**Registered Charity Number: 1146648 Company number: 07752686**
## **St Matthew’s House Limited**
## **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS**
**For the 16 month period ended 31 December 2023**
## **St Matthew’s House Limited**
## **Contents**
||**Page**|
|---|---|
|Legal and administrative details|1|
|Trustees’ annual report|2 - 8|
|Independent examiner's report|10|
|Statement of financial activities|11|
|Balance sheet|12|
|Notes to the accounts|13 - 19|
## **St Matthew’s House Limited**
## **Legal and administrative information**
**Charity number** 1146648
**Company number** 07752686
## **Other names the charity is known by:**
The Art House
## **Trustees**
J McQuater S Linskill The Rev’d G Naylor Chairman S Barfield (appointed 08/07/2023) G R Millar (resigned 01/05/2024) A C Knowles (resigned 12/07/2023) C A Gracey (resigned 22/05/2024)
## **Company Secretary**
J M Hanks
## **Registered office**
8 Backfields Sheffield S1 4HJ
## **Accountants**
Seven Hills Accountants Limited 57 Burton Street Sheffield S6 2HH
1
## **St Matthew’s House Limited**
## **Trustees’ annual report For the 16 month period ended 31 December 2023**
The Trustees, who are also Directors of the Company for the purposes of the Companies Act, present this Annual Report and Financial Statements of the company for the 16 month period ended 31 December 2023.
The Trustees confirm that the Annual Report and Financial Statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102) and with the Charities Act 2011.
## **Objectives and public benefit**
The charity’s objects are specifically restricted to such purposes which are exclusively charitable in the laws of England and Wales, and for the public benefit, as the trustees shall in their absolute discretion determine, and in particular (but not exclusively):
1. to benefit the inhabitants of the city of Sheffield, and in particular those inhabitants living in the ecclesiastical parishes in the diocese of Sheffield without distinction of sex, sexual orientation, race or of political, religious or other opinions by bringing together the statutory, voluntary and other organisations and inhabitants in a common effort to:
- a. improve the physical, mental/emotional and spiritual well-being of inhabitants, particularly inhabitants living with mental health difficulties;
- b. advance education (including religious, moral and physical education);and c. provide facilities in the interests of social welfare for recreation and leisure time occupation with the objective of improving the conditions of life of the said inhabitants.
In furtherance of these objects but not otherwise, the trustees shall have power to:
2. establish or secure the establishment of a community centre; 3. maintain or manage or co-operate with any statutory authority in the maintenance and management of a community centre;
for activities promoted by the charity in furtherance of the above objects.
In setting the objectives and planning the activities the Trustees have given careful consideration to the Charity Commission’s general guidance on public benefit and fee charging.
2
## **St Matthew’s House Limited**
## **Trustees’ annual report - continued For the 16 month period ended 31 December 2023**
## **Summary of main activities**
The Board of Trustees are extremely grateful to the whole team who have developed and delivered our model over this period. Following on from the steps made last year a more robust operational model has been developed which responded to the challenges incurred from starting back-up from the pandemic.
A more commercial delivery that reduces the charity's dependency on public funding is proving to produce small and manageable growth. Although we are at the first stages of changing our structure it can be seen in the accounts that this approach is working, and we will continue to move to more independency.
The Art House continues to operate, serving the community with two Wellbeing projects of to support people who are vulnerable and living with mental health and addiction issues. A series of contracts with other like-minded local charities to use our resources and space has also started and an area we wish to grow.
During this year the Art House has:
- Implemented a new Operational Structure
- Founded and commenced the Anderson – Green Project (for those in Recovery)
- Introduced new income pathways
- Reduced its dependency on grants and funding
- Continued to develop its Business Model
- Continued in our Charitable Wellbeing Courses
- Built a stronger sense of community for all our customers and participants
The Finance Committee continues to meet monthly to assess and discuss issues as well as review our structures and opportunities for growth as well as stability.
