pNs~oER ~ Considerate Co · lere nstructors Scheme pNs~oER ~ Considerate Co n t e of co ruction ~ `~ Im ng the im FOR THE 12 MONTHS ENDED 31st MARCH 2018 ... developing its development

lere nstructors Scheme pNs~oER ~ Considerate Con t e of co ruction ~ `~ Im ng the im

FOR THE 12 MONTHS ENDED 31st MARCH 2018OAKI eafcommercial services

Oakleaf Commercial Services Limited Annual Report and Financial Statements

for year ended 31 March 2018

CONTENTS

Page

01 Statement from the Chair of the Board 2

02 The Board of Directors, Executive Officers and Principal Advisors 3

03 Strategic Report 4

• About Oakleaf Commercial Services• Summary of Financial Performance• Group Structure and Corporate Governance• Risk and Treasury Management• Internal Control Assurance• Statement of Responsibility

04 Independent Auditors report to the Members of Oakleaf Commercial Services 7

Limited

05 Statement of Comprehensive Income 9

06 Statement of Change in Reserves 10

07 Statement of Financial Position 11

~$ Notes to the Financial Statements 12

1Oakleaf Commercial Services LimitedFinancial Statements 2017/18

01 I Statement from the Chair of the Board

"The company's new business plan renewsour focus, looking forward, in support ofthe Group aims."

It is with great pleasure that I present, onbehalf of the Oakleaf Commercial ServicesBoard, the fourth year set of financialstatements.

2017/18 has been a year of change includingthe completion of a Group wide review of ourgovernance arrangements. Asa result, theOakleaf Board has been reviewed and I amdelighted to present this statement as thenewly appointed Chair of the Board.

My thanks go to the outgoing Chair and theBoard who laid the foundations for a strongbusiness at our inception just over 4 yearsago.

Among our achievements in the year are:-

• The harmonisation of our trades' bonusscheme to a salary based scheme.

• Started 27 new homes and completed 25,including the trialling of new methods ofconstruction.

• Expansion of our commercial business by£3.54m

believe the quality of the people we have atOakleaf, the strength of the business culture,the quality and commitment of our businesspartners gives us the opportunity tosuccessfully deliver our new 2018-2021business plan and targets.

