**REGISTERED COMPANY NUMBER: 08917492 (England and Wales) REGISTERED CHARITY NUMBER: 1156022** **Report of the Trustees and** **Audited Financial Statements** **for the Year Ended 31 December 2022** **for** **New Forest Quaker Care Home** Town & Forest Chartered Accountants & Statutory Auditors B2, 9 Nimrod Way Arena Business Centre Ferndown Wimborne BH21 7UH **New Forest Quaker Care Home** ## **Contents of the Financial Statements for the Year Ended 31 December 2022** |||**Page**|| |---|---|---|---| |**Report of the Trustees**|1|to|6| |**Report of the Independent Auditors**|7|to|9| |**Statement of Financial Activities**||10|| |**Statement of Financial Position**||11|| |**Statement of Cash Flows**||12|| |**Notes to the Statement of Cash Flows**||13|| |**Notes to the Financial Statements**|14|to|22| |**Detailed Statement of Financial Activities**|23|to|24| **New Forest Quaker Care Home** ## **Report of the Trustees for the Year Ended 31 December 2022** The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). ## **OBJECTIVES AND ACTIVITIES Objectives and aims** The objects of the Charity are, for the public benefit, to provide housing, accommodation and assistance, and associated facilities and amenities to help house elderly people and to relieve their suffering. The trustees continue to have regard to the guidance issued by the Charity Commission on public benefit. The Charity owns and operates a 39-bed residential care home in New Milton. The Charity meets its public benefit obligations by having a policy that we accommodate residents whose places are funded sometimes by the local authority, which pays less than the rate set by the trustees, as well as those who pay the full fee privately. Residents' independence and participation is actively promoted. We have a programme of regular activities initially provided this year mostly by our own staff due to Covid-19 restrictions but as these were relaxed, we were again able to welcome external activities and visitors to the home. Activities have focused on arts & crafts sessions, team games and quizzes. As the year developed and Covid-19 restrictions were reduced we were again able to consider our normal range of events and activities including faith visits, exercise classes, live music, visits by children and visits by animals (with their handlers). Similarly, our annual Open Day, outings to the New Forest, garden centres, the nearby seaside and shopping trips were also gradually reintroduced. Similarly, we were able to open the home again to visits from our volunteers, who regularly come in to socialise with the residents and to help support activities. We continued to hold regular meetings with residents (with families or Trustees also able to attend as lockdown restrictions eased), which are attended by the Registered Manager and other senior staff. These meetings give residents an opportunity to express their views on how the Home is run and to raise any issues that may be of concern. We always encourage visits from friends and family, who can be provided with accommodation and meals if required, and again these were reintroduced as lockdown and social distancing rules were relaxed. Page 1 **New Forest Quaker Care Home** ## **Report of the Trustees for the Year Ended 31 December 2022** ## **ACHIEVEMENT AND PERFORMANCE** This year has been one of steady and positive recovery from the impact of Covid-19 which did, during the long period of the pandemic, bring much stress and strain on all our staff, residents, relatives and all of those who support Quaker House. The Trustees are however once again enormously proud and thankful for the tremendous dedication and effort of our staff and residents in those difficult and unprecedented times and how they have gradually brought our service back to a resumption of 'normal service'. As in the past two years we acknowledge that due to this hard work and sacrifice we have managed to stay free from any significant Covid-19 infections in the home. Given the above impact of the pandemic, and its previous financial effects on our reduced occupancy and fee income coupled with increasing costs, the Trustee's agreed to invest additional resource to help strengthen our senior management to further turn around these operational challenges. This led to the appointment of a new post of