THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIEfY {INCORPORATED> TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS 31ST MARCH 2024 -Reglstered.Company-Number: 00428236- Reglstered Charlty Number: 207600 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) FINANCIAL STATEMENTS 31ST MARCH 2024 Contents Pago Reference and administrative information Chair's report Trustees, report Report of the auditor statement of financial activities Balance sheet Cash flow statement Notes to the financial statements 10-12 13 14 15 16-25 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY UMITED BY GUARANTEE) REFERENCE AND ADMINISTrATIVE INFORMATION The Merchant Seaman's War Memorial Society (InGorporated) Trading as Care Ashore was fom)ed in 1947 as a company limited by guarantae. 11 is a charity, with the registered number 00428236. Trustees Mr V Bick, Chair Ms A Goodwin (appointed 6 November 2023) MrA C Sp81rs Mr C P Stracey (appointed 25 September 2024) Mr K Usher Mr R Walker, Treasurer Mr J Walsh, Chair (resigned 1 October 2023) Mr N C Waterson Company Reglstered Nurnber 00428236 Charlty Reglstered Number 207500 Company $8cr8tary Mr N C Waterson Reglstered Office "Sprlngbok-Radcllffe" Springbok Farm Estate Alfold nr Cranleigh Surrey GU6 8EX Chief executive offlc8r Ms C Stsmper (resigned 17 February 2024) Mr D Harvey (interim CEO, appointed 13 October 2023) Page 1 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY UMITED BY GUARANTEE) REFERENCE AND ADMINISTRATIVE INFORMATION (CONTINUED) Indepandent audltor Jacob Cavenagh & Skeet 5 Robin Hood Lane Sutton Surrey SM12SW Bank6r8 Natwest PLC stocklund Square Cranleigh Surrey GUS BRH CAF Bank 30 Old Broad St London EC2N 1HT Sollcltors Penningtons Manch8 LLP Beaufort House 31 Chertsey Street Guildford Surrey GU14HD Page 2 THE mERcHA￿r SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIPAITED BY GUARANTEE) TRUSTEES, REPORT Vlncent James Blck. Trustee This past year has been marked by both Challenge and resilience for Care Ashore. We are grateful for the service of our previous chair and also saw the departure ofthe CEO. Howaver, the remaining board members and interim CEO have worked together successfully and moved Ihe charity forward. Staff numbers have b88n restored, allowing for a significant improvement in the upkeep of the estate. We've also enriched the lives of our residents by offering more welfaro support, excursions and activities. Car8 Ashores, financial health is steadily improving through a diversif18d revenue strategy. Camping and caravanning are flourishing, along with an increase in rallies and evants. Our music festival continues lo be a crowd-pleaser, generating even greater rovenue this year. We've identified and funded new revenue opportunilies through the use of the Ilbrary and Cunard Room for functions. Additionally, a guest room refurbishment is underway, including wheelchair accessibility, which will further boost revenue upon completion. A signlficant increase in housing benefit rates has allowed more realistic rents and so also contributed to our financial stabilty, allowing our incom6 to exceed our general outgoings. Importantly, much-needed repairs to commercial properties have been undertaken, which will18ad to increased returns. Planning is underway for essential refurbishment of beneficiary housing, with the goal of creating best-in-class accommodations. The successful land sale in 2023 has been instrumental in funding the aforementioned changes and future plans. We're currently addressing a backlog of repairs and maintenance while also planning major refurbishment8 and improvements through 2026. This strategic use of our capital will restore Care Ashore to its full potential and establish financial reserves for unforeseen circumstances and long-term ambitions. Negotiations are undemay for the sale of another piece of land. If successful, this will not only secure the charity's long-term future but also enable us to develop a more expansive vision for supporting the maritime community. Alongside planning for the future, the trustees have also raviewgd and strengthened governance based on charity sector best practice_and begun_the process_of renewing the_trustee body for the long term. As always, the commitment of our trustees and staff is to continuously enhance the lives and environrnent of Care Ashores benefiGiari88. Thank8 to the fund8 from the land sale, we are now modernizlng our aglng estate, creating a home that fosters immense pride for all. Hlstory of the Soclety Owing to the urgent need to look after tha interests and health of seamen of the Mercantile Marine, the idea of the charity was conceived by the founder of the National Sailors, and Fireman's Union, Mr J. Havelock Wilson C.B.E MP, approachad a prominent ship owner in 1917who entered the scheme subsequently offered the building that was to become the first convalescent home in Limpsfield, Surrey. The union transfomied the building into a properly equipped convalescent home and it was opened by His Royal Highness Prince Albert, Duke of York, K.G., in 1920. This home provided nursing care for seamen injured or who fell ill whilst at sea. The home remained operational until 1963, when its services were transferred to its other establishment in Alfold, Surrey. During WWII it becama obvious to the Executive Officers of both the charity and tho Union, that more would have to be done for the men who by their service, were in increasing numbers, being permanently incapacitated from following the sea as a means of livelihood. The Union purchased and converted their war time Headquartars, Sachel Court Estate. Alfold, Surrey into a permanent Rehabilitation and Training Centre as a memorial to those seamen who had lost their lives, and in gratitude to those who survived but sacrificed Iheir health by serving their country. At this time th8 people of the Union of South Africa in their appreciation, through a Navy Week Campaign raised funds which were contribLrted to the 8cheme. From 1947 through to 1993 the training scheme r&trained seamen into either agriculture or horticultura, who then went on to successfully gain