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2021-01-31-accounts

Charity Registration No. 1164347

LEIGH CARING KITCHEN

'THE BRIDGE AT LEIGH'

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2021

LEIGH CARING KITCHEN

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Frank Bowker - Chair
Dorothy Margaret Bowker - Secretary
Elizabeth Joanne Thompson
Stephen Frank Timms
David William Hughes - Treasurer
Key management Andrew Roberts - Operations Manager
Catherine Roberts - Food Services Manager
Charity number 1164347
Principal address 6 The Avenue
Leigh
Lancashire
WN7 1ES
Registered office 6 The Avenue
Leigh
Lancashire
WN7 1ES
Independent examiner Peter Atkinson F.C.A.
Jackson Stephen LLP
James House, Stonecross Business Park
Yew Tree Way
Warrington
Cheshire
WA3 3JD
Bankers NatWest
32 Market Street
Leigh
Lancashire
WN7 1DX

LEIGH CARING KITCHEN

CONTENTS

Page
Trustees report 1 - 3
Statement of Trustees responsibilities 4
Independent examiner's report 5
Statement of financial activities 6
Balance sheet 7
Notes to the financial statements 8 - 15

LEIGH CARING KITCHEN

TRUSTEES REPORT FOR THE YEAR ENDED 31 JANUARY 2021

The trustees present their report and financial statements for the year ended 31 January 2021.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's CIO constitution , the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".

Objectives and activities

Purposes and aims

The purposes and aims of Leigh Caring Kitchen as set out in its constitution are:

The relief of poverty in Leigh and District for people who are on low incomes, unemployed or homeless by providing food, shelter, support and signposting for further advice. Our aim is to offer a safe place of engagement for our service users through their basic need for food. We aim to build a strong community of members.

Furthermore we are also helping in the protection and preservation of the environment for the public benefit by the promotion of food waste and fast-moving consumer goods waste reduction by redistributing goods to people in low income households.

A lso the promotion of good health and nutrition by providing affordable access to, and supplying, a healthy and balanced diet and providing advice and education on a healthy and balanced diet.

Finally providing usable spaces for other community based wellness groups working in social inclusion, mental health and debt reduction.

The trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

In furtherance of these aims the charity has become an accredited Living Wage employer.

As set out in its constitution, its charitable activities focus on the relief of poverty in low income families, the reduction of waste and the promotion of good health and nutrition. These activities are undertaken to further Leigh Caring Kitchen's charitable purposes for the public benefit.

Leigh Caring Kitchen is a membership model, whereby families with low disposable income will be offered the opportunity to obtain a basket of food at an affordable price that otherwise may go to waste. We also encourage membership from families concerned about food waste who also wish to support the charity. We operate a minimum donation model for our goods and services.

Leigh Caring Kitchen also operate a low price café using food from our food market stock to offer to customers between 10.00 a.m. and 2.00 p.m. However since 24 March 2020 the café has been closed.

During the Covid-19 pandemic the charity has remained operational initially working with a host of volunteers delivering food parcels to people self-isolating.

To further reduce food waste Leigh Caring Kitchen operate a Too Good to Go outlet and now offers regular food parcels for collection from 2 sites every weekday.

LEIGH CARING KITCHEN

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

During this period we also took on a new warehouse facility with walk-in freezers and fridges to extend the capacity of offering a wide range of chilled and frozen foods from our warehouse stock. Also Leigh Caring Kitchen became a fully accredited redistributor of Fareshare Greater Manchester to local pantry premises.

Owing to these additional changes it now means that we can utilise almost all of the food we receive, and we have very little waste.

During the year, our services have been expanded to include the offer of household goods such as cleaning and kitchen supplies, toiletries, washing powders and feminine hygiene products.

Unfortunately, due to Covid-19, the availability of our current volunteers dropped considerably owing to shielding /self-isolating and although new volunteers came to help most were on a short term basis whilst on furlough.

The food and goods which Leigh Caring Kitchen offers are surplus. Without an outlet such as Leigh Caring Kitchen, they would have been used in animal feed, in energy generation or gone to landfill.

This means that we use the food we receive, and we have very little waste. During 2020/21, we redistributed

200 tonnes of food ensuring it is eaten by humans as intended.