My thanks go to my fellow Board members,the Group Board, partners, customers and allthe staff who continue to demonstrate that'together we can' develop and grow asuccessful local business.

~~~~ !

Kaye Law-FoxChair of Oakleaf Commercial Services

• The external recognition of our work bybeing shortlisted for two awards at theWest of England LABC BuildingExcellence Awards 2017 external awards

Our achievements have contributed to ourpositive outturn with a profit before taxation of£485k (2017 - £472k)

The new Board has revisited the Oakleafbusiness plan in conjunction with the Group'snew business plan — 'together we can'. Thisrenews our focus, looking forward, in supportof the Group aims. Essentially, the OakleafBoard will be focusing on the efficient andeffective delivery of services to the Group'scustomers, building new homes to supportlocal need and to further developing ourcommercial offer for business and customersacross our operating region.

Oakleaf Commercial Services LimitedFinancial Statements 2017/18

0~ ~ The Board of Directors, Executive Officers and Principal Advisors

Board of Directors

Kaye Law-Fox Chair (appointed 19 September 2017)Fred Carter (appointed 19 September 2017)Andrew FryJane Preece (appointed 19 September 2017)Tony Tench (appointed 19 September 2017)

John Coyne (resigned 19 September 2017)David Guy (resigned 19 September 2017)Ed Osborn (resigned 19 September 2017)Diane Smith (resigned 19 September 2017)

Executive Officers

Executive Officers are employees of The Community Housing Group Limited, Oakleaf CommercialServices' parent company.

Ian Hancock Managing DirectorRay Brookes Group Chief ExecutiveSteve Ball Director of Financial ServicesMarina BannerDavid HanmanDavid Knowlton

Group Secretary and Registered Address

David Knowlton 3 Foley GroveFoley Business ParkKidderminsterWorcestershireDY11 7PT

Principal Advisors

External Auditors

Bankers

Solicitors

Registrations

Companies House 08599255

KPMG LLPOne Snow HillSnow Hill QueenswayBirmingham B4 6GH

Barclays Bank PLCOne Snow HillSnow Hill QueenswayBirmingham B4 6GN

Anthony Collins Solicitors LLP134 Edmund StreetBirmingham B3 2ES

VAT Number 860 2029 54

Other Members of the Group:

• The Community Housing Group Limited (TCHG) Parent Company• Worcestershire Telecare Limited (WTC)• Vestia Community Trust (VCT)

• Wyre Forest Land Company Limited (WFLC)


03 ~ Strategic Report

About Oakleaf Commercial Services

Oakleaf Commercial Services Limited (Oakleafl is a wholly owned subsidiary of The Community

Housing Group Limited and is a trading company, based in Kidderminster that provides high quality

building maintenance, development, joinery, PVC-u window manufacturing and grounds maintenance

services for a growing portfolio of customers across the West Midlands. We have steadily grown the

business to an annual turnover in excess of £21 m per annum and benefit from a highly skilled

workforce of approximately 230 across a number of disciplines including trades staff, joiners,

gardeners, technical and administrative staff. We have a large apprenticeship training programme and

reputation for employing and developing young people in the areas in which we work.

The company did not trade before December 2013.

Summary of Financial Performance

Oakleaf Commercial Services made an operating profit, before tax, of £485k in the year (2017:

£472k). The company has net current assets of £1.68m (2017: £1.88m) and reserves at the year-end

of £1.89m (2017: £1.51 m), an increase of 25%.

The directors consider it appropriate to continue to adopt the going concern basis for the preparation

of the company's financial statements.

Group Structure and Corporate Governance

The Group Board commenced agroup-wide governance restructure following the completion of a

Campbell Tickell governance review in 2017 and a new governance structure was introduced from the

19 September 2017.

The Oakleaf Board is responsible for the overall strategic direction of Oakleaf, including the

determination of key policies and the monitoring of compliance with both policies and performance

targets.

The Group operates a number of committees to provide strategic support services to its subsidiaries.

Each Committee has specific roles and responsibilities.

The Oakleaf Board has delegated responsibility for assurance to the Audit and Assurance Committee

although it recognises that the ultimate responsibility for overall governance remains with the Group

Board.

Day to day management of the group is delegated to the executive team made up of the Group Chief

Executive and directors and in respect of Oakleaf to the Managing Director.

The Group has adopted the NHF's Code of Governance 2015 ("the Code"). In accordance with the

Code, the Group is pleased to report full compliance with all aspects of the Code at 31 March 2018.

Risk and Treasury Management

Oakleaf's annual review of risk management activity included consideration of the completeness of

the principal risks within the risk register, the relative significance of those risks and the risk

management techniques that have been applied to mitigate identified risks. The key risks identified

have been regularly reviewed and updated and those that were considered to be the highest priority

at the year-end are set out below.

