WILLIAM FREDERICK JOHN BLACKFORD DECEASED
TRUSTEES’ ANNUAL REPORT AND ACCOUNTS
FOR THE YEAR ENDED 5 APRIL 2021
CHARITY REGISTRATION NUMBER: 1120809
WILLIAM FREDERICK JOHN BLACKFORD DECEASED CONTENTS YEAR ENDED 5 APRIL 2021
| Page | |
|---|---|
| Reference and administration details | 1 |
| Trustees’ annual report | 2 – 6 |
| Independent examiner’s report | 7 |
| Statement of financial activities | 8 |
| Balance sheet | 9 |
| Notes to the accounts | 10 – 14 |
WILLIAM FREDERICK JOHN BLACKFORD DECEASED REFERENCE AND ADMINSTRATION DETAILS YEAR ENDED 5 APRIL 2021
| Trustees | I D Penny |
|---|---|
| A R J Penny | |
| Principal address | 2 Market Street |
| Crediton | |
| Devon | |
| EX17 2AL | |
| Independent examiner | Michelle Ferris BSc (Hons) FCA DChA |
| Albert Goodman LLP | |
| Goodwood House | |
| Blackbrook Park Avenue | |
| Taunton | |
| Somerset | |
| TA1 2PX |
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2021
The Trustees present their Report for the year ended 5th April 2021.
REFERENCE AND ADMINISTRATION DETAILS
Details of the charity’s Trustees, advisors and other reference and administration details are given on page 1.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Description of the Charity’s governing document
William Frederick John Blackford Deceased is governed by a Will dated 5th July 1989, and Probate which was granted on 15th December 2000. The Trust effectively came into being in March 2006 on the sale of the property of the late W F J Blackford. Formal charitable status was achieved on 7th September 2007.
Trustee selection methods
The Trustees were originally the Executors of the late W F J Blackford’s Will. They were appointed as Trustees when the Trust effectively came into being upon the disposal of the property, part of the deceased’s Estate. There has been no change to the Trustees and the current Trustees are Mr Ian Penny of Veitch Penny Solicitors (part of Gilbert Stephens LLP) and Mr Alex Penny.
OBJECTIVES AND ACTIVITIES
Summary of the objects of the charity set out in its governing document
W F J Blackford Trust is a Trust that sets out to apply available funds, in such a manner that the Trustees think fit, for or towards the upkeep and repair of the Parish Church of St. John the Baptist in Witheridge, Devon, and also for the maintenance of the graveyard and monuments of the said Church. Through undertaking this ongoing maintenance, the Trust sets out to encourage the occupation and use of the Church as a place of public worship, for the benefit of the Parishioners and the wider community.
Summary of the main activities in relation to these objects
During the course of the year the Trustees have again taken due regard to the Charity Commission’s guidance on public benefits. As in previous years, the majority of expenditure undertaken by the Trustees was in respect of repair work to the Church and general upkeep of the Church grounds. The Trustees have additionally made available grants to carry out day to day repairs and maintenance and outgoings within the Church.
The Coronavirus pandemic has had a significant impact on funding for the Church and during the course of the year the Trustees agreed with the PCC that they would help to contribute to ongoing costs within the Church such as heating and electricity. This may well be reviewed moving forward, but it is in recognition of the fact that PCC funds are very restricted as no Service or regular Church activities have been permitted during much of the year. It was also noted that Trustee meetings were not held on such a regular basis for the simple reason that the lockdown restricted movements, but the Trustees were kept fully in the picture by the PCC with regard to ongoing commitments to the Church.
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2021
Summary of the main achievements of the charity during the year
The impact of the coronavirus pandemic has made a significant impact on church finances. The extended lockdown meant that no Church services were held and it was not possible to enter into any major fund raising events. As a result of this, the Trustees agreed that on a forward basis they would help the Church to cover running costs in order to safeguard the general environment within the church for the maintenance and upkeep of the church.
