## **Charity No. 1172967** ## **End of Year Financial Statements** ## **30 June 2022** _Page 1_ ## **NEW BEGINNINGS READING** Registered Charity: Charity Number 1172967 Registered Office: Queens Arms Great Knollys Street Reading RG1 7HL Website: www.newbeginningsreading.org Bankers: Metro Bank plc Trustees: Richard Silcock (Chair) Gordon Ross (Treasurer) Jamie Carruthers Sarah Beisly Jane Taylor Sarah Thake Sunila Lobo CEO: Cristie McMurray _Page 2_ ## **CHAIRMAN’S STATEMENT** This report was approved by the Board of Trustees and signed on its behalf by: ………………………………………………….. **Richard Silcock, Chairman** ## _10/05/2023_ ………………………………………………….. ## **Date** _Page 3_ ## **INDEPENDENT EXAMINER’S REPORT TO THE ACCOUNTS** ## **Report to the Trustees of New Beginnings Reading (Charity Number 1172967) on the Accounts for the year ended 30 June 2022** ## **Respective responsibilities of trustees and examiner:** The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under Section 144 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed. It is my responsibility to: - examine the accounts under Section 145 of the Charities Act - follow the procedures laid down in the general directions given by the Charity Commission (under Section 145(5)(b) of the Charities Act) - state whether particular matters have come to my attention ## **Basis of independent examiner’s statement** 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 the 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** I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in, any material respect: - the accounting records were not kept in accordance with section 130 of the Charities Act; or - the accounts did not accord with the accounting records; or - the accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination. During the course of my independent examination, I have found the following concerns to which attention should be drawn to when reviewing this report: - A number of Amazon purchases have been made during the year with no supporting documentation. However, suitable controls have now been implemented. - Two laptops have been purchased in the year. However, these cannot be identified and are therefore not included in the assets of the accounts. Going forward the board has decided that all purchases over £500.00 need to be approved by 2 trustees and an asset register will be created to record and maintain an accurate list with periodic itemised asset reviews. - Various expenses have been incurred on the charities credit cards throughout the year without supporting documentation. It has not been confirmed what New Beginnings policy is regarding credit card expenditure. Since the year end, the Board have cancelled all credit cards and have taken a policy decision to cease using them. _Page 4_ …………………………… **Kelly Willcox (Msc, CGMA, ACMA), Claritas Accountancy Ltd** ## **21/04/2023** …………………………… ## **Date** _Page 5_ ## **Statement of Financial Activities** |**Statement of Financial Activities**|| |---|---| ||**Unrestricted**
**Restricted**
**Endowment**
**Total**
**Prior year**
**funds**
**funds**
**funds**
**funds**
**total funds**| |**Income and endowments from:**
Donations and legacies
Grants
Other trading activities
Other income
Admin
Transfers
**Total income and endowments from:**
**Expenditure on:**
Maintenance / Utilities
Rent & Rates
General Services
Management and Administration
Staff
Marketing and Advertising
Transfer
Other
**Total expenditure:**
Gains / losses on investment assets
**Net income / (expenditure) resources before**
**transfer**
**Transfers**
Gross transfers between funds - in
Gross transfers between funds - out
**Other recognised gains / losses**
Gains on revaluation, fixed assets, charity's own use
**Net movement in funds**
**Total funds brought forward**
**Total funds carried forward**
**Represented by**
**Unrestricted**
General fund
**Restricted**
Restricted fund|54,513
