REGISTERED NUMBER: 04186604 (England and Wales)

B G BETTERSPOONS LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2026

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Statement of Income and Retained Earnings

9

Statement of Financial Position

10

Statement of Cash Flows

12

Notes to the Statement of Cash Flows

13

Notes to the Financial Statements

14

DIRECTORS:

M S R Blakiston

R B Goddard

SECRETARY:

R B Goddard

REGISTERED OFFICE:

The Grange

Porthgain

Haverfordwest

Pembrokeshire

SA62 5BJ

REGISTERED NUMBER:

04186604 (England and Wales)

SENIOR STATUTORY AUDITOR:

Alun Evans FCA

AUDITORS:

Bevan Buckland Audit Ltd

Chartered Accountants

& Statutory Auditors

45 High Street

Haverfordwest

Pembrokeshire

SA61 2BP

The directors present their strategic report for the year ended 31 January 2026.

REVIEW OF BUSINESS

The Statement of Income and retained earnings shows a profit for the financial year of £201,422 (2025 £475,658).

PRINCIPAL RISKS AND UNCERTAINTIES

The management of the business and the execution of the groups strategy are subject to a number of risks. The key business risks and uncertainties affecting the group are considered to relate to local competition.

SECTION 172(1) STATEMENT

The directors recognise their duties under section 172 of the Companies Act 2006 to act in the way 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 fulfilling these duties, the directors have regard to the matters set out in section 172(1), including the likely consequences of decisions in the long term, the interests of the Company's employees, the need to foster business relationships with customers, suppliers and other stakeholders, the impact of the Company's activities on the community and the environment, the desirability of maintaining a reputation for high standards of business conduct, and the need to act fairly between members of the Company.

The directors consider these matters as part of their decision-making processes and recognise that the long-term success of the Company depends upon maintaining strong relationships with its employees, customers, suppliers and other stakeholders.

GOING CONCERN

The directors have assessed the company's ability to continue as a going concern and are satisfied that the company has adequate resources to continue in operational existence for a period of at least twelve months from the date of approval of the financial statements.

In making this assessment, the directors have considered the company's current financial position, cash flow forecasts, available financing facilities and the principal risks and uncertainties facing the business. Based on this review, the directors have a reasonable expectation that the company will be able to meet its liabilities as they fall due.

Accordingly, the financial statements have been prepared on the going concern basis.

EMPLOYEES

The directors recognise that the company's employees are fundamental to its continued success. The company is committed to providing a safe, inclusive and supportive working environment in which employees are encouraged to develop their skills and contribute to the achievement of the company's objectives.

The company seeks to keep employees informed of matters affecting the business and encourages open communication and consultation on issues that are relevant to their roles and responsibilities.

The directors would like to thank all employees for their continued commitment, hard work and contribution during the year.

THE BOARD'S APPROACH

The board is committed to the long-term success and sustainability of the company. As a family-owned business, the directors recognise the importance of balancing commercial objectives with the values and principles that underpin the company's culture and reputation.

The board's approach is founded on responsible stewardship, prudent financial management and maintaining strong relationships with employees, customers, suppliers and other stakeholders. Strategic decisions are made with a focus on creating long-term value and ensuring the continued success of the business for future generations.

The directors meet regularly to review the company's performance, assess risks and opportunities, and consider matters of strategic importance. The board seeks to ensure that decisions are taken in the best interests of the company and that appropriate standards of governance are maintained.

SUPPLIERS

As a family-owned business with a long-term outlook, the company places significant importance on developing enduring relationships with trusted suppliers. The directors believe that strong supplier partnerships contribute to the quality of the company's products and services, operational resilience and sustainable growth. The company is committed to treating suppliers fairly and maintaining constructive and collaborative relationships that support the interests of all stakeholders.

CUSTOMERS

The company's reputation has been built on developing strong relationships with its customers and delivering a consistently high standard of hospitality. As a family-owned business, the directors take pride in providing a welcoming environment and personalised service that encourages repeat visits and customer loyalty.

