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2020-12-31-accounts

WOOD STREET MISSION

(A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

COMPANY NUMBER: 03849322

REGISTERED CHARITY NUMBER: 1078337

WOOD STREET MISSION

TRUSTEES REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

CONTENTS PAGE
Trustees and administrative details for the year ended 31 December 2020 1
Trustees report for the year ended 31 December 2020 2 - 6
Independent examiners’ report to the Trustees 7
Statement of financial activities for the year ended 31 December 2020 8
Balance sheet as at 31 December 2020 9
Cashflow statement for the year ended 31 December 2020 10
Notes to the financial statements for the year ended 31 December 2020 11 - 21

WOOD STREET MISSION

TRUSTEES AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 DECEMBER 2020

MEMBERS OF THE BOARD OF TRUSTEES

Chairman

R T Race BSc Hons Chartered FCSI ASIP

Other Members

M N G Evans BSc FCA Mrs N D Guy C A Hadfield FRICS Ms V Jones Ms J Watson Mrs E Willder FCMA CIS (Affiliated) Mrs G Winter BA

MANAGER

Mr D Lynch

REGISTERED OFFICE

Wood Street Mission 26 Wood Street Off Deansgate Manchester M3 3EF

BANKERS

National Westminster Bank Plc Manchester City Centre Branch 19 Market Street Manchester M1 1WR

SOLICITORS

DWF LLP 1 Scott Place 2 Hardman Street Manchester M3 3AA

INVESTMENT MANAGERS

Brewin Dolphin Limited 1 The Avenue Spinningfields Square Manchester M3 3AP

INDEPENDENT EXAMINERS

Hurst Accountants Limited Chartered Accountants and Statutory Auditors Lancashire Gate 21 Tiviot Dale Stockport SK1 1TD

Page 1

WOOD STREET MISSION

TRUSTEES REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

The Trustees of the charitable company present the financial statements for the year ended 31 December 2020. The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Articles of Association, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015).

Along with the families we help support, we at Wood Street Mission, have continued to suffer from the effects of the Coronavirus pandemic. In March 2020, we closed most of our operations, helping only those in serious crisis who had nowhere else to turn for support. We are now beginning to see the long term impact that the pandemic is having on children and their families. Our support and practical help is even more important as we witness the impact, lockdowns and other restrictions are having on families. We therefore need your support even more at the present time to help those who continue to suffer.

PRINCIPAL ACTIVITIES IN THE PUBLIC INTEREST

The Charity was founded in 1869. The aim of the Charity is to provide services to the community with a particular emphasis on mitigating the effects of poverty and deprivation on children, young people and their families in Manchester and the surrounding area.

Our vision is a world where no child in Manchester or Salford is living in poverty.

Our mission is to offer practical help to alleviate the effect of poverty on Manchester and Salford families.

We will do this through the following strategic objectives:

In planning and delivering our services and activities the Trustees and management of Wood Street Mission confirm that they have complied with the duty In Section 4 of the Charities Act 2011 to have due regard to public benefit guidance by the Charity Commission in delivering the activities undertaken by the Charity.

Wood Street Mission’s charitable objective is the relief of persons who are in need hardship or distress and without in any way limiting the generality of the foregoing in particular those persons resident in the former administrative areas of Manchester and Salford.

Wood Street Mission’s activities as described in this report are considered to meet the public benefit requirement as specified in the Charities Act 2011.

RESULTS

The results for the year and their impact on the Charity’s funds are set out in detail on page 8. The net movement on funds was a surplus of £101,126 (2019: deficit of £19,478). As at 31 December 2020, the Charity had total funds of £2,660,714 (2019: £2,559,588) including cash of £219,073 (2019: £72,227).

REVIEW OF ACTIVITIES

As a long standing children’s Charity, started by local businessman Alfred Alsop in 1869, Wood Street Mission aims to provide practical help to families living in Manchester and Salford in order to alleviate the day-to-day impact of poverty and to improve children’s life chances.

Indeed for 151 years now Wood Street has continued to deal with the negative effects that struggling families endure on a daily basis, with the most profound effects manifesting in the children of those families.

With a world-wide pandemic in 2020 causing the vast majority of society to close down, the stresses and strains on those families, already struggling, increased considerably. Wood Street Mission was forced to re-evaluate its services and how they were delivered, in order to provide the most effective service provision for vulnerable children.

