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2020-12-31-accounts

The Sisters of Providence of Ruillé-sur-Loir CIO

Annual Report and Accounts

31 December 2020

Charity Registration Number 1177083

Contents

Reports
Reference and administrative information 1
Trustees’ report 2
Independent auditor’s report 16
Accounts
Statement of financial activities 21
Balance sheet 22
Statement of cash flows 23
Principal accounting policies 24
Notes to the accounts 30

The Sisters of Providence of Ruillé-sur-Loir CIO

Trustees’ report Year to 31 December 2020

Trustees Sister Ann Heaney
Sister Gillian Murphy
Sister Eileen Keane
Principal contact Sister Gillian Murphy
Principal address 65 Nettleham Road
Lincoln
LN2 1RT
Charity registration number 1177083
Auditor Buzzacott LLP
130 Wood Street
London
EC2V 6DL
Principal bankers Lloyds Bank plc
202 High Street
Lincoln
LN5 7AP
Investment managers Barclays Wealth Management Limited
1 Churchill Place
London
E14 5HP
Solicitors Gateley plc
One Eleven
Edmund Street
Birmingham
B3 2HJ
mfg Solicitors
Adam House
Birmingham Road
Kidderminster
DY10 2SH

The Sisters of Providence of Ruillé-sur-Loir CIO 1

Trustees’ report Year to 31 December 2020

The trustees present the report and accounts of The Sisters of Providence of Ruillé-sur-Loir CIO (the ‘charity’) for the year ended 31 December 2020.

The accounts have been prepared in accordance with the accounting policies set out on pages 24 to 29 of the attached accounts and comply with the charity’s trust deed, applicable laws and the requirements of Statement of Recommended Practice on 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 United Kingdom and Republic of Ireland (FRS 102).

Introduction

The Institute of The Sisters of Providence of Ruillé-sur-Loir (the ‘Institute’) is an international Congregation of Roman Catholic women founded in the aftermath of the French Revolution in the small village of Ruillé-sur-Loir in the diocese of Le Mans, in France. At the end of that century, because legislation in France was becoming anti-clerical and anti-religious, some of the sisters came to England to carry out their work. The Institute continued to spread to other countries during the following century, first to Belgium and the Netherlands, then to Sri Lanka and Madagascar. These countries now comprise separate Regions of the Institute.

Since its foundation in 1806, the Institute’s purpose has continued to be to serve people, principally through education and health care, thereby enabling them to grow as people, live with dignity and self worth, and help others to do so in their turn. During 2015 the Institute fused with a smaller Congregation of Sisters of Providence of Sees. This Congregation of some 40 elderly French sisters has now become part of the Institute. The Institute now numbers about 280 members spread through the above countries. The Institute, with its Generalate in Le Mans, has always been outward looking and each Region shares in the mission undertaken in any part of the world where the sisters are present.

The accounts accompanying this report are the accounts of the charity through which the activities and assets of the Institute in England are administered. The charity is a Charitable Incorporated Organisation (CIO) and is governed by a constitution dated 9 February 2018 and is registered under the Charities Act 2011 – Charity Registration Number: 1177083.

Mission

The object of The Sisters of Providence of Ruillé-sur-Loir CIO is to advance the religious and other charitable work of the sisters of the Institute.

By caring for individual members of the Institute throughout their lives within the Institute, the charity aims to enable and support the sisters to live out their faith and to put that faith into practice through a variety of religious and other charitable works.

When setting the objectives and planning the work of the charity, and when encouraging the work of individual sisters, the trustees have given careful consideration to the Charity Commission’s guidance on public benefit.

The Sisters of Providence of Ruillé-sur-Loir CIO 2

Trustees’ report Year to 31 December 2020

Mission (continued)

The works or ministries of the sisters of the Institute fall into the following main areas:

Members of the Institute are given the opportunity for private worship and to continue to develop their knowledge and trust in Jesus and the Church through quiet prayer, study of the Gospel and spiritual development. In addition, members of the Institute celebrate and pray with the wider community including people of all faiths and none. They do this through the provision of spiritual guidance or by just being available to listen in times of need, through the giving of retreats and the celebration of the Liturgy through prayer groups and church services.

Activities, specific achievements and relevant policies

Activities and specific achievements

As stated above under “Mission”, the aims of the charity are to care for individual members of the Institute throughout their lives with the Institute and so enable and support them to live out their faith and to put that faith into practice through a wide variety of religious and other charitable works.

There are currently seven sisters in England, and a sister on the General Council in France who divides her time between England and the rest of the Congregation. The Sri Lankan Sister who was in Lincoln returned to her country upon the expiration of her visa.

Currently, all of the sisters live in Lincoln following two of the sisters moving from London during the year.

In common with many religious congregations in England, the age profile of the members of the Institute is increasing as existing members grow older and the number of new vocations declines.

The Institute has an obligation, both moral and legal, to provide care for its members, none of whom have resources of their own, and all of whom have devoted most of their lives to education and the care of other people.

The Sisters of Providence of Ruillé-sur-Loir CIO 3

Trustees’ report Year to 31 December 2020

Activities, specific achievements and relevant policies (continued)

Activities and specific achievements (continued)

As the age profile of the Institute increases, so too does the need to provide extra care for the sisters. With this already necessary, the trustees of the charity are giving careful thought to the financial implications.

During this year, in particular, the health of some of the Sisters has diminished rapidly, partly due to the restrictions imposed by the COVID pandemic but also because of dementia for one sister. Because of these issues, we have looked at the way in which we support the elderly and vulnerable sisters in the communities. As a result, Sisters in London who were living in unsuitable accommodation moved to Lincoln into a retirement apartment more suited to their needs. The church is across the road and all other commodities including a medical practice are within short walking distance. With the arrival of the two sisters in Lincoln the sisters in the other community have been able to be supported and given respite. This has been particularly necessary since one Sister is now dependent and very confused. The mental health of this Sister has been aggravated because of the COVID lockdown, since she has not been able to keep up with her usual activities nor benefit from the therapeutic activities on offer in Lincoln for people with dementia. This has obviously put a strain on the remaining elderly sisters in the community who have to give extra help and support. The services of the housekeeper have been essential during the last year, as well as the care from social services providing morning and evening care. We are enormously grateful to the volunteers who help with certain tasks and visits to alleviate the pressure.