Operations Manager to oversee our staff team and help us bring new initiatives to improve our overall management and operating performance as we began to build back from the pandemic. Additionally, like all care homes, the impact of Covid 19 also made recruiting new staff more difficult. This made us further review our training, recruitment and retention approach and how best we could organise our various staff departments, areas of delegation and job descriptions. We do believe all these actions have helped us make progress on these matters and our occupancy has recovered back to pre-Covid levels. Equally, we have introduced new and more efficient ways to maintain our services at the same quality but with reduced overheads to further trim unnecessary costs. These changes put us in a stronger position financially as we ended 2022, putting us back to an annual operating surplus of £158,042. Another change as we ended 2022 was that our Registered Manager left us to pursue other opportunities and the Trustee's recorded their thanks for her service to Quaker House over several years, particularly so during the difficult period of Covid-19 restrictions. Her duties were temporarily replaced by her deputy on an interim basis until a permanent appointment is made. Despite the Covid-19 difficulties reported above we continue to hold a 'Good' rating in all five 'Key Lines of Enquiry' (KLOEs) tested by the Care Quality Commission (CQC) as published in January 2019. This reflects the sustained work done by all staff in maintaining continuous compliance with the KLOEs. With our strengthened management resources and our new Operations Director, we remain confident that we can retain this 'Good' rating should this be the subject of an inspection by our Regulator in 2023. Page 2 **New Forest Quaker Care Home** ## **Report of the Trustees for the Year Ended 31 December 2022** ## **FINANCIAL REVIEW** During the first quarter of the year the UK Government announced the lifting of COVID restrictions and compulsory vaccines for care homes in England and after two difficult trading years, we were able to enjoy returning the accounts into profit. The two previous trading years (2020 and 2021) had produced trading deficits however, our profit for 2022 of £158k easily cleared our two years of deficit. The relaxing of the pandemic restrictions and the cautious approach of the Quaker House Management team enabled the home to continue to remain Covid free so that existing residents, visiting families and medical professionals were able to return to some form of normality. The preparation of our budget for the year ahead proved once again to be challenging not because of any pandemic concerns, but more about a cost of living crisis with the news that we were on course for higher levels of inflation resulting in increased costs for the main aspects of our business such as food, heating and electricity not helped by an escalation of the conflict with the war in Ukraine. Despite these concerns, the board agreed to restrict our level of fee increase well below the inflation forecast as we were confident that Quaker House was in a much stronger position, under a new management structure, to build on our success. Previously, Government grants had provided financial assistance and some amounts were remitted during the first quarter of the year, however the 2022 performance is primarily based on our ability to maintain Quaker House as being the ideal 'home from home' style of professional care without any need to tap into our reserves. Our income increased by 19.3% (2021 decreased by 7.8%) whilst expenditure increased by 1.1% (2021 decreased by 4.9%), which again shows the cautionary approach taken with our expenditure levels during a challenging time. Being a charity and as part of our constitution, we make a charitable contribution by allowing for up to five local authority residents from HCC at a reduced rate. Typically, an average of £200pw is set against our full fee rate depending on the category of care required. Our policy is to net our charitable contributions against the room fee income in our accounts. Average room occupancy during 2022 was 73.68% compared with 63.20% in 2021, which again highlights the steady improvements with our overall performance. The short stay convalescence and respite