2023-03-31-accounts - Primrose Community Association

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COMPANY REGISTRATION NUMBER 08555227 REGISTERED CHARITY NUMBER 1152861

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE)

FINANCIAL STATEMENTS

31ST MARCH 2023

BELL TINDLE WILLIAMSON LLP

Chartered Accountants & Registered Auditors The Old Post Office

63 Saville Street North Shields Tyne and Wear NE30 1AY

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) YEAR ENDED 31ST MARCH 2023

CONTENTS PAGE

	Page
Report of the Trustees	1 - 9
Independent Examiners' Report to the Trustees	10
Statement of Financial Activities	11
Balance Sheet	12
Notes to the Financial Statements	13 - 21

Page 1

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

The trustees are pleased to present their annual directors' report together with the financial statements of the charity for the year ending 31st March 2023 which are also prepared to meet the requirements for a directors report and financial statements for Companies Act purposes.

The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and the charities Statement of Recommended Practice (applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland; FRS 102) issued in October 2019.

Our Purposes and Activities

Purpose

The objects of the charity are specifically restricted to the following:

(1) To promote the benefit of the inhabitants of the Borough of South Tyneside and the neighbourhood without distinction of sex or political, religious or other opinions by associating the local authorities, voluntary and other organisations in a common effort to advance education and to provide facilities in the interests of social welfare for recreation and leisure-time occupation with the object of improving the conditions of life for the said inhabitants.
(2) To establish or to secure the establishment of a community centre and to maintain and manage, or to cooperate with the South Tyneside Metropolitan Borough Council in the maintenance and management of such a centre for activities promoted by the Association and its constituent bodies in furtherance of the above objectives.
(3) The Association shall have power to affiliate to other organisations with similar charitable objects and shall be non-party in politics and non-sectarian in religion.

In pursuance of these objectives the trustees shall be responsible for the management of the community centre and administration of the Community Association in accordance with the provision of its Articles of Association.

Vision Statement

Primrose Community Association serves the needs of the local community, takes up stewardship on their behalf and confidently and competently keeps pace with the changes in our society.

How We Met Our Charitable Objectives

Charity trustees have a duty of public benefit and this is demonstrated at Primrose Community Association through the management of the community centre delivering a programme of activities which meet the needs of the local community. The board of trustees have a strong pedigree of integrity, an ability to balance the books, in maintaining solvency and in ensuring the efficiency of the charity.

The first priority of the trustees is to support the charitable objectives of Primrose Community Association. In doing so we regularly check to make sure that Primrose Community Association complies with Charity Law, that no breaches occur in any of the requirements set out in our governing document and that we remain true to our charitable purposes and objects. The trustees fully recognise their legal responsibility for the affairs of the charity and uphold their explicit duty to scrutinise key issues and decisions, take independent advice and report as necessary.

Page 2

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Ensuring Our Work Delivers Our Aims

The trustees review our aims, objectives and activities each year and consider what has been achieved and the outcomes of our work in the previous 12 months. The review looks at the success of each key activity and the benefits that they have brought to those groups of people we are set up to help.

The review also helps us to ensure that our aims, objectives and activities have remained focused on our stated purposes. The trustees have referred to guidance contained in the Charity's Commission's general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives they have set.

The Focus of Our Work

The purposes and objects of the charity are noted above. The main focus of our work is:

Offering membership of the Association at a reasonable price to enable the local community to access the facilities on offer.
The management of a welcoming and safe community centre that meets the needs of the local community.
The provision of regular activities groups for the local community which promote health and well-being. Currently this includes a toddler and baby group, squash, indoor bowls, sci fi, XYW, music and crafts.
The provision of rooms for hire by activity groups currently Bede of Jarrow U3A, Dancetastic Childrens Dance School, Jarrow Model Railway Club, Yoga, Keep Fit, Karate and Jujitsu classes, and Weightwatchers.
Facilities for family functions: parties, celebrations, and funerals. Meeting rooms for training courses, group meeting and functions.
Providing a coffee bar and other facilities to encourage social integration with the aim of avoiding isolation and lonliness.
Facilities for the local community, family functions, funerals and celebrations including a licenced Lounge Bar, managed by our subsidiary, Primrose Community Enterprises Ltd.

