# **ISLAND HOUSE COMMUNITY CENTRE**
**ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2020**
**CHARITY REGISTRATION No: 1110519**
Pages 2 to 5 Trustees' Report Page 6 Statement of Financial Activities Page 7 Balance Sheet Pages 8 to 14 Notes to the Financial Statements Page 15 Independent Examiner's Report to the Trustees
Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF
1
## **ISLAND HOUSE COMMUNITY CENTRE**
# **TRUSTEES REPORT FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **SECTION A - REFERENCE & ADMINISTRATION DETAIL**
**Charity Name** Island House Community Centre **Charity Number** 1110519 **Principle Address** Island House Community Centre Roserton Street Isle of Dogs London E14 3PG
**MANAGING TRUSTEES** Anthony Alderman (Chair) John Beha (Treasurer) Jane Dance Stephanie Dickinson Robert Lambden Tom Pyke
**INDEPENDENT EXAMINER** P B Robinson MAAT FCIE Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF
## **SECTION B - STRUCTURE, GOVERNANACE & MANAGEMENT**
**GOVERNING INSTRUMENT** Declaration of Trust dated 30th June 2005, as amended on 10th February 2016
## **LEGAL STATUS**
Unincorporated
**TRUSTEE SELECTION METHOD** Appointed by the existing trustees
## **ADDITIONAL INFORMATION**
The Trustees meet at least four times a year are not remunerated by the Charity for their work.
Legal ownership of the Charity’s land and building is vested in the URC Thames North Trust who continue as the Custodian Trustee for the Charity.
2
## **ISLAND HOUSE COMMUNITY CENTRE**
## **TRUSTEES REPORT (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **SECTION C - OBJECTIVES & ACTIVITIES**
## **Charitable Objects**
- Promote the benefit of the inhabitants of the Isle of Dogs and the surrounding area by associating together the said inhabitants and the local authorities, voluntary and other organizations in a common effort to advance education and to provide facilities in the interests of social welfare for recreation and leisure-time occupation with the object of improving the conditions of life for the said inhabitants, and
- Advance the Christian religion.
## **Activities**
- On Tuesday 17th March, a little before lunchtime, a handful of anxious staff closed and locked Island House as we vacated the building in preparation for the imminent lockdown. Those early days of nervously watching the daily coronavirus briefing on the edge of our seats and wondering whether this was indeed the apocalypse seem but a distant memory, but during these long lockdown weeks Island House staff astonished me at how they adapted to the difficult situation and how effectively they were able to offer so many of our usual services to our community. Working days and hours were adjusted, project laptops and even the odd desktop computer was borrowed from the centre, as parents balanced the conflicting demands of working from home while occupying and educating their children.
- As the lockdown was slowly lifted, we made plans to reopen the centre as soon as it was safe to do so. We talked with our tenants (Island Advice Centre, Island House Playgroup and Quaystone church) and with those organisations who have regular bookings about how and when they could return. We bought hand gel, Perspex screens, and masking tape for the floor. We wrote risk assessments for every eventuality we could think of. And then the second wave hit and after a few short weeks back in the office, we were in a second national lockdown.
- Throughout this time income had received a double blow, from reduced rentals and from inaccessible grants. The Centre Director and Finance Officer worked hard with the Treasurer to produce monthly cashflow forecasts, keeping trustees aware of the financial situation and potential pitfalls.
- Therefore, we ended the year once again in national lockdown, with reduced income and facing an uncertain future.
## **Public Benefit**
- Our strategies and activities are developed in direct relationship to our charitable aims and meet the identifiable needs of the general public within our area of benefit.
## **Volunteer Contribution**
- Our work has relied heavily on volunteers and we continue to have good working relationships with volunteers throughout the projects.
3
## **ISLAND HOUSE COMMUNITY CENTRE**
## **TRUSTEES REPORT (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **SECTION D - ACHIEVEMENTS & PERFORMANCE**
## **Projects**
- Throughout the year we attempted to maintain service provision to our most vulnerable clients. **Community Parents** managed to adapt all their services, receiving a huge increase in referrals, and maintaining support for mums and volunteers remotely. Even Pilates classes proved highly successful online. The 12-week training course was run for cohort 9 and then adapted and run successfully online for cohort 10 volunteers later in the year. It was particularly pleasing to see our referrals partners highlight our services and increased numbers of anxious and vulnerable women benefit.
- Less successfully, although all those on the **SKILLS** project (and all those previously registered on our ABLE project) were contacted by telephone, it proved impossible to provide much language and computer training to those without access to IT or the language skills to communicate effectively on the phone. However, we partnered with Devices.NOW and provided 9 tablets to vulnerable and isolated members of the community as identified by local Priest, Father Tom.
