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2021-09-30-accounts

The Kepplewray Trust

Trustees’ report and consolidated financial statements Registered charity number 1015762 30 September 2021

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Contents

Reference and administrative details 3
Trustees’ report 4 - 8
Independent Examiner's Report 9
Consolidated statement of financial activities 10
Trust statement of financial activities 11
Balance sheet 12
Notes to the financial statements 13 - 28

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Reference and administrative details

Registered charity number 1015762 Chairman Revd JR Libby Trustees Revd JR Libby ME Browne MG Libby S Bevan C Armstrong Centre Manager Mr Neil Addington Registered Address The Kepplewray Centre Kepplewray Hill Broughton-in-Furness Cumbria LA20 6HE Solicitors Burnetts, Carlisle Bankers Barclays Bank Plc, Kendal, Cumbria Registered accountants MHA Moore and Smalley, Kendal

3

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Trustees’ report

The Trustees present their report and the financial statements of the Trust for the year ended 30 September 2021. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements of the Trust.

The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the Trust’s governing document, the Charities Act 2011 and 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 published in October 2019.

Reference and Administrative Information

The Causeway Trust was created by a Declaration of Trust dated 24 September 1992 and was registered as a charity on 16 December 1992. By a deed dated 1 October 1994 the Trust’s name was changed to The Kepplewray Trust. The charity is registered with the Charity Commission under charity number 1015762. The Trustees, executive officers and principal addresses of the Charity, together with its professional advisers, are given on page 3.

Objects, aims, objectives and activities

Charitable Objective

The main objective of the Trust is the advancement of the education and awareness of individuals and groups of disabled and non-disabled people through residential and day programmes of adventure, learning, challenge and relaxation in a fully accessible and inclusive Christian environment. Through its trading company, Kepplewray Limited, a large mansion (‘Kepplewray’) in the Lake District was acquired which, after substantial renovation, enables the Trust to meet its charitable objective. Programmes at Kepplewray stretch mental and physical capabilities and deliberately promote the inclusion of disabled and disadvantaged people so that their conditions of life might be improved.

The Trustees have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities.

Achievement and performance

Due to the continued COVID 19 global pandemic, the financial year 2020/2021 proved to be an extremely challenging year. Although the first national lockdown had been lifted during the previous financial year, confidence in booking residential or day activity experiences remained very low as two further national lockdowns followed in November 2020 and January 2021. For the part-year that the Centre was open, 73 groups were able to visit compared to 38 the previous year, undertaking mostly non-residential visits. With the majority of our traditional markets such as schools unable to make plans until at least mid-May, we relied on a large number of new, smaller groups supported by our Participation Inclusion Fund (below) to generate income for the Centre.

The Participation Inclusion Fund, launched in October 2020 and supported by intensive fund-raising has transformed our engagement with community and charity-based groups supporting less advantaged young people since the advent of the pandemic. The Fund has also proved to be a lifeline for dozens of these groups, as well as many low-income families, in providing over 1,700 highly subsidised places for vital activity-based visits, with most coming here for their first time. Reflecting on this, the High Sheriff of Cumbria noted when he met several groups to benefit from the Fund that, ‘the many wonderful and transformative experiences we heard from groups of disadvantaged young people visiting Kepplewray during COVID was wonderful. Raising funds to be able to offer these fantastic subsidies to so many young lives this year is one of a small number of great things to come out of COVID.’

Continued…………………………………..

4

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Trustees’ report (continued)

Achievement and performance (continued)

Kepplewray continued to take advantage of the support available from the government through grants, furlough arrangements and loans and also through the generosity of donors which along with the decision to furlough most of the staff team allowed the Centre to survive until the end of this financial year and beyond.

We continued to build important relationships and partnerships with organisations reaching beyond the locality, such as the Universities and Colleges Christian Fellowship (UCCF), the Church Pastoral Aid Society (CPAS), the Lake District National Park (LDNP), The Outdoor Partnership, and Active Cumbria. We have also gained the interest and public endorsement of local MPs.

Despite the difficulties in attracting guests during the pandemic, we have continued to maintain and develop the building with the replacement of the hot water system and repairs to the plumbing, made possible by welcome external grants. This is in addition to internal decoration and maintenance such as additional damp-proofing.

