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COMPANY REGISTRATION NUMBER: 03868428 CHARITY REGISTRATION NUMBER: 1081019

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter

Company Limited by Guarantee

Financial Statements

31 December 2021

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

	Page
Trustees’ annual report (incorporating the director’s report)	1
Independent auditor’s report to the members	7
Statement of financial activities (including income and expenditure account)	10
Statement of financial position	11
Statement of cash flows	12
Notes to the financial statements	13
The following pages do not form part of the financial statements
Detailed statement of financial activities	28
Notes to the detailed statement of financial activities	29

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 December 2021.

Reference and administrative details

Registered charity name Charity registration number Company registration number Principal office and registered office The Trustees Key Management Personnel Company Secretary Auditor Bankers Investment Manager Solicitors
	Gloucestershire Animal Welfare Association and
	Cheltenham Animal Shelter

	1081019

	03868428

	Gardner’s Lane
	Swindon Road
	Cheltenham
	Gloucestershire
	GL51 9JW

	J Stewart (Chair)
	A Williams (Vice Chair)
	A Ayrton – resigned 13/6/22
	C Barnes – appointed 25/3/21
	G Barnes
	P Dyer
	C Howard
	A Kapustynska – appointed 25/3/21
	A Lawrence – resigned 8/4/21
	S Whiteman – appointed 25/3/21

	P Newcombe (General Manager)
	N Spanswick (Operations Manager)
	A Jarvis (Head of Fundraising)

	A Ayrton – resigned 13/6/22
	P Newcombe – appointed 22/6/22

	Hazlewoods
	Staverton Court
	Staverton
	Cheltenham
	GL51 0UX

	The National Westminster Bank PLC
	31 Promenade
	Cheltenham
	Gloucestershire
	GL50 1LH

	Tilney Plc
	6 New Street Square
	New Fetter Lane
	London
	EC4A 3BF

	Willans
	28 Imperial Square
	Cheltenham
	Gloucestershire
	GL50 1RH

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Trustees’ Annual Report (Incorporating the Director’s Report)

Structure, Governance and Management

During the last year the Board of Directors (who will be referred to as Trustees for the purpose of this report) met at least quarterly via either a zoom call or Face To Face meeting and all of the Trustees are unpaid volunteers. When new Trustees are required, the Charity evaluates any skill gaps on the Board and then aims to recruit new Trustees with those skills. This is done by local advertising or by recommendation of other members. On appointment, new Trustees are given an induction briefing and reference material to familiarise themselves with the work of the Charity and the role of a Charity Trustee. The Board is also careful to maintain its personal competency by providing any training deemed necessary. This year one Trustee resigned and three new Trustees were co-opted on to the Board.

In addition to the quarterly/monthly meetings, a one-day Trustee workshop is normally held annually but due to the Coronavirus pandemic and various lockdowns this was delayed for a second year in 2021. This is the opportunity that the Trustees take to review the management structure of the business, the Risk Register, future Business Plans, staff salaries and competencies and any future projects that have been suggested for evaluation. This will be carried over to 2022.

The Trustees review performance at each meeting, including the financial results of the company’s operations and make any required adjustments to the operating plans and budgets. Sub committees continue to function and meet at agreed intervals to discuss and recommend actions for the Board’s consideration. Each subcommittee has a minimum of two trustee members and the aim of this is to align the specific skill set of each Trustee to a specific area of the business. The management structure is headed by the General Manager supported by key senior members of staff.

Related Parties

The Charity has a wholly owned trading subsidiary, Cheltenham Animal Shelter Ltd, (CAS Ltd) Company Registration number 03804561. All profits from this company are covenanted to the Charity. There is a Limited Liability Partnership and lease agreement in place between CAS Ltd and Chalkner VS LLP. This partnership, trading as CASVET LLP, provides the Charity and the public with low-cost quality veterinary services. CAS Ltd runs a shop selling animal accessories, as well as a successful boarding establishment and an in house dog grooming service. All profits from CAS Ltd are donated to the Charity annually.

Membership

The charity is a member of the Association of Dogs and Cats Homes and is registered with the Fundraising Regulator.

Risk management

The Trustees are responsible for the management of risks faced by the Charity. There is a Risk Register in place as well as robust internal controls which include frequent review of the financial position of the charity by Trustees. It is recognised that systems can provide reasonable but not absolute assurance that major risks have been adequately managed. The Risk Register and plans are revised annually at the Trustees workshop and may also be revised at a Trustee meeting if and when a new risk is identified thus providing the Board with significant assurance that risks are added in a timely manner. The highest risk to the business generally continues to be the instability of the current economic climate and its impact on our major sources of income which come from legacies and donations. In addition, a new unforeseen risk became apparent in 2020 with the Covid-19 strain of Coronavirus. At the end of December 2021 investments showed a value of £1,191,327, it is recognised that we have no control over the impact that the economic climate has on our investments, a review of our risk management strategy took place in July 2021 by Zoom and the investments continue to be held in a medium risk portfolio. A further review is planned for 2022. Other top risks identified include the loss of key staff and the impact of adverse publicity on donations and legacies.

Public benefit

The Trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales. Without animals life for many people would be far less rich, it is our job to persuade them to understand the importance of caring for them.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Trustees’ Annual Report (Incorporating the Director’s Report) – Continued

Objectives and activities

The core aim of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter is to provide shelter for homeless dogs, cats and other domestic animals whilst attempting to locate appropriate new homes for them. The objective is to provide professional care and good animal husbandry to rescued animals during the process of re-homing them to good suitable caring homes as soon as possible. Trustees also recognise their duty of care to staff employed and to the volunteers who provide invaluable and additional assistance with all aspects of the business. The Charity also seeks to encourage good practice in the care of animals in the community through education of the public in the basics of animal welfare.

Achievements and performance

This has been another busy year at the Shelter, and we have benefitted from a loyal and committed staff group who are led by a strong management team which is headed by our General Manager. The unprecedented and unforeseen Coronavirus pandemic continued to have a major impact on the Charity and its businesses with a further three month lockdown at the start of 2021. This impacted all areas and meant much of the ongoing work during the year was suppressed, changed and in many cases halted such as events, our education programme, many of our rehoming procedures and the businesses of dog grooming, dog and cat boarding and pet supplies. Despite this severe disruption notable successes were seen in managing the staff through a massively challenging period to continue where we could our rescue and rehoming work and also the general fundraising and donations which, with the help of adapting to virtual means and the fabulous generosity of our supporters, we saw another strong performance in donations and income from our partnership with our veterinary parcatice, Casvet LLP. Some staff were furloughed for a period of time at the start of the year under the UK Government’s Job Retention Scheme, but none were made redundant.

Property

There have been no significant changes made to any of our property or buildings this year and ,despite the continuation of the pandemic, which has had an impact on timings, we are still looking at plans for future projects which would involve a possible rebuild of the kennel block, cat facilities and other animal accommodation.

Dogs rehomed

We are pleased to comment that this year, even after allowing for the disruption of the lockdowns, we have still been able to continue our work with the public and have taken in 163 dogs with 135 dogs being rehomed.

Cats rehomed

We have taken in 127 cats and have rehomed 113.

Small Animals rehomed

We have taken in 119 small animals and have rehomed 120.

