Registered number: 08550189 Charity number: 1156826
ASHOVER COMMUNITY MEDICAL CENTRE LTD
UNAUDITED
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
| CONTENTS | |
|---|---|
| Page | |
| Reference and administrative details of the charity, its trustees and advisers | 1 |
| Trustees' report | 2 - 4 |
| Independent examiner's report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Notes to the financial statements | 8 - 15 |
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2022
| Trustees | Andrew S King, Treasurer |
|---|---|
| W Edward Willmot, Chairman | |
| Jacquie W Collins, Trustee | |
| Paul A G Winter, Trustee | |
| D Lucy Taylor, Trustee | |
| Company registered | |
| number | 08550189 |
| Charity registered | |
| number | 1156826 |
| Registered office | Unit 6, The Mall |
| Market Street | |
| Clay Cross | |
| Chesterfield | |
| Derbyshire | |
| S45 9JE | |
| Accountants | Shorts |
| Chartered Accountants | |
| 2 Ashgate Road | |
| Chesterfield | |
| Derbyshire | |
| S40 4AA | |
| Bankers | National Westminster Bank plc |
Page 1
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2022
The Trustees present their annual report together with the financial statements of Ashover Community Medical Centre Ltd ("the charity" or "the company") for the year ended 31 March 2022. The Trustees confirm that the Annual Report and financial statements of the charity comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice (SORP), 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) as amended by Update Bulletin 1 (effective 1 January 2015).
Since the charity qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.
POLICIES AND OBJECTIVES
The object of the charity is to apply its income in the parish of Ashover and such surrounding districts ("the Area of Benefit") to:
"(i) relieve sickness, old age and disability of the inhabitants of the area of benefit and to establish, equip and maintain a primary care centre."
"(ii) promote for the benefit of the inhabitants of the Area of Benefit without distinction of sexual orientation, race or political, religious or other opinions, by associating together the said inhabitants and the local authorities, voluntary and other organisations in a common effort to advance education and 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."
To this end, the charity's principal activities are to support the continued existence of the primary care centre for the benefit of the local community, promote education, and provide recreational facilities. To date, these activities have focused on the following:
• The maintenance and appropriate equipping of the primary care centre facilities;
-
Encouraging community groups' use of facilities at the primary care centre; and
-
The provision of funding for community events and activities.
In planning the charity's activities, the Trustees have regard to both the Charity Commission's general guidance on public benefit and the specific objectives of the charity. Public benefit is achieved by providing a building for use both as a primary care centre and by local community groups combined with making funding available for community social and recreational activities, including the provision of capital equipment.
REVIEW OF ACTIVITIES
As pandemic restrictions have eased this has led to a resumption in applications for funding from local community groups with financial assistance being provided this year for local sports £2,654 (2021: £430) and social events £7,304 (2021: £500) allowing all members of the local community the opportunity to benefit from the funds raised.
The primary care centre building continues to be available for general community purposes in addition to being used as the Ashover Medical Centre. General maintenance of the property and grounds has been carried out as necessary.
Page 2
ASHOVER COMMUNITY MEDICAL CENTRE LTD (A company limited by guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
GOING CONCERN
After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements.
PRINCIPAL RISKS AND UNCERTAINTIES
The Covid-19 outbreak and resulting government measures for virus containment have currently not significantly affected either the charity’s revenue or its costs.
The leasehold property continues to be formally let to a GP Practice under a lease expiring in 2031 and there has been no negative impact on liquidity.
The Trustees continue to monitor the government’s evolving measures for virus containment to enable any developing threats to be addressed in a timely manner.
FINANCIAL REVIEW
The reserves position at the balance sheet date is satisfactory and has allowed the Trustees to continue making funding available to appropriate individuals and community organisations.
The Trustees have reviewed the requirement for free reserves, which are those unrestricted funds not invested in fixed assets, designated for specific purposes, or otherwise committed. The Trustees consider that there should be 12-15% of the insured value of the charity's buildings. Currently, this would give a target of £75,000 to £94,000. This level of reserves is felt to be needed both to enable the Trustees to continue the current activities of the charity should there be a significant drop in the rental income and to provide an emergency repairs fund.
PLANS FOR FUTURE PERIODS
The Trustees will continue to give consideration to all requests received for funding from the local area inhabitants and hold regular meetings to enable a pipeline of approved funding requests to be maintained.
