**Registered Charity Number 1127207**
## **SHEPHERDFOLD MINISTRY**
**REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020**
1
## **SHEPHERDFOLD MINISTRY Trustees Annual Report and Financial Statements** For the Year Ended 31 December 2020
|**CONTENTS**|**Page**|
|---|---|
|Legal and administrative information|3|
|Report of the Trustees|4- 9|
|Report of the Reporting Accountant|10|
|Statement of financial activities|12|
|Balance Sheet|13|
|Notes to the financial statements|14|
2
## **SHEPHERDFOLD MINISTRY**
**Trustees Annual Report and Financial Statements For the Year Ended 31 December 2020**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
**Charity Name** : Shepherdfold Ministry
## **Trustees:**
Joycelyn Dankwa (Senior Pastor & Chairperson) Yaw Kumi Estelle Trah Moses Otunbade Bentley Dankwa Omosade Ali- Balogun
**Charity number:** 1127207
**Bankers:**
NATWEST Bank 20 Amhurst Road London E8 1QZ
**Accountants:** Jacob Manu & Co 1 Mark Street Stratford London E15 4GY
## **Registered Office**
_FLAT 27 RETREAT HOUSE RETREAT PLACE LONDON E9 6RY_
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## **SHEPPHERDFOLD MINISTRY REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 Registered Charity Number 1127207**
The Trustees of Shepherdfold Ministry present the charity’s Annual Report and Financial Statements for the year ended 31 December 2020.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Legal status and Governing document**
Shepherdfold Ministry is a faith-based charity governed by its constitution adopted on 1 April 2004. The organisation supports the spiritual, educational, social, health and welfare needs of disadvantaged and vulnerable families, children and young people, majority of who come from Black, Asian and Minority Ethnic backgrounds in Hackney and surrounding areas of East London.
## **Appointment and induction of Trustees**
The Trustees of the charity who held office during the financial year and as at the date of this report are set out on page 3. Trustees are elected/appointed in accordance with the rules set out as per the charity's governing document.
## **Induction and Training**
Newly elected or appointed trustees are provided with comprehensive induction pack containing the constitution of Shepherdfold Ministry and the roles and responsibilities of charity trustees. They are always oriented, briefed and mentored by established trustees on their legal obligations under charity law, the content of the constitution, the decision-making processes, the objectives, strategies and recent financial performance of SHEPHERDFOLD MINISTRY
## **Organisational Structure**
Shepherdfold Ministry is governed by a 6- Board of Trustees who are responsible for setting the overall strategy, direction and policies of the charity. This Board carries out the ultimate responsibility for the conduct of Shepherdfold Ministry. They ensure that the charity satisfies its legal and contractual obligations at all times. They meet at least 4 times a year to deliberate on issues that are important to the smooth running of the charity, including risk assessment, safeguarding and management accounts,
The Board of Trustees give their time on a voluntary and unpaid basis. They also appoint people to the following committees to support them in the management of the Ministry’s operations. These include Finance, Building, Welfare, Men and Women and Outreach teams. The teams provide much needed advice to the Trustees who retain the overall power to establish and implement policies and procedures that will enable the Ministry to achieve its goals.
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## **SHEPHERDFOLD MINISTRY REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 Registered Charity Number 1127207**
## **Risk Management**
The Trustees recognise that any major risk to which the charity is exposed need to be reviewed and systems put in place to mitigate those risks. To this end the trustees have examined the principal areas of the Ministry’s operations in the period under review and have considered the major risks that could arise in these areas, and ensured that adequate action plans are in place to mitigate these and other key risks.
In the opinion of the Trustees, the Ministry has appropriate procedures in place, which provide reasonable assurance that the risks identified by them are mitigated to an acceptable level. Major risks, for this purpose, are those that may have a significant effect on:
- Quality and suitability of programmes;
- Achievement of programme aims and objectives;
- Availability of competent volunteers to manage the programmes;
- Availability of funding for the programmes.
## **OBJECTIVE, AIMS AND PRINCIPAL ACTIVITIES**
The main aims and objects of the charity as set out its constitution are;
- The relief of poverty and financial hardship, the advancement of education, advancement of religion and relief of sickness in the United Kingdom and Ghana in accordance with the laws of England and Wales as the trustees may from time to time decide.
To this end the charity supported by its volunteers carried out the following principal activities during the year under review.:
- We continued to advance and promote the Christian Faith by propagating the Gospel of Jesus Christ and the Word of God, that people may be evangelised and believers may be conformed to the teachings of the Lord Jesus Christ.