The board recognises that customer satisfaction is essential to the continued success of the business. Feedback from guests is valued and used to inform decisions relating to service delivery, facilities and future investment, helping to ensure the business continues to meet the evolving expectations of its customers.

ON BEHALF OF THE BOARD:

R B Goddard - Director

27 October 2026

The directors present their report with the financial statements of the company for the year ended 31 January 2026.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of hospitality and farming.

DIVIDENDS

The total distribution of dividends for the year ended 31 January 2026 will be £nil.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 February 2025 to the date of this report.

M S R Blakiston

R B Goddard

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.

The auditor, Bevan Buckland Audit Ltd, previously traded through the legal entity Bevan Buckland LLP, Following a restructure and regulatory changes, Bevan Buckland LLP ceased to hold an audit registration with the engagement transitioning to Bevan Buckland Audit Ltd.

AUDITORS

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

ON BEHALF OF THE BOARD:

R B Goddard - Director

27 October 2026

Opinion

We have audited the financial statements of B G Betterspoons Limited (the 'company') for the year ended 31 January 2026 which comprise the Statement of Income and Retained Earnings, Statement of Financial Position, Statement of Cash Flows and Notes to the Statement of Cash Flows, 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 January 2026 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.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

-

the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

-

we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the international conference hosting sector;

-

we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental and health and safety legislation;

-

we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

-

identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

-

making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

-

considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

tested journal entries to identify unusual transactions;

-

assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

-

investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

-

agreeing financial statement disclosures to underlying supporting documentation;

-

enquiring of management as to actual and potential litigation and claims; and

-

reviewing correspondence with HMRC, relevant regulators and the company’s legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

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.

Alun Evans FCA (Senior Statutory Auditor)

for and on behalf of Bevan Buckland Audit Ltd

Chartered Accountants

& Statutory Auditors

45 High Street

Haverfordwest

Pembrokeshire

SA61 2BP

27 October 2026

TURNOVER

5,481,240

5,458,135

Cost of sales

(1,502,993

)

(1,479,627

)

GROSS PROFIT

3,978,247

3,978,508

Administrative expenses

(3,410,597

)

(3,443,353

)

567,650

535,155

Other operating income

30,102

28,428

OPERATING PROFIT

4

597,752

563,583

Interest receivable and similar income

41,408

45,732

639,160

609,315

Amounts written off investments

5

(227,253

)

-

411,907

609,315

Interest payable and similar expenses

6

(21,639

)

(30,299

)

PROFIT BEFORE TAXATION

390,268

579,016

Tax on profit

7

(188,846

)

(103,358

)

PROFIT FOR THE FINANCIAL YEAR

201,422

475,658

Retained earnings at beginning of year

6,492,554

6,065,896

Dividends

8

-

(49,000

)

RETAINED EARNINGS AT END OF YEAR

6,693,976

6,492,554

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

4,138,357

3,499,778

Investments

11

-

227,253

Investment property

12

610,000

610,000

4,748,357

4,337,031

CURRENT ASSETS

Stocks

13

115,129

93,604

Debtors

14

423,747

363,908

Cash at bank and in hand

2,482,252

2,766,004

3,021,128

3,223,516

CREDITORS

Amounts falling due within one year

15

493,623

454,558

NET CURRENT ASSETS

2,527,505

2,768,958

TOTAL ASSETS LESS CURRENT LIABILITIES

7,275,862

7,105,989

CREDITORS

Amounts falling due after more than one year

16

(195,497

)

(229,850

)

PROVISIONS FOR LIABILITIES

20

(114,813

)

(112,009

)

NET ASSETS

6,965,552

6,764,130

CAPITAL AND RESERVES

Called up share capital

21

200

200

Fair value reserve

22

271,376

271,376

Retained earnings

22

6,693,976

6,492,554

SHAREHOLDERS' FUNDS

6,965,552

6,764,130

The financial statements were approved by the Board of Directors and authorised for issue on 27 October 2026 and were signed on its behalf by:

R B Goddard - Director

Cash flows from operating activities

Cash generated from operations

1

511,712

575,969

Interest paid

(16,835

)

(21,416

)

Interest element of hire purchase or finance lease rental payments paid

(4,804

)

(8,883

)

Tax paid

(186,042

)

(155,209

)

Net cash from operating activities

304,031

390,461

Cash flows from investing activities

Purchase of tangible fixed assets

(796,049

)

(303,675

)

Sale of tangible fixed assets

2,650

60,736

Sale of fixed asset investments

227,253

-

Interest received

41,408

45,732

Net cash from investing activities

(524,738

)

(197,207

)

Cash flows from financing activities

Capital repayments in year

(34,353

)

(98,454

)

Amount introduced by directors

-

11,462

Amount withdrawn by directors

(28,692

)

(12,581

)

Equity dividends paid

-

(49,000

)

Net cash from financing activities

(63,045

)

(148,573

)

(Decrease)/increase in cash and cash equivalents

(283,752

)

44,681

Cash and cash equivalents at beginning of year

2

2,766,004

2,721,323

Cash and cash equivalents at end of year

2

2,482,252

2,766,004

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

2026

2025

£

£

Profit before taxation

390,268

579,016

Depreciation charges

156,584

144,106

Profit on disposal of fixed assets

(1,764

)

(19,831

)

Finance costs

21,639

30,299

Finance income

(41,408

)

(45,732

)

525,319

687,858

Increase in stocks

(21,525

)

(2,087

)

Increase in trade and other debtors

(48,003

)

(8,819

)

Increase/(decrease) in trade and other creditors

55,921

(100,983

)

Cash generated from operations

511,712

575,969

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31 January 2026

31.1.26

1.2.25

£

£

Cash and cash equivalents

2,482,252

2,766,004

Year ended 31 January 2025

31.1.25

1.2.24

£

£

Cash and cash equivalents

2,766,004

2,721,323

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.2.25

Cash flow

At 31.1.26

£

£

£

Net cash

Cash at bank and in hand

2,766,004

(283,752

)

2,482,252

2,766,004

(283,752

)

2,482,252

Debt

Debts falling due within 1 year

(30,665

)

-

(30,665

)

Debts falling due after 1 year

(229,850

)

34,353

(195,497

)

(260,515

)

34,353

(226,162

)

Total

2,505,489

(249,399

)

2,256,090

1.	STATUTORY INFORMATION

B G Betterspoons 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 Company 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 as modified by the revaluation of certain assets.

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue from the sale of goods is recognised when control of the goods has passed to the customer, the amount of revenue can be measured reliably, and it is probable that the economic benefits associated with the transaction will flow to the company.

Revenue from the provision of services is recognised in the accounting period in which the services are rendered.

Intangible fixed assets

Goodwill, being the amount paid in connection with the acquisition of a business in 2001, has been amortised evenly over its estimated useful life of 20 years. It is initially measured at cost less any accumulated amortisation and any accumulated impairment losses.

Goodwill is an intangible asset that accounts for the excess purchase price of another business..

Goodwill includes proprietary or intellectual property, brand recognition, and other aspects of a company that are valuable but not easily quantifiable.It's calculated by taking the purchase price of a company and subtracting the difference between the fair market value of the assets and liabilities.

Tangible fixed assets

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

Freehold property

-

2 - 10% on cost

Improvements to property

-

2 - 10% on cost

Plant and machinery

-

15% reducing balance

Fixtures and fittings

-

15% reducing balance

Motor vehicles

-

25% reducing balance

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment loss. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

A yacht owned by the subsidiary has not been depreciated. This policy has been adopted in its country of operation.

Agricultural land and improvements are not depreciated. This is because it is considered the agricultural land and improvements have a high residual value.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised as either a profit or a loss in the financial statements.