The following activities took place during the course of the year. At the November meeting, the Trustees formally approved the Annual Report to be submitted to the Charity Commissioners and this forms part of the Minutes for the meeting held.
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The PCC had received the annual insurance premium for the Church, but the insurance company had indicated that they would be prepared to offer a significant discount if a working roof alarm system and security cameras were installed. The Trustees agreed that it seemed sensible to make further investigations relating to this as the insurance premium quoted would half if the proposed system were put in place and would further protect the church.
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The Trustees made payments to the PCC in respect of both electricity and oil, in recognition of the difficulties faced in conventional fund raising.
Payments paid out by the Trustees during the course of the year were split and expenditure on capital items was inevitably limited as detailed below.
Capital Expenditure
| May 20 | Works to organ | £965 |
|---|---|---|
| Aug 20 | Final instalment Knotweed infestation | £246 |
| Jan 21 | Roof alarm installation | £4,235 |
The only significant expenditure during the year was in respect of the installation of the roof alarm system. This expenditure was approved by the Trustees since it meant a reduction in insurance premiums for the church premises combined with additional protection for the fabric of the building.
The pandemic meant that only one formal Trust meeting was held during the course of the year but the Trustees wanted to thank the PCC for keeping them advised of any developments within the church during an extremely difficult year.
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2021
Investment Policy
During the course of the year the Trustees have maintained their stance with regard to the split they hold on long term capital investments and also cash. The pandemic has meant that few major projects have been dealt with however and cash reserves are therefore still high, despite the fact that interest rates remain at historically low levels. During the course of the year, the Trustees have again taken views on the ethical criteria to be considered. The returns on capital holdings are summarised below:
| 05.04.21 | 05.04.20 | |
|---|---|---|
| £ | £ | |
| BNY Mellon | 641,340 | 529,382 |
| M&G Charifund | 308,018 |
155,527 |
| Fidelity | 403,255 | 356,436 |
| Charles Stanley | 191,556 | 242,540 |
| 1,544,169 | 1,283,885 | |
| Cash Holdings | 118,309 | 111,112 |
| 1,662,478 | 1,394,997 |
Income received on investment holdings:
| Charles Stanley Fidelity M&G Charifund New Growth Cater Allen Interest |
£ 6,818 8,117 8,392 12,564 35,891 117 36,008 |
|---|---|
The pandemic has continued to affect investment returns generally and this can be seen in the reduction in dividend yield on the capital holdings when compared to last year (£51,110). For this reason, the Trustees were mindful to hold higher cash reserves than might otherwise have been the case in case any major capital expenditure was required within the church in addition to the maintenance costs now being supported by the Trust.
The structure of the capital investments remains unaltered and is still viewed by the Trustees as a medium risk investment strategy. Capital values have increased slightly as hopes that the pandemic will ease have seen some improvements in equity markets.
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2021
Charles Stanley Portfolio
The direct equity portfolio continues to be managed by Charles Stanley stockbrokers and there has been an increase in the overall capital value over the last 12 months, although this is against a reduction in dividend yield.
Fidelity Portfolio
The Fidelity portfolio is made up in the main of cautious fixed interest arrangements and/or other lower risk holdings. The aim of this sector within the capital portfolio is to balance out the higher volatility which is expected from the Charles Stanley portfolio and the two higher income yielding arrangements with M & G and New Growth.
M &G Charifund
In January 2019 the Trustees looked to dilute the New Growth holding and transferred monies into M & G to try to diversify the capital portfolio overall. The fund itself has seen significant growth over the period of this report and has also yielded an excellent income stream to the Trustees.
New Growth (now BNY Mellon)
This fund too has shown considerable growth over the past year and is also yielding a reasonable income stream from the holding.
Overall, the Trustees have maintained the existing stance on capital investments and would see no reason to be making any changes at the current time. The capital investments continue to yield sufficient income to cover day to day requirements at the church and this has been particularly endorsed during the past year when the Trustees have assisted the PCC with additional contributions to running expenses.
