OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2021-12-31-accounts

Registered number: 02955851 Charity number: 1050493

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2021

HARLOW HEALTH CENTRES TRUST 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 auditors' report on the financial statements 8 - 11
Consolidated statement of financial activities 12 - 13
Consolidated balance sheet 14 - 15
Charity balance sheet 16 - 17
Consolidated statement of cash flows 18
Notes to the financial statements 19 - 36

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2021

Trustees Pat Larkin
John Houston (resigned 12 April 2021)
Derek Fenny (resigned 9 January 2022)
Pam Heeks (resigned 11 June 2021)
Stephen LeMay (resigned 15 July 2022)
Byron Jones
Luigi Martini
Anthony Evans
Jill Rowlinson (appointed 25 March 2022)
Tracy Manzi (appointed 25 March 2022)
Company registered
number
02955851
Charity registered
number
1050493
Registered office
The Latton Bush Centre
Southern Way
Harlow
Essex
CM18 7BL
Chief executive officer
Carol Sizeland (until 30 June 2022)
Geoff Roberts (from 5 April 2022)
Independent auditors
Price Bailey LLP
Chartered Accountants
Causeway House
1 Dane Street
Bishop's Stortford
Hertfordshire
CM23 3BT
Bankers
Lloyds Bank
Bank House
Primett Road
Stevenage
SG1 3EE
Solicitors
Foskett Marr Gadsby and Head
106/108 High Road
Loughton
Essex
IG10 4HN

Page 1

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

The Trustees (who are also directors of the charity for the purposes of the Companies Act) present their annual report together with the audited financial statements of Harlow Health Centres Trust Limited (the charity) for the year ended 31 December 2021. The Trustees confirm that the Annual Report and financial statements of the charity comply with the current statutory requirements, the requirements of the charity'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 2019).

Since the charity 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

Harlow Health Centres Trust owns and is responsible for six health centres in Harlow providing general practitioner (GP), dentistry, community services, and pharmaceutical and other specialist services. Since 1994 the Trust has undertaken a programme of redevelopment of existing centres, providing new health facilities for the residents of Harlow. HHCT also provides grants and donations to support appropriate health initiatives and now has a charitable mandate to expand its operations throughout Essex and Hertfordshire.

Vision and mission:

The Trust’s mission is to provide high quality, community based health centres and foster improved health outcomes through the targeted use of grants and donations. This will be achieved through the delivery of the Strategy.

Our corporate values are:

Our Corporate aims, objectives and Action Plan were developed following a programme of analysis and review during 2018. HHCT has five overarching aims and objectives for the period 2021-2022. These are to:

The Board monitor the Action Plan which outlines the agreed steps to achieve the desired strategy and how progress is being made. In the achievements section, there is a summary of the state of play of those actions and their progress.

Page 2

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2021

Grants and donations:

Organisations and individuals may apply for grants which promote the objectives of the charity. Applications are considered by the trustees who will, if required, seek specialist advice and consult with the appropriate bodies. The Trustees have agreed to budget grants and donations in 2021 at £123,000 per annum.

ACHIEVEMENTS AND PERFORMANCE

Good progress has been made against the Action Plan in the sixth year of the Strategy period.

Key achievements:

The Strategy document set out HHCT’s journey and key achievements over a ten-year period from 2014 to 2021. The key achievements in the seventh year of Strategy implementation are set out below.

End of year surplus and plans for the future

The surplus before realised and unrealised gains in 2021 excluding grants and depreciation on the canal boat and the Health Resource Centre was £913,655 compared with £1,189,139 for the year ended 31 December 2020.

To ensure that enough liquid funds are available the Trust will be retaining reserves to ensure that the start up and progress of any redevelopment can proceed smoothly. This obviously has an impact on the reserves and grants policy.

Lister House

The Trust completed its redevelopment of facilities at Lister House, Abercrombie Way, Harlow in October 2018 at a cost of £7.5 million. The Trust have signed a lease agreement with Harlow South PCN in April 2022 for the remaining lettable space.

Investment policy and returns

The Trust has an ongoing policy of improving and updating its premises. These projects are always carefully costed and appraised. The objective is always to ensure that the capital expense is always funded by rental returns.

