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2021-03-31-accounts

Registered number: 04103670 Charity number: 1117051

HENDERSON TRUST

(A Company Limited by Guarantee) TRUSTEES' REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

HENDERSON TRUST

(A Company Limited by Guarantee)

CONTENTS

Page
Reference and Administrative Details of the Trust, its Trustees and Advisers 1
Trustees' Report 2 - 9
Independent Auditors' Report on the Financial Statements 10 - 13
Statement of Financial Activities 14
Balance Sheet 15 - 16
Statement of Cash Flows 17
Notes to the Financial Statements 18 - 37

(A Company Limited by Guarantee)

HENDERSON TRUST

REFERENCE AND ADMINISTRATIVE DETAILS OF THE TRUST, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2021

Trustees C Brown
J Bryce (resigned 24 August 2021)
J Chambers (resigned 22 July 2020)
K Clipsham
S Earl
N V Harmer
L E McCartney-Gray (appointed 21 September 2020)
C E Parry-Jones
J Vitkovitch (appointed 13 October 2020)
L J Wilkinson
Company registered
number
04103670
Charity registered
number
1117051
Registered office
The Henderson Business Centre
51 Ivy Road
Norwich
Norfolk
NR5 8BF
Company secretary
Nicholas Craig
Chief Executive Officer
Nicholas Craig
Independent auditors
MA Partners Audit LLP
Chartered Accountants & Statutory Auditors
7 The Close
Norwich
Norfolk
NR1 4DJ
Solicitors
Leathes Prior
74 The Close
Norwich
NR1 4DR

Page 1

HENDERSON TRUST

(A Company Limited by Guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021

The Trustees present their annual report together with the audited financial statements of the Trust for the year 1 April 2020 to 31 March 2021. The Annual Report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Since the Trust qualifies as small under section 382 of the Companies Act 2006, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

Objectives and activities

a. Policies and objectives

Henderson Trust's governing document is its Memorandum and Articles of Association which states that its objectives are '...to promote the public benefit of urban regeneration in areas of social and economic deprivation by all, or any, of the following means:

Henderson Trust's main objectives for the year were to:

  1. Manage various assets to generate income

  2. Promote and develop the community park

  3. Contribute to community engagement and development

  4. Fund and/or support project work in the community

  5. Provide assistance in the community as a result of the COVID-19 pandemic

b. Strategies for achieving objectives

Strategies chosen for achieving the stand objectives were to:

  1. Fund (or continue to fund) a range of projects and activities

  2. Fund projects through external contracts and others through directly employed staff

  3. Work with partners to undertake community development

Page 2

HENDERSON TRUST

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Objectives and activities (continued)

c. Activities undertaken to achieve objectives

Existing directly managed projects were:

  1. The provision of support to vulnerable young people in the community

  2. The provision of accommodation for local bodies

  3. The provision of management support to various local charities and groups

  4. The provision of activities and support to local families

  5. The management of a local community centre

d. Public benefit

The Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the charitable company’s aims and objectives and in planning future activities and setting the grant making policy for the year.

Achievements and performance

a. Review of activities

Total incoming resources for the period were £608,132 (2020 - £550,887). Total resources expended were £574,280 (2020 - £606,117).

Cost of Achieving Objectives

Community activity costs totaling £200,924 (2020 - £218,238) relate to community grants awarded and projects undertaken directly by the Trust.

Impact of Meeting Objectives (including types of outcomes achieved)

The Trust uses a range of performance measures to monitor and manage the business effectively. There are both financial and non-financial, and the most significant of these are the key performance indicators (KPIs).

b. Key performance indicators

The key financial performance indicators are grants receivable and project costs incurred. These KPIs indicate the volume of work the Trust has undertaken as well as the efficiency with which the work has delivered.

KPIs for the year, with comparatives, are as follows:

2021 2020
£ £
Direct costs and grants less voluntary income (310,318) (454,646)
Investment income less support and governance costs
344,170
399,416
Net movement in funds (341,343) (55,230)

Page 3

HENDERSON TRUST (A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Financial review

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

b. Reserves policy

The total funds of the charity were £5,743,791 at 31 March 2021 (2020 - £6,085,134). Free reserves, being unrestricted funds not represented by fixed assets, were £111,583 (2020 - £79,529).

The Trustees have identified a target level of free reserves of £100,000. In addition to the free reserves the Trust holds a portfolio of saleable property assets. There are no plans to sell these assets but they could be realised if required to meet costs or to fund desirable project work.