Change of Financial Adviser
For many years, the overall lead Financial Adviser to the Trustees had been the Professional Financial Centre. This business was in fact sold and has now become part of the J Edward Sellars partnership. In light of this the Trustees had asked J Edward Sellars to look in detail at the Fidelity holdings, with a view to these monies being transferred over to JES to manage on a discretionary basis moving forward.
The rationale here was that the Trustees were happy with the overall split on investment holdings, but JES offered a discretionary service and the Trustees felt this would be more appropriate on a forward basis, in line with the portfolio managed by Charles Stanley stockbrokers.
Cash Reserves
The past 12 months have been extremely difficult for the economy in general and the church in particular. Lockdowns introduced during the year have meant that many fund raising activities normally held within the church have been severely curtailed, resulting in significant difficulty for the church in handling day to day affairs.
The Trustees have therefore held larger reserves than might have been the case in the past, as they agreed to support the PCC wherever possible to cover the running costs of the church. They have therefore used the cash reserves to cover expenses such as heating, oil and electricity costs.
At 5 April 2021 the cash reserves stood at £118,309. Whilst interest rates remain low, the Trustees were hopeful that ongoing contract work would soon be able to resume and therefore felt comfortable holding this sum. It was also to be utilised to cover ongoing maintenance costs as agreed.
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2021
Financial Review
During the year, the value of the Charity’s investments increased by £260,284 to £1,544,169 (2020: £1,283,885) and the income earned from the investments amounted to £36,008 (2020: £51,110), enough to cover the total expenditure for the year of £27,878 (2020: £38,246).
The Charity recognised an overall surplus for the year of £265,085 (2021: deficit of £171,714) after an investment revaluation gain of £256,955 (2020: loss of £184,578).
STATEMENT OF TRUSTEES’ RESPONSIBILITIES
The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with 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).
The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgments and accounting estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements, and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed/constitution. 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.
Declaration
The trustees declare that they have approved the Trustees’ report above.
Signed on behalf of the charity’s trustees
I D Penny
Date: 25 January 2022
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INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF WILLIAM FREDERICK JOHN BLACKFORD DECEASED FOR THE YEAR ENDED 5 APRIL 2021
Independent examiner’s report to the trustees of William Frederick John Blackford Deceased
I report to the trustees on my examination of the accounts of the William Frederick John Blackford Deceased (‘the Trust’) for the year ended 5 April 2021.
Responsibilities and basis of report
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Trust’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 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 giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the Trust as required by section 130 of the Act; or 2. the accounts do not accord with those records; or
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the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.
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.
Michelle Ferris BSc (Hons) FCA DChA
Albert Goodman LLP Goodwood House Blackbrook Park Avenue Taunton Somerset TA1 2PX
Date: 25 January 2022
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5 APRIL 2021
| Unrestricted | Unrestricted | ||
|---|---|---|---|
| Funds | Funds | ||
| 2021 | 2020 | ||
| Note | £ | £ | |
| Income | |||
| Investment income: | |||
| Bank interest | 5,420 | 5,911 | |
| Dividends received | 30,588 | 45,199 | |
| ────── | ────── | ||
| Total income | 36,008 | 51,110 | |
| ────── | ────── | ||
| Expenditure | |||
| Raising funds | 2 | 5,330 | 4,648 |
| Charitable activities | 3 | 22,548 | 33,598 |
| ────── | ────── | ||
| Total expenditure | 27,878 | 38,246 | |
| ────── | ────── | ||
| Net income/(expenditure) before | |||
| investment (losses)/gains | 8,130 | 12,864 | |
