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Registered Number:
FOR THE YEAR ENDED 31 DECEMBER 2025
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COMPANY INFORMATION
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CONTENTS
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STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2025
The Directors present their strategic report for the year ended 31 December 2025.
The principal activity of the Company during the year under review was the provision of managed procurement and neutral marketplace services for the professional services to the public sector.
The Company’s strategy is to make it easier for public sector organisations to commission professional services and for suppliers to compete for and deliver that work. Its managed service combines an open supplier marketplace, procurement expertise and a digital platform. The Directors’ focus is on stronger client and supplier relationships, efficient delivery and sustainable growth.
The business model supports clients from the definition of a requirement through sourcing, contracting, delivery oversight and payment. The Group earns revenue from projects delivered through its marketplace and therefore depends on a continuing flow of new requirements as well as performance of its existing orderbook. Purpose To harness the full potential of public spending as a force for inclusive growth, social value, and
environmental renewal.
Mission To remove barriers from procurement, enabling public sector leaders to act boldly, unlock innovation, and deliver lasting impact for communities and the planet. Vision To revolutionise procurement so that every taxpayer pound becomes a catalyst for extraordinary outcomes, creating fairer, greener, and more resilient futures for people and places. Bloom’s managed service brings its purpose and mission into day-to-day delivery. Its marketplace and procurement specialists help clients define requirements, access a broad supplier base and manage projects against agreed deliverables. The open marketplace is designed to give suppliers, including SME’s and VCSE’s, access to public sector opportunities. Our approach supports the transparency and SME participation objectives of the Procurement Act 2023 and the National Procurement Policy Statement. Bloom supports commissioner and procurement team capacity by helping clients prepare outcome-focused statements of work, define deliverables and select an appropriate route to market. Its processes are designed to support compliant and efficient procurement. As principal contractor, Bloom manages the project lifecycle, from sourcing and contracting through delivery oversight and payment, with responsibilities and controls defined in its agreements with client and suppliers.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
New Requirements secured during 2025 were £277.9m (2024: £361.4m), a reduction of 23%. The decline reflected lower new project activity, with two significant clients accounting for much of the reduction. Revenue nevertheless increased to £295.8m (2024: £293.5m), supported by the opening orderbook and continuing project delivery. Gross profit rose to £8.6m (2024: £8.5m). The lower intake of New Requirements is an indicator of pressure on future activity, which the Directors monitor alongside the orderbook and pipeline.
During the year, the Company undertook a restructuring programme to align its operating cost base and organisational structure with the expected level of activity. This resulted in £0.7m of exceptional restructuring costs during 2025. Average employee numbers reduced to 75 (2024: 93), with total staff costs reducing to £4.9m (2024: £6.0m). Adjusted EBITDA increased to £1.6m (2024: £1.4m). Operating profit, after £0.7m of exceptional restructuring costs, was £0.1m (2024: £0.7m). Amortisation increased to £0.8m (2024: £0.2m) reflecting prior investment in the technology platform. Bloom continued to invest in its technology and digital capabilities during the year, supporting the ongoing development of its proprietary procurement platform and the efficiency and scalability of its operating model. The restructuring reduced the cost base while retaining capacity to serve clients and suppliers. The Company continued to invest in its platform and business process automation, with the aim of improving service and operating efficiency. The Directors will assess the pace of further investment against trading performance and cash generation. Outlook The Directors remain mindful of uncertainty in the timing and volume of public sector procurement activity, particularly following the decline in New Requirements during 2025. They continue to monitor the orderbook, pipeline, client concentration and cash position, and to manage costs and investment accordingly. During August 2026, the NEPRO3 framework agreement was extended to 31 August 2029. This post-year-end development provides greater certainty over Bloom's principal route to market and supports continued service to existing and new clients. Dependence on that route remains a longer-term strategic risk. Bloom's priorities are to develop client demand, strengthen supplier participation and service, improve its technology-enabled operating model, and manage costs and cash. The Company will also assess complementary routes to market and commercial models that support sustainable growth.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
The Directors monitor financial and operational measures including New Requirements, revenue, gross profit and adjusted EBITDA. Adjusted EBITDA means earnings before interest, tax, depreciation and amortisation, adjusted for exceptional items.
