Social Housing Registration No: 5157 Registered Charity No: 1187063
DORCHESTER ALMSHOUSES REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
Chartered Accountants
DORCHESTER ALMSHOUSES
CONTENTS
| Legal and Administrative Information | 1 |
|---|---|
| Report of the Board of Trustees | 2 to 6 |
| Reporting Accountant's Report | 7 |
| Statement of Comprehensive Income | 8 |
| Balance Sheet | 9 |
| Statement of Changes in Reserves | 10 |
| Notes to the Financial Statements | 11 to 16 |
DORCHESTER ALMSHOUSES
LEGAL AND ADMINISTRATIVE INFORMATION
| Name of charity | Dorchester Almshouses |
|---|---|
| Social Housing registration number | 5157 |
| Registered Charity number | 1187063 |
| Board of Trustees | M E Rennie - Chairman |
| N Bundy - Vice Chairman | |
| Cllr S Hosford | |
| F Kent-Ledger | |
| S Goss | |
| J Hewitt (Mayor 2022/23) | |
| Cllr R Biggs | |
| J Christmas - Vice Chairman | |
| General Manager and Clerk to the Trustees | V Gottesman |
| Financial Clerk | S Wood |
| Registered office | The Clerks Office |
| Whetstones | |
| West Walks | |
| Dorchester | |
| Dorset | |
| DT1 1AW | |
| Bankers | Lloyds Bank plc |
| Dorchester Branch | |
| 1-2 High West Street | |
| Dorchester | |
| Dorset | |
| DT1 1UG | |
| Barclays Wealth | |
| County Gates House | |
| 300 Poole Road | |
| Bournemouth | |
| BH1 2BW | |
| Accountants | Edwards & Keeping |
| Chartered Accountants | |
| Unity Chambers | |
| 34 High East Street | |
| Dorchester | |
| Dorset | |
| DT1 1HA |
- 1 -
DORCHESTER ALMSHOUSES
REPORT OF THE BOARD OF TRUSTEES FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
The Board presents its report and financial statement for the period ended March 2023. The Trustees wish it to be known that this report covers the 15 month period, January 2022 to March 2023, due to the change of the financial year end date from December to March.
This is the first Trustees’ annual report for Dorchester Almshouses, a Charitable Incorporated Organisation, and successor to the unincorporated charity, Chubb, Whetstone and Napper’s Almshouses known as Dorchester Municipal Charities, following changes to the Charity’s structure, listed in the Governance section of this report. The period January - March 2022 is covered by the Trustees’ annual report and accounts for the unincorporated charity, which was still active during this period.
The legal and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Charity’s governing document, of March 2020, the Statement of Recommended Practice for registered social housing providers (Housing SORP 2018), the Regulator of Social Housing standards on Governance and Financial Viability Standard and Value for Money plus the National Housing Federation Code of Governance 2020.
Objectives and activities for public benefit
Dorchester Almshouses is an amalgamation of 3 almshouse charities, Chubb, Whetstone and Napper’s Almshouses, founded in the early 17th century to provide accommodation for the elderly, poor and needy of Dorchester.
The objects of Dorchester Almshouses are the relief of financial hardship by the provision of social housing in the form of almshouse accommodation and ancillary equipment, services and financial relief for almspersons from the class of beneficiaries. Vacancies are filled from the class of beneficiaries being people in financial hardship who are inhabitants of the town of Dorchester or elsewhere in the county of Dorset. The Trustees’ policy is to deliver these objects by means of a harmonious community.
These objects are met through the provision of accommodation in 26 flats in 2 almshouses, Whetstones and Napper’s House. Residents should be fit enough to live an independent life, though possibly with care support. The almshouses are overseen by a Resident Warden.
Residents contribute towards the overall costs of the Charity and these contributions are increased each year in line with guidance from the Regulator of Social Housing. Their contributions are such that overall costs are balanced.
The Charity formerly owned a property known as Chubbs, which comprised 4 bedsits used as accommodation in the furtherance of the Charity’s objectives. The property was sold because it did not meet relevant regulations at the time and has not been replaced. Since that time, the Trustees have been waiting for a suitable replacement opportunity to arise and took the decision to investigate the development of the Napper’s site. They have applied for and received 6 grants from Dorset Council (formerly West Dorset District Council) towards feasibility study and design work up to submission of planning application, which continued in 2022. The Charity submitted a formal planning application in early 2022, the outcome of which is awaited.