- We engaged in charitable and community activities, not only for members of the church, but also the community at large. The charity supported anybody in need of help, regardless of race, background, colour or religious affiliation.
- Regularly assembled members of the church and people in the community of Hackney and surrounding areas for fellowship. We used this fellowship to strengthen family units so that home life of each member is biblically healthy and fruitful.
- Involved member of the Hackney and East London community in activities which benefit their health, welfare and social needs. All our activities are underpinned by the love of Christ for one another as led by the Holy Spirit throughout the Body of Christ.
- Set up a Families, Parent and Youth Forum which focus on limiting and/or preventing the harm caused by violence, gun and knife crime, not only for the young people, but also for the family, friends and the wider community in Hackney.
- Worked in partnership with other agencies to secure the widest range of services are available that best matches the needs of our client population.
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## **SHEPHERDFOLD MINISTRY REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 Registered Charity Number 1127207**
## **ACHIEVEMENTS, PERFORMANCE AND PLANS FOR THE FUTURE**
## **Delivering Public Benefit**
The charity has been very active in the East London community before, during and after the Covid-19 pandemic. We carried out various community activities in pursuance of our charitable aims. The Trustees considered the following specific activities summarised below which provide benefit to members of the Ministry and the local community in Hackney.
## **Teaching/lectures**
Approximately 8 hours of preaching and teaching are delivered weekly to enhance the spiritual development and good morals in the Hackney community.
## **Prayer Initiative**
We held weekly prayer initiatives through the Welfare and Intercessory Ministry where we prayed for individuals, families, local, government and international community. A Prayer chain has been active in this Ministry to ensure that there are people dedicated to pray at set times. We held monthly Fasting and Prayer Programmes which gave opportunities for all Christians and members of the community to come together to pray for individuals, families, children and young people, local communities and nations. The church organised four retreats in the year to sharpen the spiritual development of church members. This greatly increased people’s spiritual development. It also increased the spiritual atmosphere in our worship and will be repeated every year as members asked for more of these prayer retreats.
## **Financial and Budget Management**
The charity provided teachings and lectures to empower the community, especially women, single and new mothers on personal financial and budget management. The sessions showed them how to effectively manage their finances, prioritise and set smart goals and achieve their objectives. Qualified professionals within the Charity taught others how to achieve their goals and be successful in their career path.
## **Free Breakfast & Meals**
We opened our doors every quarter to the public and local community. During these times and sessions several people come and are refreshed, supported and welcomed to feel at home. In March 2020 when the Covid-19 pandemic stuck, it affected the well-being of many vulnerable people in the Hackney community. People could not come to us for support as we used to do because of social distancing and other government restrictions. We galvanised volunteers to venture into the community with parcels of food to support vulnerable people in need, especially homeless families and people experiencing other complex social problems like metal health. The charity supported well over fifty disadvantaged families and people every week with clothing, food and PPE’s over 30 weeks. Approximately (900 vulnerable families and people in need) in the height of the pandemic.
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## **SHEPHERDFOLD MINISTRY REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 Registered Charity Number 1127207**
## **Marriage Seminars**
One of our flagship programmes was the quarterly seminars to promote strong family values, strengthen marriages and support those who face family challenges. A family meal was provided at the end of every session and very good feedback received from participating families. Advice and counselling were also provided on a weekly basis.
All these changed after March 2020 when COVID-19 pandemic started. We could not hold inperson sessions and started to support the community through online platforms. Numbers attending sessions dropped from 80 a week to around 30. This was mainly because many families do not have the technology to meet with us online. However, we kept faith with many families through telephone calls.
## **Other Outreach Events**
• We provided prayer sessions, residential and hospital visitations to those who are ‘shutin’, sick and to those who are unable to attend worship.
• Online counselling services for bereavement and personal challenges and difficulties
## **Children and Young People Project**
Children and young people are integral to the Ministry. Before March 2020, we saw significant growth in the number of children and young people attending Sunday School and after school sessions and observed significant improvement in their educational achievements and academic attainments. The charity provided weekly Sunday schools and after school programmes at the Hackney Methodist Church building and park which were supervised by qualified teachers and volunteers.
This enabled children and young people we support to gain core knowledge in Religious Studies, higher attainments in their education and creative activities. We also held frequent youth meetings/forum for teenagers and young adults. These sessions were used to motivate and inspire children and young people to show-case their talents on a monthly basis. These forums also helped to develop children’s talents, confidence, self-esteem and improved their academic achievements. It also helped many to integrate better in the wider community.
