REGISTERED CHARITY NUMBER: 1167510 Re rt of the Trustees and Financial Statemen for the Year Ended 28 Februa 2021 for Horton Cha l Arts and Herita & Socie Bates Weston Audtt Ltd Statutory Auditors Chartered Accounlanls The Mills Canal Street Derby DE12RJ
Horton Cha l Arts and Herita e Socie Contents of the Financlal Slatements for the Year Ended 28 Februa 2021 Page Reference and lMinIS¢ratiVe Details Report of the Trustees 2 10 11 R8POrt of th8 Independent Auditors 12 to 14 Statement of Financial Activities 15 Balance Sheet 16 Cash Flow Statement 17 Notes to the Flnanclal Statements 18 10 23
Horton Cha l Arts and Herita e Socie Reference and Administrative Details for the Year Ended 28 Februa 2021 TRUSTEES l Reeves -chair {resigned as Chair 28.2.21) R Salmon -Secretsry K Amould M Reeves (resigned 22.6.211 P Humphrey (resigned 9.4.21) G Saunders Y Mokuolu S Kelly lappointed 25.6.201 (resigned 22.4.211 G C Young (appointed 28.5.201 S Wiles- Chair {appoinled as Chair 28.2.211 {apFx)inted 22.7.20) H van Maasakkers lapFX)inted 31.8.21) PRINCIPAL ADDRESS 24 Hamillon Close Epsom Surrey KT19 8RG REGISTERED CHARITY NUMBER 1167510 AUDITORS Bales Weslon Audit Ltd Statutory Auditors Chartered Accountants The Mills C8n81 Street Derby DE1 2RJ BANKERS Metrobank 91a High Street Epsom KT19 8DR Page 1
the HORTON EPSOM Horton Chapel Arts & Heritage Society Registered Charity 1167510 Annual Report and Accounts for 2020-21 Objertives and activities Horton Chapel Arts & Heritage Society ("the Society", e. or'HCAHS") was established as a Charitable Incorporated Society in January 2016. We are governed by our Constitution which sets out our aims as being= To preserve The Horton Chapel in Epsom, a Grade11 listed building, for the benefit of the public and the heritage of the local area, by establishing a not- for-profit community arts centre within the building and its associated grounds. and To promote education in and appreciation of the arts, local history and creative activities that promote well-being, forthe public benefit of all ages of people living, working, and studying in the borough of Epsom and Ewell and its surrounding areas. Page 2
In addition to our fomal name, we have used The Horton Chapel Project as a name to describe the redevelopment phase of the project. The renovaled chapel will open with the name The Horton, which is now our primary brand. Between 2016 and 2018 we received start-up grants of £10,000 from the National Lottery Heritage Fund ("NHLF°) and £25,000 from the Architectural Heritage Fund. followed by a Development Grant from the HLF for a maximum of £300,900. In June 2018 our application for a Heritage Enterprise Delivery Grant from the Heritage Lottery Fund (now known as the National Lottery Heritage Fund, NLHF) for £1.44m was approved. This award unlocked guaranteed funding of a further £1.45m from Section 106 funds held by Epsom & Ewell Borough Council (EEBC). In January 2019 we were granted a 125-year operational lease on the building, which is owned by EEBC, for a peppercorn rent. A licence for works was also agreed with EEBC to enable us to undertake the restoration and redevelopment works on the building and site. During this reporting period. the main contractor that had been appointed following a full tender process, began its work to undertake the main refurbishment and restoration works on the chapel building and site. In addition to this capital work, HCAHS carried out activities, including: 360 degree 'hard hat, video tour of the site featuring two trustees demonstrating progress and explaining the historical heritage of the site. This took place instead of in-person Heritage Open Day lours and other hard-hal tours Photo session opportunities for local amateur photographers to record and artistically capture the chapel in its pre-renovation state. Skills training for trustees and volunteers. Networking and partnership building with other local charities and community groups. Heritage research volunteers continued their research of local history of Epsom Hospital Cluster and the people who lived and worked there. Collaborative exhibition content development with heritage partners and curators. Window display in a high-profile site in Epsom Town ntre donated by WH Smith highlighting the transfomiation of the historical building and the proposed arts, education and heritage activities that are planned once it is open to the public. The criteria we have used to assess our SucsS during this reporting period are set out in our Evaluation Framework. This is informed by our Vision and Values Statement and the conditions under which our grant funding has been awarded by the NLHF, set out in the Approved Purposes of our grant agreement. It measures.. Page 3
