Charity Registration No. 1106898
Company Registration No. 05263509 (England and Wales)
RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
RUTLAND HOUSE COMMUNITY TRUST LIMITED
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees Mr S Brown (Chairman) Mr M Williams Mr J Davies Mrs A Gordon-Kerr Mr G Marsh Dr SG Cheverton Mr C Riley (Appointed 20 January 2021) Charity number 1106898 Company number 05263509 Principal address Willowbrook Willow Crescent Oakham Rutland LE15 6EH Registered office Willowbrook Willow Crescent Oakham Rutland LE15 6EH Auditor Newby Castleman LLP West Walk Building 110 Regent Road Leicester LE1 7LT Bankers CAF Bank Limited 25 Kings Hill Avenue West Malling Kent ME19 4JQ Melton Mowbray Building Society Leicester Road Melton Mowbray Leicestershire LE13 0DB
RUTLAND HOUSE COMMUNITY TRUST LIMITED
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 7 |
| Independent auditor's report | 8 - 11 |
| Statement of financial activities | 12 |
| Balance sheet | 13 |
| Statement of cash flows | 14 |
| Notes to the financial statements | 15 - 26 |
RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 MARCH 2021
The Trustees present their report together with the financial statements of the Charity for the year ended 31 March 2021.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity’s governing document, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), Accounting and Reporting by Charities: Statement of Recommended Practice for charities applying FRS 102, the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.
Objectives and activities
The objectives of the Charity as stated in the Memorandum of Articles and Association are as follows:
The object of the Trust is to provide a residential home (Willowbrook) and other individually designed quality services that promote opportunities for the development and self-fulfilment of adults with learning disabilities who primarily are or have been resident in Rutland or the surrounding area.
Rutland House Community Trust offers individually designed, quality services that promote opportunities for the development and self-fulfilment of adults with learning, physical and sensory disabilities.
The Trust is committed to the Personal Development and inclusion of all its service users through the mechanism of using a “Person Centred Planning” process to ensure that their needs, aspirations and potential are developed to the highest possible level.
We believe that everyone should be supported in expanding their personal and social activities, as they desire, including the opportunity to experience new and challenging situations. All service users are enabled to undertake group supported holiday activities.
Where applicable full professional risk assessments are carried out.
Rutland House Community Trust achieves its objectives by offering care and support for adults with learning, physical and sensory disabilities in the following areas:
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Residential care at Willowbrook for ten permanent residents.
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Supported Living for five tenants at Waterside and two at Brooke House.
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Domiciliary Care in the client’s own home within the community.
The Trustees have considered the strategic direction of the Trust’s activities and have set their priorities and key areas as follows:
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Ensuring that the current operations are maintained to the highest possible standard.
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Redevelopment of Willowbrook to bring it up to more current expectations.
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Expanding service user’s access to social, educational, employment and day opportunities.
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Expansion of Supported Living activities & Domiciliary care as opportunities arise and dependent on staff availability.
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Provision of support and care in the community for elderly, physically and/or sensory impaired people if the Trustees are satisfied that this is achievable and in the best interest of the Trust.
Public Benefit
The Trustees confirm that they have complied with the guidance issued by the Charity Commission on public benefit in deciding what activities they should undertake and reviewing the plans for the future.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
Achievements and performance
Occupancy rates for the year were as follows; Willowbrook 80% Waterside 98% Brooke House 100%.
Due to the COVID pandemic the Trust received no official visits or inspection through the year. There have been no cases of COVID-19 within the services
The Personal Care Service maintains the overall rating from CQC of GOOD.
Willowbrook maintains the CQC rating GOOD in in all areas.
The Trust maintains the permission from Oakham Town Council to build on the land behind Willowbrook.
The Registered Manager for Willowbrook left our employment, a skilled replacement has been appointed. There has been another manager appointed within the Supported Living service, she is awaiting registration with CQC.
The head office has moved to a property on the outskirts of the town, this provides more amenities whilst still being easily accessible to our service users & staff.
Financial review
The trustees, who are also directors of the charity for purposes of the Companies Act, have adopted the provisions of the Charities SORP (FRS 102) in preparing the annual report and financial statements.
