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2021-03-31-accounts

CLEMENCE HOAR CUMMINGS Riverside House 1-5 Como StlEet Romford RM7 7DN www.chc.uk.cotn CHARTEIIED ACCOUNTANTS AND BUSINESS ADVISORS Our ref: DMBIDS/KC13104 The Trustees Bedfont Lakes Trust Fund Hounslow House 7 Bath Road Hounslow TIN3 3EB 11 November 2021 Dear Sirs Ro ort to Mana ement Committee As part of our auditing practice, we are required lo report to management if during the course of our audit any matters arise, which we consider should be brought to your attention. Where there have been no such matters we make a positive statement to that effect. We are pleased lo report that following our audit for the year ended 31 March 2021 that there were no matters, whi¢h arose which we consider should be brought to your attention. Our normal audit lests are designed to assist us in forming our opinion on the financial statements. Our tests may not necessarily disclose all errors or irregularities and should not be relSed upon to do so. However, if any irregularity did come to our attention during our audit tests, we would, of course, inform you immediately. We have complied with the Financial Reporting Council's Ethical Standard and all threats to our Independen￿ have been properly addressed through appropriate safeguards. No additional facts or matters have arisen during the course of the audit that we wish to draw lo your attention and we confirm Ihal we are independent and able lo express an objective opinion on the financial statements. This report has been prepared for the sole use of the management committee of Bedfont Lakes Trust Fund and must not be shown to third parties without our prior consent. No responsibilities are accepted by Clemence Hoar Cummlngs towards any party acting or refraining from action as a result of this report. Finally, we would like to express our thanks to all members of the organisation's staff who assisted us in carrying out our work. Yours faithfully Clemence Hoar Cummings Chartered Accountants Tel: 01708 333303 Emall: david.belbin@chc.uk.com I¢AfW CHARTEREO ACCOUNTAMTS A4lstsir4dfO (arryoniLdr woyk UK & Itdand and feylJtEdlllr i rArrfE bu51r¢55 actTrli5 by the Insrltute c4Ctsriwe4Accrjunr¥￿ ￿ ￿n￿nd W￿È hwterlknp c￿￿nce Holr Is ¢hE tyJdlngfiameofcHCA¢CoUn￿fftrY Llmkéd whith Is r•OstÈYed &WalÈs No 101346031 R4Ost¢r4 omtv. A￿*r￿ld• 1-5 CothoStrèEG Aothlord. RM7 7DN

BEDFONT LAKES TRUST FUND

TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] MARCH 2021

Contents Contents
1 Reference and Administrative Details .............................................................................................. 1
2 Structure, Governance and Management .......................................................................................... 2
3 Objectives and Activities .................................................................................................................. 2
4 Achievements and Performance: Year ended 31st March 2021 ....................................................... 3
5 Financial Review .............................................................................................................................. 3
6 Plans for Future Periods .................................................................................................................... 4
7 Independent Auditor’s Report to the Trustees of Bedfont Lakes Trust Fund .................................. 6
8 Statement of Financial Activities...................................................................................................... 9
9 Balance Sheet as at 31stMarch 2021 .............................................................................................. 10
10 Notes to the Financial Statements ................................................................................................... 11

Registered charity no. 1053137

BEDFONT LAKES TRUST FUND

YEAR END 31[ST] MARCH 2021 (continued)

1 Reference and Administrative Details

TRUSTEE: The Mayor and Burgesses of the London Borough of Hounslow

ADDRESS: Hounslow House
7 Bath Road
Hounslow
TW3 3EB
REGISTERED CHARITY NO.: 1053137
SOLICITOR: Assistant Director Corporate Governance
London Borough of Hounslow
Hounslow House
7 Bath Road
Hounslow
TW3 3EB
TREASURER: Director of Finance and Corporate Services
London Borough of Hounslow
Hounslow House
7 Bath Road
Hounslow
TW3 3EB
AUDITORS: Clemence Hoar Cummings
1 – 5 Como Street
Romford
Essex
RM7 7DN
BANKERS: NatWest Bank
275 - 277 High Street
Hounslow
TW3 1ZA
FUND MANAGERS: Schroder & Co
31 Gresham Street
London
EC2V 7QA
INTERNAL AUDITORS: Head of Internal Audit
London Borough of Hounslow
Hounslow House
7 Bath Road
Hounslow
TW3 3EB

1

BEDFONT LAKES TRUST FUND

YEAR END 31[ST] MARCH 2021 (continued)

2 Structure, Governance and Management

On the formation of the Trust, £3,200,000 was transferred to Schroder Investment Management Limited (now named Schroder & Co) for appropriate investment.

