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2020-12-31-accounts

EDWARD MAYES TRUST

FINANCIAL STATEMENTS

For the year ended 31 December 2020

Company Registraꢀon Number: 09295352 Company limited by guarantee

Registered Charity Number: 1166318 Regulator of Social Housing Number: 5072

EDWARD MAYES TRUST

Financial Statements

For the year ended 31 December 2020

Contents Contents Page
1. Members of the Board and Professional Advisers 2
2. Trustees’ Annual Report 3 - 8
3. Independent Auditor’s Report to the Trustees 9 - 12
4. Statement of Comprehensive Income 13
5. Statement of Changes in Reserves 14
6. Statement of Financial Posiꢀon 15
7. Notes to the Financial Statements 16 - 26

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EDWARD MAYES TRUST

Members of the Board and Professional Advisers Year ended 31 December 2020

Registered under the Companies Act 2006: 09295352
Charity Number: 1166318
Regulator of Social Housing Number: 5072
Registered Ofce: Mayes Gardens
Harrison Street
Ancoats
Manchester
M4 7FN
Trustees: Mr J Sandford (Chairman)
Mr J Longsden (Nominee of the City of Manchester)
Mrs J Winterbourne
Mr J Louden
Ms P Coꢁerill
Mr J Pickeꢁ
Councillor J Hitchen (Nominee of the City of Manchester)
(resigned 19 August 2020)
Mr E Stelfox
Mrs C Monaghan (Nominee of the City of Manchester)
Secretary: Mr P Harrison
Auditor: Mitchell Charlesworth LLP
Chartered Accountants
Statutory Auditor
3rdFloor
44 Peter Street
Manchester
M2 5GP
Bankers: Naꢀonal Westminster Bank Plc
Spinningfelds Square
182 Deansgate
Manchester
M3 3LY
Investment Managers: Tilney Investment Management
Royal Liver Building
Pier Head
Liverpool
Merseyside
L3 1NY

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EDWARD MAYES TRUST

Trustees’ Annual Report For the year ended 31 December 2020

The Trustees present their report and the financial statements of the charity for the year ended 31 December 2020.

Reference and administraꢀve details

Reference and administraꢀve details are shown in the schedule of members of the board and professional advisers on page 2 of the financial statements.

The Trustees

The Trustees who served the charity during the period were as follows:

Mr J Sandford (Chairman) Mr J Longsden (Nominee of the City of Manchester) Mrs J Winterbourne Mr J Louden Ms P Coꢁerill Mr J Pickeꢁ Councillor J Hitchen (Nominee of the City of Manchester) (resigned 19 August 2020) Mr E Stelfox Mrs Monaghan (Nominee of the City of Manchester)

Introducꢀon

The Charity of Edward Mayes was founded in 1635 in accordance with the terms of his will dated 7 May 1621.

Structure, governance and management

Governing document and legal status

The Edward Mayes Trust is a registered charity with the Charity Commission. The governing instrument is the Scheme of the Charity commissioners dated 12 December 2017. The Trust registered as a Social Housing Provider in 2013. The Charity is also a Limited Company, limited by guarantee, incorporated in England and Wales.

Appointment of The Board

There should be three nominated Directors and between five and eight co-opted Directors. The nominated Directors must be appointed by Manchester City Council in accordance with the ordinary pracꢀce of the council for a period of four years, or if the appointment is being made to fill a casual vacancy, the unexpired term of the appointee's predecessor. The appointment of a co-opted Directors must be made by the Board at a special meeꢀng called by the Chair or any two Directors giving at least four days’ noꢀce. Each co-opted Director must be appointed for a term of four years.

Organisaꢀon

The Board of Directors (which must have between eight and 11 members including the Chair), administers the Charity. The Board meets approximately six ꢀmes per year and there is a sub-commiꢁee that covers the investment porꢂolio management. A Manager is appointed by the Board to manage the day-to-day operaꢀons of the Charity and a Scheme Manager is employed to provide a front-line housing service to the residents.

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EDWARD MAYES TRUST

Trustees’ Annual Report For the year ended 31 December 2020

Risk management

In 2020 the Trust regularly reviewed its risk register which assists the Board in idenꢀfying threats to the Trust and recommendaꢀons to miꢀgate any threats.

Reserves

The Trust seeks to retain sufficient reserves so that the income from the investments that back the reserves is sufficient to maintain the Trust's property and provide for the expenses of the Charity. The aim is to make sure that the Trust is sustainable in the long-term. The general reserves are effecꢀvely a sinking fund to be used for major upgrades and development of the Trust's property.

