Durham Aged Mineworkers. Homes Association Trustees, report and accounts 31 March 2023 Durham Aged Mineworkgrs, Homes Association Trustees, report and accounts Year ondad 31st March 2023 Cont•nts The Board Management Team and Advisors Report of The Board statement of Trustees, responsibilities in respe¢l of the Trustees, Report and the financial slalements Independent Auditor's Report lo the Trustees of Durham Aged Mineworkers, Homes Association Statement of Comprehensive Income for the year ended 31st March 2023 Statement of Financial Position as al 31 st March 2023 Statement of Changes in Reserve5 for the year ended 31st March 2023 Statement of Cash Flows for the year ended 31st March 2023 Notes to the Financial Statements 14 15 19 20 21 22 23 Registered office.. The Grove 168 Front Street Chester-l&Sireet Co. Durham DH3 3YH Charity Number.. 1191033 Registered Provider Number.. 5125 Duth8m Aged Mineworkers, Homes Association Trustees, report and accounts Y&ar 8ncled 31st March 2023 The Board Trustees Anne Rowlands IChair} Gillian Bramfitt (ViTr Chalf) Kate Abson Catherine Louise Buckton Diane Carney Stephen Guy Mark Reid Andrew Thompson INI INI INI Appointed September 2022 IA) Retired September 2023 INI IA) {Al Appointed May 2022 Paul Nilsen Steve Fergus lan Youll Retired May 2022 Retired September 2022 Retired March 2023 IA) {Al (A} All members seTve on The Board. Those indicated IA) cover the Audit Committee, and INI cover the Nominations and Remuneration Committee. _Durham Aged Mineworkers' Homes Association Trustees' report and accounts Year ended 31st March 2023_ ## **Management Team and Advisors** ## **Management Team Officers** Paul Mullis FCA Chief Executive Nicola Local FCCA Finance Director David Graham BSc Quantity Surveyor Operations Director ## **External Auditor** Beever and Struthers One Express, 1 George Leigh Street Manchester M4 5DL ## **Internal Auditor** Azets Bulman House Regent Centre Gosforth Newcastle-upon-Tyne NE3 3LS TIAA Artillery House Fort Fareham Newgate Lane Fareham PO14 1AH ## **Bankers** CAF Bank Limited 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ Co-operative Bank Plc Norfolk House 90 Grey Street Newcastle upon Tyne NE1 6BZ ## **Solicitors** O’Neill Richmonds Law Firm Limited 1-2 Lansdowne Terrace East Gosforth Newcastle upon Tyne NE3 1HL Trowers & Hamlins LLP 55 Princess Street Manchester M2 4EW 2 Dut*am Aged mineworke￿, Hon7es Associ8tion Trustees, report and accounts Year ended 31st March 2023 Report of The Board This report has been prepared in accordan￿ with relevant legislation including the Statement of Recommended Practice for Registered Social Housing Providers. The members of the Executive Committee present their report together with audited financial statements for the year ended 31 March 2023. Statu8 Durham Aged Mineworkers, Homes Association wa5 established in 1898. On midnight of 31st March 2021 the charity became 8 Company Limited by Guarantee (Number 127583751 and is administered by Arb'cles of Association, which were adopted al that date. 11 is a Registered Charity (Number 1191033 - formerly Number 222673), Registered Housing Provider (Number 5125 - formedy Number A32131 and 8 Member of the Nab'onal Association of Almshouses. The Board The Governing Body of Durham Aged Mineworkers, Homes Asso¢ialion is known as the Board. Members of the Board have legal responsibility as Directors of the Company and Trustees of the registered charity. and their detsils are sel out on page 1. All Trustees of the Association pay a £1 subscription, which carries no right to dividends or repayment of capital. The Chief Executive is not registered as a Trustee of the Charity and does not have the legal status of Director of the Company, bul manages the day-to-day operations of the organisation under authority delegated by the Board. Investment Powgrs The Articles of Association empower the Association lo invest money not immediately required for fts purposes in accordance with the statutory powers of investment available lo charitable trusts from time to lime. Objects The Arb'cles define the objects as.. To provide 8nd maintsin services and facilities for aged, infirm or disabled persons or those in financial need, wlh particular regard for the needs of the Original Beneficiaries. For that purpose lo provide and maintsin.. Social housing in the form of almshtsuses, which may be houses, bungalows, apartments or sheltered homes, for such persons who (except in the case of Original Beneficiaries or in other special cases to be appmvgd by the Trustees) are primarily over the age of 50 at the time of appointment Leasehold accommodation specially adapted for aged, Infirm or disabled persons., . Gardens, common rooms, workshops, garages and other ancillary facilitses for the benefit of residents. To manage or provide advice or assistance in the establishment of and management of housing schemes provided or lo be provided by other charities_ In this clause'the Original Beneficiaries" means needy, aged, infirm or disabled persons who were formerly employed in or about coal mines in the County of Durham as constituted on 31st March 1974 or are or were the dependents of persons so employed. Durham Aged Mineworkers, Homes Association Trustees, report 8nd accounts Year ended 31st March 2023 Rgport of The 8oard Icontlnuedl Results for the year The Association had an operating surplus for the year of £2,105k12022'. £2,156kl and an overall surplus for the year of £1,266k12022.' £1,651kl. Revlew of activlties and achievements We are pleased to be able to report continuing strong results for the Association, despite a year of high inflation and ongoing posl-lockdown disruption. We are working in a Challenging environment for business, with international political events continuing lo push inflelion up to very high levels . Despite this we continue to con￿ntrate on providing the best service for our residents whilst making the best use of Oltr reSoUr￿s. We face many ongoing challenges in the Durham Coalfield, We work within deprived communits'es with an increasingly aging population, ongoing reductions in local authority spending and seNices and a private sector housing market that appears reluclanl and unsuited to provide appropriate and affordable housing in the increasing quantities needed. With this as the background, we Gontinue wth a strong on delivering value foi money within the ongoing housing crisis in our region, focusing on the priorities and needs of our residents, and those who would like lo become residents. Our Corporate Strategy 2022 details a strategic vision that is ambitious and facilitates a programme of long term development of new homes, whilst addressing the government's carbon-reduclion agenda. Our existing homes continue lo be maintained to a high standard, Consistent with the needs of our residents who are primarily eldedy, retired, and many of whom have aditional vulnerabilities. An annual planned maintenance programme is undertaken to ensure that all our propertses continue lo exceed the d6cent homes standard and meet the evolving expectations of our residents. Durh8m Aged Mineworkers, Homes Association Tmstees, report and accounts Yearended 31st March 2023 Report of The Board Icontlnuedl Development Overall, our main Key Performance Indicators are considered to be those measuring ￿SIdentS, satisfaction. Historically this has been measured objectively via the triennial STAR survey operated by Housemark. In keeping with previous surveys the Association again scored very highly. The last survey undertaken in 2022 noted a slight decline in that 93g/o of residents were either fairly satisfied or very satisfied wth the overall service provided by the Assoeialion, compared with 94 /0 in 2019. This nevertheless maintained a position towards the top of the 1st quartile of Registered Providers in the country for the year out of those undertakin9 the survey. Satisfaction remained high across all main area's including 97.OYo who were satisfied that their home was well maintained and safe to live in, 96.4P/o who were satisfied with how enquiries are dealt with and 96.1Y• who were satisfied that the Association treated its residents fairly and with respect and 96.64/0 being satisfied with the way the Association dealt with repairs and maintenance. An area identified to be problematic was the grounds maintenance service where 29 /0 of respondents identified issues. This is a known area of difficulty with mnlractors experiencing difficulties recruib'ng sufficient staff to ftjlfill their obligations. This is 2n ongoing situation with efforts continuing lo seek to address the problem. The majority of the Association's rents are 'social rents" by definition and comply with government policy regarding rent setting. As part of the agreed funding mechanism for new homes built be￿￿n 2011 and 2016, a proporhon of stock let al Target Rent are being converted lo Affordable Rent on re-let. We currently have 230 (2022.. 2271 properties where the Maintenance Charge is now set al "Affordable Rent. levels. A88et Management Strategy Having been in existence for 125 years it is the case that a number of our homes are now older and from time to time may become unsuitsble to the needs and aspirations of our residents. We therefore operate an active Asset Management Strategy and continually review all our stock for condition and desirability. Homes that ale considered lo have become of low social value, or require excessive expenditure to maintain to our high standards are deemed redundant, and after consultation with residents, will be sold lo third parties at market value as and when vacancies arise in them. The financial capital released this way is recycled into our development pro9famme for new homes. In 202212023 10 house sales were completed . Govornance Regulatory Requlrements The Association's govemance arrangements comply with governance good practice and regulatory standards. The Association complies with the Regulator of Social Housing's IRSHI Regulatory Framework and Standards and complies with the RSH'S Governance and Financial Viability Code of Practice. Durham Aged Mineworkers, Homes Association Trustees, report and accounts Year ended 31st March 2023 Report of the The Board {continued) The Board The Association has adopted the National Housing Federation NHF Code of Governance 2020. complian￿ wrth the Code 1$ evidenced by an annual assessment carried out by The Board. The Board has a wealth of experience of the community il serves, profession81 skills and a high degree of enthusiasm and commitment. Trustees are appointed on the basis of qualifications and skills deemed by the Board lo be needed by the Associab'on, and are subject to re-election after lemis of 3 years, with a maximum period of service of 6 