Company registration number: 09808860 Charity registration number: 1165520
The Burton at Bideford (A company limited by guarantee) Annual Report and Financial Statements for the year ended 31 March 2021
THE BURTON AT BIDEFORD CONTENTS
| Reference and Administrative Details | 1 |
|---|---|
| Trustees' Report | 2 to 7 |
| Statement of Trustees' Responsibilities | 7 |
| Independent Examiner's Report | 8 |
| Statement of Financial Activities | 9 |
| Balance Sheet | 10 to 11 |
| Notes to the Financial Statements | 12 to 28 |
THE BURTON AT BIDEFORD REFERENCE AND ADMINISTRATIVE DETAILS
Chairman T J Ireson Trustees I A Huggett B J Liddell T J Ireson A J Robinson S M Lawrence A Nathwani J P Sharpe R H Millward N J Beer Principal Office Burton Art Gallery and Museum Kingsley Road BIDEFORD Devon EX39 2QQ The charity is incorporated in England, UK. Company Registration Number 09808860 Charity Registration Number 1165520 Accountant Glover Stanbury 27 Bridgeland Street BIDEFORD Devon EX39 2PZ
Page 1
THE BURTON AT BIDEFORD
TRUSTEES' REPORT
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 March 2021.
Trustees
J A Gentry (resigned 18 February 2021)
S P Harding (resigned 24 April 2020)
C M Erwood (resigned 18 February 2021)
I A Huggett
B J Liddell
T J Ireson
A J Robinson (appointed 18 June 2020)
S M Lawrence (appointed 18 June 2020)
A Nathwani (appointed 15 April 2021)
J P Sharpe (appointed 15 April 2021) R H Millward (appointed 15 April 2021)
N J Beer (appointed 22 April 2021)
Objectives and activity during the period
The objectives of the charity are to advance education in the arts, in particular by the establishment of a museum and art gallery which promotes public knowledge, enjoyment and appreciation of the arts, local heritage and learning.
This report covers the period from 1st April 2020 to 31st March 2021, our fifth year of operation. Inevitably, as a result of the National restrictions due to Covid, the Burton has had to adopt flexible practice and furlough staff intermittently. The Café du Parc also had significant challenges due to Covid as for much of the year it was unable to open.
In February 2021 the former Chair, Judith Gentry stepped down from her role, as did Chris Erwood. Both of these Trustees had played crucial parts in the transition of the Burton from being led and managed by Torridge District Council (TDC) to a Trustee led Charitable organisation. We wish to record our thanks to these former Trustees for all they did to secure the on-going reputation of the Burton in the community.
The new Chair has acted swiftly to recruit additional Trustees. Four new Trustees have been recruited, leading to a full compliment of nine Trustees. Similarly, two new Directors of Burton Enterprises have been recently recruited.
During the year the Board has continued to maintain, conserve and display the art and heritage assets of TDC while building on its own modest collection. This was also the third year of our National Portfolio Organisation (NPO) funding from the Arts Council and the organisation has been busy responding to the greater responsibilities that this accreditation brings.
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THE BURTON AT BIDEFORD
TRUSTEES' REPORT
Our Director, who was appointed in 2019 has now widened the exhibition programme within the NPO framework and the core business plan. During the prior year a consultant reviewed our programming in response to commentary from Arts Council England (ACE) and a separate Museums Advisor looked at the Museum offer and made recommendations for improvement. In spite of lockdown, the staff team have provided a diverse and engaging programme of events and have made significant modifications to the gallery spaces and the presentation of the museum’s artefacts. Such changes have brought the gallery ambience and visitor experience more in keeping with other regional museums and art galleries. Furthermore, during lockdown, the gallery’s on line profile has been enhanced through the use of social media, on line exhibitions and video clips and the introduction of an on-line shop.
Priorities identified at our 2020 AGM such as “Burton on the Road” , “Digital Burton” and “Burton at Home” have been sustained. The requirement to be flexible during the year has been essential, though the Trustees and staff team remain no less ambitious for the future.
Arts Council England have recognized the improvements being made and are encouraging the Director to submit a bid for enhanced grant assistance. We had anticipated planning for this in the forthcoming year, though ACE has informed all organisations that such bids will have to be delayed for twelve months, again due to Covid pressures on their own teams.
