REGISTERED NUMBER: |
BRITISH SOLAR RENEWABLES LIMITED |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022 |
REGISTERED NUMBER: |
BRITISH SOLAR RENEWABLES LIMITED |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022 |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Statement of Comprehensive Income | 9 |
Balance Sheet | 10 |
Statement of Changes in Equity | 11 |
Notes to the Financial Statements | 12 |
BRITISH SOLAR RENEWABLES LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditors |
Chartered Accountants |
Fryern House |
125 Winchester Road |
Chandlers Ford |
Hampshire |
SO53 2DR |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
The directors present their strategic report for the year ended 31 December 2022. |
PRINCIPAL ACTIVITIES |
The principal activities of the Company continued to be the development, design and the operation and maintenance of solar and energy storage plants. |
BUSINESS REVIEW AND FUTURE DEVELOPMENTS |
The Company has continued to invest heavily in the future of the business through the continued development of an extensive pipeline of solar and battery storage projects. This has been further supported following our change in ownership in the year. This extensive pipeline is key for 2023 and beyond as we transition to a full IPP (Independent Power Producer). |
The focus of activities for 2023 and beyond will be as follows: |
- | Development of energy infrastructure projects in the UK specialising in large scale solar and energy storage projects. |
- | Owning and operating solar and energy storage plants in the UK. |
- | Providing first class O&M services to maximise the longevity and efficiencies of client solar and BSR owned energy storage plants. |
The Company has invested heavily in its development pipelines, the result of this focus on core activities is the recognition of a loss for the year before tax and interest of £2.2m (2021: profit £0.3m). In 2022 there has been particular attention on the Company becoming an IPP, which will present further growth in long term profits and operational assets held on its own balance sheet. |
The Company adopts the 'Everyone, Safe, Always' mantra across all areas of the business from those working on site to those working in the office. The focus on health and safety is key in safeguarding the business, our employees, our subcontractors, our customers, and the public. |
The Company has invested significant time and resources to ensure that our processes are as robust as they can be. We currently hold accreditations for ISO 9001 Quality Management, ISO 14001 Environmental Management Systems, ISO 45001 Occupational Health and Safety and ISO 50001 Energy Management. We continually strive to improve our processes. |
KEY PERFORMANCE INDICATORS |
Overall the above activities generated revenues of £2.3m (2021: £3.2m). The Company generated an EBITDA of -£2.2m (2021: £0.3m) in the period. From a balance sheet perspective, the net asset position of the Company has decreased to £6.7m (2021: £8.3m) and the Company has net cash balances of £0.3m (2021: £0.1m) at 31 December 2022. The work undertaken during the period gives the Company a strong foundation for increased levels of activity in 2023 in the UK. |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
PRINCIPAL RISKS AND UNCERTAINTIES |
Operating risks |
The key operating risk in 2023 is further changes in the UK and European regulatory regime which impact the solar and energy storage markets. |
Financial risks |
The main financial risk is the availability of funding and working capital to finance growth. |
Price risk |
The Company is exposed to fluctuations in the market prices of goods and services. The Company is proactive in its approach to managing these costs through strong relationships with suppliers and the regular reviewing of costs against budget. |
Credit risk |
The Company takes all necessary precautions before offering or continuing to offer credit terms to any new and existing customers. All new customers must meet the Company's stringent criteria prior to credit terms being offered. The Company utilise credit reports from reputable credit reference agencies along with industry knowledge and experience to assist in the decision-making process. The credit terms of existing customers are monitored and reviewed on a regular basis with specific consideration given to past trading experience, credit report updates and industry knowledge. |
Interest rate risk |
The Company's exposure to interest rate risk is currently low as it does not have any third party interest-bearing debt. |
ON BEHALF OF THE BOARD: |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
The directors present their report together with the audited financial statements for the period ended 31 December 2020. |
RESULTS |
The Statement of Comprehensive Income is set out on page 8 and shows the profit for the year. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2022. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2022 to the date of this report. |
Other changes in directors holding office are as follows: |
FINANCIAL RISK MANAGEMENT |
The Board recognises the need for strong corporate governance particularly in the area of the financial risk management. It meets on a bi-monthly basis to review the financial performance of the business and the forecast performance and cash flows. Access to funding is a key risk and the Board are focused on ensuring that there is sufficient working capital available within the company to operate effectively. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