In setting and reviewing its aims and activities, the Board has given careful consideration to the Charity Commission’s guidance on public benefit.
Review of activities - achievements and performance
There were 2 new residents in 2022-23 and 4 residents moved out.
Expenditure on major works amounted to £58,600 (January - March 2022 - £10,659). This included a new electric immersion heater for one almshouse block, a Legionella risk assessment, a renewed defibrillator package and some refurbishment work in several flats.
A further £42,676 (January - March 2022 - £26,827) was spent on routine maintenance for this period.
Financial review - assessment of how the Charity is achieving value for money
The Trustees consider economy, efficiency and effectiveness in delivering the Charity’s objectives at operational and strategic levels. They meet regularly to review the annual budget and agree expenditure. They aim to balance the level of maintenance and updating with a policy of careful budgeting and value for money. Total administrative expenditure for the period was £256,209 (of which £71,604 arose in January - March 2022). Turnover for the period was £255,634 (of which £42,550 arose in January - March 2022), resulting in an operating deficit of £575 (of which £29,054 arose in January - March 2022).
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DORCHESTER ALMSHOUSES
REPORT OF THE BOARD OF TRUSTEES FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
Barclays Wealth continues to run the investment portfolio and report to the Trustees on a regular basis. The market value of the portfolio of investments was £862,533 at 31 March 2023 compared with £1,461,371 at 31 December 2021, following the removal of some funds to protect the Charity’s reserves from market fluctuations. Income arising on investments was £30,223 (£6,315 in January - March 2022). Bank interest receivable was £708 (January - March 2022 - £1).
After deducting interest payable on the housing loan of £7,187 (£1,446 in January - March 2022), the surplus for the period was £23,169 (Deficit of £24,184 in January - March 2022), but £138,341 losses on the revaluation of investments resulted in total comprehensive income of £115,172 in deficit (January - March 2022- £72,198 in deficit) for the period. Total reserves at 31 March 2023 stand at £1,369,682 (31 December 2021 - £1,484,854).
Value for money
The Regulator for Social Housing (RSH) issued a new Value for Money Standard in April 2018. This introduced a requirement to publish performance against their own Value for Money targets and seven common metrics to capture performance across the sector.
The seven metrics are as follows with commentary to explain any variations:
| Value For Money Metric | 31.03.2023 | 2021 | |
|---|---|---|---|
| 1 | Reinvestment % | 21% | 20% |
| 2a | New Supply (Social Housing Units) % | 0% | 0% |
| 2b | New Supply (Non-social Housing Units) % | 0% | 0% |
| 3 | Gearing % | 0% | 11% |
| 4 | EBITDA MRI Interest Cover % | 50% | 131% |
| 5 | Headline Social Housing Cost £ | 10,754 | 7,723 |
| 6a | Operating Margin (social housing lettings) % | 12% | 5% |
| 6b | Operating Margin (Overall) % | 0% | 2% |
| 7 | Return on Capital Employed % | 0% | 0% |
Commentary:
- The investment in properties - The increase is due to a slightly higher investment into major work completed on the properties compared to the previous year.
2a & 2b. The number of new social and non-social housing units divided by the total units - There has been no development of new social or non-social housing units nor any acquisitions in the period.
-
The net debt as a percentage of the total value of properties - Cash and cash equivalents exceeded debt in the period.
-
The level of surplus generated compared to the interest payable - Small operating deficit this period, compared to surplus last year.
-
Social housing costs divided by total units owned - increased due to the 15 month period.
6a. Operating surplus/(deficit) from social housing lettings divided by turnover from social housing lettings - Adding back of large investment and legal costs causes increase.
6b. Operating surplus/(deficit) overall divided by overall turnover - Small deficit close to break even, results in 0% with rounding.
-
Comparison of the overall operating surplus/(loss) to total assets less current liabilities - As with 6b, close to break even performance, cause the metric to be 0%. This being the same for 2021 and 2020.