How Our Activities Deliver Public Benefit

The trustees remain fully focused on providing a community hub for social collaboration, inclusion and well being; ensuring our work reflects our membership profile; supporting children and young people; delivering adult education; facilitating sports and leisure activities and tackling health inequalities. All these activities are undertaken to further our charitable purposes for the public benefit.

Who Used and Benefitted from Our Services?

Membership is open to anyone in the community.
Members of our user groups taking part in social and sporting activities.
Users of the activity groups hiring our facilities.
Local residents attending family and social events.
Attendees of meetings and training courses using our facilities.

Page 3

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Achievements and Performance

Primrose Community Association has undertaken the management and maintenance of the Community Centre.

Membership of the Association was 178 at the end of the financial year.

Attendance at our activity sections is stable at around 450 attendances a week.

The toddler group attracts around 30 children with parents/carers per session enjoying crafts, and fun activities. There were two teddy bear picnics funded by the Jarrow Festival and two Christmas parties with Santa.

The squash section celebrate the achievements of the its 4 teams playing in the Northumbria Squash League. The first team play in the Premier League, second team in league 1, ladies team in league 1. The third team play in league 2.

The indoor bowls section organised a successful winter league throughout the week.

The traditional Christmas Switch On and Christmas Fayre was held in late November and was well supported by Centre users, Valley View School and families from the Primrose Estate. The school choir entertained with Christmas carols.

The Association organised afternoon teas, Halloween and Christmas lunch and parties for users and local residents.

The centre is increasingly being used as a venue for local organisations for training, conferences, exhibitions and meetings. Bede of Jarrow U3A, South Tyneside Council Youth Service, Guide Dogs Association, Duke of Edinburgh Awards Scheme, Jarrow Model Railway, Castle View Training, Valley View School have used the centre during the year.

A Warm Spaces project to provide a social space where residents could enjoy company and hot drinks during the winter months was opened in partnership with STC to combat isolation and the cost of living crisis.

The centre is a popular venue for family celebrations with 153 family functions taking place during the year.

The trustees successfully applied to National Lottery Awards for All for £10,000 to employ a part time Centre CoOrdinator. The Centre Co-Ordinator has worked tirelessly developing activities and bringing new groups to the centre, and promoting the centre in the local area through social media.

The trustees have engaged with South Tyneside Council to resolve the outstanding issues related to the lease of the premises. A solicitor has been engaged to assist with the legal aspects of this issue.

The trustees commissioned a Health and Safety consultant to undertake a full review of the centre procedures and develop a policy to ensure that the charity is compliant with current legislation and good practice.

Primrose CA is blessed with a group of regular volunteers who support our weekly activities and events. Without their commitment to the centre it would not function.

Page 4

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Financial Review

The charity with the aid of sound financial management, reports an unrestricted deficit of £7,229 for the year to 31st March 2023. This includes £8,000 donated by Primrose Community Enterprises Ltd.

During the financial year the Community Association experienced an increase in all income streams. Whilst funding for the Covid-19 pandemic ceased in 2022, we are extremely grateful to have received £15,650 in external grants to assist in providing events, warm spaces and salary support for our Centre Coordinator. The Commnity Centre experienced a resurgence in income from trading activities as footfall numbers increased, however, there has been a higher increase in all expenditure streams this year.

Our subsidiary, Primrose Community Enterprises Ltd, reports a profit of £3,162 for the year to 31st March 2023, after accounting for its £8,000 donation to the Association.

Principal Funding Sources

The funding of the charity comes from a range of sources and the principal funding sources are as follows:

Association Membership fees.
Income from the Association's sections. In the current and prior year the squash group contributed the most income from activity groups.
Income from the hire of facilities by local activity groups and training providers.
Income from the coffee bar.
External grants and donations.
A donation from Primrose Community Enterprises Ltd.

Cost Analysis

Staff salaries, heating and lighting, and cleaning & refuse costs are the largest expenditure of the Charity. Gas, electricity and water charges are direct costs to the charity through contracts with Drax, Avanti and Wave. Business rates are subject to the 80% mandatory reduction for charities.