Animal related activities

There are currently 85 dog kennels at the Shelter, 40 are used for re-homing dogs, 22 for quarantine, 16 for boarding dogs, 2 isolation and 3 holding/recovery kennels. In addition, we have 2 puppy pens in our Young Animal Centre. There are 57 cat pens of which 20 are used for rehoming, 14 quarantine, 8 isolation and 6 for boarding. In addition, we have 9 cat maternity pens in our Young Animal Centre. We can also accommodate up to 20 small animals with indoor accommodation being available. As well as boarding facilities for both cats and dogs, dog grooming facilities are also provided which are well utilised by our clients. We continue to operate a non-destruction policy of animals coming into the shelter unless they are classified as dangerous, are a banned breed or type, are seriously ill or are too aggressive to be safely rehomed, we also give consideration to the long-term quality of life of the animals. PTS figures are low at just 8 dogs, 5 cats and 2 small animals, the vast majority of which were for medical reasons.

Other highlights of the year include having 7 Charity of the Year partnerships, linking up with Willans, Solicitors, the Insurance Institute of Cheltenham and Gloucester, Thomas Legal, Endsleigh Insurance two Pets at Home stores and iPipeline Inc. ADCH membership was continued with regular Zoom Open meetings attended and we achieved a Highly Commended award in the SoGlos Gloucestershire Charity of the Year awards 2021.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

Ultimately, we must gauge our success on the fact that we have rehomed over 386 animals this year, despite the challenges of the pandemic and another three month lockdown where we were governed by DEFRA rehoming guidance and restrictions. All of these animals ,for one reason or another, had lost their homes. In addition, we adapted, by virtual means, to still reach out in to the community in an effort to educate children and adults alike about responsible pet ownership. It has been a challenging year but one that we can be very proud of. We continue to follow the shelter metrics approach taken by Battersea Dogs & Cats Home where keeping lower dog numbers speeds up the time it takes to rehome them, and continue to run “open paw” which is an initiative designed to enrich the quality of life of dogs in our care and will work towards removing some of the barriers to rehoming faced by some of our long stay residents. We suspended running a Local Animal Welfare meeting group, which was disrupted by the pandemic, but will recommence this in 2022 where it’s aims are to allow networking and the sharing of best practice between other like-minded local organisations, including Dog’s Trust, Blue Cross, RSPCA, Teckels and the Police.

We run annual staff meetings with all members of staff and members of the Board of Trustees, at these meetings the results of salary reviews, changes in staff structure and other related issues are discussed. As always, the staff group has worked hard during the period with the establishment being FTE 32.01 made up of 41 employees, there were 11 leavers during the period offset by 11 new starters.

On site Charity shop

The Charity shop continues to be a success and is a great achievement. Although severely disrupted by the Coronavirus pandemic and lockdowns in both 2020 and 2021 it continues to provide income to the Shelter, and we are as always extremely grateful to the whole team of people who volunteer and work in the shop as without them the project could not operate.

Fundraising and events

Fundraising is crucial to the survival of the shelter where this year, unfortunately, because of the ongoing pandemic fundraising events were severely disrupted again. We adapted to utilize virtual offerings where we could and held a second Virtual Open Day and held further care appeals during the year. We did manage to hold our Festive evening face to face in 2021 together with a virtual winter raffle . Most of our other normal events were cancelled because of the ongoing crisis. We are very pleased that Pam Ayres remains our Patron and would like to extend our thanks to her. Pet Plan insurance commission has increased again this year. We also extend our thanks to JHR Trust for a £8.4K grant, Cheltenham Borough Council for two grants of £4.5K and £5K respectively and the High Sherrif of Gloucestershire for a £2.5K grant. A special thank you is extended to all of our corporate supporters and charity partner’s which this year were Willans, Solicitors, the Insurance Institute of Cheltenham and Gloucester, Thomas Legal, Endsleigh Insurance two Pets at Home stores and iPipeline Inc.

Trustees’ responsibilities

Each Trustee continues to oversee and report on specific areas of the Charity’s work. The areas of responsibility include HR, Finance, Property, Animal Welfare, Volunteers, Education, Income Generation and Fundraising.

Financial review

During the year the Company’s income was derived from invested capital, legacies, donations and profits from CAS Ltd. The financial position of the charity was affected by the ongoing pandemic and a trading deficit seen during 2021 although somewhat fortunately the majority of this deficit was offset by strong gains in the Charity’s investments. The main reason for the deficit was a reduction in legacy income during the current year of £170K and the reduction in income from dog grooming and dog and cat boarding services, coupled with higher vet and drug fees and salaries.

The Trustees understand that legacies are a very difficult line of income to forecast and control but continue to take a number of proactive steps to increase the marketing and return in this area. The Company incurred gains on the investments during the year of £113,049, of which £48,322 related to gains on disposals and £64,727 revaluation gains. The revaluation gains resulted from the strong market performance as a bounce back from the lockdowns and the excitement that came with the speed of Covid-19 vaccine developments.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

Financial review (continued)

This investment value increase during the period was 10.7% being lower than the FTSE 100 share index which rose by 14.3% and lower than the WMA Balanced Total Return index which increased by 12.54%. The investment objectives are for Balanced Growth/Income with a medium level of portfolio risk, with 18% held in cash at the year end. As at 31 December 2021, the carrying amount of listed investments during the year decreased from £1,058,776 to £1,001,012 due to a request from the trustees to take out £150,000 owing to a lack of legacies throughout 2021. In order to enable the payment of £150,000 there were a number of disposals of investments during the year. Overall £228,496 worth of investments were sold during the year with £57,683 worth of purchases. The significant cash level at the yearend was due to the request by the trustees to draw down £150,000.

Markets have continued to be very volatile in the calendar year 2022. This volatility has been caused by a rapid increase in inflation as well as the tremendous uncertainty over the Ukraine conflict. The value of the portfolio as at 15th August is £909,403 which is some £281,924 lower than at the yearend. However, in this period, £150,000 was taken out on 10[th] January 2022 and a further £60,000 was taken out on 23[rd] June. Taking this into account, the portfolio stands at £71,924 lower or -7.3% than the end of year figure. This fall in value can be attributed to the recent volatility in markets. It should be noted that since the end of June, the portfolio has risen by over 7%.

Reserves policy

The Trustees will continue to regularly monitor the level of reserves and review the reserves policy on an annual basis. The policy of the Company is to have sufficient reserves to be able to run for at least two years should no donations or legacies be received. No Trustee has requested or received any remuneration or expenses during this financial year.

Investment policy

The Trustees implemented an investment policy which was reviewed in July 2021

Investment Objectives

The investment objective is to deliver capital growth; whilst there are no immediate plans to make withdrawals, this portfolio would be used to provide for Charity cash flow in the event that there were shortfalls in revenue.

Investment Restrictions

The trustees have requested that investments into companies involved in animal testing be avoided. It has been explained that this can be applied to direct investments into company shares or fixed income investments issued by those companies; however, a proportion of the portfolio is invested into collective investment funds in order to provide diversification for the portfolio, where Tilney has no control over the investments being made. This was understood and is accepted. Consequently, you have requested that no investments be made into pharmaceutical companies.

Diversification and Liquidity

Investments will be deployed into direct investments, collective investment funds and investment companies, and when taking the portfolio as a whole, the investments will be diversified both by asset class and by managers for the underlying collective funds. Under normal market conditions, investments will be liquid and realisable.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

Pay policy for Key Management Personnel

The Trustees consider that the Board of Trustees, the General Manager, the Operations Manager and the Head of Fundraising comprise the key management personnel of the Charity in charge of directing and controlling, running and operating the Charity on a day-to-day basis.