As well as providing the necessary means for the sisters to fulfil their spiritual obligations and needs, the sisters celebrate and pray with the wider community including people of other faiths and none. They do this through the provision of spiritual guidance or just being available to listen in times of need, and by joining with the public in Liturgical Celebrations in the local Catholic Parish Church or Anglican Churches. Due to the COVID pandemic it has not been possible to be physically present at many of the public celebrations this year, but the Sisters have remained in contact and prayed with parishioners and others through Zoom, the telephone and through correspondence.

The Sisters of Providence of Ruillé-sur-Loir CIO

4

Trustees’ report Year to 31 December 2020

Activities, specific achievements and relevant policies (continued)

Activities and specific achievements (continued)

Parishioners ring up with prayer requests and the sisters ensure that parishioners know that they are included in the thoughts and prayers of the sisters, thus bringing much consolation to people in need at this time.

A Sister in her 80s sums up this situation; “Having trained ourselves to use Zoom, we have been able to meet with and pray with our sisters and other contacts, not forgetting more frequent use of the telephone and social media to support those in need.”

The sisters particularly value their ecumenical and interfaith relationships and activities. Although the pandemic prevented the Sisters from meeting up with the Council for Christians and Jews in Lincoln they kept in touch and celebrated feasts using Zoom and other social media.

Jews House, Lincoln

They maintain contacts with other networks, particularly concerned with Religious Life both at diocesan and national level.

“Our activities with the Association of Senior Religious were also affected. The National Conference was cancelled and the committee of which one of the sisters is a member had to communicate with each other by mastering Zoom. We also continued to produce the Newsletter for the animation of the members.”

The Sisters of Providence of Ruillé-sur-Loir CIO 5

Trustees’ report Year to 31 December 2020

Activities, specific achievements and relevant policies (continued)

Activities and specific achievements (continued)

The sisters’ vocation calls them to “witness to the love and goodness of the Father.” This they do in their various ministries following the example of their Founders and in line with the charism and aims of the Institute. These ministries can be divided into specifically religious works and general pastoral work.

Religious works

Religious works include:

The ministry in local parishes ranges from full time to part time work, with the underlying intention of helping parishioners develop their spiritual lives while giving them any other support they need in their day to day living. Sisters are heavily involved in parish work. For example, they help bereaved, grieving members of the parish to prepare the funeral services for their deceased relatives, whilst accompanying them at these difficult moments. They also care for the elderly members of the parishes through visiting, taking Holy Communion and bringing isolated people together to socialise and enjoy some time together, although this mission has been curtailed for much of the year. One Sister commented; “Visits to the elderly in care homes had to be conducted from a Perspex kiosk!”

Despite the pandemic, the Sisters have been able to maintain this pastoral care through the use of the telephone and social media. Sisters have also been present, where possible, at the funerals of parishioners and at the request of bereaved families, due to the limit on numbers being able to attend.

Increasingly, because of loneliness and mental health issues related to the isolation of COVID, the Sisters have been more involved in accompaniment of certain individuals over the telephone. Even the carers who look after the Sisters have sought guidance from them.

The Sisters of Providence of Ruillé-sur-Loir CIO 6

Trustees’ report Year to 31 December 2020

Activities, specific achievements and relevant policies (continued)

Activities and specific achievements (continued)

General pastoral work

This area of work includes:

One sister continues to work within the NHS with children and families with learning disabilities. This year she has been called on to work in more creative ways because of the risks the pandemic poses to the young people who are extremely vulnerable, and, who, for the most part, have had to shield for most of the time. This has had important consequences for the education and the development of the young people concerned and has placed enormous strain on the families. Therefore interventions from nursing and other professionals have been more important, more frequent and more complicated.

One of the consequences of the pandemic has been the increase in people who find themselves in poverty. The Sisters have been able to help with donations to foodbanks and donations of furniture and other materials to poor families as a consequence of their move from London to Lincoln.

The Sisters of Providence of Ruillé-sur-Loir CIO 7

Trustees’ report Year to 31 December 2020

Activities, specific achievements and relevant policies (continued)

Activities and specific achievements (continued)

Also part of obligation to care for members is the requirement to support the members of the Institute in the other regions when this is needed, particularly in the southern hemisphere.

Here is the report from the Sister who is responsible for the Counselling centre funded, in part, by the English region.

Counselling Centre Tewatte, Ragama

Currently, we are aware of the significant need to help the people who have mental health problems in our society. In 2015 we started serving the mentally distressed in a small room in our convent and as a result hundreds of people restarted their lives and are functioning well today.

The need for a counselling centre was then discerned when the number seeking help gradually increased for different issues in their lives. The need for a waiting room, toilet facilities for the clients, some space for a child to wait until their parent or guardian had their appointment were among the priorities.

The building of the Counselling centre was then planned and started on 26 June 2019 in our convent grounds in Tewatta, Ragama. Today the building work is finished and we have managed to start practicing counselling in this new building. With all of your very generous

contributions we managed to establish our “MANPURA (The Joyful Mind) Counselling Centre” on 9 July 2020.

The waiting area is a huge convenience for clients to come and wait for their appointments, especially for the those who travel from far (they usually arrive very early in the morning).

The privacy they have here of not being noticed by

anyone has been admired by them, and the silent atmosphere helps further.

The washrooms are for their use, there are different doors to exit, play room for the babies, office room for the books and files, a kitchenette to make a cup of tea etc…. all of which helps so much for the mission.

The Sisters of Providence of Ruillé-sur-Loir CIO

8

Trustees’ report Year to 31 December 2020

Activities, specific achievements and relevant policies (continued)

Investment policy

Under the charity’s constitution, the trustees may invest in any investments authorised by law. During the year, charity’s investments were managed by Barclays Wealth Management Limited.

