**REGISTERED CHARITY NUMBER: 1039131**
**The Friends of Southwell Cathedral Report of the Trustees and Unaudited Financial Statements for the Year Ended 31st December 2020**
Brooks Mayfield Limited Chartered Accountants 12 Bridgford Road West Bridgford Nottinghamshire NG2 6AB
**The Friends of Southwell Cathedral**
## **Contents of the Financial Statements for the Year Ended 31st December 2020**
||**Page**|
|---|---|
|**Reference and Administrative Details**|1|
|**Report of the Trustees**|2 to 3|
|**Independent Examiner's Report**|4|
|**Statement of Financial Activities**|5|
|**Balance Sheet**|6|
|**Notes to the Financial Statements**|7 to 12|
|**Detailed Statement of Financial Activities**|13 to 14|
**The Friends of Southwell Cathedral**
**Reference and Administrative Details for the Year Ended 31st December 2020**
## **TRUSTEES**
The Right Reverend Bishop Paul Williams - President The Dean of Southwell The Very Reverend Nicola Sullivan - Chairman Mrs A J Salter - Honorary Secretary Mr R S W Wilson - Honorary Treasurer Mrs M Waddington - Membership Secretary Mr C Leggatt Mrs J Hodson - Appointed by Diocesan Mothers' Union Canon L Rose - Appointed by College of Canons Mrs P D C Allen Mr T S Richmond Mrs J P Loughton Mr R Pearson Mr M J Stacey Mrs J Richardson Mrs P Rouse - Events Secretary (appointed 1/10/20)
**PRINCIPAL ADDRESS** The Minster Office Church Street Southwell Nottinghamshire NG25 0HD
## **REGISTERED CHARITY** 1039131 **NUMBER**
**INDEPENDENT EXAMINER** Brooks Mayfield Limited Chartered Accountants 12 Bridgford Road West Bridgford Nottinghamshire NG2 6AB **BANKERS** National Westminster plc Newark (A) Branch 1 Market Place Newark NG24 1DY
Page 1
**The Friends of Southwell Cathedral**
## **Report of the Trustees for the Year Ended 31st December 2020**
The Council of the Friends of Southwell Cathedral is pleased to present its report for the year ended 31st December 2020. The trustees who served during the year and up to the date of this report are set on page 1.
## **OBJECTIVES AND ACTIVITIES**
The Friends of Southwell Cathedral exist to bind together all those who love the Cathedral Church and who desire to help in preserving for posterity the fabric of this ancient and historic building, in maintaining public worship therein and in enhancing its adornment.
The Council has kept in mind the Charity Commissioners' guidance on public benefit. The focus of The Friends' activities remains the fulfilment of the objectives of the charity for the benefit of the Cathedral, which welcomes everyone without restriction. Membership of The Friends is open to all, subject to a subscription, the amount of which is at the discretion of the member.
## **ACHIEVEMENT AND PERFORMANCE**
Unfortunately, along with many other member-based organisations, all activities in 2020 had to be cancelled due to the coronavirus pandemic, including our 73rd Annual General Meeting in June and visits to Lichfield Cathedral in May and to Deene Park in September. Our autumn reception and talk by Charlie Leggatt, on the artist Tom Tomson, had to be postponed and is rescheduled now for November 2021.
We maintained our commitment to the 'Leaves of Southwell' project and several members of Council, accompanied by Dr Philip Dixon, cathedral archaeologist, were pleased to join a group inspecting the progress of work in the Chapter House. Additionally, we continued our support for the Needlework Guild and Flower Guild, along with other annual commitments.
Our twice-yearly magazine, Pepperpots, edited by Charlie Leggatt and issued to all members of the Friends makes very interesting reading. In 2020 we welcomed 12 new Friends.
Once again, our thanks are due to everyone at Brooks Mayfield, our accountants and Independent Examiner, our investment advisers, Brewin Dolphin, the Minster staff and to all our members for their continuing support.
## **FINANCIAL REVIEW**
Dividend income this year fell by 33% to £12,250 from £18,224 last year because of the coronavirus effect on our investments cutting back on dividend payments.
Members subscriptions were not expected to be affected, but still we experienced a decrease from the 2019 figure of £9,547 to £9,063 this year. This fall continues the trend seen over recent years. We must address the reasons. There is certainly the need to increase the in-house publicity given to The Friends. Other sources of income were from a CCLA investment held for many years and this year giving £576, and there were donations and legacies of £3,807 from generous benefactors. Income tax recovered on gift-aided subscriptions and donations, along with some interest from HMRC of £5, amounted to £2,642. This is a valuable source of income and all members, who are UK taxpayers and have paid enough UK tax to cover the gift-aided tax on all their donations made are encouraged to be in the scheme. Every £10 donation and subscription gift-aided adds another £2.50 to the Friends funds.