Loan repayments

The annual surplus is also used to repay loans (capital and interest) raised for redeveloping the various premises. In 2021 this amounted to £1,320,285 (2020: £1,392,358)

FINANCIAL REVIEW

Going concern

The Company has continued to operate post year end ensuring that the UK Government’s guidance in managing the coronavirus pandemic is complied with by the business. All of our tenants are related to the healthcare sector. The majority of tenants have likewise continued to operate post year end and we do not expect there to be a fall in rental cash inflows, the majority if not all is expected to be received by the end of the financial year. The Directors believe that by keeping open lines of communication with tenants, closely monitoring cash outflows and high levels of liquidity, this should allow the company to continue trading for the foreseeable future and therefore deemed it appropriate to prepare the financial statements on the going concern basis.

Reserves

The Trust maintains bank balances and sufficient funds at short notice to uphold the level of expenditure on

Page 3

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2021

management and running expenses for a period of at least nine months. When the Trust redevelops its health centres significant upfront funding is required which initially has to be provided from the cash reserves of the Trust. Therefore for any redevelopment the Trust has to retain significant reserves to fund these initial costs until loan draw-downs are received. Loan repayments and interest due are covered by rental income. The reserves policy is reviewed annually and at the end of the financial year reserves are retained to aid and progress future developments.

To finance the redevelopment program of the health centres the trust uses loan finance as set out in notes 13 and 14. As a result the trust has to make significant surpluses to fund the annual repayment of these loans.

Governance and internal control

Two Trustees retire each year and may be re-elected. The financial position and cash-flow reports and project costings are presented to the Trustees for their examination at their regular meetings. The Trust is governed by its board of trustees which meet bimonthly to consider all aspects of the organisations policies and activities. Mrs Carol Sizeland is the Chief Executive and is responsible for the day to day management of the charity. Members of the board are also available on an ad hoc basis as required. As stated in note 9 all board members are unpaid.

Benefit statement

The Trust was established to provide and maintain primary health care premises for the people of Harlow. It has been able to redevelop and build six new premises providing modern state of the art facilities. This has also made possible expansion of further health care services across Harlow.

Since 2001 the Trust has been able to make grants and donations exceeding £1,700,000 to promote health initiatives and care within the community. The Trust re-launched its grants policy in March 2022. However £68,664 (2020; £31,172) of grants have been provided throughout 2021

The Trustees have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising any powers or duties to which the guidance is relevant.

Annual Review

The Trust has historically prepared an annual review however due to COVID 19 this has not been completed in 2021 and HHCT will prepare one in 2023.

PLANS FOR FUTURE PERIODS

Future plans

The Trust continues to work with West Essex Clinical Commissioning Group (CCG), Integrated Care Board (ICB), Harlow Council (HDC) and NHS England to develop health facilities on the peripheral of Harlow possibly into Hertfordshire.

A succession plan was put into place to recruit a Chief Executive Officer to replace Mrs Carol Sizeland who is retiring from the post in June 2022.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Constitution

The Charity is a charitable company (No. 02955851) limited by guarantee and was set up in 1995. It is registered with the Charity Commission, No. 1050493. It is governed by its Memorandum and Articles of Association. Its objects are primarily to provide accommodation and facilities for health services, including nursing homes, and additionally to support health related activities for the benefit of residents of Harlow and elsewhere in the counties of Essex and Hertfordshire. The charity’s address is Harlow Health Centres Trust

Page 4

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2021

Limited, The Latton Bush Centre, Southern Way, Harlow, Essex, CM18 7BL.

PAY POLICY AND SENIOR STAFF

Structure

The Trust’s structure is simple and consists of a Board of seven Trustees (including a Chair, Vice Chair and a Company Secretary), a Chief Executive Officer (CEO) and an Operations Manager, to assist the CEO. The services of several specialist consultants are used as and when required but are not employed directly by the Trust.

Governance

The Board of Trustees have responsibility for the Governance function. The Board meets bimonthly and holds an annual AGM, which is an open meeting. Trustees are responsible for ensuring that the Trust continues to fulfil its mission and charitable remit, delivers the Corporate Strategy and operates in accordance to Charity Commission and all other statutory regulations and requirements.

Method of appointment or election of trustees

Any additional trustees are appointed by the existing board members. The Trustees would look for individuals with an interest in the aims and objectives of the charity. A new Trustee would have the terms governing the Trust and the policies and objectives explained to them at a meeting with the existing Trustees. There are no specific induction arrangements.

