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2023-03-31-accounts

Charity Registration No. 1078271 Company Registration No. 03761954 (England and Wales)

LEICESTER CHARITY ORGANISATION SOCIETY TRUSTEES REPORT AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

SOMERBYS LIMITED CHARTERED ACCOUNTANTS 30 NELSON STREET LEICESTER LE1 7BA

LEICESTER CHARITY ORGANISATION SOCIETY

CONTENTS

Page
Legal and administrative details 1
Trustees’ report 2 - 7
Auditor’s report 8 - 11
Consolidated Statement of Financial Activities 12 - 13
Consolidated Balance Sheet 14
Company Balance Sheet 15
Consolidated Statement of Cashflows 16
Notes to the accounts 17 - 31

LEICESTER CHARITY ORGANISATION SOCIETY

LEGAL AND ADMINSTRATIVE DETAILS

Trustees A H Jarvis_(Treasurer)_
G Oliver
C A Pharoah
C E Smith_(Chairman)_
Prof S M Sharma
C T Saul
C E Shevas
H Sahota
Chief Executive Officer (CEO) Mrs S McEniff
Secretary and Deputy CEO J A Munton
Charity number 1078271
Company number 03761954
Registered office and principal address 20a Millstone Lane
Leicester
LE1 5JN
Auditor Somerbys Limited
Chartered Accountants
Statutory Auditor
30 Nelson Street
Leicester
LE1 7BA
Bankers Lloyds Bank PLC
7 High Street
Leicester
LE1 9FS
Investment Advisors Rowley-Turton (IFA) Limited
Charnwood House
Harcourt Way
Meridian Business Park
Leicester
LE19 1WP
Subsidiary Undertaking The Goods Depot Limited
Sandown Court
Station Road
Glenfield
Leiceste
LE3 8BT

1

LEICESTER CHARITY ORGANISATION SOCIETY

TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2023

The trustees present their report and financial statements of the charity for the year ended 31 March 2023. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) 'Accounting and Reporting by Charities' (FRS 102) in preparing the annual report and financial statements of the charity.

The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity's governing documents, the Charities Act 2011 and Accounting and Reporting by Charities. Statements of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019.

Administration Details

Leicester Charity Organisation Society, known as Charity Link, is a registered Charity and a Company limited by guarantee. The liability of members is limited to £1 per member in the event of winding up. Its registered office is as shown on Page 1.

The Directors, who act as Trustees, are shown on Page 1 together with the names of the principal external advisors.

Structure, Governance and Management

The governing document of the Charity is the Memorandum and Articles of Association incorporated on 28 April 1999 and amended by a special resolution on 30 October 2006.

Organisation

A board of Trustees, who meet quarterly, administer the Charity. A Chief Executive Officer (CEO) is appointed by the Trustees to manage the day-to-day operations of the Charity.

Governance

The board of Trustees are committed to good governance and has adopted the Charity Governance Code. The Trustees believe that strong governance is essential for the effective operation of the Charity and the trust of donors and beneficiaries. As part of the commitment, the Trustees have taken steps to comply with the principles and recommendations outlined in the Code and will continually assess and improve governance practices in line with the Code.

Policies and procedures for induction and training of Trustees

New Trustees are appointed in accordance with the organisation's Articles of Association. They are also encouraged to meet with the Chairman and CEO at the Charity's offices where they are provided with background information about the work carried out and introduced to the staff and volunteers. New Trustees are also offered training through local agencies in the role and responsibility of Trustees and good governance. An induction pack is given to each new Trustee containing the organisation's Memorandum and Articles of Association, together with information on the duties of Trustees and the latest published accounts and annual report.

Related parties

The Charity has common key personnel with R Daphne Plunket Charitable Trust, Leicester Indigent Old Age Society and the Mansion Trust (UK). Charity Link administers these charities. All other related parties and transactions can be found in note 19 of the Financial Statements.

2

LEICESTER CHARITY ORGANISATION SOCIETY

TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2023

Risk factors

The Trustees have continued to assess the major risks to which the Charity and group is exposed and are satisfied that systems are in place to mitigate exposure to the major risks which include economic volatility, inflation and the cost of living crisis.

Remuneration

The Finance and Remuneration Sub-Committee recommend to the Board of Trustees the annual pay awards for staff, including any performance-related enhancements in pay. The Board of Trustees is responsible for adopting those recommendations. Regular reviews of employee compensation are undertaken to ensure that the Charity remains competitive and responsive to the ever-changing economic environment. As part of this effort, cost of living pay increases were implemented during the financial year. The Trustees believe this demonstrates their commitment to the staff team, but also helps maintain a motivated and stable workforce, ultimately contributing to the continued success of our charitable endeavours.

Objectives and Activities

The Charity's objects are to relieve poverty and the distress arising therefrom but not exclusively by:

Charity's aims

Charity Link's aim is to help ameliorate the lives of those people that are disadvantaged by financial hardship through the distribution of charitable grants and other services. The Charity provides an expert gateway to enable these people to access grants from the vast array of occupational, illness related and benevolent funds across the UK that are available to help people in need.

Strategies to achieve main objectives for the year.

The strategies employed to assist the Charity to meet these objectives included the following:

Criteria by which Charity measures its success.

The Charity measures its success in the reporting period by reference to the achievement of grant income, expenditure control, the number of referrals and the social impact which its work has on beneficiaries.

3

LEICESTER CHARITY ORGANISATION SOCIETY

TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2023

Grant making policy.

The Charity receives referrals from health, social care and educational agencies, charities, and individuals. It raises grants to meet the needs of the most needy and vulnerable people in the community by raising funding from local and national charities and benevolent funds.

Significance of volunteer staff

Volunteers play a significant role in the success of the Charity and the Trustees are immensely grateful for the dedication and commitment of our volunteer staff. Although numbers have not returned to pre-pandemic times, the Charity intends to increase the number of volunteers within the organisation in the coming year.

Public benefit

The Trustees confirm that they have complied with the duty in Section 4 of the Charities Act 2011 to have due regard to the Charity Commission's general guidance on public benefit. They have referred to that guidance when reviewing aims and objectives and in planning future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives they have set. The Trustees ensure that these activities are carried out for the public benefit by delivering services that are valued by the people we support and enable those with responsibility in the sector to develop and adopt best practice, thereby promoting a transparent and efficiently managed charity that engenders public confidence and trust.