-
3 -
DORCHESTER ALMSHOUSES
REPORT OF THE BOARD OF TRUSTEES FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
Reserves policy
It is the policy of The Charity to maintain free reserves at a sufficient level to:
• Provide a designated operating reserve, or contingency fund, at a level to provide sufficient funds to ensure the proper functioning of the Charity and to cover anticipated costs in the short to medium term. This level is entirely at the discretion of the trustees and is currently set at £50,000, representing 50% of annual administrative expenditure or 6 months day-to-day expenditure, excluding depreciation and major works and included as a designated reserve within the income and expenditure reserve.
• Ensure the proper functioning of the charity over the medium term and to meet long term and unexpected needs.
• Provide stability for the charity in the long term and ensure financial solvency
• Provide funding to undertake and complete repair or refurbishment of the almshouses. The level of this restricted reserve or Extraordinary Repair Fund is at the discretion of the Trustees and currently stands at £50,000.
• Expand current services and facilities in the long term.
• Generate sufficient capital reserves for the purchase of property to replace Chubbs (sold in 2007), if a suitable replacement property, fit for purpose, became available which could be considered by the Trustee Board.
• The trustees may invest any of the reserves listed as long as resources are available in the short to medium term if required.
The freehold properties are shown on the balance sheet at their deemed cost. The reconstruction cost for insurance purposes in June 2017 was £3,161,126. The Trustees have discussed the level of reserves held generally following the sale in 2007 of Chubbs which comprised four bedsits which were used as accommodation in the furtherance of the charity’s objectives. The Trustees sought professional advice from a local land agent who advised that a replacement property fit for purpose, including conversion costs, would cost in the region of £650,000). The level of this designated reserve is entirely at the discretion of the Trustees and currently stands at £654,800, included within the income and expenditure reserve.
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DORCHESTER ALMSHOUSES
REPORT OF THE BOARD OF TRUSTEES FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
Structure, governance and management
Dorchester Almshouses (Charity number 1187063), is a Charitable Incorporated Organisation registered with the Charity Commission and the Regulator of Social Housing. The Charity is a member of the Housing Ombudsman Service and The Almshouse Association. The affairs of the Charity are governed by a Charity Commission Foundation Model Constitution dated 9 December 2019 and amended on 20 March 2020.
The Trustees of the former Charity, Chubb, Whetstone & Napper’s Almshouses (Charity number 201387), known as Dorchester Municipal Charities, considered the risks of continuing to run the Charity as a Charitable Trust and took the decision, with professional advice in 2017, to convert the legal status of the Charity to a Charitable Incorporated Organisation (CIO), which the Trustees considered the most suitable structure for the Charity. They took the opportunity to change the name at the same time to better reflect the nature of the Charity. The Charity’s permanent endowment property continues to be held upon the terms of the original trusts.
Dorchester Almshouses was first constituted in 2019 and became operational in April 2022 after the effective date of the transfer of assets and liabilities to the new Charity at midnight on 31 March 2022. The process is now underway to complete the merger of Dorchester Municipal Charities with Dorchester Almshouses and deregister the unincorporated charity.
The governing body is the Board of Trustees. The trustees are the only members of the CIO and their powers are included within the Constitution. The Board of Trustees normally meets 4 times a year and operates through the General Manager and Clerk to the Trustees, who undertakes day to day management of the Charity and its staff team as necessary.
The Charity is run by the Trustee Board which consists of:
• a minimum of 4 and a maximum of 11 appointed trustees, who serve for a period of 3 years and are eligible for reappointment
• a maximum of 2 Town Council nominated trustees who serve for a maximum of 5 years.
The Trustee Board have approved a scheme of delegations whereby two Vice Chairs working alongside the Chair of Trustees form a Management Team. Those Vice Chairs lead separate Working Groups of Trustees in Property and Welfare, to which the Chair has an invitation. Other Trustees may attend any Working Group meeting if they so wish, with agreement of the group’s Chair.
The National Housing Federation Code of Governance states that Charity trustees should remain in post for a maximum of 9 years and not be reappointed for at least 3 years. The Charity’s governing document only allows the Board of Trustees to reappoint persons who have served two consecutive terms of 3 years if a period of twelve months has elapsed since the expiry of the second term, and it is in the best interests of the Charity to do so, taking into account the level of relevant experience within the Charity Trustees or the difficulty of recruiting new trustees.
