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2021-05-31-accounts

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee) REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MAY 2021

Registered Charity Commission No: 1009910 Registered with the OSCR No: SC046482 Registered Company No: 2645233

C H A R T E R E D A C C O U N T A N T S

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

INDEX TO THE FINANCIAL STATEMENTS

Officers and professional advisers
Report of the trustees
Independent auditor’s report
Statement of financial activities
Statement of financial position
Statement of cash flows
Notes to the accounts		 Pages
1
2 - 6
7 - 9
10
11
12
13 - 20

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

REPORT OF THE TRUSTEES (incorporating Directors’ Report) for the year ended 31 May 2021

OFFICERS AND PROFESSIONAL ADVISERS

Principal address and registered office Windsor House, Heritage Gate
Sandy Lane West
Littlemore
OXFORD
OX4 6LB
Registered charity commission number 1009910
Registered OSCR number SC046482
Registered company number 2645233
President Cardinal Vincent Nichols
Board of directors Mr. R.E. Hayes (Chair and President’s Representative)
The Hon. Susan Buchan
Mr. S.C. Doyle
Miss J. C. Gough
Mr I.B. Hambleton
Revd G. Hatton
Revd R. Hughes
Mrs J.M. Mellor
Mrs V. Stonier
Mr. J.P.J. Turner
Director/Secretary of the charity Revd P.B. Martin
Bankers National Westminster Bank PLC
249 Banbury Road
Summertown
OXFORD
OX2 7HR
CAF BANK Limited
25 Kings Hill Avenue
Kings Hill
WEST MALLING
ME19 4JQ
Auditors Cocke, Vellacott & Hill
Chartered Accountants
Unit 28 City Business Centre
Lower Road
LONDON SE16 2XB
Investment managers Cazenove Capital Management Limited
12 Moorgate
LONDONEC2R 6DA

Page 1

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

REPORT OF THE TRUSTEES (incorporating Directors’ Report, continued) for the year ended 31 May 2021

The trustees present their twenty ninth report together with the financial statements of the St. Barnabas Society (hereafter referred to as the ’Society’) for the year ended 31 May 2021 which comply with the Charities Act 2011 and the Companies Act 2006, the Charities and Trustees Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006, the requirements of the charitable company’s Memorandum and Articles of Association and the requirements of 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).

Continued Impact of Covid-19

As with other charities, the Society continues to be greatly affected by the pandemic and the lasting effects of the lockdown. Our ability to fundraise within parishes is still suspended although it is hoped that the Director will be able to visit parishes within the next few months. In addition, the planned celebration of St Barnabas’s feast day, which should have happened in May, had to be postponed until October, thereby delaying the start of the Society’s 125th anniversary celebrations.

Structure, governance and management

The Society is a non-trading company, limited by guarantee without share capital, incorporated in England, and is registered with the Charity Commission and the Scottish Charity Regulator. Its affairs are governed by its Memorandum and Articles of Association. Upon winding-up of the company, the liability of every member is limited to £1.

On 1 June 1992 the Society assumed from The Converts’ Aid Society, a charity having the same objectives as the Society, certain assets and all the obligations including those to pensioners. The Converts’ Aid Society continues to hold funds amounting to £1,008 at 31 May 2021.

Organisation

The trustees are responsible for the management of the Society and meet four times a year. They are assisted by the head office staff. Day to day administration of the Society is in the hands of the Director.

President

The President of the Society is Cardinal Vincent Nichols.

Trustees

The trustees (and directors of the company for the purposes of company law) in office during the year were as follows:

Mr. R.E Hayes (Chairman and President’s Representative) The Hon. Susan Buchan Mr. S.C. Doyle Miss J.C. Gough Mr I.B. Hambleton (Deputy Chairman) Revd G. Hatton Revd R. Hughes Mrs J.M. Mellor (appointed 22 April 2021) Mrs V Stonier (appointed 22 April 2021) Mr. J.P.J. Turner

Trustees’ recruitment, induction and training

The Society is always open to the possibilities of new trustees, usually by recommendation of existing trustees, staff, or the wider Church.

The Society provides induction packs to all new trustees. Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.

Page 2

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

REPORT OF THE TRUSTEES (incorporating Directors’ Report, continued) for the year ended 31 May 2021

Structure, governance and management (continued)

Connected Charity

The Converts’ Aid Society is a connected charity that has similar objects and activities as the Society. The employees of the Society administer both charities from the same registered address at Windsor House, Heritage Gate, Sandy Lane West, Littlemore, Oxford, OX4 6LB. Details of transactions between the charities are given in note 12 to the accounts.

