Charity number: 1002278
The Godinton House Preservation Trust
Trustees' report and financial statements
for the year ended 31 October 2021
The Godinton House Preservation Trust
| Page | |
|---|---|
| Reference and administrative details of the charity, its trustees and advisers | 1 |
| Trustees' report | 2 - 7 |
| Independent auditors' report on the financial statements | 8 - 11 |
| Statement of financial activities | 12 |
| Balance sheet | 13 |
| Statement of cash flows | 14 |
| Notes to the financial statements | 15 - 29 |
The Godinton House Preservation Trust
Reference and administrative details of the charity, its trustees and advisers for the year ended 31 October 2021
Trustees
Mrs A A C Cottrell OBE Rt Hon. D H Green MP M F Jennings Mrs G Jennings The Hon. J D Leigh-Pemberton The Hon. W G Plumptre
Charity registered number
1002278
Principal office
Godinton House Godinton Park Ashford Kent TN23 3BP
Independent auditors
Chavereys Chartered Accountants and Statutory Auditors 2 Jubilee Way Faversham Kent ME13 8GD
Bankers
Lloyds Bank plc 81 High Street Ashford Kent TN24 8SS
Solicitors
Charles Russell Speechlys LLP 5 Fleet Place London EC4M 7RD
Investment managers
Waverton Investment Management Limited 16 Babmaes Street London SW1Y 6AH
Page 1
The Godinton House Preservation Trust
Trustees' report for the year ended 31 October 2021
The trustees present their annual report together with the audited financial statements for the year to 31 October 2021.
Structure, governance and management
l Constitution and objectives
By a trust deed dated 17 January 1991 the late Alan Wyndham Green ( "the settlor" ) settled Godinton House, its grounds and surrounding parkland, together with various chattels, upon charitable trusts to preserve them for the public benefit.
The objects for which the charity was established are:
-
1) to preserve for the public benefit the whole or such part or parts of Godinton as are of national, scenic, historical, architectural, aesthetic, scientific, educational or artistic interest or importance.
-
2) to protect and improve the amenities of Godinton for the public benefit.
-
3) to preserve for the public benefit, as an adjunct to Godinton, the chattels kept there.
-
4) to facilitate and encourage access to, and the study and appreciation of, Godinton and the chattels at Godinton.
-
5) such other charitable purposes as the trustees shall from time to time decide.
l Trustees
The current trustees are named on page 1. Appointment of trustees is governed by the trust deed of the charity. The board of trustees is authorised to appoint new trustees to fill vacancies arising through resignation or death of existing trustees. Management and administration of the charity is delegated to the Trust Administrator and House Manager, the Estate Manager and the Head Gardener who report to the trustees.
l Policies adopted for the induction and training of trustees
New trustees undergo an orientation day to brief them on their legal obligations under charity law, the content of the trust deed, the decision making processes, current plans and recent financial performance of the trust. During the induction day they meet key employees and other trustees. Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.
l Pay policy for key management personnel
Senior staff pay is set by the board of trustees having consideration to the experience and qualification of the staff member concerned and available information as to industry average pay for similarly qualified individuals holding a similar position.
Page 2
The Godinton House Preservation Trust
Trustees' report (continued) for the year ended 31 October 2021
Structure, governance and management (continued)
l Investment policy and performance
The trustees have delegated the management of their investments to Waverton Investment Management (Waverton) at its discretion, which will be exercised in the best interests of the charity.
(i) Investment objective
The aim of the charity is to achieve for the foreseeable future a reliable and growing income stream - which, over time, will at least keep pace with inflation - at the best yield consistent with the appreciation in the value of the invested capital necessary to achieve that income growth.
This aim should be pursued via a prudent and balanced exposure to the best stocks and funds worldwide as Waverton believes to be appropriate in the interest of long term growth.
(ii) Investment restrictions
The trustees have wide powers of investment. There are no specific restrictions other than that the investments should be suitable for trustees.
l Reserves policy
The charity's primary object is to preserve Godinton for the benefit of the public. The trustees must therefore ensure as far as possible that they have sufficient funds to enable them to fulfil that and the charity's other objects for at least the foreseeable future.
The charity has no permanent endowment of investment assets and issues no appeals for funding. As its unrestricted funds are in place to sustain it for its long term future they are not regarded by the trustees as fully expendable. As well as let properties on the Godinton Estate the charity has a portfolio of investments which comprises an unrestricted capital fund which will generate income with which to sustain the charity over the long term. The trustees endeavour to restrict spending to the income derived mainly from the investments and the estate. Budgeted expenditure falls within two broad categories:
(i) Essential spending on staffing, utilities, general maintenance of the house and its contents, the park and other properties on the estate, and insurance and professional fees.