Achievements and Performance

The principal focus of the Trustees over the last year was to deliver the Charity's objectives as the costof-living crisis continued, creating considerable need among service users. In order to do so, the Charity had to remain financially stable while, simultaneously, meeting the need from service users. This was achieved with an effective team response from trustees, staff and volunteers. Grants to individuals in need were £1,653,835 in the year, compared to £1,769,626 in the prior year, a reduction of 6.5%. The total number of grants made decreased to 7,918 from 8,016 in the year to March 2022. These grants helped disadvantaged individuals and families, as well as institutions working with such people. A number of hardship support funds were managed by the Charity during the year. These helped to reduce the continued impact of the pandemic on vulnerable people in the communities we serve and formed part of the steadfast response by the Charity to an unprecedented set of external circumstances.

A grant program was funded for a third year by Octopus Energy as part of the Warm Homes Initiative. The Charity also assisted Leicester City Council and Leicestershire County Council deliver its Hardship Support grants scheme. This combination of grant programs supported the response to the to the costof-living crisis.

Our thanks go to all those charities, local authorities, companies and individuals which helped us support the most vulnerable members of our community through another challenging period.

During the year the investment portfolio was amended so that it reflects a more socially responsive strategy.

4

LEICESTER CHARITY ORGANISATION SOCIETY

TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2023

In achieving our objectives, the factors inside the control of the Charity are performances against targets for funding received under grant agreements with the local authorities and Clinical Commissioning Groups; maintaining service standards for trusts under our administration; and the continued development of our IT systems, in order to reduce core costs and assist with proactive fundraising. The factors outside of our control are continued insecurity over funding from the local authorities and the NHS Leicester, Leicestershire and Rutland Integrated Care Boards, reduced income from donations and Trusts, resulting from the impact on the fundraising climate, economic volatility, inflation and the cost-of-living crisis. The trading arm, The Goods Depot Limited, which, opened in 2019 to supply low-cost domestic appliances to the Charity's beneficiaries, remained operational throughout the year. The objectives of the Good Depot Limited are to assist a greater number of service users and improve the Charity's environmental impact. Any profits from the subsidiary company will be gifted to the Charity to contribute to long-term sustainability.

Fundraising activities

The Charity is registered with the Fundraising Regulator. Fundraising activity includes subscriptions, individual donations, events, legacy giving, community fundraising, trust fundraising, corporate giving and through merchandise sales. A fundraising target of £205,000 for the general administration of the Charity was set for the year. This was exceeded following a full return to the events programme and community giving, two legacies received in the period and an uplift in corporate sponsorship.

Investment policy

The Trustees have the power to invest in such assets as they deem appropriate. As permitted by the Charity's Memorandum and Articles of Association, the Trustees have given the investment managers discretion to manage the portfolio within an agreed risk profile.

Investment income

The income from the Leicester Children's Aid Association investments is distributed by the Charity to assist children in need in the area of benefit of the Association, thus meeting its charitable objects. Those funds contribute to the relief of poverty objective of the Charity through the provision of grants to assist poor children and young people in Leicester through educational and other awards.

Financial Review

Accounting Year

The Charity has prepared accounts to 31 March 2023

Review of activities

During the year the Charity had total incoming resources of £2,126,269 (2022: £1,862,545) and there was a net increase in funds of £232,355 (2022: £590 net decrease). The total restricted funds at the end of the period amounted to £286,662 (2022: £137,590), endowment funds amounted to £72,958 (2022: (£75,992) and unrestricted funds (not designated for specific purposes) amounted to £322,005 (2022: £295,688). Note 16 to the accounts shows unrestricted fixed assets of £143,095 (2022: £150,000); free reserves, as defined by SORP 2015, were, therefore, in surplus by £178,910 after taking account of the pension deficit liability of £25,000 (2022: £590 - deficit after pension deficit liability of £39,000).

5

LEICESTER CHARITY ORGANISATION SOCIETY

TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2023

Reserves policy

It is the policy of the Charity that free reserves should be maintained at a level equivalent to six months unrestricted expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity's current activities while consideration is given to ways in which additional funds may be raised. The FRS 102 requirement to show the long-term pension deficit as a creditor in the accounts has had a detrimental effect on the charity's reserves reducing them below the level set in the reserves policy. However, the charity does have adequate cash to achieve the policy aim and it should be noted that the pension deficit poses no threat to the gong concern of the Charity as it is covered by a long-term repayment plan and does not affect short-term cash flow.

It is the aim of the Charity that a sum be added to a designated property fund in each year provided that a sufficient operating surplus or free reserves warrant this. This fund is to be used for the purpose of purchasing freehold office accommodation for the Charity when the lease on its current premises comes to an end in 2034. The Trustees consider that, in this financial year, unrestricted funds are sufficient to allow an amount of £60,000 to be transferred.

Principal funding sources

Aside from funds secured on behalf of service users, the principal sources in the year were income from fundraising and grant aided arrangements with Leicester City Council, Leicestershire County Council and the NHS Leicester, Leicestershire and Rutland Integrated Care Boards. Grants were also received from a number of local and national charities to assist with the running costs of the Charity. In meeting the key objectives of the Charity some £1,358,207 was paid by way of grants to service users and a further 162 grants totalling £295,932 were remitted directly by the donor charity to individual service users following referral by ourselves.

Plans for Future Years

The Trustees are committed to continue seeking out and giving grants to individuals and institutions, in a similar way to the recent past, and in order to relieve poverty and distress in Leicestershire, Northamptonshire and Rutland. They will endeavour to ensure that help is provided across all areas and that no one area will have priority for funding. The Trustees are, however, aware that some groups of beneficiaries remain under-represented in their grant giving and the cost-of-living crisis will have a farreaching impact on households within the community, efforts will be made to address this in the coming year. During the year the Charity continued work in Northamptonshire, and it is the intention of the Trustees to undertake similar initiatives in other areas of the East Midlands should the opportunity arise. An important part of expanding the geographical reach of the Charity is its trading arm, The Goods Depot Limited. The Trustees intend to continue to scale up the trading of The Goods Depot Limited over the coming year in order that it achieves sustained profitability and becomes a net contributor to the Charity's operating income.

