St Cecilia's Abbey Annual Report Year Ended 31 December 2023
St Cecilia's Abbey Annual Report Year Ended 31 December 2023 Contents Page Trustees, Report Independent Auditors, Report to the Trustees 9-11 Statement of Financial Activities 12 Balance Sheet Statement of Cash Flows 14 Noles and Accounting Policies
St Cecilia's Abbey Trustees, Report The Truslees present their report along with the financial statements of the Charity for the year ended 31 December 2023. OBJECTIVES AND ACTIVITIES The principal object of the Charity is the advancemenl of Ihe Calholic religion. The principal means of advancing the Catholic religion is prayer, and the value and effects of this prayer can be measured only by God. Nevertheless the Charity undertakes the following activities in support of this aim. The Charity maintains St Cecllla's Abbey and the communlty of Benedictine nuns which Inhabits it. Th8 chief work of the nuns is the celebration of the Divine Office, which is sung in Latin and in Gregorian Chant. Among communities of nuns in the British Is18s St C8cilia's is unique in using Latin Gr8gorian Chant exclusively in Its liturgy. The nuns seek to earn their living by the production and sale of altar breads., they also undertake artistic commissions and sell religious books. recordings of their Gregorian Chant, rosaries and other pious articles, some of which are made by the nuns themselves. The community share their contemplative life by welcoming visitors to their church and retreatants to the Garth, the Lower Lodge or the Hermitage, and through newsletters and Ihe Inlernel. No charges are made for these services, and anyone is welcome to participate. The section below entitled 'Mlnistry to Visitors and Retreatants, explains these activities in mora detail. When possible the Abbey lakes the opportunlty to asslst other religious communlties. either by financial help or by providing hospitality to other contemplative nuns for long or short visits. for studies and training in crafts which can contrlbute to th8 development of their own communities, or for a time of rest. The Charity makes a number of grants. at the discretion of the Abbess, to both institutions and indivSduals. Further details are contained in note 5. The Trustees have considered the Charity Commission's general guidance on public benefit. ACHIEVEMENTS AND PERFORMANCE Th Abbe he Communi At 31 December 2023 there were 25 solemnly or perpetually professed nuns in the communily, four temporarily professed, novices and postulants. A number of young women visited the Abbey during the year to discem their vocalion. Two young women entered the monastery as postulants. Two novices made their First Profession. A postulant who entered in 2022 received the habit and began her novitiate. A professed nun of another Benedictine community who with the agreement of her superior had transferred to St Cecilia's in 2020 completed her three years of probation., after a positive vote by the community Chapter. and with the consent of the Abbot President of the Solesmes Congregation and of her former superior, she was admitted to the Chapter of St Cecila's Abbey and the Solesmes Congregation. Mother Abbess. Silver Jubilee of Profession was celebrated on 2 February, Feast of the Presentation of the Lord. The monks of Quarr Abbey together with Mother Abbess, family and friends Jolned the community of St Cecilia's for Mass, followed by lunch and a festiva r8creation', the day concluded with Vespers sung by the monks and nuns together. The Bishop of Portsmouth paid a visit to the commLSnity during the Easter Octave.
St Cecilia's Abbey Trustees, Report The Abbot President of the Solesmes Congregation visited the community in May. After the death of Pope-Emeritus Benedict XVI, a solemn Requiem Mass was celebrated at the Abbey. The Coronation of King Charles111 was marked at the Abbey by special prayers as requested by the Bishops of England & Wales, a Mass for the King (including the singing of the antiphon Domine salvum fac) and suitable non-liturgical Gelebrations. Maintenance of the Abbe Buildin s and Eslate In addition to the continuing programme of maintenance of the Abbey's extensive buildings, the following major works were undertaken.. Re-roofing and insulating Ihe roof of St Mary's., Replacing extem boiler and boiler pump., Alterations to plumbing system required by Southem Water report: Re-decorating parlours., Re-decorating bathrooms in Holy Angels., Replacing old strip lights with LEDS., Novitiale shelter at Keur Moussa. New fire door at end of parlour corridor, Promotion of Gre orian Chant The nuns continued work on the production of interlinear LatinlEnglish booklets for the Divine Office for the use ofvisilors and postulants. These works require much time on the part of the nuns and also expenditure on paper and ink to make booklets of durable quality and suitable for their sacred function, but the nuns consider this work an important part of their apostolate. The Chant Group of Ealing Abbey visited for a day's tuition in Gregorian Chant by the choir mistress of Sl C8cilia's. Several nuns from other communit18S Stayed at Sl Cecllla's Abbey In order to participate at th8 Gr8gorlan Chant Forum at Quarr. The focus of the Forum this tim8 was Ihe repertoire of the Paschal Triduum, and the speakers were Giedrius Gapsys, Jaan-Eik Tulve and Fr Abbot Xavier Perrin. Several of the nuns of St Cecilia'5 also attended the forum, and on one day the forum's Mass and all ils sessions were held at st Cecilia's so that more of the community could benefit. Minist to Visitors and Retreatants The Abbey Church was available all day throughout the year for those who wished to attend the daily Mass and eight services of the Divine Office, or for private prayer. The Abbey Chronicle, produced Iwice in the year, was sent to approximalely 750 addresses free of charge. The Abbey also maintained a website on the life and work of the community, www.stceciliasabbe There is always a Sister available lo welcome visitors or give counsel to anyone in need. The Abbey's small retreat house, the Garth, welcomed 115persons for retal$. Though most retreatants make donations for their stay, no charge is levied, and Ihis year offerings were not made for 50 nights. The retrealants were able to participate in the Divine Office and to see the Guest Mistress or other nuns for spirilual counsel if they wished. The Lower Lodge flat which was renovated in 2021 was also available as additional accommodation for short-term guests or retreatants.
