Pennine Magpie
Charity number 1147911
A company limited by guarantee number 04498986
Annual Report and Financial Statements
for the year ended 31 December 2021
Pennine Magpie
Annual Report and Financial Statements for the year ended 31 December 2021
| Contents | Page |
|---|---|
| Trustees' report | 2 to 4 |
| Examiner's report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Cashflow statement | 8 |
| Notes to the accounts | 9 to 15 |
Prepared by West Yorkshire Community Accounting Service
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Pennine Magpie
Trustees' report for the year ended 31 December 2021
Reference and administrative details of the charity, its trustees and advisors
The trustees during the financial year and up to and including the date the report was approved were: Name Position Dates John Platt Chair John West Treasurer Rachel Bielby Resigned March 2021 Jo Core Nicola Abel Charity number 1147911 Registered in England and Wales Company number 04498986 Registered in England and Wales
Registered and principal address
Unit 15 and 4a Calderdale Business Park Club Lane Halifax HX2 8DB
Bankers
National Westminster Shawbrook Bank Limited The Charity Bank Limited 8 Market Place Lutea House Fosse House Huddersfield Warley Hill Business Park 182 High Street HD1 2AL Great Warley Tonbridge Brentwood TN9 1BE CM13 3BE
Independent examiner
Helen Galvin FCCA West Yorkshire Community Accountancy Service CIO Stringer House 34 Lupton Street Leeds LS10 2QW
Structure, governance and management
The charity is a company limited by guarantee and was formed on 30 July 2002. It is governed by a memorandum and articles of association. New articles were adopted by special resolution on 8 March 2012 as amended by special resolution on 6 June 2012. The liability of the members in the event of the company being wound up is limited to a sum not exceeding £10.
Method of recruitment and appointment of trustees
The Board consists of a minimum of 3 trustees with no maximum. One third of all trustees (on a rotational basis - longest serving deemed to retire first) who have held office since the last Annual General Meeting (AGM), plus all new appointments retire at the next AGM. Retiring trustees are eligible for re-appointment.
New trustees are recommended for appointment by the existing trustees. Membership of Pennine Magpie is open to any individual or organisation provided that, in the opinion of the board, they do not present a conflict to the best interests of the Charity.
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Pennine Magpie
Trustees' report (continued) for the year ended 31 December 2021
Objectives and activities
The charity's objects
The objects of the company are to benefit young persons and adults with special needs through the provision of training, personal development activities and support services to provide the skills, confidence and infrastructure necessary for them to live a more independent and fulfilling life within the community.
The charity's main activities
The Charity is established to benefit young people and adults with special needs. This is achieved by the provision of training and other facilities to enable such persons to acquire skills, confidence and the infrastructure necessary for them to live a more independent and fulfilling life within the community.
There have been no material changes in the objectives or policies of the Charity during the year.
Public benefit statement
The trustees have complied with the duty in Sec 17(5) of the Charities Act 2011 to have due regard to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing its aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives they have set. The charitable activity focuses on supporting all young people and adults to further the charitable purpose for public benefit.
Achievements and performance
2021 was another unsettled year where the organisation had to work differently to enable the safe care of its members during the pandemic. Whilst we were able to reopen in September 2020, our income was affected, as only those attending could be charged. As many of our members are classed as vulnerable a significant proportion of members continued to isolate.
We did not have to reduce staff numbers but were able to reduce staff hours by agreeing reduced weekly hours to a small number of staff who had requested this. During the summer of 2021 things started to ease a little with more members returning and new members joining us.
Outreach had previously been a very small part of our offer but in July 2021 we decided to relaunch the service, opening it up to a wider audience. The service was very well received with good relationships formed with brokerage staff, professionals, outreach members and their carers. We also piloted outreach activities which were planned staffed activities each Thursday evening. The pilot was very successful and now outreach activities are also part of our ongoing offer.
The 2021 budget predicted a loss but due to things improving in the summer and the early success of the Outreach pilots, this loss was significantly reduced.
We anticipate that the increase in service provision will continue in 2022.
Financial review
The net expenditure for the year was £10,754, including net expenditure of £11,254 on unrestricted funds and net income of £500 on restricted funds.
We did consider the impact of Covid-19 on the2021 budget and predicted a loss of around £32k. However, our revamped Outreach service which was formally launched in Aug 21 has been very well received and has impacted positively on the projected loss.
At the time of signing these accounts the charity has been impacted by the global Covid-19 virus. The trustees have reassessed the charity’s ability to continue for at least 12 months from the date that the accounts are approved and conclude that no material uncertainties exist that cast significant doubt on the charity’s ability to continue as a going concern.
Reserves policy
The charity's free reserves, excluding fixed assets, at the year end were £894,495.
