Park First Skyport Limited is a private company limited by shares incorporated in England and Wales . The registered office is Group First House, 12a Mead Way, Burnley, BB12 7NG.
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 £.
Park First Skyport Limited is a wholly owned subsidiary of Group First Global Limited and the results of Park First Skyport Limited are included in the consolidated financial statements of Group First Global Limited which are available from its registered office at Group First House, Mead Way, Padiham, BB12 7NG.
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.
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, 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.
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.
Lifetime lease and buy-back provision
As disclosed in previous years, in 2017 the FCA reviewed the activities of the group entities airport car parking investment schemes and took the view that these were collective investment schemes.
Only FCA authorised firms and individuals can operate or promote these schemes.
As a result of discussions with the FCA, the group agreed to stop operating and promoting the original schemes. As part of corrective action agreed with the FCA, the group offered all investors in the schemes the choice of:
getting their initial investment back (a ‘Buy Back’)
moving into a new Lifetime Leaseback scheme whereby the investor would be entitled to a 2% coupon on the original investment value for 175 years
As 30 June 2020 the Lifetime Lease provision stood at £ 12.8 m and the Buyback , £nil .
The FCA provisions within this entity are owed to another entity with the Group First group which then in turn has the ‘external’ provision owed to the investor. The other group entities in question are in administration and since the year end a CVA has been voted through to restructure their liabilities, including the FCA provisions. As at the year end the CVA was in its infancy and the provision still fully due, therefore it was concluded that the full provision amount, not the restructured amount should be fully provided.
CVA Disclosure
This entity is a subsidiary of Group First Global Limited. Several subsidiaries of the group are in administration related to the previous airport car parking schemes. Since the year end a Company Voluntary Agreement (CVA) has been voted through for the entities in administration.
This company has ultimately been part of the airport car parking schemes and therefore has been included in the CVA. The only impact on this entity is to restructure the liabilities owed to group and connected companies.
The group and its controlling parties will be introducing funds by way of debt and realising assets, in addition to the funds raised from the sale of London Luton Airport Car Park’ in order to fund the CVA.
Brexit
The directors have considered the impact of Brexit on the company and have concluded that there are no impacts as a result of Brexit which require disclosure at the balance sheet date.
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The average monthly number of persons (including directors) employed by the company during the year was:
The amounts held in provisions on the balance sheet includes an amount owed to other group companies.
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 directors have closely monitored the Government guidance in response to the Covid-19 Pandemic and have implemented measures in line with Governmental guidelines. The directors have assessed the impact of Covid-19 on the company and conclude that there are no items resulting from the Covid-19 Pandemic which require disclosure at the balance sheet date.
There were no related party transactions during the year outside normal course of business.