REGISTERED CHARITY NUMBER: 202032
Report of the Trustees and Financial Statements for the Year Ended 31st December 2021
for
Thomas Corbetts Charity
The Richards Sandy Partnership Thorneloe House 25 Barbourne Road Worcester Worcestershire WR1 1RU
Thomas Corbetts Charity
Contents of the Financial Statements for the Year Ended 31st December 2021
| Page | |
|---|---|
| Report of the Trustees | 1 to 3 |
| Independent Examiner's Report | 4 |
| Statement of Financial Activities | 5 |
| Balance Sheet | 6 |
| Notes to the Financial Statements | 7 to 13 |
| Detailed Statement of Financial Activities | 14 |
Thomas Corbetts Charity
Report of the Trustees for the Year Ended 31st December 2021
The trustees present their report with the financial statements of the charity for the year ended 31st December 2021. 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, at the discretion of the trustees, to make grants out of the Restricted Endowment Fund to various local charities as set out in the will of Thomas Corbett deceased, and, subject thereto, to maintain and insure the Wychbold Almshouses and give support to the occupants thereof who shall be not more than 12 in number. The trustees may also make donations to the Curate's Stipend Fund in the parish of Brierley Hill and towards the upkeep of the churchyard at Stoke Prior.
Subject to the above, the trustees may at their discretion make donations to hospitals and similar institutions in the counties of Worcestershire, Staffordshire and the City of Birmingham, towards the acquisition or preservation of land or open space for the benefit of the inhabitants of towns in the county of Worcestershire or of Brierley Hill, to associations for the saving of life at sea and for the benefit of seamen or retired seamen, to children, to former members of the armed forces, to persons who by reason of age, sickness, blindness or deafness are in need of relief and to the increase of stipends or clerks in holy orders within the counties of Worcestershire, Staffordshire or the City of Birmingham.
Public benefit
The trustees confirm that they complied with the duty in section 17(5) of the Charities Act 2011 to have due regard to guidance published by the Charity Commission's on public benefit when reviewing the charity's aims and objectives and in planning future activities.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
The occupancy of the Almshouses has been high during the year. The needs of the residents have been monitored by the trustees on a regular basis. Gifts were not provided to each resident at Christmas this accounting year (2020: £nil). In the future, the trustees will continue to seek to improve the quality of life of the poor and the needy residing in the Almshouses.
FINANCIAL REVIEW
Financial position
Incoming resources for the year consisted of contributions from residents and investment income. These amounted to £41,272 (2020: £40,772) in total. Direct charitable expenditure in furtherance of the charity's objectives consisting of the expenses of maintaining and running the Almshouses amounted to £42,228 (2020: £41,233), with a further £23,246 (2020: £13,735) of support and management costs. Net expenditure amounts to £24,202 (2020: £14,196). After adjusting for realised and unrealised gains on investments, the total fund balance increased by £11,705 (2020: 6,865) to £708,086 (2020: £696,381).
Gains on investments of £35,907 (2020: £21,061) were made during the year. The Endowment fund increased by £32,577 (2020: £13,512) to £695,204 (2020: £662,627) and can be used to make grants to various local charities as set out in the Will of Thomas Corbett deceased.
Reserves policy
The unrestricted reserves of £10,882 (2020: £31,754) are held for the future maintenance of charity's properties so far as these are not provided in the extraordinary repair fund. The trustees acknowledge that the amount of unrestricted reserves has diminished in recent years, which has been a result of exceptional refurbishment costs to flats in order to bring them up to modern standard. These works are almost complete and the trustees do not anticipate such significant expenditure in the near future. As a result the free reserves position is expected to strengthen in the coming years.
Page 1
Thomas Corbetts Charity
Report of the Trustees for the Year Ended 31st December 2021
FINANCIAL REVIEW
Investment policy and objectives
The objectives of the policy are to ensure the creation of sufficient income and capital growth to enable the charity to carry out its purposes consistently year by year with due and proper consideration for future needs and the maintenance, and if possible, enhancement of the value of the invested funds.
The trustees will invest the funds in accordance with the Trustee Act 2000. Within the Act, the trustees:
-
shall exercise such power with the care that a prudent person of business would in making investments for a person for whom they felt morally obliged to provide;
-
shall not make any speculative or hazardous investment (and for avoidance of doubt this power to invest does not extend to laying out money on the acquisition of futures and or trading options);
shall have regard to the need for diversification of investments in the circumstances of the charity and to the suitability of the proposed investments;
-
with the exception of British Government Securities, the initial investment in one holding should not exceed 5% of the total value of the portfolios and the sum of all holdings in excess of 5% must not be equal to or exceed 40% and where no individual holding will be greater than 10%;
-
there are no ethical or geographical restrictions.
