## **T H O R N E R’ S H O M E S** ## Report and Financial Statements ## Year Ended 31 December 2023 Charitable Incorporated Organisation - Charity number 1189291 Regulator of Social Housing number 5111 Thorner’s Homes Contents of the financial statements For the year ended 31 December 2023 **Contents Page:** Reference and administration details ........................................................................................ 1 Report of the Trustees ................................................................................................................ 2 Board Trustees' responsibilities ............................................................................................... 12 Independent auditor’s report to the trustees of Thorner’s Homes ......................................... 13 Statement of financial activities for the year ended 31 December 2023 ................................ 17 Balance sheet at 31 December 2023 ........................................................................................ 18 Statement of cash flows ........................................................................................................... 19 Notes forming part of the financial statements ....................................................................... 20 Thorner’s Homes Reference and administration details For the year ended 31 December 2023 ## **Reference and administration details** ## **Trustees** Mrs A Bennett Mr R Brazier Mr D Butt Mr M Caton Mr D Hankins Mr R Higgins Mr P F Meacher (Chairman) Mrs S Vaughan Cllr D Furnell Cllr V Windle Resigned 28 July 2023 Resigned 4 May 2023 Appointed on 17 May 2023 ## **Chief Executive & Clerk to the Trustees** Mrs V Joynes MRICS ## **Auditors** Hopper Williams & Bell Limited Chartered Accountants, Highland House, Mayflower Close, Chandlers Ford, Eastleigh, SO53 4AR ## **Bankers** Lloyds Bank plc, 92-94 Above Bar Street, Southampton, SO14 7DT ## **Solicitors** Paris Smith LLP, 1 London Road, Southampton, SO15 2AE ## **Registered Office** 86 Thorner's Court, Henstead Road, Southampton, SO15 2GU ## **Registered Numbers** Charity Commission 1189291 Regulator of Social Housing 5111 1 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 ## **Report of the Trustees** The Trustees present their report and financial statements for the year ended the 31 December 2023 which should be read in conjunction with the information on page 1. ## **Structure, Governance and Management** Thorner's Homes and its linked charity Reardon Samaritan Fund are Charities governed by Schemes sealed by the Charity Commissioner, dated 30 April 2020 which established Thorner’s Homes as a Charitable Incorporated Organisation (CIO), and 10 October 1968 with subsequent variations for the Reardon Samaritan Fund. The Trustees listed on page 1 have held office during the whole period from the 1 January 2023 to the date of this report except as indicated. When a vacancy occurs for a Trustee, consideration is given to the skills required on the Board at the time and direct contact is made to persons with those skills. A meeting is arranged with the prospective Trustee to advise them of the required commitment, explain the charity’s objectives and assess their interest. A guided tour of the various properties is undertaken, a history and background of the Charity is given, a copy of the most recent accounts are provided and they are invited to attend a quarterly meeting as an observer. An induction file containing a copy of the governing instrument together with the policies and procedures of the charity is provided for the Trustees future reference. The charity monitors legislation, and training is on-going as required. The Board of Trustees meet quarterly, usually during the first or second week of March, June, September and December. The Annual General Meeting is held in June. From time-to-time sub-committees comprising at least four Trustees are created to make use of Trustees' skills. At present there is a Refurbishment Sub-Committee that comprises of four Trustees with the appropriate skills in, accountancy, surveying, construction and architecture. In addition, the Chairman has regular conversations, communications and meetings with the Chief Executive. Supplier invoices and payments are authorised by the Financial Trustee and payment made online by two authorised signatories. The Trustees meet to review the quarterly accounts, financial budgets, business plans, set weekly maintenance contributions, consider tenders, appoint contractors, set the policies, procedures, consider and plan for the future of the charity and receive reports from professional advisers and the Chief Executive. The charity has adopted Charity Governance Code for smaller charities. The Chief Executive takes responsibility for all aspects of the day-to-day management of the charity. The well-being of the residents and staff is monitored by daily contact with the staff team and through meetings. The Chief Executive has authority to order goods or instruct contractors for work up to a value of £2,500. All appointments of staff are made by the Trustees. 2 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 Residents are kept informed of any changes that are proposed for the day to day running of the charity which will affect them, by way of circular. When major changes are being considered meetings are held with residents to discuss, consider and take account of their views and where possible incorporate them into any project. If it is necessary visits are made to individual residents if they are unable to attend a meeting. ## **Public Benefit** The Trustees follow guidance issued by the Charity Commission, the Regulator for Social Housing and the National Almshouse Association. The charity aims to provide quality sheltered almshouse accommodation for ladies, with limited financial means and in need, in a caring safe environment. Applicants do not need to come from Southampton and this enables them to move nearer their families whilst retaining their independence. Staff monitor the residents’ well-being and enable them to access services which may be available to improve their quality of life and encourage them to participate in social activities. ## **Objects and Activities** Thorner's Homes exists to provide almshouse accommodation for poor widows, and single women aged 55 and over who require such accommodation due to poverty, financial hardship or other charitable need. To further these objects the charity owns and manages two housing schemes in Southampton in which individual flats are provided for each resident: ##  **Thorner's Court, Henstead Road, Southampton, SO15 2GW** This scheme was originally built as bedsits in 1971-1973. Originally remodelled to provide 38 onebedroom flats with communal facilities during 1999-2000, it was by mid-December 2023, a remodelled 42 one-bedroom flat scheme, with refurbished communal facilities. ##  **Robert Thorner Court, 133 Regents Park Road, Shirley, Southampton, SO15 4AG** This scheme was redeveloped in 2010-2014 to provide 60 two-bedroom flats for single occupancy with communal facilities. The charity has two properties held as investment properties to create further income for the charity, both are normally let on