Employee involvement and employment of the disabled.

Employees have been consulted on issues of concern to them by means of regular consultative committee and staff meetings and have been kept informed on specific matters directly by management. The charity carries out exit interviews for all staff leaving the organisation and has adopted a procedure of upward feedback for senior management and trustees.

The charity has implemented a number of detailed policies in relation to all aspects of personnel matters including:

Equal Opportunities policy Volunteers’ policy Health & Safety policy

In accordance with the charity’s equal opportunities policy, the charity has long established fair employment practices in the recruitment, selection, retention and training of disabled staff.

Full details of these policies are available from the charity's office.

Valuation of assets

The Trust has had a valuation of all its properties undertaken by Aitchison Raffety, a RICS registered company as at 31st December 2021. The valuation of its assets has now increased to £35,100,300

Risk management

Aitchison and Raffety completed an independent risk assessment / audit for the Trust in 2015. All risks identified were found to be of medium to low risk. A new Risk Register was created to manage, and where possible, mitigate risk.

The following risks have been identified –

Page 5

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2021

be potential minimal rises in rent that we are likely to see over the next few years. Yields have been fairly consistent and at present there is no sign of any real threat. However HHCT has adopted the approach in its Five Year Plan by assuming no rental growth and no property growth. The Trusts specialist property advisor will advise the Trust immediately should there be any signs that rents will fall, or indeed yields rise

The Trustees will continue to monitor risk and review the Risk Register on an annual basis. A further independent risk assessment was undertaken in 2022.

Remuneration

The Trust reviews the remuneration of employees annually. Salary increases and bonus payments are agreed following the appraisal of both organisational and individual performance against relevant objectives and targets. Organisational objectives and targets are set out in the Corporate Strategy and related Action Plan. Most individual objectives and targets derive from the Corporate Strategy, are agreed at the beginning of each year and are documented in individual appraisal documents. The Trustees conduct an annual salary survey of what the NHS is paying for comparable jobs to ensure external equity.

Disclosure of information to Auditor

Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that

so far as that Trustee is aware, there is no relevant audit information of which the charitable company's auditors are unaware, and

that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any information needed by the charitable company's auditors in connection with preparing their report and to establish that the charitable company's auditors are aware of that information. Auditor

A resolution proposing that Price Bailey LLP be re-appointed as auditors of the charity will be put to the Annual General Meeting.

In preparing this report, the Trustees have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

Approved by order of the members of the board of Trustees on

28 Sep 2022

_______ and signed on their behalf by:

~~Byron Jones~~ Byron Jones (Sep 28, 2022, 9:44am) Trustee

Page 6

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 31 DECEMBER 2021

The Trustees (who are also the directors of the Charity 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 Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, 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 Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity 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 Group and the Charity 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 its behalf by:

Byron Jones Byron Jones (Sep 28, 2022, 9:44am) Trustee Date: 28 Sep 2022

Page 7

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HARLOW HEALTH CENTRES TRUST LIMITED

Opinion

We have audited the financial statements of Harlow Health Centres Trust Limited (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 December 2021 which comprise the consolidated statement of financial activities, the consolidated balance sheet, the charity balance sheet, the consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Page 8

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HARLOW HEALTH CENTRES TRUST LIMITED (CONTINUED)

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditors' report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report.

We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:

Page 9

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HARLOW HEALTH CENTRES TRUST LIMITED (CONTINUED)

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

1) Enquiry of management around actual and potential litigation and claims, and any known instances of noncompliance was performed, with no instances found.

2) Reviewing minutes of meeting of those charges with governance found no instance of irregularities or fraud.

3) Performing audit work over the risk of management override and controls, such as reviewing journal entries and reviewing property valuation. Thiis found no indiciation of irregularities or fraud.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditors' report.