What HCAHS set out to do The difference HCAHS made to heritage (outcomes) The difference HCAHS made to people (outcomes) The difference HCAHS made to communities (outcomes) What HCAHS delivered (outputs) How these were delivered (process) Successes, challenges and lessons leamt Legacy and Sustainability- providing a set of recommendations for the organisation, other similar projects and NLHF. The Approved Purposes for our NLHF grant include: the refurbishment works to the site, the creation of a pemianent physical and digital heritage exhibition, as well as a series of activities designed to raise awareness of the heritage of the Epsom Hospital Cluster in which the chapel is situated, including research, outreach events, temporary exhibitions and the creation of skills development opportunities for young people. We report monthly to NLHF and EEBC on our progress against milestones and benchmarks for these approved purposes. We are also regularly appraised at quarterly meetings with the NLHF and an extemal NLHF appraiser. Achievements and performance The most significant achievement during ihe reporting period is the progress made in Iransforming the chapel from a dilapidated at-risk building iowards being a public space that will be of great benefit as an arts, culture and heritage centre to the people of Epsom and surrounding areas. Amifield Construction. having commenced work on the site in August 2019, progressed some of the most significant aspects of the restoration. These included: connection of water, electricity. telephone and broadband services,. replacement of all roof tiles., refurbishment of all windows,. installation of rooflights. construction of a mezzanine floor. division of the building into a multi-use atrium Spa and a performance space. creation of an office space., painting and decoration of all walls and ceilings., refurbishment of original wooden flooring., refurbishment of encaustic floor tiles. construction of storage cupboard spaces- installation of toilet and washing facilities- addition of a disabled lift to the mezzanine floor- installation of heating and air ventilation system using air- Page 4
source heat pumps- creation of a car park, including disabled spaces,. installation of new fencing and gates; and basic landscaping of grounds. The main contractor's progress on site, however, was severely hampered by restrictions and supply-chain problems during the coronavirus pandemic- and this became increasingly problematic, causing trustees to issue several pay-less notices under the terms of the contract as work fell further and further behind schedule. By the end of the financial year it became clear that Amifield had deeper financial problems. Trustees took legal advice over the termination of the contract. Just after the end of the financial year, Armfield Construction Ltd went into liquidation, leaving significant portions of the contract incomplete or not finished to appropriate standards. A separate tender process was run for the fit-out of café space, which had been designed by architects Highly Creative Minds. This was won by Eden London Ltd. who were scheduled to begin work on the fitout in the spring of 2021- following the completion of the main refurbishment works. Following analysis of the unfinished portion of the main refurbishment and restoration contract. Eden's contract was expanded to include the conclusion of this work. Other specialist contractors were appointed for specific purposes: for example, the restoration of the organ pipes and the commemorative plaques that are part of the site's Grade I I listing. Progress was made in many other areas of our charitable objectives too. The £5000 that we were awarded from the #Iwill campaign was used to plan the Young Creatives project, which supports getting young people involved in social action on The Horton Chapel Project- activities such as campaigning. fundraising and volunteering, and developing creative skills, all of which enable participants to make a positive difference to their communities. During the reporting period, the design work on the permanent heritage exhibition made extensive progress. This important aspect of the project will bring to life the heritage of the chapel and the hospitsl cluster of which it was a part for visitors who are unaware of its fascinating history. The venue's new web site went live in September 2020, showcasing the transformation of the building, providing a taste of activities that will be on offer once the building reopens, and including sections on the heritage and history of the chapel and the hospital cluster. The production of our Vision & Values document has helped to refine our strategy for reaching beneficiaries, both during Ihis period of renovation and beyond when The Horton is open to the public. Page 5
