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**The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee)** Consolidated financial statements For the year ended 31 December 2020 

**Company no. 09113084 Charity no. 1160157** 

**Registered office: The Old Rectory Rectory Drive Whiston Rotherham S60 4JG** 



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The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Index to the financial statements 

|Legal and administrative details|1 – 2|
|---|---|
|Report of the Trustees (incorporating the Strategic Report)|3 – 11|
|Independent auditor's report|12 – 15|
|Group charitable company statement of financial activities (incorporating||
|the consolidated income and expenditure account)|16|
|Group and parent company balance sheets|17|
|Group statement of cash flows|18|
|Notes to the financial statements|19 – 36|





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The Coal Industry Social Welfare Organisation 2014 

1 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Legal and administrative details 

Company registration number: 09113084 Charity registration number: 1160157 Registered office: The Old Rectory Rectory Drive Whiston ROTHERHAM S60 4JG Chief Executive: N M Didlock Directors and Trustees: The Venerable R G Cooper Chairman C D Ambler T Fox (resigned) J L Hattersley J G Humble C Kaye G Smith W T Thomas P M Carragher C Langrick M Macdonald (appointment 23 January 2020) 

The directors of the charitable company are its trustees for the purpose of charity law. 

Senior Management: Chief Executive – N M Didlock Finance Director – J Wallage Secretary: N M Didlock Bankers: Lloyds Bank PLC 1 High Street SHEFFIELD S1 2GA 



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The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

2 

## Legal and administrative details 

Solicitors: Irwin Mitchell LLP 2 Millsands Riverside East SHEFFIELD S3 8DT **Charity Specialist** Brabners LLP Horton House Exchange Flags LIVERPOOL L2 3YL Investment manager: Rathbone Investment Management Limited 8 Finsbury Circus LONDON EC2M 7AZ Auditor: Grant Thornton UK LLP Chartered Accountants Statutory Auditor 1 Holly Street SHEFFIELD S1 2GT 



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The Coal Industry Social Welfare Organisation 2014 

3 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

The trustees, who are also the directors for the purpose of company law, present their Report along with the financial statements of the Charitable Company for the year ended 31 December 2020.  The financial statements have been prepared in accordance with the accounting policies set out on pages 20 – 23 and comply with the Charitable Company's trust deed and applicable law. 

## Structure, Governance and Management 

The Coal Industry Social Welfare Organisation 2014 is a company limited by guarantee (registered in England, company number 09113084). It operates throughout England, Wales and Scotland and is a charity registered in England and Wales (Charity Commission registration number 1160157). 

The charitable company is governed by its Articles of Association which set out the charitable purposes of the organisation. 

The Coal Industry Social Welfare Organisation 2014 (CISWO 2014) is the trustee of the Coal Industry Social Welfare Organisation (CISWO) and the Miners’ Welfare National Educational Fund (MWNEF) and the sole member of the charitable company CISWO Charitable Property Services Trust and the sole member of the incorporated entity CISWO Trading Limited. 


## Board of Trustees 

CISWO 2014 Board of Trustees includes 12 members in total with representation, through a trustee nomination process, from mining trade unions and further trustees appointed for their skills, experience and expertise through an open recruitment process. New trustees receive an appropriate induction into the organisation, coordinated through the Chief Executive and Human Resources Manager.  One trustee resigned during the year and there are currently two vacancies on the Board.  Recruitment to fill these vacancies will commence early in 2021. 

The Board of Trustees is responsible for the professional, legal and financial governance of the charity; the formulation and implementation of organisational strategy, and overseeing the implementation of the strategy through operating plans and budgets and monitoring progress within this. The Board is supported by two committees with delegated responsibility for key aspects of oversight and governance. These include; 

## **Finance and General Purpose Committee** 

Responsible for: 

- Overseeing and monitoring the financial position of the charity 

- Appointing and overseeing the management of the investment portfolio of the charity 

- Review and recommend the annual financial budget 

- Overseeing the management of property in line with the organisation’s Asset Management Policy 



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The Coal Industry Social Welfare Organisation 2014 

4 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

## **Audit and Risk Committee** 

Responsible for: 

- Overseeing the charity’s risk management systems and processes 

- Reviewing the effectiveness of internal controls 

- Receiving and reviewing the charity’s annual accounts and report prior to full Board approval 

- Considering any areas of risk identified through internal or external audit processes 

## Management 

The Trustees delegate the management, implementation of strategy and overall leadership of the charity, through a defined scheme of delegation, to the Chief Executive and the senior management team. 

The management of the organisation is structured into 4 regions; Scotland, North England, South England and Wales. These are supported from a central head office in Rotherham, South Yorkshire where central support functions are accommodated. During 2020, 65 staff were employed across the organisation. 

## Policy 

## **Grants Policy** 

CISWO provides financial support to individual beneficiaries in the form of grants to meet specific needs, in line with the organisation’s operational grants policy.  These grants are available for former miners and dependents of former miners where specific eligibility criteria are met. Grant awards are discretionary within criteria established by the trustees of CISWO. 

We implemented our new Individual Grant Giving Policy in 2019, re-focusing financial support for those in greatest need. This includes a new strand of grant provision for former mineworkers who have been diagnosed with the coal industry related disease, pneumoconiosis. 

Grant applications are advertised through the organisation’s personal welfare service and through organisational literature and the website. Applications can be submitted at any point in the year following an assessment by a member of the personal welfare team to determine eligibility and need. Grants are only considered within a wider package of intervention and are submitted by a member of the personal welfare team on the client’s behalf with their consent. 

The trustees delegate the responsibility for processing grant applications to the head office team with awards authorised by the Chief Executive under criteria established and reviewed by the full Board of Trustees within the organisation’s individual grant giving policy. 

## **Education Grants Policy** 

Education grants were awarded by CISWO in accordance with the organisation’s educational grants policy which outlines eligibility criteria and application process. 

Grants are provided to eligible students to participate in higher education. Eligible applicants include those who were employed in the coal mining industry of Great Britain where they have completed the required length of service and dependant children of such former employees, where they are financially dependant on parents.  Eligibility is based upon need with grants only being offered to those families where there is demonstrable low income.  Grants are available for an initial higher education course in the UK. 

## **Recreational Facilities Development Policy** 

CISWO is committed to supporting other mining charities to deliver services and to secure the ongoing availability of recreational facilities in local communities. This includes the provision of financial support through grants and loans within specific parameters. Our recreational facilities development policy provides the principles and specific parameters underlying this provision alongside defining the process required to ensure this support is delivered on a systematic, equitable, and rational basis. Facilities that could benefit under this policy are identified through our ongoing partnership working with miners’ welfare charities and will be considered as part of a wider support package focused on sustainability to meet the needs of local communities. 



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The Coal Industry Social Welfare Organisation 2014 

5 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

## Public Benefit 

The trustees confirm that they have referred to the guidance contained in the Charity Commission general guidance on public benefit when reviewing the charity’s aims and objectives and future activities. In particular, the trustees consider how activities contribute to meet the objectives set in the organisation’s strategic plan as outlined below. Particular focus has been given to interventions and policies that will deliver the greatest impact to those former mining families and communities most in need. In delivering services we are aiming to provide clearer evidence of how our intervention has benefited those we work with. 

## Activities, Achievements and Performance 

The objectives of the charity are delivered through the subsidiary entities. 

## **CISWO** 

CISWO’s core activities in 2020 included; 

- the provision of personal welfare support for former miners and their families including; advice, guidance, advocacy and grant assistance, and provision of social inclusion activities; 

- the provision of the Thornycroft day centre in Pontefract, and residential properties at sites in Yorkshire and North Derbyshire; 

- the preservation of recreational facilities in former mining communities; 

- the provision of support to other mining charities including local miners’ welfare charities, regional miners’ welfare trust funds and miners’ convalescent trusts; 

- encouragement and support for participation in Higher Education through the provision of education grants for former miners and their dependents. 

## **Miners Welfare National Education Fund (MWNEF)** 

Provision of grant assistance to eligible persons to support them to take advantage of higher education. 

## **CISWO (Trading) Limited** 

Provision of accounting services to mining related charities and their trading companies. 

## **CISWO Charitable Property Services Trust** 

Provision of assistance to local mining trusts that are required to dispose of charitable property with the aim of maximising the net proceeds of these disposals to apply to alternative charitable activity. 



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The Coal Industry Social Welfare Organisation 2014 

6 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

## Strategic Report 

CISWO’s 5 year strategy outlines our commitment to the ongoing provision of services for former miners and mining communities. To achieve this, we have committed to four strategic goals and will measure progress against these. 

- **1 Our services will make a real difference, and be of high quality, focusing on those individuals and families most in need. In 2020:** 

The COVID pandemic impacted significantly on our delivery from March to the end of the end of the year. We were unable to undertake visits with clients in their homes and therefore the majority of interventions were provided remotely. Group activities have been suspended by necessity, and our day centre in Pontefract has temporarily closed. 