The Pottery continues to be our main income pathway and in a measured and proportionate scheme grown slowly to test the ability to attract new markets and be able to service the growing number of customers. Pottery Open Studio members who pay a monthly subscription to our studios has increased, again in a controlled manner as we ensure that we can continue the growth of the department moving into the next financial year. Art courses have grown significantly whilst our exposure to employing staff in this area has been reduced. Art is delivered on a model using external tutors. We have been more discriminating about which courses should run with profitability in mind.
The Art Courses have been increased throughout the year and we have concentrated on only providing classes for the most popular ones rather than trying to gain new audiences. This has shown an increase in numbers and as we look for growth in this area, we will focus on linked progression courses to obtain retention of customers. Our first Summer School provided us with income in August which is traditionally a quieter period.
We collaborated with the local arts organisation ‘Open Up’ which we will continue to build an association with, as it brought a ground base that have never engaged with us before.
The board met bimonthly during this period. Its sub-committees with a focus on Finance and HR have met regularly in-between board meetings.
3
## **St Matthew’s House Limited**
## **Trustees’ annual report - continued For the 16 month period ended 31 December 2023**
## **Summary of main activities (continued)**
Particular areas focussed on by the board:
1. The board has worked with our Strategic Lead to oversee and improve the day to day working of the charity.
2. The board successfully managed to use our assets to maintain our work. We have maintained and increased our loan repayments.
3. The board sought to support staff and recognise their hard work in challenging times through initiating a new pay structure benchmarked by the Real Living Wage.
4. We worked towards increasing the hours of the Strategic Leader.
5. We have continued to maintain space for the parish church in its work and mission and ministry and we have sought build and develop our work in collaborating with the Parish Nursing Project.
6. We have launched a new website
7. We instituted an annual trustee away day to improve our governance
## **Achievements and Performance**
- a) Moving from financial survival we feel that we have moved to growth. Although there have still been challenges the charity has continued to operate and pay all its creditors including its loan obligations. During this period we have overpaid our lenders reducing interest in doing so.
- b) Clearer financial reporting has enabled the board to take more proactive decisions for the future.
- c) Courses continued to prove popular and we have sought to adapt our offer
- d) As a charity we have maintained a wellbeing offering and increasing it through the AndersonGreen project.
- e) We secured almost £25,000 from government funding for to initiate a new project for those in recovery.
- f) We have invested in our plant including improving access and replacing the kitchen which has attracted new groups.
- g) We have grown the number of users of our subscription Open Studio increasing regular sustained income as we do so.
- h) We have focussed on our courses which deliver profitability
- i) We have maintained and formed relationships with other partners in the city. These range from our fellow St Matthew’s partners; the parish nurses, and with figures from the arts scene like renowned Sheffield artist, Pete McKee.
4
## **St Matthew’s House Limited**
## **Trustees’ annual report - continued For the 16 month period ended 31 December 2023**
## **Financial Review and Reserves Policy**
The statement of financial activities is set in the financial statements. Income for the period amounted to £340,263 (2022: £195,183). Total expenditure amounted to £334,581 (2022: £262,020). Net movement in funds for the period was an income of £5,682 (2022: deficit of £66,837) resulting in net assets at the period-end of £969,251 (2022: £963,569)
The Trustees have considered the level of unrestricted funds, which they see as appropriate to hold in reserve and have concluded that this should be the equivalent of a minimum of three month’s salary expenditure. The Trustees aim to have £21,000 to hand but have a longer-term goal of reaching £50,000 in reserve. The Trustees will keep the level of reserves under review and keep them inline with the wage bill.
As at 31 December 2023 free reserves (comprising net current assets less loans relating to property) were negative £42,941 (2022:negative £38,450).
The Trustees addressed the concerns of the financial position in our previous year and by working closely with our Strategic Director, after a very successful handover from our consultant, and the Finance Manager, the business plan we have developed has provided a much more manageable operation delivery with new income pathways which are measurable.