The Mayor of Dorchester is ex-officio an honorary member of the CIO, without voting rights, in recognition of the historical relationship between the Charity and the Corporation of Dorchester.
The Charity Trustees have given consideration to the major risks to which the Charity is exposed and satisfied themselves that systems or procedures are established in order to manage those risks.
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DORCHESTER ALMSHOUSES
REPORT OF THE BOARD OF TRUSTEES FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
Statement of trustees' responsibilities
The Board of Trustees is responsible for preparing the report and financial statements in accordance with applicable law and regulations.
The law applicable to charities in England and Wales and registered social housing legislation require the Board of Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and its income and expenditure for that period.
In preparing these financial statements the Board is required to:
-
Select suitable accounting policies and then apply them consistently;
-
Make judgements and estimates that are reasonable and prudent;
• State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and;
• Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The Board is responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable it to ensure that the financial statements comply with Charities Act 2011, the Housing and Regeneration Act 2008 and the Accounting Direction for private registered providers of social housing in England 2019. It has general responsibility for taking reasonable steps to safeguard the assets of the charity and to prevent and detect fraud and other irregularities.
Approved by the Board on 26 July 2023 and signed on its behalf by:
M E Rennie - Chairman Trustee
N Bundy - Vice Chairman Trustee
- 6 -
DORCHESTER ALMSHOUSES
ACCOUNTANT'S REPORT TO THE BOARD ON THE UNAUDITED ACCOUNTS OF DORCHESTER ALMSHOUSES
We report on the accounts for the period ended 31 March 2023 as set out on pages 8 to 16.
Respective responsibilities of the Board and reporting accountants
The Board of the Registered Social Housing Provider is responsible for the preparation of the accounts, and they consider that the Registered Social Housing Provider is exempt from an audit. It is our responsibility to carry out procedures designed to enable us to report our opinion.
Basis of opinion
Our procedures consisted of comparing the accounts with the accounting records kept by the Registered Social Housing Provider, and making such enquiries of the officers of the Registered Social Housing Provider as we considered necessary for the purpose of this report. These procedures provide only the assurance expressed in our opinion.
Opinion
In our opinion:
• the accounts for the period ended 31 March 2023 are in accordance with the accounting records kept by the Registered Social Housing Provider under paragraph 135(2)(a) of the Housing and Regeneration Act 2008;
having regard only to, and on the basis of the information contained in the accounting records:
• the accounts comply with the requirements of the Charities Act 2011;
• the Registered Social Housing Provider has satisfied the conditions for exemption from an audit of the accounts for the period ended 31 March 2023 specified in section 136(3) of the Housing and Regeneration Act 2008;
• the accounts comply with the requirements of the Housing and Regeneration Act 2008 and the Accounting Direction for private registered providers of social housing in England 2019.
Edwards & Keeping Chartered Accountants Reporting Accountant
Unity Chambers 34 High East Street Dorchester Dorset DT1 1HA
12 September 2023
- 7 -
DORCHESTER ALMSHOUSES
STATEMENT OF COMPREHENSIVE INCOME FOR THE PERIOD ENDED 31 MARCH 2023
| Turnover Administrative expenses Operating (deficit)/surplus Income from fixed asset investments Interest receivable and similar income Interest payable and similar charges Surplus/(deficit) on ordinary activities for the financial period (Loss)/gain on revaluation of investments (Deficit)/surplus for the financial period and total comprehensive income for the period |
12 month period ended 31 March 2023 £ 213,084 (184,605) 28,479 23,908 707 (5,741) 47,353 (90,327) (42,974) |
3 month period ended 31 March 2022 £ 42,550 (71,604) (29,054) 6,315 1 (1,446) (24,184) (48,014) (72,198) |
Total 1 January 2022 to 31 March 2023 £ 255,634 (256,209) (575) 30,223 708 (7,187) 23,169 (138,341) (115,172) |
Year ended 31 December 2021 £ 189,751 (185,717) |
|---|---|---|---|---|
| 4,034 34,797 5 (5,808) |
||||
| 33,028 125,849 |
||||
| 158,877 |
Dorchester Almshouses was dormant for the period 1 January 2022 to 31 March 2022.
On 31 March 2022 all assets and liablities were transferred from Dorchester Muncipal Charities (Charity Number 201387). The results for the 3-month period, 1 January 2022 to 31 March 2022 shown above, are from the Accounts of that charity. The comparatives for 2021 shown above, reflect the last full year of that Charity's activities.