Delivering both Oakleaf's and the Group's long term plans while ensuring that compliance with

developments in government legislation, regulatory reviews and changes to funding regime continues

to challenge the organisation to be more efficient and effective in its use of limited resources and

future service deliverability.

Oakleaf recognised that diversification, growth and extended

presents challenges to management as it continues to look

business plans through partnership and tender opportunities,

impact of the new regulatory regime on commercial services.


reach of its services is necessary butto expand and diversify in line withwhile taking into account the potentialOakleaf has been in operation since

4~


July 2013 and continues to pursue third party contracts across all of its main activities whilstdeveloping its development work on new properties and window replacement and joinery operations.

Risk management is embedded throughout the group. Officers and members ensure that all decisionmaking is carried out on a ̀ risk aware' basis, ensuring that all opportunities and threats that couldimpact on achievement of business objectives are evaluated across all activities and action is put inplace to reduce threats to an acceptable level, prior to finalising the decision making process.

This enables the organisation to mitigate any threats whilst maximising opportunities, henceprotecting its ability to continue to provide existing services, allowing for expansion of serviceprovision, and ensuring long term viability of the group.

Treasury activities are controlled and monitored by the Director of Financial Services with theassistance of external consultants as required and are carried out in accordance with policiesapproved by the Group Board. The purpose of the treasury management function is to ensure thatadequate cost-effective funding is available at all times and that exposure to financial risk isminimised. The key risk managed by the treasury function is liquidity risk. Treasury managementactivity is subject to review by both internal and external Auditors on a regular basis. The GroupBoard have updated their skills knowledge and understanding of treasury management.

Cash flow requirements are monitored through the group's ongoing forecasting process. It is ourpolicy to cover investment plans. This is achieved by the use of detailed cash flow forecasts coveringshort, medium and long term, together with a program of short-term cash investment and use ofrevolving credit facilities. We manage cash investments in-house and our policy is first to minimisecounter-party risk and then to maximise return.

Internal Control Assurance

The Group Board has overall responsibility for ensuring an adequate system of internal control is inplace and for reviewing its effectiveness. The system of internal control is designed to manage risk,to demonstrate commitment to economy, efficiency and effectiveness through value for moneyexercises, and to provide reasonable assurance that key business objectives are achieved. It alsoprovides reasonable assurance concerning the reliability of financial and operational controls and thesafeguarding of assets against unauthorised use or disposal. This applies for all partnershiparrangements and subsidiaries within the group.

Our ̀risk managed culture' supports our drive for excellence; continuous improvement; and Value forMoney in the provision of services.

During the year the Audit and Assurance Committee has received reports to support the effectivenessof internal controls:-

• 46 internal audit areas were reviewed during 2017/18 with 8 substantial assurances, 3 adequateassurances and 35 compliant/compliant subject to outcomes. Implementation ofrecommendations is actively monitored through Audit and Assurance Committee.

• The internal audit annual report for 2017/18 which confirmed that the group has in place anappropriate framework for identifying, evaluating and managing the significant risks faced and thatin respect of the areas of activity which were reviewed, and subject to the weaknesses identifiedand reported in internal audit reports, the group has an adequate, effective and reliable frameworkof internal control and effective risk management and governance processes which providesreasonable assurance regarding the effective and efficient achievement of the group's objectives.

• Annual ̀in camera' meeting with internal and external auditors.

• Completion of annual control risk self-assessment returns by senior management to supportDirector's annual assurance statements regarding the effectiveness of internal controls in theirdirectorates.

• Annual review of financial regulations and accounting requirements and a three year rollingreview of all policies, ensuring that all personnel are kept informed and trained.

5~Oakleaf Commercial Services LimitedFinancial Statements 2017/18


Statement of Directors' Responsibilities in Respect of the Directors' Report and the FinancialStatements

The directors are responsible for preparing the Directors' Report and the financial statements inaccordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Underthat law they have elected to prepare the financial statements in accordance with UK accountingstandards and applicable law (UK Generally Accepted Accounting Practice), including FRS 102 TheFinancial Reporting Standard applicable in the UK and Republic of Ireland.