Investment Powers and Policy

Under the Articles of Association, the charity has the power to invest funds in the same manner and subject to the same conditions as the trustees of a trust are permitted to do by the Trustee Act 2000.

Reserves Policy and Going Concern

The charity regularly assesses and reviews its reserves policy in line with financial performance, risk and the external environment.

It is good practice for a charity to reserve funds for future planned activity and contingencies These are designated as follows:

Restricted Funds	Unrestricted Funds
Section funds	Staffing and redundancy fund.
Specific grants and donations	Equipment replacement contingency fund.
	Six months running costs of the Association.
	Limited liability contingency fund.

Page 5

PRIMROSE COMMUNITY ASSOCIATION

(A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Reserves Policy and Going Concern (continued)

The amount of reserved funds is included in each month's management accounts and is reviewed regularly to ensure that the charity can meet its financial commitments.

Plans for Future Periods

The Trustees will seek to finalise negotiations with South Tyneside Council in relation to the lease of the community centre, which will complete the asset transfer. A survey of the premises will be undertaken to ensure that any major building issues are identified and assurances sought to ensure the Association is not at risk. A solicitor is engaged to act on behalf of the Charity. The Trustees will work with Council Officers towards a satisfactory resolution of outstanding issues.

The trustees will apply for funding to continue the employment of the Centre Co-Ordinator and identify activities, furniture and equipment requirements that could benefit from grant funding.

The trustees will work with the bar directors to identify waste reduction within all processes including the cost of refuse collection.

A programme of social events will be developed and advertised to celebrate traditional festivals which bring together members, users and the local community.

Primrose Community Association will continue to connect people to the services they need across health, economy and social programmes making the best use of partnerships between statutory, voluntary, faith and business communities.

The trustees will investigate the layout of the shared car park, mark out the spaces so the capacity is increased and increase the number of disabled parking spaces.

The trustees are aware that the projected expenditure is greater than the current income. The prices will be reviewed against the local market of community facilities. Budgets and cash flows will be closely monitored to ensure the Association can meet its financial responsibilities.

Reference and Administrative Details

*Charity Name:*	Primrose Community Association
*Charity Registration Number:*	1152861
*Company Registration Number:*	08555227
*Registered Office &*	Lambton Terrace
*Operational Address:*	Jarrow
	Tyne and Wear
	NE32 5QY
*Bankers*:	Barclays Bank plc
	1 -3 King Street
	South Shields
	Tyne and Wear
	NE33 1DA

Page 6

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Reference and Administrative Details (continued)

Independent Examiner:

Association Treasurer:

E. J. Hartshorne-Ferguson BA FCA Bell Tindle Williamson LLP The Old Post Office 63 Saville Street North Shields NE30 1AY S. P. Chilton

Directors and Trustees

The directors of the charitable company (the charity) are its trustees for the purpose of charity law. The trustees who served during the year and since the year end were as follows:

Key management personnel Primrose Community Association: Trustees' and Directors

Elected Trustees: P. J. Milburn (Chair) J. A. Nicol (Resigned 22.02.23) S. P. Chilton (Treasurer) H. Sprouting A. J. Young C. Goss V. A. McCaffery (Resigned 01.10.23) T. Orr (Resigned 20.06.23) D. Kennedy P. Aidan (Resigned 07.09.22) J. Burns (Resigned 22.02.23)

Structure, Governance and Management

Governing Document

Primrose Community Association is a registered charity (registered number 1152861) and a company limited by guarantee established and governed under its Articles of Association dated 4th June 2013 which states the objects and powers of the charitable company.

The trustees confirm that if the charity is wound up whilst they are a trustee or if it is wound up within one year of them ceasing to be a trustee, they would be required to contribute an amount, not exceeding £1, towards the payment of the debts and liabilities of the charity.

Appointment of Trustees

Trustees are recruited to meet specific needs in the organisation for specialist expertise, business skills and professional standing within relevant fields.