The trustees have allocated reserves of between 3 and 6 months running costs (Approx. £150k and £300k) and have designated £650k for the building fund.
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Pennine Magpie
Trustees' report (continued) for the year ended 31 December 2021
Statement of trustees' responsibilities
The trustees (who are also the directors for the purposes of company law) are responsible for preparing the Trustees report and the financial statements in accordance with the applicable law and UK Accounting Standards.
Company law requires the trustees to prepare financial accounts for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for the year. In preparing these financial statements, the trustees are required to:
select suitable accounting policies and 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;
prepare the accounts on a going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report has been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (Charities SORP (FRS102)), and in accordance with the special provisions of the Companies Act 2006 relating to small companies.
Signed on behalf of the board of trustees on 14/06/2022
John West (Trustee)
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Pennine Magpie
Independent examiner's report to the trustees of Pennine Magpie
I report to the charity trustees on my examination of the accounts of the charitable company for the year ended 31 December 2021, which are set out on pages 6 to 15.
Responsibilities and basis of report
As the charity's trustees of the charitable 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 charitable 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 ('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 charitable company'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 am a member of ACCA which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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1 accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or
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2 the accounts do not accord with those records; or
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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
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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: …………………………………… Name: Helen Galvin FCCA
14/06/2022
West Yorkshire Community Accountancy Service CIO
Stringer House 34 Lupton Street Leeds LS10 2QW
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Pennine Magpie
Statement of Financial Activities
(including summary income and expenditure account) for the year ended 31 December 2021
| Notes 2021 Unrestricted funds £ Income and endowments from: Donations 220 Charitable activities (2) 535,618 Fundraising 319 Bank interest 2,573 Total income 538,730 Expenditure on: Charitable activities (3) 549,984 Total expenditure 549,984 Net (expenditure) / income (11,254) Fund balances brought forward 909,725 Fund balances carried forward (4) 898,471 |
2021 Restricted funds £ - 1,000 - - 1,000 500 500 500 - 500 |
2021 Total funds £ 220 536,618 319 2,573 539,730 550,484 550,484 (10,754) 909,725 898,971 |
2020 Total funds £ 2,520 530,507 171 14,102 547,300 567,218 567,218 (19,918) 929,643 909,725 |
|---|---|---|---|
All incoming resources and resources expended derive from continuing activities.
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Pennine Magpie
Balance sheet
| as at 31 December 2021 2021 Unrestricted £ Fixed assets Tangible assets (5) 3,976 Total fixed assets 3,976 Current assets Debtors and prepayments (6) 61,809 Cash at bank and in hand (7) 851,911 Total current assets 913,720 Current liabilities: amounts falling due within one year Creditors and accruals (8) 19,225 Total current liabilities 19,225 Net current assets 894,495 Net assets 898,471 Funds Unrestricted funds General unrestricted funds 248,471 Designated funds (9) 650,000 Restricted funds - Total funds 898,471 |
2021 Restricted £ - - - 500 500 - - 500 500 - - 500 500 |
2021 Total £ 3,976 3,976 61,809 852,411 914,220 19,225 19,225 894,995 898,971 248,471 650,000 500 898,971 |
2020 Total £ 12,057 12,057 81,721 841,133 922,854 25,186 25,186 897,668 909,725 909,725 - - 909,725 |
|---|---|---|---|
For the year ending 31 December 2021 the charitable 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 charitable company to obtain an audit of its accounts for the year in question in accordance with section 476. The trustees (who also the directors for the purposes of company law) acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime and with FRS 102 (effective January 2019).
The financial statements were approved by the board of trustees on 14/06/2022
John West (Trustee)
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Pennine Magpie
Statement of cash flows
for the year ended 31 December 2021
| Cash flows from operating activities: Net cash provided by (used in) operating activities Cash flows from investing activities: Dividends and interest Purchase of tangible fixed assets Net cash provided by (used in) investing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period Adjustments for: Depreciation charges Other interest receivable and similar income (Increase) / decrease in debtors and prepayments Increase / (decrease) in creditors and accruals Net cash provided by (used in) operating activities Analysis of cash and cash equivalents Notice deposits (less than 30 days) Total cash and cash equivalents Reconciliation of net movement in funds to net cash flow from operating activities Net movement in funds for the reporting period (as per the statement of financial activities) Cash in hand |
2021 £ 9,527 2,573 822 3,395 11,278 841,133 852,411 2021 £ (10,754) 8,903 (2,573) 19,912 (5,961) 9,527 2021 £ 1,080 851,331 852,411 |
2020 £ (49,172) 14,102 - 14,102 (35,070) 876,203 841,133 2020 £ (19,918) 14,289 (14,102) (34,520) 5,079 (49,172) 2020 £ 392 840,741 841,133 |
|---|---|---|
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Pennine Magpie
Notes to the accounts
for the year ended 31 December 2021
1 Accounting policies
Basis of accounting
These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) and with the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS 102.
