Notes forming part of the Company financial statements

i Accounting policies

Accounting convention

Great Portland Estates plc is a public company limited by shares incorporated and domiciled in the United Kingdom (England and Wales). The address of the registered office is given on page 189. The financial statements have been prepared on the historical cost basis except for the re-measurement of certain financial instruments to fair value. Historical cost is generally based on the fair value of the consideration given in exchange for the goods and services. There were no significant judgements made or critical estimates applied in the preparation of the financial statements.

Disclosure exemptions adopted

The separate financial statements of the Company are presented as required by the Companies Act 2006. The Company meets the definition of a qualifying entity under FRS 100 (Financial Reporting Standard 100) issued by the Financial Reporting Council. Accordingly, the financial statements have therefore been prepared in accordance with FRS 101 (Financial Reporting Standard 101) Reduced Disclosure Framework as issued by the Financial Reporting Council incorporating the Amendments to FRS 101 issued by the FRC in July 2015 and July 2016.

In preparing these financial statements Great Portland Estates plc has taken advantage of all disclosure exemptions conferred by FRS 101. Therefore these financial statements do not include:

– certain comparative information as otherwise required by EU endorsed IFRS; – certain disclosures regarding the Company’s capital; – a statement of cash flows; – certain disclosures in respect of financial instruments; – the effect of future accounting standards not yet adopted; and – disclosure of related party transactions with wholly-owned members of the Group.

The above disclosure exemptions have been adopted because equivalent disclosures are included in the consolidated Group accounts into which Great Portland Estates plc is consolidated.

Subsidiary undertakings and joint ventures

The Company is a holding and financing company for the Great Portland Estates plc Group. Shares in subsidiary undertakings and joint ventures are carried at amounts equal to their original cost less any provision for impairment.

Other

Accounting policies for share-based payments, other investment, deferred tax and financial instruments are the same as those of the Group and are set out on pages 142 to 145.

The Company participates in a Group defined benefit scheme which is the legal responsibility of Great Portland Estates Services Limited as the sponsoring employer. There is no contractual agreement or stated policy for charging the net defined benefit cost. In accordance with IAS 19 (Revised 2011), the Company accounts for the contributions to the scheme as if it were a defined contribution scheme. Details of the Group’s pension plan can be found on pages 162 to 164.

The auditor’s remuneration for audit and other services is disclosed in note 4 to the Group accounts.

ii Profit attributable to members of the parent undertaking

As permitted by section 408 of the Companies Act 2006, the Company has not presented its own profit and loss account. The loss dealt within the financial statements of the Company was £20.7 million (2021: £15.6 million). The employees of the Company are the Directors and the Company Secretary. Full disclosure of the Directors’ remuneration can be found on pages 114 to 133.

iii Fixed asset investments

At 1 April 2021 Additions 31 March 2022

Investment in joint ventures £m

Shares in subsidiary undertakings £m Total £m

0.2 1,219.3 1,219.5 – 23.7 23.7 0.2 1,243.0 1,243.2

Shares in subsidiary undertakings and joint ventures are carried at cost less any provision for impairment. The historical cost of the shares in subsidiary undertakings and joint ventures at 31 March 2022 was £1,243.2 million (2021: £1,219.5 million).

The subsidiaries of the Company at 31 March 2022 were:

Direct subsidiaries

The Company has a 100% interest in the ordinary share capital of the following entities:

Great Portland Estates Services Limited

Principal activity

Principal activity

Property management G.P.E. (St Thomas Street) Limited Property investment

Collin Estates Limited Property investment J.L.P. Investment Company Limited Property investment Courtana Investments Limited Property investment Knighton Estates Limited Property investment G.P.E. (Bermondsey Street) Limited Property investment Pontsarn Investments Limited Property investment 73/77 Oxford Street Limited Property investment Portman Square Properties Holding company Holdings Limited

GPE (Brook Street) Limited Property investment GPE Pension Trustee Limited Corporate trustee

GPE (GHS) Limited Gresse Street Limited Property investment G.P.E. (Marcol House) Limited Holding company Property investment G.P.E. (Rathbone Place 1) Limited Property investment

G.P.E. Construction Limited Development management G.P.E. (Rathbone Place 2) Limited Property investment

The Rathbone Place Partnership (G.P. 1) Limited Property investment G.P.E. (Rathbone Place 3) Limited Property investment

iii Fixed asset investments continued

Indirect subsidiaries

Principal activity Principal activity

The Rathbone Place Partnership (G.P. 2) Limited The Rathbone Place Limited Partnership* Holding company Portman Square Properties Limited Property investment

Property investment G.P.E. (Newman Street) Limited Property investment

Rathbone Square No.1 Limited Property investment Rathbone Square No.2 Limited Property investment The Newman Street Unit Trust Property investment Marcol House Jersey Limited Property investment

* The Group has taken advantage of the exemption, which is conferred by The Partnerships (Accounts) Regulations 2008, for preparing financial statements for The Rathbone Place Limited Partnership.

Directly held joint venture entities

The Great Victoria Partnership (G.P.) Limited Great Ropemaker Partnership (G.P.) Limited

Principal activity

Property investment The Great Victoria Partnership (G.P.) (No. 2) Limited Property investment GHS (GP) Limited

Principal activity

Property investment

Property investment

Indirectly held joint venture entities

Principal activity

Principal activity

Great Victoria Property Limited Property investment The Great Victoria Partnership Property investment The Great Victoria Partnership (No. 2) Property investment Great Victoria Property (No. 2) Limited Property investment Great Ropemaker Property Limited Property investment The Great Ropemaker Partnership Property investment Great Ropemaker Property (Nominee 1) Limited Property investment Great Ropemaker Property (Nominee 2) Limited Property investment The GHS Limited Partnership Property investment GPE (Hanover Square) Limited Property investment 14 Brook Street Management Company Limited Property investment GHS (Nominee) Limited Property investment

All of the above companies are registered at 33 Cavendish Square, London W1G 0PW and operate in England and Wales except for: Marcol House Jersey Limited, GHS (GP) Limited, GHS (Nominee) Limited and The GHS Limited Partnership which are registered at 44 Esplanade, St Helier, Jersey, JE4 9WG; The Newman Street Unit Trust which is registered at 11 Old Jewry, London, EC2R 8DU. Great Portland Estates plc is the ultimate parent undertaking of the GPE Group.

iv Current liabilities

Amounts owed to subsidiary undertakings Other taxes and social security costs Other creditors Accruals

2022 £m

2021 £m

836.2 845.1 – 0.1 2.0 1.7 10.1 5.6 848.3 852.5

v Interest-bearing loans and borrowings

Bank loans Debentures Private placement notes

2022 £m

2021 £m

85.4 43.3 22.0 22.0 423.6 423.3 531.0 488.6

At 31 March 2022, property with a carrying value of £119.5 million (2021: £113.1 million) was secured under the first mortgage debenture stock. Further details of the Company’s loans and borrowings can be found on notes 15 and 16 of the Group accounts.

vi Deferred tax

Net deferred tax asset in respect of other temporary differences

1 April 2021 £m

0.2 0.2

Recognised in the income statement £m Recognised in equity £m 31 March 2022 £m

0.5 – 0.7 0.5 – 0.7

A further deferred tax asset of £3.5 million (2021: £1.6 million) relating to revenue losses and contingent share awards was not recognised because it is uncertain whether future taxable profits will arise against which this asset can be utilised.

The public square at Hanover Square, W1

Other information

In this section:

182 Five-year record 183 Our properties and customers 185 Portfolio statistics

186 Glossary 188 Shareholders’ information

190 Financial calendar