Our focus on those most in need necessitated a change in our service offer to ensure those most vulnerable to the pandemic, be that due to age, underlying health issues, or social isolation, were supported throughout. New provision included a free of charge shopping service for the most vulnerable and telephone befriending where clients were socially isolated. Demand on our services increased significantly compared to the previous year. 

- 10,608 former miners or their family members received individual support through our personal welfare service. 

- 20,412 interventions were carried out during the year through our personal welfare team. 

- Over 8,400 telephone support calls were made. 

- Essential shopping delivered directly to 39 vulnerable clients in their homes totaled £6,946. 

- Over 850 deliveries of supermarket donated free food were made directly to clients across the Yorkshire region from our day centre in Pontefract. 

- £4,587,852 in income was secured for beneficiaries by our staff completing 1,891 applications for additional funds or financial support. 

- Former miners and their families received £215,411 from CISWO through 202 grants awarded. 

- Of this, 51 former miners suffering from pneumoconiosis received a £1,500 grant to aid with additional needs caused by the disease, totaling £76,500. 

- 69 education grants totaling £103,500, were awarded. 

## **2 We will support other mining charities to deliver services where there is evidenced need.** 

The pandemic has impacted heavily on our network of miners’ charities. Each of these standalone charities is governed by their own independent Board of Trustees acting in a voluntary capacity to provide recreational and social activities in their local community. Managing these facilities through the difficult environment of necessary temporary closures and restrictions has put additional pressure on these charities, and has put their ongoing sustainability at risk. CISWO has provided extensive support throughout the year in order to maintain these valuable community assets and ensure they are retained for the future. This has included; 

- Providing advice and guidance directly relating to the management of the impact of COVID for 221 miners’ welfare charities across the UK. 

- £674,749 secured from the Governments Job Retention Scheme through claims made on behalf of 29 miners’ welfares. 

In addition, tailored guidance has been offered to individual miners’ welfares relating to issues including risk management, financial restructuring, and debt management. 



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The Coal Industry Social Welfare Organisation 2014 

7 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

Additional support has been offered to a number of regional mining charities including; 

- Guidance around good governance during the pandemic. 

- Facilitation of remote working practices. 

- Management of premises 

- Extended administrative support to facilitate the ongoing operations of these charities including their ongoing provision of financial support for beneficiaries. 

In addition to CISWO’s specific provision in response to COVID, further support has been provided to mining charities; 

   - CISWO has provided financial support for mining charities to develop their facilities. During 2020, £374,000 was provided to miners’ welfares to fund capital development. 

   - The organisations’ website, launched at the end of 2019, has been developed to include a range of guidance and self-help resources to support mining charities in their management of risk, budgeting, and funding. 

   - Ongoing support to 12 regional grant making and convalescent trusts over the year facilitating them in turn, to provide additional benefit for former mining communities and individuals. 

- **3 We will secure the provision of recreational facilities where these are still needed and utilised by former coal mining communities** 

      - We have continued to protect over 200 recreational sites, amounting to approximately 1,500 acres across the UK, for recreational use under CISWO’s custodianship. Recreational sites include all forms of recreation from playgrounds to leisure centres, access to fishing, to football grounds and community centres to miners’ welfares offering recreational activity. 

      - We have continued to protect a further 300 sites, amounting to approximately 2,000 acres of recreational land through CISWO’s retention of legal rights or fiduciary interest. These sites, formerly held under mining charitable trusts, have been transferred to a tier of local government such as a local authority, or parish council. CISWO provides a protective role in ensuring that these sites are retained for recreational purpose, not disposed of or developed inappropriately. CISWO supports statutory providers to understand their responsibilities for these facilities and challenges where such responsibilities are not upheld. 

      - We have continued to disseminate funding opportunities to support recreational activities in local communities. 

- **4 We will secure the ongoing financial viability of the organisation to meet current and future needs** 

During 2020 our focus was to ensure our services continued to meet the new and increasing needs of our different client groups, and that we could adapt to the necessary new ways of working to secure the safety of our employees and wellbeing of our communities. A number of infrastructure projects planned for the year were therefore delayed to provide focus on these priorities. This included the anticipated introduction of a new client information systems and other management information system improvements to underpin our work. These priorities will continue into 2021. 

## Activities in Scotland 

Scotland’s dedicated personal welfare team provided support to 1,380 individual clients during the year, with 2,136 interventions delivered. Beneficiaries were supported to access an additional £628,651 income through increased benefits, grants and financial aid. 



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The Coal Industry Social Welfare Organisation 2014 

8 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

Improved support has been offered for local mining charities with dedicated management support provided through the local Scottish CISWO office and additional support through the organisation’s head office. 

During 2020, CISWO’s Scottish office relocated to the heart of one of our mining communities, supporting one of our partner miners’ welfare charities, Coalburn Miners’ Welfare Charitable Society. 

## Plans for the Future 

As we continue to deliver on our 5 year strategy 2017-22, the focus remains on ensuring that the organisation is adapting to both the current needs of beneficiaries alongside anticipated future needs. With the ongoing changing external environment, and the impact of the COVID pandemic continuing into 2021, we know this will bring new challenges for both CISWO and the mining charities and communities we support. 

It is therefore essential that we continue in our commitment to ensuring that support for the target population is available for as long as is needed and that service provision remains relevant. Objectives for the coming year continue to focus services and resources on areas of greatest need, be that individuals, communities or other organisations. 

In our strategic plan, we have established 4 strategic goals where we will seek to deliver transformative change. In 2021 we will progress these goals through the following activities; 

- **1 Our services will make a real difference, and be of high quality, focusing on those individuals and families most in need. We will:** 

   - Further develop our service offer for clients with disabilities and poor mobility, an increasing issue for our beneficiaries. 

   - Review and develop our social inclusion services, focusing on those most isolated. 

   - Resume the development of a new client information system to enable us to improve how we evidence our work and the impact we make. 

- **2 We will support other mining charities to deliver services where there is evidenced need. We will:** 

   - Further support mining charities to develop good practice, secure good governance, and develop strong business planning approaches to secure future sustainability. 

   - Identify those mining charities where their sustainability is at risk and support proactive planning for the future. 

   - � Ensure all welfares can access CISWO’s support when needed. 

- **3 We will secure the provision of recreational facilities where these are still needed and utilised by former coal mining communities. We will:** 

   - Further invest CISWO funds in the retention of recreational facilities in local communities. 

   - Identify and promote external funding opportunities to support the ongoing sustainability and development of recreational facilities. 

   - Identify those recreational facilities where their sustainability is at risk and support proactive planning for the future. 

- **4 We will secure the ongoing financial viability of the organisation to meet current and future needs. We will:** 

   - Further develop our IT infrastructure to ensure our services are supported to work efficiently and effectively. 

   - Consider our strategic priorities to underpin our next 5 year strategy. 

Alongside this activity we will continue to focus on promoting our services in local communities, extending our reach to ensure those that need or would benefit from our support are aware of the help available and can access us easily. 



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The Coal Industry Social Welfare Organisation 2014 

9 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

## Financial review 

Our funds have been applied to support the strategic delivery plan.  Supporting the plan requires: 

**Expenditure to provide the structure to deliver our front line services.** Main areas of expenditure are: 

- Staff, through which our core activities are delivered 

- Direct service delivery at the Thornycroft day centre 

- Direct grant expenditure to former miners and their dependents 

- Funding for capital development at miners welfares 

- Management of recreational land assets 

- Infrastructure to support the services provided through the office structure, direct administrative support and IT 

**Management of income.** Main sources of income received in the year were:- 

- Return on investment portfolio – we are predominantly funded through our investments 

- Charitable activities – support to regional trusts funds, provision of services through direct delivery and through land interests, namely rent. 

- Charitable asset transfers 

Investment income yield was 3.4% measured against the opening valuation of the portfolio and the cost of generating this income remained at 0.42% of the value of the portfolio. 

In 2020 and 2019, the organisation received income from charitable assets transfers and sales of land which were no longer beneficial for continued charitable or recreational activity, this income is now available to be re-invested in service delivery and future development of recreational facilities. 

The income for 2020 is £2,774,547 significantly lower than 2019(£4,388,105).  Investment income was impacted by the COVID pandemic as major companies either suspended or significantly reduced dividend payments, resulting in a decrease in this income of over 21% compared to 2019.  Income from charitable asset transfers also decreased by 90% compared to 2019. 

Total expenditure on charitable activities (before accounting for pension deficit funding) was £3,595,058 an increase on 2019 (£3,592,840). 

In accordance with FRS 102 and the Charities SORP FRS 102, the liability relating to past service in the Industry Wide Coal Staff Superannuation Scheme has been accounted for as the present value of the agreed deficit contributions. During the year, £327,996 (2019: £109,332) was paid to the Scheme. An actuarial valuation was undertaken as at 31 December 2018.  The resulting repayment plan requires the organisation to pay deficit contributions of £27,333 per month until September 2021. 