Our thanks are also due to all of those who have made this continued momentum possible. To the staff team in particular, but also to my fellow trustees, to our donors, to our returning user groups, to our essential prayerful supporters and to the Broughton-in-Furness community. The combined efforts of all of these groups have enabled our inclusive journey to continue and to evolve even through a period of great uncertainty and vulnerability.

Burundi Link – The Bethesda Project

Kepplewray has continued to raise funds, provide training and technical support to the Bethesda Project in Burundi. It is part of the outreach work of the Anglican Diocese of Muyinga and focuses on helping the sick, poor, disabled and outcasts in Muyinga and surrounding villages.

Disability is not well understood in the region, and children with any sort of problem are typically denied education. Bethesda intervenes in many cases by educating families, facilitating / providing medical appointments / medication and aids such as prosthetics and wheelchairs. It also seeks to ensure a means of making a living for those who have none and who are often shunned as a result of their problems. It is a privilege to be involved in this ministry.

During this Covid year the role of the Bethesda Project has been even more important in this impoverished nation. The 4x4 vehicle used by the project became unsafe so a campaign was launched in UK to raise funds for a replacement. We are delighted to say that the £20,000 target was achieved and a vehicle has now been purchased in Burundi.

Management Development

In line with good practice, and very much as part of the work of the Development Team, we continue to develop our internal systems, support our staff, implement, review and amend our policies in order to deliver the best possible service to our guests.

Thanks

Donations and grants are vital to the development of the Centre. We are very grateful to all of our supporters and donors.

Financial review and results for the year

The Trust’s year end is 30 September, and the accounts are independently examined annually. The consolidated results are shown in the unaudited accounts attached to this report.

Investment Policy

The Trustees do not envisage the Trust holding investments in the foreseeable future apart from shares in its trading subsidiary. Any shares donated to the group will be sold as soon as they are fully listed.

Continued…………………………………..

5

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Trustees’ report (continued)

Reserves Policy

The groups available reserves at 30 September 2021 are in deficit by £708,435 (2020: £727,708) (Charity reserves in deficit by £68,324 (2020: £83,170). Of this amount £696,404 (2020: £706,370) represents long term loan liabilities (Charity £239,140 (2020: £239,140)) which are not due for repayment until more than 12 months from the balance sheet date. After allowing for the above the Groups short term free reserve deficit amounts to £12,041 (2020: £21,338) (Charity reserves are positive by £27,300 (2020: in deficit by £36,818). The trustees aim to return the Group deficit to a positive position by a satisfactory conclusion to the negotiations which are taking place which are detailed in note 1 on Going Concern.

Future Development

Work on our five-year Strategic Plan is in abeyance while we consider the short, medium and long-term impact of Covid-19. This has put fresh impetus into applying for grant assistance to replace loss of residential and activity income, and negotiating payment holidays on loans as well as reducing every other expenditure category to the lowest feasible level. Our Strategic Director has refocused our marketing on the Participation Inclusion Fund (above), where generous support from grant making trusts enables us to offer significant bursaries to many hundreds of disadvantaged and disabled members of mixed ability groups. This is generating interest in day activities and creating relationships which will be interested in residential experiences once the COVID pandemic is controlled or government advice more consistent.

The most significant development is the long-anticipated partnership with another Christian trust (as detailed in Note 1, Going Concern, below). Over the coming years, the beneficial impact of low interest funding leading to a 'sale and lease back' arrangement, will lower our operating costs, enable significant investment in the premises and secure Kepplewray Trust’s work and future.

Structure, governance and management

Governing Document

The charity is governed by its Trust deed dating from 1992. The Trustees are granted wide powers of investment and of application of Trust funds towards the charitable objects of the Trust except that they may not undertake permanent trading activities in raising funds to achieve its objects.

Governing body

The charity is governed by its trustees, of whom there are currently five. They are responsible for the administration of the objects of the Trust, having overall control and holding the legal, financial and management responsibility of the charity. They meet at least quarterly, but also receive regular reports from the Management Group.

Recruitment, appointment, induction and training of new Trustees

Potential new trustees are approached by the Chairman on the basis of eligibility, availability, expertise and personal competence. They are normally invited to join the Kepplewray Management Group before being invited to become a trustee. On the group, they are introduced to all of the workings of the Charity. As trustees, they receive copies of Charity Commission newsletters and are informed of training courses that may be suitable for them.

