BERKLEY_CARE_(BRISTOL)_LI - Accounts

The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

Berkley Care (Bristol) Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Pavilion, Ashlyns Hall, Chesham Road, Berkhamsted, HP4 2ST.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The company has taken advantage of the exemption under section 400 of the Companies Act 2006 not to prepare consolidated accounts. The financial statements present information about the company as an individual entity and not about its group.

The turnover shown in the profit and loss account represents amounts invoiced for rent during the period.

Rental income from the property is recognised on a straight line basis over the expected term of ongoing leases. Lease incentives and step rents with minimum or fixed uplifts are spread evenly over the expected lease term.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land and assets in the course of construction are not depreciated.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

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.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

Going Concern

The main risk from Covid-19 for the company is that the tenants of properties do not pay their rent. Under the terms of the leases there is good visibility on the current trading of the tenant businesses and see increasing occupancy driven by; new residents seeking a safer environment in which to be cared for and increased demand for beds from NHS / local authorities for patients that need to be discharged from hospitals to free up beds. With this increased occupancy the Company are seeing increased profitability and the company would therefore expect tenants to remain in a strong position to continue to pay their rent on time, as they have done to date.

The company's directors have produced a forecasts supporting the going concern assumption used in the preparation of these financial statements. In addition, the parent company has confirmed to the directors it will not seek to recall the loan owed to the parent until the company has sufficient cash reserves to do so. In assessing the risks posed to the going concern assumptions, a set of detailed forecasts have been prepared that show the effects of various scenarios in the company. Based on the forecasts noted above and the continued support from the parent company, the Directors have formed a judgement at the time of approving the financial statements that there is a reasonable expectation of the Company having adequate resources to continue in operational existence for the foreseeable future. The Directors have prepared the financial statements on a going concern basis.

Leases

Leases are classified as finance leases when the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee. All other leases are classified as operating leases.

The Company has determined that it retains all the significant risks and rewards of ownership of the properties and accounts for the contracts as operating leases.

The average monthly number of persons (including directors) employed by the company during the year was:

The long-term loans are secured by fixed charges over the land and a floating charge covering all the property or undertaking of the company.

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.

At the reporting end date the company had contracted with tenants for the following minimum lease payments:

As a wholly owned subsidiary undertaking of Korian SA, the company has taken advantage of the exemption in FRS 102 Section 33.1A and has not disclosed transactions with entities which form part of the group and they are owned 100% by the parent company.

On the 3rd March 2021 the entire share capital of Berkley Care (Bristol) Limited was purchased by Korian Real Estate UK Limited, a company registered in The Pavilion, Ashlyns Hall, Chesham Road, Berkhamsted, England, HP4 2ST. As a result, Korian SA which is the ultimate parent company of Korian Real Estate UK Limited, became the ultimate parent company of Berkley Care (Chesham) Limited. Korian SA is a company registered in France, the group financial statement can be obtained from 21-25, Rue Balzac Paris, 75008 France.

Prior period adjustments were necessary as a result of the following:

• Interest being applied to the directors' loan in error in 2019 and 2020.

• Capital interest being expensed in error in 2019 and 2020.

The above resulted in a restatement of the prior period's profit and equity as illustrated above.