**Charity Registration No. 1175124 Company Registration No. 10763532**
**PILGRIM HERITAGE SAILING FOUNDATION**
**ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2021**
Page | 1
## **PILGRIM HERITAGE SAILING FOUNDATION**
## **Legal and Administrative Information**
|**Trustees**|Mr R C Crumpton (resigned 9thDecember 2021)|
|---|---|
||Mrs L M Davison|
||Mr J A Neech|
||Mr D J Range|
||Mr K Ward (resigned 25thOctober 2021)|
|**Secretary**|Mr R C Crumpton|
|**Charity No.**|1175124|
|**Company No.**|10763532|
|**Principal Address**|Brixham Laboratory|
||Freshwater Quay|
||Brixham|
||Devon|
||TQ5 8BA|
|**Registered Office**|Brixham Laboratory|
||Freshwater Quay|
||Brixham|
||Devon|
||TQ5 8BA|
|**Independent Examiner**|MJP Accountants LLP|
||Unit 109|
||Torbay Business Centre|
||Lymington Road|
||Torquay|
||TQ1 4BD|
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **Contents**
||Page|
|---|---|
|Trustees’ Report|4|
|Independent Examiner’s Report|8|
|Statement of Financial Activities|9|
|Balance Sheet|10|
|Notes to the Financial Statements|11|
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **Trustees’ Report (including Directors’ Report) For the year ended 31[st] December 2021**
The Trustees present their report and accounts for the year ended 31[st] December 2021.
The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s Memorandum and Articles of Association dated 20[th] December 2017, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (as amended for accounting periods commencing from 1 January 2016).
## **Objectives and Activities**
## The Charity’s objects are:
For the public benefit:
1. to advance education through the preservation, operation, maintenance and protection of the sailing trawler Pilgrim of Brixham, registered mark BM45, which is of historic and maritime importance and;
2. to safeguard the associated boatbuilding, sailing and fishing heritage, working practices and their social context for the information, education and enjoyment of residents and visitors in the port of Brixham, the public in general and,
3. in particular, but not exclusively, by sailing the vessel in a traditional manner to other fishing and seafaring communities whenever possible.
Main activities during the year:
The charity’s activities in the year were again disrupted owing to the Covid 19 pandemic.
From January through to March 2021 winter refit work continued on Pilgrim of Brixham and this resulted in the completion of a number of projects to improve vessel resilience. These included the installation of new heads in the guest accommodation, the addition of a Skipper’s cabin and other improvements to ventilation and hygiene. There was also an upgrade to the vessel’s electrical system and a replacement battery bank was installed.
In April and May 2021 sailings were mostly limited to volunteer crew training and day cruises in view of the communal accommodation onboard and the Government guidance in place at the time. Residential sailings were not able to commence until late June and this materially impacted the operational income for the season.
Sailings continued until the normal end of the season in October following which the vessel was moved to Dartmouth for winter security and maintenance.
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## **PILGRIM HERITAGE SAILING FOUNDATION**
**Trustees’ Report (including Directors’ Report) For the year ended 31[st] December 2021**
## Activities for the public benefit undertaken during the year:
The Trustees have paid due regard to the guidance issued by the Charity Commission in deciding what activities the charity should undertake.
**Volunteer Recruitment** – throughout 2021 the Foundation operated entirely with unpaid volunteer effort other than the employed professional vessel skipper. A pool of more than 50 volunteers is maintained to ensure activities are sustainable. Notwithstanding the constraints imposed by the pandemic, our volunteers have continued to enable the administration and operation of the Charity and the crewing and conservation of the vessel.
**Preservation and Maintenance** - the focus has been to secure sufficient skilled local volunteers to preserve and maintain the vessel in a sea-going state for the public benefit. Pilgrim is the oldest surviving sailing trawler built and rigged in the port of Brixham and the Trustees believe the historical and social context is best illustrated by operating the vessel in the way that was prevalent when she was launched in 1895. Although the 2021 season was curtailed the vessel was fully maintained and operational during the period.
**Public Engagement and Education** – the pandemic has meant that our public engagement activities were put on hold although some limited educational programmes were able to be staged. Two groups of students from Dartmouth Academy were able to undertake passages to sea as part of our legacy programme for the Dartmouth Mayflower 400 programme.
**Sailing in the Traditional Manner** – Pilgrim’s home port of Brixham was renowned as ‘the mother of trawling’ during the middle and late Victorian period and sailing trawlers from the port ventured far and wide. An essential part of our mission is to ensure that members of the public in coastal communities in the south west of England and the northwest of France have the opportunity to witness Pilgrim in full sail and also view her close up in their harbours. Regrettably in 2021 sailings to festivals in France were not practical. Activity was limited to sailings to Devon, Cornwall, the Isles of Scilly and the Channel Islands. These included participation in the Falmouth Classics and the Port of Dartmouth Royal Regatta.