The results for the year ended 31 March 2021 are shown in the Statement of Financial Activities on page 12 and the position of the charity as at 31 March 2021 is shown on the Balance Sheet on page 13.
Total income for the year increased by 5% which was due to an increase in care fees together with the receipt of government coronavirus grants during the year. Total expenditure increased by 4% mainly due to an increase in care costs.
During most of the year the coronavirus (COVID-19) pandemic resulted in a lockdown of the residences, in accordance with government guidelines. In the opinion of the Trustees, there has been no significant effect on the finances of the charity. As the income is generated from the local authorities there is minimal risk of there being any significant changes to the charities income.
Reserves Policy
Financial Objectives
Operating Surplus - To ensure that the funds of the Trust are adequate for future sustainability and that Assets can be funded at Replacement Value when required, the Trust will manage its operations to provide a surplus which should not be less than 5% of its Unrestricted income.
Operating Cash Reserves - As stated above the Trust must ensure the future sustainability of its operations and will maintain Cash Reserves at a minimum of 3 month’s value of Operating Expenditure.
Operating Cash Reserves are defined as:
Net Current Assets (excluding capital assets and restricted creditors) Less Total Cash Balances held as Restricted Funds, defined above.
This policy shall be subject to confirmation at Annual General Meetings of the Trust and may be amended as determined at any General Meeting of the Trust.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
Unrestricted Reserves
Unrestricted Reserves excluding Designated Funds stand at £555,945 of which cash and net current assets represent £278,950. This latter figure will sustain operations in a “nil income environment” for approximately four months based on costs incurred in the year ended 31 March 2021, against the Reserves Policy of three months for the forthcoming year.
Restricted Funds
Restricted Reserves stand at £25,689 of which cash and net current assets represent £25,689. During the year end 2020 the Trustees agreed that the Hardship Fund was no longer necessary and the fund was closed.
Plans for the future
The Trust aims to continue its commitment to staff development.
The Trust is also aiming to expand its provision of domiciliary care.
The Trust will continue to raise funds for the new build and redevelopment of the Willowbrook building.
The Trust aim to hold another fun run and other fund raising activities.
The Trust will look at the provision of all care sector activities in the area and consider the viability of expansion into new services in the future.
The Trust is working with the Local Authority to establish new, transparent funding arrangements for both services.
Structure, governance and management
Rutland House Community Trust Limited is registered as a Charity with the Charity Commission. It is constituted as a company limited by guarantee and is governed by its Memorandum and Articles of Association.
The Trustees who have held office since 1 April 2020 were: Mr S Brown (Chair Person, appointed 9[th] October 2019)
Mr M Williams (Treasurer)
Mr J Davies
Mrs A Gordon-Kerr (Vice-Chair, appointed 9[th] October 2019)
Mr G Marsh Mrs S Cheverton (Secretary, appointed 9[th] October 2019) Mr C Riley, (appointed 20[th] January 2021)
Resignation of Trustees
Miss M Lynch, resigned 24[th] September 2020. Mr J Leefe, resigned as Trustee 17[th] March 2020.
The Trustees are the Directors of the company and are appointed in accordance with the Articles of Association and retire by rotation.
If a new trustee position becomes available, the board approaches those individuals who they identify as having particular skill sets which would benefit the Charity. The board subsequently makes an informed decision on the new appointment based on the candidates knowledge, skills and experience.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
A Trustee appointment cannot be confirmed until satisfactory checks have been made with the “Disclosure & Barring Service” and receipt of appropriate references.
The induction process is conducted under the guidance of the Chairman as follows:
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Discussions with the Chairman and Treasurer to cover the detailed structure and operation of the Trust’s legal and financial operations and reporting requirements.
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A clear understanding must be achieved regarding the Charity Commission current requirements and the responsibilities of Charity Trustees.
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Meetings with the Operations Manager and managers to ensure a full understanding of the Trust’s operations and regulatory requirements (CQC Essential Standards etc).
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New Trustees must appraise themselves with the Trust’s Policy and Procedure Manual.
