REGISTERED NUMBER: |
Financial Statements for the Period 4 April 2022 to 2 April 2023 |
for |
Thames Valley Buses Limited |
REGISTERED NUMBER: |
Financial Statements for the Period 4 April 2022 to 2 April 2023 |
for |
Thames Valley Buses Limited |
Thames Valley Buses Limited (Registered number: 01128598) |
Contents of the Financial Statements |
for the Period 4 April 2022 to 2 April 2023 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
Thames Valley Buses Limited |
Company Information |
for the Period 4 April 2022 to 2 April 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditors |
TOR |
Saint-Cloud Way |
Maidenhead |
Berkshire |
SL6 8BN |
BANKERS: |
1-2 Market Place |
Wokingham |
Berkshire |
RG40 1AL |
Thames Valley Buses Limited (Registered number: 01128598) |
Balance Sheet |
2 April 2023 |
2.4.23 | 3.4.22 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 4 |
Investments | 5 |
CURRENT ASSETS |
Stocks |
Debtors | 6 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 7 | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 8 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 11 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital |
Capital redemption reserve | 12 |
Retained earnings | 12 |
In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered. |
The financial statements were approved by the Board of Directors and authorised for issue on |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements |
for the Period 4 April 2022 to 2 April 2023 |
1. | STATUTORY INFORMATION |
Thames Valley Buses Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The preparation of financial statements in compliance with FRS 102 Section 1A 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 accounts are prepared on a going concern basis as in the opinion of the directors the company has sufficient finance available to it to meet its obligations as they fall due for the foreseeable future, that is at least 12 months from the date of approval of the accounts. |
Going Concern |
The Company made a loss after tax of £131,875 (2021: profit of £581,676) and had net assets of £1,469,864 (2021: £1,601,739) |
Although reduced demand from customers has seen a fall in on bus revenue, the Company have been supported by local authorities in the year with the provision of Coronavirus Bus Services Support Grant (CBSSG) to enable the company to continue to provide services.The Company also utilised the Coronavirus Job Retention Scheme (CJRS) during the year to furlough employees who were not required to work as a result of reduced services. |
The CBSSG funding was initially set to be in place until April 2022 however, as recovery was slower than anticipated, this was extended to October 2022. |
Whilst the company currently operates without an agreed bank facility, the Company's cash reserves held were £437,824 (2021: £671,493). The directors have prepared projected cash flow information which shows the company will be able to continue to trade without the requirement of any additional facilities for at least twelve months from the date of approval of these financial statements |
The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.The circumstances described above, in relation to the ongoing COVID-19 pandemic and uncertainty of future government funding represent a material uncertainty that may cast significant doubt on the company's ability to continue as a going concern. The financial statements do not include any adjustments, should the going concern basis of preparation be inappropriate. |
Preparation of consolidated financial statements |
The financial statements contain information about Thames Valley Buses Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Reading Transport Limited, Great Knollys Street, Reading, Berkshire, RG1 7HH. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover comprises revenue recognised by the company in respect of goods and services supplied during the period, exclusive of Value Added Tax and trade discounts. |
Turnover principally comprises amounts receivable from ticket sales, concessionary fare schemes and third party contracts. Concessionary turnovers are recognised in the period in which the service is provided based on a predetermined formula as agreed with the relevant local authority. Contract turnovers are recognised as the services are provided. Ticket purchases are recognised on the date of customer purchases. |
Tangible fixed assets |
Improvements to property | - |
Plant and machinery | - |
Motor vehicles | - |
Computer equipment | - |
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 the profit or loss. |
Government grants |
Grants in respect of capital expenditure are credited to deferred income and are released to profit or loss over the expected useful lives of the relevant assets by equal annual instalments. Grants of a revenue nature are credited to other income so as to match them with the expenditure to which they relate. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Stocks |
Stocks are carried at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis. Work in progress and finished goods include labour and attributable overheads. |