Page 10

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HARLOW HEALTH CENTRES TRUST LIMITED (CONTINUED)

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company's trustees, as a body. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Helena Wilkinson BSc FCA DChA (senior statutory auditor)

for and on behalf of

Price Bailey LLP Chartered Accountants Statutory Auditors Causeway House 1 Dane Street Bishop's Stortford Hertfordshire CM23 3BT

28 September 2022

Page 11

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2021

Note
Income from:
Charitable activities
3
Other trading activities
Investments
Total income
Expenditure on:
Raising funds
Charitable activities
4
Total expenditure
Net income before taxation
Taxation
Net income being net
movement in funds before
other recognised gains
and losses
Other recognised gains:
Gains on revaluation of fixed
assets
Net movement in funds		 Unrestricted
funds
2021
£
2,714,488
-
69
2,714,557
45,125
1,616,750
1,661,875
1,052,682
-
1,052,682
1,938,788
2,991,470		 Restricted
funds
2021
£
-
-
-
-
-
-
-
-
-
-
-
-		 Continuing
operations
2021
£
2,714,488
-
69
2,714,557
45,125
1,616,763
1,661,888
1,052,669
-
1,052,669
1,938,788
2,991,457		 Discontinued
operations
2021
£
-
-
-
-
-
(13)
(13)
13
-
13
-
13		 Total
funds
2021
£
2,714,488
-
69
2,714,557
45,125
1,616,750
1,661,875
1,052,682
-
1,052,682
1,938,788
2,991,470		 Continuing
operations
2020
£
2,727,727
7,129
1,011
2,735,867
14,357
1,562,132
1,576,489
1,159,378
-
1,159,378
-
1,159,378		 Discontinued
operations
2020
£
43,697
-
-
43,697
-
40,267
40,267
3,430
(56)
3,374
-
3,374		 Total
funds
2020
£
2,771,424
7,129
1,011
2,779,564
14,357
1,602,399
1,616,756
1,162,808
(56)
1,162,752
-
1,162,752

Page 12

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2021

Note
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2021
£
19,711,228
2,991,470
22,702,698		 Restricted
funds
2021
£
2,872,704
-
2,872,704		 Continuing
operations
2021
£
22,584,045
2,991,457
25,575,502		 Discontinued
operations
2021
£
(113)
13
(100)		 Total
funds
2021
£
22,583,932
2,991,470
25,575,402		 Continuing
operations
2020
£
21,424,667
1,159,378
22,584,045		 Discontinued
operations
2020
£
(3,487)
3,374
(113)		 Total
funds
2020
£
21,421,180
1,162,752
22,583,932

The Consolidated statement of financial activies includes all gains and losses recognised in the year.

The notes on page 12 to 28 for part of these financial statements.

Page 13

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER: 02955851

CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER 2021

Note
Fixed assets
Tangible assets
11
Programme related investments
Current assets
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one
year
15
Net current assets / liabilites
Total assets less current liabilities
Creditors: amounts falling due after more
than one year
16
Total net assets
Charity funds
Restricted funds
17
Unrestricted funds
General funds
17
Programme related investment revaluation
reserve
Total unrestricted funds
17
Total funds		 486,874
1,766,927
2,253,801
(1,818,806)
9,736,331
12,966,367		 2021
£
18,315
35,100,300
35,118,615
434,995
35,553,610
(9,978,208)
25,575,402
2,872,704
22,702,698
25,575,402		 687,197
971,531
1,658,728
(2,343,637)
8,683,649
11,027,579		 2020
£
75,879
32,549,643
32,625,522
(684,909)
31,940,613
(9,356,681)
22,583,932
2,872,704
19,711,228
22,583,932

Page 14

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER: 02955851

CONSOLIDATED BALANCE SHEET (CONTINUED) AS AT 31 DECEMBER 2021

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.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Date: 28 Sep 2022

The notes on pages 19 to 36 form part of these financial statements.

Byron Jones (Sep 28, 2022, 9:44am)

Page 15

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER: 02955851

CHARITY BALANCE SHEET AS AT 31 DECEMBER 2021

Note
Fixed assets
Tangible assets
11
Investments
13
Programme related investments
Current assets
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one
year
15
Net current assets / liabilites
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
General funds
17
Programme related investment revaluation
reserve
Total unrestricted funds
17
Total funds		 486,874
1,766,927
2,253,801
(1,818,806)
10,835,484
11,867,314		 2021
£
18,315
100
35,100,300
35,118,715
434,995
35,553,710
(9,978,208)
25,575,502
25,575,502
2,872,704
22,702,798
25,575,502		 686,113
969,606
1,655,719
(2,340,615)
7,844,027
11,867,314		 2020
£
75,879
100
32,549,643
32,625,622
(684,896)
31,940,726
(9,356,681)
22,584,045
22,584,045
2,872,704
19,711,341
22,584,045

Page 16

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER: 02955851

CHARITY BALANCE SHEET (CONTINUED) AS AT 31 DECEMBER 2021

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.

