Registered Charity No. 1183029
The Heritage Electric Trains Trust (A Charitable Incorporated Organisation)
REPORT OF THE TRUSTEES
FOR THE PERIOD 01[st] April 2023 To 01[st] April 2024
REFERENCE AND ADMINISTRATIVE DETAILS
Charity number:
Charity number: 1183029 Trustees: Graeme Gleaves (Chairman) Ian Brown Neil Bennett Mark Walling Registered office: LAVINIA LODGE 36 STRAYFIELD ROAD ENFIELD EN2 9JF
Bankers: Santander UK plc LONDON NW1 3AN
TRUSTEES’ REPORT
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The Charity is a Charitable Incorporated Organisation and its governing document is a constitution dated April 08[th] 2019.
Recruitment and appointment of Trustees
The Trustees are the first named Trustees named on the governing document, there have been no changes to the Trustees during the period of this report.
OBJECTIVES AND ACTIVITIES
The Charity has objects for 'The advancement of education of the public in the subject of sustainable rail transport through the means of preservation, restoration and public display of historic rolling stock and other items of railway interest relating to the story of the development of electrically propelled railways.' This can be by the publication of material for educational purposes, arranging of displays and securing artefacts for public display; either alone or working with other organisations with similar aims.
We have referred to the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives they have set.
ACHIEVEMENTS, PERFORMANCE AND FINANCIAL REVIEW
The period covered by this report represented the most challenging year for the Charity since its inception. Having come through the difficult years of the pandemic and planned for the future the Trustees had to reevaluate the scale of the project as a whole and make difficult decisions of whether the full collection of vehicles currently owned by the Charity was the best way to achieve the Charities objectives given the access to support that exists and the difficulties the economic situation in the UK, which has had a knock on effect to the Charities income stream has presented. The Trustees undertook a review and decided to reduce the LMS unit from its full length of three coaches and retain only a single vehicle as a future project. That vehicle was selected as it represented both the passenger and staff sections as well as the technical equipment that powered the train. The other two vehicles had only passenger accommodation and were in a far poorer condition. The decision was further hastened by the news that the location the vehicles were stored in had other need of the space and the vehicles would need to be relocated and the planned alternative site intended for them was no longer available. The retained vehicle was moved to an alternative storage site which is much closer to the native area the unit originally operated, in the North-West of England where access to both volunteers and visitors will be possible. The Trustees offered the remaining vehicles to other museums, and heritage bodies without success but the other driving car was eventually gifted to a private collector who has sectioned it and will display the driving end and leading passenger area at a heritage site in South Wales when he has restored that section, the remaining parts of the unit were stripped of usable components and then disposed off. This whole operation placed a considerable drain on the resources of the Charity but it was felt that the resolution that was achieved was far better in the long run than letting the saga continue and place a more considerable drain on the Charity over the following years that would jeopardise future planning and delivery of the Charities objectives.
Fundraising and planning for the larger other unit has continued with a plan of work for the first vehicle, previously agreed being revised to allow for phased completion that better suited the projected income stream of the Charity. The Trustees are confident the work on the first vehicle will be started during the following financial year with the vehicle reaching a display standard within 12 months. Further funding for this work will be needed and to that end the Charity is promoting the project to as wide an audience as possible. An illustrated talk has been created with three bookings to date where it will be delivered to an audience have been arranged, these will take place in the period following that covered in this report and further dates will likely be added by the time of the next report.
The Charity has continued to communicate with both its supporters, and the wider public on aspects of its work. The methods have remained to be in the form of printed media by the production of a magazine, reporting on progress and future plans, sent out to supporters and the use of social media platforms that provide updates on the progress of projects and also images and stories relevant to the history of the trains that the Charity has in its care. This remains a very useful resource and method of engagement and informing people.
The Charity has continued to work with the Railway Heritage Register Partnership and published a register of preserved electric multiple units and railcars in the UK. This document has been thoroughly researched and was updated during the period of this report. The latest version is available for public free download at the RHRP website (www.rhrp.org.uk/surveystatus.htm).
PLANS FOR THE FUTURE
The Charity continues to run a fundraising campaign to both fund the restoration and renovation of the unit that is to remain on display to the public at Margate, being the primary project for the Charity. The estimated cost of this first vehicle is expected to be in the region of £50-60000. The Charity has provided a scope of work required and engaged with specialist providers.
The Charity has undertaken to work with other organisations to run public events where educational material and learning opportunities can be provided. The first of these is in the planning stage during the period of this report and will be delivered in June 2024. The Charity is working with both the East Kent Railway Trust and the Southern Electric Group to this end.