When the pandemic began in March 2020, we could not hold the in-person classes and had to resort to supporting the youth online. We faced several problems in this area. Majority of families we support are from poor backgrounds and do not have access to computers, smart phones and data. We had to supplement many families with the little we can give them.
In the year under review, the Ministry established **The National Parent and Youth Forum** to fight the growing epidemic of youth crime and to gather all the stakeholders to work together to end the violence in the community. Families from all backgrounds participated in the community sessions as well as online programs, had fun, made friends and developed a sense of belonging in the community and Ministry.
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## **SHEPHERDFOLD MINISTRY REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 Registered Charity Number 1127207**
## **Conventions, Retreats and Leadership Seminars**
These are held annually to develop and enhance leadership skills in individuals and to train those in leadership to fulfil their potential and achieve their goals. The convention is held annually, whilst retreats and leadership seminars are held twice annually to develop and enhance the spiritual alertness of the members.
## **Disruptions in Services**
In March 2020, Covid-19 crisis which ushered in restrictions, government directives and social distancing rules negatively impacted the way we supported the community. The church exhibited high leadership qualities and passion for the Great Commission during the harsh periods in the year. The commitment and willingness of trustees, volunteers and staff to outreach in the Hackney and surrounding communities alleviated problems many people faced during the lockdown and were led towards the direction of God’s Holy Spirit. The church programmes and activities were well attended and God is adding new members.
## **Financial Review**
Trustee are confident that adequate assets are available to fulfil the obligations of the charity. The book values of the charity’s assets held at the year-end are stated in the financial statements.Total income of the charity amounted to £74,212 . This is from regular Sunday tithes and offering, other donation including Gift Aid. We had few grants in the year.
It still remains the number one priority of the charity to obtain a permanent place of worship through an outright purchase via a mortgage. The size of the present church premises meant that there is no availability of spare rooms for children and young people activities, children’s Sunday school programmes and other activities in pursuance of its charitable aims.
Total resources expended in the year is £41,221, made up of direct charitable costs of £37,010 and governance cost of £3,851. The governance costs were mainly made up of accountancy fees and professional expenses. The governance costs are approved by the Trustees.
## **Reserve Policy**
Trustees of SHEPHERDFOLD MINISTRY agreed to maintain unrestricted funds, which are the free reserves of the charity, at a level that is at least twelve months of committed expenditure, excluding direct charitable cost and other costs. Excess unrestricted funds, to the extent represented by liquid assets, will be used to meet recurrent operational costs, except where the Trustees consider that the funds should be retained for possible future projects
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## **SHEPHERDFOLD MINISTRY REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 Registered Charity Number 1127207**
## **Investment Policy**
The Trustees have the power to invest in such assets as they see fit. The charity's investment policy is appropriate to the nature of the funds for which the investment is held. The primary investment aim is to provide a high degree of security and liquidity and to maximise returns whilst adopting a conservative approach.
## **Volunteers**
Within the period under review, the charity was supported by 3 permanent volunteers and 10 community people who helped to support the Hackney community during the Covid-19 pandemic in various ways. Volunteers are central to the ethos and operations of Charity. They donated their time, expertise and equipment to implement programmes, raise funds and provided other services.
The Ministry is very grateful and thank all volunteers and community people who helped us in the year for this generosity. The financial value of this generosity has neither been calculated nor included in the financial statements because it is difficult to quantify these in monetary terms. During this year, we saw more people giving their time for the work in the community and that of God which is very encouraging and motivating to the leadership of Shepherdfold Ministry.
## **Plans for the future**
Now that COVID-19 is easing and restrictions relaxed, trustees have planned to intensify our outreach work, provide more support for young people, poor and vulnerable single and young mothers in the community. We will rebuild our community programmes to provide more benefit to people in Hackney and surrounding areas. This will include increasing activity levels among young and older people, counselling services, youth work, Parents and Young People’s Forum, violence mitigation, and outreach in the Hackney community,
The Ministry is still committed of owning its own building and as such a Building committee is empowered to scout for place of worship of our own. The Ministry is planning to raise funds annually for the building fund which will be restricted for the purposes of the building.
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## **SHEPHERDFOLD MINISTRY**
## **INDEPENDENT EXAMINERS' REPORT FOR THE YEAR ENDED 31 DECEMBER 2020**
We have examined the financial statements on pages 9 to 14 for the year ended 31 December 2020 which comprises the statement of financial activities, the balance sheet and the related notes. These financial statements have been prepared under the historical cost convention and the accounting policies set out therein.
The report is made solely to the Charity's Trustees, as a body, in accordance with Section 44 of the Charities Act 1993. The Trustees of the charity are of a general opinion that an audit is not required in accordance with Section 43(2) of the 1993 Act, and have opted for an independent examination instead.