6

LEICESTER CHARITY ORGANISATION SOCIETY

TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2023

Statement of Trustees' Responsibilities

The Trustees (who are also directors of Leicester Charity Organisation Society 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, which give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company and the group for the year. 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 the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Trustees are aware:

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the group's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Auditor

A resolution proposing that Somerbys Limited be re-appointed as auditor of the charitable company and the group will be put to the Annual General Meeting.

This report has been prepared in accordance with the special provisions relating to small companies within part 15 of the Companies Act 2006.

On behalf of the board of Trustees.

CE Smith Clive Smith Chairman Clive Smith (Nov 30, 2023 17:43 GMT)

28 November 2023

7

LEICESTER CHARITY ORGANISATION SOCIETY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LEICESTER CHARITY ORGANISATION SOCIETY

Opinion

We have audited the financial statements of Leicester Charity Organisation Society (the parent company and its subsidiary) for the year ended 31 March 2023 which comprise the Consolidated Statement of Financial Activities, Consolidated and Parent Charitable Company Balance Sheet, Consolidated Statement of Cash Flows and related notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 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.

Conclusions relating to going concern

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

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

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the trustees’ 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.

8

LEICESTER CHARITY ORGANISATION SOCIETY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LEICESTER CHARITY ORGANISATION SOCIETY (CONTINUED)

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustee’s 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:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 7, the trustees (who are also directors of the charitable company for the purposes of company law) are responsible for the preparation of 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.

9

LEICESTER CHARITY ORGANISATION SOCIETY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LEICESTER CHARITY ORGANISATION SOCIETY (CONTINUED)

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.

The risk of not detecting a material misstatement resulting from error is considered to be low. The risk of not detecting a material misstatement resulting from fraud is higher, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls.

In the context of Leicester Charity Organisation Society, we have not identified any specific laws and regulations other than general commercial laws and regulations, such as: Companies Act 2006; Charities Act 2011; Charity Commission guidance; Health and Safety legislation; GDPR and employment law.

Our understanding of the legal and regulatory framework applicable to Leicester Charity Organisation Society and how the charitable company has complied with its obligations has been obtained by enquiry of management and those charged with governance.

As part of our enquiries, we have discussed policies and procedures on compliance with laws and regulations and whether any instances of non-compliance have occurred.

Our understanding of the charitable company's policies and procedures on fraud risk has been obtained through enquiry with management as to the control activities, operational systems in place and whether there is knowledge of any actual, suspected or alleged fraud.

We consider that the audit team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. During our audit work there were no significant instances of non-compliance identified.

In response to the audit risks identified in respect of irregularity and fraud, we have undertaken the following procedures:

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.

10

LEICESTER CHARITY ORGANISATION SOCIETY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LEICESTER CHARITY ORGANISATION SOCIETY (CONTINUED)

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. 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.

Marcus Dockerty FCA FCCA (Senior Statutory Auditor) For and on behalf of Somerbys Limited

…………………..

Chartered Accountants Statutory Auditor

30 Nelson Street Leicester LE1 7BA

11

LEICESTER CHARITY ORGANISATION SOCIETY

GROUP STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT YEAR ENDED 31 MARCH 2023

Current year
Unrestricted Funds
Notes
Income from:
Voluntary Income
2
327,869
Administration fees
87,324
Investment income
3
19,628
Incoming resources from
charitable activities
4
145,684
Other trading income
10,360
Total income
590,865
Expenditure on:
Raising funds
5
84,237
Charitable Activity
Relief of poverty
5
420,311
Total expenditure
504,548
Realised gain/(loss) on
Investment assets
-
Unrealised gain/(loss) on
investment assets
16
-
Net income/(expenditure)
86,317
Transfers between funds
20
(60,000)
26,317
Net movement in funds
26,317
Fund balances at 31 March 2022
295,688
Fund balances at 31 March 2023
£322,005		 Restricted
Funds
1,504,863
-
2,851
27,690
-
1,535,404
435
1,385,897
1,386,332
-
-
149,072
-
149,072
149,072
137,590
£286,662		 Designated
Funds
Endowment
Funds
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(3,928)
-
894
-
(3,034)
60,000
-
60,000
(3,034)
60,000
(3,034)
140,000
75,992
£200,000
£72,958		 Designated
Funds
Endowment
Funds
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(3,928)
-
894
-
(3,034)
60,000
-
60,000
(3,034)
60,000
(3,034)
140,000
75,992
£200,000
£72,958		 Total
2023
1,832,732
87,324
22,479
173,374
10,360
-
-
-
-
(3,928)
894
(3,034)
-
(3,034)
(3,034)
75,992
£72,958		 2,126,269
84,672
1,806,208
1,890,880
(3,928)
894
232,355
-
232,355
232,355
649,270
£881,625

All income and expenditure is derived from continuing activities. The statement of financial activities includes all gains and losses recognised during the year.

See page 13 for corresponding figures for 2022.

12

LEICESTER CHARITY ORGANISATION SOCIETY

GROUP STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT YEAR ENDED 31 MARCH 2022

Prior year
Unrestricted Funds
Notes
Income from:
Voluntary Income
2
306,672
Administration fees
67,116
Investment income
3
15,635
Incoming resources from
charitable activities
4
127,343
Other trading income
13,841
Total income
530,607
Expenditure on:
Raising funds
5
87,811
Charitable Activity
Relief of poverty
5
422,715
Total expenditure
510,526
Realised gain/(loss) on
Investment assets
-
Unrealised gain/(loss) on
investment assets
16
-
Net income/(expenditure)
20,081
Transfers between funds
20
(15,000)
5,081
Other recognised gains and
losses
Pension deficit adjustment
14
94,000
Net movement in funds
99,081
Fund balances at 31 March 2021
196,607
Fund balances at 31 March 2022
£295,688		 Restricted
Funds
1,308,840
-
2,656
20,442
1,331,938
489
1,448,776
1,449,265
-
-
(117,327)
-
(117,327)
-
(117,327)
254,917
£137,590		 Designated
Funds
Endowment
Funds
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
2,656
-
2,656
15,000
-
15,000
2,656
-
-
15,000
2,656
125,000
73,336
£140,000
£75,992		 Designated
Funds
Endowment
Funds
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
2,656
-
2,656
15,000
-
15,000
2,656
-
-
15,000
2,656
125,000
73,336
£140,000
£75,992		 Total
2022
1,615,512
67,116
18,291
147,785
13,841
-
-
-
-
-
2,656
2,656
-
2,656
-
2,656
73,336
£75,992		 1,862,545
88,300
1,871,491
1,959,791
-
2,656
(94,590)
-
(94,590)
94,000
(590)
649,860
£649,270

All income and expenditure is derived from continuing activities. The statement of financial activities includes all gains and losses recognised during the year.

