The Congregation of the Sisters of
Nazareth Generalate
Annual Report and Accounts
31 March 2022
Charity Registration Number 1138878
(England and Wales)

Contents
Reports
Reference and administrative details of the charity, its trustees and adwsets
Truste8s' rewrt
Independent auditors report
23
Accounts
Statement of financial activitles
Balance sheet
27
Statement of cash flows
28
Principal accounting pollcies
29
Not85 to the ac￿Unts
The Congregation of Ihe SksterB of Nazareth Generalat8

Reference and administrafjve details of the ¢harity. its trustses and advisers
TNstees
Stster Brenda Mccall (Chair). AKA s￿￿er Mary Brenda Mccall
Sister Valma 8eattiGe Cooper, AKA Sister Dominica ofthe Cross Cooper
Sister Hannah Marie Dwyer. AKA Sister Hannah Maria Dwyer
Sister Mary Veronica Kealey, AKA Sister Veronica Anne Kealey
Slster Anne Bernadette Walsh, AKA Sister St Te￿5a Walsh
Superior General
Sister Mary Brenda McC811
Treasurer Geneial
Sister Hannah Maria Dwyer
General Secretary
Sister veroni￿ Anne Kealey
Chief Executive
Kewn Bames
Principal office
St Michaels
Nazareth House
169-175 Hammersmilh Road
London M 8DB
Email
generalate
sistersofnaz8reth.com
Website
www.slstersofnazareth.com
Charity registration number
1138876 (England 8nd Wales)
Auditor
Crowe U.K. LLP
55 Ludgale Hill, Lornjon EC4M 7JW
Investment managers
CCLA
One Angel Late, London EC4R 3A8
Royal London Asset Managem8nt
55 Gracechurch Street, London EC3V OUF
Principal banker
Barclays Bank
22-24 Upper Marlborough Road, St Albans. Hertfordshire AL13AL
Principal solicitor
Stone King LLP
Upper Borough Court, Upper 8orough Walls, 8ath BA11 RG
The Congregation of the Sisters of Nazareth Generalate

Tru$tees' report 31 March 2022
OVERVIEW
During the financial year. the third full year for the Gurrent trusiees, the Charity has continued to
woth tOW8rds delivering the Mission, Vision and Aim of the Congregation, and living by its value5.
These are set out in full on page 5 and are similar for the Charity and the COng￿gation.
The main achievements of the Charily during the 2021122 year include..
1. Supporting the regions induding how they respond to the Covid-19 pandemic as well as
financialty.
2. Undertaking a review of safeguarding practices in all regions.
3. Developing the Heritage Cent￿, which was officially opened the p￿VIoUS year, it has
been visited by members of the Congregation and their guests. The Heritage Centre
includes an exhibllion of the lrfe and times of the Congregation's Foundress, Vlctoire
Lamienier, and her legacy of the CorvJregation of the Siste[5 of Nazareth, along with
new. permanent home for the archive. The collectM)n has been added to during the year
and a new book has been publlshed lo provhje more infomation.
4. Three nowces making their first professlon in September 2021 and shortly after retuming
to the African Region lo continue their religious journey a5 siste￿ of Nazareth.
5. Entering into a sales agreement lor Nazareth House SoLrthend, subject to a satrsfacaory
planning approval, on L*half of the UK Region.
The year has also had its challenges. including the Congregation deciding to close Nazareth
House Elsies River in Cape Town and transferring the residents and staff to the nearby Nazareth
House in Cape Town, providing them with an improved environment.
Proceedings into the historic abuse of chIld￿n fomially in Ihe Congregation's care continue. In
May 2019, a report was Lssued by the Scottish Child Abuse Inquiry following the testimony in 2018
of the survivors of abuse in four res¢dential children's hornes in Scotland operated by the
Congregation. The Congregation fomially apologised for any mistreatmenl of those in hs care and
deeply regrets any ham or shortcomings in the Ca￿ prowded. The cong￿gation has and
continues to cooperate with the Scottish Inquiry and the Inquiries held in England and Wales,
Northem Ireland. Australla and New Zealand, each at different stages, and wlth those
govemments as they set up their redress schemes. All residential children's hornes in eaGh of
these countiies have L*en ck)sed for many years.
The CovMI-19 pandemic continued to affect the work of the Charlty. curtailing travel and adivities,
and more directly, the provision of care to the ehjerly and children who are looked after in the care
homes and other services in the regions of the Congregatlon. The Charity tnjstees pay tribute to
the eX￿ptIonal hard work of all the Sisters, staff, volunteers and others in Nazareth Care who
have worf(ed tirelessly to keep the residents safe, often putting the care of others ahead of their
own safety and wellbeing. There can be no greater example of their commrtment and livrng by the
Core Values. The families and friends of all those who have died are remembered in our prayers.
The Congregation of the Sistets of Naza￿th Generalale

Trustees, report 31 March 2022
STRUCTURE
The Congregation of the Sisters of Nazareth Generalate (Ihe Charity,) supports the religlous.
educational, care and other charitable work of the Congregatlon of the Sister5 of Nazareth {Ihe
Congregation'l across the wortd. The Charity ￿ the facilrtaling entity for Garying out the civil law
aclion5 on behalf of the Congreg81ion. The Chartiy is based in the United Kingdom and hokls the
central reserves of the Congregation. The five trustees of the Charity are also the five ekcled
leade￿ of the COng￿gatIon, the Superior General and her four General CounGillors.
Thi5 report uses 'lhe Charrty. lo refer to the work of the Congregation of the Sisters of Nazareth
Generalale for whom this report relates lo and Ihe Congregation. to refer lo Ihe work of the
Congregation of Ihe Sisters of Nazareth, Ihe religiou5 iKKly that the Charrly i8 a part of.
The Congregation is an unincorporated intemational body of relvJious women - the siste￿ of
Nazareth (the SISte￿)- founded by Victoire Lamienier and recognised by the Holy See in 1864.
As of 31 March 2022, there were 191 Sisters (2021.. 20318nd five novices (2021.. eight).
The Congregational StrUc￿re
Most of the Congregation's ministries, or services, are prowded wkhin Nazareth Houses, which
are mainly care homes for older people. As of 31 March 2022, the Congregation opetaled 33
Nazareth Houses. 8 retirement vtllages, 3 education setmces and 2 children's services in 36
ifferenl locations. They are or98nised into four regions and one area.- Africa, America.
Au51ralasia, Ireland alld United Kingdom. For this report only, the four ￿gIonS and one area are
all referred to as regions.
Each region consists of both a regional branch of the Congregation 8nd an operating entity. which
are charitable or not-for-profrt organisations. Each reg*)nal branch of the Congregation owns the
properties - the Nazareth Houses - and looks after the mission of the Congregalion and the
welfare of the Sisters In the region. The operating entities function under the name Nazareth Care
(Nazareth House in Afflerica) and are deliveied on behalf of the Congregation. They manage the
care homes and other servic8s, receive the income and employ the staff. This structure ensures
that the Sisters retain control over the assets and mission of the Congregation while lay staff
manage the semces 8nd provide the ca￿.
Each Nazareth Care is a separate legal entity with its own goveming document And board of
trustees, consisting of a majority of s￿ters and supplemented with lay trustees. Each board is
chaired by the Regional Supeiior, who is a Sister and a member of the Congregation. Each region
has a similar legal structure. although each is necessarily tailored to the legal jurisdiction in which
it operates.
The Congregation, through the Superior Gener31 and the General Councillors. ￿tainS some
decision making powers over the r6glons.
The Congregation of the Sistets of Nazareth Generalale

Trusteès, report 31 M8rch 2022
Connected enttties of the Charity
The Charity has no related parties or subsidiaries. There are several entities connected lo the
Charity, being other components of the Congregation. Those components in the United Kingdom
are detailed in Note 20 to the accounts and consist ofThe Congregation of the Sisters of Nazareth
Charitable Trust (charity registration number 228906 (England and Wales) and SC040507
(Scotland)) and Nazareth Care Charitable Twst (charity regislr*ion number 1113666 (England
aThJ Wales) and SC042374 (Scotland)) and a company limiled by guargnlee (Company
Registration No 5518564 {England and Wales)) and ils subsidiaries.
The Cong￿gation of the Sisters of Nazareth Generalate

Trustees, report 31 March 2022
THE CONGREGATION'S AIM MISSION, VISION, AND VALUES
The Charity support5 the work of the Congregation throughout the world. Its Aim. Mission, Vision
and Core Value5 a￿ those of the Congregation.
Aim
The Conslitutions of the Congregation ofthe s￿ters of Naza￿th set out Its aim..
°To glon.fy Almighty God by followng Christ 8s our supreme rule of life. We do this by
personal Sanctn7Cat￿n, by dedicating ourselves to the btjildlng up of God's kingdom, and
by eng8glng in the particularministries entrusted to us by the ChurGh." Gare of the elderly,
work wth children. educational, pastoral and soci81 ths, and other mirnstries in
accordanc8 ￿th the n8eds oflime andP1a￿., (Constitution 1.3)
Mission
The mission of the Congregation of the Sisters of Naza￿th is..
"We, the Sisters of Nazareth, aim to Sha￿ the love olGod through our ministnes of care
and education and our openness to respond to the needs of the time&°
hatsoever you do to the least of my peofft you do to me,: Words of Jesus Christ
(Mati.25'.40)
Vision
The Congregation of the SL8ters of Nazareth is a Catholic Congregation devoted to ca￿. dignity
and proteclion of numan life, it striveslo maintain and improve the quality of lrfe of those entwsted
lo its care.
Core values
The Aim. Mission and Vision are supported by six Go5￿1 based 'core value5'.
All who are associated with the work of Ihe Congregation are expected to demonstrate a
mmitmentto the Core Value5'.
Love - Unselfish conGem for the good of other5 Shown through p*ience, kindness. trust.
hope, endurance, tnjth and a strong affection.
Compassion - Being open and attentive to the whole person, spiritually, physically and
emotionauy. showing empathy for the suffering of others and trying to ￿lIeVe that suffering.
Respect - Holding the unh]ue dignrty of each person in high esteem and wrth speci81
consideration. showing thoughtfulness. courtesy and rA ￿.
Justice- Upholding what is fair. decent and right, appreciating each person, respecting their
righls in 8 b81anced and fair manner.
Hospitality- Welcoming and receiving all into a warm, friendly and open 8tmosphere.
patIen￿- Persevering calmty and with understanding 8nd endur8nce.
The Congregation of the Sisters of Nazareth Generalate

Trustees, report 31 March 2022
The Chatity support5 a new programme. WKtoire s Legacy, which is being delivered lo the regions
and is ready to be rolled out throughout the Congregalion's semces. It covers the leg8cy of the
Foundress. th8 Core Values, safeguarding and inlercuhurality. Meanwhile, the Congregation's
Mission Alive programme continues lo be used and reinforces the impacl of its Mission and Core
Values on ils minislries. The programme promdes training to staff and volunteers in the meaning
and application of the Core Values 2nd how to put them into pradice in the workplace. ensuring
the CO￿ Values and Mission make each Nazareth House and seNice a distinctlve place of care.
The continuing and ￿sible presence of Sisters in the serw¢es is a reminderto residents, relatives,
staff and volunteers of the Congregation's or(gin and its ongoing commftment to providing spiritual
and ￿mpasSIOnale care lo the elderfy and others who benefrt from these services.
The Congregation ha5 adopted the principles of 'seNant-leadership' set out by Robert Greenleaf,
which have a strong affinity with the core value5.
The Congregation of the Sistets of Nazareth Generalale