Grants

It is the policy of the Trust to make grants to other qualifying charitable insꢀtuꢀons having regard to the financial situaꢀon of the charity.

Objecꢀves and acꢀviꢀes

With effect from 1 January 2018, the individual Trustees of the Charity resigned and Edward Mayes Limited, was appointed as the corporate trustee.

Consequent upon this appointment, and as is normal in such cases, the legal ꢀtle to the Charity’s assets and the responsibility to seꢁle the Charity’s liabiliꢀes was transferred to the Corporate Trustee. However, the beneficial interest in the permanent endowment remains with the Charity. As at 1 January 2018, the accounꢀng value of the net assets transferred was £3,178,079.

The Charity’s objecꢀves and acꢀviꢀes remain as before but are now carried out on its behalf by the Corporate Trustee. Accordingly, the financial transacꢀons of the Charity are recorded by the Corporate Trustee. The Corporate Trustee maintains separate accounꢀng records for the Charity.

The Edward Mayes Trust aims to provide older people with an independent lifestyle in a caring and supporꢀve environment. The principal acꢀviꢀes of the Edward Mayes Trust are as follows:

The Trust provides its beneficiaries with affordable, quality, supported accommodaꢀon which is purposely designed to meet the needs of older people and is set in a safe and secure environment at its Mayes Gardens estate in Ancoats, Manchester. The Trust supports its beneficiaries to live independently with staff available to give advice and assistance to achieve this.

The accommodaꢀon at Mayes Gardens comprises of 48 reꢀrement bungalows and apartments set in landscaped grounds. Residents benefit from a full maintenance and gardening service and are supported on a daily basis by a Scheme Manager and Director with out of hours support provided by an emergency call system giving beneficiaries emergency assistance if required.

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Trustees’ Annual Report For the year ended 31 December 2020

EDWARD MAYES TRUST

Objecꢀves and acꢀviꢀes [conꢀnued]

The Board confirm that they have referred to the guidance contained in the Charity Commission’s general informaꢀon on public benefit when reviewing the Trust’s aims and objecꢀves and in planning future acꢀviꢀes.

Achievements and performance

Five-year business plan

Throughout 2020 the Trust focused on delivering its business plan to the best of its ability working within the restricꢀons of the Covid-19 pandemic. The Trust has idenꢀfied and developed a plan around six key areas, these being: Estate, Community, Care, Finance, Governance and Communicaꢀon. The Trust is commiꢁed to delivering the key themes of the plan which will move the Charity forward creaꢀng a stronger and sustainable environment for the future.

On 18 June 2020 the Charity Commission in England and Wales issued a linking direcꢀon. Under this linking direcꢀon for accountancy and registraꢀon purposes The Edward Mayes Trust, Charity Known as the Sale Almshouses, Elizabeth Stopford for Almshouses, Mrs Lums Charity, and Whitelegg Almshouses are treated as part of the charity, and are reported on in these financial statements.

The linking of the chariꢀes is an administraꢀve linkage, for reporꢀng purposes only. It does not change the separate legal status of the chariꢀes, or the nature of restricted funds or endowment, and it does not consꢀtute a merger.

The key achievements in 2020 are as follows:

Edward Mayes Trust

Modernisaꢀon Work

In 2020 the Trust conꢀnued its ongoing programme to upgrade wet room faciliꢀes on the estate by installing five wet rooms at Mayes Gardens, assisꢀng residents to live independently for longer in their accommodaꢀon. Governance

The Trust carried out a review and audit of Board skills and agreed to review this annually. Occupancy

The Trust conꢀnued to remain fully occupied with three new residents being housed at Mayes Gardens in 2020. The Mayes Gardens estate conꢀnues to be a popular housing opꢀon for older people with a range of one and two bedroom adapted accommodaꢀon available in a secure and tranquil seꢃng with housing support available from staff when required to assist residents to live independently.

Elizabeth Stopford for Almshouses

Throughout 2020 the Trust progressed the development of a refurbishment plan for the four bungalows at Marie Close, Denton. The refurbishment is being funded through a Homes England affordable housing grant, a loan from the Almshouse Associaꢀon and internal funding from the Trust. In December 2020 the residents were housed in nearby temporary accommodaꢀon prior to the refurbishment work starꢀng in January 2021. It is anꢀcipated that the work will be completed at the end of June 2021. Once completed the properꢀes will offer residents modern comfortable affordable homes and provide a long-term sustainable future for the properꢀes.