assured shorthold tenancies and had two further properties, which were previously used for scheme managers accommodation. One has been repurposed as an administrative office and the other was disposed of in December 2023. ## **Achievements and Performance** The charity has continued to provide good quality almshouse accommodation. The Trustees were aware of the perceived disparity between the quality of the accommodation at the two sites, arising because of the differing age of the two developments. For several years, the charity had been working on a major refurbishment project for Thorner’s Court, that involves the flats being upgraded to provide modern accommodation with improved heating, bathrooms equipped with level access or low-level walk-in showers, instead of showers over baths and modern kitchens with eye level ovens, all designed to make 3 Report of the Trustees ## Thorner’s Homes For the year ended 31 December 2023 the accommodation more appropriate for the age group. Following receipt of planning for certain aspects of the refurbishment plus three additional flats and a second lift which was approved on 26 May 2020, the Charity commenced work on site on the 7 February 2022 with Mountjoy Limited as the main contractor and the project split into three phases. Phase one, consisting of 17 flats, including the former scheme managers flat, was completed on 15 August 2022. Whilst the original contract anticipated the work to take 54 weeks, several issues were discovered during the work, which has led to the contract being extended, despite running phases two and three concurrently. Early in 2023 it was anticipated the project would have been completed by the end of August, however further issues discovered included finding asbestos that had been paid to be removed during the 1999-2000 remodelling hidden under screed and electric cables and water pipes where the lift pit was being constructed that were not on any as built drawings, meant the project did not have practical completion until 8 December 2023. An application for grant funding towards the refurbishment project was made to Homes England and confirmation was received on 22 September 2022 that the application had been successful and that a conditional grant of £2,100,000 was awarded. One of the conditions was that a grant agreement should be signed and this occurred on 8 March 2023 and so the grant income has been recognised in the 2023 accounts. The first payment of the grant award of £1,575,001 was received on 3 April 2023. The final part of the funding was received in February 2024. Due to the delayed completion, at the 31 December 2023, only 77 of the now 102 flats available, were occupied. During 2023, the two resident scheme manager roles, were restructured, this followed the resignation of one of them. Each scheme previously had their own resident scheme manager and they were responsible for all call outs on their site, 24 hours a day, 7 days a week unless on annual leave. The aim of the restructuring was to bring a greater fairness to being on call, a knowledge of both schemes and a larger period of the day, that someone would be around. The new system that was consulted on, with the remaining resident scheme manager, provided for three non-resident wardens in post, that covered over three shifts, 8am to 8pm and across both sites. Removing the need to reside with us, meant we had a larger pool of potential recruits. After consultation, the remaining manager took redundancy and left the charity. The recruitment of wardens has been challenging in the current environment but at the time of writing, two are in place, with the third being recruited for. The welfare and personal situations of residents is closely monitored. The charity aims to deal promptly with any concerns or worries that they may have and as a result have a very low level of resident's complaints. Any matters brought to the attention of the staff or trustees are considered fully and dealt with in a fair and equitable way, with the resident being fully informed. 4 Report of the Trustees ## Thorner’s Homes For the year ended 31 December 2023 ## **Thorner's Court** Since the 1 January 2023, there was one move to Robert Thorner Court. Three internal moves following refurbishment. Two residents moved away and there were four new appointments. ## **Robert Thorner Court** Since the 1 January 2023, the charity sadly lost one resident and another moved permanently to a care home. There was one move from Thorner’s Court and there were four new appointments. Routine and programmed maintenance has continued throughout the year at both sites. ## **Financial review** The overall result for the year was net income for the year of £1,939,897 (2022: net expenditure of £83,426) due to the £2,100,000 of grant income receivable. Excluding the grant income there was a deficit of £160,103 due to the number of flats at Thorner’s Court which have been vacant during the refurbishment project and the costs of the staff restructuring and other one-off items. The deficit on Social Housing activity increased from £155,242 last year to £359,530 due to the vacant flats and one-off costs. Following receipt of the grant funding from Homes England, the weekly maintenance charges for Thorner’s Court, were revised down on the 1 January 2024, in line with the current social rent calculations. This has given a more realistic differential between the one bed flats at Thorner’s Court and the two bed flats at Robert Thorner Court. The weekly maintenance charge at Robert Thorner Court is due to be increased in April by the Regulator’s standard of September CPI + 1%, giving an increase of 7.7% The charity has received revenue from its listed investments, bank deposits and investment properties totalling £68,282 (2022 £36,221). During the year the bank deposits returned a higher level of income, as bank interest rates increased and the NAACIF returns continue to be stable and acceptable. ## **Value for Money Standard** Due to the relatively small size of the charity and the limited resources available the Trustees have always been very cost conscious whilst ensuring that there is sufficient and appropriate expenditure, on staff and facilities, to maintain sufficient and appropriate care and facilities for residents. The finances of the charity are very closely monitored and controlled with robust systems of authorisation and control over funds. All costs are carefully considered for both the short and longer-term benefit. Consideration is given to capital improvements that enhance the facilities and reduce long term operational costs rather than a continual cycle of routine maintenance. All costs are monitored against prior periods and budgets and any variances are subject to scrutiny. 