service continues to be popular and achieves a good conversion rate into full time residencies. The company's cash reserves policy is designed to keep sufficient "free cash" in its bank accounts to cover approximately six months' operating cash requirement plus three years' estimated expenditure on planned maintenance and improvements. "Free cash" comprises all cash excluding amounts representing residents' deposits and amounts relating to restricted reserves that are intended to be spent more than twelve months from the balance sheet date. This requirement is equivalent to about £727,000 (2021: £736,000). However, the calculated "free cash" reserve figure is £436,854 (2021: £412,911), which gives a shortfall in cash reserves of about £290,109 (2021: £323,000). At this level, the Board considers that the Charity can continue to function in the next 12 months whilst it rebuilds its occupancy rate and reduces costs where possible whilst maintaining the level of care and safety consistent with five 'Good' scores under the KLOEs. We are of course continually monitoring the situation. We have benchmarked our fees, both current and the new ones for 2022/23, to ensure that we are in line with the market in which we operate. The Trustees are of the opinion that the market value of the freehold property owned by the Charity is greater in value than the net book value as stated in the balance sheet and thus more in line with property price increases that have actually been experienced during the year. Page 3 **New Forest Quaker Care Home** ## **Report of the Trustees for the Year Ended 31 December 2022** ## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document** The Charity is a company limited by guarantee and does not have share capital. Its governing document is the Articles of Association. The Trustees set the strategic direction and policies of the Charity and delegate the implementation of their decisions and day-to-day management to the Registered Manager, the Business Manager and other senior members of staff. The Board has two Committees: Finance and Facilities Management. During 2022 there were six Trustees with a wide range of professional backgrounds although two of the trustees stepped down from their roles towards the end of the year. There is a formal process for recruiting new Trustees. This includes an informal meeting with the candidate attended by the Chair, and another trustee and inviting the candidate to attend a Board meeting as an observer. New trustees are issued with a welcome pack of documentation and meet with the Chair of the Board, the Chairs of the committees, the Business Manager and the Registered Manager. They are issued with a job description and a board member handbook. Trustees retire by rotation at every third annual review meeting but may stand to be re-elected. However, they may serve for no more than three contiguous 3-year terms of office, other than in exceptional circumstances. No trustees required to be retired by rotation during the year (2021: None) or to have their earlier appointment confirmed at the Annual Review Meeting (2021: None). It is a requirement that Trustees receive training on various issues including dementia and fundraising. The risks the Charity faces are reviewed annually, and systems and procedures have been established to mitigate them. We conduct an annual skills audit of the trustees. The Home is registered with, and regulated by, the CQC under the Health and Social Care Act 2008. ## **REFERENCE AND ADMINISTRATIVE DETAILS** ## **Registered Company number** 08917492 (England and Wales) ## **Registered Charity number** 1156022 ## **Registered office** Quaker House 40 Barton Court Road New Milton Hampshire BH25 6NR ## **Trustees** M Richens B Dempster (resigned 8.11.22) N Holmes E Kemp E Hayward (resigned 8.11.22) J Masters ## **Senior Statutory Auditor** Zara Dunster FCA Page 4 **New Forest Quaker Care Home** ## **Report of the Trustees for the Year Ended 31 December 2022** ## **REFERENCE AND ADMINISTRATIVE DETAILS** ## **Auditors** Town & Forest Chartered Accountants & Statutory Auditors B2, 9 Nimrod Way Arena Business Centre Ferndown Wimborne BH21 7UH ## **Solicitors** Bates Wells Braithwaite 10 Queen Street Place London ECRU 1BE ## **STATEMENT OF TRUSTEES' RESPONSIBILITIES** The trustees (who are