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2022-03-31-accounts

Company Registration Number: 04404869 Charity Registration Number: 1092937

Warrington & District Society for Deaf People Report and Accounts

31 March 2022

Warrington & District Society for Deaf People

Report and Accounts for the Year Ended 31 March 2022

Contents Page
Charity Information 1
Trustee’s Annual Report 1
Statement of Directors Trustees’ Responsibilities 7
Independent Accountant’s Report 9
Funds Statements:
Statement of Financial Activities 11
Statement of Financial Activities – Prior Year Statement 12
Movements in Funds 14
Income and Expenditure Account 15
Balance Sheet 16
Notes to the Accounts 18

Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

The Trustees present their Report and Accounts for the year ended 31 March 2022, which also comprises the Directors’ Report required by the Companies Act 2006.

Reference and Administrative Details

The Charity Name

The legal name of the charity is Warrington & District Society for Deaf People.

The Charity’s areas operation and UK charitable registration

The charity is registered in England & Wales with the Charity Commission in England & Wales (CCEW) with charity number 1092937.

The charity does not operate in any overseas jurisdictions.

Legal Structure of the Charity

The charity is constituted as a company limited by guarantee, registered under the Companies Acts. The governing document of the charity is the Memorandum and Articles of Association establishing the company under company legislation.

The governing document is dated 27 March 2002.

There are no restrictions in the governing documents on the operation of the Charity or on its investment powers other than those imposed by Charity Law.

By operation of law, all Trustees are Directors under the Companies Act 2006 and all Directors are Trustees under Charities legislation and have responsibilities, as such, under both company and charity legislation.

The Trustees are all individuals.

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Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

The principal operating address, telephone number, email and web addresses of the charity are:

11-13 Wilson Patten Street Warrington Cheshire WA1 1PG Telephone Number: 01925 634640 Email Address: admin@wdsdp.co.uk Web Address: www.wdsdp.co.uk

The registered office of the charity for Companies Act purposes is the same as the operating address shown above.

The Trustees in office of the date the report was approved were:

Michael Bryan Mavis McCue Gregory Pierssene Stephen Hawkins Wilhelm Baker Daniel Birtles

The following persons served as Trustees during the year ended 31 March 2022:

Name Resignation Date
Jeffrey Richards 21.09.21
Jason Parry 24.01.22
Stuart Wigley 7.12.21
Fred Barlow 7.12.21
Marcia Collar 24.01.22
Yvonne Wilson 24.01.22

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Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

Objectives and Activities of the Charity

The purposes of the charity as set out in its governing document

The Company’s objectives and principal activities are:

The relief of D/deaf people resident in the Borough of Warrington and such other areas in the County of Cheshire, as the Council of Management may from time to time decide, including:

The Trustees have paid due regard to the Charity Commission guidance on public benefit in deciding what activities the Company should undertake.

The main activities undertaken in relation to those purposes during the year

The charity provides office space on a long and short term basis and attracts a wide variety of local businesses engaged in both the charitable and commercial sectors.

The main activities undertaken during the year to further the charity’s purpose for the public benefit

The Society continued to operate the Warrington Deaf Centre to provide a home and support for the Warrington Deaf Club, a focus for the wider Deaf community and a physical presence in Warrington to maintain the profile of Deaf people in the local community.

The Trustees have had regard to the Charity Commission’s guidance on public benefit in managing the activities of the charity.

The main achievements and performance of the charity during the year

The Society continued to operate the Warrington Deaf Centre to provide a home and support for the Warrington Deaf Club, a focus for the wider Deaf community and a physical presence in Warrington to maintain the profile of Deaf people in the local community.

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Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

The difference the charity’s performance during the year has made to the beneficiaries of the charity

In carrying out its normal charitable activities, the Society has made both a positive and tangible improvement in the support of the Deaf community.

The degree to which the achievements and performance during the year have benefited wider society

The Society has benefitted wider society by providing a link between the Deaf community and local government and educating wider society about the Deaf community. The Sign Choir has provided a prominent presence in the town and more widely, showcasing British Sign Language.

Structure, Governance and Management of the Charity

The methods used to recruit and appoint new charity Trustees

The Society seeks to identify members of the Deaf community to be Trustees while maintaining a balance of skills amongst the Board of Trustees.