The charity’s investment policy is to maintain a balanced return from both income and capital with a medium level of risk. The trustees, on the advice of the professional and lay advisers, review the policy annually. The trustees believe that the social and Gospel values of the Catholic Church should be present in the manner in which money is invested and in the way it is used to enhance the development of the charity and the achievement of its objectives. Investments are to be ethically chosen, whilst being mindful of the Charities Act requirement to seek the best possible returns. To achieve this we maintain a diversified investment portfolio.

The performance of the portfolio and the charity’s investment strategy have been reviewed by the trustees whose representatives meet with the investment managers every six months.

As the sisters are members of a religious congregation and have taken a vow of poverty, any rights they might have to assets and income have been given over to the Institute which, therefore, is responsible for their upkeep and well-being.

The charity has been putting aside monies in a “Pension Scheme” (deferred annuity contracts) for each sister over the last twenty or more years. The scheme provider is Phoenix Life (previously Royal Insurance Company Limited).

Under the terms of the contract, on a member of the scheme reaching the age of 65, the charity may receive either an agreed (guaranteed) basic annuity (pension) over the remaining life of the scheme member together with any bonuses attaching thereto, or receive a cash option in exchange for the ‘pension’.

Financial review

Results for the year

A summary of the results for the year to 31 December 2020 can be found on page 21 of this report and accounts.

Total income amounted to £214,355 (2019: £254,973 before the transfer of net assets from the Charitable Trust). Total salaries and pensions income included within donations in the period amounted to £117,944 (2019: £107,870). All salaries and pensions are covenanted to the charity. Investment income and interest receivable totalled £95,861 (2019: £137,289).

The Sisters of Providence of Ruillé-sur-Loir CIO 9

Trustees’ report Year to 31 December 2020

Financial review (continued)

Results for the year (continued)

The transfer (or donation) of the assets and liabilities of the Charitable Trust with effect from 1 January 2019 provided income of £5,205,956 to give total income in 2019 of £5,460,929.

Expenditure totalled £177,514 (2019: £297,070). Expenditure incurred on maintaining the members of the Institute and supporting them in their pastoral work and ministry amounted to £137,145 (2019: £138,003). Fees paid to the charity’s investment managers during the year amounted to £31,020 (2019: £31,569). Charitable grants and donations amounted to £9,349 (2019: £127,498). In 2019 these donations were principally in support of the overseas work of the Institute,

Net income for the year before investment gains, therefore, was £36,841 (2019: £5,163,859). Net investment gains of £119,705 (2019: £576,412) resulted in a net increase in funds for the period of £156,546 (2019: £5,740,271).

Investment performance

The investment managers continue to be guided by the trustees’ investment policy set out earlier in this report.

During the period, the charity’s investments achieved an income yield of 2.1% (2019: 3.22%) and a capital yield of 2% (2019: 14%). Further details of the investment portfolio are included in note 12 to the attached accounts.

The trustees take a long term view and believe their investment policy should continue to be applied.

Reserves policy and financial position

Reserves policy

The reader will discern from the foregoing that the charity carries out a diverse range of activities and is responsible for care and support of the religious members whose average age is increasing and whose needs are changing.

The trustees have examined the need for free reserves i.e. those unrestricted funds not invested in tangible fixed assets, designated for specific purposes, or otherwise committed. In considering the level of reserves, trustees take into account forecasts of future income and expenditure, potential needs and risks, and the need to ensure the continuity of activity. In particular, at the current time, the reserves need to be sufficient to enable the charity to operate in the exceptional circumstances created by the Covid-19 pandemic.

Given the nature of the charity’s work and the increasing, often unpredictable, call on its resources to provide continuing essential care to its members, especially those impaired by age and illness, the trustees believe that the level of free reserves may be up to thirty six months’ worth of expenditure without giving rise to concern.

The Sisters of Providence of Ruillé-sur-Loir CIO 10

Trustees’ report Year to 31 December 2020

Financial review (continued)

Reserves policy and financial position (continued)

Financial position

At 31 December 2020, the charity had net assets totalling £5,896,817 (2019: £5,740,271). Of this, £838,165 (2019: £680,540) was represented by properties and other tangible fixed assets essential for the support and work of the sisters. £3,350,000 (2019: £3,200,000) represented a retirement reserve designated to provide an income to maintain the sisters as they grow older. £171,341 (2019: £350,000) had been set aside as a property repair and replacement fund to be used to purchase and modify properties to accommodate older and frail sisters.

Community funds being the cash and bank balances held by communities and designated or set aside to meet their day-to-day costs amounted to £91,846 (2019: £78,610).

The trustees have also set aside £850,000 (2019: £650,000) in a Financing and Congregational fund with the broad intention to use the fund for making donations including contributions to the Congregation’s work overseas. It is expected that the money will continue to be invested and income from this fund will be used to fund future donations.

Therefore, at 31 December 2020, funds which are available to support the work of the sisters in the future are those shown on the balance sheet as general funds and total £595,465 (2019: £781,121). The trustees are of the opinion that this level of free reserves was adequate but not excessive. In particular, the level of reserves is deemed sufficient when considered in the light of the uncertainties arising due to the Covid-19 pandemic.

Future plans

The trustees plan to continue to care for the sisters as long as possible and enable them to carry out their pastoral work and ministry. Focus will continue to be given to assisting and caring for the elderly, the poor and the marginalised and reaching out to as many as possible in the way of evangelising; and to monitoring the needs of the sisters as they grow older and to ensuring the provision of care to elderly members.

Paying due heed to the impact of the Covid-19 pandemic and its consequences, both socially and economically, we will continue to work towards the good stewardship of the monies we are receiving for the present and the future.

Governance, structure and management

In terms of Canon Law, the Institute is governed by a Superior General and General Council elected at a six-yearly General Chapter made up of representatives elected by all the professed members of the Institute. Being too small to be divided into Provinces, the Institute was divided into three geographical Regions: Sri Lanka and Madagascar each with a Regional Superior and her three councillors and the European Region (comprising England, Belgium, France and the Netherlands) with a Delegate appointed from each of these countries. England, now part of the Region of Europe, is financially autonomous.