Under company law the directors must not approve the financial statements unless they are satisfiedthat they give a true and fair view of the state of affairs of the company and of the profit or loss of thecompany for that period. In preparing these financial statements, the directors are required to:

• select suitable accounting policies and then apply them consistently;

• make judgments and estimates that are reasonable and prudent;

• state whether applicable UK accounting standards have been followed, subject to any materialdepartures disclosed and explained in the financial statements;

• assess the company's ability to continue as a going concern, disclosing, as applicable, mattersrelated to going concern; and

• use the going concern basis of accounting unless they either intend to liquidate the company or tocease operations, or have no realistic alternative but to do so.

The directors are responsible for keeping adequate accounting records that are sufficient to show andexplain the company's transactions and disclose with reasonable accuracy at any time the financialposition of the company and enable them to ensure that the financial statements comply with theCompanies Act 2006. They are responsible for such internal control as they determine is necessaryto enable the preparation of financial statements that are free from material misstatement, whetherdue to fraud or error, and have general responsibility for taking such steps as are reasonably open tothem to safeguard the assets of the company and to prevent and detect fraud and other irregularities.

The directors are responsible for the maintenance and integrity of the corporate and financialinformation included on the company's website. Legislation in the UK governing the preparation anddissemination of financial statements may differ from legislation in other jurisdictions.

Modern Slavery

We are committed to ensuring there is transparency in our approach to tackling modern slaverythroughout our supply chains, consistent with our disclosure obligations under the Modern Slaveryand Human Trafficking Act 2015. We expect the same high standards from all of our contractors,suppliers and other business partners, and as part of our contracting and procurement processes, weinclude specific prohibitions against the use of forced, compulsory or trafficked labour, or anyone heldin slavery or servitude, whether adults or children, and we expect that our suppliers will hold their ownsuppliers to the same high standards. Our 2016/17 statement and future action plan is available onthe homepage of all Group company websites together with an information video for stakeholdersdesigned to raise awareness our expectations.

Post Year End Event

The group's £165m funding facility with Barclays at 31 March 2018 was split into four tranches inorder to spread the refinancing risk. Tranche A (£25m) matured in May 2018 and with the assistanceof our funding advisors, Savills, this tranche of funding was successfully refinanced with YorkshireBuilding Society.

...... - ......... ..................................... Date:.~~........V.l.......~-~-?~..U...............David KnowltonGroup SecretaryOakleaf Commercial Services


04 ~ Independent Auditor's Report to the Members of Oakleaf Commercial

Services Limited

Opinion

We have audited the financial statements of Oakleaf Commercial Services Limited ("the company")

for the year ended 31 March 2018 which comprise the Statement of Comprehensive Income,

Statement of Financial Position, Statement of Changes in Reserves, and related notes, including the

accounting policies in note 2.

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 March 2018 and of its profit

for the year then ended;

• have been properly prepared in accordance with UK accounting standards, including FRS 102

The Financial Reporting Standard applicable in the UK and Republic of Ireland; 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 are described below. We have fulfilled our ethical

responsibilities under, and are independent of the company in accordance with, UK ethical

requirements including the FRC Ethical Standard. We believe that the audit evidence we have

obtained is a sufficient and appropriate basis for our opinion.

Going concern

We are required to report to you if we have concluded that the use of the going concern basis of

accounting is inappropriate or there is an undisclosed material uncertainty that may cast significant

doubt over the use of that basis for a period of at least twelve months from the date of approval of the

financial statements. We have nothing to report in these respects.

Directors' report

The directors are responsible for the directors' report. Our opinion on the financial statements does

not cover that report and we do not express an audit opinion thereon.

Our responsibility is to read the directors' report and, in doing so, consider whether, based on our

financial statements audit work, the information therein is materially misstated or inconsistent with the

financial statements or our audit knowledge. Based solely on that work:

we have not identified material misstatements in the directors' report;