This has taken us away from being completely reliant on public funding and allowed us to start to put in the foundations of being a charity that can services its financial obligations independently, whilst focusing grant funding applications primarily on its charitable and community led projects.
We have continued to balance ‘payroll’ against ‘development’ and consider all elements of staffing the charity and its delivery of workshops and courses against the appropriated staffing route; external or payroll reimbursement. This has enabled us to manage our staffing liabilities and grow the services we provide by continuing to review profitability of courses and improving understanding of what our customers and clients want.
Engagement with our Marketing and Advertising has continued to grow, this is due to our offer expanding our customer and client target market as well as continuing to grow our relationship with ‘Open Up’.
Our Finance Manager continues to review our expenditure to make savings with all our service and product providers. This is now part of the operational routine and reviewed with the Strategic Director
We recognise and are concerned by the negative Net Current Assets, however this includes £10,899 Parochial Church Council Creditor. St Matthew’s Parochial Church Council is the Sole Member of the Charity and they do not intend to recall that debt except at such a time as the charity can afford to do so.
5
## **St Matthew’s House Limited**
## **Trustees’ annual report - continued For the 16 month period ended 31 December 2023**
## **Financial Review and Reserves Policy – continued**
The Time to Pay agreement with HM Revenue and Customs which addressed the level of VAT owed with a payment scheme implemented and due to end August 2023 was fully repaid.
The historical ‘Capital Goods Repayment Scheme’ will be paid off in full by 31.12.25 and will significantly reduce our annual debt repayment, this will save us an outgoing of approximately £8,200
We have continued to service all debts to our creditors promptly and on time with no holiday payment agreements, and our debt burden is reducing each year.
We continue to set our budgets cautiously and review them monthly within the management team and on set agendas in our committees.
## **Future Plans**
The Charity is in a stronger position both financially as well as operationally, with a much clearer vision and business model. We have continued to grow the number of participants using our facilities and we have developed exciting new initiatives such as the Anderson-Green project for those on a recovery journey from addiction. For the first time in several years, we have been able to invest in our plant and that has in turn increased usage.
Although we are in a stronger position, we recognise the challenges on a day-to-day basis as well as those ahead of us. But we have a clear, consistent and coherent plan to continue to increase revenue. The historic loans on the buildings here have continued to be paid down and have reduced significantly in this period, and the more commercial income streams increased giving us a more stable base.
We are very ably led by our Strategic Director, and by a committed and knowledgeable board, which we will seek to expand over the next 12 months. We have in recent months further worked on the participation of members of the Open Studio (those paying an annual subscription) and will soon be offering a gold standard membership of £250 a month – there are already several interested parties. We have reviewed our insurance providers and have found more competitive and comparable quotes. We are playing our full part in the regeneration of the area and the emerging arts quarter around us. Footfall into our gallery has increased by 30%. Our main goal for the year is to continue towards profitability. We believe that this is achievable and that the growth in the business is demonstrating that this is within reach. Our operational profitability is growing under the new model the Trustees approved which gives a clear plan to better serve our stakeholders, achieve our objectives and serve the common good whilst creating new income streams and delivering the charity's aims and objectives.
We have now increased our Strategic Lead’s hours from three days to five days – the rationale behind this is about giving him more time for working on growth focussed factors in the business and overseeing smaller grant applications focused on delivering projects rather than covering operation costs as in the past; this is in-line with the new business plan.
6
## **St Matthew’s House Limited**
## **Trustees’ annual report - continued For the 16 month period ended 31 December 2023**
## **Risk management**
The trustees have given consideration to the major risks to which the charity is exposed and has satisfied themselves that control systems and procedures are established in order to manage these risks. A risk register has been established and is reviewed annually.
## **Structure, governance and management**
The charity is governed by its Memorandum and Articles of Association and is incorporated as a company limited by guarantee.
Members of the charity guarantee to contribute £10 in the event of winding up. The sole Member of the Charity is Parochial Church Council for the Ecclesiastical Parish of Sheffield St Matthew in the Diocese of Sheffield.
