Charity Registration No. 1118937
Company Registration No. 06034270 (England and Wales)
HILDA LANE COMMUNITY ASSOCIATION
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
HILDA LANE COMMUNITY ASSOCIATION
LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | Alix Bushnell |
|---|---|
| John Campbell (dec’d 6 August 2021) | |
| Neisha Ebanks | |
| Linda Huggins | |
| Margaret Quarry | |
| Secretary | Alix Bushnell (resigned 15 September 2020) |
| John Campbell (appointed 15 September 2020; dec’d 6 August 2021) | |
| Charity number | 1118937 |
| Company number | 06034270 |
| Registered Office | St Hugh’s Community Centre |
| 42 Castledine Road | |
| Anerley | |
| London | |
| SE20 8PL | |
| Independent examiner | Jan Bonar CPFA |
| Lodge Farm, Mawfa Crescent | |
| Sheffield S14 1AS |
HILDA LANE COMMUNITY ASSOCIATION
CONTENTS
| Page | |
|---|---|
| Trustees’ report | 1 – 3 |
| Independent examiner’s report | 4 |
| Statement of financial activities | 5 |
| Statement of financial position | 6 |
| Notes to the accounts | 7 – 13 |
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HILDA LANE COMMUNITY ASSOCIATION
TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT)
FOR THE YEAR ENDED 31 DECEMBER 2020
The Trustees present their report and financial statements for the year ended 31 December 2020.
Objectives and activities
The objects of the charity, as stated in its Memorandum & Articles of Association, are to:
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promote the benefit of the inhabitants of the area of benefit without distinction of sex, sexual orientation, nationality, age, disability, race or of political, religious or other opinions by associating together the said inhabitants and the statutory authorities, voluntary and other organisations in a common effort to advance education and to provide facilities, services, advice or assistance 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 for the benefit of the community;
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establish, or secure the establishment, of a Community Centre and to maintain and manage the same (whether alone or in co-operation with any statutory authority or other person or body) in furtherance of the above objects;
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promote such other charitable purposes as may from time to time be determined.
The Association shall be non-party in politics and non-sectarian in religion. The area of benefit shall be Anerley, Penge and Crystal Palace, all in South London and the neighbourhood.
The charity fulfils these objectives by: providing a safe comfortable place for local residents to come and interact with the community; by increasing the profile of the Association and providing social and educational support to the surrounding area with focus on health and wellbeing; and by attracting and supporting new user groups including both those set up and run by the local people as well as by the commercial and statutory and nonstatutory partners.
The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Association should undertake for the public benefit.
Achievements and performance
2020 was a very difficult year for the charity due to the closure of the community centre during the pandemic. However, we were able to maintain a connection with the local young people by having Zoom “Youth Club” and outside activities when restrictions allowed. The charity provided food boxes for local residents in conjunction with other charitable organisations. Volunteers from the local area and staff collected the food and made sure it was delivered to those most in need and provided services for residents including collecting medication and vital items for those shielding. We were successful in gaining funding from the Big Issue Invest fund to allow us to recruit a full-time centre manager to help the charity to prepare to come out of the pandemic and facilitate the return of hirers once the community centre was opened again.
Financial review
The charity generated a surplus during the period of £12,724 (2019: deficit of £3,202), represented by a deficit in unrestricted funds of £8,510 (2019: deficit of £714) and a surplus in restricted funds of £21,234 (2019: surplus of £3,916). The funds held at the year-end amounted to £57,162 (2019: £44,438), of which £27,412 (2019: £35,922) were unrestricted, which can be used freely to meet the charity’s objectives.
It is the policy of the Association that unrestricted funds which have not been designated for a specific use should be maintained at a level at least equivalent to between three- and six-months’ expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Association’s current activities while consideration is given to ways in which additional funds may be raised. The charity used £8,510 of these reserves during the Covid-19 pandemic, this has since been returned. At 31 December 2020, the charity’s unrestricted liquid reserves stood at £27,412.
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HILDA LANE COMMUNITY ASSOCIATION
TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
The Trustees have assessed the major risks to which the Association is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
In March 2020, the global Covid-19 crisis impacted the UK, resulting in long-term lockdown of social activities and an ongoing reduction in allowable social activities. These restrictions have now been fully lifted. The Trustees have reviewed the charity’s financial and operating model and under this new model it is now in a very strong position going into the start of 2021. Hall hire is back to the pre-pandemic level and with permanent staff on site it is increasing on a monthly basis. The charity was fortunate to be awarded a grant towards staffing cost in April 2021 which will enable it to continue to operate under this new operating model. The Trustees are therefore confident of both the charity’s financial solvency and its ability to deliver an appropriate charitable service to its community. These accounts are therefore presented on a going concern basis.