The Sisters of Providence of Ruillé-sur-Loir CIO 11

Trustees’ report Year to 31 December 2020

Governance, structure and management (continued)

In terms of civil law, the charity is governed by three trustees appointed having regard to their years of experience. Those now holding office have all been involved in teaching and the administration of educational establishments, subsequently widening their experience in other pastoral activities. Trustees are appointed for three yearly terms to ensure renewal and balance of competence. They attend conferences on charity law and other topics relevant to the charity’s activities.

The names of the trustees who served during 2020 are set out on page 1 of this annual report and accounts.

The trustees for the time being shall automatically be the members of the CIO. The members are responsible for the appointment of new trustees.

If the CIO is wound up, the members of the CIO have no liability to contribute to its assets and no personal responsibility for settling its debts and liabilities.

Statement of trustees’ responsibilities

The trustees are responsible for preparing the trustees’ report and accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare accounts 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 application of resources of the charity for that period. In preparing these accounts, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Charities Act 2011, applicable Charity (Accounts and Reports) Regulations 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 prevention and detection of fraud and other irregularities.

The Sisters of Providence of Ruillé-sur-Loir CIO 12

Trustees’ report Year to 31 December 2020

Governance, structure and management (continued)

Key management

The trustees consider that they comprise the key management of the charity in charge of directing and controlling, running and operating the charity on a day to day basis.

All trustees are members of the Institute and whilst their living and personal expenses are borne by the charity they receive no remuneration or reimbursement of expenses in connection with their duties as trustees or work as key management.

Risk management

The trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances, and are satisfied that systems are in place to mitigate exposure to these risks.

The outbreak of the Covid-19 pandemic has clearly presented the charity with challenges to its activities which could not have been foreseen. The trustees recognise their responsibility for the management of risks faced by the charity, the Institute in England and its individual members.

The trustees continue to review and update the charity’s risks. This process is deemed particularly important during the current Covid-19 pandemic.

The financial and operational effects of Covid-19 are referred to earlier in this report. Over and above these, the areas identified for particular attention within our risk management strategy are:

Key elements of the management of this risk are: (a) ensuring that the charity has the available financial resources to finance this care both now and in the years ahead by setting aside assets in a designated fund, the value of which has been based on actuarial principles; and (b) ensuring that processes are in place to review regularly the ministries and needs of individual sisters encouraging those who need it to take on less demanding ministries and for identifying those who need extra care and help.

The Sisters of Providence of Ruillé-sur-Loir CIO 13

Trustees’ report Year to 31 December 2020

Governance, structure and management (continued)

Risk management (continued)

Having assessed the major risks to which the charity is exposed, the trustees believe that by monitoring reserve levels, by ensuring controls exist over key financial systems, and by examining the operational and business risks faced, they have established effective systems to mitigate those risks including those presented by Covid-19.

Fundraising policy

The charity aims to achieve best practice in the way in which they communicate with donors and other supporters. Care is taken with both the tone of communications and the accuracy of data to minimise the pressures on supporters. Best practice is applied to protect supporters’ data and data is never sold, swapped and communication preferences can be changed at any time. The charity manages its own fundraising activities and does not employ the services of Professional Fundraisers. The charity undertakes to react to and investigate any complaints regarding fundraising activities and to learn from them. During 2020, the charity received no complaints about its fundraising activities.

The Sisters of Providence of Ruillé-sur-Loir CIO 14

Trustees’ report Year to 31 December 2020

Members of the Institute

The trustees wish to record their recognition of the professionalism and commitment of individual members of the Institute. Their dedication and positive approach are very much appreciated.

Approved by the trustees and signed on their behalf by:

Gillian Murphy

Trustee

Approved by the trustees on: 27 July 2021

The Sisters of Providence of Ruillé-sur-Loir CIO 15

Independent auditor’s report 31 December 2020

Independent auditor’s report to the trustees of The Sisters of Providence of Ruillé-sur-Loir CIO

Opinion

We have audited the accounts of The Sisters of Providence of Ruillé-sur-Loir CIO for the year ended 31 December 2020, which comprise the statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies and notes to the accounts. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the accounts:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the accounts section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the accounts 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 to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the accounts, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the accounts 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 significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the accounts are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

The Sisters of Providence of Ruillé-sur-Loir CIO 16

Independent auditor’s report 31 December 2020

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the Annual Report and Accounts, other than the accounts and our auditor’s report thereon. Our opinion on the accounts does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the accounts, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the accounts or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the accounts or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement, the Trustees are responsible for the preparation of the accounts and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of accounts that are free from material misstatement, whether due to fraud or error.

In preparing the accounts, the Trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

The Sisters of Providence of Ruillé-sur-Loir CIO 17

Independent auditor’s report 31 December 2020

Auditor’s responsibilities for the audit of the accounts

Our objectives are to obtain reasonable assurance about whether the accounts 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 economic decisions of users taken on the basis of these accounts.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect to irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

How the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the charity’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

The Sisters of Providence of Ruillé-sur-Loir CIO 18

Independent auditor’s report 31 December 2020

Auditor’s responsibilities for the audit of the accounts (continued)

How the audit was considered capable of detecting irregularities including fraud (continued)

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

We did not identify any irregularities, including fraud.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

The Sisters of Providence of Ruillé-sur-Loir CIO 19

Independent auditor’s report 31 December 2020

Use of this report

This report is made solely to the charity’s Trustees, as a body, in accordance with section 144 of the Charities Act 2011 and with regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity’s Trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Buzzacott LLP 29 July 2021 Statutory Auditor 130 Wood Street London EC2V 6DL

Buzzacott LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

The Sisters of Providence of Ruillé-sur-Loir CIO 20

Statement of financial activities Year to 31 December 2020

Notes
2020
Total
funds
£		 2019
Total
funds
£
Income from:
Donations and legacies
1
Investments and interest receivable
2
Other sources
. Surplus on disposal of tangible fixed assets
3
. Miscellaneous
Transfer from The Sisters of Providence of Ruillé-sur-Loir
Charitable Trust (Charity Registration No. 232363)
21
Total income
Expenditure on:
Raising funds
. Investment management fees
Charitable activities
. Support of members of the Institute and their ministry
4
. Charitable grants and donations
5
Total expenditure
Net income before investment gains
Net investment gains
12
Net movement in funds
7
Reconciliation of funds:
Funds balances at 1 January 2020
Funds balances at 31 December 2020
118,244

95,861

—
250		 113,503
137,289
1,374
2,807
214,355

—		 254,973
5,205,956
214,355 5,460,929
31,020

137,145

9,349		 31,569
138,003
127,498
177,514 297,070
36,841

119,705		 5,163,859
576,412
156,546
5,740,271		 5,740,271
—
5,896,817 5,740,271

All income and expenditure related to unrestricted funds in both of the above accounting periods.