also the directors of New Forest Quaker Care Home for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charity SORP; - make judgements and estimates that are reasonable and prudent; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company 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 charitable company 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware: - there is no relevant audit information of which the charitable company's auditors are unaware; and - the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. Internal controls over all forms of commitment and expenditure continues to be refined to improve efficiency. Processes are in place to ensure that performance is monitored and appropriate management information is prepared and regularly reviewed by both the executive management and the Trustees. The systems of internal controls are designed to provide reasonable but not absolute assurance against material mis-statement or loss. They include: - Strategic plans and annual budgets approved by the Trustees; - Regular consideration by the Trustees of financial results, variances from budgets, non-financial performance indicators and benchmarking reviews; - Delegation of day-to-day management authority and segregation of duties; and - Identification and management of risks. Page 5 2022 ￿D￿oRs The auditO¥8. Tow) & F¢rt vrill b¥pToposed forrwppoinltTmtgt th¢ forth¢omin8 Annua] General Meetiog. Ths report h&4 beffl prepared in Eccordance with the &r￿la1 provisiong of Part IS of the CompaDt¢s Ad 2006 re]ating to small Compani￿. Approv￿ by ortsof theboArd 0ftruSt￿ on..... and sign&1 on its behalf by.. .Trustee Pag¢ 6 ## **Report of the Independent Auditors to the Members of New Forest Quaker Care Home** ## **Opinion** We have audited the financial statements of New Forest Quaker Care Home (the 'charitable company') for the year ended 31 December 2022 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). ## In our opinion the financial statements: - give a true and fair view of the state of the charitable company's affairs as at 31 December 2022 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and - have been prepared in accordance with the requirements of the Companies Act 2006. ## **Basis for opinion** We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## **Conclusions relating to going concern** In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## **Other information** The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. ## **Opinions on other matters prescribed by the Companies Act 2006** In our opinion, based on the work undertaken in the course of the audit: - the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and - the Report of the Trustees has been prepared in accordance with applicable legal requirements. Page 7 ## **Report of the Independent Auditors to the Members of New Forest Quaker Care Home** ## **Matters on which we are required to report by exception** In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and returns; or - certain disclosures of trustees' remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit; or - the trustees were not entitled to take advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Trustees. ## **Responsibilities of trustees** As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. ## **Our responsibilities for the audit of the financial statements** Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to the Companies Act 2006, FRS 102 and Charities Act 2011. We assessed the risks of material misstatement in respect of fraud as follows: we made full enquiries with management and those charged with governance. As part of our fraud discussions we discussed particular areas we believed to be susceptible to misstatement. Also during our audit we paid particular attention to looking for any related party transactions, however there were no related party transactions in this entity. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors. Page 8 ## **Report of the Independent Auditors to the Members of New Forest Quaker Care Home** ## **Use of our report** This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. Zara Dunster FCA (Senior Statutory Auditor) for and on behalf of Town & Forest Chartered Accountants & Statutory Auditors B2, 9 Nimrod Way Arena Business Centre Ferndown Wimborne BH21 7UH 31 August 2023 Date: ............................................. Page 9 ## **New Forest Quaker Care Home** ## **Statement of Financial Activities** ## **(Incorporating an Income and Expenditure Account) for the Year Ended 31 December 2022** |Notes
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