Structure, governance and management
Hilda Lane Community Association is a charitable company limited by guarantee incorporated in England and Wales (Company Registration No. 06034270) and is registered with the Charity Commission in England (Charity Registration No. 1118937). It is governed by its Memorandum and Articles of Association, which were adopted on 20 December 2006 and amended on 9 July 2019. The registered office is St Hugh’s Community Centre, 42 Castledine Road, Anerley, London SE20 8PL.
The Trustees also act as Directors for the purposes of company law and hold no share capital. The Trustees are also the Members of the Company; there are currently 4 Members and the liability of each in the event of a winding-up is £1. The Trustees in post at the date of approval of this report are:
Miss Alix Bushnell Mrs Neisha Ebanks Mrs Linda Huggins Mrs Margaret Quarry
New Trustees are recruited, appointed and inducted by the existing Trustees.
Responsibilities of the Trustees
The Trustees, who are also the directors of Hilda Lane Community Association for the purposes of company law, are responsible for preparing the Trustees’ Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing those financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the SORP;
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make judgements and estimates that are reasonable and prudent; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The Trustees are responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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HILDA LANE COMMUNITY ASSOCIATION
TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
This report has been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006.
For the financial period ended 31 December 2020 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Signed by order of the Trustees
Alix Bushnell Trustee Dated: 25 April 2022
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HILDA LANE COMMUNITY ASSOCIATION
INDEPENDENT EXAMINER’S REPORT
TO THE TRUSTEES OF HILDA LANE COMMUNITY ASSOCIATION
I report to the Trustees on my examination of the financial statements of Hilda Lane Community Association (‘the Association’) for the year ended 31 December 2020.
Responsibilities and basis of report
As the Trustees of the Association (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 financial statements of the Association 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 Association’s financial statements as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that, in any material respect:
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accounting records were not kept in respect of the Association as required by section 386 of the 2006 Act and section 130 of the 2011 Act; or
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the financial statements do not accord with the accounting 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.
Signed:
Jan Bonar CPFA Lodge Farm Mawfa Crescent Sheffield S14 1AS
Dated: 25 April 2022
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HILDA LANE COMMUNITY ASSOCIATION
STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT)
FOR THE YEAR ENDED 31 DECEMBER 2020
| Notes INCOME AND ENDOWMENTS FROM: Donations 2 Charitable activities 3 Investments 4 TOTAL EXPENDITURE ON: Raising Funds 5 Charitable activities 6 TOTAL Fund balances brought forward RECONCILIATION OF FUNDS: TOTAL FUNDS CARRIED FORWARD NET INCOME/(EXPENDITURE) & NET MOVEMENT IN FUNDS |
Unrestricted funds £ 10,000 9,860 175 20,035 3,970 24,575 28,545 (8,510) 35,922 27,412 |
Restricted funds £ 31,616 - - 31,616 - 10,382 10,382 21,234 8,516 29,750 |
Total funds Total funds 2020 2019 £ £ 41,616 13,630 9,860 24,744 175 283 51,651 38,657 3,970 3,778 34,957 31,677 38,927 35,455 12,724 3,202 44,438 41,236 57,162 44,438 |
|---|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
The notes on pages 7-13 form part of these financial statements.
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HILDA LANE COMMUNITY ASSOCIATION
STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2020
| Note CURRENT ASSETS Debtors & prepayments 12 Cash at bank and in hand 13 Total current assets LIABILITIES Creditors: Amounts falling due within one year 14 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES TOTAL NET ASSETS 16 THE FUNDS OF THE CHARITY Restricted funds 16 Unrestricted funds General fund 16 Total charity funds |
2020 2019 £ £ 3,740 6,091 54,421 39,293 58,161 45,384 (999) (946) 57,162 44,438 57,162 44,438 57,162 44,438 29,750 8,516 27,412 35,922 57,162 44,439 |
|---|---|
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006 (the Act) for the year ended 31 December 2020. No member of the company has deposited a notice pursuant to section 476 requiring an audit of these financial statements.