## **Funding**
- As lockdown hit in March, trustees made the decision to immediately reduce costs by making the Fundraising Officer redundant.
- At the same time, our 5-year funding bid for Community Parents was postponed by the National Lottery as they focussed on providing covid related emergency funding. This meant that funding for Community Parents ended in September, and as trustees were uncomfortable closing the project while this bid remained outstanding, they made the decision to continue funding the project from reserves as necessary.
- Nearly £100,000 of additional funding was sourced (principally a £50,000 grant from London Community Response Fund) and the reduced project expenditure meant that the project accounts almost broke even (particularly pleasing was the Community Parents deficit of less than £12,000).
- Funding was increasingly difficult to source during the year as all donors were seeking to address the distribution of food and emergency supplies, leaving very little left available to our projects, even though both targeted vulnerable people.
- However, the almost complete loss of rental income (from both external and project room hire), combined with reduced management fees being received from reduced projects, resulted in a large overall deficit of £70,645, which was covered from reserves.
- Accordingly, our reserves dropped from £218,131 to £154,079.
## **Staffing**
- It was decided to make our Fundraising Officer redundant in April.
- A number of staff (Office Coordinators, Project Manager and Caretakers) were flexibly furloughed at different points throughout both lockdowns to reduce running costs.
## **Rentals**
- Our Tenants welcomed a 50% rent reduction in Q2 and 25% reduction in Q3 and in turn Island House benefitted from swift payments and good relationships.
- Rental income dropped to zero during the lockdowns, and only Ballet managed to run any classes between national lockdowns.
4
## **ISLAND HOUSE COMMUNITY CENTRE**
## **TRUSTEES REPORT (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **SECTION D - ACHIEVEMENTS & PERFORMANCE (Continued)**
## **Premises**
- No significant work was done to the premises this year, although it was cleaned like never before!
## **SECTION E - FINANCIAL REVIEW**
## **Reserves Policy**
- Further to the creation of two Designated Funds in 2012 to deal with exceptional expenditure, the Trustees consider they only need to maintain additional unrestricted reserves of 6 months core operating expenses.
## **Principle Sources of Funding**
- £2,500 from Allen and Overy Ogden for SKILLS
- £1,920 from Canary Wharf Group for SKILLS
- £5,000 from Field Family Trust for Craft and Lunch Clubs
- £8,000 from Good Things Foundation for SKILLS
- £2,636 from Just Giving (numerous donations) for Community Parants
- £50,000 from London Community Response for Community Parents
- £64,782 from National Lottery (Reaching Communities) for Community Parents
- £9,960 from One Housing Group for SKILLS
- £3,000 from Sylvia Adams Trust for CORE
- £4,000 from Tower Hamlets (Standard Grants) for Community Parents
- £5,000 from Victoria Mission Hall Trust for SKILLS
## **SECTION F - OTHER OPTIONAL INFORMATION**
- None
## **SECTION G DECLARATION**
## **Trustees Responsibilities**
The Charities Act 2011 require 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 surplus of the trust for that period. In preparing those financial statements the trustees are required to:
- Select suitable accounting policies and apply them consistently
- Make judgements and estimates that are reasonable and prudent
- Prepare financial statements on the going concern basis unless it is inappropriate to presume that the trust will continue in existence.
The trustees are responsible for keeping proper accounting records, which disclose with reasonable accuracy at any time the financial position of the trust. 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.
Dated …………………………………………………………………………………………………………… and
Signed on their behalf by ……………………………………………………………, (Trustee)
5
## **ISLAND HOUSE COMMUNITY CENTRE STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2020**
|Notes
**INCOME AND ENDOWMENTS FROM:**
Donations and Legacies
4a
Trading Activities
4b
Investments
4c
**TOTAL INCOME**
**EXPENDITURE ON:**
Charitable Activities
5
**TOTAL EXPENDITURE**
**NET INCOME/ EXPENDITURE**
Total Funds Brought Forward
Unrealised Gains/Losses on
Revaluation of Investments
3
Overhead & General Transfers
7
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
Restricted
TOTAL
TOTAL
Funds
Funds
2020
2019
£
£
£
£
8,622
148,163
156,785
243,977
49,250
2,329
51,579
68,266
8
0
8
8
**57,880**
**150,492**
**208,372**
**312,251**
144,443
134,575
279,018
356,559
**144,443**
**134,575**
**279,018**
**356,559**
**-86,563**
**15,917**
**-70,646**
**-44,308**
199,469
18,662
218,131
242,210
6,593
0
6,593
20,229
30,622
-30,622
0
0
**150,121**
**3,957**
**154,078**
**218,131**|
|---|---|
Movements on all reserves and all recognised gains and losses are shown above. All of the organisation's operations are classed as continuing.