Trustees. report 31 March 2022
REVIEW OF THE YEAR
The trustees present the report 8nd ACCOLtnts of the Congregation of the Sisters of Nazareth
Generalate for the year ended 31 March 2022.
During the year the Charity has supported the rnis5i0n and services of th8 Congregation provmyed
in the regions. These include providing guidance, advice. financing 8nd ongoing monrtoring and
support to building works, changes to governing documents and any other 5vJnffiGant
developments.
At the Congregalion's most ￿cent General Chapter, hehj in June 2018 in Hammersmith, London,
the futu￿ direction of the Congregation was agreed uwn through one Mandate and four
Recommendations, which form the basi8 of the Congregational Plan for the years 201 &2024.
The key elements of the plan are to..
Acknowledge the gift of interculturalily in all 8specls of the Congregation.
2. Review the impact of the changing strengths and availability of Sisters. to maintain the
viabiltty of the Congregalion.
3. Embrace, study, promote and Implement the principles of Catholic Social Teaching and
Pope Francis, social encyclical on the environment, Laudato Si,, conceming ecoh)gical
and social issues affecting the life and mission of the CoThJregation.
4. Safeguard the partnership between the Congregalion and Nazareth Care.
S. P￿mote vocations and the initial arKI ongoing fomation of the Sisters.
The full delivery of the Mandate and Recommendations takes time. Actions towards thelr delivery
by the Congregation, and where ne￿$sary supported by the Charity. have commenced and
include-
Continuing a new pmgramme of induction and training for all Si%ters and staff. imparting
Victoire's legacy. mission, partnership. safeguarding, core values and intercU￿urality.'
Applying the fom7ation programme to support the training and ongoing formation of
Sisler5-
Encouraging the implemenl8tion of the ecological and social justice pollcles furthering a
growing consciousness 8nd practice in these areas.
The ongoing con5Kleralion ofways to ensure the wability of the Congregation with regard
to the changing availability of Sistets.,
Ensuring the role of Sister3 in the govern8nce of the Congregation.,
Strengthening the partnership befvieen the Congregation and NaZa￿h Care.
These and other 8(thions are contained in the Global Congregational Plan and the Nazareth Care
Global Plan. which then cascaded down to the region, house and community plans.
The Congregation of the Sisters of Nazareth Generalate

Trustees, report 31 March 2022
Plannin
The Glob01 Congregational Plan and the Nazareth ca￿ Global Plan fomi the lop layer of a
planning system that requires each region, seNce and communty of Sisters to produce their Own
plans. The intention is for a'golden thread, lo flow from the General Chapterthrough all the plans,
ensuring that all actlvities are focused on the Recommendations. The plans Klentify the many
elements comrnon to both plans that require the same actions by Sisters and lay staff.
Pro
The Charity has funded the pre•relurbishment works of Nazareth House Hammersmfth, includlng
the planning application and professional fees that wlll enable the home to be completely
refurbished.
Building work continues in all regions. Consent was granted by the Superior General and the
General Council to enter into separate contracts for the sale of two sites that had premously been
losed, one in Southend in the UK and the other in San Rafael in America. Both sales are subject
to achieving ￿annIng consent so neither sale has been completed al the time this re￿rt is slgned.
Consent was aL%o granted forthe closure of a site in Elsies River. a suburb of Cape Town In South
Africa. which was successfully completed. The surmunding are8 had become too violent to
ensure the safely of the respjents and staff. The residents and staff were offered aMern8tive care
and employment. which many accepted, in our larger sile, also in Cape Town. The premises may
be IransferTed to the local Diocese to continue to benefrt the local community.
Consent wa5 requested, and given, for the tM)tential transfer of a new 48 bedded nursing home
and convenl from the Sislers of Sl Joseph of Annecy in Killorglin, County Kerry in lTrland to the
Congregation following due dilpJence processes and subject to necessary regulatory and legal
approvals.
Works previousty approved have continued, induding the ￿lurbi$hMenI and extensi)n of
Nazareth House Birkenhead in the UK and the remodelling of part of Nazareth House Los Angeles
in America. Plans are also being developed for upJrades and Improvements to several other
Nazareth Houses across the regions.
In
uiries
We continue our practice of c(Foperating wf(h all Inquiries and ￿0vidIng ongoing support.
Following the passing of the Redress for Survivors (Historical Child Abuse in Carel (Scotland) Act
2021, the Charrty, on behalf of the Congregation, entered into 8 new agreement with the Scottish
Government to Contribute to the payments made by Redress Scotland to fomier children in our
Care regarding claims of abuse. This was accompanied by a further aFK>logy by the Congregation,
as published on the gov.scot webslie. We continue to co0￿rate with the Scottish Govemment.
Redress Scotland 8nd survivor organisations lo support dairnants and potential claimants with
access to their recA)rds and to promde indimdual apolcoies when requested, and with other
Inquiries. as necessary.
Finance
Each region consists of one or more independent chairiie5. Therefore, consoltd8ted accounts are
only produced at a regional level and are not consolidated globalty. Region accounts are prepared
and audited according to their local standards 8nd are available on request from each region.
The Congregation of the Si5ter5 of Nazareth Generalate

Trustees, report 31 March 2022
Each region provTdes a quarterly report on 115 operational financial performance, covering the
actiwlies of Nazareth Care including each Nazareth House. Unaudited 8CCOUnts for each regio
show that the tol81 tumover for 2021122 was £109 million (2021-. £109m). No change in the total
income reflects a slight increase in fees and occupancy in each region, but a worsening of several
exchange rates when local currencies are converted lo Sterling.
The greatest pressure in most reglons Is e￿ndItUre increases due particularly to the lack of
available trained staff, increased use of agency staff and the Increased cost of operating care
homes. Four of the five regions still man8ged to generate a surplus, to be used for reinvestment
in capital projects.
The Charity entered into a new loan 4reement with the Irish Region, collsolidatillg several
smaller loans simpltfying amounts due and repayments.
The ma￿m￿M potential contribution to the Scottish Govemment has been accounted for in the
2022 accounts and the first two payments made.
Nazareth House Southend
This srte which closed in 2020 continues to be managed by the Charity on behaw of the UK
Region. A property m8n8gernent guardianship company provhles much needed temporary
accommodation for local people while guarding the property. Part of the srte was 81so made
available to the NHS as a CovNJ-19 test centre.
Following a marl(eting process and multiple offers, an offer for the sale of the sfte has been
accepted. The offer is subjed to successful p18nning approval, and a planning application has
been submitled by the prospective purchaser. No decision has been made at the time this report
is signed.
Covi(k19
The year continued to be impacted by the Covid-19 p8ndemic. This affected the work of the
Congregation, curtailiro travel and acti)rities, and more directly the provision of care to the elderly
and children. The response of the Sisler5, management and staff has been phenomenal. often
priorit￿ing the care of others before themselves.
The Ch2rtty's actions continued, with greater use of virtual ￿at10M1S to deliver training,
ommunicalions, education and connectedness. All staff of the Charity have continued in their
roles, wothing remotely where that has been feasible.
Other artivities
Other actiiAties by the Charity during the year on tehalf of the Congreg8tion included..
monitoring the flnancial and operational performance of the regions-
monitoring the Siste￿, funds and Nazareth Cafe fund5 Ill the tEgions'
reviewing the govefflan￿ in regions.,
consideriThJ applications by regions for consents of va￿uS types, in particular relating to
major building works and constitutional requirements.,
The Congregation of the Sisters of NaZA￿th Generalate

Trustees. ￿port 31 March 2022
allocating fvnd5 to consented projects by way of grants and loans..
monitoring investment performance and remewing the investment managers used,.
keeping in touch with the regions and houses. mainly by v￿￿e0 and telephone this year.
The focus of these communicatlons by the Superior General and her General Councillors
is their pastoral care of each Sisle¢s welfare.. they aL%o promde opportun(ties to obseNe
the operations within houses. monitor the govemance within regions and house5.
encourage a slrong partnership between the Congregation and Nazarelh Care and
update their knowledge of issues in each region and house.
The Congregation of Ihe Sister5 of Nazareth Generalate 10

Trustees. report 31 March 2022
FINANCIAL REPORT FOR THE PERIOD
The accounts have been prepared in accordance with the accounting poliaes set out on pages
29 10 33 of the attached accounts and cornply with the Charity's trust deed, applicable laws and
Accounting and Reporting by Charilie5.' Statement of Recommended Prartice applicable to
charities preparing their accounts in accordance with the Financial Rerx)rting Standany applicable
in the Unrted Kingdom and Republic of Ireland (FRS 102).
Income and expenditure
The income and expendtture of the Charity are detailed in the Statement of Financial Activities.
on page 26 of the accounts.
Unrestricted income for the Charity increased by £224k or 11 % in the year. lo £2,227k. The
majority of the increase is from a legacy receipt of £1 Ook. and increased contributions from the
regions, tolalling £40k, which reversed a reduction in the premous year when occupancy was
reduced in many houses due to Covid-19.
The other source of income is from investment income and Inte￿$1 ￿CeiVab￿. which totalled
£481k (2021: £468k). The inGoffle 15 almost entirely interest on loan5 by the Charrty lo fund
building projects in the regions. Loans include funding for works at Nazareth Houses in
Chrlslchufch, New Zealand,. Giasgow. Scotland., Dublin. Ireland., Mallow, Ireland,. Bewasi,
Northem Ireland and Birkenhead, England.
Unrestrided expenditure in¢￿4sed substantially to £6,521 k 12021= £1,626kl due to accounting
for a £5,161 k (2021.. £0) maximum polent181 contribution to the Scottish Government for the
Charity's contribution to redress payfflents. The fifst £280k has teen paNJ. with the remainder due
over the next nine years. The to181 has been discounted in these accounts. reflecting the period
that payments wlll be made over. Other unrestricted expendiiure totalled £1,360k12021= £1,628k).
The most sNJnificanl change is a reduclion in foreign exchangelosses of £210k.
Grants by the Charity lo the regions increased to £544k {2021'. £421 k) lo fund activitie5 in Ireland
and Southend and H8mmersmilh in the UK. Expenditure Is detailed in Note 4 of the accounts.
£198k of restricled expenditure was incur￿￿ during the yearto fund the refuJtJishment of Nazareth
House Hammersmith, the hoffle of the Chariiy and the first house established by the foundress,
Victoire Larmenier. The majority ofthe expendtlure is expected lo be spent from 2023124 onwards
when construction cornmences.
Income less expenditure resulted in a loss for the year of £4.492k (2021.. gain £10,377k).
Funds
After investment gains of £1.373k (2021.. £2,463k) the net fflovement in funds forthe year was a
de¢￿ase of £3,119k {2021'. In¢￿aSe of £12,840k), of which £2,921 k was from unrestricted funds.
The closing fund balances were £29,897k (2021.. £32,817kl in unrestrlcled funds and £9.513k
(2021.. £9,71 Ok) in restrided funds.
The Congregation of the Sisters of Nazareth Generalate 11

Trustegs. report 31 March 2022
Loans
No new loans were approved during Ihe year and no further advances are anticipated for any
loans that have already been approved. The Charity's debtor balance at 31 March 2022 is
£16,743k 12021.. £17,062k). Notes 13 and 20 to the accounts provide furiher delails of the
outstanding balances and the lunding a￿angefflents.
Cash flow and investment perfomiance
The value of listed investments at 31 March 2022 was £21,657k12021.. £20,215kl. The increase
includes £653k of realised gains and £720k of unrealised gains in the value of the investments.
A summary of movements on listed investments can be found in Note 11 to the accounts.
Investments with a market value al 31 March 2021 of £16,679k were held within the BlackRock
Catholic Charities Growth and Income Fund. During the yearthe entire fund was disp(>sed of, and
the funds were transferred to CCL4's Catholic Investment Fund. The value at the end of the year
is £18.126k. They are t#)th common investment funds sel up lo prowde charities with ethical
investment in line wi(h Catholic teaching. A further £3,531 k (2021-. £3,536kl was held wf(h Royal
London Asset Management and invested in cash, deposlts. money market inslrumerrts and 5hort-
dated govemment securities. aimed at delivering a posltive relum without additional risk.
Funds and reserves policy
The Charity's reserves of £39,410k {2021'. £42,528k) atE divided belween Iwo DesKJnated funds,
the Tangible r￿ed assets fund, General fund. and a Reslricled furKI-
Design8ted funds:
• The S￿le[s, Supporl fund.. £7,OQOk (2021.. £7,OOOkl is retained to prowde any Sistets in the
Cororegation who need any support, including nursing or res￿entIal care in a NAzareth
House. with the means lo purchase itwhere public funds are not available and for other needs
such as medical costs, training or 8mergencies. The amount is calculated based on the
eslimated future costs of providing Ca￿ for SisleTs, the number of Sisters, their ages. lrfe
expectancy, anticipated length of care and the cost of provKJing care. The level of the fvnd
was reviewed during 2021 when the Charity confimied that £7 million remained the
appropriate level of the Fund.
+ The Property fund= £19,OOOk (2021.. £22,500k) was reduced by £3,500k {2021'. Ine￿ased by
£3.130k) to womde sufficient funds for the Scottish Govemment maximum potential
contribution. The fund will ￿ used to provHJe loans or grants to regions requitirvJ support for
building, restructuring, developments, or other similar projecls. Building projects and regional
support are expected to be the primary focus of the utiltsation of the Charlty's funds for some
years as many properties require upjrading and remodelling to comply with current slandards
and expectations. The Chaiity has already invested a proportion of the fund, demonstrated
through the existing loan balances. Further loans can be made as the existing loans 8re
repaid. They anticipate using more of the fund over the next five to len ye8rs to continue the
Pfo¢ess of upgrading properties, subje(1 to tptaining Suff￿lent funds to respond to
emergencies. This 15 expected lo include additional costs to refvrbish Nazareth House
Hammersmith. 8s well as other sites in the UK and overseas.
The Congregation of the Sisters of Nazareth Generalate 12