## **Respective responsibilities of trustees and auditors**
The Trustees, some of which are also the directors, have responsibilities for preparing the Trustees' Report and the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards. These are set out in the Statement of Trustees' Responsibilities in the Report of the Trustees.
Our responsibilities as independent examiners of the charity are:
1. to examine the books and accounts of the charity in compliance with Section 43 of the 1993 Act;
2. to strictly adhere to the general directions provided by the Charity Commission under Section 43(7)(b) of the Charities Act 1993; and
3. to state whether particular matters have come to our attention in the course of our examination.
We report to you whether the financial statements have properly been prepared in accordance with United Kingdom Generally Accepted Accounting Practice, and in accordance with the Charities Act 1993.
We also report to you whether the information given in the Trustees' Report is consistent with the financial statements. We consider the implications of our report if we become aware of any apparent misstatements or material inconsistencies with the financial statements.
In addition we report to you if the charity has not kept proper accounting records, if we have not received all the information and explanations we require for our work, or if information specified by law regarding trustees' remuneration and other transactions with the charity is not disclosed.
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## **SHEPHERDFOLD MINISTRY INDEPENDENT EXAMINERS' REPORT FOR THE YEAR ENDED 31 DECEMBER 2020**
## **Basis of opinion**
Our examination was carried out in accordance with the General Directions provided by the Charity Commission. The examination includes a review of the books and documents and other accounting records kept by the charity and comparing these with the accounts presented.
Our examination also includes consideration of any unusual disclosures or items in the accounts, and seeking explanations from the Trustees. It is imperative to state here that the procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a 'true and fair view'. Our report is therefore limited to the statements below:
## **Independent examiners' statement**
In connection with our examination, we report that no matter has come to our attention, which gives cause to believe that the following have not been met:
1. Keeping proper accounting records in accordance with Section 386 and 387 of the Companies Act 2006.
2. Preparing accounts which accord with the underlying accounting records and which are in compliance with the Companies Act 2006, the United Kingdom Generally Accepted Accounting Practice (UK GAAP), the Statements of Recommended Practice (SORP) - Accounting and Reporting by Charities and the Charities Act 1993.
3. Consistency of the information contained in the Trustees Report with the financial statements.
........................................................................ Date: ...30... Day of...October.......2020
Jacob Manu & Co
Chartered Certified Accountants
1 Mark Street, Stratford, London, E15 4GY
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## **SHEPHERDFOLD MINISTRY STATEMENT OF FINANCIAL ACTIVITIES (SOFA) (INCLUDING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2020**
**Restricted Unrestricted 2020 2019 Funds Total £ £ £ £**
## **INCOMING RESOURCES**
|**_Voluntary income_**
Donations
Grant
Gift Aid
**_Activities for Generating Funds_**
Special fund raising
**_Other incoming resources_**
Interest receivable
**Total incoming resources**
**RESOURCES EXPENDED**
**_Charitable activities:_**
(Costs of activities in furtherance
of the objects of the charity)
Direct costs
Governance costs
Depreciation
**Total resources expended**
**Net movement in funds for the period**
Balance brought forward
**Total Funds as at 31 December 2020**|
|
13,612
-
-
**13, 612**|49,884 49,884 59,813
13,612
10,756 10,756
- -
- -
**60,640 74,212 59,813**
31,395 37,010
51,340
3,851 3,851 4,610
360 360 360
**35,606 41,221 56,310**
**25,034 32,991 3,503**
41,108 41,108 37,605
66,102 74,099 41,108
**79,099 41,108**|
|---|---|---|---|
|||
5,615
**5,615**
**7,997**||
|||7,997||
|||||
All of the above results are derived from continuing activities. All gains and losses Recognised in the period are included in the above.
The notes on pages 14 to 17 form part of these financial statements.
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## **SHEPHERDFOLD MINISTRY BALANCE SHEET**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
|**SHEPHERDFOLD MINISTRY**
**BALANCE SHEET**
**FOR THE YEAR ENDED 31 DECEMBER 2020**|||
|---|---|---|
|**Notes**
**FIXED ASSETS**
Tangible assets
**Current assets**
Cash at bank and in hand
**Creditors**: amounts falling due
Within one year
**Net current assets**
**Creditors**: amounts falling due after
more than one year
**Net assets**
**Funds**
Unrestricted funds
Restricted funds
Total funds
|**2020 2019**
**£**
5,317 3,840
69,782 37,768
1,000 500
**74,009 37,268**
**74,009 41,108**
66,102 41,108
7,997
**74,009 41,108**||
||
||
|||
**74,009 41,108**|
The trustees acknowledge their responsibilities for complying with the requirements of the Charity Commission regulation with respect to accounting records and the preparation of accounts.