## Reserves 

The unrestricted reserves of the charity, excluding the value of fixed assets and investment properties, stood at £7,117,050 as at 31 December 2020. As part of the consideration in determining the reserves policy the trustees are mindful of the requirement to balance the needs of current and future beneficiaries.  We are committed to providing long term sustainable services and are heavily reliant upon our investment income to enable us to deliver these services.  Adequate reserves are therefore maintained to provide the income requirements anticipated both in the short and long term.  The reserves policy will be reviewed annually and expenditure budgets will be built around the strategic plan. 



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The Coal Industry Social Welfare Organisation 2014 

10 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

## Managing Change and Risk 

The major risks to which the charity is exposed are: 

- Investment return – maintaining adequate returns from the investment portfolio. 

- Capability and capacity to respond to fluctuating demand. 

- Inability to respond to external environmental challenges 

Controls have been identified to minimize and manage these and other risks. Trustees continually assess the process of change and risk.  The Audit and Risk Management Committee examines management risk registers and undertake the formal review of the strategic registers on an annual basis.  Specifically the investments of the organisation are managed by investment advisors, Rathbones Investment Management Limited.  The performance of the funds is reviewed quarterly and monitored against agreed benchmarks by the Finance and General Purpose Committee.  A detailed operational plan has been developed to deliver the organisation’s strategic goals and progress against this plan is reported and monitored at each meeting of the Board of Trustees. 

## Fundraising 

The Group does not undertake any fundraising activity or engage with any commercial fundraiser to undertake this activity on our behalf. Any funds received through occasional donations and gifts from individuals are unsolicited and have to date been unconditional in nature. 

## Investment Policy and Objectives 

The investments of the Charity are managed by Rathbones Investment Management Limited and constantly reviewed by the Trustees and by the Finance and General Purposes Committee composed of Trustee members. 

The primary objectives are to ensure that the Funds maximize the long-term total returns within a medium level risk profile as well as meeting the withdrawal requirements of the charity. 

Performance of the investments, which are compared against agreed benchmarks, are calculated by Rathbone Investment Management Limited and measured on a total return basis. 

In 2019 the investment portfolio performance was a return of 15.1%, compared to the benchmark of a return of 15.2%. 

## Impact of COVID – going concern 

Improvements and investment made in infrastructure in the last 2 years meant the group was well placed to respond and adapt working methods minimising any impact on service delivery with staff mobilized and equipped to work from home. Our service offer was adapted to ensure we could continue to provide our services remotely and we provided an extended service offer to those in our client groups most in need as a direct response to the pandemic situation. We have had to temporarily close our social day centre and suspend group client activities but have continued to provide practical and emotional support for the participants of these services. 

The above changes to our service delivery have not resulted in an adverse impact on either income or expenditure. We are not reliant on external funding or fundraised income which could be adversely impacted in the current external environment. We have not made any extended commitments that will significantly alter our financial position. We manage a planned deficit budget and have sufficient liquid resources to meet our obligations for the foreseeable future, (a period of at least 12 months). Our longer term funding is provided by our investments  These investments are actively managed by our investment managers and as we won’t require any withdrawal from those funds for at least 12 months, this presents an opportunity for the fund to continue to recover. The organisation has ensured ongoing effective governance of the charity through regular reporting of activity to the Board and to the holding the usual cyclical Board and Committee meetings through electronic online means 



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The Coal Industry Social Welfare Organisation 2014 

11 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Report of the Trustees (incorporating the Strategic report) 

The directors, having reviewed cashflow forecasts to December 2023 do not believe that there are any material uncertainties which cast significant doubt on the ability of the company to continue as a going concern. 

## Trustees’ responsibilities statement 

The trustees (who are also directors of The Coal Industry Social Welfare Organisation 2014 for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and regulations. 

Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland . Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. 

In preparing these 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 (FRS 102) 

- make judgments and accounting 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 charitable group will continue in business. 

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and 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. 

The trustees confirm that: 

- so far as each trustee is aware, there is no relevant audit information of which the charitable company’s auditor is unaware; and 

- the trustees have taken all the steps that they ought to have taken as trustees in order to make themselves aware of any relevant audit information and to establish that the charitable company’s auditor is aware of that information. 

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. 

## Auditor 

Grant Thornton UK LLP have expressed their willingness to continue in office as auditor. They will be deemed reappointed for the next financial year in accordance with Section 487 (2) of the Companies Act 2006 unless the company received notice under Section 488 (1) of the Companies Act 2006. 

ON BEHALF OF THE TRUSTEES 


The Venerable R G Cooper Chair of Trustees 13 May 2021 



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12 


## Independent auditor's report to the members and trustees of The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) 

## Opinion 

We have audited the financial statements of The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 December 2020, which comprise the Group Charitable Company Statement of Financial Activities (incorporating the consolidated income and expenditure account), the Group and Parent Charitable Company Balance Sheets, the Group Charitable Company Cash Flow Statement, 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, including Financial Reporting Standard 102; The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

- In our opinion, the financial statements: 

- give a true and fair view of the state of the group's and parent charitable company's affairs as at 31 December 2020 and of the group's and the parent charitable company's incoming resources and application of resources, including the group's and the parent 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, the Charities and Trustee Investment (Scotland) Act 2005 and regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended). 

## Basis for opinion 

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with regulations made under those Acts. 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 ‘Auditor’s responsibilities for the audit of the financial statements’ section of our report. We are independent of the group and parent 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 

We are responsible for concluding on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the parent charitable company and group’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify the auditor’s opinion. Our conclusions are based on the audit evidence obtained up to the date of our report. However, future events or conditions may cause the parent charitable company or group to cease to continue as a going concern. 

In our evaluation of the trustees’ conclusions, we considered the inherent risks associated with the parent charitable company’s and group’s business model including effects arising from macro-economic uncertainties such as Brexit and Covid-19, we assessed and challenged the reasonableness of estimates made by the trustees and the related disclosures and analysed how those risks might affect the parent charitable company’s and group’s financial resources or ability to continue operations over the going concern period. 



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13 


## Independent auditor's report to the members and trustees of The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) 

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 parent charitable company’s and group’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. 

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. 

The responsibilities of the trustees with respect to going concern are described in the ‘Responsibilities of trustees for the financial statements’ section of this report. 

## Other information 

The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Annual Report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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. 

## Opinion 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 Strategic Report and the Directors’ Report, prepared for the purposes of company law, included in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements. 

- the Strategic Report and the Directors’ Report included in the Report of the Trustees have been prepared in accordance with applicable legal requirements. 

## Matter on which we are required to report under the Companies Act 2006 

In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified any material misstatements in the Strategic Report or the Directors’ Report included in the Report of the Trustees. 

## Matters on which we are required to report by exception 

We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you if, in our opinion: 

- proper and adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or 

- the parent charitable company's 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. 



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14 


## Independent auditor's report to the members and trustees of The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) 

## Responsibilities of trustees for the financial statements 

As explained more fully in the Trustees' Responsibilities Statement set out on page 11, 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 group and the parent 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 group or parent charitable company or to cease operations, or have no realistic alternative but to do so. 

## Auditor’s 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 an auditor’s report 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. 

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 auditor’s report. 

## Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud 

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. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). 

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 

- The Company is subject to many laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements. We identified the following laws and regulations as the most likely to have a material effect if non-compliance were to occur; Charities SORP (FRS 102), FRS 102, Charities Act 2011, Data Protection Act 2018 and the Charity Code of Governance. 

- We communicated relevant laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. 

- We understood how the Company is complying with those legal and regulatory frameworks by making enquiries of management. We corroborated our enquiries through our review of board minutes and legal expenses. 

- We assessed the susceptibility of the Company’s financial statements to material misstatement, including how fraud might occur by discussions with management to understand where management considered there is a susceptibility to fraud. 



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15 


## Independent auditor's report to the members and trustees of The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) 

Audit procedures performed by the engagement team included: 

   - evaluation of the controls established to address the risks related to irregularities and fraud; 

   - testing manual journal entries, in particular journal entries determined to be large or relating to unusual transactions based on our understanding of the business; 

   - identifying and testing related party transactions 

   - completion of audit procedures to conclude on the compliance of disclosures in the annual report and accounts with applicable financial reporting requirements. 

- Assessment of the appropriateness of the collective competence and capabilities of the engagement team included consideration of the engagement team's: 

   - understanding of, and practical experience with audit engagements of a similar nature and complexity through appropriate training and participation 

   - knowledge of the industry in which the client operates 

   - understanding of the legal and regulatory requirements specific to the entity 

- We did not identify any matters relating to non-compliance with laws and regulation or relating to fraud. 

## Use of our report 

This report is made solely to the charitable company's members and trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006, Section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and 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 and trustees those matters we are required to state to them in an auditor’s 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 its members and trustees as a body, for our audit work, for this report, or for the opinions we have formed. 