Over the course of the year, media and publicity about the enterprise has increased knowledge about the heritage of the site, which is of national importance in the history of mental health care. The charity continued to develop the Business Plan for The Horton as a not-for-profit venue for arts. heritage and events, when it opens. This was helped by mentoring from consultsnts provided by the NLHF. This and other activities were managed, and in many cases carried out, by Trustees volunteering their professional servIs. along with paid consultants. They were also responsible for.. Sourcing and managing the various specialist contracts Designing and carrying out community activities to promote The Horton Chapel Project Creating opportunities for local people to leam about the heritage. Developing and delivering content for the exhibition and digital resources. Delivering activities in accordance with the temis of funding grants. Trustees also undertook and commissioned work on branding. research and stakeholder engagement, successfully building up a strong network of partners and supporters. These activities aimed to ensure our prospective services would not only be in line with our charitable objectives but would be popular and serve a community need. While doing this work, our Board of Trustees. who govem the Society, have had regard to the Charity Commission's guidan on public benefit. Volunteers (beyond the trustees) play an increasingly important role in the charity's operations. A team of volunteer heritage researchers have undertaken bespoke training led by Surrey History Centre and continue to research the rich heritage of the building and the wider hospital cluster. and the stories of the staff and patients who lived, worked and were treated there. These stories form part of the pemianent physical and digital exhibition that visitors to The Horton will be able to enjoy - and can already access via its website. These volunteers have completed an evaluation questionnaire that recognised the Importan of building new friendships as well as skills. Our volunteer bookkeeper has made a significant contribution to the charity. In future reporting periods, volunteers will also play important roles in various aspecls of the operation of the venue, supporting the professional staff in a number of ways, including event stewarding, gardening, as heritage guides and other support functions. The society does not have a material financial investment strategy. Neither grant- making nor social investment form a material part of the charity's objectives. Page 6
Financial Review Grant funding from the NLHF totaling £622,564 was reiVed during the financial year. along with S106 funding of £533.037. Private donations of £2,906 were reived. A grant of £36,000 was awarded to us by Viridor to go towards kitchen equipment. The £5,000 #Iwill grant {funded by DCMS and the National Lottery Community Fund) was used to establish the ongoing Young Creatives Advisory Board Project. engaging young people in the arts and heritage aspects of the overall project. An Institute of Conservation grant of £2,000 was received for the creation of part of the permanent heritage exhibition, along with in-kind production donation of Truview museum grade glass and vinyl for the exhibition. The charity also had success in being selected as a Co-op Local Cause, a scheme through which shoppers can donate to charities. This ends in October 2021. Surrey County Cllr Bemie Muir pledged £1.000 from her Member's Allocation, which will be used for arts fit-out materials. Other funding applications and Expressions of Interest were made to funds including Epsom & Ewell Community Infrastructure Levy, the Marc Fitch Fund, the European Growth Fund. and the Postcode Trust. Some of these applications remain ongoing. The majority of costs inCued were for professional fees related to the refurbishment works, and for the ongoing capital work on the chapel and its exterior, as described above. After meeting the incurred costs of £31,900, this resulted in the Society having total reserves of £2,169,144 at the end of the financial year, of which £2,162,304 is restricted funding. Part of these reserves are accounted for by a 5 /0 retention on the main refurbishment contract, which is being held in a ringfend account by the charity until the completion of the main construction work and the conclusion of the liquidation process of Armfield Construction. Other reserves are held in a cash account at Metro Bank. The charity's long-term reserves policy will be to build reserves of 30 % to 45°/o of operating costs On The Horton has opened - the target timeframe for this is within 5 years of the centre opening. There are no current uncertainties about the charity's ability to continue as a going Page 7
