DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
Registered number: 02788502 Charity number: 1043753
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED
(A company limited by guarantee)
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED
(A company limited by guarantee)
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the Company, its Trustees and advisers | 1 |
| Trustees' report | 2 - 9 |
| Independent examiner's report | 10 - 11 |
| Statement of financial activities | 12 |
| Balance sheet | 13 - 14 |
| Notes to the financial statements | 15 - 28 |
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
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 2023
| Trustees | G Bendon |
|---|---|
| M Fillery | |
| S Dunlop | |
| J Harris | |
| J Redgewell | |
| K Sorensen | |
| H Brooke | |
| Company registered number 02788502 Charity registered number 1043753 Registered office 1 Vincent Square London SW1P 2PN Accountants Wellers Accountants 1 Vincent Square London SW1P 2PN |
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023
The Trustees present their annual report together with the financial statements of the Company for the 1 April 2022 to 31 March 2023. The annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable 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 (FRS102) (effective 1 January 2019).
Since the Company qualifies as small under section 382 of the Companies Act 2006, the strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.
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 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.
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Objectives and activities (continued)
d. Main activities undertaken to further the Company's purposes for the public benefit
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
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.
Achievements and performance
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Achievements and performance (continued)
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 2022/23
The most important and sad news for the Financial Year is that Gareth Bendon has decided to resign as Chairman due to ill health. After more than 20 years service he will be fondly remembered and greatly missed. It was agreed by all the Trustees present that John Harris will take up the duties of Chairman.
With regard to rental income UKPN increased their rent to £25000 p.a. (an increase of £3040 p.a.). However, Vodafone have not renewed their Lease as yet and have not increased their rent for many years – as is shown in the original Agreement in September 2000.
During this year it also came to light that Vodafone had been using our electricity since 2000. The Lease Agreement states that they have to install their own meter for power or, they can install a sub-meter and we could invoice them monthly as we do with Ocean Outdoor. There is an enclosed box in our Meter Cupboard which everyone had assumed was their Meter. However, it came light that this was not the case when we had an electrician carry out some work. After many months of chasing we are now getting payments for the Current Year but are having difficulty to secure backdated arrears.
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NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Achievements and performance (continued)
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Achievements and performance (continued)
Ride numbers in 2022 – 2023 were as follows:
| 2023 | 2022 | 2021 | 2020 | |
|---|---|---|---|---|
| Disabled | 759 | 190 | 20 | 2055 |
| Children | 2405 | 3037 | 990 | 2640 |
| Adults | 218 | 425 | 158 | 299 |
| Child Starters | 1612 | 1820 | 680 | 2282 |
| Adult Starters | 136 | 87 | ||
| Private | 2264 | 2280 | 945 | 1752 |
As illustrated above lessons are coming back but groups are not back to the earlier figures before the Pandemic. However, the Private Lessons have increased. It would appear that more people want to pay for a Private Lessons but not ride as often. We were pleased to welcome back our RDA Groups. However, due to the increase in fees and the budget cutbacks we now only have 4-5 schools per week. In addition to this there side-walker rules have changed. At our best times we had up to 18 groups.
The school started the year with 5 Apprentices and concluded with 6. We also acquired a new Duty Riding Manager. With our In-House Training we were able to put 4 of our Apprentices and 2 of our Volunteers through their BHS Stage 1 Exam and Ride and Road Safe.
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. The Manège and surrounding paths were in a very poor state of repair. To this end we had them all taken up and relaid to make it all a lot safer and more pleasing to the eye. Whilst doing this we removed 2 of the paths and 4 of the trees and created a new turn-out area for the horses/ponies. This enables us to give more of them space to exercise and play at any one time. We have received numerous compliments with our new look and very favourable comments from the Licensing Inspector. The total cost for all of these works was £31,000. Our next item on the agenda is a new surface and sprinkler system in the Indoor Arena.
One much needed 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.
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Financial review
a. Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
b. 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.
c. 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.
Lesson Payments:
In the past the vast majority of our fees were received in cash. In recent times many things have changed in this regard. With this in mind we installed a Card Machine and all Ride Fees are now paid in the office. Some people (especially those on courses) pay directly to our Bank Account. However, this has meant that a lot of our expenses, which are normally paid with cash, cannot be covered by the cash received from Clients. Furthermore, our Bank Charges have increased from £80 p.a. to £2000 p.a.
