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2023-08-31-accounts

Company number 3546759

Charity number 1069942

Clarendon Trust Limited

Group Report and Financial Statements

Year ended 31 August 2023

CLARENDON TRUST LIMITED

Financial Statements 31 August 2023

CONTENTS

Page
Trustees' Report 1-6
Independent Auditors’ Report 7-9
Consolidated Statement of Financial Activities 10
Balance Sheet (Group and Charity) 11
Consolidated Cash Flow Statement 12
NotestotheFinancialStatements 13-25

CLARENDON TRUST LIMITED

TRUSTEES’ REPORT

REFERENCE AND ADMINISTRATIVE DETAILS

Clarendon Trust Limited is a registered charity (1069942) and a company limited by guarantee (3546759).

Its registered office is: 21/23 Clarendon Villas Hove East Sussex BN3 3RE

The Trustees throughout the year, (unless otherwise shown), and at the date the report is signed

were: S Horne (resigned on 16" May 2023) P Jarvis N Jones (resigned on 16" May 2023) A Knight

W Bigwood (appointed on 21 February 2023) J Foreman (resigned on 31% December 2023) N de Freese (appointed 20" February 2024) M Sibanda D Wilson (appointed 19" March 2024) K Ball (resigned on 31 December 2023)

The senior staff of the charity throughout the year were: S Boon S Horne N Jones J Virgo S Dawson

Company Secretary

A Waller

The company’s advisors are:

Bankers: National Westminster Bank plc 103 Church Road Hove East Sussex BN3 2BF

Registered Auditors:

Shona Wardrop C.A. Chariot House Limited 44 Grand Parade Brighton BN2 90A

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CLARENDON TRUST LIMITED

Trustees’ Report — continued

The trustees present their report and the financial statements for the year ended 31 August 2023. The financial statements have been prepared in accordance with the accounting policies set out on pages 13 to 15 and comply with current statutory requirements the Financial Reporting Standard applicable in the U.K. and Republic of Ireland (FRS102) (effective from 1 January 2019), the Memorandum and Articles of Association, and the Statement of Recommended Practice: Accounting and Reporting by Charities 2019.

STRUCTURE, GOVERNANCE AND MANAGEMENT The company was incorporated on 16 April 1998 and was registered as a charity on 5 June 1998. It is governed by its Memorandum and Articles of Association. The company is limited by guarantee and has no share capital. The liability of the members is £10 each in the event of the company being wound up. The charity is also known as Emmanuel.

Potential new trustees are recommended by the Elders of the church and are appointed by the members, if considered suitable following interview by the existing trustees. The induction process for trustees involves supplying them with copies of the Memorandum & Articles of Association, recent Accounts and Minutes of Trustees’ Meetings. They are also shown the work of Clarendon Trust Limited and meet with the senior staff. Opportunities for training are also made available through our lawyers and auditors. Trustees meet regularly through the year and all the major decisions of the charity are made with them in consultation with the church Elders.

Friends First Trust and Oaks Trust are connected with Clarendon Trust Ltd (of 17 Clarendon Villas, Hove, East Sussex BN3 3RE) in that the charities have common trustees and Clarendon Trust Ltd is the sole corporate member of both Friends First Trust and Oaks Trust. Clarendon Enterprise Trading (CET), operated for the purpose of raising funds for the benefit of Clarendon Trust through the hiring of rooms for conferences, meetings, weddings, parties, etc. The CET directors are Neville Jones, Nils de Freese and Kate Ball.

RISK MANAGEMENT

The trustees have recognised the importance of assessing and managing risk associated with the charity's objectives. The process of identifying risk is ongoing and has been an essential part of the management of the charity for some years. Clarendon Trust and its subsidiaries Friends First Trust and Oaks Trust have a set of comprehensive policies and rules in place to ensure ongoing identification, management and documentation of foreseeable risks.

Financial Sustainability is monitored through the Finance Department, Trustee meetings and subcommittees. Regular management accounts give an up-to-date picture of Clarendon Trust's financial position each month and cash flow forecasts monitors the organisation's liquidity. Attention has also been focussed on non-financial risks arising from fire, health and safety, and food hygiene. Members of staff undergo relevant training on a regular basis. A comprehensive insurance policy exists to ensure that all insurable risks are covered. DBS checks are in place to safeguard young people and minimise the risk of inappropriate persons being involved in pastoral and youth work.