13

LEICESTER CHARITY ORGANISATION SOCIETY

CONSOLIDATED BALANCE SHEET AT 31 MARCH 2023

Group
Notes
Fixed assets
Tangible assets
9
Investments
10
Current assets
Stock
11
Debtors
12
Cash at bank and in hand
Creditors: amounts falling due within one year
13
Net current assets
Creditors: amounts falling due after one year
14
Total assets
Capital fund
Endowment
17
Designated funds
18
Income funds
Restricted funds
15
Unrestricted funds		 18,034
202,314
644,268
864,616
(185,937)		 2023
143,095
70,851
213,946
678,679
(11,000)
£881,625
72,958
200,000
286,662
322,005
£881,625		 2022
150,000
75,218
225,218
13,863
411,907
239,933
665,703
(216,651)
449,052
(25,000)
£649,270
75,992
140,000
137,590
295,688
£649,270

These financial statements have been prepared in accordance with the provisions to companies subject to the small companies regime.

These accounts were approved by the Trustees on 28 November 2023.

Signed on behalf of the Trustees,

Clive Smith Clive Smith (Nov 30, 2023 17:43 GMT) CE Smith Chairman Company Registration No. 03761954

14

LEICESTER CHARITY ORGANISATION SOCIETY

BALANCE SHEET AT 31 MARCH 2023

Company
Notes
Fixed assets
Tangible assets
9
Investments
10
Investment in subsidiary
10
Current assets
Debtors
12
Cash at bank and in hand
Creditors: amounts falling due within one year
13
Net current assets
Creditors: amounts falling due after one year
14
Total assets
Capital fund
Endowment
17
Designated funds
18
Income funds
Restricted funds
15
Unrestricted funds		 244,404
607,727
852,131
(154,001)		 2023
143,095
70,851
100
214,046
698,130
(11,000)
£901,176		 2022
150,000
75,218
100
225,318
454,964
212,062
667,026
(161,410)
505,616
(25,000)
£705,934
72,958
200,000
286,662
341,556
£901,176		 75,992
140,000
158,244
331,698
£705,934

These financial statements have been prepared in accordance with the provisions to companies subject to the small companies regime.

These accounts were approved by the Trustees on 28 November 2023.

Signed on behalf of the Trustees,

Clive Smith

Clive Smith (Nov 30, 2023 17:43 GMT)

CE Smith Chairman Company Registration No. 03761954

15

LEICESTER CHARITY ORGANISATION SOCIETY

STATEMENT OF CONSOLIDATED CASHFLOWS YEAR ENDED 31 MARCH 2023

Cash flow from operating activities
Cash generated/(used) in operations
Net cash flow from operating activities
Cash flow from investing activities
Payments to acquire assets
Payments to acquire investments
Receipts from sales of investments
Investment income received
Net cash flow from investing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at 31 March 2022
Cash and cash equivalents at 31 March 2023
Cash and cash equivalents consists of:
Cash at bank and in hand
Cash and cash equivalents at 31 March 2023		 Notes
23		 2023
388,872
388,872
(8,351)
(66,834)
68,169
22,479
15,463
404,335
239,933
£644,268
644,268
£644,268		 2022
(166,151)
(166,151)
-
(3,197)
-
18,291
15,094
(151,057)
390,990
£239,933
239,933
£239,933

16

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

1.1 Accounting convention

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Account 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 issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic or Ireland (FRS 102), the Companies Act 2006 and UK Generally Accepted Accounting Practice.

The financial statements of the group are prepared under the historical cost convention, modified to include listed investments at fair value. The financial statements are presented in sterling which is the functional currency of the charity and the group.

The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. There have been no changes to accounting estimates during the reporting year.

The Charity has taken advantage of the small company provisions of the Companies Act 2006.

1.2 Going concern

The financial statements of the charity have been prepared on a going concern basis. The trustees have considered the expected level of income and expenditure for 12 months from authorising these financial statements. The trustees consider that the budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.

Subsidiary

The financial statements of the Goods Depot Limited have been prepared on the going concern basis. The financial statements have been prepared on this basis on the assumption of continued support of the Charity.

1.3 Recognition of income

Incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

For donations to be recognised, the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained, then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and is probable that they will be fulfilled.

Grants and voluntary income are recognised as incoming resources when receivable. Deferred income represents amounts received for future periods and is released to incoming resources in the year for which it has been received.

Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

Income from local government grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

For legacies, entitlement is the earlier of the charity being notified of an impending distribution or the legacy being received. At this point income is recognised.

Investment income is recognised when the amount can be measured reliably.

17

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

Income of subsidiary

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business and is shown net of VAT and other sales related taxes. The fair value of consideration takes into accounts trade discounts, settlement discounts and volume rebates.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.4 Expenditure recognition

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognized 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. It is categorized under the following headings:

Grants payable to third parties are within the charities objectives. Where unconditional grants are offered, this is accrued as soon as the recipient is notified of the grant, as this gives rise to a reasonable expectation that the recipient will receive the grants. Where grants are conditional relating to performance then the grant is only accrued when any unfulfilled are outside of the control of the charity.

1.5 Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Leasehold property - straight line over the period of the lease
Fixtures, fittings & equipment - 33% per annum of cost
Motor vehicles - 33% per annum of cost

1.6 Impairment of fixed assets

At each reporting period end date, the charitable company reviews the carrying amounts of tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash generating unit to which the asset belongs.

