Report of the Trustees and
Financial Statements for the Year Ended 31st March 2023
for
Ombersley Church Houses Charity
The Richards Sandy Partnership Thorneloe House 25 Barbourne Road Worcester Worcestershire WR1 1RU
Ombersley Church Houses Charity
Contents of the Financial Statements for the Year Ended 31st March 2023
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 2 |
| Independent Examiner's Report | 3 | ||
| Statement of Financial Activities | 4 | ||
| Balance Sheet | 5 | ||
| Notes to the Financial Statements | 6 | to | 12 |
| Detailed Statement of Financial Activities | 13 |
Ombersley Church Houses Charity
Report of the Trustees for the Year Ended 31st March 2023
The trustees present their report with the financial statements of the charity for the year ended 31st March 2023. The trustees have adopted the provisions of 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).
OBJECTIVES AND ACTIVITIES
Objectives and aims
The objects of the charity are as follows:
For the public benefit:
-
The relief of financial hardship among people living or working in Ombersley by providing such persons with accommodation which they otherwise could not afford through lack of means;
-
The preservation and protection of the church of St Andrews, Ombersley by such maintenance and repairs as the trustees deem appropriate.
Significant activities
The income of the Charity shall be applied in keeping the properties of the Charity in good repair, to make donations for repair of the Parish Church of Ombersley and for any other charitable purposes at the discretion of the Trustees.
The principal activity of the Charity in the year under review was that of the ownership and management of Church Houses in Ombersley.
Public benefit
The trustees confirm that they have complied with the duty in Section 17(5) of the 2011 Charities Act to have due regard to the guidance on public benefit published by the Charity Commission when reviewing the charity's aims and objectives.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
The results for the year and financial position of the Charity are as shown in the annexed financial statements. The Charity has undertaken expenditure of £22,998 (2022 - £5,945) during the year on the repair and refurbishment of its properties. A bad debt of £2,900 arose due to the unrecoverable rent arrears from one of the properties. The Charity has also donated, in accordance with long established precedent, £12,000 (2022 - £12,000) to the Church of St Andrew's, Ombersley.
FINANCIAL REVIEW
Financial position
Total incoming resources for the year were £56,948 (2022 - £54,620) and total resources expended were £47,211 (2022 - £25,908). The net incoming resources before net gains/losses on revaluation of investments for the year were £9,737 (2022 - £28,712).
Principal funding sources
The charity's principal funding source is rent from its freehold properties.
Reserves policy
The general unrestricted reserves were £150,054 (2022 - £140,317). Free reserves excluding both fixed assets and long term concessionary loans taken out to finance fixed asset additions was £1,791 (2022: £17,718).
At the end of the current year the charity has made use of a concessionary loan to finance completion of construction of an investment property, the charity aims to generate sufficient unrestricted surpluses from relating rental income to pay off these loans by the time they fall due on 2 May 2026.
The reserves are held to support administration and overhead costs and to act as back-up should any project need funding. The intention is that reserves should be maintained to finance twelve months administration and overhead costs. Unrestricted income is expendable at the discretion of the Trustees in the direct furtherance of the objects of the Charity and may be held to finance both working capital and capital investment. Other funds are specifically restricted.
The freehold properties have been treated as a permanent endowment fund in the financial statements. As part of the general charitable activities of the Charity, these properties may, at the discretion of the Trustees, be let at less than open market rent. Subject to this, it is the policy of the Trustees to invest the funds of the Charity with security and safety being the main criteria, subject to which a reasonable market return is to be the secondary objective.
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document
The charity is controlled by its governing document, a deed of trust and constitutes a charitable incorporated organisation. The charity registered as a charitable incorporated organisation on the 30th October 2020.
Page 1
Ombersley Church Houses Charity
Report of the Trustees for the Year Ended 31st March 2023
STRUCTURE, GOVERNANCE AND MANAGEMENT
Charity constitution
Prior to converting to a CIO, The Ombersley Church Houses Charity is an ancient charity permanently endowed, derived from a composite pattern of wills and bequests covering the period 1684 to 1852.
Recruitment and appointment of new trustees
New trustees are appointed by the PCC of St Andrew's Church, Ombersley. Recruitment of new trustees is based on the skills required to replace outgoing trustees with regard to the management of the Charity and the properties. The training of trustees is assessed regularly and provided as and when required.
Risk management
The Trustees annually review the major risks to which the Charity is exposed and systems or procedures have been established to manage those risks.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
1192091
Principal address Florris Cottage Woodhall Lane Ombersley Worcestershire WR9 0EQ
Trustees
S M Larnder M Best C Gait M Callow J Hill K Day (appointed 25.11.22)
Independent Examiner
The Richards Sandy Partnership Thorneloe House 25 Barbourne Road Worcester Worcestershire WR1 1RU
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
........................................................................ S M Larnder - Trustee
Page 2
Independent Examiner's Report to the Trustees of Ombersley Church Houses Charity
Independent examiner's report to the trustees of Ombersley Church Houses Charity
I report to the charity trustees on my examination of the accounts of Ombersley Church Houses Charity (the CIO) for the year ended 31st March 2022.
