Company registration no: 3004105 Charity registration no: 1049106
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Annual report and financial statements
for the year ended
31 December 2020
Northumberland Federation of Women’s Institutes (a company limited by guarantee)
Annual report and financial statements for the year ended 31 December 2020
Contents
| Page | |
|---|---|
| Legal and administrative information | 1 |
| Report of the Board of Trustees | 2 - 4 |
| Independent examiner’s report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Notes forming part of the financial statements | 8 - 12 |
Northumberland Federation of Women’s Institutes (a company limited by guarantee)
Legal and administrative information
| Board of Trustees: | M Bengtson |
|---|---|
| N Birch | |
| K Coleman | |
| P Douglas | |
| B Kilkenny | |
| P Lamb | |
| S Malloy | |
| J McLean | |
| M Read | |
| H Robson | |
| D Sowerby (co-opted member) |
|
| J Woodsford | |
| Registered office: | Cresswell House |
| 11/12 Brenkley Way | |
| Blezard Business Park | |
| Seaton Burn | |
| Newcastle upon Tyne | |
| NE13 6DS | |
| Company registration no: | 3004105 |
| Charity registration no: | 1049106 |
| Bankers: | Lloyds Bank plc |
| Grey Street | |
| Newcastle upon Tyne | |
| Independent examiner: | John Oswald BA FCA |
| Stephenson Coates Audit Limited | |
| West 2, Asama Court | |
| Newcastle Business Park | |
| Newcastle upon Tyne | |
| NE4 7YD |
Page 1
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Report of the Board of Trustees
for the year ended 31 December 2020
The elected members of the Board of Trustees, who are also directors of the charity for the purposes of the Companies Act, present their annual report and the financial statements for the year ended 31 December 2020. The Board has adopted the provisions of the Charities SORP (FRS102) - Statement of Recommended Practice, Accounting and Reporting by Charities, in preparing the annual report and financial statements of the charity.
Objects of the charity, principal activities and organisation of our work
The Northumberland Federation of Women’s Institutes is a company limited by guarantee and as such is bound by Company Law. The elected members of the Board of Trustees constitute the Board of Directors. They are jointly and severally responsible for the financial well being and general and proper running of the Federation. They also undertake to oversee the general repairs and upkeep of Cresswell House. The Honorary Treasurer acts as the Company Secretary; the Chairman is the Federation Chairman. The Northumberland Federation of Women’s Institutes is a registered charity and is answerable to the Charity Commission. The Federation is affiliated to the National Federation of Women’s Institutes.
The principal activity of the charity is furthering the purpose of the Women’s Institute movement in Northumberland and elsewhere.
Elections for the Board of Trustees normally take place bi-annually. There was a newly elected Board of Trustees following the AGM in 2019.
This year because of Covid restrictions the Board of Trustees met on five occasions, with an average attendance of 10.
There are five committees. They are, Membership Support (which is a-typical as it consists of all the W.I. Advisors; these are appointed annually by the National Federation on the recommendation of the Board of Trustees; Board Members who are W.I. Advisors sit on this committee as full serving members regardless of their other duties), Combined Arts, Crafts, Public Affairs & Education, and Sports & Leisure. All subcommittee meetings are held in Cresswell House on Tuesdays. Two Board members are appointed to each subcommittee. The Chairman of each sub-committee must be a Board member. As a result, the Board of Trustees members are involved in all aspects of the Federation's activities.
There are four Officers elected by the Board members, Chairman, Treasurer and two Vice Chairmen. As with all posts within the W.I. these appointments are for the current year only. The Officers sit ex officio on all the Federation Sub committees. The Chairman and Treasurer are Members of National Council.
The National Council Meeting held in October was this year done via Zoom and attended by the Federation Chairman. Earlier in the year the Chairman and Karen Coleman, one of the Vice Chairman, also attended a general Zoom chat with the National Board of Trustees. The Chairman also attended various Zoom meetings with National and all other Federation Chairmen throughout the year regarding changes to the Constitution and flexibility of WI portion of Annual Subscriptions.
Several other National led Zoom meetings dealing with subscriptions, membership and engagement were also attended throughout the year and in the Autumn the Chairman attended the West Sussex Federation Council Meeting also via Zoom.
Page 2
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Report of the Board of Trustees (continued)
for the year ended 31 December 2020
Objects of the charity, principal activities and organisation of our work (continued)
We would like to thank those Members who represented the Federation on outside bodies.
