2024: pre-tax loss of £18.6m) for the year on a turnover of £6.7m (2024: £6.7m). At 30 November 2025 the company had net liabilities of £1.4m (2024: £2.7m). The balance sheet is now overdrawn however the directors have received support from other related companies and therefore the accounts have been prepared on a going concern basis. Principal risks and uncertainties The directors recognise that within the business there are a number of risks which may affect the performance of the company. These risks are subject to regular review and, where appropriate, processes are established to minimise the level of exposure. Regulatory - the company's nursing home is regulated by the Care Quality Commission and is exposed to adverse findings that the Commission may raise. The company ensures that the nursing home is run to a high standard and to-date no such adverse findings have been reported. Financial risk - the company is exposed to financial risk through its assets and liabilities. The key financial risk is that, in the current climate, the proceeds from its assets may not be sufficient to fund the obligations from liabilities as they fall due. The most important components of financial risk are: 1) Credit risk - the company continues to minimise commercial credit risk and has not suffered unduly from bad debts. 2) Interest rate risk - the company's borrowings are on a variable rate basis and the company is exposed to potential increases in interest rates. The company continues to monitor its interest obligations and its investment portfolio to ensure that future increases in interest rates will not unduly affect the performance of the business. Key performance indicators In the opinion of the directors, occupancy percentage and average fee per resident are considered key performance indicators when assessing business performance and is reviewed monthly by the management team, with both having remained in line with the directors' expectations, in the current climate. Future developments The directors continue to monitor its key performance metrics whilst maintaining care quality in its home.

This report was approved by the board of directors on 10 July 2026 and signed on behalf of the board by:

B N Lukka

Director

Registered office:

Macneil House

9-17 Lodge Lane

London

N12 8JH

Lukka Care Homes (2010) Ltd

Directors' Report

Year ended 30 November 2025

The directors present their report and the financial statements of the company for the year ended 30 November 2025 .

Directors

The directors who served the company during the year were as follows:

B N Lukka
N J Lukka

Dividends

The directors do not recommend the payment of a dividend.

Future developments

The directors have included disclosures on future developments and financial instruments in the strategic report.

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: - select suitable accounting policies and then apply them consistently; - make judgments and accounting estimates that are reasonable and prudent; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.

This report was approved by the board of directors on 10 July 2026 and signed on behalf of the board by:

B N Lukka

Director

Registered office:

Macneil House

9-17 Lodge Lane

London

N12 8JH

Lukka Care Homes (2010) Ltd

Independent Auditor's Report to the Members of Lukka Care Homes (2010) Ltd

Year ended 30 November 2025

Opinion

We have audited the financial statements of Lukka Care Homes (2010) Ltd (the 'company') for the year ended 30 November 2025 which comprise the statement of comprehensive income, statement of financial position, statement of changes in equity 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 FRS 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 30 November 2025 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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. In connection with our audit of the financial statements, 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

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 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, 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. 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: Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: - the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; - we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the company and sector in which it operates; - we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006 and taxation legislation, Care Home legislation and health and safety legislation; - we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and - identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: - making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and - considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and override of controls, we: - performed analytical procedures to identify any unusual or unexpected relationships; - tested journal entries to identify unusual transactions; - assessed whether judgements and assumptions made in determining the accounting estimates set out in Note 3 were indicative of potential bias; and - investigated the rationale behind significant or unusual transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: - agreeing financial statement disclosures to underlying supporting documentation; - reading the minutes of meetings of those charged with governance; - inquiring of management as to actual and potential litigation and claims; and - reviewing correspondence with HMRC, relevant regulators and the company's legal advisors. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to inquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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.

Jonathan Day

(Senior Statutory Auditor)

For and on behalf of

Streets Audit LLP

Chartered accountants & statutory auditor

Enterprise House

38 Tyndall Court

Commerce Road

Lynch Wood

Peterborough

Cambridgeshire

PE2 6LR

10 July 2026

Lukka Care Homes (2010) Ltd

Statement of Comprehensive Income

Year ended 30 November 2025

		2025	2024
Note		£	£
Turnover	4	6,698,697	6,687,086

Cost of sales	4,046,628	4,009,314
	------------	------------
Gross profit	2,652,069	2,677,772

Administrative expenses		706,874	792,574
		------------	------------
Operating profit	5	1,945,195	1,885,198

Other interest receivable and similar income		22,751	24,546
Amounts written back to investments	9	–	20,220,098
Interest payable and similar expenses	10	206,264	373,260
		------------	-------------
Profit/(loss) before taxation		1,761,682	( 18,683,614)

Tax on profit/(loss)	11	517,561	462,214
		------------	-------------
Profit/(loss) for the financial year and total comprehensive income		1,244,121	( 19,145,828)
		------------	-------------

All the activities of the company are from continuing operations.