Responsibilities and basis of report
As the charity trustees of the CIO you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the CIO's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner's statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the CIO as required by section 130 of the Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Melissa Godwin ACA ACCA
The Richards Sandy Partnership Thorneloe House 25 Barbourne Road Worcester Worcestershire WR1 1RU Date: .............................................
Page 3
Ombersley Church Houses Charity
Statement of Financial Activities for the Year Ended 31st March 2023
| Notes INCOME AND ENDOWMENTS FROM Charitable activities 3 Property management Investment income 2 Total EXPENDITURE ON Charitable activities 4 Property management Grants payable Total NET INCOME RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
2023 Unrestricted Endowment Total fund fund funds £ £ £ 56,948 - 56,948 - - - 56,948 - 56,948 35,211 - 35,211 12,000 - 12,000 47,211 - 47,211 9,737 - 9,737 140,317 850,449 990,766 150,054 850,449 1,000,503 |
2022 Total funds £ 54,619 1 |
|---|---|---|
| 54,620 | ||
| 13,908 12,000 |
||
| 25,908 | ||
| 28,712 962,054 |
||
| 990,766 |
The notes form part of these financial statements
Page 4
Ombersley Church Houses Charity
Balance Sheet 31st March 2023
| Notes FIXED ASSETS Tangible assets 10 Investment property 11 CURRENT ASSETS Debtors 12 Cash at bank CREDITORS Amounts falling due within one year 13 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES CREDITORS Amounts falling due after more than one year 14 NET ASSETS FUNDS 15 Unrestricted funds Endowment funds TOTAL FUNDS |
Unrestricted fund £ - 194,263 194,263 1,147 1,244 2,391 (600) 1,791 196,054 (46,000) 150,054 |
Endowment fund £ 850,449 - 850,449 - - - - - 850,449 - 850,449 |
2023 Total funds £ 850,449 194,263 1,044,712 1,147 1,244 2,391 (600) 1,791 1,046,503 (46,000) 1,000,503 150,054 850,449 1,000,503 |
2022 Total funds £ 850,449 122,599 973,048 3,699 16,499 20,198 (2,480) 17,718 990,766 - 990,766 140,317 850,449 990,766 |
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. S M Larnder - Trustee
The notes form part of these financial statements
Page 5
Ombersley Church Houses Charity
Notes to the Financial Statements for the Year Ended 31st March 2023
1. ACCOUNTING POLICIES
BASIS OF PREPARING THE FINANCIAL STATEMENTS
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied at all years presented unless otherwise stated.
The accounts are prepared in Sterling, which is the functional currency of the charity. Monetary amounts in these statements are rounded to the nearest £.
The financial results (including the comparative figures) of both the CIO and its predecessor unincorporated charity have been presented within these financial statements as though they had always been part of the same reporting charity. The carrying amount of assets and liabilities of the combining charities have not been restated to fair value.
INCOME
Rental income from operating leases is recognised on a straight-line basis over the term of the lease.
Income from the sale of wood is recognised when the customer takes possession of the wood.
EXPENDITURE
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants payable are charged to expenditure when the offer is conveyed to the recipient, unless the offer is conditional in which case such grants are charged to expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.
TANGIBLE FIXED ASSETS
Freehold properties are considered to have a residual value greater than historical cost. On this basis no depreciation has been provided, on the basis that any such depreciation would be immaterial to the accounts.
Expenditure is only capitalised when it exceeds £500.
INVESTMENT PROPERTY
Included within Investment Property is £194,263 (2022: £122,599) of expenditure towards the renovation of a barn. When complete, the charity intends to let the property at full market rate to provide funds for charitable activities and thus is in included within Investment Property rather than Tangible Fixed Assets.
Investment property (excluding assets under construction) is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in the Statement of Financial Activities.
Assets under construction are not revalued until construction has been completed.
TAXATION
The charity is exempt from tax on its charitable activities.
FUND ACCOUNTING
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
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continued...
Ombersley Church Houses Charity
Notes to the Financial Statements - continued for the Year Ended 31st March 2023
1. ACCOUNTING POLICIES - continued
FINANCIAL INSTRUMENTS
The charity has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.
Financial instruments are recognised when the charity becomes party to contractual provisions of the instrument.
Financial assets are offset, with the net amount presented in the accounts where there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic Financial Assets
Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Basic Financial Liabilities
Basic financial liabilities, including trade and other payables, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of future receipts, discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of the operations from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction cost.
