Company Registration No. 07931990 (England and Wales)
VERITAU NORTH YORKSHIRE LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
PAGES FOR FILING WITH REGISTRAR
VERITAU NORTH YORKSHIRE LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 9
VERITAU NORTH YORKSHIRE LIMITED
BALANCE SHEET
AS AT
31 MARCH 2021
31 March 2021
- 1 -
2021
2020
Notes
£
£
£
£
Current assets
Debtors
3
15,202
5,919
Cash at bank and in hand
262,496
192,360
277,698
198,279
Creditors: amounts falling due within one year
4
(144,463)
(76,277)
Net current assets
133,235
122,002
Provisions for liabilities
(60,220)
(28,700)
Net assets excluding pension surplus
73,015
93,302
Defined benefit pension surplus
6
317,000
151,000
Net assets
390,015
244,302
Capital and reserves
Called up share capital
7
10
504
Share premium account
28,070
19,656
Capital redemption reserve
494
Profit and loss reserves
361,441
224,142
Total equity
390,015
244,302
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 21 October 2021 and are signed on its behalf by:
Mr A Hodge
Director
Company Registration No. 07931990
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
- 2 -
1
Accounting policies
Company information
Veritau North Yorkshire Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
West Offices, Station Rise, York, North Yorkshire, YO1 6GA.
1.1
Accounting convention
The financial statements are prepared under the historical cost convention.
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest £.
1.2
Going concern
A
true
t the time of approving the financial statements
,
t
he directors have a reasonable expectation that the
company
has adequate resources to continue in operational existence for the foreseeable future
.
The company has ongoing contracts with local councils and authorities and can tailor its expenditure accordingly in line with income levels.
The results each year are subject to the movements of the North Yorkshire Pension Fund, which is a defined benefit scheme. The company continues to meet its
contributions due to the scheme on a normal contribution basis. There is a subsumption agreement in place between the company
,
North Yorkshire County Council
and Ryedale District Council
to take on the assets or liabilities of the pension scheme should this be required.
After a detailed review of the company's resources and future prospects, the directors are confident that the company has sufficient cash flows to meet its liabilities as they fall due for at least one year from the date of approval of the financial statements
.
Thus,
t
he directors to adopt the going concern basis of accounting in preparing the financial statements
.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business
, and
is shown net of VAT and other sales related taxes
.
The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
Revenue from contracts with local authorities for the provision of professional services is recognised in line with the reporting period for these services ending on 30 April, and the right to income is met at this point
.
To ensure income is recognised in the correct period, an adjustment is therefore made to reflect the value of work done in the period up to 30 April.
1.4
Cash at bank and in hand
Cash and cash equivalents
are basic financial assets
and
include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
1
Accounting policies
(Continued)
- 3 -
1.5
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from
fellow group companies and preference shares that are classified as debt, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade creditors
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities. Trade creditors are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
Other financial liabilities
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as
being measured at
fair value though profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
1.6
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
1
Accounting policies
(Continued)
- 4 -
1.7
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The
company’s
liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred taxation is provided in full in respect of taxation deferred by timing differences between the treatment of certain items for taxation and accounting purposes. The deferred tax balance has not been discounted.
1.8
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.9
Retirement benefits
The regular cost of providing retirement pensions and related benefits is charged to the profit and loss account over the employees' service lives on the basis of a constant percentage of earnings. Any difference between the charge to the profit and loss account and the contributions paid to the scheme is shown as an asset or liability in the balance sheet.
The net interest element is determined by multiplying the net defined benefit liability by the discount rate, taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. The net interest is recognised in profit or loss as other finance revenue or cost.
Remeasurement changes comprise actuarial gains and losses, the effect of the asset ceiling and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately in other comprehensive income in the period in which they occur and are not reclassified to profit and loss in subsequent periods.
The
net
defined benefit pension asset or liability in the balance sheet comprises the total for each plan of the present value of the defined benefit obligation (using a discount rate based on high quality corporate bonds), less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on market price information, and in the case of quoted securities is the published bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the scheme.
