Not exactly. The accounts show that morninglordsugar also has £100 of share capital, the balance of £249,900 is shown in reserves where it will be protected. I agree that the money financed the first year losses, however note that it's nowhere even close to the headline figure of the supposed...
Let me clue everyone in to how this actually works.
The £250k of morninglordsugar's stash does not actually get invested in the individual who wins. If you check the company accounts of any of the previous winners in this format you'll see that at the last accounting dates (admittedly a little...