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. Methods of appointment or election of Trustees
The management of the Company is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association.
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NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Structure, governance and management (continued)
c. Organisational structure and decision-making policies
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.
d. 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 Accounts.
e. Financial risk management
The Trustees have assessed the major risks to which the Company is exposed, in particular those related to the operations and finances of the Company, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.
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.
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Statement of Trustees' responsibilities
The Trustees (who are also the directors of the Company 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 . 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 Company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles of the Charities SORP (FRS 102);
-
make judgments and accounting estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the 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 Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the members of the board of Trustees and signed on their behalf by:
................................................ J Harris (Chair of Trustees) Date: 22-12-23
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NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 MARCH 2023
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 2023.
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.
Independent examiner's statement
Since the Company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ACA, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
-
the accounts do not accord with those records; or
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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
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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.
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.
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NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
INDEPENDENT EXAMINER'S REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Signed:
Mr Matthew Wyatt
22-12-23 Dated:
FCA
Wellers Accountants 1 Vincent Square London SW1P 2PN
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED
(A company limited by guarantee)
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2023
| Note Income from: Donations and legacies 3 Charitable activities 4 Investments 5 Other income 6 Total income Expenditure on: Charitable activities Total expenditure Net income/(expenditure) before net (losses)/gains on investments Net (losses)/gains on investments Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2023 £ 6,476 214,093 126,449 8,277 355,295 342,611 342,611 12,684 (6,504) 6,180 1,784,331 6,180 1,790,511 |
Total funds 2023 £ 6,476 214,093 126,449 8,277 355,295 342,611 342,611 12,684 (6,504) 6,180 1,784,331 6,180 1,790,511 |
Total funds 2022 £ 10,811 216,048 33,624 31,041 291,524 335,898 335,898 (44,374) 58,545 14,171 1,770,160 14,171 1,784,331 |
|---|---|---|---|
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 15 to 28 form part of these financial statements.
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NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee) REGISTERED NUMBER: 02788502
BALANCE SHEET AS AT 31 MARCH 2023
| 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 excluding pension asset Total net assets Charity funds Restricted funds 17 Unrestricted funds 17 Total funds |
4,500 55,731 40,829 101,060 (109,401) |
2023 £ 1,265,996 556,966 1,822,962 (8,341) 1,814,621 (24,110) 1,790,511 1,790,511 - 1,790,511 1,790,511 |
4,500 45,988 12,558 63,046 (116,986) |
2022 £ 1,310,323 561,970 1,872,293 (53,940) 1,818,353 (34,022) 1,784,331 1,784,331 - 1,784,331 1,784,331 |
|---|---|---|---|---|
The Company was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee) REGISTERED NUMBER: 02788502
BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2023
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
................................................
J Harris
Date:
22-12-23
The notes on pages 15 to 28 form part of these financial statements.
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NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
1. General information
Newham Riding School & Association Limited is a private limited company, incorporated in England and Wales. The registered office address is 1 Vincent Square, London SW1P 2PN.
2. Accounting policies
2.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the 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.
2.2 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.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.
2.3 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic 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.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Company's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
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NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
2. Accounting policies (continued)
2.4 Tangible fixed assets and depreciation
Tangible fixed assets costing £NIL or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, .
Depreciation is provided on the following bases:
- Leasehold property 2% straight line - Plant and machinery 10% and 25% straight line
2.5 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the statement of financial activities.
Investments in subsidiaries are valued at cost less provision for impairment.
2.6 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.
2.7 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.
2.8 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.
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
2. Accounting policies (continued)
2.9 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 in the statement of financial activities as a finance cost.
2.10 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.
2.11 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.
2.12 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.
