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2021-03-31-accounts

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

Registered number: 02788502 Charity number: 1043753

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED

UNAUDITED

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

CONTENTS
Page
Reference and administrative details of the charity, its trustees and advisers 1
Trustees' report 2 - 6
Trustees' responsibilities statement 7
Independent examiner's report 8 - 9
Statement of financial activities 10
Income and expenditure account 10
Balance sheet 11 - 12
Notes to the financial statements 13 - 24

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2021

Trustees

G Bendon S Dunlop J Harris E Sorensen H Brooke J Redgewell M Phillips M Fillery

Company registered number

02788502

Charity registered number

1043753

Registered office

1 Vincent Square, London, SW1P 2PN

Accountants

Wellers, 1 Vincent Square, London, SW1P 2PN

Page 1

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021

The Trustees present their annual report together with the financial statements of the company for the 1 April 2020 to 31 March 2021. The Trustees confirm that the Annual Report and financial statements of the company comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice (SORP), 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 2015) as amended by Update Bulletin 1 (effective 1 January 2015).

Since the company qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required

Objectives and Activities

a. POLICIES AND OBJECTIVES

The principal objectives of the Charity are to provide:

1) Therapeutic and recreational horse riding for disabled people, either free of charge or at affordable fee rates, as appropriate.

2) Recreational and sporting horse riding and stable management experience and training for local children, free of charge or at affordable fee rates, as appropriate.

3) Training to local young adults leading to professional qualifications as riding instructors and stable managers.

b. STRATEGIES AND ACTIVITIES FOR ACHIEVING OBJECTIVES

The Charity has devised various ways of attracting and facilitating target groups in participating in riding and equine care. All groups are important in the ecology of the Charity: private one-on-one lessons for able-bodied riders provide surplus income which subsidises rides for the less well off and disabled, for example. The staff have an innovative approach and new ideas are tried and if successful, added to the repertoire.

c. VOLUNTEERS

The Charity continues to benefit from the support of approximately 25 volunteers, who provide over the year approximately 20,000 hours of work in various capacities. It is estimated that a monetary value of £75,000 might be placed on the volunteers’ labour. Although the volunteers offer their services free of charge, they are all rewarded with points which they can exchange for free riding lessons.

Page 2

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

Achievements and performance

a. REVIEW OF ACTIVITIES

The history of the Charity can be summarised as follows;

The Charity was founded 49 years ago in Silvertown by a group of local residents, the principal among whom was the late Linda Greaves MBE. Having operated for the first twenty-four years from the arches of a (now demolished) flyover, NRSA relocated in 1996 to a purpose- built equestrian centre at the apex of the Beckton Triangle. This move was enabled by the London Docklands Development Corporation, which granted the Charity a 200-year lease on the site and provided over £1 million towards the cost of construction. The LDDC also gave the Charity leases on two livery yards, which it had constructed to house horses which had previously grazed on the abandoned Royal Docks. Two events then dominated the early years of the 21st Century.

Although the new Docklands Equestrian Centre (DEC) was a splendid facility, it lacked any ancillary amenities: e.g. parking, toilets, an office, canteen, meeting room. The Trustees immediately set about raising funds to complete the project with the provision of these amenities, without which the DEC could never thrive. Having raised (or so they thought) sufficient funds (£1.3 million) to complete the project, they let a design/build contract for the works. After the contract had been let, new requirements were introduced. These included redesigning the lecture hall/canteen dining area so that there were no pillars, and installing a passenger lift from the ground floor to the board-room and caretaker’s flat on the first floor. A knock-on effect of this latter requirement was that a new underground power cable had to be laid from the public supply, hundreds of metres distant. The Trustees decided to press on and raise the shortfall via a mortgage. All further fundraising proved unsuccessful. After the financial crisis of 2008/09, the mortgagee squeezed the Charity hard, doubling the rate of interest and requiring monthly financial reports. The Charity only survived with the help of loans from the Trustees and from the freeholder (The Royal Docks Trust - RDT). A small plot of land was sold on a 125-year lease for the erection of an advertising tower and this enabled the repayment of half of the mortgage.