The notes on pages 8 to 14 form part of these financial statements.
6
## **ISLAND HOUSE COMMUNITY CENTRE**
## **BALANCE SHEET AS AT 31ST DECEMBER 2020**
|Notes
**Fixed Assets**
Investments
3
Fixtures & Fittings
2
**Current Assets**
Debtors
9
Cash at bank and in hand
6
**Total Current Assets**
**Creditors:**
amounts falling due
within one year
10
**NET CURRENT ASSETS**
**TOTAL ASSETS**less current
liabilities
**NET ASSETS**
8
General Funds
Designated Funds
7
Restricted Funds
7
**Total Funds**|Unrestricted
Restricted
**31-Dec-20 31-Dec-19**
Funds
Funds
**Total**
**Total**
£
£
**£**
**£**
89,837
0
89,837
133,244
1,968
0
1,968
2,623
3,699
0
3,699
15,231
56,117
6,887
63,004
94,138
**59,816**
**6,887**
**66,703**
**109,369**
1,500
2,930
4,430
27,105
58,316
3,957
62,273
82,264
**150,121**
**3,957**
**154,078**
**218,131**
**150,121**
**3,957**
**154,078**
**218,131**
60,284
0
60,284
66,225
89,837
0
89,837
133,244
0
3,957
3,957
18,662
**150,121**
**3,957**
**154,078**
**218,131**|
|---|---|
Approved by the Trustees on …………………………………………………………….. and
Signed on their behalf by ……………………………………………………………………, (Trustee)
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## **ISLAND HOUSE COMMUNITY CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **1. ACCOUNTING POLICIES**
## **Incoming Resources**
## _**Recognition of Incoming Resources**_
These are included in the Statement of Financial Activities (SOFA) when:
▪ the charity becomes entitled to the resources;
▪ the trustees are virtually certain they will receive the resources; and
▪ the monetary value can be measured with sufficient reliability
## _**Incoming Resources with related expenditure**_
Where incoming resources have related expenditure (as with fundraising or contract income) the incoming resource and related expenditure are reported gross in the SOFA.
## _**Grants and Donations**_
Grants and Donations are only included in the SOFA when the charity has unconditional entitlement to the resources.
## _**Grants with performance conditions**_
Where the charity receives grants with conditions for its payment being a specific level of service or output to be provided, such grants are only recognised in the SOFA once the charity has provided the specified service or output.
## _**Grants receivable without performance conditions**_
These are only recognised in the accounts when a commitment has been made and there are no conditions to be met relating to a grant which remain in control of the charity.
## _**Tax reclaims on Donations and Gifts**_
Incoming resources from tax reclaims are included in the SOFA during the same period as the gift to which they relate.
## _**Contractual Income and Performance Related Grants**_
This is only included in the SOFA once the related goods or services has been delivered.
## _**Gifts in Kind**_
Gifts in kind are accounted for at a reasonable estimate of their value to the charity or the amount actually realised. Gifts in kind for sale or distribution are included in the accounts as gifts only when sold or distributed by the charity. Gifts in kind for use by the charity are included in the SOFA as incoming resources when receivable.
## _**Donated Services and Facilities**_
These are only included in incoming resources (with an equivalent amount in resources expended) where the benefit to the charity is reasonably quantifiable, measurable and material. The value placed on these resources is the estimated value to the charity.
## _**Volunteer Help**_
The value of any voluntary help received is not included in the accounts but is described in the trustees' annual report.
## _**Investment Income**_
This is included in the accounts when receivable.
## _**Investment gains and losses**_
This included any gain or loss on the sale of investments and any gain or loss resulting from revaluing investments to market value at the end of the year.
8
## **ISLAND HOUSE COMMUNITY CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **Expenditure and liabilities**
## _**Liability recognition**_
Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to pay out resources.
## _**Governance Costs**_
Include costs of the preparation and examination of statutory accounts, the costs of the trustees meetings and cost of any legal advice to trustees on governance or constitutional matters.
## _**Support Costs**_
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of the resources, e.g. allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
## _**Changes in Accounting policies and previous accounts**_
There has been no change to the accounting policies (variation rules and methods of accounting) since last year, and no changes to the previous accounts.
## _**Assets**_
Tangible fixed assets (with the exception of the land and buildings) are capitalised if they can be used for more than one year, and cost at least £500. They are valued at cost or, if gifted, at the value to the charity on receipt.