Risk Management

The trustees have examined the major strategic, business and operational risks, which the Society faces and confirm that systems have been established to lessen the risks. A list of risks was prepared by the administrative staff and reviews of the risks are carried out each year.

Objectives and activities

The objects and principal activities of the Society, in co-operation with the Catholic Bishops, is to provide support and assistance to former clergy and religious of other denominations and their dependants who have come into the full communion of the Roman Catholic Church, until such time as they have been integrated into the Catholic community and have re-established themselves, for a maximum of five years. In addition to financial support, the Society provides pastoral support to convert clergy and religious and their families.

The Society also seeks to raise the Church awareness and understanding of conversion and converts. This is primarily the work of the Director, who is convert clergy, with support from the Board and the administrative staff.

In shaping our objectives for the year and planning our activities the trustees have considered the Charity Commission’s guidance on public benefit.

Achievements and performance

During the year the Society has made 368 (2020 - 379) net grants totalling £312,149 (2020 - £334,000) to 37 (2020 - 31) individual beneficiaries. Included within net grants, the Society made no (2020 - no) unsecured loans in the year (2020 - £nil) and recovered loans of £215 (2020 - £205), and accommodation for beneficiaries has been provided in the various properties owned by The Society for which rents have been received amounting to £19,032 (2020 - £22,992). The rents charged are below market rates and represent a subsidised rental to seven individuals. The maintenance and the repair of these properties is managed by the administrative staff of the Society.

The Society sends out approximately 5,000 copies of the “St. Barnabas Society News” twice a year to all interested parties to notify everyone what is happening with the Society. With the increasing use of the internet the Trustees considered that potential beneficiaries might look to this medium for information and help. Accordingly, the Society has a website which can be found at www.StBarnabasSociety.org.uk.

Financial review

The net surplus for the year amounted to £963,960 (2020 – outgoings £409,365).

Income included £290,388 (2020 - £207,964) from investment, £28,853 (2020 - £34,324) from interest and rents, £45,535 (2020 - £40,468) from appeals and collections, and £166,659 (2020 - £262,493) from legacies and donations. No amounts were transferred from The Converts’ Aid Society during the year (2020 – £nil).

No properties were sold in the year (2020 - two properties disposed of). In the accounts for the year ended 31 May 2020 £866,951 was released from the Property Revaluation Reserve to the General Fund following completion of these disposals.

The charity expended £603,777 (2020 – £681,889) on charitable activities and £13,559 (2020 - £19,118) on fund raising.

Surplus on investments, realised loss £41,908 and unrealised gain £1,090,591, amounted to £1,048,683 (2020 – deficit on investments, (realised gain £8,837 and unrealised loss of £266,166) amounted to £257,779). The net movement in all funds for the year amounted to an increase of £963,360 (2020 – decrease of £409,365). This includes property write downs of £nil (2020: £nil).

Funds arising in the year transferred to designated funds amounted to £117,407 mainly being the transfer of legacy receipts to the Legacy Reserve (2020 – transferred to designated funds £145,124). Details of the incoming and outgoing resources for the year are shown on in the Statement of Financial Activities on page 10. Fund movements are shown in note 11.

Page 3

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

REPORT OF THE TRUSTEES (incorporating Directors’ Report, continued) for the year ended 31 May 2021

Fixed assets

Movements in fixed assets during the year are shown in notes 7 and 8 to the financial statements. Following the introduction of FRS 102 for Charities, the Society’s freehold properties were revalued by the Trustees at the 31 May 2014 based on advice received from estate agents based in the same areas as the properties. Adjustments to those values were made at 31 May 2015 and 31 May 2016. The result of this is that the value of the properties was increased by £3,804,800 in 2014, an additional £274,649 in 2015 and an additional £85,197 in 2016. With the exception of two investment properties purchased after May 2016 (which are shown at cost), all investment properties had been professionally valued by the year to 31 May 2016, and the trustees consider that these valuations remained appropriate as at 31 May 2021.

The previous revaluation was in April 1997, since then three further programme-related properties were acquired at a cost of £798,962, the latest being a property in Somerset acquired in 2018.

As all the properties are now occupied by beneficiaries at a rent below the normal market rate, the properties have been re-classified as programme related fixed assets.

The gain on revaluation of investments during the year has been included in the funds. At 31 May 2021 the cumulative unrealised gain on investments was £991,493 (2020 – unrealised loss £99,098).

Reserves Policy

The Society cannot predict the level of demand from potential beneficiaries. However, in recent years both the number of applicants and the scale of their individual needs have increased and the prudent and informed judgement of the Board is that, in the medium term, these will continue at the higher level and that the increase in likely to continue.