The Trustees acknowledge their responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Act relating to financial statements, so far as applicable to the company.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on 25 April 2022.
Alix Bushnell Trustee
Company registration number 06034270
*** The notes on pages 7-13 form part of these financial statements. ***
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HILDA LANE COMMUNITY ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
1. Accounting Policies
The financial statements have been prepared in accordance with the accounting policies set out below and comply with the Association’s Articles of Association, the Companies Act 2006 and “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)" (as amended for accounting periods commencing from 1 January 2016)
1.1 Accounting convention
The financial statements have been prepared in accordance with the Association’s governing document, the Companies Act 2006 and “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)” (as amended for accounting periods commencing from 1 January 2016). The Association is a Public Benefit Entity as defined by FRS 102.
The Association has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the Association. Monetary amounts in these financial statements are rounded to the nearest £1.
The financial statements have been prepared under the historical cost convention and on an accruals basis. The principal accounting policies adopted are set out below.
1.2
Going concern
At the time of approving the financial statements, the Trustees have a reasonable expectation that the Association has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting.
1.3
Charitable funds
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the Association’s charitable objectives unless the funds have been designated for other purposes.
Restricted funds are only available for use for specific charitable purposes specified by the donor.
1.4
Incoming resources
The Association hires out the hall for local activities and community events as part of its fundraising activities. This income is recognised when the Association is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt.
1.5
Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.6 Financial instruments
Financial instruments are recognised in the Association’s balance sheet when the Association becomes part to the contractual provisions of the instrument.
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HILDA LANE COMMUNITY ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest rate method. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, which include trade creditors and bank loans, are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest rate method.
2 Donations
| Charitable grants | Unrestricted funds £ 10,000 10,000 |
Restricted funds £ 31,616 31,616 |
Total Total 2020 2019 £ £ 41,616 13,630 41,616 13,630 |
|---|---|---|---|
3 Income from charitable activities
| Hire of Community Hall Community Events |
Total Total 2020 2019 £ £ 9,860 24,583 - 161 9,860 24,744 |
|---|---|
4 Investment income
| Interest receivable | Total Total 2020 2019 £ £ 175 283 175 283 |
|---|---|
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HILDA LANE COMMUNITY ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
5 Costs of raising funds
| Staff costs (see note 10) Support costs (see note 7) |
2020 2019 £ £ 3,189 3,067 781 711 3,970 3,778 |
|---|---|
6 Costs of charitable activities
| Direct costs Grant making Staff costs (see note 10) Support costs (see note 7) |
2020 2019 £ £ 5,714 2,569 - 500 23,489 23,225 5,754 5,383 34,957 31,677 |
|---|---|
7 Support costs (including governance costs)
| Governance (see note 8) Office/IT support/misc Insurance General travel & subsistence |
2020 2019 £ £ 2,950 3,028 3,035 2,190 550 543 - 333 6,535 6,094 |
|---|---|
Support costs (including governance) are apportioned among the charitable activities costs and the cost of raising funds (notes 5 & 6). Direct costs are allocated wherever possible. Remaining costs are apportioned on the basis of staff time spent on each activity.
8 Governance costs
| Direct costs Staff costs (see note 10) |
2020 2019 £ £ 630 630 2,320 2,398 2,950 3,028 |
|---|---|
Governance costs include fees paid to the independent examiner of £480 (2019: £480). These fees relate exclusively to the independent examination.
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HILDA LANE COMMUNITY ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
- 9 Fund Accounting – comparative data from 2019
| Unrestricted funds £ INCOME AND ENDOWMENTS FROM: Donations - Charitable activities 24,744 Investments 283 TOTAL 25,027 EXPENDITURE ON: Raising Funds 3,778 Charitable activities 21,963 TOTAL 25,741 NET INCOME/(EXPENDITURE) & NET MOVEMENT IN FUNDS (714) Fund balances brought forward 36,636 RECONCILIATION OF FUNDS: TOTAL FUNDS CARRIED FORWARD 35,922 |
Restricted Total funds funds 2019 £ £ 13,630 13,630 - 24,744 - 283 13,630 38,657 - 3,778 9,714 31,677 9,714 35,455 3,916 3,202 4,600 41,236 8,516 44,438 |
|---|---|
10 Analysis of staff costs, Trustee remunerations and expenses and the costs of Key Management Personnel
| Wages and salaries (including NICs and pension costs) | 2020 2019 £ £ 28,998 28,690 28,998 28,690 |
|---|---|
The company employed an average of 4 employees during the financial period, representing an average fulltime equivalent of 1.4 staff (2019: 4 employees, 1.4 FTE).
