## _**WARDROOM MESS**_ ## _**HMS SEAHAWK**_ ## **ANNUAL REPORT AND FINANCIAL STATEMENTS** ## **For Period** **1 May 2022 to 30 April 2023** **Registered Charity No. 1128507** **Trustees’ Annual Report and Comments** Wardroom Mess HMS Seahawk Charity Registered No: 1128507 Covering the Accounting Year: 1 May 2022 to 30 April 2023 Address: RNAS Culdrose Helston Cornwall TR12 7RH Governing Document: Constitution (Mess Rules) Object: Promotion of the Military Efficiency and Operational Effectiveness of the Armed Forces by the provision of mess facilities to Commissioned Officers serving in the Her Majesty’s Ship Seahawk. Trustee: Captain S Finn Royal Navy (to 14 July 2022) Captain S Irwin Royal Navy (from 15 July 22) Trustee selection method: Appointed as such by the Naval Secretary. Bankers: Lloyds TSB Market Place Helston Cornwall Independent Examiner: M L Butcher FMAAT 5 Nursery Road Havant Hants PO9 3BG Activities and Achievements: To have resources available for expenditure on improvements to the quality of life, and the engenderment of espirit de corps. The mess put on a full social programme for its members supported by generous subsidies have been provided to functions ~~.~~ Financial Review: The normal activities of the mess had lost £27.4K over the year. There were four main reasons for this loss: • Function subsidies that were not covered by trading profits - £45.3K. • Additional VAT bill - £5.6K. • Offset by military subscriptions exceeding running costs by £20.2K. • Offset by minor incomes totalling £3K. On the other hand, the property revaluation exercise had increased the value of non-depreciating property by £63K. Overall the net worth of the fund had increased by £34.6K to £230.2K. £125.6K was held in property and stocks. Deposit and bank assets of £110.2K more than covered the £19.7K of liabilities. Investment Selection Policy: No investments are held. Financial Reserves Policy: The Trustee has considered the level of reserves appropriate to the charity’s needs. This is set at £62.1K and is held in a deposit account. The Trustee aims to ensure that the charity will be able to fulfil its charitable objectives even if there is a temporary shortfall in income and unexpected expenditure. The Trustee will endeavour not to set aside funds unnecessarily. Grant Policy: Grants may be made to mess members to assist with the personal contributions to sporting, adventurous training, or other activities. Risk Assessment: The Trustee reviews the major risks to which the charity is exposed, and systems have been established to manage those risks and believes that by maintaining the free reserves stated it would provide sufficient resources in the event of adverse conditions. Half yearly independent examination of the accounts will mitigate the risk of any mismanagement by the mess committee. Public Benefit Statement: This fund provides public benefit by assisting Service personnel to perform their roles more effectively within the Armed Forces of the Crown. It does this by providing and supporting mess facilities. and social activities. This assistance enables Service personnel to face the challenges and danger associated with military service by developing and maintaining teamwork, spirit and attitude, and morale. As a result, the fund promotes the efficiency of the Armed Forces of the Crown by enhancing the Royal Navy’s and Royal Marines’ capability to undertake the roles demanded of it including the defence of the United Kingdom and its interests. I confirm that I have paid due regard to the Charity Commission of England and Wales’s guidance on public benefit when deciding what activities, the charity should undertake. Declaration: I declare, in