INTERNATIONAL PERSONAL FINANCE PLC

Annual Report • Jul 17, 2023

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2021

(Company Number 06032184)

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2021

	Page
Strategic report	1-2
8WSQb]ah!S^]b	3-4
DWSQb]ah!`Sa^]\aWPWZWbWSa statement	5
?\RS^S\RS\b!OcRWb]ha!S^]`b	6-8
Profit and loss account	9
Statement of comprehensive income	9
Balance sheet	10
Statement of changes in equity	11
Notes to the financial statements	12-18

STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

1. Principal activities and going concern

The principal activity of the company is to act as a holding and investment company on behalf of International JYfgcbU!@]bUbWY!dW+!9g!h\Y!jUgh!aU^cf]hm!cZ!h\Y!WcadUbmyg!hfUbgUWh]cbg!UfY!XYhYfa]bYX!]b!?ifcg)!h\Y!ZibWh]cbU`! and reporting currency of the company is the Euro.

N\Y!WcadUbm!dUfh]W]dUhYg!]b!h\Y![fcidyg!WYbhfU`]gYX!hfYUgifm!UffUb[YaYbhg!UbX!VUb_]b[!UffUb[YaYbhg!k]h!]hg! parent and fellow subsidiaries.

In considering whether the company is a going concern, the directors have made enquiries of the reviews dYfZcfaYX!Vm!h\Y!X]fYWhcfg!cZ!h\Y!ih]aUhY!dUfYbh!WcadUbm!]b!UggYgg]b[!h\Y!Afcidyg!/-//!Vig]bYgg!dUb and the impacts it is forecast to have on the company, its subsidiary and the Group undertakings from which amounts are due as at 31 December 2021. The financial forecasts in the business plan have been stress tested in a range of Xckbg]XY!gWYbUf]cg!hc!UggYgg!h\Y!]adUWh!h\Uh!h\Y!Afcidyg!df]bW]dU!f]g\_g!UbX!ibWYfhU]bh]Yg!']bWiX]b[!h\Y!aYX]ia! and long-term impacts of the Covid-19 pandemic on the macro-economic environment) may have on future dfcZ]hUV]]hm)!ZibX]b[!fYei]fYaYbhg!UbX!WcjYbUbh!Wcad]UbWY+!Cb!UXX]h]cb)!h\Y!Afcidyg!XYVh!ZUW]`]h]Yg!UfY!ZcfYWUgh! to be sufficient to fund business requirements for the foreseeable future and The Group is forecast to continue to operate with significant headroom over its key financial covenants.

As at 31 December 2021)!h\Y!WcadUbm!\Ug!bYh!UggYhg!cZ!{36,596,219 '/-/-7!{01)462).16( and net current assets cZ!{.)5-.)14/!'/-/-7!{1-/(. On the basis of h\Y]f!UggYggaYbh!cZ!h\Y!WcadUbmyg!Z]bUbW]U!dcg]h]cb!UbX!cZ!h\Y! Ybei]f]Yg!aUXY!cZ!h\Y!X]fYWhcfg!cZ!CbhYfbUh]cbU!JYfgcbU!@]bUbWY!dW)!h\Y!WcadUbmyg!X]fYWhcfg!\UjY!U!fYUgcbUV`Y! expectation that the company will be able to continue in operational existence in the next 12 months from the date of approval of the financial statements. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

2. Results and business review

The profit and loss account for the year is set out on page 9. The profit after tax for the year of {20,746,070 (2020: loss of { 149) has been added to (2020: deducted from) reserves)!k]h!X]j]XYbXg!hchU]b[!{.6)/--)---!'/-/-7!{b]`(! being declared and paid during 2021. N\Y!WcadUbmyg!fYgi`h!VYbYZ]hYX!Zfca!h\Y!fYWY]dh!cZ!X]j]XYbXg!Zfca!]hg! giVg]X]Ufm! WcadUb]Yg! hchU]b[! {/.)---)---! '/-/-7! {b]()! bYh! cZ! ]adU]faYbh!cggYg! cZ! {/20)---! '/-/-7! {b]`(! fYWc[b]gYX!Zc``ck]b[!U!W\Ub[Y!]b!h\Y!Afcidyg!ghfUhY[m+!@ifh\Yf!XYhails are included in note 7.