...............................................
Joycelyn Dankwah Trustee
Date: .................30/10/2021...................
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## **SHEPHERDFOLD MINISTRY NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020**
## 1. **Principal accounting policies**
The following accounting policies have been applied in dealing with items which are considered material in relation to the charity's financial statements.
## **Basis of preparation**
The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice (SORP) "Accounting and Reporting by Charities" (revised 2005), and applicable Accounting Standards.
## **Funds**
General funds are unrestricted funds available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. There are no restricted funds.
## **Tangible fixed assets**
Tangible fixed assets are stated at their purchase price, together with any incidental expenses of acquisition. Depreciation is provided on all tangible fixed assets, when they are brought into use more than six months , at rates calculated to write off the cost on a straight line basis over their expected useful economic lives as follows:
Music Equipments, 6 % Straight Line
## **Incoming resources**
Voluntary income, comprising donations in the form of regular offerings and tithes, provides core funding. This is recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability. The value of services provided by volunteers is not incorporated into these financial statements. Further details of the contributions made by volunteers can be found in the Trustees' Report.
## **Resources expended**
Expenditure is recognised on an accruals basis as liability is incurred. Charitable income and expenditure is allocated to the respective activities and any shortfall is funded from unrestricted funds.
## **Resources expended**
Direct costs comprise those costs incurred by the charity in the delivery of its activities. 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 those costs associated with meeting the constitutional and legal requirements of the charity.
Irrecoverable VAT is charged against the category of resources expended for which it was incurred.
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**SHEPHERDFOLD MINISTRY NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020**
## 2. **Emoluments to the Trustees**
No emoluments were paid to the Trustees. The Trustees however, are reimbursed for expenses incurred by them in the course of their duties.
## 3. **Employee information**
The average number of employees during the period under review is nil.
## 4. **Voluntary income**
|Donations
Gift Aid
Awards for All
Sanctuary Housing
CSFC Trust
Total|**Restricted Unrestricted Fund**
**2020**
**Total**
**2019**
**£**
**£**
**£**
**£**
49,844
59,813
10,756
9,612
2,000
2,000
13,612
60,640 59,813 74,212
59,813|
|---|---|
||
|
## 5. **Governance costs**
The governance costs of the charity consisted of the following costs:
||2020|2019|
|---|---|---|
||**£**||
|Accountancy fees|850|850|
|Professional fees|3,001|3,760|
## 6. **Net incoming resources**
The net incoming resources are stated after charging the following costs:
||2020|2019|
|---|---|---|
|Depreciation|£360|£360|
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## **SHEPHERDFOLD MINISTRYE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020**
## 7. **Tangible fixed assets**
_All assets are held for charitable purposes_
|**Cost**
Balances b/f
Additions -
At 31/12/2020
**Accumulated depreciation**
**Balance b/f**
Charge for the year
**Net Book Value**
At 31/12/2020|_Musical_
_Equipment Total_
**£ £**
6,000 6,000
1,837 ___ 1,837
7,837 7,837
**2,160 2,160**
360 360
**2,520 2,520**
**5,317 5,317**|
|---|---|
## 8. **Creditors due within 1 year**
Professional fees **£3,001**
## 9. **Taxation**
The company is a registered charity and is not liable to corporation tax on its Charitable Activities.
## 10. **Related party transactions**
Other than donations and funds received there were no transactions with related parties during the period.
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## **SHEPHERDFOLD MINISTRY**
## **INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2020**
|INCOME
**Donations**
**Grant**
**Gift Aids**
**Total Income**
EXPENDITURE
Rent/Rates/Hall Hire
Outreach
Professional fees
Accountancy fees
Mission
Printing
Telephone and internet
Postage, Stationery/Software
Books/Library
Travel and Motor expenses
Sundries
Voluntering
Youth project
Community parent forum
Depreciation
TOTAL
SURPLUS|**2020**
**2019**
**£**
**£**
49,844
48,083
13,612
0
10,756
11,730|
|---|---|
||**74,212**
**59,813**|
||7,600
25,800
6,115
6,070
3,001
3,760
850
850
10,500
12,500
3,020
3,140
720
620
410
280
1,090
990
1,200
1,200
740
740
2,100
0
1,360
0
2,155
0
360
360|
||41,221
56,310|
||32,991
3,503|
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