2
**Charitable activities**
Grant Income
Other trading activities
3
Investment income
4
**Total**
**EXPENDITURE ON**
**Charitable activities**
6
Charitiable Costs
Governance
Support Costs
Other
**Total**
**NET INCOME/(EXPENDITURE)**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**|31.12.22
Unrestricted
funds
£
-
20,391
1,443,089
13,841
1,477,321
1,189,456
4,920
114,344
10,559
1,319,279
158,042
2,321,325
2,479,367|31.12.21
Total
funds
£
2,672
70,230
1,153,159
12,435
1,238,496
1,200,893
4,354
89,292
9,956
1,304,495
(65,999)
2,387,324
2,321,325| |---|---|---| The notes form part of these financial statements Page 10 31D 31.I122 31.12.21 fun& runds FIXED ASSETS Tangible assets 1.951447 2.034,216 CURBENT ASSETS StsKks Debto Cosh at bonk and in hand l2 13 3,689 24,451 730,242 3.689 33274 480,715 758.382 517,678 CREDITORS ArnO￿ts failin8 within on¢year 14 (226,581) (204.478) NET CURRENT ASSETS 531,801 313200 TOTAL AssEf&ix&s CiTRRENT LIABILvfIES 2.484.248 1347,416 CREDITORS Amounts fa]iiny du¢therrnor¢ than one y 15 (4,881) (26.091) NET ASSETS 1479.367 2321.325 17 UnrestfiCt¢d fimd8 1479.367 2.321.325 TOTAL FUNDS 1479.367 1321 J25 Th¢s¢ fmancial ￿￿¢M￿Lts have be￿ preparryj in ac¢ordAnce with th¢ proyi5ions applic4bl¢ w d￿ri￿ble compau¢s subject to the small compani4s ryima The finon¢ial slat¢muJts were approved by the Boord of Thjsteeg and authorised for isgue u] and were si8ned on its behalf by.. The fo￿ port ofthtse financial ststetrRnts Pagell ## **New Forest Quaker Care Home** ## **Statement of Cash Flows** ## **for the Year Ended 31 December 2022** |Notes
**Cash flows from operating activities**
Cash generated from operations
1
Interest element of finance lease payments
paid
Net cash provided by operating activities
**Cash flows from investing activities**
Purchase of tangible fixed assets
Interest received
Net cash used in investing activities
**Cash flows from financing activities**
Capital repayments in year
Net cash used in financing 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**|31.12.22
£
252,669
-
252,669
(2,435)
1,841
(594)
(2,548)
(2,548)
249,527
480,715
730,242|31.12.21
£
13,256
(421)
12,835
(32,800)
435
(32,365)
(1,701)
(1,701)
(21,231)
501,946
480,715| |---|---|---| The notes form part of these financial statements Page 12 **New Forest Quaker Care Home** ## **Notes to the Statement of Cash Flows** ## **for the Year Ended 31 December 2022** ## **1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES** |**Net income/(expenditure) for the reporting period (as per the Statement**
**of Financial Activities)**
**Adjustments for:**
Depreciation charges
Loss on disposal of fixed assets
Interest received
Interest element of hire purchase and finance lease rental payments
Increase in stocks
Decrease/(increase) in debtors
Increase/(decrease) in creditors
**Net cash provided by operations**
2.
**ANALYSIS OF CHANGES IN NET FUNDS**|31.12.22
£
158,042
83,070
1,134
(1,841)
-
-
8,823
3,441
252,669|31.12.21
£
(65,999)
85,344
-
(435)
421
(2,560)
(2,347)
(1,168)| |---|---|---| |||13,256| |||| ||At 1.1.22|Cash flow|At 31.12.22| |---|---|---|---| ||£|£|£| |**Net cash**|||| |Cash at bank and in hand|480,715|249,527|730,242| ||480,715|249,527|730,242| |**Debt**|||| |Finance leases|(2,548)|2,548|-| ||(2,548)|2,548|-| |**Total**|478,167|252,075|730,242| The notes form part of these financial statements Page 13 **New Forest Quaker Care Home** ## **Notes to the Financial Statements** ## **for the Year Ended 31 December 2022** ## **1. ACCOUNTING POLICIES** ## **Basis of preparing the financial statements** The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention and in accordance with the accounting policies set out below. The financial statements have been prepared in sterling which is the functional currency of the charity. ## **Income** All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. Donations: Donations are accounted for as they are received. Legacies: Pecuniary legacies are accounted for as they are received. Residuary legacies