## _**Depreciation**_
Depreciation is calculated at a rate to write off the cost at 25% p.a. on a reducing balance over their estimated useful lives, at the end of which period any remaining book value can be written off.
## _**Investments**_
Investments quoted on a recognised stock exchange are valued at market value at the year end.
## **Basis of preparation:**
The financial statements have been prepared on the historical cost basis of accounting in accordance with the Charities Act 2011 and in accordance with applicable accounting standards. In preparing the financial statements the charity follows best practice as laid down in the Statement of Recommended Practice "Accounting and Reporting by Charities" (SORP 2015).
|**2. TANGIBLE FIXED ASSETS**
Cost
01-Jan-20
Additions
Cost at
31-Dec-20
Depreciation
01-Jan-20
Charge
Depreciation at
31-Dec-20
Net Book Value
31-Dec-20
Net Book Value
31-Dec-19|Fixtures &
Equipment
Fittings
Total
£
£
£
23,443
26,198
49,641
0
0
0
23,443
26,198
49,641
23,443
23,575
47,018
0
655
655
23,443
24,230
47,673
**0**
**1,968**
**1,968**
0
2,623
2,623|
|---|---|
The annual commitments under non-cancelling operating leases and capital commitments are as follows:
2020 - none (2019 - none)
9
## **ISLAND HOUSE COMMUNITY CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **3. FIXED ASSET INVESTMENTS**
|Market value brought forward
Less sale proceeds
Unrealised gains/(losses) in investments
Market value carried forward|Unrestricted Restricted
TOTAL
TOTAL
Funds
Funds
2020
2019
£
£
£
£
133,244
0
133,244
113,015
-50,000
0
-50,000
0
6,593
0
6,593
20,229
89,837
0
89,837
133,244|
|---|---|
This investment is held in COIF investment Income Units by Thames North Trust on behalf of Island House.
|**4. INCOME AND ENDOWMENTS FROM:**
Notes
**a) Donations and Legacies**
Grants
7
Trust Income
**b) Trading Activities**
Lettings and Rent
FIT and Export Tariffs
Other income
**c) Investments**
Interest|Unrestricted Restricted
TOTAL
TOTAL
Funds
Funds
2020
2019
£
£
£
£
3,000
148,163
151,163
238,465
5,622
5,622
5,512
**8,622**
**148,163**
**156,785**
**243,977**
35,808
35,808
65,412
2,259
2,259
1,682
11,183
2,329
13,512
1,172
**49,250**
**2,329**
**51,579**
**68,266**
8
8
8
**8**
**0**
**8**
**8**|
|---|---|
10
## **ISLAND HOUSE COMMUNITY CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
|**5. EXPENDITURE ON:**
Notes
**Charitable Activities**
Staff Costs
Staff Salaries
11
Temporary Staff
Recruitment
Premises Cost
Utilities
Facilities and Maintenance
Repairs
Improvement to Building
Running Costs
Insurance
Stationery and Postage
Telephone and IT
Copier
Subscriptions and Books
Equipment Purchases
Staff Training and Conferences
Events & Other Hire Project Costs
Materials
Publicity
Hospitality
Travel
Independent Examination
Legal and Professional Fees
Volunteer Expenses
Other Costs
Grants Paid
Depreciation
Other Costs|Unrestricted
Restricted
TOTAL
TOTAL
Funds
Funds
2020
2019
£
£
£
£
107,578
109,131
216,709
262,855
900
900
705
302
302
1,433
7,841
7,841
4,688
5,957
5,957
7,644
865
865
2,739
0
2,107
3,660
3,660
3,424
457
457
1,857
9,979
373
10,352
10,213
3,202
3,202
3,251
559
559
399
249
249
60
671
671
2,449
24,399
24,399
47,426
0
775
0
215
0
467
20
20
200
1,500
1,500
1,500
350
370
720
1,255
0
0
0
0
655
655
874
0
23
**144,443**
**134,575**
**279,018**
**356,559**|
|---|---|
|**6. CASH AT BANK AND IN HAND**
Current Account
Petty Cash
Business Account|Unrestricted
Restricted
**Total**
**Total**
Fund
Fund
**31-Dec-20 31-Dec-19**
£
£
**£**
**£**
39,820
6,887
46,707
77,848
97
97
97
16,200
16,200
16,193
**56,117**
**6,887**
**63,004**
**94,138**|
|---|---|
11
## **ISLAND HOUSE COMMUNITY CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
|**7. FUNDS**
**Restricted Funds**
ABLE/ SKILL
Dance Project
Health & Wellbeing
Community Parents Project
Youth Project
Millwall Park Gym
**Unrestricted Funds**
General Funds
Designated Funds
Building Fund
Special Purposes
Legacy Fund
**Totals**|Balance
Transfer between
Transfer of
Balance
01-Jan-20
Income
Funds
Expenditure
Overheads
31-Dec-20
£
£
£
£
£
£
7,873
24,380
0
23,163
-5,133
3,957
1,579
0
-1,579
0
0
0
3,791
5,000
-8,579
177
-35
0
-1,314
121,112
13,057
111,235
-21,620
0
6,073
0
-6,073
0
0
0
660
0
-660
0
0
0
**18,662**
**150,492**
**-3,834**
**134,575**
**-26,788**
**3,957**
66,225
57,880
3,834
94,443
26,788
60,284
58,494
0
-865
0
0
57,629
74,750
6,593
865
50,000
0
32,208
**199,469**
**64,473**
**3,834**
**144,443**
**26,788**
**150,121**
**218,131**
**214,965**
**0**
**279,018**
**0**
**154,078**|
|---|---|
## **RESTRICTED FUNDS:**
**Community Parents Project (CPP)** - a volunteer training and peer support programme for first time pregnant mums on the Isle of Dogs called "Community Parents".
