## LUGWARDINE EDUCATION CENTRE ## MANAGEMENT FINANCIAL INFORMATION ## FOR THE YEAR ENDED 31[ST] DECEMBER 2022 Company Number: 04041263 R J FRANCIS AND CO. Chartered Accountants & Registered Auditors Marshall Business Centre Faraday Road Hereford HR4 9NS LUGWARDINE EDUCATION CENTRE FOR THE YEAR ENDED 31[ST] DECEMBER 2022 |CONTENTS:
Trustees’ Information
Trustees’ Annual Report
Independent Examiners Report
Statement of Financial Activities
(Incorporating the Income and Expenditure Account)
Balance Sheet
Notes to the Financial Statements
Income and Expenditure Account|PAGE| |---|---| ||1
2 - 3
4
5
6
7 – 8
9| LUGWARDINE EDUCATION CENTRE TRUSTEES’ INFORMATION ## FOR THE YEAR ENDED 31[ST] DECEMBER 2022 |**TRUSTEES:**|Mr M Fitzgerald| |---|---| ||Mr P Kyles| |**REGISTERED OFFICE:**|Lugwardine Court| ||Lugwardine| ||Hereford| ||HR1 4AE| |**COMPANY NUMBER:**|04041263| |**CHARITY NUMBER:**|1083478| |**ACCOUNTANTS:**|R J Francis & Co| ||Marshall Business Centre| ||Faraday Road| ||Hereford| ||Herefordshire| ||HR4 9NS| (1) LUGWARDINE EDUCATION CENTRE TRUSTEES’ ANNUAL REPORT ## FOR THE YEAR ENDED 31[ST] DECEMBER 2022 The trustees present their report and the financial statements of the charity for the year ended 31[st ] December 2022. ## 1. Organisation The Trust consists of the following members:- ## Mr M Fitzgerald Mr P Kyles ## 2. Aims and Charitable purposes The broad Aims of the charity are to identify and provide support facilities, where appropriate, for organisations whose role is directed to education and training. ## Original Aims statement – The charity exists for the purpose of furthering education (and religion) in Herefordshire. - Specifically to purchase the freehold of Lugwardine Court to use as an Education centre. - The advancement of the education of the public in all academic subjects, crafts, arts, workplace skills and interpretative activities. - To provide: lectures, workshops, classes, courses and conferences. - Presentation of exhibitions and shows including crafts, paintings, sculpture and photography. To form, encourage and produce artistic performances. - To commission new works of craft and art of all descriptions. - To acquire copyright interests in any crafts or art and works of themselves of all descriptions for public show. ## 3. Recent achievements The stable position of the tenants and tenancies precludes any major changes in the Trust’s operation. The Trustees continue to seek suitable tenants for the Walled Garden and the Woodland area. ## 4. Future Strategy To identify and approach those organisations that can best profit from the Trust with an aim to maintain a ‘profit’ stream for the Trust that allows it to maintain the structure of the building and better serve its tenants. The Trust continues to identify those parts of its estate that can reasonably be sold to further reduce the mortgage borrowings leading ultimately to a debt free position allowing for an ongoing programme of planned maintenance to be established. This will enable the Trust to continue its work without concern for declining bank balances. Identification of and appointment of ‘contributing’ new trustees. ## 5. Reserves Policy It is the intention of the Trust to use the strategy outlined in Item 4 to build a sufficient buffer reserve to be able to meet almost any emergency. (2) LUGWARDINE EDUCATION CENTRE ## TRUSTEES’ ANNUAL REPORT ## FOR THE YEAR ENDED 31[ST] DECEMBER 2022 ## 6. Financial management and Risk review With the majority of the Trust’s available assets already occupied in long term tenancies with the largest contributing tenants being St Mary’s RC High School and Encore there has/is limited opportunity to expand the organisation’s sphere of operation. Two flats on the upper floor of the building virtually complete the major contributors to the Trust’s revenue. It will be seen from the above that the financial risk of the loss of a major tenant is minimal as the school is desperate for even more accommodation and should Encore either close or move elsewhere the ‘slack’ would be taken up by the school. The pandemic has not unduly