REGISTERED NUMBER: 06268593 (England and Wales)

Group Strategic Report, Report of the Director and

Audited Consolidated Financial Statements for the Year Ended 31 August 2025

for

SPEED GROUP (HOLDINGS) LIMITED

Page

Company Information

1

Group Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

4

Consolidated Statement of Comprehensive Income

7

Consolidated Balance Sheet

8

Company Balance Sheet

9

Consolidated Statement of Changes in Equity

10

Company Statement of Changes in Equity

11

Consolidated Cash Flow Statement

12

Notes to the Consolidated Cash Flow Statement

13

Notes to the Consolidated Financial Statements

14

DIRECTOR:

R P Lewis

REGISTERED OFFICE:

Driftstone Manor

Middleway

Kingston Gorse

East Preston

West Sussex

BN16 1SB

REGISTERED NUMBER:

06268593 (England and Wales)

AUDITORS:

GBJ Financial Ltd

Sterling House

27 Hatchlands Road

Redhill

Surrey

RH1 6RW

The director presents his strategic report of the company and the group for the year ended 31 August 2025.

PRINCIPAL RISKS AND UNCERTAINTIES

The director constantly monitors the risks and uncertainties facing the company with particular reference to the exposure on cashflow liquidity, staffing, interest rates and credit risks. He is confident that there are suitable policies in place to mitigate these and there are no material risks and uncertainties which have not been considered in advance. The company uses various financial instruments which include cash and other items, such as trade debtors and trade creditors and monitors liquidity issues that can arise directly from its operations. The main purpose of these financial instruments is to raise finance for the company's operations. The existence of these financial instruments exposes the company to a number of financial risks, which are described in more detail below. The main risk arising from the company's financial instruments is liquidity risk. The director reviews and agrees policies for managing this risk which is summarised below. This policy has remained unchanged from previous years.

LIQUIDITY RISK

The company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash into assets of the business prudently and ultimately for long-term profit. The company's policy throughout the year has been to achieve this objective through the day-to-day involvement of management teams in business decisions, rather than through setting maximum or minimum liquidity ratios.

FAIR REVIEW OF THE BUSINESS

The principal activities of the Group are those of aviation and travel related services, house building, and human resource management.

All of the business-to-business marketplaces in which the Group operates continue to be highly competitive. The Group's only consumer marketplace is UK house building. This marketplace has been buoyant but has entered a period of stagnation.

The Group’s profit for the year after tax was £1.5m (2024: £0.9m) which is an increase of 54.4% on the prior year. Turnover was £18.7m (2024: £17.5) which is 7.0% higher than the prior year. The gross profit margin was 18.7% (2024: 13.1%), and the gross profit was 47.9% higher than the prior year.

During 2025, the demand for the Group’s aviation services reduced, whilst increased overhead and operational costs affected gross margins from that business.

The net assets of the Group were £29.5m (2024: £28.7m). Current assets have increased by £0.4m, from £31.1m to £31.5m. Cash and cash equivalents decreased by £0.5m which was partly due to a decrease in current liabilities from £2.3m to £1.8m.

DEVELOPMENT AND PERFORMANCE

Our strategy is to seek niche opportunities within the aviation, procurement, and human resource marketplaces, with particular emphasis on the African continent. The group intends to continue to increase its UK house building and property development division to become less affected by African political instabilities.

KEY PERFORMANCE INDICATORS

2025

2024

Turnover

£18.7m

£17.5m

Gross profit

£3.5m

£2.3m

Gross margin

18.7%

13.1%

Profit before tax

£1.9m

£1.3m

ON BEHALF OF THE BOARD:

R P Lewis - Director

20 August 2026

The director presents his report with the financial statements of the company and the group for the year ended 31 August 2025.

PRINCIPAL ACTIVITIES

The principal activities of the group in the year under review were those of house building, human resource management, aviation and travel related services.

DIVIDENDS

An interim dividend of £6 per share was paid on 30 August 2025. The director recommends that no final dividend be paid.

The total distribution of dividends for the year ended 31 August 2025 will be £ 600,000 .

The director does not recommend the payment of a further dividend.

DIRECTOR

R P Lewis held office during the whole of the period from 1 September 2024 to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is 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 director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group 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 director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he 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 group's auditors are aware of that information.

AUDITORS

The auditors, GBJ Financial Ltd, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

R P Lewis - Director

20 August 2026

Opinion

We have audited the financial statements of Speed Group (Holdings) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 August 2025 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 August 2025 and of the group's 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 group 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 director's 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 group's and the parent 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 director with respect to going concern are described in the relevant sections of this report.

Other information

The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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 Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Director 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director.

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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of director's remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is responsible for assessing the group's and the parent 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 director either intends to liquidate the group or the parent company or to cease operations, or has 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.

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.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting inappropriate journal entries and management bias in accounting estimates. Audit procedures performed by the engagement team included:

- Discussions with management, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud;

- Reviewing minutes of meetings between those charged with governance.