Mrs Lums Charity

In 2020 the Trust carried forward its refurbishment programme for upgrading the bathrooms and installed three wet rooms at Mackenzie Street. The wet rooms will help residents maintain their independence and improve their wellbeing.

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EDWARD MAYES TRUST

Trustees’ Annual Report For the year ended 31 December 2020

Inghams Almshouses

The management of Inghams Almshouses was taken over by the Charity in November 2020, and aꢄer the year-end a linking direcꢀve has been applied for. At the year-end reporꢀng date however this charity is not linked to the Trust and so these financial statements don’t contain the results of this charity. The six properꢀes at St James Square will require a programme of upgrading over the next five years which has been idenꢀfied in a recent quinquenial survey, this work will be coordinated by the Trust’s architect, the properꢀes are grade 2 listed and require careful management when carrying out improvement works.

In 2020 work was carried out to renew two flat roof extensions at 5 and 6 St James Square and the boundary wall underwent rebuilding work to stabilise a damaged secꢀon.

Governance and financial viability

The Board have reviewed its compliance with the Governance and Financial Viability Standard and confirm that it complies with the requirements of the standard for the year.

Value for Money

The key strategic objecꢀves are to provide its residents with an independent lifestyle in affordable, quality, supported accommodaꢀon.

In line with the previous Homes England’s Standard and the Financial Regulaꢀons, the Trust seeks to achieve value for money on all expenditure. In April 2018, the Regulator of Social Housing issued the updated Value for Money Standard. In line with the updated standard the Trust will set appropriate targets and measure performance on a periodic basis.

Performance against the required Value for Money metrics are set out in the table below:

Metric 2020 2019
1.
Reinvestment (%)		 1% 1%
2.
New supply delivered		 - -
3.
Gearing (%)		 6% 7%
4.
Earnings before interest, tax, depreciaꢀon, amorꢀsaꢀon and major repairs
(EBITDA MRI) - Interest cover %		 -% -%
5.
Headline social housing cost per unit
Uꢀliꢀes charges
Rouꢀne maintenance
Planned maintenance
Major repairs
Community services
Total cost
Number of units
Cost per unit		 £
29,940
43,017
-
9,234
8,976
91,167
69
1,321		 £
20,961
9,856
37,755
2,95
6,848
78,315
69
1,276
6.
Operaꢀng margin - social housing		 -2% (6)%
7.
Return on Capital Employed (ROCE)		 -% (1)%

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Trustees’ Annual Report For the year ended 31 December 2020

EDWARD MAYES TRUST

Metrics commentary

The Trust has three loans provided by the Almshouse Associaꢀon which are repayable within five years. The Operaꢀng Margin and ROCE are low due to various repair works carried out on the properꢀes, and legal fees in relaꢀon to a planning applicaꢀon.

Financial review

Income and expenditure

Set out below is a summary of the year's income and expenditure, together with that of the previous year:

Note
s 2020 2019
£ £
Turnover 2 362,143 355,255
Operaꢀng expenditure 2 (370,273) (375,659)
Operaꢀng (defcit) (8,130) (20,404)
Interest receivable and other income 5 52,335 48,280
44,205 27,876
Proft/(loss) on disposal of tangible fxed
assets (4,784) (1,750)
Proft/(loss) on disposal of investments (7,064) (6,405)
Unrealised proft/(loss) on investments 30,984 135,005
Surplus for the year 63,341 154,726

Statement of Trustees' responsibiliꢀes

The Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and regulaꢀons and United Kingdom Accounꢀng Standards (United Kingdom Generally Accepted Accounꢀng Pracꢀce).

The law applicable to chariꢀes 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 applicaꢀon of resources of the charity for that period. In preparing these financial statements, the Trustees are required to:

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EDWARD MAYES TRUST

charity will conꢀnue in operaꢀon.

Trustees’ Annual Report For the year ended 31 December 2020

The Trustees are responsible for keeping proper accounꢀng records that disclose with reasonable accuracy at any ꢀme the financial posiꢀon of the charity and enable them to ensure that the financial statements comply with the Chariꢀes Act 2011, The Accounꢀng Direcꢀon for Social Housing in England 2019 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 prevenꢀon and detecꢀon of fraud and other irregulariꢀes.

Auditor

Mitchell Charlesworth LLP have been re-appointed as auditor for the ensuing year.