affected the operation of the Trust as all the available space within the main property was fully tenanted. Previous possibilities of the renting out of the Walled Garden and the wood came to nothing. In the case of the Cartshed their operation on the main site is proving very successful but further land is not required. Significant future costs would probably be linked to the age of the building and the need for work done, certainly externally, to meet the requirements of Listed Building status. Hence our intention to dispose, when the time is right, of some of the non-core parts of the estate e.g. livery fields; walled garden; coach house; building plot. Investigations will be taking place with a knowledgeable local estate agent with a view to giving a value to respective items and appropriate times to place on the market. The sale of the Barn, in the year, has enabled the Trust to address some urgent repair issues and has placed much needed funds into the bank. The net proceeds of the sale totalled £118,758 and the estimated original cost provided by the trustees totalled £25,000, reflecting the net surplus of £93,758 included in the statement of financial activities. ## 7. Statement of Trustee’s responsibilities The trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and regulations. In preparing these financial statements, the trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the charities SORP; - make judgements and estimates that are reasonable and prudent; - state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements. ● prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with Companies Act 2006. The trustees 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. Signed by order of the Trustees …………………………………… P Kyles Secretary 7[th] March 2024 (3) LUGWARDINE EDUCATION CENTRE ## INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF THE LUGWARDINE EDUCATION CENTRE I report on the accounts of the Trust for the year ended 31[st] December 2022 which are set out on pages 5 to 9. ## _Respective responsibilities of trustees and examiner_ The charity's trustees are responsible for the preparation of the accounts. The charity's trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed. It is my responsibility to: - examine the accounts under section 145 of the 2011 Act; - to follow the procedures laid down in the General Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and - to state whether particular matters have come to my attention. ## _Basis of independent examiner’s report_ My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and the seeking of explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and, consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below. ## _Independent examiner’s statement_ In connection with my examination, no matter has come to my attention: which gives me reasonable cause to believe that, in any material respect, the requirements: - to keep accounting records in accordance with section 130 of the 2011 Act; and - to prepare accounts which accord with the accounting records and to comply with the accounting requirements of the 2011 Act have not been met; or to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. Mr A Houston FCCA On behalf of RJ Francis & Co Limited Marshall Business Centre Faraday Road Hereford HR4 9NS 7[th] March 2024 (4) LUGWARDINE EDUCATION CENTRE ## STATEMENT OF FINANCIAL ACTIVITIES ## (INCORPORATING THE INCOME & EXPENDITURE ACCOUNT) ## FOR THE YEAR ENDED 31[ST] DECEMBER 2022 |








|**Unrestricted**
**Restricted**
**Total**
Total Funds
**Funds**
**Funds**
**Funds**
2022
**Note**
**£**
**£**
**£**
£
INCOME AND ENDOWMENTS FROM:
Donations and Legacies
240
-
240
240
Rental Income
55,364
-
55,364
55,523
Surplus on Disposal of Property
-
-
-
93,758
______
_______
_______
________
55,604
-
55,604
149,521
______
_______
_______
________
RESOURCES EXPENDED:
Costs of charitable activities
76,215
-
76,215
75,361
______
_______
_______
_______
COST OF GENERATING FUNDS
Support Costs
7,175
-
7,175
6,200
_______
______
______
_______
TOTAL RESOURCES EXPENDED