In the previous year Trustees agreed to buy the James Ravilious “An English Eye” collection comprising 135 monochrome photographic prints depicting Devon life. With fund raising which included a generous donation from the Friends of the Burton, the collection has been purchased and is now safely stored by the Burton’s Curator.
Visitor numbers have inevitably been adversely affected. For a significant part of the year the doors had to close and even when re-opened, this was restricted to “non essential retail, so visitors could only come in to purchase items from the shop and or craft gallery.
Our plans to expand the outreach activities for schools, care home and more remote communities across the Torridge district were the hardest hit by Covid. Schools were unabe to visit or host activities, our workshop programme had to stop, the re-purposed horse-box had to remain parked up and no care home would allow visitors for any activity. Trustees remain all the more determined to ensure that once restrictions are eased our ambitious programme is put into implementation to ensure that the lives of people across Torridge are enriched through engagement in the Arts,
We have produced a Burton at Bideford Year Book 2020-2021 which highlights the breadth and depth of our activity. Among these, one highlight was “Seeds of Hope” (a project which encouraged people to demonstrate optimism during difficult times, through the sharing of drawings, paintings, photos, words or videos). An exhibition, or rather an “installation which had wonderful reviews was entitled “All the People of the World” by “Stan’s Café” and which was inspired by Covid -19 and used grains of rice to bring abstract statistics startlingly and powerfully to life. Another highlight, during the summer was a project which took place over a period of time in Victoria Park entitled “Good Afternoons in the Park and which included talks, music and “silent discos”. A total of some 800 people attended the twelve events.
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THE BURTON AT BIDEFORD
TRUSTEES' REPORT
During the Year the former Chair negotiated a renewal of the five year Service and Funding agreement with Torridge District Council. As a consequence of significant pressures on the public purse and if the Council’s diverse priorities the annual funding agreement has reduced significantly by £34,000 per annum. This reduction in income presents quite a challenge for the Board, though our analyses show that if we are able to increase income from the commercial activities and expand our workshops and other activities such a reduction should not be critical. We are mindful that this aspect requires careful monitoring.
The Board remains grateful to our principal funder, TDC and mindful of our obligations to it. The Trustees have ensured that the requirements as set out in the five year ‘Service & Funding Agreement’ with TDC have been fully met. The two organisations continue to meet regularly on a formal and informal basis.
Looking forward to 2021/22 we recognise that investment in culture in these challenging times has never been more important. We remain optimistic about the future, with clearly defined plans to continue to grow the breadth and depth of the services which the Burton provides.
Financial review
2021 represents the fifth full year of operation for the Burton at Bideford as an independent charity.
We continue to be grateful for the generous support of the Friends of The Burton which enable us to maintain a full programme of activities.
Our fifth year of operation has been detrimentally impacted by the advent of coronavirus restrictions at the end of March which forced the temporary closure of the gallery with a consequent loss of income from the shop and the craft gallery and from visitor donations for much of the 2020/21 year.
A rent review for the Café du Parc has been negotiated in accordance with the terms of the agreement established by TDC five years ago. This will lead to an increase in the rental paid to the Burton, based on R.P.I.
Overall we have made a surplus of just over £49,000 for the year. This mostly comprises two components, firstly contributions from donors to help us purchase the “English Eye” collection and secondly furlough payments received from the government which enabled us to continue to pay our team during periods of enforced closure. Inevitably the Covid closures also affected our costs and revenue streams so it is pleasing to note how our good responsible financial management has enabled us to weather the Covid storm.
The Trustees revised the charity’s Reserves Policy last year and we have managed to accrue reserves of just over six months expenditure to help us meet contingencies and develop additional services to the community. This is in line with recommendations from our funders on best practice in the sector. The coronavirus crisis has borne out the prudence of this approach as we have witnessed so many arts organisations struggle to continue owing to them not having adequate reserves to weather the storm.
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THE BURTON AT BIDEFORD
TRUSTEES' REPORT
Our unrestricted fund balance currently stands at just over £233,000 which is slightly in excess of our six month of expenditure target. Even though we are in a reasonably healthy position, we do still need to remember that a chunk of our reserves was generated by the transfer of assets from TDC when the charity was established, and further amounts have been added to reserves in response to funding appeals such as the one mentioned above. We are obviously not able to spend those reserves so a better measure is our free reserves which currently stand at just over £171,000, well under our six month expenditure target. These reserves will also help us as we come to replace assets as they become older and inevitably wear out or become obsolete as technology changes. In line with this objective, whilst the gallery was closed during the coronavirus lockdown, some refurbishment works were carried out.