Trustees’ statement of disclosure of informaꢀon to the auditor

In so far as the Trustees are aware:-

Statement of Compliance

The Trustees confirm that this report has been prepared in accordance with the principles set out in paragraph 4.7 of the 2014 SORP for Registered Social Housing Providers.

SIGNED BY ORDER OF THE TRUSTEES

Mr P Harrison CHARITY SECRETARY

13-07-2021

Date

Mayes Gardens Harrison Street Manchester M4 7FN

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Independent Auditor’s Report To the Trustees of Edward Mayes Trust

EDWARD MAYES TRUST

Opinion

We have audited the financial statements of Edward Mayes Trust (the ‘charitable company’) for the year ended 31 December 2020 which comprise the Statement of Comprehensive Income, the Statement of Changes in Reserves, the Statement of Financial Posiꢀon, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounꢀng policies. The financial reporꢀng framework that has been applied in their preparaꢀon is applicable law and United Kingdom Accounꢀng Standards, including Financial Reporꢀng Standard 102 The Financial Reportng Sꢀandard applicable in ꢀhe UK and Republic of Ireland (United Kingdom Generally Accepted Accounꢀng Pracꢀce).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with Internaꢀonal Standards on Audiꢀng (UK) (ISAs (UK)) and applicable law. Our responsibiliꢀes under those standards are further described in the Auditor’s responsibiliꢀes for the audit of the financial statements secꢀon of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibiliꢀes 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 relaꢀng to going concern

In audiꢀng the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounꢀng in the preparaꢀon of the financial statements is appropriate.

Based on the work we have performed, we have not idenꢀfied any material uncertainꢀes relaꢀng to events or condiꢀons that, individually or collecꢀvely, may cast significant doubt on the company's ability to conꢀnue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibiliꢀes and the responsibiliꢀes of the directors with respect to going concern are described in the relevant secꢀons of this report.

Other informaꢀon

The board is responsible for the other informaꢀon. The other informaꢀon comprises the informaꢀon included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other informaꢀon and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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EDWARD MAYES TRUST

Independent Auditor’s Report To the Trustees of Edward Mayes Trust

In connecꢀon with our audit of the financial statements, our responsibility is to read the other informaꢀon and, in doing so, consider whether the other informaꢀon is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we idenꢀfy 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 informaꢀon. If, based on the work we have performed, we conclude that there is a material misstatement of this other informaꢀon, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other maꢁers prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Maꢁers on which we are required to report by excepꢀon

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not idenꢀfied material misstatements in the board report.

We have nothing to report in respect of the following maꢁers in relaꢀon to which the Companies Act 2006 requires us to report to you if, in our opinion:

In addiꢀon, we have nothing to report in respect of the following maꢁer where the Housing and Regeneraꢀon Act 2008 requires us to report to you if, in our opinion:

Responsibiliꢀes of the board

As explained more fully in the board’s responsibiliꢀes statement set out on page 6, the board members (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparaꢀon of the financial statements and for being saꢀsfied that they give a true and fair view, and for such internal control as the board determine is necessary to enable the preparaꢀon of financial statements that are free from material misstatement, whether due to fraud or error.

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EDWARD MAYES TRUST

Independent Auditor’s Report To the Trustees of Edward Mayes Trust

In preparing the financial statements, the board is responsible for assessing the charitable company’s ability to conꢀnue as a going concern, disclosing, as applicable, maꢁers related to going concern and using the going concern basis of accounꢀng unless the board either intends to liquidate the charitable company or to cease operaꢀons, or has no realisꢀc alternaꢀve but to do so.

Auditor’s responsibiliꢀes for the audit of the financial statements

Our objecꢀves 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

Details of the extent to which the audit was considered capable of detecꢀng irregulariꢀes, including fraud and noncompliance with laws and regulaꢀons are set out below.

We idenꢀfy and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

In idenꢀfying and assessing risks of material misstatement in respect of irregulariꢀes, including fraud and noncompliance with laws and regulaꢀons, we considered the following:

• the maꢁers discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potenꢀal indicators of fraud.

As a result of these procedures, we considered the opportuniꢀes and incenꢀves that may exist within the organisaꢀon for fraud and idenꢀfied the greatest potenꢀal for fraud in relaꢀon to the ꢀming of the recogniꢀon of income. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override and we idenꢀfied risk in relaꢀon to the posꢀng of unusual journals and the manipulaꢀon of accounꢀng esꢀmates.

