RIQC_LIMITED - Accounts

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

For the financial year ended 31 December 2017 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

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

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

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

RIQC Limited is a private company limited by shares incorporated in England and Wales. The registered office is 2 St George's House, Vernon Gate, Derby, DE1 1UQ.

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.

At 31 December 2017, the company had net liabilities of £140,672 and is reliant on the support of the parent undertaking to enable it to meet its liabilities as they fall due. The directors have reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Turnover is recognised when services are provided.

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. It is amortised to the profit and loss accounts over its economic life.

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:

Cash at bank and in hand 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.

Basic financial assets, which include debtors and cash and bank balances, are measured at transaction price including transaction costs.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are recognised at transaction price.

The company makes contribution to a defined benefits pension scheme for certain employees and the pension charge is based on a full actuarial valuation dated dated 31 December 2016.

The company also makes contributions to a defined contribution pension scheme for employees who are not eligible for membership of the defined benefit scheme. The pension costs charged against operating profits are the contributions payable to the scheme in respect of the accounting period details of which are included in the group consolidated accounts that are publically available.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Pensions - there are significant areas of estimation in calculating the pensions scheme liability, although the liability is not recognised in the financial statements, the information is for disclosure purposes only. Details included in note 8.

The average monthly number of persons (including directors) employed by the company during the year was 4 (2016 - 4).

The company operates two defined contributions pension schemes. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £2,386 (2016 - £3,079). There were no outstanding contributions to the fund at the balance sheet date.

The group operates a Defined benefit pension scheme, which is funded.

The assets of the scheme are held separately from those of the group, being managed by the trustees of the scheme.

A number of employees are members of the Group's section of the Railway Pension Scheme which is an industry-wide contributory scheme with defined benefits based on average final salary. Those employees who were employees of the British Railways Board at 5 November 1993 have statutory protection of pension rights under the Railway Act 1993 and are entitled to the same pension rights for all future continuous employment.

Contributions to the scheme are based on pension costs across the group as a whole. the company is unable to identify its share of the underlying assets and liabilities of the scheme and therefore these are not reflected in the accounts of the company. The company's contributions to the scheme for the year amounted to £18,418 (2016: £17,149).

The pension cost and provision for the year ending 31 December 2017 are based on the advice of a professionally qualified actuary. The most recent formal valuation is dated 31 December 2016 which has been updated to reflect conditions at the balance sheet date. The results of this valuation showed that the assets of the Group's section of the Scheme were £10.203m and the actuarial valuation of those assets represented 74.4% of the benefits accrued to members after allowing for future increases in earnings. The assumptions that have the most significant effect on the valuation are those related to the rate of return on investments and the rate of increase in salaries and pensions. It was assumed that the discount rates for pre and post retirement would be 5.99% and 4.24% respectively per annum, but salary increases would average 3.0% plus 0.4% for promotional pay increases per year in general and that present and future pensions would increase at the rate of 2.0% per annum.

The pension charge for the year ended 31 December 2017 was £38,000 (2016: £27,000) plus administration charges of £68,000 (2016 : £106,000) calculated using the Projected Unit Method. The contributions of the Company and employees were 60% and 40% of their Future Service Joint Contribution Rate (FSJCR)of their section pay.

The Defined Benefit Scheme is closed to new members and so, under the Projected Unit Method, the current service cost would be expected to increase over time as a percentage of pay as members of the Scheme age but is expected to then gradually reduce to zero as members of the Scheme approach retirement.

The latest formal valuation was updated to 31 December 2017 by a qualified independent actuary. From this, the results for the group indicated that at that date there was a deficit in the scheme of £1,825,000.

The company is a party, together with other group companies, to a debenture in favour of the Royal Bank of Scotland PLC as security for overdraft facilities. The security is in the form of fixed and floating charges over the company and all property and assets. There are also cross guarantees between companies within the group. Total group net borrowings at 31 December 2017 were £NIL (2016 : £NIL). The contingent liability of RIQC Limited was £NIL (2016 : £NIL).

The company has taken advantage of the exemption available within the Financial Reporting Standard 102 not to disclose details of any transactions between itself and fellow group undertakings on the basis that is is a subsidiary undertaking where 100% of the voting rights are controlled within the group whose consolidated accounts are publically available.

The ultimate parent undertaking is the QSS Group Limited by virtue of the 100% interest in the equity share capital of the company.