The Society does not have a permanent endowment or any restricted funds. The Board have reviewed the level of free reserves (that is funds not tied up in fixed assets) the charity will require to sustain its operations over the next five years and conclude that these are no longer adequate in the light of the increasing calls on the Society. The board considers it is essential that the Society increases its income and is actively looking into ways of doing this. Moreover, the Society is subject to forces beyond its control, such as a major increase in the number of converts following decisions made by other denominations and this may require further action by the charity.

Investment Policy and Performance

The Society’s investments are managed on a discretionary basis by Cazenove Capital Management Limited (CCM) and carefully monitored by the Board. After review of the requirements of the Society’s running costs and the needs of beneficiaries of the charity, surplus funds are passed to CCM for investment. The overall policy is to grow the portfolio’s capital and income over a period of time with a growth attitude to risk. No investment restrictions have been placed on CCM. The current benchmark for the investments, which adopts six different categories of investment was agreed with CCM and adopted from 1 December 2014. Quarterly reports are provided by CCM which contain performance against benchmarks. All income arising is returned to the Society’s bank account. Investment income has increased by 39.63% over the previous year following a change in investment strategy. The market value of the fixed asset listed investments at the year end increased by £1,343,594, an increase of 18.9%, to £8,422,302. For the 12 month period to 31 May 2021 the portfolio returned 18% compared with its inflation target of CPI+4% of 6.2% and the FTSE All Share return of 19.4%. (12 month period to 31 May 2020 the portfolio returned minus 0.5% compared with its composite benchmark of 0.1% and the FTSE All Share return of minus 11.2%). In light of current market conditions the Trustees are satisfied with the performance of their investment portfolio.

All investments held by the charity have been acquired in accordance with the powers available to the trustees. The trustees regularly review the portfolio performance and the costs of portfolio management.

Grant Making Policies

The Society exists to provide financial and other help in case of need to former clergy, ministers, religious or paid lay workers of non Catholic Churches, who have been received into the Catholic Church, and to their families. It is primarily concerned with those who live in the areas of the Bishops’ Conferences of England & Wales, Scotland and Ireland. It aims to give support to individuals until they have either become financially self-sufficient, or have been incardinated (by ordination to the diaconate) in any diocese or equivalent or taken religious vows in any religious order. Further, the Board considers that there will be an increasing call on its

Page 4

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

REPORT OF THE TRUSTEES (incorporating Directors’ Report, continued) for the year ended 31 May 2021

Grant Making Policies (continued)

resources as converts, who have not been ordained, find in retirement that, as a result of their conversion, they are in financial hardship.

Applications for grants are either received directly from applicants who are aware of the Society’s activities or result from the intervention of other members of the Catholic Church. Each convert’s application for help is assessed individually on its merits with full information about the applicant’s needs, liabilities, income and assets. In each case the Board determines the level of grant, which, in its absolute discretion, it considers to be proper and appropriate. The amount of any grant proposed may be amended should the beneficiary’s circumstances alter.

Moving Forward

The Society’s research project is almost complete. This is led by Professor Stephen Bullivant of St Mary’s University, Twickenham, and in scheduled to report in early 2022.

The Society began celebrating its 125th year in October 2021, with a Mass at Westminster Cathedral in October, celebrated by our President, Cardinal Nichols. A pamphlet and posters will be widely distributed in parishes and amongst supporters and others to further publicise the work of the Society.

The Society continues to receive new enquiries, many of whom are likely to become beneficiaries. The Society believes this is directly due to the impact of the canonisation of St John Henry Newman. The need for the Society is as great as ever, as is demonstrated by its support for a particular group of beneficiaries, Sisters of the Blessed Virgin Mary, eight nuns from Wantage who are currently living in Kingstanding near Birmingham. It is hoped that a move to Prinknash Abbey can be facilitated for them.

Trustees’ responsibilities for the financial statements

The trustees (referred to as trustees but who are also directors of the society for the purposes of company law) 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). Company law requires the trustees to prepare financial statements for each financial year that give a true and fair view of the state of affairs of the company and of the surplus or deficit of the company for that period. In preparing those financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the company and to 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 taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom generally the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Page 5

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

REPORT OF THE TRUSTEES (incorporating Directors’ Report, continued) for the year ended 31 May 2021

Disclosure of information to auditors

As far as the trustees are aware, there is no relevant audit information of which the company’s auditors are unaware. Each of the directors has taken all the steps that he/she ought to have taken as a trustee in order to make himself/herself aware of any relevant audit information and to establish that the company’s auditors are aware of that information.