Peter Edwards Senior Statutory Auditor for and on behalf of Grant Thornton UK LLP Statutory Auditor, Chartered Accountants SHEFFIELD 13 May 2021 

Grant Thornton UK LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006 



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16 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Group charitable company statement of financial activities (incorporating the consolidated income and expenditure account) 

|**Note**<br>**Income and endowments from:**<br>Donations and Legacies<br>6<br>Charitable Activities<br>7<br>Other trading activities<br>8<br>Investments<br>Other Income<br>9<br>**Total Income**<br>**Expenditure on:**<br>Investment Manager fee<br>11<br>Charitable Activities<br>12<br>**Total Expenditure**<br>**Net expenditure before investment**<br>**gains**<br>Net (losses)/gains on investments<br>17<br>**Net (expenditure)/income***<br>Transfers between funds<br>13<br>**Net Movement in Funds**<br>**Gains on revaluation of investment**<br>**properties**<br>**Net movement in funds**<br>**Reconciliation of funds**<br>Balances brought forward at 1 January<br>2019<br>**Fund balances carried forward at**<br>**31 December 2020**|**Unrestricted**<br>**Funds**<br>**£**<br>3,350<br>595,388<br>138,981<br>962,725<br>1,065,920<br>2,766,364<br>108,258<br>3,556,394<br>3,664,652<br>(898,288)<br>(346,246)<br>(1,244,534)<br>42,816<br>(1,201,718)<br>46,600<br>(1,155,118)<br>14,971,442<br>13,816,324|**Endowment**<br>**Funds**<br>**£**<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>(42,816)<br>(42,816)<br>-<br>(42,816)<br>24,054,919<br>24,012,103|**Restricted**<br>**Funds**<br>**£**<br>-<br>8,183<br>-<br>-<br>-<br>8,183<br>-<br>61,499<br>61,499<br>(53,316)<br>-<br>(53,316)<br>-<br>(53,316)<br>-<br>(53,316)<br>348,565<br>295,249|**Total**<br>**2020**<br>**£**<br>**3,350**<br>**603,571**<br>**138,981**<br>**962,725**<br>**1,065,920**<br>**2,774,547**<br>**108,258**<br>**3,617,893**<br>**3,726,151**<br>**(951,604)**<br>**(346,246)**<br>**(1,297,850)**<br>**-**<br>**(1,297,850)**<br>**46,600**<br>**(1,251,250)**<br>**39,374,926**<br>**38,123,676**|Total<br>2019<br>£<br>7,813<br>646,357<br>152,074<br>1,234,367<br>2,347,494|
|---|---|---|---|---|---|
||||||4,388,105|
||||||117,295<br>4,144,000|
||||||4,261,295|
||||||126,810<br>2,690,309|
||||||2,817,119<br>-|
||||||2,817,119<br>1,245,000|
||||||4,062,119<br>35,312,807|
||||||39,374,926|



All of the activities of the Charitable Company are classed as continuing. 

*Information up to and including net income/expenditure represents the information required by the Companies Act 2006. 

The accompanying accounting policies and notes on pages 19 - 36 form part of these financial statements. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

17 

(a charitable company limited by guarantee) 

Consolidated financial statements for the year ended 31 December 2020 

## Group and parent company balance sheets 

|**Note**<br>**Fixed assets**<br>Tangible assets<br>15<br>Investment Properties<br>16<br>Investments<br>17<br>**Current assets**<br>Stocks<br>Debtors: due within one year<br>19<br>Current asset investments<br>18<br>Cash at bank and in hand<br>20<br>**Creditors: amounts falling due within one year**<br>21<br>**Net current assets**<br>**Creditors: amounts falling due after more than one year**<br>22<br>**Provisions for liabilities**<br>23<br>**Net assets**<br>**Funds**<br>Unrestricted funds<br>24<br>Endowment funds<br>24<br>Restricted funds<br>24|**Group**<br>**2020**<br>2019<br>**£**<br>£<br>**1,062,375**<br>1,128,519<br>**1,432,869**<br>1,976,226<br>**27,793,637**<br>28,362,771<br>**30,288,881**<br>31,467,516<br>**1,500**<br>1,500<br>**400,345**<br>417,831<br>**4,554,500**<br>5,262,000<br>**3,535,379**<br>3,377,007<br>**8,491,724**<br>9,058,338<br>**(626,636)**<br>(880,770)<br>**7,865,088**<br>8,177,568<br>**-**<br>(223,161)<br>**(30,293)**<br>(46,997)<br>**38,123,676**<br>39,374,926<br>**13,816,324**<br>14,971,442<br>**24,012,103**<br>24,054,919<br>**295,249**<br>348,565<br>**38,123,676**<br>39,374,926|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>182,619<br>**-**<br>-<br>**4,464**<br>27,315<br>**4,464**<br>209,934<br>**(3,988)**<br>(3,697)<br>**476**<br>206,237<br>**-**<br>-<br>**-**<br>-<br>**476**<br>206,237<br>**476**<br>206,237<br>**-**<br>-<br>**-**<br>-<br>**476**<br>206,237|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>182,619<br>**-**<br>-<br>**4,464**<br>27,315<br>**4,464**<br>209,934<br>**(3,988)**<br>(3,697)<br>**476**<br>206,237<br>**-**<br>-<br>**-**<br>-<br>**476**<br>206,237<br>**476**<br>206,237<br>**-**<br>-<br>**-**<br>-<br>**476**<br>206,237|
|---|---|---|---|
||||-|
||||-<br>182,619<br>-<br>27,315|
||||209,934<br>(3,697)|
||||206,237|
||||-<br>-|
||||206,237|
||||206,237<br>-<br>-|
||||206,237|



The financial statements were approved and authorised for issue by the Board of Trustees on 13 May 2021. 


The Venerable R G Cooper 

## **Chairman** 

Company number: 09113084 Charity number: 1160157 

The accompanying accounting policies and notes on pages 19 - 36 form part of these financial statements. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

18 

(a charitable company limited by guarantee) 

Consolidated financial statements for the year ended 31 December 2020 

## Group statement of cash flows 

|**Note**<br>**Cashflows from operating activities**<br>Net cash used in operating activities<br>28<br>**Cashflows from investing activities**<br>Returns on investments<br>29<br>**Cashflows from financing activities**<br>Capital expenditure and financial investment<br>30<br>**Change in cash and cash equivalents in the reporting period**<br>**Cash and cash equivalents at the beginning of the reporting period**<br>**Cash and cash equivalents at the end of the reporting period**<br>31|**2020**<br>**£**<br>**(3,189,329)**<br>**962,725**<br>**2,384,976**<br>**158,372**<br>**3,377,007**<br>**3,535,379**|2019<br>£<br>(1,343,754)<br>1,234,367<br>2,732,940|
|---|---|---|
|||2,623,553<br>753,454|
|||3,377,007|



The accompanying accounting policies and notes on pages 19 - 36 form an integral part of these financial statements. 



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19 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 1 Charity information 

The organisation is a charitable company limited by guarantee.  It was incorporated on 2 July 2014 and registered as a charity on 26 January 2015.  It has registered charity number 1160157 and company registration number 09113084. 

The registered office is The Old Rectory, Rectory Drive, Whiston, Rotherham, S60 4JG. 

## 2 Basis of preparation 

The financial statements have been prepared in accordance with applicable United Kingdom accounting standards including 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) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The financial statements have been prepared on the historical cost basis except for the modification to a fair value basis for certain financial instruments as specified in the accounting policies below. 

The financial statements are presented in Sterling £'s. 

## Preparation of accounts - going concern basis 

The principal financial risk facing the charity is its ability to generate sufficient income to cover expenditure incurred in fulfilling the objectives of the charity. 

We are not reliant on external funding or fundraised income which could be adversely impacted in the current external environment. We have not made any extended commitments that will significantly alter our financial position. We manage a planned deficit budget and have sufficient liquid resources to meet our obligations for the foreseeable future, (a period of at least 12 months).  Our longer term funding is provided by our investments.  These investments are actively managed by our investment managers and as we won’t require any withdrawal from those funds for at least 12 months, this presents an opportunity for the fund to continue to recover. The organisation has ensured ongoing effective governance of the charity through regular reporting of activity to the Board and to the holding the usual cyclical Board and Committee meetings through electronic online means 

Income has continued to be generated in line with expectations and we are able to meet our liabilities as they fall due.  The company has no external debt facilities and has not made any extended financial commitments. The company has no direct expenditure as all costs are borne by its parent undertaking and recharged when the company has the ability to meet the obligations. 

The directors, having reviewed cashflow forecasts to December 2023 do not believe that there are any material uncertainties which cast significant doubt on the ability of the company to continue as a going concern. 

## Basis of consolidation 

The group financial statements consolidate those of The Coal Industry Social Welfare Organisation 2014 and of its subsidiary undertakings (see note 37). Subsidiaries are defined as entities where the parent charity has control and derives financial benefit and are consolidated on a line by line basis. 



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The Coal Industry Social Welfare Organisation 2014 

20 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 3 Significant judgements and estimates 

Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been exercised are detailed below. 