3. Income from donations and legacies
| Unrestricted | Total | |
|---|---|---|
| funds | funds | |
| 2023 | 2023 | |
| £ | £ | |
| Donations | 6,476 | 6,476 |
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DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
3. Income from donations and legacies (continued)
| Unrestricted | Total | |
|---|---|---|
| funds | funds | |
| 2022 | 2022 | |
| £ | £ | |
| Donations | 10,811 | 10,811 |
4. Income from charitable activities
| Ride fees Private lessons Income from charitable activities - Special events Birthday party Own a Pony Lease premium Keits commission Ride fees Private lessons Birthday party Income from charitable activities - Direct costs Lease premium Keits commission |
Unrestricted funds 2023 £ 118,537 86,879 542 1,720 5,875 540 - 214,093 Unrestricted funds 2022 £ 124,687 83,321 1,655 4,345 540 1,500 216,048 |
Total funds 2023 £ 118,537 86,879 542 1,720 5,875 540 - |
|---|---|---|
| 214,093 | ||
| Total funds 2022 £ 124,687 83,321 1,655 4,345 540 1,500 |
||
| 216,048 |
Page 18
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
5. Investment income
| Rents received Interest income Rents received Interest inccome Other incoming resources Grant income Grant income |
Unrestricted funds 2023 £ 125,148 1,301 126,449 Unrestricted funds 2022 £ 32,473 1,151 33,624 Unrestricted funds 2023 £ 8,277 Unrestricted funds 2022 £ 31,041 |
Total funds 2023 £ 125,148 1,301 |
|---|---|---|
| 126,449 | ||
| Total funds 2022 £ 32,473 1,151 |
||
| 33,624 | ||
| Total funds 2023 £ 8,277 |
||
| Total funds 2022 £ 31,041 |
6. Other incoming resources
Page 19
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
7. Analysis of expenditure by activities
| Charitable costs Private lessons Direct costs Charitable costs |
Activities undertaken directly 2023 £ - 3,500 659 4,159 |
Support costs 2023 £ 338,452 - - 338,452 Support costs 2022 £ 335,898 |
Total funds 2023 £ 338,452 3,500 659 |
|---|---|---|---|
| 342,611 | |||
| Total funds 2022 £ 335,898 |
Page 20
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
7. Analysis of expenditure by activities (continued)
Analysis of support costs
| Staff costs Depreciation Trading costs Loan interest Water costs Repairs and maintenance Electricity Telephone Office cleaning Professional fees Insurance Sundry Bank charges Stationery Governance costs 8. Independent examiner's remuneration |
Total funds 2023 £ 143,934 47,828 88,066 983 1,000 9,160 28,612 417 1,779 3,001 6,646 1,303 637 1,630 3,456 338,452 |
Total funds 2022 £ 140,708 50,578 80,780 788 1,000 35,926 10,682 933 1,341 1,291 5,834 1,464 1,117 - 3,456 |
|---|---|---|
| 335,898 | ||
| 2023 | |
|---|---|
| £ | |
| Fees payable to the Company's independent examiner for the independent examination | |
| of the Company's annual accounts | 3,456 |
Page 21
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
9. Staff costs
| Wages and salaries Contribution to defined contribution pension schemes |
2023 £ 143,313 621 143,934 |
2022 £ 140,251 456 |
|---|---|---|
| 140,707 |
The average number of persons employed by the Company during the year was as follows:
| 2023 | 2022 | |||
|---|---|---|---|---|
| No. | No. | |||
| Staff | 15 | 16 |
No employee received remuneration amounting to more than £60,000 in either year.
10. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2022 - £NIL) .
During the year ended 31 March 2023, no Trustee expenses have been incurred (2022 - £NIL) .
Page 22
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
11. Tangible fixed assets
| Cost or valuation At 1 April 2022 Additions Disposals At 31 March 2023 Depreciation At 1 April 2022 Charge for the year At 31 March 2023 Net book value At 31 March 2023 12. Fixed asset investments Cost or valuation At 1 April 2022 Revaluations At 31 March 2023 Net book value At 31 March 2023 At 31 March 2022 |
Freehold property £ 2,319,244 - - 2,319,244 1,015,154 46,385 1,061,539 1,257,705 Investments in subsidiary companies £ 2 - 2 2 2 |
Plant and machinery £ 102,644 7,000 (3,500) 106,144 96,410 1,443 97,853 8,291 Listed investments £ 561,968 (5,004) 556,964 556,964 561,968 |
Total £ 2,421,888 7,000 (3,500) 2,425,388 1,111,564 47,828 1,159,392 1,265,996 Total £ 561,970 (5,004) 556,966 556,966 561,970 |
|---|---|---|---|
Page 23
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
. Investments are market value comprise:
| Listed investments Group investments Total market value |
2023 £ 561,968 2 561,970 |
2022 £ 503,423 2 |
|---|---|---|
| 503,425 |
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.