As part of the induction new Trustees will accompany other Trustees at least twice to carry out the monthly “Owners’ Inspection” of Willowbrook as required under Care Standards. All Trustees share this responsibility equally.
Organisational Structure
The Trustees are the Board of Directors and exercise all the powers of the Trust in accordance with the Articles of Association. It meets at least four times a year. To ensure best practice throughout the organisation, sub-committees control and manage all of its activities which are chaired by a Trustee and contain at least another Trustees.
The work, findings and recommendations of all sub-committees are reported to the Board by its Trustee chair and where necessary formal approval gained.
The sub-committees are:
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The Management Committee which is chaired by the Chairman of the Trust and meets every month.
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Other sub-committees established as necessary and which cover:
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Client Referrals - when vacancies exist and further consideration is given to applicants from new residents.
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Disciplinary Matters - when the need arises.
Under the requirements for the Care Quality Commission of Social Care Inspection, the Trustees are responsible for completing a monthly inspection at one of its sites under the Residential Care Standards. In addition, the Operations Manager carries out sporadic checks at Willowbrook and Waterside as part of the Trust’s in house quality assurance procedure.
To facilitate effective management, Trustees control day-to-day operations. The Management Committee meets each month to review operations and receive reports from managers. Other meetings are held as follows:
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The Staff Management Meeting chaired by the Operations Manager, which meets each week.
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The managers and senior care officers have monthly "senior" meetings, which are chaired by the Operations Manager.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
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Managers of the Trust’s two services have monthly team meetings with all staff and report to the Staff Management Meeting.
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Training/Diploma meetings are held quarterly, these are chaired by the Operations Manager and attended by assessors to discuss the needs and progress of staff undertaking qualifications.
These visits have not been possible throughout the year due to the pandemic, the Operations Manager has ensured the effective running of the services through virtual meetings and telephone calls. Some meetings have been held virtually but not as regularly as under normal circumstances. The Board of Trustees has received monthly updates via email.
The Board of Trustees continuously monitors the status of the Trust’s operations at its meetings and from information considered by the Management Committee, to ensure that the Trust will continue to function to a high standard for the foreseeable future.
Risk Management
The Trustees have considered various areas where the Trust and its operations could be vulnerable as follows:
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Supported Living Services: The Waterside contract with Rutland County Council expired in March 2012. All of the service users have opted for Direct Payments or personalised budget (managed by the Council) which gives them the choice of who provides their support rather than the local authority.
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Financial: The financial information attached to this report demonstrates that the Trust is currently financially secure but has been experiencing difficult trading conditions for the last few years.
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Recruitment: due to the rural environment of our catchment area, there is considered to be some small risk in maintaining full staffing requirements. Any shortfall in this area is met by externally provided workers.
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Funding Models: there is not an identifiable funding model in place for either service, this leaves the services vulnerable if it loses a “high funded” service user. The Trust is working with the Local Authority to put adequate funding models in place to maintain appropriate funding levels.
In view of the above the Board of Trustees is carrying out a detailed review of its operations to ensure the future viability of the Trust and that any decisions made are in the best interest of service users and staff.
Equal Opportunities
Rutland House Community Trust is committed to the principle of equal opportunities in employment. We promote equal opportunity through the application of personnel policies that ensure that individuals receive treatment that is fair, equitable and consistent with their aptitudes, potentials, skills and abilities. As such RHCT recognises its responsibilities under the equal opportunities legislation and will not discriminate on grounds of gender, marital status, race, ethnic origin, nationality, religion, sexuality, age, political opinion, affiliation, disability or mental health.
Members of RHCT and staff involved in recruitment, promotion and management will receive training as appropriate in the application of the equal opportunities policy and be made aware of the effects of possible prejudice and cultural bias. Therefore the interview and selection process is fair and relevant. Vacancies will be advertised as widely as possible to ensure that all sections of the community have an opportunity of making an application.
We aim to ensure that no service user, job applicant, staff member, volunteer, organisation or individual to whom we provide services will be discriminated against by us on any grounds whatsoever.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
We aim to foster awareness of the prejudices of all who work for and with the Trust and commit ourselves to taking positive action to affect the removal of these prejudices.