Bankers: National Westminster Bank plc
23 Sankey Street, Warrington, Cheshire, WA1 1QF
Solicitors: FDR Law
5 Palmyra Square, Warrington, Cheshire, WA1 1BW
Property Consultants: Morgan Williams
720 Mandarin Court, Warrington, Cheshire, WA1 1GG
Accountants: Emmsar Accountancy
17 Chatsworth Avenue, Culcheth, Warrington, Cheshire, WA3 4LD

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Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

Financial Review

The Charity’s financial position at the end of the year ended 31 March 2022

The financial position of the charity at 31 March 2022 and comparatives for the prior period, as more fully detailed in the Accounts, can be summarised as follows:

2022 2021
£ £
Net income including unrealised gains 5,710 12,867
Unrestricted Revenue Funds available for the
general purpose of the charity 334,336 332,892
Restricted Revenue Funds 312,922 312,922
Endowment Revenue Funds 56,696 52,430
Total Funds 703,954 698,244

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Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

Financial Review of the position at the reporting date, 31 March 2022

The retained surplus for the year was £5,710 (2021 - £12,867). The multi-agency centre continues to operate successfully with tenant organisations and remains a unique facility acting as a ‘one stop shop’ for D/deaf and deaf blind people.

Policies on reserves

In light of current economic conditions and likely medium-term reductions in the level, or availability of funding, the Trustees have in recent years elected to maintain the level of unrestricted funds not committed or invested in tangible fixed assets, (the free reserves), held by the charity at around 24 months of the normal resources expended, approximately £100,000 in general funds. At this level, the Trustees feel that they should be able to continue the current activities of the charity in the event of a significant drop in funding. However, the Trustees are conscious that the cost of maintaining the building is likely to rise with time and will review the policy. Any surplus funds, above the agreed level of reserves, will be utilised in pursuance of the charity’s objectives.

Availability and adequacy of assets of each of the funds

The Board of Trustees is satisfied that the charity’s assets in each fund are available and adequate to fulfil its obligations in respect of each fund.

Strategic report and post balance sheet events

The charity in its original form was established over one hundred years ago and has always been available to support the Deaf community in Warrington & District. There is a thriving Deaf Centre in the property owned and managed by the Society and the Trustees are acutely aware of the crucial importance of this to the wellbeing of the Deaf community.

In common with many businesses, the activities of the Society have been curtailed by the national lock down restrictions introduced by the government in response to the Covid pandemic. The Society has taken advantage of the government’s furlough scheme in order to retain key staff and done its best to maintain its commercial and charitable activities. The Trustees are confident the Society remains in a strong position and has now resumed its normal activities.

Details of the Independent Examiner

MRS P A SHARROCK 1 Dundonald Avenue Stockton Heath Warrington Cheshire WA4 6JT

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Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

Statement of the Directors Trustees’ Responsibilities

The charity’s Trustees are responsible for the preparation of the accounts in accordance with the terms of the Companies Act 2006, the Charities Act 2011 and the Charities (Accounts and Reports) Regulations 2008. Notwithstanding the explicit requirements in the extant statutory regulations, the Charities (Accounts and Reports) Regulations 2008, to prepare the financial statements in accordance with the SORP 2005, in view of the fact that the SORP 2005 has been withdrawn, the Trustees determined to interpret this responsibility as requiring them to follow current best practice and prepare the accounts according to the FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1[st] January 2019), (The SORP).

In particular, the Companies Act 2006 and charity law require the Board of Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity as at the end of the financial year and of the surplus or deficit of the charity. In preparing those financial statements the Board is required to:

The law requires that the Trustees must not approve the accounts unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the surplus or deficit of the charity for the year.

The Trustees are also responsible for maintaining adequate accounting records which disclose, with reasonable accuracy at any time, the financial position of the charity and which are sufficient to show and explain the charity’s transactions and enable them to ensure that the financial statements comply with the Companies Act 2006 and comply with regulations made under the Charities Act. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are also responsible for the contents of the Trustees’ report, and the statutory responsibility of the Independent Examiner in relation to the Trustees’ report is limited to examining the report and ensuring that, on the face of the report, there are no material inconsistencies with the figures disclosed in the financial statements.

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Warrington & District Society for Deaf People

Company Registration Number – 04404869

Trustees’ Annual Report for the Year Ended 31 March 2022

Method of preparation of accounts – Small company provisions

The financial statements are set out on pages 11 to 25.