Lukka Care Homes (2010) Ltd

Statement of Financial Position

30 November 2025

	2025		2024
Note	£	£	£

Fixed assets

Tangible assets	12		15,610,936	15,916,310

Current assets

Debtors	13	507,670	467,090
Cash at bank and in hand		1,721,364	818,261
		------------	------------
		2,229,034	1,285,351

Creditors: amounts falling due within one year	14	14,931,210		15,173,209
		-------------		-------------
Net current liabilities			12,702,176	13,887,858
			-------------	-------------
Total assets less current liabilities			2,908,760	2,028,452

Creditors: amounts falling due after more than one year	15		2,085,502	2,451,074

Provisions

Taxation including deferred tax	17	2,269,552	2,267,793
		------------	------------
Net liabilities		( 1,446,294)	( 2,690,415)
		------------	------------

Lukka Care Homes (2010) Ltd

Statement of Financial Position (continued)

30 November 2025

	2025		2024
Note	£	£	£

Capital and reserves

Called up share capital	20	100	100
Revaluation reserve	21	6,450,772	6,614,205
Profit and loss account	21	( 7,897,166)	( 9,304,720)
		------------	------------
Shareholders deficit		( 1,446,294)	( 2,690,415)
		------------	------------

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

These financial statements were approved by the board of directors and authorised for issue on 10 July 2026 , and are signed on behalf of the board by:

B N Lukka

Director

Company registration number: 07247902

Lukka Care Homes (2010) Ltd

Statement of Changes in Equity

Year ended 30 November 2025

		Called up share capital	Revaluation reserve	Profit and loss account	Total
		£	£	£	£
At 1 December 2023		100	6,777,638	9,677,675	16,455,413

Loss for the year				( 19,145,828)	( 19,145,828)
Other comprehensive income for the year:
	Reclassification from revaluation reserve to profit and loss account	–	( 163,433)	163,433	–
		----	------------	-------------	-------------
Total comprehensive income for the year		–	( 163,433)	( 18,982,395)	( 19,145,828)

At 30 November 2024		100	6,614,205	( 9,304,720)	( 2,690,415)

Profit for the year				1,244,121	1,244,121
Other comprehensive income for the year:
	Reclassification from revaluation reserve to profit and loss account	–	( 163,433)	163,433	–
		----	------------	-------------	-------------
Total comprehensive income for the year		–	( 163,433)	1,407,554	1,244,121

		----	------------	-------------	-------------
At 30 November 2025		100	6,450,772	( 7,897,166)	( 1,446,294)
		----	------------	-------------	-------------

Lukka Care Homes (2010) Ltd

Notes to the Financial Statements

Year ended 30 November 2025

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Macneil House, 9-17 Lodge Lane, London, N12 8JH.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of properties measured at fair value through profit or loss. The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

The company reported a pre tax profit of £1.8m in the year however the statement of financial position is £1.4m overdrawn. The operating profit for the year was £1.9m and the directors have received support from related creditors. Accordingly, the directors have a reasonable expectation that the company has adequate resources to continue in operation for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of LCH2010 Newco Limited which can be obtained from Companies House. As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102: (a) No cash flow statement has been presented for the company. (b) Disclosures in respect of financial instruments have not been presented. (d) No disclosure has been given for the aggregate remuneration of key management personnel.

Judgements 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. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: Valuation of land and buildings The company carries its property used in the business at fair value, with changes in fair value being recognised through other comprehensive income. The company has consulted with external valuers to ascertain the fair value of the land and buildings. The valuation of the company’s land and buildings is inherently subjective due to, among other factors, the individual nature, location and condition of the nursing home premises. The land element of the land and buildings is also a subjective judgement. As a result the valuation is subject to a degree of uncertainty. The most recent external valuation took place in January 2021 and was reflected in the 2020 financial statements. Since then the Directors have assessed the market value of the property each year and deem the net book value to be materially in line with the market value at the year-end date. Deferred tax has been recognised on revalued property, based on the estimated fair value at the year-end date. Related Party Debtors Included in the accounts are amounts due from companies under the control of Mr N J Lukka and members of his close family. The directors have considered the quality and performance of the underlying assets and deemed these amounts to be recoverable and not impaired. Depreciation Depreciation is recognised over the estimated useful life of assets, please see the accounting policy for further details.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for services rendered, stated net of discounts.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date. Deferred tax is recognised in respect of all material timing differences at the reporting date. Unrelieved tax losses and other 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property	-	2% Straight line (excluding land)
Fixtures and fittings	-	15% Reducing balance
Motor vehicles	-	20% Reducing balance

The excess depreciation between revalued land and buildings and historical cost is transferred between the profit and loss reserve and revaluation reserve. The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Finance leases and hire purchase contracts

Assets held under finance leases and hire purchase contracts are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense.