Trustees, report 31 March 2022
Other fund5'.
• The Tangible Fixed Assets fund represents the value of the tangible fixed assets owned by
the Charity. The fund has decreased from £2,397k to £2,154k during the year as existing
assets have been depreciated.
• The Gener81 fund of £1,743k (2021.. £920k) is retained to coverthe running costs of the Charity
in the evenl of a temporary loss of income, together with some capacity to support Ihe regions
and houses expefiencing unforeseen costs that cannot Immediately be fijnded from other
sources. The Gener81 Fund represents the only unresltided and non-des¥Jnaled funds of the
Charity, that can be SFtnl as the trustees decide.
• The General fund is in line with the Charity Irustees, expectation5 represents around 16
(2021.. nine) months of operating expenditu￿, eX￿udIng foreKJn exchange losses and
depreciation. The Iruslees wish to retain behveen 6 and 12 months of operating expenditure
in the Gener81 Fund to avoiy any intemjption lo its activlties in the case of a loss of income or
the need for increased supwrt to a reglon.
• The Restrided fund of £9,512k {2021: £9,710k) is accounted for separately. £7,OCKJk {2021.'
£7,OOQk) 15 held in CCLA'S Catholic Investment FuThY and the remainder is hekl in cash
depostts lo fund shorter-terTn Ga5hflows. During the year, £198k12021.. £289k) had been spent
from the fund on the planning application and prOfeSs￿nal fee5.
Going concern
The trustees have assessed the Charity s ability to continue as a going concem. The trustees
have considered several factors when forming their conclusion as to whether the use ofthe going
concern basis is appropriate when preparing these financial st8temenls including a review of
updated forecasts to 31 Mar¢h 2024 Govering income. expenditure, cash and reserves, the long-
lem) cashflow forecast to 31 March 2027 and a consideration of key Fisks, including Cowd-19 and
economlc uncertainly, that could neg8tively affed the Charity.
The Charity is fijnded primarily by donations from the Regions wtihin the COng￿gatIon together
with other donations including legacies. There is a risk that the effects of the pandemic. shortage
of staff and rising inflation will reduce income in each of the regions and consequently this may
reduce the amount that is paNJ to the Charity. During the last year, mosl houses and Tegions have
remained resilient to the challenges and have continued to operate successfulty, wfÉh appropriate
changes to their operating practices. Admissions have ￿started in most locations and occupancy
In the homes is slowly increasing again. Admission emb8rgoes are now much shorter and more
latyeted than was the case in the earty days of the pandemic. The Charity has not accessed any
of the goveTnfflent grants or loans provided in response to the Cowd-19 pandem￿ and does not
anticipate doing so.
Debtor balances have been remewed and assessed and. as all108ns are within the Congregation,
they are conswjered to be repayable in full. The budget and forecasts for the forthcoming ye8r are
considered to be deliverable arKI the cashflow forec45t shows that there are sufficient cash and
li7uid resources 8nd forecast inflows for the period of rEview, wilh the support of the unrestricted
resetwe5 if required.
The cong￿gation of the Sisters of Nazareth Generalate 13

Trustse$' rnport 31 March 2022
Th8 Trustees therefore have a reasonable expectation Ihat the Charity has sufficient resources
to ¢ontinue in operational e￿$tenCe for the foreseeable future and so shoukj continue to adopt
the going conc£m basks in preparing the annual and financial statements.
The Congregation of the Sisters of Nazareth GerFeralate 14

Trustees, report 31 March 2022
FUTURE PLANS
The fOC￿S over the next year and beyond will lo continue impleinenling the Mandate and
Recommendations fromlhe General Chapter in 2018.
In addfjtlon, the Charity will continue to support the region5, particularly with their property
developments and up3rad8S to ensure the best environment for delivering high quality care to
resmjents.
The Congregation of the Sistets of Naza￿th Generalate 15

Trustaes. report 31 March 2022
GOVERNANCE
The members of Ihe Congregation are led by the Superior General, who is supported by her four
General Councillors. These five Sislets are elected every Six year5 at the General Chapter, which
IS attended by representatives of the whole Congregation. The General Chapter, while in session,
is the highesl 8ulhority in the Congregation. Before each Chapter there is considerable
consuftation wf(h all Sisters through a series of Regional Chapters. other region-based meetings
and papers distributed for discussion. The Regional Chaoers elect Sisters to attend the General
Chapter on behalf of all Sisters. The June 2018 General Ch8Pter was attended by 32 ex-officio
and elected Sister5 from the Congregation. This consultative approach prowdes the elected
representatives with information and views from all Sisters across the Congregation on the issues
to be discussed.
The Superior General and General Councillors oversee the mrssion and ministrie5 of the
Congregation 8nd are accountable to the General Chapter for their stewardship of the
Congregation's mission, ministries and assets between each General Chapter.
The trustees of the Charity ¢omprtse the Superior General and the four General Counallors ex
Off￿10. Al the end of the year, the following trustees hekl office=
Sister Brenda Mccall I'sister Mary Brenda'l
Sister Brenda was elected Superior General in 2018, having been a General Councillor since
2012. Before joining the Council, Sister Brenda had been the UK Regional Superior since 2009,
where she oversaw the combining of the North and South Regions and implemented new
constitutional and staffing struciures. Prior lo this, she had ministered in various Houses wlthin
the UK, Ireland and South Africa. She is trained in the Residential Care of Children and Young
People and is a Registered General Nurse.
Sister Valma 8eatrice Cooper {*lster Dominica of the Cross.)
Before her election to Ihe General Council as Vicaress General In 2018, Sister Dominica wothed
in the Austral8Sl8n Region. Being a Registered Nurse. Sister Domini￿ worked in aged care for
many years before being appointed to leadership positions as a Superior and Regional Superior.
a p0511ion She held for seven yeats_ During this lime, Sister Dominica was involved in the
organisational restructure ar￿ Setting up a new business enlily as well as ￿n0VatiOn and
redeveloprnenl progtafflmes in the Region.
Sister Anne Bernadette Walsh I'sister St Teresa,)
Sister Teresa setved a5 Superior in the two Northem Ireland Houses for the nine years before
her election as a General Councillor in 2012. Sister Teresa orbJinally trained as a teacher and
worked in education for Ihirty-five years. Her focus was on the prifflary school sector and she
became principal of a nursery school. At the end of her leaching career. Sister Teresa was
awarded an MBE for her contribution to earfy years, education in Northem Ireland. She was
elected for a second tenn as a General Councillor in 2018.
Sister Mary Veronica Kealey I'sister Vemnica Anne.)
Sister Veronica trained as a teacher and worked in the primary school seclor for ftfteen years.
She served as Superior in Dublin before golng to Canada to study for a License in Canon Law.
Sister Veronica worked with the Scottish Catholic Inter-Diocesan Tribunal for eigm years working
The Congregation of the Sisters of Nazareth Gener8late 18

Trustees, report 31 March 2022
prin￿pallY on marriage nullity cases before being elected lo Ihe General Council in 2018 and
appointed as Secretary General.
Sister Hannah Maria Dwyer I'sister Hannah Maria.
Sister Hannah was elected to th8 General Coun￿1 in 2018 and se￿S as the Ttpasurer General.
Following a long career in teaching, 23 years as Headteacher in a London Catholic Primary
School, she receFved the Pearson Teaching Award In 2014 for Lrfetime Achievement. In 2002,
Sister Hannah raised £7m lo fund the buihjing of a new school, which she supeM5ed. The school
was ￿lS[ted by the then Prime Minister Tony B18ir, accompanied by Arnobj Schwafzenegger. The
library was opened by the future Prime Minister Boils Johnson. In 2015, she look a leadership
role in the UK Region, as the Superior of the Chettenham Community.
The Superior General and General Councillors live and wort on the Nazareth House sile in
Hammersmrth, which wa5 the first to be established by the Congregation's Foundress. Vicioire
Lamienier, in 1857 and which remains the 'Mother House, of the Congregation.
The trustees fomi a Part Vll incorporated tnJstee body-'The Tmstees ofthe Congregatm ofthe
Sisters of Naz8relh Gener8late'. The Charity Commission granted a Certificate of Incorporation
on 23 March 2011.
The Charrty is govemed by a Trust Deed dated 1 October 2010. Its objecls are to apply the
Charity's property and incoffle
..for SUGh Gharitable purposes 8s sh8118dv8nce the rel1￿0￿s,
educalional, care and other charit8ble wort( or the Congregation, for the publiG ben8Tht, as the
Tmslees wilh the appmval oflhe Superior General shall from time to tin78 think fft... .
Trustees, powers include but are not limf(ed to..
supporting and maintaining
. all who 8re or have been engaged in the cha171abl8 of
th6 Con￿egatiOn including... Tmstees of the Trnst,.
making wants and loans thether out of income LY capital and upon such terms and
condit￿nS {ifanyJ as to interest, repayment, securky orothenwse and to guar8ntee money or
to use the assets of the Trnst as securrfy forthe KerfomHn￿ ofcontra(*s entered into by any
person, 8SSOCi8tion, company, local aUth￿lty, 8dministrative or govemmental agency or
public body as May be thought frt or towards chan"table purposes in any way connectsd with
or calculated to further the objecls of the Trnst,.
• establLshing
. such separate ch&7tyorch8nlies as tt)eythlnk fit... to C8ny on such chantable
woths as are ¥￿thIn the ambrf... of this Deed, arbj '... trading cOMpan￿S to assist, or ac* as
agents for, the Trust,.
The Superior General and General Coun¢illor5 a￿ the tTU5tees of the Charity. Together wtth the
Congregational Chief Executive, they meel formally four times during the year lo discuss the
business aspects of the Congregation's actiirities. Following the trustees, meetings. the Superior
General and Gener81 Counallors meet as a General Council to approve, give consent or further
deliberate on the matters arising from these meetings. These meetings are minut￿j separately.
New Iru5tee5 are inducted by the ex*ing trustees and 51aff and training 15 pfovKled.
The Congregation of the Sisters of Nazareth Generalate 17

Trustees, report 31 March 2022
Charity Governance Code
The Charity has assessed its compliance wtth the princlples of the Charity GovernanGe Code,
undertaking a detailed review in June 2020. It GOnSKlers that it fully meets 54 of the 76 items of
comfflended practice in the Code and is working towards another nine items. Two ilems are not
rnet and 11 that it considers are nol ￿levant to the charity.
The two unmet areas are benchmatking with similar organisations and consKlering infomiation
from other similar organisalions and reporting on how the charity evaluates the l)oard
effectiveness in this ￿pOrt. Formalty assessing board effectiveness Is one of the areas that it is
working towards.
The non-relevant 2re2s are mostly concerning the recruitment of trustees, as the Constitutions
require some appointments to be tnade from within the Congregation, which limits the advertising.
diVe￿IlY and breadth of board skills. This is compensated for by hawng trustees who are wholly
committed to the Congregation and the Charity without outsNJe distractions, and the use of
external admsors and outside expertise on Comm￿ee5 to prowde greater diversity and breadth of
skill5.
Key management personnel
The trustees consider that they, wilh the assistance of the Congregational Chief Executive,
comprrse the key management of the Ch8rity in charge of directing 8nd controlling. wnning and
operating the Charity on a day lo day basis. Decisions are made by the trustees unless they have
been delegated to the Congregational Chief Executive as part of the approved genefftl delegatlon
or as agreed when making a specific decision.
All trustees are members of the Congregation and. whitst their living and personal expenses are
borne by the Charity, they receive no remuneration or reimbursement of expenses in connedion
with their dutles as trustees. Addiiionally, they donate all their income to the Charity.
The pertormance and pay of the Congregational Chief Executive is revlewed annually. To deliver
the Gharitable aims to complement the skills of the Sisters, the ChaiTty employs a small
number of paid staff. The commitment lo staff is to pay them a fair alld appropriate salary that is
affordable. This is to 8ttrart and retain people with the right skilLs and who, therefore. will have
the greatest impact in delivering the Charity's obj'ectives.
In accordance wlih the Statement of Recommended PraGtice we:
+ disclose all payments to trustees (no trustees are paid) and expenses reimbursed (no trustees
received expenses).
disclose the number of staff in receipt of £60.000 and above (in bands of £10,000) (Note 7 to
the a¢¢ounls).
• disclose pensions and other benefrts (Note 7 to the accounts).
staff remuneration does not incjude any share option5 or bng-terrn incenlive schemes as there
are none.
The Congregation of the Sisters of Nazareth Generalate 18

