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2021-03-31-accounts

COMPANY REGISTRATION NUMBER: 05717320 CHARITY REGISTRATION NUMBER: 1122738

Somerset Earth Science Centre Limited Company Limited by Guarantee Financial Statements

31 March 2021

CHALMERS & CO (SW) LIMITED

Chartered accountant & statutory auditor Trading as Chalmers & Co. 6 The Linen Yard South Street Crewkerne Somerset TA18 8AB

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Financial Statements

Year ended 31 March 2021

Page
Trustees' annual report (incorporating the director's
report) 11
Independent auditor's report to the members 66
Statement of fnancial activities (including income and
expenditure account) 1313
Statement of fnancial position 1414
Statement of cash fows 1515
Notes to the fnancial statements 1616
The following pages do not form part of the fnancial
statements
Detailed statement of fnancial activities 3232

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

Year ended 31 March 2021

The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 March 2021.

Reference and administrative details

Registered charity name Somerset Earth Science Centre Limited
Charity registration
number 1122738
Company registration
number 05717320
Principal ofce and
registered Moons Hill Quarry
ofce Mendip Road
Stoke St. Michael
Radstock
Somerset
BA3 5JU
The trustees/directors P B Barkwill
H Siggs
A B Yeoman
Company secretary P B Barkwill
Auditor Chalmers & Co (SW) Limited
Chartered Accountants & Statutory Auditors
Trading as Chalmers & Co.
6 The Linen Yard
South Street
Crewkerne
Somerset
TA18 8AB
Bankers National Westminster Bank plc
25 High Street
Shepton Mallet
Somerset BA4 5AF
Solicitors Mowbray Woodwards
3 Queen Square
Bath
Somerset
BA1 2HG

1

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

(continued)

Year ended 31 March 2021

Structure, governance and management

The company was formed on 21 February 2006 and is governed by its Memorandum and Articles of Association. Registration as a charity was obtained on 13 February 2008. The aims of the charity are to provide an educational programme for schools which is National Curriculum linked with work sheets available for topics at Key Stages 1 to 4. More advanced studies are available for colleges, community groups and the general public. The Centre offers a unique learning experience which includes looking at areas of former quarrying which have geological or wildlife interest and exploring different working quarries in the Mendip area. Topics covered include all aspects of quarrying from processing stone to environmental impact, plus geography, ecology, geology, careers, technology and business studies. The Centre employs two full time teachers to provide the educational and field study experience.

Objectives and activities

The trustees have paid due regard to the guidance given by the Charity Commission on public benefit when deciding what activities the charity should undertake. The trustees believe that the activities undertaken in the year and described in this report show a commitment to providing an identifiable public benefit and that this benefit is not restricted in any way.

Strategic report

The following sections for achievements and performance, financial review and plans for future periods form the strategic report of the charity.

Achievements and Performance

The Somerset Earth Science Centre Limited (SESC) continues its work engaging with people of all ages about the quarrying industry, through classroom, school outreach and community based activities. During the annual period, the Centre was closed due to the pandemic, school closures and the inability for schools to visit. The staff were placed on furlough. The plan is to re-open the Centre when furlough ends and schools are in a better place to visit, in terms of both COVID and their priorities around the curriculum.

Financial Review

The Centre continues to be funded by the MQP stakeholders and as such, has sufficient resources to manage current risks. Throughout the period, The Charity benefitted from government covid grants amounting to £49,848 during the period, which covered a proportion of staff wages. Staff were paid 100% of their wages for the whole period, funded by the usual MQP funds. Fixed expenditure was covered during the period. 30,768 remains in the accounts which will be reinvested into the Centre and used to support its’ development when it reopens.

Investment Policy

It is the trustees' policy to invest surplus cash funds in a high interest account but allowing access to those funds as necessary to meet expenditure as it arises.

Movement in fixed assets

The company has utilised its’ resources to fund staff wages through the covid period and cover any required expenditure to keep the Centre in situ. Acquisitions and disposals

Acquisitions and disposals of fixed assets during the course of the year are disclosed in note 13.