AUDITORS |
The auditors, Rothmans Audit LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BRITISH SOLAR RENEWABLES LIMITED |
Opinion |
We have audited the financial statements of British Solar Renewables Limited (the 'company') for the year ended 31 December 2022 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 December 2022 and of its loss for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BRITISH SOLAR RENEWABLES LIMITED |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
o | Obtained an understanding of the legal and regulatory frameworks that are applicable to the company and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the financial reporting framework. |
o | Understanding how the company is complying with those regulations by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enquiries through our review of board minutes and relevant correspondence. |
o | Discussing among the engagement team regarding how and where fraud might occur in the Financial Statements and any potential indicators of fraud. As part of this discussion, we identified potential risk areas as estimates and judgements used by management in accounting for deferred tax assets and the completeness of revenue and liabilities. The risks were addressed by ensuring audit procedures assessed reasonableness of the estimates used by obtaining corroborative evidence, as well as considering what could be non-corroborative. |
o | Assessing the susceptibility of the company's financial statements to material misstatement, including how fraud might occur, by discussing with management susceptibility to fraud, considering performance targets and how this may influence results, and assessing the internal control environment. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. These procedures included assessing the appropriateness of presentation of separately disclosed items and testing manual journals. These procedures were designed to provide reasonable assurance that the financial statements were free from fraud or material error. |
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BRITISH SOLAR RENEWABLES LIMITED |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditors |
Chartered Accountants |
Fryern House |
125 Winchester Road |
Chandlers Ford |
Hampshire |
SO53 2DR |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
STATEMENT OF COMPREHENSIVE |
INCOME |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2022 | 2021 |
as restated |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
OPERATING (LOSS)/PROFIT | 5 | ( |
) |
Exceptional items | 6 |
(LOSS)/PROFIT BEFORE TAXATION | ( |
) |
Tax on (loss)/profit | 7 | ( |
) | ( |
) |
(LOSS)/PROFIT FOR THE FINANCIAL YEAR | ( |
) |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
( |
) |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
BALANCE SHEET |
31 DECEMBER 2022 |
2022 | 2021 |
as restated |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
Investments | 10 |
CURRENT ASSETS |
Stocks | 11 |
Debtors | 12 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 15 |
Share premium | 16 |
Capital contribution reserve | 16 |
Retained earnings | 16 | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Called up | Capital |
share | Retained | Share | contribution | Total |
capital | earnings | premium | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 January 2021 | ( |
) |
Changes in equity |
Total comprehensive income | - | - |
Balance at 31 December 2021 | ( |
) |
Changes in equity |
Total comprehensive income | - | ( |
) | - | ( |
) |
Balance at 31 December 2022 | ( |
) |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
1. | COMPANY INFORMATION |
British Solar Renewables Limited was incorporated on 15 July 2010 under the Companies Act 2006, as a private limited company and is registered in England and Wales. The principal activity of British Solar Renewables Limited is that of the operation and maintenance of solar parks and the provision of asset management services. The address of its head office and registered office is 35 - 35A The Maltings, Lower Charlton Trading Estate, Shepton Mallet, Somerset, BA4 5QE. |
2. | ACCOUNTING POLICIES |
Basis of preparation |
The presentational currency is £ sterling. |
Going concern |
The financial statements have been prepared on the going concern basis. |
Financial Reporting Standard 102 - reduced disclosure exemptions |
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
• | the requirements of Section 7 Statement of Cash Flows; |
• | the requirement of paragraph 3.17(d); |
• | the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c); |
• | the requirement of paragraph 33.7. |
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. |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Significant judgements and estimates |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date, and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. |
The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements. |
1) | Revenue recognition |
Revenue is recognised in relation to the value of work carried out which is based on the project as a whole. Judgements are made on the timing of revenue recognition based on the stage of completion percentage of the work and the expected outcome of the contract. |
2) | Stock impairments |
Management use their judgement in determining the recoverability of stock. |
