Contents of the Financial Statements

for the Period Ended 30 September 2022

Directors' report period ended 30 September 2022

The directors present their report with the financial statements of the company for the period ended 30 September 2022

Directors

The directors shown below have held office during the whole of the period from
1 October 2021 to 30 September 2022

The directors shown below have held office during the period of
1 October 2021 to 19 July 2022

The above report has been prepared in accordance with the special provisions in part 15 of the Companies Act 2006

This report was approved by the board of directors on
30 June 2023

And signed on behalf of the board by:
Name: C D Sinclair
Status: Director

Profit And Loss Account

for the Period Ended 30 September 2022

Balance sheet

As at 30 September 2022

The notes form part of these financial statements

Balance sheet statements

For the year ending 30 September 2022 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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

The notes form part of these financial statements

Notes to the Financial Statements

for the Period Ended 30 September 2022

• 1. Accounting policies

  Basis of measurement and preparation

  These financial statements have been prepared in accordance with the provisions of Section 1A (Small Entities) of Financial Reporting Standard 102

  Turnover policy

  Turnover comprises grant income receivable for the accounting period excluding Value Added Tax, inconnection with the operating costs of the company, rental income from tenants in the Liverpool Science Park,and conference income. Rental income is recognised over the term of the lease. All income arises wholly in theUK.Grants receivable in respect of the acquisition and construction of Liverpool Science Park are treated as deferredcapital grants and amortised in line with depreciation over the life of the assets.

  Tangible fixed assets depreciation policy

  Tangible fixed assetsLand and buildingsLand and buildings are recognised at cost. Buildings are depreciated over their expected useful life of 40 years.Land is not depreciated. Where buildings were acquired with the aid of specific grants they are capitalised andamortised in line with depreciation over the life of the assets.EquipmentEquipment, including computers and software with a minimum value of £2k and fixtures and fittings with aminimum value of £1k, is capitalised at cost and depreciated over 4 years.Impairment of fixed assetsAn assessment is made at each reporting date of whether there are indications that a fixed asset may be impairedor that an impairment loss previously recognised has fully or partially reversed. If such indications exist, thecompany estimates the recoverable amount of the asset or, for goodwill, the recoverable amount of thecash-generating unit to which the goodwill belongs.Shortfalls between the carrying value of fixed assets and their recoverable amounts, being the higher of fairvalue less costs to sell and value-in-use, are recognised as impairment losses. Impairments of revalued assets aretreated as a revaluation loss. All other impairment losses are recognised in profit or loss.Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased toapply. Reversals of impairment losses are recognised in profit or loss or, for revalued assets, as a revaluationgain. On reversal of an impairment loss, the depreciation or amortisation is adjusted to allocate the asset'srevised carrying amount (less any residual value) over its remaining useful life.The carrying amount of the investments accounted for using the equity method is tested for impairment as asingle asset. Any goodwill included in the carrying amount of the investment is not tested separately forimpairment.

  Intangible fixed assets amortisation policy

  Intangible fixed assetsIntangible assets purchased other than in a business combinations are recognised when future economic benefitsare probable and the cost or value of the asset can be measured reliably.Intangible assets are initially recognised at cost and are subsequently measured at cost less accumulatedamortisation and accumulated impairment losses. Intangible assets are amortised to profit or loss on astraight-line basis over their useful lives, as follows:- Website development costs 4 yearsThe useful life calculation is based on the frequency with which the asset is expected to be replaced by asignificantly updated version. On disposal, the difference between the net disposal proceeds and the carryingamount of the intangible asset is recognised in profit or loss.

  Valuation information and policy

  Investment PropertyA key source of estimation and uncertainty relates to the valuation of investment properties, where a valuation isobtained annually, either by professionally qualified external valuers, or by the Company's own internalqualified staff. The evidence to support these valuations is based primarily on recent, comparable markettransactions on an arm's length basis. However, the assumptions applied are inherently subjective and so aresubject to a degree of uncertainty. Property valuations are one of the principal uncertainties of the company. Thevalue of investment property as at 30 September 2022 is £17,161k (2021: £17,807k), further information can befound in note 8.