Additionally, the trustees have a duty to review their investments at regular intervals. The trustees will review the investment policy at least annually. The trustees may change any part of the policy at any time.
The investment manager must be an authorised person who is entitled to carry out investment business under the provisions of the Financial Services Act 1986.
The trustees have delegated the powers of investment management to Rathbone Investment Management. The appointment of Rathbone Investment Management will be reviewed on a regular basis.
Performance
The total value of the portfolios will be measured by reference to the FTSE All Share Index.
Cash Deposits
Cash deposits are placed with approved banks with suitable credit ratings. Cash deposits may also be retained by Rathbone Investment Management as part of the investment portfolio.
Risk Assessment
The trustees regularly review the risks to which they might be exposed, with particular attention to residents' health and safety, and recommend action to mitigate those risks.
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
Recruitment and appointment of new trustees
The board of Trustees appoint new trustees when positions become vacant.
Decision making
Decisions are made by the trustees in general meeting and execution of those decision is delegated to the Clerk.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
202032
Principal address
Fern Bank Wike Lane Sambourne Redditch Worcestershire B96 6NY
Page 2
Thomas Corbetts Charity
Statement of Financial Activities for the Year Ended 31st December 2021
| Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Charitable activities Maintenance of Wychbold Almshouse 36,176 Investment income 2 4,960 Total 41,136 EXPENDITURE ON Raising funds 3 5,747 Charitable activities 4 Maintenance of Wychbold Almshouse 59,727 Other - Total 65,474 Net gains on investments 3,466 NET INCOME/(EXPENDITURE) (20,872) RECONCILIATION OF FUNDS Total funds brought forward 31,754 TOTAL FUNDS CARRIED FORWARD **10,882 ** |
Restricted Endowment fund fund £ £ - - - 136 - 136 - - - - - - - - - 32,441 - 32,577 2,000 662,627 2,000 **695,204 ** |
2021 Total funds £ 36,176 5,096 41,272 5,747 59,727 - 65,474 35,907 11,705 696,381 708,086 |
2020 Total funds £ 36,024 4,748 40,772 4,771 50,179 18 54,968 21,061 6,865 689,516 696,381 |
|---|---|---|---|
The notes form part of these financial statements
Page 5
2021 |
2020 |
|||||
|---|---|---|---|---|---|---|
Unrestricted |
Restricted |
Endowment |
Total |
Total |
||
fund |
fund |
fund |
funds |
funds |
||
Notes |
£ |
£ |
£ |
£ |
£ |
|
FIXED ASSETS |
||||||
Tangible assets |
9 |
- |
390,000 |
390,000 |
390,000 |
|
Investments |
10 |
18,327 |
303,851 |
322,178 |
289,078 |
|
18,327 |
693,851 |
712,178 |
679,078 |
|||
CURRENT ASSETS |
||||||
Debtors |
11 |
5,315 |
- |
5,315 |
3,991 |
|
Cash at bank |
4,829 |
2,000 |
1,353 |
8,182 |
20,076 |
|
10,144 |
2,000 |
1,353 |
13,497 |
24,067 |
||
CREDITORS |
||||||
Amounts falling due within one |
||||||
year |
12 |
(17,589) |
(17,589) |
(6,764) |
||
NET CURRENT ASSETS |
(7,445) |
2,000 |
1,353 |
(4,092) |
17,303 |
|
TOTALASSETS LESS |
||||||
CURRENT LIABILITIES |
10,882 |
2,000 |
695,204 |
708,086 |
696,381 |
|
NET ASSETS |
10,882 |
2,000 |
695,204 |
708,086 |
696,381 |
|
FUNDS |
13 |
|||||
Unrestricted funds |
10,882 |
31,754 |
||||
Restricted funds |
2,000 |
2,000 |
||||
Endowment funds |
695,204 |
662,627 |
||||
TOTAL FUNDS |
708,086 |
696,381 |
Thomas Corbetts Charity
Notes to the Financial Statements for the Year Ended 31st December 2021
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, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
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 £.
INCOME
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Income from maintenance receipts is recognised in line with the periods to which such income relates.
Income from listed investments is recognised when the right to receive payment is established.
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.