(ii) Discretionary spending on longer term projects. The trustees have rolling programmes for projects such as those noted in the review of activities, all intended to improve the charity's assets, financial security for the future or greater public benefit.
As it is the charity's policy not to be dependent upon public or other charitable subscriptions for the maintenance of its operations, the trustees have not thought it appropriate to maintain formal reserves, though, as noted, they are careful to restrict their expenditure to within available year on year income. The trustees monitor the level of funds invested at least half yearly in conjunction with their advisers and they believe that it is neither excessive nor deficient having regard to the returns earned by it. The free reserves of the charity (unrestricted funds excluding designated funds) as at 31 October 2021 were £15,896,263.
The charity is fortunate to have the support of its associated grant making charity, the Godinton Charitable Trust, which has provided funding for projects for the long term benefit of Godinton. However, the trustees do not regard the occasional funding by the Godinton Charitable Trust as being integral to their budgeting. Instead, they firmly believe that the charity's land and invested capital are to be regarded as the long term providers of income with a view to matching inflation and preferably outpacing it.
Page 3
The Godinton House Preservation Trust
Trustees' report (continued) for the year ended 31 October 2021
Structure, governance and management (continued)
l Risk management
The trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks
Achievements and performance
l Review of activities
The first half of 2021 was again dominated by the Coronavirus pandemic, with lockdown delaying the opening of the gardens and front of house staff returning to furlough. The budget was set to reflect the anticipated reduced income from ticket and catering sales, and for possible rent gaps from residential and commercial tenants. The trust continued to ensure safe procedures were in place for all staff, volunteers and visitors, adapting to changes in Government guidance as the open season progressed. The trust benefited from Government grants during lockdown and restricted opening, as well as the Job Retention Scheme.
A new online booking system for house and garden admissions and events was developed over the closed season to allow the trust to control visitor numbers and comply with Track and Trace regulations.
Autumn and Christmas events were cancelled, along with the regular Longbow Archery event in February and the early Spring Garden Workshops. The gardens opened on 1st March to local Garden Season Ticket holders only, and then to the general public on 30th March. Timed ticket entry reduced queuing at the ticket office and avoided overcrowding. Once restrictions were eased at the end of May, the tea room opened and guided tours of the house resumed, albeit with restricted capacity. There were very few group bookings for the house and gardens this season.
A scaled down version of the traditional Family Spring Week was held at the beginning of April, which was popular with our regular visitors. The Spring Plant Fair was well-attended, and National Garden Scheme Open Days were held in March, May, June and September, with ticket entry donated to the NGS charities. The two open-air theatre productions in the summer went ahead with restricted audiences. The trust held its annual Delphinium Society Festival in June, raising money for Pilgrims Hospice and St. John Ambulance, and the popular Garden Sculpture Exhibition ran for three weeks from the end of July. The staff raised money for Macmillan by baking cakes for a coffee morning at the end of September, and staff donated warm clothing, toys and craft materials to Afghan evacuees being housed at a local hotel whilst awaiting permanent accommodation. The family Autumn Week took place during half term at the end of October.
Walkers and dog owners continued to take advantage of the wider estate using the footpaths and permissive paths. Two junior cross country events were held in the Park during October.
The learning programme this year focused on three main areas – Art, Nature and Conservation, with class visits to Godinton of up to 60 pupils, specialist sessions for Pupil Premium students in groups of 12 and the continuation of the Outreach Project delivering learning outside the classroom within the school environment. The impact of Covid-19 on students was noticeable to staff, with limited vocabulary and social skills apparent in some of the more disadvantaged children who visited. With the development of the new multi-purpose learning centre, the learning programme will be extended to include Therapeutic Horticulture, aimed at vulnerable young people and adults within the local community. A total of 367 children visited Godinton, and a further 30 benefited from the Outreach programme.
Page 4
The Godinton House Preservation Trust
Trustees' report (continued) for the year ended 31 October 2021
Achievements and performance (continued)
l Review of activities
The first adult Garden Workshop was held at the end of April, followed by further workshops in May and September, and three Garden History workshops in October.
The two Professional Gardener’s Guild trainees completed their training year at the end of August, with two new firstyear trainees starting their placements in September. An apprentice in the building and maintenance team completed a six-day trial work placement and will be taken on as a full time apprentice.
