Charity registration number 1139580 Company registration number 7277557 Homes and Communities Agency registration number 4695 Hackney Parish Almshouses Charity Annual report and financial statements For the year ended 31 December 2024
Hackney Parish Almshouses Charity Legal and administrative information Charity number 1139580 Company number 07277557 Homes and Communities Agency registration number 4695 Directors and trustees Mr Jonathan Jarrett (Chairman) Councillor Margaret Gordon Mrs Joannie Andrews- resigned 06.03.25 Mr Datoru Ben Paul-worika Rev Al Gordon Rev Andrew Wilson Mrs Olivia Gordon Mr John Parmiter Ms Jacqueline Driver Councillor Penny Wrout Rev Nathan Hayes Clerk to the trustees The Trust Partnership Registered office 6 Trull Farm Buildings Tetbury Gloucestershire GL8 8SQ Independent auditors Dunkley's Statutory Auditor Chartered Accountants Woodlands Grange Woodlands Lane Bradley Stoke Bristol BS32 4JY Bankers HSBC Bank PIC 2 Cheapside High Road Wood Green London N22 6HJ
Hackney Parish Almshouses Charity Contents Page Report of the trustees Report of the auditors Statement of financial activities io-ii Balance sheet 12 Statement of cash flows 13 Notes to the accounts 14-23 Detailed statement of financial activities 24
Hackney Parish Almshouses Charity Trustees annual report for the year ended 31 December 2024 Introduction The Hackney Parish Almshouses Charity is an incorporated Charitable Company Limited by Guarantee. Prior to incorporation. the charities comprised two separate entities: one known as Dr Spurstowe and Bishop Wood Almshouses and the other known as Norris and Mongers Almshouses. The Hackney Parish Almshouses Charity provides forty-5ix homes located on three separate sites within the London Borough of Hackney. Monger5 almshouses are located nearthe church of Stjohn of Jerusalem. They were originally created from a bequest from Henry Monger in 1669. The almshouses were rebuilt in the 1840's. with funds from Sir John Cass's Foundation, and later extended in 1997. Norris House almshouse was founded in 1857 in memory of South Hackney's first rector, Henry Handley Norris11771-18501. Norris was a leading member of the Hackney Phalanx, a group of early nineteenth- century Anglican High Churchmen. The almshouses were rebuilt in 1967 and subsequently refurbished in 2002. Dr Spurstowe House is an almshouse comprising thirty-one flats located in Navarino Road, central Hackney and is the modern-day culmination of two historic charities each with their own almshouses. In 1666, the Reverend Dr William Spurstowe, vicar of Hackney, built almshouses in Mare Street and his brother, Henry, endowed the Charity with additional land later gifted. with the almshouses. to the manor of Kings Hold in 1667. The Dr Spurstowe Charity took over administration of the historic Bishop Wood Almshouses, Lower Clacton in 1906. Originally these almshouses were built in the late 1600,5 with funds left in the will of Hackney born Thomas Wood. Bishop of Lichfield. They were sold in 2015 to help fund the new almshouses in Navarino Road. Objectives and Artivities The object of the Charity is the provision and maintenance of almshouse accommodation for local people in financial need. In exceptional circumstances. a resident may be appointed who meets the financial need criteria but lives outside the area of benefit. The number of residents appointed under this exception must not exceed one third of the total number of residents. Trustees are pleased to report that the agreed objectives above have been satisfied, and a healthy financial position has been maintained to allow future planning and sustainability. Public Benefrt In carrying out the Charitys objectives, Trustees have had regard to the Charity Commission's guidance on Public Benefit. Given that the purpose of the Charity is the relief of poverty. only the benefit aspect of 'public benefiy, requires satisfying in an identifiable way. Trustees are satisfied that the continuous demand for affordable housing demonstrates this test is met. Achievements & Performance Maintainin Almshouse5 Providing and maintaining the almshouses is the main activity of the Charity- In the period up to 31 December 2024, Property Costs comprised 66%12023 73%) of the total expenditure with the balance split between governance costs 22%12023 13%) and loan interest 12% (2023 14%). Examination of the Property Costs shows more than two thirds {around 73%. or £171,153- 2023 £323.9041 was spent on Repairs and Maintenance which include5 the provision of a warden, cleaning and gardening. Trustees consider the provision of a warden as central to resident welfare. Almshouse Trustees have a duty of care towards the beneficiaries which is considered in more detail below. Page I
Hackney Parish Almshouses Charity Trustees annual report for the year ended 31 December 2024 The Trust Partnership provides the day-to-day property management and resident welfare function. Responsive repairs are reported by the resident to the administrator and outsourced to a variety of sub- contractors. Progress is monitored and reported to Trustees at quarterly board meetings along with Management Accounts showing expenditure. Cyclical maintenance and planned repairs are budgeted for and reported on within the Management Accounts. Provision of Almshouse Accommodation Hackney Parish Almshouses Charity is a social housing provider registered with, and regulated by, the Regulator of Social Housing as well as the Charity Commission. The Charity is a member of The Almshouse Association. Trustees are aware of their duty of care to the residents as beneficiaries of the Charity and under the Care Act 2014. Resident welfare. including safeguarding, is central to the activities within the Charity and the provision of a warden atting as a good neighbour, visiting residents regularly and calling on them monthly to carry out safety checks such as smoke detector testing allows Trustees to monitor resident welfare. Day to day management is carried out by The Trust Partnership, who