Group structure and relationships

On 1 January 1995 the Trust signed a 99 year lease agreement with Kepplewray Limited, which is wholly owned by the Trust, to secure the exclusive use of the property at Kepplewray and enable the Trust to further its charitable objectives. The results of Kepplewray Limited are shown in note 15 to the financial statements.

Risk Management

The Trustees have identified the major risks to which the charity is exposed. Those risks have been reviewed and systems established to mitigate them. In keeping under review the Trust’s activities, Trustees are mindful of the potential for any changes to the present range of risks, especially those concerning the arrival of Covid-19 and will adjust systems when and where required.

6

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Trustees’ report (continued)

Statement of trustees' responsibilities

The trustees are responsible for preparing the Trustees’ Annual 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/Northern Ireland 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 the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that 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.

The Reverend J R Libby 13/06/2022

Chairman of the Trustees Date ………………………………………………

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The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Independent Examiner's Report to the Trustees of the Kepplewray Trust

I report to the charity trustees on my examination of the accounts of the charity (the ‘parent charity’) and its subsidiary (the ‘group’) for the year ended 30 September 2021 which are set out on pages 10 to 28.

Responsibilities and basis of report

As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity’s accounts (both parent and group) carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the Act. I confirm that I am qualified to undertake the examination because I am a member of the Association of Chartered Certified Accountants, which is one of the listed bodies.

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of the charity as required by section 130 of the Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Colin Johnson FCCA MHA Moore & Smalley

Chartered Accountants Kendal House Murley Moss Business Village Oxenholme Road Kendal. Cumbria. LA9 7RL

13/06/2022

Date …………………………………….…

8

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Consolidated statement of financial activities for the year ended 30 September 2021

for the year ended 30 September 2021
Notes 2021 2020
Restricted Unrestricted Total Total
funds funds
Income and endowments from: £ £ £ £
Donations and legacies 2 42,164 26,882 69,046 105,853
Charitable activities:
Grants received 3 80,600 83,182 163,782 84,390
Accommodation and activities income - 181,002 181,002 136,244
Other trading activities - 729 729 915
Other - 645 645
 3,078
Total income and endowments 122,764 292,440 415,204
 330,480
Expenditure
Raising funds:
Fundraising trading - 677 677 836
Fundraising costs - 32,770 32,770 30,620
Charitable activities
Provision of accommodation and activities 41,451 257,187 298,638 269,901
Other - 25,120 25,120
 15,024
Total expenditure 4 41,451 315,754 357,205
 316,381
Net income/ (expenditure) 81,313 (23,314) 57,999 14,099
Transfers between funds 14 (41,265) 41,265 - -
Tax on activities - (2,617) (2,617)
 (2,642)
Net movement in funds 40,048 15,334 55,382 11,457
Reconciliation of funds:
Fund balance brought forward 14 40,013 24,369 64,382
 52,925
Fund balance carried forward 13,14 80,061 39,703 119,764 64,382

9

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Trust statement of financial activities for the year ended 30 September 2021

for the year ended 30 September 2021
Notes 2021 2020
Restricted Unrestricted Total Total
funds funds
£ £ £ £
Income and endowments from:
Donations and legacies 2 42,164 26,882 69,046 105,853
Charitable activities:
Grants received 3 80,600 56,682 137,282 59,390
Accommodation and activities income - 181,002 181,002 136,244
Other - 5,452 5,452
 7,887
Total income and endowments 122,764 270,018 392,782
 309,374
Expenditure
Raising funds:
Fundraising costs - 12,561 12,561 15,282
Advertising & Marketing - 20,209 20,209 15,338
Charitable activities:
Provision of accommodation and activities 41,451 235,331 276,782 260,394
Other - 29,385 29,385
 15,024
Total expenditure 4 41,451 297,486 338,937
 306,038
Unrealised loss on investment 9 - - - (17,000)
Net income/ (expenditure) 81,313 (27,468) 53,845 (13,664)
Transfers between funds 14 (41,265) 41,265 -
 -
Net movement in funds 40,048 13,797 53,845 (13,664)
Reconciliation of funds:
Fund balance brought forward 40,013 24,797 64,810
 78,474
Fund balance carried forward 80,061 38,594 118,655 64,810

10

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Balance sheet at 30 September 2021