3. Principal risks and uncertainties

The directors of International Personal Finance plc manage the Afcidyg!risks at a Group level, rather than at an ]bX]j]XiU!Vig]bYgg!ib]h!YjY`+!@cf!h]g!fYUgcb)!h\Y!WcadUbmyg!X]fYWhcrs believe that a discussion of the Afcidyg! risks would not be appropriate for an understanding of the development, performance or position of the companyyg! business. The principal risks and uncertainties of International Personal Finance plc, which include those of the company, are reported within the xPrincipal risks and uncertaintiesy!gYWh]cb!cZ!h\Y!Afcidyg!annual report, which does not form part of this report, but is publicly available. However, the company has the following risk;

( The company has significant investments in other entities. There is a risk that the value of these investments may deteriorate as a result of the performance of these entities. Performance is reviewed on a regular basis and corrective action to protect the value of these investments is taken as appropriate. During the period, this review has included consideration of the potential impact of volatility in macro-economic factors affecting the businesses including the medium to long term impacts of the Covid-.6! dUbXYa]W! cb! h\Y! ZihifY! WUg\Zckg! UbX! dYfZcfaUbWY! cZ! h\Y! =cadUbmyg! investments UbX!fYgihYX!]b!]adU]faYbh!cggYg!cZ!{/20)---!'/-/-7!{b](!VY]b[!fYWc[b]gYX!Xif]b[!h\Y! period, further details regarding which are included in note 7. A shortfall in profitability compared to current expectations may result in future adjustments to investment in subsidiary balances.

STRATEGIC REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2021

4. Key performance indicators (KPIs)

A]jYb!h\Y!bUhifY!cZ!h\Y!Vig]bYgg)!h\Y!WcadUbmyg!X]fYWhcfg!UfY!cZ!h\Y!cd]b]cb!h\Uh!Ub!UbU`mg]g!ig]b[!EJCg!]g!bch! necessary for an understanding of the development, performance or position of the business.

5. Future developments

The company acts as a holding and investment company, the general level of activity is to remain consistent in the forthcoming year.

APPROVED BY ORDER OF THE BOARD

L Dobson Company Secretary

LEEDS

17 June 2022

8?H97JEHIh!H9FEHJ FOR THE YEAR ENDED 31 DECEMBER 2021

The directors present their annual report together with the audited financial statements UbX!h\Y!UiX]hcfyg!fYdcfh!of the company for the year ended 31 December 2021.

1. Dividend

The WcadUbm!XYW`UfYX!UbX!dU]X!U!X]j]XYbX!cZ!{.6)/--)---!(2020: {nil).

2. Directors

The directors of the company at 31 December 2021 and at the date of this report, all of whom were directors for the whole of the year then ended, were:

F C Collins	(Appointed 24 November 2021)
D J Kleppen	(Appointed 24 May 2021)
J A Lockwood	(Resigned 23 July 2021)
J A Ormrod	(Resigned 24 November 2021)
P Giycrs	(Appointed 2 February 2022)
G J Ryan
R Ryhanen	(Resigned 2 February 2022)

3. Capital structure

N\Y!WcadUbmyg!WUd]hU!ghfiWhifY!]bWiXYg!U!WcaV]bUh]cb!cZ!cfX]bUfm!WU`YX-up share capital and retained earnings. >if]b[!h\Y!mYUf)!h\Y!WcadUbm!]ggiYX!g\UfYg!k]h\!U!bca]bU!jUiY!cZ!{..3)04-!Zcf!hchU!dfcWYYXg!cZ!{/22)---)!k]h! h\Y!YlWYgg!cZ!{.05)30-!VY]b[!WfYX]hYX!hc!h\Y!WcadUbmyg!g\UfY!dfYa]ia!fYgYfjY+!@ifh\Yf!XYhU]g!UfY!]bWiXYX!]b! Notes 11 and 13.

4. Events after the balance sheet date

The directors confirm that there have been no events requiring recognition or disclosure after the balance sheet date.

5. Disclosure of information to the auditor

As far as each director is aware, there is no relevant audit information of which the ccadUbmyg!UiX]hcf!is unaware. Each director has taken all the steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the ccadUbmyg!UiX]hcf is aware of that information. This statement is given and should be interpreted in accordance with the provision of section 418(2) of the Companies Act 2006.

8?H97JEHIh!H9FEHJ!%7EDJ?DK98& FOR THE YEAR ENDED 31 DECEMBER 2021

6. Auditor

The auditors Deloitte LLP are deemed to be reappointed under Section 487(2) of the Companies Act 2006.