Without prejudice, to any provision in the Articles of Association, the trustees holding office at any time may include the following:

(1) One person nominated by each of the Sections recognised by the trustees;
(2) Up to four people elected by and from the membership (or prior to) the Annual General Meeting;

Page 7

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Appointment of Trustees (continued)

(3) Up to two people nominated by Valley View Primary School; and (4) Up to three people co-opted by the trustees for the skills or experience they will bring to running the Association.

Under the requirements of the Articles of Association, the trustees shall from time to time determine procedures for the election of trustees, which may include elections held at the Annual General Meeting, or a postal ballot of the members conducted prior to the Annual General Meeting, or any other method considered to be effective and democratic.

Elected trustees shall take office at the conclusion of that meeting and shall serve until the conclusion of the next Annual General Meeting. A retiring trustee shall be eligible to be re-elected.

All of the trustees give their time voluntarily and receive no benefits from the charity.

Trustee Selection

The trustees, who served the charity during the year are detailed on page 6. Eleven trustees served the charity during the year. Should the charity wish to appoint further trustees, it would do so using the criterion noted above.

Trustee Induction and Training

New trustees are likely to know the background of the work that the charity does before joining the board but will still attend a series of short training sessions to fully learn about the charity.

The main documents which set out the operational framework of the charity, including the Articles of Association will be discussed with any new trustees. New trustees will also be briefed on the current financial position of the charity with the aid of the most recent set of financial statements. Finally, the current resources, grant funding and other revenue streams will be discussed with new trustees as well as the future plans of the charity.

All trustees are familiar with the practical work of the charity and have also been encouraged to consult the various Charity Commission publications signposted through the Commission’s guide “The Essential Trustee” and the information sheets provided on the Commission’s website.

In the forthcoming year, the current trustees will seek to ensure appropriate training is provided for them and that proposals are brought forward to enhance the potential pool of trustees.

Organisation

The board of trustees administer the charity and set the strategic direction. On an annual basis they agree the strategy and set the objectives which are incorporated into the strategic plan. They meet bi-monthly to receive an update from the treasurer and agree actions to move the business plan forward. The trustees oversee governance of the charity.

Primrose Community Association is led by the chair and officers of a board of trustees and executive trustees have been granted a range of delegated authorities by the trustees in order to run the organisation efficiently.

Page 8

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Related Parties

Primrose Community Enterprises Ltd is a wholly owned subsidiary of the Association. During the year surplus funds amounting to £8,000 (2022: £2,000) were donated to the Association. In addition, £944 (2022: £930) of insurance costs, borne by Primrose Community Association have been recharged to Primrose Community Enterprises Ltd. £8,944 (2022: £2,930) was outstanding at the year end and is included within debtors.

H. Sprouting and J. A. Nicol, who were directors and trustees of Primrose Community Association, were also directors of Primrose Community Enterprises Ltd.

Pay Policy for Senior Staff

The board of directors, who are the charity’s trustees, give of their time freely and no director received remuneration in the year. Primrose Community Association employs a Centre Co-Ordinator in a senior position. The pay of senior staff is reviewed annually. Senior staff salaries are considered in line with the organisation's size, the complexity of the roles and the responsibilities that the staff carry. When recruiting to new senior management roles, salaries are benchmarked against similar roles and responsibilities and we also consider the market and availability of skills in setting salaries.

Risk Management

The trustees have conducted a review of the major risks to which the charity is exposed. As part of the risk management process, the trustees have implemented a risk management strategy which comprises:

(1) An annual review of the risks that the charity may face;
(2) Detailed action plans to mitigate those risks identified; and
(3) Implementation procedures designed to minimise any potential impact on the charity should any of these risks materialise.

The biggest risk the charity currently faces is the potential impact of the cost of living crisis with the potential reduction in usage and therefore income to the Association, the significant rise in the minimum wage, utilities, and purchases essential to the running of the centre. The trustees will regularly monitor the impact on its budgets and the cash flow, seeking to reduce expenditure wherever possible and develop new activities and user groups. They will also seek funds through appropriate grants for core costs and development of new activities and replacement of equipment and furniture.

Corporate Governance

Internal controls over all forms of commitment and expenditure continue to be refined to improve efficiency. Processes are in place to ensure that performance is monitored and that appropriate management information is prepared and reviewed regularly by the trustees.