1.7 Fixed asset Investments

1.8 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where appliable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

18

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

1.9 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.10 Debtors and creditors receivable/payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

1.11 Pensions

The Charity partakes in a multi-employer pension scheme for the benefit of its employees which is independently administered by The Pensions Trust. The assets and liabilities of the fund are detailed at note 14.

In addition, the Group also operates a defined contribution pension scheme for the benefit of its employees which is independently administered. The expenses of the scheme are charged to the SOFA as and when they fall due.

1.12 Taxation

The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore meets the definition of a charitable company for UK corporation tax purpose.

1.13 Funds

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

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

Endowment funds are retained for the benefit of the charity as a capital fund. The fund consists of investments that are used for the purpose of the charity.

Designated funds are funds which are set aside from the unrestricted funds by the trustees for specifically designated purposes. The aim and use of each designated fund is set out in the notes to the accounts.

1.14 Employee Benefits

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the discounted amount expected to be paid in exchange for that service.

1.15 Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.16 Government grants

Government grants are recognized at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

19

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

A grant that specifies performance conditions is recognized in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognized in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognized as a liability.

1.17 Critical accounting estimates and judgements

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

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the year in which the estimate is revised where the revision affects only that year, or in the year of the revision and future years where the revision affects both current and future periods.

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and physical condition of the assets. See accounting policy note (above) for the useful economic lives for each class of assets

Support cost allocations:

Support costs are apportioned as they relate to more than one cost category (see note 5).

2
Voluntary income
Core grants
Donations, subscriptions and discounts
received
Income from fundraising
Legacies
3
Investment income
Rental income
Income from listed investments
Interest receivable		 Unrestricted
funds
-
64,313
223,099
40,457
£327,869
Unrestricted
funds
14,800
951
3,877
£19,628		 Restricted
funds
1,504,363
500
-
-
£1,504,863
Restricted
funds
-
2,821
30
£2,851		 2023
1,504,363
64,813
223,099
40,457
£1,832,732
2023
14,800
3,772
3,907
£22,479		 2022
1,308,340
55,118
227,066
24,988
£1,615,512
2022
14,800
3,446
45
£18,291

20

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

4
Incoming resources from charitable activities
Grants receivable for charitable activities
Unrestricted funds:
Leicester City Council
Leicestershire County Council
Warm Homes Initiative
Restricted funds:
Leicester City Council
Leicestershire County Council
Leicester, Leicestershire and Rutland Integrated
Care Board
Total		 2023
89,362
14,711
41,611
£145,684
12,380
11,289
4,021
£27,690
£173,374		 2022
82,239
15,085
30,019
£127,343
11,506
4,915
4,021
£20,442
£147,785

The Charity receives income from local government to assist individuals in identifying support funding to which they may be entitled.

5 Total resources expended

The trust allocates its support costs as shown in the table below. Support costs are allocated on a basis of staff time.

Staff
Costs
Depreciation
(note 7)
(note 9)
Costs of generating funds:
Fundraising and publicity
70,430
-
Charitable Activity – Relief of Poverty:
Donations in kind
-
-
Inter-group transactions
-
-
Grants payable (note 6)
-
-
Employment costs
430,036
-
Administration costs
-
15,256
430,036
15,256
£500,466
£15,256		 Other
Costs
(note 8)
14,242
314,631
(441,118)
1,358,207
-
129,196
1,360,916
£1,375,158		 Total
2023
84,672
314,631
(441,118)
1,358,207
430,036
144,452
1,806,208
£1,890,880		 Total
2022
88,300
269,495
(380,642)
1,428,334
399,131
155,173
1,871,491
£1,959,791

Donations in kind represent purchases of white goods from the subsidiary company the Goods Depot Limited which are donated as grants to individuals

Included in the above administration 2023 2022
costs is:
Auditor’s remuneration £11,910 £11,818

21

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

6
Grants payable
Grants to institutions - 2 (2022 – 2 grants)
Grants to individuals - 7,756 (2022 – 7,792 grants)		 2023
304
1,357,903
£1,358,207		 2022
7,000
1,421,334
£1,428,334

In addition to the above grants administered through the Society, a further 162 awards totalling £295,932 were secured on behalf of individuals and institutions. These grants were remitted directly by the donors to the beneficiaries.

Grants to institutions
2023
Age UK Leicestershire and Rutland
-
Charity Link
-
Parkinsons Disease Society
654
Kemp Hospice
150
Grants refunded
(500)
£304
2023
7
Employees
Number
Number of employees
The average monthly number of employees during the year was:
22
The number of part time employees was
18
Employment costs
Wages and salaries
430,735
Social security costs
29,449
Other pension costs
40,282
£500,466
The number of employees whose annual remuneration was more than £60,000 per annum or was:
2023
Number
£60,000 to £70,000 1		 2022
6,000
1,000
-
-
-
£7,000
2022
Number
21
14
415,687
29,639
25,924
£471,250
2022
Number
0

The Charity considers its key management personnel to consist of the CEO, Deputy CEO and Operations Manager The remuneration and benefits paid to these personnel totalled £153,839 (2022 - £143,108).

None of the Trustees (or any person connected with them) received any remuneration during this year. A trustee was reimbursed for travel expenses during the year to the amount of £35 (2022 - £43).

22

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

8
Other costs
Fundraising and publicity
Promotion expenses
Investment management fees
Charitable activity administration costs
Rent and rates
Insurance
Light and heat
Repairs and maintenance
Stationery
Telephone and fax
Travelling expenses
Legal and professional
Sundry expenses
Recruitment expenses
Subscriptions
Bank charges
Cleaning
Computer expenses
Health and safety
Staff training
Postage
Auditor’s remuneration		 2023
13,807
435
£14,242
16,045
4,655
6,122
5,219
6,904
5,259
13,335
22,592
2,070
2,576
1,442
1,595
6,455
17,067
592
1,153
4,205
11,910
£129,196		 2022
15,692
489
£16,181
18,102
4,400
7,540
17,019
6,069
5,151
9,921
13,991
4,392
1,554
1,456
1,927
5,447
25,154
536
1,755
2,170
11,818
£138,402

