2022-10-31-accounts - Herne Bay Pier Trust

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REGISTERED COMPANY NUMBER: 06659140 (England and Wales) REGISTERED CHARITY NUMBER: 1128253

Report of the Trustees and

Unaudited Financial Statements for the Year Ended 31 October 2022

for

Herne Bay Pier Trust

McLean Reid Chartered Accountants 1 Forstal Road Aylesford Kent ME20 7AU

Herne Bay Pier Trust

Contents of the Financial Statements for the Year Ended 31 October 2022

		Page
Report of the Trustees	1	to	3
Independent Examiner's Report		4
Statement of Financial Activities		5
Balance Sheet	6	to	7
Notes to the Financial Statements	8	to	13

Herne Bay Pier Trust (Registered number: 06659140)

Report of the Trustees for the Year Ended 31 October 2022

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 October 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

The Position of the Board.

Following the previous two years of untrue allegations, the Board of Trustees have now brought confidence and stability to the Trust.

However, we are still having to protect the name of the Trust which means we are having to engage the services of the Trusts' Solicitors at a cost of £13,693 for the year end.

The Trust has also incurred increased costs to file its accounts for the years ending 2019, 2020 and 2021, due to interference by others, which also resulted in the Trust being fined by Companies House for the late filing of these accounts.

OBJECTIVES AND ACTIVITIES

Objectives and aims

The company is a charity and company limited by guarantee whose objects are the preservation, renovation, reconstruction and enhancement of Herne Bay pier and the surrounding area. The Trust see the pier as a major asset in the regeneration of this seaside town, one of the most deprived wards in the local council area.

The charity's main objective has always been to reclaim, regenerate and rebuild the existing desolate Victorian pier which was left empty after the demolition of the old sports centre. The Trust aims to make it a community asset for the enjoyment and benefit of the people and visitors of Herne Bay.

Significant activities

Our main aim was to bring the Pier to a position better than before the Covid epidemic, which we have successfully done with the dedication of our hardworking Trustees, Volunteers and our Tenants.

The Trust opened its own licenced premises called Bar 19 in August 2021, this being open to serve all the events on the Pier. The Bar 19 is staffed by Trustees and Volunteers which means that all the profits go to the Trust. The friendly service from our volunteers has made the bar very popular with our event audiences.

Following the success of the events and Bar 19 we were advised by our accountant to create a new company to control the money raising part of the Trust. We registered the company as Herne Bay Pier Enterprises Ltd on 23rd Dec 2021.

All the profits from this company are gift aided to the Trust at the end of the financial year or at a suitable date. This year the profit was £23,521 from a turnover of £51,199.

Due to the increasing request for Remembrance plaques on the Pier we increased our membership with subscriptions up on last year.

Over the last five years the Trust was not invoiced for rent for the Pier by Canterbury City Council and we were hoping that it was in the process of being reassessed. However the Trust was invoiced for all the rent arrears to be paid before our year end. We paid all the back rent and we are now up to date having paid a total of £114,250.

The last two years saw a number of upgrades to the Pier including, Security systems, Internet, completion of the stage flooring, a new Pier sign and the introduction of card payments using the SumUp system.

The Pier continues to attract the filming industry which helps to put Herne Bay back on the map.

The Trust is continuing to make the Pier Eco-Friendly using all recyclable materials where possible and look to invest in more renewable energy.

The Trust will be embarking on further improvements for next year when funds become available through grants and money raised from the events and Bar 19.

Public benefit

The Trustees have had regard to the Charity Commission's guidance on Public benefit.

Page 1

Herne Bay Pier Trust (Registered number: 06659140)

Report of the Trustees for the Year Ended 31 October 2022

FINANCIAL REVIEW Financial position

The Trust funds at 31/10/2022 were as follows:

Current account £44,135 (2021: £13,325) Events/maintenance £8,299 (2021: £12,068) Petty Cash £3 (2021: £3) Tenants deposits £3,953 (2021: £3,616) Reserve Account £49,970 (2021: £45,000) Total £106,360 (2021:£74,012)

The Trusts aim is to keep the Reserve Account at a minimum of £40k to enable the Trust to cope with any major incidents e.g. Fire, Gales, and Vandalism.

The Charity's operation has been affected by the Covid 19 pandemic but it has been able to take advantage of the Government support with rate relief grants of £10,794.

The Trustees are taking all possible steps to alleviate the impact on the Charity's operations as far as possible. However, due to the uncertainty of the outcome of current events, the Trustees cannot reasonably estimate the impact these events may have on the Charity's financial position, results of operations or cash flows in the future.