OBJECTIVES AND ACTIVITIES

The trustees have had regard to the Charity Commission guidance on public benefit, and paid due regard to it in deciding what activities the charity should undertake. The trustees are satisfied that the ongoing activities which they are involved in means that the charity is continuing to meet the public benefit requirement. The main objectives of the charity are to advance the Christian faith, to provide assistance for aged persons and those in conditions of need, hardship or distress, and to make gifts, donations or loans to any charitable religious institution. These objectives have not changed during the year. Clarendon Trust aims to encourage, equip and care for members of the church in Brighton

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and CLARENDON TRUST LIMITED Trustees’ Report — continued

Hove as well as to work with individuals and organisations in the United Kingdom and internationally who share the charity’s vision and values.

The key elements of the charity’s strategy are:

ACHIEVEMENTS AND PERFORMANCE FOR PUBLIC BENEFIT

The trustees confirm that they have referred to the Charity Commission's general guidance on public benefit when reviewing the Charity’s aims and objectives and in planning future activities, Emmanuel Church was founded over 40 years ago. In this time, we have sought to serve the local City, the UK and internationally. This report reflects aspects of each of these 3 components.

1. Sunday services and membership care

The focus of the last academic year has continued to be a rebuilding of the organisation postpandemic. All 5 services have been maintained and started to show signs of numerical growth. Together with this, we have continued to provide the online provision created during the pandemic to allow for those who were shielding or unable to come to view the Sunday service as well as providing a window into the church for those wanting to know more about Emmanuel. We have continued with a plan to re-engage volunteers in all areas of ministry. We have also progressed our plan for members to reconnect in small groups and are encouraged with the number of small groups and the actual numbers of people in those groups.

  1. Church planting

Emmanuel is continuing to actively partner with a number of churches and church plants in the UK, Continental Europe and Canada. This involves cities such as London, Bath, Belfast, Berlin, Amsterdam, Krakow and Ottawa. In 2022-23 we continued to financially support, by means of grants, the church plants in Belfast, Krakow and Bath. Emmanuel is linked with these churches and church plants and supports them through regular visits and training as well as building strong relationships witharea. the congregations. We have also helped with the planting of a new church into the London Bridge

  1. Newday In our ninth year with oversight of Newday the team ran the event again in August. This was the largest event so far in respect of attendance. Conversations and emphasis on the future of Newday becoming an independent charity have continued and as of August 2023 are close to completion.

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CLARENDON TRUST LIMITED

Trustees’ Report — continued

Oaks Trust

This subsidiary charity started activity during 2014 and seeks to help those who are poor and disadvantaged for a variety of reasons. The charity has historically overseen the activities of the Shoreham Foodbank, but now additionally has governance for a further two food banks (Clarendon Centre & Villas). Over the last year there has been 34% more referrals and requests made to food banks across the UK as well as free school meal provision rising by 17% in 2022. Oaks Trust has tried to meet this need by continuing to run three food banks providing emergency food and a space for social workers to bring clients and chat whilst they wait to receive their food parcels as well as opportunity for people to access debt support services.

Friends First Trust

This subsidiary charity provides support to adult men and women with a background in homelessness and/or long-term unemployment to gain work experience and link them with opportunities to increase their employability and access to paid employment. The charity works in partnership with local employers who open up work experience and paid employment opportunities to its beneficiaries. Friends First works with socially minded property investors to enable beneficiaries to access secure and affordable accommodation. Friends First recruit, screen, and train volunteer mentors and befrienders to come alongside beneficiaries living in their local communities. Friends First also provides intensive paid-person support for beneficiaries to assist them in gaining momentum and achieving independent living. The charity also has access to counselling referral and regularly work alongside and signpost to other like-minded agencies in the city.

FINANCIAL REVIEW

The accounts on pages 10 to 24 comply with statutory requirements of the Memorandum and Articles of Association. The Consolidated Statement of Financial Activities on page 10 shows total net incoming resources of £135,529 (2022: £44,893 incoming). The charitable company has continued to fund, out of the general fund, a variety of projects and activities which are in line with its stated objectives. The level of activity for the year was satisfactory. There was a balance of £1,702,040 (2022: £1,554,694) on the unrestricted funds at the year end. The principal restricted fund operated by the charity is the building fund. This has been used to fund the purchase and construction of the Clarendon Centre.

The main asset of the charitable company is the freehold property known as the Clarendon Centre, which is used as a church meeting place. The results of all subsidiaries - Friends First Trust, Oaks Trust and Clarendon Enterprise Trading - are consolidated into these financial statements. The results of Friends First and Oaks Trust are included within restricted funds. The result of Clarendon Enterprise Trading is included within unrestricted funds. The charitable company is dependent upon the continued receipt of donated income as its main source of income. This is complemented by trading income, receipts from conferences and contributions from other churches. At the year end its financial position was satisfactory and the trustees are satisfied that it is appropriate to prepare the accounts on a going concern basis. The charity's employees’ remuneration including key management personnel is set according to a salary band structure that has been established by the trustees using benchmarks with comparable organisations.