While acting in the capacity of a Trustee, no Trustees received reimbursement of out-of-pocket expenses in the current accounting period (2019: 1 Trustee, £310.64). The Key Management Personnel for the charity are the Trustees of the charity, none of whom received any remuneration during the financial period. No salaried staff are deemed to be key management personnel as all strategic management decisions remain with the Trustees whereas salaried staff carry out operational activity.
No employees had emoluments of above £60,000 in the current reporting period (2019: no employees)
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HILDA LANE COMMUNITY ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
11 Tangible Fixed Assets
| COST: At 1 January 2020 Additions At 31 December 2020 DEPRECIATION: At 1 January 2020 Charge for the period At 31 December 2020 NET BOOK VALUE: At 31 December 2020 At 31 December 2019 |
Computer Equipment £ 15,855 - 15,855 15,855 - 15,855 - - |
Fixtures and fittings £ 5,309 - 5,309 5,309 - 5,309 - - |
Fixtures and fittings £ 5,309 - 5,309 5,309 - 5,309 - - |
Total £ 21,164 - 21,164 21,164 - 21,164 - - |
|---|---|---|---|---|
| 12 Debtors |
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| Trade debtors Prepayments and accrued income |
2020 £ 3,602 138 3,740 |
2019 £ 5,862 229 6,091 |
||
| 13 Cash and cash equivalents |
2019 £ 39,293 39,293 |
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| Cash at bank and in hand Total cash and cash equivalents |
2020 £ 54,421 54,421 |
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| 14 Creditors: Amounts falling due within one year |
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| Held Damage Deposits Accruals |
2020 £ 519 480 999 |
2019 £ 466 480 946 |
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HILDA LANE COMMUNITY ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
15 Analysis of net assets between funds
| Debtors and prepayments Cash at bank and in hand |
Unrestricted Funds 2020 £ 3,740 24,672 |
Restricted Funds 2020 £ - 29,750 |
Total Total 2020 2019 £ £ 3,740 6,091 54,421 39,293 |
|---|---|---|---|
| Creditors: due within one year | (999) | - | (999) (946) |
| 27,413 | 29,750 | - 57,162 44,438 |
16 Fund balances
| Unrestricted funds: General fund Restricted funds: Jack Petchey Youth Club (National Lottery and SHYN) Big Issue British Science Association Grant CLB Grant |
Opening Balance 01/01/2020 £ 35,922 750 7,766 - - - |
Income £ 20,035 500 - 26,270 1,000 3,846 |
Expenditure £ (28,545) (208) (1,152) (5,176) - (3,846) |
Net movement in funds 2020 £ (8,510) 292 (1,152) 21,094 1,000 - 12,724 |
Closing Balance 31/12/2020 £ 27,412 1,042 6,614 21,094 1,000 - |
|---|---|---|---|---|---|
| 44,438 | 51,651 | (38,927) | 57,162 |
The unrestricted general fund comprises monies that can be used in accordance with the objects of the charity at the discretion of the trustees.
The restricted funds must be spent in accordance with the specified wishes of the donor. The restricted grants carried forward from the previous year, all for Youth Club activities, were partially spent during the year, but opportunities for expenditure were limited owing to the Covid-19 lockdown and limitation on activities. A further grant from the Jack Petchey fund received in 2020 will also be put towards future youth club activities, as will the £1,000 grant from the British Science association. The CLB grant funded roughly three months of the salary of the Community Organiser, which enabled her to continue to work without needing to be furloughed during 2020 and therefore enabled the charity’s community engagement to continue, albeit in a different form, throughout the pandemic. Finally, the grant from the Big Issue, received in October 2020, was given to cover various core cost of the charity to assist them through the changed operating model of the pandemic, and was partially spent by year on costs including the Centre Manager’s salary, outreach work, recruitment and IT costs, with the remainder being spent in full in 2021.
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HILDA LANE COMMUNITY ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
17 Related party transactions
There were no disclosable related party transactions during the year (2019: nil).
18 Company Limited by Guarantee
The company is a Company Limited by Guarantee and has no share capital. The liability of each member in the event of a winding-up is limited to £1. There are currently 4 members.
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