concern. There is no fund or subsidiary undertaking that is materially in deficit. The charity has no pension liability. nor does it hold any material financial investments. The principal risks from this phase of the project during the financial year were that the construction and refurbishment work could be carried out according to the professional design team's specifications within the budget from available funding streams. The Covid crisis increased this risk because of the inevitable costs incurred from delays to the on-site work caused by the pandemic. Close monitoring of the situation by trustees ensured that the charity's financial position was not significantly damaged - and in particular that the contractor was not overpaid for unfinished work despite attempts to claim it. Trustees keep a detailed risk register, which is reviewed regularly at board meetings. The risk profile will change significantly On renovation and fit-out work is complete and the building opens for business. Trustees have identified the significant risk that the public might be reticent to return to public and social spaS because of the pandemic- which could have an effect on the business plan. That plan is continually being reviewed and remodeled to plan for the ntre'S viability under various Covid- affected scenarios. Significant events after the end of the financial year include the collapse into administration of the main contractor. Armfield Construclion Ltd. The charity has been careful to take professional legal advi to protect itself from financial loss during this prosS, which remains ongoing. Also significant was the design failure of a drainage solution designed to remove surface water from the car park, and a connected problem with foul water drainage. Trustees continue to take further professional advice on resolving these issues and are discussing potential cost implications with funders. The opening of The Horton has therefore been delayed by more than a year- although due to robust contract management, and a substsntial donation-in-kind of trustees volunteering their professional services. the impact of this has been managed effectively by the charity. The delivery of a number of key engagement activities have also been delayed due to Covid 19 but funders have granted an extension where required. Page 8
Plans for future periods Trustees are very much looking forward to the next phase of the project= the opening of the building fully to the public and delivering on the creative. educational and social vision that is at the heart of the project. The charity's plan for future periods focuses on completion of the main refurbishment contract with a new contractor, followed by the completion of the fit-out programme that will enable the chapel to open as The Horton. A professional team will be hired in due Ix)urse to manage the venue and associated outreach activities, according to the blueprint set out in the Business Plan- however this won't be done until there is full clarity over an opening date. This 'start-up' phase will be funded by ringfenced amounts from the agreed NLHF Heritsge Enterprise grant funding and the S106 funding. The Business Plan sets out multiple income streams for The Horton, including: creative learning., live perfonnance- café-bar and hospitality. corporate and community space hire., arts and artisan fairs" wedding receptions and parties" creative holiday clubs for children. In accordance with our constitution, The Horton's programme will focus on arts, local history and creative activities that promote well-being. primarily reaching beneficiaries in the borough of Epsom and Ewell and its surrounding areas. Our plans to enhan The Horton Gardens through a simple but attractive landscaping scheme, will creale an improved amenity for local people, more creative opportunities and a sustainable green Spa for better well-being. Detailed 4-year cashflow forecasts have been made to ensure that the charity's reserves are always sufficient for the organisation to remain a going concern. Key Performance Indicators will be designed to ensure that each element of the Business Plan delivers the neSSary retums to keep the charity financially stable. A trading subsidiary will be established which will allow The Horton to undertake commercial activities that are not directly related to the society's charitable objectives. Page 9
Structure, governance and management The charity is a Charitable Incorporated Organisation and is govemed by a Constitution. The Constitution was amended by the trustees in April 2019 and again in January 2020, in accordan with the clauses enabling such changes. A trustees, Code of Conduct sets expectations for best practice and promote good communication between trustees. New trustees are appointed by existing trustees on terms as set out in the Constitution, which allows for a maximum of 12 trustees on the board. New trustees are given an induction which involves the provision of key documents, including- Constitution., Code of Conduct- Vision and Values statement- Business Plan and key policies such as Financial Policy and Safeguarding. No other person or external body is entitled to appoint trustees. All key strategic decisions are taken collectively by trustees, who met monthly throughout the reporting period. Reference and administrative detalls The charity has no corporate trustees. No trustee holds, or has held, title to property belonging to the charity. There were no employed staff during the financial year. During the financial year we continued to keep NLHF and EEBC informed of our project's development through regular progress reports and quarterly progress meetings. Independent auditors The report from the independent auditor is attached. Page 10