Approved and authorised by the Board on 26 July 2023 and signed on its behalf by:
M E Rennie - Chairman Trustee
N Bundy - Vice Chairman Trustee
- 8 -
DORCHESTER ALMSHOUSES
BALANCE SHEET AS AT 31 MARCH 2023
| Note Fixed assets Tangible fixed assets - housing properties 5 Tangible fixed assets - other 6 Investments 7 Current assets Debtors 8 Cash at bank and in hand Creditors: Amounts falling due within one year 9 Net current assets Total assets less current liabilities Creditors: Amounts falling due after more than one year 9 Net assets Capital and reserves Income and expenditure reserve Restricted reserve - Napper's development Restricted reserve - Extraordinary repair Restricted reserve - Garden and Access project Total equity |
31 March 2023 £ 233,401 975 862,533 1,096,909 1,389 514,880 516,269 (19,187) 497,082 1,593,991 (224,309) 1,369,682 1,308,177 11,505 50,000 - 1,369,682 |
31 December 2021 £ 246,226 1,517 1,461,371 |
|---|---|---|
| 1,709,114 | ||
| 1,774 25,715 |
||
| 27,489 (16,645) |
||
| 10,844 | ||
| 1,719,958 (235,104) |
||
| 1,484,854 | ||
| 1,419,399 15,455 50,000 - |
||
| 1,484,854 |
Approved and authorised by the Board on 26 July 2023 and signed on its behalf by:
M E Rennie - Chairman Director
N Bundy - Vice Chairman Director
- 9 -
STATEMENT OF CHANGES IN RESERVES FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
DORCHESTER ALMSHOUSES
| At 1 January 2022 Profit/(loss) for the period Gain/(loss) on revaluation of investments Total comprehensive income At 31 March 2023 At 1 January 2021 Profit for the year Gain/(loss) on revaluation of investments Total comprehensive income At 31 December 2021 |
Income and expenditure reserve £ 1,419,399 27,119 (138,341) (111,222) 1,308,177 Income and expenditure reserve £ 1,267,059 26,491 125,849 152,340 1,419,399 |
Restricted reserve Napper's development £ Extraordinary repair £ 15,455 50,000 (3,950) - - - (3,950) - 11,505 50,000 Restricted reserve Napper's development £ Extraordinary repair £ 8,918 50,000 6,537 - - - 6,537 - 15,455 50,000 |
s Garden and Access project £ - - - - - s Garden and Access project £ - - - - - |
Total £ 1,484,854 |
|---|---|---|---|---|
| 23,169 (138,341) |
||||
| (115,172) | ||||
| 1,369,682 | ||||
| Total £ 1,325,977 |
||||
| 33,028 125,849 |
||||
| 158,877 | ||||
| 1,484,854 |
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DORCHESTER ALMSHOUSES
NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
1 Accounting policies
Dorchester Almshouses is a charitable incorporated organisation registered with the Charity Commission under a CIO - Foundation dated 19 December 2019, as amended on 20 March 2020, a member of the National Association of Almshouses and a private registered provider of social housing in the UK. The address of the registered office is given in the legal and administrative information section on page 1. The nature of the charity's operations and principal activities are to provide accommodation for independent elderly persons, with financial and/or housing support needs, and who have strong local connections with Dorchester or Dorset.
The charity constitutes a public benefit entity as defined by FRS 102.
The charity does not include a cash flow statement on the grounds that it qualifies as a small entity under FRS 102.
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with applicable accounting standards including Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', the Statement of Recommended Practice for Social Housing Providers 2018, and with Accounting Direction for private registered providers of social housing in England 2019. The financial statements are also prepared under the requirements of the Housing and Regeneration Act 2008.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
These financial statements have been prepared using merger accounting.
The accounts are presented in £ sterling.
Revenue recognition
Turnover comprises residents' contributions, income from other services supplied and revenue grants and donations receivable in the period. It also includes the amortised element of capital grants released during the period.
Government grants
Grants received as a contribution towards the capital costs of a scheme are recognised at the fair value of the asset received or receivable using the accruals model. The difference between the fair value of the asset and the consideration is recognised as a liability and amortised over the useful economic life of the asset. This amortisation is recognised within turnover.