We also obtained an understanding of the legal and regulatory frameworks that the Company operates in, focusing on provisions of those laws and regulaꢀons that had a direct effect on the determinaꢀon of material amounts and disclosures in the financial statements. The key laws and regulaꢀons we considered in this context included the Chariꢀes Act 2011, the Housing and Regeneraꢀon Act 2008 and the Accounꢀng Direcꢀon for Private Registered Providers of Social Housing in England 2019.

Because of the inherent limitaꢀons of an audit, there is a risk that we will not detect all irregulariꢀes, including those leading to a material misstatement in the financial statements or non-compliance with regulaꢀon. This risk increases the more that compliance with a law or regulaꢀon is removed from the events and transacꢀons reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregulariꢀes occurring due to fraud rather than error, as fraud involves intenꢀonal concealment, forgery, collusion, omission or misrepresentaꢀon.

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EDWARD MAYES TRUST

A further descripꢀon of our responsibiliꢀes for the audit of the financial statements is located on the Financial Reporꢀng Council’s website at: www.frc.org.uk/auditorsresponsibiliꢀes. This descripꢀon forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and secꢀon 137 of the Housing and Regeneraꢀon Act 2008. Our audit work has been undertaken so that we might state to the charitable company’s members those maꢁers we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permiꢁed by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Alison Buckley (Senior Statutory Auditor) 13/07/2021 for and on behalf of Mitchell Charlesworth LLP ......................... Chartered Accountants 3[rd] Floor Statutory Auditor 44 Peter Street Manchester M2 5GP

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EDWARD MAYES TRUST

Statement of Comprehensive Income For the year ended 31 December 2020

Note
s 2020 2019
£ £
Turnover 2 362,143 355,255
Operaꢀng expenditure 2 (370,273) (375,659)
Operaꢀng (defcit) (8,130) (20,404)
Interest receivable and other income 5 52,335 48,280
44,205 27,876
Proft/(loss) on disposal of tangible fxed
assets (4,784) (1,750)
Proft/(loss) on disposal of investments (7,064) (6,405)
Unrealised proft/(loss) on investments 30,984 135,005
Surplus for the year 63,341 154,726

There were no other recognised gains or losses arising in the current or the prior year.

The notes on pages 16 to 26 form part of these financial statements

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EDWARD MAYES TRUST

Statement of Changes in Reserves For the year ended 31 December 2020

Restricted
Income and
Expenditure
Reserve
£
Balance at 1 January 2020
3,529,511
Surplus from statement of comprehensive income
63,341
Transfer to/(from) Reserves
18,527
Balance at 31 December 2020
3,611,379		 Restricted
Fund
Reserve
£
178,265
-
(18,527)
159,738		 Total
£
3,707,776
63,341
-
3,771,117

The notes on pages 16 to 26 form part of these financial statements

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EDWARD MAYES TRUST

Statement of Financial Posiꢀon For the year ended 31 December 2020

Notes
Fixed assets
Tangible fxed assets
7
Intangible fxed assets
8
Investments
9
Current assets
Trade and other debtors
10
Investments
11
Cash and cash equivalents
Less
:
Creditors: amounts falling due within one
year
12
Net current assets
Total assets less current liabiliꢀes
Creditors: amounts falling due aꢁer more
than one year
13
Total net assets
Reserves
Restricted income and expenditure reserve
14
Restricted reserve
14
Total reserves		 £
17,193
57,953
476,230
551,376
(59,830)		 2020
£
2,434,884
2,996
1,278,401
3,716,281
491,546
4,207,827
(436,710)
3,771,117
3,611,379
159,738
3,771,117		 £
14,769
84,245
410,287
509,301
(53,795)		 2019
£
2,544,084
5,346
1,182,364
3,731,794
455,506
4,187,300
(479,524)
3,707,776
3,529,511
178,265
3,707,776

----- Start of picture text -----
The financial statements on pages 13 to 26 were approved by the members of the Board and authorised for issue
on _____ and are signed on its behalf by: 13/07/2021
CHAIRMAN
Mr J Sandford
TRUSTEE
Mr J Louden
----- End of picture text -----

The notes on pages 16 to 26 form part of these financial statements

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EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

1. Principal accounꢀng policies

Company Informaꢀon

Edward Mayes Trust is a private company limited by guarantee incorporated in England and Wales. The registered office is Mayes Gardens, Harrison Street, Ancoats, Manchester, M4 7FN.