The financial statements have been prepared implementing the FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1[st] January 2019), (The SORP), and in accordance with the Financial Reporting Standard 102. These financial statements have been prepared in accordance with the provisions in Part 15 of the Company Act 2006 applicable to companies subject to the small companies’ regime.

This report was approved by the Board of Trustees on: Monday 5 December 2022.

GREGORY PIERSSENE Director and Trustee

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Warrington & District Society for Deaf People

Report of the Independent Examiner to the Trustees of the charitable company on the Accounts for the Year Ended 31 March 2022

I report to the Trustees on my examination of the financial statements of the charitable company on pages 11 to 25 for the year ended 31 March 2022, which have been prepared in accordance with the Charities Act 2011 (the Act) and with the Financial Reporting Standard 102, (effective 1[st] January 2016) as modified by FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1[st] January 2019), (The SORP), published by the Charity Commission in England & Wales (CCEW), and under the historical cost convention and the accounting policies set out on page 18.

Respective Responsibilities of the Trustees and the Independent Examiner and the basis of the report

As described on page 7, the charitable company’s Trustees, who are also the Directors of the Company for the purposes of Company law, are responsible for the preparation of the financial statements in accordance with the Companies Act 2006, the Charities Act 2011 and all other applicable law and with United Kingdom Generally Accepted Accounting Practice, applicable to smaller entities, and for being satisfied that the financial statements give a true and fair view.

The Trustees consider that the audit requirement of Section 144(1) of the Charities Act 2011 (the Act) does not apply, and that there is no requirement in the memorandum and articles of the charity for the conducting of an audit, and that the accounts do not require an audit in accordance with Part 16 of the Companies Act 2006 and that no member or members have requested an audit pursuant to Section 476 of the Companies Act 2006. Therefore, the Trustees have elected that the financial statements be subject to independent examination.

Having satisfied myself that the financial statements are not required to be audited under any legal provision, or otherwise, and are eligible for independent examination, it is my responsibility to:

Basis of Independent Examiner’s Statement and scope of work undertake

I report in respect of my examination of the charity’s financial statements carried out under Section 145 of the Act. In carrying out my examination, I have followed all the applicable directions given by the Charity Commission under Section 145(5)(b) of the Act setting out the duties of an independent examiner in relation to the conducting of an independent examination. An independent examination includes a review of the accounting records kept by the charitable company and of the accounting systems employed by the charitable company and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeking explanations from you, as Trustees, concerning such matters. The purpose of the examination is to establish as far as possible that there have been no breaches of charity legislation and that, on a test basis of evidence relevant to the amounts and disclosures made, the financial statements comply with the SORP.

The procedures undertaken do not provide all the evidence that would be required in an audit, and information supplied by the Trustees during the examination is not subjected to audit tests or enquiries and does not cover all the matters that an auditor would consider in arriving at an opinion. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently, I do not express an audit opinion on the view given by the financial statements, and in particular, I express no opinion as to whether the financial statements give a true and fair view of the affairs of the charity, and my report is limited to the matters set out in the statement below.

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Warrington & District Society for Deaf People

I planned and performed my examination to satisfy myself that the objectives of the independent examination are achieved and before finalising the report, I obtained written assurances from the Trustees of all material matters.

Independent Examiner’s Statement, Report and Opinion

Subject to the limitations upon the scope of my work as detailed above, I have completed my examination and can confirm that:

The accounts of this charitable company are not required to be audited under Part 16 of the Companies Act 2006.

This is a report in respect of an examination carried out under Section 145 of the Act and in accordance with directions given by the Charity Commission under Section 145(5)(b) of the Act, which may be applicable, and that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report to enable a proper understanding of the financial statements to be reached.

Signed:

MRS P A SHARROCK – Independent Examiner 1 Dundonald Avenue Stockton Heath Warrington Cheshire WA4 6JT

This report was signed on:

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Warrington & District Society for Deaf People – Statement of Financial Activities for the Year Ended 31 March 2022

Statement of Financial Activities (including the Income and Expenditure Account for the Year Ended 31 March 2022, as required by the Companies Act 2006)