Page 9

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2023

Trustees' Responsibilities in Relation to the Financial Statements

The charity trustees (who are also the directors of Primrose Community Association 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).

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 of the incoming resources and application of resources, including the income and expenditure 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 judgments 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 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 which 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 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 corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Statement as to disclosure to our independent examiners

In so far as the trustees are aware at the time of approving our trustees' annual report:

there is no relevant information, being information needed by the independent examiner in connection with preparing their report, of which the company’s independent examiner is unaware; and
the trustees, having made enquiries of fellow directors that they ought to have individually taken, have each taken all the steps that he/she is obliged to take as a director in order to make themselves aware of any relevant information and to establish that the charity’s independent examiner is aware of that information.

Independent Examiner

E. J. Hartshorne-Ferguson BA FCA of Bell Tindle Williamson LLP will continue in office as independent examiner for the ensuing year.

This report was approved by the trustees on 14th December 2023 and signed on their behalf by:

…………………………………………………….

P. J. MILBURN Trustee/Director

Page 10

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF PRIMROSE COMMUNITY ASSOCIATION FOR THE YEAR ENDED 31ST MARCH 2023

I report on the financial statements of the charity for the year ended 31 March 2023, which are set out on pages 11 to 21.

RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND EXAMINER

The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the financial statements. The charity's trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

Having satisfied myself that the charity is not subject to audit under Part 16 of the Companies Act 2006 and is eligible for independent examination, it is my responsibility to:

examine the financial statements under section 145 of the 2011 Act;
follow the procedures laid down in the General Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act, and
state whether particular matters have come to my attention.

BASIS OF INDEPENDENT EXAMINER'S REPORT

My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and the seeking of explanations from you, as Trustees, concerning any such matters. The procedures undertaken do not provide all of the evidence that would be required in an audit and, consequently, no opinion is given as to whether the financial statements present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.

INDEPENDENT EXAMINER'S STATEMENT

In connection with my examination, no matter has come to my attention:

which gives me reasonable cause to believe that, in any material respect, the requirements:
(a) to keep accounting records in accordance with section 386 of the Companies Act 2006, and
(b) to prepare financial statements which accord with the accounting records and comply with the accounting requirements of section 396 of the Companies Act 2006.
(c) to prepare financial statements in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities.

have not been met; or

to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.

Bell Tindle Williamson LLP Chartered Accountants The Old Post Office 63 Saville Street North Shields Tyne & Wear NE30 1AY

E. J. Hartshorne-Ferguson

E. J. Hartshorne-Ferguson BA FCA Independent Examiner

CHARTERED ACCOUNTANTS AND REGISTERED AUDITORS 14th December 2023

Page 11

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF FINANCIAL ACTIVITIES

(INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31ST MARCH 2023

Note INCOME: Donations and Legacies 3 4 *Investment Income* Interest on Cash Deposits *Income from Other Trading Activities* Coffee Bar Facilities Sundry Income TOTAL INCOMING RESOURCES EXPENDITURE: *Costs of Raising Funds* 5 Expenditure on Charitable Activities 6 TOTAL RESOURCES EXPENDED NET MOVEMENT IN FUNDS RECONCILIATION OF FUNDS Total Funds Brought Forward TOTAL FUNDS CARRIED FORWARD Income from Charitable Activities Cost of Goods Sold and Other Costs		Unrestricted Funds £ 13,310 30,191 91 29,942 28,607 371 102,512 11,006 98,735 109,741 (7,229) 92,496 85,267		Restricted Funds £ 10,650 3,097 - - - - 13,747 - 7,228 7,228 6,519 8,384 14,903		2023 £ 23,960 33,288 91 29,942 28,607 371 116,259 11,006 105,963 116,969 (710) 100,880 100,170		2022 £ 21,783 28,027 7 17,784 23,810 124

								91,535
								7,526 78,416
								85,942
								5,593 95,287
								100,880

The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.

All incoming resources and resources expended derive from continuing activities

The notes on pages 13 to 21 form part of these financial statements.