Public Benefit

The trustees have complied with the duty in Section 4 of the Charities Act 2006 to have regard to the public benefit guidance published by the charity commission, including the guidance ‘Public Benefit: Running A Charity’ (PB2).

The Society exists for public benefit by the relief of poverty and the advancement of religion by helping financially and pastorally those who have been received into the Roman Catholic Church and who were previously clergy, ministers or religious of other Christian Churches.

Auditors

The auditors Messrs. Cocke, Vellacott & Hill have indicated their willingness to continue in office and will be proposed for reappointment in accordance with the Companies Act 2006.

Signed on behalf of the Board of Directors on 26 January 2022 by

R.E. Hayes

Director

Page 6

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

TO THE MEMBERS OF THE ST BARNABAS SOCIETY

INDEPENDENT AUDITORS’ REPORT

Opinion

We have audited the financial statements of The St. Barnabas Society for the year ended 31 May 2021 which comprise the statement of financial activities, summary income & expenditure, statement of financial position, statement of cash flows and notes to the financial statements including a summary of significant accounting policies. The financial framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”.

In our opinion the financial statements:

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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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. 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.

Page 7

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

TO THE MEMBERS OF THE ST BARNABAS SOCIETY (continued)

INDEPENDENT AUDITORS’ REPORT

Opinions on other matters prescribed by the Companies Act 2006

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

Other matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report, included within the Trustees’ Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities and Trustee Investment (Scotland) Act 2005 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 5 the trustees (who are also directors of the charitable company for the purposes of company law) are responsible for the preparation of 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 trustees are responsible for assessing the charitable company’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 charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with the Acts and relevant regulations made or having effect thereunder. This report is made solely to the Charitable Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the Charitable Company’s Trustees, as a body, in accordance with the Charities and Trustee Investment (Scotland) Act 2005. Our audit work has been undertaken so that we might state to the Charitable Company’s members and Trustees those matters we are required to state to them in an auditor’s 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 Charitable Company, the Charitable Company’s members as a body and the Charitable Company’s Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

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.

We have obtained an understanding of the charitable company’s policies and procedures through discussions with senior management and trustees.

We also drew on our existing understanding of the work that the charitable company does and the sector that it operates in.

We understand that the charitable company complies with its responsibilities through close involvement of senior management and trustees in the day to day running of the business. Were there any litigation or claims they would come to the attention of the senior management directly.

Page 8

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

TO THE MEMBERS OF THE ST BARNABAS SOCIETY (continued)

INDEPENDENT AUDITORS’ REPORT

The charitable company also holds regular board meetings at which all such matters are discussed if applicable. We have reviewed the minutes of all board meetings and no irregularities were identified. We attended three board meetings (out of five) as observers. Key management information is circulated monthly to all trustees and senior management and discussed in detail at board meetings.

In the context of the audit, we considered those laws and regulations which determine the form and content of the financial statements, which are central to the charitable company’s ability to conduct business and where failure to comply could result in material penalties.

We have considered the disclosure requirements of the Companies Act 2006 and the Charities SORP 2019 as part of our finalisation processes.

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 auditor’s report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

KYRIACOS PANAYI (Senior Statutory Auditor)

For and on behalf of COCKE, VELLACOTT & HILL Chartered Accountants and Statutory Auditor Unit 28 City Business Centre Lower Road LONDON SE16 2XB

26 January 2022

Page 9

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

STATEMENT OF FINANCIAL ACTIVITIES (incorporating Income and Expenditure Account) for the year ended 31 May 2021

Notes
Income from:
Charitable Activities: rental income
Donations & legacies
6
Investments
Other:
Funds transferred from connected charity
12
Interest receivable
Rents
Events
Realised gain on sale of property
Total
3(b)
Expenditure on
Costs of raising funds4
Expenditure on charitable activities4
Total resources expended
4
Net gains/(losses) on investment assets
Net income/(expenditure) for the year
Transfers between funds
11
Other recognised gains and losses
Gains/(losses) on revaluation of properties
7,11
Net movement in funds
Total funds brought forward
11
Total funds carried forward
11		 General
fund
£
19,032
212,194
290,388

-
119
9,702
848
-
532,283
(13,559)
(603,777)
(617,336)
-
(85,053)

(117,407)
(202,460)
-
(202,460)
3,347,754
3,145,294		 Designated
funds
£
-
-
-
-
-
-
-
-
-
-
-
-
1,048,683
1,048,683
117,407

1,166,090
-
1,166,090
8,689,943
9,856,033		 Total
2021
£
19,032
212,194
290,388
-
119
9,702
848
-
532,283
(13,559)
(603,777)
(617,336)
1,048,683
963,630
-

963,630
-

963,630
12,037,697
13,001,327		 Total
2020
£
22,992
302,961
207,964
-
1,630
9,702
4,172
-
549,421
(19,118)
(681,889)
(701,007)

(257,779)
(409,365)

-
(409,365)
-
(409,365)
12,447,065
12,037,697

All of the operations undertaken by the charitable company during the current and preceding year are continuing operations. The charitable company has no recognised gains and losses other than those included in the results above.