Sachin Gupta ceased to be a Trustee 22nd May 2017 Elizabeth Hughes ceased to be a Trustee 22nd May 2017 Keith Anderson ceased to be a Trustee 22nd May 2018 Sam Christie ceased to be a Trustee 22nd May 2018 Alan Mitchell ceased to be a Trustee 22nd May 2018 Bishnu Gurung appointed 23rd May 2017, ceased to be a Trustee 22nd May 2018 Hina Mir appointed 23rd May 2017, ceased to be a Trustee 22nd May 2018 Javed Akhunzada appointed 23rd May 2018 Adriana Gheorghe appointed 23rd May 2018 Raghwinder Siddhu appointed 23rd May 2018 Bishnu Gurung appointed 23rd May 2018 Mohammed Umair appointed 23rd May 2018

The Councillors are appointed to the Panel annually by the full Council.

3 Objectives and Activities

2

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YEAR END 31[ST] MARCH 2021 (continued)

objectives and planning our future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives they have set. The trustees believe that providing access to the park facilities is of direct benefit to the well-being and enjoyment of the general public. The park is open to access by any member of the public free of charge.

4 Achievements and Performance: Year ended 31 March 2021

5 Financial Review

5.1 Reserves and Investments Policy

3

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YEAR END 31[ST] MARCH 2021 (continued)

5.2 Statement of trustees’ responsibilities in respect of the trustees’ report and the financial statements

5.3 Risk Management Strategy

6 Plans for Future Periods

4

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YEAR END 31[ST] MARCH 2021 (continued)

Signed on behalf of the Mayor and Burgesses of the London Borough of Hounslow by:

……………………………………… Chair of the Trust Panel Date

……………………………………… Executive Director of Finance and Resources

Date 03/12/21

5

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YEAR END 31[ST] MARCH 2021 (continued)

7 Independent Auditor’s Report to the Trustees of Bedfont Lakes Trust Fund

Opinion

We have audited the financial statements of Bedfont Lakes Trust for the year ended 31 March 2020 which comprise the Statement of Financial Activities, the Balance Sheet and the related notes to the financial statements, 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 FRS 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 Auditor’s Responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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 charity’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..

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our Report of the Independent Auditors thereon.

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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

6

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YEAR END 31[ST] MARCH 2021 (continued)

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement on page 4, the trustees 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 trustee determines 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 charity’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 trustee either intends to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 145 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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 auditor’s 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 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 mis-statements in respect of irregularities including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

A further description of our responsibilities for the audit of financial statements is located in the Financial Reporting Council’s website at www.frc.org.uk/auditors responsibilities. This description forms part of our Report of the Independent Auditors.

7

BEDFONT LAKES TRUST FUND

YEAR END 31[ST] MARCH 2021 (continued)

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charity’s trustee those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charity and charity's trustees as a body, for our audit work, for this report, or for the opinion we have formed.

D.M. Belbin FCA DChA Senior Statutory Auditor Clemence Hoar Cummings Riverside House 1-5 Como Street Romford Essex RM7 7DN

Date:

Clemence Hoar Cummings is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006.