SORP Current Year Current Year Current Year Current Year Prior Year
Ref Unrestricted Restricted Endowment Total Funds Total Funds
Funds Funds Funds
2022 2022 2022 2022 2021
£ £ £ £ £
Income & Endowments from:
Grants & furlough claims A1 5,859 - - 5,859 14,679
Donations & Legacies A1 11,633 - - 11,633 1,247
Other trading activities A3 26,673 - - 26,673 23,365
Investments A4 580 - - 580 605
Total Income A 44,745 - - 44,745 39,896
Expenditure on:
Charitable activities B2 41,601 - - 41,601 32,776
Total Expenditure: B 41,601 - - 41,601 32,776
Net gains on investments B4 - - 2,566 2,566 5,747
Net Income for the year 3,144 - 2,566 5,710 12,867
Transfers between funds C (1,700) - 1,700 - -
Net Income after transfers A-B-C 1,444 - 4,266 5,710 12,867
Other Recognised Gains/(Losses)
Net gains on revaluation of
Fixed Assets D1 - - - - -
Net movement in funds 1,444 - 4,266 5,710 12,867
Reconciliation of funds: E
Total funds brought forward 332,892 312,922 52,430 698,244 685,377
Total funds carried forward 334,336 312,922 56,696 703,954 698,244

The ‘SORP Ref’ indicated above is the classification of income set out in the formal SORP documents. As required by paragraph 4.60 of the SORP, the brought forward and carried forward funds above have been agreed to the Balance Sheet.

A statement of Total Recognised Gains and Losses is included as a primary statement in these accounts.

All activities derive from continuing operations.

The notes attached on pages 18 to 25 form an integral part of these accounts.

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Warrington & District Society for Deaf People – Statement of Financial Activities for the Year Ended 31 March 2022

Analysis of prior year total funds, as required by paragraph 4.2 of the SORP

SORP Prior Year Prior Year Prior Year Prior Year
Ref Unrestricted Restricted Endowment Total Funds
Funds Funds Funds
2021 2021 2021 2021
£ £ £ £
Income & Endowments from:
Donations & Legacies A1 14,679 - - 14,679
Grants & furlough claims A2 1,247 - - 1,247
Other trading activities A3 23,365 - - 23,365
Investments A4 605 - - 605
Total Income A 39,896 - - 39,896
Expenditure on:
Raising funds B1 - - - -
Charitable activities B2 32,776 - - 32,776
Other B3 - - - -
Tax on surplus on ordinary act B3 - - - -
Other taxation B3 - - - -
Total Expenditure: B 32,776 - - 32,776
Net gains on investments B4 - - 5,747 5,747
Net Income for the year 7,120 - 5,747 12,867
Transfers between funds C (1,700) - 1,700 -
Net Income after transfers A-B-C 5,420 - 7,447 12,867
Net gains on revaluation of
Fixed Assets D1 - - - -
Net movement in funds 5,420 - 7,447 12,867
Reconciliation of funds: E
Total funds brought forward 327,472 312,922 44,983 685,377
Total funds carried forward 332,892 312,922 52,430 698,244

A statement of Total Recognised Gains and Losses is included as a primary statement in these accounts. All activities derive from continuing operations.

The notes attached on pages 18 to 25 form an integral part of these accounts.

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Warrington & District Society for Deaf People – Statement of Financial Activities for the Year Ended 31 March 2022

Statement of Total Recognised Gains and Losses for the year ended 31 March 2022

Surplus for the year:
Net excess of income over expenditure from operations before tax
Realised gains on disposals of social investments which are programme related
Income from operations before tax in the Statement of Financial Activities
Add/(deduct) non income and expenditure items:
Unrealised gains on investments
Gains and losses on revaluation of fixed and intangible assets
Net Movement
Funds generated in the year as shown on Statement of Financial Activities
2022
2021
£
£
3,144
7,120
-
-
3,144
7,120
2,566
5,747
-
-
2,566
5,747
5,710
12,867

The notes attached on pages 18 to 25 form an integral part of these accounts.

Warrington & District Society for Deaf People – Resources applied in the Year Ended 31 March 2022 towards fixed assets for Charity use:

Funds generated in the year as detailed in the SOFA
Resources applied on functional fixed assets
Other applications of funds
Net resources available to fund charitable activities
2022
2021
£
£
5,710
12,867
-
-
-
-
5,710
12,867

The resources applied on fixed assets for charity use represents the cost of additions less proceeds of any disposals.

The notes attached on pages 18 to 25 form an integral part of these accounts.