Note
Fixed assets
Tangible assets
8
Investments
9
Current assets
Stocks
Debtors: amounts falling due within one
year
10
Debtors: amounts falling due after more
than one year
10
Cash at bank and in hand
Creditors:amounts falling due within
one year
11
Net current assets
Total assets less current liabilities
Creditors:amounts falling due after
more than one year
12
Net assets
Income funds
Restricted funds
13,14
Unrestricted funds
13,14		 Group
30 Sept
2021
30 Sept
2020
£
£
748,138
752,077
-
-

748,138
752,077

2,727
1,668
16,434
6,736
-
-
160,753
96,192

179,914
104,596
(111,884)
(85,921)

68,030
18,675

816,168
770,752
(696,404)
(706,370)

119,764
64,382

80,061
40,013
39,703
24,369

119,764
64,382
 Charity
30 Sept
2021
30 Sept
2020
£
£
78,918
79,967
28,000
28,000

106,918
107,967

2,258
1,308
16,434
6,736
143,516
192,788
156,909
44,387

319,117
245,219
(68,240)
(49,236)

250,877
195,983

357,795
303,950
(239,140)
(239,140)

118,655
64,810

80,061
40,013
38,594
24,797

118,655
64,810

13/06/2022

These financial statements were approved by the board of Trustees on ……………………………………………… and were signed on its behalf by:

……………………………………………… The Reverend JR Libby Trustee

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The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (forming part of the financial statements)

1. Accounting policies

Basis of preparation

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been 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 UK and Republic of Ireland (FRS 102) issued in October 2019, the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Practice as it applies from 1 January 2015.

The charity has applied Update Bulletin 1 as published on 2 February 2016 and does not include a cash flow statement on the grounds that it is applying FRS 102 Section 1A.

The Kepplewray Trust meets the definition of a public entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

Funds

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. There are no designated funds in the period.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income and gains are allocated to the appropriate fund.

Income recognition policies

All incoming resources are included in the Statement of Financial Activities (SOFA) when it is probable the charity will be legally entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income.

12

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

1. Accounting policies (continued)

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid after taking account of any trade discounts due.

Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Expenditure

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with use of the resources.

Other costs comprise the costs of running the charity, including strategic planning for its future development, also external audit, any legal advice for the trustees, and all the costs of complying with constitutional and statutory requirement, such as the costs of Trustees’ meetings and of preparing statutory accounts and satisfying public accountability.

Rent charged to the charity by its subsidiary company is treated as a cost of the charity, and the intra-group income and costs are excluded from the consolidated figures.

Tangible fixed assets and depreciation

Tangible fixed assets are capitalised and included at cost including any incidental costs of acquisition. Assets which are used by the group for direct charitable purposes are allocated as such. There are no assets otherwise classified.

Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost on a straight line basis over their expected useful economic life as follows:

Freehold property Nil Leasehold improvements Nil Fixtures and fittings 10%/20% Equipment 10%/20% Motor vehicles 25%/12.5% for motorcars 10% with residual value of £1,000 for minibuses Equipment in Burundi 33%

The trustees perform annual impairment reviews to ensure that the recoverable amount is not lower than the carrying value.

Operating leases

Rentals payable under operating leases are charged against income based on occupancy levels.

Investments

Current asset investments are stated at market value at the balance sheet date. The SOFA includes the net gains and losses arising on revaluations and disposals throughout the period.

Fixed asset investments are stated at cost less any provision for permanent diminution in value.

Stock

Stock consists of finished goods for resale and is valued at the lower of cost and net realisable value.

13

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

1. Accounting policies (continued)

Related party transactions

The Trustees have taken advantage of the exemption in the FRS 102 and have not disclosed related party transactions with its subsidiary undertaking.

Pensions: Defined Contribution

The Charity set up a pension scheme with The Peoples’ Pension in March 2016 to comply with automatic enrolment requirements. Contributions to the scheme are charged in the SOFA as they become payable.

Going concern

The trustees are mindful of the risk that Covid-19 and variants could still negatively affect residential user groups. However, there is great encouragement from the way activity income and total income have continued strongly and the amounts which the first year of our Participation Inclusion Fund (PIF) has provided. This PIF formed part of our business development strategy - the subsidised places which it provides are also attracting full group bookings around the several disadvantaged or disabled members supported by the PIF. This has enhanced Kepplewray's profile and attracted new user groups. Other funds have been provided by supportive trusts which are financing repairs and renewals to the building.