my capacity of Charity Trustee, that I have approved the above report. Signature Signed on Original Name Captain S Irwin Royal Navy. Appointment Commanding Officer and Sole Managing Trustee Date 20 June 2023 ## **Independent Examiner’s Report to the Trustee of the HMS Seahawk Wardroom Mess. (Charity Registration No 1128507)** I report to the trustee on my examination of the accounts of the Charity for the year ended 30 April 2023 ## **Responsibilities and basis report** The charity’s trustee is responsible for the preparation of the accounts. The charity’s trustee considers that an audit is not required for this year under section 144(2) of the Charities Act 2011 (The Charities Act) and that an independent examination is needed. I report in respect of my examination of the charity’s accounts carried out under section 145 of the Act and in carrying out my examination, I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. ## **Independent examiner’s qualified statement** I have completed my examination; I confirm that no material matters have come to my attention which gives me cause to believe that in any material respect: - The accounting records were not kept in accordance with section 130 of the Charities Act; or - The accounts did not accord with the accounting records; or - The accounts did not comply with the applicable requirements concerning the form and content of the accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than in any requirement that the accounts give a “true and fair” view which is not a matter considered as part of an independent examination. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. ## Signed on Original M L Butcher FMAAT 5 Nursery Road Havant Hants PO9 3BG 20 June 2023 ## **RNAS CULDROSE WARDROOM MESS FUND** ## **REGISTERED CHARITY No 1128507** ## **BALANCE SHEET** **30-Apr-23** |_Note_
ASSETS
Fixed Assets
Mess Property
_7_
Current Assets
Stocks at Cost:
_7A_
Mess Bills & Function Payments Due
Misc Debts & Prepayments
_8_
Charity Deposit Account
Bank Accounts
Cash & Floats
Total Current Assets
LIABILITIES
Creditors
_9_
Squadron & Other Funds
_10_
Charity Chest
VAT
Current Liabilities
Net Current Assets
Net Assets|5,788.75
£
12,927.24
£
1,131.00
£
62,101.62
£
48,051.66
£
-
£
130,000.27
£
9,074.10
£
9,650.71
£
421.30
£
557.32
£
19,703.43
£|119,866.05
£
_60,434.22_
_£_
_9,833.91_
_£_
_5,257.16_
_£_
_951.09_
_£_
_90,533.42_
_£_
_43,188.00_
_£_
_137.95_
_£_
_149,901.53_
_£_
_2,947.57_
_£_
_10,908.66_
_£_
_174.70_
_£_
_703.25_
_£_
_14,734.18_
_£_
110,296.84
£
_135,167.35_
_£_
**230,162.89**
**£**
_195,601.57_
_£_
_30-Apr-22_|119,866.05
£
_60,434.22_
_£_
_9,833.91_
_£_
_5,257.16_
_£_
_951.09_
_£_
_90,533.42_
_£_
_43,188.00_
_£_
_137.95_
_£_
_149,901.53_
_£_
_2,947.57_
_£_
_10,908.66_
_£_
_174.70_
_£_
_703.25_
_£_
_14,734.18_
_£_
110,296.84
£
_135,167.35_
_£_
**230,162.89**
**£**
_195,601.57_
_£_
_30-Apr-22_| |---|---|---|---| ||||_195,601.57_
_£_| Approved on 20 June 2023 ## Signed on Original Captain S Irwin Royal Navy Sole Managing Trustee 1 CUL-WR APR23ZBALANCE SHEET ## **RNAS CULDROSE WARDROOM MESS FUND** ## **STATEMENT OF FINANCIAL ACTIVITIES** ## **For year to 30 Apr 23** |_Note_
**Income**
Charitable Actvities
Investment Income
Total Income
_3_
**Expenditure**
Charitable Activities
Total Expenditure
_4_
Net Income/(Expenditure)
Property Re-Valuation
Previous Year Corrections
Total Funds Brought Forward
Total Funds Carried Forward|223,499.47
£
1,719.20
£
225,218.67
£
252,658.34
£
252,658.34
£
(27,439.67)
£
62,299.98
£
(298.99)
£
195,601.57
£
**230,162.89**
**£**||_Previous Year_
_132,784.52_
_£_
_99.57_
_£_| |---|---|---|---| ||||_132,884.09_
_£_| ||||_122,114.80_
_£_
_122,114.80_
_£_| ||||_10,769.29_