2

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2021

Results

The audited accounts of the company for the year ended 31 March 2021 were approved by the board of trustees on 14 December 2021.

Trustees

The following organisations, all of which are member companies of the Mendip Quarry Producers, can appoint a representative to the board of trustees: John Wainwright & Co. Limited, Aggregate Industries Limited, Hanson Aggregates Limited, Tarmac Limited and Morris & Perry (Gurney Slade Quarries) Limited.

When considering the recruitment of trustees, the appointing organisations have regard to the skill sets required by the trustees to run the charity. They therefore look to cover any perceived shortfalls when making their appointments. Training of new trustees is undertaken by existing experienced trustees.

The maximum number and minimum number respectively of the trustees may be determined from time to time by ordinary resolution in general meeting of the charity. Subject to and in default of any such determination there shall be no maximum of trustees and the minimum number of trustees shall be three.

The trustees of the charity, all of whom are directors of the company, at the year end are P B Barkwill, H Siggs and A B Yeoman OBE DL. There have been no other trustees in the period.

Trustees' interests

No trustee has or had during the year or at the end of the year any beneficial interest in any material contract with the company, which was or is significant in relation to the company's business.

Shares

The company has no issued share capital and is limited by guarantee of its members, each member guarantees £1 on the winding up of the company. Each of the organisations able to appoint trustees is a member of the company.

Health and Safety

In accordance with the provisions of the Health and Safety at Work Act 1974 the company has issued a written statement of its general policy with regard to health and safety at work of its employees and the organisational arrangements for carrying out that policy. The statement has been brought to the attention of the company's staff.

Risk

The trustees have continued to assess the major risks to which the company is exposed and systems are established to mitigate these risks.

Audit information

So far as the trustees are aware there is no relevant audit information of which the company's auditors are unaware. Each trustee has taken all the steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Auditors

A resolution to reappoint Chalmers and Co (SW) Limited as auditors and to authorise the

3

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2021

trustees to fix their remuneration will be proposed at the annual general meeting.

Preparation of the accounts

This report and the accounts have been prepared in accordance with the charity's governing document, SORP 2005 Accounting and Reporting by Charities and the special provisions for small companies under Part 15 of the Companies Act 2006.

Plans for Future Periods

The Centre is committed to providing a first class educational provision, to promote awareness of the quarrying industry, its environmental impact and measures taken around restoration and environmental initiatives, as well as available jobs and career paths.

When the Centre re-opens, there will a strategic review to ensure the centre continues to service the needs of all its’ stakeholders and provide value, particularly in light of potential changing requirements post covid.

The strategy will cover the core areas of education and careers, sustainability and biodiversity, community engagement, Centre development and income streams. It will cover a 5 year period, with support from the MQP members.

There will be a focus on secondary education and supporting a future talent pipeline for the industry, partnering with the National Stone Centre in derbyshire to achieve local and national goals.

Working with employers and the local wildlife trust will be another strategic priority, supporting and promoting the sustainability and biodiversity initiatives of the MQP members and wider industry.

Enhanced efforts around community engagement will be key, informing and consulting on local quarry developments, as well as providing greater access to the Centre and its’ existing and potential new offerings.

Broadening commercial income streams will be another focus, looking into grant opportunities and donations to support potential future initiatives, including a museum, gift shop and coffee facility.

A management committee will be formed to provide future direction and assist with the management of the centre. Terms of Reference will be drafted.

The Centre will continue to ensure efficient and effective staffing and a volunteer bank will be developed to assist with new initiatives.

Trustees' responsibilities statement

The trustees, who are also directors 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 charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure,

4

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2021

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 charity's transactions and 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 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.

Auditor

Each of the persons who is a trustee at the date of approval of this report confirms that:

The trustees' annual report and the strategic report were approved on xx xxxxx 2021 and signed on behalf of the board of trustees by:

P B Barkwill Trustee

A B Yeoman Trustee

5

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Somerset Earth Science Centre Limited

Year ended 31 March 2021

Opinion

We have audited the financial statements of Somerset Earth Science Centre Limited (the 'charity') for the year ended 31 March 2021 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, 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 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

This report is made solely to the charity's members, 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 charity's members those matters we are required to state to them in an auditor's 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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.