On behalf of all the Board Members, the Sub Committee Members and all the Northumberland W.I. Members, we wish to thank Nancy Gash for all her hard work and support and for running the office so happily and efficiently as Federation Secretary; and Mr Dave Read for his hard work in the ongoing maintenance and general upkeep of Cresswell House. We would like to thank fellow Board Members and all the Sub Committee Members for all their hard work and the time they have given to the Federation.
Activities and achievements
Our activities in 2020 were severely impacted by the Covid-19 pandemic and the Government imposed restrictions on meetings and social interaction arising from this.
Detailed reports on the sub-committees' activities and achievements are given separately to this report. In setting our objectives and planning our activities, the Trustees have regard to the Charity Commission’s public benefit guidance when exercising any powers or duties to which the guidance is relevant.
Financial review
The summary income and expenditure account is set out on page 6. There is a net deficit for the year of £29,939. This compares with a net surplus of £3,029 in 2019. The deficit for the year is stated after net losses of £8,977 on investments (2019: net gains of £11,970).
The result for the year reflects the restrictions imposed for most of the year on the activities of the charity. The County subscription year has also been changed to 31 March from 31 December, and we have deferred subscription income received in the year to cover the three month period to 31 March 2021.
Investment policy
The Board of Trustees has considered the most appropriate policy for investing cash resources and has decided that a mix of managed funds, interest bearing bank, special investment and national savings accounts meet its requirements of a reasonable rate of return, without significant capital risk, and with predictable accessibility to the funds. The Board review this policy on a regular basis. During the year, because of the need for liquidity, the Board took the decision to convert the investments managed by Investec into cash.
Reserves
The Board of Trustees considers it appropriate to hold free reserves of between £50,000 and £100,000 to provide adequate working capital for the charitable activities, and to provide a buffer against changes in circumstances. At 31 December 2020 the free reserves of the charitable company were £171,716, a decrease in the year of £27,907.
Risk management
The Board of Trustees actively review the major risks which the charitable company faces on a regular basis and believe that maintaining free reserves, combined with quarterly review of the controls over financial systems, will provide sufficient resources in the event of adverse conditions. The Board has examined other operational and business risks faced by the charitable company and confirm that it has established systems to mitigate the significant risks, particularly through insurance cover.
Page 3
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Report of the Board of Trustees (continued)
for the year ended 31 December 2020
Directors
The members forming the Board of Trustees during the year and up to the date of this report are set out on page 1.
Board of Trustee's responsibilities in relation to the financial statements.
The Board is responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Company law requires the Board to prepare financial statements for each financial year. Under that law the Board has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Board 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 year. In preparing these financial statements, the Board are required to:
-
select suitable accounting policies and apply them consistently;
-
make judgements and estimates that are reasonable and prudent;
-
prepare the financial statements on the going concern basis, unless it is inappropriate to presume that the charitable company will continue in business.
The Board is 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 the Board to ensure that the financial statements comply with the Companies Act 2006. The Board is 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.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small entities regime.
Approval
This report was approved by the Board of Trustees on 17 March 2021 and is signed on its behalf by:
M Read Chairman
Page 4
Northumberland Federation of Women's Institutes
(a company limited by guarantee)
Independent examiner's report on the unaudited financial statements to the directors of Northumberland Federation of Women’s Institutes
I report to the charity trustees on my examination of the accounts of the charitable company for the year ended 31 December 2020, which are set out on pages 6 to 12.
Responsibilities and basis of report
As the charity’s trustees of the company (and also 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 your charity’s accounts as 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 report
I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales.
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:
-
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 accounting records; or
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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
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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.
John Oswald BA FCA Stephenson Coates Audit Limited Chartered accountants
West 2, Asama Court Newcastle Business Park Newcastle upon Tyne NE4 7YD
17 March 2021
Page 5
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Statement of financial activities for the year ended 31 December 2020
Summary income and expenditure account
| Unrestricted funds | Unrestricted funds | |
|---|---|---|
| 2020 | 2019 | |
| £ | £ | |
| Income from: | ||
| Donations | 3,161 | - |
| Charitable activities (note 3) | 25,866 | 50,128 |
| Other trading activities (note 4) | 9,621 | 34,832 |
| Investments (note 5) | 4,116 | 7,252 |
| Miscellaneous income | 51 | - |
| Total | 42,815 | 92,212 |
| _____ | _____ | |
| Expenditure on: | ||
| Raising funds | ||
| Trading accounts expenditure | 5,824 | 8,098 |
| Fund raising expenditure | 935 | 17,069 |
| Investment manager's charges | 980 | 1,200 |
| 7,739 | 26,367 | |
| Charitable activities (note 6) | 56,038 | 74,786 |
| _____ | _____ | |
| Total | 63,777 | 101,153 |
| _____ | _____ | |
| Net (losses)/gains on investments | (8,977) | 11,970 |
| _ | ______ | |
| Net (expenditure)/income – net movement in funds | (29,939) | 3,029 |
| Total funds brought forward | 508,766 | 505,737 |
| ______ | ______ | |
| Total funds carried forward | 478,827 ______ |
508,766 ______ |
The notes on pages 8 to 12 form part of these financial statements.
