REGISTERED NUMBER: 08036935 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31 July 2025

for

Careermakers Recruitment (UK) Ltd

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Income Statement

9

Other Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Cash Flow Statement

13

Notes to the Cash Flow Statement

14

Notes to the Financial Statements

15

DIRECTORS:

M O Akram

M O Zahoor

REGISTERED OFFICE:

54 Oldham Street

Manchester

M4 1LE

REGISTERED NUMBER:

08036935 (England and Wales)

AUDITORS:

DKR Audit Services Ltd

36 Lichfield Street

Walsall

West Midlands

WS1 1TJ

The directors present their strategic report for the year ended 31 July 2025.

REVIEW OF BUSINESS

The temporary recruitment agency operates in a highly competitive market with low profit margins. The industry is characterised by intense pressure due to factors such as high demand, fluctuating job markets, and increasing competition.

The turnover for the year has increased to £22,929,467 (2024: £22,845,870), however the gross margin for the year has fallen, with a gross profit of £1,633,959 (2024: £2,434,674), primarily as a result of increased labour costs.

The average number of debtors days has fallen from 74 days in 2024 to 65 days in 2025, assisting the company to improve its cashflow.

The company continually aims to focus on operational efficiencies, customer relations, employee engagement and market positioning. This enables the agency to enhance its market position and work on improving profitability in the current challenging environment.

PRINCIPAL RISKS AND UNCERTAINTIES

Economic conditions

The company face challenges with any slowdown in the UK economy or reduced business confidence, as it would lead to reduced recruitment activity, particularly in the temporary labour market. The directors mitigate this risk wherever possible, through diversification across multiple business sectors and maintaining a broad client base to reduce dependence on individual customers.

Legislative and regulatory changes

The recruitment industry is subject to continual changes in employment legislation, tax rules and compliance requirements. The board reviews the company risk management policies and procedures, ensuring compliance with any change in legislation. There is also regular consultation with legal, payroll and compliance specialists, and ongoing staff training to ensure compliance.

Market position and competition

The recruitment market is highly competitive, with continued pricing pressure from both national and regional competitors. The directors evaluate the company's position in the market and compare it to competitors, to ensure the risk is mitigated to the extent possible. Mitigations include the company maintaining high service standards, investing in experienced consultants, and keeping a focus on client retention and long term partnerships.

Labour availability

The company relies on suitable candidates being available, so any shortage would affect the company's ability to fulfil contractual obligations with customers. This risk is mitigated by the company investing in recruitment technology and an extensive candidate database, along with continual advertising to potential candidates. There is also investment in retaining top tier candidates, to strengthen existing relationships.

KEY PERFORMANCE INDICATORS

The directors monitor the performance of the business using a combination of financial and operational KPIs.

Financial KPIs

Revenue growth: £83,597 (0.37%)

Gross profit: £1,633,959 (2024: £2,434,674)

Gross profit margin: 7.13% (2024: 10.66%)

Debtor days: 65 days (2024: 74 days)

Operational KPIs

Operational KPIs include: the number of new clients, business development activity, candidate registrations, temporary worker placements, fill rate, number of unfilled bookings and repeat business.

These are measured internally to monitor the performance of each division, identify trends, improve operational efficiency and support decision-making. Particular emphasis is placed on divisional gross margins, business development activity and fill rates to ensure sustainable and profitable growth.

FUTURE DEVELOPMENTS

The directors remain confident in the long-term prospects of the business, and continue to invest in sustainable growth despite ongoing economic and regulatory challenges.

The company's strategic priorities include increasing growth across both the temporary and permanent divisions by expanding the client portfolio, investing in technology and automation to maximise efficiency, and maintaining strong financial controls and cost management.

The directors believe the company's established reputation, diversified client base, experienced management team and focus on operational excellence ensure it is well positioned to continue delivering sustainable and profitable growth.

Market conditions will continue to be monitored closely, with the company strategy adapted where necessary, to ensure it remains resilient, competitive and well positioned in the market.

ON BEHALF OF THE BOARD:

M O Akram - Director

28 July 2026

The directors present their report with the financial statements of the company for the year ended 31 July 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of supply of temporary labour.

DIVIDENDS

Interim dividends totalling £92,500 per share were paid to shareholders in the year. The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31 July 2025 will be £185,000.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 August 2024 to the date of this report.

M O Akram

M O Zahoor

FINANCIAL INSTRUMENTS

Liquidity risk

The company manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the company has sufficient liquid resources to meet the operating needs of the business.

Interest rate risk

The company is exposed to fair value interest rate risk on its fixed rate borrowings and cash flow interest rate risk on floating rate deposits, bank overdrafts and loans. The company uses interest rate derivatives to manage the mix of fixed and variable rate debt so as to reduce its exposure to changes in interest rates.

Credit risk

Investments of cash surpluses, borrowings ana derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board.

All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are monitored on an ongoing basis and provision is made for doubtful debts where necessary.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, DKR Audit Services Ltd, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

M O Akram - Director

28 July 2026

Opinion

We have audited the financial statements of Careermakers Recruitment (UK) Ltd (the 'company') for the year ended 31 July 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 July 2025 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors 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 Report of the Directors.