5 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 The charity is committed to delivering effective and efficient services to residents and embraces the Value for Money (VFM) methodology as required by the Regulator of Social Housing (RSH). The charity seeks to ensure that all financial and other resources are used to achieve the greatest benefits for the charity, in working towards the furtherance of the aims of the charity, as described in the governing documents. The requirements of the RSH are to include standard metrics; the following shows these metrics for the charity. They compare the performance shown by these metrics with the charity's peers has been enabled by Acuity’s benchmarking data for smaller providers, those with less than 1000 units, this is for the year ending March 2023. ## **Metric 1 - Reinvestment %** |**Metric 1 - Reinvestment %**|||| |---|---|---|---| ||**2023**|**2022**|**2022/23**| ||**Charity**|**Charity**|**Sector**| |A - Completed properties additions|£3,126,172|£1,385,236|| |B - Completed properties closing net book value|£11,801,716|£8,930,267|| |Result (A divided by B)|26.5%|15.5%|3.8%| ## _Commentary_ The charity has completed the refurbishment of Thorner’s Court which was started in 2022. Opportunities to expand the portfolio further are being considered. ## **Metric 2 – New supply delivered** |**Metric 2 – New supply delivered**|||| |---|---|---|---| ||**2023**|**2022**|**2022/23**| ||**Charity**|**Charity**|**Sector**| |A - New social housing units acquired|4|nil|| |B - New non-social housing units acquired|nil|nil|| |C - Units of social housing owned at end of year|102|98|| |D - Units of non-social housing owned at end of year|1|2|| |Result - Social housing (A divided by C)|3.9%|nil|nil| |Result - Non-social housing (B divided by D)|nil|nil|nil| ## _Commentary_ As part of the refurbishment of Thorner’s Court the number of social housing units operated has increased by 4 new units during 2023. 6 ## Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 ## **Metric 3 – Gearing %** |Loans
Less - Cash at bank and in hand
A - Total
B - Completed properties closing net book
value
Result (A divided by B)|**2023**
**Charity**
£nil
£(2,641,527)
£(2,641,527)
£ 11,801,716
(22.4)%|**2022**
**2022/23**
**Charity**
**Sector**
£nil
£(2,483,714)
£(2,483,714)
£8,930,267
(27.8)%
14.2%| |---|---|---| ## _Commentary_ Like many smaller charities the charity does not currently have any borrowings but has cash funds and therefore has a negative gearing percentage. The gearing percentage has fallen during 2023 due to the increase in the completed properties closing net book value following the completion of the Thorner’s Court refurbishment project. ## **Metric 4 – EBITDA MRI Interest cover %** |Operating Surplus / (Deficit)
Plus - Depreciation charge
Less – Gain on disposal of fixed assets
Less – Grant income receivable
A - Total
B - Interest payable
Result (A divided by B)|**2023**
**Charity**
£1,908,587
£247,171
£(76,698)
£(2,100,000)
£(20,940)
£nil
Not applicable|**2022**
**2022/23**
**Charity**
**Sector**
£(105,964)
£205,726
£nil
£nil
£99,762
£nil
Not applicable
177%| |---|---|---| ## _Commentary_ Like many smaller charities, the charity does not currently have any borrowings and therefore there is no interest payable. 7 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 ## **Metric 5 – Headline social housing cost per unit** |Charitable activities expenditure
Less - Depreciation charge
Less – Loss on disposal of fixed assets
Less - Bad debts
A - Total
B - Total social housing units owned
Result (A divided by B)|**2023**
**Charity**
£1,108,409
£(247,171)
£(24,484)
£267
£837,021
102
£8,206|**2022**
**2022/23**
**Charity**
**Sector**
£812,896
£(205,726)
£nil
£580
£607,750
98
£6,202
£5,495| |---|---|---| ## _Commentary_ The charity’s headline social housing cost per unit is more than the sector comparison due to economies of scale and has increased since 2022 due to staff restructuring costs and other additional one-off costs associated with the refurbishment project and grant application. ## **Metric 6 – Operating margin %** |Operating Surplus / (Deficit)
Less – Grant income receivable
Less - Gain on disposal of housing properties
Less - Donations and Legacies
Less - Investment Income
Plus - Investment costs
A - Operating deficit from social housing
B - Social housing turnover
C – Total turnover
Social housing result (A divided by B)
Total result (A divided by C)|**2023**
**Charity**
£1,908,587
£(2,100,000)
£(76,698)
£(32,219)
£(68,282)
£9,082
£(359,530)
£748,879
£2,949,380
(48.0) %
(12.2) %|**2022**
**2022/23**
**Charity**
**Sector**
£(105,964)
£nil
£nil
£(13,750)
£(36,221)
£693
£(155,242)
£657,654
£707,625
(23.6) %
13.5%
(21.9) %
13.2%| |---|---|---| ## _Commentary_ The charity has reported an increased deficit compared to last year and therefore still has negative operating margin percentages due to the number of flats at Thorner’s Court that have been vacant for the full year during the refurbishment project and one-off costs associated with the staff restructuring and the grant application. 8 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 ## **Metric 7 – Return on capital employed** ||**2023**|**2022**|**2022/23**| |---|---|---|---| ||**Charity**|**Charity**|**Sector**| |A - Operating Surplus / (Deficit)|£1,908,587|£(105,964)|| |B – Total assets less current liabilities|£15,206,737|£13,266,840|| |Result (A divided by B)|12.6 %|(0.8) %|2.0%| ## _Commentary_ The operating surplus, including the grant income receivable has resulted in a positive return on capital employed. ## **Investment Policy** The Trustees’ investment policy is to hold quoted investments for the endowment funds while maintaining liquid funds to enable the charity to pursue future opportunities, which includes strategic purchases of investment property and the investment in existing stock requiring refurbishment. ## **Fundraising Statement** Although the charity does not undertake widespread fundraising from the general public, the legislation defines fund raising as “soliciting or otherwise procuring money or other property for charitable purposes.” Such amounts receivable are presented in our accounts as “voluntary income” and includes legacies and grants. All solicitations are managed internally, without involvement of commercial participators or professional fund-raisers, or third parties. The day-to-day management of all income generation is delegated to the Chief Executive who is accountable to the Trustees. The charity has received no complaints in relation to fundraising activities. Staff terms of employment require all, to behave reasonably always and not to approach individuals for funds. The charity does not consider it necessary to design specific procedures to monitor such activities. ## **Free reserves** The trustees consider that the reserves requirements are in line with the Charity Commission Guidelines. The policy reflects their wish to commit safely as much as possible to our objectives whilst retaining financial stability and the potential to respond to new opportunities. 9 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 At 31 December 2023 the total funds of the charity were £15,206,737, analysed as follows: **----- Start of picture text -----**