FUTURE PLANS

The Trust has various projects to enhance the Pier and the experience for the public and these include the following:

1). A weatherproof canopy to cover the seating area in front of the stage.
2). A large LCD screen to enable live events and films to be shown.
3). Upgraded stage lighting and sound equipment.
4). Windshield screens around the food court area.
5). Storage batteries to enable the Trust to use all the power generated from the solar panels.
6). Building a large hut at the end of the Pier with funds that were bequeathed by two of the Trusts' long term members.
7). To add further huts to maximise all the space on the Pier.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies act 2006.

The organisation is a charitable company limited by guarantee, incorporated on 29 July 2008 and registered as a charity on 25 February 2009.

Charity constitution

The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1 each.

Recruitment and appointment of new trustees

The directors of the company are also charity trustees for the purposes of charity law. Regular trustee skills audits are carried out to identify the resources available within the Committee and gaps addressed through training and by seeking new members with the requisite experience.

The Canterbury City Council in their position as landlord can install up to two Trustees to the Board, but at the moment all Trustees have been elected by the membership or co-opted by the Board.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

06659140 (England and Wales)

Registered Charity number

1128253

Registered office

The Pier Office Central Parade Herne Bay Kent CT6 5JN

Page 2

1grTru8t Y•ar En October 22 Ms A M Bather Re'f8d Ir8sgnod 3.12.21) Mrs L M Blgko Direclor Ms L Faux-8th¥y•r Rats"rÈd IrasDed 1.7.221 Mrs C E L Frands Yèats Direcor lsJned 18.1.221 Mr5 L S Hackwith Director Miss S P Plaltrnny Dirsctor D WTowwnd Director S C Welsh Dir8Ctor Ms J Whit& Diredor C F Ausb"n Oirédor lappotnted 10.8.221 Ms D Sullivan14)pointed 8.12.221 Ind•p•rKknt Examlner Allan Mclean Re#J FCA McLean Rèld Chartered ACCotants 1 Forstal Road Aylesford Kent Me20 7AU Approved ty order ol ts boorrl ofh•tees on 20 Marth 2023 and l9nod on its behalf by.. D WTobwwnd. TN8tee P8ge 3

Hom• r Trust Ind•pond•rrt examlnerfs rewt to th• tnt¥ of Herne Bay PlorTrnt Dh• Company'l l Teporttts tho ¢harlty tsust88s on my examinatKin oftsw accounts ofthe Ccfflpary for tho yoar en¢kd 31 Octcèer2022. ResponolbllYdo• 4nd bas1• of report A¥ tha thanty's trustees of the Compwry land also ts direraofs fcf the purpLWS of cc¥npany lawl you are ro$ponbb for the preparation ofthè accc4Jnts in acLordancewith the reqLurÈments ofthe Companies Act 20rxs Ilhè 20l Acri. Havirrtj sats'sfied rnysew that the acwunts of the Company ara not required to be audited undgr Part 18 of Ihe 20C6 Ad and are elKJIb for indeperdent examination, I port in respect ol my examinathon of your charity's acmunts as Ggrrièd out under SectKJn 145 of tha Cttanties Act 2011 I'the 2011 Acfl. In carrying out my eXnIati I fdlod the Dire&ior6 gIn by the Chanty Comrnis3i¢n under seth. 14951 Ibl ofthe 2011 Act. kndepgndent •xamln•rfs statsment I have o)mplet&d my &xgmin"on. I Confi that no mattets have come to my atteTrtr'on in connti vAth the exarninatson giwvJ me cause to beli". 8ccA)unb"tYJ recuds were not kept M raspect ofthe Company a8 requir•Y by Sg¢b'on 386 01 th8 26 Ad,. or the acnts do mt accord with those rec¥sTds', or th8 accLJunts d¢ not wrnply with the accnuntsiu of SectK)n 398 of the 20C6 Act othor than any requirnent that th8 aCcOts give a true and fair Mew which i% not a matter r6red as part of an indeFendent exarninal'on., or the ac(x)unts h8v& not been prepared in ac¢ordariL 1h thè m•thods and prinapkn of thg Statemant of Recommended Prath"rs fr)r aecounts.ng and reportiro by chanb'es (#11¢ab to chants.es prepariryj their ats in 8ccordanc8 wilh Financk?l ReportiNJ Starwjard aFpIKabl• in the UK and Republ of Ireland IFRS 12)1. I have rw ¢oncems and have come across no other matters in connection with th$ èxaminaton to whith attenticffj SI1 be drawn in this r¢wt in ordar lo enabk a prO[r understsndirYJ of actounts to be reached. Aln Mdean R& FCA McLean R¥d Chartered A¢xountant5 1 Forstal Road Aythford Kant ME20 7AU 21 Marth 2023 Pag8 4