7. Indemnity

Our Articles permit us to indemnify our directors (or those of an associated company) in accordance with the Act. However, no qualifying indemnity provisions were in force in 2021 or at any time up to 17 June 2022.

As permitted by section 414C(11) of the Companies Act 2006, certain information is shown in the Strategic report and ]bW`iXYX!]b!h\Y!>]fYWhcfgy!fYdcfh!by cross reference. This information is:

• ( Principal activities of the Company
• ( Business review and outlook
• ( Results and dividends
• ( Principal risks and uncertainties

APPROVED BY ORDER OF THE BOARD

L Dobson Company Secretary LEEDS 17 June 2022

DIRECTORSh RESPONSIBILITIES STATEMENT

The directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting JfUWh]WY! 'Ob]hYX! E]b[Xca! 9WWcibh]b[! MhUbXUfXg! UbX! Udd]WUVY! Uk()! ]bWiX]b[! @LM! .-.! vLYXiWYX! >]gWcgifY! @fUaYkcf\_w+!ObXYf!WcadUbm!Uk!h\Y!directors must not approve the financial statements unless they are 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 directors are required to:

• ( select suitable accounting policies and then apply them consistently;
• ( make judgements and accounting estimates that are reasonable and prudent;
• ( state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
• ( prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the WcadUbmyg!hfUbgUWh]cbg!UbX!X]gWcgY!k]h\!fYUgcbUVY!UWWifUWm!Uh!Ubm!h]aY!h\Y!Z]bUbW]U`!dcg]h]cb!cZ!h\Y!WcadUbm!UbX! enable them to ensure that the financial statements comply with the Companies Act 2006. They are 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.

Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

APPROVED BY ORDER OF THE BOARD

L Dobson Company Secretary

LEEDS

17 June 2022

?\RS^S\RS\b!OcRWb]ha!S^]b!b]!bVS![S[PSa!]T!IPF Digital Group Limited

Report on the audit of the financial statements

Opinion

In our opinion the financial statements of IPF Digital Afcid!F]a]hYX!'h\Y!xWcadUbmy(:

• ( give a true and fair view of the ghUhY!cZ!h\Y!WcadUbmyg!UZZU]fg!Ug!Uh!0.!>ecember 2021 and of its profit for the year then ended;
• ( have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice ]bWiX]b[!@]bUbW]U!LYdcfh]b[!MhUbXUfX!.-.!vLYXiWYX!>]gW`osure Framework; and
• ( Have been prepared in accordance with the requirements of the Companies Act 2006.

We have audited the financial statements which comprise:

• q the profit and loss account;
• q the statement of comprehensive income;
• q the balance sheet;
• q the statement of changes in equity; and
• q the related notes 1 to 16.

The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom 9WWcibh]b[! MhUbXUfXg)! ]bWiX]b[! @]bUbW]U! LYdcfh]b[! MhUbXUfX! .-.! vLYXiWYX! >]gW`cgifY! @fUaYkcf_w! 'Ob]hYX! Kingdom Generally Accepted Accounting Practice).

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 auditor's 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 Z]bUbW]U!ghUhYaYbhg!]b!h\Y!OE)!]bWiX]b[!h\Y!@]bUbW]U!LYdcfh]b[!=cibW]yg!'h\Y!x@L=ygy(!?h]WU`!MhUbXUfX)!UbX!kY! 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

Cb!UiX]h]b[!h\Y!Z]bUbW]U!ghUhYaYbhg)!kY!\UjY!WcbWiXYX!h\Uh!h\Y!X]fYWhcfgy!igY!cZ!h\Y![c]b[!WcbWYfb!VUg]g!cZ!UWWcibh]b[! in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions h\Uh)!]bX]j]XiUm!cf!WcYWh]jYm)!aUm!WUgh!g][b]Z]WUbh!XciVh!cb!h\Y!WcadUbmyg!UV]]hm!hc!Wcbh]biY!Us a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and cif!UiX]hcfyg!fYdcfh!h\YfYcb+!N\Y!X]fYWhcfg!UfY!fYgdcbg]V`Y!Zcf!h\Y!ch\Yf!]bZcfaUh]cb!WcbhU]bYX!within the annual report. 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.

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 course of 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.

