Financial Inclusion Services (Yorkshire) Limited (A company limited by guarantee)
F inancial I nclusion S ervices Y orkshire
Report and financial statements Year ended 30 September 2021
Company Number 05239863
Charity Number 1109539
1 Financial Inclusion Services (Yorkshire) Limited
| Contents | |
|---|---|
| Page | |
| Legal and administrative information | 2 |
| Directors/Trustees Report | 3 - 6 |
| Statement of financial activities | 7 |
| (including Income and Expenditure Account) | |
| Balance sheet | 8 |
| Notes to the financial statements | 9 – 15 |
| Report of the Independent Examiner | 16 |
2 Financial Inclusion Services (Yorkshire) Limited
Legal and administrative information
Company name Financial Inclusion Services (Yorkshire) Limited Company number 05239863 Charity number 1109539 Registered office and 35 Townhead Street Principal operational Sheffield Address South Yorkshire S1 2EB Trustees/Company B Parfett (resigned October 2021) Directors P Armstrong C Ursell M Stavrianakos (new Chair) S Loveitt (resigned December 2021) R Edwards J Bulloss C Gwebu J Dadley-Kon C Kearton (appointed May 2021) Secretary C Ursell Treasurer P Armstrong Auditors Allen, West & Foster 364 - 366 Cemetery Road Sheffield S11 8FT Bankers Unity Trust Bank Nine Brindleyplace Birmingham B1 2HB
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Financial Inclusion Services (Yorkshire) Limited
Directors/Trustees Report for the year ended 30 September 2021
The Trustees present their report along with the financial statements of the Trust for the year ended 30th September 2021. The reference and administration details set out on page 2 form part of this report. The financial statements comply with the Charities Act 2011, the Trust Deed and the Statement of Recommended Practice – Accounting and Reporting by Charities (SORP 2015 (FRS102)).
Structure, governance and management
Governing document
The organisation is a charitable company limited by guarantee. It was incorporated on 23 September 2004 and is governed by the Memorandum and Articles of Association under which it was established.
Recruitment and appointment of directors
Recruitment and appointment of directors is an ongoing process within the organisation involving identifying people with skills, knowledge and relevant experience to join our board of directors. This is achieved by local advertising campaigns as well as identifying individuals with specific skills in areas required by the organisation. Information packs, policies and procedures, training opportunities and induction to the organisation are available to all who would like to become board members.
Organisational structure
The organisation is governed by a board of directors, who are responsible for controlling the management and administration of the charity. The board have established formalised reporting procedures and clear lines of accountability. The board second a varying number of hours of Sheffield Credit Union’s General Manager (also referred to as Chief Executive Officer) and Finance Manager to manage the organisation on a day to day basis on their behalf. The managers report to the board each month and there are clearly defined roles and responsibilities. The aims and objectives are set out in the organisations’ Memorandum and Articles of Association. Decisions are agreed and approved at the board meetings that are held regularly throughout the year.
Risk management
The board of directors actively review the major risks to which the charity is exposed and believe that careful monitoring of reserves, combined with an annual review of the controls over financial systems, will provide sufficient resources in the event of adverse conditions. The board of directors has also examined other operational risks faced by the charity and can confirm that they have established systems and procedures to mitigate all potential risks identified.
Public Benefit Statement
The objectives and activities of the organisation have been planned taking into account the requirements that the Charities Commission sets out with regard to Public Benefit. The Public Benefit that the organisation provides relates to our aims and objectives, and is balanced against any potential harm through our risk assessment procedures. The benefits are not unreasonably restricted. The activities do not result in private benefit.
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Financial Inclusion Services (Yorkshire) Limited
Objectives and activities
The charity’s principal objectives continue to be to relieve persons in need, poverty and distress by the provision and support in the provision of debt and personal finance management, training including training in vocational skills and the provision of such other resources and services as the trustees shall from time to time determine with the object of improving the conditions of life for those persons who have need of such services. These objectives are being met by:
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Attending strategic meetings to drive forward issues surrounding financial exclusion at a local and county level;
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Participating in, and leading projects to improve understanding of financial exclusion, for individuals and organisations;
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Providing support for individuals experiencing financial exclusion, in partnership with Sheffield Credit Union Limited as well as through signposting to other relevant agencies and support mechanisms;
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Offering money management and budgeting support to individuals and to organisations dealing with individuals in need of this support.