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
- 5 -
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2021
2020
Number
Number
Total
5
2
3
Debtors
2021
2020
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
10,820
Other debtors
4,382
5,919
15,202
5,919
4
Creditors: amounts falling due within one year
2021
2020
£
£
Trade creditors
32
30
Amounts owed to group undertakings
110,295
48,235
Taxation and social security
3,579
5,259
Other creditors
30,557
22,753
144,463
76,277
5
Deferred taxation
Deferred tax assets and liabilities are offset where the company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:
Liabilities
Liabilities
2021
2020
Balances:
£
£
Retirement benefit obligations
60,220
28,700
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
5
Deferred taxation
(Continued)
- 6 -
2021
Movements in the year:
£
Liability at 1 April 2020
28,700
Credit to profit or loss
(6,680)
Charge to other comprehensive income
38,200
Liability at 31 March 2021
60,220
6
Retirement benefit schemes
Defined benefit schemes
The company participates in a local government pension scheme, administered by North Yorkshire County Council. The local government pension scheme is a defined benefit scheme based on final pensionable salary.
2021
2020
Key assumptions
%
%
Discount rate
2.1
2.3
Expected rate of increase of pensions in payment
2.7
2
Expected rate of salary increases
3.95
3.25
Mortality assumptions
2021
2020
Assumed life expectations on retirement at age 65:
Years
Years
Retiring today
- Males
21.9
21.8
- Females
24
23.9
Retiring in 20 years
- Males
23.6
23.5
- Females
25.8
25.7
2021
2020
Amounts recognised in the profit and loss account
£
£
Current service cost
42,000
12,000
Net interest on defined benefit liability/(asset)
(4,000)
(3,000)
Total costs
38,000
9,000
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
6
Retirement benefit schemes
(Continued)
- 7 -
2021
2020
Amounts taken to other comprehensive income
£
£
Actual return on scheme assets
(439,000)
62,000
Less: calculated interest element
30,000
33,000
Return on scheme assets excluding interest income
(409,000)
95,000
Actuarial changes related to obligations
208,000
(102,000)
Total costs/(income)
(201,000)
(7,000)
The amounts included in the balance sheet arising from the company's obligations in respect of defined benefit plans are as follows:
2021
2020
£
£
Present value of defined benefit obligations
1,393,000
1,160,000
Fair value of plan assets
(1,710,000)
(1,311,000)
Surplus in scheme
(317,000)
(151,000)
2021
Movements in the present value of defined benefit obligations
£
Liabilities at 1 April 2020
1,160,000
Current service cost
42,000
Benefits paid
(50,000)
Contributions from scheme members
7,000
Actuarial gains and losses
208,000
Interest cost
26,000
At 31 March 2021
1,393,000
2021
The defined benefit obligations arise from plans funded as follows:
£
Wholly unfunded obligations
-
Wholly or partly funded obligations
1,393,000
1,393,000
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
6
Retirement benefit schemes
(Continued)
- 8 -
2021
Movements in the fair value of plan assets
£
Fair value of assets at 1 April 2020
1,311,000
Interest income
30,000
Return on plan assets (excluding amounts included in net interest)
409,000
Benefits paid
(50,000)
Contributions by the employer
3,000
Contributions by scheme members
7,000
At 31 March 2021
1,710,000
The actual return on plan assets was £439,000 (2020 - £62,000).
2021
2020
Fair value of plan assets at the reporting period end
£
£
Equity instruments
988,380
766,935
Debt instruments
312,930
250,401
Property
104,310
95,703
Other
304,380
197,961
1,710,000
1,311,000
7
Called up share capital
2021
2020
2021
2020
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
10
504
10
504
8
Audit report information
As the income statement has been omitted from the filing copy of the financial statements
,
the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006
:
The auditor's report was unqualified.
The senior statutory auditor was Daniel Sowden.
The auditor was BHP LLP.
VERITAU NORTH YORKSHIRE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
- 9 -
9
Related party transactions
Transactions with related parties
Other information
Veritau Limited owned 50% of the shares in the company throughout the current period. Veritau Limited is owned by City of York Council and North Yorkshire County Council who each own 50% of the shares throughout the current period.
Hambleton District Council, Richmondshire District Council, Ryedale District Council
,
Selby District Council
and Scarborough Borough Council
each owned 1
0
% of the shares in the company throughout the current period.
The nature of the work performed by the company is to provide internal audit services to it's shareholders and their respective connected entities. The work is all performed on an arms length basis and under normal market conditions. Any costs incurred are also on an arms length basis and under normal market conditions.
2021-03-31
2020-04-01
false
22 October 2021
CCH Software
CCH Accounts Production 2021.200
No description of principal activity
This audit opinion is unqualified
Mr M A Thomas
Mr R Smith
Mrs K L Iveson
Mrs S Moore
Ms L Branford-White
Mr A Hodge
Nicholas Edwards
Mr R Smith
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