Financial instruments

The company holds basic financial instruments as defined in FRS102. The financial assets and financial liabilities of the company and their measurement basis are as follows: Financial assets - trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost. Prepayments are not financial instruments. Cash at bank is classified as a basic financial instrument and is measured at amortised cost. Financial liabilities - trade creditors, accruals and other creditors are financial instruments, and are measured at amortised cost. Taxation and social security are not included in the financial instruments disclosure definition.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided.

4. Turnover

Turnover arises from:

	2025	2024
	£	£
Nursing home fees	6,698,697	6,687,086
	------------	------------

The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.

5. Operating profit

Operating profit or loss is stated after charging:

	2025	2024
	£	£
Depreciation of tangible assets	406,948	411,247
Impairment of trade debtors	–	60,411
	---------	---------

6. Auditor's remuneration

	2025	2024
	£	£
Fees payable for the audit of the financial statements	7,500	12,000
	-------	--------

7. Staff costs

The average number of persons employed by the company during the year, including the directors, amounted to:

	2025	2024
	No.	No.
Administration and care staff	105	114
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2025	2024
	£	£
Wages and salaries	3,277,821	3,311,985
Social security costs	370,341	317,329
Other pension costs	103,380	83,704
	------------	------------
	3,751,542	3,713,018
	------------	------------

8. Directors' remuneration

The directors' aggregate remuneration in respect of qualifying services was:

	2025	2024
	£	£
Remuneration	28,333	28,333
	--------	--------

9. Amounts written back to investments

	2025	2024
	£	£
Amounts written off current asset investments	–	20,220,098
	----	-------------

On 30 November 2024, the company wrote off its loan owed by its parent company.

10. Interest payable and similar expenses

	2025	2024
	£	£
Interest on banks loans and overdrafts	183,037	369,204
Interest on obligations under finance leases and hire purchase contracts	23,227	3,463
Other interest payable and similar charges	–	593
	---------	---------
	206,264	373,260
	---------	---------

11. Tax on profit/(loss)

Major components of tax expense

	2025	2024
	£	£

Current tax:

UK current tax expense	515,802	463,741

Deferred tax:

Origination and reversal of timing differences	1,759	( 1,527)
	---------	---------
Tax on profit/(loss)	517,561	462,214
	---------	---------

Reconciliation of tax expense

The tax assessed on the profit/(loss) on ordinary activities for the year is higher than (2024: higher than) the standard rate of corporation tax in the UK of 25 % (2024: 25 %).

	2025	2024
	£	£
Profit/(loss) on ordinary activities before taxation	1,761,682	( 18,683,614)
	------------	-------------
Profit/(loss) on ordinary activities by rate of tax	440,421	( 4,670,903)
Effect of expenses not deductible for tax purposes	–	5,056,107
Effect of capital allowances and depreciation	77,140	77,010
	------------	-------------
Tax on profit/(loss)	517,561	462,214
	------------	-------------

12. Tangible assets

	Freehold property	Fixtures and fittings	Motor vehicles	Total
	£	£	£	£
Cost
At 1 December 2024	16,587,929	1,421,985	79,949	18,089,863
Additions	25,872	75,702	–	101,574
	-------------	------------	--------	-------------
At 30 November 2025	16,613,801	1,497,687	79,949	18,191,437
	-------------	------------	--------	-------------
Depreciation
At 1 December 2024	1,231,560	921,739	20,254	2,173,553
Charge for the year	308,561	86,448	11,939	406,948
	-------------	------------	--------	-------------
At 30 November 2025	1,540,121	1,008,187	32,193	2,580,501
	-------------	------------	--------	-------------
Carrying amount
At 30 November 2025	15,073,680	489,500	47,756	15,610,936
	-------------	------------	--------	-------------
At 30 November 2024	15,356,369	500,246	59,695	15,916,310
	-------------	------------	--------	-------------

Included within freehold property is land valued at £1,186,137 which has not been depreciated.

