C.F.Struthers Limited - Limited company accounts 20.1

REGISTERED NUMBER: 00262479 (England and Wales)

C.F.Struthers Limited

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 30th June 2021

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Statement of Comprehensive Income

8

Balance Sheet

9

Statement of Changes in Equity

10

Cash Flow Statement

11

Notes to the Cash Flow Statement

12

Notes to the Financial Statements

13

DIRECTORS:

N Burton

M J Graves

SECRETARY:

M J Graves

REGISTERED OFFICE:

Millennium Works

Valletta Street

Hull

East Yorkshire

HU9 5NP

REGISTERED NUMBER:

00262479 (England and Wales)

AUDITORS:

Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire HU2 8BA

The directors present their strategic report for the year ended 30th June 2021.

REVIEW OF BUSINESS

The worldwide Covid 19 pandemic continued to present a number of hurdles for the company but despite these the company has continued to trade successfully, the company put measures in place to mitigate the risks to staff and the business.

Following a slowdown in offshore projects, triggered by a depression in worldwide oil prices, the directors reviewed the business strategy and decided to increase the general fabrication contracting work to offset the lack of work from Oil and Gas

During the year the Company has secured a number of lucrative land based fabrication contracts. To help facilitate this change the company has made a significant improvement to its online presence as referred to in the previous year's accounts.

Following the corporate acquisition at the start of the reporting period the subsidiary company acquired the intangible fixed assets of a former customer. This included but not limited to a number of patents and design systems. This acquisition heralds a new era at the company by enabling the company to enjoy direct sales to the Oil and Gas industry plus Waste to Energy market . The customer base has welcomed this and will without doubt encourage growth in turnover and profitability .

GOING CONCERN

The directors believe that the company is well placed to manage its business risks successfully despite the uncertainties surrounding the current economic environment and accordingly continue to adopt the going concern basis in preparing the annual report and accounts.

FUTURE DEVELOPMENTS

Following the corporate acquisition of the new subsidiary, which holds intangible fixed assets, Struthers Energy & Power Limited began trading and the directors remain highly optimistic about its future. Since the year end substantial contracts to supply Circular Waste Heat Recovery Units has been awarded to the subsidiary company and this Company will undertake the construction work. The subsidiary is experiencing high levels of enquiries and is expecting to be awarded several further projects imminently both onshore and offshore, which in turn will be built by the company

The continuing resurgence of the Worldwide Offshore Market together with ongoing orders from its UK based contracting work places the company in a very strong position for the forthcoming year.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors considers that the key risks for the business are meeting customers, constant higher expectations. The risk is managed by ensuring the company's quality systems are maintained, key members of staff retained and a focus on exceeding customer's expectations.

KEY PERFORMANCE INDICATORS

The ultimate controlling party is also a director of the company and is closely involved in the company's activities. The company's directors therefore believe that the analysis of the company's performance for the year using Key Performance Indicators is not necessary as the shareholder already understands the development, performance and position of the company.

FINANCIAL RISK MANAGEMENT

In mitigation of possible cash flow risks the company has now adopted a stronger regime in milestone payment terms to neutralise cash flows on longer term higher value projects. Due to the acquisition of Intellectual property the company will now enjoy total control of its cash flow and margins in major high value onshore and offshore contracts.

ON BEHALF OF THE BOARD:

Director

31st March 2022

The directors present their report with the financial statements of the company for the year ended 30th June 2021.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of fabrication engineers.

DIVIDENDS

The total distribution of dividends for the year ended 30 June 2021 was £65,000.

DIRECTORS

N Burton has held office during the whole of the period from 1st July 2020 to the date of this report.

Other changes in directors holding office are as follows:

M J Graves - appointed 1st November 2020

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 ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Smailes Goldie, will be proposed for re-appointment at the forthcoming Annual General Meeting.

BY ORDER OF THE BOARD:

N Burton - Director

31st March 2022

Opinion

We have audited the financial statements of C.F.Struthers Limited (the 'company') for the year ended 30th June 2021 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 30th June 2021 and of its profit 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.

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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, tax legislation, data protection, anti-bribery, employment, environmental and health and safety legislation. An understanding of these laws and regulations and the extent of compliance was obtained through discussion with management and inspecting legal and regulatory correspondence.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by making enquiries of management and considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

tested journal entries to identify unusual transactions;

-

assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

-

investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

-

agreeing financial statement disclosures to underlying supporting documentation;

-

reading the minutes of meetings of those charged with governance;

-

enquiring of management as to actual and potential litigation and claims; and

-

reviewing correspondence with relevant regulators and the company's legal advisors.

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.

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.

