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Registered number: |
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Balance Sheet | |||||||
as at |
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Notes | 2021 | 2020 | |||||
£ | £ | ||||||
Fixed assets | |||||||
Tangible assets | 9 |
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Current assets | |||||||
Debtors | 10 |
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Cash at bank and in hand |
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Creditors: amounts falling due within one year | 11 | ( |
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Net current liabilities | ( |
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Total assets less current liabilities | ( |
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Creditors: amounts falling due after more than one year | 12 | ( |
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Net liabilities | ( |
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Capital and reserves | |||||||
Called up share capital |
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Profit and loss account | ( |
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Shareholders' funds | ( |
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The financial statements were approved by the Board Members on 12 August 2022 and signed on their behalf by: | |||||||
………………………. | |||||||
R Tice | |||||||
Party Leader/Director | |||||||
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Notes to the Accounts | ||||||||
for the year ended |
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1 | Accounting policies | |||||||
General information and basis of preparation | ||||||||
The accounts have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard). |
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The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. | ||||||||
Going concern | ||||||||
In common with other political parties, the Party relies on donations and fundraising income to meet a large proportion of its expenditure, including most of its non-recurring expenditure. The nature of such income is that there is some unpredictability associated with it which may cast doubt on the ability to continue as a going concern should sufficient donations or income not be received by Party. |
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Financial accounting | ||||||||
The Party's financial statements do not include the income of regional, branch or constituency associations. Financial administration of these activities at by-elections, and constituency campaigns are dealt with at the appropriate level. | ||||||||
Income recognition | ||||||||
Income is measured at the fair value of the consideration received or receivable net of trade discounts. | ||||||||
Income is recognised when all of the following conditions have been met: | ||||||||
The Party is entitled to the asset; | ||||||||
There is reasonable certainty that the asset will be received; and | ||||||||
The value of the asset can be measured with reasonable certainty. | ||||||||
Applying these criteria to specific types of income results in the following treatment: | ||||||||
Donations of monetary assets and fundraising income are recognised at market value in the income and expenditure account on receipts. | ||||||||
Interest receivable is recognised in the income and expenditure account on an accrual basis; | ||||||||
Commercial income is recognised in the income and expenditure account on an accrual basis. | ||||||||
Government grants | ||||||||
A grant which does not specify performance conditions is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability. |
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Tangible fixed assets | ||||||||
Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: | ||||||||
Computer equipment | 50% straight line per annum | |||||||
Fixtures and equipment | 100% straight line per annum | |||||||
Debtors | ||||||||
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Creditors | ||||||||
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Taxation | ||||||||
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Provisions | ||||||||
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Cash and cash equivalents | ||||||||
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash and cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisitions and are readily convertible to known amounts of cash with insignificant risk of change in value. | ||||||||
Pension costs | ||||||||
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Financial Instruments | ||||||||
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Value Added Tax (VAT) | ||||||||
As a political party, the Party cannot be registered for vat and hence all costs are shown Gross including input VAT, which cannot be reclaimed, and costs are accounted for on an accrual basis. | ||||||||
2 | Donation income | |||||||
Under section 62 PPERA single or aggregated donations from an individual greater than £7,500 in any calendar year are reportable to The Electoral Commission. £204,919 were reported to the Electoral Commission during the period (2020: £2,067,000). The party's administrative staff check the permissibility of all donors (as defined by Section 54 PPERA) who make individual donations of more than £500. | ||||||||
3 | Income from commercial activities | 2021 | 2020 | |||||
£ | £ | |||||||
Merchandise sales and events | - | 74,340 | ||||||
- | 74,340 | |||||||
4 | Investment income | 2021 | 2020 | |||||
£ | £ | |||||||
Bank interest received | 12 | 71 | ||||||
12 | 71 | |||||||
Investment income, when it arises, consists of bank interest income. | ||||||||
5 | Surplus (Deficit) before and after taxation | 2021 | 2020 | |||||
£ | £ | |||||||
The deficit before and after taxation is stated after charging: | ||||||||
Auditors remuneration - audit services | 10,000 | 18,000 | ||||||
Operating lease charge | - | 208,043 | ||||||
Corona virus Job Retension Scheme grants | (66,536) | (67,372) | ||||||
Depreciation | 11,250 | 35,639 | ||||||
6 | Taxation | 2021 | 2020 | |||||
£ | £ | |||||||
Taxation charged | - | 2,500 | ||||||
- | 2,500 | |||||||
7 | Audit information | |||||||
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Senior statutory auditor: |
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Firm: |
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Date of audit report: |
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8 | Staff costs and remuneration | |||||||
Staff costs for the above persons comprise: | 2021 | 2020 | ||||||
£ | £ | |||||||
Wages and Salaries | 347,381 | 506,731 | ||||||
Social Security | 38,939 | 56,756 | ||||||
Pension | 8,163 | 14,671 | ||||||
394,483 | 578,158 | |||||||
Neither the Leader nor the Party President received any renumeration from the Party. | ||||||||
2021 | 2020 | |||||||
Number | Number | |||||||
Average number of persons employed by the company |
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9 | Tangible fixed assets | |||||||
Fixtures and equipment | Computer equipment | Total | ||||||
£ | £ | £ | ||||||
Cost | ||||||||
At 1 January 2021 | - |
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Additions |
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- |
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At 31 December 2021 |
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Depreciation | ||||||||
At 1 January 2021 | - |
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Charge for the year |
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At 31 December 2021 |
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Net book value | ||||||||
At 31 December 2021 |
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- |
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At 31 December 2020 | - |
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10 | Debtors | 2021 | 2020 | |||||
£ | £ | |||||||
Prepayments | 18,970 | 11,854 | ||||||
Director's loan account | - | 6,500 | ||||||
Other debtors |
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11 | Creditors: amounts falling due within one year | 2021 | 2020 | |||||
£ | £ | |||||||
Trade creditors |
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Taxation and social security costs |
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Other creditors |
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12 | Creditors: amounts falling due after one year | 2021 | 2020 | |||||
£ | £ | |||||||
Director's loan account | 643,000 | - | ||||||
There is a Directors loan to the party outstanding at 31 December 2021 for £643,000 which is repayable upon request and only if the party cash position allows for repayments. The loan is not repayable by instalment and is interest free. | ||||||||
13 | General Fund | 2021 | 2020 | |||||
£ | £ | |||||||
Balance at 1 January 2021 | (32,807) | (1,614,555) | ||||||
Surplus (Deficit) for the year | (816,664) | 1,581,748 | ||||||
Balance at 31 December 2021 | (849,471) | (32,807) | ||||||
14 | Capital commitments | |||||||
There were no capital commitments at the period end. | ||||||||
15 | Contingent liabilities | |||||||
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16 | Related party transactions | |||||||
During the period, the Party received loans from a connected company with mutual director. This amounted to £643,000 (2020: £360,000). During the period, the Party did not provide any loan to a director (2020: £6,500). |
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17 | Other information | |||||||
Reform UK Party Limited is a private company limited by shares and incorporated in England. Its registered office is: | ||||||||
83 Victoria Street | ||||||||
London | ||||||||
SW1H 0HW |