With effect from 1 January 2019, the activities, assets and liabilities were transferred as a going concern into this Charitable Incorporated Organisation (CIO) from The Sisters of Providence of Ruillé-sur-Loir Charitable Trust (Charity Registration No. 232363)

All recognised gains and losses are included in the above statement of financial activities.

The Sisters of Providence of Ruillé-sur-Loir CIO 21

Balance sheet 31 December 2020

Notes 2020
£		 2020
£		 2019
£		 2019
£
Fixed assets
Tangible assets
11
Investments
12
Current assets
Debtors
14
Short term deposits
Cash at bank and in hand
Current liabilities
Creditors: amounts falling due
within one year
15
Net current assets
Total net assets
The funds of the charity
Unrestricted income funds
. Tangible fixed assets fund
16
. Designated funds
17
. General funds		 3,051
169,126
268,637		 838,165
4,658,527		 6,150
169,058
348,666		 680,540
4,569,697
5,496,692
400,125		 5,250,237
490,034
440,814
(40,689)		 523,874
(33,840)
5,896,817 5,740,271
838,165
4,463,187
595,465		 680,540
4,278,610
781,121
5,896,817 5,740,271

Approved by the trustees and signed on their behalf by:

Gillian Murphy

Trustee

Approved on: 27 July 2021

The Sisters of Providence of Ruillé-sur-Loir CIO 22

Statement of cash flows Year to 31 December 2020

A Notes
2020
£		 2019
£
Cash flows from operating activities:
Net cash used in operating activities
A
Cash flows from investing activities:
Investment income and interest received
Proceeds from the disposal of tangible fixed assets
Purchase of tangible fixed assets
Proceeds from the disposal of investments
Purchase of investments
Net cash (used in) provided by investing activities
Change in cash and cash equivalents in the period
Cash transferred from The Sisters of Providence of Ruillé-Sur-Loir
Charitable Trust (note 21)
Cash and cash equivalents at 1 January 2020
Cash and cash equivalents at 31 December 2020
B
**(31,098) **		 (165,697)


101,571
—
(181,309)
822,283
**(758,188) **		 131,139
1,374
(10,750)
1,256,889
(1,207,396)
**(15,643) ** 171,256

(46,741)

—
565,052
 5,559
559,493
—

518,311		 565,052
Notes to the statement of cash flows for the period to 31 December 2020
Reconciliation of net movement in funds to net cash used in operating activities
2020
£		 2019
£
Net movement in funds (as per the statement of financial activities)
Adjustments for:
Transfer from The Sisters of Providence of Ruillé-Sur-Loir
Charitable Trust (note 21)
Depreciation charge
Gains on investments
Investment income and interest receivable
Surplus on disposal of tangible fixed assets
(Decrease) increase in debtors
Increase (decrease) in creditors
Net cash used in operating activities		 156,546
—
23,684
(119,705)
(95,861)
—
(2,611)
6,849		 5,740,271
(5,205,956)
20,955
(576,412)
(137,289)
(1,374)
1,754
(7,646)
(31,098) (165,697)

B Analysis of cash and cash equivalents

Analysis of cash and cash equivalents
2020
£		 2019
£
Short term deposits
Cash at bank and in hand
Cash held by investment managers
Total cash and cash equivalents		 169,126
268,637
80,548		 169,058
348,666
47,328
518,311 565,052

The Sisters of Providence of Ruillé-sur-Loir CIO 23

Principal accounting policies 31 December 2020

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below.

Basis of preparation

These accounts have been prepared for the period to 31 December 2020 with comparatives given for the year to 31 December 2019.

The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.

The accounts have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (Charities SORP FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The charity constitutes a public benefit entity as defined by FRS 102.

The accounts are presented in sterling and are rounded to the nearest pound.

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the trustees to make significant judgements and estimates.

The only areas in the accounts where such judgements and estimates have been made are in respect to:

Assessment of going concern

The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The trustees have made this assessment in respect to a period of at least one year from the date of approval of these accounts.

The Sisters of Providence of Ruillé-sur-Loir CIO 24

Principal accounting policies 31 December 2020

Assessment of going concern (continued)

The full impact on the charity’s income and expenditure and financial position following the global Covid-19 pandemic is still unknown. Since March 2020 the Covid-19 pandemic has changed the shape and nature of the world. It has impacted not only the basic nature of the social interactions but has also had a significant economic impact at every level in ways which have been outside of the charity’s control.

As most of the members of the Institute in England are aged over 70, the trustees have had to adhere to the stringent government advice issued on 23 March 2020. This has meant that the sisters’ normal apostolic activities have had to find new shape.

The charity’s income has been affected because of the falls in income from listed investments as stock markets and the corporate sector, in particular, have reacted to the pandemic. The trustees will continue to keep both income and expenditure under review.

During the current Covid-19 pandemic, the trustees continue to communicate with their investment managers and, whilst there are concerns over the volatility in world stock markets, they acknowledge also that the charity is a long term investor. As such, the charity will be able to wait for markets to stabalise over time whilst the trustees keep a watching brief.

Undoubtedly there will continue to be challenges ahead but the trustees do not expect material concerns to arise over the charity’s financial position or going concern. The trustees have concluded that the charity will have sufficient resources to meet its liabilities as they fall due.

Income recognition

Income is recognised in the period in which the charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received.

Income comprises donations, investment income, interest receivable, the surplus on disposal of tangible fixed assets and other income.