years, with the possibility of further years of service in the case of exceptional business need to a maximum of 9 years in total. Audlt and Rlsk Comrnittee An Audit and Risk Committee is in place and advises The Board on external financial reporting, inlem81 audit and risk. Internal and external audit matters are reported to the committee and the auditor$ are invited to attend levanl meetings where audit matters are discussed. Additionally, Committee members are given the opportunity to meet with internal and external auditors wrf(hout paid staff being present. Identification and evaluatlon of key risks The Association completes regular risk appraisals. The risk appraisals are based on a matn'x system to highlight those areas Whe￿ the Association is most at risk. This enables the Associabon lo ensure that those risks are mitigated as far as possible. The appraisals and assessments of key strategic risks are reviewed periodically throughout the year. Management responsibility has been clearly defined for the identification, evaluation and control of significant risks. There is a formal and ongoing process of management review in each area of the Association's activities. This process is Co-ordinated through a regular reporting framework by the Audit and Risk Committee. The Executive Management Team regularly considers reports on significant risks facing the Association and the Chief Executive is responsible for reporting to The Board any significant changes affe¢ling key risks as they are identified. Durtjam Aged Mineworkers. Homes AssoGiation Twstees. report and awounts Yearended 31st Ma￿h 2023 Report of The Board {continued) Health and Safety at Work The Association takes its responsibilities for Health and Safety towards employees, contractors and the public seriously and monitors performance and risk accordingly. During the year er¢ded 31 st March 2023 there were no workplace injuries or lost-lime evenls12022'. nil). There were 258.5 days lost (equates lo a rale of 698.64 days lost per 100 employees) due lo sickness (2022.. 179.0 days lost, 483.78 days lost per 100 employees). Sickness increased in the year as 8Yo of stsff experienced long term si¢kness. The Association continues to offer flexible working arrangements, which has been shown lo reduce short term absences. The Association aims to maintain this excellent record and continues to invest in training and regular external review of policies, procedures, and practices accordingly. Risk management The RSH has reported that the Associatlon meets the requirements set out in the Governance and Financial Viability Standard. The Board is responsible for identifying the risks faced by the Associab"on and for detemiining the appropriate action lo manage those risks. The Association has adopted a fomial Risk Management Strategy, which involves carrying out an annual risk appraisal exercise based upon a process of control and risk self assessment. During the year, the Association considered its most serious risk to be cyber security. Criminals are going to ever increasing lengths in their attempts lo gain access lo computer systems. The Association updated its computer servers in 2021122 10 improve the security of its data. In April 2023 we obtained the Cyber Security Essentials Plus accreditation, third paty verification that our computei systems are secure. We continue to do all we can lo reduce this risk going fotward. The Association continues to be exposed to uncertainty and risk due to the political instability in Europe. Using local contractors and not developing propety for sale helps lo manage our exposure to risk. However there are still many unknowns around the longer term impacts, especially around infiabon, costs and availability of materials ft)r our Conlraclors. We continue lo monitor this risk and work closely with our contractors lo respond quickly to any changes in the external environment. We believe we are adequately mitigating against this risk. Other risks in the Association's matrix are relatively longstanding and have identified and long established mitigations in place. The main risks identified in the matrix have been used as the basis for significant stress testing of the Annual Financial Plan and the ongoing business model, which testing indicates that the model is very robust and proposed specific miligalions will provide for the ongoing financial viability of the Associakn'on under most foreseeable adverse scenarios. Durham Aged niineworkers, Hon7es AssoGietion Trustees, report and accounts Year ended 31st March 2023 Report of The Board (contlnugd Internal control The Board has overall responsibility for establishing and maintaining the whole system of internal control and for reviewing its effectiveness. The Board recognises that no system of internal control can provide absolute assurance or elirninate all risk. The system of internal control is designed lo manage risk and lo provide reasonable assurance that key business objectives and expected outcomes will be achieved. In meeting ils responsibilities, The Board has adopted a risk-based approach to internal controls, which are embedded within the normal management and govemance process. This approach includes the regular evaluation of the nature and extent of risks to which the Association is exposed to. The Board reviewed and updated the Association's inlemal Standing Orders and Financial Regulations which document inlemal controls. during the year. The process adopted by The Board in reviewing the effectiveness of the system of intemal control. together with some of the key elements of the control framework includes.. Monitoring and correctlvè adion A process of Control self-assessment and regular management reporting on control issues provides hierarchical assurance to successive levels of management and to The Board, This includes a rigorous procedure for ensuring that corrective action is tsken in relation lo any significant control issues, particulaAy tho$e wl£h a material impact on the financial stalemenls. Control environment and controlproc8dures The Board ￿tainS responsibility for a defined range of issues covering strategic, operational, financial and compliance issues including treasury strategy and new investment projects. The Board has adopted the National Housing Federation's recommended Code of Conduct. This sets out the Association's policies with regard lo the quality, integrity and ethics of its employees. It is supported by a framework of policies and procedures with which employees must comply. These cover issues such as delegated authority, segregation of duties, accounting, treasury man2gemenl, heaFth and safety, data and asset protection, and fraud prevention and detection. Infom7ation and finanelal rOpo￿n9 systems Financial reporting procedures include detailed budgets for the year ahead and forecasts for subsequent years. These are reviewed and approved by The Board. The Board also regularty reviews key performance indicators to assess progress towards the achievement of key business objectives, targets and outcomes. The internal control framework and the risk management process are subject lo regular review by Inlemal Audit who are responsible for providing independent assurance to The Board via the Audit and Risk Committee. The Audit and Risk Committee considers intemal control and risk at each of its meetings during the year. The Board. has Conducted its annual review of the effectiveness of the system of internal control and has taken accoijnt of any Changes needed lo maintain the effectiveness of the risk management and control process. Duth8m Aged Mineworkgrs, HonFes AssOciat￿n Trustegs, report and accounts Year ended 31st M8fGh 2023 Report of The Board (Gontlnuedl The Board ¢onfimis that there is an ongoing process for identifying, evaluab'ng and managing significant risks faced by the Association. This process has been in pla￿ throughout the year under review, up to the dale of the annual report, and is regulaAy reviewed by The Board. Subsldiary Charltigs: The Association manages four subsidiary almshouse charities, which were linked with Durham Aged Mineworkers Homes Association (No. 11910331 via a special ￿solUtion dated 8 October 2021. These charities are accounted for as Reslricled Reserves ￿thin the Association's oveoll reserves, share common Trustees, and whose details are set out on page 46. The aclivrties of the subsidiary almshouse charities during the year have been as follows.. . Brandon Colliery Aged Workers, Homes Association The Association was founded in 1930 and is a Registered Housing Association (No. 3768). Its object is to provide residence for aged persons in need in Brandon and own propety. being the land and buildings known as Brandon Aged Miners, Homes, acquired on 15 July 1930. The twelve one-bedroom, single-storey lerraeed homes wets all fully oc¢upied throughout the year with average weekty maintenance contribution charges of £70.2412022." £67.47) Cockfield Aged Miners, Homes The Charity was founded in 1900 to provide homes for retired or infirm mineworkers in the Parish of Cockfield. 11 is an unincorporated alm$house charity. A stock condition survey was carried out in 2001, which revealed a programme of works required tr) bathrooms and kitchens, roofs and electrics. Whilst the charity has sufficient funds to meet ongoing obligations for day-to4ay repairs, there is a shortfall of available reserves lo fund the longer term programming of the works identified in the survey. In May 2010 il was resolved lo dispose of properties as they became vacant, and statutory consullaknon look place in June 2010. Al 31 sl March 2023, all 7 homes have been sold. The proceeds of sale have been ringfen￿d pending a suitsble development site being identified within Cockfield for the provision of new homes. Homes for Aged Mineworkers and other Workmen at Wingate Colliery The Chanty was founded in 1913 and was formalised by a trust deed dated 31 July 1936 to provide homes for aged mineworkers and other workmen formerly employed al Wingate Colliery. 