All Trustees give of their time freely and no Trustee received remuneration in the year. Details of Trustees’ expenses and related party transactions are disclosed in notes 20 and 29 to the financial statements.

The pay of the General Manager and other staff is reviewed annually based on performance and normally increased in accordance with average earnings. The remuneration is set to ensure it is both fair but also will attract and retain staff of the appropriate calibre and experience required by the Charity.

Conclusion

The Trustees would like to thank our loyal staff and volunteers for their hard work without which we could not continue to operate to the standards we do or achieve the successes that we show. The support we get from the local community to further the work of the charity is invaluable. This helps enable the charity to continue to provide shelter and care for animals in need, seeking to establish them in new and caring homes.

Impact of Covid 19 and Plans for future periods

To continue to develop all our staff through training and appraisal processes and to encourage membership of professional bodies.
To improve the animal accommodation at the site as this has served us well for many years but now requires updating and possibly rebuilding.
To undertake a site review as there are areas of land currently not used to maximum capacity.

Going Concern

The Trustees have considered the ongoing impact of the current COVID-19 outbreak in respect of going concern. They have reviewed forecasts that they believe are prudent and only include donations and other income which they believe can be substantiated. Costs continue to be well managed, and whilst a drop in income is expected in 2021, the Charity has sufficient cash and reserves to enable it to continue with its activities and the Trustees anticipate that the Charity will be able to meet its obligations as they fall due for the next 12 months from approval of these financial statements.

Trustees’ responsibility statement

The Trustees, who are also directors for the purpose 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 charity trustees to prepare financial statements for each year which the income and expenditure, for that period and give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.

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

Select suitable accounting policies and apply them consistently;
Observe the methods and principals in the applicable charities SORP;
Make judgements and accounting estimates that are reasonable and prudent.
State whether applicable UK standards have been followed, subject to any material departures disclosed and explained in financial statements.
Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will remain in business.

The Trustees are responsible for keeping adequate records that are sufficient to show and explain the charities transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the 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.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

Each of the persons who are a trustee at the date of approval of this report confirms that:

So far as they are aware, there is no relevant audit information of which the charity’s auditor is unaware; and
They have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity’s auditor is aware of that information.

Auditor

The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.

Small company provisions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

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

P Newcombe Charity Secretary

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Independent Auditor’s Report to the Members of Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter

Opinion

We have audited the financial statements of Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter (the ‘charitable company’) for the year ended 31 December 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice) and the Charities SORP (FRS102).

In our opinion the financial statements:

give a true and fair view of the state of the charitable company’s affairs as at 31 December 2021, and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities SORP (FRS102).

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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charitable company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Reference and Administrative details, Trustees’ Report and the Governance Statement, 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.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Independent Auditor’s Report to the Members of Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter

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:

the information given in the trustees’ report (incorporating the strategic report and the directors’ report) for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors’ report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report and the directors’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors’ remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Independent Auditor’s Report to the Members of Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter

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.

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the charitable company’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.
Conclude on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charitable company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charitable company to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

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.

Date……………………..

Scott Lawrence FCA DChA (Senior Statutory Auditor) For and on behalf of Hazlewoods LLP, Statutory Auditor, Cheltenham

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Statement of Financial Activities for the year ended 31 December 2021

(including Income and Expenditure Account)

Note Income and endowments Donations and legacies 7 Charitable activities 8 Investment income 9 Other income 10 Total income Expenditure Expenditure on raising funds: Investment management costs 11 Expenditure on charitable activities 12,13 Other expenditure 15 Total expenditure Net gains on investments 16 Net (expenditure)/income Transfers between funds Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward	Unrestricted Funds £ Restricted Funds £ Total Funds 2021 £ Total Funds 2020 £ 421,080 22,934 444,014 685,325 95,967 - 95,967 78,562 145,204 - 145,204 104,264 55,663 - 55,663 56,746
	717,914 22,934 740,848 924,897
	8,244 - 8,244 7,453 907,365 9,063 916,428 867,490 24,394 - 24,394 26,390
	940,003 9,063 949,066 901,333
	113,049 - 113,049 118,278 (109,040) 13,871 (95,169) 141,842 - - - -
	(109,040) 13,871 (95,169) 141,842 2,783,643 203,097 2,986,740 2,844,898
	2,674,604 216,967 2,891,571 2,986,740

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

The notes on pages 13 to 26 form part of these financial statements.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Statement of Financial Position as at 31 December 2021

Notes Fixed assets Tangible fixed assets 21 Investments 22 Current assets Debtors 23 Cash at bank and in hand Creditors: Amounts falling due within one year 24 Net current assets Total assets less current liabilities Net assets Funds of the charity Restricted funds Unrestricted funds Total charity funds 26	2021 £ 2020 £ 1,462,510 1,511,935 1,001,112 1,058,876
	2,463,622 2,570,811 176,969 183,375 306,780 292,274
	483,780 475,649 (55,800) (59,720)
	427,949 415,929
	2,891,571 2,986,740
	2,891,571 2,986,740
	216,968 203,097 2,674,603 2,783,643
	2,891,571 2,986,740

The financial statements were approved by the Board of Trustees and authorised for issue on and are signed on their behalf by:

J Stewart Trustee

Company Registration Number: 03868428

The notes on pages 13 to 26 form part of these financial statements.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Statement of Cash Flows for the year ended 31 December 2021

Cash flows from operating activities Net income Adjustments for: Depreciation of tangible fixed assets Net gains on investments Other interest receivable and similar income Accrued income Changes in: Trade and other debtors Trade and other creditors Cash used in operations Interest received Net cash used in operating activities Cash flows from investing activities Purchase of tangible assets Purchases of other investments Proceeds from sale of other investments Net cash from investing activities Net increase in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year	2021 £ 2020 £ (95,169) 141,842 62,337 56,560 (113,049) (118,278) (286) (907) 34,086 (18,235) (27,680) (102,695) (3,920) 19,691
	(143,681) (22,022) 286 907
	(143,395) (21,115)
	(12,912) (21,707) (57,683) (48,824) 228,496 231,097
	157,901 160,566
	14,506 139,451 292,274 152,823
	306,780 292,274

The notes on pages 12 to 24 form part of these financial statements.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements

1. General Information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Gardner’s Lane, Swindon Road, Cheltenham, Gloucestershire, GL51 9JW.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, ‘The Financial Reporting Standard applicable in the UK and the Republic of Ireland’, the Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting policies

Taxation

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

Basis of preparation

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

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

Public benefit

The charity 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 notes.

Going concern

The Trustees have prepared the financial statements on a going concern basis on the assumption that their funding will be met. Due to the nature of cash flows, as well as the ongoing impact of the current COVID-19 outbreak as explained on page 5, there is always some uncertainty with regards to income which relies heavily upon donations. Should the Charity not be able to continue as a going concern, adjustments would be necessary to write down the value of the charity’s assets to their recoverable amounts, make provisions for further liabilities that would arise on cessation of activities and to reclassify fixed assets and non-current assets and liabilities.

Consolidation

The charity is not required to prepare consolidated financial statements in accordance with Charities Act 2011, and has taken advantage of the option not to prepare consolidated financial statements contained in Section 398 of the Companies Act 2006 on the basis that the Charity and its subsidiary undertakings comprise a small group.