FUNDRAISING ACTIVITIES BY THE CHARITY
During the period of this report the Charity has taken donations from the wider public, both individual persons and businesses in support of its work. All funds raised are held in the Charities own bank accounts and no funds are held elsewhere.
CONTRIBUTION MADE BY VOLUNTEERS
The Charity has exclusively used the services of volunteers during the period of this report, in addition to the services of the Trustees. The Charity has a volunteer Book Keeper to assist in the management of financial records and other volunteers have been undertaken to repaint one carriage that is stored at Hope Farm, Sellindge, Kent to the colour scheme the vehicle wore when it was retired from main line service. This work is largely complete and was publicised on social media as well as the magazines sent to supporters of the Charity. The paint not only serves as a part renovation but also as a protective layer against the weather the vehicle has to endure as it is parked out of doors. Volunteers have carnied out further work on the vehicle to replace missing windows and remove debris from the interior from the period prior to ownership by the Charity.
FINANCIAL POSITION
This report covers the fifth year of the Charity's existence. The Trustees had adopted a very sustainable approach to seeking donations based primarily upon regular contributions from supporters so as to be able to predict income streams and budget accordingly, this scheme has largely held up but a small drop off in income was noted during the period covered by this report. In addition one off donations are welcomed. The Charity has been able to meet its direct requirements during the period and has no outstanding liabilities. The relocation of one vehicles from Margate to Sellindge and a second vehicle from Margate to Llynclys were both expensive undertakings but the Charity was able to fund these from its derived capital and no loans or credit was required. The disposal of items deemed surplus came at a cost with the monies recouped from sale of scrap material covering most of the expenditure and financial reserves covering the remainder. The planned renovation works on the vehicle at Margate is a large scale one off project and monies required for this have been set aside in a separate savings account. The Trustees have no concerns that the Charity will not be able to meet its planned financial responsibilities in the year ahead but have identified that as the project progresses income must not only remain at its current level but be increased proportionately by publicising the work and the importance of it to the Charities objectives.
RESERVES POLICY
The trustees have adopted the following reserves policy. They will aim to ensure that, at all times, the level of reserves is appropriate to the level of the activities the charity is undertaking. This policy is being enacted and reserves are being built up to meet expected costs of planned work.
TRUSTEES' RESPONSIBILITIES STATEMENT
The trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The Trustees prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the Charity for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP 2015 (FRS 102);
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the legal requirements the Charity is bound by. 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.
ON BEHALF OF THE TRUSTEES:
GRAEME STEPHEN GLEAVES – CHAIRMAN OF THE TRUSTEES Dated 27 /01/2025
Signed master copy held at the registered office.
THE HERITAGE ELECTRIC TRAINS TRUST (A CHARITABLE INCORPORATED ORGANISATION)
| STATEMENT OF FINANCIAL ACTIVITIES | STATEMENT OF FINANCIAL ACTIVITIES | ||||
|---|---|---|---|---|---|
| (including Income and Expenditure Account) | |||||
| for the period 01st April 2023 | To 01st April 2024 | ||||
| Total | Total | ||||
| Notes | Unrestricted | Restricted | 2024 | 2023 | |
| £ | £ | £ | £ | ||
| INCOME FROM: | |||||
| Voluntary income: | |||||
| Grants | - | - | - | - | |
| Donations | 19, 871 | - | 19,871 | 8,148 | |
| Trading Activities | - | - | - | - | |
| Other income | 3,260 | - | 3,260 | 1,502 | |
| ______ | ______ | ______ | ______ | ||
| Total income | 23,131 | - | 23,131 | 9,650 | |
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| EXPENDITURE ON: | |||||
| Charitable activities: | |||||
| Activities and services | 2 | 21,317 | - | 21,317 | 8,722 |
| - | |||||
| Governance costs | 3 | - | - | - | |
| ______ | ______ | ______ | ______ | ||
| Total expenditure | 21,317 | - | 21,317 | 8,722 | |
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| (Net expenditure)/net income for | |||||
| the period before transfers | 1,814 | - | 1,814 | 928 | |
| Transfer between funds | - | - | - | - | |
| ______ | ______ | ______ | ______ | ||
| Net movement in funds | - | - | |||
| Reconciliation of funds | |||||
| Total funds brought forward | 9,934 | - | 9,934 | 8,120 |
| ______ | ______ | ______ | ______ | |
|---|---|---|---|---|
| Total funds carried forward | 9,934 | - | 9,934 | 8,120 |
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| All income and expenditure derive from continuing activities. | ||||
| The statement of financial activities includes all gains and losses recognised | during the | year. |
The notes on pages 8 to 11 form part of these financial statements
THE HERITAGE ELECTRIC TRAINS TRUST (A CHARITABLE INCORPORATED ORGANISATION) Charity No. 1183029
BALANCE SHEET for the period 01[st] April 2023 To 01[st] April 2024
| 2024 | 2023 | ||
|---|---|---|---|
| Notes | £ | £ | |
| CURRENT ASSETS | |||
| Cash at bank and in hand | 9,934 | 8,120 | |
| ______ | ______ | ||
| LIABILITIES | |||
| Creditors falling due within one year | 5 | - | - |
| NET CURRENT ASSETS | 9,934 | 8,120 | |
| ______ | ______ | ||
| NET ASSETS | 9,934 | 8,120 | |
| ======= | ===== | ||
| FUNDS OF THE CHARITY | |||
| Unrestricted income fund | 9,934 | 8,120 | |
| Restricted funds | - | - | |
| __ | __ | ||
| TOTAL CHARITY FUNDS | 9,934 | 8,120 | |
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The financial statements were approved and authorised for issue by the Trustees on January 21[st] 2025
ON BEHALF OF THE BOARD:
GRAEME STEPHEN GLEAVES – CHAIRMAN OF THE TRUSTEES
Signed master copy held at the registered office.