## Governance
Trustees are appointed by the Parochial Church Council of St Matthews, Carver Street, subject to the rules laid down in the Memorandum and Articles of Association.
The term “Board” is defined as the meetings of the trustees. The Board’s main duty is to manage the Charity, ensuring good governance and practice.
Once appointed, Trustees must make themselves aware of the terms of the Memorandum of St Matthew’s House, familiarise themselves with the charity’s property, policies, human resources, client needs and finances. They will ensure that the staff are well looked after, that investment of the charity J E McQuater funds complies with the terms of the Memorandum, and that the strategy and objectives of St Matthew’s house are developed.
The Board will act exclusively in the best interest of the charity. Therefore, a Trustee must not allow a situation to arise where their duty as a Trustee conflicts with their own personal interest. They are required to manage the charity and to ensure that the objectives of the chair are met. The Board will spent time inducting new Trustees by informing them about:
- A brief history of the organisation;
- Strategic direction and mission statement;
- The structure of the organisation, committees, sub-committees, working groups, user groups, staff and volunteers, and the partnership with the mission of St Matthew’s House; and
- The business plan of St Matthew’s House.
The Board will ensure that new Trustees will know enough to be able to carry out their role, but not be overloaded or mislead them about the level of work involved.
All Trustees give their time freely and no remuneration or expenses were paid in the year.
7
## **St Matthew’s House Limited**
## **Trustees’ annual report - continued For the 16 month period ended 31 December 2023**
## **Structure, governance and management (continued)**
## Structure and management
Day to day running of the charity is delegated to a management team led by a Strategic Director.
The management and finances are administered through the Board of Trustees which meets bimonthly. There are two sub-committees of the board which focus on Finance and HR. They meet ahead of full board meetings and report to them.
Reports on finance, work to raise funds, HR and outcomes and outputs monitoring are received.
## **Trustees’ responsibilities in relation to the financial statements**
The charity trustees (who are also the directors of the charity for the purposes of company law) are responsible for preparing a Trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The report and accounts have been prepared in accordance with the provisions in the Companies Act 2006 relating to small companies.
Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing the 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 UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
8
## **St Matthew’s House Limited**
## **Trustees’ annual report - continued For the 16 month period ended 31 December 2023**
## **Trustees’ responsibilities in relation to the financial statements (continued)**
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and the group and hence taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.
## **Small Company Provisions**
This report has been prepared in accordance with the special provisions for small companies under Part 15 of the Companies Act 2006.
18 October 2024 The trustees declare that they have approved the Trustees’ annual report above on ______________ and signed on behalf of the trustees by:
Print name: __________________ J E McQuater Trustee
9
## **Independent examiner’s report to the directors of St Matthew’s House Limited (‘the Company’)**
I report to the charity directors on my examination of the accounts of the Company for the period ended 31 December 2023.