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Warrington & District Society for Deaf People – Statement of Financial Activities for the Year Ended 31 March 2022

Movements in revenue and capital funds for the year ended 31 March 2022

Revenue accumulated funds

Current Year Current Year Current Year Current Year Current Year Prior Year
Unrestricted Restricted Endowment Total Funds Total Funds
Funds Funds Funds
2022 2022 2022 2022 2021
£ £ £ £ £
Accumulated funds brought forward 332,892 312,922 52,430 698,244 685,377
Net movement before transfers 3,144 - 2,566 5,710 12,867
336,036 312,922 54,996 703,954 698,244
(From)/To unrestricted revenue funds (1,700) - 1,700 - -
Closing revenue funds 334,336 312,922 56,696 703,954 698,244

Summary of funds

Current Year Current Year Current Year Current Year Current Year Prior Year
Unrestricted Restricted Endowment Total Funds Total Funds
Funds Funds Funds
2022 2022 2022 2022 2021
£ £ £ £ £
Revenue accumulated funds 334,336 312,922 56,696 703,954 698,244
Total funds 334,336 312,922 56,696 703,954 698,244

The notes attached on pages 18 to 25 form an integral part of these accounts.

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Warrington & District Society for Deaf People – Statement of Financial Activities for the Year Ended 31 March 2022

Warrington & District Society for Deaf People

Income and Expenditure Account for the Year Ended 31 March 2022 as required by the Companies Act 2006

Income
Income from operations

Investment income
Income from investments, other than interest receivable
Interest receivable
Gross income in the year before exceptional items

Gross income in the year including exceptional items

Expenditure
Charitable expenditure, excluding depreciation and amortisation

Depreciation and amortisation
Realised losses on disposals of social investments which are programmed related
Total expenditure in the year

Net income before tax in the financial year
Tax on surplus on ordinary activities
Net income after tax in the financial year
Retained surplus for the financial year
2022
2021
£
£
44,165
39,291
524
504
56
101
44,745
39,896
44,745
39,896
38,803
29,045
2,798
3,731
-
-
41,601
32,776
3,144
7,120
-
-
3,144
7,120
3,144
7,120

All activities derive from continuing operations.

In accordance with the provisions of the Companies Act 2006, the headings and subheadings used in the Income and Expenditure account have been adapted to reflect the special nature of the charity’s activities.

The notes attached on pages 18 to 25 form an integral part of these accounts.

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Warrington & District Society for Deaf People – Balance Sheet as at 31 March 2022

SORP
Note
Ref
Fixed assets
A
Tangible assets
12
A2
Investments held as fixed assets
13
A4
Total fixed assets
Current assets
B
Debtors
14
B2
Cash at bank & in hand
B4

Total current assets

Creditors: amounts falling due
within one year
15
C1
Net current assets
The total net assets of the charity
4,951
234,759
239,710
10,197
2022
£
448,395
26,046
474,441
229,513
703,954
5,151
222,751
227,902
4,331
2021
£
451,193
23,480
474,673
223,571
227,902
703,954 698,244

The total net assets of the charity are funded by the funds of the charity, as follows:

Endowment funds
Endowment Revenue Funds
18
D1
56,696
Restricted Funds
Restricted Revenue Funds
18
D2
312,922
Unrestricted Funds
Unrestricted Revenue Funds
18
D3
334,336
Designated Funds
Total charity funds
52,430
56,696
312,922
312,922
332,892
334,336
703,954
52,430
312,922
332,892
703,954 698,244

The ‘SORP Ref’ indicated above is the classification of Balance Sheet items as set out in the formal SORP documents. As required by paragraph 4.60 of the SORP, the brought forward and carried forward funds above have been agreed to the SOFA.

The Directors are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006.

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Warrington & District Society for Deaf People – Balance Sheet as at 31 March 2022

The members have not required the company to obtain an audit in accordance with section 476 of the Act.

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

The charity is subject to Independent Examination under charity legislation, and the report of the Independent Examiner is on pages 9 and 10.

The financial statements have been prepared in accordance with the provisions in Part 15 of the Companies Act 2006 applicable to companies subject to the small companies regime.

GREGORY PIERSSENE Trustee

Approved by the Board of Trustees on 5 December 2022

The notes attached on pages 18 to 25 form an integral part of these accounts.