3) | Impairment of assets |
Judgement is used to determine whether there are any indicators of impairment, triggering an impairment review. |
4) | Leases |
A lease that does not transfer substantially all the risks and rewards of ownership is classified as an operating lease and is therefore not included in the statement of financial position. |
5) | Deferred tax assets |
Directors use their judgement to determine when it is probable that deferred tax assets will be recovered against future taxable profits. These are provided on the basis that group losses are recharged across the group. |
Other key sources of estimation uncertainty: |
1) | Revenue recognition |
Estimates are based upon the stage of completion percentage of a contract by reviewing the costs incurred to date against total expected costs of the contract. |
2) | Deferred tax assets |
Estimates are based upon the forecast future profits of the group. |
Contract revenue recognition |
Long-term contracts are assessed on a contract by contract basis and are reflected in the Statement of Comprehensive Income by recording turnover and related costs as contract activity progresses based on the percentage completed. Where the outcome of each long-term contract can be assessed with reasonable certainty before its conclusion, the attributable profit is recognised in the Statement of Comprehensive Income as the difference between the reported turnover and related costs for that contract. |
The completion stage of a contract is determined by reference to costs incurred compared to total estimated costs of the contract. |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. |
The cost of fixed assets initially recognised includes its purchase price and any cost that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in a manner intended by management. |
Depreciation is provided to write off the cost, less estimated residual values, evenly over their expected useful lives. It is calculated at the following rates: |
Plant and machinery | - 33% per annum on cost |
The assets' residual values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting period. The effect of any change is adjusted for prospectively. |
Fixed assets are derecognised on disposal or when no future economic benefits are expected. On disposal, the difference between the net disposal proceeds and the carrying amount is recognised in the Statement of Comprehensive Income. |
Stocks |
Stocks are valued at the lower of cost and recoverable value. Cost is based on the cost of purchases on a first in, first out basis. Recoverable value is based on estimated selling price less additional costs to completion and disposal. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
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 taxation |
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 year 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. |
Financial instruments |
Financial instruments are classified and accounted for according to the substance of the contractual arrangements as either financial assets, financial liabilities or equity instruments, and are held at amortised cost. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all its liabilities. |
Operating lease commitments |
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the Statement of Comprehensive Income on a straight line basis over the period of the lease. Any incentives related to the lease have been spread over the life of the lease. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost less any provision for impairment. |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Consolidated financial statements |
The financial statements contain information about British Solar Renewables Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company has taken advantage of the exemption conferred by section 400 of the Companies Act 2006 not to produce consolidated financial statements as it is included in EEA group accounts of a larger group. |
Exceptional items |
Exceptional items are one off, material items outside of the normal course of business which are not related to the company's trading activities. |
3. | TURNOVER |
Turnover is generated from solar park construction contracts and operation and maintenance contracts. |
The amount of contract revenue recognised in the period is £2,289,013 (2021: £3,247,185). |
4. | EMPLOYEES AND DIRECTORS |
2022 | 2021 |
as restated |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2022 | 2021 |
as restated |
EPC | 13 | 14 |
O&M | 20 | 22 |
Head Office | 54 | 37 |
Directors | 2 | 4 |
2022 | 2021 |
as restated |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
Information regarding the highest paid director is as follows: |
2022 | 2021 |
as restated |
£ | £ |
Emoluments etc |
Pension contributions to money purchase schemes |
Included within exceptional items is a bonus totalling £763,562 which was paid to employees during the year. Of this, £21,238 relates to bonuses paid to directors during the year. |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
5. | OPERATING (LOSS)/PROFIT |
The operating loss (2021 - operating profit) is stated after charging/(crediting): |
2022 | 2021 |
as restated |
£ | £ |
Profit on disposal of fixed assets | ( |
) |
Foreign exchange differences |
Fees for the audit of the company amounting to £12,000 (2021: £9,000) were borne by BSR Group Holdings Limited. |
6. | EXCEPTIONAL ITEMS |
2022 | 2021 |