Trustees, report 31 March 2022
The period of notice for termination of contracts of employment is three months for any staff
earning over £60,000.
Granl-making policy
The Charity makes funds available as grants to individual houses and regions, which are to
separatety registered charities lo support tls ministries. The granls a￿ a￿oUnted for as
exFtndItU￿ in the year in which they are approved.
During the year, a few small exiemal grants were made by the trustees in response to identified
needs. These We￿ generally to support indivtduals or smaller not-for-prorrt organisations. Grants
made by the Charity during the year are detailed in Note 4 to the accounts.
Investsnent pollcy
The Charity's constitution does not restricl the trustees. powets of investment. The choice of
Investfflents is heavily influenced by the ethical investment policy, which is designed lo avoid, as
far as is reasonably possible, any significant investment in organtsalions that produ￿ goods or
services at odds with the teachings of the CalholiG ChurGh, parlicularly regarding the sanctity of
human ltte.
The tmstees take a total relum approach to their investments, investing in funds Ihal adhere to
the ethical investment policy. The majority of investments were transferred during the year to
CCLAS Catholic Investment Fund and cash and cash equivalent funds were held with Royal
London Asset Managefflenl Limited al the year end. The Catholic Investment Fund holds a
diversified portfolio containing equities. allernative assets and cash and near cash. manag￿1
within 8n acceptable level of risk.
The fund's investment objective is to achieve a gross total retum before fees of S% per allnum
above the Consumer Price Index, over a period of five years. whilst adhering to its ethical
Investment policy. It is currently not achiewng this due to the high level of the Consumer Price
Index.
The Royal London fund aitns to deliver a FX)sitive retum in a range of market conditlons wlthout
taking additional risk. by investing In cash, deposits, money marf(et instruments and short-daled
government securities.
The Ch8rity's praLXice is to re-invest income arising f￿rn Ihe investment portfollo. The trustees
conslder the level of l¥Jurdily that is required lo suppjrt grant and operalional commitments in the
short and medium-tem).
The Charlty uses the expertise from its investment manager5 to help with the management of its
investment funds and will purchase &lditional advice where necessary as well as draw upon the
knowledge ofthe Advisory Finance Committee members and the key management personnel.
The Congregation of the Si8ters of Nazareth Generalate 19

Trustees. rgport 31 Marth 2022
Public benefit
The tnjstees confimi that they have given due consideration to the Charity Commission's
publlshed guKiance on the Public Benefft requiremerrt under the Charities Act 2011 when
consijering the Charity's objectives and actiwties. All activities relate to the general objectives of
the Chartiy through suppx)rting Sisters and delivering care to the ekjedy and Child￿n, delivered
through overseeing and supporting regions, providing financtal contributions, advice and
guidance within which regions operate. In these ways, the Chartly is delivering a publiG benefrt.
Risk management
The Charity remews its risk management framework and agreed that there are five primary
categoties of risk facing the Charity and the Congregation- Mission, Spirit and Values.,
Govemance,. Safeguarding- Fin8nci81', Organisalional and External Environment rlsks. In each
category, il has agreed how willing rt is to take risks to achieve its objectives and how ti would
endeavour lo reduce risks where they are unacceptable to the organisation, its purpose or values.
Wrthin each category, several Specif￿ risks and contro15 were Njentified that ei(her are in place or
could be put in place to reduce those risks. The major risks faced and how they are managed are
considered to be..
A loss of spirit or mission. The ri8k increases as the number of Sisters in the Congregation
decrease and the role of paid staff in management EM)silions increases. There are several
programmes available in regions lo ensure the m￿SiD￿ 15 well understood and communicated.
such as Vidoire's Legacy, Mission Alive and the CO￿ Values of the organisatbn. Sisters
remain intrinsic to each house and are Msible throughout the majority of houses. Mass is held
each day in rnost houses. Visits occur from the Superior General. General Councillors and
the Congregational Chief Executive to each region and the houses. Atternative arrangements
have been irrtroduced in th￿e regions lo explo￿ models Ihat can operate with fewer Sisters
including some sites operating as satellites with visiting Sisters. These are evaluated on an
ongoino basis.
Governanc￿ shortcomings. Governance arrangements ensure that the Charity Ix)ard of
trustees is made up entirely of Sisters who are silPPOrted by lay staff and advisors as
necessary. In the regions, all boards consist of up to nine Iruslees, a majority of whom are
Sisters. There is 8 Strong set of Consttiulions, Directives, Govemance Handbook and
rep)rting mechanisms covering all aspects of govemance to ensure that regions administer
their operations In 8CCO[￿anCe wfLh the standards expected by the Congregation.
Safeguarding incKYents erther now orin the past. Current safeguarding risks are well fflanaged
through comprehenslve training and procedures and are more likely to OGcur in one of the
regions, where Ihey d1￿CtlY interact with vijlnerable indivhJu8ls. The impacl on the Challly is
by asSOC18tion and the consequential impact on its reKXJt2tion. Historical inchJent5 within the
Congregation's past are predominantly addressed nowadays by the Charity induding
reviewing praGti¢es and continuing to cooperate fully with all public Inquiries and with
indNKluals making their own enquiries or civil proceedings. Many safeguarding risks are
covered by insurance.
The Congregation of the Sister5 of Naza￿th Generalate 20

Trustees. report 31 March 2022
FlnancSal fallure through a regK)n or the Charfty not being able lo meet its commitments, such
as the repayment of a loan or a buikling project not teing delivered to budget. The shared
brand and support mechanisms ensure that if one part of the Congregation struggles. others
may step in to suptN)rt ((. Due diloence is undertaken before commitments are made and
Insurance is taken out where It is 2ppropi7ate to do so. There is a process of continual
oversight oflhe financial perfomiance of each region and ca5hflow foreGasling forthe Chaiity
lo ensure that there afe suffiaenl, IiquKI fvnds to meet all reasonable eventualrties.
OrrJanisational risks al the Charity include an over-reliance on key indlvlduals, Ihe reputational
damage associated with the failure of a Servi￿ etther now or in Ihe past or the impact of
investment or foreign exchange fluctuations. There ts an awareness of these risks and
contingency plans built in wherever possi1￿e to minimise their impact, for example, through
Ihe recruitment of skilled indiwduals, the sharing of infomiation and the use of professional
adwsors where appropfrate to do so. All services in the regions ate externally regulated to
ensure standatrls are continually met andlor improved.
Extemal enwronment changes have a material impad on the work of the Charity and the
Congregation through, for example, major changes to the funding or legislation concerning
the care of the elderly At the end of their lives or changed, public perceptions of the Catholic
Church or ￿CeSsion or a global health crisis, such as the Cowd-19 pandemic.
Fundraising policy
The Charrty does not proactively fundraise or solicit donations lowards Tts work. 11 ha5 therefore
not spJned up lo the FUndra￿Ing Regulator.
Vvhen fundraising income Is received, the Charity aims to achieve best pra(Aice In the way It
communlcates with donors and other supporters. It takes care with both the tone of its
Coffjmunicalions and the a￿uracY of its data to minimise the pressures on supporters. It applies
best practice to proteci supporters, data and never sells or swaps data and ensures that
communication preferences can be changed al any time. The Chaiity does not employ the
services of professional fur)draisers. The Charity undertakes to react to and investigate any
¢omplaint5 regarding its fundraising adivities and to ieam from them and improve ils seTrice.
During 2021122 the Charrty received no complaints aboui tts fundratsing activities (2020121:
none).
Trustsos. responsibilities in relation to the financial statements
The trustees are responsible for preparino the trustees, rew)rt and the accounts in accordance
with applicable law and regulations.
Charity law requires Ihe trustees to prepare financial statements for each financial year In
accordance wilh United Kingdom Generally A¢¢epted Accounting Practice {United lfjngdom
Accounting Standards and applicable law).
Under Charity law the Trustees must not approve the financial statements unless they are
satisfied that they give a true and fair view of the state of affairs of the charity and of ris net
incomlng l outgoing resources for that period. In preparing these accounts. the trustees are
required lo..
The Congregation of the Sisters of Nazareth Generalate 21

Trusfres. report 31 March 2022
select suitable accounting policies armj then apply them conslslenlly-,
observe the methods and prtnciples in Accounting and Reporting by Charities.. Slatement of
Recommended Practice applicable to chalities weparing their accounts in accotyjance with
Ihe Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland
IFRS 102)..
make judgments and estimates that are reasonable and prudent.,
State whether applicable United Kingdom Accounting Standards have been followed, subject
to any m8terial departures disclosed and explained in the accounts; and
prepare the accounts on th6 going concem basi5 unless it is inapprowiate to presume that
the Charity will continue in operation.
The trustees are ￿sponSible for kee[￿ng accounting records that are sufficient to show and
explain the charily's transactions and disclose with reasonable accuracy at any time the financial
Posttion of the Charlty and enable them lo ensure thal the account5 comply wlth the Charities Act
2011, Ihe applicable Ch8rity (Accounts and Reports) Regulations and the provisions of the Tnjsi
Deed. 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 olher ir￿g￿larities.
Approved by the tNstees and signed on their behalf by-.
Superior General and Tnjstee
Date of approval..
The Congregation of the Sisters of Nazareth Generalate 22

Independent auditors report 31 March 2022
Independent Auditor's Report to the Trustees of The Congregation of the
Sisters of Nazareth Generalate
Opinion
We have audited the financial stAtements of The Congregation of the Sisters of Nazareth
Generalale ('Ihe charity ) forthe ye2r ended 31 March 2022 which comprise the Statement of
Financial Activities, Balance Sheet, Statement of Cash Flows and notes to the financial
Statements. including significant accounting policies. The ffnancial ￿porting framework that has
been applied in their preparation is applicable law and United Kingdom Accounting Standards,
induding Financial Reporting Standard 102 The Financial Reporting Standard applicable in the
UK 2nd Rewblic of Ireland (United Kingdom Generally Accepted Accounting Praclicel.
In our opinion the financial statements..
give a true and fair view of the stale of the charity's affairs as at 31 Marth 2022 and of its
income and expenditufe. for the year then ended..
have been properly prepared in accordance with Unhed Kingdom Generally Accepted
Accounting Practice,. and
have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducled our audit in accordance with Intemational Standards on Auditing (UK) IISAS
(UK)) arKI applicable law. Our responsibilities under those Standards are further described in the
Audrtor's responsibilities for the audit of the financial statements sedion of our report. We ale
independent of the charity in accordance with the ethical requirements that are relevant to our
audit of the financial slatements 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 evmlence we have obtained is sufficient and appropriate to provwje a b8sis for our
opinion.
Concluslons relating to going concern
In auditing the financial 51atetnents, we have concluded that the trustee's use of the going
concem basis of accounting in the preparation of the financral slalements is appropriate.
Based on the work we have perfDmied. we have not identified any material uncertainties
relating lo events or conditions that. indiwdually or collectively. may cast significant doubt on the
charity's ability lo continue as a going concem for a perfod of at least twelve months from when
the financial slatemenls are aulhorised for issue.
Our responsibilities and the responsibililies of the twstee5 Wlth respect to going concem are
described in the relevant sections of thr5 report.
Other infomiation
The trustees are responsible for the olher infomialion contained within the annual report. The
other information comprises the infomation included in the annual report. other than the
financial stalemenls and our audrtorfs report thereon. Our opinion on the financial statements
does nol cover the other information and. except lo the extent othe￿iSe explicitly stated in our
report, we do not express any foffli of assuran￿ conclusion Ihereon.
Our responsibility is to read the other infoiTnation and, in doing so, consider whether the other
infom)81ion is materially inconsrstent with the financial Statements or our knowledge obtained In
the audtt or otherwise 8ppe8rs to be materially mrsstaled. If we identify such material
inconsistencies or app8rent material misstatements, we a￿ required to detemine whetherthi8
gives rise to a materi81 misstatement in the financial statements themselves. If, based on the
wort we have perfomied, we conclude Ihal there is a mate(ial misstatement of this other
infomiation, we are reqUI￿d to report that f8c*.
We have nothing to report in this regard.
The Congregation of the Sisters of Naz8reth Generalate 23