Total expenditure of £81,990 exceeded income of £28,551 by £53,439. The net gains and losses from revaluation of the investments held at 31st December 2020 plus the net gains and losses of investments sold during the year produced an addition to funds of £8,534. Capital funds brought forward from the previous year of £687,443 therefore fell to £642,538 as at 31st December 2020.
Page 2
**The Friends of Southwell Cathedral**
## **Report of the Trustees for the Year Ended 31st December 2020**
## **FINANCIAL REVIEW**
Our capital at this date comprises for the most part a diversified portfolio of investments valued at £606,110, whose purchase is governed by the ethical standards of The Church of England. Funding for Minster project contribution derives from the income generated from that portfolio together with subscriptions, donations and legacies received supplying an interest earning bank deposit and a current account which provide the reservoir of money to cover affordable and agreed demands from Chapter. It is indeed the case that our reserves have been reduced considerably below levels forecast earlier and during 2020, but at this point, in January 2021, we estimate that our resources will be sufficient to meet commitments in the coming year.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
The governing document is the Constitution and Rules of 18 June 1977 as amended on 4 June 1994, 15 June 1996, 13 June 1998 and further amended on 9 June 2001.
The Council meet three times every year to agree the broad strategy and areas of activity including consideration of grant making to the Southwell Cathedral Chapter, financial review and reserves, investment, risk management, publicity and performance. The day to day administration is delegated to the principal officers in particular the Secretary, Treasurer, Membership Secretary, "Pepperpots" editor and Events Secretary. All Council members including the principal officers give their time voluntarily and receive no benefits. Trustee reimbursed expenses were £3.96 and are recorded in note 7 to the accounts.
There has been one change to the Council during the year under review. We were pleased to welcome Mrs Pauline Rouse as Events Secretary.
Approved by order of the board of trustees on 25th February 2021 and signed on its behalf by:
The Dean of Southwell The Very Reverend Nicola Sullivan – Chairman
Mr R S W Wilson - Trustee
Page 3
**Independent Examiner's Report to the Trustees of The Friends of Southwell Cathedral**
## **Independent examiner's report to the trustees of The Friends of Southwell Cathedral**
I report to the charity trustees on my examination of the accounts of The Friends of Southwell Cathedral (the Trust) for the year ended 31st December 2020.
## **Responsibilities and basis of report**
As the charity trustees of the Trust 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 Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner's statement**
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 Trust 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.
William Oates BA FCA Brooks Mayfield Limited Chartered Accountants 12 Bridgford Road West Bridgford Nottinghamshire NG2 6AB
25th February 2021
Page 4
**The Friends of Southwell Cathedral**
## **Statement of Financial Activities for the Year Ended 31st December 2020**
|**2020**
**Unrestricted**
**fund**
Notes
**£**
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
2
**15,512**
**Charitable activities**
4
Charlies Talks
**-**
Investment income
3
**13,039**
**Total**
**28,551**
**EXPENDITURE ON**
Raising funds
**3,262**
**Charitable activities**
5
Leaves Project
**60,000**
Charlies Talks
**-**
Needlework Guild
**720**
Audio Maintenance
**-**
Restore and Repair Sculptures
**-**
Minster Flowers Guild
**2,110**
Vergers and Gardeners Workwear
**-**
New Robes
**10,000**
Speech Reinforcement System maintenance
**45**
Other
**5,853**
**Total**
**81,990**
Net gains on investments
**8,534 **
**NET INCOME/(EXPENDITURE)**
**(44,905)**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**687,443**
**TOTAL FUNDS CARRIED FORWARD**
**642,538**|2019
Total
funds
£
27,458
1,247
19,329
48,034
3,554
30,000
51
3,052
550
500
2,110
169
-
-
7,001
46,987
62,220
63,267
624,176
687,443|
|---|---|
The notes form part of these financial statements
Page 5
**The Friends of Southwell Cathedral**
## **Balance Sheet 31st December 2020**
|Notes
**FIXED ASSETS**
Tangible assets
8
Investments
9
**CURRENT ASSETS**
Debtors
10
Cash at bank
**CREDITORS**
Amounts falling due within one year
11
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**NET ASSETS**
**FUNDS**
12
Unrestricted funds
**TOTAL FUNDS**|**2020**
**Total**
**funds**
**£**
**1**
**606,110**
**606,111**
**1,763**
**38,733**
**40,496**
**(4,069)**
**36,427**
**642,538**
**642,538**
**642,538**
**642,538**|2019
Total
funds
£
1
603,664
603,665
1,041
86,812
87,853
(4,075)
83,778
687,443
687,443
687,443
687,443|
|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 25th February 2021 and were signed on its behalf by:
The Dean of Southwell The Very Reverend Nicola Sullivan - Chairman
Mr R S W Wilson - Trustee
The notes form part of these financial statements
Page 6
**The Friends of Southwell Cathedral**
## **Notes to the Financial Statements for the Year Ended 31st December 2020**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
## **Incoming resources**
All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be qualified with reasonable accuracy. The following specific policies are applied to particular categories of income:
Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant.
Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.
Income from investments is included in the year in which it is receivable.
## **Resources expended**
Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates.
Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes.
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Computer equipment - 33% on cost
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Page 7
continued...
**The Friends of Southwell Cathedral**
## **Notes to the Financial Statements - continued for the Year Ended 31st December 2020**
## **1. ACCOUNTING POLICIES - continued**
## **Investments**
Investments held as fixed assets are revalued at mid-market value at the balance sheet date and the gain or loss taken to the statement of financial activities.
## **2. DONATIONS AND LEGACIES**
|Donations and legacies
Income tax recoverable
Subscriptions - Gift Aided
**3.**
**INVESTMENT INCOME**
Income from UK listed investments
Bank interest - Central Board of Finance
Bank interest - Central Board of Finance Unit Trust
Bank interest - Brewin Dolphin
**4.**
**INCOME FROM CHARITABLE ACTIVITIES**
Activity
Other income from
charitable activities
Charlies Talks
**5.**
**CHARITABLE ACTIVITIES COSTS**
Leaves Project
Needlework Guild
Minster Flowers Guild
New Robes
Speech Reinforcement System maintenance|**2020**
2019
**£**
£
**3,807**
15,076
**2,642**
2,835
**9,063**
9,547
**15,512**
27,458
**2020**
2019
**£**
£
**12,250**
18,224
**203**
530
**576**
559
**10**
16
**13,039**
19,329
**2020**
2019
**£**
£
**-**
1,247
Direct
Costs (see
note 6)
£
**60,000**
**720**
**2,110**
**10,000**
**45**
**72,875**|
|---|---|
|||
Page 8
continued...
**The Friends of Southwell Cathedral**
## **Notes to the Financial Statements - continued for the Year Ended 31st December 2020**
## **6. DIRECT COSTS OF CHARITABLE ACTIVITIES**
|Minster Flower Guild
Needlework Guild
Leaves Project
Audio Maintenance
Vergers and Gardeners Workwear
Charlies Talks
Sculpture repair
Robes cost
Speech Reinforcement System maintenance|**2020**
**£**
**2,110**
**720**
**60,000**
**-**
**-**
**-**
**-**
**10,000**
**45**
**72,875**|2019
£
2,110
3,052
30,000
550
169
51
500
-
-
36,432|
|---|---|---|
## **7. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31st December 2020 nor for the year ended 31st December 2019.
## **Trustees' expenses**
During the year Trustees were reimbursed a total of £4 (2019 - £139) for expenses they had personally incurred.
## **8. TANGIBLE FIXED ASSETS**
|**TANGIBLE FIXED ASSETS**||
|---|---|
||Computer|
||equipment|
||£|
|**COST**||
|At 1st January 2020 and||
|31st December 2020|**1,000**|
|**DEPRECIATION**||
|At 1st January 2020 and||
|31st December 2020|**999**|
|**NET BOOK VALUE**||
|At 31st December 2020|**1**|
|At 31st December 2019|1|
Page 9
continued...
**The Friends of Southwell Cathedral**
## **Notes to the Financial Statements - continued for the Year Ended 31st December 2020**
## **9. FIXED ASSET INVESTMENTS**
|**FIXED ASSET INVESTMENTS**||
|---|---|
||Listed|
||investments|
||- Valuation|
||£|
|**MARKET VALUE**||
|At 1st January 2020|**603,664**|
|Additions|**90,988**|
|Disposals|**(97,076)**|
|Revaluations|**8,534 **|
|At 31st December 2020|**606,110**|
|**NET BOOK VALUE**||
|At 31st December 2020|**606,110**|
|At 31st December 2019|603,664|
There were no investment assets outside the UK.
Fixed asset investments are actively managed by Brewin Dolphin Limited. The portfolio of investments is spread across 43 different holdings. Based on the total market value at 31 December 2020 no one holding represents more than 5% of the total portfolio.
## **Gains/(loses) on investment assets**
|Realised (loss) during the year
Unrealised gain during the year
**10.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Other fixed asset investment debtors
Prepayments|**2020**
**£**
**399**
**1,364 **
**1,763**|**£**
**(7,152)**
**15,686**
**8,534 **
2019
£
1,041
-
1,041|
|---|---|---|
||||
Page 10
continued...