The financial statements were approved and authorised for issue by the Trustees on _______ and signed on their behalf by:

28 Sep 2022

~~Byron Jones~~ Byron Jones (Sep 28, 2022, 9:44am) Trustee

The notes on pages 19 to 36 form part of these financial statements.

Page 17

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2021

Cash flows from operating activities
Net cash used in operating activities
Cash flows from investing activities
Dividends, interests and rents from investments
Purchase of programme related fixed assets
Net cash used in investing activities
Cash flows from financing activities
Cash inflows from new borrowing
Repayments of borrowing
Mortgage interest
Net cash used in financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2021
£
2,002,176
-
(611,869)
(611,869)
1,500,000
(1,451,944)
(642,967)
(594,911)
795,396
971,531
1,766,927		 2020
£
1,941,150
214
(305,218)
(305,004)
-
(939,079)
(670,306)
(1,609,385)
26,761
944,770
971,531

The notes on pages 19 to 36 form part of these financial statements

Page 18

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

1. General information

Harlow Health Centres Trust is a charity, incorporated in England and Wales. Its Registered Office is The Latton Bush Centre, Southren Way, Harlow, Essex, CM18 7BL. Its Registered Number is 02955851 Charity Number 1050493.

2. Accounting policies

2.1 Basis of preparation of financial statements

The 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) and the Companies Act 2006.

The consolidated statement of financial activities (SOFA) and consolidated balance sheet consolidate the financial statements of the Group and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own statement of financial activities in these financial statements.

2.2 Company status

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

2.3 Fund accounting

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

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

2.4 Going concern

Following the year end the company has been largely unaffected by restrictions imposed by the UK Government in response to the COVID-19 pandemic and therefore believe that the company can continue for the foreseeable future as a going concern.

2.5 Income

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

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.

2.6 Expenditure

Page 19

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

2. Accounting policies (continued)

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.

Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management carried out at Headquarters. Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements.

All expenditure is accounted for on an accrual basis. All expenses including support costs and governance costs are allocated to the applicable expenditure headings.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

2.7 Government grants

Government grants relating to tangible fixed assets are treated as deferred income and released to the consolidated statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the consolidated statement of financial activities as the related expenditure is incurred.

2.8 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.9 Taxation

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.10 Tangible fixed assets and depreciation

Tangible fixed assets costing £1,000 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.

Page 20

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

2. Accounting policies (continued)

2.10 Tangible fixed assets and depreciation (continued)

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following bases:

2.11 Investments

Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the consolidated statement of financial activities.

The subsidiary is shown at cost.

Investments in subsidiaries are valued at cost less provision for impairment.

Investments held as fixed assets (programme related investements) are shown at thier open market value for existing use as indicated in note 12..

2.12 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.

2.13 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.

2.14 Liabilities

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 Charity 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.

Page 21

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

2. Accounting policies (continued)

2.15 Financial instruments

The charity 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 fair value as at the balance sheet date. All financial instruments of the charity are measured at cost with the exception of programme related investments which are shown at their open market value. The value of programme related investments as well as their original cost is stated in note 12.

Financial assets include investments in the portfolio, the bank balances, trade debtors, accrued income and other debtors but exclude prepayments and taxation.

Financial liabilities include trade creditors, other creditors, accruals and deferred income but exclude social security and other taxes due.

2.16 Operating leases

Rentals paid under operating leases are charged to the consolidated statement of financial activities on a straight line basis over the lease term.

2.17 Pensions

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

2.18 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 Group and which have not been designated for other purposes.