_£_
_-_
_£_
_-_
_£_
_184,832.28_
_£_| ||||_195,601.57_
_£_| 2 CUL-WR APR23ZSOFAsum ## **RNAS CULDROSE WARDROOM MESS FUND** ## **Notes to the Accounts dated 30 April 2023** ## **Note 1 - Accounting policies** a. The financial statements are prepared under the historic cost convention (as modified by the revaluation of fixed asset investments) and in accordance with applicable accounting standards: Charities Statement of Recommended Practice, UK Accounting Standards and the Charities Acts. ## Incoming resources - a. Donations are included in the Statement of Financial Activities (SOFA) when the fund becomes entitled to the donation or grant and it is reasonably certain that it will be received. - b. Incoming resources from fund raising are reported gross in the SOFA - c. Intangible income is not included in the accounts. - d. The fund receives no unpaid volunteer help. - e. Interest is included in the accounts when receivable. ## Expenditure and liabilities a. Liabilities are recognised as soon as there is a legal or constructive obligation committing the fund to the expenditure. ## Assets - a. Paintings, furniture, works of art, silver and books were valued 2011. b. Depreciating fixed assets are capitalised if they can be used for more than one year and cost at least £50. They are valued at cost or a reasonable value on receipt. Depreciation is straight line over the estmated life of the item. Depreciation is not allocated to activity costs as the use is varied. - c. Stocks are valued at the lower of cost or market value. ## **Note 2 - Investments** No longer held. ## **Note 3 - Income** |_Charitable Activities_
Mess Subscriptions
Entertainment Levy
Associate Subscriptions
Function Income
Bar Sales
Christmas Draw Income
Admin Charges
Cufflinks/Enterprise
Dog Deposits
Dog Waste
Misc Income
_Investment Income_
Bank Interest
**Total Income**|51,602.53
£
-
£
4,847.62
£
103,560.11
£
43,813.65
£
18,357.81
£
130.00
£
23.75
£
854.00
£
310.00
£
-
£|_37,233.93_
_£_
_8,975.84_
_£_
_3,837.25_
_£_
_23,763.28_
_£_
_37,681.64_
_£_
_20,998.08_
_£_
_87.50_
_£_
_65.00_
_£_
_122.00_
_£_
_-_
_£_
_20.00_
_£_
223,499.47
£
_132,784.52_
_£_
1,719.20
£
_99.57_
_£_
225,218.67
£
_132,884.09_
_£_
_Year to Apr 22_| |---|---|---| 3 ## **Note 4 - Expenditure** |_Charitable Activities_
Operating Costs
Function expenses from Tickets
Functions expenses from Subsidy
Bar Expenses
Additional VAT on Subsidy
Running Costs
Coffee
Biscuits
Milk
TV and Video
Dining Hall Extras
Insurances
Trophy Hire
Mess Guest/Entertainment
Mess Flowers
Grants/Donations
Performing Rights Society/PPL
Repairs & Renewals
Christmas Decorations
Christmas Draw Prizes
Dog Bin Expenditure
Bouncy Castle/Popcorn/Candy Floss
Newspapers & Periodicals
Postage/Telephone
Leaving Gifts/Flowers
RCYC Membership
Cufflinks/Enterprise
Travel
Misc Expenses
Governance Costs
Property Valuation Costs
Examination of Accounts
Support Costs
Office Costs
BACS/Bank Charges
Mess Bill write off
Property Depreciation
Total Expenditure|103,560.11
£
61,910.18
£
32,087.64
£
5,637.72
£
4,602.40
£
1,028.55
£
817.05
£
7,596.75
£
769.81
£
955.52
£
245.84
£
1,093.22
£
159.50
£
-
£
685.06
£
2,605.15
£
-
£
18,357.81
£
180.00
£
589.31
£
90.98
£
235.20
£
100.00
£
375.00
£
251.25
£
40.01
£
23.64
£
1,132.20
£
1,360.00
£
397.50
£
1,723.28
£
13.45
£
4,034.21
£|_23,763.28_
_£_
_20,999.16_
_£_
_27,563.99_
_£_
_-_
_£_
_4,601.65_
_£_
_1,102.86_
_£_
_627.21_
_£_
_6,027.13_
_£_
_-_
_£_
_1,319.30_
_£_
_243.16_
_£_
_1,677.59_
_£_
_10.05_
_£_
_1,000.00_
_£_
_321.25_
_£_
_1,630.17_
_£_
_274.98_
_£_
_20,998.08_
_£_
_258.00_
_£_
_453.88_
_£_
_255.07_
_£_
_49.88_
_£_
_-_
_£_
_358.00_
_£_
_-_
_£_
_60.12_
_£_
_480.09_
_£_
_-_
_£_
_1,330.00_
_£_
_35.71_
_£_
_1,699.16_