Judgements and key sources of estimation uncertainty

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

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

Fund accounting

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

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

Incoming resources

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

Income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
Legacy income is recognised when receipt is probable and entitlement is established.
Income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the financial statements when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.
Income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants relating to revenue are recognised in income over the period in which the related costs are recognised.

Resources expended

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

Expenditure on raising funds includes the costs of all fundraising activities, events, noncharitable trading activities, and the sale of donated goods.
Expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefits of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
Other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

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

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

Tangible assets

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

Depreciation

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

Freehold property - 2% straight line Plant and machinery - 10%, 15%, 25% and 33.3% straight line

Investments

Unlisted equity investments are initially recorded at cost, and subsequently measured at fair value. If fair value cannot be reliably measured, assets are measured at cost less impairment.

Listed investments are measured at fair value with changes in fair value being recognised in income or expenditure.

Investments in associates

Investments in associates accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses.

Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the associate arising before or after the date of acquisition.

Impairment of fixed assets

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

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

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

Financial Instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Cash at bank and in hand includes cash and bank deposit accounts 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.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Where investments in shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees rendered the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.

4. Limited by guarantee

The charity is limited by guarantee. The members of the company are shown on the Trustees’ Annual report. In the event of the Charity being wound up, the liability in respect of the guarantee is £10 per member of the Charity.

5. Subsidiary – Cheltenham Animal Shelter Limited

The Charity owns 100% of the issued share capital in Cheltenham Animal Shelter Limited (company registration number: 03804561), which undertakes the Charity’s trading activities. It covenants its taxable profits to the Charity.

The subsidiary is exempt from the requirements of the Companies Act 2006 relating to the audit of its individual financial statements by virtue of section 479A of the Companies Act 2006.

6. Associate – CASVET LLP

The Charity holds a 33.33% interest in CASVET LLP (company registration number: OC307220). During the year the group received £119,318 (2020 - £96,652) representing its share of profits in CASVET LLP.

7. Donations and legacies

Donations Donations Grants CJRS Furlough Grant Income tax repayment Legacies Legacies receivable	Unrestricted Funds £ 141,805 9,500 25,886 9,662 234,227 421,080	Restricted Funds £ 12,000 10,934 - - - 22,934	Total 2021 £ 153,805 20,434 25,886 9,662 234,227 444,014	Total 2020 £ 208,226 30,300 33,771 8,744 404,284
				685,325

During the year the charity received £25,886 (2020 - £33,771) in relation to the CJRS Furlough scheme which was a government scheme to assist companies with staff wages during the Covid-19 Pandemic.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

8. Charitable activities Animals rehomed Stray fees and kennel retentions Charity shop Centre events, christmas fair and open days CAS-VET rent Education 9. Investment income Income from listed investments Covenanted income from subsidiary Bank interest received 10. Other income Boarding fees Dog training Petplan commission Other income	Unrestricted Funds £ 22,407 8,564 42,462 6,902 14,000 1,632 95,967 Unrestricted Funds £ 10,354 134,564 286 145,204 Unrestricted Funds £ 32,476 54 22,865 268 55,663		Total Funds 2021 £ 22,407 8,564 42,462 6,902 14,000 1,632 95,967 Total Funds 2021 £ 10,354 134,564 286 145,204 Total Funds 2021 £ 32,476 54 22,865 268 55,663		Unrestricted Funds £ 23,401 4,597 32,790 1,686 14,000 2,088 78,562 Unrestricted Funds £ 12,148 91,209 907 104,264 Unrestricted Funds £ 33,448 150 22,817 331 56,746		Total Funds 2020 £ 23,401 4,597 32,790 1,686 14,000 2,088 78,562 Total Funds 2020 £ 12,148 91,209 907


							104,264
							Total Funds 2020 £ 33,448 150 22,817 331 56,746

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

11. Investment management costs Unrestricted Funds £ Portfolio management 8,244 12. Expenditure on charitable activities by fund type	Total Funds 2021 £ 8,244	Unrestricted Funds £ Total Funds 2020 £ 7,453 7,453

Unrestricted Funds £ Animal Welfare 901,296 Support costs 6,069 907,365 13. Expenditure on charitable activities by activity type Activities Undertaken Directly £ Animal Welfare 910,359 Governance costs - 910,359 14. Analysis of support costs Governance costs – Accountancy and audit fees	Restricted Funds £ 9,063 - 9,063 Support Costs £ - 6,069 6,069 Analysis of Support costs Animal Welfare £ 6,069		Total Funds 2021 £ 910,359 6,069 916,428 Total funds 2021 £ 910,359 6,069 916,428 Total 2021 £ 6,069	Total Funds 2020 £ 859,914 7,576
				867,490
				Total Funds 2020 £ 859,914 7,576 867,490
				Total 2020 £ 7,576

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

15. Other expenditure

Unrestricted Funds £ Bank charges 3,724 Insurance 9,756 Printing, stationery, postage and advertising 4,688 Telephone 1,295 Legal and professional fees 4,931 Other expenditure - 24,394 16. Net gains on investments Unrestricted Funds £ Gain on revaluation of investments 64,727 Gain on disposal of investments 48,322 113,049 17. Net income Net income is stated after charging: Depreciation of tangible fixed assets 18. Auditors remuneration Fees payable for the audit of the financial statements Other financial services		Total funds 2021 £ 3,724 9,756 4,688 1,295 4,931 - 24,394 Total Funds 2021 £ 64,727 48,322 113,049		Unrestricted Funds £ 4,106 9,527 5,398 1,200 4,170 1,989 26,390 Unrestricted Funds £ 72,160 46,118 118,278 2021 £ 62,338 2021 £ 4,800 1,269 6,069	Unrestricted Funds £ 4,106 9,527 5,398 1,200 4,170 1,989 26,390 Unrestricted Funds £ 72,160 46,118 118,278 2021 £ 62,338 2021 £ 4,800 1,269 6,069		Total Funds 2020 £ 4,106 9,527 5,398 1,200 4,170 1,989 26,390 Total Funds 2020 £ 72,160 46,118


							118,278
				2021 £ 62,338 2021 £ 4,800 1,269 6,069			2020 £ 56,560 2020 £ 4,497 3,079 7,576

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

19. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

Wages and salaries Social security costs Employer contributions to pension plans	2021 £ 599,659 42,908 17,820 660,387	2020 £ 602,030 22,383 13,891
		638,304

The average head count for employees during the year was 41 (2020: 43).

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

Key Management Personnel

Key management personnel include all persons that have authority and responsibility for planning, directing and controlling the activities of the charity. The total compensation paid to key management personnel for services provided to the charity was £112,881 (2020: £101,753).

20. Trustee remuneration and expenses

No remuneration, expenses or benefits from employment with the charity or a related entity were received by the trustees.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

21. Tangible fixed assets Cost At 1 January 2021 Additions Disposals At 31 December 2021 Depreciation At 1 January 2021 Charged for the year Eliminated on disposal At 31 December 2021 Carrying amount At 31 December 2021 At 31 December 2020 22. Investments Cost or valuation At 1 January 2020 Additions Disposals Net gains on investments At 31 December 2021 Carrying amount At 31 December 2021 At 31 December 2020	Land and Buildings £ 2,061,436 - - 2,061,436 607,030 41,130 - 648,160 1,413,276 1,454,406 Listed investments £ 1,058,776 57,683 (228,496) 113,049 1,001,012 1,001,012 1,058,776	Equipment £ 218,248 12,912 - 231,159 160,719 21,208 - 181,927 49,232 57,529 Shares in group underakings £ 100 - - - 100 100 100	Total £ 2,279,684 12,912 -
			2,292,595
			767,749 63,338 -
			830,087
			1,462,509
			1,511,935
			Total £ 1,058,876 57,683 (228,496) 113,049
			1,001,112
			1,001,112
			1,058,876

All investments shown above are held at valuation.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

Company

The wholly owned subsidiary, Cheltenham Animal Shelter Limited, is a company registered in England and Wales. It is used to operate the non-charitable activities of the animal shelter.