11 is an unincorporated almshouse charity. The charity's sole remaining propety fell vacant in 2005 and following extensive efforts, no suitable applicants were found from the beneficiary class. The propety was disposed of in March 2006 and the surplus generated on the sale will be utilised lo provide modern homes in the beneficiary area when an appropriate sile is identified. William Russell Bequest The Association took over the management of the William Russell Bequest almshouse charity in 2017, bringing the bungalows into the Durham Aged Mineworkers, Homes Association group of linked charities. The seven two-bedroom, single-storey bungalows were all fully occupied throughout the year with average weekly maintenance contribution charges of £79.0612022'. £75.95) Durham Aged Mineworkets, Hom8s AssoGiation Trustees. report and accounts Yegr endgd 31st MarGh 2023 Report of The Board {contlnued) Going Concern The Asso¢iation's business act'vilies, together with the factors likely to affect its futLtre developmenL performance and position are set out in the report of The Board on pages 3 to 13. The Association meets its day to day working capital requirements throijgh the current account, which is cash positive al the year end. The Association meets it development programme requirements through a combination of grant and debt funding. Note 21 to the accourTrls highlights the current level of debt and repayment terms. The current economic conditions ¢reate a degree of uncertainty over the longer term availability of grant and bank finance. The Association's forecasts and projections show that the Association should be able to continue lo operate within the level of ils current facilities and no matters have been drawn to its attention to suggest that future funding may not be forthcoming in acceptable terms. After making enquiries. The Board has a reasonable expectation that the Association has adequate resources to continue in operational existen￿ for the foreseeable future. Accordingly, they continue lo adopt the going concem basis in preparing these financial stalemenls. Valuè for Money Statement The Association, as a Registered Charity is committed to being an effective and efficient social business achieving high levels of Value for Money I"WM"} in all its aclivilies. A new Vfm Strategy was approved in February 2023. The strategy recognises that WM has been a fundamental ethos of the Association for long time. The Statement identified 4 objectives for WM for the Association over the next 3 years.. Maintain and improve resident satisfaction within budgetary restraints Review the efficiency of key proc85ses Maintain h1gh performance in key, recognised Vfm indi¢es Rationalising our stock This report will cover our progress in these areas, as well as giving a general picture of Vfm within the Association. The results of the lalesl triennial STAR" survey, conducted in July 2022, provide a picture of ongoing continuous improvement in all areas since 2010. Given the ongoing high level of achievement in the survey results and in benchmarking against our peers, the Association is seeking lo maintain ils high levels of satisaclion. The satisfacbon of our residents, and potential residents, continues to be a major priority of the Association and continuous effort is focussed on ensuring that performance in this area does not deleriorale. In pursuing its ch8ritable objectives, the Association does not fund any significant social activities other than maint8ining existing homes, and building new ones. Consequently all expenditure is directed al one or other of these aclivilies. The Association's Annual Financial Plan, which forms the basis of the Associats'on's Corporate Plan, is updated every year. This is the primary way in which capital resources are allocated be￿een these competing priorities. The Board have operated the following underlying priorities within the business plan for many years.. Maintaining financial viability., Providing cost-effeclive services lo residents., Fund investment in existing stock to maintain a slandard appropriate to the aspirations of the residents and in excess of the Decent Homes Standard", io Duthafft Aged Minework&ts' Homes Association Trustees, report and accounts Yearended 31st Ma￿h 2023 Report of The Board (continued) Providing an on%oing development programme to address the undersupply of affordable and appropriately designed homes for older people in the region. Whilst there is competition be￿een these priorities, and there is often a need lo compromise, this does not apply to maintaining financial viability. The latest update to the Association's Annual Financial Plan which looks al the potential financial performance of the Associatron over the next 30 years, was approved by The Board in May 2023 and delivers both an ongoing surplus and a sustainable development programme. This demonstrates a strong position and meets the expectations of extemal stakeholders and funders. Key aws of performance for the Association over time in relation to Value for Money are as follows.. 2023 2022 2021 2020 Operating costs as a percentage of tumover Housing management costs per unit Maintenance costs per unit Routine repairs completed on time Repairs satisfaction 55.62% £287.82 5196¥0 £289.84 52.55% 48.86Q £264.89 £257.10 £710 21 £660.12 £1,007.34 £859.19 98.46% nla 99.220/0 92.60% 90.500 90.500A 92.600/0 Average re-lel timeldays) Current resident maintenance charge arrears New homes developed Redundant homes sold 68.8 70.4 69.8 49.3 £29k £29k £1k £48k 23 13 43 10 12 Operating conditions have proved challenging over the last 4 years with Covid, Brexit, hyper inflation and arcity of resources all impacting on costs. As a result maintenance costs per unit and operating costs as a percentage of turnover have substsntially increased. Repairs requested by residents Continues lo be a priority, and the Asso¢iation has soijghl to maintain standards and service levels despite the increases in unil costs experienced. This continL*es to be a ¢hallenge, however efficiencies have been identified across the organisalion, and it remains our expectation lo continue lo meet long tem) planned maintenance programmes such that targets for exceeding the decent homes standard and achieving EPC-C and long term decarbonisalion goals wll be aehieved. li Duthèn7 Ag8d mineworke￿, Homes Associat￿11 Trustees, report and accounts Year ended 31st March 2023 Report of The Board Icontlnuedl Maintenance costs increased in 2022123. The Association employs local contractors and in line with society as a whole has found shortages of materials leading to increased costs. Inflation to March 2023 was 10.10 and our underlying repairs cost has increased by 170k. We continue to tender all services and look lo achieve the best value for money possible in this Challenging environment. 98.53Yo of repairs were completed on time. A favourable result given challenges around supplies. A repairs sab'sfaclion percentsge of 92.60D/o reflects that on the whole we contsnued lo meet our customers expe¢lations. Average re-let times are improving from a historical high. The relel time al 31 st March 2023 is 68.77 calendar days. Work is ongoing, as the Association conb.nues to investigate options lo improve the attracb'veness of the sheltered schemes. Arrears of maintenance charges continue lo be low compared our peers and we continue lo be proactive in working with our resKlents to keep our arrears at a low level by working wth them closely where problems are identified at an early stage. No new homes were built during the year, however, the Asso¢iation remains committed lo the development of new homes over the medium lo long term. Looking forward to 2023124 we continue to face the challenge of inflation on our costs. We have allowed for expectab.ons within our budget and anticipate real term savings across other budget areas. Following delays on a prospectNe development scheme, due to planning issues, we anttcipale activity returning towards the end of the 2023124 financial year. 12 Durham Aged Mineworkers, Homes Association Trustees, report and accounts Ye8r gnded 31st March 2023 Report of Tho Board {continued) The RSH also requires us to report our performance against 7 specffic metrics which are as follows". MelriG Sector 2022123 2021122 2020121 Quartile 2021122 Outturn Outtum Outtum l. Reinvestment % 1.57Yo 2a. New Supply Dellvered Sooal Housing% 2b. New Supply Delivered Non Soaal Housing % 3. Gtrari Q.OOYo 1.270 0.73% O.OOVo 0.000 12.16D/g 16.77% 16.36Yo 4. Earnings Before Inlerast, Tax. Depreciation ,Amortisatiofi, Major Repairs Included IEBITDA MRI) Interest Cover % 2620 5. Headllne Social Housing Co¥t per Unit 6a Operating Marpin- Social Housing % 6b. Operating Margin- All % £3,287 22.840 £3,122 £2,927 25.91 Ok 25.210 25.500A 31510 7 Return on Capital Employ8d IROCEI % 2.74/0 3.350A We have benchmarked our results against 18 peers with 1500 to 2000 properties in the North of England using the lalesl data available from Housemark- the 2021122 financial year. As at 2021122 we continued to perfomi in the lop quartiles for most measurements. We have improved our position from the 4th lo the 3rd quartile for reinvestment costs, with our stock Condition survey validating our belief in the good condition of our stock. We appear in the 2nd quartile ftir new supply delivered, improving from the 3rd quartile last year. We Gontinue to build new properties where we can bul are limited by the availability of suitable land close to amenities for our older residents. As well as the RSH metrics we subscribe lo a Pulse report with Housemark. This report demonstrates that we perform well against our peers ￿th high satisfaction levels with the overall service we provide Looking forward lo 2023124 we will work lo reduce costs wherever possible within the difficult high inflation environment that we find ourselves in, whilst ensuring we continue lo provide the high level of Servi￿ that our residents have come to expect. Alongside all Registered Providers we are anticipating the requirement for significant investment in our stock in order lo comply with forthcoming regulations on EPC standards and the 9ovemment's long term target of achieving nel zero carbon emisions. We have established priorities for investment and have begun work accordingly. The priority for the Association remains maximising the opportunity for affordable warmth for our residents within the changing energy environment ahead. 