The Charity’s activities expose it to a number of financial risks including credit risk and cash flow risk. The principal financial assets are bank balances and cash, trade and other receivables. Credit risk is primarily attributable to its trade receivables. There is no significant concentration of credit risk, with exposure spread over a number of counterparties and customers. The risks affecting the charity are kept under constant review by the Trustees and we have formulated a review matrix to assist with evaluation and mitigation of risk. Mrs Erwood is to be thanked for her devoted contribution to this process.
Structure, governance and management
The Burton at Bideford is a Company limited by guarantee and was incorporated on 4th October 2015. It took over responsibility for running the Burton Art Gallery and Museum from, and under an agreement with, TDC on 1 April 2016.
The charity is governed by a Board of Trustees of not less than four and not more than nine individuals. After recent recruitment we have reached the maximum of nine and have a broad and balanced skill set. All Trustees give their time voluntarily and receive no remuneration. All Trustees have individual responsibilities, mostly undertaken through sub- committee work (Education, finance, audit and control committees) alongside overall governance of the charity in order to achieve its objectives.
The Board of Trustees (The Board) held regular meetings during the period 1 April 2020 to 31 March 2021 most of which have been undertaken on line.
The Charity holds an AGM which this year did not include invitations for other parties to attend, due to Covid restrictions.
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THE BURTON AT BIDEFORD
TRUSTEES' REPORT
Recruitment and appointment of trustees
Trustees are recruited on an open advert basis, giving anyone an opportunity to apply to become a Trustee and receive a Trustee recruitment pack of information. Job profiles have been developed for Trustee, Chair and Treasurer. The Board has a skills matrix which it reviews every other year. This identifies the mix of skills, governance experience and attributes that it aims to harness from amongst its existing Trustees and considers any areas that are lacking when seeking new Trustees.
In 2020/21 the Board recruited six Trustees, through two advertisements (May 2020 and March 2021) with respective backgrounds in strategic leadership, marketing and commerce, media, heritage buildings, industry and commerce and the Arts sector. A further two Directors have been recruited for Burton Enterprises, both of whom have significant retail experience and one of whom has prior Trustee experience of a high profile Midlands Museum.
Induction and training of trustees
The charity has developed a formal induction programme for new Trustees to give them a grounding on core governance matters such as service and funding agreements, terms of lease, and current strategy. This is supported by meetings with an established Trustee, Company Secretary, the Chair and the Gallery Director. Those new to Trusteeship are offered external training and development such as that offered by National Council for Voluntary Organisations (NCVO).
The Board has a number of sub-committees which report to the Board on matters covered by their Terms of Reference.
Public benefit
The Trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
The Gallery and Museum has a free entry policy and there are funds available to facilitate transport to the Burton by school groups.
The Burton is open 7 days a week to allow maximum opportunity for all to visit, though Covid has affected normal opening schedules.
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THE BURTON AT BIDEFORD
TRUSTEES' REPORT
Statement of Trustees Responsibilities
The trustees (who are also the directors of The Burton at Bideford for the purposes of company law) are responsible for preparing the trustees' annual report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
Company law requires the trustees to prepare financial statements for each financial year. 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 of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping 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 charitable 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 annual report was approved by the trustees of the charity on 9 September 2021 and signed on its behalf by:
......................................... T J Ireson Chairman and Trustee
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THE BURTON AT BIDEFORD
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE BURTON AT BIDEFORD
I report on the accounts of the charity for the year ended 31 March 2021 which are set out on pages 9 to 28 .
Respective responsibilities of trustees and examiner
The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed. The charity's gross income exceeded £250,000 and I am qualified to undertake the examination by being a qualified member of ICAEW.
Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:
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examine the accounts under section 145 of the 2011 Act;
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to follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and
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to state whether particular matters have come to my attention.