Page 2

WOOD STREET MISSION

TRUSTEES REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

REVIEW OF ACTIVITIES (CONTINUED)

It still remained the case that all families that receive assistance from Wood Street Mission are referred by professionals who provide support for them. This includes Health Visitors, Community Nurses, Social Workers, Education Support staff, Teachers etc. After the initial referral, families are then able to self-refer for all the projects that Wood Street undertakes for a twelve month period, after which those families which are still in need of help must once again be re-referred by a support worker who has knowledge and understanding of a particular families circumstances, in order that they may receive a continuation of the support packages that Wood Street Mission offers.

In March, and in line with Government guidelines regarding lockdown, Wood Street Mission temporarily closed its office. Seven members of staff were furloughed with the remainder continuing to work largely from home, although some of those staff were working flexibly, thus enabling them to make and deliver packages to vulnerable children, which included clothing, bedding, toiletries, nursery equipment, books and activity packs.

This Crisis Service continued throughout the main period of the 2020 lockdown.

The staff team resumed working from the Wood Street Mission building once again in June 2020.

Family Basics project distributed clothing, bedding, toiletries, coats and toys to 746 families, some 2,094 children. This figure is less than the previous year because of the ongoing effect of the pandemic, with Wood Street having to reduce its service provision during lockdown and having to reduce the number of families allowed into the building in order to comply with social distancing measures.

259 items of nursery equipment (cots, prams etc) were also distributed through this project.

The SmartStart project (new school uniform, school accessories, new coats) again provided much needed support to assist children to not only access education but also to encourage them to participate fully in proceedings once they are there.

Some 2,898 received new school uniform packages for the start of the new school year in September. Each package was delivered to families directly from the supplier in order to minimise families having to travel on public transport during a period when the government were recommending essential travel only.

The organisation’s commitment to this project remains strong, as in the long term education is essential if the cycle of child poverty is to be broken.

The Books Forever project did this year suffer from the restrictions brought in as a result of COVID 19. Unable to distribute new and used books through either Roadshows (delivered through schools) or the normal holiday time Book Clubs, Wood Street ensured that books were distributed to vulnerable children, together with activity packs, working in collaboration with local primary and high schools.

Unfortunately the Childhood Experiences project was also badly affected. Normally this area of work enables children to take part in activities/trips that ordinarily they may be precluded from. However given the lockdown and restricted travelling guidelines, it proved impossible to effectively run this particular project this year.

The Christmas project proved to be under threat this year, for the first time in Wood Street Missions history. Social distancing measures meant that toys and gifts being distributed from the Wood Street building itself would be impossible.

Thankfully, Great Northern Warehouse came to the rescue, less than 6 weeks before distribution was due to begin, which meant that 1,490 families, some 4,039 children received new toys and gifts (each child received 3 toys/gifts each) plus selection boxes and other Christmas treats.

The parents/guardians once again were able to choose the toys that they wished to give to their children. Over 12,000 toys were distributed with 150 families per day accessing the project in a safe and controlled manner. In addition to the staff team and regular volunteers, an additional 400 volunteers were recruited to assist with this project during the two and a half weeks of toy distribution.

The response from donors to this project proved to be immense with incredible acts of generosity.

Social Media has proved to be an integral tool in communicating with all our stakeholders over the past twelve most difficult months. This thankfully is an element of the Wood Street operation that has had increased investment prior to the pandemic.

Page 3

WOOD STREET MISSION

TRUSTEES REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

REVIEW OF ACTIVITIES (CONTINUED)

It served us well, in that we were able to communicate with both donors and families alike and, in particular, it proved invaluable with regards to the Christmas project, as it not only helped us secure an alternative venue at short notice, but also ensured that we had more than adequate donations of toys and gifts.

Wood Street Mission will continue to use this medium to not only communicate with various stakeholders but also to highlight the issue of child poverty throughout the cities of Manchester and Salford.

Future Plans include increasing the amount of work that we do under the Books Forever project, working directly with local schools with additional Roadshows. The aim of which is to improve literacy rates whilst, at the same time, increasing engagement with the harder to reach families in the areas we serve.

Plans to develop an outreach version of the Family Basics project sadly had to be put on hold this year but this is something which the organisation will look to put into place once the COVID 19 restrictions are lifted.

Staff/volunteers/supporters acted incredibly throughout 2020 in what was an unprecedented year for all. Wood Street Mission is immensely grateful to all supporters and donors who proved to be so generous, whether they be individuals, corporate partners, churches, schools, community organisations or trusts.