Finally any surplus funds are set aside for use in the community by either providing housing stock for a local housing association or for provision of rooms and / or services in our current premises. Unfortunately this year due to Covid it has not been possible for groups to meet indoors.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Achievements and performance

The charitable aim of Leigh Caring Kitchen is to fight hunger, poverty and food waste through supporting wellness, recovery and inclusion of people on low incomes, unemployed or homeless in the Wigan and Leigh area.

During the year 2020/21, the charity intercepted 235 tonnes of food, saved 820 tonnes of CO2 emissions and made 545,492 meals available to anybody requiring one.

Financial review

The Board of Trustees have reviewed the charity’s finances and will endeavour to maintain reserves in unrestricted funds of at least 6 months committed expenditure. Based on a current review of spend, this would require £75,000 to be held.

At 31 January 2021, the charity was operating in accordance with this policy with carried forward bank funds of £74,083 plus £60,000 in a reserve account.

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

Structure, governance and management

The charity is a charitable incorporated organisation, established for the prevention or relief of poverty. It registered as a charity on 10 November 2015.

The trustees who served during the year and up to the date of signature of the financial statements were: Frank Bowker - Chair

Dorothy Margaret Bowker - Secretary Elizabeth Joanne Thompson Stephen Frank Timms David William Hughes - Treasurer

LEIGH CARING KITCHEN

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

None of the trustees has a beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

The Trustees r eport was approved by the Board of Trustees.

Frank Bowker - Chair

Dated: 14 September 2021

LEIGH CARING KITCHEN

STATEMENT OF TRUSTEES RESPONSIBILITIES

FOR THE YEAR ENDED 31 JANUARY 2021

The trustees are responsible for preparing the Trustees Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

LEIGH CARING KITCHEN

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF LEIGH CARING KITCHEN

I report to the trustees on my examination of the financial statements of Leigh Caring Kitchen (the charity) for the year ended 31 January 2021.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).

I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies.

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Peter Atkinson F.C.A.

Jackson Stephen LLP James House, Stonecross Business Park Yew Tree Way Warrington Cheshire WA3 3JD

Dated: 29 September 2021

LEIGH CARING KITCHEN

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JANUARY 2021

Unrestricted
Restricted
funds
funds
2021
2021
Notes
£
£
Income from:
Donations and legacies
3
270,976
-
Charitable activities
4
30,255
37,624
Other trading activities
5
1,950
-
Total income
303,181
37,624
Expenditure on:
Raising funds
6
444
-
Charitable activities
7
223,930
16,770
Net income/(expenditure)
224,374
16,770
Net incoming resources before transfers
78,807
20,854
Gross transfers between funds
5,589
(5,589)
Net income for the year/
Net movement in funds
84,396
15,265
Fund balances at 1 February 2020
189,653
-
Fund balances at 31 January 2021
274,049
15,265
TotalUnrestricted
funds
2021
2020
£
£
270,976
215,906
67,879
27,262
1,950
3,117
340,805
246,285
444
-
240,700
194,016
241,144
194,016
99,661
52,269
-
-
99,661
52,269
189,653
137,384
289,314
189,653

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

LEIGH CARING KITCHEN

BALANCE SHEET

AS AT 31 JANUARY 2021

Notes
Fixed assets
Tangible assets
10
Current assets
Debtors
11
Cash at bank and in hand
Creditors: amounts falling due within
one year
12
Net current assets
Total assets less current liabilities
The funds of the charity
Restricted funds
13
Unrestricted funds
2021
£
43,213
134,083
177,296
(8,150)
£
120,168
169,146
289,314
15,265
274,049
289,314
2020
£
-
85,351
85,351
(3,409)
£
107,711
81,942
189,653
-
189,653
189,653

The financial statements were approved by the Trustees on 14 September 2021

Frank Bowker - Chair Trustee

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2021

1 Accounting policies

Charity information

Leigh Caring Kitchen is a charitable incorporated organisation in England and Wales. The registered office address is 6 The Avenue, Leigh, Greater Manchester, WN7 1ES.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's CIO constitution, the Charities Act 2011 and "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)". The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling , which is the functional currency of the charity . Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

1 Accounting policies

(Continued)

1.5 Expenditure

Resources expended are recognised in the period in which they are paid and include attributable VAT which cannot be recovered.

Where resources expended relate to a specific activity, the cost has been directly allocated to that activity when the amount is paid .