St Cecilia's Abbey Trustees, Report Visiting groups included a group of Confirmation candidales and their families from Portsmouth Cathedral and a parish group from Bournemouth. Some of the Sister5 showed them a power-poinl presentation of life at the Abbey, and answered questions. The Island's Divine Mercy Group came one Sunday and held the Divine Mercy devotions in the Abbey church. The numbers of secular oblates remained sleady at aboul 40. The oblates received their own letter of news several times in the year. A novice-oblale made her oblalion in June and another in July. An oblate weekend was held in October, during which the oblates heard talks from Mother Abbess and other Sisters on such subjects as the Luminous Mysteries of the Rosary, lectio divina and prayer., they also met the Sisters in the parlour and at the end renewed their oblation. A group of local oblates meets regularly for fellowship and mutual support. Assistance to and Collaboration with Other Reli ious Communilies Barrington Cottage continues lo be let to a consecrated hermit at a low rent. A propety on the mainland continues to be lel to another religious community at a low rent. The Abbey made a final paymenl of £37,446, in fulfilment of the commitment to the Monastery of the Immaculale Heart of Mary, Westfield, to pay for their new altar bread machinery {the full amount of the commitment to Westfield was accounted for in 2019). Mother Abbess assisted in the canonical visitations of the Abbey of Ste Cécile de Solesm8s in January and of Slanbrook Abbey in November. The Monastery of the Immaculate Heart of Mary, Westfield, was raised to the rank of an abbey during the year. In order to support this young and vibrant community, Mother Abbess attended the Abbatial Blessing of the new abbess- this occasion was also the opportunity for meetings with other abbesses of the Solesmes Congregation. Other Activities of the Communi The Altar Bread Department continued to be the nuns, principal means of earnlng thelr Ilvlng. After a severe fall in demand during the pandemic and its aftermath, sales have started to increase. The Sisters continued the venture of selling home-made soap, which has proved very popular, especially with the visitors to Quarr Abbey. There were also modest sales of rosaries, candles, pyrography and knitted items made by the nuns, together with other pious goods and religious books. There was only modest income from the art studio (calligraphy and illumination} but the younger Sisters are being trained in these arts so that there is hope for future development. The candle department provides candles for the needs of St Cecilia's Abbey and QuarrAbb&y, as well as for sale in the Abbey shop. The wax for this work comes entirely from the Abbey's bees and from old candle-ends and wax scrapings recycled. The Abbey's bees continued to be valued chiefly for the pollination of the orchard and soft fruit. The extensive vegetable garden continued to be maintained by the young nuns. This garden, the orchard {apples, pears, plums, quince, walnuts, hazelnuts, cobnuts} and the soft fruit Gages {blackberries, boysenberries, loganberries, gooseberries) are an important source of food for the nuns. Sr Claire Waddelove was among the contributors to Beloved of God and Men." Essays in Honour of Blessed Columba Marmion, published by Silverstream Priory lo mark the centenary of the death of Marmion. Sr Anne Eason's study of the SeNant Songs of Isaiah, The Passion of the Word, was published on Academia.edu.
St Cecilia's Abbey Trustees, Report CAPITAL COMMITMENTS Before 31 December 2023 the Charity had accepted a quotation of £21,000 for the renewal of the telephone system. This work took place in 2024. LEGACY As noted in the accounts for 2021, the Charity has been informed that it is the principal beneficiary under the will of a friend ofthe Abbey who died in Scotland in early 2022. The legacy has been estimated at £840,000. Confirmation of the estate was obtained from the Scottish Courts only in October 2023 and consequently it was recognised in the 2023 accounts. SIGNIFICANT EVENTS AFTER THE YEAR END The tenant who has occupied the Upper Lodge for many years moved elsewhere in April 2023. The Charity decided lo renovate the flat with a view to using it as additional accommodation for guests and retreatants. this work was complete only in 2024. The tenants of the property on the mainland found another home during 2024. The Charity therefore via its professional advisers pul the property up for sale, and in due course sold it to another Catholic charity for £1.030.000. PLANS FOR FUTURE PERIODS Czech, German and Korean translations of The Joy of God are in preparation. No significant changes in the activities of the Charity are planned. The Charity intends to continue to maintaSn th& Community at St Cecilia's Abbey and the celebratlon of Ihe Dlvlne FINANCIAL REVIEW AND RESERVE POLICY During the year, the Abbey received income totalling £1,906,131 (2022.. £895,334). The on-going principal sources of income were £720,121 12022.. £6,000,870) investment income, £101,707 (2022.. £83,635} from the sale of Altar Breads and £123,187 (2022: £109,194) from the pensions and allowances received for the nuns. In addition to this, the Abbey benefitted from legacies and dowrie5 of £891,343 {2022.' £27,361). Gifts from benefactors were £49,38212022: £57,515). Expenditure for the year amounted to £669,874 (2022.. £735,379). Of this, £455,211 (2022.. £393,141) related lo the costs of maintaining the religious community, £59,150 {2022.' £201,395) lo the grants and donations made, £59,692 (2022.. £31,278} lo the costs associated with the Altar Bread production and shop Sales, £9,628 {2022.' £24,982) to church expenses and £5,128 (2022.. £7,996) to the costs of running the retreal house. £81,065 {2022.. £76,587) was spent on raising funds including investment managers, fees and rental propety expenses. After laking into account the nel gain on the revaluation of investment assets of £394,298 {2022: net loss of £1,195,347}, the charity had nel income for the year of £1,630.55512022'. net expenditure £1,035,392). The charity's funds mainly comprise tangible fixed assets and an investment portfolio which at 31 December 2023 was valued at £21,183,902 (2022.. £20,485,581 }. The Trustees have reviewed the reserves and income of the Charity against its immediate and foreseeable needs and are satisfied that the reserves are not excessive and should be sufficient to meet their needs. The Trustees consider Ihat the long term nature of the Trust's charitable objectives requires that it retain some of ils surplus income as reserves. These reserves are necessary in order to secure the future ability of the Charity to support the religious community at St Cecilia's Abbey.
