London & Cheltenham Estates Limited - Accounts to registrar (filleted) - small 18.1

REGISTERED NUMBER: 04272401 (England and Wales)

Unaudited Financial Statements

for the Year Ended 31st August 2017

for

LONDON & CHELTENHAM ESTATES LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

P Downing

T Morgan

D P King

SECRETARY:

P Downing

REGISTERED OFFICE:

The Property Office

Mulberry House

Shortwood

Nailsworth

Gloucestershire

GL6 0SA

REGISTERED NUMBER:

04272401 (England and Wales)

ACCOUNTANTS:

Davies Mayers Barnett

Pillar House

113/115 Bath Road

Cheltenham

Gloucestershire

GL53 7LS

FIXED ASSETS

Investment property

5

2,324,742

2,324,742

CURRENT ASSETS

Debtors

6

11,661

16,996

Cash at bank

38,845

3,868

50,506

20,864

CREDITORS

Amounts falling due within one year

7

(89,803

)

(95,444

)

NET CURRENT LIABILITIES

(39,297

)

(74,580

)

TOTAL ASSETS LESS CURRENT LIABILITIES

2,285,445

2,250,162

CREDITORS

Amounts falling due after more than one year

8

(1,145,573

)

(1,195,727

)

PROVISIONS FOR LIABILITIES

(8,742

)

(13,143

)

NET ASSETS

1,131,130

1,041,292

CAPITAL AND RESERVES

Called up share capital

100

100

Non-distributable reserves

205,693

201,292

Retained earnings

925,337

839,900

SHAREHOLDERS' FUNDS

1,131,130

1,041,292

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31st August 2017.

The members have not required the company to obtain an audit of its financial statements for the year ended 31st August 2017 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors on 17th May 2018 and were signed on its behalf by:

P Downing - Director

1.	STATUTORY INFORMATION

London & Cheltenham Estates Limited is a private company, limited by shares , registered in England and

Wales. The company's registered number and registered office address can be found on the Company

Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities"

of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of

Ireland" and the Companies Act 2006.

Details of adjustments made on transition to FRS 102 are disclosed in the First Year Adoption note.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared on a going concern basis, under the historical cost basis except for

the modification to a fair value basis where specified.

Investment property

Investment properties are measured at fair value at each reporting date with changes in fair value recognised in

profit or loss.

Taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss, except to the

extent that it relates to items recognised in other comprehensive income or directly in equity.

Deferred tax balances are recognised in respect of timing differences that have originated but not reversed by the

balance sheet date.

Current and deferred tax are determined using tax rates and laws that have been enacted or substantively enacted

by the balance sheet date.

Provisions

Provisions are recognised when the company has an obligation at the balance sheet date as a result of a past

event, it is probable that an outflow of economic benefits will be required in settlement and the amount can be

reliably estimated.

Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance

sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is

estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an

impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the

impairment loss is a revaluation decrease.

Short term debtors and creditors

Short term debtors and creditors with no stated interest rate are recorded at transaction price. Any losses arising

from impairment are recognised in profit or loss.

Loans and borrowings

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently,

they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement

constitutes a finance transaction it is measured at present value.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 3 (2016 - 3 ) .

5.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1st September 2016

and 31st August 2017

2,324,742

NET BOOK VALUE

At 31st August 2017

2,324,742

At 31st August 2016

2,324,742

If fixed asset investments had not been revalued they would have been included at the following historical cost:

2017

2016

£

£

Cost

2,110,306

2,110,306

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Trade debtors

6,004

8,607

Other debtors

5,657

8,389

11,661

16,996

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Bank loans and overdrafts

41,719

33,314

Taxation and social security

22,857

34,774

Other creditors

25,227

27,356

89,803

95,444

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2017

2016

£

£

Bank loans

255,963

306,117

Other creditors

889,610

889,610

1,145,573

1,195,727

Within bank loans of £306,117, an amount of £33,315 is due between 1 - 2 years, £99,943 due between 2 - 5

years and £172,859 is due after more than 5 years.

9.	SECURED DEBTS

The following secured debts are included within creditors:

2017

2016

£

£

Bank loans

297,682

339,431

The company's mortgage provider holds legal mortgages and charges over the investment properties in these

accounts.

10.	OTHER FINANCIAL COMMITMENTS

As at 31 August 2017, the company had no known guarantees, contingencies or other financial commitments

(2016: £Nil).

11.	FIRST YEAR ADOPTION

This year is the first year the company has presented its results under FRS 102. The last financial statements

prepared under the previous UK GAAP were for the period ended 31st August 2016. The date of transition to

FRS 102 was 1st September 2015.

The following adjustments have been noted on transition to FRS 102:

Accounting for taxation and revaluations

FRS 102 requires that an entity shall recognise a deferred taxation liability in respect of any chargeable gain that

may arise on a future sale of investment properties at their fair value amount.

Under previous UK GAAP, there was no requirement to provide for deferred tax in relation to a possible future

gain on the sale of revalued assets.

As at 1st September 2015, the company's investment properties were held at valuation and a gain of £284,555

had been recognised within a revaluation reserve. Upon transition to FRS 102, this reserve was transferred to a

non-distributable reserve and an associated deferred tax liability recognised. Consequently, an adjustment of

£17,730 has been made to provide for a deferred tax liability based on the chargeable gain that would arise were

the properties to be sold at their fair value amount. Therefore, upon transition the company's net assets were

reduced by £17,730.

The following table shows the effect as at the date of transition:

Effect of

Previous

transition to

UK GAAP

FRS 102

FRS 102

£

£

£

Provisions for liabilities

-

17,730

-

Capital and reserves

Revaluation reserve

284,555

(284,555

)

-

Non-distributable reserve

-

266,825

266,825

At at 31st August 2016, this deferred tax liability had reduced to £13,143, with this reduction of £4,587

recognised within the taxation charge within profit and loss and transferred to a non-distributable reserve.

Therefore, the overall effect of the adjustment for the year ended 31st August 2016 is an increase in profit for the

year of £4,587.

As a result of the above adjustments, overall net assets at 31st August 2016 was reduced by £13,143.