?\RS^S\RS\b!OcRWb]ha!S^]b!b]!bVS![S[PSa!]T!?F;!8WUWbOZ!=`]c^!BW[WbSR (continued)

Responsibilities of directors

9g!YldU]bYX!acfY!Zi``m!]b!h\Y!X]fYWhcfgy!fYgdcbg]V]]h]Yg!ghUhYaYbh)!h\Y!X]fYWhcfg!UfY!fYgdcbg]V`Y!Zcf!h\Y!dfYdUfUh]cb!cZ! the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is 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 directors are responsible for assessing the comdUbmyg!UV]`]hm!hc!Wcbh]biY!Ug!U! going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

5cRWb]ha!Sa^]\aWPWZWbWSa!T]`!bVS!OcRWb!]T!bVS!TW\O\QWOZ!abObS[S\ba

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 an auditor's report 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.

A further descf]dh]cb!cZ!cif!fYgdcbg]V]]h]Yg!Zcf!h\Y!UiX]h!cZ!h\Y!Z]bUbW]U!ghUhYaYbhg!]g!`cWUhYX!cb!h\Y!@L=yg!kYVg]hY!Uh7! www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditoryg!fYdcfh+

Extent to which the audit was considered capable of detecting irregularities, including fraud

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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

QY! Wcbg]XYfYX! h\Y! bUhifY! cZ! h\Y! WcadUbmyg! ]bXighfm! UbX! ]hg! Wcbhfc`! Ybj]fcbaYbh)! UbX! fYj]YkYX! h\Y! WcadUbmyg! documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management about their own identification and assessment of the risks of irregularities.

We obtained an understanding of the legal and regulatory framework that the company operates in, and identified the key laws and regulations that:

• ( had a direct effect on the determination of material amounts and disclosures in the financial statements. These included the UK Companies Act and tax legislation; and
• ( do not have a direct effect on the financial statements but compliance with which may be fundamental to the WcadUbmyg!UV]]hm!hc!cdYfUhY!cf!hc!Ujc]X!U!aUhYf]U!dYbU`hm+!

We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

In addition to the above, our procedures to respond to the risks identified included the following:

• ( reviewing financial statement disclosures by testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
• ( performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
• ( enquiring of management concerning actual and potential litigation and claims, and instances of non-compliance with laws and regulations; and
• ( reading minutes of meetings of those charged with governance.

?\RS^S\RS\b!OcRWb]ha!S^]b!b]!bVS![S[PSa!]T!?F;!8WUWbOZ!=`]c^!BW[WbSR (continued)

Report on other legal and regulatory requirements

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• ( h\Y!]bZcfaUh]cb![]jYb!]b!h\Y!ghfUhY[]W!fYdcfh!UbX!h\Y!X]fYWhcfgy!fYdcfh!Zcf!h\Y!financial year for which the financial statements are prepared is consistent with the financial statements; and
• ( h\Y!ghfUhY[]W!fYdcfh!UbX!h\Y!X]fYWhcfgy!fYdcfh!\UjY!VYYb!dfYdUfYX!]b!UWWcfXUbWY!k]h!Udd]WUVY!Y[U!fYei]fYaYbhg+

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, kY!\UjY!bch!]XYbh]Z]YX!Ubm!aUhYf]U`!a]gghUhYaYbhg!]b!h\Y!ghfUhY[]W!fYdcfh!cf!h\Y!X]fYWhcfgy!fYdcfh+

Matters on which we are required to report by exception

• Under the Companies Act 2006 we are required to report in respect of the following matters 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
• ( WYfhU]b!X]gWcgifYg!cZ!X]fYWhcfgy!fYaibYfUh]cb!gdYW]Z]YX!Vm!Uk!UfY!bch!aUXY8!cf
• ( we have not received all the information and explanations we require for our audit.

We have nothing to report in respect of these matters.

Use of our report

N]g!fYdcfh!]g!aUXY!gcYm!hc!h\Y!WcadUbmyg!aYaVYfg)!Ug!U!VcXm)!]b!UWWcfXUbWY!k]h!=\UdhYf!0!cZ!JUfh!.3!cZ!h\Y! Companies Act 2006. Our audit work has been undertaken so that we might state to h\Y!WcadUbmyg!aYaVYfg!h\cgY! aUhhYfg!kY!UfY!fYei]fYX!hc!ghUhY!hc!h\Ya!]b!Ub!UiX]hcfyg!fYdcfh!UbX!Zcf!bc!ch\Yf!difdcgY+!Nc!h\Y!Zi`Ygh!YlhYbh!dYfa]hhYX! Vm!Uk)!kY!Xc!bch!UWWYdh!cf!UggiaY!fYgdcbg]V]`]hm!hc!UbmcbY!ch\Yf!h\Ub!h\Y!WcadUbm!UbX!h\Y!WcadUbmyg!aYaVYrs as a body, for our audit work, for this report, or for the opinions we have formed.