St Cecilia's Abbey Trustees, Report At 31 December 2023, the total reserves of the charity were £26,618,16812022'. £24,987,613. Of this total, £1,813,396 are restricted reserve5 that are not available for the general purposes of the charity. The Trustees have designated funds totalling £11,569,247 including a fixed asset and PRI fund that represents those funds 'tied up, in fixed assets and programme related investments and a number of other reserves, full delails of which can be found in note 13. At 31 December 2023 general unrestricted funds stood at £13.235,525 (2022.. £11.955,475}. The Trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. Investment 8rformance The investment policy of the Trustees is to maintain and enhance the real value of their assets over the long tem by investment in a portfolio comprising equities, fixed income stocks and cash. The investment policy, drawn up in consultation with Charles Stanley. aims to ensure a steady stream of dividend income while taking capital gains when an attractive opportunily arises. The main portfolio is split beeen a capital account with a balanced objective and an income account with an income objective. The investment managers do not work to a fixed benchmark but use market indices to gauge the performance of the portfolios. The Abbey's investment income for 2023 was £720,12112022.. £600,870). Rl8k management The Sisters entrust themselves and their future to Divine Providence. Knowing, however. that part of the proper exercise of this trust is the careful stewardship of the resources which Providence has granted, the trustees have considered the risks faced by the charity. The risk which requires most attention from the Trustees is the possibility of the decline of the community of nuns at St Cecilia's Abbey. The object of the Charity could not be achieved without the presence of a monastic community. As recruitment and retention of new members, under Ihe Holy Spirit, is largely dependent on the fervour and integrity with which the nuns follow their calling, the effective apostolale of the Charity requires paradoxically constant vigilance lo safeguard the silence and seclusion of the monastery. The Trustees strive to mitigate the risk of such a decline by managing the assets of the Charity appropriately and providing the resources necessary to support this effort. In particular, a continuous programme of maintenance ofthe buildings and grounds ofthe Abbey obviates the risk ofmajorworks and all the disruption they would entail. Investment in modern machinery reduces the need for seculars within the enclosure, while provision of the modern means of communication reduces the need for exits by the nuns. While frugality should characterize the life-style of the Sisters, the Trustees ensure that funds are available to maintain the library and pay for outside speakers when appropriate. The sick and elderly of the community are seen as a special treasure, and the trustees watch that sufficient resour5 are available to ensure their proper care. The Charity's investment portfolio is a major support in providing funds for the Abbey's own needs and charitable giving. The Trustees consider the variability of returns on the portfolio lo be the Charity's major financial risk. To reduce this risk they maintain a diversified portfolio and use the services of investment advisors who are not only experts in the charity sector but who also know Ihe Abbey well and understand its ethos. In this era of increasing government legislation and third-paty litigation, the Trustees note also the risks which these present lo the Abbey. The Trustees seek lo reduce these risks by using the services of experts in the relevanl fields (for example, lawyers, financial advisers, insurance brokers) and also engage health and safety and employment law services to provide the knowledge which the trustees may lack.
St Cecilia's Abbey Trustees, Report In making charitable donations the Abbey risks that these grants will be ineffective. The Trustees reduce this risk by donating in the main to charities which are well known to them and whose accounts are available for inspection. Where neSSary they seek the advice ofrelevant professionals or other charities in the field. STRUCTURE, GOVERNANCE AND MANAGEMENT st Cecilia's Abbey is a charity established and governed by a Trust Deed dated 1 November 2000. The Abbey is governed by the Abbess, who is elecled for life by the nuns. She is advised by her prioress and by a council consisting of the prioress, a nun chosen by the Abbess and nuns elected by the community. The Abbess appoints a bursar who oversees the financial affairs of the charity. Trustees are appointed by the Abbess from members ofthe community and decisions are made on a majorlty basis. The Trustees in office during the period and al the date of this report are set out on page 7. All ofthe Trustees are senior nuns ofthe community and, as such, have an in depth knowledge oflhe charity. The Trustees also seek guidance whenever necessary from professional firms (for example. accountants, solicitors, investment managers, Insurance brokers) of suitable standing and with wide knowledge of the religious charity sector. St Cecilia's Abbey Is a member of the Benedlctlne Congregatlon of Sol8smes, a grouplng of abbeys and priories in several countries which have a common history and traditions, derived from the Abbey of S-Pierre de Solesmes, France. The nuns at Sl Cecilia's follow the Rule of St Benedict as Interpreted by the Declarations of the Abbey of Ste-cécile de Solesmes. Th8 chief financial consequence of the Rule and Declarations is that any activities of the Abbey must nol trespass on the strictly enclosed contemplative life of the nuns, which finds its principal expression in the praise of God in the Divine Office. In accordance with ihe aforesaid Rule and Declarations, the Abbey of St Cecilia is an independent religious community and Its financial affairs are in the hands of the nuns Ihemselves. REFERENCE AND ADMINISTRATIVE DETAILS The name of the Charity: St Cecilia's Abbey Charity registration numb8r: 1088086 Address: st Cecllla's Abbey Appley Rise Ryde Isle of Wight P033 1LH Trustees.. H Eckhardt (retired 22 February 2023) ELee A-M Fiévet C Quale (appointed 22 February 20231 M Mccann (appointed 22 February 2023) The custodian trustees at 31 December 2022 were as above.