Cheltenham Animal Shelter Limited has 100 shares of £1 in issue, which is held by Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter.

For the year ending 31 December 2021, the activities and results of Cheltenham Animal Shelter Limited were:

Turnover Other income Cost of sales Other charges Profit/Loss after tax	2021 £ 92,530 119,318 (3,991) (207,857) -	2020 £ 66,385 96,652 (6,507) (156,530)
		-

At 31 December 2021, Cheltenham Animal Shelter Limited had the following assets and liabilities:

Non-current assets Current assets Prepayments and accrued income Creditors: Amounts falling due within one year Accruals and deferred income Capital and reserves	2021 £ 1 142,621 - (142,522) - 100 100	2020 £ 1 114,048 145 (114,094) -
		100
		100

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

23. Debtors

Trade debtors Amounts owed by group undertakings Prepayments and accrued income Other debtors	2021 £ 10,356 134,564 25,754 6,295 176,969	2020 £ 3,020 112,965 59,840 7,550
		183,375

24. Creditors: amounts falling due within one year

Trade creditors Accruals and deferred income Social security and other taxes Other creditors	2021 £ 24,140 8,796 10,698 12,166 55,800	2020 £ 33,330 8,778 8,964 8,648
		59,720

Included within other creditors is £8,493 (2020: £5,477) in relation to a grant received from D Woulfe for the sole use of paying Vet fees.

25. Pensions and other post-retirement benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £17,820 (2020: £13,891).

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

26. Analysis of charitable funds Unrestricted funds

General funds	At 1 January 2021 £ 2,783,643	Income £ 717,914	Expenditure £ (940,003)	Gains £ At 31 December 2021 £ 113,049 2,674,604

Restricted funds

Willavoys High Sherif Grant David Woulfe JHR Trust Other	At 1 January 2021 £ 196,000 1,540 5,477 - 80 203,097	Income £ - 2,500 12,000 8,434 - 22,934	Expenditure £ - - (8,983) - (80) (9,063)	Gains £ - - - - - -	At 31 December 2021 £ 196,000 4,040 8,493 8,434 -
					216,967

The Willavoys restricted funds is to be used for the sole purpose of providing welfare services for abandoned and sheltered Cats.

The High Sheriff Grant is to be used for the HALT programme, a part of the Sheriff of Gloucestershire fund.

The David Woulfe Grant is to be used to cover the fees of the Vets who provide treatment and surgery to the animals within the shelter.

The JHR Trust Grant is to be used for the sole purpose of the planned education project, HALT Project, with the aim of encouraging ‘at risk’ youth to learn new skills through working with animals.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

27. Analysis of net assets between funds

Tangible fixed assets Investments Current assets Creditors less than 1 year Net assets	Unrestricted Funds £ 1,462,510 1,001,112 266,782 (55,800) 2,786,204	Restricted Funds £ - - 216,967 - 216,967	Total Funds 2021 £ 1,462,510 1,001,112 483,749 (55,800) 2,891,571	Total Funds 2020 £ 1,511,935 1,058,876 475,649 (59,720)
				2,986,740

28. Financial instruments

The carrying amount for each category of financial instrument is as follows:

Financial assets measured at fair value through income and expenditure Financial assets measured at fair value through income and expenditure Financial assets that are debt instruments measured at amortised cost Trade debtors Amounts owed by group undertakings Prepayments and accrued income Other debtors Financial liabilities measured at amortised cost Trade creditors Accruals and deferred income Social security and other taxes Other creditors	2021 £ 1,001,112 10,356 134,564 25,754 6,295 176,969 24,140 8,796 10,698 12,166 55,800	2020 £ 1,058,876
		3,020 112,965 59,840 7,550
		183,375
		33,330 8,778 8,964 8,648
		59,720

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Financial Statements (continued)

29. Related party transactions

Information about related party transactions and outstanding balances is outlined below:

			Owed to	Owed by
	Income	Expenditure	Charity	Charity
	£	£	£	£
Cheltenham Animal Shelter Limited
At 31 December 2021	134,564	-	134,564	-
At 31 December 2020	150,487	-	112,965	-
CASVET LLP
At 31 December 2021	14,000		3,168	4,065
At 31 December 2020	7,991	12,501	2,383	3,311

Outstanding balances due to and from the company are unsecured and are settled in cash. The amounts are payable or repayable on demand and no interest is charged.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Management Information

The following pages do not form part of the financial statements.

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Detailed Statement of Financial Activities

Income and endowments Donations and legacies Donations Grants Income tax repayment Legacies receivable Charitable activities Animals rehomed Stray fees and kennel retentions Microchip sales Charity shop Centre events, christmas fair and open day CAS-VET rent Education Investment income Income from listed investments Covenanted income from subsidiary Bank interest received Other income Boarding fees Dog training Petplan commission Other income Total income	2021 £ 153,805 46,320 9,662 234,227 444,014 22,407 8,564 - 42,462 6,902 14,000 1,632 95,967 10,354 134,564 286 145,204 32,476 54 22,865 268 55,663 740,848	2020 £ 208,226 64,071 8,744 404,284
		685,325
		23,401 4,597 - 32,790 1,686 14,000 2,088
		78,562
		12,148 91,209 907
		104,264
		33,448 150 22,817 331
		56,746

		924,897

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Notes to the Detailed Statement of Financial Activities

Expenditure Investment management costs Portfolio management Expenditure on charitable activities – Animal Welfare Purchases Wages and salaries Employer’s NIC Pension costs Rates and water Light and heat Repairs and maintenance Staff clothing Other establishment expenses Motor vehicle expenses Christmas fair and open day Other office costs Depreciation Food and pet supplies Vet fees Machine and equipment hire Staff training Expenditure on charitable activities – Governance costs Accountancy and audit fees Total expenditure on charitable activities Other expenditure Bank charges Insurance Printing, stationery, postage and advertising Telephone Legal and professional fees Other expenditure Total expenditure Surplus on revaluation of investments Net income / (expenditure)	2021 £ 8,244 - 599,659 42,908 17,820 9,403 30,637 33,207 1,916 7,548 7,287 12,171 14,536 62,337 3,396 51,795 14,695 1,044 910,359 6,069 918,057 3,724 9,756 4,688 1,295 4,931 - 24,394 949,066 113,049 (95,169)	2020 £ 7,453
		400 602,030 22,383 13,891 10,583 28,738 23,767 671 6,618 5,173 11,660 16,209 56,561 2,571 45,262 12,087 1,310
		859,914
		7,576
		867,490
		4,106 9,527 5,398 1,200 4,170 1,989
		26,390
		901,333
		118,278
		141,842

Registration number: 03804561

CHELTENHAM ANIMAL SHELTER LIMITED

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021

CHELTENHAM ANIMAL SHELTER LIMITED

(REGISTRATION NUMBER: 03804561) BALANCE SHEET AS AT 31 DECEMBER 2021

Fixed assets Current assets Prepayments and accrued income Creditors: Amounts falling due within one year Net current assets Capital and reserves	2021 £ 1 142,621 - (142,522) 99 100 100	2020 £ 1
		114,048 145 (114,094)
		99
		100
		100

General information

The company is a private company limited by share capital, incorporated in England and Wales. The address of its registered office is: Gardners Lane Swindon Road Cheltenham Gloucestershire GL51 9JW

Basis of preparation

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

These financial statements have been prepared in accordance with the micro-entity provisions of the Companies Act 2006 and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

For the financial year ending 31 December 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

Approved and authorised by the Board on .................... and signed on its behalf by:

.........................................