Without the incredible level of support received, Wood Street Mission would simply not have been able to help so many children. Many thanks to all concerned.

The number of volunteer hours was reduced from previous years, nevertheless, with over 400 volunteers assisting with the Christmas project, contributing approximately 2,800 hours at an estimated value of £25,000. Again many thanks to all those who gave their time so willingly.

During the year, the staff once again worked tirelessly to provide struggling families with as much support as was possible in incredibly challenging circumstances throughout the year, as regulations and guidelines changed on what seemed to be a weekly basis. Thanks to all the members of the team for their commitment and dedication.

The staff, volunteers and trustees remain committed to working to improve the life chances of local children throughout Manchester and Salford.

INVESTMENT POLICY AND RETURNS

Surplus resources are invested until they are required for charitable purposes, having taken into account immediate requirements by reference to the Charity’s performance and projected cashflow for the next six months. The Charity has adopted a total return policy for its investment income. The Trustees regularly review the Charity’s investments in consultation with the Investment Managers within an investment objective and agreed risk profile.

KEY RISKS AND UNCERTAINTIES

The Board has established policies and systems to mitigate risks, which are reviewed each year to ensure they still meet the needs of the Charity.

The principle risks of the Charity are:

POST BALANCE SHEET EVENTS AND GOING CONCERN

The Coronavirus pandemic continues to place a significant strain on the Charity’s resources in 2021. However, the Trustees have reviewed the likely demands which will be placed on the Charity and have reasonable expectation it has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

Page 4

WOOD STREET MISSION

TRUSTEES REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

RESERVES POLICY

The Charity has substantial reserves of £2,660,714 (2019: £2,559,588), but not all are directly available to spend on its charitable activities. They include:

Excluding these reserves, the Trustees regard all remaining reserves available to spend on charitable activities. At 31 December 2020 this amounted to approximately £60,000 (2019: £50,000).

STRUCTURE, GOVERNANCE AND MANAGEMENT

STATUS OF CHARITY

The Charity is a registered Charity and is incorporated under the Companies Act as a company limited by guarantee. The guarantee of each member is limited to £10 per Trustee, who are the same people as the voting members of the charitable company and is payable in the event of the Charity being wound up and being unable to meet its debts and liabilities. Wood Street Mission is overseen by a Board of Trustees, which meets approximately ten times a year to supervise the operational activities undertaken by the office staff. One third of the Board retire each year and are eligible for reappointment at the Charity’s General Meeting.

DIRECTORS

The Directors, who are also the Trustees, who served during the year are listed on page 1. The day to day running and operation of Wood Street Mission is delegated to the Manager. Trustee meetings are held every two months at which Trustees approve items that are their sole responsibility, for example approving annual budgets and the Trustees Annual Report and Accounts.

INDUCTION AND TRAINING OF TRUSTEES

New Trustees are introduced to the Charity, usually by existing Trustees, and given a full background to the Charity’s history and current work with families in Manchester and Salford. The manager and other members of staff provide a tour of the facilities and, together with the information on the website, new Trustees have a good grounding in the Charity’s activities.

All Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.

SUB COMMITTEES OF THE BOARD

There are three subcommittees of the Board, these being the Finance Committee, the Investment Committee and the Remuneration Committee. During the financial year to 31 December 2020 these committees had the following members:

Finance Committee R T Race BSc Hons Chartered FCSI ASIP M N G Evans BSc FCA C A Hadfield FRICS Mrs E Willder FCMA CIS (Affiliated) Investment Committee M N G Evans BSc FCA C A Hadfield FRICS Mrs E Willder FCMA CIS (Affiliated) Remuneration Committee Ms J Watson Mrs N D Guy

Page 5

WOOD STREET MISSION

TRUSTEES REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

STAFF PAY AND REMUNERATION

Remuneration of the key management personnel is agreed by the Board based on recommendations of the Remuneration Committee.

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The Trustees (who are also the directors of Wood Street Mission for the purposes of company law) are responsible for preparing the financial statements in accordance with applicable law and 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 of the profit and loss of the charitable company for the year. In preparing those financial statements, the Trustees are required to:

The Trustees are responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and to enable them to ensure that the financial statements comply with the Companies Act 2006. 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 of a Charity must, in determining how amounts are presented within items in the profit and loss account and Charity balance sheet, have regard to the substance of the reported transaction or arrangement, in accordance with generally accepted accounting principles and practice.