Basis of independent examiner’s report
My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In connection with my examination, no matter has come to my attention:
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(1)which gives me reasonable cause to believe that in any material respect the requirements:
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to keep accounting records in accordance with section 386 of the Companies Act 2006; and
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to prepare accounts which accord with the accounting records, comply with the accounting requirements of section 396 of the Companies Act 2006 and with the methods and principles of the Statement of Recommended Practice: Accounting and Reporting by Charities
have not been met; or
- (2)to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
...................................... Martin Chance BA FCA Glover Stanbury 27 Bridgeland Street BIDEFORD Devon EX39 2PZ
17 November 2021
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THE BURTON AT BIDEFORD
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2021 (INCLUDING INCOME AND EXPENDITURE ACCOUNT AND STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES)
| Note Unrestricted £ Income and Endowments from: Donations and legacies 3 159,532 Charitable activities 4 174,931 Other trading activities 5 17,149 Investment income 6 583 Other income 7 63,773 Total Income 415,968 Expenditure on: Charitable activities 8 (366,245) Total Expenditure (366,245) Net income/(expenditure) 49,723 Net movement in funds 49,723 Reconciliation of funds Total funds brought forward 183,657 Total funds carried forward 20 233,380 |
Restricted £ - - - - - - (444) (444) (444) (444) 444 - |
Total 2021 £ 159,532 174,931 17,149 583 63,773 415,968 (366,689) (366,689) 49,279 49,279 184,101 233,380 |
Total 2020 £ 118,815 173,348 36,914 678 62,028 |
|---|---|---|---|
| 391,783 | |||
| (371,400) | |||
| (371,400) | |||
| 20,383 | |||
| 20,383 163,718 |
|||
| 184,101 |
All of the charity's activities derive from continuing operations during the above two periods.
The funds breakdown for 2020 is shown in note 20.
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THE BURTON AT BIDEFORD
(REGISTRATION NUMBER: 09808860) BALANCE SHEET AS AT 31 MARCH 2021
| Note Fixed assets Tangible assets 14 Heritage assets 15 Investments 16 Current assets Debtors 17 Cash at bank and in hand 18 Creditors: Amounts falling due within one year 19 Net current assets Net assets Funds of the charity: Restricted income funds Restricted funds Unrestricted income funds Unrestricted funds Total funds 20 |
2021 £ 19,381 41,150 1,225 61,756 38,512 150,178 188,690 (17,066) 171,624 233,380 - 233,380 233,380 |
2020 (As restated) £ 10,739 2,050 1,225 |
|---|---|---|
| 14,014 | ||
| 40,700 156,368 |
||
| 197,068 (26,981) |
||
| 170,087 | ||
| 184,101 | ||
| 444 183,657 |
||
| 184,101 |
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THE BURTON AT BIDEFORD
(REGISTRATION NUMBER: 09808860) BALANCE SHEET AS AT 31 MARCH 2021
For the financial year ending 31 March 2021 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
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The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements on pages 9 to 28 were approved by the trustees, and authorised for issue on 9 September 2021 and signed on their behalf by:
.........................................
T J Ireson
Chairman and Trustee
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
1 CHARITY STATUS
The charity is a charity limited by guarantee and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £10 towards the assets of the charity in the event of liquidation.
The address of its registered office is: Burton Art Gallery and Museum Kingsley Road BIDEFORD Devon EX39 2QQ
These financial statements were authorised for issue by the trustees on 9 September 2021.
2 ACCOUNTING POLICIES
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). They also comply with the Companies Act 2006 and Charities Act 2011.
Basis of preparation
The Burton at Bideford meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
The charities functional and presentation currency is the £ sterling.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
Exemption from preparing a cash flow statement
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
Exemption from preparing group accounts
The charity has taken advantage of the exemption in section 398 of the Companies Act 2006 from the requirement to prepare consolidated financial statements, on the grounds that it is a small sized group.
Prior period errors
The Charity purchased two prints from The Wilhelmina Barns-Graham Trust on 18 September 2017. These were previously recognised as fixed asset investments due to their low cost price of £2,050. The 2020 balance sheet has been restated to show these correctly reclassed as heritage assets.
Judgements
There are no judgements which the trustees have made in the process of applying the accounting policies.
Key sources of estimation uncertainty
There are no key sources of estimation uncertainty that have a significant risk of causing a material adjustment to assets and liabilities to be disclosed.
Income and endowments
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Donations and legacies
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
Grants receivable
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
Investment income
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Support costs
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
Government grants
Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Tangible fixed assets
Individual fixed assets costing £100.00 or more are initially recorded at cost.