St Cecilia's Abbey Trustees, Report Solicitors: Tozers Solicitors Southernhay West Exeter EX1 1UA Auditors: Francis Clark LLP Chartered Accountants Sigma House Oak View Close Edginswell Park Torquay TQ2 7FF Bankers: HSBC 38 Union Street Ryde Isle of Wight P033 2LJ Investment Managers: Charles Stanley Limiled 25 Luke Street London EC2A 4AR
St Cecilia's Abbey Trustees. Report Statement of Trusteas, Rasponsibilitie$ The Iruslees are responsible for preparing the Trustees. Report and the financial statements In accordance with applicable law and Unlled KSngdom Accountlng Standards IUnit6d Kingdom Gen8rally Accepted Accounting PractiC8). The law applicable lo charities in England and Wales requires the Trustees lo prepare financial statements for each financial year which give a trLte and fair view of the slate of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, th8 trustees are required to- s&lect sultable aGcounllng pollcles and then apply them con51stently', observe the methods and principles in the Charities SORP., make judgments and eslimales that are reasonable and prudent., slate whether applicable accounting standards have been followed, subject lo any material departures disclos8d and explained in the financial statements., and prepare the financial statements on the going concern basis unless il is inappropriate lo presumè th81 the Charity will continue in business. The trustees are responsible for keeping proper accounling records that disclose with reasonable accuracy at any tlme the financlal positlon of the charity and enable them to gnsure that the financial slalemenls comply with the Charitias Act 2011, the Charitias IAccounls and Reports} Regulations 2008 and th@ provisions of the trust deed. They are also responsibl8 for safeguarding the assets of the charlty 8nd hence for taking reasonable stgP5 for the prevention and detection of fraud end other irregu18rities. Slgned on behalf of the Tru$tO96 Trustee
St Cecilia's Abbey Independent Auditor's Report to the Trustees of St. Cecilia's Abbey Opinion We have audited the financial statements of St. Cecilia's Abbey (the "Charity"} for the year ended 31 December 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the statement of Cash Flows and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial reporting Standard in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: give a true and fair view of the state of the charity's affairs as at 31 December 2022 and of its incoming resources and application of resources, for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., have been prepared in accordance with the requirements of the Charities Act 2011. Basls for oplnlon We conducted our audit in accordance with Intemational Standards on Auditing (UK) (ISAS IUKII 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 ar8 independent of the charity in accordance with the ethical requirements that are relevant to our audit of Ihe 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 lo provide a basis for our opinion. Conclusions relatlng to golng concern In auditing the financial statements, we have concluded that th8 trustees use of the going ¢oncem basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least e1ve months from when the original financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. Other information The other information comprises the infonnation included in the annual report, other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 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 mi5Stated. 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 misslatemenl of this other information. we are required to report that fact. We have nothing to pOrt in this regard.
St Cecilia's Abbey Independent Auditor's Report to the Trustees of St. Cecilia's Abbey Matters on which we are required to report by oxceptlon We have nothing to report in respect of the following malters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion.. the information given in the financial statements is inconsistent in any material respect with the trustees, report: sufficienl accounting records have nol been kept,. or the financial statemenls are not in agreement with th8 accounting records and retums., or We have not received all the information and explanations we require for our audit. Responsibilities of trustees As 8xplained more fully in the truste8s' r8sponsibilities statement sel out on page 8 the trustee5 are responsible for the preparation of financial slatements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial stalem8nls that are free from material misstatement, whether due to fraud or error. In pr8paring the financial statements, the Iruslees are responsible for assessing the Charity's ability lo 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 Charity or to cease operations, or have no realistic alternative but to do so. Audltor's rosponslbllltles for the audlt of the financlal statements We have been appointed as auditor under the Charities Act 2011, s144 and report in accordance with regulations made under the Act and relevant regulations made or having effect thereunder. Our objectives are to obtain reasonable assurance about whether the financial stalements as a whole are free from material misstatement, whether due lo 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 lo influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.. As part of our audit planning we obtained an understanding of the legal and regulatory framework that is applicable to the Charity and the sector in which it operates to identify the key laws and regulations affecting the Charity. The key regulations we identified were Charity legislation and Charity Commission requirements. We also considered Ihose laws and gUlationS that have a direcl impact on the preparation of the financial statements, primarily the Charities Act and the Charities SORP. We discussed with management how the compliance with Ihese laws and regulations is monitored and discussed policies and procedures in place. We a150 identified the individuals who have responsibility for ensuring ihat the Charity complies with laws and regulations and deals with reporting any issues if they arise. As part of our planning procedures, we assessed the risk of any non-compliance with laws and regulations on the Charity's ability to continue its activities and the risk of material misstatement to the accounts. 10
St Cecilia's Abbey Independent Auditor's Report to the Trustees of St. Cecilia's Abbey Based on Ihis understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved the following: Enquiries of management and those charged with govemance regarding Iheir knowledge of any non-compliance with laws and regulations by the charity that could affect the financial statements. As part ofthese enquiries we also discussed with management whether there have been any known in5tan¢es, allegations or suspicion5 of fraud, of which there were none. Reviewed filings with the Charity Commission and enquired with management whether ther8 were any Serious Incident Reports made during the year of which there were none. Reviewed legal and professional costs to identify any possible non compliance or legal costs in respecl of non compliance., Reviewed Board minutes., Audiled the risk of management override of controls, including through testing journal entries and olher adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business of which there were none. Reviewed estimates and judgements made in the accounts for any indication of bias and challenged assumptions used by management in making the estimates. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements. This risk increases the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements as we are less likely to become aware of instances of non-compliance. The risk of not detecting material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment, collusion, omission or misrepr6sentslion. A ftjrther description of our responsibilities is available on the Financial Reporting Council's website at: www.frc.org.uklauditorsresponsibilities. This description forms part of our auditor's report. Use of our report This report is made solely to the Charity trustees, as a body, in accordance with Part 4 of the Charities {Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the trustees those matters we are required to state to trustees in an auditors, 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 Charity and its trLJslees as a body, for our audil work, for this report, or for the opinions we have formed. (Senior Statutory Auditor) Francis Clark LLP, Statutory Auditor Sigma House Oak View Close Edginswell Park Torquay TQ2 7FF Dale 30 October 2024 Francis Clark LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointmenl as auditor of a company under section 1212 of the Companies Act 2006.