CONCESSIONARY LOANS
Concessionary loans made to or received on which no interest is to be charged are measured at historical cost.
2. INVESTMENT INCOME
| Interest receivable INCOME FROM CHARITABLE ACTIVITIES |
2023 £ - |
2023 £ - |
2022 £ 1 |
2022 £ 1 |
|---|---|---|---|---|
| 2023 | 2022 | |||
| £ | £ | |||
| Property rent receivable | ||||
| Ombersley Galleries | 19,000 | 17,399 | ||
| Tresco | 6,925 | 6,900 | ||
| Grafters | 6,500 | 6,920 | ||
| Church Cottage | 6,300 | 6,300 | ||
| Haye Lane Bungalow | 5,700 | 5,700 | ||
| Church Terrace Cottage | 5,175 | 3,980 | ||
| Hill Top Cottage | 7,200 | 7,200 | ||
| Land at Hill Top | 100 | 100 | ||
| Wayleave | 48 | 70 | ||
| 56,948 | 54,569 | |||
| Other income received | ||||
| Sale of wood | - | 50 | ||
| - | 50 | |||
| Total income from charitable activities | 56,948 | 54,619 | ||
3. INCOME FROM CHARITABLE ACTIVITIES
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continued...
Ombersley Church Houses Charity
Notes to the Financial Statements - continued for the Year Ended 31st March 2023
4. CHARITABLE ACTIVITIES COSTS
| 4. CHARITABLE ACTIVITIES COSTS |
4. CHARITABLE ACTIVITIES COSTS |
4. CHARITABLE ACTIVITIES COSTS |
||||
|---|---|---|---|---|---|---|
| Grant funding of Direct activities Costs (see (see note note 5) 6) £ £ Property management 30,062 - Grants payable - 12,000 30,062 12,000 5. DIRECT COSTS OF CHARITABLE ACTIVITIES Property repair costs Ombersley Galleries Tresco Grafters Church Cottage Haye Lane Bungalow Church Terrace Cottage Hill Top Cottage Other expenditure Building insurance Bad debts Total direct expenditure 6. GRANTS PAYABLE Grants payable The total grants paid to institutions during the year was as follows: Ombersley Church Fund |
Support costs £ 5,149 - 5,149 |
Totals £ 35,211 12,000 47,211 |
||||
| 2023 | 2022 | |||||
| £ | £ | |||||
| 2,786 | 196 | |||||
| 171 | 1,657 | |||||
| - | - | |||||
| 5,835 | 1,513 | |||||
| 606 | 322 | |||||
| 12,425 | - | |||||
| 1,175 | 2,257 | |||||
| 22,998 | 5,945 | |||||
| 4,164 | 3,757 | |||||
| 2,900 | - | |||||
| 7,064 | 3,757 | |||||
| 30,062 | 9,702 | |||||
| 2023 £ 12,000 2023 £ 12,000 |
2022 £ 12,000 2022 £ 12,000 |
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continued...
Ombersley Church Houses Charity
Notes to the Financial Statements - continued for the Year Ended 31st March 2023
7. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31st March 2023 nor for the year ended 31st March 2022.
TRUSTEES' EXPENSES
There were no trustees' expenses paid for the year ended 31st March 2023 nor for the year ended 31st March 2022.
8. STAFF COSTS
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Clerk's Salary | 3,000 | 3,000 |
| The average number of employees during the year was 1 (2022 - 1). No employees received emoluments in excess of £60,000. |
9.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted Endowment fund fund £ £ INCOME AND ENDOWMENTS FROM Charitable activities Property management 54,619 - Investment income 1 - Total 54,620 - EXPENDITURE ON Charitable activities Property management 13,908 - Grants payable 12,000 - Total 25,908 - NET INCOME 28,712 - RECONCILIATION OF FUNDS Total funds brought forward 111,605 850,449 TOTAL FUNDS CARRIED FORWARD 140,317 850,449 |
Total funds £ 54,619 1 |
|---|---|
| 54,620 | |
| 13,908 12,000 |
|
| 25,908 | |
| 28,712 962,054 |
|
| 990,766 |
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continued...
Ombersley Church Houses Charity
Notes to the Financial Statements - continued for the Year Ended 31st March 2023
10. TANGIBLE FIXED ASSETS
| COST At 1st April 2022 and 31st March 2023 NET BOOK VALUE At 31st March 2023 At 31st March 2022 |
Freehold property £ 850,449 850,449 850,449 |
Freehold property £ 850,449 850,449 850,449 |
|---|---|---|
| The deemed cost of the freehold properties is as follows: | ||
| £ | ||
| Ombersley Galleries | 346,618 | |
| Tresco | 88,535 | |
| Grafters | 88,535 | |
| Church Cottage | 89,635 | |
| Haye Lane Bungalow | 70,430 | |
| Church Terrace Cottage | 70,430 | |
| Hill Top Cottage | 89,636 | |
| Land at Hill Top | 3,630 | |
| Land at rear of Ombersley Galleries | 3,000 | |
| 850,449 | ||
The charity has used a valuation performed as at 31st March 2015 as deemed cost (applying the first time adoption exemptions within FRS 102).