employment away from the sea. Since being established the charity has gone through much development, plus change, and after numerous reviews the organisation now focuses on providing sheltered housing with support as its main service to seafarers, with the provision of holidays for those who do not requir6 long term accommodation but would benefit from a break in the tranquil setting of the estate. Page 3 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TrADING AS CARE ASHORE (A COMPANY UMITED BY GUARANTEE) TRUSTEES. REPORT The Tiustees are pleased to present their annual report (induding the directors. report as required by company law) together with the audited financial ststements of the charitabl8 company for the year endéd 31 March 2024. The Trustees confirm that the Annual Report and financial statements of the company comply with tha current statutory requirements, the requirements of the Gompany's governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing th8lr accounts in accordance with the Financial R8POrting Standard applicable in Ihe UK and Republlc of Ireland (FRS 102) (effective 1 January 2019). OBJECTIVES AND ACTIVITIES "Care Ashore's vision for its future is to strengthen its position as a leader in the provision of high quality residential, welfare support and holiday opportunities for seafarers in need. The nature, quality and quantty of that support would be achieved by having a sound financial base and being an int8gral part of the provision of the welfare support availab18 Within the seafaring charitable sectorf,. We aim to achieva this by promoting awareness of the activities provided and further developing, plus marketing of the income generating opportunities that its resources provide. The desire lo be a more integrated element of the seafaring charitable sector will require the support and assistance of those charitable organisations that have a role and influence across a wide range of charities in the seafaring sertor. Th8 Objectives and Value8 of Care Ashore ObJ6ctlv08 The Objacts of the Charity are, for the public benefrt, to provide exclu8ively charitable support, services and grants to: those men and women who are or have been seafarers, and their dependants, who are in need of assistance by the provision of accommodation, financial allowances or grants and in such other ways as the Board think fit; and those men and women who are or hava been seafarers and who are sick. disabled, aged or infirm or who require rest or convalescence by the provision and maintenance of a convales￿nt home or rest home or in such other ways as the Board think fit. and to othepNise extend its services to those persons having an appropriate connection with the sea as the Board thinks frt. PUBLIC BENEFIT The Trustees confirm that they have cornplied with the duty in Section 17 of the Charities Act 2011, in having due regard to the Charty Commission's General Guidance on Public Benefit in setting objectives and planning for activities and are reporting this here as they are required to do under the same dir8Ctive. Maln activities undertaken to further the charity'8 purposes for the publlc bongfit The high level of Servi￿ delivered to th8 b8neficiari8s ensures that povety, homeles8n&ss and isolation are reduced. Assisting beneficiaries to maintain good health and fitness sustains quality of life that allows them to live independently rather than having to go into care. The Trustees review the charty's aims and objectives each year to ensure the aGtivities and services provided are in keeping with the core values of the charity. They consider what has been achieved and the outcomes met over the past twelve months, then assess the level of success throughout that helps them measure the success of each activity and the benefits they have brought to th088 individuals on whom our servi￿S are focused. Page 4 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) TRUSTEES, REPORT STATEMENT OF FUNDRAISING PRACTICES Care Ashore benefits from many p80pI8's generosity and w8 ar8 extremely grateful for their continuad support through donations, legacies and fundraising events. Due to the limited nature of the fundraising activities currently undertaken, the charity does not formally monitor compliance with the Code of Fundraising Practice. The charity does not consider that any of its fundraising activities conslitute unreasonable intrusion on a person's privacy, unreasonably peTSiStent approaches or undue pressure to give and has not received any complaints in respect of this during the year. Th6 charity does not work with any commercial participators or professional fundraisers. ACHIEVEMENTS & PERFORMANCE Achlevem8nts for 2023-2024 The capital funding for a major refurbishmenl programme has been secured and the work is being planned to be rolled out across the charity to ensure the residents resida in quality accommodation. The capital raised also provides the basi8 of an income generating fund to provide long term financial securty We continue to be focussed on sustainability Volunteers Voluntsering restarted after the pandemic in partnership with West Surray Volunteer Bureau. Volunteers have attended and generously helped to compl8t8 tasks in the grounds. Alongside this, several of our r88id8nts regularly give up their time to assist the Estates team. Investment pollcy and performance The charity has over the years invested in properties that are let to raise income in 8UPPOrt of its objectives. The return from these investments have been maximised with rent values measured against market valuations in the local area and all of the commercial units were let out at the year end. Page 5 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) TRUSTEES, REPORT FINANCIAL REVIEW Prlnclpal fundlng The main source of income is secured through th8 accommodation and business units. Our annexe in the main house provides a third of our income and accommodat88 some of our mor8 vulnerable residents who b8nefit greatly from the facilities provided. These include having direct access to stsff, social room, library and most importantly our dining facilities which provide