Tangible assets held at valuation

The carrying value of land and buildings was revalued as at 30 November 2020. The revaluation was based on a valuation report prepared on 7 January 2021 by a third party RICS certified property consultant. Their valuation was based on the special assumption that the land and buildings are fully equipped as operational entities and valued having regard to trading potential, as at the date of valuation. As at 30 November 2024 the directors believe that the carrying value of the land and buildings correctly reflect their fair value. If revalued assets were stated on an historical cost basis rather than a fair value basis, the carrying amounts included would have been £6.6m (2024: £6.7m), being cost of £7.8m (2024: £7.7m) and depreciation of £1.1m (2024: £1.0m).

13. Debtors

	2025	2024
	£	£
Trade debtors	316,497	428,378
Prepayments and accrued income	157,333	38,712
Corporation tax repayable	33,840	–
	---------	---------
	507,670	467,090
	---------	---------

14. Creditors: amounts falling due within one year

	2025	2024
	£	£
Bank loans and overdrafts	194,544	2,478,774
Trade creditors	259,698	159,447
Amounts owed to group undertakings	11,393,192	–
Accruals and deferred income	70,509	161,955
Corporation tax	–	363,741
Social security and other taxes	86,107	71,967
Obligations under finance leases and hire purchase contracts	7,821	7,121
Other creditors	2,919,339	11,930,204
	-------------	-------------
	14,931,210	15,173,209
	-------------	-------------

The bank loans are secured by a legal charge over the freehold property and a debenture over the assets of the company, as well as by a cross-guarantee given by the other companies under the control of the shareholder. The loans are repayable on a monthly/quarterly basis and interest of base rate plus 2.25%/2.10% is payable on the loans.

At 30 November 2025, the net bank loans subject to the cross guarantee amounted to £14.5m (2024: £18.9m).

Hire purchase liabilities are secured on the assets to which they relate.

15. Creditors: amounts falling due after more than one year

	2025	2024
	£	£
Bank loans and overdrafts	2,042,706	2,397,778
Obligations under finance leases and hire purchase contracts	42,796	53,296
	------------	------------
	2,085,502	2,451,074
	------------	------------

The bank loans are secured by a legal charge over the freehold property and a debenture over the assets of the company, as well as by a cross-guarantee given by the other companies under the control of the shareholder. The loans are repayable on a monthly/quarterly basis and interest of base rate plus 2.25%/2.10% is payable on the loans.

At 30 November 2025, the net bank loans subject to the cross guarantee amounted to £14.5m (2024: £18.9m).

There is a second tier fixed and floating charge over the assets of the company.

16. Finance leases and hire purchase contracts

The total future minimum lease payments under finance leases and hire purchase contracts are as follows:

	2025	2024
	£	£
Not later than 1 year	7,821	7,121
Later than 1 year and not later than 5 years	42,796	53,296
	--------	--------
	50,617	60,417
	--------	--------

Finance lease payments represent rentals payable by the company for a motor vehicle. Lease include purchase option at the end of the lease period, and no restrictions are placed on the use of the asset. The lease term is 48 months and is on a fixed repayment basis.

17. Provisions

	Deferred tax (note 18)
	£
At 1 December 2024	2,267,793
Additions	1,759
	------------
At 30 November 2025	2,269,552
	------------

18. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	2025	2024
	£	£
Included in provisions (note 17)	2,269,552	2,267,793
	------------	------------

The deferred tax account consists of the tax effect of timing differences in respect of:

	2025	2024
	£	£
Accelerated capital allowances	79,055	77,306
Short term timing differences	(1,272)	(1,281)
Capital gains/(losses)	2,191,769	2,191,768
	------------	------------
	2,269,552	2,267,793
	------------	------------

19. Employee benefits

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 103,380 (2024: £ 83,704 ).

20. Called up share capital

Issued, called up and fully paid

	2025		2024
	No.	£	No.	£
Ordinary shares of £ 1 each	100	100	100	100
	----	----	----	----

21. Reserves

Revaluation reserve - This reserve records the value of asset revaluations and fair value movements on assets recognised in other comprehensive income. Profit and loss account - This reserve records retained earnings and accumulated losses.

22. Related party transactions

The company has taken advantage not to disclose transactions and balances with other 100% owned group companies. The company also owed £2.5m (2024: £nil) to LCH Care Group Limited, a company under common control. The company was charged no interest on this loan in the year.

23. Controlling party

The ultimate parent company of this entity is LCH2010 Newco Limited. The results of the company are included within the consolidated financial statements of LCH2010 Newco Limited which are available from Companies House. The company is registered in England and Wales and the registered office address is Macneil House, 9-17 Lodge Lane, London, N12 8JH.