Trustee declaration The trustees declare they have approved the trustees, report above. Signed on behalf of the charity's trustees Names: Sophie Wiles Rupert Salmon Position: Chair Secretary Date.. 25 November 2021 Principal address of charity: 24 Hamilton Close. KT19 8RG Pagell
Re rt oflhe Inde Horton Cha endent Auditors to the Trustees of el Arts and Herita e Socie Opinion We have audited the financial statements of Horton Chapel Arts and Heritage Society (the 'chariVI for the year ended 28 February 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financi215t8tements. including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Stsndards (United lQngdom Generally Accepted Accounting Practice). In our opinion the financial statements.. give a true and fair view of the state of the charitls affair5 a5 at 28 February 2021 and of its incoming resour$ and application of resources, for the year then ended". have been properly prepared in accordance with United Kingdom Generalty Accepted Accounting Practice,. and have been prepared in accordance with the requirements of the Charities Act 2011. Basis for opinion We conducted our audit in accordan with International Standards on Auditing IUKI IISAS IUK)} and applicable law. Our responsibilities under those standards are further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant lo our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Conclusions relating to going concom In audrting the financial statements, we have concluded that the trustees. use of the going concem basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively. may cast signrficanl doubt on the charitys ability lo continue as a going concern for a period of at least twelve months from then the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concem are described in the relevant sections of this report. Other inforniation The trustees ar8 responsible for the other infomiation. The other information comprises the information included in the Annual Report. other than the financial statements and our Report of the Independent Auditors Ihereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise expliciuy stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements. our responsibility is to read the other information and, in doing so, consider whether the other infomiation is materially inconsistent with the financial statements or our knowledge obtained in the audit or olherwse appears to be malerially misslaled. If we identify such material inwnsislen¢ies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is 8 materi81 misstatement of this other infom)th"on, we a required to report that fact. We have nothing lo report in this regard. Matters on which we are required to report by exception We have nothing to report in respect of the followng matters where the Chaitties (Accounts and ReKX)rtsl Regulations 2008 requires us lo report to you rf. in our opints)n: the information given in the Report of the Trustees is inconsistent in any malerial respect with the financial statements,. or Sufflent accounting records have not been kept., or the financial statements are not in agreement with the accounting records and retums.. or we have not received 811 the infomiation and explanations we require for our audit. Page 12
Re rt oflhe Inde Horton Cha endent Auditors to the Trustees of el Arts and Herita e Socie Responsibilities of trustees As explained more fully in the Statement of Trustees. ResFKJnsibilit"es. the trustees are responsible for the preparation of the financial statements ¥vhich give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial ststemenls that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Injstees are responsible for assessing the charills ability lo continue as a going concern, disdosing, as applicable. matters related to going coNM and using the going concern basis of accounting unless the trustees either inter¥J to liquidate the charity or lo cease operations, or have no realistic alternative but lo do so. Our responslbllities for the audit of the financlal statements We have been appointed as 8udilors under Section 144 of the Charities Act 2011 and report in accordan th the Act and relevant regulations made or having effect Ihereunder. Our objectives are to obtain reasonable assurance atx)ut whether the financial statements as a whole are free from material misstatement, whether due to fraud or error. and to issue a Rerx)rt of the Independent