When considering potential service users, selection will be made on the basis of ability of the service to meet the needs of the potential service user according to their disability and not on the grounds of race, nationality, ethnic or national origin or religion.
Service users are entitled to equal opportunities within society and so will be supported by staff to have full opportunity to use community facilities: have their religious and cultural needs respected and met and to be treated with dignity and respect at all times. Service users are entitled to equal opportunities regardless of their disability and to live in an enabling environment. They will be given the opportunity to participate in appropriate learning experiences and will be encouraged to advocate for themselves wherever possible.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
Statement of trustees’ responsibilities
The Trustees, who are also the directors of Rutland House Community Trust Limited for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP 2019 (FRS 102);
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the Trustees are aware:
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there is no relevant audit information of which the charitable company's auditors are unaware; and
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the Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
This report has been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006.
………………………….
Mr S Brown (Chairman) Trustee
Dated: …………………
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE TRUSTEES OF RUTLAND HOUSE COMMUNITY TRUST LIMITED
Opinion
We have audited the financial statements of Rutland House Community Trust Limited (the ‘charity’) for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
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In our opinion the financial statements:
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give a true and fair view of the state of the charitable company's affairs as at 31 March 2021 and of its incoming resources and application of resources, including it's income and expenditure for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern 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 twelve months from when the 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 information included in the trustee's report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
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 course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF RUTLAND HOUSE COMMUNITY TRUST LIMITED
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:
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the information given in the financial statements is inconsistent in any material respect with the trustees' report; or
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the charitable company has not kept adequate accounting records; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the trustees' responsibilities statement set out on page 7, the trustees (who are also the directors of the charity for the purpose of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
We have been appointed as auditor under section 145 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that act.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
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.
Extent to which the audit was considered capable of detecting irregularities
We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. However, responsibility for the prevention and detection of fraud ultimately rests with both those charged with governance and management of the charitable company.
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, our procedures included the following:
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obtaining an understanding of the legal and regulatory framework applicable to the charitable company by considering the nature of the industry in which the charitable company operates and enquiring of management; and
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identifying the key laws and regulations considered to have a direct impact on the financial statements including the UK Companies Act 2006, UK Charities Act 2011, UK Generally Accepted Accounting Practice UK and tax legislation. Other regulations identified which were not considered to have a direct impact on the financial statements but which were considered central to the ability of the charitable company to operate were Quality Care Commission Regulations; and
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF RUTLAND HOUSE COMMUNITY TRUST LIMITED
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assessing how the charitable company is complying with the applicable legal and regulatory framework by making further enquiries of management and observing the company's control environment regarding compliance with regulations and fraud prevention; and
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assessing the susceptibility of the charitable company's financial statements to material misstatement, including how fraud might occur, by considering the effectiveness of the charitable company’s accounting systems and controls and how these were monitored by management. Where the risk of material misstatement was considered to be higher in certain areas, further audit procedures were designed to address this increased risk; and
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discussing amongst the engagement team how and where fraud might occur in the financial statements and any potential indicators of fraud.
Audit response to risks of irregularities identified
Our procedures to respond to risks identified included the following:
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reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and
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enquiry of charitable company staff responsible for compliance to identify any instances of noncompliance with laws and regulations; and
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reviewing supporting documentation confirming compliance with specific laws and regulations considered central to the ability of the company to operate; and
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enquiry of management, those charged with governance and other relevant parties around actual and potential litigation claims; and
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reviewing minutes of meetings of those charged with governance; and
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performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias; and
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communicating identified laws and regulations and potential fraud risks to all engagement team members and assessing whether there are any indications of fraud or non-compliance with laws and regulations throughout the audit.
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 or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF RUTLAND HOUSE COMMUNITY TRUST LIMITED
Use of our report
This report is made solely to the charitable company's 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 charitable company's trustees those matters we are required to state to them 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 charitable company and charitable company's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
..................................... Newby Castleman LLP
Date: .........................