| Gains/ (losses) on investments | 256,955 | (184,578) | |
| ────── | ────── | ||
| Net movements in funds | 265,085 | (171,714) | |
| Total funds brought forward | 1,395,660 | 1,567,374 | |
| ────── | ────── | ||
| Total funds carried forward | 1,660,745 ~~──────~~ |
1,395,660 ~~──────~~ |
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED BALANCE SHEET AS AT 5 APRIL 2021
| Note | 2021 | 2020 | |||
|---|---|---|---|---|---|
| £ | £ | ||||
| Fixed assets | |||||
| Investments | 4 | 1,544,169 | 1,283,885 | ||
| Current assets | |||||
| Debtors and prepayments | 5 | 3,427 | 3,947 | ||
| Cash at bank and in hand | 118,309 | 111,112 | |||
| ────── | ────── | ||||
| 121,736 | 115,059 | ||||
| Creditors: amounts falling | |||||
| due within one year | 6 | (5,160) | (3,284) | ||
| ────── | ────── | ||||
| Net current assets | 116,576 | 111,775 | |||
| ────── | ────── | ||||
| Net assets | 1,660,745 ~~──────~~ |
1,395,660 ~~──────~~ |
|||
| Represented by: | |||||
| Unrestricted funds | 1,660,745 ~~──────~~ |
1,395,660 ~~──────~~ |
The accounts were approved by the Trustees on 25 January 2022
I D Penny
On Behalf of the Board of Trustees
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2021
1 Accounting policies
Basis of accounting
The financial statements have been prepared in £ sterling on the historical cost basis and in accordance with 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) – (Charities SORP (FRS 102)).
The charity 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.
Income
These are included gross of related expenditure in the Statement of Financial Activities (‘SoFA’) when the charity becomes entitled to the resources, is virtually certain they will receive the resources, and can measure the monetary value with sufficient reliability.
Investment income is recognised on a receivable basis.
Investment gains and losses include 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.
Income from tax reclaims are included in the SoFA at the same time as the interest to which they relate.
Expenditure
Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Governance costs include costs of the preparation and examination of the statutory accounts, the costs of trustee meetings and the cost of any legal advice to trustees on governance or constitutional matters.
Fixed asset investments
Investments are recognised initially at fair value which is normally the transaction price (but excludes any transactions costs). Subsequently, investments are held at market value, with all realised and unrealised gains and losses passing through the SoFA.
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2021
Accounting policies (continued)
Realised gains and losses
All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and opening market value (or purchase date if later). Unrealised gains and losses are calculated as the difference between the market value at the year end and opening market value (or purchase date if later). Realised and unrealised gains are not separated in the Statement of Financial Activities.
Debtors
Trade debtors and other debtors are recognised at the settlement amount due.
Cash at bank and in hand
Cash at bank and in hand comprise of cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Creditors
Creditors and provisions are recognised where the Trust has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are recognised at their settlement amount.
Taxation
The Trust is a registered charity and is exempt from taxation on its income and gains where they are applied for charitable purposes. The Trust’s tax exempt status was confirmed by H M Revenue & Customs on 6 August 2009.
Fund accounting policy
All funds held by the Trust are:-
- Unrestricted – these funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Financial instruments
The charity only holds basic financial instruments as defined in FRS 102. The financial assets and liabilities of the charity and their measurements are as follows:
Financial assets – debtors and accrued income are basic financial instruments and are debt instruments measured at amortised cost and details in note 9. Investment portfolios are basic financial instruments measured at fair value through the income and expenditure account.
Cash at bank and deposit accounts– is classified as a basic financial instrument and is measured at face value.
Financial liabilities – trade creditors and accruals are financial instruments, and are measured at amortised cost and detailed in note 9.