Auditors that includes our opinion. Reasonable assurance is a hiqh level of assurance. bul is not a guarantee that an audit conducted in accordance with ISAS IUK) will always delect a material misslalement 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 Influen the e(x)nomic decisions of users taken on the basis (rf these financial statements. Irregularities, including fraud. are instances of non-compliance with laws and regulations. We design prOdureS in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregulari(ies, including fraud is detsiled below.. Based on our understsnding of the Charity and industy in which it operales, we considered the extent lo which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct imp8Ct on tho preparation of the financial statements such as the Companies Act 2006 and Charities Act 2011. Audit procedures perfom)ed by the engagement team included: Enquiry of management and those charged wilh g)vernance around actual and potential litigation and claims., Reviewing minutes of meetings of those charged with govemance-, Reviewing financial statement disclosures and testing to supporting documentath)n to assess compliance with applicable laws and regulations., Performing audit work over the risk of management oveIde of controls, including testing of journal entries and other adjustments for appropriateness. evaluating the business rationale of significant transactions outside the normal course of business and rewewing 8ccounting estim8tes for bias. Becaus8 of the inherent limitstions of an audit, there is a risk we will not delect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation Is removed from the events and transactions refleeted in the financial slatemenls. as we VAII be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities (ccuring due lo fraud rather than error, as fraud involves intentional concealment. forgery, o)Ilusion, omission or misrepresenlalion. A further description of our responsibilitses for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uklaudtkorsresponsibilities. This description forms part of our Report of the Independent Audilors. Other matters which we are required to address An audit was not carried out in the prior year for the year ended 29 February 2020. Page 13
Re rt oflhe Inde Horton Cha endent Auditors to the Trustees of el Arts and Herita e Socie Use of our report This ret)ort is made solely to the charivs trustees. as a trK)dy. in accordance with Part 4 of the Charities (Accounts and Reports) Regulab"ons 2008. Our audit work h85 been undertaken so that we might state to the charitys trustees those matters we are required lo slate lo them in an auditors, report and for no other purpose. To the fullest extent permitted by law, we do not apt or assume responsibility lo anyone other than the charity and the chariws truslees as a trM)dy, for our audrt wDrk. for this report, or for the opinions we have formed. Bates Weston Audit Ltd Statutory Auditors Chartered Accountsnls The Mills Canal Street Derby DE12RJ Dale.. 13 December 2021 Page 14
Horton Cha l Arts and Herita e Socie Statement of Financial A¢tivities for the Year Ended 28 Februa 2021 2021 Total funds 2020 Total funds Unrestricted Restn"cted fund funds Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2.906 1,175.601 1.178,507 812,905 Investment income Total 2.910 1.175.601 1.178,511 812,905 EXPENDITURE ON Charitable activities Preservation of The Horton Chapel 31,0 31,900 21,211 NET INCOME 2.910 1,143,701 1,146,611 791,694 RECONCILIATION OF FUNDS Total funds brought forward 3,930 1.018.603 1,022,533 230,839 TOTAL FUNDS CARRIED FORWARD 6.840 2.162,304 2,169,144 1.022,533 The notes fomi part of these financial slatements Page 15
Horton Cha l Arts and Herita e Socie Balance Sheet 28 Februa 2021 2021 Total funds 2020 Total funds Unrestricted Restn"cted fund funds Notes FIXED ASSETS Tangible assets 2,055.653 2,055.653 966,168 CURRENT ASSETS Debtors Cash at bank 16.081 104.308 16,081 111,148 11,730 50,485 6.840 6.840 120.389 127,229 62,215 CREDITORS Amounts falling due wthin one year (13,7381 {13,7381 {5,8501 NET CURRENT ASSETS 6,840 106,651 113,491 56,365 TOTAL ASss LESS CURRENT LIABILITIES 6,840 2,162.304 2,169,144 1,022,533 NET ASSETS 6,840 2.162,304 2,169,144 1,022,533 FUNDS Unrestricted funds Restricted funds.. Chapel renovation fund Chapel renovation capital fund 10 6,840 3,930 106,651 2,055,653 1,018,603 2,162,304 1.018,603 TOTAL FUNDS 2,169,144 1.022,533 The financial statements were approved by the BrK•rd nf TrUStS and authorised for issue on 25 November 2021 and were soned on its behalf by: S Wiles - Trustee R Salmon- Tnjslee The notes fomi part of these financial slatements Page 16