||||| |---|---|---|---| |2023|2022| |£|£| |Reserves tied up in buildings|11,843,946|10,272,328| |Reserves restricted to donor nominated purposes|171,042|170,386| |Reserves required to meet ongoing commitments|3,151,531|2,783,908| |Revaluation reserves|40,218|40,218| |_________|_________| |15,206,737|13,266,840| |The Trustees have adopted the recommendations of the Charity Commissioners in respect of prudent| |reserves for future repairs and at 31 December 2023 these were as follows:| |2023|2023|2022|2022| |£|£|£|£| |Other reserves as stated above|3,151,531|2,783,908| |Cyclical repairs and maintenance fund|615,673|615,673| |Extraordinary repairs fund|709,931|709,931| |_________|_________| |(1,325,604)|(1,325,604)| |The Trustees also consider it prudent| |that unrestricted reserves should cover| |one year's operating costs (excluding| |exceptional repairs) which are estimated| |at|(500,000)|(500,000)| |_________|_________| |Free reserves|1,325,927|958,304| |_________|_________| **----- End of picture text -----**
The Trustees have adopted the recommendations of the Charity Commissioners in respect of prudent reserves for future repairs and at 31 December 2023 these were as follows: ## **Risk management** The Trustees have a risk management strategy which comprises a review of principal risks and uncertainties that the charity faces, the establishment of policies, systems and procedures to mitigate those risks and the implementation of procedures designed to minimise or manage any potential impact on the charity should those risks materialise. Attention has been focused on non-financial risks arising from fire, health and safety of properties and residents. These are managed by having robust policies and procedures in place. 10 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 A key element in management of financial risk is the statutory restrictions on income, ensuring regular costs are met from that income and sufficient reserves are available to meet further capital expenditure including replacement of major components. ## **Compliance with Governance and Financial Viability Standard** During the course of the year the Trustees have reviewed the charities systems and procedures to ensure compliance with our chosen code of practice; Charity Governance Code for smaller charities. The Trustees regularly review the financial viability of the charity and decisions regarding short term spending and longer-term investment are tested against these. Where appropriate the Trustees have taken advice and obtained reports from external professional advisors, this is an ongoing process. Following these reviews, the Trustees are of the opinion that the charity complies with the Governance and Financial Viability Standard during the course of the year and up to the signing of the accounts. ## **Compliance with the Tenant Satisfaction Measures Standard (TSM)** The Charity undertook the Residents Perception Survey in March 2024. The results have been collated and will be used in the future should the Regulator of Social Housing introduce the reporting of the TSMs in 2025 by providers with fewer than 1000 homes. In addition to this, during 2023 there were only two Stage One complaints. This was regarding anti-social behaviour of another resident regards to smoking and a heating issue that is connected to an on-going matter in the building. There were no Stage Two complaints. The Resident who complained in 2022 to the Housing Ombudsman Service, was offered alternative accommodation within the scheme during 2023, despite the Ombudsman finding in the Charity’s favour. This was declined by the Resident. The new complaint handling code has seen a change in the Charity’s policy to make it simpler and this was put in place from 1 April 2024. ## **Plans for future periods** The Charity is improving its service to residents with additional support over a greater period of the day. The Resident Scheme Manager roles were replaced by three wardens working on a three-week shift pattern, providing coverage between 8am to 8pm and out of hours cover where necessary. With additional support for residents and statutory compliance matters, the wardens will be able to assist with more social activities. In addition to this, the part-time in-house maintenance resource has proved to be invaluable in reducing costs of contractors and as such is being increased to cover a full week with two part time positions, with a cross over day. The aim of the Trustees is to make Thorner’s Homes the first choice in Southampton for women looking for almshouses accommodation. 11 Thorner’s Homes Report of the Trustees For the year ended 31 December 2023 ## **Auditors** The auditor, Hopper Williams & Bell Limited Chartered Accountants will be proposed for reappointment at the meeting of the Trustees. 15 Jun 2024 Approved by the Trustees on and signed on its behalf by: Paul Meacher P F Meacher **Chairman** 12 Thorner’s Homes Statement of Trustees’ responsibilities For the year ended 31 December 2023 ## **Board Trustees' responsibilities** The Trustees of the board are responsible for preparing the board report and the financial statements in accordance with applicable law and regulations. The board Trustees are also responsible for preparing the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The board Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the surplus or deficit of the charity for that period. In preparing these financial statements, the board Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the applicable Charities SORP - make judgements and accounting estimates that are reasonable and prudent; - state whether applicable UK Accounting Standard have been followed, subject to any material departures disclosed and explained in the financial statements; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. The board of Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and 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 Charities Act 2011, the Housing and Regeneration Act 2008 and the Accounting Direction for Private Registered Providers of Social Housing 2022. 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. 12 Thorner’s Homes Report of the Independent Auditors to the Trustees of Thorner’s Homes For the year ended 31 December 2023 ## **Independent auditor’s report to the trustees of Thorner’s Homes** We have audited the financial statements of Thorner’s Homes (‘the charity’) for the year ended 31 December 2023 which comprise of the statement of financial activities, the balance, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: - give a true and fair view of the state of the charity’s affairs as at 31 December 2023 and of its incoming resources and application of resources for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and - have been prepared in accordance with the requirements of the Charities Act 2011, the Housing and Regeneration Act 2008 and the Accounting Direction for Private Registered Providers of Social Housing 2022. ## **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 financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements 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 financial statements, we have concluded that the trustee’s use of the going concern basis of accounting in the preparation of the financial statements 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 12 months from when the financial statements 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. 13 Thorner’s Homes Report of the Independent Auditors to the Trustees of Thorner’s Homes For the year ended 31 December 2023 ## **Other information** The other information comprises the information included in the annual report, including the trustees’ report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.