The notes on pages 13 to 20 form part of these financial statements

Page 10

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

STATEMENT OF FINANCIAL POSITION as at 31 May 2021

Notes
Fixed assets:
Tangible Fixed Assets
7
Programme Related Fixed Assets
7
Investments
Investments
8
Programme Related Investments
8
Total fixed assets

Current assets:
Properties awaiting disposal
7
Debtors
9
Cash at bank and in hand
Total current assets
Liabilities:
Creditors:Amount falling due
within one year
10
Net current assets (liabilities)
Total net assets
The funds of the charity:
Unrestricted funds:
Designated funds
Capital fund
11
Property revaluation reserve
11
Investment reserve
11
Legacy fund
11
General fund
11
Total unrestricted funds
Total charity funds
11		 2021
£
593,043
3,656,397
8,503,329
17,135
12,769,904
85,963
81,712
83,726
251,401
(19,978)
231,423
13,001,327
2,765,318
2,789,218

991,493
3,310,004

9,856,033
3,145,294
13,001,327
13,001,327		 2020
£
596,533
3,742,360
7,550,066
20,735
11,909,694
-
14,468
134,664
149,132
(21,129)
128,003
12,037,697
2,765,318
2,789,218
(99,098)
3,234,505
8,689,943
3,347,754
12,037,697
12,037,697

The financial statements were approved by the Board of Directors on 26 January 2022 and signed on their behalf by:

R.E. Hayes (Trustee)

I.B. Hambleton (Trustee)

Registered Company Number: 2645233

The notes on pages 13 to 20 form part of these financial statements

Page 11

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

STATEMENT OF CASH FLOWS

for the year ended 31 May 2021

Notes
Cash flows from operating activities:
Net income/(expenditure) for year
Adjustments for:
Depreciation
7
(Gains)/losses on sale of fixed asset investments

(Gains)/losses on sale of fixed assets
Dividends received
Interest
Rents
(Increase)/decrease in debtors9
Increase/(decrease) in creditors
10
Net cash from operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
7
Proceeds from sale of fixed assets
Receipts from programme related assets
Purchase of fixed asset investments

Proceeds from sales of fixed asset investments
Dividends
Interest
Rents
Net cash provided by (used in) investing activities
Change of cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period		 2021
£
963,630
4,488
(1,017,618)
0
(290,388)
(119)
(28,734)
(67,244)
(1,151)
(437,136)
(998)
0
3,600
(7,501,322)
7,565,677
290,388
119
28,734
386,198
(50,938)
134,664
83,726		 2020
£
(409,365)
8,353
257,779
0
(207,964)
(1,630)
(32,694)
(4,528)
(3,790)
(393,839)
(438)
1,279,798
3,600
(2,065,467)
970,177
207,964
1,630
32,694
429,978
36,119
98,545
134,664

The notes on pages 13 to 20 form part of these financial statements

Page 12

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS

for the year ended 31 May 2021

1. General information

The St. Barnabas Society (hereafter referred to as ‘the Society’) is a charitable company limited by guarantee, incorporated and domiciled in England. The registered office is Windsor House, Heritage Gate, East Point Business Park, Sandy Lane West, Oxford, OX4 6LB. The principal activity of the Society in co-operation with the Catholic Bishops, is to provide support and assistance to former clergy and religious of other denominations and their dependants who have come into the full communion of the Roman Catholic Church, until such time as they have been integrated into the Catholic community and have re-established themselves. In addition to financial support, the Society provides pastoral support to convert clergy and religious and their families.

2. Statement of compliance

These financial statements have been prepared in compliance with the 2019 Charities SORP (FRS 102).

3. Principal accounting policies

The financial statements of the charitable company are prepared in accordance with 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 United Kingdom and Republic of Ireland (FRS 102) (effective 1 January 2015) – Charities SORP (FRS 102), the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102), other than set out below.

The Society meets the definition of a public benefit entity under FRS 102. Assets and liabilities are recognised at historical cost or transaction value unless otherwise stated in relevant accounting policy notes.

The financial statements reflect the assumption of assets and obligations from the Converts’ Aid Society, as explained in the Report of the Trustees.