STRUCTURE, GOVERNANCE AND MANAGEMENT
CONSTITUTION
The organisation is a registered charity and a company limited by guarantee. It is governed by its articles of association dated 30 May 2013 and revised on 8 October 2013. There are currently 5 members (2021: 5), each of whom agrees to contribute £1 in the event of the charity winding up.
Page 3
ASHOVER COMMUNITY MEDICAL CENTRE LTD (A company limited by guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
TRUSTEES
The charity's Trustees are also the company's directors. New Trustees may be appointed by either by the existing Trustees or the members by ordinary resolution.
The number of Trustees shall be not less than three. There is no maximum number.
The Trustees who served during the year are as follows:
Jacquie W Collins Andrew S King D Lucy Taylor W Edward Willmot Paul A G Winter
TRUSTEES' INDEMNITIES
The charity maintains liability insurance for the Trustees, both as Trustees and as directors of the company, with a cover limit to each claim or series of claims against them in that capacity. The directors have also been granted a qualifying third party indemnity provision under section 234 of the Companies Act 2006. Neither the company's indemnity nor the insurance provides cover in the event of a Trustee being proved to have acted fraudulently or dishonestly.
INDEPENDENT EXAMINER
A resolution to reappoint H K Freeman as the independent examiner will be proposed at the annual general meeting.
This report was approved by the Trustees, on 6 September 2022 and signed on their behalf by:
W Edward Willmot Chairman
Page 4
ASHOVER COMMUNITY MEDICAL CENTRE LTD (A company limited by guarantee)
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 MARCH 2022
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF ASHOVER COMMUNITY MEDICAL CENTRE LTD (the 'charity')
I report to the charity Trustees on my examination of the accounts of the charity for the year ended 31 March 2022.
This report is made solely to the charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the charity's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the and the charity's Trustees as a body, for work or for this report.
RESPONSIBILITIES AND BASIS OF REPORT
As the Trustees of the charity (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
INDEPENDENT EXAMINER'S STATEMENT
I have completed my examination. I can confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or
-
the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Dated: 6 September 2022
H K Freeman
SHORTS
Chartered Accountants 2 Ashgate Road, Chesterfield Derbyshire, S40 4AA
Page 5
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2022
| Unrestricted funds Note 2022 £ INCOME FROM: Donations and legacies 13 Investments 29,500 TOTAL INCOME 29,513 EXPENDITURE ON: Raising funds 2 4,444 Charitable activities 3 11,873 TOTAL EXPENDITURE 16,317 NET INCOME BEFORE OTHER RECOGNISED GAINS AND LOSSES 13,196 NET MOVEMENT IN FUNDS 13,196 RECONCILIATION OF FUNDS: Total funds brought forward 379,226 TOTAL FUNDS CARRIED FORWARD 392,422 |
Total funds 2022 £ 13 29,500 29,513 4,444 11,873 16,317 13,196 13,196 379,226 392,422 |
Total funds 2021 £ 13 29,500 |
|---|---|---|
| 29,513 | ||
| 7,124 14,723 |
||
| 21,847 | ||
| 7,666 7,666 371,560 |
||
| 379,226 |
The notes on pages 8 to 15 form part of these financial statements.
Page 6
ASHOVER COMMUNITY MEDICAL CENTRE LTD (A company limited by guarantee) REGISTERED NUMBER: 08550189
BALANCE SHEET AS AT 31 MARCH 2022
| Note FIXED ASSETS Tangible assets 7 Investment property Total tangible assets 8 CURRENT ASSETS Debtors 9 Cash at bank and in hand CREDITORS:amounts falling due within one year 10 NET CURRENT ASSETS NET ASSETS CHARITY FUNDS Unrestricted funds TOTAL FUNDS |
£ 1,480 268,127 2,299 135,250 137,549 (14,734) |
2022 £ 269,607 269,607 122,815 392,422 392,422 392,422 |
£ 1,928 268,127 491 119,807 120,298 (11,127) |
2021 £ 270,055 |
|---|---|---|---|---|
| 270,055 109,171 |
||||
| 379,226 | ||||
| 379,226 | ||||
| 379,226 |
The charity's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The Trustees consider that the charity is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ("the Act") and members have not required the charity to obtain an audit for the year in question in accordance with section 476 of the Act.