## **Responsibilities and basis of report**
As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
## **Independent examiner’s statement**
Since the Charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Signed: ______________________ Susan Cochrane FCA DChA Seven Hills Accountants Limited 57 Burton Street Sheffield S6 2HH
23/10/2024 Date: _____________________
10
## **St Matthew's House Limited Statement of financial activities**
(incorporating the income and expenditure account)
## **For the period ended 31 December 2023**
|**Notes**
**Income from:**
Grants and donations
**2**
Charitable activities
**3**
Other trading activitie
**4**
Room rental income
Investments - bank interest
**Total income**
**Expenditure on:**
Raising Funds
**5**
Charitable activities
**6**
Trading and other
**7**
**Net income/(expenditure)**
Fund transfers
**16**
**Net movement in funds**
Total funds brought forward
**Total funds carried forward**|**Unrestricted**
**funds**
**£**
522
207,383
92,877
3,446
945
**305,173**
2,486
218,892
71,511
**292,889**
**12,284**
-
**12,284**
52,176
**64,460**|**Restricted**
**funds**
**£**
35,090
-
-
-
-
**35,090**
-
41,692
-
**41,692**
**(6,602)**
-
**(6,602)**
911,393
**904,791**|**Total**
**2023**
**£**
35,612
207,383
92,877
3,446
945
**340,263**
2,486
260,584
71,511
**334,581**
**5,682**
-
**5,682**
963,569
**969,251**|Unrestricted
funds
£
14,970
128,082
50,222
1,460
449
195,183
1,568
192,536
60,126
254,230
(59,047)
-
(59,047)
111,223
52,176|Restricted
funds
£
-
-
-
-
-
-
-
7,790
-
7,790
(7,790)
-
(7,790)
919,183
911,393|Total
2022
£
14,970
128,082
50,222
1,460
449
195,183
1,568
200,326
60,126
262,020
(66,837)
-
(66,837)
1,030,406
963,569|
|---|---|---|---|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
11
## **St Matthew's House Limited Balance Sheet As at 31 December 2023**
**----- Start of picture text -----**
Total Total
Notes 2023 2022
£ £
Fixed assets
Tangible assets 11 1,280,400 1,295,585
Current assets
Stock 12 1,258 -
Debtors 13 10,534 3,697
Cash at bank and in hand 37,070 42,834
Total current assets 48,862 46,531
Creditors: amounts falling due within one year 14 (105,536) (98,178)
Net current assets (56,674) (51,647)
Total assets less current liabilities 1,223,726 1,243,938
Creditors: amounts falling due after more than one year 15 (254,475) (280,369)
Total net assets 969,251 963,569
Represented by:
Funds of the Charity
Unrestricted funds 64,460 52,176
Restricted income funds 16 904,791 911,393
17 969,251 963,569
**----- End of picture text -----**
For the year ending 31 December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The director's acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and for the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to small companies' regime.
## 18 October 2024
Approved by the Board of Trustees on _______________________ and signed on their behalf by:
Print Name: J E McQuater Trustee
12
**St Matthew's House Limited Notes to the Accounts For the period ended 31 December 2023**
## **1 Accounting policies**
## **(a) General**
St Matthew's House Limited is a charitable company in the United Kingdom limited by guarantee. In the event that the charity is wound up, the liability in respect of the guarantee is limited to £10 per member of the charity. The address of the registered office is given in the charity
The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102) and with the Charities Act 2011.
St Matthew's House Limited meets the definition of a public benefit entity under FRS 102. The financial statements are prepared under the historical cost convention. The financial statements are presented in sterling which is the functional currency of the charity and are rounded to
## **(b) Income**
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of
## **(c) Donated services and facilities**
Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised.
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a
## **(d) Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
All expenditure is accounted for on an accruals basis, including irrecoverable VAT, and has been listed under headings that aggregate all the costs related to that activity.
Direct costs, including directly attributable salaries, are allocated on an actual basis to the key strategic areas of activity. Overheads and other salaries are allocated between expense headings on the basis of the time spent.
Governance costs are those in connection with the management of the charity, organisational administration and compliance with the
Where costs cannot be directly attributed they have been allocated to activities on a basis consistent with the use of the resources.
## **(e) Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: Fixtures, fittings & equipment 20% straight line Computers 33.3% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.
## **(f) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **(g) Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **(h) Creditors**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
13
**St Matthew's House Limited Notes to the Accounts (continued) For the period ended 31 December 2023**
## **1 Accounting policies (continued)**
## **(i) Financial instruments**
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
## **(j) Pension obligations**
The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
## **(k) Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **(l) Taxation**
As a charity, the organisation is exempt from tax on income and gains falling within the available tax exemptions to the extent that these are applied to its charitable objects.
## **(m) Leases**
Rental payable and receivable under operation leases are charged to the SOFA on a straight line basis over the period of the lease.
## **(n) Funds**
Unrestricted funds are donations and other income receivable or generated for the objects of the organisation without further specified purpose
Designated funds are funds set aside at the discretion of the trustees for a specific project.