**New Requirements: New Requirements represent the value of new projects secured through Bloom's marketplace and provide an important indicator of future activity. The Directors consider these measures alongside the Company’s forward orderbook, pipeline, cash position and other operational measures when assessing performance and determining future priorities. Risk Management Bloom’s risk management framework is designed to identify, assess, and manage the uncertainties that could impact our strategy, performance, or financial stability. Principal risks are those considered most significant in terms of likelihood and potential impact on our business model, operations, or reputation. The executive team reviews risk monthly, considering probability, impact, and the effectiveness of mitigation plans. Risk identification is informed by engagement across business units and enabling functions. Oversight responsibilities rest with executive team members in their respective areas, with legal counsel coordinating risk reporting and governance. Risk Appetite Bloom seeks to prevent breaches of anti-bribery, corruption and data protection requirements through its controls and governance. Strategic decisions may involve measured risk where the expected benefit justifies it. In 2025 we continued to strengthen our risk management capabilities: Governance and Compliance: Building on ISO 9001 and ISO 27001 certifications achieved in 2023, we embedded more rigorous controls across information security, quality management, and compliance processes. Change and Transformation: Our dedicated function has supported delivery of major strategic projects while ensuring risks are evaluated and managed effectively. Tax Governance: The Senior Accounting Officer function, introduced in 2023, is now fully embedded and ensures compliance with evolving tax requirements. Technology Investment: The Group continues to invest in its digital platform to improve customer experience and operational resilience. People and Culture: Attracting and retaining skilled colleagues remains a top priority. Initiatives in leadership development, career pathways, and employee wellbeing have strengthened our employee value proposition.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
Principal Risks – 2025
The Directors have considered the principal risks and uncertainties that could have a material impact on the Company's business model, future performance, financial position or reputation. These risks are monitored through the Company's risk management framework, with mitigating actions assigned to members of the Executive Team.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
Sustainability and social value remain central to how the Company operates and how we support the public sector. Our approach is guided by three strategic foundations - Purpose, People and Planet, which shape how we design procurement solutions, support our supplier community and invest in the communities connected to our work. These pillars ensure that the activity delivered through Bloom marketplace goes beyond procurement alone. They provide a framework for translating public sector spend into wider economic, social and environmental impact. In 2025, these principles were not simply commitments. They were reflected in the outcomes delivered through the projects we supported, the partnerships we strengthened and the communities that benefited from the work delivered through our marketplace.
During 2025, projects supported through the marketplace generated over £54 million of social value, measured using the National TOMs Framework. SME’s received 78% of contracts awarded representing more than £131.5m of contract value. Bloom also continued to progress its environmental objectives during the year. 2025 represented the fifth year in which Bloom measured and reported its carbon emissions. Total reported greenhouse gas emissions were 54.3 tCO2e, compared with the Company's 2021 baseline of 74.6 tCO2e, representing a reduction of 27.2%. Bloom remains committed to achieving Net Zero by 2045. During 2025, the Company continued to develop initiatives relating to sustainable travel, energy efficiency, employee engagement, supply-chain engagement, improved Scope 3 measurement and emissions data governance. Further information on the Group's sustainability activities, social value outcomes and carbon reduction plans is set out in Bloom's Sustainability & Social Value Report 2025.
SECR Reporting
Total reported gross emissions in 2025 were 54.3 tCO2e, compared with the 2021 baseline of 74.6 tCO2e, a reduction of 27.2%. The Company's intensity metric was 0.7 tCO2e per employee in 2025, compared with 0.9 tCO2e per employee in the 2021 benchmark year, representing a reduction of 23%. Following carbon offsets of 2.0 tCO2e, total annual net emissions were 52.3 tCO2e. Historically the Company was able to provide electricity and gas readings but with the move to a new managed service property the landlord is unable to provide this data and we are now unable to calculate the associated emissions for scopes 1 and 2.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
The table presents the emissions measured for the stated reporting boundary.
* The location-based method reflects the average emissions intensity of the actual electricity produced and consumed within the UK grid. A market-based method reflects emissions from electricity that companies have purposefully chosen.