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 auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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 director’s 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 group’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.

6

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Somerset Earth Science Centre Limited

Year ended 31 March 2021

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

7

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Somerset Earth Science Centre Limited (continued)

Year ended 31 March 2021

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Opinions 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 the knowledge and understanding of the charity 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 the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors 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

8

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Somerset Earth Science Centre Limited (continued)

Year ended 31 March 2021

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.

9

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Somerset Earth Science Centre Limited (continued)

Year ended 31 March 2021

In preparing the financial statements, the trustees are responsible for assessing the charity'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 charity or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 auditor’s 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:

We have considered the following:

As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud and identified the areas of high risk to be in relation to revenue recognition. In common with all audits under ISAs (UK) we are also required to perform specific procedures to respond to the risk of management override.

We have also obtained an understanding of the legal and regulatory frameworks that eh company operates in, focussing on provisions of those laws and regulations that had a direct on the determination of material amounts and disclosures within the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, Financial Reporting Standard 102 and UK Tax Legislation. In addition, we considered the provision of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental for the Group’s ability to operate or avoid a material penalty. The included health and safety regulations; employment legislation; and data protection laws.

The notes on page1630163016 form part of these financial statements.

10

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Somerset Earth Science Centre Limited (continued)

Year ended 31 March 2021

Our audit procedures performed to respond to the risks identified included, but were not limited to:

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or noncompliance with laws and regulations throughout the audit.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from an error, as fraud may involve deliberate concealment by, for instance, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it.

A further description of our responsibilities is available on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies act 2006. Our audit work has bene undertaken so that we might state to the charity’s members those matters we are required to state to them in an auditor’s 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 charity and the charity’s members as a body, or our audit work, for this report, or foe the opinions we have formed.

S M Bachrach (Senior Statutory Auditor)

The notes on page1630163016 form part of these financial statements.

11

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Somerset Earth Science Centre Limited (continued)

Year ended 31 March 2021

For and on behalf of Chalmers & Co (SW) Limited Chartered accountant & statutory auditor Trading as Chalmers & Co. 6 The Linen Yard South Street Crewkerne Somerset TA18 8AB

14 December 2021

The notes on page1630163016 form part of these financial statements.

12

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Statement of Financial Activities (including income and expenditure account)

Year ended 31 March 2021

2021 2021 2021 2020
Designated
Unrestricte Restricted Building Total
d funds funds funds funds Total funds
Note £ £ £ £ £
Income and endowments
Donations and grants 5 48,178 40,862 - 89,040 101,790
Government Grants 6 - 49,848 - 49,848 -
Energy income 6 - - - - 58
---------------------------- ---------------------------- -------------- -------------------------------- ----------------------------
Total income 48,178 90,710 - 138,888 101,848
==============
============== ============== ============== ==============
============== ============== ============== ==== ==============
Expenditure
Expenditure on
charitable activities 7 20,325 78,210 9,585 108,120 116,263
Expenditure on
fundraising 8 - - - - 418
---------------------------- ---------------------------- ---------------------------- -------------------------------- --------------------------------
Total expenditure 20,325 78,210 9,585 108,120 116,681
============== ==============
============== ============== ============== ============== ==============
============== ============== ============== ==== ====
---------------------------- ---------------------------- ---------------------------- -------------------------------- --------------------------------
Net income/
(expenditure) and net
movement in funds 27,853 12,500 (9,585) 30,768 (14,833)
============== ==============
============== ============== ============== ============== ==============
============== ============== ============== ==== ====
Transfer between funds -
Reconciliation of funds
Total funds brought
forward 42,237 88,425 371,851 502,513 517,346
-------------------------------- ---------------------------- ---------------------------- -------------------------------- --------------------------------
Total funds carried
forward 70,090 100,925 362,266 533,281 502,513
============== ============== ==============
============== ============== ============== ============== ==============
==== ============== ============== ==== ====

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on page1630163016 form part of these financial statements.