The Trustees managed a staged resumption of activities for public benefit through 2021 and are striving to deliver a more comprehensive programme of activities in 2022. In the meantime, the priority has been to safeguard the heritage asset and ensure the solvency of the Charity.
Page | 5
## **PILGRIM HERITAGE SAILING FOUNDATION**
## **Trustees’ Report (including Directors’ Report) For the year ended 31[st] December 2021**
## Achievements and Performance
1. The year has again been challenging for the Trustees and Members of the Charity. In normal circumstances, income is generated throughout the sailing season to finance our conservation and other public benefit activities. In 2021, the shorter season and limited scope for sailings impacted our income.
2. We were successful in applying for discretionary grant support from the Culture Recovery Fund. The Charity also benefited from participation in the Government’s Kickstart Scheme and provided places for two trainees. The result is that we achieved an operating surplus and avoided any depletion of our reserves.
3. The Charity has managed to maintain, protect and conserve our heritage asset and with the help of the Culture Recovery Fund we have undertaken adaptations to the vessel to improve our operating resilience for the future.
4. Concluding the year with our heritage asset fully maintained and operational is another marked achievement. Credit for that goes to our Trustees, members, trainees and professional skipper who have worked tirelessly to keep things going in difficult circumstances. We are also indebted to the National Lottery Heritage Fund for their administration of the primary grant schemes and their support in adversity.
5. The Charity continued its close collaboration with National Historic Ships throughout the year and Foundation representatives participated in national events. These events provide opportunities to exchange best practice, improve skills and training and to engage with other conservation organisations facing similar challenges.
Page | 6
**Trustees’ Report (including Directors’ Report) For the year ended 31[st] December 2021**
## **PILGRIM HERITAGE SAILING FOUNDATION**
## Financial review
In the year to 31[st] December 2021 the charity’s achieved an operating surplus of £15,444. This outcome has been achieved despite the Covid pandemic and has been aided by grant support administered through the Heritage Lottery Fund.
## Structure, Governance and Administration
Pilgrim Heritage Sailing Foundation (the ‘Foundation’) is a private company limited by guarantee with no share capital incorporated in England and Wales (No. 10763532 **)** in May 2017. It is registered as a charity (No. 1175124) with the Charity Commission for England and Wales. It is governed in accordance with the Memorandum and Articles of Association. Under the provisions of Section 60 of the Companies Act 2006, the company is entitled to omit limited from its name.
As set out in the Articles of Association, Trustees are appointed by the members of the charity in general meeting or by the other Trustees. Where the Trustees make an appointment, any newly appointed Trustee must resign and be re-elected by the members at the next general meeting. In addition, one third of the Trustees must retire by rotation at the annual general meeting, those being the longest serving. Trustee vacancies are advertised both to members and the general public and applicants are required to be 16 years of age and over, not disqualified from holding office under Article 39 of the charity’s Articles of Association and must be members of the charity at the time of their appointment and during their period of office. Applicant Trustees receive preappointment briefings, guidance and interviews and on appointment undergo an induction process.
The Board of Trustees meet at least six times a year and additional management meetings take place as required. The Trustees are not remunerated nor are any personal expenses paid. The Foundation only has one employee who is the professional skipper of the heritage sailing vessel Pilgrim of Brixham which is owned and operated by the charity. All of the management and administration of the charity is undertaken by Trustees and volunteers.
## Challenges for the Future
The Trustees recognise the priorities for the future are as follows:
1. To maintain our operational capability and solvency.
2. To broaden the diversity of the volunteer base.
3. To recruit and train volunteer sailing crew to meet operating and compliance requirements.
4. To ensure all necessary steps are taken to preserve and protect the vessel in the long term to continue traditional sailing which will ensure continued public benefit for generations to come.
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **Independent Examiners Report**
## **To the Trustees of the Pilgrim Heritage Sailing Foundation**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31[st] December 2021.
## **Responsibilities and basis of report**
As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination, I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
## **Independent examiner’s statement**
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Fellow of the Institute of Chartered Accounts in England and Wales MJP Accountants LLP.