By order of the Board

………….……………………………. R T Race Chairman

Date:

Page 6

WOOD STREET MISSION

INDEPENDENT EXAMINERS’ REPORT TO THE TRUSTEES ON THE UNAUDITED ACCOUNTS OF WOOD STREET MISSION

We report on the financial statements of the company for the year ended 31 December 2020 set out on pages 8 to 21.

This report is made solely to the company’s Trustees, as a body, in accordance with section 145 of the Charities Act 2011 and regulations made under section 154 of that Act. Our work has been undertaken so that we might state to the company’s Trustees those matters that we are required to state to them in an Independent examiner’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 company and the company’s Trustees as body, for our work or this report.

RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND EXAMINER

The Trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006. The Charity’s Trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (‘the 2011 Act’) and that an independent examination is needed. We are qualified to undertake the examination by being a qualified member of the Institute of Chartered Accountants in England and Wales.

Having satisfied ourselves that the Charity is not subject to audit under part 16 of the Companies Act 2006 and is eligible for independent examination, it is our responsibility to:

BASIS OF INDEPENDENT EXAMINERS’ REPORT

Our examination was carried out in accordance with the general directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from you as Trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.

INDEPENDENT EXAMINERS’ STATEMENT

In connection with our examination, no matter has come to our attention:

…………………………………………………. Helen Besant-Roberts

Hurst Accountants Limited Independent Examiners and Chartered Accountants Lancashire Gate 21 Tiviot Dale Stockport SK1 1TD

Date:

Page 7

WOOD STREET MISSION

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020 (INCORPORATING THE INCOME & EXPENDITURE ACCOUNT)

Year ended 31 December 2020 ended 31 December 2020 Year ended 31 December 2019 ended 31 December 2019
Unrestricted
Restricted		 Total Unrestricted
Restricted		 Total
funds funds funds funds
£ £ £ £ £ £
Income and endowments from
Donations, gifts & legacies 3 326,010 364,446 690,456 385,704 197,072 582,776
Investments 4 25,990 - 25,990 35,390 - 35,390
Other Income 1,405 - 1,405 1,386 - 1,386
__ __ __ __ __ __
Total Income and
endowments 353,405 364,446 717,851 422,480 197,072 619,552
__ __ __ __ __ __
Expenditure on
Charitable activities 5 455,527 231,961 687,488 527,953 239,489 767,442
__ __ __ __ __ __
Net income/ (expenditure)
before other recognised (102,122) 132,485 30,363 (105,473) (42,417) (147,890)
gains
Other recognised gains
Net gains on investments 9 70,763 - 70,763 128,412 - 128,412
__ __ __ __ __ __
Net movement on funds (31,359) 132,485 101,126 22,939 (42,417) (19,478)
Reconciliation of funds
Total funds brought
forward 2,542,285 17,303 2,559,588 2,519,346 59,720 2,579,066
__ __ __ __ __ __
Total funds carried
forward 14 2,510,926 149,788 2,660,714 2,542,285 17,303 2,559,588
__ __ __ __ __ __

The above all relate to continuing operations.

There are no other recognised gains or losses other than those noted above and therefore no separate statement of total recognised gains and losses has been prepared.

The notes on pages 11 to 21 form part of the financial statements.

Page 8

COMPANY NUMBER: 03849322

WOOD STREET MISSION

BALANCE SHEET AS AT 31 DECEMBER 2020

31 December 31 December
Note 2020 2019
£ £
Fixed assets
Tangible assets 8 1,138,204 1,171,735
Investment – securities 9 1,287,903 1,262,384
__ __
2,426,107 2,434,119
__ __
Current assets
Debtors 10 30,661 72,620
Cash at bank and in hand 11 219,073 72,227
__ __
249,734 144,847
Current liabilities
Creditors: amounts falling due within one year 12 (15,127) (19,378)
__ __
Net current assets 234,607 125,469
__ __
Net assets 2,660,714 2,559,588
__ __
The funds of the Charity
Unrestricted funds 1,760,927 1,786,286
Designated funds 523,499 523,499
Revaluation reserve 226,500 232,500
__ __
Unrestricted funds 14b 2,510,926 2,542,285
Restricted funds 14c 149,788 17,303
__ __
Total Charity funds at 31 December 2020 14 2,660,714
__		 2,559,588
__

The Trustees consider that the company is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ("the Act") and members have not required the company to obtain an audit for the year in question in accordance with section 476 of the Act.