are accounted for at the date of entitlement. Local Authority Fees are accounted for at the date the invoice is issued in accordance with the terms and conditions prevailing with the local authority. Investment income is accounted for once the income has been credited to the bank account. Grant income is accounted for in an appropriate manner that matches with the expenditure towards which it is intended to contribute. Grants for immediate financial support or to cover costs already incurred are recognised immediately in the statement of financial activities. All grant income is recognised when all conditions for receipt have been complied with. ## **Expenditure** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. ## **Redundancy and termination payments** Termination payments are payable when employment is terminated before the normal retirement date, or whenever an employee accepts voluntary redundancy in exchange for these payments. The charity recognises termination payments when it is demonstrably committed to either (i) terminating the employment of current employees according to a detailed formal plan without possibility of withdrawal or (ii) providing termination benefits as a result of an offer made to encourage voluntary redundancy. ## **Tangible fixed assets** Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter. |Freehold Property|- 2% on cost| |---|---| |Fixtures and Fittings|- 10% straight line| |Long Life Assets|- 5% on cost| |Fire Prevention Equipment|- 10% on cost| continued... Page 14 **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022** ## **1. ACCOUNTING POLICIES - continued** **Tangible fixed assets** Computer Equipment - 20% on cost ## **Stocks** Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. ## **Taxation** The charity is exempt from corporation tax on its charitable activities. ## **Fund accounting** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. ## **Provisions and accruals** Provisions are recognised when there is a present legal or constructive obligation as a result of past events and the amount can be reliably estimated. Provisions are not recognised for future operating losses. ## **Trade debtors** Trade debtors are carried at original net invoice amount less an estimate for doubtful debtors. Bad debts are written off when identified. Specific provisions are made against debts whose recovery is considered doubtful. ## **Pension costs and other post-retirement benefits** The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. ## **Fixtures and fittings** Items (or projects) costing less than £3,000 are written off against income during the year of expenditure, items with a life of less than three years are also written off against income. ## **2. DONATIONS AND LEGACIES** |**DONATIONS AND LEGACIES**||| |---|---|---| ||31.12.22|31.12.21| ||£|£| |Donations|-|2,672| Page 15 continued... **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022** |**3.**
**OTHER TRADING ACTIVITIES**
Room fees
Sundry income
**4.**
**INVESTMENT INCOME**
Rent - 38B Barton Court Road
Deposit account interest
**5.**
**INCOME FROM CHARITABLE ACTIVITIES**
Activity
Grants
Grant Income
Grants received, included in the above, are as follows:
Grants Received
**6.**
**CHARITABLE ACTIVITIES COSTS**
Charitiable Costs
Governance
Support Costs|Direct
Costs
£
1,189,456
-
-
1,189,456|31.12.22
£
1,443,006
83
1,443,089
31.12.22
£
12,000
1,841
13,841
31.12.22
£
20,391
31.12.22
£
20,391
Support
costs (see
note 7)
£
-
4,920
114,344
119,264|31.12.21
£
1,149,659
3,500| |---|---|---|---| ||||1,153,159| ||||31.12.21
£
12,000
435
12,435
31.12.21
£
70,230
31.12.21
£
70,230
Totals
£
1,189,456
4,920
114,344| ||||1,308,720| Page 16 continued... **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022** ## **7. SUPPORT COSTS** |**SUPPORT COSTS**||| |---|---|---| |Governance
Support Costs|Governance
Other
costs
£
£
-
4,920
114,344
-
114,344
4,920|Totals
£
4,920
114,344| |||119,264| ## **8. NET INCOME/(EXPENDITURE)** Net income/(expenditure) is stated after charging/(crediting): ||31.12.22|31.12.21| |---|---|---| ||£|£| |Auditors' remuneration|4,920|4,354| |Depreciation - owned assets|81,369|83,643| |Depreciation - assets on hire purchase contracts and finance leases|1,701|1,701| |Hire of plant and machinery|10,559|9,535| |Deficit on disposal of fixed assets|1,134|-| ## **9. TRUSTEES' REMUNERATION AND BENEFITS** There were no trustees' remuneration or other benefits for the year ended 31 December 2022 nor for the year ended 31 December 2021. ## **Trustees' expenses** There were no trustees' expenses paid for the year ended 31 December 2022 nor for the year ended 31 December 2021. ## **10. STAFF COSTS** |Wages and salaries