Herne Bay Pier Trust

Statement of Financial Activities for the Year Ended 31 October 2022

Unrestricted funds Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 36,934 Charitable activities Rental activities 23,167 Beach huts 120,463 Meter card receipts - Other trading activities 2 12,369 Investment income 3 3 Other income 1,050 Total 193,986 EXPENDITURE ON Raising funds 2,180 Charitable activities Beach huts 20,116 Other income - Charitable activities 40,268 Support costs 48,756 Governance costs 6,818 Event costs 9,799 Other - Total 127,937 NET INCOME 66,049 RECONCILIATION OF FUNDS Total funds brought forward 109,550 TOTAL FUNDS CARRIED FORWARD 175,599	Restricted funds £ 6,520 - - - - - - 6,520 - - - 1,873 3,661 - - - 5,534 986 - 986	2022 Total funds £ 43,454 23,167 120,463 - 12,369 3 1,050 200,506 2,180 20,116 - 42,141 52,417 6,818 9,799 - 133,471 67,035 109,550 176,585	2021 Total funds £ 19,650 - 81,179 9,990 24,104 - 5,680
			140,603
			1,591 13,011 3,500 43,292 48,974 14,490 8,950 750
			134,558
			6,045 103,505
			109,550

The notes form part of these financial statements

Page 5

Herne Bay Pier Trust (Registered number: 06659140)

Balance Sheet 31 October 2022

Unrestricted funds Notes £ FIXED ASSETS Tangible assets 7 38,327 Investments 8 100 38,427 CURRENT ASSETS Stocks 9 - Debtors 10 42,923 Cash at bank and in hand 104,281 147,204 CREDITORS Amounts falling due within one year 11 (10,032) NET CURRENT ASSETS 137,172 TOTAL ASSETS LESS CURRENT LIABILITIES 175,599 NET ASSETS 175,599 FUNDS 13 Unrestricted funds Restricted funds TOTAL FUNDS	Restricted funds £ - - - - - 2,079 2,079 (1,093) 986 986 986	2022 Total funds £ 38,327 100 38,427 - 42,923 106,360 149,283 (11,125) 138,158 176,585 176,585 175,599 986 176,585	2021 Total funds £ 61,036 - 61,036 1,210 3,878 74,595 79,683 (31,169) 48,514 109,550 109,550 109,550 - 109,550

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 October 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 October 2022 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
(b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

The notes form part of these financial statements

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continued...

H•m• Pl Tru•t numbor. 06 co Sha- r 2022 Th9¥9 fin8rKoal 8tatements have ba prèpared in accordance wih the WOWSK)ns applKalSe to tharitab cornpanles Sublt to tre small crynpari8s 1rne. Th& fin8neial 5taternents were approvJ by B08rd of Tru5tee5 aThJ authortsed fr)r issu¢ on 20 March 2023 and were gned on ts b8hall by". D W Towrwd. Trustee S P HaWpenny- TNst80 The note5 fo part oltr*str finanryal statements Page 7

Herne Bay Pier Trust

Notes to the Financial Statements for the Year Ended 31 October 2022

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the 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 (FRS102) issued on 16 July 2014 rather than the Accounting and Reporting by Charities; Statement of Recommended Practice effective from 1 April 2005 which has been withdrawn.

Income recognition

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained, then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

Beach rental and related income is recognised in the period when the service is provided.

Income from grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

Expenditure

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings:

-costs of raising funds includes costs of fundraising and other trading activities;

-expenditure on charitable activities includes costs of running and maintaining the pier and support costs required to sustain and implement the charity's objects and relating support costs.

-governance costs are general costs which have been incurred in order for the charity to operate effectively and to generate the information required for public accountability.

Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery - 20% on cost

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

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continued...

Herne Bay Pier Trust

Notes to the Financial Statements - continued for the Year Ended 31 October 2022

1. ACCOUNTING POLICIES - continued

Fund accounting

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

2. OTHER TRADING ACTIVITIES

3.

4.

Fundraising events Bar 19 income INVESTMENT INCOME Deposit account interest NET INCOME/(EXPENDITURE) Net income/(expenditure) is stated after charging/(crediting): Depreciation - owned assets	2022 £ 11,275 1,094 12,369 2022 £ 3 2022 £ 24,607	2021 £ 17,001 7,103
		24,104
		2021 £ - 2021 £ 38,439

5. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 October 2022 nor for the year ended 31 October 2021.