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

1. Accounting Policies

Policies relating to the production of the accounts

Basis of preparation and accounting convention

The accounts have been prepared on the accrual basis, under the historical cost convention, and in accordance with the Financial Reporting Standard 102, (effective 1[st] January 2016) and ‘FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1[st] January 2019), (The SORP), published by the Charity Commission in England & Wales (CCEW), effective January 2016, and in accordance with all applicable law in the charity’s jurisdiction of registration, except that the charity has prepared the financial statements in accordance with the FRS 102 SORP (Statement of recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issues on October 2018 and applicable to all accounting periods beginning on or after 1[st] January 2019), (The SORP), in preference to the previous SORP, the SORP 2005, which has been withdrawn, notwithstanding the fact that the extant statutory regulations, the Charities (Accounts and Reports) Regulations 2008 refer explicitly to the SORP 2005. This has been done to accord with current best practice.

Going Concern

The charitable activities are dependent on voluntary donations as well as trading revenues. As a consequence, the going concern basis is dependent on the future flow of these uncertain funding streams. Having reviewed the assets of the charity, the Trustees are satisfied that, at the time of approving the financial statements, it is appropriate to adopt the going concern basis in preparing the financial statements. Other than these matters, the Trustees are not aware of any material uncertainties about the charity’s ability to continue as a going concern.

Risks and future assumptions

The charity is a public benefit entity.

In compliance with the aims of the charity, the Society continues to support and promote the rights and requirements of Deaf people within the Warrington area.

Policies relating to categories of income and income recognition

Income from Legacies

Income from legacies is recognised when the charity has sufficient evidence that a gift has been left to them, that where required, probate has been granted, the executor is satisfied that the property in question will not be required to satisfy claims in the estate, that it is possible that the amount will be received by the charity, and the amount to be received can be estimated with sufficient accuracy, and that any conditions attached to the legacy are either within the control of the charity or have been met.

Where a payment is received from an estate or is notified as receivable by the executors after the reporting date and before the accounts are authorised for issue but it is clear that the payment had been agreed by the executors prior to the end of the reporting period, then the amount concerned is treated as an adjusting event and accrued as income in the accounting period if receipt is probable.

When the charity has established entitlement to a legacy but there is uncertainty as to the amount of the payment, details of the legacy are disclosed as a contingent asset until the criteria for income recognition are met. Where a legacy is subject to the interest of a life tenant, the legacy is not recognised as income until the death of the life tenant.

If it is doubtful that full settlement of a legacy debtor will be received, then an adjustment is made to reduce the amount of the legacy debtor and legacy income rather than charging the adjustment as expenditure in the Statement of Financial Activities.

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

Policies relating to the production of the accounts

Recognition of liabilities and expenditure

A liability, and the related expenditure, is recognised when a legal or constructive obligation exists as a result of a past event, and when it is more likely than not that a transfer of economic benefits will be required in settlement, and when the amount of the obligation can be measured or reliably estimated.

Liabilities arising from future funding commitments and constructive obligations, including performance related grants, where the timing or the amount of the future expenditure required to settle the obligation are uncertain, give rise to a provision in the accounts, which is reviewed at the accounting year end. The provision is increased to reflect any increases in liabilities and is decreased by the utilisation of any provision within the period and reversed if any provision is no longer required. These movements are charged or credited to the respective funds and activities to which the provision relates.

Policies relating to assets, liabilities and provisions and other matters

Fixed Asset Investments

Fixed asset investments in quoted shares, traded bonds, investment properties and similar investments are shown initially at cost upon acquisition and at their market value at the balance sheet date at the end of the financial period. Investment properties are not depreciated.

Fixed asset investments in unlisted equities are shown at the balance sheet date at the best estimate of their market value, where practicable. Where valuation techniques are considered unreliable or where, in the opinion of the Trustees, undertaken at each year end as to whether the asset should be written down.

All gains on fixed asset investments, whether realised or unrealised, are included in row B4 of the Statement of Financial Activities.

Tangible fixed assets

Tangible fixed assets are measured at their original cost value, or subsequent revaluation, or if donated, as described above. Cost value includes all costs expended in bringing the asset into its intended working condition.

Depreciation has been provided at the following rates in order to write off the assets to their anticipated residual value over their estimated useful lives.

Plant and machinery 25% written down value Motor vehicles 25% written down value

A regular annual review of the likelihood of asset impairment is undertaken,

Debtors

Debtors are measured at their recoverable amounts at the balance sheet date.

Funding Accounting

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity.

Designated funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal or as implied by law.

Endowment funds are funds donated to the charity, where the funds shall be invested and the charity shall enjoy the benefit of the income from the capital fund, but where restrictions are placed on the use of the capital.