Horton Cha l Arts and Herita e Socie Cash Flow Slatement for the Year Ended 28 Februa 2021 2021 2020 Notes Cash flows from operating activitias Cash generated from operations 12 1.150,144 787,967 Nel cash provided by operating activities 1.150.144 787,967 Cash flows from investing activities Purchase of tangible fixed assets Interest received {1,089,4851 {749,1021 Nel eash used in investing activtties 11,089.4811 {749,1021 Change in cash and cash equlvalents in tha raporting period Cash and cash equivalents at the beginning oflhe reporting period 60,663 38,865 50,485 11,620 Cash and cash equivalents at the end of Ihe reporting period 111.148 50,485 The notes form part of these financial slalements Page 17
Horton Cha l Arts and Herita e Socie Notes to the Financial Ststements for the Year Ended 28 Februa 2021 ACCOUNTING POLICIES Basis of preparing the financial sL7tements The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordan with the Chanties SORP IFRS 102) 'Accounling and Reporting by Charities.. Statement of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021 {effective 1 January 20191,, Financial Reporb"ng Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland. and the Ch8rrtie5 Aci 2011. The financial statements have been prepared under the historical cost convention. Income All income is recognised in the Statement of Financial Activtties once the charity has entitlement to the funds, il is probable that the income will be received and the amount can be measured reliably. Expenditure Liabilrties are recognised as expenditure as s(x)n 8S there is 8 leg81 or constnjctive obligation commrtting the charity lo that expenditure. it is probable that a transfer of economic benefits will be required in settlement and the amounl of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis con51slent the use of resources. Tangible fixed assets Tangible assets are Initially recognised at cost. After recognition. under the cost m(xlel, tangible fixed assets are measured at cost less accumulated depreciation and any impairrnent losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost. No depreciation is charged until an asset is brought into use. Taxation The charity is exempt from tax on its charitable activrtie5. Fund accounting Unrestricted funds can be used in aor{lanCe wth the charitable objectives at the discretion of the trustees. Reslricled funds can only be used for particular restricted purposes wlhin the objects of the charity. Reslriclions arise when specified by the donor or when funds are raised for parbcular restricted purposes. Further explanation of the nature and purpose of each fund is induded in the notes to the financial stslements. Government grants Govemment grants are recognised in income sthen the grant proceeds are reIved or receivable unless futu perfomiance-13led condibons are spectfied that have not been mel. Grants received before the income recognition criteria are satisfied are recognised as a liability. Page 18 continued...
Horton Cha l Arts and Herita e Socie Notes to the Financial Statements - continued for the Year Ended 28 Februa 2021 DONATIONS A)ID LEGACIES 2021 2020 Donations Grants 2,906 1.175,601 2,687 810,218 1,178.507 812,905 Grants Ceived, included in the atK)ve. are as follows.. 2021 2020 National Lottery Heritage Fund Epsom and Ewell Borough Council £lwll 622,564 553,037 439,517 365,701 5,000 1,175,601 810,218 INVESTMENT INCOME 2021 2020 Deposit account interest CHARITABLE ACTIVITIES COSTS Direct Costs Preservation of The Horton Chapel 31,900 These costs relate lo overheads only. Developmenl costs have been capitalised and are included as a fixed asset (improvements lo leasehold propetyl on the balance sheet. TRUSTEES. REMUNERATION AND BENEFITS There were no trustees. remuneration or other benefits for the year ended 28 February 2021 nor for the year ended 29 February 2020. Trustees. expenses During the year ended 28 February 2021, expenses totalling £432 were reimbursed or paid directly to trustees 12020 - £8861. £195 for travel 12020 - £1531. £69 for reimbursement of equipment and material costs12020 -£611), £NIL for reimbursement of vehicle hire costs 12020 - £1221 and £168 for Training Cosls12020.' NIL}. Page 19 continued...
Horton Cha l Arts and Herita e Socie Notes to the Financial Statements - continued for the Year Ended 28 Februa 2021 COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTMTIES Unrestricted Restricted fund funds Totsl funds INCOME AND ENDOWMENTS FROM Donations and legacies 2.687 810,218 812,905 EXPENDITURE ON Charitable activities Preservation of The Horton Chapel 21.211 21,211 NET INCOME 2.687 789.007 791,694 RECONCILIATION OF FUNDS Total funds brought forward 1,243 229,596 230,839 TOTAL FUNDS CARRIED FORWARD 3.930 1.018,603 1.022,533 TANGIBLE FIXED ASSETS Improve -ments lo leasehold propety COST At 1 March 2020 Additions 6,168 1,089,485 At 28 February 2021 2,055,653 NET BOOK VALUE At 28 February 2021 2,055,653 At 29 February 2020 6,168 DEBTORS: AMOUNTS FALLING DUE MTHIN ONE YEAR 2021 2020 Trade debtors Other detrtors Prepayments 100 5,000 6,730 15,981 16,081 11,730 Page 20 continued...