employs the warden and provides clerking and administrative functions. Within the breakdown of expenditure, the fees payable to The Trust Partnership are split into management and clerking functions representing 61% {2023 65°Al of the Governance Costs. The warden's costs are accounted for within Property Costs. Reports on the almshouse management are made quarterly to the Trustees. board meeting. Decisions are made by The Trust Partnership under an approved delegated authority procedure. The Pastoral Committee, made up of Trustees Wlth delegated authority for resident allocation and social functions, meets regularly to ensure the Trustees, duty of care is monitored and upheld. Reports are made to the quarterly Trustees, board meetings. Residents, meetings are held at least once a year. and a regular newsletter is produced. Mid-summer resident parties are part of the social calendar and paid for by the Charity and gift vouchers are given to all residents at Christmas. In addition. the Legal & Governance Committee meets to ensure regulatory compliance, and the Property & Finance Committee oversees property management and review5 the quarterly management accounts. Relief of Financial Hardshi th The governing documents, most notably the Articles of Association dated 19 January 2017, allow for the Trustees to make wt a condition of 3 resident's appointment that contributions to the ma intenance of the property should be made. The contribution. known as the Weekly Maintenance Contribution IWMCI, is set by Trustees annually in accordance with the fomiula given bythe Regulator of Social Housing. Trustees also request a monthly Service Charge to cover non-housing related expenditure. This charge is reviewed annually based on the actual costs within the previous year. The level of WMC and Service Charge is set within the context of regulated social housing. Residents unable to pay are signposted to the Borough of Hackney for assessment and assistance. Financial Review The Financial Statements The Financial Statements show total expenditure on charitable artivities of £350,73512023 £508,734) of which £233,03512023 £372.3201 relates to Property Costs which have been itemised above in Maintaining Almshouses. Governance costs represent £75,789 12023 £66,953) which includes outsourced clerkin& administration and accountancy fees as well as professional fees and trustee insurance. Page 2
Hackney Parish Almshouses Charity Trustees annual report for the year ended 31 December 2024 (continued) The income for the year is £480.82412023 £437.0331 of which £380.230 {2023 £340.0161 is from the Weekly Maintenance Contributions IWMCI and Service Charges paid by the almshouse residents. The Charity is a Social housing provider regulated by the Regulator of Social Housing IRSH). A5 such the level of contributions must follow the regulatorfs guidance and annual increases can only be made within the limits of the formula provided. Service Charges are based upon the actual costs during the preceding year. Tangible Fixed Assets relate to the three sets of almshouses and are valued at £12.260.000 {2023 £12,260,000) based on valuations in 2015 and 2017 {net of the HCA grant for the building of Dr Spurstowe House). Maintenance debtors net of credits have decreased on 2023. standing at £889 in 202412023 £1,290) with prepayments being £14,51912023 £8.870). AII WMC arrears are subject to an active recovery plan. In managing the WMC debtors. Trustees are aware of external factors that may impact individual residents to repay in a timely way.. the pandemic and other economic factors have affected resident's employment opportunities which impacts their income. Trustees have noted that the number of residents now in receipt of the Housing Benefit has increased significantly. During the year. a bank loan which was previously held by the Charity was repaid {see note 71. The total repayment amounted to £882,316 and interest of £41,911 was incurred during the year up to the date of the repayment. Investment Poli Fixed Asset Investments are valued at the year-end as £2.082.664 (2023 £2.844.4111 and are held as cash or within funds managed by the National Almshouse Association Common Investment Fund INAACIFI or the Charities Investment Fund ICOIFI managed by CCLA. The Trustees. objective is to invest funds in order to maximise financial return and capital growth within an acceptable risk. to balance the income and capital return. Trustees are considering whether to redevelop or refurbish one of three current almshouse blocks. A final decision has yet to be made and. as a result, the funds held within COIF are held as cash for the purposes of liquidity. Trustees do not consider this to be a significant risk in the form of lost income given the current economic climate as a result of the pandemic and the imminent decision regarding the property. During 2021, trustees commissioned a feasibility Study into the redevelopment of Norris House. The outcome of that study has highlighted the need for additional funding and/or partnership working in order to progress. Trustees are actively investigating options. The proportion of the residents, contributions representing Extraordinary Repairs has been invested in COIF and NAACIF. Reserves Funds reported within the Balance Sheet are considered in detail in the Notes accompanying the Financial Statements (Note 91. Trustees have determined that £128,890 is the minimum level of unrestricted general funds required to meet routine almshouse maintenance in the short to medium term. As at 31 December 2024, the Charity had total unrestricted funds amounting to £128,890, restricted funds amounting to £590,880 and endowment funds {predominantly comprising the almshouse buildings) of £13,667,225. The trustees are therefore satisfied that their reserves criteria have been met. Page 3