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

2. Liability to taxation

The Trustees consider that the charity satisfies the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 for the UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by chapter 3 part 11 of the Companies Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively on the specific charitable objects of the charity and for no other purpose. Value Added Tax is not recoverable by the charity and is therefore included in the relevant costs in the Statement of Financial Activities.

3. Winding up or Dissolution of the Charity

If upon winding up or dissolution of the charity there remain any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the charity.

4. Significance of financial instruments to the Charity’s position

There are no significant implications to the charity’s financial position or performance in respect of loan obligations.

5. Net surplus before tax in the financial year

2022 2021
£ £
The net surplus before tax in the financial year is stated after charging:
Depreciation of owned fixed assets 2,798 3,731
Pension costs 491 491

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

6. Gains and losses on revaluation of fixed and intangible assets

Current Year Current Year Current Year Current Year Current Year Prior Year
Unrestricted Restricted Endowment Total Funds Total Funds
Funds Funds Funds
2022 2022 2022 2022 2021
£ £ £ £ £
Revaluation of Property 0.00 0.00 0.00 0.00 0.00
0.00 0.00 0.00 0.00 0.00

7. Investment gains

Current Year Current Year Current Year Current Year Current Year Prior Year
Unrestricted Restricted Endowment Total Funds Total Funds
Funds Funds Funds
2022 2022 2022 2022 2021
£ £ £ £ £
Listed investments (unrealised) 0.00 0.00 2,566 2,566 5,747
0.00 0.00 2,566 2,566 5,747

8. The Contribution of Volunteers

The Charity depends on the support of its volunteers, which is much appreciated. The Charity had 40 volunteers engaged in a variety of activities, including the Sign Choir. The arrangements with volunteers are difficult to value precisely in monetary terms and have not been recognised in the Statement of Financial Activities. The volunteers and the Charity accept and agree that no contract of employment is created by these arrangements.

9. Staff Costs and Emoluments

Salary costs

Staff Costs and Emoluments
Salary costs
2022 2021
£ £
Gross Salaries excluding Trustees & key management personnel 16,382
18,912
Employer’s operating costs of defined contribution pension schemes 491
491
Total salaries, wages & related costs 16,873
19,403
The average number of part time staff employed in the year: 1 1
The estimated full time equivalent number of all staff employed in the year: 1 1
The estimated equivalent number of full time staff deployed in different activities in the year:
Engaged on management and administration: 1 1
The estimated full time equivalent number of all staff employed as above: 1 1

Neither the Trustees nor any person connected with them have received any remuneration from the charity or any related entity, either in the current or prior year. No employee received emoluments (excluding pension costs) in excess of £60,000 per annum.

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

10. Defined Contribution Pension Scheme

Any liabilities and assets associated with the scheme are shown under debtors and creditors.

11. Renumeration and Payments to Trustees and persons connected with them

No Trustees or persons connected with them received any remuneration from the charity, or any related entity.

12. Tangible Fixed Assets

Current Year Land and Land and Plant and Motor
Buildings Machinery Vehicles Total
£ £ £ £
Cost
At 1 April 2021 551,478 38,568 - 590,046
At 31 March 2022 551,478 38,568 - 590,046
Depreciation
At 1 April 2021 111,478 27,375 - 138,853
Charge for the year - 2,798 - 2,798
At 31 March 2022 111,478 30,173 - 141,651
Net Book Value
At 31 March 2022 440,000 8,395 - 448,395
At 31 March 2021 440,000 11,193 - 451,193
Prior Year Land and Plant and Motor
Buildings Machinery Vehicles Total
£ £ £ £
Cost
At 1 April 2020 551,478 38,568 - 590,046
Additions - - - -
At 31 March 2021 551,478 38,568 - 590,046
Depreciation
At 1 April 2020 111,478 23,644 - 135,122
Charge for the year - 3,731 - 3,731
Charged on revaluation - - - 0.00
At 31 March 2021 111,478 27,375 - 138,853
Net Book Value
At 31 March 2021 440,000 11,193 - 451,193
At 1 April 2020 440,000 14,924 - 454,924

A significant element of the fixed assets were acquired with the aid of grants and there are restrictions upon the manner in which the assets can be dealt with imposed by the grant making authorities.

All assets are used for direct charitable purposes.