Heritage assets
The charity considers assets acquired for its own collection to be heritage assets. These are included in the accounts at cost or initial valuation (if donated). Such assets form part of our exhibitions programme and will be exhibited in due course. No depreciation is provided on these assets as they are expected to have an indefinite useful life.
Amortisation
Amortisation is provided on intangible fixed assets so as to write off the cost, less any estimated residual value, over their expected useful economic life as follows:
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
Asset class
Website
Amortisation method and rate
33% straight line
Depreciation and amortisation
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
Asset class
Furniture and equipment
Depreciation method and rate 33% straight line
Business combinations
Business combinations are accounted for under the purchase method. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by the charity. In accordance with Section 35 of FRS 102, Section 19 of FRS 102 has not been applied in these financial statements in respect of business combinations effected prior to the date of transition.
Fixed asset investments
Fixed asset investments, other than programme related investments, are included at market value at the balance sheet date. Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year, or their subsequent cost, and are charged or credited to the Statement of Financial Activities in the period of disposal.
Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the Statement of Financial Activities based on the market value at the year end.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Foreign exchange
Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are reported at the rates of exchange prevailing at that date.
The results of overseas operations are translated at the average rates of exchange during the period and their balance sheets at the rates ruling at the balance sheet date. Exchange differences arising on translation of the opening net assets and results of overseas operations are reported in other comprehensive income and accumulated in equity (attributed to non-controlling interests as appropriate).
Other exchange differences are recognised in the Statement of Financial Activities in the period in which they arise except for:
1) exchange differences on transactions entered into to hedge certain foreign currency risks (see above);
2) exchange differences arising on gains or losses on non-monetary items which are recognised in other comprehensive income; and
3) in the case of the consolidated financial statements, exchange differences on monetary items receivable from or payable to a foreign operation for which settlement is neither planned nor likely to occur (therefore forming part of the net investment in the foreign operation), which are recognised in other comprehensive income and reported under equity.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
Financial instruments
Classification
Basic financial assets include trade and other debtors, cash and bank balances. Basic financial liabilities include trade and other creditors, and finance leases.
Recognition and measurement
Basic financial assets are initially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest method. Other debtors are classified as current assets if payment is due within one year or less and are initially recorded at transaction price and subsequently measured at the undiscounted amount of the cash expected to be received. Trade debtors are referred to above.
Basic financial liabilities 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 payments discounted at a market rate of interest. 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 business from suppliers. Other creditors are classified as current liabilities if payment is due within one year or less and are recognised initially at transaction price and subsequently measured at the undiscounted amount of the cash expected to be paid. If not, they are presented as non-current liabilities and are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. Trade creditors and leases are referred to above.
3 INCOME FROM DONATIONS AND LEGACIES
| Unrestricted funds General £ Donations and legacies; Donations from companies, trusts and similar proceeds 30,000 Donations from individuals 8,121 Grants, including capital grants; Government grants 28,573 Grants from other charities 92,838 Total for 2021 159,532 Total for 2020 112,060 |