We have nothing to report in respect of the following matters where 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 Statement of Directors' Responsibilities set out on page four, 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 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.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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 a Report of the Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We identified areas of laws and regulation that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with the directors, and other management, and discussed with the directors and other management the policies and procedures regarding compliance with laws and regulations. We communicated identified laws, and regulations through our team and remained alert to any indications of non-compliance throughout the audit. The potential effect of these laws and regulations on the financial statements varies considerably.

The Company is subject to laws and regulations that directly affect the financial statements including financial reporting legislation (including related companies legislation), pensions legislation, and taxation legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

Whilst the procedures undertaken to detect irregularities vary from audit to audit, based on the specific audit risks identified and assessed as material, the procedures may include the following:

* Enquiry of management and key staff

* Reviewing minutes of meetings

* Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.

* Performing audit work over the risk of management override including testing of journals and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

In addition, the Company is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on the amounts or disclosures in the financial statements, for instance through the imposition of fines. We identified the following areas as those most likely to have such an effect: health and safety, General Data Protection Regulation (GDP), fraud, bribery and corruption and employment law. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and other management and inspection of regulatory and legal correspondence, if any. The identified actual or suspected non-compliance was not sufficiently significant to our audit to result in our response being identified as a key audit matter.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

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 a Report of the Auditors 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.

Stephen Gray BSc FCA (Senior Statutory Auditor)

for and on behalf of DKR Audit Services Ltd

36 Lichfield Street

Walsall

West Midlands

WS1 1TJ

28 July 2026

TURNOVER

4

22,929,467

22,845,870

Cost of sales

21,295,508

20,411,196

GROSS PROFIT

1,633,959

2,434,674

Administrative expenses

1,430,853

1,335,307

203,106

1,099,367

Other operating income

5

-

4,372

OPERATING PROFIT

7

203,106

1,103,739

Interest receivable and similar income

9

2,078

6,567

205,184

1,110,306

Interest payable and similar expenses

10

9,887

9,157

Other finance costs

21

-

8,000

9,887

17,157

PROFIT BEFORE TAXATION

195,297

1,093,149

Tax on profit

11

27,165

276,429

PROFIT FOR THE FINANCIAL YEAR

168,132

816,720

PROFIT FOR THE YEAR

168,132

816,720

OTHER COMPREHENSIVE INCOME

Actuarial gains/(losses)

-

10,000

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

-

10,000

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

168,132

826,720

FIXED ASSETS

Tangible assets

13

392,602

453,201

CURRENT ASSETS

Debtors

14

5,251,158

5,358,719

Cash at bank

360,560

328,089

5,611,718

5,686,808

CREDITORS

Amounts falling due within one year

15

3,241,594

3,158,533

NET CURRENT ASSETS

2,370,124

2,528,275

TOTAL ASSETS LESS CURRENT LIABILITIES

2,762,726

2,981,476

CREDITORS

Amounts falling due after more than one year

16

(70,006

)

(84,598

)

PROVISIONS FOR LIABILITIES

18

(66,205

)

(76,495

)

PENSION LIABILITY

21

-

(177,000

)

NET ASSETS

2,626,515

2,643,383

CAPITAL AND RESERVES

Called up share capital

19

2

2

Retained earnings

20

2,626,513

2,643,381

SHAREHOLDERS' FUNDS

2,626,515

2,643,383

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 28 July 2026 and were signed on its behalf by:

M O Akram - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 August 2023

2

2,091,698

2,091,700

Changes in equity

Dividends

-

(275,037

)

(275,037

)

Total comprehensive income

-

826,720

826,720

Balance at 31 July 2024

2

2,643,381

2,643,383

Changes in equity

Dividends

-

(185,000

)

(185,000

)

Total comprehensive income

-

168,132

168,132

Balance at 31 July 2025

2

2,626,513

2,626,515

Cash flows from operating activities

Cash generated from operations

1

472,979

(982,694

)

Interest paid

(19

)

-

Interest element of hire purchase payments paid

(9,868

)

(9,157

)

Tax paid

(236,121

)

-

Net cash from operating activities

226,971

(991,851

)

Cash flows from investing activities

Purchase of tangible fixed assets

-

(40,307

)

Sale of tangible fixed assets

-

41,500

Interest received

2,078

6,567

Net cash from investing activities

2,078

7,760

Cash flows from financing activities

Capital repayments in year

(11,578

)

(56,210

)

Equity dividends paid

(185,000

)

(275,037

)

Net cash from financing activities

(196,578

)

(331,247

)

Increase/(decrease) in cash and cash equivalents

32,471

(1,315,338

)

Cash and cash equivalents at beginning of year

2

328,089

1,643,427

Cash and cash equivalents at end of year

2

360,560

328,089

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.7.25

31.7.24

£

£

Profit before taxation

195,297

1,093,149

Depreciation charges

60,599

64,513

Profit on disposal of fixed assets

-

(8,937

)

Pension movement

(177,000

)

