2021-05-31-accounts

CHARITY REGISTRATION NUMBER: 1070269

Sunningmead Community Association Unaudited Financial Statements

31 May 2021

Sunningmead Community Association

Financial Statements

Year ended 31 May 2021

	Page
Trustees' annual report	1
Independent examiner's report to the trustees	4
Statement of financial activities	5
Statement of financial position	6
Notes to the financial statements	7

Sunningmead Community Association

Trustees' Annual Report

Year ended 31 May 2021

The trustees present their report and the unaudited financial statements of the charity for the year ended 31 May 2021.

Reference and administrative details

Registered charity name	Sunningmead Community Association	Sunningmead Community Association
Charity registration number	1070269
Principal office	Sunningmead Community Centre
	Lazenby Road
	Wilcombe
	Tiverton
	EX16 4AL
The trustees
	M Rattenberry (Chair)
	J Searle (Vice Chair)
	K Southgate
	A Kilshaw
	W Kilshaw
	P Owens
	J Prowse
	S Bush
	J Bryant	Resigned January 2021
Accountants	Thomas Westcott
	Chartered accountants
	Timberly
	South Street
	Axminster
	Devon
	England
	EX13 5AD

1

Sunningmead Community Association

Trustees' Annual Report (continued)

Year ended 31 May 2021

Structure, governance and management

Recruitment, Induction and training, Risk management, Organisational structure, Related parties

Structure

Sunningmead Community Association is an unincorporated charity (Charity no: 1070269) formed as an Association and governed by its constitution adopted on 17th June 1998.

Trustees

The Charity is managed by the Trustees who meet regularly to ensure the Charity continues to meet its charitable aims. New Trustees are appointed by existing Trustees. The Trustees receive no remuneration for their role as Trustees.

Risk Management

The Trustees have considered the major strategic, business and operational risks which the charity faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks.

Objectives and activities

The objectives of the Charity are to promote the benefit of the inhabitants of Wilcombe and Tidcombe and the neighbourhood together defined by Canalward, Tiverton without distinction of sex, sexual orientation, race or of political, religious or other opinions, by associating together the said inhabitants and the local authorities, voluntary and other organisations in a common effort to advance education and to provide facilities in the interests of social welfare for recreation and leisure time occupation with the object of improving the conditions of life for the said inhabitants.

Achievements and performance

Financial review

During the period the Charity received income of £56,394 (2020: £84,291). Of this income £56,394 (2020: £70,079) was unrestricted and £nil (2020: £14,212) was restricted. The Charity incurred expenditure of £54,636 (2020: £61,603) during the year, of which £nil (2020: £75) related to unrestricted direct charitable activities and £54,636 (2020: £43,646) related to unrestricted support costs; £nil (2020: £490) related to restricted direct charitable activities and £nil (2020: £17,392) related to restricted support cost. At 31st May 2021 the Charity had net assets of £302,559 (2020: £300,801) of which £301,545 (2020: £299,787) was unrestricted and £1,014 (2020: £1,014) was restricted.

2

Sunningmead Community Association

Trustees' Annual Report (continued)

Year ended 31 May 2021

Trustees' responsibilities statement

The trustees 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).

The law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period.

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

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the applicable Charities SORP;

• make judgments and accounting 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;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees' annual report was approved on .............................. and signed on behalf of the board of trustees by:

M Rattenberry (Chair) Trustee

3

Sunningmead Community Association

Independent Examiner's Report to the Trustees of Sunningmead Community Association

Year ended 31 May 2021

I report to the trustees on my examination of the financial statements of Sunningmead Community Association ('the charity') for the year ended 31 May 2021.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

1. accounting records were not kept in respect of the charity as required by section 130 of the Act; or

2. the financial statements do not accord with those records; or

3. the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair' view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Stuart Carrington FCA Independent Examiner For and on behalf of Thomas Westcott Timberly South Street Axminster Devon England EX13 5AD

4

Sunningmead Community Association

Statement of Financial Activities

Year ended 31 May 2021

				2021		2020
			Unrestricted	Restricted
			funds	funds	Total funds	Total funds
	Note		£	£	£	£
Income and endowments
Donations and legacies		4	39,978	–	39,978	33,633
Charitable activities		5	68	–	68	1,986
Other trading activities		7	16,348	–	16,348	48,672
			────────	────	────────	────────
Total income			56,394	–	56,394	84,291
			════════	════	════════	════════
Expenditure
Expenditure on charitable activities	8,9		(54,636)	–	(54,636)	(61,603)
			────────	────	────────	────────
Total expenditure			(54,636)	–	(54,636)	(61,603)
			════════	════	════════	════════
			────────	────	────────	────────
Net income and net movement in	funds		1,758	–	1,758	22,688
			════════	════	════════	════════
Reconciliation of funds
Total funds brought forward			299,787	1,014	300,801	278,113
			─────────	───────	─────────	─────────
Total funds carried forward			301,545	1,014	302,559	300,801
			═════════	═══════	═════════	═════════

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 7 to 15 form part of these financial statements.