as restated |
£ | £ |
Exceptional items | ( |
) |
The exceptional items relate to a bonus paid to employees during the year. This was paid in relation to the group's restructuring activities. |
7. | TAXATION |
Analysis of the tax credit |
The tax credit on the loss for the year was as follows: |
2022 | 2021 |
as restated |
£ | £ |
Deferred tax | ( |
) | ( |
) |
Tax on (loss)/profit | ( |
) | ( |
) |
Reconciliation of total tax credit included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2022 | 2021 |
as restated |
£ | £ |
(Loss)/profit before tax | ( |
) |
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of |
( |
) |
Effects of: |
Expenses not deductible for tax purposes |
Movement in deferred tax unprovided | - | (72,384 | ) |
Group relief | 73,564 | (1,068 | ) |
Movement in deferred tax asset | - | (9,976 | ) |
Impact of difference in tax rates | (346,717 | ) | - |
Total tax credit | (699,454 | ) | (9,976 | ) |
The company has estimated trading losses carried forward of £6,275,824 (2021: £4,105,698). |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
8. | PRIOR YEAR ADJUSTMENT |
Stocks were transferred to a fellow subsidiary company during the previous year upon recognition of the sale of items whereby the stocks were consumed. The sale was reversed during the current year due to the customer withdrawing from the sale and therefore the stocks transferred have been adjusted. The sale was accrued during the previous year based on management's judgements which were subsequently amended. The accounts have been adjusted for this and updated accordingly. The effect of this adjustment is to increase stocks and reduce amounts owed by group undertakings in the prior year by £132,213 respectively. |
9. | TANGIBLE FIXED ASSETS |
Plant and |
machinery |
£ |
COST |
At 1 January 2022 |
and 31 December 2022 |
DEPRECIATION |
At 1 January 2022 |
and 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
10. | FIXED ASSET INVESTMENTS |
Shares in |
group |
undertakings |
£ |
COST |
At 1 January 2022 |
and 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
Registered office: 35 - 35A The Maltings, Lower Charlton Trading Estate, Shepton Mallet, Somerset, BA4 5QE. |
Nature of business: |
% |
Class of shares: | holding |
11. | STOCKS |
2022 | 2021 |
as restated |
£ | £ |
Work-in-progress |
There is no material difference between the replacement cost of stocks and the amounts stated above. |
During the period the company impaired the stock value by £115,337 (2021: £32,375) for amounts not recoverable. |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2022 | 2021 |
as restated |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Deferred tax asset |
Prepayments and accrued income |
Included within trade debtors is a provision for bad debts of £40,429 (2021: £Nil). |
£ |
Balance at 1 January 2022 | 328,909 |
Credited to the Consolidated Income Statement in the year | 699,454 |
Balance at 31 December 2022 | 1,028,363 |
2022 | 2021 |
as restated |
The deferred tax asset comprises: | £ | £ |
Deferred tax asset on tax losses carried forward | 996,312 | 328,909 |
Deferred tax asset on deferred capital allowances | 32,051 | - |
1,028,363 | 328,909 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2022 | 2021 |
as restated |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Social security and other taxes |
Other creditors |
Accruals and deferred income |
14. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2022 | 2021 |
as restated |
£ | £ |
Within one year |
Between one and five years |
BRITISH SOLAR RENEWABLES LIMITED (REGISTERED NUMBER: 07315867) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
15. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2022 | 2021 |
value: | as restated |
£ | £ |
Ordinary shares | £1 | 11 | 11 |
The ordinary shares shall be non redeemable but shall hold full rights in respect of voting, and shall entitle the holder to full participation in respect of the entity and in the event of winding up the company, the shares may be considered by the directors when considering dividends from time to time. |
16. | RESERVES |
Capital |
Retained | Share | contribution |
earnings | premium | reserve | Totals |
£ | £ | £ | £ |
At 1 January 2022 | ( |
) | 8,273,605 |
Deficit for the year | ( |
) | ( |
) |
At 31 December 2022 | ( |
) | 6,729,369 |
Retained earnings are the accumulated profits and losses to date. |
Share premium records the premium on nominal value received on issues of shares. |
The capital contribution reserve represents capital contributed by group companies. |
17. | ULTIMATE PARENT COMPANY AND ULTIMATE CONTROLLING PARTY |
The immediate parent company is BSR Group Holdings Limited, a company registered in England & Wales. The ultimate parent company up until 28 July 2022 was Siem Industries S.A., a company registered in the Cayman Islands. From 28 July 2022 the ultimate parent company is Owl TopCo 1 Limited, a company registered in England & Wales. |
The smallest group in which the results of the company are consolidated is that headed by BSR Group Holdings Limited, a company registered in England & Wales. The largest group in which the results of the company is consolidated is that headed by Owl TopCo 1 Limited, a company registered in England & Wales. Copies of the publicly available consolidated financial statements may be obtained from the Registrar of Companies. |
The directors do not consider there to be any individual who has ultimate control. |