Restricted funds are to be used for specific purposes as laid down by the funder.
## **(o) Going Concern**
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going
## **2 Income from grants and donations**
|Government grants:
Coronavirus Job Retention Scheme
Sheffield City Council
Grant income:
The J G Graves Charitable Trust
St Agatha's Community Kick Start Fund
Sheffield Town Trust
South Yorkshire Housing Association
Donations|**Unrestricted**
**Funds**
**£**
-
-
-
-
-
-
522
**522**|**Restricted**
**Funds**
**£**
-
-
3,000
1,300
5,000
24,790
1,000
**35,090**|**Total**
**2023**
**£**
-
-
3,000
1,300
5,000
24,790
1,522
**35,612**|Unrestricted
Funds
£
1,240
13,376
-
-
-
-
354
14,970|Restricted
Funds
£
-
-
-
-
-
-
-
-|Total
2022
£
1,240
13,376
-
-
-
-
354
14,970|
|---|---|---|---|---|---|---|
14
**St Matthew's House Limited Notes to the Accounts (continued) For the period ended 31 December 2023**
## **3 Income from charitable activities**
|**Unrestricted**
**Funds**
**£**
Pottery
104,489
Art
65,920
Other
36,974
**207,383**
**Income from other trading activities**
**Unrestricted**
**Funds**
**£**
Pottery
11,425
Art
70,162
Other
11,290
**92,877**
**Expenditure on raising funds**
**Unrestricted**
**Funds**
**£**
Grant processing salary costs
8
2,486
2,486
**Expenditure on charitable activities**
**Unrestricted**
**Note**
**Funds**
**£**
**Pottery & art**
Pottery & art materials
8,409
Well-being expenses
680
Tutor fees
39,299
Wages and salaries
8
36,930
Support costs
9
133,243
Depreciation
331
**218,892**|**Restricted**
**Funds**
**£**
-
-
-
**-**
**Restricted**
**Funds**
**£**
-
-
-
**-**
**Restricted**
**Funds**
**£**
-
-
**Restricted**
**Funds**
**£**
5,645
18,355
679
4,296
2,336
10,381
**41,692**|**Total**
**2023**
**£**
104,489
65,920
36,974
**207,383**
**Total**
**2023**
**£**
11,425
70,162
11,290
**92,877**
**Total**
**2023**
**£**
2,486
2,486
**Total**
**2023**
**£**
14,054
19,035
39,978
41,226
135,579
10,712
**260,584**|Unrestricted
Funds
£
82,632
45,450
-
128,082
Unrestricted
Funds
£
45,465
-
4,757
50,222
Unrestricted
Funds
£
1,568
1,568
Unrestricted
Funds
£
7,260
1,731
18,296
52,678
112,140
431
192,536|Restricted
Funds
£
-
-
-
-
-
Restricted
Funds
£
-
-
-
-
Restricted
Funds
£
-
-
Restricted
Funds
£
-
-
-
-
-
7,790
7,790|Total
2022
£
82,632
45,450
-
128,082
Total
2022
£
45,465
-
4,757
50,222
Total
2022
£
1,568
1,568
Total
2022
£
7,260
1,731
18,296
52,678
112,140
8,221
200,326|
|---|---|---|---|---|---|
## **4 Income from other trading activities**
## **5 Expenditure on raising funds**
- **6 Expenditure on charitable activities**
15
## **St Matthew's House Limited Notes to the Accounts (continued) For the period ended 31 December 2023**
## **7 Expenditure on trading activities**
|**Unrestricted**
**Note**
**Funds**
**£**
**Pottery & art**
Pottery & art materials
**4,011**
Wages and salaries
8
**15,674**
Support costs
9
**47,354**
Depreciation
**4,161**
Loss on disposal of fixed asset
**311**
**71,511**|**Restricted**
**Funds**
**£**
**-**
**-**
**-**
**-**
**-**
**-**|**Total**
**2023**
**£**
**4,011**
**15,674**
**47,354**
**4,161**
**311**
**71,511**|Unrestricted
Funds
£
1,535
18,352
36,807
3,432
60,126|Restricted
Funds
£
-
-
-
-
-|Total
2022
£
1,535
18,352
36,807
3,432
60,126|
|---|---|---|---|---|---|
## **8 Staff Costs**
|Wages and salaries
Employer's National Insurance
Employer's allowance
Employer's pension contributions
Freelance staff|**2023**
**£**
105,882
5,801
(5,557)
1,689
107,815
20,891
**128,706**|2022
£
92,522
5,366
(3,674)
1,609
95,823
9,054
**104,877**|
|---|---|---|
No employee received emoluments of more than £60,000.