The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The financial statements were approved and authorised for issue by the Trustees on 6 September 2022 and signed on their behalf, by:
W Edward Willmot, Chairman
The notes on pages 8 to 15 form part of these financial statements.
Page 7
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES
1.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Ashover Community Medical Centre Ltd 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.
The charity qualifies as a small company under the Act and the Trustees have elected to take advantage of the exemption in the SORP from the requirement to prepare a cash flow statement.
1.2 Company status
The charity is a private company registered in England and Wales limited by guarantee. The members of the company are the Trustees named on page 1. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.
1.3 Transfer from predecessor charity
All of the operations, funds, assets and liabilities of the Ashover Primary Care Centre Charitable Trust were transferred to this charity on 7 July 2014, on which date the predecessor charity was dissolved. The transfer of assets and liabilities was at their book values, but the investment property was valued as at 7 July 2014, and the surplus shown as part of the opening funds, in order to conform with the accounting policies adopted.
1.4 Going concern
The outbreak of the Coronavirus in the UK from March 2020 onwards has impacted the whole country and the related disruption is affecting the general economy. The Trustees have carefully considered the likely effect of Covid-19 on the charity’s future financial performance. The charity continues to receive rental income in line with the lease agreement and expects this to continue given the nature of the buildings use. In addition to this, the charity has a strong cash balance.
The Trustees have therefore concluded that despite the ongoing difficulties affecting the UK economy, the company will continue to have sufficient working capital to settle its liabilities as they fall due for a period of at least 12 months from the date of approval of these financial statements, and on this basis it is therefore appropriate that they are prepared on a going concern basis.
1.5 Income
Donations are accounted for when received. Grant and other income is recognised when the charity becomes entitled to the income. Gifts in kind are included at valuation. Investment income is accounted for on the accruals basis. The value of services provided by volunteers is excluded from the accounts as it cannot be reasonably quantified.
Page 8
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES (continued)
1.6 Expenditure
Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.
Charitable activities and governance costs are costs incurred on the charity's educational and recreational operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities.
All expenditure is accounted for on the accruals basis and is allocated to the fund to which the expenses relate. Support costs are allocated between categories of expenditures as an estimated proportion based on management time spent on each category.
1.7 Tangible fixed assets and depreciation
Tangible fixed assets are originally recorded at their cost to the charity, or, if donated, at their market value at that time.
Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Furniture & equipment
20% reducing balance
Investment properties are shown at their fair value and are not depreciated. The surplus or deficit arising from the annual revaluation is shown in the "gains/(losses) on investment assets" section of the Statement of Financial Activities.
1.8 Operating leases
Rentals under operating leases are charged to the Statement of Financial Activities incorporating income and expenditure account on a straight line basis over the lease term.
1.9 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
1.10 Taxation
In view of the company's charitable status and the application of funds generated for the pursuit of its charitable objectives, no corporation tax is payable. The charity is, however, liable to pay value added tax (VAT) on its rental income, after offsetting VAT suffered on applicable expenditure.
1.11 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Page 9
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES (continued)
1.12 Critical accounting estimates and areas of judgement
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Critical accounting estimates and assumptions:
The charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.
Critical areas of judgement:
Valuation of investment property
The Trustees have made key assumptions in the determination of the fair value of the investment property in respect of the state of the market in the location where the property is situated and in respect of the range of reasonable fair value estimates used.
There are no other accounting estimates or assumptions that have a significant risk of causing a material adjustment to the carrying values of any assets or liabilities within the next financial year.
2. EXPENDITURE ON RAISING FUNDS
| Unrestricted funds 2022 £ Rent 1,420 Repairs and maintenance 1,079 Utilities and cleaning 250 Insurance 413 Governance costs see note 4 1,282 4,444 Total 2021 7,124 |
Total funds 2021 £ 1,420 4,421 250 364 669 7,124 |
|---|---|
Page 10
(A company limited by guarantee)
ASHOVER COMMUNITY MEDICAL CENTRE LTD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
3. EXPENDITURE ON CHARITABLE ACTIVITIES
| Grants made: Ashover Parish Council for provision of play area Funding provided for local sports and social events: Ashover Football Club Ashover Junior Football Club Ashover Cricket Club Ashover Lunch Club Ashover Brownies and Ashover Rangers Cycle Rack Parish Party Christmas Events Woolley Show Senior Citizens Other: Depreciation of Care Centre furniture and equipment Governance costs - see note 4 Total |
2022 £ - 671 983 500 1,900 350 500 1,289 700 600 2,465 448 1,467 11,873 |
2021 £ 12,000 430 - - 500 - - - - - - 481 1,312 |
|---|---|---|
| 14,723 |
The 2021 and 2020 expenditure on charitable activities was all in relation to unrestricted funds.