Chartered Accountants Statutory Auditor West Walk Building 110 Regent Road Leicester LE1 7LT
Newby Castleman LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021
| Notes Income from Donations and legacies 3 Charitable activities 4 Investments 5 Total Expenditure on Raising funds 6 Charitable activities 7 Other 10 Total Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward |
Unrestricted funds Restricted general designated funds £ £ £ 16,680 - 19,220 852,334 - - 1,229 - - 870,243 - 19,220 - - - 863,772 6,111 19,220 1,061 - - 864,833 6,111 19,220 5,410 (6,111) - 550,535 352,493 25,689 555,945 346,382 25,689 |
Total 2021 £ 35,900 852,334 1,229 889,463 - 889,103 1,061 890,164 (701) 928,717 928,016 |
Total 2020 £ 7,745 838,892 2,181 848,818 11,273 843,559 817 855,649 (6,831) 935,548 928,717 |
|---|---|---|---|
All income and expenditure derive from continuing activities.
The statement of financial activities includes all gains and losses recognised during the year.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
BALANCE SHEET
AS AT 31 MARCH 2021
| Notes Fixed assets Tangible assets 13 Current assets Debtors 14 Cash at bank and in hand Creditors: amounts falling due within one year 15 Net current assets Total assets less current liabilities Total funds of the charity Restricted funds 17 Designated funds 18 Unrestricted funds 18 Total charity funds |
2021 £ 39,345 512,799 552,144 (50,765) |
£ 426,637 501,379 928,016 25,689 346,382 555,945 928,016 |
2020 £ 31,575 521,579 553,154 (62,125) |
£ 437,688 491,029 |
|---|---|---|---|---|
| 928,717 | ||||
| 25,689 352,493 550,535 |
||||
| 928,717 |
For the year ending 31 March 2021 the company was entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006 relating to small companies but as this is a charity, it is subject to audit under the Charities Act 2011.
Directors responsibilities:
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The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476;
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved and authorised by the board of trustees on ......................... and are signed on its behalf by:
..............................
Mr S Brown (Chairman) Trustee
The notes on pages 15 - 26 form part of these financial statements.
Company Registration No. 05263509
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2021
| Notes Cash flows from operating activities Cash (absorbed by)/generated from operations 24 Investing activities Purchase of tangible fixed assets Interest received Net cash used in investing activities Net (decrease)/increase in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year |
2021 £ (5,318) 1,229 |
£ (4,691) (4,089) (8,780) 521,579 512,799 |
2020 £ (6,060) 2,181 |
£ 52,333 (3,879) 48,454 473,125 521,579 |
|---|---|---|---|---|
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
Charity information
Rutland House Community Trust Limited ("the charity") is a private company limited by guarantee incorporated in England and Wales. The address of the registered office and place of business is given in the legal and administrative information page of these financial statements.
The members of the company include the trustees named within the legal and administrative information. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the charity.
1.1 Basis of preparation
The charity is a public benefit entity as defined by FRS 102. These financial statements have been prepared in accordance with The Financial Reporting Standard applicable in the UK and Republic of Ireland (“FRS 102”), Accounting and Reporting by Charities: the Statement of Recommended Practice for charities applying FRS 102 (2019), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.
Designated funds are unrestricted funds of the charity that the trustees have decided at their discretion to set aside for specific purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
1.4 Income recognition
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
Income from charitable activities primarily include:
-
care fees received under contract and fees where entitlement to the funding is subject to specific performance conditions. Fees are recognised as earned when the related services are provided.
-
rental income is received from letting a property to further the charities activities. This is recognised on an accruals basis.
Investment income is earned through holding assets for investment purposes. It comprises bank interest and is recognised on an accruals basis.
1.5 Expenditure recognition
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs relating to the category. Expenditure is recognised when there is a legal or constructive obligation to make payments to third parties, it is probable that settlement will be required and the amount of the obligation can be measured reliably. It is recognised under the principal heading of expenditure on charitable activities which includes costs incurred by the charity in the delivery of its activities and services for its users.
Irrecoverable VAT is charged against the category of resources expensed for which it was incurred.
1.6 Support costs
Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs, and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity. Support costs are allocated to expenditure on charitable activities on a basis consistent with use of the resources.