Restricted funds £ - - - - - 6,755 |
Total funds £ 30,000 8,121 28,573 92,838 |
|---|---|---|
| 159,532 | ||
| 118,815 |
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
4 INCOME FROM CHARITABLE ACTIVITIES
| Unrestricted funds General £ Running of the gallery and museum 174,931 Total for 2021 174,931 Total for 2020 173,348 5 INCOME FROM OTHER TRADING ACTIVITIES Unrestricted funds General £ Trading income; Cafe 15,580 Workshops and room hire 719 Other income from other trading activities 850 Total for 2021 17,149 Total for 2020 36,914 |
Total funds £ 174,931 |
|---|---|
| 174,931 | |
| 173,348 | |
| Total funds £ 15,580 719 850 |
|
| 17,149 | |
| 36,914 |
6 INVESTMENT INCOME
| Unrestricted funds General £ Interest receivable and similar income; Interest receivable on bank deposits 583 Total for 2021 583 Total for 2020 678 |
Total funds £ 583 |
|---|---|
| 583 | |
| 678 |
7 OTHER INCOME
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
| Unrestricted funds General £ Income from trading subsidiary 24,498 Profit donated to parent charity by Gift Aid 39,275 Total for 2021 63,773 Total for 2020 62,028 |
Total funds £ 24,498 39,275 |
|---|---|
| 63,773 | |
| 62,028 |
8 EXPENDITURE ON CHARITABLE ACTIVITIES
| Unrestricted funds Note General £ Running of the gallery and museum 103,753 Staff costs 191,187 Allocated support costs 9 71,305 Total for 2021 366,245 Total for 2020 368,812 |
Restricted funds £ - - 444 444 2,588 |
Total funds £ 103,753 191,187 71,749 |
|---|---|---|
| 366,689 | ||
| 371,400 |
9 ANALYSIS OF SUPPORT COSTS
Support costs allocated to charitable activities
| Governance costs £ Information technology £ Running of the gallery and museum 8,974 6,884 Total for 2020 6,355 8,050 |
Staff costs £ Administration costs £ Premises costs including depreciation £ 4,036 33,348 18,507 4,823 32,573 20,831 |
Total funds £ 71,749 |
|---|---|---|
| 72,632 |
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
10 NET INCOMING/OUTGOING RESOURCES
Net incoming resources for the year include:
| Depreciation of fixed assets Amortisation of intangible assets Accountancy fees |
2021 £ 6,141 - 5,469 |
2020 £ 9,144 1,255 2,900 |
|---|---|---|
11 TRUSTEES REMUNERATION AND EXPENSES
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
Travel expenses totalling £0 (2020 £285) were reimbursed to trustees during the year.
No trustees have received any other benefits from the charity during the year.
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
12 STAFF COSTS
The aggregate payroll costs were as follows:
Staff costs during the year were: Wages and salaries Social security costs Pension costs Other staff costs
| 2021 £ 169,890 6,342 12,311 2,644 191,187 |
2020 £ 175,569 8,210 12,755 5,147 |
|---|---|
| 201,681 |
The monthly average number of persons (including senior management team) employed by the charity during the year was as follows:
| Average number of employees | 2021 No 11 |
2020 No 10 |
|---|---|---|
No employee received emoluments of more than £60,000 during the year.
13 TAXATION
The charity is a registered charity and is therefore exempt from taxation on its charitable activities.
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
14 TANGIBLE FIXED ASSETS
| 14 TANGIBLE FIXED ASSETS | |||
|---|---|---|---|
| Cost At 1 April 2020 Additions At 31 March 2021 Depreciation At 1 April 2020 Charge for the year At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 |
Land and buildings £ 4,810 1,875 6,685 461 497 958 5,727 4,349 |
Furniture and equipment £ 43,496 12,908 56,404 37,106 5,644 42,750 13,654 6,390 |
Total £ 48,306 14,783 |
| 63,089 | |||
| 37,567 6,141 |
|||
| 43,708 | |||
| 19,381 | |||
| 10,739 |
Included within the net book value of land and buildings above is 3,868 (2020 - 4,349) in respect of freehold land and buildings and 1,859 (2020 - Nil) in respect of leaseholds.
Page 22
THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
15 HERITAGE ASSETS
| 15 HERITAGE ASSETS | ||
|---|---|---|
| Cost At 1 April 2020 Additions At 31 March 2021 Depreciation At 31 March 2021 Net book value At 31 March 2021 |
Art £ 2,050 39,100 41,150 - 41,150 |
Total £ 2,050 39,100 |
| 41,150 - |
||
| 41,150 |
The Charity purchased two prints from The Wilhelmina Barns-Graham Trust on 18 September 2017. These were previously recognised as fixed asset investments due to their low cost price of £2,050. These have now been reclassed as heritage assets.