N Ayrton Director

Page 3

CHELTENHAM ANIMAL SHELTER LIMITED

(REGISTRATION NUMBER: 03804561) BALANCE SHEET AS AT 31 DECEMBER 2021

Related party transactions

Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter (GAWA)

As at the year end dated 31 December 2021, CAS Limited owed GAWA £134,564 (2020 - £112,965) as a creditor. During the year total purchases were made from GAWA of £46,476 (2020 - £56,758). Also during the year donations were made to GAWA of £134,564 (2020 - £91,209)

CASVET LLP

As at the year end dated 31 December 2021, CAS Limited were owed by CASVET LLP £119,318 (2020 - £103,430) as a debtor. During the year, the total income received as a distribution from CASVET LLP was £119,318 (2020 - £96,652).

There is no fixed repayment or payment terms on any of the amounts disclosed above, there is also no interest due on these amounts.

Page 4

CHELTENHAM ANIMAL SHELTER LIMITED

DETAILED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2021

Turnover (analysed below) Cost of raw materials and consumables (analysed below) Depreciation and other amounts written off assets (analysed below) Other charges (analysed below) Operating loss Other interest receivable and similar income (analysed below) Profit/(loss) before tax Turnover Boarding and grooming sales Stock and drinks machine sales Cost of raw materials and consumables Opening stock Purchases Closing stock Depreciation and other amounts written off assets Depreciation of office equipment Other expenses Printing, postage and stationery Charitable donations Sundry expenses Boarding charges Grooming charges Advertising Accountancy fees Bank charges Other interest receivable and similar income Distribution from interest in CASVET LLP	2021 £ 92,530 (3,991) - (207,857) (119,318) 119,318 - 86,535 5,995 92,530 4,567 4,732 (5,308) 3,991 - - 134,564 - 32,476 37,062 930 1,590 1,235 207,857 119,318	2020 £ 66,385 (6,507) (500) (156,030)
		(96,652) 96,652
		-
		58,166 8,219
		66,385
		5,373 5,701 (4,567)
		6,507
		500
		99 91,209 28 32,808 30,303 480 10 1,093
		156,030
		96,652

This page does not form part of the statutory financial statements. Page 5

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter For the year ended 31 December 2021

AUGUST 2022

Purpose .................................................................................................................................................................................................................................................................... 1 2. Audit risks................................................................................................................................................................................................................................................................. 2 3. Additional matters we are required to report............................................................................................................................................................................................................ 5 4. Review of performance ............................................................................................................................................................................................................................................ 6 5. Audit and accounting issues .................................................................................................................................................................................................................................. 10 6. Going concern ........................................................................................................................................................................................................................................................ 11 7. Post balance sheet events ..................................................................................................................................................................................................................................... 12 8. Tax ......................................................................................................................................................................................................................................................................... 13 9. Recommended control improvements ................................................................................................................................................................................................................... 14 10. Objectivity and independence .............................................................................................................................................................................................................................. 15 11. Outstanding audit issues...................................................................................................................................................................................................................................... 16

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

1. Purpose

This document covers the audit of the statutory financial statements of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter for the year ended 31 December 2021 and has been prepared for the benefit of the Board of Trustees. Its purpose is primarily to bring to your attention:

key accounting issues impacting on the financial statements; and
our views on accounting systems and deficiencies in internal control.

This document discusses only the major issues arising from our audit. Minor points arising during the course of our work have been discussed orally with Grace Elohim.

We explained our audit responsibilities and objectives, procedures and limitations of the audit in our letter of engagement. This letter also explained our approach to reporting audit findings to management, taking account of your requirements as well as our professional responsibilities.

This document has been presented to the Board of Trustees for the purposes of the audit clearance for the year ended 31 December 2021 and should not be distributed to any party without our prior written consent. We accept no responsibility whatsoever for any reliance placed on this document by any third party.

We thank you and your staff for the cooperation and assistance afforded to us during the course of our audit.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

2. Audit risks

As identified in our audit planning report dated 13 December 2021, we assessed the following matters as being the most significant risks of material misstatement in the financial statements. These include those risks which had the greatest effect on: the overall audit strategy; the allocation of resources in the audit and the directing of the efforts of the engagement team.

Significant audit risk	Key audit matter	Significant Use of experts Error identified Control findings to Specific letter of
		management judgement involved required be reporting in management letter representation point
Management override		  None None None

Revenue recognition		  None None None

Going concern		  None None None
Fund allocation		  None None None

2.1 Management override

Risk: Under ISA 240 (UK) there is a presumed risk that the risk of management override of controls is present in all entities.

Approach:

We have reviewed significant accounting estimates, judgements and decisions made by management during the year. The results of these considerations are set out elsewhere in this document.
We have performed journals testing, corroborating unusual entries to supporting documentation. Our testing included the analysis of journals by account, postings by user, the use of control accounts and journals by description.
We have introduced an element of unpredictability through sampling throughout our audit work.

Conclusion: Our testing has not identified any indicators or incidents of management overriding the systems and controls in place.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

2.2 Income recognition

Risk: Under ISA (UK) 240 there is a rebuttable presumed risk that revenue may be misstated due to the improper recognition of revenue. This is a standard audit risk; revenue recognition is deemed to give risk to an inherent fraud risk and recognition criteria can be easily manipulated. We are unable to rebut the risk for any of the sales streams due to their nature and therefore this has been set as a significant risk.

Approach:

Material streams of income identified as having differing processes in place have been tested to ensure specific controls in relation to those streams are operating as expected. Any potential deficiencies in systems are also considered for that stream of income.
We have taken an analytical approach, by reviewing material streams of income and comparing these to data received in prior years. Any significant movements within this data are then investigated further in order to identify potential errors.
Large legacy donations have been agreed to 3[rd] party documentation and agreed to receipt of cash through the bank. Correspondence has been verified for legacies and grants to see whether there were any restrictions attached to the income.

Conclusion: We have reviewed the income recognition policies in line with FRS 102 and did not note any issues or errors from our audit work.

2.3 Going concern

Risk: Under ISA (UK) 570 there is a risk around the inherent limitations on the auditor's ability to detect material misstatements that may cause an entity to cease to continue as a going concern. The auditor’s responsibilities are to therefore obtain sufficient appropriate audit evidence regarding and conclude on: whether a material uncertainty related to going concern exists; and the appropriateness of management's use of the going concern basis of accounting in the preparation of the financial statements.