St Cecilia's Abbey Statement of Financial Activities Year Ended 31 December 2023 2023 Total Funds 2022 Total Funds Restricted Unrestricted Fund Funds Notes Income from: Donations and legacies Retreat income Nuns, pensions and allowances Charitable activities: Sale of Altar Breads Other Shop Sales Investment income Other 940,725 10,741 123,187 940,725 10,741 123,187 84,876 3,465 109,194 101,707 8,752 720,121 898 101,707 8,752 720,121 898 83,635 8,920 600.870 4,374 Total 1,906,131 1,906,131 895,334 Expenditure on: Raising funds: Investmenl managers, fees Rental property expenses Charitable activities.. Altar breads and shop expenses Retreat expenses Church expenses Costs of maintaining the community Grants and donations 64,007 17,058 64,007 17,058 65,114 11,473 59,692 5,128 9,628 455,211 59,150 59,692 5,128 9,628 455,211 59,150 31,278 7,996 24,982 393,141 201,395 Total 669,874 669,874 735,379 Net {lossesl I gains on investments 394,298 394,298 {1,195,3471 Net {expendlture)Ilncome 1,630,555 1,630,555 (1,035,392) Transfers between funds 12 1133,4651 133,465 Net movement In funds 1133,4651 1,764,020 1,630,555 (1,035,392) Reconclllation of funds: Total Funds brought foNard 1,946,861 23,040,752 24,987,613 26,023,005 Total funds carried forward 1,813,396 24,804,772 26,618,168 24,987,613 The noles on page 15 to 25 form part of these accounts. 12
St Cecilia's Abbey Balance Sheet 31 December 2023 Nolos 2023 2022 Flxed assets Tangible assets Investments 5.745,909 21,183,902 5,781,139 20,485,581 26,929,811 26,266,720 Current as88ts Stock Debtors Cash 81 bank and in hand 4,700 951,116 137,557 4,700 75,582 84,563 10 1,093,373 164,845 Llabllltles Creditors.. Amounts falling due within one year 11 (1,405,016) 11,443.9521 Net current Ilabllllle8 1311,6431 11,279,107) Total Not a88•t8 26,618,168 24,987,613 The funds of the charlty:" Reslricled funds Unrestricted funds.. Designated funds General funds 12 13 1,813,396 1,946,861 11,569,249 13,235,523 11,085,277 11.955,475 Total charliy funds 26,618.168 24,987,613 Approved by the Trustees on and signed on their b8half by: Trustee The notes on page 15 to 25 form part of these accounts. 13
St Cecilia's Abbey Statement of Cash Flows Year Ended 31 Dember 2023 Notes 2023 2022 Cash flows from operating activlties: Net Cash (used In) operating activities 17 (363,103) {435,695) Cash flows from Investlng actlvltles: Dividends, interest and rents from investments Purchase of property and equipment Net investments in investment portfolio Cash withdrawn from investment portfolio 720,121 600,870 {8,148} {483,294) 200,000 (604,049) 300,025 Net cash provlded by Investlng actlvltles 416,097 309,428 Change In cash and cash equlvalents In the reportlng Perlod 52,994 (126,267) Cash and cash equlvalents at the beglnnlng of th• reportlng perlod 84,563 210,830 Cash and cash equivalents at the end of the reportlng perSod 137,557 84,563 The notes on page 1510 25 form part of these accounts. 14
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 Accounting Policies The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows.. (a) Basis of preparation and assessment of going concern The accounts (financial statements) have been prepared on an accruals basis under the historical cost Gonvention, excepi for the valuation of investments al market value. The financial statements have been prepared in accordance with the Charities SORP IFRS 1021 Accounting and Reporting by Charities.. Slatement of Recommended Practice applicable to charities preparing Iheir accounts in accordance with Ihe Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021 (effective 1 January 20191, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland {FRS 102} and the Charities Act 2011. The trust constitutes a public benefit entity as defined by FRS 102. The trustees consider that there are no material uncertainties about th8 Trust's ability to continu8 as a going concern. {bl Fund accountlng The Charity's unrestricted general fund consists of funds which the Charity may use for its charitable purposes at its discretion. The Charity has designated certain funds. Furthor details are contained in note 13. There is no legal force for the designations. The Charity has one restricted fund. Further details of this fund can be found in note 12. Ic) Income recognltlon All incorne is recognised once the charlty has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Donations and legacies Donations are recognised when the Trust has been notified in writing of both the amount and settlement date. Where the charity does not have discretion in the collection and distribution of donations and has no entitlement to the donations, Ihen these amounts are conduit funding. Amounts relating to conduit funding are not included in the Statement of Financial Activities of the Charity. Legacy gifts are recognised on a case by case basis following the granting of probate when the administratorlexecutor for Ihe estate has communicated in writing both the amounl and settlement date. Retreat income This relates to the donations received from relreatants and is recognised on a receivable basis. Nuns, pensions and allowances Pensions and allowances are recognised on a receivable basis. Altar bread and shop income Income from the sale of altar breads and shop sales is recognised when the goods are despatched. Investment income Investment income is recognised on a receivable basis. Where income is receivable net of basic rate tax, the gross amount of income is included in the Statement of Financial Activities (SOFA} as investment inGome. No adjustment is made for accrued income included in the price of securities that were acquired or disposed of during Ihe year. 15