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CLARENDON TRUST LIMITED

Trustees’ Report — continued

RESERVES POLICY

Clarendon Trust's reserves policy is to maintain a sufficient level of reserves to enable operating activities to be maintained, taking account of potential risks and contingencies that may arise from time to time. The level of reserves is monitored throughout the year and the policy is reviewed annually by the trustees. The trustees consider that the charity currently needs to maintain free reserves of three months unrestricted expenditure. At 31 August 2023, free reserves were £656,515.

The charity has a number of designated and restricted funds, details of which are given in notes 12 and 13 to the financial statements. Any funds which would only be realised by disposing of fixed assets held for charity use are also excluded from the figure for free reserves.

PLANS FOR FUTURE YEARS

Clarendon Trust Limited’s key objectives for the future are to continue the communication of the Christian gospel in a clear and contextually relevant way and to develop the growing work of service to the community and internationally both through the work of the charity as an organisation and through the individual members of it. Each year the leadership of the trust have a strategic and financial plan that is shaping major decisions.

The primary aim of this plan is to see continued growth in our online and in-person Sunday meetings, more effective care of our membership and continued outreach to those in need in our society. We'll continue to focus on leadership development to help run the increasing responsibilities as a growing multi-site church. We're also looking to further support the current church plants overseas in various ways including regular visits, training and financial resources. With regards to properties, we're planning to maintain our existing fixed assets to continue to serve our operations and projects. We want to further build capacity in our social action ministries to serve a greater number of people in the city.

TRUSTEES RESPONSIBILITIES

The trustees (who are also directors of Clarendon Trust Limited 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 year and 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 charity and of the incoming resources and application of resources, including the income and expenditure, of the group for that year.

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CLARENDON TRUST LIMITED

Trustees’ Report — continued

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Financial statements are published on the charity's website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements, which may vary from legislation in other jurisdictions. The maintenance and integrity of the charity's website is the responsibility of the trustees. The trustees’ responsibility also extends to the ongoing integrity of the financial statements contained therein.

STATEMENT OF DISCLOSURE TO AUDITOR

The trustees who are in office on the date of approval of these financial statements have confirmed that, as far as they are aware, there is no relevant audit information of which the auditor is unaware. Each of the trustees have confirmed that they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that it has been communicated to the auditor.

AUDITORS

Chariot House Limited have been appointed as auditors via a resolution at the Annual General Meeting. This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies’ exemption.

Approved by the trustees on 16" April 2024 and signed on their behalf by

William Bigwood Chair of Trustees

21/23 Clarendon Villas Hove East Sussex

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BN3 3RE

INDEPENDENT AUDITORS REPORT TO THE TRUSTEES AND MEMBERS OF CLARENDON

TRUST LIMITED

Opinion

We have audited the financial statements of Clarendon Trust (the 'charitable company’) (the ‘parent company’) and its subsidiaries (‘the group’) for the year ended 31 August 2023 which comprise the Group Statement of Financial Activities, the Group and Parent company Balance Sheet, the Group and parent company cashflows and 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 group and the parent 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.

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 and the parent company’s ability to continue as a going concern for a year 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 other information comprises the information included in the annual report other than the financial statements and our auditor's 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

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determine whether this gives rise to a material misstatement in the financial statements themselves. lf, 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. INDEPENDENT AUDITORS REPORT TO THE TRUSTEES AND MEMBERS OF CLARENDON TRUST LIMITED (CONTINUED)

Opinion on other matters prescribed by the Companies Act 2006

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on pages 5 and 6, 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 parent 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 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

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irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the group and parent company and the industry in which it operates, and considered the risk of acts by the group and parent company that were contrary to applicable laws and regulations, including fraud. INDEPENDENT AUDITORS REPORT TO THE TRUSTEES AND MEMBERS OF CLARENDON TRUST LIMITED (CONTINUED)

We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

We focussed on laws and regulations which could give rise to a material misstatement in the financial Statements, including, but not limited to, the Companies Act 2006, Charities Act 201 1, and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation, enquiries with management and enquiries of legal counsel when considered necessary. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of management bias by the trustees that represented a risk of material misstatement due to fraud.