Basis of accounꢀng

The financial statements have been prepared in accordance with applicable United Kingdom Accounꢀng Generally Accepted Accounꢀng Pracꢀce (UKGAAP), the Statement of Recommended Pracꢀce: ‘Housing SORP 2018: Statement of Recommended Pracꢀce for Social Housing Providers’.

The financial statements comply with the Chariꢀes Act 2011, the Housing and Regeneraꢀon Act 2008 and the Accounꢀng Direcꢀon for Private Registered Providers of Social Housing in England 2019.

On 18 June 2020 the Charity Commission in England and Wales issued a linking direcꢀon. Under this linking direcꢀon for accountancy and registraꢀon purposes The Edward Mayes Trust, Charity Known as the Sale Almshouses, Elizabeth Stopford for Almshouses, Mrs Lums Charity, and Whitelegg Almshouses are treated as part of the charity.

The linking of the chariꢀes is an administraꢀve linkage, for reporꢀng purposes only. It does not change the separate legal status of the chariꢀes, or the nature of restricted funds or endowment, and it does not consꢀtute a merger.

The financial statements are prepared on the historical cost basis of accounꢀng, except for investments which are included at market value, and are presented in sterling.

The financial statements have been prepared in compliance with FRS102.

The charity consꢀtutes a public benefit enꢀty as defined by FRS102.

At the ꢀme of approving the financial statements and having due regard to the impact of COVID-19, the trustees have a reasonable expectaꢀon that the company has adequate resources to conꢀnue in operaꢀonal existence for the foreseeable future. Thus, the trustees conꢀnue to adopt the going concern basis of accounꢀng in preparing the financial statements.

Investment assets and income

Investments of the various funds are shown at market value. Profits and losses arising on the sale of investments are dealt with directly through the various fund accounts. Income from investments, which is shown gross, includes only such dividends and interest on securiꢀes as are remiꢁed to the Charity during its financial year by the Charity’s stockbrokers and its bankers. Changes in the market value of investment assets are shown as unrealised gains or losses.

Turnover

Turnover represents residents’ contribuꢀons receivable, grants and donaꢀons.

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EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

1. Accounꢀng policies (conꢀnued)

Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amorꢀsaꢀon and accumulated impairment losses.

Intangible assets acquired on business combinaꢀons are recognised separately from goodwill at the acquisiꢀon date where it is probable that the expected future economic benefits that are aꢁributable to the asset will flow to the enꢀty and the fair value of the asset can be measured reliably.

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

Website development - Straight line over 3 years

Fixed assets and depreciaꢀon

Tangible fixed assets are stated at cost less accumulated depreciaꢀon. Depreciaꢀon is charged on a straight line basis over the expected economic useful lives of the assets. Major components are treated as separate assets and depreciated over their expected useful economic lives. The following annual rates are applied:

Depreciaꢀon is charged on the freehold buildings on a component basis, as follows:

Kitchen fꢂngs, ꢀles, vinyl - 5% straight line
Internal doors, joinery, hollow parꢀꢀons - 5% straight line
Common stairs - 2% straight line
Bathroom fꢂngs, wall ꢀles, vinyl - 5% straight line
Electrical installaꢀon - 5% straight line
Heaꢀng installaꢀon, pipes, radiators - 4% straight line
Heaꢀng installaꢀon, boiler, extractor fans - 6.67% straight line
Roof and roof structure - 2% straight line
External doors and windows - 4% straight line
Structural walls and foors - 2% straight line
External boundaries, paths, roads, drainage, rainwater goods - 4% straight line
External decoraꢀon - 16.67% straight line
Landlord services: alarms, CCTV, call system, TV - 10% straight line
Professional fees - 4% straight line

Long leasehold land is not depreciated.

The Garage Workshop is also not depreciated.

17 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

1. Accounꢀng policies [Conꢀnued]

Social Housing Grant

Social Housing Grant (SHG) and similar capital grants are amorꢀsed over the life of the structure at 2% straight line.

Other capital grants

Capital grants (other than Homes England grants) in respect of capital expenditure are treated as restricted income and are released to the accumulated surplus at the same rate at which the assets to which they relate are depreciated.

Long leasehold Almshouses

The cost of the original Edward Mayes Trust Almshouses have been fully depreciated by transfers to the Almshouses depreciaꢀon reserve. The lease expires in 2176.

Pension scheme

The charity operates a defined contribuꢀon pension scheme. Contribuꢀons are charged to the income and expenditure account as they become payable in accordance with the rules of the Scheme.