Peter Birch FCA (Senior Statutory Auditor) For and on behalf of Deloitte LLP Statutory Auditor Leeds, United Kingdom 17 June 2022

IPF DIGITAL GROUP LIMITED (Company Number 06032184)

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 DECEMBER

	Notes	2021 j	2020 {
Administration expenses	3	(253,868) ___	(149) __
OPERATING LOSS		(253,868)	(149)
Interest payable and similar charges Dividends received	4 3	(62) 21,000,000 ___	- - __
PROFIT / (LOSS) BEFORE TAXATION	3	20,746,070	(149)
Tax charge on profit/(loss)	6	- ___	- __
PROFIT / (LOSS) FOR THE YEAR ATTRIBUTABLE TO THE EQUITY SHAREHOLDER OF THE COMPANY		20,746,070 ___	(149) __

STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER

	Notes	2021 j	2020 {
PROFIT / (LOSS) FOR THE YEAR		20,746,070	(149)
Total comprehensive income / (expense) for the year		_ 20,746,070 _	_ (149) _

The results shown in the Profit and loss account derive wholly from continuing activities.

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

IPF DIGITAL GROUP LIMITED (Company Number 06032184)

BALANCE SHEET AS AT 31 DECEMBER

	Notes	2021 j	2020 {
NON CURRENT ASSETS Investments	7	34,794,747	34,794,747
CURRENT ASSETS		___ 34,794,747	___ 34,794,747
Debtors u due within one year Cash at bank and in hand	9	1,800,000 1,534	- 402
TOTAL CURRENT ASSETS		___ 1,801,534	___ 402
CREDITORS: Amounts falling due within one year	10	(62)	-
NET CURRENT ASSETS		1,801,472	402
NET ASSETS		_ 36,596,219 _	_ 34,795,149 _
CAPITAL AND RESERVES Called-up share capital Share premium Capital redemption Profit and loss account	11 13 12	3,821,439 32,944,267 102,317 (271,804) ___	3,705,069 32,805,637 102,317 (1,817,874) ___
		36,596,219 ___	34,795,149 ___

These financial statements on pages 9 to 18 were approved and authorised for issue by the board of X]fYWhcfgy on 17 June 2022 and were signed on its behalf by:

F C Collins

D J Kleppen

(Directors)

IPF DIGITAL GROUP LIMITED (Company Number 06032184)

STATEMENT OF CHANGES IN EQUITY AS AT 31 DECEMBER

	__	___	______	___	___
Balance at 31 December 2021	3,821,439	32,944,267	102,317	(271,804)	36,596,219
Dividends paid (note 8)	__	___	______	(19,200,000) ___	(19,200,000) ___
Share capital issued	116,370	138,630	-	-	255,000
Total comprehensive income for the year	-	-	-	20,746,070	20,746,070
Profit for the year	- __	- ___	- ______	20,746,070 ___	20,746,070 ___
Balance at 31 December 2020	_ 3,705,069 _	_ 32,805,637 _	__ 102,317 ____	_ (1,817,874) _	_ 34,795,149 _
Total comprehensive expense for the year	-	-	-	(149)	(149)
Loss for the year	- __	- ___	- ______	(149) ___	(149) _
Balance at 1 January 2020	3,705,069 __	32,805,637 ___	102,317 ______	(1,817,725) ___	34,795,298 ___
	share capital (Note 11) {	premium account (Note 13) {	Capital redemption (Note 12) {	Profit and loss account {	Total {
	Called-up	Share

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021

1. Principal accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the year and the preceding year, unless otherwise stated.

a) Basis of accounting

IPF Digital Group Limited vh\Y!WcadUbmw!]g!U!private company limited by shares incorporated and registered in England and Wales in the United Kingdom under the Companies Act. The address of the registered office is given in note 16. The bUhifY!cZ!h\Y!WcadUbmyg!cdYfUh]cbg!UbX!]hg!df]bW]dU`!UWh]j]h]Yg!UfY!gYh!cih!]b!h\Y!ghfUhY[]W!fYdcfh!cb! page 1.

These financial statements were prepared in accordance with FRS 101 (Financial Reporting Standard 101) xLYXiWYX!>]gWcgifY!@fUaYkcf\_y!Ug!]ggiYX!Vm!h\Y!@]bUbW]U!LYdcfh]b[!=cibW]`+!