Post financial year end the PIF has continued to contribute strongly and the order book also remains strong. We are disappointed that the long proposed sale and lease back arrangement for the building has not yet materialised but this is still very much anticipated with the other party lending funds as a gesture of good will while arrangements are finalised. We have also been accepted as preferred partners in a regional regeneration scheme which could add greatly to our profile and guest proposal.

With these projects, our income and order book strong and costs flexible and constrained out of necessity to navigate COVID, the trustees are satisfied that it is appropriate to prepare the accounts on a going concern basis.

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The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

1. Accounting policies (continued)

Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

2. Donations and gifts

Individuals
Donated facilities
Charitable foundations
Companies		 2021
Group
Charity
£
£
53,604
53,604
9,566
9,566
5,876
5,876
-
-
69,046
69,046		 2020
Group
£
54,033
9,566
17,254
25,000
105,853		 Charity
£
54,033
9,566
17,254
25,000
105,853

Of the £69,046 received in 2021 (2020: £105,853) £42,164 was restricted funds (2020: £45,234) and £26,882 was unrestricted (2020: £60,619).

The charity is indebted to individuals for providing interest-free loans to the group. The value placed on this contribution is £9,566 (2020: £9,566), (Trust £9,566 (2020: £9,566)). The income equivalent is recognised within incoming resources as a donation, and an equivalent charge is included within interest payable.

15

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

3. Grants received

Agnes Dixon Trust
All Churches Trust
Alpkit Foundation
Anonymous
Archer Trust
Beatrice Laing Trust
Bramall Foundation
Bruce Wake Charitable Trust
CGP Trust
Cumbria Community Foundation
Edward Gosling Foundation
Firdale Christian Trust
Frieda Scott Charitable Trust
Hadfield Trust
Harold & Alice Bridges Charity
Hedley Foundation
HMRC Job Retention Scheme
John Gilpin Trust
Keswick 2 Barrow
Kingmoor Park Charitable Trust
Kingmoor Park Charitable Trust
Lord Barnaby Foundation
Lord Barnaby Foundation
McConks
Proven Family Trust
Rawdon-Smith Trust
Rumic Foundation
Sir John Fisher Foundation
SLDC Business Support Grant
Solomon’s Charitable Trust
Whirlwind Charitable Trust		 2021
2021
Group
Charity
£
£
8,000
8,000
7,500
7,500
500
500
1,600
1,600
3,000
3,000
5,000
5,000
-
-
-
-
1,750
1,750
3,000
3,000
-
-
1,000
1,000
7,500
7,500
3,000
3,000
3,000
3,000
3,600
3,600
48,182
48,182
-
-
-
-
5,000
5,000
5,000
5,000
1,500
1,500
2,500
2,500
500
500
-
-
900
900
500
500
20,000
20,000
26,500
-
750
750
4,000
4,000
163,782
137,282		 2020
2020
Group
Charity
£
£
-
-
-
-
-
-
-
-
-
-
-
-
10,000
10,000
1,380
1,380
-
-
1,500
1,500
3,600
3,600
-
-
-
-
2,000
2,000
-
-
-
-
38,320
38,320
2,000
2,000
190
190
-
-
-
-
-
-
-
-
-
-
400
400
-
-
-
-
-
-
25,000
-
-
-
-
-

84,390
59,390

Grants marked with a (*) represent unrestricted grants, all other grants are restricted.

16

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

4. Total expenditure – Group

Staff costs
Other direct
costs
Other allocated
costs
£
£
£
Fundraising trading
-
677
-
Fundraising costs
Advertising
8,621
17,170
3,939
3,039
-
-
Provision of accommodation and activities
120,666
173,707
-
Other
15,719
13,666
-
Exceptional item
-
-
-

Total expenditure
162,176
195,029
-

Staff costs
Other direct
costs
Other allocated
costs
£
£
£
Fundraising trading
-
836
-
Fundraising costs
Advertising
3,282
2,961
12,000
12,377
-
-
Provision of accommodation and activities
134,521
135,380
-
Other
9,848
5,176
-

Total expenditure
150,612
165,769
-		 2021
£
677
12,560
20,209
294,373
29,385
-
357,205
2020
£
836
15,282
15,338
269,901
15,024
316,381

Staff costs as per Note 6. Other direct costs include:

2021 2020
£ £
Accountants’ remuneration 7,340 8,973
Depreciation and profit on disposal of asset 14,909 16,051
Interest payable 18,726 20,415

17

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

4. Total expenditure (continued) – Charity

Staff costs
Other direct
costs
Other allocated
costs
£
£
£
Fundraising costs
Advertising
8,621
17,170
3,939
3,039
-
-
Provision of accommodation and activities
120,666
156,117
-
Other
15,719
13,666
-

Total expenditure
162,176
176,761
-

Staff costs
Other direct
costs
Other allocated
costs
£
£
£
Fundraising costs
Advertising
3,282
2,961
12,000
12,377
-
-
Provision of accommodation and activities
134,521
125,873
-
Other
9,848
5,176
-

Total expenditure
150,612
155,426
-

Staff costs as per Note 6. Other direct costs include:
2021
£
Accountants’ remuneration
4,100
Depreciation and profit on disposal of asset
12,019
Interest payable
9,566		 2021
£
12,560
20,209
276,783
29,385
338,937
2020
£
15,282
15,338
260,394
15,024
306,038
2020
£
5,176
13,161
9,577

18

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

5. Trustees' remuneration

The Trustees received no remuneration during the year, either from the charity, or from Kepplewray Limited in their capacity as directors (2020: £Nil). Reimbursement of travel and meeting expenses to trustees amounted to £Nil (2020: £Nil).

6. Staff numbers and costs

The total wages and salaries costs for the group were as follows:

Wages and salaries
Social security costs
Pension costs
Group total		 2021
£
151,089
5,108
5,979
162,176		 2020
£
140,133
4,924
5,555
150,612

There were no employees receiving more than £60,000 in the year (2020: None).

The average number of employees during the year, analysed by function, was as follows:


Cost of generating funds
Charitable activities
Management and administration of the charity
Group total		 Number of employees
2021
2020
1
1
4
4
3
3
8
8

Kepplewray Limited has a total of 2 (2020: 2) directors.

19

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

7. Pensions

Defined Contribution Scheme: contributions amounted to £5,979 (2020: £5,555). There were no amounts outstanding at the period end (2020: £Nil). Of the £5,979 in 2021 (2020: £5,555) £nil was restricted costs (2020: £nil) and £5,979 unrestricted costs (2020: £5,555).

8. Tangible fixed assets

Group
Cost
At 1 October 2020
Additions
Disposals
At 30 September 2021
Depreciation
At 1 October 2020
Charge for year
Disposals
At 30 September 2021
Net book value
At 30 September 2021
At 30 September 2020		 Freehold
land and
buildings
Fixtures,
fittings and
equipment
£
£
802,717
263,043
-
598
-
-		 Freehold
land and
buildings
Fixtures,
fittings and
equipment
£
£
802,717
263,043
-
598
-
-		 Freehold
land and
buildings
Fixtures,
fittings and
equipment
£
£
802,717
263,043
-
598
-
-		 Motor
vehicles
Total
£
£
51,043
1,116,803
10,500
(2,995)
11,098
(2,995)		 Motor
vehicles
Total
£
£
51,043
1,116,803
10,500
(2,995)
11,098
(2,995)
802,717 263,641 58,548
1,124,906
106,984
-
-		 231,722
9,121
-		 26,020
5,916
(2,995)		 364,726
15,037
(2,995)
106,984 240,843 28,941 376,768
695,733
695,733		 22,798
31,321		 29,607

25,023		 748,138
752,077

All of the fixed assets of the group are used by the group for direct charitable purposes.

20

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

8. Tangible fixed assets (continued)

Tangible fixed assets (continued)
Charity
Cost
At 1 October 2020
Additions
Disposals
At 30 September 2021
Depreciation
At 1 October 2020
Charge for year
Disposals
At 30 September 2021
Net book value
At 30 September 2021
At 30 September 2020		 Land and
leasehold
improvements
Equipment
£
£
67,477
168,217
-
598
-
-		 Motor
vehicles
£
51,043
10,500
(2,995)		 Total
£
286,737
11,098
(2,995)
67,477 168,815 58,548 294,840
27,477
-
-		 153,273
6,231
-		 26,020
5,916
(2,995)		 206,770
12,147
(2,995)
27,477 159,504 28,941 215,922
40,000
40,000		 9,311
14,944		 29,607

25,023		 78,918
79,967

All of the charity’s fixed assets are used by the charity for direct charitable purposes.