Hackney Parish Almshouses Charity Trustees annual report for the year ended 31 December 2024 (continued) Value for Mone Metrics The Regulator of Social Housing requires all registered providers to report on the following metrics.. Metric 2024 2023 Reinvestment New supply delivered Gearing EBITDA MRI (EBITDA Major Repairs Included) Interest cover % 1.90% 3.04°A 7.3% 30.91% -23.9% Headline Social Housing costs per unit Operating Margin (Social letting5} Operating Margin {Overall) 5,066 61.3% 80.3Y. 8,094 109.5% 116.4% 6b 0.600A -0.50% The metrics do not lend themselves to comparison with other small registered providers and benchmarking would be of most relevance with data from other almshouses. Small changes can have a disproportionate effect upon the figures. Preliminary conclusions from the metric above indicate that the costs per unit for repairs and maintenance exceeded the budget of £1.913 based on The Almshouse Association's outline budget. This is, in part, due to exceptional repair costs for Dr Spurstowe House, a relatively new build and repairs at Norris and Mongers almshouses, being older properties. Risk Management The Risk Register is considered by Trustees at every meeting and the performance of mitigating measures is monitored. Recent correspondence from M&G Investment managers has confirmed that the income and capital yield from investments is likely to continue to be adversely affected in the next year but the asset allocation will benefit from an improving UK equities and bond market. The reseNes within the Charity are considered sufficient to ensure continuation of the Charivs activities Within the short to medium term. Notwithstanding the current economic uncertainties. the risks facing the Charity are considered in terms of governance, finance, operational and external factors, as follows: Governance The impact of the government's care at home policy and the inclusion of social housing providers Wlthin the Care Act 2014 has introduced an additional responsibility on Trustees to ensure. as far as possible, that residents are supported. Measures such as warden provision and resident-related policies help to mitigate the risk. Additional responsibilities imposed by regulatory bodies. and best practice guidance. are closely monitored and addressed at the regular Trustee meetings. Page 4
Hackney Parish Almshouses Charity Trustees annual report for the year ended 31 December 2024 (continued) Finance The income from charitable activities, investment income and interest received continues to exceed expenditure but continuing regard is had to the potential threat to the value of, and income from, the investment portfolio as a result of general market forces and from the Covid-19 pandemic. Weekly Maintenance Contributions alone are sufficient to sustain average yearly spend on property upkeep and governance. Increases in contribution charges are subject to regulation to ensure beneficiaries are not placed into hardship by excessive charging above local housing allowance targets. Resident arrears are contained through prompt action and signposting support. Trustees consider that reserves are sufficient to ensure the long-term sustainability of the Charity. erational Minimising the loss of income from voids is achieved by efficient turnaround of vacant almshouses and maintenance of a register of eligible applicants. External Factors The consequences of changing government policy especially in relation to unforeseen factors, or as a result of general housing or social care-related legislation, are monitored. The Trustees are aware of the changing policy in relation to social housing regulations and the impact this will have on monitoring and service delivery. Trustees are also aware that. over time. the expectations of the beneficiary group may change especially in relation to the property facilities. As longevity increases, demand for disabled access increases. Trustees are mindful of the changing requirements which have been included in the Norris development proposals currently at the feasibility stage as well as during void turnaround. Plans for the Future Since 2021, Trustees have explored the feasibility of redeveloping Norris House and continue to explore partnership options, as well as other potential funding opportunities through Homes England. LB Hackney and the Greater London Assembly. Alteration of Dr Spurstowe House to provide a community room, and changes to the allocations policy to create a multi-generational living environment are also being considered, subject to plann ing approval. Structure Governance and Management The Articles governing the Hackney Parish Almshouses Charity specify that there shall be between eight and fourteen Trustees who will act as both Trustees and Members of the Charity- The Trustees who have served during the years are set out on the legal and administrative information page. The Trustees are appointed as follows- Two ex-officio Trustees being the Rectors for the time being of the parishes of Hackney and St John of Jerusalem Church, both in the London Borough of Hackney. Six nominated Trustees.. two appointed by the London Borough of Hackney, two by the PCC of the parish of Hackney Church and two appointed by the PCC of St John of Jerusalem. No more than six co-opted Trustees being individuals appointed by the resolution of the Trustees. The term of office of a Nominated Trustee shall be four years and for a Co-opted Trustee the temi shall be five years. Page 5