Page 12

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) BALANCE SHEET AS AT 31ST MARCH 2023

FIXED ASSETS Tangible assets CURRENT ASSETS Stocks Debtors Cash at Bank and in Hand TOTAL CURRENT ASSETS CREDITORS - AMOUNTS DUE WITHIN ONE YEAR NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES FUNDS OF THE CHARITY Unrestricted Funds Restricted Funds - Other Restricted Funds - Section Accounts TOTAL CHARITY FUNDS	Note 13 14 15 16 17 17 17	£ £ £ £ 12,986 16,586 198 215 9,294 4,615 87,199 91,659 96,691 96,489 9,507 12,195 87,184 84,294 100,170 100,880 85,267 92,496 5,000 - 9,903 8,384 100,170 100,880 2023 2022	£ £ £ £ 12,986 16,586 198 215 9,294 4,615 87,199 91,659 96,691 96,489 9,507 12,195 87,184 84,294 100,170 100,880 85,267 92,496 5,000 - 9,903 8,384 100,170 100,880 2023 2022
			100,880
			92,496 - 8,384
			100,880

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

For the year ending 31st March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

The members have not required the charitable company to obtain an audit of its financial statements for the year in question in accordance with section 476;
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

These financial statements were approved by the board of directors and authorised for issue on 14th December 2023 and are signed on their behalf by:

…………………………………………………….

P. J. MILBURN Trustee/Director

Registration Number: 08555227

The notes on pages 13 to 21 form part of these financial statements.

Page 13

PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

1. ACCOUNTING POLICIES

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

a) Basis of Preparation

The financial statements have been prepared under the historical cost convention, and in accordance with the Charities: Statement of Recommended Practice (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Primrose Community Association meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.

b) Preparation of the Financial Statements on a Going Concern Basis

The trustees consider that there are no material uncertainties about the Charity's ability to continue as a going concern. There are no significant judgements or key sources of estimation uncertainty that affect the financial statements.

c) Cash Flow Statement

The trustees have taken advantage of the exemption from including a cash flow statement in the financial statements on the grounds that the charity is small.

d) Income

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

The following specific policies are applied to particular categories of income:

Donations and grants are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.
Income from activity groups is recognised when monies are receivable for taking part in the relevant activity.
Income from charitable fundraising events is recognised when it becomes receivable.
Income from trading activities is recognised when goods are sold or facilities provided.
Sundry income is included when receivable.

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PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

1. ACCOUNTING POLICIES (continued)

e) Fund Accounting

Unrestricted funds comprise those funds which the trustees are free to use for any purpose in furtherance of the charitable objects. Unrestricted funds include designated funds where the trustees, at their discretion, have created a fund for a specific purpose.

Restricted funds comprise donations which the donor has specified are to be solely used for particular areas of the charity's work or for special projects being undertaken by the charity, and designated Section funds.

f) 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. Expenditure is classified under the following activity headings:

Costs of raising funds comprise the costs of commercial trading including the coffee bar.
Expenditure on charitable activities includes the costs of performances, events and other activities undertaken to further the purposes of the charity and their associated support costs.
Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include independent examination fees and costs linked to the strategic management of the charity.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

g) Support Costs

Support costs are those functions that assist in the work of the charity but do not directly undertake charitable activities. Support costs include office costs, finance, payroll and governance costs which support the charity's activities. These costs have been included within expenditure on charitable activities.

h) Tangible Fixed Assets

Tangible fixed assets are stated at cost less depreciation.

Depreciation is calculated to write off the cost of fixed assets over the expected useful lives of the assets concerned. The principal annual rates for this purpose, which are consistent with those of the previous year, are:-

Asset Category	Annual Rate
Equipment	20%
Coffee Bar	10%

i) Stock

Stock is included at the lower of cost and net realisable value.

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PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

1. ACCOUNTING POLICIES (continued)

j) 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.

k) Cash at Bank and in Hand

Cash at bank and in hand comprises petty cash and funds held in the charity paypal account, bank current and deposit accounts.

l) Creditors and Provisions

Creditors 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 are normally recognised at their settlement amount after allowing for any trade discounts due.

m) 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.

2. LEGAL STATUS

Primrose Community Association is a company limited by guarantee and as such has no share capital. In the event of the charitable company being wound up, the members would be required to contribute an amount not exceeding £1.