The average monthly number of paid employees during the year was 6 (2022: 7).
## **9 Analysis of support costs**
The charity apportions the support costs between the charitable and trading activities undertaken.
|**Charitable**
**Activities**
**Note**
**£**
**Pottery & art**
Wages and salaries
**8**
49,232
Office costs
41,514
Miscellaneous
9,367
Loan interest
7,655
Bank charges
3,637
Irrecoverable VAT
15,963
Governance
8,211
**135,579**|**Trading**
**Activities**
**£**
**20,088**
**16,126**
**3,565**
**2,973**
**1,413**
**-**
3,189
**47,354**|**Total**
**2023**
**£**
**69,320**
**57,640**
**12,932**
**10,628**
**5,050**
**15,963**
**11,400**
**182,933**|**Charitable**
**Activities**
**£**
24,734
37,549
9,119
9,572
109
16,197
14,860
**112,140**|**Trading**
**Activities**
**£**
9,113
13,009
6,183
3,316
38
-
5,148
**36,807**|**Total**
**2022**
**£**
33,847
50,558
15,302
12,888
147
16,197
20,008
**148,947**|
|---|---|---|---|---|---|
Charitable activities support costs total £133,243 of which £nil (2022: £nil ) relates to restricted funds.
Trading activities support costs total £47,354 of which £nil (2022: £nil) relates to restricted funds.
16
**St Matthew's House Limited Notes to the Accounts (continued) For the period ended 31 December 2023**
## **10 Fees payable to Independent examiner's organisation**
|Independent examination fee (included in Governance Costs)
**11**
**Tangible fixed assets**
**Cost or Valuation**
As at 1 September 2022
Additions
Disposals
**As at 31 December 2023**
**Depreciation**
As at 1 September 2022
Charge this period
Eliminate on disposal
**As at 31 December 2023**
**Net Book Value**
**As at 31 December 2023**
As at 31 August 2022
**12**
**Stock**
Stocks held at the year end
**13**
**Debtors**
Trade debtors
Prepayments and accrued income
**14**
**Creditors: amounts falling due within one year**
Trade creditors
Sundry creditors & deposits
PAYE
Accruals
Prepaid trading income
St Matthews PCC
Pension
VAT
Loans|**Long**
**Leasehold**
**Property**
**£**
1,383,710
-
-
1,383,710
88,558
14,752
-
103,310
**1,280,400**
**1,295,152**|**2023**
£
**1,375**
**Fixtures,**
**fittings and**
**equipment**
**£**
33,165
-
(752)
32,413
32,732
121
(440)
32,413
**-**
**433**
**2023**
**£**
**1,258**
**1,258**
**2023**
**£**
1,531
9,003
**10,534**
**2023**
**£**
6,325
1,117
2,579
6,392
38,739
10,899
530
20,104
18,851
**105,536**|2022
£
825
**Total**
**£**
1,416,875
-
(752)
1,416,123
121,290
14,873
(440)
135,723
**1,280,400**
**1,295,585**
2022
£
**-**
-
2022
£
996
2,701
3,697
2022
£
9,845
10,263
698
11,301
18,981
10,899
847
17,202
18,142
**98,178**|
|---|---|---|---|
17
**St Matthew's House Limited Notes to the Accounts (continued) For the period ended 31 December 2023**
## **15 Creditors: amounts falling due after move than one year**
|Bank Loans
Other Loan
Financial instruments
Loans are repayable as follows:
Within one year
Between one to two years
Between two to five years
Over five years|**2023**
**£**
130,575
123,900
**254,475**
18,851
19,416
61,860
173,199
**273,326**|2022
£
145,819
134,550
**280,369**
18,142
18,709
60,052
201,608
**298,511**|
|---|---|---|
Financial instruments measured at amortised cost comprise of a £101,043 (2022: £108,913) bank loan provided by Charity Bank which has a 6.5% interest rate, a Bounce Back Loan of £40,883 (2022: £47,547) which had a interest rate of 2.5% and an other loan of £142,050 (2022: £142,050) from St Vincent House which had a 0% interest rate.