13 Durham Aged Mineworkers, Homes Association Tmstees, report end accounts Year ended 31st March 2023 ststemenl of Trustees, re$ponsiblllties in respect of the Trustees, Report and the Ilnancial Statements Under charity law, the Trustees are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and regulations. The financial statements are required by law to give a true and fair vtew of the state of affairs of the Association and of the SL¢rplus or deficit for that period. In preparing these financial statements, The Board is required lo.. select suitable accounting policies and then apply them consistently., make judgements and estimates that are reasonable and prudent., slate whether the recommendations of the Statement of Recommended Practice have been followed, subject to any material departures disclosed and explained in the financial statements", stale whether the financial ststements comply with the trust deed, subject to any material departures disclosed and explained in the financial statements,. and prepare the financial ststemenls on the going concern basis unless it is inappropnate to presume that th8 Associat'on will conts'nue in business. The Trustees are responsible for keeping proper accounting records, sufficient to disclose at any time, wf(h reasonable accuracy, the financial position of the Association at that time and enable The Board to ensure that ils 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. The Board has general responsibility for taking such steps as are reasonably open lo them to safeguard the assets of the Association and lo prevent and delecl fraud and other irregularities. The Board is responsible for the maintenance and integrity of the corporate and financial information included on the Association's website. Legislation in the UK governing the preparation and disseminab'on of financial statements may differ from legislation in other jurisdictions. Dlsclosure of Infonnation to auditor The Trustees who held office al the date of approval of this report confirm that, 50 far as they are each aware, there is no relevant audit information of which the Association's auditor is LtnawaTe.' and each member has taken all the steps that he15he ought lo have taken as a member lo make himselflherself aware of any relevant audit information and lo establish that the Association's auditor is aware of that infomalion. Auditor A resolution to reappoint Beever and Strulhers as auditor will be proposed at the Annual General Meeting. Signed on behalf of the Trustees.. Vice Chair Gillian Bramfitt 21 September 2023 14 Durh8m Aged Mineworkers. Hon7es Associal￿n Tmstees, report 8nd accounts Year ended 31st March 2023 INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF DURHAM AGED MINEWORKERS. HOMES ASSOCJATION Opinion We have audited the financial statements of Durham Aged Mineworkers, Homes Association (the 'Association') for the year ended 31 March 2023 which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Reserves, the Statement of Cash Flows and the notes to the financial slatemenls. The financial reporting framewotk 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 Praclicel. In our opinion, the financial statements.. give a true and fair view of the state of the Association's affairs, including related housing activities, as at 31 March 2023 and of ils incoming reSoUr￿S and application of reSoUr￿s, for the year ended,. have been properly prepared in accordan￿ with United Kingdom Generally AC￿pIed Accounting Praclice,- and have been prepared in accordanGe with the requirements of the Charities Act 2011, the Housing and Regeneration Act 2008, the Accounting Direction for Private RÈgislered Providers of Social Housing 2022 and the Housing SORP 2018.. Statement of Recommended Practice for Registered Social Housing Providers. asis for oplnlon We conducted our audit in accordan￿ with International Standards on Auditing IUKI IISAS IUKI) and applicable law. Our responsibilities under those standards are further described in the ALJdilorfs responsibilities for the audit of the financial statements section of our report. We are independent of the Association in accordance with the elhieal 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. Conclusion8 relatlng to going concem In auditing the financial statements, we have concluded that the Iruslees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Base(l on the work we have performed, we have not identified any material uncertainties relating to events or conclilions that. individually or collectively, may cast significant doubt on the Association's ability lo continue as a going concern for a period of at least ￿e1ve months from when the financial statements are aulhorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. 15 Dutham Aged Minewort&rs' Hon￿5 AssocIat￿n Trustees, r8port and accounts Year ended 31st March 2023 Other Infonnation The other infomiation comprises the infoTmalion included in the trustees, report, other than the financial statements and our auditorfs report Ihereon. The Iruslees are responsible for the other information contained within the trustees, report. Our opinion on the financial statements does not cover the other information and, except to the extent othetwse explicitly stated in our report, we do not express any form of assurance conclusion Ihereon. If we identify such material inconsistencies or apparent material misstatements, we aro required lo determine whether this gives rise to a material mis51atemenl in the financial statements themselves. If, based on the work we have perfomied, we eonclude that theré is a material misstatement cf this other information, we are required lo report that fact. We have nothing to report in this regard. Matters on which we are requlrod to report by exception We have nothing to report in respect of the following matters in relation lo which the Chanties (Accounts and Reports) Regulations 2008 require us to report to you if. in our opinion.. in light of the knowledge and understsnding of the Association and its environment obtsined in the course of the audit, we have not identified material misstslements in the trustees, report,. or proper 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 oui audit Under the Housing and Regeneration Act 2008, we are required to report to you if, in our opinion.. proper accounting records of its transactions and it$ assets and liabilities in ￿latiOn to its housing activities have not been kept., and a satisfactory system of control of those records, its cash holdings and its receipts and remittances in relation to those activities has not been maintained. Rgsponslbilities of trustees As explained more fully in the Stslement of Trustees, Responsibilities set out on page 14, 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 inlemal control as the trustees delemines is necessary to enable the preparation of financial statements that are free from material misslatemenl, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the Association's ability to continue as a going concem, disclosing, as applicable, matters related to going concern and using the going con￿rn basis of accounting unless the trustees either intends lo liquidate the Association lo cease operations, or has no realistic alternative but to do so. Auditor's rosponsibi1Stles for the audit of the flnancial 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 thereundar. 16 Durham Aged Mineworkets, Homes Association Trustees, report and accounts Year ended 31st March 2023 Our objectives are lo obtain reasonable assurance about whether the financial stslements as a whole are free from material misstatement, whether due to fraud or error, and lo 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 a￿ayS detect a material misslatemenl when it exists_ Misstalemenls 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 slalements. Auditovs responsibilities for the audit of the flnanclal statements A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's web-site at www.frc.org.uklaudilorsresponsibililies. This description forms part of our auditols report. Extont to which the audit was considered capable of detecting Irregularltles. includlng fraud We identify and assess the risks of material misstatement of the financial statements, whether due lo fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is suffi'cient and appropriate to provide a basis for our opinion. In identifying and addressing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following.. We obtained an understanding of laws, regulations and guidance that affect the Association, focusing on those that had a direct effect on the financial statements or that had a fundamental effect on its operations. Key laws, regulations and guidance that we identified included the Charities Act 2011, the Statement of Recommended Practice for registered housing providers.. Housing SORP 2018, the Housing and Regeneration Act 2008, the Accounting Direction for Private Registered Providers of Social Housing 2022, lax legislation, health and safety legislation, and employment legislation We enquired of the trustees, and reviewed correspondence and board meeting minutes for evidence of non-compliance with relevant laws and regulations. We also reviewed controls the Iruslees, have in place, where necessary, to ensure complian￿. We gained an understanding of the controls that the Iruslees, have in place lo prevent and delecl fraud. We enquired of the Iruslees about any incidences of fraud that had taken place during the accounting period. The risk of fraud and non-compliance with laws and regulations was discussed within the audit team and tests were planned and performed to address these risks. We identffjied the potential for fraud in the following areas.. laws related lo the construction and provision of social housing recognising the regulated nature of the Assoeiation's activities. We reviewed financial statements disc105ures and supporting documentation lo assess compliance wth ￿levant laws and regulations discussed above. We enquired of the trustees about actual and potential litigation and claims. 17 Durham Aged mineworke￿, Homes Association Trustees, report &nd &ccounls Ye&r ended 31st M8nh 2023 We performed analytical procedures to Identify any unusual or unexpected relatlonships that mlght Indicate rlsk of rnaterl31 misstaternent due to fraud. In addres51ng the r15k of fraud due to management override of internal controls we tested the 3ppiopriateness of journal entries and assessed whether the judgement5 made Sn maklng accounting estimates were Indlcatlve of a potential bla5. Use of our report This report Is made 501ely to the Assoclatlon's Èrustees, as a body, Sn accordance wlth Part 4 of the Charitie5 IAccounts and Reports) Regulations 2008. Our audit work has beon und@rtaken so that we might state to the trustees those matter5 we are requlred to state to them in an audltorf5 report and for no oiher purpose, To the fullest extent permittEd by law, we do ￿0t ac￿pt Dr assume respon5ibllSty to anyone other than the Assoclatlon alld the Association's trustees as a iiody, for our audit work, for this report, or for the opinions we have formed. Richard Graharn ACA Isenior Statutory Auditor) For and on behalf of Beever and Struthers Statutoiy Audltor One Expre5S l George Leigh street Manchester M4 5DL Date.. 22 September 2023 18 Durham Aged Mineworkgrs, Homos Association Trustees, report and accounts Yearended 31st March 2023 Statement of Comprehensive Incomo for the year ended 31st March 2023 2023 2022 Total £'ooo Note Total £'ooo Turnover 8,791 8,454 Oporatlng EX￿ndItUre Release of Disposal Proceeds Fund ProfiU{Lossl on Disposal of Fixed Assets {6.778) {6,2531 92 1451 Operatlng Surplus 2,105 2,156 Interest Receivable 77 21 Intere$l and Financing Costs {916} {526) Surplug for tho year 1,266 1,651 Actuarial Gainl{Lossl in Respect of Pension Schemes Movement in Fair Value of Investments 22 1721 443 14 {33) Total Comprehensive Income for the Year 1.161 2,14S The financial statements were approved and authorised for issue by the Board on 21 September 2023 and signed on its behalf by.. Wce Chalr Gllllan Bramfltt Trustee Mark ReiTd The A8s¢xlation8' results relate wholly to continuing actlvities and the notes on pag•$ 23 to 48 form an Integral part of theso financi•l statements. 