Company registration number: 3205602 Charity registration number: 1058718
## **Catholic Truth Society (Diocese of Salford)**
(A Company Limited by guarantee) Annual Report and Financial Statements
for the Year Ended 31 December 2024
## **Catholic Truth Society (Diocese of Salford)**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees’ Report|2-5|
|Independent Auditor’s Report|6-8|
|Statement of Financial Activities|9|
|Balance Sheet|10|
|Statement of Cash Flows|11|
|Notes to the Financial Statements|12 - 19|
## **Catholic Truth Society (Diocese of Salford)**
## **Reference and Administrative Details**
## **Trustees**
Bishop John Stanley Kenneth Arnold Cannon Michael David Jones Reverend Christopher Dawson Canon Michael James Gerard Cooke Reverend Peter Hopkinson Mary Hunter Elizabeth Therese Lilley Brendon Eamon McCafferty Edward Nally Sir Peter Fahy Eamonn Sean O’Neal
## **Secretary**
Mr Edward Nally
## **Company registration number**
3205602
**Charity registration number**
1058718
The Charity is incorporated in England and Wales
## **Registered and Principal Office**
Cathedral Centre 3 Ford Street Salford Greater Manchester M3 6DP
## **Auditors**
Crowe UK LLP 3rd Floor, St George’s House, 56 Peter Street, Manchester M2 3NQ
## **Bank**
Barclays Bank Plc PO Box 357 51 Mosely Street Manchester M60 2AU
1
## **Catholic Truth Society (Diocese of Salford)**
## **Trustee’s Report**
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements and auditors' report of the charitable company for the year ended 31 December 2024.
## **Trustees and officers**
The trustees and officers serving during the year and since the year end were as follows:
Trustees: Bishop John Stanley Kenneth Arnold Rev Canon Michael James Gerard Cooke Rev Canon Michael David Jones Rev Christopher Dawson Rev Peter Hopkinson Sir Peter Fahy Mrs Mary Hunter Mrs Elizabeth Therese Lilley Mr Brendan Eamon McCafferty Mr Edward Nally Mr Eamonn Sean O’Neal Secretary: Mr Edward Nally
## **Structure, governance and management**
## **Nature of governing document**
The charity is constituted as a company limited by guarantee and is therefore governed by a Memorandum and Articles of Association as amended by special resolution on the 13th September 1996.
The Charity operates in conjunction with the Diocese of Salford, and the policies, processes and procedures of the Charity and the Diocese of Salford are aligned.
The charity is governed by the trustees, day to day management of the CTS Bookshop was delegated to Chief Operating Officer of the Diocese of Salford until it’s closure on 28 February 2024. The trustees have oversight of the financial statements of the charity and any major changes in the management or operations of the charity are reported via the Trustee’s Meeting. Remuneration of all staff within the charity is determined and agreed by the COO of the Diocese of Salford and ratified by the Trustees HR Committee.
## **Recruitment and appointment of trustees**
The trustees of the charity are the trustees of the Salford Diocesan Trust. The trustees are chosen according to their experience of the Trusts Ministry and of its need to function in accordance with both Canon and Civil Law.
## **Induction and training of trustees**
New trustees attend training sessions with current trustees to provide them with all necessary information.
2
## **Catholic Truth Society (Diocese of Salford)**
## **Trustee’s Report**
## **Organisational Structure**
The charity is organised so that the trustees meet regularly to manage its affairs. The CTS bookshop up to the end of February had one full time administrator, who managed the day-today administration of the retail and mail-order business.
## **Relationships with related parties**
## **The Salford Diocesan Trust**
The Trustees consider the Salford Diocesan Trust to be a related party by virtue of it having common trustees.
## **CARITAS Diocese of Salford**
The Trustees consider CARITAS Diocese of Salford to be a related party by virtue of it having common trustees.
## **Objectives and activities**
## **Objects and aims**
The charity's object and its principal activity will continue to be the advancement of religion by promoting knowledge of the Catholic Faith and its practice among both Catholics and Non Catholics via the circulation of books and publications. The activity previously was aimed at schools and parishes with the Diocese of Salford, and the general public, which has typically been conducted through the retail outlet (bookshop) and online. The Charity will work closely with the schools and parishes going forward to ensure that the offerings meet the needs and the objectives of the charity.
In 2023 The Trustees made the decision to close the bookshop with effect from February 2024, the Trustees are currently exploring options for moving the charity forward.
## **Objectives, strategies and activities**
The charity operated through the bookshop till Feb 24 with its principal activity promoting the Roman Catholic Faith among members of the Roman Catholic congregation and to the wider public at large.