Donations, including salaries and pensions of individual religious received under Gift Aid or deed of covenant, are recognised when the charity has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.

The Sisters of Providence of Ruillé-sur-Loir CIO 25

Principal accounting policies 31 December 2020

Income recognition (continued)

Investment income is recognised once the dividend or relevant income has been declared and notification has been received of the amount due.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

The surplus on the disposal of tangible fixed assets is calculated as the difference between the disposal proceeds net of disposal costs and the net book value of the asset immediately prior to disposal. It is accounted for once legal completion of the disposal has taken place.

All other income is recognised to the extent that it is probable that the economic benefits will flow to the charity and the revenue can be measured reliably. It is measured at fair value and accounted for on an accruals basis.

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. Expenditure comprises direct costs and support costs. All expenses, including support costs, are allocated or apportioned to the applicable expenditure headings. The classification between activities is as follows:

Charitable grants and donations are made where the trustees consider there is real need following a review of the details of each particular case and comprise single year payments rather than multi-year grants. Grants and donations are included in the statement of financial activities when approved for payment. Provision is made for grants and donations approved but unpaid at the period end.

Grants payable are included in the statement of financial activities when approved and when the intended recipient has either received the funds or been informed of the decision to make the grant and has satisfied all performance conditions. Grants approved but not paid at the end of the financial year are accrued. Grants where the beneficiary has not been informed or has to fulfil performance conditions before the grant is released are not accrued for but are disclosed as financial commitments in the notes to the accounts.

All expenditure is stated inclusive of irrecoverable VAT.

The Sisters of Providence of Ruillé-sur-Loir CIO 26

Principal accounting policies 31 December 2020

Support and governance costs

Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the charity it is necessary to provide support in the form of personnel development, financial procedures, provision of office services and equipment and a suitable working environment.

Governance costs comprise the costs involving the public accountability of the charity (including audit costs) and costs in respect to its compliance with regulation and good practice.

All expenditure on support and governance is attributed directly to the charitable activity of supporting members of the Institute and enabling their ministry as any support and/or governance costs in relation to the provision of donations and grants is considered to be negligible.

Pension costs

The charity contributes to two pension arrangements for its members. A deferred annuity contract and a stakeholder contract, both of which are defined contribution pension schemes. Contributions in respect to both defined contribution schemes are charged to the statement of financial activities as they fall due.

Tangible fixed assets

All assets costing more than £2,000 and with an expected useful life exceeding one year are capitalised.

 Land and buildings

Freehold land and buildings owned by the charity since 1 January 1996 are included on the balance sheet at their estimated valuation as at that date net of accumulated depreciation. The valuations were determined by the trustees with professional assistance on the basis of replacement cost for existing use. Under the transitional provisions of FRS 102, these valuations are now regarded as deemed cost. Additions to freehold land and buildings since that date are included at cost.

Expenditure on the purchase and replacement of fixtures and fittings is capitalised and depreciated over a five year period, based on the estimated useful life of the asset, on a straight line basis.

 Motor vehicles

Motor vehicles are capitalised and depreciated over a four-year period, on a straight line basis, in order to write off the cost of each vehicle over its estimated useful life.

The Sisters of Providence of Ruillé-sur-Loir CIO 27

Principal accounting policies 31 December 2020

Investments

Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price.

The charity does not acquire put options, derivatives or other complex financial instruments.

As noted above the main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.

Realised gains (or losses) on investment assets are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value is acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise.

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Deposits for more than three months but less than one year have been disclosed as short term deposits. Cash placed on deposit for more than one year is disclosed as a fixed asset investment.

Creditors and provisions

Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material.

Fund accounting

The charity’s funds comprise a number of unrestricted income funds which are available for application towards the charity’s objectives. Within unrestricted funds the trustees have identified those non-liquid funds represented by tangible fixed assets and have designated certain amounts for specific purposes. Details of these funds are given in notes 16 and 17 to the accounts.

The Sisters of Providence of Ruillé-sur-Loir CIO 28

Principal accounting policies 31 December 2020

Services provided by members of the Institute

For the purposes of these accounts, no value has been placed on administrative and other services provided by the members of the Institute.

The Sisters of Providence of Ruillé-sur-Loir CIO 29

Notes to the accounts 31 December 2020

1 Income from: Donations and legacies

2 2020
£		 2019
£
Salaries and other pensions of individual religious received under Gift
Aid or Deed of Covenant
Donations		 117,944
300		 107,870
5,633
118,244 113,503
Income from: Investments and interest receivable 2020
£		 2019
£
Income from listed investments
Interest receivable
. Bank interest		 95,746
115		 137,130
159
95,861 137,289
3 Income from: Surplus on disposal of tangible fixed assets 2020
£		 2019
£
Disposal of motor vehicles — 1,374
4 Expenditure on: Support of members of the Institute and their ministry
2020
£
Premises
37,321
Sisters’ living and ministry expenses
80,079
Education, training and spiritual renewal
4,094
Governance costs (note 6)
15,651
137,145		 Expenditure on: Support of members of the Institute and their ministry
2020
£
Premises
37,321
Sisters’ living and ministry expenses
80,079
Education, training and spiritual renewal
4,094
Governance costs (note 6)
15,651
137,145		 2019
£
Premises
Sisters’ living and ministry expenses
Education, training and spiritual renewal
Governance costs (note 6)		 37,321
80,079
4,094
15,651		 32,698
83,476
4,996
16,833
137,145 138,003

5 Expenditure on: Grants and donations

The charity makes grants and donations, principally in support of the overseas work of the Institute.

The grants and donations payable during the year were as follows:

2020
£		 2019
£
Contribution to the Generalate of The Sisters of Providence of Ruillé -
sur-Loir
Donation to the missions of The Sisters of Providence of Ruillé -sur-Loir
. Sri Lanka
Donation to St Peter-in-Chains Parish, Stroud Green, London
Donations of less than £1,000 each		 —
4,600
4,500
249		 125,000
1,500
—
998
9,349 127,498

The Sisters of Providence of Ruillé-sur-Loir CIO 30

Notes to the accounts 31 December 2020

6 Governance costs

Governance costs
2020
£		 2019
£
Legal and professional fees
Auditor’s remuneration		 1,475
14,176		 3,511
13,322
15,651 16,833

7 Net movement in funds

This is stated after charging:

2020
£		 2019
£
Auditor's remuneration (including VAT)
. Statutory audit services
. Other advisory services
Depreciation		 12,460
1,716
23,684		 13,322
—
20,955

8 Staff costs

The charity had no employees during the year (2019: none).