The analysis of these costs is included in note 9.
1.7 Tangible fixed assets
Tangible fixed assets are measured at cost, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following basis:
Leasehold property 1% per annum of cost Fixtures, fittings & equipment 20% per annum of cost Motor vehicles 10% per annum of cost
1.8 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.
1.9 Financial instruments
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Debtors and creditors with no stated interest rate and receivable or payable within one year are measured at transaction price. Any losses arising from impairment are recognised in the Statement of Financial Activities ("SOFA").
1.10 Taxation
Rutland House Community Trust Limited is a registered charity and no taxation provision is required as its income from charitable activities falls within the various exemptions available to registered charities.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
1.11 Employee benefits
When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.
1.12 Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.13 Leases
Rentals payable under operating leases, including any lease incentives received, are charged to the SOFA on a straight line basis over the term of the relevant lease.
1.14 Government grants
Government grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured with reliability. If entitlement is not met, then the amounts are deferred.
2 Critical accounting estimates and judgements
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The trustees do not consider there to be any key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements.
3 Income from donations and legacies
| Unrestricted Restricted funds funds £ £ Donations 1,331 - Government grants 15,349 19,220 16,680 19,220 Unrestricted funds Restricted funds |
Total 2021 £ 1,331 34,569 35,900 |
Total 2020 £ 7,745 - |
|---|---|---|
| 7,745 | ||
| 641 7,104 |
||
| 7,745 |
- 17 -
RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
4 Income from charitable activities
| Unrestricted Restricted funds funds £ £ Care fees 836,125 - Transport income 1,616 - Rental income 14,593 - 852,334 - Unrestricted funds - general Restricted funds |
Total 2021 £ 836,125 1,616 14,593 852,334 |
Total 2020 £ 819,411 5,272 14,209 |
|---|---|---|
| 838,892 | ||
| 838,892 - |
||
| 838,892 |
5 Income from investments
| Unrestricted Restricted funds funds £ £ Interest receivable 1,229 - Unrestriced funds Restricted funds |
Total 2021 £ 1,229 |
Total 2020 £ 2,181 |
|---|---|---|
| 2,181 - |
||
| 2,181 |
6 Raising funds
| Staff costs Unrestricted funds Restricted funds |
Unrestricted funds Restricted general designated funds £ £ £ - - - - - - |
Total 2021 £ - - |
Total 2020 £ 11,273 |
|---|---|---|---|
| 11,273 | |||
| 11,273 - |
|||
| 11,273 |
- 18 -
RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
7 Expenditure on charitable activities
| Activities undertaken directly Note 8 £ Care costs 794,192 Transport costs 8,332 802,524 Unrestricted funds - general Restricted funds |
Support costs Note 9 £ 86,579 - 86,579 |
Total 2021 £ 880,771 8,332 889,103 869,883 19,220 889,103 |
Total 2020 £ 834,839 8,720 |
|---|---|---|---|
| 843,559 | |||
| 842,764 795 |
|||
| 843,559 |
8 Expenditure on activities undertaken directly
| Care Costs Transport Costs £ £ Staff costs 691,118 - Depreciation 13,377 1,931 Direct care costs 82,632 - Direct transport costs - 6,401 Insurance 7,065 - Hardship fund expenditure - - 794,192 8,332 |
Total 2021 £ 691,118 15,308 82,632 6,401 7,065 - 802,524 |
Total 2020 £ 676,449 23,313 52,747 6,789 6,915 795 |
|---|---|---|
| 767,008 |
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
9 Expenditure on support costs
| Expenditure on support costs | ||
|---|---|---|
| Staff costs Rent Rates Insurance Light and heat Repairs and maintinance Office costs Charges and fees Audit fees and accountancy Other costs Analysed between Charitable activities |
2021 £ 10,077 10,108 2,143 4,710 23,674 14,085 16,071 98 5,600 13 86,579 86,579 |
2020 £ 7,442 8,844 2,060 4,610 21,280 12,253 11,105 1,194 7,750 13 |
| 76,551 | ||
| 76,551 |
Support costs have been allocated to activities on a relevant basis to the nature of the underlying costs in proportion to resources used. Support costs include governance costs totalling £15,690 (2020: £15,205).