Hackney Parish Almshouses Charity Trustees annual report for the year ended 31 December 2024 (continued) The Chair and the Clerk are responsible for indurting new Trustees which involves awareness of a Trustee'5 responsibilities, the governing documents, administrative procedures and the history of the Charity. The 2017 Charities Code of Governance provides the basis forTrustee performance. All Trustees are volunteers and are not remunerated. Ke Mana ement Personnel Trustees comprise the key management of the Charity and are responsible for the overall direction and running of the organisation. Trustees employ The Trust Partnership to manage the Charity's day to day activities and to provide administration assistance to the Trustees. Statement of trustees. responsibilities The trustees are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to: select suitable accounting policies and then apply them consistently- observe the methods and principles in the Charities SORP: make judgements and estimates that are reasonable and prudent: state whether applicable accounting standards have been followed. subject to any material departures disclosed and explained in the financial statements; prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the company and which enable them to ensure that the financial statements comply with the Companies Art 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Statement of disclosure to auditors So far as the trustees are aware. there is no relevant audit information of which the company's auditors are unaware. Additionally, the trustees have taken all the necessary steps that they ought to have taken as trustees in order to make themselve5 aware of all relevant audit information and to establish that the company's auditors are aware of that information. Approved bv the Board of Trustees and signed on its behalf Joriath i rett ljun 26, 202S 07..47 GMT+l) Jonathan Jarrett Chair Date: 26.06.25 Page 6
Hackney Parish Almshouses Charity Re ort of the Inde endent Auditors to the Trustees of Hackne ' Parish .4lmshouses Charit istered number: 7277557 Opinion We have audited the financial statements of Hackney Parish Almshouses Charity (rhe 'charitable company,) for the ycar cndcd 31 Dcccmbcr 2024 which comprisc thc Statcrncnt of Financial Actii'itics, thc Balancc Shcct, thc Cash Flow Statement and noies io Ihe financial staiements. including a summary of significanl accounling policies. The financial reporting framework ihat has been applied in their preparation is applicable law and United Kingdorn Accounting Standards (United Kingdom Generally Accepied Accounting Prnctice}. In our opinion the financial statCTncT]ts-. giN'e a true and fair view of the stai¢ of the charilable company's affairs as at 31 December 2024 and of ils incoming resources and applicalion of resources, including ils income and expendiwre, for Ihe year then ended,. have been properly prepared in accordance w'iih Uniied Kingdom Generally Accepted Accounting Practice. and have been prepaTed in accordaT]ce with the requiieTnents of the CotnpaT]ies Act 2006. Basis for opinion Wc conductcd our audit in accordance th IntcrnatioTJal Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors, responsibilities for the audit of thc financial statcmcnts 5cction of our rcport. Wc arc indcpcndcnt of thc charitablc company in accordancc with thc ethical requirements ihal are relei'ant to our audit of ihe financial statements in the UK, including the FRC'S Ethical Standard, and wc havc fulfillcd our othcr cthical rcsponsibilitics in accordancc with thcsc rcquircmcnts. Wc bclicvc that the audit evidence we have Obtain is sutTicienl and appropriate io prowide a basis for our opinion. Conclusions relating to going coneern Jn auditing the financial siatements, we haN'e concluded thai the irustees, use of the going concern basis of accounting in the pieparation of the Iinancial sthtemenis is appiopriate. Bascd on thc work wc havc pcrfornicd, wc havc not idcntificd any matcrial unccrtaintics rclating to cvcnts or conditions that, IndilduallY or collectively, may cast significani doubt on the charitable company's ability to continue as a going concem for a period of at least twelve monihs from when the financial statements are authorised for issue. Our Tcsponsibilitics and thc Tcsponsibilitics of thc trustCC5 with rc5PCCt to going conccrn arc dcscribcd in thc relevant sections of this report. Other information Thc trustccs arc rcsponsible for the other inforniation. The other information comprises the infoTmation included in the Annual Report, other than the financial statements and our Report olthe Independent Auditors thereon. Our opinion on thc financial statcmcnt5 doc5 not COVCT thc othcr inforniation and. cxccpt to thc cxtcnt othcrwisc explicitly staled in our report, we do not express any forn) of assurance conclusion thereon. In connection with our audit of the financial staiements, our responsibiliry is to read the oiher inforn)ation and, in doing so, consider whether the other information is rnaterially inconsistent with the financial statements or our knowledge obtained in thc audit or othcrwisc appcaTS to bc matcrially missthted. If we identify such material inconsistencies or apparent material misstatements, we are required to detennine whether this gives rise lo a material misstatcmcnt in thc financial stalcmcnts thcmscli'cs. If, bascd on thc work wc haN-.c pcrformcd, wc conclude thal there is a material misslatement of this oiher inforn)aiion, we are required to report that fact. We have nothing to rcport in this rcgard. Matters on whith we are required to report by eieeptio Wc have nothing to TCPOrt in rcspcct of thc following matters where the ChaTitics (Accounts and Reports) Regulations 2008 requires us to report lo you if, in our opinion.. the infonnation gii'cn in thc Report of the Trustees is inconsistcnt in any material rcspcct with thc financial statements; or thc charitablc company has not kcpt adcquatc accounting rccords. or thc financial statcmcnts arc not in agrccmcnt m-.ith thc accounting rccords and rcturns- or wc havc not rcccii'cd all thc inforniation and cxplanations wc rcquirc for our audit. Page 7