_£_
_13.90_
_£_
_4,961.13_
_£_
252,658.34
£
_122,114.80_
_£_
252,658.34
£
_122,114.80_
_£_
_Year to Apr 22_| |---|---|---| ## **Note 5 - Paid Employees** a. There were no paid employees. ## **Note 6 - Trustees and Other Related Parties** a. No expenses or emoluments have been paid to the sole Managing Trustee b. There are no amounts due to or from the sole Managing Trustee ## **Note 7 - Tangible Fixed Assets - Property Account** Depreciating Property As at 30 Apr 22 £ 13,674.88 Additions £ 1,166.07 Depreciation/Disposals £ (4,034.22) As at 30 Apr 23 £ 10,806.73 Non Depreciating Property As at 30 Apr 22 £ 46,759.34 Re-Valuation 4 £ 62,299.98 As at 30 Apr 23 £ 109,059.32 CUL-WR APR23ZSOFAE ## **Note 7A - Stocks** |Bar/Cellar
**Note 8 - Prepayments, Misc Debtors**
Insurance prepaid
CCLA Interest
TV Licence
PRS/PPL
**Note 9 - Creditors**
Siemens - Coffee
Trophy Hire
Additional VAT on Subsidy
LWC Cornwall - Bar
Sky
PNIE
**Note 10 - Held for Other Funds**
Civilian Accom
PAYD
Exchange Service/Entitled Overseas Accom
750 NAS
814 NAS
820M NAS
824 NAS
ATC Social Fund
Plumbers Union
NET Accommodation
HoDs Fund
Christmas Draw|5,788.75
£| |---|---| ||5,788.75
£| ||180.00
£
213.00
£
119.00
£
619.00
£| ||1,131.00
£| ||1,296.00
£
21.00
£
5,637.72
£
1,018.98
£
410.40
£
690.00
£| ||9,074.10
£| ||608.37
£
18.77
£
216.60
£
155.00
£
602.00
£
611.00
£
616.00
£
115.00
£
130.00
£
10.60
£
1,985.11
£
4,582.26
£| ||9,650.71
£| ## **Note 11 - Declarations** - a. The fund does not have any material commitments not provided for in the accounts - b. The fund has not given any guarantees to any third party that could be called on at the year end. c. The fund has not granted any loans. - d. The fund did not make any ex gratia payments during the year. 5 ## **Declarations** - a. The Trustee has not changed the year end date nor the length of the fund's financial year - b. All the fund's operations are continuing operations and there were no discontinued operations. - c. No funds are in deficit. - d. The fund has no marketable intangible assets - e. There were no interfund loans outstanding at the balance sheet date. - f. None of the funds functional assets have been revalued during the year and the fund does not have a policy of revaluation of these assets. - g. The fund has no material fixed assets which have not been capitalised and included in the Balance Sheet. ## **Bar Trading for year ended 30 Apr 23** |Sales
Sales at Cost
Opening Stock
Purchases
Less Closing Stock
Cost of Sales
Gross Profit
Less
Bar Equipment
Spillage & Ullage
Stock Write Off
Net Profit|9,793.11
£
26,468.33
£
36,261.44
£
(5,788.75)
£
915.28
£
682.25
£
17.42
£|39,390.45
£
_33,890.27_
_£_
4,423.20
£
_3,791.37_
_£_
43,813.65
£
_37,681.64_
_7,731.85_
_£_
_27,732.48_
_£_
_35,464.33_
_£_
_(9,793.11)_
_£_
£30,472.69
_£25,671.22_
13,340.96
£
30%
_12,010.42_
_32%_
_1,197.57_
_£_
_692.22_
_£_
_2.98_
_£_
1,614.95
£
_1,892.77_
_£_
11,726.01
£
30%
_10,117.65_
_£_
_30%_
_Previous Year_| |---|---|---| 6 ## PN INDEPENDENT EXAMINATIONS 5 Nursery Road Havant Hants PO9 3BG  07801 064450 The Commanding Officer RNAS Culdrose 24 May 23 ## **THE WARDROOM MESS FUND – EXAMINATION AND ACCOUNTS FOR THE YEAR ENDING 30 APR 23** 1. The examination of the Wardroom Mess fund for the year to 30 Apr 23 has been completed satisfactorily. Two copies are provided for approval by the Managing Trustee, one copy is to be retained centrally and the other is to be made available to mess members. A draft copy of the Trustee’s Annual Report (TAR) is also enclosed. 2. After approval by the Commanding Officer, as sole managing trustee, PDF copies of the TAR and the accounts (which are supplied by PNIE) should be uploaded onto the Charity Commission website. 