## **SKILLS:** This is the continuation of ABLE project.
_**“Transfer of overheads” -** Funders are asked to recognise that a portion of restricted project funds are used to cover costs incurred by Island House itself in delivering the project outputs and to contribute to our central support and core charitable running costs, as detailed in the funding applications. These are shown as “transfers of overheads”._
## **DESIGNATED FUNDS:**
**Repairs Fund: -** A Designated Fund set aside to deal with repairs identified by the quinquennial surveyor’s reports, to be added to on an annual basis by an amount identified in the budget , with actual repair costs charged to this fund. This enables property repairs to be averaged out over a number of years.
**Special Purposes Legacy Fund** : - A Designated Fund created from the balance of past legacies, kept to fund occasional and exceptional, non-recurring expenditure not included in the annual budget.
12
## **ISLAND HOUSE COMMUNITY CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **8. ANALYSIS OF NET ASSETS BY**
## **FUND**
|Liabilities (amounts falling due within
one year)
**9. DEBTORS AND PREPAYMENTS**
Sundry Debtors
**10. CREDITORS ACCRUALS AND**
**DEFERRED INCOME: AMOUNTS**
**FALLING DUE WITHIN ONE YEAR**
Creditors:
Funds
General
**11. STAFF COSTS AND NUMBERS**
Gross Wages and Salaries
Employer's National Insurance Costs
Employer Pension Contributions
Fixed Assets and Investments
Current Assets|Unrestricted Restricted
**Total**
**Total**
Funds
Funds
**31-Dec-20 31-Dec-19**
£
£
£
£
91,805
0
91,805
135,867
59,816
6,887
66,703
109,369
-1,500
-2,930
-4,430
-27,105
**150,121**
**3,957**
**154,078**
**218,131**
Unrestricted
Restricted
**Total**
**Total**
Fund
Fund
**31-Dec-20 31-Dec-19**
£
£
**£**
**£**
3,699
3,699
15,231
**3,699**
**0**
**3,699**
**15,231**
Unrestricted
Restricted
**Total**
**Total**
Fund
Fund
**31-Dec-20 31-Dec-19**
£
£
**£**
**£**
2,930
2,930
21,596
1,500
1,500
5,509
**1,500**
**2,930**
**4,430**
**27,105**
**31-Dec-20 31-Dec-19**
**£**
**£**
201,947
243,215
9,843
14,240
4,131
5,400
215,921
262,855|
|---|---|
Employees who were engaged in the activities:
|**31-Dec-20 **|**31-Dec-19**|
|---|---|
|TOTAL|TOTAL|
|11|13|
No employees received emoluments in excess of £60,000. Staff are paid through the PAYE system.
13
## **ISLAND HOUSE COMMUNITY CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **12. TRUSTEES AND OTHER RELATED PARTIES**
No payments were made to trustees or any persons connected with them during this financial period. No material transaction took place between the organisation and a trustee or any person connected with them. (2019: None)
## **13. FREEHOLD PROPERTY**
The charity occupies the freehold property at Roserton Street, Isle of Dogs, London, E14 3PG, which is held by Thames North Trust of the United Reformed Church as the custodian trustee. Thames North Trust is a company limited by guarantee, registered in England No. 75432, registered charity no. 1022551. The replacement value of the building for insurance purposes was £1,536,230 at 31st December 2017. The property is not included in the accounts as the Island House Community Centre charity is not the registered proprietor, does not have the right of sale and cannot determine what might happen to any proceeds of sale.
14