  Other accounting policies

  Basis of preparationThese financial statements have been prepared in accordance with Financial Reporting Standard 102 "TheFinancial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under thehistorical cost convention as modified by the revaluation of certain assets.The principal accounting policies adopted are described below. They have all been applied consistentlythroughout the current period and previous year.Liverpool Science Park Limited (the 'company') is a public benefit entity and private limited company domiciledand incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales.The company is limited by guarantee. The address of the registered office is given on page 1. The nature of theCompany's operations and its principal activity is set out in the Directors' Report on pages 2-3.The functional currency of the company is considered to be pounds sterling because that is the currency of theprimary economic environment in which the company operates.Going concernThe Financial Statements have been prepared on the assumption that the company is a going concern and willcontinue to be so. This assumption is based on a number of factors.At the period end Liverpool Science Park Limited had net current liabilities of £1,338k (2021: £465k) and netliabilities of £176k (2021: £247k). This financial position is partly due to balances owing to the related party andmajority member Liverpool City Council of £3,518k (2021: £3,682k). The company also has other lesserliabilities to its other two members, the University of Liverpool and Liverpool John Moores University, totalling£278k (2021: £262k). These largely relate to historic construction costs for IC3, rather than any trading losses.The Directors have obtained confirmation from the members that they do not intend to demand payment of theloans, over and above those amounts scheduled for the period, in the twelve-month period from the date ofsignature of these financial statements and will provide support to enable the company to meet its commitmentsas they fall due. The Directors therefore consider it appropriate to prepare the financial statements on a goingconcern basis.Preparation of consolidated financial statementsThe financial statements contain information about Liverpool Science Park Limited as an individual companyand do not contain consolidated financial information as the parent of a group. The company is exempt underSection 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements. Fixed asset investmentsInterests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulatedimpairment losses.Interests in subsidiaries are assessed for impairment at each reporting date. Any impairment losses orreversals of impairment losses are recognised immediately in profit or loss.Government grantsGrants for capital expenditure are credited to a deferred income accounts and are release to the profit and loss ona systematic basis over the expected life of the asset.Capitalisation of interestInterest directly attributable to the construction of tangible fixed assets, incurred up to the time that identifiablemajor capital projects are ready for service is capitalised as part of the cost of the assets.Investments in subsidiariesInvestments in subsidiaries are measured at cost less accumulated impairment. Investments are assessed forindicators of impairment at each statement of financial position date. If there is evidence of impairment, animpairment loss in recognised in profit or loss. Financial instrumentsFinancial assets and financial liabilities are recognised when the Company becomes a party to the contractualprovisions of the instrument.Financial liabilities and equity instruments are classified according to the substance of the contractualarrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets ofthe Company after deducting all of its liabilities.i. Financial assets and liabilitiesAll financial assets and liabilities are initially measured at transaction price (including transaction costs), exceptfor those financial assets classified as at fair value through profit or loss, which are initially measured at fairvalue (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes afinancing transaction. If an arrangement constitutes a financing transaction, the financial asset or financialliability is measured at the present value of the future payments discounted at a market rate of interest for asimilar debt instrument.Financial assets and liabilities are only offset in the statement of financial position when, and only when thereexists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on anet basis, or to realise the asset and settle the liability simultaneously.Debt instruments which meet the following conditions are subsequently measured at amortised cost using theeffective interest method:a) The contractual return to the holder is; (i) a fixed amount; (ii) a positive fixed rate or a positive variable rate; or (iii) a combination of a positive or a negative fixed rate and a positive variable rate.b) The contract may provide for repayments of the principal or the return to the holder (but not both) tobe linked to a single relevant observable index of general price inflation of the currency in which thedebt instrument is denominated, provided such links are not leveraged.c) The contract may provide for a determinable variation of the return to the holder during the life of theinstrument, provided that;(i) the new rate satisfies condition (a) and the variation is not contingent on future events otherthan (1) a change of a contractual variable rate; (2) to protect the holder against creditdeterioration of the issuer; (3) changes in levies applied by a central bank or arising fromchanges in relevant taxation or law; or (ii) the new rate is a market rate of interest and satisfies condition (a).d) There is no contractual provision that could, by its terms, result in the holder losing the principalamount or any interest attributable to