The second event was the occupation of the livery yard at Stansfeld Rd by a criminal clique. Revenue from the livery stables ceased and it took several years and an outlay of about £100,000 to regain possession. Having obtained possession and planning permission for residential development and acting jointly with the freeholder (RDT), in 2018 NRSA sold the Stansfeld Rd site to a developer for £1.8 million. With their share of the net proceeds, the Charity redeemed the mortgage, repaid the loans which had kept it in being over the previous ten years, carried out repairs and maintenance which had accumulated over that period, established a sufficient supply of working capital and placed £300,000 in a COIF accumulation investment fund.

After 40 years of a touch and go existence, the Charity was now well equipped and financially secure into the long term.

Activities in 2020-2021 include;

As a consequence of the Covid19 pandemic, the school was fully closed for 27 weeks of the year and open on a very restricted basis for a further six weeks. Some activities ceased during the whole of the year, the most significant of which were the RDA school groups.

Ride numbers in 2020/21 were as follows:

2020-2021 2019-2020
Disabled 20 Disabled 2055
Children 990 Children 2640
Adults 158 Adults 299
Starters 680 Starters 2282
Private 945 Private 1752

Page 3

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

As a consequence of the restrictions revenue from riding activities ceased altogether for long periods and was reduced at other times. But expenses hardly changed: the horses still had to fed and looked after. A combination of the Government’s furlough scheme and generous sponsorship from clients: in one exceptional case amounting to over £10,000 and in another over £2,000, the Charity has been able to keep going. As a precaution, the Charity availed itself of a £50,000 Government guaranteed loan, which it has retained intact.

The school started the year with 4 Apprentices and concluded with 5. Training continued wherever possible, but the British Horse Society cancelled all examinations and assessments. Btech (formerly NVQ) examinations continued, however, and two working pupils achieved level 3 qualifications.

b. OPPORTUNITIES AND CONSTRAINTS

The Trustees have taken the opportunity to put the DEC into an excellent state of repair and they will continue to look for improvements to the facilities. One such improvement would be the acquisition of neighbouring waste land to be converted into a turn-out for the horses. Trustees are exploring the possibility with the land-owner, but have so far been unable to make progress.

c. PUBLIC BENEFIT

The Trustees have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission.

The Charity, in providing horse riding experiences for disabled people and local children in the London Borough of Newham (one of the most severely disadvantaged areas of the country) in superb facilities on a not-for-profit basis, for a nominal fee or free of charge (depending on the circumstances), is acting wholly to the public benefit. Some private lessons are given at commercial rates, but the income from them is devoted towards subsidising rides for disabled or less well-off riders. Local children who act as volunteers in stable duties and equine care enjoy facilities which are unique in the East End and are rewarded with free instruction. Working pupils from the locality gain qualifications in stable management and as riding instructors which enable them to pursue careers for which there are no other opportunities in East London.

Page 4

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

Financial review

a. RESERVES POLICY

The Trustees have reviewed the policy on reserves to reflect the current financial situation. The reserves have been deposited in a COIF accumulation investment fund as a long-term investment to provide financial security in the event of an unforeseen setback, and funds for future development should the opportunity arise. A resolution of the Board of Trustees must be passed before any withdrawal can be made from the funds. No such resolution has been made and none is planned. The Trustees are satisfied with CCLA’s stewardship of their investment funds.

b. PRINCIPAL FUNDING

The main source of funding is that generated from the fees for horse riding sessions, as shown under the review of activities shown above.

Structure, governance and management

a. CONSTITUTION

The company is constituted under a trust deed and is a registered charity, number 1043753. The Company Registration Number is 02788502.

Membership of the Board of Trustees was stable during the period in which the long-term viability of the Charity was in doubt. Once the Charity was restored to health, some of the very long serving Trustees retired and new Trustees have been appointed. This process of renewal will continue.