23

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

9
Group
Tangible fixed assets
Cost/Valuation
At 31 March 202
Additions
Disposal
At 31 March 2023
Depreciation
At 31 March 2022
Charge for the year
Eliminated on disposal
At 31 March 2023
Net book value
At 31 March 2023
At 31 March 2022
Company
Tangible fixed assets
Cost/Valuation
At 31 March 2022
Additions
Disposal
At 31 March 20232
Depreciation
At 31 March 2022
Charge for the year
Eliminated on disposal
At 31 March 2023
Net book value
At 31 March 2023
At 31 March 2022		 Leasehold
property
237,500
-
-
£237,500
87,500
12,500
-
£100,000
£137,500
£150,000		 Fixtures
Fittings &
equipment
38,633
8,351
-
£46,984
38,633
2,756
-
£41,389
£5,595
£Nil
Leasehold
property
237,500
-
-
£237,500
87,500
12,500
-
£100,000
£137,500
£150,000		 Motor
Vehicle
16,640
-
-
£16,640
16,640
-
-
£16,640
£Nil
£Nil
Fixtures
Fittings &
equipment
38,633
8,351
-
£46,984
38,633
2,756
-
£41,389
£5,595
£Nil		 Total
292,773
8,351
-
£301,124
142,773
15,256
-
£158,029
£143,095
£150,000
Total
276,133
8,351
-
£284,484
126,133
15,256
-
£141,389
£143,095
£150,000

24

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

10 Fixed asset investments

Charity
Listed investments
Market value at 31 March 2022
Acquisitions at cost
Disposals at opening book value
Net unrealised gain on revaluation
Market value at 31 March 2023
Historical cost:
At 31 March 2023
Historical cost:
At 31 March 2022		 75,218
66,834
(72,095)
894
£70,851
£69,967
£65,703

All investments were held in the United Kingdom. The Trustees consider that there were no individual material investments held at the end of the year. Listed investments are valued at market value at the year end.

Subsidiaries

Details of the company’s subsidiary at 31 March 2023 are as follows:

Name of undertaking
Registered office
Company No
Class of
shares held
The Goods Depot Limited
UK
11581108
Ordinary
Results for the year
Income
Expenditure
Profit before taxation
Total Assets
Total Liabilities		 % Held
100
449,078
(432,619)
£16,459
£65,743
£85,192

25

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

11 Stocks

11
Stocks
Goods for resale
12
Debtors
Trade debtors
Income recoverable
Amount owed by subsidiary undertaking
Prepayments		 Group
2023
2022
£18,034
£13,863
Group
2023
2022
186,948
368,854
3,581
29,370
-
-
11,785
13,683
£202,314
£411,907		 Charity
2023
2022
£-
£-
Charity
2023
2022
186,777
358,668
3,581
29,370
53,257
62,838
789
4,088
£244,404
£454,964
£454,964

13 Creditors: amounts falling due within one year

Trade creditors
Taxes and social security costs
Other creditors
Accruals and deferred income
Pension deficit		 Group
2023
2022
125,908
160,404
19,169
10,591
5,922
3,079
20,938
28,577
14,000
14,000
£185,937
£216,651		 Charity
2023
2022
111,903
141,619
7,000
-
160
-
20,938
5,791
14,000
14,000
£154,001
£161,410

26

LEICESTER CHARITY ORGANISATION SOCIETY NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

14 Pension costs

The Charity

The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the schemes are held separately from those of the charity in independently administered funds.

The charity participates in a multi – employer scheme which provides benefits to some 638 non-associated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the charity to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore, it accounts for the scheme as a defined contribution scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.

The scheme is classified as a ‘last man standing arrangement’. Therefore, the charity is potentially liable for other participating employer’s obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme.

The last full actuarial valuation for the scheme was carried out 30 September 2020 showing a deficit and the trustees asked the participating employers to pay additional contributions.

Section 28.11A of FRS 102 requires deficit recovery payments to be recognised as a liability. The movement in the provision is set out below.

Liability at 1 April 2022
Unwinding of the discount factor (interest expense)
Deficit contributions paid
Re-measurements – impact of any change in assumptions
Re-measurements – amendment to the contributions schedule
Balance sheet liability at 31 March 2023
Due within 1 year
Due after 1 year
Amounts aable b instalments after 5 ears		 2023
39,000
1,000
(14,000)
(1,000)
-
£25,000
£14,000		 2022
178,000
1,000
(45,000)
(1,000)
(94,000)
£39,000
£14,000
£11,000
-		 £25,000
-

Amounts payable by instalments after 5 years

This liability represents the net present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions, set by reference to the duration of the deficit recovery payments:

Discount rate applied to future recovery plan
contributions due		 March
2023
5.52%		 March
2022
March
2021
March
2020
2.35%
0.66%
2.53%

On the basis that it would not be practical to split the cost of the deficit reduction payments between current and historical restricted and unrestricted funds, all of the costs have been charged to unrestricted funds for this year and for previous years.

The subsidiary

The Goods Depot Limited operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

27

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

15 Restricted funds

2023
Carlton Hayes Mental
Health Charity
Funds held for other charitable
institutions
Leicester Children’s Aid
Association
Other funds held for distribution
to the needy
Local authorities and CCG		 Balance
1 April
2022
3,763
1,420
3,837
128,570
-
£137,590		 Incoming
Resource
36,000
1,308
3,351
1,467,055
27,690
£1,535,404		 Resources
Expended
Balance
31 March
2023
34,675
5,088
304
2,424
4,184
3,004
1,319,480
276,146
27,690
-
£1,386,332
£286,662		 Resources
Expended
Balance
31 March
2023
34,675
5,088
304
2,424
4,184
3,004
1,319,480
276,146
27,690
-
£1,386,332
£286,662
£286,662
2022
Carlton Hayes Mental
Health Charity
Funds held for other
charitable institutions
Leicester Children’s Aid
Association
Other funds held for
distribution to the needy
Local Authorities and CCGs		 Balance
1 April
2021
38,070
8,420
7,715
200,712
-
£254,917		 Incoming
Resource
36,000
-
3,156
1,272,340
20,442
£1,331,938		 Movement in funds
Resources
Expended
Grants
awarded
but
unspent
70,307
-
7,000
-
7,034
-
1,323,828
20,654
20,442
-
£1,428,611
£20,654		 Balance
30 March
2022
3,763
1,420
3,837
128,570
-
£137,590