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 Accounting Policies {contlnu¢d) {dl Expenditure recognition Liabilities are recognised as expenditure as soon as ther8 is a legal or constructive obligation committing the Gharity to thal expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis and includes irrecoverable VAT. All costs have been directly attributed to one of the categories of resources expended in the SOFA. Costs of raising funds consist of investment managers, fees and the costs associatecl with rental properties. Costs of charitable activities include the costs of maintaining the community, grants and donations made, the costs associated with the production of altar breads and Ihe sale of religious items as well as church, retreat house, and programme related property expenses. (el Tangible fixed assets and depreciation Tangible assets donated on the creation of the Trust have been valued in accordance with their insurance values at that time. Subsequent additions are included at cost or, in the case of property transferred from investments, at ils insurance value. Replacement fixtures. furniture and equipment are charged to the SOFA in the year in which the expense is incurred. Tangible assets other than freehold land are depreciated over their estimated useful lives. at the following rates'.- Abbey buildings Other leasehold buildings Fixtures, fitting5 and equipment slraighi line straight line 5-100/0 Straight line No depreciation Is provided on th8 Abbey buildings. It is the Charity's polScy to maintain the Abbey in such a condition thatthe value is not impaired by the passage oftime. Such expenditure is charged in the year it is Committed. The nature of the Abbey owned by the Charity is such that it is unlikely to suffer from economic changes or technical advances. As a consequence any element of depreciation would, in the opinion of the Trustees, be immaterial and therefore no provision has been made. The valuation of the Abbey buildings is reviewed for impairmenl whenever events or Changes in circumstances suggest that the Carrying value may be in excess of its recoverable amount. Recoverable amount is the higher of net realisable value and value in use (which is measured on the basis ofthe worth ofthe seNice delivery ofthe asset}. Where an impairment has occurred. the carrying value of the asset is written down to its recoverable amount, and the revised value of the asset is depreciated over its rernaining useful life. The impairment loss is charged lo the Statement of Financial Activities I"SOFA")- (f} FlnanGial Instruments The Abbey only has financial assets and other financial liabilities of a kind that qualify as basic financial instruments. These comprise cash and bank balances, short term trade and other debtors and Creditors and listed investments. Basic financial instrumenls are initially recognised at transaction value and subsequently measured at their settlement value. They are derecognised when the contractual rights to cash fiows from the assets expire or substantially all the risks and rewards of ownership are transferred to another paty or in the case of liabilities when obligations are discharged. 16
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 Accounting Policies (continued) (gl Investments li) Quoted investments are originally recorded at their transaction value and subsequently measured at their fair value 8t the balance sheet date using the quoted market price. {iil Investment properties have been valued al fair value as follows. Investment properties donated on the creation of the Trust have been valued in accordance with their current insurance values. Investment properties subsequently acquired are initially valued at cost and thereafter revalued in line with the movement in the house price index. (iiil Programme related investments are included in the balance sheet at cost less any impairments. (iv) Realised and unrealised gains and losses on the investments are creditedlcharged directly to the Statement of Financial Activities. (v) All investments, including bank balances held as part of the investment portfolio, are included as fixed assets. {h) Dowrles Dowries represent monies introduced bythe nuns when they take their solemn or perpetual vows. or legacies which they subsequently receive. Although not legally repayable, the Trustees consider that they have a compelling moral obligation to repay Ihese sums in the event thal a nun leaves the Abbey and they are therefore shown as creditors. On the death of the nun they are released to the Statement of Financial Activities. Forelgn currenc16S Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet dale. Transactions in foreign currencies are translated into sterling at the rale of exchange ruling at the date of the transaction. Exchange differences are taken into account in arriving al the net gains arising on the revaluation and disposal of investment assets. Related party transactlons and trustees, expenses and remuneratlon All trustees are nuns of St Cecilia's Abbey and do not receiv8 any r8mun8ralion by virtue of thelr position as trustees. The charity maintains and supports the truslees in the same way as nuns who are not trustees. As this is part of the charitable objects of the charity it is not seen to be remuneration for their services as trustees. No expenses have been paid or reimbursed to the trustees by virtue of their position as Irustees. During the year trustees donated their pensions and allowances totalling £10,818 to the charity (2022: £18.3041, as well as dowries of £5,00012022.' £1,000). Income 2023 2022 Donations and legacies: Legacies and dowries Other gifts and donations 891,343 49,382 27,361 57,515 940,725 84,876 Other gifts and donations Includes £nil (2022: £nill restricted income. 17