A further description of our responsibilities is available 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 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 the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. — —— > hon Jorden Shona Wardrop C.A. Chariot House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN2 9QA

Date: 23” April 2024

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CLARENDON TRUST LIMITED

Consolidated Statement of Financial Activities (including income and expenditure account) for the year ended 31 August 2023

Notes Unrestricted
funds		 Unrestricted
funds		 Restricted
funds		 Restricted
funds		 Totalfunds
2023		 Total funds
2022
INCOME FROM
£ E = £
Donations and legacies 2 2,265,616 90,089 2,300,000 2,054,813
Charitable Activities
Housing and Work Support
Conferences and otherevents		 -
972,546		 52,096
-		 52,096
972,546		 30,954
805,457
Investments
Trading Subsidiary		 12,917
257,349		 -
-		 12,577
257,349		 686
141,973
Total income 3,508,428 142,185 3,650,463 3,033,883
EXPENDITURE ON
Raising Funds
Trading Subsidiary		 27 584
63,485		 -
-		 27,584
63,485		 25,800
20,316
Charitable activities
Conference costs
Pastoral costs
Mission support costs
Housing andWork Support		 903,649
1,266,388
966,899
-		 -
165,432
-
121,648		 903,649
1,431,820
966,899
121,648		 $91,071
1,316,431
652,470
122,662
Total expenditure 3 3,228,005 287,080 3,515,085 2,988,989
Netincome (expenditure) 280,424 (144,895) 135,529 44 893
Transfers between funds 12/ (132,978) 132,978 - -
13
Netmovement in funds 147,446 (11,917) 135,529 44,893
Fund balances brought forward at
1 September2022		 1,554,594 1,131,195 2,685,789 2,685,789
Fund balances carried forward
at31August2023		 12 1,702,040 1,119,278 2,821,318 2,685,789

The Statement of Financial Activities reflects the results of continuing activities for the year. There were no recognised gains or losses for the year other than those shown on the Consolidated Statement of Financial Activities.

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The notes on pages 13 to 25 form part of these financial statements.
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Company number 3546759

CLARENDON TRUST LIMITED

Balance Sheet (Group and Charity) at 31 August 2023

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|||||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |Notes|2023|2022|2023|2022| |Group|Group|Charity|Charity| |£|£E|¢€|£| |FIXED|ASSETS| |Tangible|assets|6|1,533,486|1,601,795|1,533,486|1,601,795| |CURRENT ASSETS| |Debtors|7|93,813|91,522|90,640|118,126| |Cash|at|bank|and|in|hand|1,625,407|1,544,447|1292;|171|1,320,643| |1,719,220|1,635,970|1,382,751|1,438,769| |CREDITORS|- AMOUNTS| |FALLING|DUE|WITHIN|ONE|YEAR|8|(209,278)|(320,099)|(173,277)|(256,117)| |NET|CURRENT ASSETS|1,509,943|1,315,971|1,209,474|1,182,652| |CREDITORS|- AMOUNTS| |FALLING|DUE|AFTER ONE|YEAR|Q9|(222,111)|(231,876)|(222,111)|(231,876)| |TOTAL|ASSETS|LESS|CURRENT| |LIABILITIES|AND|NET ASSETS|2,821,318|2,685,789|2,520,849|2952.571| |FUNDS| |Unrestricted|funds| |General|funds|12|721,324|578,658|526,435|518,166| |Designated|funds|12|980,716|975,936|980,716|975,936| |Restricted|funds|13.|1,119,277|1,431,195|1,013,698|1,058,469| |TOTAL|FUNDS|14|2,821,318|2,685,789|2,520,849|2,002,571| |These|financial|statements|have|been|prepared|in|accordance|with|the|provisions|applicable|to| |companies|subject|to|the|small|companies’|regime.| |Approved|by the|trustees,|signed|on|their|behalf by|and|authorised|for|issue|on|16"|April|2024| |WHS Gaye)|-|

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William Bigwood (Chair of trustees)

The notes on pages 13 to 25 form part of these financial statements.

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CLARENDON TRUST LIMITED

Consolidated Cash Flow Statement for the year ended 31 August 2023

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |2023|2022| |Reconciliation|of|net|movement|in|funds|3|£|£|£| |to|net|cash|flows|from|operating|activities| |Net|movement|in|funds|135,329|44,893| |Investment|income|(12,917)|(686)| |Depreciation|68,309|87,145| |Decrease|in|stock|-|-| |(Increase)/Decrease|in|debtors|(2,291)|27,108| |Increase/(decrease)|in|creditors|(108,858)|108,767| |Net cash|inflow|(outflow)|from|operating|79,772|267,228| |activities| |Returns|on|investments|and|servicing|of| |finance| |New|Loan|in|the|year|-|250,000| |Loan|Repayments|in|the|year|(11,729)|(5,056)| |Investment|income|received|12,917|686| |Net|cash|inflow from|returns on|1,188|245,629| |investments|and|servicing|of finance| |Capital|expenditure| |Purchase|of|tangible|fixed|assets|-|-| |Disposal|of tangible|fixed|assets|-|20,199| |Net cash outflow from|capital|expenditure|-|20,199| |Increase/(decrease)|in|cash|in|the|year|80,690|533,057| |Reconciliation|of|net|cash|flow|to| |movement|in|net|cash|funds| |Net funds|at|beginning|of the|year|1,544,447|1,011,390| |Change|in|net funds|during|the|year|80,690|533,057| |Net funds|at end|of the year|1,625,407|1,544,447|

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The notes on pages 13 to 25 form part of these financial statements.