Structure, governance and management

a. Constitution

Henderson Trust is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.

The company is constituted under a Memorandum of Association and is a registered charity number 1117051.

The Henderson Trust is a registered charity and has a designated 'area of benefit'. The area covers the North and West Earlham, Larkman and Marlpit areas of Norwich and comprises approximately 4,000 households and approximately 12,000 residents.

Henderson Trust works in participation with residents and with providers of services to the public to reduce levels of disadvantage in the area, specifically those associated with:

Henderson Trust - Mission

The purpose of Henderson Trust is to:

Enable the community led, long lasting regeneration of the North and West Earlham, Larkham and Marlpit neighbourhoods of Norwich.

Page 4

HENDERSON TRUST

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Structure, governance and management (continued)

This will be done by:

b. Methods of appointment or election of Trustees

The management of the Trust is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association.

c. Organisational structure and decision-making policies

The Memorandum and Articles of Association allow for up to ten Trustees who are the guarantors of the charitable company. A minimum of six Trustees are to be local residents.

Trustees' and officers' liability insurance is in place.

Henderson Trust is governed by a Board of Trustees. The strategic direction and operational activities of the Trust are managed by a Chief Executive Officer who reports directly to Trustees at Board meetings. During the reporting period the following people have acted as Trustees:

C Brown

J Bryce (resigned 24 August 2021) J Chambers (resigned 22 July 2020) K Clipsham S Earl N V Harmer L E McCartney-Gray (appointed 21 September 2020)

C E Parry-Jones J Vitkovitch (appointed 13 October 2020)

L J Wilkinson (appointed Chair in May 2011)

Page 5

HENDERSON TRUST

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Structure, governance and management (continued)

Henderson Trust Board

What it does...

Other Committees

Henderson Trust's Board may delegate various powers to subcommittees. These committees are either empowered to make decisions for and on behalf of the Trust or else are empowered to make recommendations to the Board for decision. For all the Trust's committees:

Nick Craig is the Chief Executive Officer (CEO) and Head of Charity. The CEO is authorised to:

d. Policies adopted for the induction and training of Trustees

New Trustees are invited to attend briefing sessions to familiarise themselves with the Trust and its operational context. A handbook is given to each Trustee which contains key documents and information. Trustees are also supported to attend relevant, external training events where these will facilitate a greater understanding of their role.

Page 6

HENDERSON TRUST

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Structure, governance and management (continued)

e. Pay policy for key management personnel

The Trustee's consider the Chief Executive Officer and the Business Support Manager as comprising the key management personnel of the charity in charge of directing and controlling the charity and the running and operating of the charity on a daily basis.

The pay of the Chief Executive Officer is based upon the consideration of numerous factors. These include benchmarking within the charity sector and across occupational classifications locally. The pay of all other staff is based upon nationally consulted and agreed National Joint Council for Local Government Services pay rates. Salaries are set bearing in mind the need to attract and retain staff and maintain levels of motivation. Salaries also reflect the unusual nature of the Trust's operations in that it is a charity which has some operations in a highly competitive and cost-sensitive sector. All salaries are reviewed at least annually and at this time the following factors are considered:

f. Financial risk management

The Trustees have assessed the major risks to which the Trust is exposed, in particular those related to the operations and finances of the Trust, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.

The most significant risks to the Trust have been identified as:

For all these risks and all others recognised by the Trust there are preventative measures in place and mitigating strategies. Where appropriate this involves seeking professional, external advice and putting in place insurance arrangements.

The system of internal control includes:

Page 7

HENDERSON TRUST (A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Plans for future periods

Priorities for 2021/22

Experience has shown that the resources of the Charity are insufficient to make a positive contribution to all of the Trust’s objectives in any one year. It is therefore necessary to identify a smaller number of operational themes which reflect the Charity’s ability to make a difference, and the resources and skills at the Charity’s disposal. The operational themes are identified in the Business Plan and are reviewed annually.

The operational themes for the period April 2021 to March 2022 will be:

These themes will be addressed in the context of the impact of the global COVID-19 pandemic, and the local and national recovery from it.

Statement of Trustees' responsibilities

The Trustees (who are also the directors of the Trust for the purposes 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. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Trust and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Trust's transactions and 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 Companies Act 2006. 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.