9 Trustees’ expenses and remuneration and transactions with trustees

The charity's trustees are all members of the Institute and consequently their living and personal expenses, all of which are consistent with the amounts paid in respect to other members of the Institute, are borne by the charity. No trustee received any remuneration or reimbursement of expenses in connection with their duties as trustees (2019: none).

As members of the Institute, none of the trustees have resources of their own as all earnings, pensions and other income have been donated to the charity under a Gift Aid compliant Deed of Covenant. During the year, the total amount donated by the trustees to the charity was £20,590 (2019: £19,626).

10 Taxation

The Sisters of Providence of Ruillé-sur-Loir CIO is a registered charity and, therefore, is not liable to income tax or corporation tax on income or gains derived from its charitable activities, as they fall within the various exemptions available to registered charities.

The Sisters of Providence of Ruillé-sur-Loir CIO 31

Notes to the accounts 31 December 2020

11 Tangible fixed assets

Tangible fixed assets
Freehold
land and
buildings
£		 Long
leasehold
property
£		 Fixtures
and
fittings
£		 Motor
vehicles
£		 Total
£
Cost
At 1 January 2020
Additions
At 31 December 2020
Cost
Deemed cost: 1996 valuation
Depreciation
At 1 January 2020
Charge for the year
At 31 December 2020
Net book values
At 31 December 2020
At 31 December 2019		 844,627
—		 —
178,659
16,262
2,650
31,498

—		 892,387
181,309
844,627 178,659 18,912
31,498		 1,073,696
669,627
175,000		 178,659
—		 18,912
—
31,498

—		 898,696
175,000
844,627 178,659 18,912
31,498		 1,073,696
172,153
16,893		 —
3,573		 16,259
530
23,435

2,688		 211,847
23,684
189,046 3,573 16,789
26,123		 235,531
655,581 175,086 2,123
5,375		 838,165
672,474 — 3
8,063		 680,540

As permitted under Financial Reporting Standard 102 the charity has adopted a policy of not revaluing its tangible fixed assets. The book value of freehold land and buildings transferred from The Sisters of Providence of Ruillé-sur-Loir Charitable Trust (note 21) is based on a 1996 valuation net of depreciation, where appropriate, with additions since that date at cost and after adjusting for any impairment losses. Under the transitional provisions of FRS 102, the 1996 valuations were regarded as deemed cost to The Sisters of Providence of Ruillé-sur-Loir Charitable Trust and as such to the charity. Other tangible fixed assets are stated at cost.

It is likely that there are differences between the open market value of the freehold land and buildings and their book values. These arise because of the specialised nature of the properties. The amount of such differences cannot be ascertained without incurring significant costs, which, in the opinion of the trustees, is not justified in terms of the benefit to the users of the accounts.

The original cost of the freehold land and buildings transferred to the charity cannot be ascertained with accuracy without incurring significant research time and costs which in the opinion of the trustees are not justified.

The Sisters of Providence of Ruillé-sur-Loir CIO 32

Notes to the accounts 31 December 2020

12 Fixed asset investments

Fixed asset investments
2020
£		 2019
£
Listed investments
Market value at 1 January 2020
Transfer from The Sisters of Providence of Ruillé-sur-Loir Charitable
Trust (note 21)
Additions at cost
Disposals at opening book value (proceeds:£822,283, losses:£50,322)
Net unrealised investment gains
Market value at 31 December 2020
Cash held by investment manager
Cost of listed investments as at 31 December 2020		 4,522,369
—
758,188
(872,605)
170,027		 —
3,995,450
1,207,396
(1,179,318)
498,841
4,577,979
80,548		 4,522,369
47,328
4,658,527 4,569,697
3,772,394 3,843,186

Listed investments held at 31 December 2020 comprised the following:

2020
£		 2019
£
Government stocks
UK fixed interest and corporate bonds
UK equities
Overseas equities
UK unit trusts
Overseas unit trusts		 46,936
327,140
997,173
2,447,529
359,785
399,416		 42,578
526,126
1,229,304
2,197,662
443,647
83,052
4,577,979 4,522,369

At 31 December 2020, the following individual holdings were deemed material:

Holding
Fidelity Investment Funds – Asia Fund – W-
Findlay Park American USB Distribution Units
Natixis Int Fds – Loomis Sayles US Growth Fd
PIMCO Funds Global Inv –Diversified Income
Robeco Luxembourg Emerging cons Eq
Xtrackers ESG MSCI USA UCITS ETF		 2020 2020 2019 2019
Market
value of
holding
£		 Percentage
of total
portfolio
%		 Market
value of
holding
£		 Percentage
of total
portfolio
%
245,230
299,102
245,681
239,376
—
250,715		 5.4
6.5
5.4
5.2
—
5.5		 —
268,837
—
—
262,057
—		 —
5.9
—
—
5.8
—

13 Pension contracts

The charity contributed to both a deferred annuity contract and a stakeholder pension scheme administered to provide benefits in respect to individual members of the Institute. Under the terms of the deferred annuity contract, the assets are invested in a With Profits Deferred Policy on the lives of certain scheme members to provide a pension of £8,270 per annum on the member reaching the normal vesting date, which is the age of 65. The policy also includes a guaranteed cash option at normal vesting date under which the charity may exchange pension for a cash sum to be used in such manner as the trustees decide. The deferred annuity contract is with Phoenix Life.

The Sisters of Providence of Ruillé-sur-Loir CIO 33

Notes to the accounts 31 December 2020

13 Pension contracts (continued)

The stakeholder pension contract is a money purchase contract, under which the premiums paid are invested in the unitised Stakeholder With Profits Fund and the Stakeholder Managed Fund administered by Standard Life. Under the terms of the contract the charity contributes a sum of money on an annual basis which is invested equally in the two funds. The value of the benefit will depend on the amounts invested and performance of the assets underlying the funds.