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CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with 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)’, Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland’, and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements are prepared in sterling, which is the functional currency of the entity and are rounded to the nearest pound

(a) Basis of preparation

Consolidated accounts have been prepared which consolidate the results of Clarendon Trust Limited, Friends First Trust and Oaks Trust on a line by line basis. A separate Statement of Financial Activities, or Income and Expenditure Account, has not been presented for the charitable company itself as it has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006.

The gross income of Clarendon Trust Limited itself was £3,251,079 (2022: £2,821,872) and its net incoming resources were £41,789 (2022: incoming £74,805).

(b) Going concern

In view of the Trusts level of reserves, the directors are of the opinion that there are no material uncertainties in relation to its ability to continue operating and as such the accounts have been prepared on a going concern basis. The directors have taken into consideration a period of 12 months from the date of signing of the accounts.

(c) Incoming resources

Income is recognised when: a) the charity has entitlement to the funds; b) any performance conditions attached to the items of income have been met; c) it is probable that the income will be received; d) the amount can be measured reliably.

(d) Donations

Donations are accounted for as received. In the event that a donation is subject to fulfilling performance conditions before the charity is entitled to the funds, the income is deferred until either those conditions are met in full, or their fulfilment is wholly within the control of the charity and it is probable that those conditions will be fulfilled by the reporting period.

(e) legacy income

The charity recognises residuary legacy income at the earlier date of receipt or when the executors have determined that a payment can be made following the agreement of the estate's accounts, or on notification by the executors that payment will be made. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

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CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

(f) Grant income; Income from charitable activities

Income from charitable activities includes income received under contract or where entitlement to grant funding is subject to specific conditions and is recognised as earned. Grant funding included in this category provides funding to support activities and is recognised where there is entitlement, probability of receipt, and the amount can be measured with sufficient reliability.

(g) Earned and other income

Income from the café and other trading activities are recognised as earned. Income from events is only recognised in the year and period the event takes place. Until such time that the event takes place any such income is deferred to future periods. Other incoming resources comprises one off and irregular income recognised using the same criteria for voluntary income.

(h) Resources expended

Expenditure is allocated between cost of generating funds, charitable expenditure, support costs and the cost of management and administration of the charitable company on an accruals basis. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. Overhead and Support costs have been allocated to charitable activities. Staff costs are apportioned on the basis of actual time spent.

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office and governance costs. They are incurred directly in support of expenditure on the objects of the charity.

Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees.

(i) Fixed assets and depreciation

Freehold property and fixtures, fittings and office equipment are capitalised at their historic cost (capitalisation threshold is £10k) and stated at cost less depreciation. Freehold buildings are depreciated to write down the cost less estimated residual value over their remaining useful life by equal annual instalments. No depreciation is charged on freehold land. Fixtures, fittings and office equipment are depreciated on a reducing balance basis.

Depreciation is taken in full in the first year and calculated to write off the cost less estimated residual value on a written down basis over their estimated useful lives. The rates are: Freehold Property 2% Fixtures, Fittings and Office Equipment 20% Motor Vehicles 30%

(j) 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 settlement value with the exception of bank loans which are subsequently measured at amortised cost.

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CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

(k) Cash at bank and in hand

Cash at bank and cash 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.

(I) Voluntary assistance

A certain amount of time is expended on the charitable company's activities which is donated free of charge. It is not possible to quantify the value of the time given, and accordingly it is neither recorded as donated income nor as an expense in the financial statements.

(m) Leases

Equipment acquired under finance leases are capitalised in the balance sheet at an amount representing the capital element of the related rental payments. The interest element of these obligations is charged to the Statement of Financial Activities over the relevant year. The capital element of the future payments is treated as a liability. The equipment is depreciated over the shorter of the lease term and its expected useful life of the asset.

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the lease term.

(n) Taxation

The company is a charity within the meaning of Para 1 Schedule 6 Finance Act 2010. Accordingly the company is potentially exempt from taxation in respect of income or capital gains within categories covered by Chapter 3 of 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.

No tax charge arose in the year.

(o) Pensions

The charitable company contributes to defined contribution pension schemes, The charge to the Consolidated Statement of Financial Activities for 2023 was £89,987 (2022: £88,608).