LISTED INVESTMENTS
Quoted investments are included at fair value, being their market value. Realised gains and losses on sales of investments are calculated as sale proceeds less the market value at the start of the period, or cost if purchased during the period, and are included in the Statement of Financial Activities and Income and Expenditure Account. Unrealised gains and losses are included in the Statement of Financial Activities and the Statement of Total Recognised Gains and Losses. The reported net income or expenditure is adjusted for the realisation of prior period gains or losses on investments to arrive at the historical cost net income or expenditure for the period.
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.
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 amounts 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.
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Thomas Corbetts Charity
Notes to the Financial Statements - continued for the Year Ended 31st December 2021
1. ACCOUNTING POLICIES - continued
FINANCIAL INSTRUMENTS
Basic Financial Assets
Basic financial assets, which include trade and other receivables and 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.
2. INVESTMENT INCOME
| 2021 £ Listed investment income 5,095 Bank interest 1 5,096 3. RAISING FUNDS INVESTMENT MANAGEMENT COSTS 2021 £ Stockbroker's fees 3,017 Rent collection 2,730 5,747 4. CHARITABLE ACTIVITIES COSTS Direct Support Costs (see costs (see note 5) note 6) £ £ Maintenance of Wychbold Almshouse 45,498 14,229 |
2020 £ 4,744 4 4,748 2020 £ 2,155 2,616 4,771 Totals £ 59,727 |
|---|---|
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Thomas Corbetts Charity
Notes to the Financial Statements - continued for the Year Ended 31st December 2021
5. DIRECT COSTS OF CHARITABLE ACTIVITIES
| Rates and water Insurance Light and heat Telephone Repairs Gardening and sundries Subscriptions Caretaker's fees |
2021 £ 5,701 1,376 1,667 660 24,957 4,763 374 6,000 45,498 |
2020 £ 4,785 1,485 1,202 685 23,920 6,172 368 6,500 45,117 |
|---|---|---|
6. SUPPORT COSTS
| Maintenance of Wychbold Almshouse Support costs, included in the above, are as follows: Bank charges Professional charges Clerk to the charity Independent examiner |
Governance Finance costs £ £ 7 14,222 2021 Maintenance of Wychbold Almshouse £ 7 - 13,202 1,020 14,229 |
Totals £ 14,229 2020 Total activities £ - 1,515 2,755 810 5,080 |
|---|---|---|
7. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31st December 2021 nor for the year ended 31st December 2020.
TRUSTEES' EXPENSES
There were no trustees' expenses paid for the year ended 31st December 2021 nor for the year ended 31st December 2020.
8. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted fund £ INCOME AND ENDOWMENTS FROM Charitable activities Maintenance of Wychbold Almshouse 36,024 Investment income 4,748 Total 40,772 EXPENDITURE ON Raising funds 4,771 Charitable activities Maintenance of Wychbold Almshouse 50,179 |
Restricted Endowment fund fund £ £ - - - - - - - - - - |
Total funds £ 36,024 4,748 40,772 4,771 50,179 |
|---|---|---|
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continued...
Thomas Corbetts Charity
Notes to the Financial Statements - continued for the Year Ended 31st December 2021
| 8. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued Unrestricted Restricted Endowment fund fund fund £ £ £ Other 18 - - Total 54,968 - - Net gains on investments 7,549 - 13,512 NET INCOME/(EXPENDITURE) (6,647) - 13,512 RECONCILIATION OF FUNDS Total funds brought forward 38,401 2,000 649,115 TOTAL FUNDS CARRIED FORWARD 31,754 2,000 662,627 9. TANGIBLE FIXED ASSETS COST At 1st January 2021 and 31st December 2021 NET BOOK VALUE At 31st December 2021 At 31st December 2020 |
Total funds £ 18 54,968 21,061 6,865 689,516 696,381 Freehold property £ 390,000 390,000 390,000 |
|---|---|
The property in accounts is not considered investment property due to the nature of its use as almshouses and as a result there is no requirement for revaluation. Depreciation is also not charged on the freehold property as the residual value is not expected to be lower than the current book value.
10. FIXED ASSET INVESTMENTS
| FIXED ASSET INVESTMENTS | |
|---|---|
| Listed | |
| investments | |
| £ | |
| MARKET VALUE | |
| At 1st January 2021 | 289,078 |
| Additions | 80,756 |
| Disposals | (83,563) |
| Realised gains/(losses) | **35,907 ** |
| At 31st December 2021 | 322,178 |
| NET BOOK VALUE | |
| At 31st December 2021 | 322,178 |
| At 31st December 2020 | 289,078 |
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continued...
