Northern Trust focuses on property following investment writedowns

NORTHERN Trust Group, the property investment and development business owned by entrepreneur Trevor Hemmings, declared a £7.1m loss in the year to March 31.

Newly-filed accounts for the company state that the loss was declared as “the opportunity has been taken to make a substantial provision against the value of corporate investments” worth £15.1m.

“This activity has generated substantial profits in past years, but has been wound down as the group focuses on property activities,” the company said in a directors’ report accompanying the accounts.

The value of its property portfolio dropped by £9.1m to £374.4m by March 31, while the group’s overall net asset value fell by . Turnover dropped by 15% to £41m, although the bulk of the decline was due to the fact that discontinued operations generated £7.4m of income last year. Revenues were largely flat on a like-for-like basis.

The report said the company was “well placed to manage its business risks successfully despite the current uncertain economic outlook”, adding that it had considerable financial resources at its disposal and a broad spread of property types and locations.

Mr Hemmings, who took control of Preston North End football club through his Guild Ventures business last year, is estimated to have a fortune worth around £550m by the Sunday Times Rich List. He also owns the Trust Inns pubs business.