5

Sunningmead Community Association

Statement of Financial Position

31 May 2021

		2021	2020
	Note	£	£
Fixed assets
Tangible fixed assets	15	268,104	268,382
Current assets
Debtors	16	4,446	609
Cash at bank and in hand		31,388	33,069
		────────	────────
		35,834	33,678
Creditors: amounts falling due within one year	17	1,379	1,259
		────────	────────
Net current assets		34,455	32,419
		─────────	─────────
Total assets less current liabilities		302,559	300,801
		─────────	─────────
Net assets		302,559	300,801
		═════════	═════════
Funds of the charity
Restricted funds		1,014	1,014
Unrestricted funds		301,545	299,787
		─────────	─────────
Total charity funds	19	302,559 ═════════	300,801 ═════════

These financial statements were approved by the board of trustees and authorised for issue on ........................, and are signed on behalf of the board by:

M Rattenberry (Chair) Trustee

The notes on pages 7 to 15 form part of these financial statements.

6

Sunningmead Community Association

Notes to the Financial Statements

Year ended 31 May 2021

1. General information

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is Sunningmead Community Centre, Lazenby Road, Wilcombe, Tiverton, EX16 4AL.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

7

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

3. Accounting policies (continued)

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

8

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

3. Accounting policies (continued)

Tangible assets (continued)

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Fixtures and fittings - 10% reducing balance

Since the freehold property value is believed to exceed original cost, the Association's Committee does not consider it appropriate to depreciate it further.

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Government grants

Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the charity will comply with the conditions attaching to them and the grants will be received.

Where the grant does not impose specified future performance-related conditions on the recipient, it is recognised in income when the grant proceeds are received or receivable. Where the grant does impose specified future performance-related conditions on the recipient, it is recognised in income only when the performance-related conditions have been met. Where grants received are prior to satisfying the revenue recognition criteria, they are recognised as a liability.

9

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

4. Donations and legacies

		Unrestricted	Restricted	Total Funds
		Funds	Funds	2021
		£	£	£
	Donations
	Donations	283	–	283
	Grants
	Tiverton Town Council	–	–	–
	Viscount Amory Trust	–	–	–
	Devon Community	3,000	–	3,000
	Youth Club	–	–	–
	Other grants	–	–	–
	Government grant income	36,591	–	36,591
	Other donations and legacies
	Sunningmead Bar Ltd	104	–	104
		────────	────	────────
		39,978	–	39,978
		════════	════	════════
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2020
		£	£	£
	Donations
	Donations	98	153	252
	Grants
	Tiverton Town Council	–	1,000	1,000
	Viscount Amory Trust	–	1,000	1,000
	Devon Community	–	–	–
	Youth Club	998	–	998
	Other grants	3,283	–	3,283
	Government grant income	25,000	–	25,000
	Other donations and legacies
	Sunningmead Bar Ltd	2,100	–	2,100
		────────	───────	────────
		31,479	2,153	33,633
		════════	═══════	════════
5.	Charitable activities
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2021
		£	£	£
	Fundraising activities	68	–	68
		════	════	════
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2020
		£	£	£
	Fundraising activities	217	1,769	1,986
		════	═══════	═══════

10

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

6. Government Grants

During the year the Charity was the recipient of economic benefits as a result of coronavirus support grants. The total funds received from the UK Government during the year was £27,852.

During the year the Charity was also the recipient of economic benefits as a result of participating in the UK Government's Coronavirus Job Retention Scheme. The total funds recognised on an accruals basis from the UK Government during the year was £8,739.