The company is constituted under a Memorandum of Association and is a registered charity number 1043753.

b. ORGANISATIONAL STRUCTURE AND DECISION MAKING

The Charity is organised as a company limited by guarantee.

The Board of Trustees administers the Charity with the assistance of a manager. The board meet quarterly and there have been discussions among the Trustees conducted by e-mail and meetings involving smaller groups of the Trustees to discuss specific issues.

c. RELATED PARTY RELATIONSHIPS

The Trustees have considered the risk of related party relationships and confirm that there are no material related parties other than those disclosed in the notes to the financial statements.

Page 5

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

d. RISK MANAGEMENT

The Trustees have reviewed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity and are satisfied that systems are in place to minimise and mitigate them.

Plans for future periods

a. FUTURE DEVELOPMENTS

The Trustees will seek to adapt the operations of the Charity to meet the evolving demographic of Newham. They will seek to increase the involvement of local people with the Charity.

This report was approved by the Trustees and signed on their behalf by:

................................................ G Bendon - Trustee

Date 22-11-21

Page 6

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

TRUSTEES' RESPONSIBILITIES STATEMENT FOR THE YEAR ENDED 31 MARCH 2021

The Trustees (who are also directors of Newham Riding School and Association Limited 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. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for 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 governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Page 7

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 MARCH 2021

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (the 'company')

I report to the charity Trustees on my examination of the accounts of the company for the year ended 31 March 2021.

This report is made solely to the company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the company's Trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the company and the company's Trustees as a body, for my work or for this report.

RESPONSIBILITIES AND BASIS OF REPORT

As the Trustees of the company (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the company's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Page 8

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

INDEPENDENT EXAMINER'S REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

INDEPENDENT EXAMINER'S STATEMENT

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

  1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or

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

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].

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.

24-11-21 Signed: Dated: Mr Matthew Wyatt FCA

Wellers

Accountants 1 Vincent Square London SW1P 2PN

Page 9

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED

(A company limited by guarantee)

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted
funds
Note
2021
£
INCOME FROM:
Donations and legacies
2
1,112
Charitable activities
4
97,993
Investments
3
36,718
Other income
45,678
TOTAL INCOME
181,501
EXPENDITURE ON:
Charitable activities
5
255,399
TOTAL EXPENDITURE
7
255,399
NET EXPENDITURE BEFORE INVESTMENT
GAINS/(LOSSES)
(73,898)
Net gains
12
90,809
NET INCOME / (EXPENDITURE) BEFORE OTHER
RECOGNISED GAINS AND LOSSES
16,911
NET MOVEMENT IN FUNDS
16,911
RECONCILIATION OF FUNDS:
Total funds brought forward
1,753,249
TOTAL FUNDS CARRIED FORWARD
1,770,160		 Total
funds
2021
£
1,112
97,993
36,718
45,678
181,501
255,399
255,399
(73,898)
90,809
16,911
16,911
1,753,249
1,770,160		 Total
funds
2020
£
1,727
195,294
42,099
-
239,120
279,410
279,410
(40,290)
(1,461)
(41,751)
(41,751)
1,795,000
1,753,249

The notes on pages 13 to 24 form part of these financial statements.

SUMMARY INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021

Note
GROSS INCOME IN THE REPORTING PERIOD
Less: Total expenditure
NET INCOME FOR THE FINANCIAL YEAR
17		 Total
funds
2021
£
272,310
255,399
16,911		 Total
funds
2020
£
237,659
51,006
(41,751)

The notes on pages 13 to 24 form part of these financial statements.

