Tregunter Road (UK) Limited is a private company limited by shares incorporated in England and Wales with registration number 08910031. The registered office is One Fleet Place, London EC4M 7WS.
The financial statements have been prepared in accordance with the provision of FRS 102 Section 1A for small entities. There were no material departures from the standard.
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 £.
The financial statements have been prepared under the historical cost convention, modified to include investment properties at fair value. The principal accounting policies adopted are set out below.
The financial statements have been prepared on a going concern basis. The directors have considered the net liability position of the company and have received confirmation from the parent company that loans will not be called in until the company has sufficient resources to meet these obligations.
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company . Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
Basic financial assets, which include trade and other receivables a nd 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.
Basic financial liabilities, including trade and other payables , 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.
Trade payables 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 payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
During the period, no provision has been made for deferred tax as there were no such gains recognised for the period on any assets.
The financial statements for the year ended 31 March 2017 did not reflect the transfer of the company’s property from stock held for resale to investment property on 31 October 2016 at which point the directors decided to hold the property for capital growth and not to sell it. In accordance with FRS 102 section 16 this property should have been transferred from inventories to fixed assets at its fair value of £47,000,000 at that date. The gain arising on the transfer of £908,276 should have been recorded in the profit and loss account for the year, together with the related tax liability of £123,451.
The average monthly number of persons (including directors) employed by the company during the year was 3 (2017 - 3).
Investment property comprises of a residential dwelling in the U.K. The fair value of the investment property has been arrived at on the basis of a valuation as at 31 March 2018 carried out on 8 February 2019 by Savills Chartered Surveyors, who are not connected with the company. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
On a historical cost bases these would have been included at an original cost of £34,000,000 (2017: £34,000,000).
Amounts due to Group undertakings are interest free, unsecured and repayable on demand. The loan is repayable on demand so long as the resources of the company permit.
The amounts due to Group undertakings are secured on the property of the company.
Directors Danielle Cotter, Anthony Daly and Robert Syvret are employees of Cititrust (Jersey) Limited, the corporate service provider of the reporting company.
The ultimate controlling party is Candle One Limited, a company registered in BVI whose registered office is at Simmonds Building, Wickams Cay, 1, PO Box 4519, Road Town, Tortola, British Virgin Islands, who owns 100% of the share capital.
The financial statements for the year ended 31 March 2017 did not reflect the transfer of the company’s property from stock held for resale to investment property on 31 October 2016 at which point the directors decided to hold the property for capital growth and not to sell it. In accordance with FRS 102 section 16 this property should have been transferred from inventories to fixed assets at its fair value of £47,000,000 at that date. The gain arising on the transfer of £908,276 should have been recorded in the profit and loss account for the year, together with the related tax liability of £123,451.
On 31 March 2017 the property should have been included at fair value and any gain or loss recognised in the profit and loss account for the year. The directors have obtained a valuation of £43,000,000 on that date. No taxation is required to be recognised as the directors do not consider that the tax loss will be capable of offset against taxable profits for the foreseeable future.
Investments with a cost of £2 were incorrectly written off to profit and loss account in the year and have been reinstated.
The effects of the prior period adjustments have been reflected in the restated profit and loss account for the year to 31 March 2017, balance sheet at that date and Statement of changes in equity for the year.