For over half a century the Catholic Truth Society has been serving the Manchester and Salford parishes, schools and broader community providing a wide range of Catholic books and an extensive range of gifts, including statues, rosaries, icons etc.
## **Achievements and performance**
During 2024 the charity continued to promote the Roman Catholic Faith, however the Bookshop closed in February 2024. The Trustees are now exploring options on how to make best use of the charity moving forward.
3
## **Catholic Truth Society (Diocese of Salford)**
## **Trustee’s Report**
## **Going concern**
In February 2024 the charity closed its bookshop and mail order business. All stock was fully impaired, and the charity has paid off outstanding creditors. From 1 March 2024, the bookshop ceased trading, the Trustees are now looking at options during 2025 for future trading of the Charity.
Due to the above, the Trustees do not consider the charity to be a going concern and a basis other than going concern has been adopted for the preparation of these financial statements.
## **Public benefit**
The charity regularly reviews its activities and the benefits the activities bring to the public. All activities undertaken are for the public benefit.
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
## **Financial Review**
Turnover from the sale of goods reduced in the year due to closure of the bookshop to £29,541 (2023 £108,620)
Total resources expended amounted to £41,519 (2023 £178,067) with the result for the year being a deficit of (£11,977) (2023 deficit (£69,447)).
The net position as of 31 December 2024 are charity reserves in surplus of £50,799 (2023 £62,777).
## **Policy on reserves**
The Management Committee has examined the charity’s requirements for reserves in light of the main risks to the organisation. It has established a policy whereby the unrestricted funds not committed or invested in tangible fixed assets held by the charity should be a minimum of 6 months of the expenditure. In light of the decision to close the bookshop in February 2024 management consider the level of reserves are adequate for the expenditure expected.
Approved by the trustees of the charity on the 8[th] July 2025 and signed on its behalf by:
.........................................
Bishop John Stanley Kenneth Arnold Trustee
4
## **Catholic Truth Society (Diocese of Salford)**
## **Trustee’s Report**
## **Statement of Trustees’ Responsibilities**
The trustees (who are also the directors of Catholic Truth Society (Diocese of Salford) for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
## **Disclosure of information to auditor**
Each trustee has taken steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. The trustees confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
The annual report was approved by the trustees of the charity on the 8th July 2025 and signed on its behalf by:
.........................................
Bishop John Stanley Kenneth Arnold
Trustee
5
## **Catholic Truth Society (Diocese of Salford)**
## **Independent Auditor's Report to the members of the Catholic Truth Society (Diocese of Salford)**
## **Opinion**
We have audited the financial statements of Catholic Truth Society (Diocese of Salford) for the year ended 31 December 2024 which comprise Statement of Financial Activities, Balance Sheet, Statement of Cash Flows and notes to the financial statements, including 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:
- give a true and fair view of the state of the charitable company’s affairs as at 31 December 2024 and of its incoming resources and application of resources, including its income and expenditure for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **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 charitable company 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.
## **Emphasis of matter – financial statements prepared on a basis other than going concern**
We draw attention to note 1 of the financial statements which explains that the trustees have ceased operations and therefore do not consider it to be appropriate to adopt the going concern basis of accounting in preparing the financial statements. Accordingly the financial statements have been prepared on a basis other than going concern as described in note 1. Our opinion is not modified in respect of this matter.
## **Other information**
The trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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.
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 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.
## **Opinions on other matters prescribed by the Companies Act 2006**
6
## **Catholic Truth Society (Diocese of Salford)**
## **Independent Auditor's Report to the members of the Catholic Truth Society (Diocese of Salford)**
## **continued …**
In our opinion based on the work undertaken in the course of our audit
- the information given in the trustees’ report, which includes the directors’ report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the directors’ report included within the trustees’ report have been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In light of the 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 directors’ report included within the trustees’ report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit; or
- the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption in preparing the trustees’ report.
## **Responsibilities of trustees**
As explained more fully in the trustees’ responsibilities statement set out on page 5, 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 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 charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s 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 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 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:
7
## **Catholic Truth Society (Diocese of Salford)**
## **Independent Auditor's Report to the members of the Catholic Truth Society (Diocese of Salford)**
## **continued …**
We obtained an understanding of the legal and regulatory frameworks within which the company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006 and Taxation legislation.
We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management. Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities and reviewing accounting estimates for biases.
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 auditor’s report.