Page 10

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee) REGISTERED NUMBER: 02788502

BALANCE SHEET AS AT 31 MARCH 2021

Note
FIXED ASSETS
Tangible assets
11
Investments
12
CURRENT ASSETS
Stocks
13
Debtors
14
Cash at bank and in hand
CREDITORS:amounts falling due within
one year
15
NET CURRENT LIABILITIES
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS:amounts falling due after
more than one year
16
NET ASSETS
CHARITY FUNDS
Unrestricted funds
17
TOTAL FUNDS		 2021
£
£
1,360,901
503,425
1,864,326
4,500
36,334
19,463
60,297
(111,571)
(51,274)
1,813,052
(42,892)
1,770,160
1,770,160
1,770,160		 2020
£
£
1,413,295
362,541
1,775,836
4,500
54,751
17,373
76,624
(99,211)
(22,587)
1,753,249
-
1,753,249
1,753,249
1,753,249

Page 11

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED

(A company limited by guarantee)

BALANCE SHEET (continued) AS AT 31 MARCH 2021

The company's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The Trustees consider that the company is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ("the Act") and members have not required the company to obtain an audit for the year in question in accordance with section 476 of the Act.

The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

22-11-21 The financial statements were approved and authorised for issue by the Trustees on and signed on their behalf, by:

................................................ G Bendon - Trustee

The notes on pages 13 to 24 form part of these financial statements.

Page 12

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. ACCOUNTING POLICIES

1.1 Basis of preparation of financial statements

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) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Newham Riding School & Association Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

1.2 Company status

The company is a company limited by guarantee. The members of the company are the Trustees named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the company.

1.3 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the company and which have not been designated for other purposes.

Investment income, gains and losses are allocated to the appropriate fund.

1.4 Income

All income is recognised once the company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

For legacies, entitlement is taken as the earlier of the date on which either: the company is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the company has been notified of the executor's intention to make a distribution. Where legacies have been notified to the company, or the company is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Page 13

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. ACCOUNTING POLICIES (continued)

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.

Charitable activities and Governance costs are costs incurred on the company's educational operations, including support costs and costs relating to the governance of the company apportioned to charitable activities.

1.6 Reconciliation with previous Generally Accepted Accounting Practice

In preparing these accounts, the Trustees have considered whether in applying the accounting policies required by FRS 102 and the Charities SORP FRS 102 the restatement of comparative items was required.

No restatements were required.

1.7 Tangible fixed assets and depreciation

A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the statement of financial activities.

Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

1.8 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

1.9 Pensions

The company contributes to a defined contribution pension scheme and the pension charge represents the amounts payable by the company to the fund in respect of the year.

Page 14

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. ACCOUNTING POLICIES (continued)

1.10 Going Concern

The company has faced significant cashflow difficulties in prior years and has been unable to meet interest payments as they arise. With the continued support of the Trustees, together with the sale of Stansfeld Road, the charity are confident that they can meet future obligations. The Trustees are satisfied that they can continue to provide such support to the organisation over the next twelve months and are confident that the organisation can generate sufficient income to meet its obligations. As such, the organisation is considered to be a going concern and the accounts have been prepared on this basis.

1.11 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the company; this is normally upon notification of the interest paid or payable by the Bank.

1.12 Debtors

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

1.13 Cash at Bank and in hand

Cash at bank and 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.

1.14 Liabilities and provisions

Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.

1.15 Financial instruments

The company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

Page 15

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

2. INCOME FROM DONATIONS AND LEGACIES

Unrestricted
funds
2021
£
Donations
1,112
Total 2020
1,727
INVESTMENT INCOME
Unrestricted
funds
2021
£
Rents received
35,173
Interest income
1,545
36,718
Total 2020
42,099
INCOME FROM CHARITABLE ACTIVITIES
Unrestricted
funds
2021
£
Ride fees
64,284
Private lessons
30,533
Special events
-
Birthday party
635
Own a Pony
-
Lease premium
541
Keits commission
2,000
97,993
Total 2020
195,294		 Total
funds
2021
£
1,112
1,727
Total
funds
2021
£
35,173
1,545
36,718
42,099
Total
funds
2021
£
64,284
30,533
-
635
-
541
2,000
97,993
195,294		 Total
funds
2020
£
1,727
Total
funds
2020
£
39,673
2,426
42,099
Total
funds
2020
£
132,295
50,186
2,447
3,650
3,675
541
2,500
195,294