Principal subsidiaries
The following was a subsidiary undertaking of the Company:
| Name | Company | Registered office or principal | Principal activity | ||
|---|---|---|---|---|---|
| number | place of business | ||||
| Docklands | Stable Management | 02690596 | 1 Vincent Square, London, | Trading subsidiary | |
| Limited | SW1P 2PN | ||||
| Class of | Holding | Included in | |||
| shares | consolidation | ||||
| Ordinary | 100% | No |
The financial results of the subsidiary for the year were:
| Name | Income | Expenditure | Profit/(Loss)/ |
|---|---|---|---|
| £ | £ | Surplus/ | |
| (Deficit) for | |||
| the year | |||
| £ | |||
| Docklands Stable Management Limited | 17,780 | (28,897) | (11,117) |
Page 24
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
Net assets £
(46,013)
| 13. Stocks Stock 14. Debtors Due within one year Amounts owed by group undertakings Prepayments and accrued income 15. Creditors: Amounts falling due within one year Bank loans Other taxation and social security Pension fund loan payable Other creditors Accruals and deferred income Deferred income at 1 April 2022 |
2023 £ 4,500 2023 £ 50,975 4,756 55,731 2023 £ 9,913 2,500 17 - 96,971 109,401 |
2022 £ 4,500 |
|---|---|---|
| 2022 £ 41,193 4,795 |
||
| 45,988 | ||
| 2022 £ 9,666 1,725 17 8,067 97,511 |
||
| 116,986 | ||
| 2023 £ 94,053 |
Page 25
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
16. Creditors: Amounts falling due after more than one year
Bank loans
| 2023 | 2022 |
|---|---|
| £ | £ |
| 24,110 | 34,022 |
The repayments on the loan started 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.
17. Statement of funds
Statement of funds - current year
| Balance at 1 | Gains/ | Balance at 31 | |||
|---|---|---|---|---|---|
| April 2022 | Income | Expenditure | (Losses) | March 2023 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | |||||
| General Funds - all funds | 1,784,331 | 355,295 | (342,611) | (6,504) | 1,790,511 |
| Statement of funds - prior | year | ||||
| Balance at | |||||
| Balance at | Gains/ | 31 March | |||
| 1 April 2021 | Income | Expenditure | (Losses) | 2022 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | |||||
| General Funds - all funds | 1,770,160 | 291,524 | (335,898) | 58,545 | 1,784,331 |
Page 26
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
18. Summary of funds
Summary of funds - current year
| Balance at 1 | Gains/ | Balance at 31 | |||
|---|---|---|---|---|---|
| April 2022 | Income | Expenditure | (Losses) | March 2023 | |
| £ | £ | £ | £ | £ | |
| General funds | 1,784,331 | 355,295 | (342,611) | (6,504) | 1,790,511 |
| Summary of funds - prior year | |||||
| Balance at | |||||
| Balance at | Gains/ | 31 March | |||
| 1 April 2021 | Income | Expenditure | (Losses) | 2022 | |
| £ | £ | £ | £ | £ | |
| General funds | 1,770,160 | 291,524 | (335,898) | 58,545 | 1,784,331 |
19. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Creditors due in more than one year Total |
Unrestricted funds 2023 £ 1,265,996 556,966 101,060 (109,401) (24,110) 1,790,511 |
Total funds 2023 £ 1,265,996 556,966 101,060 (109,401) (24,110) 1,790,511 |
|---|---|---|
Page 27
DocuSign Envelope ID: 1A188063-65C7-4E79-BDB1-1AC0508DB4FE
NEWHAM RIDING SCHOOL & ASSOCIATION LIMITED (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
19. Analysis of net assets between funds (continued)
Analysis of net assets between funds - prior year
| Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Creditors due in more than one year Total |
Unrestricted funds 2022 £ 1,310,324 561,970 63,045 (116,986) (34,022) 1,784,331 |
Total funds 2022 £ 1,310,324 561,970 63,045 (116,986) (34,022) 1,784,331 |
|---|---|---|
20. 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 £621 (2022 - £456). Contributions comprising Employee and Employer contributions, totalling £17 (2022 - £17) were payable to the fund at the balance sheet date and are included in creditors.
21. Related party transactions
At 31 March 2023, £50,975 (2022: £41,193) 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 £1,296 (2022: £1,150). 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 (2022: £Nil).
Page 28