83,390
-
83,390
81,561
_______
______
______
_______
NET (OUTGOING) / INCOMING
RESOURCES
(27,786)
-
(27,786)
67,960
_______
______
_______
_______
TOTAL FUNDS BROUGHT FORWARD397,550
-
397,550
329,590
_______
_______
_______
_______
TOTAL FUNDS CARRIED FORWARD
369,764
-
369,764
397,550
_______
_______
_______
_______| |---|---| The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared. All of the above amounts relate to continuing activities. (5) LUGWARDINE EDUCATION CENTRE ## BALANCE SHEET |FIXED ASSETS
Tangible Assets
Investments
CURRENT ASSETS
Debtors
Cash at Bank and in Hand
CREDITORS:Amounts falling
due within one Year
NET CURRENT ASSETS
CREDITORS:Amounts falling
due after more than one Year
CAPITAL AND RESERVES
Revaluation Reserve
Unrestricted Income Funds
Total Funds|31STDECEMBER 2022
Note
£
2
3
4
550
31,154
______
31,704
______
21,595
______
5
6|2022

£ £
516
570,000
_______
570,516
550
74,201
______
74,751
______
21,367
______
10,109
______
580,625
121,832
______
£458,793
______
89,029
369,764
______
£458,793
______|2021
£
645
570,000
_______
570,645
53,384
______
624,029
137,450
______
£486,579
______
89,029
397,550
______
£486,579
______| |---|---|---|---| ||||| For the year ended 31[st] December 2022, the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. The trustees have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act 2006. The Trustees acknowledges their responsibilities for:- - (a) Ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006, and - (b) Preparing the financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. The financial statements have been prepared in accordance with the micro-entity provisions. The Financial Statements were approved by the Board on 7[th] March 2024 and signed on their behalf by ........................................... Trustee P Kyles Company Number: 04041263 (6) LUGWARDINE EDUCATION CENTRE NOTES TO THE MANAGEMENT INFORMATION FOR THE YEAR ENDED 31[ST] DECEMBER 2022 ## 1. ACCOUNTING POLICIES ## Basis of preparing the financial statements The financial statements have been prepared in accordance with the charities SORP (FRS 102) ‘Accounting and Reporting by charities applicable in the UK and Republic of Ireland’ and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. ## Depreciation Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows: Fixtures, Fittings and Equipment - 20% Reducing Balance Method ## 2. TANGIBLE FIXED ASSETS |3.
4.|Cost
As at 1stJanuary 2022
Additions
Disposals
At 31stDecember 2022
Depreciation
At 1stJanuary 2022
Charge for the Year
On Disposals
At 31stDecember 2022
Net Book Value
At 31stDecember 2022
At 31stDecember 2021
FIXED ASSETS INVESTMENTS
Lugwardine Education Centre property valuation
DEBTORS
Other Debtors|Equipment
Total
£
£
11,447
11,447
-
-
-
-
______
_______
11,447
11,447
______
_______
10,802
10,802
129
129
-
-
______
______
10,931
10,931
______
______
516
£516
______
_____
645
£645
______
_____
£570,000
£570,000
_______
_______
£550
£550
______
______| |---|---|---| (7) LUGWARDINE EDUCATION CENTRE NOTES TO THE MANAGEMENT INFORMATION ## FOR THE YEAR ENDED 31[ST] DECEMBER 2022 |5.
6.|CREDITORS:
2022
2021
£
£
Secured debts
£138,244
£153,970
______
______
UNRESTRICTED INCOME FUNDS
Balance as at 1stJanuary 2022
397,550
£329,590
(Deficit) / Surplus for the Financial Year
(27,786)
67,960
______
______
Balance as at 31stDecember 2022
£369,764
£397,550
______ ______| |---|---| (8) LUGWARDINE EDUCATION CENTRE INCOME AND EXPENDITURE ACCOUNT ## FOR THE YEAR ENDED 31[ST] DECEMBER 2022 |£
INCOME
Rental Income
55,364
Donations
240
Surplus on Disposal of Property
-
______
EXPENDITURE
Light and Heat
33,885
Water Rates
6,303
Insurance
9,776
Grounds Maintenance
1,645
Repairs and Refurbishment
23,176
Cleaning and Materials
1,430
Volunteers Expenses
685
Bank Loan Interest
5,394
Accountancy
925
Depreciation
129
Bank Charges
42
______
(DEFICIT) / SURPLUS FOR THE YEAR|2022
2021
£
£
£
55,523
240
93,758
______
55,604
149,521
16,118
2,509
9,209
1,976
43,812
1,576
1,060
4,234
875
161
31
_____
83,390
81,561
______
______
£(27,786)
£67,960
______
______| |---|---| (9)