8

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YEAR END 31[ST] MARCH 2021 (continued)

9 Statement of Financial Activities

Notes Unrestricted
Fund		 Restricted
Fund		 Total
2020/21		 Total
2019/20
£ £ £ £
Income from:
Investment Income 124,340 53,433 177,773 263,407
Other Incoming Resources 0 0 0 (75)
Total Incoming 124,340 53,433 177,773 263,331
Expenditure on:
Investment management costs 35,087 9,943 45,030 50,927
Charitable Activities 2 149,222 42,285 191,507 186,500
Charitable Support Costs 3 4,253 1,205 5,458 5,458
Total Expenditure 188,561 53,433 241,995 242,885
Net Incoming/(Outgoing) Resources for the
Year		 (64,222) 0 (64,222) 20,447
Net (losses)/gains on investments 527,829 226,826 754,655 (1,056,985)
Net (expenditure)/income and net
movement in funds		 463,607 226,826 690,433 (1,036,538)
Fund Balances brought forward at 1st April 3,535,958 1,519,516 5,055,474 6,092,012
Fund Balances carried forward 31st March 3,999,565 1,746,342 5,745,907 5,055,474

Bedfont Lakes Trust has no recognised gains or losses for the year, other than the net movement in funds shown above. The Trust has neither discontinued any of its operations nor acquired new ones, and all amounts relate to continuing operations. Feltham & District Scouts license to operate had expired on 30/09/2018 and has not been renewed yet.

The notes on pages 11 to 16 form part of these financial statements.

9

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YEAR END 31[ST] MARCH 2021 (continued)

10 Balance Sheet as at 31[st] March 2021

Notes
Fixed Assets
Investments
4
Current Assets
Debtors
5
Cash
Liabilities
Creditors
6
Net Current Assets
Net Assets
Funds
7
Restricted
Unrestricted
Funds Carried Forward		 2021
2020
£
£
5,392,577
4,699,388
5,392,577
4,699,388
73,967
103,161
488,096
457,135
562,063
560,296
(208,733)
(204,210)
(208,733)
(204,210)
353,330
356,086
5,745,907
5,055,474
1,746,342
1,519,516
3,999,565
3,535,958
5,745,907
5,055,474

These financial statements were approved and authorised for issue on behalf of the Mayor and Burgesses of the London Borough of Hounslow and signed on its behalf by:

……………………………………… Chair of the Trust Panel Date ……………………………………… Executive Director of Finance and Resources Date 03/12/21

The notes on pages 11 to 16 form part of these financial statements.

10

BEDFONT LAKES TRUST FUND

YEAR END 31[ST] MARCH 2021 (continued)

11 Notes to the Financial Statements

1) Accounting Policies

a) Accounting Bases

A Summary of the principle accounting policies adopted, judgements and key sources of estimation of uncertainty, is set out below.

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 (The FRS102 Charities SORP) and Charities Act 2011. The charity is a public benefit entity for the purposes of FRS 102.

b) Funds

Bedfont Lakes is managed and developed as a complete site, albeit it is cut in two by a railway line. On the establishment of the Trust, Keenhalf Ltd required that the funds they introduced be restricted to expenditure on that part of Bedfont Lakes which lies to the north of the railway line. The funds provided by Keenhalf Limited are therefore held as restricted funds. The funds provided by Hanover Property Unit Trust are held as unrestricted funds as they can be applied for the maintenance of the entire parkland area.

c) Investment Income

Investment income is accounted for on an accruals basis.

The movement in investment values was apportioned between the restricted and unrestricted funds in the year 1995/96 (being the year the Trust was formally established) on the basis of the capital sum originally invested with Schroders, and in subsequent years on the balance of investments brought forward at 1 April.

d) Other Incoming Resources

Other incoming resources are accounted for on an accruals basis when there is entitlement to income, receipt is probable and the amount can be measured reliably.

Other incoming resources are allocated between the restricted and unrestricted funds on the basis of the direct costs of maintaining the parkland.

e) Resources Expended

All expenditure is accounted for on an accruals basis and has been classified under headings that accord with the Statement of Recommended Practice. Expenditure is allocated between the restricted and unrestricted funds on the basis of the direct costs of maintaining the parkland to the extent to which incoming resources in the year relating to the restricted fund are available to meet such expenditure. Any excess is borne by the unrestricted fund. 70% of Bedfont Lakes’ direct costs relate to the northern side of the park.

f) Fixed Asset Investments

Investments are stated at market value i.e. the realisable value of investments at the balance sheet date.

g) Financial instruments

Financial instruments are recognised in the charity’s balance sheet when the charity becomes party to the contractual provisions of the instrument.