Peter Dearing BSc FCCA (Senior Statutory Auditor)

for and on behalf of Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire HU2 8BA

31st March 2022

TURNOVER

3

4,615,613

5,422,948

Cost of sales

3,230,569

3,518,334

GROSS PROFIT

1,385,044

1,904,614

Distribution costs

94,770

133,849

Administrative expenses

1,051,964

1,416,531

1,146,734

1,550,380

238,310

354,234

Other operating income

114,616

-

OPERATING PROFIT

5

352,926

354,234

Exceptional item

6

-

1,293,196

352,926

(938,962

)

Interest receivable and similar income

-

143

352,926

(938,819

)

Interest payable and similar expenses

7

62,412

63,178

PROFIT/(LOSS) BEFORE TAXATION

290,514

(1,001,997

)

Tax on profit/(loss)

8

(110,272

)

(518,242

)

PROFIT/(LOSS) FOR THE FINANCIAL YEAR

400,786

(483,755

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

400,786

(483,755

)

FIXED ASSETS

Tangible assets

10

2,315,947

2,369,749

Investments

11

554,904

1

2,870,851

2,369,750

CURRENT ASSETS

Stocks

12

1,237,818

1,168,369

Debtors

13

4,108,647

4,124,843

Cash at bank and in hand

271,473

496,155

5,617,938

5,789,367

CREDITORS

Amounts falling due within one year

14

875,235

1,562,507

NET CURRENT ASSETS

4,742,703

4,226,860

TOTAL ASSETS LESS CURRENT LIABILITIES

7,613,554

6,596,610

CREDITORS

Amounts falling due after more than one year

15

(1,468,260

)

(820,491

)

PROVISIONS FOR LIABILITIES

19

(33,389

)

-

NET ASSETS

6,111,905

5,776,119

CAPITAL AND RESERVES

Called up share capital

20

100,000

100,000

Revaluation reserve

21

766,430

766,430

Retained earnings

21

5,245,475

4,909,689

SHAREHOLDERS' FUNDS

6,111,905

5,776,119

The financial statements were approved by the Board of Directors and authorised for issue on 31st March 2022 and were signed on its behalf by:

N Burton - Director

Called up

share

Retained

Revaluation

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1st January 2019

100,000

5,543,444

766,430

6,409,874

Changes in equity

Dividends

-

(150,000

)

-

(150,000

)

Total comprehensive income

-

(483,755

)

-

(483,755

)

Balance at 30th June 2020

100,000

4,909,689

766,430

5,776,119

Changes in equity

Dividends

-

(65,000

)

-

(65,000

)

Total comprehensive income

-

400,786

-

400,786

Balance at 30th June 2021

100,000

5,245,475

766,430

6,111,905

Cash flows from operating activities

Cash generated from operations

1

(705,397

)

(181,627

)

Interest paid

(59,627

)

(58,717

)

Interest element of hire purchase payments paid

(2,785

)

(4,461

)

Tax paid

481,814

33,363

Net cash from operating activities

(285,995

)

(211,442

)

Cash flows from investing activities

Purchase of tangible fixed assets

(42,070

)

(55,251

)

Purchase of fixed asset investments

(554,903

)

(1

)

Sale of tangible fixed assets

24,000

42,953

Interest received

-

143

Net cash from investing activities

(572,973

)

(12,156

)

Cash flows from financing activities

New loans in year

750,000

766,000

Loan repayments in year

(4,621

)

(82,500

)

Hire purchase contracts - capital repaid

(46,093

)

(52,567

)

Equity dividends paid

(65,000

)

(150,000

)

Net cash from financing activities

634,286

480,933

(Decrease)/increase in cash and cash equivalents

(224,682

)

257,335

Cash and cash equivalents at beginning of year

2

496,155

238,820

Cash and cash equivalents at end of year

2

271,473

496,155

1.	RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

Period

1.1.19

Year ended

to

30.6.21

30.6.20

£

£

Profit/(loss) before taxation

290,514

(1,001,997

)

Depreciation charges

75,649

115,448

Profit on disposal of fixed assets

(3,778

)

(15,385

)

Finance costs

62,412

63,178

Finance income

-

(143

)

424,797

(838,899

)

Increase in stocks

(69,449

)

(1,118,822

)

(Increase)/decrease in trade and other debtors

(321,956

)

1,629,788

(Decrease)/increase in trade and other creditors

(738,789

)

146,306

Cash generated from operations

(705,397

)

(181,627

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 30th June 2021

30.6.21

1.7.20

£

£

Cash and cash equivalents

271,473

496,155

Period ended 30th June 2020

30.6.20

1.1.19

£

£

Cash and cash equivalents

496,155

238,820

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.7.20

Cash flow

At 30.6.21

£

£

£

Net cash

Cash at bank and in hand

496,155

(224,682

)

271,473

496,155

(224,682

)

271,473

Debt

Finance leases

(76,571

)

46,093

(30,478

)

Debts falling due within 1 year

-

(57,292

)

(57,292

)

Debts falling due after 1 year

(766,000

)

(688,087

)

(1,454,087

)

(842,571

)

(699,286

)

(1,541,857

)

Total

(346,416

)

(923,968

)

(1,270,384

)

1.	STATUTORY INFORMATION

C.F.Struthers 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.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared in accordance with applicable accounting standards including Financial Reporting Standards 102 "The Financial Reporting Standard Applicable in the UK and Republic of Ireland" (FRS 102) and the Companies Act 2006. The financial statements have been prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value.