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 Investment Income lunrestricted) 2023 2022 Income received from: Properties Listed investments Cash held as part of an investment portfolio and at bank 41,183 644,565 34,373 42,593 558,027 250 720,121 600,870 Grants Payablo During the year the following grants and donations were made.. 2023 Numbar 2022 Number Individuals: Grants to people in financial ne&d 4,008 21 449 Institutions involved in.. Religious Welfare Overseas Aid Children Medical Poor Other 29,812 14,500 600 2,670 4,600 2,960 16 180,466 8,500 600 3,620 4.800 2,960 26 55,142 39 200,946 48 Total 59,150 60 201,395 55 Included in the grants above is £nil (2022.. £nil) relating to restricted funds. Included in the above inslitutional grants are the following amounts greater than £1,000.. ACN Grief to Grace Elhiopaid International Refugee Trust Mary'5 Mea15 Opportunity International Earl Mountbatten Hospice De Paul Trust Emmaus Missionaries of Charity, Manchester The Passage Portsmouth Diocese Practical Action Mercy Ships CAFOD AIM Friends Holy Land 15,000 2,000 1,000 1,000 3,500 1,000 2,150 1,000 1,000 1,000 1,000 5,000 1,000 2,000 5,000 1,000 1,000 18
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 Costs of Maintaining the Community Designated Unrestricted 2023 2022 Wages Costs Nuns, NIC Repairs, renewals and maintenance Heat and light Postage, phone and stationery Water rates and council tax Household provisions Insurance Clothing Gardening expenses Monaslic hospitalily Medical costs Library Costs Motor and travel expenses Advertising Sundries Depreciation Legal and Professional Governance Auditors, remuneratlon 107,326 4,915 96,089 34,522 16,936 8,902 30,459 17,819 534 31,542 1,715 25,305 1,764 9,783 816 8,938 107,326 4,915 96,089 34,522 16,936 8,902 30,459 17,819 534 31,542 1,715 25,305 1,764 9,783 816 8,938 35,230 8,096 98,546 3,218 70,755 22,500 8,835 8,052 28,443 17,990 2,761 29,730 3,392 19,272 2,672 6,945 294 12,917 41,051 3,108 35,230 8,096 statutory audit other 11,100 3,420 11,100 3,420 6,500 6,160 35,230 419,981 455,211 393,141 Included in the Costs above is £nil (2022.. £nil} relating to restricted funds. Staff costs 2023 2022 Gross wages and salaries Employer's national insurance Employer's pension contributions 102,040 3,731 1,555 93,769 3,516 1,261 107,326 98,546 Average number of staff The charity considers its key management personnel comprise the Trustees only to whom no employment benefits were paid. No employees received any employee benefits in excess of £60,000 {2022'. £60,000). During the year a teminalion payment of £1,145 was made. 19
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 Tangible Fixed Assets Fixtures Fittings & Equipment Freehold Property Leasehold Property Total Cost At 1 January 2023 Additions Disposals 5,538,694 200,655 1,191,098 6,930,447 At 31 December 2023 5,538,694 200,655 1,191,098 6,930,447 Accumulated Depreciation At 1 January 2023 Charge for the Year Disposals 88,286 4,013 1,061,022 31.217 1,149,308 35,230 At 31 December 2023 92,299 1,092,239 1,184,538 Net Book Valuo At 31 December 2023 5,538,694 108,356 98,859 5,745,909 At 31 December 2022 5,538,694 112,369 130,076 5,781,139 Tangible assets donated on creation of the Trust have been valued in accordance with their insurance values at the time, All tangible fixed assets are used in dir6ct furtherance of the charity's objectives. The leasehold propety is held on a 1,000 year lease that expires in 2841. 20
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 Investments 2023 2022 Listed on a recognised stock exchange: Market value of Portfolio at 1 January 2023 Transfers tol{from) cash Nel investment {disposalslladdilions made in the year Realised and unrealised gainsl(losses) on investments 15,791,723 439,238 604,049 416,612 16,963,826 1180.572) 483,295 (1.474,826} Market value at 31 December 2023 17,251,622 15,791.723 Cash held as part of the Investment portfolio: Balance at 1 January 2023 Transfers {to)Ifrom listed investments Withdrawn from investment 1,931,247 (439,238) (300,025) 1,950.675 180,572 (200.000) Balance at 31 December 2023 1,191,984 1.931,247 UK Investment propertle8: Balance at 1 January 2023 Revaluation during year 2,010,119 (22,315) 1,730,640 279,479 Market value of investment property al 31 December 2023 1,987,804 2,010.119 Programmo related property Inve8tments: Balance at 1 January 2023 and cost of programme related investments 8t 31 December 2023 752,492 752,492 21,183,902 20,485,581 The investment property donated on creation of the Trust has been valued by the Trustees on the basis of its building insurance value. The investment propety purchased in 2015 has been included at indexed cost. These are considered to be fair values. The programme related propety investment has been made to support another religious order and is valued at cost. The market value of the listed Investments held at 31 December 2023 was £17,251,622 {2022: £15,791,723),. of this value £2,553,599 (2022: £5,097,949) relate5 to non-UK investments. The cash held in the portfolio also includes £120,631 held in US$12022: £124,987 held in US$>. The cost of listed investments at 31 December 2023 was £15,968,293 (2022.. £15,088,469). The trustees consider that there were no material individual investment holdings in the year that requSre disclosure. All quoted investments are carried at their fair value. Investments in equities and fixed interest securities are all traded in quoted public markets. Holdings in common investment funds and unit trusts are valued at bid price. The basis of fair value for quoted investments is equivalent to the market value. Asset sales and purchases are recognised at the date of trade at cost (that is their transaction value). 21