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PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

3. DONATIONS AND LEGACIES

Grants HMRC CJRS Grants Local Authority Grants South Tyneside Council National Lottery Jarrow Festival Committee Donations General Primrose Community Enterprises Ltd		Unrestricted £ - - 5,000 - - 8,000 310 13,310		Restricted £ - - - 10,000 650 - - 10,650		2023 £ - - 5,000 10,000 650 8,000 310 23,960		2022 £ 1,705 16,000 - - - 2,000 2,078
								21,783

4. INCOME FROM CHARITABLE ACTIVITIES

Events Section Receipts Activity Groups Membership Indoor Bowls Squash Toddlers U3A Bowls XYW Atoria Sci-Fi Music Craft Class Mayors Award		Unrestricted £ 863 - 1,459 5,832 14,541 4,725 - 1,226 705 353 487 - 30,191		Restricted £ - 3,097 - - - - - - - - - - 3,097		2023 £ 863 3,097 1,459 5,832 14,541 4,725 - 1,226 705 353 487 - 33,288		2022 £ 282 2,702 1,841 5,362 12,854 3,252 51 1,000 641 - - 42
								28,027

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PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

5. COSTS OF RAISING FUNDS

Cost of Goods Sold and Other Costs Coffee Bar	Unrestricted £ 11,006	Restricted £ -	2023 £ 11,006	2022 £ 7,526

6. EXPENDITURE ON CHARITABLE ACTIVITIES

Events Section Expenditure Wages and Salaries Pensions Stationery and Postage Telephone and Internet Heat and Light Water Rates Insurances and Licences Building and Equipment Maintenance Cleaning, Laundry and Refuse Professional Fees Independent Examiners Fees General Expenses Loss on Disposal of Fixed Assets Depreciation of Equipment Depreciation of Coffee Bar		Unrestricted £ 717 - 37,252 176 1,385 3,007 24,054 3,083 2,150 2,793 2,603 10,821 1,513 2,130 458 70 4,005 2,518 98,735		Restricted £ 469 1,578 5,000 - - - - - - - - - - - 181 - - - 7,228		2023 £ 1,186 1,578 42,252 176 1,385 3,007 24,054 3,083 2,150 2,793 2,603 10,821 1,513 2,130 639 70 4,005 2,518 105,963		2022 £ 151 2,257 29,362 - 1,131 3,626 19,437 (1,834) 1,098 2,172 6,623 5,393 619 1,860 462 - 3,541 2,518
								78,416

7. NET INCOME/(EXPENDITURE) FOR THE YEAR

This is stated after charging: Independent Examiner's Fees Loss on Disposal of Fixed Assets Depreciation		2023 £ 2,130 70 6,523	2022 £ 1,860 - 6,059

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PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

8. ANALYSIS OF STAFF COSTS, TRUSTEE REMUNERATION AND EXPENSES, AND THE COST OF KEY MANAGEMENT PERSONNEL

Wages and Salaries Pensions		Unrestricted £ 37,252 176 37,428		Restricted £ 5,000 - 5,000		2023 £ 42,252 176 42,428	2022 £ 29,362 -
							29,362

No employees had employee benefits in excess of £60,000 during the year (2022: £nil).

The charity 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 trustees and the Centre co-ordinator. The total employee benefits of the key management personnel of the charity were £5,422 (2022: £nil).

9. STAFF NUMBERS

The average monthly head count was as follows:

Centre support workers	2023 Number 5	2022 Number
		4

10. RELATED PARTY TRANSACTIONS

Primrose Community Enterprises Ltd is a wholly owned subsidiary of the Association. During the year surplus funds amounting to £8,000 (2022: £2,000) were donated to the Association and are included in note 3 to the financial statements. In addition, £944 (2022: £930) of insurance costs, borne by Primrose Community Association have been recharged to Primrose Community Enterprises Ltd. £8,944 (2022: £2,930) was outstanding at the year end and is included within debtors.

H. Sprouting and J. A. Nicol, who were directors and trustees of Primrose Community Association, were also directors of Primrose Community Enterprises Ltd.