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2021
2 Raising funds
| 3 4 |
2021 2020 £ £ Investment management costs Financial advice 920 - Portfolio management charges 4,410 4,648 ────── ────── 5,330 4,648 ~~──────~~ ~~──────~~ Charitable activities 2021 2020 £ £ Repairs to Church 10,440 21,928 Repairs to grounds and monument 2,796 2,646 Architects - 1,584 Insurance 545 538 Governance costs 8,767 6,902 ────── ────── 22,548 33,598 ~~──────~~ ~~──────~~ Included within Governance costs 2021 2020 £ £ Legal charges 7,200 5,415 Accountancy 1,067 1,000 Independent examination 500 487 ────── ────── 8,767 6,902 ~~──────~~ ~~──────~~ Investments 2021 2020 £ £ Market value At 6 April 2020 1,283,885 1,264,187 Additions 48,340 311,613 Disposals (48,340) (111,613) Income re-invested 7,739 8,924 Portfolio management charges (4,410) (4,648) Unrealised & realised (losses)/gains 256,955 (184,578) ────── ────── At 5 April 2021 1,544,169 1,283,885 ~~──────~~ ~~──────~~ Represented by: Global Growth & Income Fund for Charities 641,340 529,382 Charles Stanley – Investment portfolio 308,019 242,540 Fidelity – Investment portfolio 403,255 356,436 M & G Investments - Charifund 191,555 155,527 ────── ────── 1,544,169 1,283,885 ~~──────~~ ~~──────~~ |
|---|---|
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2021
5 Debtors and prepayments
| Debtors and accrued income | 2021 2020 £ £ 3,427 3,947 ~~──────~~ ~~──────~~ |
|---|---|
6 Creditors and accruals
| Accruals | 2021 2020 £ £ 5,160 3,284 ~~──────~~ ~~──────~~ |
|---|---|
7 Trustees’ and employee remuneration
(2020: none).
The trust has no employees, and hence no key management personnel and none that receive remuneration of over £60,000 (2020: none).
8 Related party transactions
I D Penny, a trustee, is a consultant of Veitch Penny Solicitors (part of Gilbert Stephens LLP). During the year the trust paid Veitch Penny £7,200 (2020: £5,415) for legal services. At the year-end, £3,600 was due to Veitch Penny (2020: £1,815).
9 Analysis of net assets between funds
| Unrestricted | Total | |
|---|---|---|
| funds | 2021 | |
| £ | £ | |
| Fixed assets | 1,544,169 | 1,544,169 |
| Debtors | 3,427 | 3,427 |
| Cash at bank and in hand | 118,309 | 118,309 |
| Creditors due within one year | (5,160) | (5,160) |
| ────── | ────── | |
| 1,660,745 ~~──────~~ |
1,660,745 ~~──────~~ |
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WILLIAM FREDERICK JOHN BLACKFORD DECEASED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2021
| Analysis of net assets between funds - 2020 | ||
|---|---|---|
| Unrestricted | Total | |
| funds | 2020 | |
| £ | £ | |
| Fixed assets | 1,283,885 | 1,283,885 |
| Debtors | 3,947 | 3,947 |
| Cash at bank and in hand | 111,112 | 111,112 |
| Creditors due within one year | (3,284) | (3,284) |
| ────── | ────── | |
| 1,395,660 ~~──────~~ |
1,395,660 ~~──────~~ |
10 Financial instruments Categorisation of financial instruments
| Categorisation of financial instruments | ||
|---|---|---|
| 2021 | 2020 | |
| £ | £ | |
| Financial assets measured at fair value through the | ||
| income and expenditure account | 1,544,169 | 1,283,885 |
| Financial assets that are debt instruments measure | ||
| at amortised cost | 121,736 | 115,059 |
| ────── | ────── | |
| 1,664,905 ~~──────~~ |
1,398,944 ~~──────~~ |
|
| Financial liabilities measured at amortised cost | 5,160 ~~──────~~ |
3,284 ~~──────~~ |
| Item of income, expenditure, gain or losses | ||
| Income | Net gains | |
| 2021 | £ | £ |
| Financial assets measured at fair value through the | ||
| income and expenditure account | 35,952 ~~──────~~ |
256,955 ~~──────~~ |
Income |
Net losses |
|
| 2020 | £ | £ |
| Financial assets measured at fair value through the | ||
| income and expenditure account | 50,655 ~~──────~~ |
(184,578) ~~──────~~ |
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