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. 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 auditor’s 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 the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Vicky Szulist
Senior Statutory Auditor
For and on behalf of
Crowe U.K. LLP
Statutory Auditor
The Lexicon Mount Street Manchester M2 5NT
Date: 18th September 2025
8
## **Catholic Truth Society (Diocese of Salford)**
## **Statement of Financial Activities for the Year ended 31 December 2024**
## **(Including income and Expenditure Account Statement of Total Recognised Gains and Losses)**
|**Note**
**Income and Endowments from:**
Charitable activities
3
Total income
**Expenditure on:**
Charitable activities
4
Total Expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
**Total funds carried forward**
**14**|**Total**
**2024**
**£**
29,541
29,541
(41,519)
(41,519)
(11,977)
(11,977)
(62,777)
**(50,799)**|**Total**
**2023**
**£**
108,620|
|---|---|---|
|||108,620|
|||(178,067)|
|||(178,067)|
|||(69,447)|
|||(69,447)
(132,224)|
|||**(62,777)**|
**All of the Charity's funds are unrestricted. The funds breakdown is shown in note 14.**
**All of the charity's activities derive from bookshop operations that were closed in February 2024.**
**==> picture [526 x 58] intentionally omitted <==**
The notes on pages 12 to 19 form an integral part of these financial statements
9
## **Catholic Truth Society (Diocese of Salford)**
(Registration number: 3205602)
## **Balance Sheet as at 31 December 2024**
|||**2024**|**2023**|
|---|---|---|---|
||**Note**|**£**|**£**|
|**Fixed assets**||||
|Tangible assets||-|-|
|**Current assets**||||
|Stocks|9|-|29,066|
|Debtors|10|-|4,602|
|Cash at bank and in hand|11|73,518|69,929|
|||73,518|103,597|
|**Creditors: Amounts falling due within one year**|12|(22,720)|(40,820)|
|**Net current assets**||50,799|62,777|
|**Net Assets**||50,799|62,777|
|Funds of the charity:||||
|**Unrestricted income funds**||||
|Unrestricted income|14|50,799|62,777|
|**Total Funds**||50,799|62,777|
The financial statements on pages 9 to 19 were approved by the trustees, and authorised for issue on 8th July 2025 and signed on their behalf by:
Bishop John Stanley Kenneth Arnold Trustee
The notes on pages 12 to 19 form an integral part of these financial statements
10
## **Catholic Truth Society (Diocese of Salford)**
## **Statement of Cash Flows for the Year ended 31 December 2024**
|**Note**
**Cash flows from operating activities**
Net cash income/(expenditure)
**Adjustments to cash flows from non-cash items**
Depreciation
**Working capital adjustments**
(Increase)/decrease in stocks
9
Decrease/(increase) in debtors
10
Increase/(decrease) in creditors
12
Net cash flows from operating activities
**Cash flows from financing activities**
Purchase of fixed assets
**Cash flows from financing activities**
Repayment of loans and borrowings
13
Net decrease in cash and cash equivalents
Cash and cash equivalents at 01 January
Cash and cash equivalents at 31 December|**2024**
**£**
(11,977)
-
(11,977)
29,066
4,602
(3,802)
17,888
-
(14,298)
3,590
69,928
73,518|**2023**
**£**
(69,448)
663|
|---|---|---|
|||(68,785)
39,447
912
27,435|
|||(991)
-|
|||(4,547)|
|||(5,538)
75,465|
|||69,928|
All of the cash flows are derived from continuing operations during the above two periods.
The notes on pages 12 to 19 form an integral part of these financial statements
11
## **Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
## **1 Charity status**
The charity is limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 toward the asset of the charity in the event of liquidation.
The address of its registered office is: Cathedral Centre 3 Ford Street Salford M3 6DP
## **2 Accounting policies**
## **Summary of significant accounting policies and key accounting estimates.**
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
## **Statement of compliance**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice {applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)) (issued in October 2019) - (Charities SORP (FRS 102), the Financial Reporting Standard applicable in th'e UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
## **Basis of preparation**
Catholic Truth Sodety (Diocese of Salford) meets the definition of a public benefit entity under FRS 102. Assets and Labilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
## **Going concern**
The trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The trustees make this assessment in respect of a period of one year from the date of approval of the financial statements.
On the basis of the above, the entity financial statements have been prepared on a basis other than going concern.
## **Judgements**
The company has no judgements that are significant enough to require disclosure.
The notes on pages 12 to 19 form an integral part of these financial statements
12
**Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
## **Key sources of estimation uncertainty**
The charity does not have any estimates that are subject to estimation uncertainty that require disclosure.