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

The directors have assessed the risks and uncertainties that may affect the company's ability to trade as a going concern. The directors have in particular considered the company's cashflow following a major customer entering into administration in the prior year. As discussed in the strategic report, the group has acquired the patents previously held by this customer.

As a result of this, new contracts have been achieved which will have a positive impact on cash flow as the worldwide oil price continues to increase. The company has also reviewed its strategy and continues to expand its general fabrication work. Following this assessment, the financial statements have been prepared on a going concern basis, this assumes that the company will continue to be able to meet its financial liabilities as they fall due in the foreseeable future.

Turnover

When the outcome of long term contracts can be estimated reliably, contract costs and turnover are recognised by reference to the stage of completion at the balance sheet date. Stage of completion is measured by reference to costs incurred to date and estimated costs to complete. Where the outcome cannot be measured reliably, contract costs are recognised as an expense in the period in which they are incurred and contract turnover is recognised to the extent of costs incurred that it is probable will be recoverable. When it is probable that contract costs will exceed the total contract turnover, the expected loss is recognised as an expense immediately, with a corresponding provision.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Freehold property

- 2.5% on cost

Improvement to leasehold property

- 20% on cost

Plant and machinery etc

- 10% - 20% on cost

Fixtures and fittings

- 10% - 33.33% on cost

Motor Vehicles

- 25% on cost

Freehold property is valued by the directors using information available from professional valuations.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Contract work in progress is included in debtors stated at net realisable value. Cumulative turnover (i.e. the total turnover recorded in respect of the contract in the profit and loss accounts of all accounting periods since inception of the contract) is compared with total payments on account. If turnover exceeds payments on account an "amount recoverable on contracts" is established and separately disclosed within debtors. If payments on account are greater than turnover to date, the excess is classified within creditors.

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 or deferred taxation assets and liabilities are not discounted.

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 tax

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.

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Foreign currency

Foreign currency transactions are initially recognised by applying to the foreign currency amount the spot exchange rate between the functional currency and the foreign currency at the date of the transaction.

Monetary assets and liabilities denominated in a foreign currency at the balance sheet date are translated using the closing rate.

Hire purchase and leasing commitments

Assets acquired under finance leases are capitalised and depreciated over the shorter of the lease term and the expected useful life of the asset. Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding lease liability using the effective interest method. The related obligations, net of future finance charges, are included in creditors. Minimum lease payments are apportioned between finance income and the reduction of the lease debtor with finance income allocated so as to produce a constant periodic rate of interest on the net investment in the finance lease. Rentals payable and receivable under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

When employees have rendered service to the company, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service. The company operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.

Debtors and creditors receivable /payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the statement of comprehensive income in administrative expenses.

3.

TURNOVER

The turnover and profit before tax are attributable to the one principal activity of the company. The total amount of contract revenue recognised in the period was £4,615,613 (2020 £5,422,948).

4.	EMPLOYEES AND DIRECTORS

Period

1.1.19

Year ended

to

30.6.21

30.6.20

£

£

Wages and salaries

1,840,518

2,478,943

Social security costs

185,139

260,300

Other pension costs

114,795

168,812

2,140,452

2,908,055

The average number of employees during the year was as follows:

Period

1.1.19

Year ended

to

30.6.21

30.6.20

Management

15

15

Manufacturing

47

49

62

64

Period

1.1.19

Year ended

to

30.6.21

30.6.20

£

£

Directors' remuneration

56,117

43,391

Directors' pension contributions to money purchase schemes

22,117

27,000

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

2

1

5.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

Period

1.1.19

Year ended

to

30.6.21

30.6.20

£

£

Depreciation - owned assets

56,327

77,753

Depreciation - assets on hire purchase contracts

19,322

37,695

Profit on disposal of fixed assets

(3,778

)

(15,385

)

Auditors' remuneration

14,460

13,500

Auditors' remuneration for non audit work

-

15,365

Foreign exchange differences

59,128

255

Operating lease rentals - Land and buildings

26,250

39,375

Operating lease rentals - Plant and machinery

8,800

13,206

6.	EXCEPTIONAL ITEM

Period

1.1.19

Year ended

to

30.6.21

30.6.20

£

£

Exceptional item

-

(1,293,196

)

During the prior period the company suffered a substantial bad debt following a major customer entering administration. The exceptional item represents the total bad debt expense net of Value added tax and items previously being built for contracts which are now being held in stock.

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

Period

1.1.19

Year ended

to

30.6.21

30.6.20

£

£

Bank interest

839

4,993

Other loan interest

58,788

53,724

Hire purchase interest

2,785

4,461

62,412

63,178