- Challenging assumptions and judgements made by management in determining their significant accounting estimates.

- Challenging why certain items are excluded or included from the underlying profit.

- Reviewing journal entries for appropriateness and to identify any unusual accounting entries.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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.

Jonathan Hillier (Senior Statutory Auditor)

for and on behalf of GBJ Financial Ltd

Sterling House

27 Hatchlands Road

Redhill

Surrey

RH1 6RW

20 August 2026

TURNOVER

3

18,706,006

17,485,288

Cost of sales

(15,215,136

)

(15,124,630

)

GROSS PROFIT

3,490,870

2,360,658

Administrative expenses

(1,847,565

)

(2,074,000

)

1,643,305

286,658

Other operating income

-

47

Gain/loss on revaluation of assets

(260,000

)

-

OPERATING PROFIT

5

1,383,305

286,705

Gain/ (loss) on investments at

fair value

6

183,607

503,993

1,566,912

790,698

Interest receivable and similar income

421,955

507,634

1,988,867

1,298,332

Interest payable and similar expenses

7

(11,487

)

-

PROFIT BEFORE TAXATION

1,977,380

1,298,332

Tax on profit

8

(491,966

)

(336,269

)

PROFIT FOR THE FINANCIAL YEAR

1,485,414

962,063

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,485,414

962,063

Profit attributable to:

Owners of the parent

1,485,414

962,063

Total comprehensive income attributable to:

Owners of the parent

1,485,414

962,063

FIXED ASSETS

Tangible assets

12

130,272

175,317

Investments

13

-

-

130,272

175,317

CURRENT ASSETS

Stocks

14

10,801,459

13,071,610

Debtors

15

5,879,243

2,898,577

Investments

16

1,953,607

1,770,000

Cash at bank and in hand

12,856,719

13,311,754

31,491,028

31,051,941

CREDITORS

Amounts falling due within one year

17

(1,835,876

)

(2,373,150

)

NET CURRENT ASSETS

29,655,152

28,678,791

TOTAL ASSETS LESS CURRENT LIABILITIES

29,785,424

28,854,108

PROVISIONS FOR LIABILITIES

19

(214,336

)

(168,434

)

NET ASSETS

29,571,088

28,685,674

CAPITAL AND RESERVES

Called up share capital

20

100

100

Capital redemption reserve

12

12

Retained earnings

29,570,976

28,685,562

SHAREHOLDERS' FUNDS

29,571,088

28,685,674

The financial statements were approved by the director and authorised for issue on 20 August 2026 and were signed by:

R P Lewis - Director

FIXED ASSETS

Tangible assets

12

35,694

48,841

Investments

13

726,164

726,164

761,858

775,005

CURRENT ASSETS

Debtors

15

17,039,910

15,538,495

Investments

16

1,953,607

1,770,000

Cash at bank

12,792,584

13,238,152

31,786,101

30,546,647

CREDITORS

Amounts falling due within one year

17

(1,528,717

)

(856,620

)

NET CURRENT ASSETS

30,257,384

29,690,027

TOTAL ASSETS LESS CURRENT LIABILITIES

31,019,242

30,465,032

PROVISIONS FOR LIABILITIES

19

(214,336

)

(168,434

)

NET ASSETS

30,804,906

30,296,598

CAPITAL AND RESERVES

Called up share capital

20

100

100

Capital redemption reserve

12

12

Retained earnings

30,804,794

30,296,486

SHAREHOLDERS' FUNDS

30,804,906

30,296,598

Company's profit for the financial year

1,108,308

1,456,764

The financial statements were approved by the director and authorised for issue on 20 August 2026 and were signed by:

R P Lewis - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 September 2023

100

28,323,499

12

28,323,611

Changes in equity

Dividends

-

(600,000

)

-

(600,000

)

Total comprehensive income

-

962,063

-

962,063

Balance at 31 August 2024

100

28,685,562

12

28,685,674

Changes in equity

Dividends

-

(600,000

)

-

(600,000

)

Total comprehensive income

-

1,485,414

-

1,485,414

Balance at 31 August 2025

100

29,570,976

12

29,571,088

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 September 2023

100

29,439,722

12

29,439,834

Changes in equity

Dividends

-

(600,000

)

-

(600,000

)

Total comprehensive income

-

1,456,764

-

1,456,764

Balance at 31 August 2024

100

30,296,486

12

30,296,598

Changes in equity

Dividends

-

(600,000

)

-

(600,000

)

Total comprehensive income

-

1,108,308

-

1,108,308

Balance at 31 August 2025

100

30,804,794

12

30,804,906

Cash flows from operating activities

Cash generated from operations

1

335,716

(2,820,867

)

Interest paid

(11,487

)

-

Tax paid

(593,782

)

(413,428

)

Net cash from operating activities

(269,553

)

(3,234,295

)

Cash flows from investing activities

Purchase of tangible fixed assets

(7,437

)

(20,311

)

Sale of tangible fixed assets

-

11,000

Interest received

421,955

507,634

Net cash from investing activities

414,518

498,323

Cash flows from financing activities

Equity dividends paid

(600,000

)