** In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion: - the information given in the trustees’ report is inconsistent in any material respect with the financial statements; or - sufficient accounting records have not been kept; or - the financial statements are not in agreement with the accounting records; or - we have not received all the information and explanations we require for our audit. ## **Responsibilities of trustees** As explained more fully in the trustees’ responsibilities statement [set out on page 12], the trustees are responsible for the preparation of the financial statements 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 financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, 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. ## **Auditor’s responsibilities for the audit of the financial statements** We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. 14 Thorner’s Homes Report of the Independent Auditors to the Trustees of Thorner’s Homes For the year ended 31 December 2023 Our objectives are to obtain reasonable assurance about whether the financial statements 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 financial statements. 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 of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: We obtained an understanding of the legal and regulatory frameworks that are applicable to the charity, and the industry in which it operates. These include but are not limited to compliance with the Charities Act 2011, The Accounting Direction for Private Registered Providers of Social Housing, UK Generally Accepted Accounting Practice and the requirements of Regulator of Social Housing. We obtained an understanding of how the charity is complying with these frameworks through discussions with management. We enquired with management whether there were any instances of non-compliance with laws and regulations or whether they had knowledge of actual or suspected fraud. These enquiries are corroborated through follow-up audit procedures including but not limited to a review of legal and professional costs, correspondence and a review of board minutes. We assessed the susceptibility of the charity’s financial statements to material misstatement, including the risk of fraud and management override of controls. We designed our audit procedures to respond to this assessment, including the identification and testing of any related party transactions and the testing of journal transactions that arise from management estimates, that are determined to be of significant value or unusual in their nature. We assessed the appropriateness of the collective competence and capabilities of the engagement team, including consideration of the engagement team’s knowledge and understanding of the industry in which the charity operates in, and their practical experience through training and participation with audit engagements of a similar nature. 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. Hopper Williams & Bell Limited is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006. 15 Thorner’s Homes Report of the Independent Auditors to the Trustees of Thorner’s Homes For the year ended 31 December 2023 ## **Use of our report** This report is made solely to the charity’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the 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’s trustees as a body, for our audit work, for this report, or for the opinions we have formed. Hopper Williams & Bell Limited, Statutory Auditor Highland House, Mayflower Close Chandler’s Ford, Eastleigh Hampshire, SO53 4AR 16 Jun 2024 16 ## Thorner's Homes Statement of financial activities for the year ended 31 December 2023 ||**Note**|**Unrestricted**|**Endowment**|**Total**|**Total**| |---|---|---|---|---|---| |||**funds**|**funds**|**2023**|**2022**| |||**£**|**£**|**£**|**£**| |**Income from:**|||||| |Donations and Legacies||**32,219**|**-**|**32,219**|13,750| |Charitable activities:|||||| |- Income from social housing lettings|2|**748,879**|**-**|**748,879**|657,654| |Grant income receivable||**2,100,000**||**2,100,000**|-| |Investments|3|**68,282**|**-**|**68,282**|36,221| |Surplus on disposal of fixed asset||**76,698**|**-**|**76,698**|-| |||**_________**|**________**|**_________**|_________| |**Total income**||**3,026,078**|**-**|**3,026,078**|707,625| |**Expenditure**|||||| |Charitable activities|4|**1,108,409**|**-**|**1,108,409**|812,896| |Investments||**9,082**|**-**|**9,082**|693| |||**_________**|**_______**|**_________**|_________| |**Total expenditure**||**1,117,491**|**-**|**1,117,491**|813,589| |**Net income /(expenditure) before**|||||| |**investment gains**||**1,908,587**|**-**|**1,908,587**|(105,964)| |Gains on investment assets|9|**30,654**|**656**|**31,310**|22,538| |||**_________**|**_________**|**_________**|_________| |**Net income / (expenditure) for the**|5|**1,939,241**|**656**|**1,939,897**|(83,426)| |**year**|||||| |||**_________**|**_________**|**_________**|________| |**Net movement in funds**|5|**1,939,241**|**656**|**1,939,897**|(83,426)| |**Reconciliation of funds:**|||||| |**Total funds brought forward**|14/15|**13,096,454**|**170,386**|**13,266,840**|13,350,266| |||**_________**|**_________**|**_________**|_________| |**Total funds carried forward**||**15,035,695**|**171,042**|**15,206,737**|13,266,840| The notes on pages 20 to 32 form part of these financial statements. 17 Thorner's Homes Balance sheet at 31 December 2023 |**Note**
**Fixed assets**
Tangible assets
8
Investments
9
**Total fixed assets**
**Current assets**
Debtors
10
Cash at bank and in hand
**Total current assets**
Creditors: amounts falling due within one year
11
**Net current assets**
**Total assets less current liabilities**
**The funds of the Charity:**
Endowment funds
13
Accumulated profit
Revaluation reserve
General funds
14
Designated funds
14
**Total unrestricted funds**
14
**Total Charity funds**
14/15|**2023**
**£**
**11,928,898**
**562,876**
**_________**
**12,491,774**
**574,475**
**2,641,527**
**_________**
**3,216,002**
**(501,039)**
**_________**
**2,714,963**
**15,206,737**
**171,042**
**_________**
**1,825,927**
**40,218**
**_________**
**1,866,145**
**13,169,550**
**_________**
**15,035,695**
**_________**
**15,206,737**|**2022**
**£**
10,355,388
531,566
_________
10,886,954
34,794
2,483,714
_________
2,518,508
(138,622)
_________
2,379,886
13,266,840| |---|---|---| |||170,386
_________
1,458,304
40,218
_________
1,498,522
11,597,932
_________
13,096,454
_________
13,266,840| The notes on pages 20 to 32 form part of these financial statements. The financial statements were approved by the Board of Trustees, authorised for issue on and are signed on its behalf by:- P F Meacher **Chairman** Paul Meacher **Trustee** 18 Thorner's Homes Statement of cash flows for the year ended 31 December 2023 ||**Note**|**2023**|**2023**|**2022**|**2022**| |---|---|---|---|---|---| |||**£**|**£**|**£**|**£**| |**Net cash inflow from**|||||| |**operations**|17||**1,858,398**||141,467| |**Cash inflows from**|||||| |**investing activities**|||||| |Investment income||**68,282**||36,221|| |Fixed asset disposal||**367,000**||-|| |proceeds|||||| |Payment for fixed assets||**(2,135,867)**||(2,259,016)|| |||**_________**||_________|| |**Net cash used by**|||||| |**investing activities**|||**(1,700,585)**||(2,222,795)| ||||**_________**||_________| |**Change in cash and cash**|||||| |**equivalents in the**|||||| |**reporting period**|18||**157,813**||(2,081,328)| ||||**_________**||_________| |**Cash and equivalents at**|||||| |**the beginning of the**|||||| |**reporting period**|||**2,483,714**||4,565,042| ||||**________**||________| |**Cash and cash**|||||| |**equivalents at the end**|||||| |**of the reporting period**|18||**2,641,527**