Unit 109, Torbay Business Centre, Lymington Road, Torquay, Devon, TQ1 4BD
Page | 8
## **PILGRIM HERITAGE SAILING FOUNDATION**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT For the year ended 31[st] December 2021**
|Notes
Income and endowments from:
2
Donations and Legacies
Charitable Activities
Other trading activities
Investments
Other income
**Total Income**
Expenditure on:
3
Raising funds
Charitable activities
Cost of goods sold
Other expenditure
**Total resources expended**
**Net income/(expenditure) for the year**
**Net movement in funds**
**Total funds brought forward**
**Total funds carried forward**|Unrestricted
Funds
£
Restricted
Funds
£
TOTAL
2021
£
TOTAL
2020
£
64,326
-
64,326
49,844
79,507
-
79,507
13,050
996
-
996
1,797
140
-
140
256
1,805
-
1,805
1,338|
|---|---|
||146,774
-
146,774
66,275|
||-
-
-
-
130,542
789
-
130542
789
70,862
1,031
-
-
-
-|
||131,330
-
131,330
71,893|
||15,444
-
15,444
(5,618)|
||15,444
-
15,444
(5,618)|
||171,552
171,552
177,170|
||186,996
-
186,996
171,552|
The Statement of Financial Activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The Statement of Financial Activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
Page | 9
## **PILGRIM HERITAGE SAILING FOUNDATION**
## **BALANCE SHEET As at 31[st] December 2021**
|Notes
Fixed Assets
Heritage assets
4
**Total Fixed Assets**
Current Assets
Stocks
Debtors and Prepayments
7
Cash at bank and in hand
Creditors: amounts falling due
within one year
8
Net Current Assets (liabilities)
Total Assets less Current
Liabilities
Creditors: amounts falling due
after more than one year
**Net Assets**
**Capital and Reserves**
General Reserves
Designated Reserves
Share Capital
10|2021
£
712
29,202
110,447|2021
£
115,973|2020
£
854
14,795
113,041|2020
£
115,973|
|---|---|---|---|---|
|||115,973
71,023||115,973
55,579|
||140,361
(69,338)||128,690
(73,111)||
|||186,996
-||171,552
-|
|||186,996||171,552|
|||155,996
31,000
-||140,552
31,000
-|
|||186,996||171,552|
Page | 10
PILGRIM HERITAGE SAILING FOUNDATION
BALANCE SHEET
As at 31" December 2021
The company is entitled to the exemption from the audit requirement contained in section 477 of
the Companies Act 2006, for the year ended 31 December 2021. No member ofthe company has
deposited a notice, pursuant to section 476, requiring an audit of these accounts.
The Tru5tees' acknowledge their responsibilities for ensuring that the charity keeps accounting
records which comply with section 386 of the Act and for preparing accounts which give a true and
fair view of the state of affair5 of the company as at the end of the financial year and of its incoming
resources and application of resources, including its income and expenditure, for the financial year
in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the
requirements of the Companies Act 2006 relating to atcounts, so far as applicable to the company.
These accounts have been prepared in accordance with the provisions applicable to companies
subject to the small companies, regime.
Th
ounts were approved by the Trustees on Monday 5, September 2022
R Crumpton
Secretary & Treasurer
Company Registration No. 10763532
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31[st] December 2021**
## **1. Accounting policies**
Pilgrim Heritage Sailing Foundation (the ‘Foundation’) was registered as a company and as charity in 2017
## 1.1 Accounting convention
These accounts have been prepared in accordance with FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" ("FRS 102"), "Accounting and Reporting by Charities" the Statement of Recommended Practice for charities applying FRS102, the Companies Act 2006 and UK Generally Accepted Practice as it applies from 1 January 2015. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is necessary to show a true and fair view. The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows. The accounts are prepared in sterling, which is the functional currency of the charity. The accounts have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
## 1.2 Going concern
At the time of approving the accounts the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the accounts.
## 1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are normally set out in the notes to the accounts.
## 1.4 Incoming resources
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Income from donations and grants, is included in incoming resources when these are receivable. Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, VAT and other sales related taxes. Interest receivable is included in investment income when it is receivable by the charitable company.
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31[st] December 2021**
## 1.5 Resources expended
Resources expended are recognised in the Statement of Financial Activities on an accruals basis as the liability is incurred.
## 1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset and is recognised in net income/(expenditure) for the year.
## 1.7 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of any tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## 1.8 Stocks
Stocks are valued at the lower of cost and net realisable value. Where stocks are donated and the net realisable value cannot be readily ascertained they are not valued.
## 1.9 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks and bank overdrafts. Bank overdrafts, if any, are shown within borrowings in current liabilities.
## 1.10 Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. These are initially recognised at transaction value and subsequently measured at their settlement value.
## 1.11 Leases
Rentals payable under operating leases, including any lease incentives received, are charged to income on a straight line basis over the term of the relevant lease.
## 1.12 Heritage assets
Heritage assets consist of the 127 year old historic wooden sailing trawler Pilgrim of Brixham included in fixed assets and stated at deemed cost based on the carrying cost in the previous owners.
Access to the vessel is unrestricted for those electing to volunteer or sail on the vessel. Access for others is facilitated through public and private open days, which number at least ten each year, and through an education programme.
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31[st] December 2021**
## **2. Income**
- The income for 2021 was entirely unrestricted funds.
- There were no gains on disposals of fixed assets or from programme related investments.
- There were no royalties from the exploitation of intellectual property rights.