19 Dutham Aged Mineworkers, Homes Association Trustees. report and accounts Yearended 31st M?rch 2023 Statement of Financial Position as at 31st March 2023 31 March 2023 £'ooo 31 March 2022 £'ooo Note Fixed Assets Tangible Fixed Assets Investments 12,13 14 78,625 1,220 79,845 79,626 829 80,455 Current Assets Trade and Other Debtors Cash and Cash Equivalents 15 271 8,820 9,091 268 2,140 2,408 Creditors.. Amounts Falling Duè Within One Year 16 13,234) 14,1221 Net Current Assets Total A$sets less Current Liabilities 5.857 85,702 1.714 78.741 Creditors". Amounts Falllng due Aftgr Morè than one Year 17 (57,022} 150,9891 Provisions for Liabilitigs Pension Liability 22 11,163) 11,3961 Total Net Assets 27,517 26,356 R8s•rves Income and Expendtture Reserve Restricted Reserve Designated Reserve Totsl Reserves 23,406 1,467 2,644 27,517 22,185 1,452 2,719 26,356 25 The financial statements were approved and authorised for issue by the Board on 21 September 2023 and signed on its behalf by.. Vleè Chalr Gillian Bramfitt Trustee Mark Reid Thè notes on pag•8 23 to 48 fomi an integral part of these financial statements 20 Durham Aged Mingwothers, Homes Associ&tion Trustees, report and accounts Ye8rended 31st March 2023 Statement of Changes in Reserves for the year ended 31st March 2023 Income and Expenditure Reserve £000 Notg Restrlcted Designated Res9r•e Reserve £'ooo £'ooo Total £'ooo Balances as al 1 April 2021 Sutplus for the Year Release of Disposal Proceeds Fund Actuarial gain on pension liability Movement in Fair Value of Investments Transfer of Designated Expenditure from Designated Reserve Transfer of Reslricled Expenditure from Unreslricled Resetve Balance at 31 March 2022 20,004 1,651 1,413 2,824 24.241 1,651 22 14 443 47 443 51 75 1105) 1301 35 22.185 35 1A52 2.719 26,356 Surplus for the Year Release of Disposal Proceeds Fund Actuarial loss on pension liability Movement in Fair Value of Investments Transfer of Designated Expenditure from Designated Reserve Transfer of Restricted Expenditure from Unrestrtcted Reserve Balan¢e at 31 March 2023 1,266 1,266 22 14 172) 1331 1721 (33) 75 (751 15 23,406 15 1,467 2,644 27,517 Th8 notes on pages 23 to 48 forni an integral part of th￿e financial statements 21 Durham Aged Mineworkers. Homes Associal￿n Trustees, report and accounts Year ended 31st March 2023 Statement of Cash Flows for the year ended 31st March 2023 2023 £'ooo 2022 £'ooo Net Cash Generated From Operatlng Actlvltles (see note11 3,122 3,209 Cash Flow From Investing Activities Purchase of Tangible Fixed Assets Proceeds From Sale of Tangible Fixed Assets Grants Received Interest Received 11,4211 {3,485} 458 {551 184 68 18 189S} 13,3391 Cash Flow From Financing Activities Inte￿st Paid New Secured Loans Other net cashflow Repayments of Borrowings 18931 8,000 2,436 5,090 4,453 14871 2,000 2,532 Net Change in Cash and Cash Equivalents Cash and Cash Equivalents al Beginning of the Year Cash and Cash Equivalents at End of the Year 6,680 2,140 8,820 11,1481 3,288 2,140 2023 £'ooo 2022 £'ooo Note I Surplus for the year Adjustments for non4ash items: Depreciation of tangible fixed assets Amortisalion of grants Decreasellincreasel in trade and other debtors Increaselldecreasel in trade and other creditors Pension costs less contributions payable Profil (Lossl on disposal of tangible fixed assets Release of winter reserve Adjustments for investing or financing activities: Interest payable Interest re￿iVed Net cash generated from operab'ng activities 1,266 1,651 1,970 14511 121 1611 13471 {92} 1,914 {4471 1931 {1681 {1681 45 1301 916 77 3,122 526 21 3.209 The notss on pages 23 to 48 fonn an integral part ofthese financlal ststsmgnts 22 Durham Aged Mineworkers. Hon7es Associal￿n Trustees, report and accounts Year ended 31st Ma￿h 2023 Notes to the Financial Statements 1. Legal stslus At the Balan￿ Sheet date Durham Aged Mineworkers, Homes Association was an Incorporated Registered Charity (No. 11910331, a Registered Social Housing Provider INO. 51251 and a Member of the National Association of Almshouses. As set out in the Board Report and Note 27, Durham Aged Mineworkers, Homes Association became an Incorporated R￿iStered Charity at midnight on 31st March 2021. Durham Aged Mineworkers, Homes Association's principal activity is to provide social housing 2. Princlpal aecountlng policie8 Basls of accounting The firiancial statements of the Association are prepared in accordance wth UK Generally A¢￿pted Accounting Practi￿ (UK GAAPI, including Financial Reportin9 Standard 102 IFRS1021 and the Stslement of Recommended Practice ISORP}'. aecounting for Registered Housing Providers 2018 and comply with the Accounting Direction for Private Registered Providers of Social Housing 2022. Accounting policies have been applied Consislenlly throughout the year. The financial statements are prepared on a going concern basis. nder the historical cost convention. While the Association is an Incorporated Charity and a member of the National Associab'on of Almshouges the Association is also a Registered Social Housing Provider. Therefore the financial statements have been prepared in compliance with the Housing SORP 2018 to enable consistency, ease and transparency in our reporting lo the hoUs￿ng regulator. The accounts include the results and net assets of William Russell Bequest, Brandon Colliery Aged Workers, Homes Association, Co¢kfield Aged Miners, Homes and Homes for Aged Mineworkers & Other Workmen al Wingate Colliery, which are all entities controlled by Durham Aged Mineworkers, Homes Association. These bodies are all linked to Durham Aged Mineworkers, Homes Association via a linking direction from the Charty Commission. This means that the Association is only required to prepare single entity accounts that consolidate the results of all the linked bodies, rather than preparing separate a¢counls for Durham Aged Mineworkers, Homes Association and separate consolidated financial statements. Golng Concern The Association's financial statements have been prepared on a going ¢onc&rn basis which asstjmes an ability lo continue operating for the forseeable future. No significant concerns have been noted in the business plan updated for 2022123 and therefore we consider it appropriate to continue lo prepare the financial statements on a going concern basis. The Associations, business aclivilies, its current financial posib'on and the factors likely to affect ils future development. performance and position are sel out in the Report of the Board. There is expected to be an additional cost of materials going forward due to high inflation. The Business Plan model has assltmed that repair costs will rise above inflation by 2.50/0 in 2023124 followed by 10/0 for the followng three year period. All costs have been fully stress tested without detnment lo going concern in May 2023. 23 Dutham Aged m1newothe￿, Hon7es Association Trustees, report and accounts Y88rended 31st March 2023 2. Principal accounting policies {continued} Significant Judgemtrnts and 9Stlmatos The preparation of the financial statements requires management to make judgements, eslimales and assumpts'ons that affect the amounts reported for assets and liabilities as al the statement of financial position dale and the amounts reported for revenues and expenses during the year. However, the nature of eslimalion means that actual outcomes could differ from those eslim81es. The following judgements lapart from those involving eslimatesl have had the most significant effect on amount5 recognised in the financial slalements. Development oxpendlture The Association capitalises development expenditure in accordance with the accounting policy described on pages 26 and 27. Initial capilalisation of costs is based on management's judgement that the development scheme is confirmed. usually when Board approval has taken place including ac*ss to the appropriate funding. Useful lives oldepreciable assets Management reviews its estimate of the useful lives of depreciable assets al each reporting date based on the expected utility of the assets. Uncertainties in these estimates relate to technological obsolescence that may change the utility of certain so￿are and IT equipment and chang8s lo decent homes standards which may require more frequent replacement of key components. Deflned benèfrt obllgation The eosl of defined pension pension plans are determined using actuarial valuations. The actuarial valuation involves making assumptions about dis¢ount rates, future salary increases, mortality rates and future pension increases. Due lo the complexity of the valuation, the undedying assumptions and long term nature of these plans, such estimates are subject to signifi'vanl uncertainty. Management ulilise the SHPS pension actuary experts to help delemiine the appropriate assumptions and calculations lo apply. Impairnient The Association considers whether indicators of impairment exist in relation to tangible assets. Indicators considered include external sources of information such as market value, market interest rates and returns on investment, actual or proposed changes the technological, economic or legal environment, obsolescence or damage to the asset, operation81 changes or internal reporting which indicates that the asset is performing worse than expected. The Association also considers expected fu￿re performance of th8 asset. Annually housing properties are assessed for impairment indicators. whe￿ indicators are identified an assessment for impairment is undertaken comparing the carrying amount of the asset to its recoverable amount. Where the carrying amount of an asset is deemed lo exceed its recoverable amount, the asset is written down to its recoverable amount. The resultsng impairment loss is re¢ognised as operating expendtture. 