Support costs have been allocated to the activities on a basis consistent with the level of direct expenditure incurred on each activity, excluding voluntary income in respect of donations and legacies.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold land and buildings 4% per annum straight line basis Plant and equipment 25% per annum reducing balance basis Fixtures and fittings 25% per annum reducing balance basis Motor vehicles 25% per annum straight line basis

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

1 Accounting policies

(Continued)

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the charity transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.11 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

There are no critical estimates or judgements required in the preparation of the financial statements.

3 Donations and legacies

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Donations and gifts 238,201 176,070
Grants 32,775 39,836
270,976 215,906
Charitable activities
Income
Income
2021
2020
£
£
Sales within charitable activities 930
10,975
Grants 37,624
-
Charitable rental income 29,325
16,287
67,879
27,262
Analysis by fund
Unrestricted funds 30,255
27,262
Restricted funds 37,624
-
67,879
27,262

4 Charitable activities

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

5 Other trading activities

6 UnrestrictedUnrestricted
funds
funds
2021
2020
£
£
Membership fees
1,950
3,117
Raising funds
Unrestricted
Total
funds
2021
2020
£
£
Fundraising and publicity
Other fundraising costs
444
-
444
-

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

7 Charitable activities

Unrestricted
Unrestricted
funds
funds
2021
2020
£
£
Staff costs 109,322
93,914
Depreciation and impairment 25,768
10,673
Food purchases 15,202
8,464
Light & Heat 12,402
11,973
Travel expenses 4,756
5,842
Administrative expenses 11,910
8,869
Relocation & repairs 24,240
23,514
Selling expenses 2,224
1,204
Rent & rates 27,138
25,332
Professional fees 3,876
4,231
Bank charges 3,862
-
240,700
194,016
240,700
194,016
Analysis by fund
Unrestricted funds 223,930
194,016
Restricted funds 16,770
-
240,700
194,016

8 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

9 Employees

The average monthly number of employees during the year was:

2021 2020
Number Number
Charitable activities 7 6

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

9
Employees
Employment costs
Wages and salaries

Social security costs
Other pension costs
(Continued)
2021
2020
£
£
104,529
89,563
3,295
2,961
1,498
1,390
109,322
93,914

There were no employees whose annual remuneration was £60,000 or more.

10
Tangible fixed assets
Leasehold
land and
buildings
Plant and
equipment
Fixtures and
fittings
Motor vehicles
£
£
£
£
Cost
At 1 February 2020
78,500
18,625
-
35,790
Additions
-
33,281
4,944
-
At 31 January 2021
78,500
51,906
4,944
35,790
Depreciation and impairment
At 1 February 2020
-
8,948
-
16,256
Depreciation charged in the year
3,140
12,909
1,071
8,648
At 31 January 2021
3,140
21,857
1,071
24,904
Carrying amount
At 31 January 2021
75,360
30,049
3,873
10,886
At 31 January 2020
78,500
9,677
-
19,534
11
Debtors
2021
Amounts falling due within one year:
£
Other debtors
37,624
Prepayments
5,589
43,213
Total
£
132,915
38,225
171,140
25,204
25,768
50,972
120,168
107,711
2020
£
-
-
-

LEIGH CARING KITCHEN

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JANUARY 2021

12 Creditors: amounts falling due within one year

Other taxation and social security
Trade creditors
Accruals and deferred income
2021
£
4,333
3,817
-
8,150
2020
£
1,416
1,723
270
3,409

13 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds
Balance at Income Expenditure Transfers Balance at
1 February 31 January
2020 2021
£ £ £ £ £
Capital Costs - 37,624 (16,770) (5,589) 15,265

Prior to the year end the charity received approval for a Capital Grant to cover fit out costs to be undertaken. This income is accrued for in the year end accounts and subsequently received post year end. The charity incurred costs prior to the year end in respect of the fit out costs. Transfers represent the deposit paid from the restricted fund which is recorded as a prepayment at 31 January 2021.

14 Analysis of net assets between funds

Unrestricted
funds
Restricted
funds
2021
2021
£
£
Fund balances at 31 January 2021 are
represented by:
Tangible assets
120,168
-
Current assets/(liabilities)
153,881
15,265
274,049
15,265
TotalUnrestricted
funds
2021
2020
£
£
120,168
107,711
169,146
81,942
289,314
189,653

15 Related party transactions

There were no disclosable related party transactions during the year (2020 - none).