Hackney Parish Almshouses Charity ort of the Inde endent Auditors to the Trustees of Hackne ' Parish .41mshouses Chari istered number: 7277557 Responsibilities of trustees As cxplaincd morc fully in thc Statcmcnt of Trustccs. Rc5ponsibTlitics, thc trustccs (Thho arc also thc dircctors of the charitable company for the purposes of company law) are responsible for the preparalion of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary lo enable the preparation of financial statements thai are free from maierial misslalemenL whether due to fraud or etTOr. Jn preparing the financial slalements, the Irusiees are responsible for assessing Ihe chariiable company's abiliry to continuc as a going conccrn, disclosing, as applicablc, mattcr5 rclatcd to going conccrn and using thc going conccrn basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no rcalistic altcmativc but to do so. Our responsibilities for the audit of the financial statements Wc have bcen appointed as auditor5 undcr Scction 144 of the ChaTitics Act 2011 and report in accordance with the Act and relevant regulations made or hairing effecl thereunder. Our objectives are to obtain reasonable assurance about whether ihe financial statements as a whole are free from matcrial misstatcmcnt, whcthcr duc to fraud or crror, and to issuc a Rcport of thc Indcpcndcnt Auditors that includcs our opinion. Reasonable assurance is a high lei'el of assurance. but is nol a guarantee that an audit conducted in accordance with ISAS {UK} will always delect a maierial misstatement M'hen li exists. Misstatements Can arise from fraud or error and are considered material if. individually or in the aggregate. they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. The extent lo which our procedures are capable of detecting irregularities. including fraud is deiailed below- We identify and assess the risks of material missthtement of the fiT]aneial statements, whether due to fraud or error, and then design and perfomi audit procedures responsiTre to those risks. including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. Idcntifying and asscssing potcntial risk5 rclatcd to iTrcgularitiLS-. In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non- compliance iviih laws and regulations, w'e considered Ihe folloii'ing.. The narure of the CharibIe sector, control environment and perforniance including the design of the organisation's remuneration p)licies' Any mattcrs wc idcntificd, hal'ing obtaincd and rcvicwcd thc organisation's documcntation of thcir policics and procedures relating to.. o Idcntifying, cvaluating and complying with laws and rcgulations and whcthcr thcy wcrc awarc of any instances of non-¢ompliance- o Detecting and responding to Ihe risks of fTalld and whether they have knowledge of any actual. suspected or allcged fraud- o The internal controls established to mitigate risks of fraud or non-compliance with laws and regulations- o The matters discussed among the audit engagement team regarding hol and where fiaud might occur in the financial statements and any tential indicaiors of fraud. As a result of these procedures, we considered the opporninilies and inceniives Ihai may exist within the organisation for fraud and identified the greatest poiential for fraud in the areas of management override of controls, going concern, income recognition, dnd the appropriaLcncss of cxpcnditUTC.We also obtaiT]ed an undeT5tanding of the legal and regulatory fran]ework that the organisation operates in, focusing on proi'isions of those laws and regulations that had a direct effect on the dcterminatiov) of material amount5 and disclosurcs in thc financial statcmcnts. Page 8
Hackney Parish Almshouses Charity Re ort of the Inde endent Auditors to the Trustees of Hackne ' Parish .41mshouses Charit istered Dumber: 7277557 Audit response lo risks identified Our proccdurcs to rcspond to risks idcntificd includcd thc following: Enquiring of management, concerning actual and potential litigation and claims- Substantie testing lo i'ouch source records lo ihe f)nancial s(aMents. Perforniing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of matcrial misstateTnent due to fraud; Enquiring of managemeni the internal controls in, evaluating ffach control for weakness and vouching to evidence of thc control taking placc; - In addressing the risk of fraud through management override of controls. testing the appropriateness of journal entrie and othcr adjustmcnts; asscssing whcthcr thc judgcmcnts madc in making accounting cstimatcs arc indicativc of a poiential bias,. and evaluating the business rationale of any significani transactions that are unusual or oUlde the normal course of business. We also communicated relevant identified laws and regulations and potential fraud risks to all engagemeni learn mcmbcrs, and rcmaincd alert to any indications of fraud or non-coinpliancc with laws and rcgulations throughout thc audil. A further description of our responsibilities for the audit of the f1nanctal statements is located on the Financial Reporting Council's Th'ebsite at i¥ww.frc.org.uklaudiiorsresponsibiliiies. This de£cripiion forms part of our Report of the Independeni Auditors. Use of our report This report is made solely to the charithble company's mistees. as a body, in accordance with Pan 4 of the Chariiies (Accounts and RctK)rts) Regulations 2008. Our audit work has bccn undcrtakcn so that wc might statc to thc charitable company's trustees those matteTS 't are Tequiied to sthte to them in an auditors, report and for no other purpose. To the fullest extent perniitted by law, M'e do not accept or assume responsibility to anyone other than the charitable company and ihe charitable company's trustees as a b(ly, for our audit work, for this report, or for the opinions we have fom)ed. Matthew Dobbins (Jun 27, 2025 10=50 GMT+ll For and on behalf of Dunkley's Sratutory Auditor Chartcrcd Accountants Eligible to act as an auditor in terrns of Section 1212 of the Companies Act 2006 Woodlands Giangc Woodlands Lane Bradley Stoke Bristol United Kingdom BS32 4JY Datc-. 27106n025 Page 9
