REGISTERED NUMBER: |
Strategic Report, |
Report of the Director and |
Financial Statements |
for the Year Ended 31 December 2020 |
for |
Enstroga Ltd |
REGISTERED NUMBER: |
Strategic Report, |
Report of the Director and |
Financial Statements |
for the Year Ended 31 December 2020 |
for |
Enstroga Ltd |
Enstroga Ltd (Registered number: 09812700) |
Contents of the Financial Statements |
for the Year Ended 31 December 2020 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Director | 3 |
Report of the Independent Auditors | 4 |
Statement of Income and Retained Earnings | 6 |
Balance Sheet | 7 |
Cash Flow Statement | 8 |
Notes to the Cash Flow Statement | 9 |
Notes to the Financial Statements | 10 |
Enstroga Ltd |
Company Information |
for the Year Ended 31 December 2020 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditors |
Chartered Accountants & Business Advisers |
Alexandra House |
43 Alexandra St |
Nottingham |
Nottinghamshire |
NG5 1AY |
Enstroga Ltd (Registered number: 09812700) |
Strategic Report |
for the Year Ended 31 December 2020 |
The director presents his strategic report for the year ended 31 December 2020. |
REVIEW OF BUSINESS |
During the year the company's results showed a significant reduction in turnover as the company sought to consolidate its position in the competitive electricity and gas domestic market in the UK. The company had set some competitive tariffs in 2018 and 2019 in order to gain a foothold in the market, and these were repriced on expiry at a higher price, leading to some customer churn. Costs were also being incurred on renewable obligations and other regulatory requirements. |
In the months following the year end, price volatility in the gas and electricity wholesale market in the Autumn of 2021 escalated into a widespread global energy crisis. This was caused by geopolitical issues and a rapid post-pandemic economic rebound that outpaced energy supply. |
From mid-2021 the wholesale market price that suppliers paid for gas and electricity rose rapidly to unprecedented levels. Given this, the Board determined that it had became uneconomic for the business to continue to supply customers gas and electricity and applied to Ofgem for support from the Supplier of Last Resort (SoLR) process. The energy regulator appointed E.ON Next as the new supplier for the company's customers and a process commenced to make an orderly transfer of customer accounts and supply to the new supplier. E.ON Next began supplying energy to Enstroga UK customers on 3 October 2021. |
The Board are currently working with third party credit control and debt collection agencies to recover all customer debts having arisen prior to the cessation of supply. Once all such debts have been recovered or investigated so far as possible, the Board will consider options for the final closure and cessation of the business. |
As the company stopped supplying gas and electricity in October 2021, and there is no current expectation for the company to re-enter the UK energy market, the Board have concluded that the company is no longer a going concern. During this final cessation phase of the company, management are focusing on wrapping up its business affairs and recovering outstanding debts. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Whilst the company was trading at normal activity levels, the directors considered the principal financial risks to which the company was exposed were a decline in market share and the timing of receipt of customer remittances. Changes to the UK regulatory environment would also give rise to risks to the business in the electricity and gas residential market sector. |
In relation to customer accounts, the company is exposed to the usual credit risk and cash flow risk associated with its business. Customer receipts are managed by close credit control procedures, that may involve escalation to legal routes should payment not be made within an appropriate timeframe. |
The most significant principal risk to the company became the wholesale price of gas and electricity. With many customers tied into a price capped tariff governed by the Office of Gas and Electricity Markets, significant volatility could cause the company material financial hardship should prices increase to a significant extent as these higher prices could not easily be passed onto customers. |
As detailed in greater detail above, the energy crisis of Autumn 2021 gave rise to unprecedented increases to wholesale energy prices such that it became uneconomic for the company to continue supply. |
ANALYSIS OF KEY PERFORMANCE INDICATORS |
The Board ordinarily look at turnover, margins and profitability when monitoring business performance. |
Turnover has reduced from £31,820,368 to £12,082,824, with an improvement in gross margin noted during the 2020 financial year. |
The company was working to improve back office efficiency in customer service operations prior to resetting energy contracts at competitive levels to generate increased demand from new customers. |
However, as noted above, the Board were never able to adopt this strategy because of the material impact to the company of the energy price crisis in Autumn 2021 leading to the company ceasing its supply contracts with Ofgem. |