The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The financial statements on pages 9 to 24 were approved by the Board of Trustees and were signed on its behalf by:

………….……………………………. ………….……………………………. R T Race M N G Evans

Date:

Date:

The notes on pages 11 to 21 form part of the financial statements.

Page 9

WOOD STREET MISSION

COMPANY NUMBER: 03849322

CASHFLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020

31 December 31 December
Note 2020 2019
£ £
Cashflows from operating activities
Net income /(expenditure) for the year 101,126 (19,478)
Depreciation 33,531 40,073
(Gains)/losses on investments (70,763) (128,412)
Decrease/(increase) in stock - 26,000
Decrease in debtors 41,959 (51,968)
(Decrease)/increase in creditors 4,251 6,373
__ __
Net cash generated/(used) from operating activities 101,602 (127,412)
__ __
Cashflows from investing activities
Purchase of tangible fixed assets - (3,234)
Purchase of investments (179,363) (461,420)
Proceeds on sale of investments 224,607 464,913
__ __
Net cash generated in investing activities 45,244 259
__ __
Increase/(decrease) in cash and cash equivalents
in the year 146,846 (127,153)
Cash and cash equivalents at the beginning of the year 72,227 199,380
__ __
Cash and cash equivalents at the end of the year 11 219,073 72,227
__ __

Page 10

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

1. ACCOUNTING POLICIES

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) (Charities SORP (FRS 102)), the Financial Reporting standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Wood Street Mission meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

Company Status

The Charity is limited by guarantee and incorporated in England and Wales, registered number 03849322. The address of its registered office is Wood Street Mission, 26 Wood Street, Off Deansgate, Manchester, M3 3EF.

In the event of the company being wound up, the liability in respect of the guarantee is limited to £10 per Trustee who are the same people as the voting members of the charitable company.

Going Concern

The Coronavirus pandemic continues to place a significant strain on the Charity’s resources in 2021. However, the Trustees have reviewed the likely demands which will be placed on the Charity and have reasonable expectation it has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

Basis of accounting

The financial statements are prepared in accordance with the historical cost convention as modified to include the revaluation of land and buildings and investments.

Basis of accounting for income and expenditure

All incoming and outgoing resources are accounted for in the Statement of Financial Activities and include:

Incoming resources

(a) Investment income

Investment income is accounted for when receivable.

(b) Legacies and donations

Legacies and donations are accounted for when received by the Charity.

(c) Gifts in kind

Gifts in kind are included as an incoming resource in the Statement of Financial Activities at market value, except where it is difficult to ascribe a value to the benefit received by the Charity.

(d) Government grants

Grants of a revenue nature are recognised in the statement of financial activities in the same period as the related expenditure.

Resources expended – costs

Charitable expenditure

Charitable expenditure includes all expenditure directly related to the objectives of the Charity. Where expenditure is incurred on several activities, it is apportioned based on the percentage of that resource utilised. Management and Administration costs represent expenditure incurred in the management of the Charity’s assets and compliance with constitutional and statutory requirements and are apportioned to charitable expenditure.

Page 11

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

1. ACCOUNTING POLICIES (continued)

Taxation

The Charity has been granted exemption by the Commissioners of the Inland Revenue from taxation on its charitable activities under the provisions of Section 505 of the Income and Corporation Taxes Act 1988. Irrecoverable value added tax is included in the cost of the item to which it relates.

Depreciation

All tangible fixed assets are stated at cost or valuation less depreciation. Deprecation is provided using the following rates which reflect the anticipated useful lives of the assets after allowing for estimated residual values:

Buildings 2% straight line Furniture fixtures and fittings 10%-20% straight line/reducing balance Computer equipment 25%-33⅓% straight line Motor vehicles 33⅓% straight line

Investment securities

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently restated at market value. Realised and unrealised gains and losses are shown separately in the heading ‘net gains/losses on investment’ in the Statement of Financial Activities (incorporating the income and expenditure account).

Debtors

Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Financial instruments

The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Funds

Represents funds where the use has been restricted by the donor or by the terms of an appeal.

Represents funds earmarked for future projects.

Represents the general fund of the Charity which receives all other income and to which Direct Charitable Expenditure not covered by Restricted funds is charged together with Indirect Expenditure.

Page 12

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

1. ACCOUNTING POLICIES (continued)

Liabilities and provisions

Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pretax discount rate that reflects the risks specific to the liability.

Pensions

The Charity operates a defined contributions pension scheme. The scheme and its assets are held by independent managers. The pension charge represents contributions due from the Charity in the year.

2. JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where their judgements and estimates have been made include:

Tangible fixed assets

The management of the Charity exercises judgement in estimating the useful economic life of the freehold property, fixtures and fittings, computer equipment and motor vehicles. The net book value of these assets is disclosed in note 8.

Accruals

Accruals are entered in the financial statements based on management expectations, taking into account various business and economic factors relevant to each individual item. The total value of accruals is disclosed in note 12.

3. INCOME FROM DONATIONS, GIFTS & LEGACIES

Year ended Year ended
31 December 31 December
2020 2019
Grants, donations and gifts 592,743 413,421
Legacies 8,222 95,908
Gifts in kind 89,491 73,447
_ _
690,456 582,776
_ _

The Charity received a grant totalling £15,057 as a contribution towards the cost of continuing to employ certain members of staff who were unable to work during periods in the year when the Charity was closed due to restrictions imposed by the Government during the Coronavirus pandemic.

During the year, the Charity received donations in kind to the value of £89,491 in the form of Christmas gifts, school stationery, coats and duvets. They were distributed to families as required throughout the year.

Similarly, during the year donations of clothing, bedding, toys and food were received for distribution to families. However, without considerable time and expense it is not practicable to quantify the value attributable to them.

Page 13

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

4. INVESTMENT INCOME

Year ended Year ended
31 December 31 December
2020 2019
£ £
Dividends received 25,881 35,150
Interest receivable 109 240
_ _
25,990 35,390
_ _
5.
RESOURCES EXPENDED
(a)
Resources expended in 2020
Unrestricted
Funds
Restricted
funds
£
£
Charitable activities
Family Basics
163,529
72,982
Smart Start (school uniform)
156,478
33,262
Christmas Appeal
-
114,887
Books for Ever
41,709
10,300
Other activities
10,021
530
Fund raising
83,790
-
_
_
Total resources expended 2020
455,527
231,961
_
_
(b)
Resources expended in 2019
Unrestricted
Funds
Restricted
funds
£
£
Charitable activities
Family Basics
255,245
88,039
Smart Start (school uniform)
60,499
93,646
Christmas Appeal
10,890
41,771
Books for Ever
8,489
14,423
Other activities
4,692
1,610
Fund raising
95,207
-
_
_
435,022
239,459
_
_
Governance costs
92,931
-
_
_
Total resources expended 2019
527,953
239,489

 Total
£
236,511
189,740
114,887
52,009
10,551
83,790
_
687,488
_
Total
£
343,284
154,145
52,661
22,912
6,302
95,207
_
674,511
_
92,931
_
767,442

Page 14

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

5. RESOURCES EXPENDED (continued)

(c) Resources expended by type in 2020

Family
Basics
Smart Start
(school
uniform)
Christmas
Appeal
£
£
£
Staff costs
136,560
38,229
20,620
Establishment costs
20,230
7,032
10,858
Administration costs
9,377
9,378
9,377
Project costs
56,608
129,061
67,992
Depreciation
13,736
6,040
6,040
__
_
___
Total resources
expended in 2020
236,511
189,740
114,887



 Books
for Ever
Other
Activities
£
£
18,298
9,334
10,860
-
5,946
-

10,865
1,217
6,040
-
__
____
52,009
10,551


 Fund
Raising
Total
£
£
52,231
275,272
2,345
51,325
27,538
61,616
-
265,743
1,676
33,532
__
____
83,790
687,488

Expenditure is allocated on an actual basis.

(d) Resources expended by type in 2019

Family
Basics
Smart Start
(school
uniform)
Christmas
Appeal
Books
for Ever
Other
Activities
£
£
£
£
£
Staff costs
120,729
21,127
20,629
3,056
1,697
Establishment costs 37,818
4,433
12,344
5,042
-
Administration costs
21,697
1,743
7,355
1,620
359
Project costs
137,170
125,155
5,217
12,293
4,246

Depreciation
25,870
1,687
7,116
901
-
__
_


___
Total resources
expended in 2019
343,284
154,145
52,661
22,912
6,302




 Fund
Raising
£
33,813
3,689
55,455
-
2,250
______
95,207
 Gover-
nance
Total
£
£
66,841
267,892
3,689
67,015
20,152
108,381
-
284,081
2,249
40,073
__
____
92,931
767,442

Expenditure is allocated on an actual basis.

6. INDEPENDENT EXAMINER REMUNERATION

The independent examiners’ remuneration amounts to £500 (2019: £500).