(p) Value Added Tax

The Trust has registered with a Group VAT arrangement covering both the charity and the subsidiary trading company. Irrecoverable VAT is included in resources expended in the Statement of Financial Activities.

(q) Investment in Subsidiary

The investment in the trading subsidiary is measured at cost less any impairment. The charitable subsidiaries, Friends First and Oak Trust, are limited by guarantee but treated as subsidiaries due to the level of control exercised by the Clarendon Trust.

18

CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

(r) Fund accounting

An explanation of the nature and purpose of each fund is included in the notes to the financial statements. Funds held by the charity are either:

Unrestricted general funds - these are funds which can be used in accordance with the charitable objects at the discretion of the trustees.

Designated funds - these are funds set aside by the trustees out of unrestricted general funds for specific future purposes or projects.

Restricted funds - these are funds that can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

19

CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

2 VOLUNTARY INCOME
2023 2022
£ £
Donations and other funding 2,265,466 2,015,542
Restricted donations and grants 90,089 39,271
2,355,555 2,054,813
3 TOTAL RESOURCES EXPENDED
Depreciation Staff
Costs		 Other
Costs		 Total
2023		 Total
2022
E £ £ i £
Conference costs 3,240 35,342 865,067 903,649 851,311
Fundraising and publicity ~ 23,561 4,022 27,584 25,800
Pastoral costs 61,018 829,174 541,628 1,431,820 1,316,431
Mission Support costs 4,051 358,188 604,660 966,899 652,470
Housing and Work Support - 53,129 68,519 121,648 122,662
Trading Subsidiary Expenditure - - 63,485 63,485 20,316
68,309 1,299,394 2,147,382 3,515,085 2,988,989

The amounts paid to auditors comprised:

2023 2022
E £
Audit fees 13,170 12,820
Other services 3,780 4,183
17,003 17,003

The following grants were made in 2022/23:

20

CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

4 TRUSTEES

In accordance with the charitable company's Memorandum and Articles of Association, the following trustees received a salary from the charitable company during the year:

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |Salary|Pension| |K|Ball|£29,690|(2022 — £23,703)|£2,078|(2022|— £1,659)| |S|J|Horne|£45,007|(2022 — £49,445)|£5,401|(2022|— £5,933)| |N|Jones|£53,489|(2022 — £49,895)|£8,023|(2022|— £7,484)|

----- End of picture text -----

All Pension contributions were paid under a defined contribution scheme.

In addition, remuneration was paid to one related party amounting to £5,446 (2022: £5,080) as permitted by the constitution.

The related parties are:

e Jacqui Jarvis (employment, married to P Jarvis)

ye There were no reimbursed expenses paid to trustees (2021: nil).

5 STAFF COSTS

----- Start of picture text -----
|||||| |---|---|---|---|---| |Group|2023|2022| |£|3| |Gross|salaries|1,112,032|1,022,926| |Social|security|costs|97,374|99,184| |Pension|costs|89,987|88,608| |1,299,394|1,210,718|

----- End of picture text -----

Total paid to key management personnel consisting of the senior leadership team of the church was £311,428 (2022: £310,211).

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

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |2023|2022| |Number|Number| |Pastoral|and|Mission|Support|17|17| |Buildings/Lettings|4|4| |Housing|and|Work|Support|2|2| |Support|and|administration|6|6| |29|29|

----- End of picture text -----

No employees had emoluments in excess of £60,000: nil (2022: nil).

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CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

6 TANGIBLE FIXED ASSETS

Fixtures,
fittings
Freehold and office
property equipment Total
£ £ 3
COST
Parent Company
At
1 September 2022		 3,112,637 554,950 3,667 587
Disposals - E é
At 31 August 2023 3,112,637 554,950 3,667,587
Subsidiary at
1 September2022		 - - -
Additions - - =
Subsidiary at 31 August 2023 - - -
Group at 31 August2023 3.112.637 554,950 3,667,587
ACCUMULATED DEPRECIATION
Parent Company
At 1 September 2022 1,591,854 473,938 2,065,792
Charge for the year 52,107 16,202 68,309
Disposals - - -
At 31 August 2023 1,643,961 490,140 2,134,101
Subsidiary
At1September2022 ~ - -
Charge for the year - i ss
At 31 August 2023 - - -
Group at 31 August 2023 1,643,961 490,140 2,134,101
NET BOOK VALUES
Parent Company at 31 August2023 1,468,676 64,810 1,533,486
Subsidiary at 31 August 2023 - - -
Group at 31 August2023 1,468,676 64,810 1,533,486
At31August2022 1,520,783 81,012 1,601,795

A mortgage from Stewardship Services (UKET) Limited is secured by a fixed charge on the Oasis property on Hangleton Way, Hove, BN3 8EQ.