Page 8

HENDERSON TRUST

(A Company Limited by Guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that:

Approved by order of the members of the Board of Trustees and signed on their behalf by:

................................................ L J Wilkinson Chair of Trustees

Date: 16 December 2021

Page 9

HENDERSON TRUST

(A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HENDERSON TRUST

Opinion

We have audited the financial statements of Henderson Trust (the 'Trust') for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, 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 Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 charitable company'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.

Page 10

HENDERSON TRUST

(A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HENDERSON TRUST (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.

We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:

Page 11

HENDERSON TRUST

(A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HENDERSON TRUST (CONTINUED)

Responsibilities of Trustees

As explained more fully in the Trustees' Responsibilities Statement, the Trustees (who are also the directors of the charitable company for the purposes 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 charitable company'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 charitable company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

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 Auditors' 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:

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charity.

Our approach was as follows:

Page 12

(A Company Limited by Guarantee)

HENDERSON TRUST

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF HENDERSON TRUST (CONTINUED)

Based on this understanding, we designed specific appropriate audit procedures to identify instances of noncompliance with laws and regulations. This included making enquiries of those charged with governance and obtaining additional corroborative evidence as required.

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 for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

Use of our report

This report is made solely to the charitable company's Trustees, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. 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 its Trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Alice Lynch BSc ACA DChA (Senior Statutory Auditor)

for and on behalf of

MA Partners Audit LLP

Chartered Accountants & Statutory Auditors 7 The Close Norwich Norfolk NR1 4DJ

Date: 21 December 2021

Page 13

HENDERSON TRUST

(A Company Limited by Guarantee)

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021

Note
Income from:
Donations and legacies
4
Investments
5
Total income
Expenditure on:
Charitable activities
7
Total expenditure
Net income/(expenditure) before net
gains on investments
Net gains on investments
Net income/(expenditure)
Transfers between funds
17
Net movement in funds before other
recognised gains/(losses)
Other recognised gains/(losses):
Loss on impairment of fixed assets
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward
Unrestricted
funds
2021
£
104,008
430,707
534,715
395,014
395,014
139,701
472,805
612,506
(110,523)
501,983
(848,000)
(346,017)
5,785,306
(346,017)
5,439,289
Restricted
funds
2021
£
73,417
-
73,417
179,266
179,266
(105,849)
-
(105,849)
110,523
4,674
-
4,674
299,828
4,674
304,502
Total
funds
2021
£
177,425
430,707
608,132
574,280
574,280
33,852
472,805
506,657
-
506,657
(848,000)
(341,343)
6,085,134
(341,343)
5,743,791
Total
funds
2020
£
60,628
490,259
550,887
606,117
606,117
(55,230)
-
(55,230)
-
(55,230)
-
(55,230)
6,140,364
(55,230)
6,085,134

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 18 to 37 form part of these financial statements.

Page 14

HENDERSON TRUST (A Company Limited by Guarantee) REGISTERED NUMBER: 04103670

BALANCE SHEET AS AT 31 MARCH 2021

Note
Fixed assets
Tangible assets
12
Investment property
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 net assets
Charity funds
Restricted funds
17
Unrestricted funds
17
Total funds
106,137
167,472
273,609
(129,831)
2021
£
3,192,208
2,407,805
5,600,013
143,778
5,743,791
5,743,791
304,502
5,439,289
5,743,791
103,034
134,058
237,092
(131,623)
2020
£
4,044,665
1,935,000
5,979,665
105,469
6,085,134
6,085,134
299,828
5,785,306
6,085,134

Page 15

HENDERSON TRUST

(A Company Limited by Guarantee) REGISTERED NUMBER: 04103670

BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2021

The entity was entitled to exemption from audit under section 477 of the Companies Act 2006.

The members have not required the entity to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006.

However, an audit is required in accordance with section 144 of the Charities Act 2011.

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

................................................

L J Wilkinson Chair of Trustees

Date: 16 December 2021

The notes on pages 18 to 37 form part of these financial statements.

Page 16

HENDERSON TRUST

(A Company Limited by Guarantee)

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021

Note
Cash flows from operating activities
Net cash used in operating activities
20
Cash flows from investing activities
Purchase of tangible fixed assets
Net cash used in investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
21
The notes on pages 18 to 37 form part of these financial statements
2021
£
48,458
(15,044)
(15,044)
33,414
134,058
167,472
2020
£
(90,164)
(10,651)
(10,651)
(100,815)
234,873
134,058

Page 17

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. General information

Henderson Trust is a company limited by guarantee and registered in England and Wales. The Members of the company are the Trustees named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £10 per Member of the company.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: 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) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Henderson Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

2.2 Going concern

The Trustees have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future. New and different operational requirements which have appeared as a result of COVID-19, are not anticipated to threaten the Trust as a going concern. For this reason, the Trustees continue to adopt the going concern basis in preparing the financial statements.