Volunteers work within the organisation where appropriate to complement the charity’s full time staff. The board estimate that approximately 40 hours were donated by volunteers during the year (Board meetings & AGM).
Achievements and performance
SCC Employability Project
Sheffield City Council contracted FISY Ltd to administer Employability Project grants on their behalf. These grants are paid to individuals through organisations participating in the project. The organisations receive the grants from FISY and then provide them to the individuals that they support. The project began in January 2012 and is ongoing. Since beginning, a total of 890 grants have been issued, all designed to help individuals to overcome the barriers involved in getting back to work. Purposes have included accessing training, transport passes, work clothing and other expenses that would otherwise have made resuming employment difficult for the individuals.
Budgeting and Bill Payment Accounts
The former Moneyline Yorkshire (IPS) Limited donated its funds on ceasing to trade to Financial Inclusion Services Yorkshire Limited. The funds have been used to employ a member of Sheffield Credit Union staff to set up and administer budgeting accounts for those who require and can benefit from them. This includes repaying housing arrears to avoid eviction and secure improved housing, preventing financial problems by keeping on top of bills and better managing limited resources to improve financial wellbeing. Approximately 70-90 people are supported by these accounts at any one time.
Financial Review
Principal sources of funding
This year, the charity’s funds have come from contractual income from Sheffield City Council. Other necessary expenditure, including support for Sheffield Credit Union to explore and develop its community presence and furtherance of the aims of financial inclusion, has been found from company reserves. Money from the former Moneyline Yorkshire (IPS) Limited has supported budgeting accounts as described above.
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Financial Inclusion Services (Yorkshire) Limited
Reserves Policy
The Board of Directors has established a policy whereby the unrestricted funds not committed or invested in tangible fixed assets held by the Charity should be between one and six months of the resources expended, which based on the current year equates to between £2,135 and £12,808. The board of directors feel the available unrestricted funds of £18,390 at 30 September 2021, which is higher than this target due to reduced projects within the organisation, are sufficient for the charity to continue operating its current activities.
Investment Policy
The general purposes committee has considered the most appropriate policy for investing funds and has found that the Unity Trust bank meets the charity’s requirements.
Plans for future periods
The organisation aims to continue to deliver services to improve financial capability and promote better financial inclusion. To achieve this, tendering processes and further funding applications will be submitted when appropriate. All activities that aim to improve financial capability will be considered, including sourcing training for those working with financially excluded individuals. Work within schools and the community, to deliver money skills sessions and to raise awareness of financial inclusion issues in the wider community are still under consideration for future projects. There were no paid employees within the organisation by the end of the financial year, and all salary charges are currently in the form of buying in staff hours from Sheffield Credit Union. The organisation aims to continue building links with the local media through work delivered by the General Manager/CEO and is continuing to utilise donated funds to buy hours to support Sheffield Credit Union members with budgeting and financial management.
The organisation will continue to provide volunteer opportunities by recruiting and training new volunteers to our organisation. We recruit new Directors with a variety of skills to support the Board of Directors, and at the time of this report the Board of Directors has between 1 and 5 vacancies, although 2 new directors will be standing for election at the next Annual General Meeting.
Trustee’s Responsibilities
The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Account Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England & Wales 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 Trust and of the incoming resources and application of resources of the Trust for that period. In preparing these financial statements the Trustees are required to:
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select suitable account policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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Financial Inclusion Services (Yorkshire) Limited
- prepare the financial account on the going concern basis unless it is inappropriate to presume that the Trust will continue in operation.
The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Trust and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the Trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Independent Examiners
In accordance with the Companies Act 2006, a resolution proposing that Stephen Allen ACA FCCA of Allen, West and Foster Chartered Accountants be reappointed as independent examiner of the company will be put to the Annual General Meeting.
Small Company Provisions
This report is prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies and in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (effective 1 January 2015).
This report was approved by the Trustees on 19 May 2022 and signed on their behalf by Peter Armstrong, Treasurer.