Independent auditor's report 31 March 2022
Matters on which we are required to report by exception
We have nothing to report in respeci of the following matters in ￿latIon to which the Charities
(Accounts and Reports) Regulations 2008 requires us lo report to you if, in our opinion..
the infoimation given in Ihe financial statements ks inconsistent in any material respect with
the trustees, report- or
sufficient 8nd proper accountlng records have not been kept by the charity., or
the financi21 statements are not in agreement with the accounting records and relums., or
we have not received all the information and explanations we require for our audit.
Responsiblllties ol trustees
As explained more fully in the trnslees, resptsnsibililies statement set out on pages 21-22, the
trustees are responsible for the preparation of the financial statements and for being satisfied
that they give a true and fair view, and for such internal control as the trusiees delemiine is
necessary to enable the preparation of financial statements that a￿ free from material
misstatement, whether due lo fraud or error.
In preparing the financial statements, the trustees are respy)nsible for assessing Ihe charty's
ability lo continue as 8 going concern. disdosing, as applicable, matters Telaled to going
concem and using the going concem basis of 8CCOUnting unless the trustees either intend lo
liquidate the charity or to cease operations. or have no realistic altemalive bul lo do so.
Auditor's responsibilities for the audit of the financial statements
We have been appointed as auditor under section 151 of the Charrties Act 2011 and report in
accordance with the Acts and relevant regulations made or having effect Ihereunder.
Our objectives are to obtain reason8ble assurance about whether the financial statements as a
whole are free from material misstatement, whether due lo fraud or error, and lo issue an
auditor's report that includes our opinion. Reasonable assurance is a high level of assuranGe,
bul is not a guarantee that an audit conducted in accordance with ISAS (UK) will always dele¢l a
material misstatement when it exists. Misstatements can arise from fraud or error and ale
considered material rf, it7dividually or in the aggregate, they could reasonably be expected lo
influence the e￿nOMIC deGision5 of user5 taken on the basis of these financial statements.
DelaiLs of the extent to which the aL￿rt was considered capable of detecting irregularities,
inGluding fraud and non-compliance with laws and regul*ions are set out below.
A further description of our responsibilities for the audft of the 17nancial statements is located on
the Financlal Reporting Council's webstie at: www.frc.or
.uklauditorsres
onsibilitie5. This
description forms part of our auditor's report.
Extent to which the audit was considered capable of detecting irregularities, IncI(￿1n9
fraud
Irregularities, including fraud, are instance5 of non-compliance with law5 and regulations. We
Jentir￿d and assessed the risks of material misstatement of the financial statements from
irregularf(ies, whether due to fraud or error, and disc4Jssed these between our audit team
memters. We then designed and perfomed audit procedures responsive to those risks.
including otAaining audrt evmlence sufficient and appropriale to provide a basis for our opinion.
We obtained an understanding of the legal and regulatory frameworks within which the charrty
operates, focusing on those laws and regulations that have a direct effect on the determination
of material amounts and disdosures in the financi81 statements. The laws and regulations we
consKlered in this corrtext were the CharTtie5 Act 2011 together with the Charities SORP IFRS
102). We 8ssessed the requi￿￿ compliance with these laws and regulations as part of our audit
procedures on the related financial statemenl ttems.
In a(idition, we consKJered provisions of other law5 and regulation5 that do not have a direGt
effect on the finanGial statements bul Gompliance wrth which fflighl be fundamental to the
charity's 8bility to operate orto avoid a material penalty. We a150 considered the opportunities
The Congregatlon of the Sisters of Nazareth Generalate 24

Independent auditor's report 31 March 2022
and incerrtives that fflay exist within the ¢harity for fraud. The laws and regulations we
considered in this Gontexi for the UK operations were employment legislation.
Auditing standards limii the required audr( procedures to identify non-compliance with these
laws and regulations to enquiry of the Trustees and other management and inspection of
regulatory and legal correspondence, if any.
We identified the greatest iisk of material impact on the financial statements from irregularities,
including fraud, to be wiihin the liming of recogniiion of incoffle and the overrNJe of controls by
management. Our audti procedures to respond to these risks inclLvJed enquiries of
management, and the Admsory Finance Commrtlee about Iheir own identffication and
assessment of the iisks of irregularities, safflple lesling on the posting of joumals, revi8wing
accounting estimates for biases, rewewing regulatory correspondence wi(h the Charity
Commission and reading minlrtes of meetings of those charged w((h govemance.
Owing to the Inhe￿nI limiiations of an audtt, there is an unavoidable risk thal we may not have
detected some material misstatements in the financial stalemenls. even though we have
propeily planned and performed our audit in accordance with auditing standards. For example.
the ftjrther rerrK)ved non-complianre with laws and regulations lirregularilies) rs from the events
and IransaGlions reflected in the financial statements, the less likely the inherently limited
procedures required by auditing standards would identify it. In addition, as with any audit, there
remained a higher risk of non-deteciion of irregularities, as these may involve Gollusion, forgery,
intentional omiss￿nS, misrepresentations, or the overrNJe of inlernal controls. We a￿ not
responsible for preventing non-compliance and cannot be expected to detect non-compliance
wfch all laws and regulations.
Use of our report
This report is made solety to the charity's trustees, as a tthy, in accordance with Part 4 ofthe
Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so
that we might slaie to the chafity's trustees those matters we are required lo slate to them in an
auditor's report and for no other purpose. To the fullest extent peffnitted by law, we do not
accept or assume responsibility to anyone other than the charity and the charity's tNStees as a
body, for our audit work, for this report. or for the opinions we have fomied.
Crowe U.K. LLP
Statutory Auditor
London
13th December 2022
Crowe U.K LLP ts eligible for appolnlm8nt as audmor ofihe charhy by vlrtue of its 8lvJ114Ity for appointment a5 auditor of
mpany undvr section 1212 Dfthe Companies Acl 2008.
The Congregation of the Sisters of Nazareth Generalate 25

Statement of financial activilies Year to 31 March 2022
2022
20
Unrostrirtod Restsicted
Fund5
Funds
2022
2021
2021
Tcrtal Unrestr￿ed Restricted
Funds
Funds
Funds
2021
Total
Funds
Notes
Income=
Donations and legacies
Investment income and interest
recer4able
Total income
1.746,830
0 1.746,830
1,535,827 10,000.000 11,535,827
467,609
467,609
480.539
480.539
2,227,369
0 2,227,369
2,003,436 10,C4JO,000 12.003,438
Expendfture:
Cost of raising funds
Investment managers. fèès
Charf(able aclivities
Supporting the regioTrs olthe
Congregation
- Grants and donations in support of
the Congregation's work
Totèl expend￿Ure
12,051
12,051
9.117
9,117
1,002,076
0 1.002,076
1,196,177
1,196,177
5.507.176
197,979 5.705,1S5
421,276
421,276
6.521.303
197.979 6.719,282
1,626,570
1,626,570
Net incomellexFenditurel before
net investment galns on Ilstsd
investments
Nel investment gains on listed
investments
14,293,934) 1197,9791 14,491,913)
376.866 10,000,000 10,376,866
1.373.202
0 1.373,202
2,462,827
2.462,827
Net incomel{exFEnditurel And net
movement in funds for the year
12,920,732) 1197,9791 {3.118,7111 2,839.693 10,000,000 12,839,693
Transfer btheen fvnds
2e9,186 1289.1861
R￿on¢[lIatIon of fvnds:
Fund balances brought forward at 1
April 2021
32,817,434 9,710,814 42,528,248 29.688.555
0 29,688,555
Fund balances carried fotward at 31
March 2022
29.896.702 9.512,835 39,409.537 32,817,434 9,710,814 42.528.248
I the Charity's opèrations arè derived trom continuing aCtiv￿"t$ during èach of thè two financial years.
The Congregation of Ihe Sistets of Nazareth Generalate 26

Balance sheet 31 March 2022
2022
2022
2021
2021
Notes
Fixed assets..
Tangible assets
Listed investments
Investment properties
ratsl fixed assets
10
11
12
2,153,651
21.657.125
165,000
23,975,776
2,397,473
20,214,630
165.000
22,777,103
Curr*nt a￿ets.
Dèbtors
Amounts due wrthin one year
- AnK)urrts due af(er one year
Cash at bank and in hand
Total current assets
13
13
2,680,834
14.062,104
5.501.764
22,244,502
2,552,635
14,509,026
5,004,110
22,oe5,771
Ll•t41itie8:
Credf(ors. amounts falling due
wrthin one year
Provisions
14
14
11.511.026)
11.418,5001
1665,7811
11,648.8451
Net current assets
Total assets less current liatilities
19,314.976
43,290,752
19,751, 145
42,528,248
Non Current Liabilities
Cred￿or- amounts falling due
after more than one yèar
14
13,881,215)
Total net assets
39.409.537
42,528,248
The funds of the charity
Unr¢stric*ed funds:
Designated funds
- Tangible fixed assets fund
General fund
Total unrestrictèd funds
16
26.000.000
2,153,651
1.743.051
29.896,702
29,500.000
2.397,473
919,961
32,817,434
16
Restrrcted funds..
- Oewlopment fvnd
18
9,512,835
9,710,814
Total charty funds
39,409,537
42,528,248
Approved by the trustees on and sign8d on thew behalf by..
Superior General and Trustee
Date of approval..
s 2&22
The cOng￿allOn of the siste￿ of Nazareth Genera18te 27

statement of cash flows Year to 31 Mar¢h 2022
2022
2021
Notes
Cash llows from operatlng activlties:
Nel cash used in operating activities
89,857 8,029,91 S
Cash fiows from invastlng activibes:
Investrnent income and interest re￿IVed
Purchase of tangible frxed assets
Proceeds from the disposal of investments
Purchase of listed investment
Net cash used in Inwténg actfivrtles
480,539
463,809
13.4501 1297,7351
17,331.708 2.400.000
117,401.0001 17,000,000)
407.797 14,433,926)
Change In Gash and ca8h equrvalents In the year
497.654 3,595,989
Cash and cash equivalent5 at 1 April 2021
5,004.110 1,408.121
Cash and cash 4ulvalents at 31 March 2022
5,501,764 5,004,110
Notes to the statement of cash Ilows for the year to 31 March 2022
Reconciliation of movement In funds to net cash provided by operatlng activltl•s
2022
2021
Net movement In funds las perthe statement of financlal ￿1vItIes)
Adjustment$ for:
Investment income and interest re￿IVabl
Gains on investments
Depreci*ion of tangibl• r￿ed assets
Deerèase I lincreasel in debtors
In¢￿ase in credrtors
Net ca6h us•d Sn operating activities
13,118,711} 12,839,693
1480,5391 1463,8091
11.373.202) 12.462,827
247.271
218,414
318,923 13,502,991)
4,496,115
1,401,435
89,857
8,029,915
Analysis of cash and cash equivalents
2022
2021
Total cash and cash equivalents.. Cash al bank and in hand
5,501,764 5,004,110
The Congregation of the Sisters of Nazareth Generalate 28