Once again, the Company partnered with Ecologi, the UK’s leading all-in-one climate platform to fund carbon removal credits. Carbon removal credits are issued to projects which remove CO2e from the atmosphere and are used as part of the Company’s wider CSR activity. To date we have funded the planting of 5,409 trees through certified global reforestation initiatives.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
At Bloom, we recognise that our people are fundamental to the success of our business. The commitment, expertise and contribution of our employees play a vital role in delivering high-quality services, supporting our clients and achieving our long-term strategic objectives.
We are committed to creating an environment where our people feel valued, supported and connected to Bloom's purpose. We believe that meaningful employee engagement strengthens collaboration, encourages innovation, supports individual and collective performance, and helps build a resilient and successful organisation. Our approach to engagement is underpinned by Bloom's Trademark Behaviours: Working Together, Being Real and True, and Being Curious. These behaviours guide how we work with one another, build relationships and contribute to a positive and inclusive workplace culture. Listening to our employees is an important part of our people strategy. Through regular feedback and engagement activities, we seek to understand our employees' experiences, identify areas for improvement and respond to the issues that matter to them. However, gathering feedback is only the starting point. We recognise that building trust and demonstrating meaningful commitment requires us to act on what we hear, communicate progress and ensure that employee feedback informs continuous improvement across the organisation. Our employee engagement initiatives include:
∙Employee listening and feedback: Engagement surveys, annual face-to-face meetings with Human Resources and the Hive Open Door, providing colleagues with the opportunity to share feedback anonymously throughout the year.
∙Recognition and appreciation: Hive Five, enabling regular feedback, thanks and recognition aligned to our Trademark Behaviours, alongside formal annual peer-nominated awards.
∙Communication and connection: An annual all-team strategic conference, mid-year strategy update and regular Bloom Buzz forums, providing opportunities for colleagues to connect, ask questions and engage with the wider business.
∙Regular employee support: One-to-one meetings between employees and their managers to support communication, wellbeing, performance and development.
∙Learning and development: A combination of mandatory training and tailored team and individual development programmes to strengthen skills, knowledge and career progression.
∙Onboarding and integration: A structured onboarding experience incorporating a buddy system, mandatory training and informative learning to support new colleagues in becoming effective and connected members of the team.
∙Wellbeing: Wellness initiatives and awareness training to support employee health, wellbeing and a positive working environment.
∙Community engagement: Volunteer days that enable colleagues to contribute to charitable activities and make a positive difference within the wider community.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
At Bloom, we aim to foster a culture built on respect, inclusion, collaboration and continuous development. We recognise that a diverse workforce, bringing together different perspectives, experiences, skills and backgrounds, strengthens our organisation and supports the delivery of positive outcomes for our clients, suppliers and communities.
Equality, diversity and inclusion are central to our commitment to creating a workplace where everyone is treated fairly, feels respected and has the opportunity to thrive. We seek to ensure that our people are supported to contribute fully, develop their potential and build meaningful careers within Bloom. Learning and development remain important components of our approach to supporting employees and maintaining a responsible and capable workforce. Our mandatory training programme covers key areas including equality, diversity and inclusion, anti-bullying and harassment, sexual harassment prevention, cyber security, modern slavery, anti-bribery and corruption, and UK GDPR. These programmes help strengthen awareness of our responsibilities, support compliance and reinforce the standards of behaviour expected across the organisation. In addition to mandatory learning, we support role-specific and professional development through structured development programmes. This includes CIPS procurement and supply training qualifications for a number of our procurement business partners and procurement specialist, and accounting qualifications, including AAT and CIMA, for finance professionals. These opportunities are designed to support the development of technical capability, professional expertise and long-term career progression. We recognise that an inclusive culture requires more than policies and training alone. It depends on consistent behaviours, accountability and a willingness to listen, learn and improve. Our policies, procedures and learning programmes provide a framework for promoting fairness, respect and equal opportunity, while our Trademark Behaviours help translate these principles into everyday working relationships and decisions. Bloom maintains a zero-tolerance approach to bullying, harassment and discrimination. We are committed to preventing inappropriate behaviour, supporting employees who raise concerns and responding appropriately when issues arise. Through education, clear expectations and appropriate support mechanisms, we aim to maintain a workplace where people feel safe to speak up, where concerns are taken seriously and where dignity and respect are upheld. Looking ahead, we will continue to strengthen our organisational culture by promoting equality, diversity and inclusion, investing in employee development and encouraging open and constructive communication. Our leadership team recognises its responsibility to support these priorities, while every colleague has a role to play in creating a collaborative, respectful and inclusive workplace. Through this shared commitment, we aim to build a culture in which our people feel valued, supported and empowered to make a meaningful contribution to Bloom's continued success.