Assets under construction are not depreciated until they are complete and ready for use. All directly attributable costs are capitalised to the asset while in progress.

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.

Stocks

Hospitality stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Farm livestock is valued at market value.

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 statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. A defined contribution plan is a pension plan under which the company pays fixed contributions to a separate entity. Once the contributions have been paid, the company has no further payment obligations. The contributions are recognised as an expense in the income statement 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 an independently administered fund.

Going concern

The directors consider that there are no material uncertainties about the company's ability to continue as a going concern.

Financial instruments

The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties and loans to related parties.

Debt instruments (other than 'those wholly repayable or receivable within one year'), include loan's and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in the case of an out-right short term loan not at market rate, the financial asset or liability is measured initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Comprehensive Income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discounted rate for measuring any impairment loss is the current effective interest rate determined under the contract. Financial assets and liabilities are off set and the net amount reported in the Balance Sheet when there is an 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.

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value: net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Creditors

Short term creditors are measured at transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Interest income

Interest income is recognised when receivable and can be measured reliably by the company which is normally upon notification of the interest paid or payable by the bank.

Cash and cash equivalents

Cash and cash equivalents comprise cash in hand and demand deposits and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk to change in value.

Finance costs

Finance costs are charged to the profit and loss account over the term of the debt using the effective interest rate.

Operating leases

Operating leases are recognised over the period of which the lease falls due. Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the period of the lease.

Dividends

Dividend distributions are recognised as a liability in the year in which dividends are approved by the company's shareholders for final dividends. Interim dividends are recognised when they are paid.

Government grants

Government grants are recognised when there is reasonable assurance that the company will comply with the conditions attaching to the grant and that the grant will be received.

Grants relating to revenue expenditure are recognised in profit or loss on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate.

Grants relating to assets are recognised as deferred income and credited to profit or loss on a systematic basis over the expected useful economic life of the related asset.

Amounts received before the recognition criteria are met are included within creditors as deferred income.

Investment in subsidiary

Investments in subsidiary undertakings are stated at cost less any accumulated impairment losses.

The company assesses investments for indicators of impairment at each reporting date. Where there is objective evidence that the recoverable amount of an investment is less than its carrying value, an impairment loss is recognised in profit or loss.

Any reversal of an impairment loss is recognised in profit or loss to the extent that the recoverable amount of the investment subsequently increases.

Currency

The financial statements are prepared and presented in Pound Sterling (£), being the currency of the primary economic environment in which the company operates.

3.	EMPLOYEES AND DIRECTORS

2026

2025

£

£

Wages and salaries

2,189,328

2,161,575

Social security costs

179,490

152,985

Other pension costs

42,879

207,116

2,411,697

2,521,676

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

2026

2025

Employees

94

104

2026

2025

£

£

Directors remuneration

75,152

125,152

Key management personnel

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, directly or indirectly, including any director of the Company.

The remuneration of key management personnel during the year was £213,462 (2025 £284,489).

4.	OPERATING PROFIT

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

2026

2025

£

£

Hire of plant and machinery

1,836

1,765

Other operating leases

84,339

85,520

Depreciation - owned assets

156,584

144,106

Profit on disposal of fixed assets

(1,764

)

(19,831

)

Auditors' remuneration

4,190

3,800

Auditors remuneration for non audit work

6,130

5,700

5.

AMOUNTS WRITTEN OFF INVESTMENTS

2026

2025

£

£

Loss on disposal of investment

227,253

-

6.

INTEREST PAYABLE AND SIMILAR EXPENSES

2026

2025

£

£

Bank loan interest

15,811

21,416

HMRC interest

1,024

-

Hire purchase

-

5

Equipment leasing

4,804

8,878

21,639

30,299

7.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2026

2025

£

£

Current tax:

UK corporation tax

186,042

155,209

Deferred tax

2,804

(51,851

)

Tax on profit

188,846

103,358