13

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Statement of Financial Position

31 March 2021

2021 2020
Note £ £
Fixed assets
Tangible fxed assets 13 452,724 464,978
Current assets
Debtors 14 22,125 22,125
Cash at bank and in hand 68,940 40,204
---------------------------- ----------------------------
91,065 62,329
Creditors: amounts falling due within one year 15 10,508 24,794
---------------------------- ----------------------------
Net current assets 80,557 37,535
-------------------------------- --------------------------------
Total assets less current liabilities 533,281 502,513
-------------------------------- --------------------------------
Net assets 533,281 502,513
============== ==============
============== ==============
==== ====
Funds of the charity
Unrestricted funds 70,090 42,237
Restricted funds 100,925 88,425
Designated Building funds 362,266 371,851
-------------------------------- --------------------------------
Total charity funds 16 533,281 502,513
============== ==============
============== ==============
==== ====

These financial statements were approved by the board of trustees and authorised for issue on 14 December 2021, and are signed on behalf of the board by:

P B Barkwill Trustee

A B Yeoman Trustee

The notes on page1630163016 form part of these financial statements.

14

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Statement of Cash Flows

Year ended 31 March 2021

2021 2020
£ £
Cash fows from operating activities
Net income/(expenditure) 30,768 (14,833)
Adjustments for:
Depreciation of tangible fxed assets 12,254 15,347
Interest payable and similar charges 86 81
Changes in:
Trade and other debtors - (22,125)
Trade and other creditors (14,286) 22,309
---------------------------- ----------------------------
Cash generated from operations (14,286) 15,612
Interest paid (86) (81)
---------------------------- -----------------------
Net cash from operating activities (14,372) 15,531
============== ==============
============== =========
Cash fows from investing activities
Purchase of tangible assets - (886)
---------------------------- -----------------------
Net cash used in investing activities - (886)
============== ==============
============== =========
Net increase in cash and cash equivalents 28,736 (188)
Cash and cash equivalents at beginning of year 40,204 40,392
---------------------------- -----------------------
Cash and cash equivalents at end of year 68,940 40,204
============== ==============
============== =========

The notes on page1630163016 form part of these financial statements.

15

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements

Year ended 31 March 2021

1. General information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Moons Hill Quarry, Mendip Road, Stoke St. Michael, Radstock, Somerset, BA3 5JU.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Due to the COVID-19 pandemic demand tailed off to a small extent in the first half of 2020. However, as the company’s trade is in education, employees of the company have continued to work, and the company has been able to continue trading. The directors do not believe that the impact of the COVID-19 virus will have a material adverse effect on the company's financial condition or liquidity.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the

16

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements

Year ended 31 March 2021

donor or through the terms of an appeal and fall into one of two sub-classes: restricted income funds or endowment funds.

17

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued)

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

18

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued) Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property - 50 years straight line
Plant & Equipment - Between 25% and 33 1/3% straight line
Motor Vehicles - 10% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual agreement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Taxation

19

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued) The company is a registered charity. As such the company has obtained confirmation from HM Revenue and Customers that corporation tax is not payable on the surpluses generated.

Value added tax

The charitable company is not registered for VAT. Irrecoverable VAT is charged against the category of resources expanded for which it was incurred.

20

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

3. Accounting Policies (continued)

Government Grants

Under the accrual model, government grants relating to revenue are recognised on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate. Grants that are receivable as compensation for expenses or losses already incurred or for purposes of giving immediate financial support to entity with no future related costs are recognised in income in the period in which it because receivable.