in our opinion the information given in that report for the financial year is consistent with the

financial statements; and

in our opinion that report has been prepared in accordance with the Companies Act 2006.

Matters on which we are required to report by exception

Under the Companies Act 2006 we are required 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; or

• the directors were not entitled to take advantage of the small company's exemption from the

requirement to prepare a strategic report.

We have nothing to report in these respects.


04 ~ Independent Auditor's Report to the Members of Oakleaf CommercialServices Limited

Directors' responsibilities

As explained more fully in their statement set out on page 6, the directors are responsible for: thepreparation of the financial statements and for being satisfied that they give a true and fair view; suchinternal control as they determine is necessary to enable the preparation of financial statements thatare free from material misstatement, whether due to fraud or error; assessing the company's ability tocontinue as a going concern, disclosing, as applicable, matters related to going concern; and usingthe going concern basis of accounting unless they either intend to liquidate the company or to ceaseoperations, or have no realistic alternative but to do so.

Auditor's responsibilities

Our objectives are to obtain reasonable assurance about whether the financial statements as a wholeare free from material misstatement, whether due to fraud or error, and to issue our opinion in anauditor's report. Reasonable assurance is a high level of assurance, but does not guarantee that anaudit conducted in accordance with ISAs (UK) will always detect a material misstatement when itexists. Misstatements can arise from fraud or error and are considered material if, individually or inaggregate, they could reasonably be expected to influence the economic decisions of users taken onthe basis of the financial statements.

A fuller description of our responsibilities is provided on the FRC's website atwww.frc.orp.uk/auditorsresponsibilities.

The purpose of our audit work and to whom we owe our responsibilities

This report is made solely to the company's members, as a body, in accordance with Chapter 3 ofPart 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state tothe company's members those matters we are required to state to them in an auditor's report and forno other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility toanyone other than the company and the company's members, as a body, for our audit work, for thisreport, or for the opinions we have formed.

Sarah Brown (Senior Statutory Auditor)for and on behalf of KPMG LLP, Statutory Auditor

Chartered AccountantsOne Snowhill, Snow Hill QueenswayBirmingham 64 6GH


05 ~ Statement of Comprehensive Income for the year ended 31 March 2018

2018 2017Note

£'000 £'000

Turnover 21, 241 19, 787

Operating costs (20,671) (19,245)

Loss on sale of fixed assets (41) (13)

Operating profit 529 529

Interest payable and similar charges 5 (44) (57)

Profit on ordinary activities before tax 6 485 472

Taxation 7 (106) (181)

Profit on ordinary activities after tax and profit for the 379 291financial year

Other comprehensi~,e income - -

Total comprehensive income for the financial year 379 291


06 ~ Statement of Changes in Reserves for the year ended 31 March 2018

2018 2017

£'000 £'000

Balance at 1 April 1,507 1,216

Profit for the financial year 379 291

Other comprehensi~ income - -

Balance at 31 March 1,886 1,507


07 ~ Statement of Financial Position as at 31 March 2018

2018 2017Note

£'000 £'000

Fixed assets

Intangible assets and goodwill 8 50 150

Tangible fixed assets 9 999 950

1,049 1,100

Current assets

Debtors 10 3,198 2,749

Stock and work in progress 11 30 23

Cash and cash equivalents 187 419

3,415 3,191

Less: Creditors: amounts falling due within one year 12 (1,731) (1,310)

Net current assets 1,684 1,881

Total assets less current liabilities 2,733 2,981

Creditors: amounts falling due after more than one year 13 (847) (1,474)

Total net assets 1,886 1,507

Reserves

Called-up share capital 14 - -

Income and expenditure reserve 1,886 1,507

1,886 1,507

The financial statements were appro~d by the Board of Management on Wednesday 25 July

2018 and signed on its behalf by:

~~I~Kaye Law-FoxChair of Oakleaf Commercial Services

The notes on pages 12 to 18 form part of these financial statements.


08 I Notes to the Financial Statements

Legal statusOakleaf Commercial Services Limited (Oakleafl is a limited company. It is a subsidiary of TheCommunity Housing Group Limited (TCHG) and was incorporated on 5 July 2013.

Principal accounting policiesThe following accounting policies have been applied consistently in dealing with items which areconsidered to be material in relation to the company's financial statements:

Basis of preparationThe financial statements of the company are prepared in accordance with the Companies Act2006 and Financial Reporting Standard 102 (FRS 102).

TurnoverTurnover represents income arising from the provision of repairs and maintenance services andsimilar income in the UK.