ON BEHALF OF THE BOARD: |
Enstroga Ltd (Registered number: 09812700) |
Report of the Director |
for the Year Ended 31 December 2020 |
The director presents his report with the financial statements of the company for the year ended 31 December 2020. |
DIVIDENDS |
The director does not recommends the payment of a dividend. |
EVENTS SINCE THE END OF THE YEAR |
Information relating to significant events since the end of the year is given in the notes to the financial statements. |
DIRECTOR |
DISCLOSURE IN THE STRATEGIC REPORT |
The director has prepared a review of the business, together with a summary of the principal risks and uncertainties affecting the company, and these are detailed within the Strategic Report. The report includes an explanation of the company's financial risk management policies. |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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 director is 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 he 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. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Enstroga Ltd |
Opinion |
We have audited the financial statements of Enstroga Ltd (the 'company') for the year ended 31 December 2020 which comprise the Statement of Income and Retained Earnings, Balance Sheet, 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 31 December 2020 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 - emphasis of matter |
As detailed further in the accounting policies for Going Concern, and as expanded on in the Post Balance Sheet Events note, the company ceased supplying gas and electricity to customers on 3 October 2021. This followed a period of significant price volatility and price rises in the wholesale market such that the Board considered it uneconomic to continue to operate in the UK market. |
From this date, all customer accounts were transferred to E.On Next as an alternate provider as required by Ofgem, the energy regulator. |
Consequently, from this date the company has not been operating as a going concern as it is no longer actively trading. |
We draw attention, as an Emphasis of Matter, to this significant event, and that the accounts are being prepared on a non-going concern basis. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, 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 Director 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 Director 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 Director. |
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 director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Report of the Independent Auditors to the Members of |
Enstroga Ltd |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or has 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: |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. |
Our approach included obtaining an understanding of the legal and regulatory frameworks that are applicable to the company and we determined those that are most significant. Based on the results of our risk assessment we designed audit procedures to identify non-compliance with such laws and regulations. The specific procedures included enquiry of management and those charged with governance around actual and potential litigation and claims. |
In addition, and based on the results of our risk assessment we designed audit procedures to identify and address material misstatements in relation to fraud. Specifically we considered the risk of fraud through management override that may lead to misappropriation of assets or inappropriate financial reporting. In response, we performed audit work over the risk of management override of controls, including testing journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias. |
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occuring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
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. |
for and on behalf of |
Statutory Auditors |
Chartered Accountants & Business Advisers |
Alexandra House |
43 Alexandra St |
Nottingham |
Nottinghamshire |
NG5 1AY |
Enstroga Ltd (Registered number: 09812700) |
Statement of Income and |
Retained Earnings |
for the Year Ended 31 December 2020 |
2020 | 2019 |
Notes | £ | £ |
TURNOVER | 4 |
Cost of sales |
GROSS PROFIT/(LOSS) | ( |
) |
Administrative expenses |
OPERATING PROFIT/(LOSS) | 6 | ( |
) |
Interest payable and similar expenses | 7 |
PROFIT/(LOSS) BEFORE TAXATION | ( |
) |
Tax on profit/(loss) | 8 | ( |
) |
PROFIT/(LOSS) FOR THE FINANCIAL YEAR | ( |
) |
Retained earnings at beginning of year | ( |
) |
RETAINED EARNINGS AT END OF YEAR | ( |
) | ( |
) |
Enstroga Ltd (Registered number: 09812700) |
Balance Sheet |
31 December 2020 |
2020 | 2019 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
CURRENT ASSETS |
Debtors | 10 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 11 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
( |
) |
( |
) |
CAPITAL AND RESERVES |
Called up share capital | 12 |
Retained earnings | 13 | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS | ( |
) | ( |
) |
The financial statements were approved by the director and authorised for issue on |