Horton Cha l Arts and Herita e Socie Notes to the Financial Statements - continued for the Year Ended 28 Februa 2021 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2021 2020 Trade creditors Accrued expenses 8,638 5,100 4,050 1.800 13,738 5,850 10. MOVEMENT IN FUNDS Net movement in funds Transfers between funds Al 28.2.21 At 1.3.20 Unrestricted funds General fund 3.930 2,910 Restricted funds Chapel renovation fund Chapel renovation capital fund 1,018,603 1,143,701 12,055,653) 2,055,653 106,651 2,055,653 1.018.603 1.143.701 2,162,304 TOTAL FUNDS 1.022.533 1.146.611 2,169, 144 Net movement in funds. included in the above are as follows: Incoming resources ReSOurS expended Movement in funds Unrestricted funds General fund 2.910 2,910 Restricted funds Chapel renovation fund 1.175,601 131,900) 1,143,701 TOTAL FUNDS 1.178.511 131,900) 1,146,611 Comparatives for movement in fvnds Net movement in funds At 29.2.20 At 1.3.19 Unrestricted funds General fund 1.243 2.687 3,930 Restricted funds Chapel renovation fund 229,596 789,007 1,018,603 TOTAL FUNDS 230.839 791.694 1,022,533 Page 21 continued...
Horton Cha l Arts and Herita e Socie Notes to the Financial Statements - continued for the Year Ended 28 Februa 2021 10. MOVEMENT IN FUNDS- continued Comparative net movement in funds. induded in the a)ve are as follows: Incoming resources Resources expended Movement in funds Unrestricted funds Gener81 fund 2.687 2,687 Rastricted funds Chapel renovation fund 810,218 121,211) 789,007 TOTAL FUNDS 812.905 121,211) 791,694 A current year 12 months and prior year 12 months combined F%)sition is as follows.. Net movement in funds Transfers between funds Al 28.2.21 At 1.3.19 Unrestricted funds General fund 1.243 5.597 6,840 Restricted funds Chapel renovation fund Chapel renovation capital fund 229.5 1.932.708 12,055,653) 2,055,653 106,651 2,055,653 229.596 1.932,708 2,162,304 TOTAL FUNDS 230.839 1,938.305 2,169,144 A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows= Incoming Resources expended Movement in funds Unrestricted funds General fund 5.597 5,597 Restricted funds Chapel renovation fund 1.985,819 153,111) 1,932,708 TOTAL FUNDS 1,991.416 153,111) 1,938,305 Restricted funds Reslricled income includes granls from the Heritage Lottery Fund and Section 106 grant funding. These wer8 granted specifically to contribute towards the redevek)pment of Horton Chap81 and are therefore restricted. All expenditure through the Statement of Finanaal Activities relating to the redevelopment of Horton Chapel is included wtihin the restn.cted fund. Page 22 continued...
Horton Cha l Arts and Herita e Socie Notes to the Financial Statements - continued for the Year Ended 28 Februa 2021 10. MOVEMENT IN FUNDS- continued Restrided funds - continued Transfers between funds The transfer belween the restNcted and the restricted fixed asset fund represents the net book value of improvements lo leasehold property as at the reporting dale. 11. RELATED PARTY DISCLOSURES Trustee M Reeves carried out work in capactty of project manager for the charity during the year at a charge of £17.400. Al the year-end Ihere is £2.400 owing in respect of project management lo M Reeves. 12. RECONCILIATION OF NET INCOME TO CASH FLOW FROM OPERATING ACTIVITIES 2021 2020 Net income for the reporting period (as per the Statement of Financial Activities) Adjustmenls for: Interest received Increase in debtors Increase in Creditors 1.146,611 791,694 141 14,3511 7.888 17,0301 3,303 Nel cash provided by operations 1,150,144 787,967 13.. ANALYSIS OF CHANGES IN FUNDS At 1.3.20 Cash flow At28.2.21 Net $h Cash al bank 50,485 60,663 111,148 50,485 60,663 111,148 Total 50,485 60,663 111,148 Page 23