## **Income and endowments**
Income from charitable activities includes income recognised as earned as the related goods are provided, it is shown net of value added tax.
## **Donations and legacies**
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control at the charity and it is probable that these conditions will be fulfilled in the reporting period.
Legacy gifts are recognised an a case by case basis following the grant of probate when the administrator / executor for the estate has communicated in writing both the amount and settlement date. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title to the asset having been transferred to the charity.
## **Government and other grants**
Grants are recognised under the performance model. Income is recognised when the grant' s performance-related conditions are met. A grant that does not impose specified future performancerelated conditions on the recipient is recognised in income when the grant proceeds are received or receivable.
## **Expenditure**
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, its probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset's use. Other support costs are allocated based on the spread of staff costs.
## **Charitable activities**
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## **Governance costs**
These include the costs attributable to the charity's compliance with constitutional and statutory requirements, including audit, strategic management and trustees's meetings and reimbursed expenses.
## **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.
The notes on pages 12 to 19 form an integral part of these financial statements
13
**Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
## **Tangible fixed assets**
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses. The cost of tangible assets indudes directly attributable incremental costs incurred in their acquisition and installation.
## **Depreciation and amortisation**
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
**Asset class Depreciation method and rate** Furniture and fittings 10% straight line basis Computer and office equipment 20% straight line basis
## **Stock**
Stock is valued at the lower of cost and estimated selling price less costs to complete and sell, after due regard for obsolete and slow moving stocks. Cost is determined using the first-in, first-out (FIFO) method.
## **Trade debtors**
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Trade creditors**
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
## **Borrowings**
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Statement of Financial Activities over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer settlement of the
The notes on pages 12 to 19 form an integral part of these financial statements
14
## **Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
## **Pensions and other post retirement obligations**
The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions, even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised in the Statement of Financial Activities whenthey are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
## **Financial instruments**
## **Classification**
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
## **Recognition and measurement**
AII financial assets and liabilities are initially measured at transaction price {including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the finanical arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
## **Financial assets are derecognised**
When and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all oi the risks and rewards of ownership of the finandiai asset, or c) the rharity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
## **Financial liabilities are derecognised**
Only when the obligation specified in the contract is discharged,cancelled or expires
The notes on pages 12 to 19 form an integral part of these financial statements
15
## **Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
## **3 Income from charitable activities**
|Bookshop Sales
Bookshop Sales|**Unrestricted**
**Total**
**funds**
**2024**
**£**
**£**
29,541
29,541
**29,541**
**29,541**
**Unrestricted**
**Total**
**funds**
**2023**
**£**
**£**
108,620
108,620
**108,620**
**108,620**|
|---|---|
## **4 Expenditure on charitable activities**
|Cost of Sales
Employment costs
Establishment costs
Subscriptions
Computer Expenses
Bad and doubtful debts
Bank charges
Cost of Sales
Employment costs
Establishment costs
Subscriptions
Computer Expenses
Printing,postage and stationery
Advertising and promotion
Legal & Professional
Bad and doubtful debts
Bank charges
Depreciation|**Unrestricted**
**Total**
**funds**
**2024**
**£**
**£**
30,119
30,119
6,342
6,342
447
447
(547)
(547)
1,862
1,862
(312)
(312)
383
383
38,293
38,293
**Unrestricted**
**Total**
**funds**
**2023**
**£**
**£**
113,915
113,915
46,567
46,567
2,596
2,596
125
125
2,424
2,424
1,729
1,729
248
248
25
25
50
50
2,624
2,624
264
264
170,567
170,567|
|---|---|
The notes on pages 12 to 19 form an integral part of these financial statements
16
**Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
In addition to the expenditure analysed above, there are also governance costs in 2024 of £7,500 (2023 £7,500) which relate directly to charitable activities. See note 7 for further details.
## **5 Analysis of governance and support costs**
## **Governance costs**
|Audit fees
Audit of the financial statements
**Total for 2024**
**Total for 2023**
**6 Net incoming/outgoing resources**
Net incoming/(outgoing) resources for the year include:
Audit fee
Depreciation of fixed assets|**Unrestricted**
**funds**
**£**
3,226
3,226
7,500
**2024**
**£**
3,226
-|**Total**
**funds**
**£**
3,226|
|---|---|---|
|||3,226|
||||
|||7,500|
|||**2023**
**£**
7,500
264|
## **7 Trustees renumeration and expenses**
No trustees, nor any persons connected with them, have received any renumeration from the charity during the year.
No trustees have received any reimbursed expenses or any other benefits from the charity during the year.