21

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

9. Investments

Fixed asset investments: Investments in subsidiary undertaking

Charity
Ordinary £1 shares in Kepplewray Limited
Cost at 1 October 2020 and 30 September 2021

Net book value
Net book value at 1 October 2020
Unrealised loss on investment
Net book value at 30 September 2021
Debtors
Group
Trade debtors
Other debtors
Charity
Trade debtors
Other debtors
Group company (*)		 2021
£
116,000

28,000
-

28,000

2021
£
12,134
4,300
16,434
£
12,134
4,300
143,516
159,950		 2020
£
116,000
45,000
(17,000)


28,000
2020
£
3,353
3,383
6,736
£
3,353
3,383
192,788
199,524

10. Debtors

*The amount owing from the group company is due after more than one year. The charity’s subsidiary company, Kepplewray Limited, is currently reliant on the charity to assist with bank loan repayments. Kepplewray Limited is not currently in a position to repay the group debt. Accordingly, this debtor is stated as being due after more than one year. As stated in note 1, page 14, Going Concern, the Trustees are in negotiation with a supportive trust to secure long-term finance to restructure the group’s financial affairs which will assist with the repayment of outstanding debts.

22

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

11. Creditors: amounts falling due within one year

Group
Bank loans and overdrafts
Trade creditors
Other taxation and social security
Accruals and deferred income
Movements in deferred income are as follows:
Balance at 1 October 2020
Amount (released)/deferred in the year
Balance as at 30 September 2021		 2021
£
34,000
21,030
4,883
51,971
111,884
2021
£
26,323
22,525
48,848		 2020
£
28,500
13,780
3,799
39,842
85,921
2020
£
42,353
(16,030)
26,323

The bank loan and overdraft are secured by a first legal charge over the land and buildings of Kepplewray Limited.

Charity
Bank overdraft
Trade creditors
Other taxation and social security
Accruals and deferred income
Movements in deferred income are as follows:
Balance at 1 October 2020
Amount (released)/deferred in the year
Balance as at 30 September 2021		 2021
£
-
16,837
2,266
49,137
_
68,240
2021
£
26,323
22,525
48,848		 2020
£
-
11,237
1,157
36,842
_
49,236
2020
£
42,353
(16,030)
26,323

23

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

12. Creditors: amounts falling due after more than one year

Group
Bank loans
Other loans
Analysis of loans
Wholly repayable within five years:
By instalments
Other than by instalments
Not wholly repayable within five years:
By instalments
Other than by instalments
Included in current liabilities		 2021
£
442,764
287,640
730,404
£
48,333
287,640
394,431
-
_
730,404
(34,000)
696,404		 2020
£
495,730
239,140
734,870
£
48,221
239,140
447,509
-
_
734,870
(28,500)
706,370

24

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

12. Creditors: amounts falling due after more than one year (continued)

The Barclays Bank loan (£394,432) is repayable over twenty-five years and will be repaid in full by December 2033. It bears interest at 2% over base rate. The bank loan is secured by a fixed charge over the freehold property of Kepplewray Limited. The flexible business loan with Barclays Bank, taken out in November 2015, also secured by a fixed charge over the freehold property of Kepplewray Limited, was repaid in full in March 2021. Consequently, the amount of secured liabilities at 30 September 2021 amounted to £394,432 (2020: £445,730).

A government-secured bounce back loan for £50,000 was taken out with Barclays Bank in July 2020, to ease the impact of the coronavirus restrictions. Monthly repayments on this loan commenced in August 2021 and will be repaid in full by July 2026.

Other loans totalling £287,640 (2020: £239,140) are interest free. The Directors and Trustees have received assurance from the lender confirming there is no obligation to repay before July 2023.