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

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

3. Income from charitable activities

Unrestricted Total
funds funds
2021 2021
£ £
Income from charitable activities - Provision of premises for health services 2,714,488 2,714,488

Page 22

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

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

3. Income from charitable activities (continued)

Unrestricted Total
funds funds
2020 2020
£ £
Income from charitable activities - Provision of premises for health services 2,771,424 2,771,424

Page 23

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

4. Analysis of expenditure on charitable activities

Summary by fund type

Provision of premises for health services
Other health promotion activity
Total 2021
Provision of premises for health services
Other health promotion activity
Total 2020		 Unrestricted
funds
2021
£
1,548,086
68,664
1,616,750
Unrestricted
funds
2020
£
1,571,227
31,172
1,602,399		 Total
2021
£
1,548,086
68,664
1,616,750
Total
2020
£
1,571,227
31,172
1,602,399

5. Analysis of expenditure by activities

Provision of premises for health services
Other health promotion activity
Total 2021		 Direct costs
2021
£
1,425,294
-
1,425,294		 Grant
payable
2021
£
-
68,664
68,664		 Support
costs
2021
£
122,792
-
122,792		 Total
funds
2021
£
1,548,086
68,664
1,616,750

Page 24

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

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

5. Analysis of expenditure by activities (continued)

Provision of premises for health services
Other health promotion activity
Total 2020		 Direct costs
2020
£
1,452,775
-
1,452,775		 Grant
payable
2020
£
-
31,172
31,172		 Support
costs
2020
£
118,452
-
118,452		 Total
funds
2020
£
1,571,227
31,172
1,602,399

6. Direct costs and grants payable

Building Maintenance
Motor Vehicle allowance
Valuation fees
Legal fees
Depreciation
Mortgage interest
Service charge expenditure
Bank charges
Wages and salaries
National insurance
Pension cost		 2021
£
49,565
9,865
13,556
46,995
12,526
642,967
393,056
30,839
115,039
12,077
11,318
1,337,803		 2020
£
70,859
11,864
13,590
26,265
15,658
670,306
516,125
8,013
102,856
7,853
9,386
1,452,775

In addition, Grants of £68,664 (2020; £31,172) included grants made to Maybury Open Door Project £10,000, St Clare Hospice £8,500, Harlow Rugby Club £18,000, Chipping Field Project £6,000 (2020 included St Clares Hospice £1,000, Bears Essex Accident Rescue £15,500, Harlow Food Bank £5,000, Harlow Stoke Support £9,500)

Page 25

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

7. Support costs

Governance
2021
£
Running expenses
-
Rent/insurance
-
Audit and accountancy
7,500
Total 2021
7,500
Governance
2020
£
Running expenses
-
Rent/insurance
-
Audit and accountancy
6,825
Wages and salaries
-
Pension cost
-
Total 2020
6,825
8.
Auditors' remuneration
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts
Fees payable to the Charity's auditor in respect of:
Audit of Subsidiary
All non-audit services not included above		 Support
costs
2021
£
58,587
43,066
13,639
115,292
Support
costs
2020
£
53,159
25,665
9,096
22,843
864
111,627
2021
£
7,500
-
1,110		 Total
funds
2021
£
58,587
43,066
21,139
122,792
Total
funds
2020
£
53,159
25,665
15,921
22,843
864
118,452
2020
£
6,825
1,995
370

Page 26

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

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

9. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension
schemes		 Group
2021
£
108,158
15,584
14,692
138,434		 Group
2020
£
118,269
10,941
14,592
143,802		 Charity
2021
£
108,158
15,584
14,692
138,434		 Charity
2020
£
96,477
10,941
12,677
120,095

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

Group Group
2021 2020
No. No.
Management 2 2

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

Group Group
2021 2020
No. No.
In the band £60,001 - £70,000 1 1

The key management personnel of the group comprise of the Chief Executive. The total employee benefits of the key management personnel of the group were £96,191 (2020: £84,325). Included within this figure is Pension contributions of £10,255 (2020: £8,335).

10. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2020 - £NIL).

During the year ended 31 December 2021, no Trustee expenses have been incurred (2020 - £NIL).