Page 6
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Balance sheet at 31 December 2020
| Notes 2020 £ Fixed assets Tangible assets 8 Investments 9 Total fixed assets Current assets Stocks 10 452 Debtors 11 5,791 Cash at bank and in hand 88,562 Special deposit account 41 Total current assets 94,846 Creditors Amounts due within one year 12 (16,036) Net current assets/(liabilities) _____ Total net assets Funds - unrestricted |
£ 307,111 92,906 400,017 78,810 478,827 __ 478,827 ____ |
2019 £ 625 3,048 526 41 4,240 (6,270) _____ |
£ 309,143 201,653 510,796 (2,030) |
|
|---|---|---|---|---|
508,766 __ 508,766 ____ |
The notes on pages 8 to 12 form part of these financial statements.
In approving these financial statements as directors of the charitable company we hereby confirm:
(a) that for the year stated above the charitable company was entitled to the exemption conferred by Section 477 of the Companies Act 2006;
(b) that no notice has been deposited at the registered office of the charitable company pursuant to Section 476 requesting that an audit be conducted for the year ended 31 December 2020 and
(c) that we acknowledge our responsibilities for:
-
ensuring that the charitable company keeps accounting records which comply with Section 386, and
-
preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of the financial year and of its profit or loss for the year then ended in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the provisions of the Companies Act relating to financial statements, so far as applicable to the charitable company.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small entities regime of Financial Reporting Standard 102.
These financial statements were approved by the Board on 17 March 2021 and are signed on their behalf by:
M. Read N. Birch Chairman Honorary Treasurer
Company registration number: 3004105
Page 7
Northumberland Federation of Women's Institutes
(a company limited by guarantee)
Notes to the financial statements for the year ended 31 December 2020
1. Accounting policies 1.1 Basis of preparation of financial statements
The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Companies Act 2006. The financial statements are prepared in Sterling (£), which is the functional currency of the entity,
The directors of the charitable company are satisfied that there are no material uncertainties concerning the charitable company’s ability to continue as a going concern for a period of at least 12 months from the date of approval of the financial statements. Accordingly, the financial statements continue to be prepared on the going concern basis.
The charitable company constitutes a public benefit entity as defined by FRS 102 and is an incorporated charity (number 1049106). The registered office is at Cresswell House, 11/12 Brenkley Way, Blezard Business Park, Seaton Burn, Newcastle upon Tyne.
1.2 Income
Income is accounted for on an accruals basis, and is shown gross, with associated costs included in costs of raising funds and charitable activities. Investment income is accounted for when receivable.
1.3 Expenditure
Expenditure is included in the Statement of Financial Activities on an accruals basis. Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charitable company to that expenditure, 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 which is directly attributable to specific activities has been included in these cost categories. Where costs are attributable to more than one activity, they have been apportioned across the cost categories on a basis consistent with the use of these resources.
1.4 Operating leases
Rentals applicable to operating leases are charged to the Statement of Financial Activities on a straight line basis over the period they are incurred.
1.5 Tangible fixed assets
Depreciation is provided on equipment and fixtures partly at a rate of 20% on a reducing balance basis and partly at 10% on a straight line basis.
Depreciation has not been charged on the charitable company’s freehold property. The property is subject to regular maintenance; and in the opinion of the Board of Trustees any depreciation would be immaterial. The carrying value of the property, and other fixed assets, is reviewed annually by the Trustees for impairment. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared against its carrying amount. Where the estimated recoverable amount is lower, an impairment loss is recognised immediately in the Statement of Financial Affairs.
1.6 Investments
Investments are a form of basic financial instrument and are initially recognised at their cost and subsequently measured at fair value as at the balance sheet date using the closing quoted market price. The Statement of Financial Activities includes the unrealised gains and losses arising on revaluation of investments held at the year-end and the realised gains and losses on disposals throughout the year.