Principal accounting policies 31 March 2022
The prin￿paI accounting policies adopted, Judgements and key source5 of estimation uncertainty
in the preparation of the accounts are laid out below.
Charity infomiation
The Congregation of the Sisters of Nazareth Generalate fthe Charity'l is reg￿tered with the
Charity Commission for England and Wales, reg￿tration numter 1138876. It is incorporated in
the Unrted Kingdom and has Ils registered add￿sS at 169-175 Hammersmith Road, London
8DB.
Basis of preparation
These accounts have been prepared for the yearto 31 March 2022 with comparative infomation
given in respect lo the year to 31 March 2021.
The accounts have been prepared under the hislollcal cosl convention wf(h ttems recognised at
cost or transartion value unless otherwise stated in the relevant accounling policies below or the
notes to these accounts.
The accounts {financlal statements) have been prepared to give a Irue and fair, view and have
departed from the Charttie5 (AGGQUlltS and Reports) Regulations 2008 only lo the exient required
to pro￿de a Irue arKI fair wew,. Thi8 departure has involved following the Slalemenl of
Recommended Practi￿ applicable to ch8ritles preparing their accounts in acCo￿anCe wlh the
Financial Reporting Standard applicable in the UK and Republic of Iretand (FRS 102) issued on
16 July 2014 rather than the previous Stalement of Recommended Practice.. Accounting and
Reporting by Charrties which was effective frorn 1 April 2005 but which has since been withdrawn.
The charf(y constitutes a public benefrt entty as defined by FRS 102.
The accounts are presenled in sterfing and are rounded to the nearest pound.
Crttical accounting ?$timates and areas of judgement
Preparation of the accounts require5 the trustees and management to make slgnificant
judgements and estimates.
The items in the financial statements where these judgements and estimate5 have been made
incjude..
• estimating the usefvl economic lrfe of18ngible fixed assets forthe purposes of determining a
dep￿ciatIon charge-
+ assessing the timing of the ￿(*1p1 of loan repayments for the PUTposes of classifying deblot
as amounts due within one year and recoverable thereafter and assessing the recoverability
of outstanding amounts.,
+ detemiining the value of designated fvnds needed at the year end, in particular in ￿SpeCt to
the assumptions made in determining the v81ues of the Sisters, support fund and the property
fund.,
• assessing the probablllly of the recelpt of Segacy income, where a notification of entitlement
has been rEceived',
The conQ￿g¥tIOn of the Sisters of Nazareth Generalate 29

Principal accounting policies 31 March 2022
• assessing the probability of the payment of a legal clalm 8gainst Ihe Charity and the
probability of th8 payment being covered by insurance, Whe￿ a claim has been notified.
Assessment of going ¢oncem
The trustee5 have assessed the Chartty's abilily to continue as 8 going concern. The trustees
have considered several factors when fomiing their conclusion as to whether the use of the going
on￿￿ basis is appropriate when preparing these financial statements including a review of
uFxlate forecasts to 31 March 2024 covering income, expen(liture, cash and reseNes, the long-
le￿n cashflow forecast to 31 March 2027 and a consideration of key risks. including Cowd-19 and
economic uncertainty, that could negatively affect the Chatity.
The Charity is funded prim8ri1y by donations from the Regions within the Congregation together
with other donations including legacies. There is 8 risk that the effects of the pandemic, shortage
of staff and rising inflation will reduce income in each of the regions and consequently Ihls may
reduce the amount that 15 paid to the Charity. During the last year, most houses and regions have
remained resilient to the challenges and have continued to operate successfully, wtth Appropriate
changes to their operating practice5. Admissions have restarted in most locations and occupancy
in the homes is slowly increasing again. Admission embargoes are now much shorter and more
targeted than was the &9se in the early days of the pandemic. The Charity has not accessed any
of the government grants or loans provided in response to the Covid-19 pandemic and does not
anticipate doing so.
Deblor balances have been reviewed and assessed And, as 811 loans are within the Congregation.
th8y are considered to be repayable in full. The budget and forecasts forthe forthcoming year 8re
considered to be deliverable and the cashflow forecast shows that there are sufficient Cash 8nd
IK4uid resources and forecast inflows for the period of review, with the support of the unrestrrcted
serves if required.
The Tiustees therefore have a reasonable expectation that the Charity has sufficient resources
to continue in operational existence for the foreseeable future and 50 5houbJ continue lo adopt
the going concem basks in prepallng the annual report and financi81 statements.
Income recognition
Income is recognised in the period in whlch the Charrty entitled to receipt and the amount is
probable. Income is deferTed only when the Charity has lo fttifil conditions before becoming
entitled to it or where the donor or funder has specified that the income is to be expended in a
future accounting peri(*J.
Income eA)mprises donation5, legacies. investment income and interest receivabk.
Don8tions including contributions from the regions and salarie5 and pensions of indivKJual
religious received under deed of covenant, a￿ ￿CogniSed when the Chartty has confirmatron of
tw)th the amount 2nd settlement dale. In the event of donations pledged bijt not received, the
amount accrued for where the receipt is considered prob8ble. In the event that a donation is
subject to conditK)ns that require a level of perfomiance before the Charity is entitled to the futNJs.
the income Is defe￿ed 2nd not recognised until either those conditions are fully met, or the
fulfilment of those ¢ondilions is wholly within the control of the Chariiy and rl is probable that those
conditions will be fulfilled in the reporting pericKI.
The Gongregation of the Sisters of Nazareth Generalate 30

Principal accounting policies 31 Matth 2022
A small number of volunteers assist the work of the Charity, for example, providing Mass or
assisting with the worf( of the Heritage Centre, Their contribution is greatly appreciated. In
accordance with the Charitles SORP FRS 102 volunteer time is not recognised.
Legacies are included in the statement of financial adivities when th8 Charlty is enl(tled to the
legacy, the executors have established that there are sufficient surplus assets in the estAte to pay
Ihe legacy, and any conditions atta¢hed to the legacy are within the control of the Chartty.
Enlitlement is taken as the earlier of the date on which either.. the Charity is aware that probate
has been granted, the estate has been finalised and notification has been made by the exec(rtor
to the charity that a distribution will be made, or when a distribution is received from the estate.
Receipt of a legacy, in whole or in part, is only consbjered probable when the amount can be
measured reliably, and the Charity has i￿en notified of the executor'5 intention to make a
dk8tribution. Vlhere legacies have been notified lo the Charity, or the Charrly is aware of the
granting of probate. but the criteria for inwme recognition have not been met, then the legacy is
treated as a contingent asset and disclosed rf material. In the event that the gift is In the form of
an asset other than cash or a financi81 asset traded on a ￿￿gniSed stock exchange, recognition
is subject to the value of the gift being reli8bly measurable with a degree of reasonable aGcuracy
and the trtle of the asset having being transferred to the Charity.
All of the Chanty's listed investments comprise accumulatlon units and hence investment income
fmm listed investments is not credited lo the statement of financial activities as ti is reflecled in
the maikel value of the relevant investment holding.
Interest on funds hekj on depostt and interest receivable on loans advanced to other entities i8
included when receivable and the amount can be measured reliably by the Charity. In the case
of bank inlerest. thus is normally upon nottfication of the interest paid or payable by the bank. In
the case of interest on monies advanced, this will be when the Charity becomes entitled to the
interest under Ihe tern￿ of the relevant loan agreement.
Expenditure recognition and the basis of allocating gov•mance costs
Liabilities are r8cognis8d a5 expenditure as soon as there is a legal or ¢onstrnctive obligation
Committing the Charityto make a payment to a thin1 paty., it is probable that a transfer of economic
benefrts will be required in settlement and the amount of the obligalion can be measured reliably.
All expenditure is accounted for on an accruals basis. ExpeThJiture comprises direct costs and
support costs_ All expenses, including support costs, are allocated or apportioned to the
applicable expenditure headings. The cl8ssthcation between activities Is as follows".
a. The costs of raising funds comprise the fees paid lo investment managers in Gonnedion with
the tnanagement of the Charity's listed investments. net of rebates ￿CeIved. Rebates arise
when the fees deducted automati￿llY through charges for common investment funds and
related transactions exceed the fees agreed between the Charity and its investment
managers.
b. The costs ot charitable 8Ctivltles comprise expenditure on the Charity's Primary purposes as
described in the tNstees' report and indude the support of the Congregation s work in the
United Kingdom and overseas. In the main such expendhure comprises the coordination and
direction of. and the provision of advice to, the regions of the Congregation. k)sses on foreign
The CoNJregation of the Sisters of Nazareth Generalate 31

Prin¢ipal accounting policies 31 March 2022
exchange and the provision of grants and donations to projects of the Congregation. Grants
payable are included in the statement of financial actimties when approved by the tnjstees
and 011 conditions have b8en fulfilled by the intended recipient. Provision is made for grants
and donations approved but unpald at the perrod end.
Govemance costs comprise the costs involving the public accountability of the Charity {inGluding
audit costs) and costs in respect to rts compliance wilh regulation and good practice. All
governance Costs are allocated to expenditure on coordination and direction of. and the provision
of advice to, the regions of the Congregation.
Tangible fixed assets
All assets costing more than £5,000 and with an expected useful life exceeding one year are
captlalised. Tangible fixed assets a￿ valued al historic cost.
Assets are depreciated at a Tate calculated to write the value down to its estimated resijual value
over its expected useful lrfe. The deprectatlon rates used are as follows:
Freehold land
not depreciated
Freehold buildings
SO yea(s on a slr81gM-line basi5 (2% per annum)
Leaseholder improvements 10 years on a straight-line basi% {100A per annum) for refurfoishments
or component-based for new assets, varying from 10 to 50 yea
(2% 10 10% per annum)
4 years on 8 Straighl-line basis {25% per annum)
Motor vehicles
Fixed assel investmerts
Listed investments are a fonn of basic financial instrument and are initially recognised at their
transaction value and subsequently ffleasuted at their fair value as at the balance sheet date
Using the dosing quoted market price.
The Charily does not acquire put options, derivatives or other Gornplex financial instruments.
Reali5ed gains (orlosses) on investment assets are calculated as the difference between di5P05al
proceeds and their opening carrying value or their purchase value if acquired subsequent to the
fiT51 day of the financial year. Unrealise(I gains and losses are cakulated 8S the difference
between the fair value at the year end and their carrying value at that date. Realised and
unrealised investment galns (or losses) are combined In the statement of financial activities and
are Credited (or debited) in the year in which they arise.
Flnanclal instruments
The Charrty has financial assels and financial liabilities of a kind that qualify as basSc financial
instruments. Basic financial instruments are inttially recognised 8t transaction value and
subsequently measured at amortised cost using the effective Interest method. Financial assets
held at amortised cost Gomprise cash and bank in hand, together with Irade and other debtors.
Financial liabilities held at amortised cost comprise trade and other Creditots. Investments are
held at fair value at the balance sheet date, with gains and losses being recognised wf(hin income
and expenditure.
Investment propertles
Investfflenl properties are stated at their fair value at the balance Sheet date.
The Congregation of the Sisters of Naza￿th Generalale 32

Principal accounting poli¢ie$ 31 March 2022
Debtors
Debtors are recognised al their settlement amount, less any provision for non-recoverability.
Prepayments are valued at the amount prepald. They have been discounted to th8 present value
of the future cash receipt where such discounting is material.
Cash at bank and in hand
Cash at bank and in hand represents such accounts and instruments that are available on
demand or have a maturity of less than three months from the date of acquisltion. Cash placed
on deposit for more than one year Is disclosed as a fixed asset investment.
Credrtors and provlsions
Credrtors and provisions are recognised when there is an obligation at the balance sheet dale as
a result of a past event, tt is probable that a Ir8nsfer of econofflic benefit will be required in
settlement, and the amount of the settlement can be estimated ieliably. CreditoT5 and provisions
are re¢ogni5ed at the amount the charity anlicipales it will pay to settle the debt. They have been
discounted lo the present value of the ftrture cash payment wherè such discounting is material.
Funtls structure
Restricted funds are monies given by a donor for specrfic purposes that can only be spent on the
purpose for which they are given. Details of these funds are glven in note 16.
The desrgnated funds are monies sel asvje of general funds and deslanated for specific
purpo5e5 by the trustees. Details of these funds are gwen in note 16.
The tangible fLxed assets fund represents the nel ￿)0￿ value of the tangible fixed assets used to
further the Charity'5 objectives and work. Movements on the fund are shown in note 16.
The general fund comprises those mnies which may be used towards meeting the ch81itable
objectives of the Charity and whlch may be applied at the discretion of the ttustees.
SeNices pmvided by mernbers of the Congregation
For the purpose Of these accounts, no monetary value has been placEd on the administrative and
other services pmvKJed by the members of the Congregation.
Foreign currencies
Assets and liabiltties in foreign currencies are translated into slerfing at Ihe rates of exchange
ruling at the balance sheel date. Transactions in foreign currencies are translated into steding at
the rate of exchange ruling at the date of the transaclKJn. Exchange differences 8re taken into
account in arriving at the net movement in funds.
Pension contributiofts
Contributions in respect of defined contribution pension schemes and peT50nal pension SChe￿S
are charged to the statement of financial 8clivities when they are payable to the scheme. The
Charity's contributions are ￿S1￿cled to the contributions disclosed in note 7. There were no
ouistanding contributions al the year end. The charity has no liability beyond making its
contributions and paying across the deductions for the employees, conlribulions.
The Congregation of the Sk8ters of Naz8tEth Generalate 33