Approach:

Prior to finalisation of the audit, we will need to review the following to confirm the going concern status of the Charity:

Management’s assessment of the going concern status, and with the inherent limitation of the uncertainty surrounding Covid-19, an assessment of the impact of the virus on short- and medium-term cash flows
Latest management information available

Conclusion: Our conclusion on the going concern assertion is pending further discussions with yourselves and receiving the information set out above.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

2.4 Allocation of funds

Risk: Under the Charities SORP (FRS 102), charities have the responsibility to separately and correctly recognise between those funds that are restricted and those that are unrestricted.

Approach:

We have reviewed 3[rd] party correspondences for legacy and grant income received during the year to verify whether there were any stipulations attached to the use of the funds.
We have reviewed expenditure incurred against these funds to ensure that they have been utilised in line with any restrictions and we have recalculated the closing balance of the fund still to be spent.

Conclusion: We have reviewed the allocation of funds and no issues were noted.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

3. Additional matters we are required to report

	Issue	Comments
1	Significant difficulties encountered duringthe audit.	No exceptions to notes.
2	Written representations which we seek.	We will provide a copy of our audit representation letter together with the financial statements for
		signing
3	Any fraud or suspected fraud issues.	Whilst the trustees have ultimate responsibility for prevention and detection of fraud, we are
		required to obtain reasonable assurance that the financial statements are free from material
		misstatement, including those arising as a result of fraud. Our audit procedures did not identify any
		fraud. We will seek confirmation from you whether you are aware of any known, suspected or
		alleged frauds since we last enquired.
4	Any suspected non-compliance with laws or	The most significant considerations for your business are tax regulations including PAYE & VAT.
	regulations.	We made enquiries of management and reviewed correspondence with the relevant authorities.
		We did not identify any non-compliance with laws and regulations that could have a material impact
		on the financial statements.
5	Significant matters in connection with related	Whilst you are responsible for the completeness of the disclosure of related party transactions in the
	parties.	financial statements, we are also required to consider related party transactions in the context of
		fraud as they may present greater risk for management override or concealment or fraud.
		We did not identifyanysignificant matters in connection with relatedparties.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

4. Review of performance

4.1 Summary of performance

A summary of performance for the year ended 31 December 2021 has been set out below:

	Unrestricted	Restricted		Unrestricted	Restricted
	Funds (£)	Funds (£)	Total (£)	Funds (£)	Funds (£)	Total (£)
	2021	2021	2021	2020	2020	2020
Income and endowments
Donations and legacies:	421,080	22,934	444,014	464,825	220,500	685,325
Charitable activities:	95,967	-	95,967	78,562	-	78,562
Investment income:	145,204	-	145,204	104,264	-	104,264
Other income:	55,663	-	55,663	56,746	-	56,746

Total Income:	717,914	22,934	740,848	704,397	220,500	924,897

Expenditure on raising funds
Investment management costs:	8,244	-	8,244	7,453	-	7,453
Expenditure on charitable activities:	908,994	9,063	918,057	840,057	27,433	867,490
Other expenditure:	22,765	-	22,765	26,390	-	26,390

Total Expenditure:	940,003	9,063	949,066	873,900	27,433	901,333

Netgains/(losses)on investments:	113,049	-	113,049	118,278	-	118,278

Net movement in Funds:	(109,040)	13,871	(95,169)	(51,225)	193,067	141,842

Funds brought forward:	2,783,643	203,097	2,986,740	2,834,868	10,030	2,844,898
Funds carried forward:	2,674,604	216,967	2,891,571	2,783,643	203,097	2,986,740

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

Income has decreased by £184k, this is mainly as a result of a large decrease in legacy donations of £170k from £404k in 2020 to £234k in 2021. There has been a small increase in charitable activities as the charity starts to recover from the closures in 2020 due to Covid-19.

Expenditure on charitable activities increased by £51k. This is as a result of an increase in repairs and maintenance, depreciation and vet fees.

There has been a gain on the value of the investments of £113k. This has been the result of the economy continuing to recover from Covid-19 uncertainties.

4.2 Balance sheet as at 31 December 2021

	2021	2020	2019
	£	£	£

Fixed Assets
Tangible fixed assets:	1,462,510	1,511,935	1,546,788
Investments:	1,001,112	1,058,876	1,122,871

Current Assets
Debtors:	176,969	183,375	62,445
Cash at bank and in hand:	306,780	292,274	152,823

Total Assets:	2,947,371	3,046,460	2,884,927

Creditors due within oneyear:	(55,800)	(59,720)	(40,029)

Net Assets:	2,891,571	2,986,740	2,844,898

Funds of the Charity
Restricted Funds:	216,967	203,097	10,030
Unrestricted Funds:	2,674,604	2,783,643	2,834,868

Total Charity Funds:	2,891,571	2,986,740	2,844,898

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

4.3 Reconciliation of net movement of funds

The adjustments made to the reported loss per the initial trial balance to the results per the draft financial statements are shown below.

	Increase /
	(Decrease) in Profit£
	Loss per initial trial balance (104,653)
	Processed adjustments
	1.Correction of 2020 dividend recognised in 2021 (See note 4.3.1) (91,209)
	2.Correction of Willavoys income (See note 4.3.2) (30,000)
	3.Recognise income from subsidiary (See note 4.3.3) 134,564
	4.Post-date invoices (See note 4.3.4) (3,871)
	Total value of processed adjustments 9,484
	Lossper draft financial statements (95,169)

4.3.1 Correction of 2020 dividend recognised in 2021

Audit adjustment from the prior year to recognise income from subsidiary (See note 4.3.3) was recognised in current year’s financial statements. In order to avoid overstating income, the journal has been reversed.

4.3.2 Correction of Willavoys income

During the prior year, income was recognised in the financial statements in relation to monies received from the Willavoy Estate who had named the charity as a beneficiary.

£150,000 was actually received during the prior year and following a review of correspondence with the solicitor, it was noted that there were additional surplus funds due to the charity which had been estimated at £46,000. As this income could be reliability estimated, was likely to be received and related to the year ended 31 December 2020, an adjustment was posted to accrue for this additional income in the prior financial statements.

During the current years audit, it was noted that £30,000 of this additional income was actually received in February 2021 and was posted to income. As this income had already been recognised as income in the prior year, an adjustment has been posted to reclassify the amount to reduce accrued income balance in debtors.

Since the year end, £10,000 of the remaining £16,000 additional income was received in January 2022 and we will ask for a further update on the remaining £6,000 closer to the signing of the financial statements.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

4.3.3 Recognise income from subsidiary

Due to the agreement between GAWA and CAS Ltd the profit generated by CAS Ltd for the year has been donated upwards to the charity. This amounted to £134,564 and was generated as follows:

Profitper initial trial balance	15,246
Profit share from CAS VET LLP	119,318

Profit donated to GAWA	134,564

4.3.4 Post-date invoices

During the year post-date invoices have been inspected and several found relating to services or products received pre-yearend, which have not been accrued for.

This was discussed with Grace who posted a journal to Sage, which we have also posted for the financial statements to correspond.

4.4 Unadjusted items

During the audit, we may also have identified adjustments that we regard as clearly trivial and under International Standards on Auditing (UK) we are not required to bring these to your attention. Clearly trivial adjustments are those individually below 5% of our financial statement materiality level.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

5. Audit and accounting issues

5.1 Agreement relating to covenanted profits

As noted last year, there is an arrangement in place whereby the profits of CASVET LLP are distributed to CAS Ltd, which in turn makes a covenanted donation up to GAWA for the value of its profits during the year. As part of our audit, we enquired about whether there is any formal agreement in place in relation to these arrangements and we were provided with a copy of the formal agreement between CASVET LLP and CAS Ltd.