Taxaꢀon

Edward Mayes Trust is a registered charity and as such is exempt from Corporaꢀon Taxaꢀon.

18 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

2. Parꢀculars of income and expenditure from social housing leꢁngs 2020 2019
£ £
Income from housing
Residents’ contribuꢀon 355,089 345,042
Supporꢀng People 7,053 10,214
362,143 355,255
Expenditure on social housing
Management 193,096 189,251
Rouꢀne maintenance 43,017 51,483
Depreciaꢀon of housing properꢀes 134,160 134,655
Total expenditure on housing 370,273 375,659
Operaꢀng surplus/(defcit) on social housing (8,130) (20,404)
3. Trustees’ emoluments
No remuneraꢀon was paid to the Trustees of the Charity in respect of the year-ended 31 December 2020
(2019: £Nil).
4. Employee informaꢀon 2020 2019
No No
The average weekly number of persons expressed as full-ꢀme equivalent
employed during the year was: 2 2
2020 2019
£ £
Staf Costs:
Wages and salaries 73,961 73,819
Social security costs 7,499 7,325
Pension costs 6,270 6,407
87,730 87,551

No employee received remuneraꢀon of more than £60,000 during the year (2019: £Nil).

19 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

5.
Interest receivable and other income
Bank interest receivable
Income from UK listed investments
Grants receivable
Giꢃs receivable
Other income
6.
Surplus on ordinary acꢀviꢀes
Surplus on ordinary acꢀviꢀes is stated aꢂer charging:
Depreciaꢀon:
Tangible owned fxed assets
Auditors remuneraꢀon:
In their capacity as auditors
In respect of non-audit services		 2020
£
1,391
19,709
30,139
-
1,096
52,335
2020
£
116,815
7,000
2,500		 2019
£
1,134
29,496
15,139
1,000
1,511
48,280
2019
£
134,655
6,600
2,275

20 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

7. Tangible fxed assets Long
leasehold buildings Long leasehold 25A Mayes Garage Linked chariꢀes Assets under
& improvements land Gardens workshop Almshouses construcꢀon Total
£ £ £ £ £
Cost
At 1 January 2020 1,654,533 80,012 382,824 3,896 717,410 7,500 2,846,175
Addiꢀons 9,234 9,234
Disposals (2,970) (2,970)
At 31 December 2020 1,654,533 80,012 382,824 3,896 723,674 7,500 2,852,439
Depreciaꢀon
At 1 January 2020 159,807 - 31,408 - 110,876 - 302,091
Charge for the year 68,096 - 12,279 - 36,440 - 116,815
Eliminated on disposals (1,351) (1,351)
At 31 December 2020 227,903 - 43,687 - 145,965 -- 417,555
Net book value
At 31 December 2020 1,426,630 80,012 339,137 3,896 577,709 7,500 2,434,884
At 31 December 2019 1,494,726 80,012 351,416 3,896 606,534 7,500 2,544,084

21 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

8.
Intangible fxed assets
Cost
At 1 January 2020 and 31 December 2020
Amorꢀsaꢀon
At 1 January 2020
Charge for the year
At 31 December 2020
Net book value
At 31 December 2020
At 31 December 2019		 Website
£
7,049
1,703
2,350
4,053
2,996
5,346		 Total
£
7,049
1,703
2,350
4,053
2,996
5,346

22 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

9.
Fixed asset investments
Movement in market value
Market value b/f
Acquisiꢀon at cost
Disposals at book value
Net loss on revaluaꢀons in the year
Market value at the year-end
Historical cost at the year-end
Analysis of investments at 31 December 2020
between reserves
Accumulated
Surplus
£
Listed investments
UK quoted fxed interest
55,066
UK quoted shares
271,068
UK unit trusts
81,587
Investment and unit trusts
928,633
1,336,354
10.
Debtors
Other debtors
Prepayments and accrued income
11.
Current assets investments
Cash on short term deposit		 Restricted
Reserves
£		 2020
£
1,208,657
120,395
(88,968)
38,317
1,278,401
970,591
Total
Reserves
2020
£
55,066
271,068
81,587
928,633
1,336,354
2020
£
4,267
12,926
17,193
2020
£
57,953		 2019
£
1,065,274
171,625
(159,563)
131,321
1,208,657
939,887
Total
Reserves
2019
£
52,671
338,408
78,821
796,710
1,266,610		 2019
£
1,065,274
171,625
(159,563)
131,321
1,208,657
939,887
Total
Reserves
2019
£
52,671
338,408
78,821
796,710
1,266,610
2019
£
4,417
10,352
14,769
2019
£
84,245