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STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
Section 172(1)(a) to (f) requires the company directors to consider, both individually and collectively, that they have acted in the way that they consider, in good faith, would be most likely to promote the success of the company for the benefit of its members as a whole in the decisions taken during the current year.
When making these decisions the directors have given regard to:
∙The likely consequences of any decisions on the long term,
∙The interests of the group’s employees,
∙The need to foster the group’s business relationships with suppliers, customers, and others,
∙The impact of the group’s operations on the community and environment,
∙The desirability of the company maintaining a reputation for high standards of business conduct, and
∙The need to act fairly between shareholders of the company.
The Board reviews information about the Company’s employees, clients, suppliers, communities and shareholders alongside financial performance, principal risks and legal obligations. In 2025, significant decisions included restructuring the business to reflect expected activity while continuing investment in the technology platform. In making those decisions, the Directors considered the effect on employees, service continuity for clients and suppliers, future resilience and the interests of shareholders.
The Board considers all of these interests when assessing the Company's long-term success which enables the directors to comply with their legal duty under section 172 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
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DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2025
The directors present their report and the financial statements for the year ended 31 December 2025.
The profit for the year, after taxation, amounted to £1,152,057 (2024 - £828,475).
Dividends totalling £4,000,000 were declared in the year (2024 - £nil).
The directors who served during the year were:
A resolution to appoint AAB Audit & Accountancy Limited as auditor of the Company will be proposed at the next general meeting.
This report was approved by the board and signed on its behalf.
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DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2025
The directors are responsible for preparing the Strategic report, the 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
∙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 to 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.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLOOM PROCUREMENT SERVICES LTD
We have audited the financial statements of Bloom Procurement Services Ltd (the 'Company') for the year ended 31 December 2025, which comprise the Statement of comprehensive income, the Statement of financial position, the 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 Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
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.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of 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.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLOOM PROCUREMENT SERVICES LTD (CONTINUED)
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.
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.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLOOM PROCUREMENT SERVICES LTD (CONTINUED)
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:
We obtained an understanding of the legal and regulatory frameworks within which the company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006 and Taxation legislation. We identified the greatest risk of material impact on the financial statements from irregularities including fraud to be:
∙Management override of controls to manipulate the company's key performance indicators to meet targets;
∙Timing and completeness of revenue recognition;
∙Management judgement applied in calculating estimates and provisions; and
∙Compliance with relevant laws and regulations which directly impact the financial statements and those that the company needs to comply with for the purpose of trading.
Our audit procedures to respond to these risks included:
∙Testing of journal entries and other adjustments for appropriateness;
∙Substantive testing of revenue confirming the revenue recognition criteria was met and that revenue was recorded in the correct period;
∙Evaluating the business rationale of significant transactions outside the normal course of business;
∙Reviewing judgements made by management in their calculation of accounting estimates and provision for potential management bias;
∙Enquiries of management about litigation and claims and inspection of relevant correspondence;
∙Reviewing legal and professional fees to identify indications of actual or potential litigation, claims and any non-compliance with laws and regulations;
∙Reviewing minutes of meetings of those charged with governance to identify any matters indicating actual or potential fraud; and
∙Performing a disclosure checklist on the financial statements to ensure Companies Act 2006 requirements are satisfied.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
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 Auditor's report.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLOOM PROCUREMENT SERVICES LTD (CONTINUED)
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.
for and on behalf of
Statutory Auditor
81 George Streeet
EH2 3ES
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STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2025
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STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2025
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 19 to 32 form part of these financial statements.