the current period or prior periods.e) Contractual provisions that permit the issuer to prepay a debt instrument or permit the holder to put itback to the issuer before maturity are not contingent on future events, other than to protect the holderagainst the credit deterioration of the issuer or a change in control of the issuer, or to protect theholder or issuer against changes in levies applied by a central bank or arising from changes inrelevant taxation or law.Debt instruments that have no stated interest rate (and do not constitute financing transaction) and are classifiedas payable or receivable within one year are initially measured at an undiscounted amount of the cash or otherconsideration expected to be paid or received, net of impairment.Commitments to make and receive loans which meet the conditions mentioned above are measured at cost(which may be nil) less impairment. ii. Fair value measurementThe best evidence of fair value is a quoted price for an identical asset in an active market. When quoted pricesare unavailable, the price of a recent transaction for an identical asset provides evidence of fair value as long asthere has not been a significant change in economic circumstances or a significant lapse of time since thetransaction took place. If the market is not active and recent transactions of an identical asset on their own arenot a good estimate of fair value, the fair value is estimated by using a valuation technique.TaxationCurrent UK corporation tax is provided at amounts expected to be paid using the tax rates and laws that havebeen enacted or substantively enacted by the statement of financial position date.Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balancesheet date where transactions or events that result in an obligation to pay more tax in the future or a right to payless tax in the future have occurred at the balance sheet date. Timing differences are differences between theCompany's taxable profits and its results as stated in the financial statements that arise from the inclusion ofgains and losses in tax assessments in periods different from those in which they are recognised in the financialstatements.A net deferred tax asset is regarded as recoverable and therefore recognised only when, on the basis of allavailable evidence, it can be regarded as more likely than not there will be suitable taxable profits from whichthe future reversal of the underlying timing differences can be deducted.Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by thebalance sheet date that are expected to apply to the reversal of the timing difference. Deferred tax relating tonon-depreciable property, plant and equipment measured using the revaluation model and investment property ismeasured using the tax rates and allowances that apply to sale of the asset.Where items recognised in other comprehensive income or equity are chargeable to or deductible for taxpurposes, the resulting current or deferred tax expense or income is presented in the same component ofcomprehensive income or equity as the transaction or other event that resulted in the tax expense or income.Current tax assets and liabilities are offset only when there is a legally enforceable right to set off the amountsand the Company intends either to settle on a net basis or to realise the asset and settle the liabilitysimultaneously.Deferred tax assets and liabilities are offset only if: a) the Company has a legally enforceable right to set offcurrent tax assets against current tax liabilities; and b) the deferred tax assets and deferred tax liabilities relate toincome taxes levied by the same taxation authority on either the same taxable entity or different taxable entitieswhich intend either to settle current tax liabilities and assets on a net basis, or to realise the assets and settle theliabilities simultaneously, in each future period in which significant amounts of deferred tax liabilities or assetsare expected to be settled or recovered.Employee BenefitsFor defined contribution schemes the amount charged to the profit and loss account in respect of pension costsand other retirement benefits is the contributions payable in the year. Differences between contributions payablein the year and contributions actually paid are shown as either accruals or prepayments in the statement offinancial position. Leasesi. The entity as lessee - operating leasesRentals applicable to operating leases where substantially all of the benefits and risks of ownership remain withthe lessor are charged against profits on a straight-line basis over the period of the lease.ii. The entity as lessor - operating leasesRental income from assets leased under operating leases is recognised on a straight-line basis over the term ofthe lease. Rent free periods or other incentives given to the lessee are accounted for as a reduction to the rentalincome and recognised on a straight-line basis over the lease term.Critical accounting judgementsThe Directors do not consider there to be any critical accounting judgements.Key sources of estimation uncertaintyIn the application of the company's accounting policies the directors are required to make judgements, estimatesand assumptions about the carrying amounts of assets and liabilities that are not readily apparent form othersources. This includes valuations of investments properties and fixed asset investments. The estimates andassociated assumptions are based on historical experience and other factors that are considered to be relevant.Actual results may differ from these estimates.The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimatesare recognised in the period in which the estimate is revised if the revision effects only that period, or in theperiod of the revision and future period if the revision affects both current and future periods.

Notes to the Financial Statements

for the Period Ended 30 September 2022

• 2. Employees

  	2022	2021
  Average number of employees during the period	9	13