Where profits are covenanted by CAS Ltd as a donation up to GAWA, we understand that there is currently no written agreement. As discussed last year, we recommend that the following wording be formally approved and minuted by the Directors of CAS Ltd so that the donation can be deducted as a charitable donation in the Corporation Tax computations for the relevant accounting period:

“We approve and minute our intention to gift an amount to GAWA & CAS equivalent to the profits of CAS Limited as a qualifying charitable donation under the company Gift Aid rules.”

Please can you again ensure that the payment of the donation is made within 9 months of the year’s end (ie by 30 September 2022).

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

6. Going concern

In order to sign off on the financial statements we are required to review the post year end performance of the Companies for at least a 12-month period post signing, along with performing research into the industry.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

7. Post balance sheet events

Events after the end of the reporting period are those events, favourable and unfavourable, that occur between the end of the reporting period and the date when the financial statements are authorised for issue. There are two types of events:

a. Those that provide evidence of conditions that existed at the end of the reporting period (adjusting events after the end of the reporting period); and
b. Those that are indicative of conditions that arose after the end of the reporting period (non-adjusting events after the end of the reporting period.

We ask management to confirm whether there are any post balance sheet events of which we need to be aware.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

8. Tax

8.1 Corporation tax

As a charitable company, Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter is exempt from the requirement to pay corporation tax and hence there is no liability arising.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

9. Recommended control improvements

As explained in our engagement letter, the purpose of our audit procedures is to enable us to express an opinion on the financial statements. Our audit included consideration of the internal control relevant for the preparation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of internal control. We have not identified any significant deficiencies in internal controls.

We have identified the following recommendations for control improvements which we consider are of importance to bring these to your attention. We would ask that management’s responses to the deficiencies identified are entered where indicated.

Not previously reported:

Deficiency	Potential effects	Management response
During our testing of post-date invoices (See 4.3.4) it	We would recommend that post-year end invoices are	In future we will ensure closer examination of each
was noted that several invoices relating to pre year end	reviewed when preparing the year-end accruals journal, to	invoice received in January/February and identify those
services was not accurately identified by management.	confirm whether there are any missing accruals and this	relating to periods prior to year-end (31.12.2022) and
Although these were adjusted after discussion, we wish	will ensure that no accruals are omitted from the financial	provide for in accruals. This should ensure that no
to bring this to your attention as a control point.	statements.	accruals are omitted from the financial statements.

Previously reported:

Deficiency	Potential effects	Management response	Current year update
We noted during our testing of bank controls that	Although the bank reconciliations appear to	This point was discussed at the	Bank reconciliations are now
the bank reconciliations, prepared by Grace, are	be prepared accurately and methodically,	finalisation meeting and Grace	checked by the General Manager,
not checked or reviewed by senior management.	we would recommend that Pete checks	provided a template form which she	as discussed last year, and the
	through the bank reconciliation once a	will use going forward, so that Pete	template used for this check and
	month, to ensure that this process is	can check the bank reconciliations on	then signed General Manager.
	monitored on a consistent basis.	a monthly basis.
During our testing of accruals, we noted that	We would recommend that post-year end	This point was discussed at the	See comments above.
there was an invoice raised after the year-end, a	invoices are reviewed when preparing the	finalisation meeting and it is
proportion of which covered water bills relating	year-end accruals journal, to confirm	something that both Pete and Grace
to before the year-end. While the impact on the	whether there are any missing accruals and	will look out for when it comes to the
accruals balance was trivial from an audit	this will ensure that no accruals are omitted	FY21 audit.
perspective, we would nevertheless wish to	from the financial statements.
bring this to your attention as a control point.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

10. Objectivity and independence

In our planning letter dated 13 December 2021 we set out what we considered to be the potential or perceived threats to our objectivity and independence in carrying out the audit, along with the safeguards that we planned to implement to mitigate any such threats and the reasons as to why we considered those safeguards to be effective.

There have been no changes to these threats and safeguards and we consider therefore that the firm and the audit engagement team have complied with relevant ethical requirements concerning independence.

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

11. Outstanding audit issues

In addition to the points noted in the main part of the report, the following items are outstanding before we can finalise our auditors’ reports:

Latest management accounts to complete our review of going concern (per Section 2.3)
Signed letter of representation (to be provided at the signing of the financial statements)

Report to the Trustees of Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter - For the year ended 31 December 2021 / August 2022

HAZLEWOODS	HAZLEWOODS
IN CHELTENHAM	IN STAVERTON
Windsor House	Staverton Court
Bayshill Road	Staverton
Cheltenham GL50 3AT	Cheltenham GL51 0UX
Tel: 01242 237661	Tel: 01242 680000

Hazlewoods LLP is a Limited Liability Partnership registered in England and Wales with number OC311817. Registered office: Staverton Court, Staverton, Cheltenham, Glos, GL51 0UX. A list of LLP partners is available for inspection at each office. Hazlewoods LLP is registered to carry on audit work in the UK and regulated for a range of investment business activities by the Institute of Chartered Accountants in England & Wales.

2021-12-31-accounts

COMPANY REGISTRATION NUMBER: 03868428 CHARITY REGISTRATION NUMBER: 1081019

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Reference and administrative details

Trustees’ Annual Report (Incorporating the Director’s Report)

Structure, Governance and Management

Related Parties

Membership

Risk management

Public benefit

Trustees’ Annual Report (Incorporating the Director’s Report) – Continued

Objectives and activities

Achievements and performance

Property

Dogs rehomed

Cats rehomed

Small Animals rehomed

Animal related activities

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

On site Charity shop

Fundraising and events

Trustees’ responsibilities

Financial review

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

Financial review (continued)

Reserves policy

Investment policy

Investment Objectives

Investment Restrictions

Diversification and Liquidity

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

Pay policy for Key Management Personnel

Conclusion

Impact of Covid 19 and Plans for future periods

Going Concern

Trustees’ responsibility statement

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Trustees’ Annual Report (Incorporating the Director’s Report) - Continued

Auditor

Small company provisions

P Newcombe Charity Secretary

Independent Auditor’s Report to the Members of Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter

Opinion

Basis for opinion

Conclusions relating to going concern

Other information

Independent Auditor’s Report to the Members of Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter

Opinions on other matters prescribed by the Companies Act 2006

Matters on which we are required to report by exception

Responsibilities of trustees

Independent Auditor’s Report to the Members of Gloucestershire Animal Welfare Association & Cheltenham Animal Shelter

Auditor’s responsibilities for the audit of the financial statements

Use of our report

Statement of Financial Activities for the year ended 31 December 2021

(including Income and Expenditure Account)

Gloucestershire Animal Welfare Association and Cheltenham Animal Shelter Company Limited by Guarantee Financial Statements for the year ended 31 December 2021

Statement of Financial Position as at 31 December 2021

Company Registration Number: 03868428

Statement of Cash Flows for the year ended 31 December 2021

Notes to the Financial Statements

1. General Information

2. Statement of compliance

3. Accounting policies

Taxation

Basis of preparation

Public benefit

Going concern

Consolidation

Judgements and key sources of estimation uncertainty

Notes to the Financial Statements (continued)

Fund accounting

Incoming resources

Government grants

Resources expended

Notes to the Financial Statements (continued)

Tangible assets

Depreciation

Investments

Investments in associates