With the exception of voluntary income, which is included in the statement of financial activities when received, all income is credited to the statement of financial activities when it becomes receivable. Legacies are regarded as permanent accretions to the capital of the company and the income there from, having first been credited to the statement of financial activities is transferred to the credit of the legacy fund account on the Statement of financial position. Legacies are regarded as receivable when there is sufficient evidence to provide the necessary certainty that the legacy will be received and the value of the incoming resources can be measured with sufficient reliability.

Liabilities, including attributable VAT, are recognised as soon as there is a legal or constructive obligation committing the charity to the expenditure. Expenditure is included in the statement of financial activities on an accruals basis. Expenditure incurred on activities falling directly within one cost category is attributed to that category. Expenditure, which involves more than one cost category, is apportioned on a reasonable, justifiable and consistent basis to the cost categories involved.

Fund raising income is generated from voluntary contributions received as a result of donors’ knowledge of the company enhanced by special appeals.

The greater part of the emoluments of regional organisers are treated as costs of generating funds and the remainder as expenditure for charitable/pastoral purposes where their work entails visiting beneficiaries and prospective beneficiaries of the company.

This includes the making of grants and loans and the expenses involved in making those grants and loans. It also includes the expenses of the upkeep of the premises which are rented out to beneficiaries of the Society and an apportionment of the regional organisers’ emoluments as mentioned above.

Grants payable are those grants that have been recognised as payable or for which a moral obligation to pay the grant exists. Loans to beneficiaries which are not secured by a first charge on the recipient's assets and where there is therefore some uncertainty as to whether or not they will be repaid are charged to the statement of financial activities when they are recognised as payable and for which a moral obligation to pay the loan exists. Any amounts of unsecured loans which are repaid are set against the payments in the year they are received.

Page 13

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS (continued) for the year ended 31 May 2021

3. Principal accounting policies (continued)

Governance costs comprise all costs involving the public accountability of the Society and its compliance with regulations and good practice. These costs include costs related to the statutory audit and an apportionment of overhead support costs.

The charitable company previously adopted the transitional provisions of FRS 15 and the freehold property was carried at the 1997 valuation with subsequent additions carried at cost.

The freehold properties are now stated at market value. Gains and losses on the disposal of properties are taken into the income and expenditure account and the statement of financial activities. Unrealised gains and losses are taken to the statement of financial activities, from where they are transferred to the property revaluation reserve.

The majority of properties are occupied by beneficiaries, maintained to acceptable standards and recorded as programme-related assets.

Additions to computer equipment, furniture, fixtures and fittings are capitalised where material and depreciated over their useful lives.

Depreciation is provided at the following rates:

Furniture, fixtures and fittings - 15% per annum (reducing balance)/50% straight line Computer equipment - 25% per annum (on cost)

Investments are included in the financial statements at their market values. For listed investments, market value is based on the closing middle market price on a recognised stock exchange. Gains and losses on disposals of investments are taken to the income and expenditure account and the statement of financial activities. Unrealised gains and losses go through the statement of financial activities from where they are transferred to the investment reserve. Investment income has been taken into account on the basis of the due date of payment.

Programme related investments

These include loans to beneficiaries in accordance with the objectives of the charity. The loans secured by a first charge on a recipient’s assets are expected to be recovered in due course. In the event that the loan or part of the loan becomes non-repayable it will be written off in the statement of financial activities.

The company is a charity and does not carry out any trading activities. It is therefore considered that the company is not liable to taxation on its activities.

The capital fund represents the net amount of the tangible fixed assets, investments and bank balance transferred from the Converts’ Aid Society on 1 June 1992 together with subsequent transfers of monies and net income received on behalf of the Society.

The property revaluation reserve represents the difference in value between the historic cost of the properties and their market value.

The investment reserve represents unrealised gains on the listed securities as a result of their market values being higher than their cost.

The legacy fund represents legacies received by the company since its inception.

The general fund represents the net surplus made by the company during its operations.

The Society makes contributions towards the appropriate Scottish Widows personal pension scheme on behalf of the employees. Contributions are charged to the income and expenditure account in the year in which they are payable. In addition the company pays ex-gratia pensions to certain former staff.