23 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

12.
Creditors: Amounts falling due within one year
Almhouse Associaꢀon loan
Accruals and deferred income
Unamorꢀsed Government grants
13.
Creditors: Amounts falling due aꢂer more than one year
Almhouse Associaꢀon loan
Unamorꢀsed Government grants
The loans from the Almhouse Associaꢀon are unsecured, interest free and repayable
follows:
In one year or less
Between one and two years
Between two and fve years
Unamorꢀsed Government grants
At start of year
Released to income in the year
At end of year
Amounts due to be released < 1 year
Amounts due to be released > 1 year		 2020
2019
£
£
27,826
27,825
16,864
10,829
15,140
15,141
59,830
53,795
2020
2019
£
£
119,699
147,525
317,011
331,999
436,710
479,524
in instalments due as
2020
2019
£
£
27,826
27,825
49,399
57,275
70,300
90,250
147,525
175,350
2020
2019
£
£
347,290
362,430
(15,140)
(15,140)
332,150
347,290
15,140
15,140
317,010
332,150
332,150
347,290

24 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

14. Restricted reserves Balance at Surplus Balance at
1 January for the Transfer to 31 December
2020 year Revenue 2020
£ £ £
Income and expenditure 2,982,884 42,476 18,527 3,043,887
Capital expenditure 178,265 - (18,527) 159,738
Charity Known as the Sale Almshouses 105,138 7,792 112,930
Elizabeth Stopford for Almshouses 132,099 4,378 136,477
Mrs Lums Charity 222,497 10,763 233,260
Whitelegg Almshouses 86,893 (2,068) 84,825
3,707,776 63,341 - 3,771,117

The income and expenditure reserve can only be used in accordance with the requirements of the Edward Mayes Trust.

The capital expenditure reserve is for grants received towards the repair, upgrade and maintenance of the properꢀes.

15. Conꢀngent liabiliꢀes

There are no known conꢀngent liabiliꢀes arising from contractual disputes (2019: £Nil).

16. Legislaꢀve provisions

The Charitable Company is registered in the United Kingdom with Companies House (Company number 09295352), the Charity Commission (Charity number 1166318) and with the Regulator of Social Housing (Registered Number - 5072) as a Social Housing Provider as defined by the Housing and Regeneraꢀon Act 2008 following transfer of the registraꢀon from The Edward Mayes Trust (Charity number 222631) effecꢀve from 1 January 2018. The Charitable Companies registered office is Mayes Gardens, Harrison Street, Ancoats, Manchester, M4 7FN.

17. Units in management
Units in management 2020 2019
No No
Housing accommodaꢀon - Supported Housing:
At the end of the year 69 69

19. Pension scheme

The Trust operates a defined contribuꢀon scheme for its employees. The costs for the year were £6,269 (2019: £6,407). There were no prepaid or outstanding contribuꢀons as at 31 December 2020.

25 | P a g e

EDWARD MAYES TRUST

Notes to the Financial Statements For the year ended 31 December 2020

20
.
Grants and fnancial assistance
The total accumulated Government grants received at 31 December 2020
Held as unamorꢀsed capital grants
Recognised as income in Statement of
Comprehensive Income		 2020
£
332,150
317,010
15,140
332,150		 2019
£
347,290
332,150
15,140
347,290
21
. Analysis of net assets by fund
Restricted Restricted Total funds Restricted Restricted Total funds
income and capital fund 2020 income and capital fund 2019
expenditure 2020 expenditure 2019
fund 2020 fund 2019
Tangible fxed 3,716,281 3,731,794 - 3,731,794
assets 3,716,281 -
Current assets 391,638 159,738 551,376 331,036 178,265 509,301
Current liabiliꢀes (59,830) - (59,830) (53,795) - (53,795)
Non-current (436,710) (479,524) - (479,524)
liabiliꢀes (436,710) -
3,611,379 159,738 3,771,117 3,529,511 178,265 3,707,776

21 Members’

. liability

The company is limited by guarantee, not having a share capital and consequently the liability of the members is limited to a sum not exceeding £10 being the amount that each member undertakes to contribute to the assets of the Charity in the event of its being wound up while he is a member or within one year aꢃer he ceases to be a member.

26 | P a g e