2.3 Income

All income is recognised once the Trust has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants (including government grants) are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Trust's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

Page 18

HENDERSON TRUST

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

2. Accounting policies (continued)

2.4 Expenditure (continued)

All expenditure is inclusive of irrecoverable VAT.

2.5 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Trust; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.6 Tangible fixed assets and depreciation

At each reporting date the Trustees assess whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Tangible fixed assets are carried at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Freehold property - Not depreciated
Equipment - 10% - 33% straight line
Motor vehicles - 20% straight line
Furniture and fixtures - 4% - 10% straight line
Play equipment - 10% straight line

No depreciation has been charged on the freehold property as the Trustees consider the depreciation charge is not material because the estimated residual value of the asset is not materially different from the carrying value of the asset.

2.7 Investment property

Investment property, which is property held to earn rentals and / or for capital appreciation, is measured initially at its cost, including transaction costs. Subsequent to initial recognition, investment property is measured at fair value. Gains or losses arising from changes in the fair value of investment property are included in the Statement of Financial Activities.

2.8 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.9 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Page 19

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

2. Accounting policies (continued)

2.10 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Trust anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

2.11 Financial instruments

The Trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

2.12 Pensions

The Trust operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Trust to the fund in respect of the year.

2.13 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Trust and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Trust for particular purposes. The costs 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.

Page 20

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

3. Critical accounting estimates and areas of judgment

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Critical accounting estimates and assumptions:

Impairments

Impairments are recognised where the Trustees believe that there is an indication that the carrying amount of an asset exceeds its recoverable amount. The freehold property was valued on 11 February 2021 by an external valuer, S M L Kingston MRICS of Roche Chartered Surveyors. The valuations were in accordance with the requirements and guidelines set out in the Royal Institution of Chartered Surveyors (RICS) Valuation – Global Standards 2020 (which incorporate the International Valuation Standards 2017) and the UK national supplement. As a result of this valuation, an impairment charge of £848,000 was recognised during the current year.

Investment property

The Trustees use valuation techniques involving estimation to determine the fair value of the Trust's investment property. Estimates of fair value between independent external professional valuations are based on a combination of current market conditions, changes in tenure arrangements and guidance from external sources. The Trustees base their assumptions on observable data as far as possible but this may not always be available. Estimated fair value may vary from the actual price that would be achieved in an arm's length commercial sale transaction at the reporting date. The Trustees consider that the fair value of investment property has changed in the year in line with the professional valuation performed on 11 February 2021 by an external valuer, S M L Kingston MRICS of Roche Chartered Surveyors and reflected in these financial statements.

The most significant area of uncertainty that may affect the carrying value of assets and liabilities held by the Trust are market-driven changes to property values.

Page 21

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

4. Income from donations and legacies

Unrestricted
funds
2021
£
Donations
5,857
Grants
10,000
Government funding - Coronavirus Job Retention Scheme
88,151
104,008
Restricted
funds
2021
£
-
73,417
-
73,417
Total
funds
2021
£
5,857
83,417
88,151
177,425

The Charity furloughed some of its staff under the government's Coronavirus Job Retention Scheme. The funding of £88,151 relates to staff costs which are included in note 10 below.

Donations
Grants
Unrestricted
funds
2020
£
12,399
3,000
15,399
Restricted
funds
2020
£
-
45,229
45,229
Total
funds
2020
£
12,399
48,229
60,628

Page 22

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

5. Investment income

Unrestricted
funds
2021
£
Rental income
242,521
Bank interest
197
Fire station rental income
187,989
430,707
Unrestricted
funds
2020
£
Rental income
301,736
Bank interest
534
Fire station rental income
187,989
490,259
Total
funds
2021
£
242,521
197
187,989
430,707
Total
funds
2020
£
301,736
534
187,989
490,259

6. Analysis of grants

Grants are made to community organisations, supporting projects that enhance the local community. Details of grants made during the year are set out below:

Foodbank
NR5 Community Hub
2021
£
11,100
6,700
17,800
2020
£
11,100
-
11,100

Page 23

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

7. Analysis of expenditure on charitable activities

Summary by fund type

Unrestricted
funds
2021
£
Own project expenditure
312,250
REACH project
-
Community Development
-
General overheads
82,764
Youth drop in
-
Girls group
-
Covid 19 Response
-
395,014
Unrestricted
funds
2020
£
Own project expenditure
316,184
REACH project
-
Community Development
-
General overheads
86,549
Youth drop in
-
Girls group
-
402,733
Restricted
funds
2021
£
-
53,254
106,885
-
810
786
17,531
179,266
Restricted
funds
2020
£
-
52,833
148,648
-
1,431
472
203,384
Total
funds
2021
£
312,250
53,254
106,885
82,764
810
786
17,531
574,280
Total
funds
2020
£
316,184
52,833
148,648
86,549
1,431
472
606,117

Page 24

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

8. Analysis of expenditure by activities

Own project expenditure
REACH project
Community Development
General overheads
Youth drop in
Girls group
Covid 19 Response
Own project expenditure
REACH project
Community Development
General overheads
Youth drop in
Girls group
Activities
undertaken
directly
2021
£
286,819
53,254
106,885
3,858
810
786
17,531
469,943
Activities
undertaken
directly
2020
£
297,036
52,833
148,648
3,754
1,431
472
504,174
Grant
funding of
activities
2021
£
17,800
-
-
-
-
-
-
17,800
Grant
funding of
activities
2020
£
11,100
-
-
-
-
-
11,100
Support
costs
2021
£
7,631
-
-
78,906
-
-
-
86,537
Support
costs
2020
£
8,048
-
-
82,795
-
-
90,843
Total
funds
2021
£
312,250
53,254
106,885
82,764
810
786
17,531
574,280
Total
funds
2020
£
316,184
52,833
148,648
86,549
1,431
472
606,117

Page 25

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

8. Analysis of expenditure by activities (continued)

Analysis of direct costs

Staff costs
Depreciation
Operating costs
Staff costs
Depreciation
Operating costs
Staff costs
Depreciation
Operating costs
Regenerat'n
& Facility
Manag'ent
2021
£
123,395
19,501
143,923
286,819
Regenerat'n
& Facility
Manag'ent
2020
£
130,197
16,853
149,986
297,036
REACH
project
2021
Community
Devel'ent
2021
Cadge Road
Community
Centre
2021
£
£
£
35,949
103,680
3,858
-
-
-
17,305
3,205
-
53,254
106,885
3,858
Girls Group
2021
Covid 19
Response
2021
£
£
-
-
-
-
786
17,531
786
17,531
REACH
project
2020
Community
Development
2020
Cadge Road
Community
Centre
2020
£
£
£
34,961
100,834
3,754
-
-
-
17,872
47,814
-
52,833
148,648
3,754
Youth Drop
In
2021
£
-
-
810
810
Total
funds
2021
£
266,882
19,501
183,560
469,943
Youth Drop
In
2020
£
-
-
1,431
1,431

Page 26

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

8. Analysis of expenditure by activities (continued)

Analysis of direct costs (continued)

Staff costs
Depreciation
Operating costs
Girls Group
2020
£
-
-
472
472
Covid 19
Response
2020
£
-
-
-
-
Total
funds
2020
£
269,746
16,853
217,575
504,174

Analysis of support costs

Staff costs
General overheads
Governance costs
Total
funds
2021
£
41,427
37,479
7,631
86,537
Total
funds
2020
£
43,559
39,236
8,048
90,843

9. Auditors' remuneration

- The auditors' remuneration amounts to an auditor fee of £4,700 (2020 £4,600) , and other services of £Nil ( 2020 - £576 ).

10. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes
2021
£
272,595
20,772
14,942
308,309
2020
£
278,917
19,932
14,456
313,305

Page 27

HENDERSON TRUST

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

10. Staff costs (continued)

The average number of persons employed by the Trust during the year was as follows:

Management
Administration
Project based
2021
No.
2
1
8
11
2020
No.
2
1
9
12

The average headcount expressed as full-time equivalents was:

Management
Administration
Project based
2021
No.
2
1
7
10
2020
No.
2
1
7
10

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2021 2020
No. No.
In the band £60,001 - £70,000 1 1

The total remuneration for key management personnel, including employer pension contributions and employer national insurance contributions, for the year totalled £101,939 ( 2020 - £ 101,673).

11. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2020 - £NIL) .

During the year ended 31 March 2021, no Trustee expenses have been incurred (2020 - £NIL) .

Page 28

HENDERSON TRUST

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

12. Tangible fixed assets

Cost or valuation
At 1 April 2020
Additions
At 31 March 2021
Depreciation
At 1 April 2020
Charge for the year
Impairment charge
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020
Freehold
property
£
8,242,849
-
8,242,849
4,277,849
-
848,000
5,125,849
3,117,000
3,965,000
Equipment
£
38,774
3,155
41,929
33,462
4,031
-
37,493
4,436
5,312
Motor
vehicles
£
-
8,394
8,394
-
1,678
-
1,678
6,716
-
Fixtures
and
fittings
£
54,492
3,495
57,987
16,835
5,570
-
22,405
35,582
37,657
Play
equipment
£
154,505
-
154,505
117,809
8,222
-
126,031
28,474
36,696
Total
£
8,490,620
15,044
8,505,664
4,445,955
19,501
848,000
5,313,456
3,192,208
4,044,665

The freehold property was valued on 11 February 2021 by an external valuer, S M L Kingston MRICS of Roche Chartered Surveyors. The valuations were in accordance with the requirements and guidelines set out in the Royal Institution of Chartered Surveyors (RICS) Valuation – Global Standards 2020 (which incorporate the International Valuation Standards 2017) and the UK national supplement. The Trustees do not believe any further material movement in valuation has arisen since that date.

Page 29

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

13. Investment property

Valuation
At 1 April 2020
Surplus on revaluation
At 31 March 2021
Freehold
investment
property
£
1,935,000
472,805
2,407,805

The 2021 valuations were made by the Trustees, based on an external valuation by S M L Kingston MRICS of Roche Chartered Surveyors on 11 February 2021, on an open market value for existing use basis.

14. Debtors

Due within one year
Trade debtors
Other debtors
Prepayments and accrued income
2021
£
91,258
160
14,719
106,137
2020
£
87,236
161
15,637
103,034

15. Creditors: Amounts falling due within one year

Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income
2021
£
574
21,256
44,708
63,293
129,831
2020
£
11,521
19,622
42,718
57,762
131,623

Page 30

HENDERSON TRUST

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

16. Deferred income

Deferred income at 1 April 2020
Resources deferred during the year
Amounts released from previous periods
Deferred income at 31 March 2021
2021
£
45,233
47,762
(45,233)
47,762
2020
£
46,490
45,233
(46,490)
45,233

Page 31

HENDERSON TRUST (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

17. Statement of funds

Statement of funds - current year

Balance at 1
April 2020
£
Unrestricted
funds
General Funds -
all funds
5,785,306
Restricted
funds
Games Area
5,396
Capital Fund
262,825
Community
Development
-
REACH
-
Fitness
Equipment
8,000
Youth Drop In
16,650
Outside The Box
4,665
Girls Group
2,292
Covid 19
Response
-
299,828
Total of funds
6,085,134
Income
£
Expenditure
£
534,715
(395,014)
-
-
-
-
49,616
(106,885)
-
(53,254)
-
-
-
(810)
-
-
-
(786)
23,801
(17,531)
73,417
(179,266)
608,132
(574,280)
Transfers
in/out
£
(110,523)
-
-
57,269
53,254
-
-
-
-
-
110,523
-
Gains/
(Losses)
£
(375,195)
-
-
-
-
-
-
-
-
-
-
(375,195)
Balance at
31 March
2021
£
5,439,289
5,396
262,825
-
-
8,000
15,840
4,665
1,506
6,270
304,502
5,743,791

Page 32

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

17. Statement of funds (continued)

Games Area - This fund relates to a grant received to fund new play equipment.

The restricted capital fund represents restricted fixed asset funding. Fixed asset funding has been treated as restricted as should any grant funded asset be disposed of, part or all of the proceeds may be subject to clawback by the funders EEDA.

Community Development - the funds received relate to grants specifically received for the Sorted, Connect and Not About the Bike projects the charity is running. Funds have been transferred from the General Fund to clear the in-year deficit.

REACH - This fund is for the provision of additional support activities for vulnerable young people. Funds have been transferred from the General Fund to clear the in-year deficit.

REACH Time For You - This fund is for a project to provide emotional wellbeing support to young people.

Fitness Equipment - This fund is for new outdoor fitness equipment purchased and installed near to the running track and for the creation of a footpath.