29,599
—
—
—
—
54,513
29,599
65,611
8,000
—
—
—
—
1,456
—
2,308
—
—
—
—
—
—
—
—
2,308
—
990
2,318
—| ||**86,420**
—
**—**
**86,420**
**78,375**
13,432
12,387
12,044
23,811
—
—
25,476
36,198
28,661
30,000
6,351
1,367
—
7,718
5,389
3,633
33,411
1,482
—
—
—
—
—
—
—
—
—
—
—
—
3,633
33,411
1,482
—
—
314
5,737
110
—
8,628| ||**70,696**
**37,222**
**—**
**107,918**
**78,839**
—
—
—
—
—| ||**15,724**
**(37,222)**
**—**
**(21,498)**
**(464)**
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—| ||**15,724**
**(37,222)**
**—**
**(21,498)**
**(464)**| ||**81,440**
**39,110**
**—**
**120,550**
**121,014**| ||**97,164**
**1,888**
**—**
**99,052**
**120,550**
97,164
—
—
97,164
81,440
—
1,888
—
1,888
39,110| _Page 6_ ## **Balance sheet** ||**Total funds**
**Prioryear funds**
—
—
—
—
—
—
90,078
9,000
906
116,133
3,000
1,440
—
**99,984**
**120,573**
7
925
23
—
**99,052**
**120,550**
**99,052**
**120,550**
**99,052**
**120,550**
97,164
81,440
1,888
39,110
**99,052**
**120,550**| |---|---| |**Fixed assets**
Tangible assets
**Current assets**
Debtors
Cash at bank and in hand
Prepayments
Credit Card
**Current liabilities**
Creditors
Payroll Payable
**Net current assets less current liabilities**
**Total assets less current liabilities**
**Total net assets less liabilities**
**Represented by**
**Unrestricted**
General fund
**Restricted**
Restricted fund
**Funds**|| _Page 7_ ## **Statement of assets and liabilities** ||**General Designated**
**Restricted Endowment**
**Thisyear**
**Lastyear**| |---|---| |**Fixed assets - Tangible assets**
**Totals**
**Current assets - Cash at bank and in hand**
Bank Account - Current
**Totals**
**Current assets - Debtors**
Accounts Receivable
Prepayments
Other
**Totals**
**Current Liabilities**
Creditors
**Grand total**|—
—
—
—
—
—| ||—
**—**
**—**
**—**
—
—
88,190
—
1,888
—
90,078
116,133| ||**88,190**
**—**
**1,888**
**—**
**90,078**
**116,133**
—
9,000
906
—
—
—
—
—
—
—
—
—
—
9,000
906
—
3,000
1,440| ||**9,906**
**—**
**—**
**—**
**9,906**
**4,440**
932
—
—
—
932
23| ||**97,164**
**—**
**1,888**
**—**
**99,052**
**120,550**| ## **Fund movement by type** ||**Opening**
**Incoming**
**Outgoing**
**Transfers**|**Gains/losses**
**Closing**| |---|---|---| |**Restricted - Restricted fund**
Restricted
**Sub-total for Restricted**
**General - General fund**
Unrestricted
**Sub-total for General**
**Grand total**|39,110
—
37,222
—|—
1,888| ||**39,110**
—
**37,222**
**—**
81,440
86,420
70,696
—|**—**
**1,888**
—
97,164| ||**81,440**
**86,420**
**70,696**
**—**|**—**
**97,164**| ||**120,550**
**86,420**
**107,918**
**—**|**—**
**99,052**| _Page 8_ ## **Notes to the Financial Statements** ## **1. Accounting Policies** ## **Basis of preparation** The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at fair value. The accounts (financial statements) have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2019. The financial statements are prepared in sterling, which is the functional currency of the charitable company. Monetary amounts in these financial statements are rounded to the nearest £. The accounts have been prepared on the historical cost convention, modified to include revaluation of certain financial instruments at fair value. The principal accounting policies adopted are set out below. ## **Going concern** At the time of approving the financial statements, the trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. Thus, the trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **Incoming resources** Income is recognised when the charitable company is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that the income will be received. Donations and grants are recognised once the charitable company has been notified of the donation or grant, unless performance conditions require deferral of the amount. ## **Expenditure** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charitable company to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources. Costs