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STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2025
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
Bloom Procurement Services Limited is a limited liability company incorporated in England and Wales (registration number 08045123). The registered office is 3rd Floor 1 Ashley Road, Altrincham, Cheshire, United Kingdom, WA14 2DT.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
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 £.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
∙the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of V4 UK Holdings Limited as at 31 December 2025 and these financial statements may be obtained from 3rd Floor 1 Ashley Road, Altrincham, Cheshire, United Kingdom, WA14 2DT.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.Accounting policies (continued)
The Group is the single provider to the third iteration of the NEPRO Framework Agreement in partnership with NEPO (North East Procurement Organisation). The NEPRO Three contract commenced on 1 September 2019 and following the initial four-year agreement an extension was secured in September 2023 which ensured revenue for a further four years to 2027. Post the year end, during August 2026, a further extension was granted to 31 August 2029.
Although the business is currently reliant on its Framework Agreement with NEPO the directors anticipate that the Company will be awarded other complementary framework contracts which will allow it not only to maintain its current market position but will also extend its reach across the entire public sector. The directors have made an informed judgement at the time of approving the financial statements, that there is a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. As a result, the directors have continued to adopt the going concern basis of accounting in preparing the annual financial statements. Revenue is derived from sales of professional services and is recognised when (i) persuasive evidence of an arrangement exists; (ii) the sales price can be reasonably measured; and (iii) collectability can be reasonably assured. Consistent with the principal model, revenue is recognised on the gross amount received, as the applicable services are provided. Revenue from all professional services is recognised when the performance obligation of a given milestone has been fulfilled and the services are provided. Where professional services engagements contain material obligations, revenue is recognised when all the obligations under the engagement have been fulfilled. Where professional services engagements are provided on a fixed price basis, revenue is recognised based on the percentage completion of the relevant engagement. Percentage completion is estimated based on the total number of days performed on the project compared to the total number of days expected to complete the project. Should any contracts contain non-standard clauses, revenue recognition will be in accordance with the underlying contractual terms which will normally result in recognition of revenue being deferred until all material obligations are satisfied. The Company does not have any contracts where a financing component exists within the contract. If the amount of revenue recognised exceeds the amount invoiced the excess is included within accrued income.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.Accounting policies (continued)
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only. Amortisation commences only when the software is available for its intended use. It is allocated on a systematic basis over its estimated useful economic life using the straight-line method. The estimated useful lives for capitalised software are as follows: Internally Developed Software Platform 10 years. The useful economic life and amortisation method are reviewed at least at each financial year-end. If there is an indication that there has been a significant change in the amortisation rate or residual value of the asset, the amortisation is revised prospectively to reflect the new expectations. Impairment of Assets At each reporting date, the software is reviewed to determine whether there is any indication that the asset has suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any), which is recognised immediately in the Statement of Comprehensive Income. The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the Company in independently administered funds.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.Accounting policies (continued)
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the Company's Statement of financial position 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 assets
Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.
Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.
Other financial assets
Other financial assets, which includes investments in equity instruments which are not classified as
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.Accounting policies (continued)
subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.
Impairment of financial assets
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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.
Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.
If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.
Basic 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 the deduction of all its liabilities.
Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Derecognition of financial instruments
Derecognition of financial assets
Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.Accounting policies (continued)
Derecognition of financial liabilities
Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
Internally Developed Software Platform Management exercises judgement in determining that the internally developed software met all capitalisation criteria and has successfully transitioned from the development phase to being available for its intended use. Upon deployment, judgement was required to establish the useful estimated life of the asset, that the asset is technically feasible, fully operational, and capable of generating distinct future economic benefits.
The whole of the turnover is attributable to the provision of vendor solutions for consultancy services.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
8.Taxation (continued)
There are no factors that may affect future tax charges.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
The Company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The unpaid contributions outstanding at the year end, included in accruals are £19,468 (2024: £58,705).
The immediate parent company is V4 Holdings Limited, a company registered in England and Wales.
The ultimate parent company is V4 UK Holdings Limited, a company registered in England and Wales. The consolidated financial statements of V4 UK Holdings Limited are publicly available and may be obtained by writing to V4 UK Holdings Limited, 3rd Floor 1 Ashley Road, Altrincham, Cheshire, United Kingdom, WA14 2DT. The ultimate controlling party is Adam Jacobs by virtue of his majority shareholding.
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