Enstroga Ltd (Registered number: 09812700) |
Cash Flow Statement |
for the Year Ended 31 December 2020 |
2020 | 2019 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | ( |
) | ( |
) |
Interest paid | ( |
) |
Tax paid | ( |
) | ( |
) |
Net cash from operating activities | ( |
) | ( |
) |
Cash flows from financing activities |
Proceeds from loans from group |
Net cash from financing activities |
Decrease in cash and cash equivalents | ( |
) | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
563,571 |
Cash and cash equivalents at end of year | 2 | 209,689 | 345,582 |
Enstroga Ltd (Registered number: 09812700) |
Notes to the Cash Flow Statement |
for the Year Ended 31 December 2020 |
1. | RECONCILIATION OF PROFIT/(LOSS) FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS |
2020 | 2019 |
£ | £ |
Profit/(loss) for the financial year | ( |
) |
Depreciation charges |
Accrued expenses | 2,376,469 | (1,283,843 | ) |
Finance costs | 61,175 | 438,760 |
Taxation | ( |
) |
3,865,246 | (8,459,410 | ) |
(Increase)/decrease in trade and other debtors | ( |
) |
(Decrease)/increase in trade and other creditors | ( |
) |
Cash generated from operations | ( |
) | ( |
) |
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 31 December 2020 |
31.12.20 | 1.1.20 |
£ | £ |
Cash and cash equivalents | 209,689 | 345,582 |
Year ended 31 December 2019 |
31.12.19 | 1.1.19 |
£ | £ |
Cash and cash equivalents | 345,582 | 563,571 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.1.20 | Cash flow | At 31.12.20 |
£ | £ | £ |
Net cash |
Cash at bank | 345,582 | (135,893 | ) | 209,689 |
345,582 | ( |
) | 209,689 |
Total | 345,582 | (135,893 | ) | 209,689 |
Enstroga Ltd (Registered number: 09812700) |
Notes to the Financial Statements |
for the Year Ended 31 December 2020 |
1. | STATUTORY INFORMATION |
The company is a private company limited by shares, registered in United Kingdom. The address of the registered office is Alexandra House, 43 Alexandra Street, Nottingham, NG5 1AY. |
The principal activity of the company during the year was the supply of gas and electricity to the residential market in the United Kingdom. This activity was discontinued in October 2021 when the company ceased customer supply. Since that date the company has sought to finalise its affairs prior to considering options for closure. |
2. | STATEMENT OF COMPLIANCE |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared on the historical cost basis. |
The financial statements are prepared in sterling, which is the functional currency of the entity, rounded to the nearest £. |
Significant judgements and estimates |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements: |
Accruals and prepayments for unbilled customer balances and electricity and gas purchased in advance - detailed analysis is required by the company's specialist accounts management team to estimate unbilled customer usage and to identify the value of electricity and gas purchased in bulk and prepaid at the financial period end. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable for gas and electricity supplied, stated net of Value Added Tax. |
Tangible fixed assets |
Fixtures and fittings | - |
Tangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated depreciation and impairment losses. |
Financial instruments |
A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. |
Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. |
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. |
For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics. |
Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised. |
Enstroga Ltd (Registered number: 09812700) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2020 |
3. | ACCOUNTING POLICIES - continued |
Taxation |
The taxation expense represents the aggregate amount of current tax and deferred tax recognised in the reporting period. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. |
Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted at the reporting date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference. |
Foreign currencies |
Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to profit or loss. |
Going concern |
In the months following the year end, price volatility in the gas and electricity wholesale market in the Autumn of 2021 escalated into a widespread global energy crisis. This was caused by geopolitical issues, war in Ukraine and a rapid post-pandemic economic rebound that outpaced energy supply. |
From mid-2021 the wholesale market price that suppliers paid for gas and electricity rose rapidly to unprecedented levels. Given this, the Board determined that it had became uneconomic for the business to continue to supply customers gas and electricity and applied to Ofgem for support from the Supplier of Last Resort (SoLR) process. The energy regulator appointed E.ON Next as the new supplier for the company's customers and a process commenced to make an orderly transfer of customer accounts and supply to the new supplier. E.ON Next began supplying energy to Enstroga UK customers on 3 October 2021. |