Consideration has been given to the appropriate accounting treatment to adopt for the properties which have not previously been required to be recognised on the balance sheet. 

The accounting treatment adopted has been based on the current use of each property and its classification under the organisation’s Asset Management Policy.  The Policy defines the principal reason for the organisation to retain ownership of property is to secure the provision of recreational facilities where they are needed and utilised.  Following a detailed review, each property has been categorised into one of the following:- 

## **1) Fixed Assets - Investment Properties** 

Included within this category:- 

- a) Properties that are not currently in recreational use and have not been for a significant time, with no prospect of returning to recreational use, being retained for future capital appreciation; 

- b) Properties not in recreational use and leased to third parties under formal lease agreements under which a commercial rental is being received. 

## **2) Fixed Assets – Social Investments** 

Property in long term recreational use, under lease to tenants, largely on peppercorn rentals. 

## **3) Current asset – Investment Properties** 

Property no longer needed or utilised for recreational purposes, where a decision has been made to dispose of, disposal is being actively pursued and is expected within the foreseeable future. 

Where a third party charity undergoing formal wind-up and/or land disposal, governed under a mining trust where the organisation has the right to any residual assets, there may be costs associated with such a wind-up.  Where the trust does not have the resources to meet these costs (often where the only asset is land which may take a considerable period of time to dispose of) the organisation may provide funding to pay for the costs of disposal to be claimed back from the ultimate realisation of the mining trusts' assets. These cost advances are treated as debtors. 

These debtors are reviewed by the executive and periodically by the Finance & General Purpose Committee.  If recoverability is in doubt, full provision is made against the debtor. 

## 4 Principal accounting policies 

## Fund accounting 

The charity maintains various types of funds (funds are detailed in note 24) as follows: 

## **Restricted funds** 

Restricted funds represent grants and donations received which are allocated by the donor for specific purposes. 

## **Endowment funds** 

The Capital Endowment Fund comprises the former Capital Endowment Fund of CISWO and the former Endowment Fund of CIBT.  Income can be drawn but capital has to be retained. 

The Permanent Endowment Fund represents fixed assets that cannot be realised for revenue purposes. 

The King's Silver Jubilee and Coronation Cottages Permanent Endowment Fund represents the properties transferred into the King's Silver Jubilee and Coronation Cottages trust together with any proceeds received on subsequent disposals. 



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The Coal Industry Social Welfare Organisation 2014 

21 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 4 Principal accounting policies (continued) 

## **Unrestricted funds** 

Designated funds are amounts that have been set aside at the discretion of the trustees. 

The Unrestricted Fund represents unrestricted income which is expendable at the discretion of the trustees in furtherance of the objects of the charity. 

## Income 

All income is recognised in the statement of financial activities when the conditions for receipt have been met and there is probable assurance of receipt.  Income from donations and grants, including capital grants, is included in income when these are receivable, except as follows: 

- When donors specify that donations and grants given to the charity must be used in future accounting periods, the income is deferred until those periods. 

- When donors impose conditions which have to be fulfilled before the charity becomes entitled to use such income, the income is deferred and not included in incoming resources until the pre-conditions for use have been met. 

- When donors specify that donations and grants, including capital grants, are for particular restricted purposes, which do not amount to pre-conditions regarding entitlement, this income is included in income of restricted funds when receivable. 

- Where a claim for repayment of income tax has or will be made, such income is grossed up for the tax recoverable. 

## Donations 

Donations are recognised as income when they are received. 

## Trading Income 

Trading income is the amount receivable for services provided, excluding value added tax where applicable. 

## Investment income 

Investment income is accounted for when receivable.  Tax recoverable relating to investment income is accounted for in the same period as the related income. 

## Charitable expenditure 

Charitable expenditure includes all expenditure directly related to the objects and activities of the charity. 

## Investment Managers Fees 

These fees comprise costs attributable to managing the investment portfolio and raising investment income. 

## Operating leases 

Operating lease rentals are charged to the statement of financial activities in equal amounts over the lease term. 

## Grants payable 

Grants payable are payments made to third parties in the furtherance of the charitable objects of the organisation. 

Grants to personal beneficiaries are recognised once the grant application has been approved and communicated to the recipient. 

Grants awarded under our recreational facilities development policy are recognised when the grant has been approved, communicated to the recipient and all performance conditions have been fulfilled. 



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The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) 

22 

Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 4 Principal accounting policies (continued) 

## Support costs 

Support costs are those costs that are necessary to deliver a charitable activity but do not themselves produce or constitute the output of the charitable activity.  Support costs are allocated to unrestricted funds. 

## Governance costs 

Governance costs are those associated with meeting the constitutional and statutory requirements of the Charity, including audit fees and strategic management expenditure. 

## Investments 

Investments are stated at market value.  Investment gains and losses are shown in the appropriate section of the statement of financial activities. 

## Investment Properties 

Investment properties are initially recognised at cost, then subsequently at fair value at the balance sheet date, where the fair value reflects the current use of the property.  Where an investment property has been categorised as a social investment the property is recognised at cost less any impairment. 

## Tangible fixed assets and depreciation 

Tangible assets are stated at cost, net of depreciation. 

Depreciation is provided on a straight line basis to write off the cost of fixed assets over their estimated useful lives at the following rates: 

|Freehold property|3% - 10% per annum|
|---|---|
|Freehold property – King's Silver Jubilee and|The properties were transferred to the Trust at a nominal value|
|Coronation Cottages|of £1 each and are stated in the balance sheet at this value.|
|Leasehold property|2% per annum|
|Furniture and equipment|10% per annum|
|Computers and related equipment|20% per annum|
|Motor vehicles - minibuses|25% per annum|



## Impairment of assets 

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. No such loss has been identified. 

## Stocks 

Stocks are stated at the lower of cost and net realisable value. 

## Charitable Asset Transfers 

Charitable asset transfers relates to proceeds from the dissolution of mining charities where the organisation is entitled to the residual proceeds under the governing instrument of the mining charity concerned. Such income from these transfers is only recognised when received. 

## Pension costs 

The charity contributes to the Industry Wide Coal Staff Superannuation Scheme, a defined benefit scheme. Payments are made in accordance with instructions given by the actuary and charged to the statement of financial activities. The scheme is a multi employer defined benefit scheme, but is being accounted for as a defined contribution scheme as the employer is unable to identify its share of the underlying assets and liabilities in the scheme on a consistent and reasonable basis.  The scheme closed to new entrants on 1 January 1995. 

The charity contributes to a defined contribution scheme for employees who wish to participate in it. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

23 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 4 Principal accounting policies (continued) 

## Taxation 

The fund is a registered charity and is potentially exempt from taxation in respect of income and capital gains received within categories covered by Part 11, Chapter 3, CTA 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied to exclusively charitable purposes and as such has no liability to tax on its charitable activities. 

## Redundancy and termination payments 

All redundancy and termination payments and amounts in lieu of notice are charged or accrued as incurred. 

## Debtors 

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment. 

## Creditors 

Short term trade creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. 

## Provisions for liabilities 

Provisions are recognised when the group has a present obligation (legal or constructive) as a result of a past event, it is probable that the group will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. 

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. 

Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value using a pre-tax discount rate. The unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises. 

## Investments in subsidiaries 

The consolidated financial statements incorporate the financial statements of the Charitable Company and entities controlled by the group (its subsidiaries). Control is achieved where the group has the power to govern the financial and operating policies of the entities so as to obtain benefits from its activities. 

All intra-group transactions, balances, income and expenses are eliminated in full on consolidation. 

## Financial instruments 

The charitable group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognized at transaction value and subsequently measured at their settlement value, representing amortised cost, as follows: 

|Financial instrument|-|Measurement on initial recognition|
|---|---|---|
|Cash|-|Cash held|
|Debtors|-|Settlement amount after any trade discounts|
|Creditors|-|Settlement amount after any trade discounts (assuming normal credit terms apply)|





���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

24 

## Notes to the financial statements 

## 5 Net expenditure 

|Group<br>Net expenditure is stated after charging:<br>Auditor's remuneration – audit of financial statements<br>Depreciation on tangible fixed assets<br>Net (profit)/loss on disposal of tangible fixed assets<br>Rentals under operating leases<br>6<br>Donations and Legacies<br>Group<br>Grants and donations received during the year were as follows:<br>Other grants and donations<br>7<br>Charitable Activities<br>Group<br>Support grants<br>Social work income<br>Thornycroft day centre<br>Interests in land<br>8<br>Other Trading Activities<br>Group<br>Provision of Accountancy Services<br>9<br>Other Income<br>Profit on sale of fixed assets<br>Charitable asset transfers<br>Sundry income|**2020**<br>**£**<br>**21,950**<br>**80,192**<br>**(876,119)**<br>**19,579**<br>**2020**<br>**£**<br>**3,350**<br>**2020**<br>**£**<br>**142,639**<br>**7,717**<br>**202,677**<br>**250,538**<br>**603,571**<br>**2020**<br>**£**<br>**138,981**<br>**2020**<br>**£**<br>**876,119**<br>**128,094**<br>**61,707**<br>**1,065,920**|2019<br>£<br>21,250<br>74,466<br>(807,629)<br>21,871|
|---|---|---|
|||2019<br>£<br>7,813|
|||2019<br>£<br>170,791<br>16,829<br>230,225<br>228,512|
|||646,357|
|||2019<br>£<br>152,074|
|||2019<br>£<br>807,629<br>1,519,001<br>20,864|
|||2,347,494|





���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

25 

Consolidated financial statements for the year ended 31 December 2020 

(a charitable company limited by guarantee) 

## Notes to the financial statements 

## 10 Trustees and employees 

## Group 

|Group|||
|---|---|---|
||**2020**|2019|
||**£**|£|
|Wages and salaries|**1,764,620**|1,732,419|
|Social security costs|**151,188**|145,790|
|Pensions|**556,734**|313,109|
||**2,472,542**|2,191,318|
|**Emoluments and employees over £60,000**|||
||**Number**|Number|
|£70,000 - £79,999|**1**|1|
|£90,000 - £99,999|**1**|1|
|The average number of employees during the year was:|||
|Headquarters|**15**|14|
|Areas|**37**|37|
|Thornycroft|**13**|17|
||**65**|68|



No trustees (2019: none) received any remuneration from the charity in the year.  Total expenses reimbursed to the trustees at cost for the year ended 31 December 2020 including indemnity insurance were £4,454 (2019: £10,032) for 11 trustees. 

All Directors are trustees and all trustees are Directors. 

The total remuneration cost of the key management personnel (being the Chief Executive and Finance Director) of the charity was £170,895 (2019: £170,157). 

During the year redundancy and termination payments were made totalling £9,684 (2019: £6,038). 

Included within pensions cost is £327,996 (2019: £109,332) in respect of deficit contributions to the IWCSSS (see note 25). 

## 11 Investment Manager fees 

## Group 

|Investment Manager Fees|**2020**<br>2019<br>**£**<br>£<br>**108,258**<br>117,295|
|---|---|





26 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 12 Charitable Activities 

## Group 

|A summary of the major cost components is given below:<br>Community welfare services and services to other charities<br>Services to personal beneficiaries<br>Grants to personal beneficiaries<br>Recreational Facilities Grants<br>Thornycroft day centre<br>Interests in land<br>Costs in support of charitable activities<br>Pension deficit funding<br>Governance Costs<br>Increase/(Decrease) in repayment plan pension liability|**2020**<br>**£**<br>**409,842**<br>**966,030**<br>**325,857**<br>**224,166**<br>**366,622**<br>**339,792**<br>**914,848**<br>**327,996**<br>**47,901**<br>**3,923,054**<br>**(305,161)**<br>**3,617,893**|2019<br>£<br>473,872<br>974,011<br>482,869<br>-<br>403,832<br>250,220<br>952,472<br>109,332<br>55,564|
|---|---|---|
|||3,702,172<br>441,828|
|||4,144,000|



## 13 Transfers between funds 

## Group 

|**Summary**<br>CISWO<br>**Total**|**Unrestricted**<br>**fund**<br>**£**<br>42,816<br>42,816|**Endowment**<br>**funds**<br>**£**<br>(42,816)<br>(42,816)|**Restricted**<br>**funds**<br>**£**<br>-|**Total**<br>**2020**<br>**£**<br>**-**<br>**-**|Total<br>2019<br>£<br>-|
|---|---|---|---|---|---|
||||-||-|



## **CISWO – Unitised Fund Investments** 

The whole of the investments are held within a unitised fund managed by Rathbones.  Each quarter the unitised fund is analysed between that part which represents unrestricted fund holdings, restricted funds and that which represents endowment funds.  For the statutory accounts purposes the whole of the income and gains are deemed to be unrestricted and then a transfer is made reflecting the growth in net asset value of the endowment fund and restricted fund based on the quarterly movements of the unitised fund. 

## 14 Revaluation of Investment Properties 

|Increase/(Decrease) in value of fixed asset investment properties<br>Increase in value of current asset investment properties|**2020**<br>**£**<br>**46,600**<br>**-**<br>**46,600**|2019<br>£<br>(55,000)<br>1,300,000|
|---|---|---|
|||1,245,000|



Further detail is provided in notes 16 and 18. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

27 

(a charitable company limited by guarantee) 

Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 15 Tangible fixed assets 

## Group 

|**Cost**<br>At 1 January 2020<br>Transfer<br>Additions<br>Disposals<br>At 31 December 2020<br>**Depreciation**<br>At 1 January 2020<br>Transfer<br>Charge for the year<br>Disposals<br>At 31 December 2020<br>**Net book amount**<br>At 31 December 2020<br>At 31 December 2019|**Freehold**<br>**property**<br>**£**<br>1,530,250<br>-<br>-<br>-<br>1,530,250<br>554,117<br>-<br>45,533<br>-<br>599,650<br>**930,601**<br>976,133|**Furniture**<br>**and**<br>**equipment**<br>**£**<br>667,189<br>-<br>17,573<br>(206,079)|**Motor**<br>**vehicles**<br>**£**<br>83,034<br>-<br>-<br>(26,034)<br>57,000<br>26,034<br>-<br>14,250<br>(26,034)<br>14,250<br>**42,750**<br>57,000|**Total**<br>**£**<br>2,280,473<br>-<br>17,573<br>(232,113)|
|---|---|---|---|---|
|||478,683||2,065,933|
|||571,803<br>-<br>20,409<br>(202,554)||1,151,954<br>-<br>80,192<br>(228,588)|
|||389,658||1,003,558|
|||**89,025**||**1,062,375**|
|||95,386||1,128,519|



Included within freehold property are properties originally included at valuation which was used as deemed cost;  at Thornycroft the property was included at £575,000 and two properties used for service delivery which were included in fixed assets at a valuation of £310,000. (No further valuation of the properties has been carried out as the trustees believe that there is no material difference between the deemed cost and the current net book value). 

## Company 

The charitable company had no tangible fixed assets at 31 December 2020 or 31 December 2019. 

## 16 Investment Properties 

|**Cost**<br>At 1 January 2020<br>Additions<br>Revaluation in the year<br>Transfer to current asset investment properties<br>At 31 December 2020|**Investment**<br>**properties**<br>**£**<br>1,815,000<br>-<br>46,600<br>(592,500)<br>**1,269,100**|**Social**<br>**investments**<br>**£**<br>161,226<br>2,543<br>-<br>-<br>**163,769**|**Total**<br>**£**<br>1,976,226<br>2,543<br>46,600<br>(592,500)|
|---|---|---|---|
||||**1,432,869**|



Investment properties represents, 11 properties leased on commercial rentals to third parties (2019: 12) and a further 5 (2019: 7) which are not in recreational use and are retained for their capital appreciation.  3 properties have been transferred to current asset investments in 2020.  Properties held for commercial rental have been valued, as at 31 December 2020, based on the expected future income stream to be generated, the difference in valuation from 2019 has been reflected above.  All other properties were valued at 31 December 2018, based on their existing use. Valuations were performed by Fisher Hargreaves Proctor Limited.  These valuations are still considered appropriate as at 31 December 2020. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

28 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

Social investments are used in the furtherance of the organisation’s objective to continue to secure provision of recreational facilities that are still utilised and needed by former mining communities.  A total of 212 properties are leased to charities, sports clubs, community organisations and local authorities.   All sites are subject to leases ranging from 5 to 101 years in duration and at peppercorn rentals.  It is the intention of the organisation to retain properties in recreational use in the long term, as such they are considered not to have a capital value over and above any acquisition cost. 

## Company 

The Charitable Company had no investment properties at 31 December 2020 or 31 December 2019. 

## 17 Investments and Investment (losses)/gains 

|Group<br>**Quoted UK Stock Exchange Investments**<br>Market value at 1 January 2020<br>Additions at cost<br>Disposal proceeds<br>Net investment gain<br>Market value at 31 December 2020<br>Historical cost at 31 December 2020|**2020**<br>**£**<br>**28,038,238**<br>**4,989,153**<br>**(5,280,709)**<br>**(343,686)**<br>**27,402,996**<br>**20,730,409**|2019<br>£<br>24,353,364<br>3,397,096<br>(2,402,531)<br>2,690,309|
|---|---|---|
|||28,038,238|
|||19,323,154|



The difference between market value and historical costs is included within unrestricted funds and endowments. 

|**Funds held by Investment Managers**<br>Investments comprise the following:<br>Investments listed on a stock exchange<br>Cash deposits held as part of investment portfolio<br>Total investments<br>**Net (loss)/gain on investments**<br>(Loss)/gain on quoted investments<br>Loss on foreign exchange|**2020**<br>**£**<br>**27,402,996**<br>**390,641**<br>**27,793,637**<br>**2020**<br>**£**<br>**(343,686)**<br>**(2,560)**<br>**(346,246)**|2019<br>£<br>28,038,238<br>324,533|
|---|---|---|
|||28,362,771|
|||2019<br>£<br>2,690,309<br>-|
|||2,690,309|



## Company 

The Charitable Company had no investments, other than its interest in subsidiaries (see note 37) at 31 December 2020 or 31 December 2019. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

29 

Consolidated financial statements for the year ended 31 December 2020 

(a charitable company limited by guarantee) 

## Notes to the financial statements 

## 18 Current Asset Investment Properties 

|**Cost**<br>At 1 January 2020<br>Transfer from fixed asset investment properties<br>Revaluation in year<br>Disposals<br>At 31 December 2020|**Total**<br>**£**<br>5,262,000<br>592,500<br>-<br>(1,300,000)|
|---|---|
||**4,554,500**|



Current asset investments represents 7 properties (2019: 8).  3 properties have been transferred from fixed asset investment properties, 4 have been disposed. The trustees have determined that the continued holding of these properties does not align with the organisation’s objectives and properties will be realised at best value in accordance with the Charities Act 2011 guidance. 