________||2,483,714
________| The notes on pages 20 to 32 form part of these financial statements. 19 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## **1 Accounting Policies** The Charity is constituted as a Charitable Incorporated Organisation (CIO) and is registered in England and Wales. The registered office is 86 Thorner’s Court, Henstead Road, Southampton, SO15 2GU. The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows: ## _**Basis of preparation**_ The financialstatements 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) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and in compliance with the Accounting Direction for Private Registered Providers of Social Housing from January 2022. Thorner's Homes meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note. The accounts include the results of both Thorner’s Homes and the Permanent Endowment Fund of The Dunford Legacy and Reardon Samaritan Funds, which are combined for reporting purposes under the linking direction issued by the Charity Commission on 9 May 2019. ## _**Preparation of the accounts on a going concern basis**_ The Trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. The accounts have therefore been prepared on a going concern basis. ## _**Judgements in applying accounting policies and key sources of estimation uncertainty**_ In preparing these financial statements the Trustees have not made any significant judgements in applying the policies, but have considered the following forms of estimation uncertainty: Investment properties - The fair value of properties at the balance sheet date Fixed assets - Residual value of assets; and the - Economic lives of assets - Value of assets disposed of ## Debtors - Debtors are assessed to identify net recoverable amounts. 20 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## _**Income**_ Income is recognised in the period in which the Charity is entitled to receipt when receipt is probable and when the amount can be measured with reasonable certainty. Income is deferred only when the Charity has to fulfil conditions before becoming entitled to it. The principal sources of income are rents receivable and social charge income which is recognised in the period to which they relate. 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. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield of the investment portfolio. ## _**Social Housing Grant**_ Social Housing Grants have been recognised as income under the performance model. ## _**Fixed Assets and Depreciation**_ ## _**Housing properties**_ Housing properties have been split between their land and structure costs and a specific set of major components which require periodic replacement. Replacement of such components is capitalised, and depreciated over the useful economic lives of the components (excluding land) at the following rates: |Main fabric|-|100 years| |---|---|---| |Roof (Conventional)|-|50 years| |Roof (Flat)|-|20 years| |Mechanical & electrical|-|20 years| |Bathrooms|-|20 years| |Kitchens|-|20 years| |Windows and external doors|-|20 years| Plant & Equipment are depreciated over their expected useful economic life of 5 - 20 years. Assets in course of development are not depreciated until the point in time that they are brought into use. ## _**Investments**_ Investments held as fixed assets are stated at market value. 21 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## _**Fund Accounting**_ General funds are unrestricted funds which 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 purpose. Designated funds are unrestricted funds which have been earmarked by the trustees for a specific purpose. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donors or which have been raised by the Charity for a specific purpose. The Charity has permanent endowment funds for which the Trustees have to invest the capital in perpetuity. ## _**Cyclical repairs and maintenance fund**_ The Trustees have adopted the recommendations of The Almshouses Association in respect of cyclical maintenance funds. Accordingly, the recommended fund level is reviewed annually and a transfer made from accumulated surplus to maintain the cyclical maintenance reserve at the required amount if required. ## _**Extraordinary repairs fund**_ The Trustees have adopted the recommendations of The Almshouses Association in respect of the extraordinary repairs fund. The fund level is maintained in accordance with these recommendations. ## _**Debtors**_ Trade and other debtors are recognised at the settlement amount. ## _**Cash at bank and in hand**_ Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar accounts. ## _**Financial instruments**_ The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. 22 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## _**Creditors and provisions**_ Creditors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. ## **2 Charitable activities income** |Income from social housing lettings
Management charges receivable
Service charge income
Expenditure on social housing activity
Operating deficit from social housing activities
Void losses
**Accommodation in management**
Housing for older people at social rent level.
Non scheme property
Total owned
**3**
**Investment income**
Rental income from investment properties
Income from listed investments
Bank interest receivable
|**2023**
**£**
**468,145**
**280,734**
**_________**
**748,879**
_________
**1,108,409**
**_________**
**(359,530)**
**246,077**
**102**
**1**
_________
**103**
_________
**2023**
**£**
**18,510**
**3,295**
**46,477**
_________
**68,282**|**2022**
**£**
428,844
228,810
_________
657,654
| |---|---|---| |||_________
812,896
_________
(155,242)| |||247,679| |||98
2
_________
100
| |||_________
**2022**
**£**
24,840
3,034
8,347
_________
36,221| 23 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 |**4**
**Charitable activities expenditure**
**2023**
**£**
**Housing expenditure**
Staff costs
**108,740**
Activities undertaken directly
**698,215**
Support costs
**301,454**
_________
**1,108,409**
**5**
**Analysis of net income / (expenditure) for the year**
**2023**
**£**
**Unrestricted Funds**
Net income / (expenditure) before investment gains
**1,908,587**
Gains on investment assets
**30,654**
_________
**1,939,241**
_________
**Endowment Funds**
Gains/(Losses) on investment assets
**656**
_________
**656**
_________
**Total Funds**
**1,939,897**
_________
There was no income or expenditure relating to Endowment Funds in 2023 or 2022.
**6**
**Analysis of support costs**
**2023**
**£**
Staff Costs
**139,796**
Governance costs
**36,364**
Other
**125,294**
_________
**301,454**
_________||**2022**
**£**
104,358
526,910
181,628
_________
812,896| |---|---|---| |||**2022**