of generating funds are those costs associated with attracting voluntary income. Charitable activities expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. Governance costs include those costs associated with the governance of the charity and are primarily associated with constitutional and statutory requirements. Support costs include central functions and have been allocated to activity costs categories consistent with the use of the resource. ## **Taxation** The charity is exempt from corporation tax on its charitable activities. ## **Fund accounting** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. _Page 9_ Restricted funds can only be used for particular restricted purposes within the objects of the conditions as set by the donors. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. ## **Pension costs and other post-retirement benefits** The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. ## **Cash and cash equivalents** Cash and cash equivalents include cash in hand. ## **Basic financial assets** Basic financial assets, which includes debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. ## **Basic financial liabilities** Basic financial liabilities, including creditors 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. Financial liabilities classified as payable within one year are not amortised. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of its operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using effective interest rate. ## **2. Other Trading Activities** |**This year**|**Last year**| |---|---| |—|1,456| |—|**1,456**| ## **3. Trustees’ Remuneration and Benefits** There were no trustees' remuneration or other benefits for the year ended 30 June 2022 nor for the period ended 30 June 2021. ## **Trustees' expenses** There were no trustees' expenses paid for the year ended 30 June 2022 nor for the period ended 30 June 2021. _Page 10_ ## **4. Staff Costs** The average monthly number of employees during the year was as follows: |**This year**|**Last year**| |---|---| |2|1| |**2**|**1**| No employees received emoluments in excess of £60,000. ## **5. Comparatives for the Statement of Financial Activities** ||**Unrestricted**
**Restricted**
**Endowment**
**Total**
**Prior year**
**funds**
**funds**
**funds**
**funds**
**total funds**| |---|---| |**Income and endowments from:**
Donations and legacies
Grants
Other trading activities
Other income
Admin
Transfers
**Total income and endowments from:**
**Expenditure on:**
Maintenance / Utilities
Rent & Rates
General Services
Management and Administration
Staff
Marketing and Advertising
Transfer
Other
**Total expenditure:**
Gains / losses on investment assets
**Net income / (expenditure) resources before**
**transfer**
**Transfers**
Gross transfers between funds - in
Gross transfers between funds - out
**Other recognised gains / losses**
Gains on revaluation, fixed assets, charity's own use
**Net movement in funds**
**Total funds brought forward**
**Total funds carried forward**
**Represented by**
**Unrestricted**
General fund
**Restricted**
Restricted fund|54,513
29,599
—
—
—
—
54,513
29,599
65,611
8,000
—
—
—
—
1,456
—
2,308
—
—
—
—
—
—
—
—
2,308
—
990
2,318
—| ||**86,420**
—
**—**
**86,420**
**78,375**
13,432
12,387
12,044
23,811
—
—
25,476
36,198
28,661
30,000
6,351
1,367
—
7,718
5,389
3,633
33,411
1,482
—
—
—
—
—
—
—
—
—
—
—
—
3,633
33,411
1,482
—
—
314
5,737
110
—
8,628| ||**70,696**
**37,222**
**—**
**107,918**
**78,839**
—
—
—
—
—| ||**15,724**
**(37,222)**
**—**
**(21,498)**
**(464)**
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—| ||**15,724**
**(37,222)**
**—**
**(21,498)**
**(464)**| ||**81,440**
**39,110**
**—**
**120,550**
**121,014**| ||**97,164**
**1,888**
**—**
**99,052**
**120,550**
97,164
—
—
97,164
81,440
—
1,888
—
1,888
39,110| _Page 11_ ## **6. Debtors: Amounts falling due within one year** |Reading Bike Kitchen