5. Donations and legacies

Total
Unrestricte Restricted Funds
d Funds Funds 2021
£ £ £
Donations 48,178 40,862 89,040
Grants - - -
---------------------------- ---------------------------- --------------------------------
48,178 40,862 89,040
==============
============== ============== ==============
============== ============== ====
Unrestricte Restricted Total Funds
d Funds Funds 2020
£ £ £
Donations 3,816 97,974 101,790
Grants - -
---------------------------- ---------------------------- ----------------------------
3,816 97,974 101,790
============== ============== ==============
============== ============== ==============

6. Other income

Total
Unrestricte Restricted Funds
d Funds Funds 2021
£ £ £
Government CJRS Grants - 49,848 49,848
Energy Income - - -
---------------------------- ---------------------------- ----------------------------
- 49,848 49,848
============== ============== ==============
============== ============== ==============
Unrestricte Restricted Total Funds
d Funds Funds 2020
£ £ £

21

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

Government CJRS Grant - - -
Energy Income 58 - 58
---------------------------- ---------------------------- ----------------------------
58 - 58
============== ============== ==============
============== ============== ==============

22

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

7. Expenditure on charitable activities

Designated Total
Unrestricte Restricted building Funds
d Funds Funds fund 2021
£ £ £ £
Staf costs
Staf training
-
-
78,210
-
-
-
78,210
-
Miscellaneous - - - -
Light and heat 2,028 - - 2,028
Repairs and renewals 3,365 - - 3,365
Insurance 5,889 - - 5,889
Cleaning 349 - - 349
Motor expenses 23 - - 23
Travel and subsistence - - - -
Stationery, books, printing & - -
postage 841 841
Telephone 301 - - 301
IT 1,159 - - 1,159
Security 927 - - 927
Forest School - - - -
Depreciation 2,669 - 9,585 12,254
Mendip rocks - - - -
--------------------------- --------------------------- ----------------------- --------------------------------
17,551 78,210 9,585 105,346
--------------------------- --------------------------- ----------------------- --------------------------------
Governance costs
-
Auditor fees
2,688 - - 2,688
-
Bank charges
86 - - 86
--------------------------- --------------------------- ----------------------- --------------------------------
2,774 - - 2,774
--------------------------- --------------------------- ----------------------- --------------------------------
20,325 78,210 9,585 108,120
==============
============== ============== ============== ==============
============= ============= ========= ====
Designated
Unrestricte Restricted building Total Funds
d Funds Funds fund 2020
£ £ £ £
Staf costs
Staf training
-
708
72,214
-
-
-
72,214
708
Forest School 585 - - 585
Miscellaneous 1,970 - - 1,970
Light and heat 1,884 - - 1,884
Repairs and renewals 2,810 - - 2,810
Insurance 5,782 - - 5,782
Cleaning 561 - - 561
Motor expenses 1,335 - - 1,335
Travel and subsistence 1 - - 1
Stationery, books, printing & - -
postage 1,052 1,052
Telephone 404 - - 404

23

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

IT 2,641 - - 2,641
Security 3,438 - - 3,438
Depreciation 5,762 - 9,585 15,347
Mendip rocks - 2,757 - 2,757
--------------------------- --------------------------- ----------------------- --------------------------------
Carried forward 29,933 74,971 9,585 113,489
7. Expenditure on charitable activities(continued)
Unrestricte Designated
d Restricted building Total Funds
Funds Funds fund 2020
£ £ £ £
Brought forward
29,933 74,971 9,585 113,489
Governance costs
- Auditor fees 2,693 - - 2,693
- Bank charges 81 - - 81
--------------------------- --------------------------- ----------------------- --------------------------------
2,774 2,774
--------------------------- --------------------------- ----------------------- --------------------------------
31,707 74,971 9,585 116,263
==============
============== ============== ============== ==============
============= ============= ========= ====
8. Expenditure on raising funds
Unrestricte Total
d Restricted funds Total fund
Funds Funds 2021 2020
£ £ £ £
Catering costs - - - 418
-------------------------------- ----------------------- -------------------------------- --------------------------------
- - - 418
============== ============== ==============
============== ============== ============== ==============
==== ========= ==== ====
9. Net income/(expenditure)
Net income/(expenditure) is stated after charging/(crediting):
2021 2020
£ £
Depreciation of tangible fxed assets 12,254 15,347
============== ==============
============== ==============
**10. ** Auditor’s remuneration
2021 2020
£ £
Fees payable for the audit of the fnancial statements 2,688 2,693
============== ==============
========= =========

24

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

11. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:


ws:
2021 2020
£ £
Wages and salaries 65,443
Social security costs 5,048
Employer pension contributions 1,723
-------------------------------- --------------------------------
78,210 72,214
============== ==============
============== ==============
==== ====

The average number of persons employed during the year was 5 (2020: 5)

No employee received employee benefits of more than £60,000 during the year (2020: Nil).