3. The wardroom building was condemned, and the mess was re-located to the upstairs area of the WOSR mess building. The messes have separate areas, and the arrangement is reported to work very well. ## Accounts 4. Mr Creed, the Treasurer, has an excellent understanding of all aspects of the Wardroom accounts. This knowledge considerably helps the process of examining and preparing the annual accounts. All the relevant documentation and information was provided. 5. The bar was mustered by the Bar Manager and Mr Creed, but property was not independently mustered. As the mess holds no cash, there was no need for an independent count. 6. The mess held £62.1K in a COIF Charity Deposit Account earning £1.7K from the interest rate that had risen to 4.1% by Apr 23. ## Property 7. Non-depreciating property (artwork, artefacts, silver etc) was professionally re-valued and this increased its worth by133% to £109.1K. The depreciating property was worth £10.8K after depreciation. The register is kept on the Sage Accounts package and is efficiently maintained by Mr Creed. ## Mess Debtors 8. There was just one outstanding mess bill, which had subsequently been paid. This was an impressive achievement. ## Subscriptions 9. Military subscriptions income was £51.6K which was an increase of £14.4K over the previous year. This more than covered the running costs of £31.4K. 10. Associate and civilian subscriptions had increased by £1K to £4.8K. ## The Bar 11. Bar sales had increased by £6.1K to £43.8K leading to a net profit of £11.7K (30%). compared to the £10.1K seen in the previous year. The stock held was valued at £5.8K, a more realistic stock holding when compared to nearly £10K last year. 12. The Bar Manager, Mr Rutterford, was doing a good job with continual monitoring of the cost and retail prices and stock rotation, whilst providing all the relevant documentation to the Treasurer. ## Subsidies 13. There will be an additional VAT bill to pay because the function subsidies were part funded from military subscriptions. This year the trading income (bar profit and associate member subscriptions) totalled nearly £16.6K whilst the subsidy on functions was exceptionally high at £61.9K. On the other hand, £11.5K of the two previous years’ trading income was not used for subsidies and this sum can be added to this year’s trading income to make £28.1K. This means there will be an additional VAT bill of £5.6K to pay on that part of the subsidy, £33.8K, which came from subscriptions and other untaxed income. ## Other Activities 14. Annual trophies hire cost £216. However, the mess also pays £30 for the Captain’s House trophies. The mess committee chooses not to insure these items and accepts the risk. - Wardroom – 64 items worth £80.6K. - Captain’s House – 6 items worth £10K. 15. The Christmas Draw income exceeded the cost of the prizes by £4.5K and so this will be carried over to the Dec 23 draw. Total cost of the Dec 22 draw was £18.4K. ## Summary 16. The normal activities of the mess had lost £27.4K over the year. There were four main reasons for this loss: - Function subsidies that were not covered by trading profits - £45.3K. - Additional VAT bill - £5.6K. - Offset by military subscriptions exceeding running costs by £20.2K. - Offset by minor incomes totalling £3K. 17. On the other hand, the property revaluation exercise had increased the value of nondepreciating property by £63K. Overall the net worth of the fund had increased by £34.6K to £230.2K. 18. £125.6K was held in property and stocks. Deposit and bank assets of £110.2K more than covered the £19.7K of liabilities. M L Butcher PN Independent Examinations Information: Mess President Mess Treasurer