Hackney Parish Almshouses Charity Statement of financial activities For the year ended 31 December 2024 ilnrestricted FurKIs Restricted Funds Endowment Funds Total 2024 Total 2023 Notes Income & expendrture In¢ome from: Maintenance Contributions 355.666 24.564 380.230 340.016 Investment Income 6.239 9,302 15,541 18,589 Interest Received 84,506 84,506 76,050 Other income 60 487 547 2,378 Total 446.471 34.353 480,824 437.033 Expenditure on: Activities in furtherance of the chariws objectives Loan interest 11112 237.524 71.311) 3(18.824 439,273 41,911 41,911 69,461 Total Expenditure 237,524 71,31X) 41,911 350,735 508,734 Other reeognised gains 33.528 13.876 47.404 1149.7201 Transfers between fvnds 1939.0171 250 938.767 Net income and net movements in funds 1696,5421 122,8211 896,856 177,493 1221.4211 Reconciliation of fvrKIs Fund balances brought forward at ai.12.2023 825,432 613.701 12,770,369 14,209,502 14,430,923 Fund balances tarrled forward at 31.12.2024 128.890 590.880 13.667.225 14,386.995 14.209.502 The statement of changes in equity includes all gains and losses in the year. All incomes and expenditures derive from continuing activities. The notes on pages 14 to 23 form part of these accounts. Page 10
Hackney Parish Almshouses Charity Comparative Statement of Financial Activities For the Year Ended 31 December 2023 Unrestricted Funds Restricted Funds Endowment Funds Total 2023 Notes Income & expenditure Income from: Maintenance Contributions 315,452 9,231 24,564 340,016 Investment Income 9.358 18.589 Interest Received 76,050 76,050 2.378 Other income 2.378 Total 403.111 33.922 437.033 Expendlture on: Activities in furtherance of the charitys objertives Loan interest 11112 248,118 191,155 439,273 69,461 69,461 Total 248.118 191.155 69.461 508,734 Other recognised gains Transfers between funds 1189,1201 39,400 1149,7201 (lo8.6() 108.606 Net incomellexpenditure} and net movements in funds 1142.7331 1117.8331 39.145 1221,4211 Reconciliation of funds Fund balances brou8ht forward at 31.12.2022 968.165 731.534 12.731.224 14.430.923 Fund balances carrled forward at 31.12.2023 825,432 613,701 12,770,369 14,209,502 The statement of changes in equity includes all gains and losses in the year. All incomes and expenditures derive from continuing activities. The notes on pages 14 to 23 form part of these accounts. Page 11
Hackney Parish Almshouses Charity Balance Sheet As at 31 December 2024 Company number: 07277557 Notes 2024 2023 Fixed Assets Tangible assets Investments 12.260.(YJO 12.260.000 2,082,664 2,844,411 14.342.664 15.104.411 Current assets Debtors 15,408 10,160 Bank balances 78.494 71.744 93.902 81,904 Current liabilrcies Creditors 49.571 131,758 49,571 131,758 Net current assetsllliabilitiesl 44.331 149,8541 Long term creditor 845,055 Net assets 14.386.995 14,209,502 Capital and reserves Unrestricted funds 128,890 825,432 Restricted funds s,880 613,701 Endowment funds 13,667,225 12.770,369 14,386,995 14,209,502 These financial statements have been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006. Approved by the directors and trustees on 25.06.25 and signed on its behalf by- Joriath3n frett ljun 26, 202507.47 GMT+l) Jonathan Jarrett (Trustee) The notes on pages 14 to 23 form part of these accounts. Page 12
Hackney Parish Almshouses Charity Statement of Cashflows For the year ended 31 December 2024 2024 2023 Note CASH FLOWS FROM OPERATING ACTIVITIES: Net cash provided by {used in) operating activities 9,6SO 1222,3671 Cash flows from investing activities: Dividends and interest from investments Proceeds from sale of investments Purchase of investments 84.506 937,5(K) 1128,3501 76,050 100,0 1130,9631 Net cash provided by investing activities: Cash flows from financing activities: 893.656 45.087 Repayments of borrowing 1896,5561 139,1451 Net cash (used in) financing activities: 1896.5561 139,1451 Change in cash and cash equivalents in the reporting period Cash and cash equiv3lentS at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period 6.750 1216.4251 71,744 288,169 78,494 71,744 The notes on pages 14 to 23 form part of these accounts. Page 13
Hackney Parish Almshouses Charity Notes to the financial statements (continued) For the year ended 31 December 2024 Accounting policies Accounting convention The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the U K and Republic of Ireland IFRS 1021 (effective l January 2015) - (Charities SORP IFRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006. The Hackney Parish Almshouse5 Charity constitute5 a public benefit entity as defined by FRS 102. The Trustees consider that there are no material uncertainties about the charl$ ability to operate as a going concern. Income All incoming resources are recognised when the charitable trust has entitlement to the funds, the receipt is probable and the amount can be measured reliably. Donation5 are recognised on a receivable basis (where there are no performance-related conditions) where the receipt is probable and the amount can be reliably measured. Investment income from loans and short term deposits is accrued in relation to the period to which it relates. Other investment income from assets held in asset portfolios or current accounts is included when reported as received by the portfolio manager. Expenditure Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and sUPPOrt costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. They are analysed between costs of maintaining the properties and governance of the charity. Expenditure includes attributable VAT, which cannot be recovered. Charitable activities these are costs incurred on the charity trust's individual charitable activities, including support costs and costs relating to the governance of the charitable trust apportioned to charitable activities. Tangible fixed assets, freehold property and depreciation Tangible fixed assets are stated at cost less depreciation. Depreciation is provided on all fixed assets, other than freehold property, at rates calculated to write off the cost, less estimated residual value, of each asset over its expected useful l ife. as follows- Furniture at 25% of the reducing balance The freehold property ' Dr William Spurstowe House. is shown at deemed historic cost. The cost of the rebuild of Dr William Spurstowe House as included within the account5 to 31 December 2013 was £3,871,068 less the grant received from HG4 of £2,190,OLKI. This was restated in the accounts on transition to FRS 102 (see note 151 to its fairvalue as deemed cost per section 35.10 Icl of FRS 102. The property wasvalued in 2014. with an expected open marketvaluefor current use as an almshouse, at £3,150,000. Due to the restrictions on the properties as almshouses, normal valuation techniques methods are not appropriate, therefore the properties are held at cost orfairvalue of donated asset. No depreciation has been provided as the charity maintains the assets to be in a continual sound state. Bishop Wood was sold on 23 January 2015 for £1,437,5LX). The freehold properties 'Norris and Monger Houses, were valued at market value as at 28 July 2016 and are included in these financial statements at that value. Page 14