Social security costs
Other pension costs
The average monthly number of employees during the year was as follows:
Full and Part Time|31.12.22
£
669,758
58,866
37,385
766,009
31.12.22
34|31.12.21
£
766,535
56,749
41,313| |---|---|---| |||864,597| |||31.12.21
37| No employees received emoluments in excess of £60,000. continued... Page 17 **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued** ## **for the Year Ended 31 December 2022** ## **11. TANGIBLE FIXED ASSETS** |**COST**
At 1 January 2022
Additions
Disposals
At 31 December 2022
**DEPRECIATION**
At 1 January 2022
Charge for year
Eliminated on disposal
At 31 December 2022
**NET BOOK VALUE**
At 31 December 2022
At 31 December 2021
**COST**
At 1 January 2022
Additions
Disposals
At 31 December 2022
**DEPRECIATION**
At 1 January 2022
Charge for year
Eliminated on disposal
At 31 December 2022
**NET BOOK VALUE**
At 31 December 2022
At 31 December 2021|Freehold
Property
£
2,352,958
-
-
2,352,958
554,589
43,200
-
597,789
1,755,169
1,798,369
Fire
Prevention
Equipment
£
101,417
-
-
101,417
92,587
5,478
-
98,065
3,352
8,830|Fixtures
and
Fittings
£
261,468
2,435
-
263,903
115,598
21,938
-
137,536
126,367
145,870
Computer
Equipment
£
32,309
-
(8,505)
23,804
15,669
5,267
(7,371)
13,565
10,239
16,640|Long Life
Assets
£
159,879
-
-
159,879
95,372
7,187
-
102,559
57,320
64,507
Totals
£
2,908,031
2,435
(8,505)
2,901,961
873,815
83,070
(7,371)
949,514
1,952,447
2,034,216| |---|---|---|---| Included in cost or valuation of land and buildings is freehold land of £193,875 (2021 - £193,875) which is not depreciated. Freehold Property cost consists of Quaker House £2,024,558 and 38b Barton Road £328,400. continued... Page 18 **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022** ## **11. TANGIBLE FIXED ASSETS - continued** Fixed assets, included in the above, which are held under finance leases are as follows: |**COST**
At 1 January 2022
Disposals
At 31 December 2022
**DEPRECIATION**
At 1 January 2022
Charge for year
Eliminated on disposal
At 31 December 2022
**NET BOOK VALUE**
At 31 December 2022
At 31 December 2021
**12.**
**STOCKS**
31.12.22
£
Stocks
3,689
**13.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
31.12.22
£
Trade debtors
14,597
Other debtors
2,877
Prepayments
6,977
24,451|Computer
Equipment
£
8,505
(8,505)
-
5,670
1,701
(7,371)
-
-
2,835
31.12.21
£
3,689
31.12.21
£
26,518
746
6,010
33,274| |---|---| continued... Page 19 **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022** |**14.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Finance leases (see note 16)
Trade creditors
Social security and other taxes
Other creditors
Pension Fund deficit
Deferred income
Accrued expenses
**15.**
**CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**
Finance leases (see note 16)
Pension Fund deficit
**16.**
**LEASING AGREEMENTS**
Minimum lease payments under finance leases fall due as follows:
Gross obligations repayable:
Within one year
Between one and five years
Finance charges repayable:
Within one year
Between one and five years
Net obligations repayable:
Within one year
Between one and five years|31.12.22
31.12.21
£
£
-
1,701
44,789
22,767
24,233
27,147
71,929
74,093
9,549
8,205
12,684
1,820
63,397
68,745
226,581
204,478
31.12.22
31.12.21
£
£
-
847
4,881
25,244
4,881
26,091
Finance leases
31.12.22
31.12.21
£
£
-
2,122
-
1,060
-
3,182
-
421
-
213
-
634
-
1,701
-
847
-
2,548|31.12.21
£
1,701
22,767
27,147
74,093
8,205
1,820
68,745|31.12.21
£
1,701
22,767
27,147
74,093
8,205
1,820
68,745| |---|---|---|---| |||204,478|| ||||3,182| ||||421
213| ||||634| ||||1,701
847| ||||2,548| continued... Page 20 **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued** ## **for the Year Ended 31 December 2022** ## **17. MOVEMENT IN FUNDS** |At 1.1.22
£
**Unrestricted funds**
General fund
2,321,325
**TOTAL FUNDS**
2,321,325
Net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
1,477,321
**TOTAL FUNDS**
1,477,321
**Comparatives for movement in funds**
At 1.1.21