24 Durham Ag8d Mineworters, Hornes Assooiation Trustees, report and accounts Year ended 31st March 2023 2. Principal accounting policies (continued} Turnover Turnover comprises rental and service charg@ income receivable for the year, and amortised capitsl grant8. Rentsl income is recognised from the point when properties under development reach practical completion or otherwise become available for letting, nel of any voids. Taxation Durham Aged Mineworkers, Homes Association is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempl from taxation in respect of income or capital gains received within categories covered by chapter 3 part11 of the Corporation Tax Act 2010 or section 256 of the Taxab'on of Chargeable Gains Acl 1992, to the extent that such in¢ome or gains are applied exclusively to charitable purposes. Interest payable Interest is capitalised on borrowings to finance the development of qualifying assets to the extent that it accrues in respect of the period of development if il ropresents.. al Interest on borrowings specifically financing the development after deduction of related grants received in advance,. or bl A fair amount of interest on borrowings of the Association as a whole after the deduction of social housing grant received in advance lo the extent that they can be deemed to be financing the development programme. All other interest payable is charged to the Statement of Comprehensive Income in the year. Flnanclal Instruments The Association have assessed financial instruments held as basic in accordance with FRS 102, and as such are accounted for under the amortised historic cost model, except for the investments held which are measured at fair value. The carrying value of financial instruments 8131 March 2023 was £8,820. Cash and cash equivalents Cash and cash equivalents comprise cash al bank and in hand as well as short temi deposits with a m8lurty date of three months or less. Debtors Debtors with no staled interest rate and receivable or payable within one year a￿ recorded at transaction price, less any impairment. Credltors Creditors with no staled interest rate and receivable or payable within one year are recorded al transaction price, less any impairment. 25 Durham Aged Minework8rs' Hon7es AsSociat￿n Trustees, report and 8c¢ounts Year gnded 31st March 2023 2. Princlpal A¢¢ounting pollcies Icontlnued) Loans All loans held by the Association are classified as basic financial instruments in accordance with FRS102. They are held al transaction price plus transactions costs initially, and subsequently at amorb'sed cost using the effective interest rate method. Loan interest costs are calculated using the effective interest method of the difference betsveen the loan amount al initial recognition and amount at maturity of the related loan. Employ80 Beneflts Short-term employee benefits and contributions to defined contribution plans are recognised as an ex￿nse in the period in which they are incurred. Pensions The Association participates in an industry-wide multi-employer pension scheme offering a number of defined benefit schemes as well as a defined contribution scheme,. the Social Housing Pension Scheme ISHPSI. The Scheme is Adminislraled by The Pensions Trust ITPTI who also act as the Scheme actuary who provide an esb'mate of the Association's share of the s¢heme assets and liabilities. The estimate is based on a number of critical underlying assumptions such as standard rates of inflation, mortality, discount rate and anticipation of future salary increases. Variation in these assumptions may significantly impact the liability and the annual defined benefit expenses. The assumptions used and the accounting entries underpinning the pension liability estimate ¢an be viewed in note 22. Housing properties Housing properties are properties held for the provisiot) of social housing or lo olhernise provide social benefit. Housing properties are principally properties available for rent and are stated al cost less accumulated depreciation and impairment losses. Cost Includes the Cost of acquiring land and buildings, development costs and interest charges incurred during the development period. Works to existing properties which replace a component that has been Irealed separately for depreciation purposes, along with those works that result in an increase in net rental income over the lives of the properties, thereby enhancing the economic benefits of the assets, are capitali5ed as improvements. Land that has been donated to the Association is added lo cost at the fair value of the land at the time of the donation. Land is not depreciated. The Association has adopted a de-minimis level of £5,000, which means that all expenditure relating to Housing Properties below this value is expensed directly to the Statement of Comprehensive Income rather than being capilalised. In addition, the Association has also adopted the policy of treating all expenditure relating to Disabled Adaptations as revenue expenditltre a5 they are deemed not lo add any value to a property. Soclal Housing Grant Where developments have been fInan￿d wholly or partly by social housing and other grants, the amount of the grant received has been included as deferred income and recognised in Turnover over the eslimaled useful life of the associated asset structure (not landl, under the accruals model. Grant received for items of cost written off in the Statement of Comprehensive Income Account is included as part of turnover. Grant musl be recycled by the Association under ¢ertain conditions, if a propety is sold, or if another relevant event lakes place. In these cases, the grant can be used for projects approved by Homes England. However, grant may have lo be repaid if ￿rtain conditions are not met. 26 Durham Aged Mineworkets, Homes Association Twstees, report and accounts Year ended 31st M8rch 2023 2. Prlncipal Accountlng policies {¢ontlnuod} Recycling of Capltal Grant Where grant is recycled, as described above, the grant is credited to a fund which appears as creditor until used lo fund the acquisition of new properties, where recyeled grant is known to be repayable it is shown as a Creditor due within one year. Depreciation of housing propertles Freehold properties, other than properties under construction, are depreciated so as to write down Roof Heating systems 40 years Ele¢lrics 30 years Windows and extemal doors 30 years Lift 25 years Bathroom 20 years 20 years Kitchen Gas Boiler 15 years Freehold land is not depreciated. 10 years Housing properties in the course of construction are slated at cost and not dep￿cIated. 27 Durham Aged Mineworkers, Homes Association Trustees, report and accounts YeBr ended 31st March 2023 2. Prlncipal Accounting pollcigs {continued) Other fixed assets and depreciation Other tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such ss technological innovation, product life cycles and maintenance programmes are taken into account. The carrying value of tsngible fLKed assets al 31st March 2023 was £322k. Depreciation is charged on a straighl-line basis over the expected economic useful lives of the assets 21 the following annual rates.. Freehold office Equipment. furniture and fixtures 20A per annum straight line method Computer equipment 10Yo per annum straight line method 33.30/0 per annum straight line method Lease8 The rental payable under operating leases is Charged lo the Statement of Comprehensive Income on a straight- line basis over the term of the lease. Reserves The Association establishes restricted reserves for specific purposes where their use is subject to external restn'ctions. The Associabon has also created tsvo designated reserves as follows.. (i) Planned maintenarpce and improvements A designated reserve has been created in order lo meet fvture expenditure upon planned maintenance and improvements in accordance with the Asso¢ialion's rolling 5 year Planned Maintenance Programme, which is revised annually as part of the financial planning process. The reserve has been established lo the extent that it is considered that expenditure will need lo be mel from the Association's own reserves. Al other expenditure upon improvements and major repairs will be mel by a Combination of boffowing and Social Housing Grant. (li) Winter res8The A winter reserve has been Created to meet excess costs incurred in the event of severe winter weather. Prior lo the recent storms this provision sat at £50,000. The current reserve is £20,000 following significant storm damage in the year. Hollday Accruals A liability is ￿cogniSed to the extent of any usused holiday pay enb'tlement which has accrued at the reporting dale and carried forward to future periods. This is measured at the undiscounled salary cost of the future holiday enbtlemenl so accrued at the reporting dale. 28 Durham Aged Mineworkers, Hon7es Association Truslees, report and accounts Yearend&d 31st March 2023 3. Particularn of Turnover. Cost of Sales. Oporating Costs and Opgratlng Surplws 2023 Operating Turnover Expenditure £'ooo £'ooo Opèrating Surplus £'ooo Social Housing Lettings Housing Accommodation (Continuing Operation} Total Social Housing lettings 8,736 8.736 6,738 6,738 1,998 Other Social Housing Actlvlties Garages and Allotments (Continuing Operation) Management Services (Continuing Operation) Lease of Residential Home (Continuing Operation) 32 1401 18} 21 55 8.791 21 15 2,013 40 ProfiUILossl on disposal of fixed assets Operating Surplus 92 2,105 2022 Operating Turnover Expenditure £'ooo £'ooo Operating Surplus £'ooo Soclal Houslng Lettlngs Housing Accommodation (Continuing Operation} Total Soclal Housing lettings 8,391 8,391 6,217 6,217 2,174 2,174 Other Social Housing A¢tivitles Garages and Allotments Iconkn'nuing Operation} Management Services Iconl'nuing Operation) Lease of Residenb'al Home (Continuing Operation) 11 31 11 151 (36) 21 63 8,454 21 27 2.201 36 6,253 Release of disposal proceeds fund ProfiVILoss} on disposal of fixed assets Operating Surplus 45 2.156 29 coo Lf) r fo Ln a> Ln * t ct) (Q (7> Duth8m Aged MinewoRkErs' Hom8$ Association Trustees'report and gGcounts Ye8rended 31st Mar¢h 2023 5. Accommodatlon In Manag•ment and Developing At the end ol the year, aco)rnmodation in management for eac* ¢la55 01 accomrno(lalion wa5 as follows". 2022 No. of Propgrtles Additlons Di¥posal$ 2023 No. of Propertles Othèr Soclal Houslng General Housing". Social Rent - Affordable Rent Shared OWne￿hIp Units Leasehthd Schernes for the Elderty Total Owned 1101 131 1.551 230 227 16 1,810 18 1.800 1101 Awommodation Managecl for Others Total Managed 44 44 Total Owned and Managed 1,854 1,844 Accommodatlon in D￿eloPm0nt at the Year End 6. Op•ratlng Surplus The operating surplus is 81rwed al after ¢harging.' 2023 £'ooo 2022 eooo Depre¢iation of Housing Properties (Note 121 Depreaabon of Other Tangible Frxed Assets (Note 131 1.922 48 1,873 41 Fèes Payab￿ to th6 Associati()n's Auditors lor the Audrt of the Financial Statem&nts Feès Payabl8 lo the Association's Auditors for Other Services Fees Payable for Internal Audit Total Audlt S•ryices 23 22 10 34 32 31 Durham Aged Min6workers' Homes Association Trustees, report and accounts Yearended 31st March 2023 7. Profrt (L￿s> on Disposal of Flxed Assets - Housing Propertiès 2023 £'ooo 2022 £'ooo Housing properties Disposal Proceeds Carying Value of Fixed Assets Pfofit (Lossl on disposal 417 325 45 45 Capital Grant Recycled (Note 19) {1341 All values above relate to Continuing Operations. 