At each Balance Sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss. |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
Financial assets and financial liabilities are recognised when the company becomes a party to the contractual provisions of the instrument. Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
(i) Financial assets and liabilities |
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously. |
Debt instruments which meet the following conditions are subsequently measured at amortised cost using the effective interest method: |
(a) The contractual return to the holder is (i) a fixed amount; (ii) a positive fixed rate or a positive variable rate; or (iii) a combination of a positive or a negative fixed rate and a positive variable rate. |
(b) The contract may provide for repayments of the principal or the return to the holder (but not both) to be linked to a single relevant observable index of general price inflation of the currency in which the debt instrument is denominated, provided such links are not leveraged. |
(c) The contract may provide for a determinable variation of the return to the holder during the life of the instrument, provided that (i) the new rate satisfies condition (a) and the variation is not contingent on future events other than (1) a change of a contractual variable rate; (2) to protect the holder against credit deterioration of the issuer; (3) changes in levies applied by a central bank or arising from changes in relevant taxation or law; or (ii) the new rate is a market rate of interest and satisfies condition (a). |
(d) There is no contractual provision that could, by its terms, result in the holder losing the principal amount or any interest attributable to the current period or prior periods. |
(e) Contractual provisions that permit the issuer to prepay a debt instrument or permit the holder to put it back to the issuer before maturity are not contingent on future events, other than to protect the holder against the credit deterioration of the issuer or a change in control of the issuer, or to protect the holder or issuer against changes in levies applied by a central bank or arising from changes in relevant taxation or law. |
(f) Contractual provisions may permit the extension of the term of the debt instrument, provided that the return to the holder and any other contractual provisions applicable during the extended term satisfy the conditions of paragraphs (a) to (c). |
Debt instruments that are classified as payable or receivable within one year on initial recognition and which meet the above conditions are measured at the undiscounted amount of the cash or other consideration expected to be paid or received, net of impairment. With the exception of some hedging instruments, other debt instruments not meeting these conditions are measured at fair value through profit or loss. Commitments to make and receive loans which meet the conditions mentioned above are measured at cost (which may be nil) less impairment. |
Financial assets are derecognised when and only when (a) the contractual rights to the cash flows from the financial asset expire or are settled, (b) the company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or (c) the company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party. Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires. |
(ii) Investments |
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through profit or loss. Where fair value cannot be measured reliably, investments are measured at cost less impairment. |
In the company balance sheet, investments in subsidiaries and associates are measured at cost less impairment. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideration. Any premium is ignored. |
(iii) Equity instruments |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
2. | ACCOUNTING POLICIES - continued |
Equity instruments issued by the company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. |
Taxation |
Taxation for the period comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the period 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 |
Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired under hire purchase contracts are depreciated over their useful lives. |
Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period and is included in interest payable and similar expenses. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the lease term. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations. |
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 fund. |
Finance costs |
Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. |
Holiday pay accrual |
A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the Balance Sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the Balance Sheet date. |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
2. | ACCOUNTING POLICIES - continued |
Provision for liabilities |
Provisions are made where an event has taken place that gives the company a legal or constructive obligation that requires a probable settlement through the transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation. |