**7. Creditors: Amounts falling due within one year**
Payables|**This year**
**Last year**
—
—| |---|---| ||—
—
**This year**
**Last year**
7
23| ||**7**
**23**| ## **8. Leasing Agreements** There were no leasing agreements in the period. ## **9. Related Party Disclosures** There were no related party transactions for the year ended 30 June 2022. ## **10. Analysis of restricted fund movements** |**Balance 1 July 2021**
**Resources**
**Expended**
**Transfers**
**Balance June**
**2022**|**Balance 1 July 2021**
**Resources**
**Expended**
**Transfers**
**Balance June**
**2022**| |---|---| |Bathroom Facilities
All night cafe
After school café / activities
Community fridge
Covid-19
**Total**|6,182
23,811
—
—
6,182
23,811
—
—
0
0
3,255
—
1,367
—
1,888
1,862
4,000
—
—
1,862
4,000
—
—
0
0| ||**39,110**
—
**37,222**
—
**1,888**| All restricted funds are to assist the charitable company in respect of the provision of services. Coronavirus support relates to funding to assist the activities during the Covid-19 pandemic. _Page 12_ ## **Detailed Statement of Financial Activities for the Year Ended 30 June 2022** ## **Analysis of income** ## **Donations and legacies** |Reading Borough Council
Community Groups
Corporate Donations
Donations & Events
PAYPAL
Schools
Smile
Charities Aid Foundation
**Total**|**Total**
**Unrestricted**
**Designated**
**Restricted Endowment**
**This year**
**Last year**
—
1,695
9,478
21,138
22,983
—
219
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
1,695
9,478
21,138
22,983
—
219
—
—
—
—
50,168
6,687
332
151
8,273| |---|---| ||**54,513**
**—**
**—**
**—**
**54,513**
**65,611**| ## **Grants** |Reading Borough Council
ASC Activities
Misc for general activities
Restricted Covid
**Total**|**Total**
**Unrestricted**
**Designated**
**Restricted Endowment**
**This year**
**Last year**
25,000
—
4,599
—
—
—
—
—
—
—
—
—
—
—
—
—
25,000
—
4,599
—
4,000
—
—
4,000| |---|---| ||**29,599**
—
—
**—**
**29,599**
**8,000**| ## **Other trading activities** |**ther trading activities**|| |---|---| |Bike Kitchen
**Total**|**Total**
**Unrestricted**
**Designated**
**Restricted Endowment**
**This year**
**Last year**
—
—
—
—
—
1,456| ||—
**—**
**—**
**—**
—
**1,456**| ## **Other income** |Sadaka
**Total**|**Total**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**Last year**
—
—
—
—
—
990| |---|---| ||—
**—**
**—**
**—**
—
**990**| _Page 13_ ## **Admin** |**dmin**||| |---|---|---| |HMRC
**Total**||**Total**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**Last year**
2,308
—
—
—
2,308
2,318| |||**2,308**
**—**
**—**
**—**
**2,308**
**6,242**| ## **Analysis of expenditure** ## **Expenditure on Maintenance / Utilities** |Utilities
Repairs and Maintenance
Rent & Rates
Materials & Equipment
Insurance
H&S
**Total**|**Total**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**Last year**
2,051
—
6,015
—
8,066
4,870
0
—
6,029
—
6,029
4,982
12,387
—
23,811
—
36,198
30,000
9,927
607
847
—
—
—
—
—
—
—
—
—
9,927
607
847
14,420
603
3,786| |---|---| ||**25,819**
**—**
**35,855**
**—**
**61,674**
**58,661**| ## **Expenditure on General Services** |After school cafe
Food & Beverage
Other
Computer Expenses
Total|**Total**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**Last year**
0
—
1,367
—
1,367
3,794
1,740
—
—
—
1,740
36
3,633
978
—
—
—
—
—
—
3,633
978
622
937| |---|---| ||6,351
—
1,367
—
7,718
5,389| ## **Expenditure on Management & Administration** |Professional Fees
Other
**Total**|**Total**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**Last year**
2,268
—
—
—
2,268
314
1,365
**—**
**—**
**—**
1,365
**—**| |---|---| ||**3,633**
**—**
**—**
**—**
**3,633**
**314**| _Page 14_ ## **Other expenditure** |**ther expenditure**|| |---|---| |Staff Costs UK
Marketing & Advertising
Other
**Total**|**Total**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**Last year**
33,411
—
—
—
33,411
5,737
1,482
—
—
—
—
—
—
—
1,482
—
110
8,628| ||34,893
—
—
—
34,893
14,475| _Page 15_