22

CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

r DEBTORS
2023 2022 2023 2022
Group Group Charity Charity
£ £ £ &
DUE WITHIN ONE YEAR
Other debtors 92,988 73,325 90,640 112,126
Prepayments and accrued income 825 18,197 - 6,000
93,813 91,522 90,640 118,126

8 CREDITORS - AMOUNTS FALLING DUE WITHIN ONE YEAR

2023 2022 2023 2022
Group Group Charity Charity
d £ 3 &
Taxation and social security (49) 105 (16,362) (8,728)
Bank loan 11,104 13,068 11,104 13,068
Accruals and deferred income 198,223 306,926 178,535 251,777
209,278 320,099 173,277 256,117

9 CREDITORS - AMOUNTS FALLING DUE AFTER ONE YEAR

2023 2022 2023 2022
Group
£		 Group
£		 Charity
£		 Charity
£
Bank loan 222014 231,876 222,411 231,876
222,111 231,876 222,111 231,876

23

CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

----- Start of picture text -----
10 LOANS
----- End of picture text -----

An analysis of the maturity of the loan is given below:

2023 2022
£
Amounts falling due with one year on demand
Mortgage 11,104 13,068
Amounts falling due between one and two years
Mortgage — 1-2 years 11,858 15;552
Amounts falling due between two and five years
Mortgage — 2-5 years 40,625 43,744
Amounts falling due in more than five years
Mortgage 169,628 174,580
11
SECURED DEBTS
The following secured debts are included within creditors:
2023 2022
£ £
Mortgage 233,214 244,944
The charity has a mortgage loan with Stewardship Services (UKET) Limited of£233,214 (2022:
£244,944). The loan is repayable over 13.5 years until 25 March 2037. The interest rate on the loan is
7.5%.
12
UNRESTRICTED FUNDS
Balance at Movement in resources Balance at
Group and Charity
1		 September 31 August
2022 Incoming Outgoing Transfers 2023
Designated fund £ £ £ £ £
Gift Day fund 187,788 582,099 (25,266) (418,553) 326,067
Maintenance fund 4,413 - (4,413) - -
Newday Offering fund
Contingency fund		 65,393
242,138		 13,237
50,000		 =
(125,410)		 -
(12,332)		 78,630
154,395
Social Action funds fT,122 4,582 (17,236) 2,022 66,324
Ministryfunds 17,6393 76,967 (255,715) 140,339 39,244
Church Planting funds 50,704 42,724 (133,776) 94,475 54,126
Sphere Contingency& Opportunities 50,369 3,815 (45,512) 31,072 39,744
Oasis Building fund
General fund		 220,356
578,658		 -
2,735,006		 (9,900)
(2,610,610)		 11,729
18,271		 222,186
721,325
1,423,010 3,508,429 (3,228,005) (132,978) 1,702,040
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----- Start of picture text -----
Balance at Movement in resources Balance at
Group and Charity 1 September 31 August
2021 Incoming Outgoing Transfers 2022
Designated fund £ £ £ £ £
Gift Day fund - 418,484 (34,734) (195,962) 187,788
Maintenance fund 4,413 - - - 4,413
Newday Offering fund 42,364 65,748 (355) (42,364) 65,393
Contingency fund 55,414 11,991 (117,697) 292,430 242,138
Social Action funds 85,755 3,777 (17,638) 5,228 77,122
Ministry funds 47,336 12,514 (19,755) 37 558 77,653
Church Planting funds 116,333 29,451 (95,080) - 50,704
Sphere Contingency & Opportunities 69,064 22,460 (20,155) (21,000) 50,369
Oasis Building fund 475,200 - (9,900) (244,944) 220,356
General fund 527,131 2,399,233 (2,407,510) 59,804 578,658
1,423,010 2,963,658 (2,722,824) (109,250) 1,554,594
CLARENDON TRUST LIMITED
----- End of picture text -----

Notes to the Financial Statements for the year ended 31 August 2023

The Gift Day fund is the balance of monies raised through three Gift Days/giving campaigns during the year and allocated but not yet spent.

The Maintenance fund has been established for the continuing investment into Emmanuel’s fixed assets.

The Newday Offering fund represents donations taken up at the annual Newday youth event and are designated for the furtherance of the mission of the event.

The Contingency fund was set aside from the surpluses of Gift Day funds to meet the costs of any items that fit into the aims of gift days but which arose on a more ad hoc basis.

The Social Action funds represent funds relating to various social engagement projects and ministries including Christian Action Brighton, Friends First funds and Care for our City funds.