The financial statements have been prepared on the historical cost basis, in accordance with Financial Reporting Standard 101 (FRS 101) issued by the Financial Reporting Council.

These financial statements are separate financial statements. The company is exempt from the preparation of consolidated financial statements, because it is included in the Group financial statements of International Personal Finance plc. Details of the parent in whose consolidated financial statements the company is included are shown in note 16 to the financial statements.

As permitted by FRS 101, exemptions from applying the following requirements have been adopted: IFRS 7 v@]bUbW]U!CbghfiaYbhg7!>]gWcgifYgw8!C9M!4!vMhUhYaYbh!cZ!=Ug!@ckg8!C9M!/18!vLYUhYX!JUfhm!>]gW`cgifYgw! paragraph 7; C9M!5!v=\Ub[Yg!]b!9WWcibh]b[!?gh]aUhYg!UbX!?ffcfgw!dUfU[fUd\g!0--31; UbX!C9M!03!vCadU]faYbh!cZ! 9ggYhgw!dUfU[fUd\g!.01'X(-(f) and 135 (c) u (e).

The Group financial statements of International Personal Finance plc are available to the public and can be obtained as set out in note 16.

b) Administrative expenses

Administrative expenses comprise sundry costs associated with the operation of the business recognised on an accruals basis.

c) Taxation

Deferred taxation is provided in respect of all timing differences that have originated but not reversed at the balance sheet date and is determined using the average tax rates that are expected to apply in the periods in which the timing differences are expected to reverse, based on tax rates that have been enacted or substantively enacted by the balance sheet date. Deferred tax assets are recognised only to the extent that it is regarded as more likely than not that they will be recovered. Deferred taxation is not recognised on revalued assets unless there is a binding agreement at the balance sheet date to sell the revalued asset and the related gain has been recognised in the Financial statements. Deferred taxation balances are not discounted.

Current tax is calculated based on taxable profit or loss for the year using tax rates that have been enacted or substantively enacted by the balance sheet date. Where withholding tax has been suffered on overseas income received, it has been accounted for as overseas tax. Current tax assets and liabilities are offset only when there is a legally enforceable right to set off the amounts and the Group intends either to settle on a net basis or to realise the asset and settle the liability simultaneously.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED)

1. Principal accounting policies (continued)

d) Foreign exchange

The functional currency of the company is considered to be the Euro. Transactions in foreign currencies are recorded at the rate of exchange ruling at the date of the transaction. Assets and liabilities denominated in foreign currencies are expressed, in Euros, at the rates of exchange ruling at the end of the financial period or the contracted rate to the extent hedged. Resultant gains or losses are taken to the profit and loss account.

e) Subsidiary undertakings

The company undertakes an annual impairment review of investments in subsidiaries, which is performed by way of a comparison of the carrying value of the investment with the net assets of the subsidiary, or the future value in use. Where the carrying value is greater than the net assets or future value in use, a provision for impairment is made.

f) Going concern

The directors have, at the time of approving the Financial Statements, a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future (12 months from the date of these Financial Statements). Thus they continue to adopt the going concern basis of accounting in the Financial Statements. Further detail is contained in the Strategic Report on page 1.

g) Exceptional items

The company classifies as exceptional those significant items that are one-off in nature and do not reflect the underlying performance of the company.

h) Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and in hand.

i) Debtors and Creditors

Debtors and creditors do not carry interest and are stated at amortised cost as reduced by appropriate allowances Zcf! Ygh]aUhYX! ]ffYWcjYfUV`Y! Uacibhg+! N\Ym! UfY! fYWc[b]gYX! k\Yb! h\Y! Afcidyg!f][\h! hc! Wcbg]XYfUh]cb! ]g! only conditional on the passage of time. Allowances incorporate an expectation of life-time credit losses from initial recognition and are determined using an expected credit loss approach.

j) Interest payable and receivable

Interest is charged and credited at blended rates based on the cost of external finance.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED)

2. Critical accounting judgements and key sources of estimation uncertainty

Cb!h\Y!Udd]WUh]cb!cZ!h\Y!WcadUbmyg!UWWcibh]b[!dc]W]Yg)!k]W!UfY!XYgWf]VYX!]b!bchY!.)!h\Y!X]fYWhcfg!UfY!fYei]fYX!hc! make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The directors deem that the only significant critical judgement and/or source of estimation uncertainty is regarding the carrying value of investments in subsidiaries.