Peter Armstrong Treasurer
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Financial Inclusion Services (Yorkshire) Limited
Statement of Financial Activities (including income and expenditure account) for the year ended 30 September 2021
| Notes Incoming resources Donations and gifts 2 Grants 3 Other income 4 Investment income Total incoming resources Resources expended Management, administration and cost of generating funds 6 Direct charitable expenditure 5 Total resources expended Net income for the year Transfer between funds Net movement in funds Total funds brought forward Total funds carried forward |
Notes 2 3 4 |
Unrestricted Restricted Total Total 2021 2021 2021 2020 £ £ £ £ 14,216 - 14,216 13,587 - 11,514 11,514 5,886 - 46 46 576 - - - - 14,216 11,560 25,776 20,049 1,353 99 1,452 1,392 12,863 11,461 24,324 18,657 14,216 11,560 25,776 20,049 0 0 0 0 0 0 0 0 0 0 0 0 18,390 0 18,390 18,390 |
|
|---|---|---|---|
| 6 5 |
|||
| 18,390 0 18,390 18,390 |
There were no recognised gains or losses for 2020-2021 other than those included in the Statement of Financial Activities.
All incoming resources and resources expended derive from continuing activities.
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Financial Inclusion Services (Yorkshire) Limited
Balance Sheet As at 30 September 2021
| Notes Fixed assets Tangible assets 8 Current assets Cash at bank and in hand Debtors 9 Prepayments 10 Creditors: amounts falling due within one year 11 Deferred income 12 Net current assets Total assets less current liabilities Charity funds Unrestricted funds 14 Restricted funds 14 Total funds |
2021 £ £ 0 77,708 0 35 77,743 (1,382) (57,971) (59,353) 18,390 18,390 18,390 0 18,390 |
2021 £ £ 0 77,708 0 35 77,743 (1,382) (57,971) (59,353) 18,390 18,390 18,390 0 18,390 |
2020 £ £ 0 103,277 101 35 103,413 (1,322) (83,701) (85,023) 18,390 18,390 18,390 0 18,390 |
2020 £ £ 0 103,277 101 35 103,413 (1,322) (83,701) (85,023) 18,390 18,390 18,390 0 18,390 |
|---|---|---|---|---|
| 77,743 (1,382) (57,971) |
103,413 (1,322) (83,701) |
|||
| (59,353) | (85,023) | |||
| 18,390 | 18,390 | |||
| 18,390 0 |
18,390 0 |
|||
| 18,390 | 18,390 |
For the year ended 30[th] September 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
No members have required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and for the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
The accounts were approved by the board of directors / trustees and authorised for issue and are signed on behalf of the board by:
| Director: | Maxine Stavrianakos (Chair) ____Dated:______ |
|---|---|
| Director: | Peter Armstrong (Treasurer) ____Dated: _____ |
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Financial Inclusion Services (Yorkshire) Limited
Notes to the financial statements for the year ended 30 September 2021
1) Accounting Policies and General Information
General information
The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is 35 Townhead Street, Sheffield, S1 2EB.
The company is a company limited by guarantee not having a share capital. Every member of the company undertakes to contribute a sum not exceeding £1 if the company has insufficient assets to discharge its liabilities in the event of winding up.
Accordingly, the company has no share capital and no reconciliation of movements in shareholders' funds has been presented
Accounting policies
The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year and the preceding year.
a) Basis of Preparation of Accounts
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Companies Act 2006.
b) Disclosure exemptions
In line with the Charities SORP (FRS102) Update Bulletin 1, no cash flow statement has been presented for the company.
c) Fund accounting
Unrestricted funds are available for use at the discretion of the board of directors in furtherance of the objectives of the charity. Restricted funds are subjected to restrictions on their expenditure as imposed by the donor.
d) Incoming resources
All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. Income is deferred when the donor specifies that the funds must be used in future accounting periods or if the donor’s conditions have not been met.
e) Resources expended
All expenditure is recognised on an accruals basis as a liability is incurred. Costs are allocated to the expenditure categories of the Statement of Financial Activities on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly - others are apportioned on an appropriate basis.