Page 27

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

11. Tangible fixed assets

Group and Charity

Cost or valuation
At 1 January 2021
Disposals
At 31 December 2021
Depreciation
At 1 January 2021
Charge for the year
On disposals
At 31 December 2021
Net book value
At 31 December 2021
At 31 December 2020		 Fixtures and
fittings
£
875,201
(382,935)
492,266
802,107
11,389
(337,897)
475,599
16,667
73,094		 Other fixed
assets
£
88,982
-
88,982
86,197
1,137
-
87,334
1,648
2,785		 Total
£
964,183
(382,935)
581,248
888,304
12,526
(337,897)
562,933
18,315
75,879

Page 28

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

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

12. Programme related investments

Group and Charity

Valuation
At 1 January 2020
Additions
Disposals
Impairment charge (P&L)
Revaluation
At 31 December 2020		 Freehold
investment
property
£
32,549,643
611,869
-
-
1,938,788
35,100,300		 2020
£
32,244,425
305,218
-
-
-
32,549,643

The 2021 valuations were made by Aitchison Raffety, a RICS registered company, on an open market value for existing use basis.

The historic cost of the properties is £19,920,581 (2020: £19,308,712).

Page 29

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

13. Fixed asset investments

Investments Investments
in subsidiary
companies
Charity £
Cost or valuation
At 1 January 2021 100
At 31 December 2021 100
Net book value
At 31 December 2021 100
At 31 December 2020 100
Principal subsidiaries
The following was a subsidiary undertaking of the Charity:
Name Company Holding Included in
number consolidation
Harlow Resource Centre Limited 10457685 100% Yes
The financial results of the subsidiary for the year were:
Name
Debtors
Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Due within one year
Trade debtors 439,521 588,546 439,521 587,462
Other debtors 47,353 98,651 47,353 98,651
486,874 687,197 486,874 686,113

14. Debtors

Page 30

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

15. Creditors: Amounts falling due within one year

Group
2021
£
Bank loans
818,887
Trade creditors
-
Corporation tax
-
Other taxation and social security
69,272
Accruals and deferred income
930,647
1,818,806
Group
2021
£
Deferred income at 1 January 2021
739,033
Resources deferred during the year
762,747
Amounts released from previous periods
(739,033)
762,747
16.
Creditors: Amounts falling due after more than one year
Group
2021
£
Bank loans
9,978,208
Included within the above are amounts falling due as follows:
Between two and five years
Bank loans
4,205,767
Over five years
Bank loans
5,772,441		 Group
2020
£
1,392,358
601
56
-
950,622
2,343,637
Group
2020
£
167,464
739,033
(167,464)
739,033
Group
2020
£
9,356,681
3,690,012
5,666,669		 Charity
2021
£
818,887
-
-
69,272
930,647
1,818,806
Charity
2021
£
736,033
762,747
(739,033)
759,747
Charity
2021
£
9,978,208
4,205,767
5,772,441		 Charity
2020
£
1,392,358
-
-
-
948,257
2,340,615
Charity
2020
£
164,464
739,033
(167,464)
736,033
Charity
2020
£
9,356,681
3,690,012
5,666,669

The various bank loans are secured by a fixed and floating charge over the assets of the charity and first legal charge on the programme related investments. The loans are with Aviva Private Finance and Lloyds Bank. These bank loans are at fixed interest rates of 5.34% for £871K (2020: £916K), 5.4% for £5,249K (2020: £5,414K), 5.93% for £912K (2020: £1,017K), 6.42% for £- (2020: £747K), 6.5% for £680K (2020: £797K), 7.05% for £1,650K (2020 £1,853K) expiring in Feb 2039, Feb 2034, Mar 2028, Feb 2021, Sept 2026 and Sept 2028 respectively. During the year the charity took out a new loan of £1.5M at a rate of 5.84% repayable in Feb 2036.

Page 31

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

17. Statement of funds

Statement of funds - current year

Balance at
Balance at 1 31
January Gains/ December
2021 Income Expenditure (Losses) 2021
£ £ £ £ £
Unrestricted funds
Unrestricted income funds 8,683,649 2,685,597 (1,632,915) - 9,736,331
Programme related investment
valuation reserve 11,027,579 - - 1,938,788 12,966,367
19,711,228 2,685,597 (1,632,915) 1,938,788 22,702,698
Restricted funds
Freehold properties 2,872,704 - - - 2,872,704
Total of funds 22,583,932 2,685,597 (1,632,915) 1,938,788 25,575,402
Statement of funds - prior year
Balance at
Balance at 31
1 January December
2020 Income Expenditure Taxation 2020
£ £ £ £ £
Unrestricted funds
Unrestricted income funds 7,520,897 2,779,564 (1,616,756) (56) 8,683,649
Programme related investment
valuation reserve 11,027,579 - - - 11,027,579
18,548,476 2,779,564 (1,616,756) (56) 19,711,228
Restricted funds
Freehold properties 2,872,704 - - - 2,872,704
Total of funds 21,421,180 2,779,564 (1,616,756) (56) 22,583,932