The directors monitor the carrying values of all investments in subsidiaries by reference to a Value in Use model. This compares expected future cashflows, discounted at the Group cost of funding of 10% (2020: 10%), to the value of the investment and results in impairment charges where the carrying value exceeds the Value in Use. During the period, this review has included consideration of the potential impact of volatility in macro-economic factors affecting the businesses including the medium to long term impacts of the Covid-19 pandemic on the future cashflows and dYfZcfaUbWY!cZ!h\Y!=cadUbmyg!]bjYghaYbhg!Ug!kY`!Ug!YldYWhYX!W\Ub[Yg!]b!h\Y!Afcidyg!ghfUhY[m+! Following this review, ]bjYghaYbhg!kYfY!]adU]fYX!Vm!{/20)---!'/-/-7!{b]( (note 7).

3. Result before taxation

The result before taxation is stated after charging/(crediting):

	2021 j	2020 {
9iX]hcfyg!fYaibYfUh]cb7 @YYg! dUmUVY! hc! h\Y! UiX]hcf! Zcf! h\Y! UiX]h! cZ! h\Y! WcadUbmyg! Z]bUbW]U! statements	5,000	5,000
Dividends received Impairment of investment in subsidiary (note 7)	(21,000,000) 253,000	- -
	__	__

Fees payable to the auditor are shown for information only as the fee is reported and paid by the WcadUbmyg!dUfYbh! undertaking International Personal Finance plc.

4. Interest payable and similar expenses

	2021	2020
	j	{
Interest payable and similar expenses
Group interest	62	-
	___	___

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED)

#### 5. 8WSQb]ah!S[]Zc[S\ba!O\R!S[^Z]gSS!W\T]`[ObW]\

None of the directors received any emoluments in respect of their services to the company during the year (2020: nil). 9`!h\Y!Wcghg!cZ!h\Y!X]fYWhcfgy!YaciaYbhg!kYfY!VcfbY!Vm!Ubch\Yf!Afcid!WcadUbm+

During the year four of the directors (2020: one) exercised 523,340 (2020: 67,644) share options in shares of the WcadUbmyg!dUfYbh!ibXYfhU_]b[!CbhYfbUh]cbU!JYfgcbU!@]nance plc. The exercise price of these options kUg!{nYfc (2020: {nYfc(!

The average monthly number of persons employed by the company, excluding executive directors, during the year was nil (2020: nil).

6. Tax charge on profit / (loss)

(a) Analysis of tax charge for the year:

	2021	2020
	j	{
Tax charge on profit / (loss) (note 6(b))	-	-
	__	__

(b) Factors affecting the tax charge for the year:

The tax charge for the year can be reconciled to the profit and loss account as follows:

	2021 j	2020 {
Profit / (loss) before taxation	20,746,070	(149)
Expected tax credit calculated at the standard rate of corporation tax in the UK of 19% (2020: 19%)	__ (3,941,753)	__ 28
Non taxable dividends and other income Non deductible expenses Group relief for nil payment Movement in deferred tax not recognised	3,990,000 (48,070) (177) -	- - - (28)
Total tax charge for the year (note 6(a))	_ - __	_ - __

(c) Factors that may affect future tax charges:

The headline rate of UK corporation tax reduced from 20% to 19% on 1 April 2017. On the 3rd March 2021 the UK Chancellor of the Exchequer announced that the corporation tax rate will increase from 19% to 25% from April 2023. The proposed change in the corporation tax rate was subsequently included in Finance Act 2021 which was substantively enacted on 24 May 2021.

At 31 December 2021, deferred tax has not been recognised in respect of tax losses of {965k (2020: {965k) as it is not considered probable that there will be future taxable profits available against which the losses could be utilised.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED)

7. Investments

Investments in subsidiary or fellow subsidiary undertakings comprise:

			Shares at cost {
At 1 January 2021			34,794,747
Additions			253,000
Impairment of investments			(253,000)
At 31 December 2021			___ 34,794,747
			___
	Country of	Class of	Percentage holding
Name of subsidiary or fellow subsidiary	incorporation	shares issued

IPF Digital AS Estonia Ordinary 100% Address: Lootsa Str, No. 5, Tallinn, 11415, Estonia Avalist Credit Secure S.L. Address: Príncipe de Vergara nº 109, 2ª planta, Madrid

Ib!/2!GUfW!h\Y!WcadUbm!aUXY!Ub!]bjYghaYbh!cZ!{/20)---!]b!9jU`]gh!=fYX]h!MYWifY!M+F+