## **8 Staff costs**
The aggregate payroll costs were as follows:
|**Staff costs during the year were:**
Wages and salaries
Social security costs
Pension costs|**2024**
**2023**
**£**
**£**
6,464
31,424
459
2,689
280
1,512
7,204
35,625|
|---|---|
The monthly average number of persons (including senior management / leadreship team) employed by the charity during the year expressed as full time equivalents was as follows:
|Managerial|**2024**
**2023**
**No**
**No**
0
1
0
1|
|---|---|
No employee received emoluments of more than £60,000 during the year
The notes on pages 12 to 19 form an integral part of these financial statements
17
## **Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
|**9 Stock**
Stocks
**10 Debtors**
Trade Debtors
Prepayments
**11 Cash and cash equivalents**
Cash on hand
Cash at bank|**2024**
£
-
**2024**
**£**
-
-
-
**2024**
**£**
-
73,518
73,518|**2023**
£
29,066|
|---|---|---|
|||**2023**
**£**
2,312
2,290|
|||4,602|
|||**2023**
**£**
447.57
69,481|
|||69,929|
||||
|**12 Creditors: amounts failing due within one year**
Trade creditors
Other loans
Other taxation and social security
Other creditors
Accruals|**2024**
**£**
-
22,720
-
-
-
22,720|**2023**
**£**
4,634
8,422
2,435
2,333
22,996|
|||40,820|
## **13 Funds**
The charity only holds unrestricted funds - the charity does not have any restricted or designated funds.
|**Unrestricted**
General
**Unrestricted**
General|**Balance at 1**
**January**
**2024**
**£**
62,777
**Balance at 1**
**January**
**2023**
**£**
132,224|**Incoming**
**resources**
**£**
29,541
**Incoming**
**resources**
**£**
108,620|**Resources**
**expended**
**Balance at 31**
**December 2024**
**£**
**£**
(41,519)
50,799
**Resources**
**expended**
**Balance at 31**
**December 2023**
**£**
**£**
(178,067)
62,777|
|---|---|---|---|
The notes on pages 12 to 19 form an integral part of these financial statements
18
**Catholic Truth Society (Diocese of Salford)**
## **Notes to the Financial Statements for the Year Ended 31 December 2024**
**14 Analysis of net assets between funds**
|Tangible fixed assets
Current assets
Current liabilities
Total net assets
Tangible fixed assets
Current assets
Current liabilities
Total net assets
**15 Analysis of net funds**
Cash at bank and in hand
Debt due within one year
Net debt
Cash at bank and in hand
Debt due within one year
Net debt|**At 1**
**January**
**2024**
**£**
69,929
(40,820)
29,109
**At 1**
**January**
**2023**
**£**
75,465
(17,931)
57,534|**Unrestricted**
**funds**
**General**
**£**
-
73,518
(22,720)
50,799
**Unrestricted**
**funds**
**General**
**£**
-
103,597
(40,820)
62,776
**Financial**
**cash**
**flow**
**£**
3,589
18,100
21,690
**Financial**
**cash**
**flow**
**£**
(5,536)
(22,889)
(28,425)|**Total funds at**
**31-Dec**
**2024**
**£**
-
73,518
(22,720)|
|---|---|---|---|
||||50,799|
||||**Total funds at**
**31-Dec**
**2023**
**£**
-
103,597
(40,820)|
||||62,776|
||||**At 31**
**December**
**2024**
**£**
73,518
(22,720)|
||||50,799|
||||**At 31**
**December**
**2023**
**£**
69,929
(40,820)|
||||29,109|
## **16 Related party transactions**
During the year the charity made the following related party transactions:
## **Salford Diocesan Trust**
The company is a wholly owned subsidiary of the parent charity
The company's immediate parent is The Salford Diocesan Trust, a charity registered in England The address of which is:
The Cathedral Centre
3 Ford Street Salford
M3 6DP
During the year, Catholic Truth Society have repaid wage recharges from the prior year as well as current year wage recharges and postage costs. These transactions formed part of the loan to the Catholic Truth Society.
At the balance sheet date the amount due to Salford Diocesan Trust was £22,720 (2023 - £8,422).
## **CARITAS Diocese Salford**
(The trustees consider the CARITAS Diocese of Salford to be related party by virtue of it having common Trustees).
During the year there were no transactions with Caritas Diocese of Salford. At the balance sheet date the amount due from CARITAS Diocese of Salford was £NIL (2023 NIL).
The notes on pages 12 to 19 form an integral part of these financial statements
19