- **16 Restricted funds**
|Anderson Green Project
Sheffield Town Trust
J G Graves Charitable Trust
**Restricted Fixed Asset Fund**
Property Reserve|**Brought**
**forward**
**£**
-
-
-
911,393
**911,393**|**Income**
**£**
27,090
5,000
3,000
-
**35,090**|**Expenditure**
**£**
(23,311)
(5,000)
(3,000)
(10,381)
**(41,692)**|**Transfers**
**£**
-
-
-
-
**-**|**Carried**
**forward**
**£**
3,779
-
-
901,012
**904,791**|
|---|---|---|---|---|---|
## **Anderson Green Project**
The Anderson Green project is a new Wellbeing Initiative providing a Friday night café and Art Class with a homemade free hot meal, art and peer support for those recovering from addictions.
## **Sheffield Town Trust**
Funding from Sheffield Town Trust to help fund a new print room, meeting room, gallery and reception area.
## **J G Graves Charitable Trust**
Funding for a for a new 60L Ecotop kiln for The Art House and the associated Kiln furniture.
## **Property Reserve**
The property reserve reflects the net book value of leasehold property financed from restricted funds.
|_Prior year comparative_
**_Restricted Fixed Asset Fund_**
_Property Reserve_|_Brought_
_forward_
_£_
_919,183_
_919,183_|_Income_
_£_
_-_
_-_|_Expenditure_
_£_
_(7,790)_
_(7,790)_|_Transfers_
_£_
_-_
_-_|_Carried_
_forward_
_£_
_911,393_
_911,393_|
|---|---|---|---|---|---|
18
## **St Matthew's House Limited Notes to the Accounts (continued) For the period ended 31 December 2023**
## **17 Net assets by fund**
|Tangible fixed assets
Net current assets
Creditors of more than one year
_Prior year comparative_
_Tangible fixed assets_
_Net current assets_
_Creditors of more than one year_|**General**
**Fund**
**£**
379,388
(56,674)
(254,475)
**68,239**
_General_
_Fund_
_£_
_384,192_
_(51,647)_
_(280,369)_
_52,176_|**Restricted**
**Funds**
**£**
901,012
-
-
**901,012**
_Restricted_
_Funds_
_£_
_911,393_
_-_
_-_
_911,393_|**Total**
**2023**
**£**
1,280,400
(56,674)
(254,475)
**969,251**
_Total_
_2022_
_£_
_1,295,585_
_(51,647)_
_(280,369)_
_963,569_|
|---|---|---|---|
## **18 Trustee remuneration and expenses, and the cost of key management personnel**
The trustees were not paid or received any other benefits from employment with the charity in the year (2022: £nil) neither were they reimbursed expenses during the year (2022: £nil). No charity trustee received payment for professional or other services supplied to the charity (2022: £nil).
The key management personnel of the charity comprise the strategic director and the trustees. The total employee benefits of the key management personnel of the charity were £35,519 (2022: £10,604).
## **19 Related party transactions**
No other transactions have taken place with related parties during the year, other than those included in note 18.
19