Staff training included: Qualitative Face Fit Tester, Asbestos Awareness, Legionella Awareness, Level 1 Food Safety, the Fundamentals of Digital Marketing, Fire Extinguisher Training, Emergency First Aid at Work, Health, Safety and Environment test of operatives. The Estate Manager started an MProf Rural Estate and Land Management Course at Harper Adams and completed various one-day woodland management courses.
The garden team experimented with a “no dig” border in the Walled Garden this year, using regular mulching to enhance the quality and structure of the soil, and this approach will now be adopted throughout the gardens. The formal lawns have undergone an intensive treatment programme including scarifying, aerating and over-seeding resulting in much improved condition and overall appearance. The use of chemicals has been reduced to absolute minimal levels throughout the gardens, and the storage area for garden machinery and equipment has been improved.
Miller Land Management was instructed to produce a new woodland management plan in response to the impact of Ash Dieback on trust woodland. The plan objectives are to deliver sustainable woodland management that provides a range of environmental, social and economic benefits. A significant amount of the trust woodland is chestnut coppice, which is managed in rotation to produce a sustainable fuel source for the trust’s boilers and provide a mosaic of habitats rich in biodiversity.
A survey of the footpath and boundary trees was completed and subsequent works carried out. Felling works were completed in River Spinney to remove Ash trees infected with Ash Dieback. The area has been cleared and prepared for planting with a mixture of native broadleaf trees this winter. Gapping up new plantations on the estate will also take place this winter to replace any failed tree planting.
The Mid-Tier Stewardship Scheme across the parkland and farmland improves habitat, protects veteran trees and encourages wildlife on the estate. Owl boxes and bird feeders have been sited on the estate.
IDB (Internal Drainage Board) carried out weed clearing in the river on behalf of the Environment Agency. A pond adjacent to Hothfield lake was dredged to remove an accumulation of silt.
In the main house the redecoration of the tea room was completed and work continued to restore the Rococo stand from the Chinese Room. A condensation survey was completed in the attic rooms.
New welfare facilities were created for the maintenance and gardening team.
External decoration was carried out on the Tea hut, Stables, Laundry, visitor toilets, South Lodge and the Granary Spa. Drainage improvements were made at Ninn Farm to prevent flooding and at Worten Farm.
The refurbishment of The Old Kitchen and Gardener’s Cottage was completed and the properties let to residential tenants.
The trust appointed Phase Consultants to carry out a review and provide specialist health and safety advice.
A new Head Gardener and Assistant Head Gardener were appointed.
Page 5
The Godinton House Preservation Trust
Trustees' report (continued) for the year ended 31 October 2021
Achievements and performance (continued)
l Future developments
Future plans include;
-
Development of the Estate Master Plan will continue during the coming year, with a particular focus on natural assets.
-
The development of a new workshop unit at Ninn Farm Buildings.
-
A planning and listed building consent has been obtained for Ninn Farmhouse, with refurbishment work scheduled to commence in the new year.
-
A planning application has been submitted for the conversion of the Cart Shed to a multi-purpose learning centre.
-
Redecoration of remaining attic rooms and plaster repairs.
-
Redecoration of Blomfield Apartment in the main house.
-
Recruitment of a new House Manager.
l Volunteers
The charity relies on the support of its volunteer tour guides. No attempt has been made to place a value on their services but the charity is very grateful for their generous and unstinting efforts.
Page 6
The Godinton House Preservation Trust
Trustees' report (continued) for the year ended 31 October 2021
Financial review
l Going concern
After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements.
l Results for the year
The results for the year are set out in the attached financial statements. The net increase in funds for the year amounted to £1,571,963 (2020: decrease of £1,146,209). Realised and unrealised gains from changes in market value of investments amounted to £1,480,281. Total funds at 31 October 2021 amount to £18,978,127. An analysis of funds between designated and general funds and permanent and expendible endowments can be found in Note 19 to these financial statements.
Statement of trustees' responsibilities
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles of the Charities SORP (FRS 102);
-
make judgments and accounting estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In setting objectives and planning for activities, the trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
Approved by order of the members of the board of trustees and signed on their behalf by:
The Hon. J D Leigh-Pemberton
Date: 13 June 2022
Page 7
The Godinton House Preservation Trust
Independent auditors' report to the trustees as a body of The Godinton House Preservation Trust
Opinion
We have audited the financial statements of The Godinton House Preservation Trust (the 'charity') for the year ended 31 October 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the related notes, 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).