Thomas Corbetts Charity
Notes to the Financial Statements - continued for the Year Ended 31st December 2021
11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Other debtors Prepayments 12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade creditors Other creditors 13. MOVEMENT IN FUNDS Unrestricted funds General fund Restricted funds Extraordinary repair fund Endowment funds Endowment fund TOTAL FUNDS Net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 41,135 Endowment funds Endowment fund 136 TOTAL FUNDS 41,271 |
At 1.1.21 £ 31,754 2,000 662,627 696,381 Resources expended £ (65,474) - (65,474) |
2021 2020 £ £ 500 - 4,815 3,991 5,315 3,991 2021 2020 £ £ 15,651 4,521 1,938 2,243 17,589 6,764 Net movement At in funds 31.12.21 £ £ (20,872) 10,882 - 2,000 32,577 695,204 11,705 708,086 Gains and Movement losses in funds £ £ 3,467 (20,872) 32,441 32,577 35,908 11,705 |
|---|---|---|
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Thomas Corbetts Charity
Notes to the Financial Statements - continued for the Year Ended 31st December 2021
13. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| Unrestricted funds General fund Restricted funds Extraordinary repair fund Endowment funds Endowment fund TOTAL FUNDS |
At 1.1.20 £ 38,401 2,000 649,115 689,516 |
Net movement in funds £ (6,647) - 13,512 6,865 |
At 31.12.20 £ 31,754 2,000 662,627 696,381 |
|---|---|---|---|
Comparative net movement in funds, included in the above are as follows:
| Incoming | Resources | Gains and | Movement | |
|---|---|---|---|---|
| resources | expended | losses | in funds | |
| £ | £ | £ | £ | |
| Unrestricted funds | ||||
| General fund | 40,772 | (54,968) | 7,549 | (6,647) |
| Endowment funds | ||||
| Endowment fund | - | - | 13,512 | 13,512 |
| TOTAL FUNDS | 40,772 | (54,968) | 21,061 | 6,865 |
PURPOSE OF FUNDS
RESTRICTED ENDOWMENT FUND
The endowment fund arose out of the provisions of the will of Thomas Corbett deceased. The fund balance amounts to £695,204 and can be used to make grants to the various local charities as set out in the Will of Thomas Corbett deceased. Income from the restricted endowment fund can be used for the general objects of the charity.
RESTRICTED INCOME FUND
The restricted extraordinary repair fund balance amounts to £2,000 and is a requirement of the charity's governing document for the purpose of providing for the extraordinary repair, improvement or rebuilding of the Almshouses belonging to the charity. Transfers into the fund are not required providing the net balance is in excess of £2,000.
The trustees consider that sufficient resources are held in each fund, in appropriate form, to enable each fund to be applied in accordance with any restrictions.
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continued...
Thomas Corbetts Charity
Notes to the Financial Statements - continued for the Year Ended 31st December 2021
14. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31st December 2021.
Page 13
Thomas Corbetts Charity
Detailed Statement of Financial Activities for the Year Ended 31st December 2021
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| INCOME AND ENDOWMENTS | ||
| Investment income | ||
| Listed investment income | 5,095 | 4,744 |
| Bank interest | 1 | 4 |
| 5,096 | 4,748 | |
| Charitable activities | ||
| Residents contributions | 36,176 | 33,024 |
| Grants | - | 3,000 |
| 36,176 | 36,024 | |
| Total incoming resources | 41,271 | 40,772 |
| EXPENDITURE | ||
| Investment management costs | ||
| Stockbroker's fees | 3,017 | 2,155 |
| Rent collection | 2,730 | 2,616 |
| 5,747 | 4,771 | |
| Charitable activities | ||
| Rates and water | 5,701 | 4,785 |
| Insurance | 1,376 | 1,485 |
| Light and heat | 1,667 | 1,202 |
| Telephone | 660 | 685 |
| Repairs | 24,957 | 23,920 |
| Gardening and sundries | 4,763 | 6,172 |
| Subscriptions | 374 | 368 |
| Caretaker's fees | 6,000 | 6,500 |
| 45,498 | 45,117 | |
| Support costs | ||
| Finance | ||
| Bank charges | 7 | - |
| Governance costs | ||
| Professional charges | - | 1,515 |
| Clerk to the charity | 13,202 | 2,755 |
| Independent examiner | 1,020 | 810 |
| 14,222 | 5,080 | |
| Total resources expended | 65,474 | 54,968 |
| Net expenditure before gains and losses | (24,202) | (14,196) |
| Recognised gains and losses | ||
| Gains/(losses) on fixed asset investments | **35,907 ** | 21,061 |
| Net expenditure | 11,705 | 6,865 |
This page does not form part of the statutory financial statements
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