There has been no change to the accounting policies since last year. No changes have been made to the accounts for previous years.
Going concern
The trustees are satisfied that there are no material uncertainties about the charity's ability to continue.
Incoming resources
All incoming resources are included in the Statement of Financial Activities (SOFA) when the charity becomes entitled to the resources, it is more likely than not that the trustees will receive the resources and the monetary value can be measured with sufficient reliability.
Grants and donations
Grants and donations are only included in the SOFA when the charity has unconditional entitlement to the resources.
Where grants are related to performance and specific deliverables, they are accounted for as the charity earns the right to consideration by its performance.
Donated goods for resale are valued at the amount actually realised upon their sale.
Donated assets, facilities or services are valued at their estimated value to the charity. This is the price that the charity estimates it would pay in the open market for equivalent items; or services and facilities of equivalent utility to the charity.
Expenditure and liabilities
Expenditure is recognised on an accrual basis as a liability is incurred. Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out the resources and the amount of the obligation can be measured with reasonable certainty.
Taxation
As a charity the organisation benefits from rates relief and is generally exempt from income tax and capital gains tax but not from VAT. Irrecoverable VAT is included in the cost of those items to which it relates.
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Pennine Magpie
Notes to the accounts
for the year ended 31 December 2021
1 Accounting policies continued
Tangible fixed assets
Tangible fixed assets costing more than £750 are capitalised and included at cost including any incidental expenses of acquisition. Gifted assets are shown at the value to the charity on receipt. Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost on a straight line basis over their expected useful economic lives as follows:
Fixtures and fittings: over 5 years Computer equipment: over 5 years Motor vehicles: over 10 years
Pensions
The charity operates a defined contribution scheme for the benefit of its employees. The costs of contributions are recognised in the year they are payable.
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity.
Designated funds are unrestricted funds earmarked by the trustees for particular purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the accounts.
Leases
Rents under operating leases are charged on a straight line basis over the lease term or to an earlier date if the lease can be determined without financial penalty.
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Pennine Magpie
Notes to the accounts continued
for the year ended 31 December 2021
| 2 Charitable activities 2021 Unrestricted funds £ Grants for charitable activities North Halifax Partnership - Support services 497,813 Out of hours support 35,296 Kitchen and tuckshop - Garden produce sales 20 Student events 2,489 535,618 3 Charitable activities expenditure 2021 Activities undertaken directly £ Charitable activities 424,509 424,509 Support costs Management and finance Office costs Legal and professional Governance |
2021 Restricted funds £ 1,000 - - - - - - 2021 Support costs £ 125,975 125,975 |
2021 Total funds £ 1,000 497,813 35,296 - 20 2,489 536,618 2021 Total funds £ 550,484 550,484 2021 Total funds £ 57,506 64,760 1,909 1,800 125,975 |
2020 Total funds £ - 521,092 7,652 1,545 - 218 530,507 2020 Total funds £ 567,218 567,218 2020 Total funds £ 56,534 77,569 1,108 1,962 137,173 |
|---|---|---|---|
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Pennine Magpie
Notes to the accounts continued
for the year ended 31 December 2021
| 3 Charitable activities expenditure continued Salaries (3a) Payroll, pension and life assurance charges Staff support costs Rent Light and heat Insurance Repairs and maintenance Telephone and internet IT support, software and website Depreciation Student events and expenses Training and development Kitchen and tuckshop Motor vehicle expenses Printing, postage and stationery Purchases DBS checks Sundry expenses Subscriptions and licences Advertising and rebranding Independent examination and accountancy Legal and professional fees Bank charges Governance Equipment rental Equipment purchases Refreshments and Christmas party Travel expenses Garden construction Health and safety 3a Staff costs and numbers Gross salaries Social security costs Employment allowance Pensions |
2021 Unrestricted funds £ 409,426 925 379 38,827 14,569 5,289 4,243 2,025 8,082 8,903 2,760 5,872 - 6,028 2,263 5,389 1,189 1,143 2,658 8,562 1,800 720 845 13 5,111 2,195 4,105 3,646 1,760 1,257 549,984 |
2021 Restricted funds £ - - - - - - - - - - - - - - - - - - - - - - - - - - - - 500 - 500 |
2021 Total funds £ 409,426 925 379 38,827 14,569 5,289 4,243 2,025 8,082 8,903 2,760 5,872 - 6,028 2,263 5,389 1,189 1,143 2,658 8,562 1,800 720 845 13 5,111 2,195 4,105 3,646 2,260 1,257 550,484 2021 £ 375,600 26,376 (4,000) 11,450 409,426 |
2020 Total funds £ 411,410 1,213 163 50,385 9,334 4,409 3,165 4,064 12,128 14,289 266 4,985 1,706 4,754 2,556 4,110 138 875 3,825 16,773 1,800 970 622 13 3,480 6,061 162 1,894 10 1,658 567,218 2020 £ 375,027 29,225 (4,000) 11,158 411,410 |
|---|---|---|---|---|
The average number of employees during the year was 20.3, being an average of 15.1 full time equivalent (2020: 19.7, 15.8 FTE).