7. STAFF COSTS

Year ended Year ended
31 December 31 December
2020 2019
£ £
Wages and salaries 246,166 237,301
Social security costs 13,473 15,773
Other pension costs 13,270 13,073
Other staff costs 2,363 1,745
__ __
275,272
__		 267,892
__

Neither the chairman nor any other member of the Board received any remuneration for their services or reimbursement of expenses during the year, nor were any trustee expenses incurred.

There were no employees with emoluments above £60,000 (2019: £nil).

Page 15

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

7. STAFF COSTS (continued)

The average weekly number of full-time equivalent employees who were paid was as follows:

Direct charitable activities
Management and administration
8.
TANGIBLE FIXED ASSETS
At 1 January 2020 &
31 December 2020
Depreciation
At 1 January 2020
Charge
Disposals
At 31 December 2020
Net book value
At 31 December 2020
Net book value
At 31 December 2019		 Freehold
property
£
1,500,501
_
337,269
30,010
-
_
367,279
_
1,133,222
_
1,163,232
 Year ended
31 December
2020
Year ended
31 December
2019
10
10
3
3
_
_
13
13
_
_
Van
£
Furniture &
equipment
£
Total
£
30,000
35,016
1,565,517
_
_
_
30,000
26,513
393,782
-
3,521
33,531
-
-
-
_
_
_
30,000
30,034
427,313
_
_
_
-
4,982
1,138,204
_
_
_
-
8,503
1,171,735

The Charity has chosen to retain the book values of land and buildings which were previously revalued, and not to revalue the assets in the future. All assets are held for charitable purposes.

If freehold property had not been revalued it would have been included in the financial statements at the following amounts:

31
Historical cost
Accumulated depreciated based on cost		 December
2020
31
£
1,200,501
(293,739)
__
906,762
 December
2019
£
1,200,501
(269,739)
__
930,762

The property was last valued in 2007 by an independent valuer using market-based evidence of similar properties in the local area. The Trustees review this annually for impairment.

Page 16

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

9. INVESTMENTS - SECURITIES

Listed Investments

31
Market value
At 1 January 2020
Additions
Sale proceeds
Realised and unrealised bonus/profits
Market Value at 31 December 2020
Fixed interest securities
Equities in Unit Trusts
Investment assets		 December
2020
31
£
1,262,384
179,363
(224,607)
70,763
_
1,287,903
_
312,061
975,842
__
1,287,903
 December
2019
£
1,137,465
461,420
(464,913)
128,412
_
1,262,384
_
336,540
925,844
__
1,262,384

Individual investments which comprised more than 5% of the market value of the total portfolio were:

£
MI Select Managers North American Equity 94,771
Vanguard Funds Plc 126,566

The historical cost of the investments is £1,112,780 at 31 December 2020 (2019: £1,142,167).

10. DEBTORS

31
Amounts falling due within one year
Income tax recoverable
Accrued income
Investment income
Prepayments
Legacy		 December
2020
31
£
4,905

8,916

1,387

15,453

-

__
30,661

 December
2019
£
7,130
1,846
2,214
13,048
48,382
__
72,620

An impairment loss of £nil (2019: £nil) was recognised against trade debtors.

Page 17

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

11.
ANALYSIS OF CASH AND CASH EQUIVALENTS
31
Cash in hand and at bank
12.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31
Other creditors
Accruals
13.
FINANCIAL INSTRUMENTS
31
Financial assets
Financial assets measured at fair value through income and
expenditure		 December
2020
31
£
219,073
_
219,073
_
December
2020
31
£
4,330
10,797
_
15,127
_
December
2020
31
£
1,287,903
 December
2019
£
72,227
_
72,227
_
December
2019
£
1,300
18,078
_
19,378
_
December
2019
£
1,262,384

Financial assets measured at fair value through income and expenditure include fixed asset investments.

14. THE FUNDS OF THE CHARITY

(a) General

Total reserves are represented by the following:

31 December 2020 31 December 2019
£ £ £
 £
Freehold building & other
fixed assets 1,138,204 1,171,735
Investments 1,287,903 1,262,384
Net current assets:
Unrestricted (438,680) (415,333)
Designated 523,499 523,499
Restricted 149,788 17,303
__ __
234,607 125,469
__ __
2,660,714 2,559,588
__ __

Page 18

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

14. THE FUNDS OF THE CHARITY (continued)

(b) Unrestricted funds 2020

Unrestricted
funds
Designated
funds
Revaluation
reserve
£
£
£

At 1 January 2020
1,786,286
523,499
232,500
Net movement of funds during
the year
(31,359)
-
-
Depreciation on revaluated
portion of land and building
6,000
-
(6,000)
_
_
__
At 31 December 2020
1,760,927
523,499
226,500


 Total
£
2,542,285
(31,359)
-
__
2,510,926

Designated funds relate to a legacy all of which has now been received and which the Trustees have earmarked for future projects.