(600,000

)

Net cash from financing activities

(600,000

)

(600,000

)

Decrease in cash and cash equivalents

(455,035

)

(3,335,972

)

Cash and cash equivalents at beginning of year

2

13,311,754

16,647,726

Cash and cash equivalents at end of year

2

12,856,719

13,311,754

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

2025

2024

£

£

Profit before taxation

1,977,380

1,298,332

Depreciation charges

52,482

53,553

Profit on disposal of fixed assets

-

(11,000

)

Revaluation of investments

(183,607

)

(503,993

)

Finance costs

11,487

-

Finance income

(421,955

)

(507,634

)

1,435,787

329,258

Decrease/(increase) in stocks

2,270,151

(2,183,870

)

Increase in trade and other debtors

(3,003,563

)

(76,809

)

Decrease in trade and other creditors

(366,659

)

(889,446

)

Cash generated from operations

335,716

(2,820,867

)

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 August 2025

31.8.25

1.9.24

£

£

Cash and cash equivalents

12,856,719

13,311,754

Year ended 31 August 2024

31.8.24

1.9.23

£

£

Cash and cash equivalents

13,311,754

16,647,726

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.9.24

Cash flow

At 31.8.25

£

£

£

Net cash

Cash at bank and in hand

13,311,754

(455,035

)

12,856,719

13,311,754

(455,035

)

12,856,719

Liquid resources

Current asset investments

1,770,000

183,607

1,953,607

1,770,000

183,607

1,953,607

Total

15,081,754

(271,428

)

14,810,326

1.	STATUTORY INFORMATION

Speed Group (Holdings) Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

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 £1.

Cash and cash equivalents

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

Reduced disclosures

In accordance with FRS102, the company has taken advantage of the exemptions from the following disclosure requirements:

- Section 7" Statement of Cash Flows" - presentation of a Statement of Cash Flow and related notes and disclosures.

- Section 33 "Related Party Disclosures" - compensation for key management personnel.

Basis of consolidation

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the asset given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination included the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

The consolidated financial statements incorporate those of Speed Group (Holdings) Limited and its subsidiaries (ie the entity that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits). All financial statements are made up to 31 August 2024.

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Significant judgements and estimates

Critical judgements

In the course of preparing the financial statements, no significant judgements have been made in the process of applying the Group’s accounting policies that have had a significant effect on the amounts recognised in the financial statements.

Sources of estimation uncertainty

In applying the Group’s accounting policies, various transactions and balances are valued using estimates or assumptions. Should these estimates or assumptions prove incorrect, there may be an impact on the following year’s financial statements. There were no sources of material estimation uncertainty at the end of 2024.

Turnover

Turnover is stated net of VAT and trade discounts and is recognised when the significant risks and rewards are considered to have been transferred to the buyer. Turnover from the sale of housing is recognised on completion of contracts. Turnover from the supply of services represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Where a contract has only been partially completed at the balance sheet date by reference to the flight or travel date, turnover represents the fair value of the service provided to the stage of completion of the contract activity at the balance sheet date. Where payments are received from customers in advance of services provided, the amounts are recorded as deferred income and included as part of creditors due within one year.

Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

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

Plant and machinery

- 33% on cost and 15% on cost

Fixtures and fittings

- 15% on cost

Motor vehicles

- 15% on cost

Improvements to property

- over the term of the underlying lease

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.

Stocks

Stocks and work in progress have been valued at the lower of cost and net realisable value. All properties are held for resale.

Work in progress represents all direct costs and an appropriate proportion of fixed and variable overheads to date in relation to the housing development still under construction. At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stock over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, 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.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Property, plant and equipment acquired under finance leases or hire purchase contracts are capitalised and depreciated in the same manner as other tangible fixed assets. The related obligations, net of future finance charges, are included in creditors.

Rentals payable under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease

Pension costs and other post-retirement benefits

The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.

Investments

Listed investments are stated at fair value. Investments in subsidiary companies are stated at cost.

Financial 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.

Basic financial assets

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.

Basic financial liabilities

Basic financial liabilities, including trade and other 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 receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Equity Instruments

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

All called up share capital is allotted and fully paid.

Going concern

The financial statements have been prepared on the going concern basis, which presumes that the group will continue in operational existence for the foreseeable future, being a period of at least 12 months from the date of approval of these financial statements.

The director has considered the working capital requirements across the group as a whole and is satisfied that the healthy cash reserves within the group are sufficient to complete projects and meet its liabilities as they fall due for payment.

In making this assessment the director has given consideration to how the cost-of-living crisis has, and may continue to impact its business. The director is satisfied that the group has been able to continually adapt its working practices to be compliant with regulations and guidance and provide a safe working environment.

In view of the above, and after taking into account all other information that could reasonably be expected to be available, the director is confident that the group will continue in operational existence for the foreseeable future and that the going concern basis is therefore appropriate for the preparation of the group’s financial statements.