£
**Unrestricted funds**
General fund
2,387,324
**TOTAL FUNDS**
2,387,324
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
1,238,496
**TOTAL FUNDS**
1,238,496|Net
movement
in funds
£
158,042
158,042
Resources
expended
£
(1,319,279 )
(1,319,279 )
Net
movement
in funds
£
(65,999)
(65,999)
Resources
expended
£
(1,304,495 )
(1,304,495 )|At
31.12.22
£
2,479,367
2,479,367
Movement
in funds
£
158,042
158,042
At
31.12.21
£
2,321,325
2,321,325
Movement
in funds
£
(65,999)
(65,999)| |---|---|---| continued... Page 21 **New Forest Quaker Care Home** ## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022** ## **18. RELATED PARTY DISCLOSURES** There were no related party transactions for the year ended 31 December 2022. ## **19. PENSION FUND DEFICIT** The Charity and its employees used to contribute to The Pensions Trust Growth Plan Series 3, a defined benefit scheme which is in deficit. To eliminate the deficit The Pensions Trust has implemented a recovery plan which requires the Charity to make deficit contributions. The contributions were initially set at £6,629.40 pa for 10 years starting in April 2013 and increasing at 3% pa. In April 2016, the contributions were revised to £6,921.67 pa increasing at 3% pa and were extended to September 2025. In April 2022, the contributions were revised to a fixed payment of £2,068.63 pa plus an expense amount of £2,312.22 pa increasing at 3% pa and was reduced to January 2025. Provision has been made for the deficit contributions payable at the balance sheet date. The amount of the deficit fluctuates according to the life expectancy of members and investment returns. It could increase or decrease. Our contributions might therefore change again. Since September 2009 all contributing employees changed to The Pensions Trust Growth Plan Series 4, a defined contribution scheme, which has no future contingent liabilities on the Home. If the Charity were to withdraw from the Plan, it would be immediately liable for its share of the deficit (calculated on a buy-out valuation basis) at the date of withdrawal. At 30 September 2022 the cost of withdrawal would have been £28,882.00. The Growth Plan is one scheme (albeit made up of four series) so, as long as the Charity has active members in either Series 3 or 4, the liability will not be triggered. Full provision has not been made for this amount as the Charity has not withdrawn from the Plan. Page 22 ## **New Forest Quaker Care Home** |**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**Other trading activities**
Room fees
Sundry income
**Investment income**
Rent - 38B Barton Court Road
Deposit account interest
**Charitable activities**
Grants
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Wages
Social security
Pensions
Agency staff
Food supplies
Light and heat
Insurance
Rates and water
Residents entertainment
Training
Cleaning
Garden expenses
Maintenance
Depreciation of tangible fixed assets
Loss on sale of tangible fixed assets
**Other**
Rental of equipment
Carried forward|**Detailed Statement of Financial Activities**
**for the Year Ended 31 December 2022**|31.12.22
£
-
1,443,006
83
1,443,089
12,000
1,841
13,841
20,391
1,477,321
669,758
58,866
37,385
104,515
67,747
27,394
8,531
17,010
12,262
2,699
17,232
6,918
74,935
83,070
1,134
1,189,456
10,559
10,559|31.12.21
£
2,672
1,149,659
3,500| |---|---|---|---| ||||| ||||1,153,159
12,000
435| ||||12,435
70,230| ||||1,238,496
766,535
56,749
41,313
29,074
51,917
36,707
7,695
16,018
5,813
1,985
25,925
6,397
69,421
85,344
-| ||||1,200,893
9,535
9,535| This page does not form part of the statutory financial statements Page 23 ## **New Forest Quaker Care Home** |**Other**
Brought forward
Leasing
**Support costs**
**Other**
Professional fees
Telephone
Postage and stationery
Sundries
Registration fees
Bank charges
Advertising
Bad debts
**Governance costs**
Auditors' remuneration
Total resources expended
**Net income/(expenditure)**|**Detailed Statement of Financial Activities**
**for the Year Ended 31 December 2022**|31.12.22
£
10,559
-
10,559
81,107
7,037
5,236
12,704
7,320
3,521
10,534
(13,115)
114,344
4,920
1,319,279
158,042|31.12.21
£
9,535
421
9,956
53,975
8,460
5,291
5,627
8,802
1,442
8,781
(3,086)
89,292
4,354
1,304,495
(65,999)| |---|---|---|---| ||||| This page does not form part of the statutory financial statements Page 24