No further transactions with related parties were undertaken such as are required to be disclosed under FRS 102.

11. INDEPENDENT EXAMINERS FEE

The independent examination work conducted during the period constituted a fee of £2,130.

12. TAXATION

As a charity, Primrose Community Association is exempt from tax on income and gains falling within Section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

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PRIMROSE COMMUNITY ASSOCIATION

(A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

13. TANGIBLE FIXED ASSETS

14. 15. 16.	COST At 1st April 2022 Additions Disposals At 31st March 2023 DEPRECIATION At 1st April 2022 Charge for Year Disposals At 31st March 2023 NET BOOK VALUE At 31st March 2023 At 31st March 2022 STOCK Coffee Bar Stock DEBTORS Trade Debtors Primrose Community Enterprises Ltd Prepayments CREDITORS Amounts due within one year:- Accruals Social Security and Other Taxes		Coffee Bar £ 25,178 - - 25,178 18,466 2,518 - 20,984 4,194 6,712		Equipment £ 40,032 2,993 (155) 42,870 30,158 4,005 (85) 34,078 8,792 9,874 2023 £ 198 2023 £ 350 8,944 - 9,294 2023 £ 9,507 - 9,507		Total £ 65,210 2,993 (155)

							68,048
							48,624 6,523 (85)
							55,062
							12,986
							16,586
							2022 £ 215
							2022 £ 50 2,930 1,635
							4,615
							2022 £ 12,163 32
							12,195

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PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

17. STATEMENT OF FUNDS

Unrestricted Funds Restricted Funds National Lottery Jarrow Festival Committee Restricted Funds Section Accounts Indoor Bowls Squash Maintenance Residents Association Toddlers XYW Bar Social Fund Total Funds		At 1st April 2022 £ 92,496 - - - 2,397 2,070 1,228 201 63 2,425 8,384 100,880		Incoming Resources £ 102,512 10,000 650 10,650 495 1,852 - 320 - 430 3,097 116,259		Resources Expended £ (109,741) (5,000) (650) (5,650) - (222) - (114) - (1,242) (1,578) (116,969)		At 31st March 2023 £ 85,267
								5,000 -
								5,000
								2,892 3,700 1,228 407 63 1,613
								9,903
								100,170

Unrestricted Funds - General

These funds can be used in anyway by the trustees in accordance with the objectives of the charity.

Unrestricted Funds - Designated

These funds have been reserved for future planned activity and contingencies.

The unrestricted funds held are summarised as follows:-

General Designated Staffing and redundancy Equipment replacement contingency Six months running costs of the Association Limited liability contingency		2023 £ 24,767 15,000 2,000 43,000 500 85,267		2022 £ 31,996 15,000 2,000 43,000 500
				92,496

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PRIMROSE COMMUNITY ASSOCIATION (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

17. STATEMENT OF FUNDS (continued)

Restricted Funds

These represent funds received which are restricted for a specific purpose. Amounts are released from these funds when the expenditure to which they relate is incurred by the charity.

The restricted funds received are summarised as follows:-

National Lottery

This was a grant, restricted for salary support for a new Centre Coordinator.

Jarrow Festival Committee

This was a grant, restricted for the purpose of delivering events for the Jarrow Festival.

Restricted Funds - Section Accounts

These funds represent Section funds held within the charity.

18. ANALYSIS OF NET ASSETS

Fixed Assets Current Assets Current Liabilities Net Assets at 31st March 2023 Fixed Assets Current Assets Current Liabilities Net Assets at 31st March 2022		Unrestricted Funds £ 12,986 81,788 (9,507) 85,267 Unrestricted Funds £ 16,586 88,105 (12,195) 92,496		Restricted Funds Other £ - 5,000 - 5,000 Restricted Funds Other £ - - - -		Restricted Funds Section Accs £ - 9,903 - 9,903 Restricted Funds Section Accs £ - 8,384 - 8,384		TOTAL £ 12,986 96,691 (9,507)



								100,170
								TOTAL £ 16,586 96,489 (12,195)


								100,880

19. ULTIMATE CONTROLLING PARTY

In the opinion of the trustees, there is no ultimate controlling party of the charity other than the board itself.