Page 32

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

18. Analysis of net assets between funds

Analysis of net assets between funds - current year

Tangible fixed assets
Investment property
Current assets
Creditors due within one year
Creditors due in more than one year
Total
Analysis of net assets between funds - prior year
Tangible fixed assets
Investment property
Current assets
Creditors due within one year
Creditors due in more than one year
Total		 Unrestricted
funds
2021
£
18,315
32,227,596
2,253,801
(1,818,806)
(9,978,208)
22,702,698
Unrestricted
funds
2020
£
75,879
29,676,939
1,658,728
(2,343,637)
(9,356,681)
19,711,228		 Restricted
funds
2021
£
-
2,872,704
-
-
-
2,872,704
Restricted
funds
2020
£
-
2,872,704
-
-
-
2,872,704		 Total
funds
2021
£
18,315
35,100,300
2,253,801
(1,818,806)
(9,978,208)
25,575,402
Total
funds
2020
£
75,879
32,549,643
1,658,728
(2,343,637)
(9,356,681)
22,583,932

Page 33

HARLOW HEALTH CENTRES TRUST LIMITED

(A COMPANY LIMITED BY GUARANTEE)

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

19. Reconciliation of net movement in funds to net cash flow from operating activities

Net income for the year (as per Statement of Financial Activities)
Adjustments for:
Depreciation charges
Dividends, interests and rents from investments
Loss on the sale of fixed assets
Decrease/(increase) in debtors
Increase in creditors
Mortgage interest
Net cash provided by operating activities
20.
Analysis of cash and cash equivalents
Cash in hand
Total cash and cash equivalents
21.
Analysis of changes in net debt
At 1 January
2021
£
Cash at bank and in hand
971,531
Debt due within 1 year
(1,392,358)
Debt due after 1 year
(9,356,681)
(9,777,508)		 Group
2021
£
1,052,682
12,526
-
45,038
200,323
48,640
642,967
2,002,176
Group
2021
£
1,766,927
1,766,927
Cash flows
£
795,396
573,471
(621,527)
747,340		 Group
2020
£
1,162,752
15,659
(214)
-
(555,553)
648,200
670,306
1,941,150
Group
2020
£
971,531
971,531
At 31
December
2021
£
1,766,927
(818,887)
(9,978,208)
(9,030,168)

Page 34

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

22. Pension commitments

The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the goup to the fund and amounted to £11,318 (2020: £9,386). Contributions totalling £Nil (2020: £Nil) were payable to the fund at the balance sheet date and are included in creditors.

23. Operating lease commitments

At 31 December 2021 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Group Group
2021 2020
£ £
Land and building
Not later than 1 year - 6,083

24. Operating lease receivables - Group as lessor

The Group rents out its properties under operating leases. At the balance sheet date the following future minimum lease amounts are contractually receivable from tenants:

WIthin one year
Greater than one year but less than 5 years
After five years
Total minimum lease receivables		 Group
and charity
2021
£
1,468,852
5,583,251
5,709,287
12,761,390		 Group
and charity
2020
£
2,215,502
5,818,411
6,942,979
14,976,892

Page 35

HARLOW HEALTH CENTRES TRUST LIMITED (A COMPANY LIMITED BY GUARANTEE)

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

25. Related party transactions

During the year the company had an occupational lease on the Leuisurezone premises with Harlow and District Sports Trust, a company in which Derek Fenny, a Trustee, is a director of. During the year the company paid rent of £Nil (2020: £63,672) to Harlow and District Sports Trust for the premises.

During the year the Trading Subsidiary was charged £Nil (2020: £8,680) in respect of electricity and service charge costs by Harlow District Sport Trust, a company in which Derek Fenny, a Trustee, is a Director.

During the year the company made payments of £Nil (2020: £9,529) to Louise Fenny, the daughterin-law of Derek Fenny, a Trustee for casual work.

No amounts were due to related parties at the year end (2020: £Nil).

There were no other related party transactions.

Page 36