The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice.
In our opinion the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 31 October 2021 and of its incoming resources and application of resources 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 Charities Act 2011.
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 charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting 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 that, individually or collectively, may cast significant doubt on the charity's ability to continue as 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 trustees with respect to going concern are described in the relevant sections of this report.
Page 8
The Godinton House Preservation Trust
Independent auditors' report to the trustees as a body of The Godinton House Preservation Trust (continued)
Other information
The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditors' report thereon. Our opinion on the financial statements does not cover the other information and 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
-
the information given in the trustees' report is inconsistent in any material respect with the financial statements; or
-
sufficient accounting records have not been kept; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the trustees' responsibilities statement, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees 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 trustees are responsible for assessing the charity'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 trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Page 9
The Godinton House Preservation Trust
Independent auditors' report to the trustees as a body of The Godinton House Preservation Trust (continued)
Auditors' responsibilities for the audit of the financial statements
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
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 auditors' 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.
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:
As part of designing our audit, we determined materiality and assessed the risks of material misstatement in the financial statements, including how fraud may occur by enquiring of management of its own consideration of fraud. In particular, we looked at where management made subjective judgements, for example in respect of significant accounting estimates that involved making assumptions and considering future events that are inherently uncertain. We also considered potential financial or other pressures, opportunity and motivations for fraud. As part of this discussion we identified the internal controls established to mitigate risks related to fraud or noncompliance with laws and regulations and how management monitor these processes. Appropriate procedures included the review and testing of manual journals and key estimates and judgements made by management.
We gained an understanding of the legal and regulatory framework applicable to the charity and the sector in which it operates, drawing on our broad sector experience, and considered the risk of acts by the charity that were contrary to these laws and regulations, including fraud.
We focused on laws and regulations that could give rise to a material misstatement in the financial statements, including, but not limited to, the Charities Act 2011.
We made enquiries of management with regards to compliance with the above laws and regulations and corroborated any necessary evidence to relevant information.
Our tests included agreeing the financial statements disclosures to underlying supporting documentation and enquiries with management.
We did not identify any key audit matters relating to irregularities, including fraud. As in all of our audits, we also addressed the risk of management override of internal controls including testing journals and evaluation whether there was evidence of bias by the management that represented a risk of material misstatement due to fraud. Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.
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 auditors' report.
Page 10
The Godinton House Preservation Trust
Independent auditors' report to the trustees as a body of The Godinton House Preservation Trust (continued)
Use of our report
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.
Chartered Accountants and Statutory Auditors
Faversham 13 June 2022
Chavereys are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.
Page 11
The Godinton House Preservation Trust
Statement of financial activities for the year ended 31 October 2021
| Income and endowments from: Donations, legacies and grants Charitable activities Investments Total income and endowments Expenditure on: Raising funds Charitable activities 8 Total expenditure Net income/(expenditure) before net gains/(losses) on investments Net gains/(losses) on investments Net income/(expenditure) Transfers between funds 19 Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward Note 4 5 6 |
Endowment funds 2021 £ - - - - - 150,159 150,159 (150,159) - (150,159) 10,880 (139,279) 2,719,460 (139,279) 2,580,181 |
Unrestricted funds 2021 £ 102,201 577,901 603,655 1,283,757 64,872 977,044 1,041,916 241,841 1,480,281 1,722,122 (10,880) 1,711,242 14,686,704 1,711,242 16,397,946 |
Total funds 2021 £ 102,201 577,901 603,655 1,283,757 64,872 1,127,203 1,192,075 91,682 1,480,281 1,571,963 - 1,571,963 17,406,164 1,571,963 18,978,127 |
Total funds 2020 £ 99,525 487,967 454,427 1,041,919 60,039 988,123 1,048,162 (6,243) (1,139,966) (1,146,209) - (1,146,209) 18,552,373 (1,146,209) 17,406,164 |
|---|---|---|---|---|
The notes on pages 15 to 29 form part of these financial statements.