11. INVESTMENT PROPERTY
| 11. INVESTMENT PROPERTY |
|||
|---|---|---|---|
| FAIR VALUE At 1st April 2022 Additions At 31st March 2023 NET BOOK VALUE At 31st March 2023 At 31st March 2022 12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade debtors Prepayments and accrued income |
2023 £ - 1,147 1,147 |
£ 122,599 71,664 |
|
| 194,263 | |||
| 194,263 | |||
| 122,599 | |||
| 2022 £ 1,700 1,999 |
|||
| 3,699 |
Page 10
continued...
Ombersley Church Houses Charity
Notes to the Financial Statements - continued for the Year Ended 31st March 2023
| 13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Accrued expenses 14. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR Concessionary loans Details of the terms and conditions of the concessionary loan is included in note 16. 15. MOVEMENT IN FUNDS At 1.4.22 £ Unrestricted funds General fund 140,317 Endowment funds Permanent Endowment Fund 850,449 TOTAL FUNDS 990,766 Net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 56,948 TOTAL FUNDS 56,948 Comparatives for movement in funds At 1.4.21 £ Unrestricted funds General fund 111,605 Endowment funds Permanent Endowment Fund 850,449 TOTAL FUNDS 962,054 |
2023 2022 £ £ 600 2,480 2023 2022 £ £ 46,000 - Net movement At in funds 31.3.23 £ £ 9,737 150,054 - 850,449 9,737 1,000,503 Resources Movement expended in funds £ £ (47,211) 9,737 (47,211) 9,737 Net movement At in funds 31.3.22 £ £ 28,712 140,317 - 850,449 28,712 990,766 |
2022 £ 2,480 2022 £ - At 31.3.23 £ 150,054 850,449 |
2022 £ 2,480 |
|
|---|---|---|---|---|
| 2022 £ - |
||||
| 990,766 |
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continued...
Ombersley Church Houses Charity
Notes to the Financial Statements - continued for the Year Ended 31st March 2023
15. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 54,620 | (25,908) | 28,712 |
| TOTAL FUNDS | 54,620 | (25,908) | 28,712 |
Permanent Endowment Fund
The permanent endowment fund represents the initial gift to the charity. The fund is held to generate income to be used for the maintenance and development of the charity's freehold property. Income arising on the fund is unrestricted.
Unrestricted Fund
The unrestricted fund is to be used for the maintenance and potential development of the charity's freehold properties, for the payment of grants to Ombersley Parish Church and for any charitable purpose at the discretion of the trustees.
16. RELATED PARTY DISCLOSURES
During the year ended 31 March 2023, C Gait, a trustee of the charity, lent the charity a total of £46,000 towards the conversion of the barn. The loan has been provided interest free. The loan is repayable within 4 years.
There were no related party transactions for the year ended 31st March 2022.
Page 12
Ombersley Church Houses Charity
Detailed Statement of Financial Activities for the Year Ended 31st March 2023
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| INCOME AND ENDOWMENTS | ||
| Investment income | ||
| Interest receivable | - | 1 |
| Charitable activities | ||
| Property rent | 56,948 | 54,569 |
| Other income | - | 50 |
| 56,948 | 54,619 | |
| Total incoming resources | 56,948 | 54,620 |
| EXPENDITURE | ||
| Charitable activities | ||
| Insurance | 4,164 | 3,757 |
| Bad debts | 2,900 | - |
| Ombersley Galleries repairs | 2,786 | 196 |
| Church Cottage repairs | 5,835 | 1,513 |
| Hill Top Cottage repairs | 1,175 | 2,257 |
| Church Terrace Cottage repairs | 12,425 | - |
| Tresco repairs | 171 | 1,657 |
| Haye Lane Bungalow repairs | 606 | 322 |
| Grants to institutions | 12,000 | 12,000 |
| 42,062 | 21,702 | |
| Support costs | ||
| Management | ||
| Clerk's salary | 3,000 | 3,000 |
| Governance costs | ||
| Independent examiner's fee | 600 | 666 |
| Legal and professional fees | 1,549 | 540 |
| 2,149 | 1,206 | |
| Total resources expended | 47,211 | 25,908 |
| Net income | 9,737 | 28,712 |
This page does not form part of the statutory financial statements
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