The notes on pages 8 to 11 form part of these financial statements
THE HERITAGE ELECTRIC TRAINS TRUST (A CHARITABLE INCORPORATED ORGANISATION) Charity No. 1183029
NOTES TO THE FINANCIAL STATEMENTS for the period 01[st] April 2023 To 01[st] April 2024
1. ACCOUNTING POLICIES
General information and basis of preparation
The Heritage Electric Trains Trust is a charitable incorporated organisation in England. The address of the registered office is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations and principal activities are the advancement of education of the public in the subject of sustainable rail transport through the means of preservation, restoration and public display of historic rolling stock and other items of railway interest relating to the story of the development of electrically propelled railways.
The charity constitutes a public benefit entity as defined by FRS 102. The financial statements 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 UK and Republic of Ireland (FRS 102) issued on 16 July 2014 (as updated through Update Bulletin 1 published on 2 February 2016), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Practice.
The financial statements are prepared under the historical cost convention. The financial statements are presented in sterling which is the functional currency of the charity and are rounded to the next £1.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
Funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Income recognition
All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any conditions have been met, the amount can be measured reliably and it is probable that the income will be received.
For donations and grants to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.
Members subscriptions are accounted for on a receivable basis
No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102).
1. ACCOUNTING POLICIES (cont’d)
Expenditure recognition
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings:
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Expenditure on charitable activities includes the costs incurred by the charity in delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of indirect nature necessary to support them.
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Governance costs include costs associated with meeting the constitutional and statutory requirements of the Charity and include fees and costs linked to the strategic management of the Charity.
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Other expenditure represents those items not falling into the category above.
Tangible fixed assets
Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.
Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life. The charities policy is that heritage rolling stock and buildings are not depreciated.
Tax
The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.
Going concern
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern
| 2. | ACTIVITIES AND SERVICES | 2024 | 2023 |
|---|---|---|---|
| £ | £ | ||
| Site maintenance & improvement | - | - | |
| Preservation & restoration | - | - | |
| Reallocation of assets | 13,506 | - | |
| Projects | - | - | |
| Grants to exhibit owners | - | - | |
| Operating expenses: | 7,803 | 8,640 | |
| Insurance | - | - | |
| Advertising, PR, printing & postage | 8 | 82 | |
| Room hire | - | - | |
| Rates | - | - | |
| Telephone & internet | - | - | |
| Site light, heat, power & fuel | - | - | |
| Other fees & expenses | - | - | |
| Loss on disposal of assets | - | - | |
| Accountancy fees | |||
| ______ | ______ | ||
| 21,317 | 8,722 | ||
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| 3. | GOVERNANCE COSTS | 2024 | 2023 |
| £ | £ | ||
| Accountancy and Examination fees | - | ||
| ______ | _ | ||
| - | |||
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4 . DIRECTORS / TRUSTEES REMUNERATION
No Trustee received any remuneration or reimbursed expenses during the period 01[st] April 2023 to 01[st] April 2024
| 5. CREDITORS FALLING DUE WITHIN ONE YEAR Accruals and deferred income __ ══ |
2024 £ 0 _ 0 ══════ |
2023 |
|---|---|---|
| £ 0 ____ 0 ════ |
6. TRUSTEES REMUNERATION
No trustee received any remuneration during the year.
7. ULTIMATE CONTROLLING PARTY
The charity is under the control of its Trustees.
8. RELATED PARTY TRANSACTIONS
There were no related party transactions for the period of this report.