- There was no income in foreign currencies that was material.
- Grants comprise - DCMS Culture Recovery Fund - £54,600, Government Kickstart Training Grants - £4,500 and Torbay Council Support £600. All grant conditions relating to the period have been fulfilled.
||2021|2020|
|---|---|---|
|**Donations & Legacies**|£|£|
|Donations, gifts and membership subscriptions|3,911|5,008|
|Gift Aid|715|777|
|Legacies|-|-|
|General grants provided by government/other charities|59,700|44,059|
|Donated goods, facilities and services|-|-|
|Other|-|-|
|**Total**|64,326|49,884|
|**Charitable Activities**|||
|Sailing income|79,507|13,050|
|Other|1,805|1,338|
|**Total**|81,311|14,338|
|**Other Trading Activity**|||
|Merchandise|996|1,787|
|Other|-|-|
|**Total**|996|1,787|
|**Investments**|||
|Interest income|140|256|
|Dividend income|-|-|
|Rental and leasing income|-|-|
|Other|-|-|
|**Total**|140|256|
|**TOTAL INCOME**|**146,774**|**66,275**|
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31[st] December 2021**
## **3. Expenditure**
- The expenditure for the year was entirely from unrestricted funds
- There was no expenditure in foreign currencies that was material
- There was no expenditure on fundraising. All expenditure was related to the delivery of charitable activities
|||2021|2020|
|---|---|---|---|
|**Charitable Activities**|Notes|£|£|
|Sailing vessel operating and maintenance||77,852|23,323|
|Staff|6|39,966|33,461|
|Cost of goods sold||789|1,031|
|Office||4,392|4,845|
|Professional||8,331|9,233|
|**TOTAL EXPENDITURE**||**131,330**|**71,893**|
## **4. Fixed Assets**
## 4.1 Tangible and Intangible Assets
Other than the Heritage Assets, the charity did not have any Tangible or Intangible Assets during the year with a value in excess of the £1000 capitalisation threshold which the Trustees have adopted and which were to be utilised beyond the current year.
## 4.2 Heritage Assets
At 31[st] December 2021 £115,973
The heritage assets are the 1895 historic wooden sailing trawler Pilgrim of Brixham and her associated fixtures and fittings. Pilgrim is a registered member of the UK National Historic Fleet and is judged to be of pre-eminent regional and national significance in the type of vessel, the sailing trawler, which changed the nature of deep-sea fishing in the nineteenth century. Pilgrim was fully restored between 2009 and 2013 with the support of grants from the National Heritage Memorial Fund. The fund has a charge over the vessel until 2038.
The Trustees are of the view that no impairment charge is required given:
- a. the completion of a full restoration to the satisfaction of the National Heritage Memorial Fund in 2013;
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31[st] December 2021**
- b. the subsequent extensive preservation and maintenance undertaken by the Pilgrim Preservation Project Ltd (see note 4) between 2013 and 2017;
- c. the continuing preservation and maintenance work undertaken by the charity in between 2018 and 2021; and
- d. the successfully interim inspection undertaken in April 2021 by surveyors for the continuation of the vessel’s UK Maritime and Coastguard Agency Small Commercial Sailing Vessel category 2 coding.
## **5. Employees**
The number of paid employees during the year ended 31[st] December 2021 whose total employee benefits (excluding employer pension costs fell between £10,000 and £60,000 was as follows:
£10,000 to £20,000 0 £20,000 to £30,000 1 £30,000 to £40,000 0 £40,000 to £50,000 0 £50,000 to £60,000 0
No paid employees received total employee benefits in excess of £60,000. The average number of paid employees during the year was 2. There is no prior year comparative.
## **6. Trustees**
None of the Trustees (or any persons connected with them) received any remuneration or benefits from the Charity during the year. There is no prior year comparative.
## **7. Debtors and Prepayments**
|**Debtors and Prepayments**||
|---|---|
|Trade debtors
Prepayments and accrued income
Other debtors
TOTAL|2021
2020
£
£
23,368
8,744
5,118
5,866
715
185|
||29,202 14,795|
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## **PILGRIM HERITAGE SAILING FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31[st] December 2021**
## **8. Creditors and accruals**
|**Creditors and accruals**||
|---|---|
|Trade creditors
Accruals and deferred income
Taxation and social security
TOTAL|2019
2020
£
£
867
609
69,512
73,544
(1,042) (1,042)|
||69,338
73,111|
Deferred income represents amounts paid in one period where the service to be provided is in a subsequent period and where there is an obligation to refund amounts paid if the service is not delivered. This applies to amounts received for sailing in a period prior to the sailing taking place.
## **9. Related Party Transactions**
There have been no related party transactions in the year.
## **10. Share Capital**
The Company was incorporated as a company limited by guarantee and does not have a share capital.
Page | 17