Page 12
The Godinton House Preservation Trust
Balance sheet as at 31 October 2021
| Note Fixed assets Tangible assets 13 Heritage assets 15 Investments 16 Investment property 14 Current assets Debtors 17 Cash at bank and in hand Creditors: Amounts falling due within one year 18 Net current assets Total assets less current liabilities Total net assets Charity funds Endowment funds 19 Unrestricted funds Designated funds 19 General funds 19 Total unrestricted funds 19 Total funds |
4,045 765,940 769,985 (86,924) 501,683 15,896,263 |
2021 £ 1,562,581 1,886,017 14,496,468 350,000 18,295,066 19,939 490,796 510,735 (86,445) 683,061 18,978,127 18,978,127 2,580,181 501,683 14,185,021 16,397,946 18,978,127 |
2020 £ 1,680,857 1,950,141 13,000,876 350,000 |
|---|---|---|---|
| 16,981,874 424,290 |
|||
| 17,406,164 | |||
| 17,406,164 | |||
| 2,719,460 14,686,704 |
|||
| 17,406,164 |
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
The Hon. J D Leigh-Pemberton
Trustee Date: 13 June 2022
The notes on pages 15 to 29 form part of these financial statements.
Page 13
The Godinton House Preservation Trust
Statement of cash flows for the year ended 31 October 2021
| Cash flows from operating activities Net cash used in operating activities Cash flows from investing activities Dividends, interests and rents from investments Purchase of tangible fixed assets Proceeds from sale of investments Purchase of investments Net cash provided by investing activities Cash flows from financing activities Net cash provided by financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year The notes on pages 15 to 29 form part of these financial statements |
2021 £ (302,318) 603,655 (10,881) 1,603,456 (1,618,768) 577,462 - 275,144 490,796 765,940 |
2020 £ (282,607) |
|---|---|---|
| 454,427 (142,291) 2,794,454 (2,789,530) 317,060 |
||
| - | ||
| 34,453 456,343 490,796 |
Page 14
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
1. General information
The charity is a charitable trust (charity number 1002278). The registered office is Godinton House, Godinton Park, Ashford, Kent TN23 3BP.
2. Accounting policies
2.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
The Godinton House Preservation Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
2.2 Income
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Grants are included in the statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
2.3 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefit will be required in settlement and the amount of the obligation can be measured reliably.
Expenditure on raising funds includes all expenditure incurred by the charity to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the charity's objectives, as well as any associated support costs.
2.4 Tangible fixed assets and depreciation
Tangible fixed assets costing £1,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Page 15
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
2. Accounting policies (continued)
2.4 Tangible fixed assets and depreciation (continued)
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following bases:
- Freehold property 0 to 20 years - Estate machinery and equipment 5 to 10 years
Residential freehold property is not depreciated as the depreciation charge is not considered material as the assets have a very long useful life and the residual value of the assets is not materially different from the carrying amount of the assets. Freehold land is not depreciated.
2.5 Heritage assets
Heritage assets comprise assets held for the objectives of the charity for which the charity has a policy of long term retention. These assets do not represent a store of financial resources for the charity, moreover the charity has a long term obligation for maintaining these assets in perpetuity.
The heritage assets held by the charity comprise the Godinton Estate, its house, gardens, contents, parkland, farms and cottages. The bulk of these assets were gifted to the trust by the late Alan Wyndham Green by way of a settlement dated 17 January 1991. This gift included some assets currently used for administrative or fund generating purposes. No value has been placed on these assets and, in the opinion of the trustees, the costs involved in obtaining such a valuation would be disproportionate to any benefit obtained therefrom.
Additions to the heritage assets, comprising major renovation costs to the house, gardens and estate, are capitalised and written off to the statement of financial activities over a period of 50 years on a straight line basis. In the opinion of the trustees a 50 year period reflects the actual anticipated life of the renovation programme. Artworks and furniture acquired as additions to the collection held at Godinton House are capitalised at cost. These assets are not depreciated as, in the opinion of the trustees, they have a very long useful life and the residual value of the assets is not materially different from the carrying amount of the assets.
Depreciation is provided on the following bases:
House and estate renovation costs - 2% Furniture and artworks - not depreciated
2.6 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘gains/(losses) on investments’ in the statement of financial activities.
2.7 Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
Page 16
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
2. Accounting policies (continued)
2.8 Pensions
The charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the charity to the fund in respect of the year.
2.9 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Endowment funds are capital gifts where the income is to be applied to the charity’s purposes. With an expendable endowment trustees have the power to convert the capital to income at their discretion, this is not the case with a permanent endowment. The house, garden and park (north of River Spinney) are a permanent endowment under the terms of the trust deed. Those parts of the historic estate that fall outside the area defined above that formed part of the original gift are treated as an expendable endowment.
Investment income, gains and losses are allocated to the appropriate fund.
3. Critical accounting estimates and areas of judgment
Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Critical accounting estimates and assumptions:
The charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are reported below.