The properties have been valued based on an open market value at 31 December 2018 by Fisher Hargreaves Proctor Limited. These valuations are still considered appropriate as at 31 December 2020. 

## Company 

The Charitable Company had no current investments at 31 December 2020 or 31 December 2019. 

## 19 Debtors 

|**Due within one year:**<br>Trade debtors<br>Car loans<br>Due from CISWO (Trading) Limited<br>Amounts due from Regional Trust and Convalescent<br>Funds<br>Prepayments<br>Other debtors<br>Miners Welfare Charities<br>**Due after more than one year:**<br>Miners Welfare Charities<br>**Total debtors as at 31 December**|**Group**<br>**2020**<br>2019<br>**£**<br>£<br>**118,824**<br>136,925<br>**10,671**<br>27,954<br>**-**<br>-<br>**85,478**<br>23,837<br>**162,389**<br>80,649<br>**-**<br>11,903<br>**2,000**<br>115,580<br>**379,362**<br>396,848<br>**20,983**<br>20,983<br>**400,345**<br>417,831|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**-**<br>-<br>**-**<br>182,619<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>182,619<br>**-**<br>-<br>**-**<br>182,619|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**-**<br>-<br>**-**<br>182,619<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>182,619<br>**-**<br>-<br>**-**<br>182,619|
|---|---|---|---|
||||182,619|
||||-|
||||182,619|



## 20 Cash at bank and in hand 

||**Group**||**Company**||
|---|---|---|---|---|
||**2020**|2019|**2020**|2019|
||**£**|£|**£**|£|
|Total cash in hand|**3,535,379**|3,377,007|**4,464**|27,315|





���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

30 

## Notes to the financial statements 

## 21 Creditors: amounts falling due within one year 

|Funds committed to mining charities<br>Other creditors and accruals<br>Social security and other taxes<br>Amount due to CISWO<br>Repayment Plan: pension liability (note 25)|**Group**<br>**2020**<br>2019<br>**£**<br>£<br>**100,871**<br>252,053<br>**245,150**<br>212,617<br>**34,615**<br>88,100<br>**-**<br>-<br>**246,000**<br>328,000<br>**626,636**<br>880,770|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**3,856**<br>3,697<br>**-**<br>-<br>**132**<br>-<br>-<br>**3,988**<br>3,697|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**3,856**<br>3,697<br>**-**<br>-<br>**132**<br>-<br>-<br>**3,988**<br>3,697|
|---|---|---|---|
||||3,697|



## 22 Creditors: amounts falling due after one year 

## Group 

CISWO participates in the Industry Wide Coal Staff Superannuation Scheme.  At the year end a repayment plan had been agreed to fund past deficits on the scheme as follows: 

|Repayment Plan: pension liability|**2020**<br>2019<br>**£**<br>£<br>**-**<br>223,161|
|---|---|



A revised repayment plan began on 1 January 2020 it requires the organisation to pay a sum of £27,333 per month until September 2021. (See note 25) 

## 23 Provisions for liabilities 

## Group 

|Balance at 1 January 2020<br>Released in the year<br>Balance at 31 December 2020|**Holiday**<br>**pay accrual**<br>**£**<br>46,997<br>(16,704)|**Total**<br>**provisions**<br>**£**<br>**46,997**<br>(16,704)|
|---|---|---|
||**30,293**|**30,293**|



The holiday pay provision represents holiday balances accrued as a result of services rendered in the current period and which employees are entitled to carry forward. The provision is measured as the salary cost payable for the period of absence. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

31 

## Notes to the financial statements 

## 24 Analysis of net assets between funds 

## Group 

|**Fixed assets**<br>Tangible fixed assets<br>Investment properties<br>Investments<br>**Current assets**<br>Stock<br>Debtors<br>Current asset investment properties<br>Cash<br>**Current liabilities**<br>Amounts falling due within one year<br>**Net current assets**<br>Creditors: amounts falling due<br>greater than one year<br>Provisions for liabilities<br>**Net assets**<br>Company<br>**Current assets**<br>Debtors<br>Cash<br>**Current liabilities**<br>Amounts falling due within one year<br>**Net current assets**<br>**Net assets**|**Unrestricted**<br>**fund**<br>**£**<br>711,905<br>1,432,869<br>4,109,733<br>6,254,507<br>1,500<br>400,345<br>4,554,500<br>3,262,401<br>8,218,746<br>(626,636)<br>7,592,110<br>-<br>(30,293)<br>13,816,324|**Endowment**<br>**funds**<br>**£**<br>350,470<br>-<br>23,464,111<br>23,814,581<br>-<br>-<br>-<br>197,522<br>197,522<br>-<br>197,522<br>-<br>-<br>24,012,103|**Restricted**<br>**funds**<br>**£**<br>-<br>-<br>219,793<br>219,793<br>-<br>-<br>-<br>75,456<br>75,456<br>-<br>75,456<br>-<br>-<br>295,249<br>**Unrestricted**<br>**fund**<br>**£**<br>-<br>4,464<br>4,464<br>(3,988)<br>476<br>476|**Total**<br>**2020**<br>**£**<br>**1,062,375**<br>**1,432,869**<br>**27,793,637**<br>**30,288,881**<br>**1,500**<br>**400,345**<br>**4,554,500**<br>**3,535,379**<br>**8,491,724**<br>**(626,636)**<br>**7,865,088**<br>**-**<br>**(30,293)**<br>**38,123,676**<br>**Total**<br>**2020**<br>**£**<br>**-**<br>**4,464**<br>**4,464**<br>**(3,988)**<br>**476**<br>**476**|Total<br>2019<br>£<br>1,128,519<br>1,976,226<br>28,362,771|
|---|---|---|---|---|---|
||||||31,467,516|
||||||1,500<br>417,831<br>5,262,000<br>3,377,007|
||||||9,058,338<br>(880,770)|
||||||8,177,568|
||||||(223,161)<br>(46,997)|
||||||39,374,926|
||||||Total<br>2019<br>£<br>182,619<br>27,315|
||||||209,934<br>(3,697)|
||||||206,237|
||||||206,237|





���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

32 

(a charitable company limited by guarantee) 

Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 24 Analysis of net assets between funds (continued) 

## Endowment funds Group 

|**Fixed assets**<br>Tangible fixed assets<br>Investments<br>**Current assets**<br>Cash at bank<br>At 31 December<br>Restricted funds<br>Group<br>**Fixed assets**<br>Investments<br>**Current assets**<br>Cash at bank<br>At 31 December||**Endowment**<br>**Fund**<br>**£**<br>-<br>23,464,111<br>-<br>23,464,111<br>**King's Silver**<br>**Jubilee and**<br>**Coronation**<br>**Cottages**<br>**Restricted**<br>**Fund**<br>**£**<br>-<br>31,764|**Permanent**<br>**Endowment**<br>**Fund**<br>**£**<br>350,464<br>-<br>-|**King's Silver**<br>**Jubilee and**<br>**Coronation**<br>**Cottages**<br>**Permanent**<br>**Endowment**<br>**Fund**<br>**£**<br>6<br>-<br>197,522<br>197,528<br>**North**<br>**Derbyshire**<br>**NUM**<br>**£**<br>219,793<br>-<br>219,793|**Total**<br>**2020**<br>**£**<br>**340,470**<br>**23,464,111**<br>**197,522**<br>**24,012,103**<br>**Total**<br>**2020**<br>**£**<br>**219,793**<br>**75,456**<br>**295,249**|Total<br>2019<br>£<br>350,470<br>23,506,927<br>197,522|
|---|---|---|---|---|---|---|
||||350,464|||24,054,919|
||||**Four**<br>**Collieries**<br>**Fund**<br>**£**<br>-<br>43,692<br>43,692|||Total<br>2019<br>£<br>263,476<br>85,089|
|||31,764||||348,565|



The net assets of the charity are represented by the following funds: 

## **Unrestricted Fund** 

This is the core operational fund of the charity through which all its operational work is channelled. 