Going concernThe Board has a reasonable expectation that the group has adequate resources to continue inoperational existence for the foreseeable future, being a period of at least twelve months afterthe date on which the report and financial statements are signed. For this reason, it continues toadopt the going concern basis in the financial statements.

DebtorsShort term debtors are measured at transaction price, less any impairment.

A provision is charged to the Statement of Comprehensive Income to provide for debts that maynot be recovered, on the basis of management's assessment of recoverability.

CreditorsShort term trade creditors are measured at the transaction price.

Tangible Fixed Assets and DepreciationTangible fixed assets are stated at cost less accumulated depreciation and depreciation ischarged on a monthly basis. Depreciation is provided evenly on the cost of other tangible fixedassets to write them down to their estimated residual values over their expected useful lives. Theprincipal annual rates used for other assets are:

Office equipment 20-25% per annumMaintenance equipment 20-33% per annumMotor Vehicles 14-25% per annum

Management reviews its estimate of the useful lives of depreciable assets at each reporting datebased on the expected utility of the assets. Uncertainties in these estimates relate totechnological obsolescence that may change the utility of certain software and IT equipment andthe degree of wear and tear that may result in more frequent replacement of key components.

ImpairmentFixed assets are reviewed annually for impairment. Where indicators are identified anassessment for impairment is undertaken comparing the asset's carrying amount to itsrecoverable amount. Where the carrying amount of an asset is deemed to exceed itsrecoverable amount, the asset is written down to its recoverable amount, this is likely to be thevalue in use of the asset based on its service potential. The resulting impairment loss isrecognised as expenditure in the Statement of Comprehensive Income. Where an asset iscurrently deemed not to be providing service potential to the association, its recoverableamount is its fair value less costs to sell.


08 ~ Notes to the Financial Statements

2. Principal accounting policies (continued)

Goodwill

Goodwill is written down on a straight line basis over its expected useful life, which is 5 years.

This is based on the maximum life of existing contracts.

Cash flow

The company has taken advantage of the exemption available in FRS102 from preparing a

statement of cash flows, on the basis that it is a qualifying entity and the consolidated statement

of cash flows, included in the financial statements of The Community Housing Group Limited,

includes the company's cash flows.

Inventories

The value of stock is shown at the lower of cost and estimated selling price less costs to

complete and sell.

Financial instrumentsFinancial instruments which meet the criteria of a basic financial instrument as defined in

Section 11 of FRS 102 are accounted for under an amortised historic cost model.

As a wholly owned subsidiary of The Community Housing Group Limited, the company has

taken the exemption from disclosures related to financial instruments in accordance with

FRS102.

Value Added Tax (VAT)The company charges Value Added Tax (VAT) on some of its income and is able to recover part

of the VAT it incurs on expenditure. The financial statements include VAT to the extent that it is

suffered and not recoverable from HM Revenue and Customs. The balance of VAT payable or

recoverable at the year-end is included as a current liability or asset.

Significant Management Judgments

ImpairmentManagement judgment is applied when considering whether impairment triggers apply to the

impairment of assets and the valuation of any subsequent impairment loss. No such triggers

have been identified in 2018.

Estimation uncertaintyInformation about estimates and assumptions that have the most significant effect on recognition

and measurement of assets, liabilities, income and expenses is provided below.

Useful lives of depreciable assetsManagement reviews its estimate of the useful lives of depreciable assets at each reporting date

based on the expected utility of the assets.

3. Directors' emolumentsThe directors did not receive any emoluments in respect of service to the company (2017: nil).

The directors are employed by TCHG and their costs are included in the management recharge.

4. Employee informationThere were no employees of the company during the year (2017: nil). Staff are employed by

TCHG and their costs are included in the management recharge.

13~Oakleaf Commercial Services LimitedFinancial Statements 2017/1 S


5. Interest payable and similar charges

2018 2017

£'000 £'000

Interest payable on intra-group loans 44 57

44 57

The loan interest rate was 3%above Barclays Bank PLC base rate.

6. Profit on ordinary activities before taxation

Profit on ordinary activities before taxation is stated after charging:

2018 2017

£'000 £'000

Depreciation of tangible fixed assets 302 295

Amortisation of goodwill 100 100

Auditor's remuneration

in their capacity as auditors 9 6

other senrices 4 -

Loss on disposal of tangible fixed assets 41 13

7. Taxation

2018 2017

£'000 £'000

Analysis of tax charge for the period

Current tax:

UK corporation tax at 19% (2017: 20%) 111 124

Adjustments in respect of prior periods (16) 12

Total current tax charge 95 136

Deferred tax:

Origination and reversal of timing differences 1 (4)

Adjustments in respect of prior periods 10 52

Effect of tax rate change on opening balance - (3)

Total deferred tax charge 11 45

Tax on profit on ordinary activities 106 181


0~ I Notes to the Financial Statements

7. Taxation

The tax charged for the year is higher than 19% (2017: higher than 20°/o), the rate of corporationtax in the UK

The differences are explained below:

2018 2017

£'000 £'000

Reconciliation of tax charge

Profit on ordinary activities before tax 485 472

Tax on profit on ordinary activities at the standard rate of corporation tax 92 94of 19% (2017: 20%)

Effects of:

Fixed asset differences 19 20Expenses not deductible for tax purposes 1 5Group relief surrendered / (claimed) -Adjustments to tax charge in respect of previous periods (16) 12Adjustments to tax charge in respect of previous periods

- deferred tax 10 52Adjust closing deferred tax to average rate of 19% (2017: 20%) (6) (2)Adjust opening deferred tax to average of 19% 6 -

Total tax charge 106 181

2018 2017

£'000 £'000

Provision for deferred tax

Accelerated capital allowances 56 45

Provision at start of the year 45 -Deferred tax charged in the statement of comprehensive income 11 45

Provision at end of the year 56 45

Deferred tax asset / (liability) not recognised nil nil



8. Intangible fixed assets

Tota

Goodwill £'000

As at 1 April 2017 495

Additions -

As at 31 March 2018 495

Accumulated amortisation

As at 1 April 2017 (345)

Amortisation charge for the year (100)

As at 31 March 2018 (445)

Net Book Value

As at 31 March 2018 50

As at 31 March 2017 150

Goodwill arose on the acquisition of assets on the creation of Oakleaf and is written down on a

straight line basis over its expected useful life which is 5 years. This is based on the maximum

life of existing contracts.

9. Tangible fixed assets

Maintenance Motor Office Total

Equipment Vehicles Equipment

£'000 £'000 £'000 £'000

Cost

As at 1 April 2017 875 1,148 7 2, 030

Additions 106 305 8 419

Disposals (138) (59) (197)

As at 31 March 2018 843 1,394 15 2,252

Accumulated Depreciation

As at 1 April 2017 (388) (686) (6) (1,080)

Charge for the year (153) (147) (2) (302)

Disposals 84 45 129

As at 31 March 2018 (457) (788) (8) (1,253)

Net Book Value

As at 31 March 2018 386 606 7 999

As at 31 March 2017 487 462 1 950


08 (Notes to the Financial Statements

10. Debtors

2018 2017

£'000 £'000

Trade debtors 451 598

Other debtors 2 7

Amounts owed by group undertakings 2,530 2,065

Prepayments and accrued income 215 85

3,198 2, 749

11. Inventories

2018 2017

£'000 £'000

Raw materials and consumables 30 23

30 23

12. Creditors: amounts falling due within one year

2018 2017

£'000 £'000

Trade creditors $89 $4$

Corporation tax 146 111

Deferred tax 56 58

Amounts owed to group undertakings 337 5

Accruals and deferred income 258 288

Other creditors 45 -

1,731 1,310


08 ~ Notes to the Financial Statements

13. Creditors: amounts falling due after more than one year

2018 2017

£'000 £'000

Amounts owed to group undertakings 847 1, 474

847 1,474

Interest is charged on a commercial basis at 3% above Barclays Bank PLC base rate throughoutthe year (2017: 3% above).

14. Called up share capital

2018 2017

£ £

Authorised

Ordinary shares of £1 each 1 1

Allotted, called-up and fully paid

Ordinary shares of £1 each 1 1

15. Ultimate parent undertaking and controlling party

The ultimate parent undertaking and controlling party is The Community Housing Group, acompany incorporated in England under the Co-operative and Community Benefit Societies Act2014.

The consolidated financial statements of TCHG are available on our corporate websitewww.communityhQ.com.

16. Related party transactions

The company has taken advantage of the exemption conferred by FRS102 and not discloseddetails of transactions with the immediate parent association as it is a wholly owned subsidiaryand is included in the consolidated financial statements of TCHG, which are publicly available.

Ian Hancock, Managing Director of Oakleaf Commercial Services, received services from thecompany for works done on his principal private residence amounting to £9,425.

Andrew Foster, Board Member of Oakleaf Commercial Service's ultimate parent company(TCHG), is a senior employee of Midland Heart. This registered provider received repairs andgrounds maintenance service from Oakleaf Commercial Services amounting to £264,844.

17. Events after the end of the reporting period

There have been no adjusting or non-adjusting events as defined in Section 32 of FRS102 sincethe end of the reporting period.


eacommercial servicesPart of The Community Housing Group

Registered Office Telephone: 0800 169 5454

3 Foley GroveEmail: [email protected]

Foley Business Park

Stourport Road Web: www.oakleafcs.com

KidderminsterLinkedin: linkedin.com/company/oak

Worcestershire leaf-commercial-services-Itd/DY117PT

Twitter: @oakleafcs

Documents

pNs~oER ~ Considerate Co · lere nstructors Scheme pNs~oER ~ Considerate Co n t e of co ruction ~ `~ Im ng the im FOR THE 12 MONTHS ENDED 31st MARCH 2018 ... developing its development