Tangible fixed assets
Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the assets and projected disposal values.
Investment property
Such properties are included in these accounts at fair value, these values are obtained from a qualified valuer however there is significant uncertainty in estimating the values.
Page 17
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
4. Income from donations, legacies and grants
| Donations from Godinton Charitable Trust Job Retention Scheme grant Government and local authority grants |
2021 £ 70,400 10,250 21,551 102,201 |
2020 £ 70,400 19,125 10,000 |
|---|---|---|
| 99,525 |
All income from donations and legacies in the current and prior period related to unrestricted funds.
5. Income from charitable activities
| House rents Farm and land rents Cottage rents Wayleaves House admissions and events Heat, PV and RHI Commercial rents Sundry |
2021 £ 25,600 55,942 180,756 2,830 103,318 40,443 150,994 18,018 577,901 |
2020 £ 24,900 56,080 164,536 2,797 37,916 31,633 147,504 22,601 |
|---|---|---|
| 487,967 |
All income from charitable activities in the current and prior period related to unrestricted funds.
6. Investment income
| Dividends from listed investments Interest from listed investments and bank deposits Investment property rent |
2021 £ 583,252 7,923 12,480 603,655 |
2020 £ 432,469 9,478 12,480 |
|---|---|---|
| 454,427 |
All investment income in the current and prior period related to unrestricted funds.
Page 18
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
7. Investment management fees
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Investment management fees | 64,872 | 60,039 |
All investment management fee expenditure in both the current and prior period related to unrestricted funds.
8. Analysis of expenditure by activities
| Charitable activities Charitable activities |
Activities undertaken directly 2021 £ 976,967 Activities undertaken directly 2020 £ 852,389 |
Support costs 2021 £ 150,236 Support costs 2020 £ 135,734 |
Total funds 2021 £ 1,127,203 Total funds 2020 £ 988,123 |
|---|---|---|---|
Page 19
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
9. Direct costs
| Maintenance Irrecoverable VAT Insurance House opening expenses Other estate costs Wages and salaries Bad debt National insurance Pension costs Depreciation |
2021 £ 251,958 15,572 30,537 22,778 77,653 326,014 18,760 29,506 10,909 193,280 976,967 |
2020 £ 223,722 2,894 23,997 31,326 67,548 268,288 - 28,305 9,534 196,775 |
|---|---|---|
| 852,389 |
All direct costs, for both the current and prior year, related to unrestricted funds except £150,159 of depreciation (2020: £150,159) which related to endowment funds.
10. Support and governance costs
| Legal and professional Wages and salaries Auditors' fees - audit fees Auditors' fees - non audit fees |
2021 £ 41,149 95,416 8,817 4,854 150,236 |
2020 £ 36,313 84,642 8,560 6,219 |
|---|---|---|
| 135,734 |
All support and governance costs for the current and prior year related to unrestricted funds.
11. Trustees
During the year trustees received no reimbursed expenses (2020: £Nil) and no remuneration or benefits in kind (2020: £Nil).
Page 20
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
12. Staff costs
| Wages and salaries Social security costs Contribution to defined contribution pension schemes |
2021 £ 421,430 29,506 10,910 461,846 |
2020 £ 352,930 28,305 9,534 |
|---|---|---|
| 390,769 |
The average number of persons employed by the charity during the year was as follows:
| Estate Management |
2021 No. 16 2 18 |
2020 No. 13 2 |
|---|---|---|
| 15 |
No employee received remuneration amounting to more than £60,000 in either year.
The total remuneration of key management personnel is given within the support and governance cost note above.
13. Tangible fixed assets
| Cost or valuation At 1 November 2020 Additions At 31 October 2021 Depreciation At 1 November 2020 Charge for the year At 31 October 2021 Net book value At 31 October 2021 At 31 October 2020 |
Freehold property £ 2,052,087 10,881 2,062,968 781,084 86,035 867,119 1,195,849 1,271,003 |
Estate machinery and equipment £ 747,436 - 747,436 337,582 43,122 380,704 366,732 409,854 |
Total £ 2,799,523 10,881 |
|---|---|---|---|
| 2,810,404 | |||
| 1,118,666 129,157 |
|||
| 1,247,823 | |||
| 1,562,581 1,680,857 |
Page 21
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
13. Tangible fixed assets (continued)
Included in freehold land and buildings is freehold land at a cost of £208,067 (2020: £208,067) which is not depreciated.