## **Endowment Fund (Endowment Fund)** 

This is the core investment reserve fund of the charity.  It comprises the former Capital Endowment Fund of CISWO and the former Endowment Fund of CIBT. 

## **Permanent Endowment Fund (Endowment Fund)** 

This fund is comprised solely of fixed assets that cannot be realised for revenue purposes. 

## **King's Silver Jubilee and Coronation Cottages Permanent Endowment Fund (Endowment Fund)** 

The Charity Commission Scheme which linked this charity to the organisation required the properties to be separately identified together with the proceeds received upon any subsequent disposals. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 

33 

(a charitable company limited by guarantee) 

Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 24 Analysis of net assets between funds (continued) 

## **King's Silver Jubilee and Coronation Cottages Restricted Fund (Restricted Fund)** 

This fund is to be applied in meeting the costs of administering and managing the King's Silver Jubilee and Coronation Cottages properties. 

## **Four Collieries Fund (Restricted Funds)** 

This fund was established by gift transfer from the United Collieries Benevolent Fund and is to be used for the relief of hardship in the East Midlands Coalfield. 

## **North Derbyshire NUM Fund** 

The funds were transferred to the Coal Industry Social Welfare Organisation in 2015.  The funds are to be used at the discretion of the Trustees to benefit the mining communities of North Derbyshire. 

## **Miners’ Welfare National Education Fund** 

The fund is held upon trust for the purpose of making grants to assist eligible candidates to undertake courses of higher education. 

## 25 Industry wide coal staff superannuation scheme 

## **Industry Wide Coal Staff Superannuation Scheme** 

The charity contributes to the Industry Wide Coal Staff Superannuation Scheme, a defined benefit scheme for the benefit of 3 current and 60 former employees.  The assets of the scheme are administered by pension scheme trustees in a fund independent from that of the charity.  The scheme was closed to new entrants on 1 January 1995. 

The charity's contributions are affected by a surplus or deficit in the scheme but the charity is unable to identify its share of the assets and liabilities when they choose.  The charity has applied the multi-employer exemption to account for the scheme as a defined contribution scheme. 

The cost for the year for this scheme was £386,806 (2019: £157,831). 

An actuarial valuation was undertaken as at 31 December 2018.  The resulting repayment plan requires the organisation to pay deficit contributions of £27,333 per month until September 2021. 

## **Defined Contribution Scheme** 

The charity contributes to defined contribution scheme on behalf of employees.  The cost for the year was £169,927 (2019: £193,487). 

## 26 Related party transactions 

During the year the Coal Industry Social Welfare Organisation paid expenses on behalf of CISWO 2014.  At the year end an amount of £132 (2019: £nil) was owed to the Coal Industry Social Welfare Organisation. 



���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

34 

## Notes to the financial statements 

## 27 Operating lease commitments 

The total lease commitments under non-cancellable operating leases are: 

|Group<br>Leases which expire in less than one year<br>Leases which expire within two to five years|**Land and**<br>**Buildings**<br>**2020**<br>**£**<br>**11,996**<br>**-**<br>**11,996**|**Other**<br>**2020**<br>**£**<br>**27,442**<br>**35,024**<br>**62,466**|Land and<br>Buildings<br>2019<br>£<br>11,996<br>11,996|Other<br>2019<br>£<br>30,696<br>57,274|
|---|---|---|---|---|
||||23,992|87,970|



## Company 

The Company had no operating lease commitments at 31 December 2020 or 31 December 2019. 

## 28 Reconciliation of changes in resources to net cash outflow from operating activities 

|Net income/(expenditure) for the reporting period (as per the statement of<br>financial activities)<br>Net movement in funds<br>Adjustments for:<br>Investment income<br>Investment loss/(gain)<br>Depreciation<br>Loss/(Profit) on sale of tangible fixed assets<br>Recognition of property<br>Decrease(increase) in stock<br>Decrease/(increase) in debtors<br>Decrease in creditors<br>(Decrease)/increase in provision<br>Net cash used in operating activities<br>29<br>Returns on investments<br>Investment income received<br>30<br>Capital expenditure and financial investment<br>Purchase of tangible fixed assets<br>Sale of tangible fixed assets<br>Purchase of fixed asset investments<br>Sale of fixed asset investments<br>Decrease/(Increase) in fixed asset investment bank balances|**2020**<br>**£**<br>**(1,251,250)**<br>**(962,725)**<br>**343,685**<br>**80,192**<br>**(876,119)**<br>**(46,600)**<br>**-**<br>**17,487**<br>**(477,295)**<br>**(16,704)**|2019<br>£<br>4,062,119<br>(1,234,367)<br>(2,690,309)<br>74,465<br>(807,629)<br>(1,245,000)<br>400<br>115,262<br>388,502<br>(7,197)|
|---|---|---|
||**(3,189,329)**|(1,343,754)|
||**2020**<br>**£**<br>**962,725**|2019<br>£<br>1,234,367|
||**2020**<br>**£**<br>**(20,116)**<br>**2,179,644**<br>**(4,989,153)**<br>**5,280,709**<br>**(66,108)**|2019<br>£<br>(209,888)<br>2,410,716<br>(3,397,096)<br>2,402,531<br>1,526,677|
||**2,384,976**|2,732,940|





���������������������������������������������������������� 

The Coal Industry Social Welfare Organisation 2014 (a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

35 

## Notes to the financial statements 

## 31 Reconciliation of net cash flows to movement in net debt 

|Increase in cash for the year<br>Net funds at 1 January<br>Net funds at 31 December|**2020**<br>**£**<br>**158,372**<br>**3,377,007**<br>**3,535,379**|2019<br>£<br>2,623,553<br>753,454|
|---|---|---|
|||3,377,007|



## 32 Analysis of cash and cash equivalents 

|Cash in hand<br>Total cash and cash equivalents|At 1 January<br>2020<br>£<br>3,377,007|Cash flows<br>£<br>158,372<br>158,372|**At 31**<br>**December**<br>**2020**<br>**£**<br>**3,535,379**|
|---|---|---|---|
||3,377,007||**3,535,379**|



## 33 Contingent liabilities and capital commitments 

There were no contingent liabilities or capital commitments as at 31 December 2020 and 31 December 2019. 

## 34 Financial instruments 

|Carrying amount of financial assets<br>Measured at amortised cost<br>Trade debtors<br>Amounts owed by subsidiary undertakings<br>Other debtors<br>Carrying amount of financial liabilities<br>Measured at amortised cost<br>Other creditors<br>Funds committed to other charities<br>Trade creditors|**Group**<br>**2020**<br>2019<br>**£**<br>£<br>**118,824**<br>140,148<br>**-**<br>-<br>**119,132**<br>188,354<br>**237,956**<br>328,502<br>**212,956**<br>292,834<br>**100,871**<br>252,053<br>**66,820**<br>7,894<br>**380,647**<br>552,781|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**3,988**<br>-<br>**-**<br>-<br>**-**<br>-<br>**3,988**<br>-|**Company**<br>**2020**<br>2019<br>**£**<br>£<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**-**<br>-<br>**3,988**<br>-<br>**-**<br>-<br>**-**<br>-<br>**3,988**<br>-|
|---|---|---|---|
||||-|
||||-<br>-<br>-|
||||-|





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The Coal Industry Social Welfare Organisation 2014 

36 

(a charitable company limited by guarantee) Consolidated financial statements for the year ended 31 December 2020 

## Notes to the financial statements 

## 35 Charitable Company results 

The charity has taken advantage of Section 408 of the Companies Act 2006 and has not included its own income and expenditure account in the accounts. 

The results of the charity are summarised below: 

|The results of the charity are summarised below:|||
|---|---|---|
|Total income<br>Total expenditure<br>Net income/(expenditure)|**2020**<br>**£**<br>**-**<br>**(205,762)**<br>**(205,762)**|2019<br>£<br>182,619<br>(15,854)|
|||166,765|



## 36 Liabilities of members 

Under the Articles of Association all members undertake to contribute to the assets of the Charitable Company such an amount as may be required, not exceeding £1, in the event of it being wound up. 

## 37 Subsidiary undertakings 

At 31 December 2020 the Charitable Company controlled the following entities: 

|||||||**Results**|
|---|---|---|---|---|---|---|
||**Country of**|||||**for the**|
||**incorporation**|**Company**|**Charity**|**OSCR**||**financial**|
||**/ registration**|**number**|**number**|**number**|**Reserves**|**year**|
||||||**£**|**£**|
|Coal Industry Social|England|-|1015581|SCO39529|38,059,460|(892,861)|
|Welfare Organisation|||||||
|Miners' Welfare|England|-|313246|SCO38771|70,149|(146,215)|
|National Education|||||||
|Fund|||||||
|Coal Industry Social|England|03153888|-|-|(6,414)|(6,414)|
|Welfare Organisation|||||||
|(Trading) Limited|||||||
|CISWO Charitable|England|09263738|1163041|-|-|-|
|Property Services|||||||
|Trust|||||||