Unrestricted funds 2019

Unrestricted
funds
Designated
funds
Revaluation
reserve
£
£
£

At 1 January 2019
1,805,729
475,117
238,500
Net movement of funds during
the year
(25,443)
48,382
-
Depreciation on revaluated
portion of land and building
6,000
-
(6,000)
_
_
__
At 31 December 2019
1,786,286
523,499
232,500


 Total
£
2,519,346
22,939
-
__
2,542,285

Designated funds relate to a legacy which the Trustees have earmarked for future projects.

(c) Restricted funds 2020

These are restricted funds to be used exclusively for expenses relating to the areas below:

31 December Movement in resources Movement in resources 31 December
2019 Income Expenditure 2020
£ £ £ £
Christmas Appeal - 264,675 (114,887) 149,788
Smart Start (school uniform) - 33,262 (33,262) -
Family Basics 17,113 55,869 (72,982) -
Books for Ever - 10,300 (10,300) -
Others 190 340 (530) -
__ __ __ __
17,303 364,446 (231,961) 149,788
__ __ __ __

The restricted reserves are held to buy toys and other items for charitable purposes.

Page 19

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

14. THE FUNDS OF THE CHARITY (continued)

Restricted funds 2019

These are restricted funds to be used exclusively for expenses relating to the areas below:

31 December Movement in resources Movement in resources 31 December
2018 Income Expenditure 2019
£ £ £ £
Christmas Appeal 6,713 35,058 (41,771) -
Smart Start (school uniform) 26,000 67,646 (93,646) -
Family Basics 19,577 85,575 (88,039) 17,113
Books for Ever 7,240 7,183 (14,423) -
Others 190 1,610 (1,610) 190
__ __ __ __
59,720 197,072 (239,489) 17,303
__ __ __ __

The restricted reserves are held to buy school uniform, clothing, bedding, books and other items for charitable purposes.

15. ANALYSIS OF ASSETS AND LIABILITIES BY FUND

31 December 2020
Unrestricted
funds
Restricted
funds
£
£
Fixed assets
2,426,107
-
Current assets
99,946
149,788
Current liabilities
(15,127)
-
_
_
Net assets
2,510,926
149,788		 31 December 2019
Total
Unrestricted
funds
Restricted
funds
£
£
£
2,426,107
2,434,119
-
249,734
127,544
17,303
(15,127)
(19,378)
-
_
_
__
2,660,714
2,542,285
17,303		 Total
£
2,434,119
144,847
(19,378)
__
2,559,588

The Trustees have designated £523,499 (2019: £523,499) of funds for future projects.

16. RELATED PARTY TRANSACTIONS

Key management are considered to be the Board of Trustees and they received no remuneration (2020: £nil).

There were no related party transactions in this or the prior year.

17. PENSION COMMITMENTS

The Charity operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension charge represents contributions payable by the Charity to the fund and amounted to £13,270 (2019: £13,073). Contributions totalling £77 (2019: £1,300) were payable to the fund at the balance sheet date and are included in creditors. The pension liability and expense are allocated from unrestricted funds.

18. MEMBERS OF THE COMPANY AND ULTIMATE CONTROL

The members of the company have no entitlement to distribution on dissolution of the company. They each have limited liability of up to £10. There is no overall control of this charitable company.

Page 20

WOOD STREET MISSION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

19. POST- BALANCE SHEET EVENTS

In March 2020 the Charity had to close its operation because of the Coronavirus pandemic. Approximately half the staff employed by the Charity were able to continue their work from home but regrettably the other staff were unable to work in a safe environment at Wood Street. However, they continued to receive full salary and the Charity took advantage of Government support schemes and, as a result, received a grant of £15,057 which represented 80% of the salary paid to those members of staff who were furloughed. Operations returned to normal, albeit at a reduced level, in mid July 2020. Again in January 2021 the Charity had to close its operation because of the pandemic with staff returning to work in mid March 2021. The financial effect of the impact of these changes will be reflected in the Financial Statements for the year ending 31st December 2021.

Page 21