3. INVESTMENT INCOME

4. INCOME FROM CHARITABLE ACTIVITIES

Page 16

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

5. GOVERNANCE COSTS

Audit and accountancy

Unrestricted Total
funds funds
2021 2020
£ £
4,032 3,456

6. SUPPORT COSTS

Depreciation of freehold property
Rates
Water charges
Repairs and maintenance
Depreciation of plant and machinery
Electricity
Telephone
Stationery
Office cleaning
Professional fees
Insurance
Trading costs
Sundry
Bank charges
Wages and salaries
Pension cost
Total 2020		 Support
costs
46,385
-
1,000
1,905
5,934
10,164
951
75
1,250
1,112
7,620
68,686
1,642
522
103,778
343
251,367
275,954		 Total
2021
46,385
-
1,000
1,905
5,934
10,164
951
75
1,250
1,112
7,620
68,686
1,642
522
103,778
343
251,367
275,954		 Total
2020
46,385
2,976
185
1,852
5,906
13,320
736
623
1,564
7,760
6,311
58,090
1,311
200
128,715
20
275,954

7. ANALYSIS OF EXPENDITURE BY EXPENDITURE TYPE

Support costs
Expenditure on governance
Total 2020		 Staff costs
Other costs
2021
£
2021
£
104,121
147,246
-
4,032
104,121
151,278
128,735
150,675		 Total
2021
£
251,367
4,032
255,399
279,410		 Total
2020
£
275,954
3,456
279,410

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DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

8. NET INCOME/(EXPENDITURE)

This is stated after charging:

2021 2020
£ £
Depreciation of tangible fixed assets:
- owned by the charity 52,319 52,291

During the year, no Trustees received any remuneration (2020 - £NIL). During the year, no Trustees received any benefits in kind (2020 - £NIL). During the year, no Trustees received any reimbursement of expenses (2020 - £NIL).

9. AUDITORS' REMUNERATION

The Independent Examiner's remuneration amounts to an Independent Examination fee of £3,456 (2020 - £3,456)

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DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

10. STAFF COSTS

Staff costs were as follows:

Wages and salaries
Other pension costs		 2021
£
103,778
343
104,121		 2020
£
128,715
20
128,735

The average number of persons employed by the company during the year was as follows:

2021 2020
No. No.
15 17

No employee received remuneration amounting to more than £60,000 in either year.

11. TANGIBLE FIXED ASSETS

Cost
At 1 April 2020
Additions
Disposals
At 31 March 2021
Depreciation
At 1 April 2020
Charge for the year
On disposals
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020		 Leasehold
property
£
2,319,244
-
-
2,319,244
922,384
46,385
-
968,769
1,350,475
1,396,860		 Plant &
machinery
£
102,894
1,500
(1,750)
102,644
86,459
5,934
(175)
92,218
10,426
16,435		 Total
£
2,422,138
1,500
(1,750
2,421,888
1,008,843
52,319
(175
1,060,987
1,360,901
1,413,295

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DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

12. FIXED ASSET INVESTMENTS

Market value
At 1 April 2020
Additions
Revaluations
At 31 March 2021
Market value
At 1 April 2020
Additions
Revaluations
At 31 March 2021
Investments at market value comprise:
Listed investments
Group
Total market value		 Listed
securities
£
362,539
50,000
90,884
503,423
Sub total
brought
forward
Shares in
group
undertakings
£
£
362,539
2
50,000
-
90,884
-
503,423
2
2021
£
503,423
2
503,425		 Sub total
carried
forward
£
362,539
50,000
90,884
503,423
Total
£
362,541
50,000
90,884
503,425
2020
£
362,539
2
362,541

All the fixed asset investments are held in the UK

Valuation

The investment shown is in respect of the entire share capital of Docklands Stable Management Limited. Given that the subsidiary remits it's entire profits each year to Newham Riding School Association in pursuit of it's charitable objectives, there are no retained earnings in the company. As such, the Trustees believe that the company's fair value has not materially changed from the initial consideration paid for the ordinary shares. Therefore, the investment value is carried at cost.