-

Finance costs

9,887

17,157

Finance income

(2,078

)

(6,567

)

86,705

1,159,315

Decrease/(increase) in trade and other debtors

107,561

(1,139,630

)

Increase/(decrease) in trade and other creditors

278,713

(1,002,379

)

Cash generated from operations

472,979

(982,694

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 July 2025

31.7.25

1.8.24

£

£

Cash and cash equivalents

360,560

328,089

Year ended 31 July 2024

31.7.24

1.8.23

£

£

Cash and cash equivalents

328,089

1,643,427

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.8.24

Cash flow

At 31.7.25

£

£

£

Net cash

Cash at bank

328,089

32,471

360,560

328,089

32,471

360,560

Debt

Finance leases

(94,350

)

11,578

(82,772

)

(94,350

)

11,578

(82,772

)

Total

233,739

44,049

277,788

1.	STATUTORY INFORMATION

Careermakers Recruitment (UK) Ltd is a private company, limited by shares, registered in England and Wales. The registered office is 54 Oldham Street, Manchester, M4 1LE.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the completion stage, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Improvements to property

-

Over the period of the lease

Fixtures and fittings

-

25% on cost

Motor vehicles

-

25% on cost

Financial and equity instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial instruments

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial instruments

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basis financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

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

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Pension costs and other post-retirement benefits

For the defined benefit scheme, the liability recorded in the balance sheet is the present value of the defined obligation at that date. The defined benefit obligation is calculated on an annual basis by independent actuaries.

Actuarial gains and losses are recognised in the period in which they occur, and are shown as part of other comprehensive income.

Current and past service costs, along with settlements and curtailments, are charged to the income statement. Interest on pension plan liabilities are recognised within finance expense.

The cost of providing benefits under defined benefit plans is determined separately for each plan using the projected unit credit method, and is based on actuarial advice.

The change in the net defined benefit liability arising from employee service during the year is recognised as an employee cost. The cost of plan introductions, benefit changes, settlements and curtailments are recognised as an expense in measuring profit or loss in the period in which they arise.

The net interest element is determined by multiplying the net defined benefit liability by the discount rate, taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. The net interest is recognised in the income statement as other finance revenue or cost.

Remeasurement changes compromise actuarial gains and losses, the effect of the asset ceiling and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately in other comprehensive income in the period in which they occur and are not reclassified to profit and loss in subsequent periods.

The net defined benefit pension asset or liability in the balance sheet comprises the total for each plan of the present value of the defined benefit obligation (using a discount rate based on high quality corporate bonds), less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on market price information, and in the case of quoted securities is the published bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the scheme.

Employee benefits

The cost of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

Termination benefits and recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee, or to provide termination benefits.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to the profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to the profit or loss on a straight line basis over the term of the relevant lease, except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of revision and future periods where the revision affects both current and future periods.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on the amounts recognised in the financial statements.

Pension benefit

Actuarial assumptions are made in valuing future defined benefit pension obligations and are updated periodically. The principal assumptions relate to the rate of inflation and the discount rate. The assumed rate of inflation affects the rate at which salaries grow and therefore the size of the pensions that employees receive on retirement. The discount rate is equal to the yield on high-quality corporate bonds that have a term of maturity approximating that of the related liability, and is potentially subject to a significant variation. As a result, there is uncertainty that these assumptions will continue in the future.

4.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

31.7.25

31.7.24

£

£

Supply of labour

22,929,467

22,845,870

22,929,467

22,845,870

An analysis of turnover by geographical market is given below:

31.7.25

31.7.24

£

£

United Kingdom

22,929,467

22,845,870

22,929,467

22,845,870

5.	OTHER OPERATING INCOME

31.7.25

31.7.24

£

£

Government grants

-

4,372

6.	EMPLOYEES AND DIRECTORS

31.7.25

31.7.24

£

£

Wages and salaries

11,098,234

9,354,783

Social security costs

907,699

660,171

Other pension costs

82,413

117,464

12,088,346

10,132,418

The average number of employees during the year was as follows:

31.7.25

31.7.24

Administration

2

2

Marketing

48

51

50

53

In addition to the above, an average of 531 individuals (2024: 410) were paid under PAYE in the year for temporary work provided to customers.

31.7.25

31.7.24

£

£

Directors' remuneration

25,152

25,152

Directors' pension contributions to money purchase schemes

380

372

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

2

2

7.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

31.7.25

31.7.24

£

£

Depreciation - owned assets

60,599

64,512

Profit on disposal of fixed assets

-

(8,937

)

8.	EXCEPTIONAL ITEMS

31.7.25

31.7.24

£

£

Settlement tax costs

(43,488

)

-

Settlement penalties and interest

(41,750

)

-

(85,238

)

-

9.

INTEREST RECEIVABLE AND SIMILAR INCOME

31.7.25

31.7.24

£

£

Deposit account interest

1,221

6,567

HMRC interest received

857

-

2,078

6,567

10.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.7.25

31.7.24

£

£

Bank loan interest

19

-

Hire purchase

9,868

9,157

9,887

9,157