Trustees' expenses

During the year the amount reimbursed to 5 trustees for expenses relating to administrative costs and the purchase of equipment incurred on behalf of the charity was £5,681 (2021: 4 trustees £8,786).

6. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted funds £ INCOME AND ENDOWMENTS FROM Donations and legacies 19,650 Charitable activities Beach huts 81,179 Meter card receipts 9,990 Other trading activities 24,104 Other income 5,680 Total 140,603 EXPENDITURE ON Raising funds 1,591 Charitable activities Beach huts 13,011 Other income 3,500 Charitable activities 43,292	Restricted funds £ - - - - - - - - - -	Total funds £ 19,650 81,179 9,990 24,104 5,680
		140,603
		1,591 13,011 3,500 43,292

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continued...

Herne Bay Pier Trust

Notes to the Financial Statements - continued for the Year Ended 31 October 2022

6.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
funds
£
Support costs
48,974
Governance costs
14,490
Event costs
8,950
Other
750
Total
134,558
NET INCOME
6,045
Transfers between funds
23,000
Net movement in funds
29,045
RECONCILIATION OF FUNDS
Total funds brought forward
80,505
TOTAL FUNDS CARRIED FORWARD
109,550
7.
TANGIBLE FIXED ASSETS
COST
At 1 November 2021
Additions
At 31 October 2022
DEPRECIATION
At 1 November 2021
Charge for year
At 31 October 2022
NET BOOK VALUE
At 31 October 2022
At 31 October 2021
8.
FIXED ASSET INVESTMENTS
MARKET VALUE
Additions
NET BOOK VALUE
At 31 October 2022
At 31 October 2021

Restricted
Total
funds
funds
£
£
-
48,974
-
14,490
-
8,950
-
750
-
134,558
-
6,045
(23,000)
-
(23,000)
6,045
23,000
103,505
-
109,550
Plant and
machinery
£
435,325
1,898
437,223
374,289
24,607
398,896
38,327
61,036
Shares in
group
undertakings
£
100
100
-

There were no investment assets outside the UK.

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Herne Bay Pier Trust

Notes to the Financial Statements - continued for the Year Ended 31 October 2022

2021 £ 1,210 2021 £ 2,416 - - 1,462 3,878 2021 £ 7,180 3,950 13,731 6,308 31,169 2021 £ 20,000 80,000 150,000		2021 £ 1,210
		2021 £ 2,416 - - 1,462
		3,878
	2021 £ 7,180 3,950 13,731 6,308
	31,169
250,000
176,585

The leasing commitments relate to a rental agreement which is due to expire in March 2034 at £20,000 per annum.

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continued...

Herne Bay Pier Trust

Notes to the Financial Statements - continued for the Year Ended 31 October 2022

13. MOVEMENT IN FUNDS - continued

Net movement in funds, included in the above are as follows:

	Incoming	Resources	Movement
	resources	expended	in funds
	£	£	£
Unrestricted funds
General fund	193,986	(127,937)	66,049
Restricted funds
Platinum Jubilee grant	6,520	(5,534)	986
TOTAL FUNDS	200,506	(133,471)	67,035

Comparatives for movement in funds

Unrestricted funds General fund Restricted funds Canterbury City Council Postcode Local Trust TOTAL FUNDS Comparative net movement in funds, included in the Unrestricted funds General fund TOTAL FUNDS	Net At movement 1.11.20 in funds £ £ 80,505 6,045 3,000 - 20,000 - 23,000 - 103,505 6,045 above are as follows: Incoming resources £ 140,603 140,603	Transfers between At funds 31.10.21 £ £ 23,000 109,550 (3,000) - (20,000) - (23,000) - - 109,550 Resources Movement expended in funds £ £ (134,558) 6,045 (134,558) 6,045	At 31.10.21 £ 109,550 - -
			-
			109,550
			6,045

The Platinum Jubilee grant was provided to fund the Jubilee celebrations and providing additional lighting for the pier.

14. RELATED PARTY DISCLOSURES

See note 5 for trustees expenses paid during the year.

Miss S P Halfpenny is also a trustee of Herne Bay in Bloom. The trustees do not consider there is a conflict of interest with this appointment.

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Herne Bay Pier Trust

Notes to the Financial Statements - continued for the Year Ended 31 October 2022

15. GOING CONCERN

No material uncertainties that may cast significant doubt about the ability of the company to continue as a going concern have been identified by the trustees.

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