10 Other expenditure
| Unrestricted Restricted funds funds £ £ Loss on disposal of tangible fixed assets 1,061 - Unrestricted funds Restricted funds |
Total 2021 £ 1,061 |
Total 2020 £ 817 |
|---|---|---|
| 817 - |
||
| 817 |
11 Trustees
None of the trustees (or any persons connected with them) received any remuneration, benefits or reimbursed expenses from the charity during the year.
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RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
12 Employees
The average monthly number of employees during the year was:
| Employees Employment costs Wages and salaries Social security costs Other pension costs |
2021 Number 33 2021 £ 642,214 47,792 11,189 701,195 |
2020 Number 30 |
|---|---|---|
| 2020 £ 634,948 48,896 11,320 |
||
| 695,164 |
There were no employees whose annual remuneration was £60,000 or more.
13 Tangible fixed assets
| Tangible fixed assets | Tangible fixed assets | |
|---|---|---|
| Leasehold property Fixtures, fittings & equipment Motor vehicles £ £ £ Cost At 1 April 2020 476,231 85,868 65,605 Additions - 5,318 - Disposals - (6,299) - At 31 March 2021 476,231 84,887 65,605 Depreciation and impairment At 1 April 2020 86,786 73,125 30,105 Depreciation charged in the year 4,805 3,942 6,561 Eliminated in respect of disposals - (5,238) - At 31 March 2021 91,591 71,829 36,666 Carrying amount At 31 March 2021 384,640 13,058 28,939 At 31 March 2020 389,445 12,743 35,500 |
Total £ 627,704 5,318 (6,299) |
|
| 65,605 | 626,723 | |
| 30,105 6,561 - |
190,016 15,308 (5,238) |
|
| 36,666 | 200,086 | |
| 28,939 | 426,637 | |
| 35,500 | 437,688 |
- 21 -
RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
14 Debtors
| Debtors | ||
|---|---|---|
| Amounts falling due within one year Trade debtors Other debtors Prepayments and accrued income |
2021 £ 14,298 938 24,109 39,345 |
2020 £ 7,972 - 23,603 |
| 31,575 |
15 Creditors: amounts falling due within one year
| Other taxation and social security Trade creditors Other creditors Accruals and deferred income |
2021 £ 3,980 27,158 - 19,627 50,765 |
2020 £ 10,442 26,192 1,465 24,026 |
|---|---|---|
| 62,125 |
16 Retirement benefit schemes
Defined contribution schemes
The charity operates a defined contribution pension scheme for all qualifying employees.
The charge to the SOFA in respect of defined contribution schemes was £11,189 (2020 - £11,320). This expenditure has been allocated to support costs and unrestricted general funds.
- 22 -
RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
17 Restricted funds
The funds of the charity include restricted funds held for specific purposes:
| Movement in funds | Movement in funds | ||||
|---|---|---|---|---|---|
| Balance at 1 | Income | Expenditure | **Transfers ** | Balance at | |
| April 2020 | 31 March | ||||
| 2021 | |||||
| £ | £ | £ | £ | £ | |
| Future Development | 25,689 | - | - | - | 25,689 |
| Coronavirus Infection Control and Support | - | 19,220 | (19,220) | - | - |
| 25,689 | 19,220 | (19,220) | - | 25,689 | |
| Movement in funds | |||||
| Balance at 1 | Income | Expenditure | **Transfers ** | Balance at | |
| April 2019 | 31 March | ||||
| 2020 | |||||
| £ | £ | £ | £ | £ | |
| Future Development | 18,585 | 7,104 | - | - | 25,689 |
| Hardship | 160 | 19,220 | (795) | 635 | - |
| 18,745 | 7,104 | (795) | 635 | 25,689 |
The Future Development fund represents cash which has been received for the future development of the charity.
The Hardship fund was established to provide grants for travel, recreation and other items for service users who could not afford such costs and who met the criteria set out in the Trust's hardship policy. During the year end 2020 the Trustee's agreed that the fund was no longer necessary and the balance of £635 was transferred from general unrestricted reserves, and the fund closed.