Page 14

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS (continued) for the year ended 31 May 2021

4. Analysis of expenditure on charitable activities

Analysis of expenditure on charitable activities
Basis
Costs of
of
generating
Allocation
funds
Costs directly allocated to activities
£
Annual report & meeting/event
Direct
-
Auditor's remuneration:
Audit Fees
Direct
-
Accountancy Fees
Direct
-
Grants and unsecured loans
to beneficiaries (see below)
Direct
-
Legal & professional fees
Direct
-
Pensions to former employees (note 5) Direct
-
Property repairs and maintenance
Direct
-
Rates, insurance and utilities
Direct
-
Staff costs
(see note 5)
Staff Time
5,670
Travel costs
Direct
225
Research project
Direct
-
Total Direct Costs
5,895
Support Costs Allocated to activities
Advertising
Transactions
5,442
Investment managers fees
Transactions
-
Bank Charges
Transactions
-
General office costs -
including equipment
Usage
937
Communications
Usage
592
Depreciation and losses on
tangible fixed assets
Usage
538
Staff costs (see note 5)
Staff Time
-
Printing and publications
Transactions
155
Property repairs and maintenance
Transactions
-
Rates, insurance and utilities
Transactions
-
7,664
Total Resources Expended
13,559		 Charitable
Activities
£
-
6,336
2,496
312,364
8,448
22,371
5,711
5,479
45,249
700
32,361
441,515
2,803
10,350
1,061
2,813
1,776
3,950
82,684
175
3,555
53,095
162,262
603,777		 Total
2021
£
-
6,336
2,496
312,364
8,448
22,371
5,711
5,479
50,919
925
32,361









Total
2020
£
15,674
7,920
3,180
334,000
5,949
22,371
5,447
4,576
52,046
6,244
35,246
492,693
12,367
33,117
1,137
5,968
3,128
8,353
88,678
439
4,330
50,797
208,314
701,007
447,410
8,245
10,350
1,061
3,750
2,368
4,488
82,684
330
3,555
53,095
169,926
617,336

Included within charitable activities is £10,845 (2020: £13,460) relating to Governance Costs.

In common with many other charitable companies of our size and nature we use our auditors to assist in the preparation of the financial statements.

Grants and unsecured loans paid to individuals
Grants paid

Unsecured loans paid
Recoveries of unsecured loans		 2021
£
No. of
beneficiaries
312,364
37
-
-
(215)
2

312,149
 2020
£
No. of
beneficiaries
334,205
31
-
-
(205)
2
334,000

Page 15

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS (continued) for the year ended 31 May 2021

5. Particulars of employees
The average number of employees analysed by function was:
Charitable/Pastoral
Fundraising
Management, administration and household
Their total remuneration including benefits in kind of
£nil (2020 - £1,621) was:
Salaries
Social security costs
Pension costs
Pensions to former employees		 2021
No.
1
-
2

3

2021
£
114,640

8,191
10,772
133,603
22,371		 2020
No.
1
-
2
3
2020
£
119,829
9,953
10,942

140,724
22,371

All current employees are considered to be senior management. No employee earned more than £60,000 per annum.

No trustee received any remuneration for their services; no trustees (2020 - 3) claimed for expenses, which were incurred on charitable company matters as follows:

Travelling expenses
6. Donations and legacies
Donations
Appeals and collections
Legacies

Page 16

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS (continued) for the year ended 31 May 2021

7.
Tangible fixed assets
Cost or valuation
At 1 June 2020
Additions at cost
Transferred to current assets
Disposals
Revaluation of freehold properties
At 31 May 2021
Accumulated depreciation
At 1 June 2020
Charge for year
Disposals
At 31 May 2021
Net book value 31 May 2021
Net book value 31 May 2020
Cost of assets 31 May 2021		 Freehold
Properties
£
582,031
-
-
-
-
582,031
-
-
-
-
582,031
582,031
582,031		 Programme
Related
Freehold
Properties
£
3,742,360
-
(85,963)
-
-
3,656,397
-
-
-
-
3,656,397
3742,360
867,179



Motor
Vehicles
£
-
-
-
-
-
-
-
-
-
-
-
-
-		 Computer
Equipment
£
8,985
998
-
-
-
9,983
8,382
382
-
8,764
1,219
603
8,985		 Furniture
Fixtures &
Fittings
£
30,353
-
-
-
-
30,353
16,454
4,106
-
20,560
9,793
13,899
30,353		 Total
£
4,363,729
998
(85,963)
-
-
4,278,764
24,836
4,488
-
29,324
4,249,440
4,338,893
1,488,548

Following the introduction of FRS 102 all the properties were valued by the Trustees, with advice from local estate agents at 31 May 2014 on a fair value basis and these values have since been reviewed annually. All properties with the exception of the Presbytery are occupied by beneficiaries or in one case a tenant and as such they are used for charitable purposes. They are recorded above as Programme-Related Freehold Properties. In September 2021 the Chair and Deputy Chair considered all property values in light of the Covid-19 pandemic and whilst noting that there had been some short term changes in property valuations concluded that the Society’s property values were unchanged as at 31 May 2021.