Provisions are charged as an expense to profit or loss in the period that the company becomes aware of the obligation, and are measured at the best estimate at the Balance Sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. |
When payments are eventually made, they are charged to the provision carried in the Balance Sheet. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the period was |
4. | TANGIBLE FIXED ASSETS |
Plant and |
machinery |
etc |
£ |
COST |
At 4 April 2022 |
Additions |
Disposals | ( |
) |
At 2 April 2023 |
DEPRECIATION |
At 4 April 2022 |
Charge for period |
Eliminated on disposal | ( |
) |
At 2 April 2023 |
NET BOOK VALUE |
At 2 April 2023 |
At 3 April 2022 |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
4. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and |
machinery |
etc |
£ |
COST |
At 4 April 2022 |
Disposals | ( |
) |
At 2 April 2023 |
DEPRECIATION |
At 4 April 2022 |
Charge for period |
Eliminated on disposal | ( |
) |
At 2 April 2023 |
NET BOOK VALUE |
At 2 April 2023 |
At 3 April 2022 |
5. | FIXED ASSET INVESTMENTS |
Shares in |
group |
undertakings |
£ |
COST |
At 4 April 2022 |
and 2 April 2023 |
NET BOOK VALUE |
At 2 April 2023 |
At 3 April 2022 |
The fixed asset investment relates to investments held by Reading Transport Limited, the parent company of Thames Valley Buses Limited. The company holds 100% of Courtney Bodyworks Limited and Courtney ATF Centre Limited both companies registered in the United Kingdom, with a registered office of Great Knollys Street, Reading, Berkshire, RG1 7HH, whose activities are that of repair and maintenance of transport equipment. |
6. | DEBTORS |
2.4.23 | 3.4.22 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
6. | DEBTORS - continued |
2.4.23 | 3.4.22 |
£ | £ |
Amounts falling due after more than one year: |
Other debtors |
Aggregate amounts |
Amounts owed by group undertakings are interest free, with no fixed repayment terms and are repayable on demand. |
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2.4.23 | 3.4.22 |
£ | £ |
Hire purchase contracts (see note 9) |
Trade creditors |
Amounts owed to group undertakings |
Taxation and social security |
Other creditors |
Included within Other creditors is £92,667 (2022: £81,856) in respect of a dilapidation provision. |
8. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2.4.23 | 3.4.22 |
£ | £ |
Hire purchase contracts (see note 9) |
9. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Hire purchase contracts |
2.4.23 | 3.4.22 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
Non-cancellable operating | leases |
2.4.23 | 3.4.22 |
£ | £ |
Within one year |
Between one and five years |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
10. | SECURED DEBTS |
The following secured debts are included within creditors: |
2.4.23 | 3.4.22 |
£ | £ |
Hire purchase contracts | 163,894 | 463,242 |
The amounts held under hire purchase agreements are secured against the assets they relate to. |
11. | PROVISIONS FOR LIABILITIES |
2.4.23 | 3.4.22 |
£ | £ |
Deferred tax | 104,086 | 211,370 |
Deferred |
tax |
£ |
Balance at 4 April 2022 |
Provided during period | ( |
) |
Balance at 2 April 2023 |
12. | RESERVES |
The company's capital and reserves are made up as follows: |
Called up share capital |
Called up share capital represents the nominal value of shares that have been issued. |
Capital redemption reserve |
Capital redemption reserve represents amounts transferred from share capital on redemption of issued shares. |
Other reserves |
Other reserves represent capital contributions by the company's shareholders. |
Profit and loss account |
The Profit and loss account represents cumulative profits, losses and total other recognised gains or losses made by the company, including distributions to, and contributions from, the parent company. |
13. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditors was unqualified. |
for and on behalf of |
14. | PENSION COMMITMENTS |
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 pension cost charge represents contributions payable by the company to the fund and amounted to £82,291 (2022 - £83,862). Contributions totalling £24,118 (2022 - £21,069) were payable to the fund at the Balance Sheet date. |
Thames Valley Buses Limited (Registered number: 01128598) |
Notes to the Financial Statements - continued |
for the Period 4 April 2022 to 2 April 2023 |
15. | ULTIMATE CONTROLLING PARTY |
The company's immediate parent company is Reading Transport Limited, a private company incorporated in England. |
The smallest group in which the results of the company are consolidated is that headed by Reading Transport Limited. The consolidated financial statements of Reading Transport Limited are available to the public and can be obtained from the registered office at Great Knollys Street, Reading, Berkshire, RG1 7HH, England. |
The company's ultimate controlling party is now Reading Borough Council, which is incorporated in England. The consolidated financial statements of the council are available to the public. |