Basic financial assets and liabilities are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method.

11

BEDFONT LAKES TRUST FUND

YEAR END 31[ST] MARCH 2021 (continued)

Investments are initially recognised at their transactions value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

h) Cash Flow Statement

No cash flow statement has been prepared. As a small reporting entity, the Trust is exempt from the requirement to prepare a cash flow statement.

i) Taxation

As a charity the Trust is exempt from tax on the income and gains arising from its charitable activities and its investments, to the extent that such income and gains are applied for charitable purposes only.

j) Treatment of Losses

In the event that there are net outgoing resources in a year (being an excess of total resources expended over incoming resources) losses are allocated pro rata to the fund balances brought forward at 1 April (except 1995/96 when they were allocated to the funds on the basis of actual expenditure incurred in the year) unless the loss results from significant expenditure on one half of the site, in which case expenditure would be charged to the relevant fund.

k) Treatment of Surpluses

In the event that there is an excess of total incoming resources over total resources expended, such surpluses are deemed to relate to the unrestricted fund and are added to that fund each year. There is no allocation of any surplus to the restricted fund as the income from the restricted fund is insufficient to meet the cost of maintaining the northern side of Bedfont Lakes, the northern side being the only part of Bedfont Lakes that the restricted fund can be used to maintain. Therefore, any surplus by implication must relate to the unrestricted fund.

l) Governance Costs

These are accounted for on an accruals basis and included within support costs. They represent the fee payable to the Trust’s external auditors.

m) Liabilities

These are accounted for on an accruals basis.

n) Investment Income

The Trust Fund incurs a fund manager’s fee for the management of its investments. Reports provided by the fund manager separately identify investment management fees, and so these have been separately charged and recognised as a cost of generating funds.

o) Critical accounting estimates and areas of judgement

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

In the view of the trustees in applying the accounting policies adopted, the only critical judgement considered to have a significant effect on the amounts recognised in the financial statements is the allocation of deficits/surpluses between funds.

12

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YEAR END 31[ST] MARCH 2021 (continued)

2) Direct Cost of Charitable Activities

The Trust has one key charitable activity which is the maintenance, improvement, management and preservation of the country park.

The management and maintenance of the Park was carried out by Lampton Greenspace 360 Limited and costs were recharged to the Charity.

Management of Bedfont Lakes Country Park
Support Services		 2021
2020
£
£
185,007
180,000
6,500
6,500
191,507
186,500

3) Charitable Support Costs

No charges have been made to the Trust with regard to the preparation of the statutory accounts, the costs of Trustees meetings or legal fees. Other costs comprise the governance costs for the year which were:

External Audit Fees
Legal & Professional Fees		 2021
2020
£
£
5,457
5,458
0
0
5,457
5,458

4) Fixed Assets – Investments

Fixed asset investments are recognised in the balance sheet at their market value as at 31[st] March 2021.

a) The movements on investments during the year are summarised below:

Market Value at 1 April
Acquisitions during the year at cost
Disposals during year at carrying value
Net gains/(losses) on revaluation
Net increase / (decrease) in cash awaiting investment
Closing Value		 2021
2020
£
£
4,699,388
5,813,406
470,586
0
(515,309)
(40,106)
754,655
(1,056,985)
(16,743)
(16,927)
5,392,577
4,699,388

13

BEDFONT LAKES TRUST FUND

YEAR END 31[ST] MARCH 2021 (continued)

Realised losses on the sale of investments are calculated based on the carrying value of the investment at the start of the year. Unrealised investment gains and losses are based on movements in the market value of the investment.