The Ministry funds represent funds relating to various activities to support church members including pastoral needs, youth funds, church conferences and events. difficulty.

The Church Planting funds represent funds to support specific church plants in Krakow, Belfast and Bath.

The Sphere Contingency & Opportunities fund represents donations for supporting future opportunities for church planting and other projects related to Emmanuel’s growing partnership with other churches.

The Oasis Building fund is represented by the building of the Oasis.

25

CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

13 RESTRICTED FUNDS

Group Balance at
1 September
2022		 Movement inresources
Incoming
Outgoing
Transfers		 Movement inresources
Incoming
Outgoing
Transfers		 Movement inresources
Incoming
Outgoing
Transfers		 Movement inresources
Incoming
Outgoing
Transfers		 Balanceat
31 August
2023
£ £ E £ £
Building fund
Ottawa fund		 1,055,483
2,986		 -
-		 (42,207)
(2,546)		 - B 1,013,276
422
Charity sub total 1,058,469 - (44,771) - 1,013,698
Oaks Trust
Friends First		 34,277
38,449		 90,089
52,096		 (120,661)
(121,648)		 45,998
86,980		 49,702
55,877
1,131,195 142,185 (287,080) 132,978 1,119,277
Balance at Movement in resources Balance at
Group 1 September 31 August
2021 Incoming Outgoing Transfers 2022
£ £ 4 gE z
Building fund 1,097,690 - (42,207) - 1,055,483
Ottawa fund 5,151 188 (2,353) - 2,986
Charitysub total 1,102,841 188 (44,560) - 1,058,469
Oaks Trust 78,138 39,084 (98,945) 16,000 34,277
Friends First 36,907 30,954 (122,662) 93,250 38,449
1,217,886 70,225 (266,126) 109,250 1,131,195

The Building fund is represented by the building and the establishment of the Clarendon Centre.

The Ottawa fund donations for supporting a specific church plant.

Oaks Trust is a subsidiary charity focusing on social engagement which currently covers the activities of the Shoreham, Hove and Clarendon Centre Foodbanks.

Friends First is a subsidiary charity focusing on housing support and work training for the socially marginalised and homeless.

26

Notes to the Financial Statements for the year ended 31 August 2023

CLARENDON TRUST LIMITED

14 ANALYSIS OF NET ASSETS BETWEEN FUNDS

Tangible
Group fixed Netcurrent Long term
assets assets liabilities Total
££ e £
Restricted funds
Building fund 1,013,276 - - 1,013,276
Ottawa fund - 422 - 422
Charitysub total 1,013,276 422 - 1,013,698
Subsidiaries
Oaks Trust - 49,702 - 49,702
Friends First - 65,877 - 55,877
Unrestricted funds
General funds 64,810 656,515 - 721,325
Designated funds 455,400 747,426 (222,111) 980,716
1,533,486 1,509,943 (222,111) 2,821,318

15 SUBSIDIARIES

During 2003, the activities of the Housing and Work Support were taken over by Friends First (Company number: 4402061, Charity number: 1094827), a subsidiary under the control of Clarendon Trust Limited. The net surplus funds of this subsidiary at 31 August 2023 were £55,877 (2022: £38,449). During the year ended 31 August 2023, Friends First generated incoming resources of £52,096, received £86,980 in transfers from Clarendon Trust and expended resources of £121,648.

During 2014, the activities of the Foodbank were transferred to Oaks Trust (Company number: 8286100, Charity number: 1150372), a subsidiary under the control of Clarendon Trust Limited. The net surplus funds of this subsidiary at 31 August 2023 were £49,702 (2022: £34,277). During the year ended 31 August 2023, Oaks Trust generated incoming resources of £90,089, received £45,998 from Clarendon Trust and expended resources of £120,661.

During 2019, the lettings and café activities were transferred to Clarendon Enterprise Trading Ltd (Company number: 11973917). The surplus of this subsidiary at 31 August 2023 was £194,890 (2022: £59,408) before making a donation in the year of £59,408. During the year ended 31 August 2023, Clarendon Enterprise Trading Ltd generated incoming resources of £257,349 and expended resources of £63,485.

The registered offices for all these companies is 21-23 Clarendon Villas, Hove, East Sussex, BN3 3RE.

27

CLARENDON TRUST LIMITED

Notes to the Financial Statements for the year ended 31 August 2023

16 RELATED PARTY TRANSACTIONS

The charity has taken advantage of the exemption conferred by Financial Reporting Standard No. 8 “Related Party Transactions” not to disclose transactions with undertakings in which 100% or more of the voting rights are controlled by Clarendon Trust Limited. These undertakings results have been included within the consolidated financial statements of Clarendon Trust Limited. Details of other related party transactions are included in note 4.

28