Grants received as a contribution to revenue expenditure are recognised in the statement of comprehensive income on a systematic basis over the period in which the charity recognises the related costs for which the grant is intended to compensate. Grants are recognised in the same period as the related expenditure provided the conditions for receipt have been satisfied and there is reasonable assurance that the grant will be received.
Tax
The charity has charitable status and its activities are exempt from tax, but not from value added tax. In these financial statements, where applicable, expenditure is shown inclusive of VAT.
Tangible assets
Tangible assets (including social housing properties) are stated in the statement of financial position at cost (or deemed cost) less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Assets are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in expenditure through the statement of comprehensive income.
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DORCHESTER ALMSHOUSES
NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class
Social housing properties Office equipment
Depreciation method and rate Straight line over 50 years Straight line over 4 years
Investments
Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value through the statement of comprehensive income if the shares are publicly traded or their fair value can otherwise be measured reliably.
Trade debtors
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
The full costs of interest arising on housing property loans are shown in the statement of comprehensive income.
Leases
Rentals payable and receivable under operating leases are charged to the statement of comprehensive income on a straight line basis over the period of the lease.
Defined contribution pension obligation
The charity contributes to a multi-employer pension scheme for its employees and it is not possible to identify the assets and liabilities attributable to the charity. The scheme is accounted for as a defined contribution scheme and the charity's contributions to the scheme, including scheme deficits, are expensed as they become payable.
Restricted reserves
Restricted reserves are to be used for specific purposes as laid down by the funder or regulatory body. Expenditure cannot be directly set against restricted reserves but is taken through the statement of comprehensive income. A transfer from restricted reserves is then made as appropriate.
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DORCHESTER ALMSHOUSES
NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
2 Particulars of turnover and administrative expenditure from social housing lettings
| 12 month period ended 31 March 2023 £ Turnover Amortised social housing grants 7,933 Residents contributions (net of void losses) 160,151 Napper's development revenue grant (Dorset Council) 45,000 Job retention scheme grants - Grants and subsidies receivable - Turnover from social housing lettings 213,084 Administrative expenses Depreciation of freehold property 10,260 Depreciation of office equipment 558 Wages and salaries 44,543 Council tax 9,457 Water rates 4,010 Light, heat and power 13,213 Insurance 3,663 Major works 1,296 Major works - flat refurbishment 7,371 Major works - Napper's building development 39,275 Routine maintenance 15,848 Telephone and fax 6,547 Printing, postage and stationery 2,091 Residents' support 1,831 Sundry expenses 1,528 Cleaning and gardening 4,341 Advertising - Accountancy fees 2,550 Professional fees 8,675 Investment managers fees 7,548 Administrative expenditure on social housing lettings (184,605) Operating surplus/(deficit) on social housing lettings 28,479 Void losses included in residents' contributions |
3 month period ended 31 March 2022 £ 1,983 40,567 - - - 42,550 2,565 (16) 10,767 921 573 4,620 861 - 983 9,676 26,827 1,078 357 203 313 848 312 1,860 7,757 1,099 (71,604) (29,054) |
Total 1 January 2022 to 31 March 2023 9,916 200,718 45,000 - - 255,634 12,825 542 55,310 10,378 4,583 17,833 4,524 1,296 8,354 48,951 42,675 7,625 2,448 2,034 1,841 5,189 312 4,410 16,432 8,647 (256,209) (575) 62,161 |
Year ended 31 December 2021 £ 7,933 166,181 15,000 437 200 |
|---|---|---|---|
| 189,751 | |||
| 10,260 1,255 42,605 1,255 (1,607) 13,817 3,166 - 38,398 8,463 47,829 4,813 1,654 1,089 1,621 3,822 312 1,860 1,003 4,102 |
|||
| (185,717) | |||
| 4,034 | |||
| 31,698 |
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DORCHESTER ALMSHOUSES
NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
3 Board and staff costs
Board members neither received nor waived any remuneration or benefits from the charity in either period.
No employees are paid more than £60,000.
The charity contributes to a multi-employer pension scheme for its employees which is treated as a defined contribution scheme. The charity's contribution to the scheme, including scheme deficits for the period was £4,515 (2021 - £1,893).