1.7 Stocks
Stocks are stated at the lower of cost and net realisable value.
Page 8
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Notes to the financial statements for the year ended 31 December 2020 (continued)
2 . Turnover
All income was derived within the United Kingdom.
| 3. Income from charitable activities County affiliation fees Other affiliation fees Sub-committees' income 4. Income from other trading activities Trading accounts income Fund raising income 5. Income from investments Rent received Interest received Dividends received 6. Charitable activities Sub-committees' expenditure WI support costs (note 7) House expenses Membership support Committee expenses Accountants fees Depreciation Other |
2020 £ 25,070 119 677 25,866 _ 2020 £ 6,446 3,175 9,621 2020 £ 450 777 2,889 4,116 _ 2020 £ 591 36,741 14,522 (66) (654) 2,340 2,704 (140) 56,038 _____ |
2019 £ 30,985 3,264 15,879 50,128 _ 2019 £ 9,832 25,000 34,832 2019 £ 2,065 1,331 3,856 7,252 __ 2019 £ 9,653 41,269 14,624 (3,420) 7,188 2,340 2,779 353 74,786 _____ |
|
|---|---|---|---|
Page 9
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Notes to the financial statements for the year ended 31 December 2020 (continued)
7. Staff costs
No remuneration was paid to members of the Board of Trustees (who are considered to be key management personnel for the purposes of FRS102) during the year. Travel expenses amounting to £214 (2019: £1,280) were reimbursed to them.
| Staff costs were as follows: Wages and salaries Social security costs Pension costs |
2020 £ 23,516 - 1,182 24,698 _____ |
2019 £ 21,899 - 886 |
|---|---|---|
| 22,785 _____ |
The average number of employees (excluding directors) was 1 (2019: 1).
| 8. Tangible fixed assets Freehold Equipment and property fixtures £ £ Cost As at 1 January 2020 299,289 40,532 Additions - 672 Disposals - (1,325) As at 31 December 2020 299,289 39,879 Depreciation As at 1 January 2020 - 30,678 Charge for the year - 2,704 Disposals - (1,325) As at 31 December 2020 - 32,057 Net book values At 31 December 2020 299,289 7,822 __ At 31 December 2019 299,289 9,854 ___ |
Total £ 339,821 672 (1,325) |
|---|---|
339,168 30,678 2,704 (1,325) |
|
32,057 307,111 __ 309,143 ____ |
All tangible fixed assets are used for charitable purposes.
Page 10
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Notes to the financial statements for the year ended 31 December 2020 (continued)
| 9. Investments At valuation:market value at 31 December Investec portfolio Charities Investment Fund investments At cost: Bursaries - national savings accounts National Savings Income Bonds COIF Charities deposit fund Investec cash holding Scottish Widows Investec portfolio Market value at 31 December 2019 Acquisitions at cost Proceeds of disposals Net realised losses in the year Market value at 31 December 2020 |
2020 £ - 18,540 81 34,000 40,275 - 10 92,906 __ £ 99,304 9,544 (98,752) (10,096) - ____ |
2020 £ - 18,540 81 34,000 40,275 - 10 92,906 __ £ 99,304 9,544 (98,752) (10,096) - ____ |
2019 £ 99,304 17,421 80 34,000 48,275 2,563 10 201,653 ______ |
|---|---|---|---|
10. Stocks
| Stocks | ||
|---|---|---|
| 2020 | 2019 | |
| £ | £ | |
| Aprons | 100 | 200 |
| Souvenirs | 100 | 149 |
| Stationery and books | 25 | 46 |
| Badges | 100 | 145 |
| Centenary items | 27 | 30 |
| Diaries | 100 | 55 |
| 452 ____ |
625 ____ |
Page 11
Northumberland Federation of Women's Institutes (a company limited by guarantee)
Notes to the financial statements for the year ended 31 December 2020 (continued)
11. Debtors
| 11. | Debtors | ||
|---|---|---|---|
| 2020 | 2019 | ||
| £ | £ | ||
| Due within one year: | |||
| Trade debtors | 1,025 | 216 | |
| Prepayments and accrued income | 4,766 | 2,832 | |
| 5,791 | 3,048 | ||
| ____ | ____ | ||
| 12. | Creditors: amounts falling due within one year | ||
| 2020 | 2019 | ||
| £ | £ | ||
| Accruals | 4,386 | 6,270 | |
| Deferred income | 10,292 | - | |
| Other creditors | 1,358 | 5,582 | |
| 16,036 ____ |
6,270 ____ |
Page 12