Youth Drop In - funding was received to support the youth drop in, an informal youth club which provides a safe place for young people with fun activities and a meal.

Outside The Box - ID project - funding a sex and relationships course with an emphasis on body positivity and healthy relationships.

Girls Group - This fund relates to funding received for a formal youth club with targeted admission, for girls who are more vulnerable and would benefit from the social aspects of the group.

Covid 19 Response - This fund relates to funding received to enable the Trust to run and support Covid related respones, primarily the distribution of meals to members of the community.

Page 33

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

17. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds
General Funds
Restricted funds
Games Area
Capital Fund
Community Development
REACH
Fitness Equipment
Youth Drop In
Outside The Box
Girls Group
Total of funds
Balance at
1 April 2019
£
5,825,990
5,396
262,825
12,643
-
8,000
18,081
4,665
2,764
314,374
6,140,364
Income
£
505,658
-
-
45,229
-
-
-
-
-
45,229
550,887
Expenditure
£
(402,733)
-
-
(148,648)
(52,833)
-
(1,431)
-
(472)
(203,384)
(606,117)
Transfers
in/out
£
(143,609)
-
-
90,776
52,833
-
-
-
-
143,609
-
Balance at
31 March
2020
£
5,785,306
5,396
262,825
-
-
8,000
16,650
4,665
2,292
299,828
6,085,134

Page 34

HENDERSON TRUST

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

18. Summary of funds

Summary of funds - current year

Balance at 1
April 2020
£
General funds
5,785,306
Restricted funds
299,828
6,085,134
Income
£
Expenditure
£
534,715
(395,014)
73,417
(179,266)
608,132
(574,280)
Balance at
1 April 2019
£
Income
£
5,825,990
505,658
314,374
45,229
6,140,364
550,887
Transfers
in/out
£
(110,523)
110,523
-
Expenditure
£
(402,733)
(203,384)
(606,117)
Gains/
(Losses)
£
(375,195)
-
(375,195)
Transfers
in/out
£
(143,609)
143,609
-
Balance at
31 March
2021
£
5,439,289
304,502
5,743,791
Balance at
31 March
2020
£
5,785,306
299,828
Summary of funds - prior year
General funds
Restricted funds
6,085,134

19. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted
funds
2021
£
Tangible fixed assets
2,919,901
Investment property
2,407,805
Current assets
241,414
Creditors due within one year
(129,831)
Total
5,439,289
Restricted
funds
2021
£
272,307
-
32,195
-
304,502
Total
funds
2021
£
3,192,208
2,407,805
273,609
(129,831)
5,743,791

Page 35

(A Company Limited by Guarantee)

HENDERSON TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

19. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Tangible fixed assets
Investment property
Current assets
Creditors due within one year
Total
Unrestricted
funds
2020
£
3,770,777
1,935,000
211,152
(131,623)
5,785,306
Restricted
funds
2020
£
273,888
-
25,940
-
299,828
Total
funds
2020
£
4,044,665
1,935,000
237,092
(131,623)
6,085,134

20. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the year (as per Statement of Financial
Activities)
Adjustments for:
Depreciation charges
Increase in debtors
Decrease in creditors
Investment property revaluation
Net cash provided by/(used in) operating activities
2021
£
506,657
19,501
(3,103)
(1,792)
(472,805)
48,458
2020
£
(55,230)
16,853
(43,318)
(8,469)
-
(90,164)

21.

Analysis of cash and cash equivalents

Cash in hand
Total cash and cash equivalents
2021
£
167,472
167,472
2020
£
134,058
134,058

Page 36

HENDERSON TRUST

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

22. Analysis of changes in net debt

Cash at bank and in hand At 1 April
2020
£
134,058
134,058
Cash flows
£
33,414
33,414
At 31 March
2021
£
167,472
167,472

23. Pension commitments

The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund, The pension cost charge represents contributions payable by the company to the fund and amount to £14,942 ( 2020 - £14,456 ).

24. Operating lease commitments

At 31 March 2021 the Trust had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years
2021
£
2,507
3,123
5,630
2020
£
1,769
2,267
4,036

25. Related party transactions

During the year the charity made purchases of £7,613 ( 2020 - £4,363 ) from A W Electrical Services Norwich, a business under the control of a close family member of Lynda Wilkinson. Lynda Wilkinson is also a director of A W Electrical Services Norwich.

Page 37