Investments with a brought forward book value of £603,709 were disposed of in the year for proceeds of £513,309 realising a loss on disposal of £88,400.

b) Fixed asset investments are recorded at their market value at 31[st] March. The historic cost of these assets is disclosed below:

Number
31st March 2020
of Units
Schroder Corporate Bond Fund
763,949
Schroder Income Fund
3,606,406
Schroder Income Maximiser Fund
1,007,660
Schroder UK Real Estate Fund
4,270
Schroder Cash Pool Account
M&G Strategic Corporate Bond
62,237
Trojan Income Fund
425,765
Charities Property Fund
706,674
Vontobel Fund
1,110		 Market Value
Cost
£
£
412,150
409,314
1,425,252
988,421
314,591
502,275
202,996
167,548
43,709
43,709
595,297
533,856
695,148
643,263
899,101
752,155
111,144
114,985
4,699,388
4,155,526
Number
31st March 2021
of Units
Schroder Corporate Bond Fund
763,949
Schroder Income Fund
3,606,406
Schroder Income Maximiser Fund
1,007,660
Schroder UK Real Estate Fund
4,270
Schroder Cash Pool Account
M&G Strategic Corporate Bond - PP
609,758
Trojan Income Fund
425,765
Charities Property Fund
706,674
Vontobel Fund
1,110		 Market Value
Cost
£
£
485,337
409,314
1,932,312
988,421
388,050
502,275
198,640
167,548
26,966
26,966
620,307
467,485
748,963
643,263
877,406
752,155
114,596
114,985
5,392,577
4,072,411

14

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YEAR END 31[ST] MARCH 2021 (continued)

5) Debtors

Accrued Investment Income
Accrued Licence Income		 2021
2020
£
£
73,779
102,973
188
188
73,967
103,161

6) Liabilities: amounts falling due within one year

Sums due to London Borough of Hounslow
Investment management fees due
Audit Fees
Total		 2021
2020
£
£
191,507
186,500
11,769
12,252
5,457
5,458
208,733
204,210

7) Analysis of Funds

Analysis of Net Assets by Fund

Fixed Assets
Investments
Total Fixed Assets
Current Assets
Current Liabilities
Net Assets at 31st March 2021		 Unrestricted
Restricted
Fund
Fund
Total
£
£
£
3,776,121
1,616,456
5,392,577
3,776,121
1,616,456
5,392,577
377,836
184,227
562,063
(132,847)
(75,886)
(208,733)
4,021,109
1,724,798
5,745,907

8) Related Parties

None of the Trust Fund Panel had any relationships with related parties.

9) Employee Information

The Trust has no employees (2019/20 – none).

15

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YEAR END 31[ST] MARCH 2021 (continued)

10) Remuneration of Trustees

None of the members of the Panel receive any emoluments or reimbursed expenses (2019/20 – none).

11) Comparative SoFA split of funds

Income from:
Investment Income
Other Incoming Resources
Total Income
Expenditure on:
Investment management costs
Charitable Activities
Charitable support costs
Total Expenditure
Net (losses)/gains on investments
Net (expenditure)/income and net movement in funds
Fund Balances brought forward at 1st April
Fund Balances carried forward 31st March		 Unrestricted
Fund
Restricted
Fund
Total 2019/20
£
£
£
183,914
79,493
263,407
(23)
(53)
(75)
183,891
79,440
263,332
34,270
16,656
50,927
125,501
60,999
186,500
3,673
1,785
5,458
163,444
79,440
242,885
(737,998)
(318,987)
(1,056,985)
(717,551)
(318,987)
(1,036,538)
4,253,509
1,838,503
6,092,012
3,535,958
1,519,516
5,055,474

16

Clemence Hoar Cummings Riverside House 1-5 Como Street Romford RM7 7DN

Dear Sirs

The following representations are made on the basis of enquiries of management and staff with relevant knowledge and experience such as we consider necessary in connection with your audit of the charity’s financial statements for the year ended 31 March 2020. These enquiries have included inspection of supporting documentation where appropriate and are sufficient to satisfy ourselves that we can make each of the following representations. All representations are made to the best of our knowledge and belief.

General

Internal control and fraud

Assets and liabilities

Accounting estimates

Legal claims

Laws and regulations

Related parties

Subsequent events

Going concern

Grants and donations

Yours faithfully

.............................................................................................................................. Signed on behalf of the board of trustees

............................................................................................................................. Dated