14. Investment property
| Valuation At 1 November 2020 At 31 October 2021 |
Freehold investment property £ 350,000 |
|---|---|
| 350,000 |
Investment property was valued by L Nesfield MRICS FAAV on an open market value for existing use basis.
Page 22
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
15. Heritage assets
Assets recognised at cost
| Carrying value at 1 November 2020 Depreciation |
House and estate renovation costs 2021 £ 1,736,525 (64,123) 1,672,402 |
213,615 Furniture and artworks 2021 £ 213,615 - |
Tota 2021 £ 1,950,140 (64,123) |
|---|---|---|---|
| 1,886,017 |
The heritage assets held by the charity comprise the Godinton Estate, its house, gardens, contents, parkland, farms and cottages. No value has been placed on these assets except for the house renovation costs and, in the opinion of the trustees, the costs involved in obtaining such a valuation would be disproportionate to any benefit obtained therefrom. However furniture and artworks added to the collection subsequent to the original gift of the estate are included at cost but are not depreciated. Major renovations to the fabric of Godinton House have been
capitalised at cost and are depreciated at a rate to write off these costs over their estimated useful lives.
The house is valued for insurance at £37.2m and other dwelling houses and estate buildings for £13.1m. The house contents and the collection have been insured for £2.4m.
The only addition to heritage assets in the past five years has been £20,600 expended in the 2019 accounting period. There have been no disposals in this period.
16. Fixed asset investments
| Cost or valuation At 1 November 2020 Additions Disposals Revaluations At 31 October 2021 Net book value At 31 October 2021 At 31 October 2020 |
Listed investments £ 12,001,438 1,411,770 (1,515,486) 1,392,308 13,290,030 13,290,030 12,001,438 |
Cash at brokers £ 999,438 1,206,438 1,206,438 999,438 207,000 - - |
Total £ 14,496,468 13,000,876 13,000,876 1,618,770 (1,515,486) 1,392,308 14,496,468 |
|---|---|---|---|
Page 23
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
17. Debtors
| Sundry debtors | 2021 £ 4,045 4,045 |
2020 £ 19,939 |
|---|---|---|
| 19,939 |
18. Creditors: Amounts falling due within one year
| Taxation and social security Other creditors Accruals and deferred income |
2021 £ 20,498 16,514 49,912 86,924 |
2020 £ 18,278 21,244 46,923 |
|---|---|---|
| 86,445 |
Page 24
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
19. Statement of funds
Statement of funds - current year
| Unrestricted funds Designated funds The Godinton Estate and collection General funds General funds - all funds Total Unrestricted funds Endowment funds Permanent endowment Expendable endowment Total of funds |
Balance at 1 November 2020 £ 501,683 14,185,021 14,686,704 2,176,195 543,265 2,719,460 17,406,164 |
Income £ - 1,283,757 1,283,757 - - - 1,283,757 |
Expenditure £ - (1,041,916) (1,041,916) (94,316) (55,843) (150,159) (1,192,075) |
Transfers in/(out) £ - (10,880) (10,880) 5,662 5,218 10,880 - |
Gains/ (Losses) £ - 1,480,281 1,480,281 - - - 1,480,281 |
Balance at 31 October 2021 £ 501,683 |
|---|---|---|---|---|---|---|
| 15,896,263 | ||||||
| 16,397,946 | ||||||
| 2,087,541 492,640 |
||||||
| 2,580,181 | ||||||
| 18,978,127 |
Page 25
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
19. Statement of funds (continued)
Statement of funds - prior year
| Unrestricted funds Designated funds The Godinton Estate and collection General funds General funds - all funds Total Unrestricted funds Endowment funds Permanent endowment Expendable endowment Total of funds |
Balance at 1 November 2019 £ 501,683 15,288,420 15,790,103 2,270,511 491,759 2,762,270 18,552,373 |
Income £ - 1,041,919 1,041,919 - - - 1,041,919 |
Expenditure £ - (898,003) (898,003) (94,316) (55,843) (150,159) (1,048,162) |
Transfers in/(out) £ - (107,349) (107,349) - 107,349 107,349 - |
Gains/ (Losses) £ - (1,139,966) (1,139,966) - - - (1,139,966) |
Balance at 31 October 2020 £ 501,683 |
|---|---|---|---|---|---|---|
| 14,185,021 | ||||||
| 14,686,704 | ||||||
| 2,176,195 543,265 |
||||||
| 2,719,460 | ||||||
| 17,406,164 |
Page 26
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
20. Summary of funds