**£**
(105,964)
23,771
_________
(82,193)
| |||________
(1,233)
_________
(1,233)
| |||________
(83,426)
| |||________
**2022**
**£**
127,391
20,769
33,468
_________
181,628
________| 24 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 Included in governance costs above, are as follows: |Auditors' remuneration
Auditors' remuneration for non audit work
Professional fees|**2023**
**£**
14,500
2,600
19,264
**_________**
36,364
_________|**2022**
**£**
12,000
2,100
6,669
_________
20,769
_________| |---|---|---| Included in other support costs are grant application costs totalling £45,996 (2022: £Nil). **7 Staff costs** |**Staff costs**||| |---|---|---| |Wages and salaries
Social security costs
Pension
Administration
Housing, support and care|**2023**
**£**
**223,845**
**17,332**
**7,359**
**_________**
**248,536**
_________
**2023**
**Number**
**2**
**4**
**_________**
**6**|**2022**
**£**
205,827
17,889
8,033
_________
231,749
| |||_________
**2022**
**Number**
2
3
_________
5| None of the Trustees have been paid any remuneration or received any other benefits from the Charity or any related entity (2022: £Nil). Two trustees received expenses for parking totalling £117 (2022: £Nil). One employee received emoluments of more than £60,000. This was in the £80,001 to £90,000 band in 2023 (2022: £70,001 to £80,000 band). The key management personnel of the Charity is considered to be the Chief Executive Officer. The total employee benefits of key management personnel of the Charity were £95,106 (2022: £88,497). During the year bereavement payments totalling £10,000 (2022: £Nil) and statutory redundancy payments totalling £12,639 (2022: £Nil) were made. During the year the charity made contributions of £4,056 into the pension of the chief executive. The scheme is a private pension arrangement to which the charity makes contributions. 25 ## Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## **8 Fixed assets** |**Fixed assets**||||| |---|---|---|---|---| |_Cost_
At 1 January 2023
Additions
Transfers
Disposals
At 31 December 2023
_Depreciation_
At 1 January 2023
Charge for the year
On disposals
At 31 December 2023
_Net book value_
At 31 December 2023
At 31 December 2022|**Assets in**
**Completed**
**course of**
**properties**
**development**
**£**
**£**
10,598,579
1,010,237
2,115,935
-
1,010,237
(1,010,237)
(41,858)
-
_________
_________
**13,682,893**
**-**
_________
_________
1,668,312
-
229,839
-
(16,974)
-
_________
_________
**1,881,177**
**-**
_________
_________
**11,801,716**
**-**
_________
_________
8,930,267
1,010,237
_________
_________|**Non**
**scheme**
**properties**
**£**
446,738
8,963
-
(327,717)
_________
**127,984**
_________
49,449
8,255
(37,415)
_________
**20,289**
_________
**107,695**
_________
397,289
_________|**Plant and**
**Equipment**
**£**
35,029
10,969
-
(8,733)
_________
**37,265**
_________
17,434
9,077
(8,733)
_________
**17,778**
_________
**19,487**
_________
17,595
_________|**Total**
**£**
12,090,583
2,135,867
-
(378,308)
_________
**13,848,142**
_________
1,735,195
247,171
(63,122)
_________
**1,919,244**
_________
**11,928,898**
| |||||_________
10,355,388
_________| Included within completed properties is freehold land held at a cost value of £65,465 (2022: £65,465). All properties are freehold properties. ## **9 Investments** |**Listed**
**Investment**
**Investments**
**(note 12)**
**properties**
**£**
**£**
Market value at 1 January 2023
76,566
455,000
Revaluation gain
1,310
30,000
_________
_________
Market value at 31 December 2023
**77,876**
**485,000**
_________
_________|**Total**
**£**
531,566
31,310
_________
**562,876**
_________| |---|---| The Trustees have reviewed, using internal expertise, the value of the investment properties and they have been included at fair value. 26 ## Thorner's Homes ## Notes forming part of the financial statements ## for the year ended 31 December 2023 |The listed investments comprise:
**Cost**
**2023**
**£**
**General Fund**
43,293 NAACIF Income shares
**17,860**
**Dunsford Legacy Fund**
6,249 NAACIF Income shares
**1,798**
**Reardon Samaritan Fund**
36,980 NAACIF Income shares
**9,939**
**_________**
**Total investments**
**29,597**
_________
**10**
**Debtors**
Rent and service charge
Provision for doubtful debts
Prepayments and accrued income
Grant income receivable
**11**
**Creditors: amounts falling due within one year**
Trade creditors
Rent and service charges received in advance
Other creditors
Tax and social security
Accruals and deferred income
**12**
**Financial instruments**
The Charity’s financial instruments may be analysed as follows:
**Financial assets**
Financial assets measured at fair value through the statement of
financial activity|**2022**
**£**
17,860
1,798
9,939
_________
29,597
_________|**__**|**Market Value**
**2023**
**2022**
**£**
**£**
**38,886**
38,232
**5,775**
5,677
**33,215**
32,657
**_________**
_________
**77,876**
76,566
_________
_________
**2023**
**2022**
**£**
**£**
**20,151**
6,588
**-**
(949)
**29,325**
29,155
**524,999**
-
**_______**
_________
**574,475**
34,794
**2023**
**2022**
**£**
**£**
**29,517**
18,834
**6,917**
18,644
**105,632**
60,658
**10,031**
7,912
**348,942**
32,574
**_______**
_________
**501,039**
138,622
_______
_________
**2023**
**2022**
**£**
**£**
**77,876**
76,566
_______
_________|**Market Value**
**2023**
**2022**
**£**
**£**
**38,886**
38,232
**5,775**
5,677
**33,215**
32,657
**_________**
_________
**77,876**
76,566
_________
_________
**2023**
**2022**
**£**
**£**
**20,151**
6,588
**-**
(949)
**29,325**
29,155
**524,999**
-
**_______**
_________
**574,475**
34,794
**2023**
**2022**
**£**
**£**
**29,517**
18,834
**6,917**
18,644
**105,632**
60,658
**10,031**
7,912
**348,942**
32,574
**_______**
_________
**501,039**
138,622
_______
_________
**2023**
**2022**
**£**
**£**
**77,876**
76,566
_______
_________| |---|---|---|---|---| |||||_________
**2022**
**£**
6,588
(949)
29,155
-
_________
34,794| |||**__**
_||**2022**
**£**
18,834
18,644
60,658
7,912
32,574
_________
138,622
_________| |||__||**2022**
**£**
76,566
_________| Financial assets measured at fair value through the statement of financial activities comprise of listed fixed asset investments (Note 9). 27 ## Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## **13 Permanent endowment** |**Permanent endowment**|||| |---|---|---|---| |**Dunsford**
**Legacy**
**Fund**
**£**
At 1 January 2023
5,677
Gain for the year
98
_________
At 31 December 2023
**5,775**
**Represented by:**
Freehold land
-
Cash at bank and in hand (note below)
-
Investments
5,775
_________
**5,775**
**Prior Year**
At 1 January 2023
5,860
Loss for the year
(183)
_________
At 31 December 2023
**5,677**
**Represented by:**
Freehold land
-
Cash at bank and in hand (note below)
-
Investments
5,677
_________
**5,677**
The Permanent Endowment Fund represents freehold land plus
monies are from the sale of:
- 10 Lawnside Road
- Land adjoining 9 Henstead Road
- Capital gains on realised investments|**Reardon**
**Permanent**
**Samaritan**
**Fund**
**Endowment**
**Fund**
**£**
**£**
32,657
132,052
558
-
_________
_________
**33,215**
**132,052**
-
65,465
-
66,587
33,215
-
_________
_________
**33,215**
**132,052**
33,707
132,052
(1,050)
-
_________
_________
**32,657**
**132,052**
-
65,465
-
66,587