25

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

12. Trustee remuneration and expenses

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.

No trustee expenses have been incurred.

13. Tangible fixed assets

**13. ** Tangible fxed assets
Freehold Plant and Motor
property machinery vehicles Total
£ £ £ £
Cost
At 1 April 2020 597,871 84,724 33,993 716,588
Disposals - - (33,993) (33,993)
-------------------------------- ---------------------------- ---------------------------- --------------------------------
At 31 March 2021 597,871 84,724 - 682,595
============== ==============
============== ============== ============== ==============
==== ============== ============== ====
Depreciation
At 1 April 2020 133,484 84,134 33,992 251,610
Charge for the year 11,959 294 1 12,254
On disposal - - (33,993) (33,993)
-------------------------------- ---------------------------- ---------------------------- --------------------------------
At 31 March 2021 145,443 84,428 - 229,871
============== ==============
============== ============== ============== ==============
==== ============== ============== ====
Carrying amount
At 31 March 2021 452,428 296 - 452,724
============== ==============
============== ============== ============== ==============
==== ============== ============== ====
At 31 March 2020 464,387 590 1 464,978
============== ==============
============== ============== ============== ==============
==== ============== ============== ====
**14. ** Debtors
2021 2020
£ £
Prepayments and accrued income 22,125 22,125
==============
============== ==============
= ==============
**15. ** Creditors: amounts falling due within one year
2021 2020
£ £
Accruals and deferred income 2,433 2,580
Other creditors 8,075 22,214
------------------------------- --------------------------------
10,508 24,794
============== ==============
============== ==============
= ===

26

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

16. Analysis of charitable funds

At At 31
1 April 202 March 202
0 Income Expenditure Transfers 1
£ £ £ £ £
Unrestricted funds
General funds 42,237 48,178 (20,325) - 70,090
-------------------------------- -------------------------------- -------------------------------- -------------------------------- --------------------------------
Restricted funds
Restricted funds 88,425 90,710 (78,210) - 100,925
-------------------------------- -------------------------------- -------------------------------- --------------------------------
Designated building fund
Designated building
fund 371,851 - (9,585) - 362,266
-------------------------------- -------------------------------- -------------------------------- -------------------------------- --------------------------------
-------------------------------- -------------------------------- -------------------------------- -------------------------------- --------------------------------
Total funds 502,513 138,888 (108,120) - 533,281
============== ============== ============== ============== ==============
============== ============== ============== ============== ==============
===== ===== ===== ===== =====
At At 31
1 April 201 March 202
9 Income Expenditure Transfers 0
£ £ £ £ £
Unrestricted funds
General funds 66,702 3,874 (32,125) 3,786 42,237
-------------------------------- -------------------------------- -------------------------------- -------------------------------- --------------------------------
Restricted funds
Restricted funds 69,208 97,974 (74,971) (3,786) 88,425
-------------------------------- -------------------------------- -------------------------------- -------------------------------- --------------------------------
Designated building fund
Designated building
fund 381,436 - (9,585) - 371,851
-------------------------------- -------------------------------- -------------------------------- -------------------------------- --------------------------------
-------------------------------- -------------------------------- -------------------------------- -------------------------------- --------------------------------
Total funds 517,346 101,848 (116,681) - 502,513
============== ============== ============== ============== ==============
============== ============== ============== ============== ==============
===== ===== ===== ===== =====

27

Somerset Earth Science Centre Limited Company Limited by Guarantee Notes to the Financial Statements Icontlnued) Year ended 31 March 2021 28