Summary of funds - current year
| Designated funds General funds Endowment funds |
Balance at 1 November 2020 £ 501,683 14,185,021 2,719,460 17,406,164 |
Income £ - 1,283,757 - 1,283,757 Income £ - 1,041,919 - 1,041,919 |
Expenditure £ - (1,041,916) (150,159) (1,192,075) Expenditure £ - (898,003) (150,159) (1,048,162) |
Transfers in/(out) £ Gains/ (losses) £ - - (10,880) 1,480,281 10,880 - - 1,480,281 Transfers in/(out) £ Gains/ (losses) £ - - (107,349) (1,139,966) 107,349 - - (1,139,966) |
Balance at 31 October 2021 £ 501,683 15,896,263 2,580,181 |
|---|---|---|---|---|---|
| 18,978,127 | |||||
| Balance at 31 October 2020 £ 501,683 14,185,021 2,719,460 |
|||||
| Summary of funds - prior year | |||||
| Designated funds General funds Endowment funds |
Balance at 1 November 2019 £ 501,683 15,288,420 2,762,270 18,552,373 |
||||
| 17,406,164 |
21. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Tangible fixed assets Fixed asset investments Investment property Heritage assets Current assets Creditors due within one year Total |
Endowment funds 2021 £ 907,779 - - 1,672,402 - - - 2,580,181 |
Unrestricted funds 2021 £ 654,802 14,496,468 350,000 213,615 16,397,946 769,985 (86,924) |
Total funds 2021 £ 1,562,581 14,496,468 350,000 1,886,017 18,978,127 769,985 (86,924) |
|---|---|---|---|
Page 27
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
21. Analysis of net assets between funds (continued)
Analysis of net assets between funds - prior year
| Total Tangible fixed assets Fixed asset investments Investment property Heritage assets Current assets Creditors due within one year |
2,719,460 Endowmen funds 2020 £ 982,935 - - 1,736,525 - - |
14,686,704 17,406,164 Total funds 2020 £ 1,680,857 13,000,876 350,000 1,950,141 510,735 (86,445) Unrestricted funds 2020 £ 697,922 13,000,876 350,000 213,616 510,735 (86,445) |
|---|---|---|
22. Reconciliation of net movement in funds to net cash flow from operating activities
| Net income/expenditure for the year (as per statement of financial activities) Adjustments for: Depreciation charges Gains/(losses) on investments Dividends, interests and rents from investments Decrease/(increase) in debtors Increase/(decrease) in creditors Net cash used in operating activities 23. Analysis of cash and cash equivalents Cash in hand Total cash and cash equivalents |
2021 £ 193,280 (1,480,281) (603,655) 15,894 481 (302,318) 2021 £ 765,940 765,940 |
2020 £ (1,146,209) 196,776 1,139,966 (454,427) (6,858) (11,855) |
|---|---|---|
| (282,607) 2020 £ 490,796 |
||
| 490,796 |
Page 28
The Godinton House Preservation Trust
Notes to the financial statements for the year ended 31 October 2021
24. Analysis of changes in net debt
| Cash at bank and in hand | At 1 November 2020 £ 490,796 490,796 |
Cash flows £ 275,144 275,144 |
At 31 October 2021 £ 765,940 |
|---|---|---|---|
| 765,940 |
25. Pension commitments
The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. The pension charge represents contributions payable by the charity to the fund and amounted to £10,910 (2020: £9,534). Contributions totalling £Nil (2020: £Nil) were payable to the fund at the balance sheet date.
26. Connected charity and related party transactions
The Godinton Charitable Trust (registered charity number 268321)
This charity was settled by the late Alan Wyndham Green on 21 March 1974 for general charitable purposes.
M F Jennings, The Hon J D Leigh-Pemberton and The Hon W G Plumptre were trustees of this charity during the year.
During the year donations totalling £70,400 (2020: £70,400) were received from the Godinton Charitable Trust as described in note 4 and a management charge of £5,500 was levied on The Godinton Charitable Trust.
Mrs Gina Jennings, a trustee, holds a tenancy of the Garden Wing letting apartment in Godinton House on normal market terms and was charged rent (as advised to the charity independently) and charges for services and utilities during the year amounting to £25,763 (2020: £25,518).
During the period the charity has supplied timber to a business in which a trustee, J D Leigh-Pemberton, has an interest. The amount invoiced, £1,260 (2020: £5,184), is in the opinion of the trustees, the amount that would have been charged to an unconnected third party.
Page 29