Analysis of loans
Wholly repayable within five years
By instalments
Other than by instalments
Not wholly repayable within five years
By instalments
Other than by instalment
Included in current liabilities
Charity
Other loans
Bank loans		 £
-
239,140
-
-
_
239,140
-
239,140

2021
£
239,140
-
_
239,140		 £
-
239,140
-
-
_
239,140
-
239,140

2020
£
239,140
-
_
239,140

25

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

13. Analysis of group net assets between funds
2021 Restricted Unrestricted Total funds
funds funds
£ £ £
Group
Tangible fixed assets - 748,138 748,138
Current assets 80,061 99,853 179,914
Current liabilities - (111,884) (111,884)
Long term liabilities - (696,404)
 (696,404)
80,061 39,703
 119,764
2020 Restricted Unrestricted Total funds
funds funds
£ £ £
Group
Tangible fixed assets - 752,077 752,077
Current assets 40,013 64,583 104,596
Current liabilities - (85,921) (85,921)
Long term liabilities - (706,370)
 (706,370)
40,013 24,369
 64,382
14. Statement of funds - Group
2021 General funds Restricted Total
funds
£ £ £
At beginning of year 24,369 40,013 64,382
Income and endowments 292,440 122,764 415,204
Resources expended (315,754) (41,451) (357,205)
Transfer 41,265 (41,265) -
Tax payable (2,617) -
 (2,617)
39,703 80,061
 119,764
2020 General funds Restricted Total
funds
£ £ £
At beginning of year 30,780 22,145 52,925
Income and endowments 264,366 66,114 330,480
Resources expended (275,411) (40,970) (316,381)
Transfer 7,276 (7,276) -
Tax payable (2,642) -
 (2,642)
24,369 40,013 64,382

26

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

14. Statement of funds – Group (continued)

The general reserve represents the free funds of the charity which are not designated for particular purposes.

The other transfers made between funds (as shown in the statement of financial activities) relate to restricted income which has been expended on assets and is no longer required to be shown within the restricted funds balance.

15. Subsidiary company

The charity owns the whole of the issued share capital of Kepplewray Limited, a company registered in England. The subsidiary owns the property leased to the charity, from which the charity's activities take place. All activities of the company have been consolidated on a line by line basis in the SOFA.

A summary of the results of the subsidiary is shown below:

Kepplewray Limited

Turnover
Cost of sales
Gross profit/(loss)
Administrative expenses
Other operational income
Net profit/(loss)
Tax payable
The aggregate of the assets, liabilities and funds was:
Assets
Liabilities		 Total
2021
£
5,521
(676)
4,845
(27,191)
26,500
4,154
(2,617)
1,537
673,534
(644,425)
29,109		 Total
2020
£
9,498
(836)
8,662
(22,899)
25,000
10,763
(2,642)
8,121
724,274
(696,702)
27,572

27

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Notes (continued)

16. Related party transactions

There were no related party transactions during the current and previous year.

17. Taxation

As a charity, Kepplewray Trust is exempt from tax on income and gains falling within sections 472-474 of the Corporation Tax Act 2010, sections 478-489 of the Corporation Tax Act 2010, or section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the Charity.

18. Control

There is no single controlling party of the Trust in the current and previous year.

19. Operating Lease

Kepplewray Trust leases the premises from Kepplewray Limited under a 99-year lease dated 1 January 1995 . The annual rental is subject to occupancy levels but will not exceed £70,000.

28

The Kepplewray Trust Trustees’ report and consolidated financial statements 30 September 2021

Detailed Trust income and expenditure account
for the year ended 30 September 2021
Incoming resources
Donations
Grants received
Gift aid and covenant income
Accommodation income
Other income
Events
Government grants
Total incoming resources
Direct charitable expenditure
Salaries
Freelancers
Bethesda costs
Expenses
Staff costs
Rental
Rates and premises cost
Repairs and maintenance
Accommodation provision costs
Establishment costs
Total direct charitable expenditure
Other expenditure
Advertising & Marketing
Fundraising
Other costs
Telephone, postage and carriage
Audit and accountancy
Bank charges and interest
Loan interest
Depreciation and profit on disposal of fixed asset
Bad debt
Administrative expenses
Unrealised loss on investment
Total expenses
Net movement in funds		 2021
£
22,341
89,100
19,460
181,002
5,453
27,244
48,182

392,782

162,176
28,850
33,972
-

224,998

4,793
13,469
26,756
31,749

76,767

301,765

6,939
40

6,979

2,464
4,100
507
9,566
12,019
1,537
_
30,193
-

338,937

53,845
 2020
£
77,780
21,070
28,073
136,244
6,482
1,405
38,320
309,374
150,612
9,203
18,629
204
178,648
8,583
18,715
16,367
29,542
73,207
251,855
12,377
12,000
24,377
1,776
5,176
481
9,577
12,796
-
_
29,806
17,000
323,038
(13,664)

This page does not form part of the statutory financial statements.

29