f) Tangible fixed assets and depreciation
Fixed assets are stated at cost less accumulated depreciation. Minor additions are not capitalised. Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life. Depreciation is calculated as follows:
Plant and machinery -
33.33% on a straight-line basis
g) Pensions
The pension costs charged in the financial statements represent the contribution payable by the company during the year. The regular cost of providing retirement pensions and related benefits is
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Financial Inclusion Services (Yorkshire) Limited
Notes to the financial statements
for the year ended 30 September 2021
charged to the profit and loss account over the employees’ service lives on the basis of a constant percentage of earnings.
h) Value Added Tax
The company has now de-registered for VAT purposes, but its former number was 946 1497 93.
i) Cost of Generating Voluntary Funds
This includes management hours to negotiate and bid for further funding.
2. Donations and Gifts
| Significant donations rewarded during the year Unrestricted Restricted Funds Funds £ £ 3 Grants SCC Employability Project - 11,514 Total - 11,514 Does not include Grant Refund Unrestricted Restricted Funds Funds £ £ 4 Other Income SCC Employability Project - 46 Donations - - Total - 46 |
Significant donations rewarded during the year Unrestricted Restricted Funds Funds £ £ 3 Grants SCC Employability Project - 11,514 Total - 11,514 Does not include Grant Refund Unrestricted Restricted Funds Funds £ £ 4 Other Income SCC Employability Project - 46 Donations - - Total - 46 |
2021 £ 14,216 Total 2021 £ 11,514 |
2020 £ 13,587 Total 2020 £ 5,886 |
|---|---|---|---|
| - 11,514 |
11,514 | 5,886 | |
| Unrestricted Restricted Funds Funds £ £ - 46 - - |
Total 2021 £ 46 - |
Total 2020 £ 576 - |
|
| - 46 |
46 | 576 |
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Financial Inclusion Services (Yorkshire) Limited
Notes to the financial statements for the year ended 30 September 2021
| 5 Direct Charitable Expenditure Staff costs Professional fees Printing, postage & stationery Grant payments Bad debt write off Insurance Rent and rates Light and heat Telephone Computer maintenance Repairs Training Travel and entertainment Total |
Unrestricted Restricted Total Total Funds Funds 2021 2020 £ £ £ £ 12,425 3,555 15,980 14,775 44 4 48 48 - 19 19 14 - 7,733 7,733 3,668 - - 101 - 101 - - - - - - - - - - - - 38 38 29 394 11 405 122 - - - - - - - - - - - - |
|---|---|
| 12,863 11,461 24,324 18,657 |
| 6 Management, administration and generation of funds Accountancy Bank Charges Staff hours Depreciation Total |
Unrestricted Restricted Total Total Funds Funds 2021 2020 £ £ £ £ 1,311 69 1,380 1,320 42 30 72 72 - - - - - - - - |
|---|---|
| 1,353 99 1,452 1,392 |
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Financial Inclusion Services (Yorkshire) Limited
Notes to the financial statements for the year ended 30 September 2021
7 Staff Costs
Staff costs during the year were:
| Staff costs during the year were: | |
|---|---|
| Wages gross (including management charge) Pensions Total |
2021 2020 £ £ 15,413 14,270 567 505 |
| 15,980 14,775 |
Staff costs comprise payroll, pensions, training and management charge
Salaries only £15,413
No remuneration was paid to the Directors in the year, and there was no expense (£0 - 2020). The average weekly number of staff employed, calculated as full time equivalents during the year was as follows:
| Direct charitable work Management and administration |
2021 2020 0.50 0.50 0.25 0.25 |
|---|---|
| 0.75 0.75 |
The company operates a defined contribution pension scheme in respect of its staff. The scheme and its assets are held by independent managers. The pension charge represents contributions due from the company and amounts to £567 (2020 - £505). No employee received remuneration of more than £60,000.