7. Other trading activities

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2021
	£	£	£
Membership fees	378	–	378
Room hire	15,325	–	15,325
Bingo	410	–	410
Pool table	–	–	–
Equipment Hire	89	–	89
Other income	146	–	146
	────────	────	────────
	16,348	–	16,348
	════════	════	════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Membership fees	140	965	1,105
Room hire	30,815	8,545	39,359
Bingo	7,238	780	8,018
Pool table	190	–	190
Equipment Hire	–	–	–
Other income	–	–	–
	────────	────────	────────
	38,383	10,290	48,672
	════════	════════	════════

11

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

8. Expenditure on charitable activities by fund type

		Unrestricted	Restricted	Total Funds
		Funds	Funds	2021
		£	£	£
	Charitable Activities	–	–	–
	Support costs	54,636	–	54,636
		────────	────	────────
		54,636	–	54,636
		════════	════	════════
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2020
		£	£	£
	Charitable Activities	75	490	565
	Support costs	43,646	17,392	61,038
		────────	────────	────────
		43,721	17,882	61,603
		════════	════════	════════
9.	Expenditure on charitable activities by activity	type
			Total funds	Total fund
		Support costs	2021	2020
		£	£	£
	Charitable Activities	–	–	565
	Governance costs	54,636	54,636	61,038
		────────	────────	────────
		54,636	54,636	61,603
		════════	════════	════════
10.	Analysis of support costs
		Support costs	Total 2021	Total 2020
		£	£	£
	Staff costs	27,191	27,191	27,669
	Premises	19,728	19,728	27,226
	Communications and IT	995	995	991
	General office	4,989	4,989	3,131
	Governance costs	1,733	1,733	2,021
		────────	────────	────────
		54,636	54,636	61,038
		════════	════════	════════
11.	Net income
	Net income is stated after charging/(crediting):
			2021	2020
			£	£
	Depreciation of tangible fixed assets		278	309
			════	════

12

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

12. Independent examination fees

	2021	2020
	£	£
Fees payable to the independent examiner for:
Independent examination of the financial statements	1,135 ═══════	1,080 ═══════

13. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows: 2021 2020 £ £ Wages and salaries 26,567 27,669

The average head count of employees during the year was 5 (2020: 5).

No employee received employee benefits of more than £60,000 during the year (2020: Nil).

14. Trustee remuneration and expenses

No remuneration or expenses were paid to trustees during the year (2020: none).

15. Tangible fixed assets

	Freehold	Fixtures and
	property	fittings	Total
	£	£	£
Cost
At 1 June 2020 and 31 May 2021	265,602	15,673	281,275
	═════════	════════	═════════
Depreciation
At 1 June 2020	–	12,893	12,893
Charge for the year	–	278	278
	─────────	────────	─────────
At 31 May 2021	–	13,171	13,171
	═════════	════════	═════════
Carrying amount
At 31 May 2021	265,602	2,502	268,104
	═════════	════════	═════════
At 31 May 2020	265,602	2,780	268,382
	═════════	════════	═════════
Debtors
		2021	2020
		£	£
Trade debtors		4,446	609
		═══════	════

16. Debtors

13

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

17. Creditors: amounts falling due within one year

	2021	2020
	£	£
Trade creditors	90	41
Accruals and deferred income	1,135	1,080
Social security and other taxes	154	138
	───────	───────
	1,379	1,259
	═══════	═══════

18. Government grants

The amounts recognised in the financial statements for government grants are as follows:

	2021	2020
	£	£
Recognised in income from donations and legacies:
Government grants income	36,591	25,000
	════════	════════

19. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
	At			At
	1 June 2020	Income	Expenditure	31 May 2021
	£	£	£	£
General funds	52,167	56,394	(54,636)	53,925
Building reserve	247,620	–	–	247,620
	─────────	────────	────────	─────────
	299,787	56,394	(54,636)	301,545
	═════════	════════	════════	═════════
	At			At
	1 June 2019	Income	Expenditure	31 May 2020
	£	£	£	£
General funds	25,809	70,079	(43,721)	52,167
Building reserve	247,620	–	–	247,620
	─────────	────────	────────	─────────
	273,429	70,079	(43,721)	299,787
	═════════	════════	════════	═════════
Restricted funds
	At			At
	1 June 2020	Income	Expenditure	31 May 2021
	£	£	£	£
Restricted fund	1,014	–	–	1,014
	═══════	════	════	═══════
	At			At
	1 June 2019	Income	Expenditure	31 May 2020
	£	£	£	£
Restricted fund	4,684	14,212	(17,882)	1,014
	═══════	════════	════════	═══════

14

Sunningmead Community Association

Notes to the Financial Statements (continued)

Year ended 31 May 2021

20. Analysis of net assets between funds

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2021
	£	£	£
Tangible fixed assets	267,090	1,014	268,104
Current assets	35,834	–	35,834
Creditors less than 1 year	(1,379)	–	(1,379)
	─────────	───────	─────────
Net assets	301,545	1,014	302,559
	═════════	═══════	═════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Tangible fixed assets	267,482	900	268,382
Current assets	33,564	114	33,678
Creditors less than 1 year	(1,259)	–	(1,259)
	─────────	───────	─────────
Net assets	299,787	1,014	300,801
	═════════	═══════	═════════

15