Hackney Parish Almshouses Charity Notes to the financial statements (continued) For the year ended 31 December 2024 Investments Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The charwty does not acquire put options, derivatives or other complex financial instruments. Realised gains (or losses) on investment assets are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and 105ses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains lor losses) are combined in the statement of financial activities and are credited lor debited) in the year in which they arise. Other Investment5 are included at cost, which is considered to be approximate to their market value. Debtors Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the 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 acquisition. Liabilities and provisions Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event. it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the charitable trust anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods of services it must provide. Provisions are recognised when the charitable trust has an obligation at the reporting date as a result of a past event which it is probable will result in the transfer of economic benefits and the obligation can be estimated reliably. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material. the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges. i.io Financial instruments The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic f inancial instruments are initially recognised at transaction value and subsequently measured at their settlement value. i.ii Cyclical repair5 and maintenance The Charity has established a regular programme of cyclical repairs and maintenance. Costs are charged to the revenue account in the year in which they are incurred. 1.12 Extraordinary repairs reserve and routine repairs reserve An amount from the weekly maintenance contribution is allocated to the extraordinary repairs reserve IRestricted fund). Costs of extraordinary repairs, unless representing improvements to the properties, are charged to the restricted fund in the year in which they are incurred. Page 15
Hackney Parish Almshouses Charity Notes to the financial statements (continued) For the year ended 31 December 2024 Other Income 31.12.2024 31.12.2023 Solar FIT Income 2,318 Other Intome 547 60 547 2,378 Tangible Fixed Assets Furniture Norris & Mon8er5 Houses Or William Total Spuystowe Htsusè 31.12.2024 Cost or rèvaluatlon At l Jan 2024 2,333 2,985,Cl)O 11,465,000 14,452,333 Less HCA Grant 12.190.0001 12,19D,0001 2.333 2.985.(KKI 9.275.0 12.262.333 Depfyciation At l Jan 2024 2,333 2,333 Charge in year 2.333 2.333 Net costlvaluation at 31.12.2024 2.985.) 9.275.0 12.260.000 Net costlvaluation at 31.12.2023 2,985.(N)o 9,275,(K)O 12,260,000 The charity owns three almshouses. Drspurstowe House and the Norris and Mongers Almshouses. formerly of South Hackney Parochial Charity. The Norris and Mongers Almshouses were transferred to the ownership of Hackney Parish Almshouses Charity on 28.07.16. They were not previously valued in the accounts of South Hackney Parochial Charity but have since been valued at an open market value of £2,225.000 and £760.000 respectively. The transfer of the properties included a dowry of £270,000 for use in the event of the requirement to carry out emergency repairs to the properties. The dowry is included in the restricted extraordinary repair fund within these accounts. Repair costs to the properties have been included in the income and expenditure account in the year in which these were incurred. Under the terms of the grant received from Homes and Communitie5 Agency of £2.190.000 in respect of Dr Spurstowe House, some or all of the grant may become repayable in the future if certain terms are not adhered to. As at 31 December 2024 no liability has been included within these accounts in relation to this as it is understood all terms have been adhered to as at the date of approval. Page 16
Hackney Parish Almshouses Charity Notes to the financial statements (continued) For the year ended 31 December 2024 Investments NAACIF COIF 2024 2023 fvnd fund Total Total Market value 31.12.2023 1.072,126 1,772,285 2,844,411 2,769,767 Purchases 43.930 84.420 128.350 130.963 Movements in year 1.116.056 1.856.704 2.900.730 2.900.730 Sales 1663.51J)I 47,404 1274.1xj 1937.5001 47,41J4 iioo,(Kx)I 43,681 Net inve5tment5 gain5lllossesl Market value 31.12.2024 499.960 1.582.704 2.082,664 2,844.411 Cost 31.12.2024 24.261 1.606.654 1,630,915 2.440.066 Debtors 31.12.2024 31.12.2023 Maintenance contributions in arrears 889 1.290 Prepayments 14.519 8,870 15,408 10,160 Creditors: amounts falling due within one year 31.12.2024 31.12.2023 Amounts falling due within one year= Creditors 24,275 42,001 Accruals 2S.296 38.254 Bank loan Isecuredl 51,503 49.571 131,758 Page 17
Hackney Parish Almshouses Charity Notes to the financial statements (continued) For the year ended 31 December 2024 Creditors: amounts falling due after more than one year 31.12.2024 31.12.2023 Bank loan Isecuredl 845,055 The bank loan was fully repaid during the year. The bank loan was payable by monthly instalments and was charged at 3% interest above the base rate. The bank loan was secured against Doctor William Spurstowe House (3440 Navarino Road, London, E8 IAFI. Reconciliation of net income/{expenditure) to net cash flow from operating artivities 2024 2023 Net Income for the reporting period per the statement of flnancial actlvitles 177.493 1221.4211 Adjustments for= IGainslJosses on investments I47.4) 143.6811 Dividends and interest from investments 184.5061 176.0501 Ilncreaselldecrease in debtors 15.2481 185.020 Increaselldecreasel in creditors 130.6851 166.2351 Net cash used In opèratlng activltles 9.650 1222.3671 Page 18