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

13. Investments held as fixed assets

Listed Other Classes
Investments of Investment Total
£ £ £
Carrying values of investments
At 1 April 2021 - 23,480 - 23,480
Revaluation at 31 March 2022 - 2,566 - 2,566
At 31 March 2022 - 26,046 - 26,046
Investments as above held at fair value - 26,046 - 26,046

14. Debtors

Trade debtors
Prepayments & accrued income
Other debtors
2022
2021
£
£
554
350
4,301
4,705
96
96
4,951
5,151

15. Creditors: amounts falling due within one year

Trade creditors
Accruals
PAYE, NIC VAT and other taxes
Other creditors
2022
2021
£
£
5,488
3,331
4,313
600
396
400
-
-
10,197
4,331

16. Income and Expenditure account summary

At 1 April 2021
6
Surplus/(deficit) after tax for the year
Revaluation of property
Increase/(decrease) in market value of investments
At 31 March 2022
7
2022
2021
£
£
98,244
685,377
3,144
7,120
-
-
2,566
5,747
03,954
698,244

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

17. Particulars of how particular funds are represented by assets and liabilities

At 31 March 2022 Unrestricted Unrestricted Designated Endowment Restricted Total Total
Funds Funds Funds Funds Funds
£ £ £ £ £
Tangible Fixed Assets 135,473 - - 312,922 448,395
Investments at valuation:
Fixed asset investments - - 26,046 - 26,046
Current Assets 209,060 - 30,650 - 239,710
Current Liabilities (10,197) - - - (10,197)
334,336 - 56,696 312,922 703,954
At 1 April 2021 Unrestricted Designated Endowment Restricted Total
Funds Funds Funds Funds Funds
£ £ £ £ £
Tangible Fixed Assets 138,271 - - 312,922 451,193
Investments at valuation:
Fixed asset investments - - 23,480 - 23,480
Current Assets 198,952 - 28,950 - 227,902
Current Liabilities (4,331) - - - (4,331)
332,892 - 52,430 312,922 698,244

18. Change in total funds over the year as shown in Note 17, analysed by individual funds

Funds brought Funds brought Funds brought Movement in Transfers Funds carried Funds carried
forward from funds in between forward to
2021 2022 funds in 2022 2023
See Note 19 See Note 20
£ £ £ £
Unrestricted and designated funds:
Unrestricted Revenue Funds 332,892 3,144 (1,700) 334,336
Total unrestricted & designated funds 332,892 3,144 (1,700) 334,336
Restricted funds:
Big Lottery Fund 312,922 - - 312,922
Total restricted funds 312,922 - - 312,922
Endowment funds:
Richardson Estate Trust Fund 52,430 2,566 1,700 56,696
Total endowment funds 52,430 2,566 1,700 56,696
Total charity funds 698,244 5,710 - 703,954

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Warrington & District Society for Deaf People

Notes to the Accounts for the Year Ended 31 March 2022

19. Analysis of movements in funds over the year as shown in Note 18

Unrestricted and designated funds:
Unrestricted Revenue Funds
Endowment funds:
Revaluation of investments
Income
Expenditure Other Gains &
Movement
of Losses
in funds
2022
2022
2022
2022
£
£
£
£
44,745
41,601
-
3,144
-
-
-
-
-
-
2,566
2,566
44,745
41,601
2,566
5,710
44,745
41,601
2,566
5,710

20. Details of transfers between funds

The transfers shown in note 18 above are: 2022
£
To/(from) Unrestricted Revenue Funds in accordance with the accounting policy
‘Accounting for capital grants and fixed asset funds’ (1,700)
To/(from) Endowment Revenue Funds 1,700
Net transfers -

21. The purpose for the funds

Unrestricted and designated funds:

These funds are held to meet the objectives of the charity and to provide reserves for future activities, and, subject to charity legislation, are free from Unrestricted Revenue Funds all restrictions on their use. Restricted funds: A grant was received from the Big Lottery Fund as a contribution towards the renovation of the building. The renovation was required to provide enhanced facilities for the Deaf community. The contribution is potentially repayable if the Big Lottery Fund property is sold. Endowment funds: Richardson Estate Trust Fund Trust established to support the charity and applied for the long term development of the Deaf Centre.

22. Ultimate controlling party

The charity is under the control of its legal members.

Every member of the charity is obliged to contribute such amount as may be required not exceeding £1 to the assets of the company in the event of its being wound up while he or she is a member, or within one year after he or she ceases to be a member.

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