Notes to the accounts 31 March 2022
1 Donalions and legacies
2022
2021
Legacies
Pensions of individual Rel￿￿u$ donated under a deed of covenant
Donations
- Arr*rican Areo
U.K. Region
- Australasian R£gion
Irish Reglon
Atrican Region
- other
Restritsled donation for Hammsrsmith redov•lopm8nt
Contribution from NCCT
Olh$r voluntary in¢ome
102,547
162,234
2,135
130,843
397,019
293,700
322.219
8,644
10,000
4,186
370,780
284, 180
318.046
268,417
10,000
5,285
10,000,000
100,000
46,141
11.535.827
100,000
86,281
1,746,830
2 Investment income and interest receivable
2022
2021
Interest re￿wable
Bank Interest
Rental inwme- investment properties
Interest on loans to connected entit￿$ (note 211
21,186
4,405
454,968
480,S39
17.374
3,800
446.435
467,609
Income from inv8Stmenl properties has been moved from donations to investment income from
this year.
3 Supporting the regions of the Congregatlon
2022
2021
staff costs (note 7)
Maintenance of Sisters
Travel
IT and websrte development
Professional fees.. )Inance and legal
Novitiaté
Premises
Governan¢e costs (note Sl
For•i9n exchange losses
Depreciation- HammersrnMh devtrlopment
other
272,023
136,419
81.676
44,855
50,195
46,856
35,008
23,738
527
247,273
83,508
1,002.076
258,604
136,709
1,033
119,893
58,296
46.946
29.121
22.490
211,202
218,008
93,875
1,196,177
Support costs incurred by the ChÉrty arè ddèlled In the table in Note 3. They comprise the governance
costs and the support functions of IT expenditure and Professional finan¢$ and legal.
The Congregation of the Sisters Df Nazareth Generalate 34

Notes to the accounts 31 March 2022
4 Grants and donations in support of the Congregation's work
2022
2021
The Congregation of the Sisters of Nazareth. Irish Region
Grants lo the U.K Region".
- Gentrral
Nazareth House Southend
Nazareth House Hammersmf(h
Scottish redress provision
- other donats'ons
44,180
158,493
3S,190
236.691
197,979
5.161.215
30,01))
5.705,155
88,923
115,825
38,203
19,832
421,276
Claims for allÈg8d historic abuse in tha UK have been paid on behalf of the Congregation by our insurers
and totalled £2,543,256 in 202212021.. £2,360,9(￿l. The expendrture has been n8tted off in the Statement
of Financial ActNities against the income from insurers of £2,543,256 in 202212021.. £2,380,906).
5 Governance
2022
2D21
L8gal and professional fees
Audit and accountancy fees
11,498
12.240
23,738
8,4S0
14,040
22,490
6 Net incomellexpenditurel and net movement in funds for the year
This is stated after charging..
2022
2021
Audrtorfs remuneration including VAT
ststutc¥y audf( Icurrert yeerl
12,240
14,040
7 Stsff costs and remuneration of key manag•ment personnel
2022
2021
Wag¢s an4 salaries
National Insurance costs
Other pension costs
233,300
22,763
15.960
272,023
222,504
21.121
14,979
258,804
The nurrtjer of employees eaming £60,000 per annurn or more (including taxable benefls but excluding
employer pension contributions) during the y£ar was as follows..
2022
Number
2021
Number
£120,001- £130,000
The Congregation of the Sisters of Nazareth Generalate 35

Notes to the accounts 31 March 2022
The average number of employees during the year wa5"
2022
2021
Administration
Management
The key management personnel of the Charity in charge of directing and corrtrolling, running and operating
the Charty on a day lo day basis wmpris8 the trustees and the Congregational Chièf ExécutNe. The totsl
rerNneration lincluding taxable ben8fits, employerfs national insur8nca and employerfs pension
cOntribut￿n$) of the key management personnèl lorth* year was £151,02912021. £145,098).
Trustees, expenses and remuneration and transactions with truslees
The charitys trustees are all members of th8 Congregation and consequently their I￿Ing and personal
èxpenses. all ofwhich are consistentwiththe emounls paid in respectto othermembers oflhe Congregation.
are bome by the Charty. No Irustèa rè¢awed any rèmunaration or reimbursemeth ofexp•nws in eonnedion
w((h their duties as trustees12021- none).
As members of the CongTe9ation, none of the trustees have resourcès Dfthèir own as 211 earnings, pensions
and other Incorne have b88n donated to the Charty under a Gift compliant Deed of Covenant. During
the year. the totsl amount donated by the truste8S to thé Charity was £125,88912021". £117,893).
Taxation
The Congregation of the Sisters of Nazareth Generalate is a registered eharity and, therefore, is not liablè
to Income tax or corporation tax on income or gains derived from ((5 charitabl8 activities, as they fall within
the various 8x8mption5 available to règistered charicies.
10 Tangibl? fixed assets
Propety
refurbishment
Motor vehicles
C8mèt8ry
Total
Cost
At 1 April 2021
Addi(ions
At 31 March 2022
19,500
2.809,￿7 2,829,468
3,450
3.450
2,813,417
2,832,918
19,SOO
Depreciation
At 1 April 2021
Charge lor the year
At 31 Mar¢h 2022
19.500
412,495
247,272
659,767
431,995
247,272
679,267
19.500
N•t book values
At 31 March 2022
At 31 March 2021
2,153,850
2.397,472
2,153,851
2.397,473
In 2014, at the time of disposing of Nazareth Housa Isleworth, the Charity entered into a 999-year lea58 in
r8spect to the cemetery on that srte at a peppercorn rent This is diselosed on the balance sheet as
tangible frA8d ass*t at the value of £1.
The Congregation of the siste￿ of Nazareth Generalate 36

Notes to the accounts 31 March 2022
There is an infomial a￿angernent be1w8￿ The Congregation of the Sisters of Nazareth Chartiable Trust,
which owns the property at Nazareth House. Hammersmith, and the Charty, thatthe Ch8rity m8y use space
on the site of Nazareth House Hammersmrth The Charty hgs paid lor tho cost of refurbishing ona ol the
buildings used. This has been funded from a restri¢ted donation and the cost of refurbishment has been
shown as a tangible asset and as a restrictod fund. Tho remainder of thE restricted don*ion is shown as a
r8Stricted fund unbl rt IS 5penL
In prèvious years, other buildings have been refurbished or extended. These are being treated as
leaseholder improvements and a￿ being depreciated according to the depreciation policy.
11 Listed investments
2022
2021
Llsted Investments
M8rket value at 1 April 2021
Additions al cost
Disposals at book value
Net gains on revaluation
Market value at 31 March 2022
20,214630
13.151,803
17.401.0
7.000,000
117,331,707) 12,400,000)
1,373.202
2,462,827
21.657,125
20,214,630
Cost of listed investments at 31 March 2022
20,628,756
15,172,536
sted investments held at 31 March 2022 cornprised the followng..
2022
2021
U.K. ffixed interest
U.K. ¢ommon investmerrt ftJnd$
3.531,443
18.125,882
21,657.12S
3,535,824
16,67e,806
20,214,630
At 31 March 2022. listed investments included lh8 lolknwing lftdividual holdings which are deemed signrficant
in th8 corrtèxt of the portfolio as a whola..
2022
Market
value of Percentage
holdlng of portrolio
2021
Market
value of Percentage
holding
of porttolio
CCLA Catholic Investment Fund
18.125.684
83.69
BlackRock Catholic CharTties Groyrth &
Income Fund
Royal London Cash Plus Z Accumulation
Fund
16.678,806
82.51
3,531,441
21.657,125
16.31
100.00
3,535,824
20,214.630
17.49
100.00
The Congregation of the Sisiers of Nazareth Generalate 37

Notes to the accounls 31 March 2022
12 Investment properties
2022
2021
Investment properties
165.000
165,000
165,000
165,000
The Charity owns bmo residential investment properties In Wellingborough, Northamplonshiie that were
gifted many years ago to the Charity and another local charty. In 2019 the Ghaiity purchased the local
charty's share of the properties and now 0￿S both properties outright.
In preparation for the Purchase, an indepèndent valuation was carried out. Both properties ar* hald in our
accounts at th¢ market value, taking into a¢count the incumbent tenants and the fail rEnt clauses in their
tenan¢ies. The intent is to revalue th8 pioperties periodicplly or if there is a mat8rial change In the
condition or eircumstances olthe propertles.
The income due from the properties is trgated as income from op8rating leases The leases are registered
with fair rent clauses, preventing a markèt rate of rent from being charged. They do not have expiry dates
and thè arrangement will continue foi as long as the tenants wish to remain in the properties. The income
ceived in 2021￿2 was £4,4co. r( ts èxpected that a similar amount will be Te¢&wed in each fvture year.
13 Debtors
2022
2021
Loan to The Congregation of the Sisters of Nazareth Ch8rrtable Trusf
Loan to NRV Development (Blackbuml Limiied"
Loan to NRV Development IPlymoLrthl Limited"
Loan to Irish Region of The Congregation of the SisleTS of Nazareth in
respect to Nazareth House Dublin"
Loan to Irish Region of The Congregation of the Sisters of Nazareth in
resped tothe Dublin. Mallow and Bewast developments.
Loan lo Australasian R8gion of The Congregation of the Sisters of Nazareth
in respect to development * Christchurch New Ze8kqnd'
Legal claims reimbursed by insurancè
Other debtors and prepayrnents
5,732,333
523,286
240,1(
5,928,785
683,766
240,106
341.671
334,520
6,9S1.914
e,806,176
1,599.514
1,343.5C
10.434
16,742.738
Details in rèsp8Ctto each of these loans and the contribution due ar8 given in note 20.
1,474,631
1,573,844
21,833
17,061,661
The loan to NRV Development (Plymouthl Limited was not included in the 2021 accounts. The prior year
omparison in these a(xounts has beèn restated lo Include rt.
The legal c181ms debtor represents the expected amount to be reimbursed by our Insurers In relation to thè
$ettlement of legal claims against the Congregation, ythieh are shown as è provision in Notè 15. The above
deblors ar8 du8 for r￿lpt as folk￿".
2022
2021
AmouTrts falling due within one year
Amounts falling duE after one year
2.680,634
14,062.104
16,742,738
,552,635
14,509,026
17,061,661
The Congregation of the Sisters of Nazareth Generalale 38

Notes to the accounts 31 March 2022
14 Creditor5 and provisions:
2022
2021
Amounts held on behaN of indNidual member5 ofThè Congregation of the
Sisters of Nazareth
Congregation of the Sislets of Nazareth Charitabb Trust
Trade Credrtors
Sundry Credrftors
Aecruals and Deferred incorne
Social Seeurty C￿drtOT
S¢ottish Redress Scheme
166,832
240,106
15.118
14,467
67,084
7.419
4,881,215
5.392.241
168,061
240, 108
77,837
15,151
157,288
7,338
665,781
2022
2021
Amounts falling due wrthin one year
Amounts falling due after one year
1.511,026
3,881,215
5,392,241
665,781
66S,781
Provisions
2022
2021
Legal claims
1.418.500
1.418,500
1,648,845
1,648,845
The creditor owlng to Congregation of the Sisters of Nazareth Chartsble Trust was not included In the 2021
accounts. The prior year comparison in these accounts has been restated to include r(.
The Congregabon ran children's homes across England & Wales. Scotland and Northem Ireland until they
closed in thè 1980s. The legal claims prowsion represents ongoing claims ot the year end for Compensation
in respect ol alleged historic abuse of children In the Congregation'5 cars. These amounts are expEcted to
be pahl wf(hin the next financial year. The vast rn8jority 1s expected to be covered by insurance. shown as a
debtor in Note 13. Further detail is provided in the eontingent liabilities note.
15 Financial Instruments
At the balance sheet date. tha Charity held financi81 assets at amortised cost of £22,244.502 12021..
£22,065,771) and Financial liabl1f(￿S at amortised cost of £1,511.02e12021.' £665,781). The total income
recew8d in respect of financial assets held at amortised cost totalled £21.16612021.' £17,374). The Charity
he￿ assets at fair value through ineome and expenditure of £21,657,12512021". £20,214,830). Movements
in the year through the statement of financial aCtiv￿.e$ oompri$$d gains of £1.373,20212021'. £2,462.8271.
The Congregation of the Sisters of Nazareth General8te 39