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Financial Inclusion Services (Yorkshire) Limited
Notes to the financial statements for the year ended 30 September 2021
| 8 Tangible Fixed Assets Plant and Machinery £ Cost At 1 October 2020 10,735 Additions - Disposals - At 30 September 2021 10,735 Depreciation At 1 October 2020 10,735 Additions 0 Disposals 0 Charge for the year 0 At 30 September 2021 10,735 Net book values At 30 September 2021 - At 30 September 2020 - 9 Debtors Inter-company account Other debtors 10 Prepayments Insurance Data Protection 11 Creditors: amounts falling due within one year Accruals Other Creditors Inter-company account |
2021 2020 £ £ 0 0 0 101 |
|---|---|
| 0 101 |
|
| 2021 2020 £ £ - - 35 35 |
|
| 35 35 |
|
| 2021 2020 £ £ 1,380 1,320 2 2 0 0 |
|
| 1,382 1,322 |
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Financial Inclusion Services (Yorkshire) Limited
Notes to the financial statements for the year ended 30 September 2021
| 12 Deferred Income Grants/donations received before 30 September 2021 to be paid out in future years Sheffield City Council Moneyline Deferred income brought forward Released in the financial year to 30 September 2021 Deferred income carried forward |
2021 2020 £ £ 37,818 20,153 49,332 34,369 57,971 83,701 2021 2020 £ £ 83,701 103,175 (25,730) (19,474) |
|
|---|---|---|
| 57,971 83,701 |
||
13 Analysis of Net Assets between funds
| Unrestricted | Restricted | 2021 Total | 2020 | ||
|---|---|---|---|---|---|
| funds | funds | ||||
| £ | £ | £ | £ | ||
| Tangible fixed assets | 0 | 0 | 0 | 0 | |
| Net current assets | 18,390 | 0 | 18,390 | 18,390 | |
| 18,390 | 0 | 18,390 | 18,390 |
14 Statement of Funds
| Unrestricted Restricted Fund Balance |
At 30-Sep-20 Transfers Income Expenditure At 30-Sep-21 £ £ £ £ £ 18,390 0 14,216 14,216 18,390 0 0 11,560 11,560 0 |
|---|---|
| 18,390 0 25,776 25,776 18,390 |
Restricted funds consist of the Employability Grants Programme with Sheffield City Council. This is a fund to provide approved grants to community organisations on the approval of Sheffield City Council to enable their clients to access various resources (training, DBS checks, driving licences etc) to enable them to get back to work.
15 Financial Inclusion Services (Yorkshire) Limited
Notes to the financial statements for the year ended 30 September 2021
15 Related Party Transactions
The following related party transactions took place during the year with Sheffield Credit Union Ltd, a Company who has the same directors as Financial Inclusion Services (Yorkshire) Ltd.
| (Yorkshire) Ltd. | ||
|---|---|---|
| 2021 | 2020 | |
| £ | £ | |
| Recharges from Financial Inclusion Services (Yorkshire) Ltd | ||
| to Sheffield Credit Union Ltd | 0 | 0 |
| Recharges from Sheffield Credit Union Ltd to | ||
| Financial Inclusion Services (Yorkshire) Ltd |
16,743 | 14,839 |
| Debtor/(creditor) due by/(to) Sheffield Credit Union Ltd to | ||
| Financial Inclusion Services (Yorkshire) Ltd at the year-end | 0 | 0 |
16 Control
Control is exercised by the Directors of the Company.
17 Independent Examiners’ Remuneration
The fees charged for the independent examination total £1,380 (£1,320: 2020).
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Financial Inclusion Services (Yorkshire) Limited
REPORT OF THE INDEPENDENT EXAMINERS TO THE TRUSTEES OF FINANCIAL INCLUSION SERVICES (YORKSHIRE) LTD
Year ended 30 September 2021
I report to the trustees on my examination of the financial statements of Financial Inclusion Services (Yorkshire) Ltd ('the charity') for the year ended 30 September 2021.
Responsibilities and basis of report
As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 ('the 2006 Act’).
Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
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accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
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the financial statements do not accord with those records; or
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the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair' view which is not a matter considered as part of an independent examination; or
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the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
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 in order to enable a proper understanding of the accounts to be reached.
Mr S D Allen ACA FCCA Independent Examiner Allen, West and Foster
Omega Court 364 - 366 Cemetery Road Sheffield S11 8FT
19th May 2022