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

17. Analysis of net assets between funds

Tangible fixed assets Current assets Creditors less than 1 year Net assets Tangible fixed assets Current assets Creditors less than 1 year Net assets

Designated Total
Unrestricte Restricted Building Funds
d Funds Funds Funds 2021
£ £ £ £
90,458 - 362,266 452,724
(9,860) 100,925 - 91,065
(10,508) - - (10,508)
-------------------------------- --------------------------- -------------------------------- ------------------------------------
70,090 100,925 362,266 533,289
============== ============== ==============
============== ============== ============== ==============
==== ============= ==== =====
Designated Total
Unrestricte Restricted Building Funds
d Funds Funds Funds 2020
£ £ £ £
93,127 - 371,851 464,978
26,096 88,425 - 62,329
(24,794) - - (24,794)
-------------------------------- --------------------------- -------------------------------- ------------------------------------
42,237 88,425 371,851 502,513
============== ============== ==============
============== ============== ============== ==============
==== ============= ==== =====

Unrestricted funds

These funds represent the funds of the charity that are not subject to any restriction regarding their use. They are available for application on the general purposes of the charity.

Designated building fund

The designated building fund represents an unrestricted fund set aside on the completion of the building of the charity’s Centre. This is specifically represented by the depreciated value of the original Centre. Its original cost was £479,240 and it is being depreciated at 2% straight line.

Restricted funds

These funds arise from donations and grants given for specific purposes. Such funds can only be applied for those purposes but once the purpose has bene achieved the funds are re-designated as unrestricted. The balance on restricted funds at the year end are as follows:

2021 2020
£ £
Mendip Rocks project 7,520 7,520

29

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 March 2021

Minibus replacement 87,500 75,000
Media Equipment 2,769 2,769
Graduate Placement scheme 2,000 2,000
School Transport & Outreach resources 1,000 1,000
Ikea display cabinets 136 136
------------------------------- -----------------------
100,925 88,425
==============
============== ==============
= =========

18. Related parties

The member companies of Mendip Quarry Producers are entitled to appoint trustees to the charity as detailed in the Trustees' Report. Mendip Quarry Producers is therefore connected with the charity. Transactions undertaken in the year include donations to the charity of £88,500 (2020: £88,500).

30

Somerset Earth Science Centre Limited

Year ended 31 March 2021

Company Limited by Guarantee

Management Information

The following pages do not form part of the financial statements.

31

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Detailed Statement of Financial Activities

Year ended 31 March 2021

2021 2020
£ £
Income and endowments
Donations and legacies
Donations 89,040 101,790
Grants - -
-------------------------------- ----------------------------
89,040 101,790
-------------------------------- ----------------------------
Other trading activities
Function income - -
----------------------- -----------------------
Other income
Energy income - 58
Government Covid Grants 49,848
-------------- --------------
-------------------------------- ----------------------------
Total income 138,888 101,848
==============
============== ==============
==== ==============
Expenditure
Expenditure on charitable activities
Wages and salaries 78,210 72,214
Staf training - 708
Miscellaneous - 1,970
Light and heat 2,028 1,884
Repairs and maintenance 3,365 2,810
Insurance 5,889 5,782
Cleaning 349 561
Motor vehicle expenses 23 1,335
Other motor/travel costs - 1
Stationery, books, printing & postage 841 1,052
Telephone 301 404
IT 1,159 2,641
Security 927 3,438
Forest school - 585
Depreciation 12,254 15,347
Mendip Rocks - 2,757
Auditor’s fees 2,688 2,693
Bank charges 86 81
-------------------------------- --------------------------------
108,120 116,263
-------------------------------- --------------------------------
Other expenditure
Catering - 418
-------------- --------------
-------------------------------- --------------------------------
Total expenditure 108,120 116,681
============== ==============
============== ==============
==== ====
-------------------------------- --------------------------------

32

Somerset Earth Science Centre Limited

Company Limited by Guarantee

Detailed Statement of Financial Activities

Year ended 31 March 2021

Net income/(expenditure)

30,768 (14,833) ============== ============== ============== ============== ==== ====

33