28

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

15 Restricted funds (continued)

16 Analysis of net assets between funds

Group
Unrestricted
fund
Fund balances at 31 March
2023 are represented by:
Tangible fixed
assets
143,095
Investments
-
Current assets
264,571
Creditors:
amounts falling
due within one
year
(74,661)
Creditors:
amounts falling
due after one year
(11,000)
£322,005
Company
Fund balances at 31 March
2023 are represented by:
Tangible fixed
assets
143,095
Investments
100
Current assets
252,086
Creditors:
amounts falling
due within one
year
(42,725)
Creditors:
amounts falling
due after one year
(11,000)
£341,556		 Group
Unrestricted
fund
Fund balances at 31 March
2023 are represented by:
Tangible fixed
assets
143,095
Investments
-
Current assets
264,571
Creditors:
amounts falling
due within one
year
(74,661)
Creditors:
amounts falling
due after one year
(11,000)
£322,005
Company
Fund balances at 31 March
2023 are represented by:
Tangible fixed
assets
143,095
Investments
100
Current assets
252,086
Creditors:
amounts falling
due within one
year
(42,725)
Creditors:
amounts falling
due after one year
(11,000)
£341,556		 Restricted
Fund
-
-
397,938
(111,276)
-
£286,662
-
-
397,938
(111,276)
-		 Designated
Funds
Endowment
Funds
-
-
-
70,851
200,000
2,107
-
-
-
-
£200,000
£72,958
-
-
-
70,851
200,000
2,107
-
-
-
-		 Designated
Funds
Endowment
Funds
-
-
-
70,851
200,000
2,107
-
-
-
-
£200,000
£72,958
-
-
-
70,851
200,000
2,107
-
-
-
-		 Total
Funds
2023
143,095
70,851
864,616
(185,937)
(11,000)
£881,625
143,095
70,951
852,131
(154,001)
(11,000)		 Total
Funds
2022
150,000
75,318
631,515
(182,563)
(25,000)
£649,270
150,000
75,318
688,179
(182,563)
(25,000)
£341,556 £286,662 £200,000 £72,958 £901,176 £705,934

29

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

Unrealised gains/(losses) included above:
On investments (see below)
Reconciliation of movements in unrealised
Gains/(losses) on investment assets
Unrealised gains
at
1 April 2022
-
-
Deduct in respect
of
disposals in year
-
-
-
-
Net increase
arising in year
-
-
Unrealised gain
31 March 2023
£-
£-		 Endowment
Funds
2023
£894
-
9,915
-
(9,915)
-
-
-
894
£-
£894		 Total
Funds
2023
£894
9,915
(9,915)
894
£894		 Total
Funds
2022
9,515
6,859
-
6,859
2,656
£9,515

17 Endowment funds

The Endowment Funds relate to Leicester Children’s Aid Association which was transferred into the Charity on 29 October 2007 together with the net funds of Connection, another locally based Charity which merged with Leicester Children’s Aid Association in 2008.

18 Designated funds

The designated property fund is to be used for the purpose of purchasing freehold office accommodation for the Charity when the lease on its current premises comes to an end in 2034. During the year £60,000 was transferred to the fund.

19 Related Party Transactions

During the year, administration fees and grants were received from the following charities in which some or all of the Trustees of Leicester Charity Organisation Society are also Trustees:-

2023 2022
£ £
Leicester Indigent Old Age Society 7,065 4,537
The Mansion Trust (UK) 3,088 2,443
The Nicholson Memorial Fund (Rosehill Trust) 15,914 14,547
R Daphne Plunket Charitable Trust 104,283 78,352
Edward Wood Poor Widows 4,636 1,372
Alderman Newton’s Educational Foundation 24,875 15,832

At the year end the charity was owed £2,436 by R Daphne Plunket Charitable Trust (2022 - £1,878) and £1,469 by The Nicholson Memorial Fund (2022 - £nil)

There was no trustees remuneration paid.

30

LEICESTER CHARITY ORGANISATION SOCIETY

NOTES TO THE ACCOUNTS (CONTINUED) YEAR ENDED 31 MARCH 2023

20 Transfer between funds

During the year, Leicester Charity Organisation Society transferred £60,000 from the unrestricted fund to the designated property fund to be used for the purpose of purchasing freehold office accommodation for the Charity

when the lease on its current premises comes to an end in 2034.

21 Lease commitments

The Group

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2023 2022
£34,996 £53,652

The Charity At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2023 2022
£11,045 £14,201

22 Financial Guarantees

The Charitable company has guaranteed the lease payments of The Goods Depot Limited on the leasehold premises from which that company operates. At 31 March 2023 the lease commitment amounted to £23,951.

23 Reconciliation of net income to net cash flow from operations

Net movement in funds
Depreciation of tangible fixed assets
Loss on investments
Investment income
(Increase)/Decrease in stock
Decease/(Increase) in debtors
(Decrease) in creditors
Net cash inflow/(outflow) from operations		 2023
232,355
15,256
3,034
(22,479)
(4,171)
209,593
(44,716)
£388,872		 2022
(590)
16,771
(2,656)
(18,291)
2,878
(100,893)
(63,370)
(£166,151)

24 Analysis of changes in net funds

The charity had no debt during the year.

31

The Trustees Leicester Charity Organisation Society 20a Millstone Lane Leicester LE1 5JN

28 November 2023

Somerbys Limited Chartered Accountants 30 Nelson Street Leicester LE1 7BA

Dear Sirs

Financial Statements for the year ended 31 March 2023

The following representations are made on the basis of enquiries of management and staff with relevant knowledge and experience such as we consider necessary in connection with your audit of the Leicester Charity Organisation Society’s financial statements for the year ended 31 March 2023. These enquiries have included inspection of supporting documentation where appropriate and are sufficient to satisfy ourselves that we can make each of the following representations. All representations are made to the best of our knowledge and belief.

General

Internal control and fraud

Assets and liabilities

Accounting estimates

Loans and arrangements

Legal claims

Laws and regulations

Related parties

Subsequent events

Going concern

Grants and donations

Corporation tax

We acknowledge our legal responsibilities regarding disclosure of information to you as auditors and confirm that so far as we are aware, there is no relevant audit information needed by you in connection with preparing your audit report of which you are unaware.