**The Friends of Southwell Cathedral**
## **Notes to the Financial Statements - continued for the Year Ended 31st December 2020**
## **11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Deferred income
Accruals
Accruals:
Independent examiner's fees
Telephone
Investment management charge
Printing, postage & stationery
Staffing
Audio maintenance
**MOVEMENT IN FUNDS**
At 1/1/20
£
**Unrestricted funds**
General fund
**687,443**
**TOTAL FUNDS**
**687,443**
Net movement in funds, included in the above are as follows:
Incoming
Resources
resources
expended
£
£
**Unrestricted funds**
General fund
**28,551**
**(81,990)**
**TOTAL FUNDS**
**28,551 **
**(81,990) **
**Comparatives for movement in funds**
At 1/1/19
£
**Unrestricted funds**
General fund
624,176
**TOTAL FUNDS**
624,176|**2020**
2019
**£**
£
**100**
60
**3,969**
4,015
**4,069**
4,075
**2020**
**2019**
**£**
**£**
**1,296**
1,260
**445**
533
**895**
891
**783**
730
**-**
51
**550 **
550
**3,969**
4,015
Net
movement
At
in funds
31/12/20
£
£
**(44,905)**
**642,538**
**(44,905) **
**642,538**
Gains and
Movement
losses
in funds
£
£
**8,534**
**(44,905)**
**8,534 **
**(44,905) **
Net
movement
At
in funds
31/12/19
£
£
63,267
687,443
63,267
687,443|
|---|---|
## **12. MOVEMENT IN FUNDS**
Page 11
continued...
**The Friends of Southwell Cathedral**
## **Notes to the Financial Statements - continued for the Year Ended 31st December 2020**
## **12. MOVEMENT IN FUNDS - continued**
Comparative net movement in funds, included in the above are as follows:
||Incoming|Resources|Gains and|Movement|
|---|---|---|---|---|
||resources|expended|losses|in funds|
||£|£|£|£|
|**Unrestricted funds**|||||
|General fund|48,034|(46,987)|62,220|63,267|
|**TOTAL FUNDS**|48,034|(46,987)|62,220|63,267|
## **13. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 31st December 2020.
Page 12
**The Friends of Southwell Cathedral**
## **Detailed Statement of Financial Activities for the Year Ended 31st December 2020**
|**Detailed Statement of Financial Activities**
**for the Year Ended 31st December 2020**|||
|---|---|---|
||2020|2019|
||£|£|
|**INCOME AND ENDOWMENTS**|||
|**Donations and legacies**|||
|Donations and legacies|**3,807**|15,076|
|Income tax recoverable|**2,642**|2,835|
|Subscriptions - Gift Aided|**9,063**|9,547|
||**15,512**|27,458|
|**Investment income**|||
|Income from UK listed investments|**12,250**|18,224|
|Bank interest - Central Board of Finance|**203**|530|
|Bank interest - Central Board of Finance|||
|Unit Trust|**576**|559|
|Bank interest - Brewin Dolphin|**10**|16|
||**13,039**|19,329|
|**Charitable activities**|||
|Other income from charitable activities|**-**|1,247|
|**Total incoming resources**|**28,551**|48,034|
|**EXPENDITURE**|||
|**Raising donations and legacies**|||
|Investment management fees|**3,262**|3,554|
|**Charitable activities**|||
|Minster Flower Guild|**2,110**|2,110|
|Needlework Guild|**720**|3,052|
|Leaves Project|**60,000**|30,000|
|Audio Maintenance|**-**|550|
|Vergers and Gardeners Workwear|**-**|169|
|Charlies Talks|**-**|51|
|Sculpture repair|**-**|500|
|Robes cost|**10,000**|-|
|Speech Reinforcement System maintenance|**45**|-|
||**72,875**|36,432|
|**Support costs**|||
|**Management**|||
|Telephone|**445**|533|
|Printing, post and stationery|**787**|107|
|Annual general meeting expense|**-**|327|
||**1,232**|967|
|**Finance**|||
|Independent examiners fees|**1,236**|1,260|
This page does not form part of the statutory financial statements
Page 13
**The Friends of Southwell Cathedral**
## **Detailed Statement of Financial Activities for the Year Ended 31st December 2020**
|**Detailed Statement of Financial Activities**
**for the Year Ended 31st December 2020**|||
|---|---|---|
||2020|2019|
||£|£|
|**Finance**|||
|**Governance costs**|||
|Pepperpots newsletter|**3,385**|4,774|
|Total resources expended|**81,990**|46,987|
|**Net (expenditure)/income before gains**|||
|**and losses**|**(53,439)**|1,047|
|**Realised recognised gains and losses**|||
|Realised gains/(losses) on fixed asset|||
|investments|**8,534 **|62,220|
|**Net (expenditure)/income**|**(44,905) **|63,267|
This page does not form part of the statutory financial statements
Page 14