8. Interest Recelvablè 2023 £'ooo 2022 £'ooo Bank llllerest Receivable at7d Similar Income 77 77 21 21 All values above relate to Continuing Operats'ons. 9. Interest and Flnancing Costs 2023 £'ooo 2022 £'ooo Defined Benefit Pension Charge Loans and Bank Overdrafts 42 874 916 49 499 Interest Payable Capilalised on Housing Properties Under Construction 22 526 916 All values above relate to Continuing Operations. 32 Durham Aged Mineworkers, Homes Association Trustees, report and accounts Year ended 31st March 2023 10. Employees 10 a. Employee numbers The average monthly number of employees expressed as full lime equivalents Icalculaled based on a standard working week of 35 hours) was.. 2023 2022 Office Based Staff Resident Managers and Care Staff 24 23 27 26 10 b. Employee costs 2023 £'ooo 2022 £'ooo Wages and Salaries Soci21 Seturity Costs Other Pension Costs 860 85 318 1,263 872 85 288 1,245 Annual payments lo 47 Residents Representstives lotalling £10.9k are included wthin wages and salaries. 10 c. Torynination boneflts During the year, the Association terminated the employment of no members of staff12021122.. 01. The table below sets out the total costs of termination benefits along with the amount that was still required to be paid at the year end. Total Value of Tèrniinatlon Benefit Compulsory Redundancy Other agreed departures 2023 2022 2023 2022 £'ooo £'ooo £'ooo £'ooo Tem)ination Benefits All temiination benéfits agreed in 2022123 INone} were paid in full during the year (2021122". None). 33 Durham Aged Mineworkers, Homgs Asgoeiation Trustees, report and accounts Year ended 31st March 2023 11. Key Management P•rsonnol 11 a. Key Management Peysonnel costs The aggregate remuneration for key management personnel charged in the year is.. 2023 £'ooo 2022 £'ooo Basie Salary Benefits in Kind Pension Contributions 215 240 85 303 58 301 11 b. Key Management Personnel salary bandlngs over £60.000 The full b'me equivalent number of staff who reTrwed emoluments.. 2023 2022 £60,000 to £70,000 £70,001 to £80,000 £80.001 to £90,000 £90,001 10 £100,000 The emoluments of the highest paid diwtor, excluding pension contributions, were £92,407 {2021122.. £98,570). 11 ¢. Emoluments paid to Non Executive Dlr•ctors Emoluments paid to non-execulive directors of the Association amounted lo NIL12021122'. NIL) and reimbursement for expenses amounted lo £365 {2021122'. NIL) 11 d. Chief Executive's Pension The Chief Executive is an ordinary member of the pension scheme. No enhanced or special terms apply to the Chief Executive's pension and he has no individual pension arrangement to which the Association makes a conlribubon. 34 Dutham Aged Mineworkers, Homes Associafr￿n Trust&es' r&port and acGouiIIs Year ended 31sl Ma￿h 2023 12. Fixed assots - houslng prop8rtiès 12 a. Housing pmpertles Social housing propertie$ held for letting £'ooo Houslng Complgted sharèd propèrties for ownershlp letting under housing construction properti9S £'ooo £'ooo Totsl housing properti £'ooo Cost Al 1 April 2022 Additions Reclassification$ Works to existing properties Disposals At 31 March 2023 102,833 77 40 1781 180 103,090 40 78 1,230 1,058 103 083 1,230 1,058 103 302 39 180 Depreciatton At 1 April 2022 Depre¢ialion ¢harged in year R¢leased on disposal At 31 March 2023 23,786 1,920 35 27 23.813 1,922 735 29 Net book value At 31 March 2023 39 151 78,302 At 31 March 2022 79,047 77 153 12 b. Expenditure on works to existfjng properties 2023 £'ooo 1,230 2022 £'ooo 1,367 Improvement works ¢apitaliwJ Amounts charged to income and expendtture 95 1.325 75 1Z c. Soclal housing assistanco 2023 £'ooo 2022 £'ooo Total accumulated social housing grant received or receivable at 31 March Recognised in the Stslemenl of Comprehensive Income Held as deforred in¢ome 44,964 45,8f3 8,175 36,789 7,791 38.022 35 Durham Aged MineWorke￿.￿orn9S Associ8li¢ Truslees'report anclaccoun18 Yp17f8nd￿ 316t 108fGh 2029 12. Fixed ass￿$. houslng propgrtlès Icontlnu8dl 12 d. Flnance costs 2023 £'ooo 2022 £'ooo gregate amount of finance costs induded in the cost of housing propert￿5 18 61 12 0. Houslng prO￿rtIeS book valu• net ol Ilepreciatlon 31 March 2023 £'ooo 75.000 3.302 78,302 31 Ma￿h 2022 £'ooo 75,975 3,302 79,277 FreehoFd land and buildings Long basehold land and buiklings 12 1. Impairment The Assouation Mas wrformed an impaimont revi8w. in line with the aC￿untIng policy detaibd in nots 2. Followng the review no thpairmenl indKalor8 have tseen identifi8d12022". NIL). 13. Tanglble nxed a5set8- Otlwr Computers and off[¢• Èquipment £'ooo Furnlthro. xturos and flttlngs £'ooo Freehold offl¢•s £'ooo Total £'ooo Cost At l April 20 aditions Oisposals At 31 March 2023 492 388 974 22 14 492 396 108 996 Depfeclauon At l April 2022 Charged in the year Rele88e¢ on disposal At 31 March 2023 241 316 68 625 48 251 350 72 673 Net book valu8 At 31 March 2023 241 36 323 At 31 March 2022 251 72 26 349 14. Flxed Asset Inv85tmet7ts 2023 2022 Valuation At l April ditions Movement a*ising on revaluation At 31 March 829 424 33 1220 774 51 829 31 March 2023 £'ooo 31 March 2022 £'ooo List8d Investmènts 1220 e29 36 DurtFam Aged Minework6rs' Homes Association Trustees, report and accounts Year ended 31st March 2023 15. Dgbtors 31 March 2023 £'ooo 31 March 2022 £'ooo Due within one year Rent and service charges receivable Less provision for bad and doubfful debts Nel rental debtors 123 50 73 77 28 49 Other debtors Prepayments and accrued in¢ome 194 212 Due after more than one year Prepayments and accrued income 271 268 16. Creditors: amounts falling due wlthln one year 31 March 2023 £'ooo 31 March 2022 £'ooo Debt INote 20) THFC bond premium creditor {Nole 21} Trade ¢redilors Rent and service charges received in advan Recycled capital grant fund {Note 191 Deferred grant income (Note 18} other creditors Accruals and deferred income 834 139 111 51 1,053 451 91 504 1,528 324 68 1,130 453 60 559 3,234 4,122 17. Creditors: amounts falling du8 aftor more than one year 31 March 2023 £'ooo 31 March 2022 £'ooo Debt (Note 201 THFC bond premium creditor (Note 211 Recycled capital grant fund INole 191 Unallocaled recy¢led capital grant (Note 191 Deferred grant income {Nole 181 17,507 2,713 161 304 36,337 57,022 13,903 69 37,017 50,989 37 Dutham Aged MingWOrt(ers' Homes Association Trustees, report and accounts Year ended 31st March 2023 18. Deferrgd grant incom8 31 March 31 March 2023 2022 £'ooo £'ooo Al 1 April Grant r￿1Ved in the year Disposals in the year Released lo income in the year At 31 March 37,470 37,733 184 1231) 451 36.788 447 37,470 2023 £'ooo 2022 £'ooo Amounts lo be released within one year (Note 161 Amounts lo be released in more than one year (Note 171 451 36,337 36,788 453 37,017 37,470 19. Recyclgd capltal grant fund 31 March 31 March 2023 2022 £'ooo £'ooo Al 1 April Adjustment to BalanTr as per Homes England Grants recycled Interest accrued Grant withdrawn At 31 March 1,199 {1451 134 26 1,197 1.214 1.199 Amount of grant due for repayment An adjustment has been made in the current year to recycled ¢apilal grant values held in the fund, following the sale of propety within some schemes held by the Association. This has been agreed in discussion with Homes England. The lolal value of unallocated RCGF is currently £303.9k. This value is shown as unallocaled RCGF in Note 17. 38 Durham Aged Minewothers, Homgs AssoGiation Trustees, report and accounts Year ended 31st March 2023 20. Debt analysis 20 a. Boirowlngs 2023 £'ooo 2022 £'ooo Due withln one year Banks loans (Note 16) 834 834 1,528 Dug after more than one year Bank loans (Note 171 17,507 17,507 13,903 13.903 Total loans 18,341 15,431 20 b. Security Loans are secured by fixed charges on individual properties. 20 c. Tern￿ of repayment and Intèrest rates Housing Loans are secured by specific charges on the Association's housing properties. Approximately 81 Q/o12021122 .' 56°Al of all loans are on a fixed term basis with rates of interest varying from 1.8Yo to 13.60/0. All loans are repayable by inslalmenls. 2023 £'ooo 834 1,433 2,486 13,588 18,341 2022 £'ooo 1,528 1,081 3,826 8,996 15.431 Within one year or on demand One year or more bul less than ttvo years Two years or more but less than five years Five years or more 39 Durham Aged Mineworkers. Hon7es Associat￿￿ Trustees, report and accounts Y8arended 31st March 2023 21 a Bond Premium During 2022123 bond funding was agreed with The Housing Finance Corporation. Additional funding in ex￿$$ of the £8m bond was received, representing the differen￿ between the nominal interest rate, 5.200/0, and the effective rale of 2.836Y¢. This is held on the SOFP and released as a credit to loan interest over the term of the loan. Totsl Bond Premium Recognised in the Statement of Comprehensive Income Held as deferrod interest 3,040 84 Due wlthin one year Due after more than one year 2,812 2,956 21 b Bond Issue Costs The Association was subject to bond issue costs of £107.4k. This is held on the SOFP and released as a debil to bank Charges over the term of the loan. Total Bond Issue Costs Recognised in the Statement of Comprehensive Income Held as deferred interest 11071 104 Due within one yoar Due after moro than one year 151 99 104 40 Durtjam Aged Mineworkers. Homes Association Trustees, report and accounts Yearended 31st March 2023 22. Penslons The Association participates in the Social Housing Pension Scheme {SHPSI, which is a mulli-employer scheme that provides benofils to some 500 non-associaled employers. The scheme is a defined benefit scheme in the UK. In previous periods il was not possible for the Association lo obtain sufficient informats'on to enable it lo account for the s¢heme as a defined benefit scheme and therefore il was accounted for as a defined contribution scheme. However, from 2018119 the scheme can now provide sufficient information lo enable it lo be accounted as a defined benefit scheme. The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK. The scheme is classified as a 'lasl-man standing arrangement,. Therefore the Association is potentially liable for other participating employers, obligations if those employers are unable lo meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. Where the scheme is in deficit and where the association has agreed lo a deficit funding arrangement, the asso¢ialion previously recognised a liability for this obligation. The amount recognised was the nel present value of the deficit reduction contributions payable under the agreement that relates lo the deficit. The present value was calculated using the discount rale detailed in these disclosures. We have been notified by the Trustee of the Scheme that il has performed