.

Page 17

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS (continued)

for the year ended 31 May 2021

8.
Fixed asset investments
2021
Market value
£
Investments listed on the UK Stock Exchange
At 1 June
7,078,708
Additions during the year
7,501,322

Disposals during the year

(7,175,346)

Unrealised gains/ (losses)
1,017,618
At 31 May
8,422,302
Cash investments and cash awaiting investment
81,027
Market value at 31 May
8,503,329
Historic cost at 31 May

Analysed as follows, 2021 - indicative figures within multi-asset fund:
Investment assets in the UK
2,633,278
Investment assets outside the UK
5,789,024
Cash investments in the UK
81,027
8,503,329		 2021
Cost
£
7,178,806
7,501,322
(7,249,319)
-
7,430,809
81,027
7,511,836		 2020
Market value
£
6,447,455
1,839,075
(941,656)
(266,166)
7,078,708
471,358
7,550,066


4,579,537
2,499,171
471,358

7,550,066		 2020
Cost
£
6,260,950
1,839,075
(922,219)

-
7,178,806

471,358
7,649,164

There is one investment with Cazenove, being 15,224,697.06 units in their SUTL Cazenove Charity Responsible multi-asset fund. This is a material investment.

Investments are shown in the accounts at their market value at the year end date and the gain on revaluation has been included in funds. At 31 May 2021 the investment reserve was £991,493 (2020 – (£71,274)) as below:

Reconciliation of movements in unrealised
gains/ (losses) on investment assets:
Unrealised gains/ (losses) arising on revaluation
brought forward at 1st June
Addition/(Deduction) in respect of disposals
Add net gains/ (losses) arising on revaluation in the year
Transfer to general fund
Unrealised gains/ (losses) arising on revaluation at 31 May		 2021
£
(99,098)
72,973
(26,125)
1,017,618
-
991,493		 2020
£
186,505
8,387
194,892
(266,166)
(27,824)
(99,098)

Page 18

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS (continued)

for the year ended 31 May 2021

8.
Fixed asset investments(continued)
Programme Related Investment
Loans to beneficiaries in accordance with the objectives of the charity
balance brought forward
Loans made during the year
Less:repayments received
The loans are interest free.
9.
Debtors
Tax refunds due
Other debtors
Prepayments and accrued income
10.
Creditors:Amounts falling due within one year
Social security and other taxes
Accruals and deferred income
11.
Total Funds
Balance
Incoming
1st June
resources
2020
and gains
Unrestricted funds
£
£
Designated funds:
Capital fund (a)
2,765,318
-
Property revaluation reserve (b)
2,789,218
-
Investment reserve (c)
(99,098)
1,048,683
Legacy fund (d)
3,234,505
-
8,689,943
1,048,683
General fund (e)
3,347,754
532,283
Total unrestricted funds
12,037,697
1,580,966		 Resources
expended
and losses
£
-
-
-
-
-
(617,336)
(617,336)

Page 19

THE ST. BARNABAS SOCIETY (A Company Limited by Guarantee)

NOTES TO THE ACCOUNTS (continued) for the year ended 31 May 2021

11. Total Funds (continued)

Total Funds(continued)
Represented by:
Fixed assets
Net current assets		 Unrestricted
Funds
£

12,855,867
145,460
13,001,327

The capital fund represents the net amount of the tangible fixed assets, investments and bank balance transferred from The Converts’ Aid Society on 1 June 1992 together with subsequent transfers of monies and net income received on behalf of the Society. Its purpose is to provide the necessary capital for the purchase of tangible fixed assets and investments.

12 . Connected charity and related party transactions

On 1 June 1992 the company assumed from The Converts’ Aid Society, certain of the assets and all the obligations including those to pensioners. During the year The Converts’ Aid Society transferred nil (2020: £4,000) which was reported as a receipt from a connected charity but paid £420 on their behalf for operational reasons during the Covid-19 lockdown which is in Other Debtors. The balance owed at the year end by the Convert’s Aid Society was £420 (2020: nil). The Converts’ Aid Society continues to hold funds amounting to £1,008 at 31 May 2021 (2020 - £1,734). At the year-end there were no balances with the connected charity. The Converts’ Aid Society has similar objects and activities as the company. The trustees form the Executive Committee of the Converts’ Aid Society. Employees of the Society administer both charities. There were no other related party transactions to disclose.

13. Operating Lease Commitments

At the year end the Society had total outstanding commitments under operating leases amounting to:

2021 2020 £ £ Amounts falling due within one year 4,556 8,664 - Amounts falling due between 1-5 years 4,556 Total 4,556 13,220

Page 20