The Board are currently working with their credit control team and third party debt collection agencies to recover all customer debts having arisen prior to the cessation of supply. Once all such debts have been recovered or investigated so far as possible, the Board will consider options for the final closure and cessation of the business. |
Consequently, the Board conclude that the company is no longer a going concern, and the accounts have been prepared on a non-going concern basis. |
Impairment |
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. |
When it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. |
Operating leases |
Lease payments are recognised as an expense over the lease term on a straight-line basis. |
Enstroga Ltd (Registered number: 09812700) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2020 |
4. | TURNOVER |
The turnover and profit (2019 - loss) before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by class of business is given below: |
2020 | 2019 |
£ | £ |
An analysis of turnover by geographical market is given below: |
2020 | 2019 |
£ | £ |
United Kingdom |
5. | EMPLOYEES AND DIRECTORS |
There were no staff costs for the year ended 31 December 2020 nor for the year ended 31 December 2019. |
The average number of employees during the year was NIL (2019 - NIL). |
2020 | 2019 |
£ | £ |
Director's remuneration |
6. | OPERATING PROFIT/(LOSS) |
The operating profit (2019 - operating loss) is stated after charging: |
2020 | 2019 |
£ | £ |
Depreciation - owned assets |
Auditors' remuneration |
Foreign exchange differences |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2020 | 2019 |
£ | £ |
Interest payable |
Interest payable |
8. | TAXATION |
Analysis of the tax credit |
The tax credit on the profit for the year was as follows: |
2020 | 2019 |
£ | £ |
Current tax: |
UK corporation tax | ( |
) |
Tax on profit/(loss) | ( |
) |
Enstroga Ltd (Registered number: 09812700) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2020 |
8. | TAXATION - continued |
Reconciliation of total tax credit included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2020 | 2019 |
£ | £ |
Profit/(loss) before tax | ( |
) |
Profit/(loss) multiplied by the standard rate of corporation tax in the UK of |
( |
) |
Effects of: |
Depreciation in excess of capital allowances |
Utilisation of tax losses | ( |
) |
Adjustments to tax charge in respect of previous periods | ( |
) |
Unrelieved tax losses | - | 1,446,722 |
Total tax credit | - | (5,907 | ) |
9. | TANGIBLE FIXED ASSETS |
Fixtures |
and |
fittings |
£ |
COST |
At 1 January 2020 |
and 31 December 2020 |
DEPRECIATION |
At 1 January 2020 |
Charge for year |
At 31 December 2020 |
NET BOOK VALUE |
At 31 December 2020 |
At 31 December 2019 |
10. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2020 | 2019 |
£ | £ |
Trade debtors |
Other debtors |
Called up share capital not paid |
Prepayments and accrued income |
11. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2020 | 2019 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Tax |
Accruals and deferred income |
Enstroga Ltd (Registered number: 09812700) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2020 |
12. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2020 | 2019 |
value: | £ | £ |
Ordinary | £1 | 100 | 100 |
13. | RESERVES |
Profit and loss account: |
This reserve records retained earnings and accumulated losses. |
14. | RELATED PARTY DISCLOSURES |
Enstroga Energie Holding GmbH is a related party as it is the parent undertaking of Enstroga Limited. |
During the year ended 31 December 2020 Enstroga Limited received working capital financing from the parent company. |
Creditors at 31 December 2020 included £7,271,237 (2019 - £6,322,818) due to Enstroga Energie Holding GmbH. |
15. | POST BALANCE SHEET EVENTS |
The company traded normally for the first half of the subsequent financial year to 31 December 2021, but after that date the business was materially impacted by the significant increase in electricity and gas prices caused by the energy price crisis in Autumn 2021 in the United Kingdom. |
Further details of the causes of this crisis are contained within the Going Concern accounting policy and the Strategic Report, including its impact on the Enstroga UK business. |
The Board concluded in September 2021 that it was uneconomic for the company to continue to service its customers, and applied to Ofgem for support under the Supplier of Last Resort process. Subsequently on 3 October 2021 E.On Next took over supply of gas and electricity to existing Enstroga customers, and from that date Enstroga UK ceased its trading activity and supply contract. |
In the months subsequently, the company has sought to recover all outstanding customer debts for supplies made prior to the transfer of supply in order to allow for an efficient closure of the business. |
This process continues at the date of approval of these financial statements. Once the Board have determined that all economically viable debts have been recovered they will consider options for closure of the company. No timeframe is currently in place for this phase of activity to take place. |
16. | ULTIMATE CONTROLLING PARTY |
The company is a wholly owned subsidiary of Enstroga Energie Holding GmbH, a company registered in Germany. |
The registered office of the parent company is Tauentzienstr. 15,10789 Berlin, Germany. |