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Hackney Parlsh Almshouses Charlty Notes to the financial statements (continued) For the year ended 31 December 2024 io. Analy515 of fund assets and liabilities Unrestrirted funds A(cumulated Restricted funds Extraordinary Endowment fund5 Capital 31.12.2024 Total Tangible fixed assets 12,260,000 I2,260,0 Fixed asset investMets 84.559 590.880 1.407,225 2.082,664 Current assets 93.902 93,902 149.5711 149,5711 128.890 590.880 13.667.225 14,386,995 Re5trirted funds Extraottlinary Endowment funds Capital funds A¢cumulated 31.12.2023 Total Tangible fixed a5set5 12,260,000 12.260,(X)o Fixed asset investments 823,485 613,701 1,407,225 2,844,411 Current a55et5 81.904 81,904 179.9571 151.8011 1131,7581 Lone term liabilities 1845,0551 1845,0551 825,432 613,701 12,770,369 14,209,502 Page 20
Hackney Parlsh Almshouses Charlty Notes to the financial statements (continued) For the year ended 31 December 2024 ii. Charitable Activitie5 - Property Costs Unrestricted fund Accumulated Restricted funds Extraordlnary Endowment funds Capltal 31.12.2024 Total costs Council Tax ènd Water rates 2.133 2.133 Light and Heat Repairs and maintenance Warden, cleaning and gardening 6.533 6,533 106.393 64.760 171.153 45.562 45,562 Insurance 6,434 6.434 Resident events 1,220 1,220 168.275 64,760 233,035 Unre5trided fund Accumulated Restricted funds Extraordinary Endowment fund5 Capital 31.12.2023 Total costs Council Tax and Water rates 1,338 1,338 Light and Heat Repairs and maintenance Warden, cleaning and gardening Insurance 4.729 4,729 132.749 191,155 323,904 34.647 34.647 6.301 6.301 Resident events 1.401 1.401 181.165 191,155 372,320 Page 21
Hackney Parfsh Almshouses Charlty Notes to the financial statements {continued) For the year ended 31 December 2024 12. Charitable Activitie5 - Support and Governance Costs Unrestrirted funds Accumulated Restricted funds Extraordinary 31.12.2024 Total cost5 funds Capiial Alrnshouse management Clerk's remuneration 17.014 17,014 28.987 28.987 Accountancy Audit/Year End Account5 Legal and professional 11.963 11.963 4.800 4.800 6.540 Sundry expenses 4,196 4,196 Bank charges Subscriptions Trustee insurance 1.615 1.615 610 610 69,249 6.540 75,789 Unrestrirted funds Accumulated Restricted funds Extraordinary 31.12.2023 Total Costs funds Capitsl Almshouse management Clerk's remuneration 16.247 16,247 27.6LK) 27.600 Accountancy Auditftear End Account5 Legal and professional Sundry expenses 11.413 11.413 3.3 3.3C 6.325 6,325 Bank charges Subscriptions 1. 343 1. 343 Trustee insutsnce 665 665 66.953 66,953 13. Payments to trustees No trustees received any remuneration from the charity during the year12023- Nill. Travel expenses amounting to £nil (2023- £nill were reimbursed to no12023.. 01 trustees. The Charity considers its key management personnel comprisethe Trustees. Thetotal employment benefits. including employer pension costs of key management personnel were £nil12023.' £nill. There were no employees in this charity in 2024 {2023.. Nill. Page 22
Hackney Parlsh Almshouses Charlty Notes to the financial statements (continued) For the year ended 31 December 2024 14. Related party transactions The following related party transactions occurred during the financial year ended 31 December 2024. There were none in the prior year. South Hackney Parochi31 Charity (related party through common trusteeship) - £487 (grant received) London Borough of Hackney {rel3ted party through common trusteeship} - £1,775 (various expenses) 15. Contingent liabilities During the year ended 31 December2013 the second capital grant of £1.095.000 was recewed from Homes and CommunitiesAgency IHCAI, takingthe total grant to £2,190,000. This was a contribution toward5 the redevelopment of Dr William Spurstowe House. Underthe terms of the grant some or all of the grant may become repayable in the future if certain terms are not adhered to. As at 31 December 2024 no liability has been included within these accounts in relation to this as it is understood all terms have been adhered to as at the date of approval. 16. Share capital Hackney Parish Almshouses Charity is a company limited by guarantee and does not have any share capital. The company currently has 11 members and their individual liability towards the company's debts is limited to £1 in the event of the company being wound up within 12 months of ceasing to be a member. Page 23
Hackney Parlsh Almshouses Charlty Notes to the financial statements (continued) For the year ended 31 December 2024 Detalled Income and Expendlture Account Norris & Dr 5purstowe Mon8er5 House Houses Total Income & expenditure Income from: Maintenance Contributions 266,936 113,294 380,230 Investment Income 6,239 9,302 15,541 Interest Received 84,460 46 84,506 Other income 60 487 547 Total 357.695 123,129 480A24 Expenditure on- Activities in furtherance of the charws objectives Property costs Council Tax and Water rates 1.566 567 2.133 Light and Heat Repairs and maintenance Warden, cleaning and gardening Insurance 1,386 5.146 6.532 83,198 87,955 171,153 25,248 20,314 45,562 4,336 2,098 6,434 Resident events 822 399 1,221 116.556 116A79 233,035 Governance costs mshouse management 11.466 5.548 17.014 Clerk's remuneration 19.535 9.452 28.987 Accountancy Audivyear End Accounts 8.069 3.894 11.963 4,800 4,800 Legal and professional Sundry expenses 2,100 6,540 2,551 1.645 4.196 Bank charge5 Sub5CriPtions 1,290 325 1,615 Trustee Insurance 411 199 610 50.286 25,503 75.789 Loan interest 141.9111 33.528 {41.9111 47.404 Other recognised gains 13.876 Net Income 182.470 14,9771 177,493 This poge does notform port olthefttnonciolrtotements Page 24