32,657
-
_________
_________
**32,657**
**132,052**|_
_|**Total**
**£**
170,386
656
________
**171,042**| ||||65,465
66,587
38,990
________
**171,042**| ||||171,619
(1,233)
________
**170,386**| ||||65,465
66,587
38,334
________
**170,386**| ||||**£**
42,255
2,750
21,582
________
66,587
________| 28 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 The Dunford Legacy relates to a bequest from 1936 for which no will can be found and therefore the funds can never be used (per the Charity Commission). The Reardon Samaritan Fund is a linked charity (no. 1189291) governed by a 1968 scheme requiring the funds to be kept as a Permanent Endowment. The freehold land and any related proceeds from sale must also be treated as a Permanent Endowment. ## **14 Unrestricted funds** |At 1 January 2023
Net gain
Transfers
At 31 December
2023
**Represented by:**
Tangible assets
Investments
Debtors
Cash at bank and
in hand
Creditors:
amounts falling
due within one
year|**General**
**funds**
**£**
1,498,522
1,939,241
(1,571,618)
_________
**1,866,145**
19,487
523,886
574,475
1,249,336
(501,039)
_________
**1,866,145**|**Designated funds**
**Social housing**
**Cyclical**
**Extraordinary**
**assets**
**maintenance**
**repairs**
**£**
**£**
**£**
10,272,328
615,673
709,931
-
-
-
1,571,618
-
-
_________
_________
_________
**11,843,946**
**615,673**
**709,931**
11,843,946
-
-
-
-
-
-
-
-
-
615,673
709,931
-
-
-
_________
_________
_________
**11,843,946**
**615,673**
**709,931**|**Total**
**£**
13,096,454
1,939,241
-
_________
**15,035,695**| |---|---|---|---| ||||11,863,433
523,886
574,475
2,574,940
(501,039)
_________
**15,035,695**| 29 ## Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## **Unrestricted funds** |**(Prior year)**|**General**||**Designated funds**||**Total**| |---|---|---|---|---|---| ||**funds**|**Social housing**|**Cyclical**|**Extraordinary**|| |||**assets**|**maintenance**|**repairs**|| ||**£**|**£**|**£**|**£**|**£**| |At 1 January 2022|3,635,797|8,217,246|615,673|709,931|13,178,647| |Net loss|(82,193)|-|-|-|(82,193)| |Transfers|(2,055,082)|2,055,082|-|-|-| ||_________|_________|_________|_________|_________| |At 31 December|||||| |2022|**1,498,522**|**10,272,328**|**615,673**|**709,931**|**13,096,454**| |**Represented by:**|||||| |Tangible assets|17,595|10,272,328|-|-|10,289,923| |Investments|493,232|-|-|-|493,232| |Debtors|34,663|-|-|-|34,663| |Cash at bank and|||||| |in hand|1,091,523|-|615,673|709,931|2,417,127| |Creditors:|||||| |amounts falling|||||| |due within one|||||| |year|(138,491)|-|-|-|(138,491)| ||_________|_________|_________|_________|_________| ||**1,498,522**
_________|**10,272,328**
_________|**615,673**
_________|**709,931**
_________|**13,096,454**
_________| ## **15 Other unrestricted funds** The following unrestricted funds are included in the Accumulated Profit on the Balance Sheet and as such form part of General Funds: ## **Rogerson & Rose bequests** In 1991 a bequest of £25,000 was made by a local resident. Further amounts of £23,704 and £158,500 were received in 1992 and 2005 respectively. The Will did not specify a purpose for which the bequest was made and accordingly each amount has been included in the income and expenditure account in the year of receipt. The Trustees have agreed that a formal record should be kept of the use of this fund which has been, and will continue to be, used for the benefit of the residents. Notional interest is added to the fund balance on a monthly basis. During 2009, a bequest of £5,000 was received from a former Trustee, and the Trustees added this amount to the fund. Details of movements on the fund for the year ended 31 December 2023 are as follows: 30 ## Thorner's Homes ## Notes forming part of the financial statements for the year ended 31 December 2023 ||**2023**|**2022**| |---|---|---| ||**£**|**£**| |At 1 January 2023|**173,245**|173,828| |Notional interest receivable|**3,800**|900| |Expenditure in the year|**(905)**|(1,483)| ||**_________**|_________| |At 31 December 2023|**176,140**|173,245| ## **Brenda Vera Cooper Will Trust** The daughter of a former resident left an amount in a Will Trust for the benefit of Thorner’s Homes. The capital is held by the Trustees of that Will Trust and Thorner’s Homes receives income periodically when the Trustees decide to make a distribution. Thorner’s Homes have no influence over the investment policies or distribution policies of the Brenda Vera Cooper will trust. ||**2023**|**2022**| |---|---|---| ||**£**|**£**| |At 1 January 2023|**162,793**|149,043| |Income for the year|**32,219**|13,750| ||**_________**|**_________**| |At 31 December 2023|**195,012**|162,793| ## **16 Accumulated housing grant** Included in Charity funds are Housing Grants totalling £8,815,567 (2022: £6,718,667) paid as a form of financial assistance under Section 19 of the Housing and Regeneration Act 2008. ## **17 Reconciliation of net incoming resources to net cash inflow from operations** |Net movement in funds
Depreciation charges
Gains on investments
Surplus on disposal
Loss on disposal
Investment income
(Increase) / Decrease in debtors
Increase in creditors
Net cash provided by operations|**2023**
**£**
**1,939,897**
**247,171**
**(31,310)**
**(76,698)**
**24,884**
**(68,282)**
**(539,681)**
**362,417**
**_________**
**1,858,398**
_________|**2022**
**£**
(83,426)
205,726
(22,538)
-
-
(36,221)
22,623
55,303
_________
141,467
_________| |---|---|---| 31 Thorner's Homes Notes forming part of the financial statements for the year ended 31 December 2023 ## **18 Analysis of changes in net debt** |Cash
**19**
**Capital Commitments**
Authorised and contracted for|**At 1**
**January**
**2023**
**£**
**2,483,714**
**_________**|**Cash Flows**
**At 31 December**
**2023**
**£**
**£**
**157,813**
**_________**
**2,641,527**
**_________**
**2023**
**2022**
**£**
**£**
-
1,961,177
**_________**
_________|**Cash Flows**
**At 31 December**
**2023**
**£**
**£**
**157,813**
**_________**
**2,641,527**
**_________**
**2023**
**2022**
**£**
**£**
-
1,961,177
**_________**
_________| |---|---|---|---| ||||**_________**
**2022**
**£**
1,961,177
_________| On 8 February 2022, the project to refurbish 38 flats and provide 4 new flats at Henstead Road commenced. Phase 1 was completed in August 2022, phase 2 was completed in February 2023 and the final phase three was completed in December 2023. The project is the subject of grant funding from Homes England. ## **20 Operating Lease Commitments** At the year-end date, the Charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases which fall due as follows: ||**2023**|**2022**| |---|---|---| ||**£**|**£**| |Within one year|11,347|10,656| |Between two and five years|22,976|31,656| ||**_________**|_________| ||**34,323**|42,312| ## **21 Related party transactions** One of the Trustees, P Meacher, was a director of FT Pay Limited and Fiander Tovell Limited until 30 September 2023. During the financial year, FT Pay Limited provided payroll services totalling £965 (2022: £965) and Fiander Tovell Limited provided advice on staff restructuring in 2023 totalling £5,220 and VAT advice for the refurbishment project in 2022 totalling £2,591. At 31 December 2023, £241 was outstanding for FT Pay Limited and nil for Fiander Tovell Limited (2022: nil for both companies). 32