Notes to the accounts 31 March 2022
16 Movement in funds
Net
movement
in funds
At
31 March
2022
At l April
Net
2020 movèment
in funds
At 31 March
2021
1 April 2021
Restricted funds
Development fund- H8mmersmf(h
9,710,814
1197,9791
9,S11835
0 9,710.814
9,710,814
Unrestrlcted funds
Property fund- Designated
Sisters 5UPPOrt fund- Designated
Tangibk a5SOts fund
General fund
22,500,000 13,500,000)
7,000,000
2.397,473
919,961
19,000,000
7,000,000
2,153,651
1,743,051
19.370,404 3,129,596
7,000,000
2,318,151
1.000,000
22,500,000
7,000,000
2,397,473
919,961
1243,8221
823,090
79,322
180,0391
42.528.248 13,116,711)
39,409,537
29.688,555 12,839,S93
42,528.248
The net movément in the Property Fund and the Gentral Fund include5 a transfeT of £3,500.000 from the
Property fund to the General Fund to ensure the General fvnd is kept within tsrget range of 6-12 months
expendrtura.
Th• reslrided funds of the Charf(y represont a restricted donation that is being used to relurbish an asset.
The unrestricted funds of the Charrty Inelude the following designated ftjnds, which have béèn set asid8 out
of unrestricted fvnds by the trustse8 specific purposes".
Property Fund
The Property Fund of £1kn i8 sel asideto provlde loans or grants to regions requiring support for substantial
building works.
Slsters. Support Fund
The Sisters. Support Fund of £7m is retained lo provide Sisters who need nursing. care or other support,
wth the means to purchase rt should public funding not ba available. tt is intended that care will usu811y be
provided within one ol the care homes operated by the Congregation.
Tangible Fixed Asset Fund
The unrestricted fijnds also include thetangible fLKed assets fvnd which represents the net book valuè ofthe
Ch8rty'$ tangible fiyed assets used to further the Charty's objedives and work. A d8asion was made to
sèparate this fund from thg general fund in recognition ol the fad that the asset5 8re used in the day to day
work of the Charity, and the fund value would not bè realisable easily if nèeded to meet futura contingencie5.
17 Analysis of net assets between funds
D¢signated Tangible fLYed
funds
assets fund
General
fund
Restrieted
fund
Tot81
2022
Fund balances at 31 March
2022 are represented by..
Tangible fixed assets
Listed investments
Investsnent propety
Net oJThent assets
Tcéal nèt assets
2,153,651
2,153,651
7.000,000 21,657.125
165,IXIO
2,512.835 15,433,761
9,512,835 39,409,537
14,657,125
165,000
11,177.875
26,000.000
1,743.051
1,743,051
2,153,e51
The Congregation of the Sisters of Nazareth Generalale 40

Notss to the accounts 31 March 2022
Designated Tangible fixed
funds
assets fund
Genera
fund
Restricted
fund
Total
2021
Fund balanees at 31 March
2021 ar• represented by..
Tangible fixed assets
Listed investments
Investrnent Pfopety
Nel ￿rrent ass8ts
Total asstts
2.397 473
2,397,473
7,000,000 20,214,630
165.000
19,751,145
42,528,248
13,214.630
165,000
16,120,370
29,500.000
919,961
919,￿1
2,710,814
9,710,814
2,397,473
The total unrealised gains 8s at 31 March 2022 constrtute movements on révaluation and are as follows".
2022
2021
Unrealised galns Induded above:
On investments
Total unreallsed galns at $1 March 2022
1,018.998
1,018,998
5,OSS.974
5,055.974
Reconciliatlon of movements in unreallBed galns
Unr8alised gains at 1 April 2021
In respect to disposals in the year
Nel gainslll0ss8s1 arising on revdlualion in the year
Total unreallsed gains at 31 March 2022
5,055,974
15.410,1781
1.373.202
1.018,998
2,800,316
17.1691
2,462,827
5,055,974
18 Contingent liabllities and contingent assets
At 31 March 2022, the Charity was funding legal and other costs incurred rélating to statutory inquiries that
have been establishèd in Northern Ireland, Scotland and England and Vvales, into the alleged historical
abuse of chiklren. The inquiries are at variou5 stsges, wrth the Historical Instf(utional Abuse Inquiry i
Northem Ireland having reported in January 2017, th8 England and W8les Independent Inquiry into Child
Sexual Abuse has published its final report in October 2022. and the Scottish Child Abuse Inquiry publishing
their ￿port into the Sister5 of N￿areth in May 2019.
Th8 Charrty expectsto in¢urluthei lègal costs in relation to allthree inquiriès. K is not p)ssible at the present
time lo provide any me8ningfvl estimaté of future costs, somo of which may bé covered by insuranco. It is
also not possible to provide any ￿EanIngful estimate of the futurè costs of ongoing claims being brought
against the Congregation for which there is no reliable estimat8 of the value or probability of a claim bèing
pahy, so￿￿ of whlch may be covered by insuian¢¢.
Redre85 schemes have been established. in March 2020 for Northern Ireland, and in December 2021 lor
Scotland. England and Wales have not yet announeed their intentions. An agreement has been reached to
Contribute to the cost of redress payments in Scotland and the cost of eontsibutions h8$ been included in
these accounts as expendrture. The actual payments will be paid according lo an agreed Schedule of
contnbuts'ons. No agreement has been reached for Northem Ireland and rt is not possible al the presenttime
to provide any megningful estimats of future contributions, if any.
The Congregation of the Sisiers of Nazareth Generalate 41

Notes to the accounts 31 March 2022
19 Other commitments
The Charity ha5 provided a guarantee to Allied Irish Bank to support a loan tsk8n Out by th8 Irish Region for
building work5
The Charty has provided a letter of comfort to 8arclays Bank pl¢ in respect to banknng f8cilities the Bank
may make available to The Congregation of the Sisters of Nazareth Charitable Trust.
At 31 March 2022, the Charty did not have any future capital commrtments12021." nill-
20 Related partTeg: connected entities
Th8 Charrfcy Is eonnected to The con9regth.on of the Si5t¢rs of Nazareth (the Congregatlonl, an
unincorporated international religious org8nisation re¢ognised by the Vatican.
Thè Charty is also connected to two other UK r*gistèred Char￿9s..
Name
Reglstration numbers etc.
Princlpd activltles
A rogistered charrty IChari(y
+ The support of the religious minislrlos and
Regi%tration Nos 2289t
works by members of the Congregation (the
(England and Wales) and
Sisters) in the Unrt¢d Kingdom and the care
SC040507 Iscotlandll
of those Sisters.
n¢rship 0114 homes in England, WaLes,
Scotland and Northern Irèland known as
Nazareth Houses and which are us8d to
provide nursing, residenti81 and care services
to older people in need, and a nursory.
The Congr8gation of
the Sisters of
Nazareth Charitabl8
Trust ICSNCTI
Nazareth Care
Charitable Trust
INCCTI
A registered charty Icharrty
Registration Nos 11136fj6
(Engknd and Wales) and
SC042374 Iscotlandll and a
comp8ny limf(ed by
guarante8 (Company
Ragislralion No 5518564
IEngl3nd and Walesll
The provision of nursing. residential and
¢are services to 0￿er people in need
through the oper8tion of 12 homes wrf(hin
England, Wales and Scotland, and a
nursery.
+ The provision of management and support
setvices to older people atthe retirement
villages In Blackburn, Glasgow and
PlY￿￿U￿.
The Superior General of the Congregation is also a trustee of the Char￿y. She appoints the trustees of
CSNCT an4 is the sole memberof NCCT and appoinlslheirtrustees. CSNCT and NCCT havethreotTUSt•es
in common.
At no point during the accounbng period did any of the three ¢harilies control one or more of the others. As
a consequence, consolid8téd aecounts are not prepeTed.
The Charlcy owe5 CSNCT £240.106 in respect of a grant that r8rnains owing. This sum Is included in
credrtors (note 141.
NCCT has a number of subsidiary companies wrth which it forTns the Nazareth Care Charrtable Trust Group.
Consolidated awounts of the Nazareth Care Charitable Trust Group are prepared and filed with the Charty
Commission and Companies House.
The Congwation of the Sisters of Nazareth Generalate 42

Noles to the accounts 31 March 2022
The Charity has a financial 181ationship with the following NCCT subsidiarSes'.
Principal xtivtttes
The development of a retirement
village in Blackbum.
Name
Registration numbers etc.
Company Reg￿ratIOn No
05906057 IEn9land and Wales)
NR V Development (Blackburnl
Limited
NRV Developrnent IPtyrnouthl
Limrted
Company Registration No
05940933 IEngland and Watesl
The developrnent of a retirement
village in Plymouth.
During the ptrriod there have been a number of tranSaCt￿n$ befvrfeen the Charity and its connEcted entrties.
The detail of grants and donations provided to conneeted entities is shown in Note 4. Details of the
indebledne55 b￿een the Charrty and Tts connected entitios and of commitmen15 is gNen ￿k)w.
The Congregation of the Sistets of Nazareth Charltsble Trust
The Charty m8de a loan to CSNCT towards the cost of development and constructK)n of a new Nazareth
Housè care home on th8 8XlSting site in Glasgow. The loan is repayable by 2035 wth int8rest charged at a
comntercial rate. The balance at 31 March 2022 was£4 15 million12021" £4.4 million). In 201PA19 the Charity
agreed a 108n of up to £1.5 million towards the refvrbishment of the Nazareth Housa care home in
Birkenhead with interest charged at a commercial rate. The balance at 31 March 20￿ was £158 million
12021.. £1.53 million) The Charity owes CSNCT £0.24m12021". £0.24ml In iespect of a grant to fund a
retirement vilLage in Ptymouth that remains wng.
NRV Development (Blackbumj Limlted
In 2012 the Charty 8grged a loan to NRV Development18lackburnl Limrted for up to £4.2 Tnillion to be used
to part-finance the construction of apartments and bungalows at the Lamienier Retiremént Village, Prèston
New Road, Blackburn. Al 31 March 20Z2, the loan balance w8$ £0.523rn12021.' £0.e83ml.
NRV Development (Plymouthj Limitéd
The Charity loaned NRV Development (Plymouthl £6.1m to build a retirement village in Plymouth.
The majorty of the loan h9$ been repaid and £0.24m 12021.. £0 24ml is due from NRV Development
IPlymouthl to repay the rern¥inder.
The Charty has 8 flnancial relationship wf(h overseas connected charities."
lrfsh Regi(
Several loan5 have been provided to the Irish Region to finance refvrbBhment works at the Dublin, Mallow
and 8effast Nazareth Housès. The prevKJUS loans were consolidated into a new loan agreernént that was
signed on 4 April 2022. At 31 March 2022, the balance of the loans, when converted to Sterfing, amounted
to £7.294 million12(Y21'. £7.141 million) and is due to be repaKI by 2034. Repayment of the loan is expe¢ted
to commence in 2023. Interest Is charged al a commercial rat•.
The remaining external funding forthg redevelopments in Ireland comes from a commercial bank108n taken
out by the Irish Region. The Charity h95 provided a guarantee in respect ol this loan and funding for any
cost overruns.
Australasian Region
A loan of £5 million, converted into New Zealand dollars, w85 approved by the trustees in December 2014
to assist in financing the rebuilding of Nazareth House Christchurch. The loan will be repaKI btheen 2018
and 2028, wrth interest charged at a commercial rate. Repayments have commenced." however, none were
received in this financial y?ar and the balance at 31 March 2022 was £1.6 million12021.' £1.475 million).
The Congregation of the Si8ters of Nazareth Generalale 43

Notes to the accounts 31 March 2022
21 Ultimate control
Tha trustees of the Charity are the Superior General and four Goneral Council￿rS of the Con9regafjon ex
offfuo.
22 Custodian funds
As at 31 March 2022, the Congreg¥tlon of the Sisters of Nazareth Genaralate hehy lunds on behav of
Nazareth House ￿.￿$ Fund in Stsndard Bank of South Africa. This bank account acts as a holding account
for money coming in and out of the Charity. These assèts are not included in these financial $tatemerrt5. The
value of the fvnds h•ld in th• bank account at 31 March 2022 was £3,62612021'. £9,3971.
The Congregation of Ihe Sister5 of Nazareth Generalate 44