Cb!>YWYaVYf!/-/.)!h\Y!Afcid!XYW]XYX!hc!ghcd!bYk!YbX]b[!hc!WighcaYfg!]b!MdU]b+!9g!U!fYgih!h\Y!jUiY!cZ!h\Y!=cadUbmyg! investments in Spain were reviewed resulting in the full impairment of the investment in Avalist Credit Secure S.L. In h\Y!cd]b]cb!cZ!h\Y!X]fYWhcfg)!h\Y!jUiY!cZ!h\Y!WcadUbmyg!]bjYghaYbhg!]b!]hg!ch\Yf!giVg]X]Ufm!ibXYfhU_]b[g!Uh!h\Y!VU`UbWY! sheet date are not worth less than the amount at which they are stated in the balance sheet at the balance sheet date. Further information regarding the key assumptions applied by the directors in reaching this conclusion is included in Note 2.

Spain Ordinary 100%

8. Dividend

	2021 j	2020 {
Ordinary dividend paid of £0.6775 (2020: £nil) per ordinary share	19,200,000 ___	- _____
9. Debtors
Amounts due within one year:	2021 j	2020 {
Amounts owed by other Group undertakings	1,800,000	-
	__ 1,800,000	_ -
	__	_

Amounts owed by other Group undertakings are unsecured and are repayable according to an agreed repayment schedule.

IPF DIGITAL GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED)

10. Creditors

	2021	2020
Amounts falling due within one year:	j	{
Amounts owed to other Group undertakings	62 _	- _
	62	-
	_	_

Amounts owed to the ultimate parent are unsecured and are repayable according to an agreed repayment schedule. Interest is charged at rates based on the cost of external finance. Amounts owed to other Group undertakings include amounts where interest is charged at rates based on the cost of external finance.

11. Called-up share capital

	2021 2020 { j
Authorised 30,000,000 ordinary shares of 10p each 3,679,000 ___	3,679,000 ___
Allotted, called-up and fully paid 1 January
27,763,913 ordinary shares of 10p each (2020: 27,763,913) 3,705,069	3,705,069
Additions - 1,000,000 ordinary shares of 10p each 116,370 ___	- ___
Allotted, called-up and fully paid 31 December 3,821,439 ___	3,705,069 ___
12. Capital redemption 2021	2020 j {
At 1 January and 31 December 102,317 _	102,317 ______

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED)

13. Share premium

	2021 j	2020 {
At 1 January	32,805,637	32,805,637
Additions	138,630 ___	- ___
At 31 December	32,944,267	32,805,637
	___	___

14. Related party disclosure

As a wholly owned subsidiary, the company has taken advantage of the exemption in FRS 101 vLYUhYX! JUfhm! Disclosuresw! Zfca! X]gWcg]b[! fYUhYX! dUfhm! hfUbgUWh]cbg! k]h\! ch\Yf! Ybh]h]Yg! ]bWiXYX! ]b! h\Y! Wcbgc]XUhYX! Z]bUbW]U! statements of International Personal Finance plc.

15. Contingent liabilities

N\Y!WcadUbm!\Ug!U!Wcbh]b[Ybh!]UV]]hm!Zcf!'](![iUfUbhYYg![]jYb!]b!fYgdYWh!cZ!Vcffck]b[g!aUXY!Vm!h\Y!WcadUbmyg!ih]aUhY! parent undertaking and (ii) guarantees given jointly and severally with the WcadUbmyg!ih]aUhY!dUfYbh!ibXYfhU_]b[!]b! respect of borrowings made by certain of its fellow subsidiaries to a maximum of {655,549,380 (2020: {681,114,000). At 31 December 2021 the borrowings amounted to {567,786,203 (2020: {558,200,000).

16. Parent undertakings

The company, whose liability is limited to a maximum of the share capital issued, is registered and domiciled in the United Kingdom, the registered office of the company is located at 26 Whitehall Road, Leeds LS12 1BE. The immediate and ultimate parent undertaking and controlling party is International Personal Finance plc, which is the parent undertaking of the smallest and largest Gfcid!hc!Wcbgc]XUhY!h\YgY!Z]bUbW]U!ghUhYaYbhg+!=cd]Yg!cZ!h\Uh!WcadUbmyg! consolidated financial statements can be obtained from the Company Secretary, International Personal Finance plc, 26 Whitehall Road, Leeds LS12 1BE cf!cb!h\Y!Afcidyg!kYVg]hY!Uh!kkk+]dZ]b+Wc+ik.