4.
GOVERNANCE COSTS
| Accountancy and independent examiner's fee Legal and professional fees Companies House fees Trustees' liability insurance Other Total |
2022 £ 1,250 620 13 466 400 2,749 |
2021 £ 1,000 - 13 933 35 |
|---|---|---|
| 1,981 |
Governance costs are allocated between the expenditure on raising funds (2022: £1,282 2021: £669) and expenditure on charitable activities (2022: £1,467 2021: £1,312). Costs which cannot be directly attributed to a particular category of expenditure are allocated as to raising funds one third and charitable activities two thirds.
Page 11
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
5. NET INCOME/(EXPENDITURE)
This is stated after charging:
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Depreciation of tangible fixed assets: | ||
| - owned by the charity | 448 | 481 |
No remuneration or reimbursed expenses were paid during the year to any of the Trustees or persons connected with them (2021: £nil).
The charity employs no staff and no amounts are included in the accounts in respect of services donated by volunteers.
6. INDEPENDENT EXAMINER'S REMUNERATION
The Independent Examiner's remuneration amounts to an Independent Examination fee of £750 (2021: £750), and preparation of financial statements and other services of £500 (2021: £250).
Page 12
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
7. TANGIBLE FIXED ASSETS
| Cost At 1 April 2021 Disposals At 31 March 2022 Depreciation At 1 April 2021 Charge for the year On disposals At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021 |
Furniture & equipment £ 12,215 (3,490) 8,725 10,287 448 (3,490) 7,245 1,480 1,928 |
|---|---|
The furniture and equipment is provided for Ashover Medical Centre which is used for direct charitable purposes.
Page 13
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
8. INVESTMENT PROPERTY
| INVESTMENT PROPERTY | |
|---|---|
| Leasehold | |
| investment | |
| property | |
| £ | |
| Valuation | |
| At 1 April 2021 and 31 March 2022 | 268,127 |
The land is held on two 96 year leases, terminating on 11 July 2100, from Ashover Parish Council. The building is let for the majority of the time as a medical practice which is on a 15 year lease expiring July 2031. The building is also available for uses in connection with local social and sporting events, for which a nominal charge is currently made. Despite this, the primary use of the building is to raise income for the charity and so it is classed as an investment property in accordance with the provisions of the SORP.
The property was valued, on an open market basis, by the Trustees, after taking appropriate professional advice, at £245,000 as at 7 July 2014, being the date of its acquisition from the predecessor charity. In the opinion of the Trustees there has been no appreciable change to the fair value between then and the balance sheet date. The original cost of the building was £231,594 and improvements were made to the property during the 2020/21 financial year costing £23,127.
9. DEBTORS
| DEBTORS | ||
|---|---|---|
| Prepayments CREDITORS: Amounts falling due within one year Other taxation and social security Deferred income Accruals |
2022 £ 2,299 2022 £ 1,290 6,808 6,636 14,734 |
2021 £ 491 |
| 2021 £ 1,262 6,808 3,057 |
||
| 11,127 |
10. CREDITORS: Amounts falling due within one year
11. OPERATING LEASE COMMITMENTS
At 31 March 2022, the charity had a total commitment to pay £8,918 (2021: £10,339) under operating leases for land which expire more than five years after the balance sheet date.
Page 14
ASHOVER COMMUNITY MEDICAL CENTRE LTD
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
12. RELATED PARTY TRANSACTIONS
No (2021: none) transactions were undertaken with related parties, including businesses or other parties connected to any of the Trustees. Trustees are specifically excluded from discussions of matters that might give rise to conflicts of interest.
13. FUNDS
There are no restricted funds.
The unrestricted income fund is available to be utilised at the Trustees' discretion in furtherance of the charity's objectives.
Page 15