The Coronavirus Infection Control and Support fund represents amounts received from the Government and local authorities to cover additional costs in respect of the Covid-19 pandemic.
- 23 -
RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
18 Unrestricted funds
The unrestricted funds of the charity include general and designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
| Balance at 1 April 2020 £ Designated funds: Building 127,976 New Build 176,740 Transport 47,777 352,493 General funds 550,535 903,028 Balance at 1 April 2019 £ Designated funds: Building 136,683 New Build 188,013 Transport 52,407 377,103 General funds 539,700 916,803 |
Movement in funds Income Expenditure Depreciation Balance at 31 March 2021 £ £ £ £ - - (1,481) 126,495 - - - 176,740 - - (4,630) 43,147 - - (6,111) 346,382 870,243 (855,636) (9,197) 555,945 870,243 (855,636) (15,308) 902,327 Movement in funds Income Expenditure Depreciation Balance at 31 March 2020 £ £ £ £ - - (8,707) 127,976 - (11,273) - 176,740 - - (4,630) 47,777 - (11,273) (13,337) 352,493 841,714 (820,268) (9,976) 550,535 841,714 (831,541) (23,313) 903,028 |
|---|---|
The Building fund represents the net book value of certain assets which have been designated by the trustees for general building purposes.
The New Build fund represents cash designated by the trustees for the redevelopment and refurbishment of the existing buildings.
The Transport fund comprise cash, and the net book value of motor vehicles, designated by the trustees to provide transport assistance to users.
- 24 -
RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
19 Analysis of net assets between funds
| Analysis of net assets between funds | ||
|---|---|---|
| Fund balances at 31 March 2021 are represented by: Tangible assets Current assets/(liabilities) Fund balances at 31 March 2020 are represented by: Tangible assets Current assets/(liabilities) |
Unrestricted funds Restricted general designated funds £ £ £ 276,995 149,642 - 278,950 196,740 25,689 555,945 346,382 25,689 Unrestricted funds Restricted general designated funds £ £ £ 281,935 155,753 - 268,600 196,740 25,689 550,535 352,493 25,689 |
Total £ 426,637 501,379 |
| 928,016 | ||
| Total £ 437,688 491,029 |
||
| 928,717 |
20 Events after the reporting date
The COVID-19 pandemic has not had a significant impact on the charity's financial results during this financial period or post year end. The charity is continuing to monitor the situation and will take action as appropriate.
21 Operating lease commitments
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
| Within one year Between two and five years In over five years |
2021 £ 3,935 8,829 648 13,412 |
2020 £ 8,763 12,571 2,592 |
|---|---|---|
| 23,926 |
Lease payments totalling £11,284 (2020 - £12,513) have been recognised as an expense during the year.
- 25 -
RUTLAND HOUSE COMMUNITY TRUST LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
22 Related party transactions
Remuneration of key management personnel
The remuneration of key management personnel is as follows.
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Aggregate compensation | 99,574 | 105,959 |
23 Controlling party
Rutland House Community Trust Limited is a company limited by guarantee and not having share capital; it is incorporated under the Companies Act and governed by the Memorandum of Articles of Association of the charity. The trustees of the charity are elected members and act as directors of the charity who are deemed to be the controlling party of the charity.
24 Cash generated from operations
| Cash generated from operations Deficit for the year Adjustments for: Investment income recognised in statement of financial activities Loss on disposal of tangible fixed assets Depreciation and impairment of tangible fixed assets Movements in working capital: (Increase)/decrease in debtors (Decrease)/increase in creditors Cash (absorbed by)/generated from operations |
2021 £ (701) (1,229) 1,061 15,308 (7,770) (11,360) (4,691) |
2020 £ (6,831) (2,181) 817 23,313 31,331 5,884 |
|---|---|---|
| 52,333 |
25 Analysis of changes in net funds
During the year the charity had no borrowings or obligations under finance leases. The changes in net funds of the charity therefore solely comprise of cash and cash equivalents.
- 26 -