There were no employees with emoluments above £60,000.
| There were no employees with emoluments above £60,000. (2020: 19.7, 15.8 FTE). |
||
|---|---|---|
| Defined contribution pension scheme | 2021 | 2020 |
| £ | £ | |
| Costs of the scheme to the charity for the year | 11,450 | 11,158 |
| Amount of any contributions outstanding at the year end | 2,316 | - |
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Pennine Magpie
Notes to the accounts continued
for the year ended 31 December 2021
| Restricted funds North Halifax Partnership (1) North Halifax Partnership (2) |
Balance b/f £ - - - |
Incoming £ 500 500 1,000 |
Outgoing £ 500 - 500 |
Balance c/f £ - 500 500 |
|---|---|---|---|---|
4 Restricted funds
Fund name Purpose of restriction
North Halifax Partnership (1) Towards materials for the sensory garden project North Halifax Partnership (2) Towards the development of the sensory room
| 5 6 7 **8 ** |
Tangible assets Cost At 1 January 2021 Additions At 31 December 2021 Depreciation At 1 January 2021 Charge for year At 31 December 2021 Net book value At 31 December 2021 At 31 December 2020 Debtors and prepayments Debtors Prepayments Cash at bank and in hand Cash at bank Cash in hand Creditors and accruals Creditors Accruals |
94,526 - 94,526 94,526 - 94,526 - - Leasehold improvements |
27,042 - 27,042 24,212 2,730 26,942 100 2,830 Computer equipment |
£ 78,142 - 78,142 72,646 4,512 77,158 984 5,496 Motor vehicles |
£ 117,174 822 117,996 113,443 1,661 115,104 2,892 3,731 2021 £ 54,543 7,266 61,809 2021 £ 851,331 1,080 852,411 2021 £ 17,425 1,800 19,225 Furniture and fixtures |
Total £ 316,884 822 317,706 304,827 8,903 313,730 3,976 12,057 2020 £ 74,926 6,795 81,721 2020 £ 840,741 392 841,133 2021 £ 23,386 1,800 25,186 |
|---|---|---|---|---|---|---|
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Pennine Magpie
Notes to the accounts continued
for the year ended 31 December 2021
| 9 Designated funds | Balance b/f £ 650,000 |
Incoming £ - |
Outgoing £ - |
Balance c/f £ 650,000 |
|---|---|---|---|---|
Purpose of restriction
To purchase a building
10 Related party transactions
Trustee expenses
No trustee received any expenses during the year (previous year: 1 trustee was paid £162 in respect of
Trustee remuneration and benefits
No trustee received any remuneration or benefit during this or the previous year.
Remuneration and benefits received by key management personnel
The key management personnel of the charity include the trustees and the Chief Officer. The total employee benefits received were £55,736 (2020: £54,699).
No trustee received any remuneration or benefit in this capacity during this or the previous year.
11 Operating leases
| Within one year In the second to fifth years inclusive Expected future minimum lease payments over the remaining life of the lease, analysed into the period in which the commitment falls due: |
2022 £ 15,957 8,199 24,156 |
2021 £ 14,986 6,690 21,676 |
|---|---|---|
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Pennine Magpie
Statement of Financial Activities including comparatives for all funds (including summary income and expenditure account) for the year ended 31 December 2021
| 2021 2020 Unrestricted Unrestricted funds funds £ £ Income Donations 220 2,520 Charitable activities 535,618 530,507 Fundraising 319 171 Bank interest 2,573 14,102 Total income 538,730 547,300 Expenditure Charitable activities 549,984 567,218 Total expenditure 549,984 567,218 Net income / (expenditure) (11,254) (19,918) Fund balances brought forward 909,725 929,643 Fund balances carried forward 898,471 909,725 |
2021 Restricted funds £ - 1,000 - - 1,000 500 500 500 - 500 |
2020 Restricted funds £ - - - - - - - - - - |
2021 Total funds £ 220 536,618 319 2,573 539,730 550,484 550,484 (10,754) 909,725 898,971 |
2020 Total funds £ 2,520 530,507 171 14,102 547,300 567,218 567,218 (19,918) 929,643 909,725 |
|---|---|---|---|---|
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