Page 20

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

13.
STOCKS
Closing stock
14.
DEBTORS
Amounts owed by group undertakings
Prepayments and accrued income
15.
CREDITORS: Amounts falling due within one year
Bank loans and overdrafts
Other taxation and social security
Other creditors
Accruals and deferred income
Deferred income
Deferred income at 1 April 2020
Amounts released from previous years
Deferred income at 31 March 2021
16.
CREDITORS: Amounts falling due after more than one year
Loans		 2021
£
4,500
2021
£
36,334
-
36,334
2021
£
7,108
1,319
1,637
101,507
111,571
2021
£
42,892		 2020
£
4,500
2020
£
44,743
10,008
54,751
2020
£
-
1,149
47
98,015
99,211
£
95,135
(541)
94,594
2020
£
-

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DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

16. CREDITORS: Amounts falling due after more than one year (continued)

Creditors include amounts not wholly repayable within 5 years as follows:

2021 2020
£ £
Repayable by instalments 2,651 -

The repayments on the loan are due to start from July 2021 for 60 months. The rate of interest charged on the loan is 2.5% payable on the outstanding principal amount of the loan and applicable until the final repayment date.

Page 22

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

17. STATEMENT OF FUNDS

STATEMENT OF FUNDS - CURRENT YEAR

Balance at 1
April 2020
£
Unrestricted funds
General Funds - all funds
1,753,249
STATEMENT OF FUNDS - PRIOR YEAR
Balance at
1 April 2019
£
General Funds - all funds
1,795,000
Total of funds
1,795,000
SUMMARY OF FUNDS - CURRENT YEAR
Balance at 1
April 2020
£
General funds
1,753,249
SUMMARY OF FUNDS - PRIOR YEAR
Balance at
1 April 2019
£
General funds
1,795,000		 Income
Expenditure
£
£
181,501
(255,399)
Income
Expenditure
£
£
239,120
(279,410)
239,120
(279,410)
Income
Expenditure
£
£
181,501
(255,399)
Income
Expenditure
£
£
239,120
(279,410)		 Gains/
(Losses)
Balance at
31 March
2021
£
£
90,809
1,770,160
Gains/
(Losses)
Balance at 31
March 2020
£
£
(1,461)
1,753,249
(1,461)
1,753,249
Gains/
(Losses)
Balance at
31 March
2021
£
£
90,809
1,770,160
Gains/
(Losses)
Balance at 31
March 2020
£
£
(1,461)
1,753,249

Page 23

DocuSign Envelope ID: C3A2AEFA-4E7B-408A-89EF-3D8D80F2D6B8

NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

18. ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT YEAR

Unrestricted Unrestricted
funds
2021
£
Tangible fixed assets 1,360,901
Fixed asset investments 503,425
Current assets 60,297
Creditors due within one year (111,571)
Creditors due in more than one year (42,892)
1,770,160

ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR YEAR

Unrestricted Unrestricted
funds
2020
£
Tangible fixed assets 1,413,295
Fixed asset investments 362,541
Current assets 76,624
Creditors due within one year (99,211)
1,753,249

19. PENSION COMMITMENTS

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £343 (2020 - £20) . Contributions comprising Employee and Employer contributions, totalling £84 (2020 - £47) were payable to the fund at the balance sheet date and are included in creditors.

20. RELATED PARTY TRANSACTIONS

At 31 March 2021, £36,334 (2020: £44,743) was due from Docklands Stable Management Limited, a subsidiary to Newham Riding School & Association Limited. Interest is charged on the average annual balance at 6% and for the year, amounted to £1,545 (2020: £1,536) . This balance is considered fully recoverable at the year end.

Gift aid payments received from Docklands Stable Management Limited, in the current year totalled £Nil (2020: £Nil) .

Page 24