Summary of transactions
| Purchases and additions Wilhelmina Barns-Graham Trust Prints Ravilious Photo Collection Total additions 16 FIXED ASSET INVESTMENTS Shares in group undertakings and participating interests Other investments |
2021 £ - 39,100 |
2018 £ 2,050 - 2,050 2020 (As restated) £ 100 1,125 |
2018 £ 2,050 - |
|
|---|---|---|---|---|
| 39,100 | 2,050 | |||
| 2021 £ 100 1,125 1,225 |
||||
| 1,225 |
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THE BURTON AT BIDEFORD NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
SHARES IN GROUP UNDERTAKINGS AND PARTICIPATING INTERESTS
| Subsidiary | ||
|---|---|---|
| undertakings | Total | |
| £ | £ | |
| Cost | ||
| At 1 April 2020 | 100 | 100 |
| At 31 March 2021 | 100 | 100 |
| Net book value | ||
| At 31 March 2021 | 100 | 100 |
| At 31 March 2020 | 100 | 100 |
| OTHER INVESTMENTS | ||
| Unlisted | ||
| investments | Total | |
| £ | £ | |
| Cost or Valuation | ||
| At 1 April 2020 | 1,125 | 1,125 |
| At 31 March 2021 | 1,125 | 1,125 |
| Net book value | ||
| At 31 March 2021 | 1,125 | 1,125 |
| At 31 March 2020 | 1,125 | 1,125 |
Page 24
THE BURTON AT BIDEFORD NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
DETAILS OF UNDERTAKINGS
Details of the investments in which the charity holds 20% or more of the nominal value of any class of share capital are as follows:
Country of Proportion of voting Principal Undertaking incorporation Holding rights and shares held activity 2021 2020 SUBSIDIARY UNDERTAKINGS Retail sales The Burton Ordinary in UK 100% 100% Enterprises Limited shares commercial art galleries
SUBSIDIARIES
The profit for the financial period of The Burton Enterprises Limited was £39,275 and the aggregate amount of capital and reserves at the end of the period was £39,375.
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THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
17 DEBTORS
| Trade debtors Due from group undertakings Prepayments Accrued income VAT recoverable Other debtors 18 CASH AND CASH EQUIVALENTS Cash on hand Cash at bank Short-term deposits 19 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade creditors Other taxation and social security Other creditors Accruals |
2021 £ - 29,247 4,709 - 3,896 660 38,512 2021 £ 249 19,185 130,744 150,178 2021 £ 3,966 1,390 5,883 5,827 17,066 |
2020 £ 3,832 28,171 7,988 29 75 605 |
|---|---|---|
| 40,700 | ||
| 2020 £ 117 40,390 115,861 |
||
| 156,368 | ||
| 2020 £ 9,046 2,526 8,909 6,500 |
||
| 26,981 |
Page 26
THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
20 FUNDS
| Unrestricted funds General Restricted funds Total funds Unrestricted funds General Restricted funds Total funds |
Balance at 1 April 2020 £ 183,657 444 184,101 Balance at 1 April 2019 £ Incoming resources £ 160,686 385,028 3,032 6,755 163,718 391,783 |
Incoming resources £ 415,968 - 415,968 Resources expended £ (368,812) (2,588) (371,400) |
Resources expended £ (366,245) (444) (366,689) Transfers £ 6,755 (6,755) - |
Balance at 31 March 2021 £ 233,380 - |
|---|---|---|---|---|
| 233,380 | ||||
| Balance at 31 March 2020 £ 183,657 444 |
||||
| 184,101 |
The specific purposes for which the funds are to be applied are as follows:
Within restricted funds is £0 relating to the Transition Fund. This comprises income received from Torridge District Council on incorporation of the charity to help fund the initial set-up costs of the charitable company. The depreciation of part of the shop re-fit paid for by this resticted income will use up the fund balance over the useful economic life of the asset.
Page 27
THE BURTON AT BIDEFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
21 ANALYSIS OF NET ASSETS BETWEEN FUNDS
| Tangible fixed assets Heritage assets Fixed asset investments Current assets Current liabilities Total net assets Tangible fixed assets Heritage assets Fixed asset investments Current assets Current liabilities Total net assets |
Unrestricted funds General £ 19,381 41,150 1,225 188,690 (17,066) 233,380 Unrestricted funds Restricted General £ funds £ 10,295 444 2,050 - 1,225 - 197,068 - (26,981) - 183,657 444 |
Total funds at 31 March 2021 £ 19,381 41,150 1,225 188,690 (17,066) |
|---|---|---|
| 233,380 | ||
| Total funds at 31 March 2020 £ 10,739 2,050 1,225 197,068 (26,981) |
||
| 184,101 |
22 RELATED PARTY TRANSACTIONS
During the year the charity made the following related party transactions:
The Burton Enterprises Limited
During the year, premises costs of £24,498 (2020 £25,298) were recharged to the charity's subsidiary, The Burton Enterprises Limited. At the balance sheet date the amount due from The Burton Enterprises Limited was £29,247 (2020 - £28,171).
Page 28