Each director has taken all the steps that he ought to have taken as a director in order to make themself aware of any relevant audit information and to establish that you are aware of that information.

We hereby authorise you to extract the relevant information from the company’s financial statements for the year to 31 March 2023 and to submit it electronically to H M Revenue & Customs.

Yours faithfully

On behalf of the board

Clive Smith Clive Smith (Nov 30, 2023 17:43 GMT) .............................................................................DIRECTOR/TRUSTEE

28 November 2023

……………………………….. TRUSTEE

Leicester Charity Organisation Society – Co. no. 03761954

Trustees: C E Smith, A H Jarvis, C Pharoah, C E Shevas, C T Saul, Prof S M Sharma, G Oliver, H Sahota.

Appendix 1

Closing schedule of unadjusted Items

Overstatement of administration income £
(4,140)
(4,140)

If the above adjustments had been made the net effect on the reported results would be to reduce the surplus/net movement in funds by £4,140.

The Trustees Leicester Charity Organisation Society 20a Millstone Lane Leicester LE1 5JN

28 November 2023

Somerbys Limited Chartered Accountants 30 Nelson Street Leicester LE1 7BA

Dear Sirs

Financial Statements for the year ended 31 March 2023

The following representations are made on the basis of enquiries of management and staff with relevant knowledge and experience such as we consider necessary in connection with your audit of the Leicester Charity Organisation Society’s group financial statements for the year ended 31 March 2023. These enquiries have included inspection of supporting documentation where appropriate and are sufficient to satisfy ourselves that we can make each of the following representations. All representations are made to the best of our knowledge and belief.

General

Internal control and fraud

Assets and liabilities

Accounting estimates

Loans and arrangements

Legal claims

Laws and regulations

Related parties

Subsequent events

Going concern

Grants and donations

Corporation tax

We acknowledge our legal responsibilities regarding disclosure of information to you as auditors and confirm that so far as we are aware, there is no relevant audit information needed by you in connection with preparing your audit report of which you are unaware.

Each director has taken all the steps that he ought to have taken as a director in order to make themself aware of any relevant audit information and to establish that you are aware of that information.

We hereby authorise you to extract the relevant information from the company’s financial statements for the year to 31 March 2023 and to submit it electronically to H M Revenue & Customs.

Yours faithfully

On behalf of the board

Clive Smith Clive Smith (Nov 30, 2023 17:43 GMT) .............................................................................DIRECTOR/TRUSTEE

28 November 2023

……………………………….. TRUSTEE

Leicester Charity Organisation Society – Co. no. 03761954

Trustees: C E Smith, A H Jarvis, C Pharoah, C E Shevas, C T Saul, Prof S M Sharma, G Oliver, H Sahota.

Leicester Charity Organisation Society Limited

Appendix 1

Closing schedule of unadjusted Items
Overstatement of administration income		 £
(4,140)
(4,140)

If the above adjustments had been made the net effect on the reported results would be to reduce the surplus/net movement in funds by £4,140.

The Goods Depot Limited

Appendix 1 – summary of uncorrected misstatements
Purchased understated due to cut off error
Stock understated for goods in transit
Net uncorrected misstatements		 £
(5,775)
5,019
(£756)

The Trustees Leicester Charity Organisation Society 20a Millstone Lane Leicester LE1 5JN

28 November 2023

Somerbys Limited 30 Nelson Street Leicester LE1 7BA

Dear Sirs,

Parent Undertaking Letter of Comfort

We refer to the advance of funds (facility) made by Leicester Charity Organisation Society (the Lender) to The Goods Depot Limited (the Borrower). As at 31 March 2023 the balance amounted to £115,006.

For the purposes of the facility and your sole reliance, we confirm as follows:

This Comfort Letter shall not under any circumstances be construed as a legally binding obligation or an undertaking or promise as to our future intention in relation to the Borrower but is a mere statement of our present policy only.

Yours faithfully

On behalf of the board

Clive Smith

Clive Smith (Nov 30, 2023 17:43 GMT)

……………………………….. DIRECTOR/TRUSTEE

Leicester Charity Organisation Society – Co. no. 03761954

Trustees: C E Smith, A H Jarvis, Miss C Pharoah, Mr C E Shevas, Mr C T Saul, Prof S M Sharma, Mr G Oliver, HK Sahota

28 November 2023

MWD/AD/LEI072

The Trustees Leicester Charity Organisation Society 20a Millstone Lane Leicester LE1 5JN

Dear Sirs

REPORT TO MANAGEMENT

During the course of our audit for the year ended 31 March 2023 the following matters arose which we consider should be brought to your attention:

No other matters came to light during the course of our normal audit tests which are designed to assist us in forming our opinion on the financial statements. Our tests may not necessarily disclose all errors or irregularities and should not be relied upon to do so. However, if any irregularity did come to our attention during our audit tests, we would, of course, inform you immediately.

This report has been prepared for the sole use of the trustees of Leicester Charity Organisation Society and must not be shown to third parties without our prior consent. No responsibilities are accepted by Somerbys Limited towards any party acting or refraining from action as a result of this report.

Finally, we would like to express our thanks to all members of the charity's staff who assisted us in carrying out our work.

Yours faithfully

Somerbys Limited

Somerbys Limited - Chartered Accountants Directors: AM West FCA, MW Dockerty FCA FCCA Managers: Mrs MD Oakley ATT(Fellow), Mrs CL Bayliss FCCA, A Stone ACCA Registered In England: 5242197 Registered Office: 30 Nelson Street, Leicester, LE1 7BA

LCOS Audited Accounts for signature

Final Audit Report

2023-11-30

Created: 2023-11-30 By: Reception at Somerbys (Reception@Somerbys.co.uk) Status: Signed Transaction ID: CBJCHBCAABAAWZzU4xnlPO3xrZaKCda8HkRqmVu24Yfo

"LCOS Audited Accounts for signature" History

Document created by Reception at Somerbys (Reception@Somerbys.co.uk) 2023-11-30 - 13:35:26 GMT- IP address: 109.73.121.116

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2023-11-30 - 17:41:26 GMT- IP address: 109.149.24.6

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