a review of the changes made to the Scheme's benefi'ts over the years and the result is that there is uncertainty surrounding some of these changes. The Trustee has been advised to seek clarification from the Court on these items. This process is ongoing and the matter is unlikely lo be resolved before the end of 2024 at the earliest. It is reeognised that this could potentially impact the value of Scheme liabilities, but until Court directions are received, il is not possible lo cal¢ulate the impact of this issue, particularly on an individual employer basis, with any accuracy al this time. No adjuslmenl has been made in these financial ststements in respect of this potential issue. The Association has mitigated this risk by engaging the services of Trowe￿ and Hamlins LLP lo proleet their position in the event of a liability. The remaining disclosures in note 22 relate to the Defined Benefit Pension estimates provided by the actuary for the penod 2022123 41 Durham Aged Mineworkers, Homes Association Trustees, report and accounts Yearended 31st MarBh 2023 22. Pensions l¢ontinued) Present values of dofined beneflt obllgation. fair value of assets and defined benefit liabilty 31 Ma￿h 2023 £'ooo 31 March 2022 £'ooo Fair value of plan assets Present value of defi'ned benefit obligation Defined beneflt (Ilability) to be recognised 5,110 6,273 1.163 8,632 10,028 1.396 Reconclllation of oponing and closing balances of the defined benefit obligatlon 31 March 2023 £'ooo 31 March 2022 £'ooo Defined benefit obligation at 1 April Current service cost Expenses Inte￿st expense Contribub'ons by plan participants Actuarial losses Igainsl due lo scheme experience Actuarial losses {gains} due to changes in demographic assumptions Actuarial losses Igainsl due to changes in financial assumptions Benefits paicl and expenses Defined benefit obllgatlon at 31 March 10,028 180 10,416 288 268 227 16671 232 1151 12,4921 1,037 6.273 1157} 17711 215 10.028 Re¢onclllation of opening and closlng balances of the fair value of plan assets 31 March 2023 £'ooo 8,632 234 31 Mar¢h 2022 £'ooo 8,458 186 Fair value of plan assets at 1 April 2020 Interest income Experience on plan assets (excluding amounts included in interest income) - Iloss)Ig8in Contributions by the employer Contributions by plan participants Benefits paid and expenses Fair value of plan assets at 31 March 2021 13,2681 549 12531 456 1,037 5,110 215 8,632 The actual return on the plan assets (including any changes in share of a$sets} over the period from 31 March 2022 to 31 March 2023 was £3,034,000 {2021122'. £67,000). 42 Dutham Ag8d Mineworters. Homes Association Tmstgas, report and 8ccounts Yearended 31st M8rGh 2023 22. Ponsions Icontlnuedl Defined benefit costs In the Statement of Comprehensive Income ISOCI) 2023 £'ooo 180 2022 £'ooo 288 Current seNice cost Expenses Net interest expense Definod ben9fit costs recognised In the SOCI 34 222 41 337 Defined benefft costs recognised In Other Comprehenslvè Income 31 March 2023 31 March 2022 £'ooo £'ooo Experience on plan assets (excl￿ding amounts irtrcluded in nel interest costl {lossllgain 13,2681 {2531 Experience gains and losses arising on the plan liabilities- gainlllossl Effects of changes in the demographic assumptions undertying the present value of the defined benefit obligation - gainllloss} Effects of changes in the financial assumptions underlying the present value of the defined benefit obligation - gainl{lossl Total amount ￿COgnised in other comprehensive income- gainlllo88) 667 1232) 15 157 2,492 771 94 Assets 31 March 2023 31 Mareh 2022 £'ooo £'ooo 9S 1,657 55 155 193 Global Equity Absolute Return Distressed Opportunities Credit Relative Value Alteinalive Risk P¥emi8 Fund of Hedge Funds Emérging Markets Debt Risk Sharing Insuranca-Linked s￿Urrties Property Infrastructure Private Debt Opportunistic Illiquid Credrt High Yiéld Opportunistic Credit Cash Corporate Bond Fund Liquid Credit Long Lease Property Secured Income Liability Driven Investment Currency Hedging Net Current Assets Totsl assèts 309 287 285 27 376 129 220 257 201 233 615 221 290 74 31 29 576 227 219 18 37 154 235 2.354 10 13 5,110 222 322 2,409 {34) 24 8,632 43 Durham Aged Minewothers, Homes AssocIat￿n Truste&s' report and accounts Year ended 31st March 2023 22. Pensions {continued) None of the fair values of the assets shown on the previous page include any direct investments in the employerfs own financial instnjments or any propety occupied by, or other assets used by. the employer. Key Assumptlons 31 March 2023 31 March 2022 /0 per annum °A perannum Discount Rate Inflation {RPII Inflation ICPII Salary Growth 2.79V/o 3.590/. 3.19Q 3.75° 4.20Q/o The mortalty assumptions adopted at 31 March 2023 imply the following lrfe expectancies.. 31 March 2023 31 March 2022 Llfè expectancy Life expectan¢y at age 65 at age 65 (Years) (Years) Male retiring at 31 March Female retiring at 31 March Male retiring in 20 years Female retiring in 20 years 21.0 23.4 22.2 24.9 21.1 23.7 22.4 25.2 23. Share Capital The Association is limited by guarantee and therefore has no share capital. Each member agrees to contribute £1 in the event of the Association winding up. Subscriptions carry no right to dividends or repayment of capital. Members are entitled to vole at the Asscciation's Annual General Meeting. 31 March 2023 No 31 March 2022 Number of members Al 1 April Joining during the yeai Leaving during the year Al 31 March 20 201 Durh8m Aged Mineworkets, Homes Associat￿n Trnstees, report and accounts Year ended 31st March 2023 24. Capltal commltments 31 March 31 March 2023 2022 £'ooo £'ooo Capital expenditure Expenditure contracted for but not provided in the accounts The Executive Committee expects the expenditure they have aulhorised to be fully financed by Homes England, banks and the Association's reserves. 45 Durtpam Aged Mineworkers, Homes Association Trustees, report and accounts Year 8nded 31st March 2023 25. Related partles The accounts include the resutts and net assets of William Russell Bequest, Brandon Colliery Aged Workers, Homes Association, Cockfield Aged Miners, Homes, and Homes for Aged Mineworkers & Other Workmen at Wingale Colliery, entities controlled by Durham Aged Mineworkers, Homes Association. The income and expenditure accounts and balance sheet for the Assoeiation have not been separately presented, as they are not materially different from the consolidated information presented. Restricted Reserrfes Willlam Brandon Co¢kfield Wlngate Russell £'ooo Others Total rooo £'ooo £'ooo £'ooo £'ooo Al 31 March 2022 Surplus for the year Revaluation of Investments At 31 March 2023 609 394 15 257 61 131 1,452 15 609 409 257 61 131 Restricted Reserves relate to funds whose use by the Association is reslricled by charitable trust deed. The restricted resetves are allocated tse￿een William Russell Bequest, who is a linked charity with the Association under a Uniting Direction of October 2017 and three managed Almshouse Charities linked with the Association under a Uniting Direction of November 2005, being.. Brandon Colliery Aged Workers, Homes Association I"Brandon°I Cockfield Aged Miners, Homes I"Cockfield"I Homes for Aged Mineworkers and other Workmen al Wingale Colliery {'Wingate°I In addition the Association manages funds transferred into its possession by the following subsidiary charities.. Proceeds of sale of Trust propety, comprised in a conveyance of 9th April 1959", Memorial Cottages, Scheme of 27 September 1955., prO￿e￿$ of sale of Nurses Home in connection with Wheatley Hill Nursing Association, conveyance1953', dated 6 December 1928 and resolution of subscribers dated 25 November., General Endowment Fund, Scheme of 14 August 1962., Particular Endowment Fund, Scheme of 14 August 1962.. Dr David Wilson Memorial Reading Room, Declaration of Trust dated 1 August 1928., and John Arthur Walbank's Will proved 26 April 1946 and Scheme of 16 October 1968. Related Party Transactions Board Members Andrew Thompson and Mark Reid are employees of Karbon Homes. Durham Aged Mineworkers Homes Association works with Karbon Homes on il's development programme Karbon Homes help lo identify suitable development schemes, liase with Homes England on il's behalf and manage the development programmes once underway. In 2022123 Durham Aged Mineworkers Homes Association paid invoices totalling £113,809 to Karbon Homes for retentions due on previously completed schemes. Neither Board Member is involved in the awarding of contracts to Karbon Homes. 46 Durham Aged Min8workers' Homes Association Trustees, report and accounts Year ended 31st March 2023 26. Flnanclal assets and Ilabllttigs 26 a. Categorles of financlal assets and financial Ilabilitles 31 March 2023 31 March 2022 £'ooo £'ooo Financial assets - loans and r¢colvables .' Investments Trade and other debtors Cash and cash equivalents 1,220 77 8,820 10,117 829 56 2,140 3.025 Financial Ilabilities - Amortised ¢ost Trade and other creditors Loans 202 18.341 18,543 384 15,431 15.815 26 b. Financial assets Other than short-lerm debtors, financial assets held are equity instruments in other entities, eash deposits placed on money markets at call, seven4ay and monthly rates and cash al bank. They are sterling denominated and the interest mte profile al 31 March was.. 31 March 2023 31 March 2022 £'ooo £'ooo 8,820 2,140 8.820 2,140 Floating rate on money market deposits The financial assets on which no interest is earned comprise trade investments that have no fixed maturity. The remaining financial assets are floating rate attra¢ling interest at rates that vary with bank rates. 26 c. Flnancial liabllities excludlng trade tred5tors - Interest rate rlsk profile The Association's financial liabilities are sterlir¢g denominated. The interest rate profile of the Association's financial liabilitie5 at 31 MarGh 2023 was.. 2023 £'ooo 14,850 2022 £'ooo 8,654 The fixed rate financial liabilities have a weighted average interest rale of 3.150k12022'. 3.7Vol and the weighted average period for which il is fixed is g years12022." 6 years). The debt maturity profile is shown in note 20. Fixed rate 47 Durham Aged mineworke￿, Homes Association Trustees, report 8nd accounts Year endod 31st Ma￿h 2023 27. Post balance sheet events The Association has no post balanoe sheet events to declare. 28. Ultimate parent undertakings and controlllng party Durham Aged Mineworkers, Homes Association is a registered charity and a registered provider of social housing In the UK. The followtng linked charities are included in the Durham Aged Mineworkers, Hom@s Association financial stal8ments'. Brandon Colliery Aged Workers, Homes Association {'Brandon'l Cockfield Aged Miners, Homes {'Cockfield"I Homes for Aged Mineworkers and other Workmen al Wingate Colliery I'wingate") William Russell Bequest 48