14 Debtors

14 Debtors
15
16		 2020
£		 2019
£
Prepayments and accrued income 3,051 6,150
Creditors 2020
£		 2019
£
Accruals 40,689 33,840
Tangible fixed assets fund
£
At 1 January 2020
Net movements in year
At 31 December 2020		 680,540
157,625
838,165

The tangible fixed assets fund represents the net book value of the charity’s freehold properties and other tangible fixed assets. A decision was made to separate this fund from the general funds of the charity in recognition of the fact that the tangible fixed assets were essential to the day-to-day work of the charity and as such their value did not represent reserves available to finance operations.

17 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At 1
January
2020
£		 New
designations
£		 Utilised or
realised
£		 At 31
December
2020
£
Communities fund
Property repair and replacement fund
Retirement fund
Financing and Congregational fund		 78,610
350,000
3,200,000
650,000		 93,470
—
150,000
200,000		 (80,234)
(178,659)
—
—		 91,846
171,341
3,350,000
850,000
4,278,610 443,470 (258,893) 4,463,187

The Sisters of Providence of Ruillé-sur-Loir CIO 34

Notes to the accounts 31 December 2020

17 Designated funds (continued)

At 1
January
2019
£



Transfer
from
Charitable
Trust
(see note 21)
£		 New
designations
£		 Utilised or
realised
£

(125,558)

—

—

—

(125,558)		 At 31
December
2019
£
Communities fund
Property repair and replacement
fund
Retirement fund
Financing and Congregational fund		 —
—
—
—
52,065

350,000

3,200,000

650,000		 152,103
—
—
—		 78,610
350,000
3,200,000
650,000
—
4,252,065		 152,103 4,278,610

 Communities fund

This fund relates to cash and bank balances held by the communities to meet their dayto-day costs. As these amounts have been assigned to the communities, the trustees believe that a separate fund should be designated for this purpose. The transactions on the funds, including designations released (and new designations) being transfers to (and from) the charity’s central bank accounts, represent the net movement in the communities’ cash and bank balances during the year.

The property repair and replacement fund represents an amount designated by the trustees to finance potential future expenditure on purchasing and modifying properties to accommodate older and frail sisters.

 Retirement fund

A fund had been designated in respect to the charity’s commitment to provide for the care of the members of the Institute in old age and sickness. The trustees have set aside assets equal to £3,200,000 for this purpose. This figure is re-assessed at the end of each year and adjusted if necessary.

 Financing and Congregational fund

This fund has been established to finance grants and donations including contributions to the Congregation’s work overseas.

18 Analysis of net assets between funds

The fund balances at 31 December were represented by the following assets and liabilities:

Designated
funds
£		 Tangible
fixed
assets
fund
£		 General
funds
£


2020
Total
£

838,165
4,658,527

400,125
5,896,817
Balances at 31 December 2020 are
represented by:
Tangible fixed assets
Investments
Net current assets		 —
4,371,341
91,846
838,165

—

—

—

287,186

308,279
4,463,187
838,165
595,465

The Sisters of Providence of Ruillé-sur-Loir CIO 35

Notes to the accounts 31 December 2020

18 Analysis of net assets between funds (continued)

Designated
funds
£
Tangible
fixed assets
fund
£		 General
funds
£		 2019
Total
£
Balances at 31 December 2019 are
represented by:
Tangible fixed assets
Investments
Net current assets		 —
4,200,000
78,610
680,540

—

—
—

369,697

411,424
680,540
4,569,697

490,034
4,278,610
680,540
781,121		 5,740,271

The total unrealised gains as at 31 December 2020 constitute movements on revaluations of investments and are as follows:

2020
£		 2020
£
Total unrealised gains at 31 December 2020
Reconciliation of movements in unrealised gains
Unrealised gains at 1 January 2020
Transfer from The Sisters of Providence of Ruillé-sur-Loir Charitable
Trust
In respect to disposals in year
Net gains arising on revaluation in the year
Unrealisedgains at 31 December 2020		 805,585 679,183
679,183

—
(43,625)
170,027		 —
340,030
(159,688)
498,841
805,585 679,183

19 Ultimate control and liability of members

The trustees for the time being shall automatically be the members of the CIO. The members are responsible for the appointment of new trustees.

If the CIO is wound up, the members of the CIO have no liability to contribute to its assets and no personal responsibility for settling its debts and liabilities.

20 Related party transactions

Sister Gillian Murphy, a trustee of the Charitable Incorporated Organisation, serves as the Assistant General to the Generalate of the Institute in France. There were no donations during the year from the charity to the Generalate (2019: £125,000).

Donations by the trustees to the charity are disclosed in note 9 to these accounts.

There are no other related party transactions requiring disclosure in these accounts (2019: none).

21 Transfer of activities, assets and liabilities

The Trustees of the CIO are also the trustees of The Sisters of Providence of Ruillé-surLoir, Charity Registration No. 232363. The Sisters of Providence of Ruillé-sur-Loir CIO was registered as a charity on 9 February 2018.

The Sisters of Providence of Ruillé-sur-Loir CIO 36

Notes to the accounts 31 December 2020

21 Transfer of activities, assets and liabilities (continued)

The activities, assets and liabilities of the charitable trust were transferred to the Charitable Incorporated Organisation by deed of transfer with effect from midnight on 31 December 2018.

The net assets transferred at midnight on 31 December 2018 comprise:

£
Tangible fixed assets
.Cost
.Depreciation
Fixed asset investments
Cash held by investment manager
Debtors
Short term deposits
Cash at bank
Creditors amounts falling due within one year		 900,097
(209,352)
690,745
3,995,450
29,050
1,753
168,898
361,545
(41,485)
5,205,956

The net assets transferred at midnight on 31 December 2018 were represented by the following funds:

£
Unrestricted funds
. Tangible fixed assets fund
. Designated funds
. General funds		 690,745
4,252,065
263,146
5,205,956

The Sisters of Providence of Ruillé-sur-Loir CIO 37