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 10 Debtors 2023 2022 Trade Debtors Prepayments and accrued income 7,483 943,633 13,371 62,211 951,116 75,582 11 Creditors 2023 2022 Other Creditors Repayable Dowries 50,057 1,354,959 85,595 1,358,357 1,405,016 1,443,952 12 Restrlcted Funds The Congregation of Solesmes restricted fvnd represents an amount prescribed by the Congregation. 11 may not be expended without the Congregation's permission. The fund is held in Ihe form of Iraded investments which enable it to be accessed if required. A transfer is made to or from the fund to ensure it continues to match the Congregation's requirements. The movement on the restricted fund Is shown below. Balance at 1 Jan 2023 Incomlng Glfts Balance at 31 Doc 2023 Transfers Expendlture Current year: Congregalion of Solesmes 1,946,861 {133,465) 1,813,396 Prevlous year: Congregation of So18sm8s 1,606,959 33g,2 1,946.861 22
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 December 2023 13 Unrestricted Funds The movements on the designated and unrestricted funds are shown below. D8pr8ciationl Gainsl Balance at (Losses) 31 Dec 2023 Balance at Income Expenditurel 1 Jan 2023 Transfers Current year: Designated Funds Repairs Nursing Fees Library and liturgical Books Contingency Reserve Fixed AsselslPRI New Car India Visiting Nuns Fund 445,201 1,996,800 22,243 2,069,962 6,533,631 12,000 440 5,000 1,000 499,200 446,201 2,496,000 22,243 2,088,964 6,498,401 12,000 440 5,000 19,002 135,230) Total Designated Funds 11,085.277 519,202 135,230) 11,569,249 Unrestricted General Fund 11,955,475 1,906,131 (1,020,381) 394,298 13,235,523 Total Unrestrlcted Funds 23,040,752 1,906,131 (501,1791 359,068 24,804,772 Depreclatlonl Galnsl Balance at (Losses) 31 Dec 2022 Balance at Income Expenditurel 1 Jan 2022 Transfers Prevlous year: Dèslgnated Funds Repairs Nursing Fees Library and liturgical Books Contingency Reserve Fixed AssetslPRI New Car India Visiting Nuns Fund 498,221 2,610,000 22,143 2,091,936 6,567,084 12,000 440 5,000 153,020) (613,200) 445.201 1,996,800 22,243 2,089,962 6,533,631 12,000 440 5,000 (21,974) 7,598 (41,051) Total Designated Funds 11,806.924 (680,596) {41,051) 11,085,277 Unreslricted General Fund 12,609,122 895,334 (353,634) {1,195,3471 11,955,475 Total Unrestricted Funds 24,416,046 895,334 (1,034,230) 11.236,398) 23,040,752 23
St Cecilia's Abbey Notes and Accounting Policies Year Ended 31 Dember 2023 13 Unrestricted Funds (Gontinued) Repairs fund This represents a reserve designated for building maintenance. A transfer from this fund has been made during the year so that the fund amounts to five years repair cost5. Nursing fees This is a fund designated to meet the cost of nursing fees likely to be required if a Sister is in need of specialist care. Llbrary books The Abbey has to meet the costs of providing new books forthe library and choir. This fund is to ensure that these costs can be met as and when required. Contingency reserve This designation is to be used for emergency purposes and is based on the cost of maintaining the Communliy over the lastfive years. A transfer lo the fund has been made during the year to reflect this. Flxed asset and PRI reserve This fund represents the net book value of the Charity's tangible fixed assets and programme related investments {PRII. A transfer is made to or from unrestrictgd reseNes each year to ensure that the fund Continues to reflect the net book value of these assets. New car This fund is for the purchase of 8 new car. Indla fund This is a fund used to account for gifts and donations from the monastery and from friends so that the Charity is able to assist in an emergency and pay for machinery for aliar breads from olher European countries. Visiting nuns reserve This designation is for antlcipated long term costs that will arise in connection with Sisters staying at the Abbey. 14 Commltments The charity has promised to allow a religious community to live in one of its properties for as long as the community needs it. At 31 December 2023 and 31 December 2022 the Abbey had no capital commitments. 24
st Cecilia's Abbey Notes and Accounting Policies Year Ended 31 Dernber 2023 15 Obligations under operating leas8S Lessor The total of future minimum lease payments receivable is as follows.. 2023 2022 Not later than one year 4,031 5.062 4,031 5,062 16 Split of Assets Between Funds 2023 Total Funds 2022 Total Funds Restrl¢ted Unrestrlcted Fund Funds Represented by: Tangible fixed assets Investments Current assets Current liabilities 5,745,909 5,745,909 5,781,139 19,370,506 21,183,902 20,485,581 1,093,373 1,093,373 184,845 11,405,016) 11,405,016) (1,443,952) 1,813,398 1,813,396 24,804,772 26,618,168 24,987,613 17 Reconelllatlon of net (expendlture)Ilncome to net cash flow from operatlng actlvltles 2023 2022 Net (expendlturelllncome for the reportlng perlod (as per the statement of flnanclal activities) 1,630,555 11,035,392) Adjustments for: Depreciation charges (Gains)Ilosses on investments Loss on fixed assets Dividends, interest and rents from investments Ilncreasel Idecrease in debtors Increase I (decrease) in creditors 35,230 (394,298) 41,051 1,195,347 549 {600,870) 31,678 (68,058) (720,121) (875,534) (38,935) Nel cash (used in) operating activities (363,103) {435,695) 25