The average number of employees during the period expressed in full-time (35 hours per week) equivalents was:
| Office staff (three part-time employees) Warden (one part-time employee) |
31.03.2023 No 1.1 0.8 1.9 |
31.12.2021 No 1.1 0.8 |
|---|---|---|
| 1.9 |
4 Accommodation owned and in management
The two almshouses comprise 26 (2021 - 26) flats managed by the charity.
| Completed units: Supported Housing Staff units - warden |
31.03.2023 No of units 26 1 27 |
31.12.2021 No of units 26 1 |
|---|---|---|
| 27 |
5 Tangible fixed assets - housing properties
| 5 Tangible fixed assets - housing properties |
|
|---|---|
| Cost At 1 January 2022 At 31 March 2023 Depreciation At 1 January 2022 Charge for the period At 31 March 2023 Carrying amount At 31 March 2023 At 31 December 2021 |
Housing properties for letting £ 512,986 |
| 512,986 | |
| 266,760 12,825 |
|
| 279,585 | |
| 233,401 | |
| 246,226 |
Included within the net book value of land and buildings above is £233,401 (2021 - £246,226) in respect of freehold land and buildings.
The almshouses date back to the 17th century and were independently valued in 1979 for inclusion in the accounts, no historic cost being available. This valuation and the cost of subsequent capital improvements were recognised as a deemed cost on transition to FRS 102.
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DORCHESTER ALMSHOUSES
NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
6 Tangible fixed assets - other
| Cost At 1 January 2022 At 31 March 2023 Depreciation At 1 January 2022 Charge for the period At 31 March 2023 Carrying amount At 31 March 2023 At 31 December 2021 7 Investments Non-current financial assets Cost At 1 January 2022 Fair value adjustments Additions Disposals At 31 March 2023 Carrying amount At 31 March 2023 At 31 December 2021 |
Office equipment £ 5,126 |
|---|---|
| 5,126 | |
| 3,609 542 |
|
| 4,151 | |
| 975 | |
| 1,517 | |
| Financial assets at fair value through profit and loss £ 1,461,371 (138,340) 953,865 (1,414,363) |
|
| 862,533 | |
| 862,533 | |
| 1,461,371 |
Investments are UK listed. Fair value is determined by reference to the quoted price for identical assets in an active market at the balance sheet date.
The cost price of the total investments held at the 31 March 2023 is £858,825 (2021 - £1,101,737).
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NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 1 JANUARY 2022 TO 31 MARCH 2023
DORCHESTER ALMSHOUSES
| 8 Debtors Trade debtors Prepayments Other debtors 9 Creditors Creditors: amounts falling due within one year Due within one year Bank loan - current instalment due on housing loan Deferred income - social housing grant trade creditors Accruals and deferred income Pension contributions unpaid Creditors: amounts falling due after more than one year Due after one year Housing loan due 1-2 yrs Housing loan due 2-5 yrs Housing loan due over 5 yrs Social housing grant |
2023 £ 37 1,252 100 1,389 2023 £ 601 7,933 1,827 8,540 286 19,187 2023 £ 668 2,487 48,627 172,527 224,309 |
2021 £ 15 1,549 210 |
|---|---|---|
| 1,774 | ||
| 2021 £ 513 7,933 2,846 5,197 156 |
||
| 16,645 | ||
| 2021 £ 570 2,122 49,968 182,444 |
||
| 235,104 |
10 Reserves
The income and expenditure reserve represents cumulative surpluses and deficits net of transfers and other adjustments. It includes amounts designated for capital projects at the trustees' discretion.
The Napper's development restricted reserve reflects grants received which must only be applied towards the almshouse development costs.
The extraordinary repair reserve is a restricted reserve required under the charity scheme to be set aside out of income to provide for future extraordinary repair, improvement or rebuilding of the almshouses belonging to the charity. The amount to be set aside is at the discretion of the trustees.
The Garden and Access restricted reserve represents amounts received specifically for the Garden and Access appeal and applied for that project only.
11 Related party transactions
Trustees have received no remuneration or reimbursed expenses in either period. Whilst five trustees are local authority councillors as stated in the Report of the Board, any transactions between the charity and those local authorities are at arms length, on normal commercial terms and trustees cannot use their position to their advantage.
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