an essential social experience for our residents. There are times when external influences have an impact on everyday operations, such as statutory payments being delayed that must be managed with consideration and Gare. Re8erve8 Pollcy The trustee's policy is to maintain reserv8s at a 18v81 sufficient to support both Capital Projects and a renovation programrne, plus to build reserve5 such that there are sufficient funds available to enable continued operations for a period of six months. Total funds at 31 March 2024 were £12,412,925 (2023: £12,760,987) of which £3,400 (2023.. £2,416) were restricted funds. Of the unrestricted funds held. £9.180,623 (2023: £9,080,878) were tied up as tangible fixed assets and investment property. There are free reserves of £3,228,902 (2023: £2,999,057). These are In excess of the required reserves and the trustees will be taking advice as to how best to deploy these funds in a systematic refurbishment and upgrading of the various prop8rtres on the estat8, Starting with refurbishrnent of beneficiaries. accommodation. As discussed later, the trusteas continue to work on plans for the long term wlth the alm to Increase Income whi18t delivering its services in an efficient manner in order to build up both the free reserves of the charity and incorne generating inveslments to diversty the Income sources of the charty. Rlsk Management The trustees have a risk management strategy that comprises.. Ongolng review of the rlsks the charlty may face Regular review and overhaul of the Risk Register The estsblishment of procedures designed to minimise any potential impact on the charity should these materialise. The Trustees have assessed the major rlsks to whlch the charltable company Is exposed, In partlcular those related to the operations and finances of the charitable company and are satisfied that systems and procedures are in place to mitigate our exposure to the rnajor risks. Particular attention is always focused on non-financial risk arising from fire, health & safety of residents, staff and visitors and food hygiena. A key element of the management of financial risk is the setting of a reserves policy and its regular review by trust8es and the trustees have been working successfully to make th8 charity more robust in this respect. The major financial risk has been availability of Gash to fund operations. This has been mitigated by iegular information, the drawdown of loan income and the land disposal to Thakeham for affordable housing which has recapitalised the charity. Page 8 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) TRUSTEES, REPORT Going concern After rnaking appropriate enquiries, the trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies. STRUCTURE. GOVERNANCE AND MANAGEMENT Govornlng Document The f*Aerchant Saamen's War Memorial Society trading as Care Ashore is a charilable cornpany limited by guarantee governed by its Articles of Association adopted on 2 June 2021. It is registered as a charity with the Charity Commission as charity number 20751K). The principal objects of the charitable company are to provid8 accommodation, financial 8UPPOrt and a rest home for seafarers and their dependants. Appolntmont ol Trustsos The directors of the charitable company (the Charity) are its Trustees for the purpos8 of the charity law and throughout this report are collectively referred to as the Truste85. Mernbers-of-the-Board-shall-be-appolnted-by-the Board-and-s8lected-for-appointmenLprimarily-on-the-basis of the skills and experience required by the Board in order to carry out their responsibilities effectlvely In the best Interest of the Charlty. The Board when complete consists of at least 6 and not more than 12 persons, being individuals who are over the age of 18, all of whom must support the Objects. If a member of the Board is a corporate body it must act through a named representative whose contact details are notified to the Board. The Chairman will be appointed as laid down In the Articles. Trustaa Inductlon and Tralnlng New trustees undergo a period of orientation to brief them on their legal obligations under the charty and company law, the content of the Memorandum and Articles of Association, the committee and decision making process, the business plan and updated on the recent financial performance of the charity. During the induction period they will meet key employees and other trustees. Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role. It is intended that the four recenlly recruited Trustees will receive training in the next financial year. Organlsatlonal structure and decislon maklng The board of trustee8, which can have up to 12 members. administers the charity. The board meets bi- monthly and the sub-committee meet more regularly to cover the development, membership, finance and audit. The Chi8f Executrde is appointed by the trustees to manage the day-to-day operations of the charity. To facilitate effective operations, the Chief Executive has delegated authority. within the terms of their delegation approved by the trustees, for operational matters including finance, employment, and management of the complete operations of the organisation. Page 7 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIEfY (INCORPORATED) TrADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) TRUSTEES, REPORT Pay policy for senlor staff The charity's senlor staff pay, and benefits are set by reference to the annual surveys of Informatlon from Incomes Data Services, local information or other re16vant bodies and ar6 consistent within the support and housing sector. The charity always aims to offer terms equivalent to or exceeding the market rate for the charity sector Subject to its financial capabilty. Salarlas ara controlled and monltorod by: a) Measurement Annual review of salaries and benefits through appropriate comparisons with other relevant data. b) Reference: Incomes Data Services, local information or other relevant bodies and shall b8 consistent wilhin Ihe support and housing sector. c) Audit.. Comparison and calculation criteria held by CEO. PLANS FOR FUTURE PERIODS The trustees are focusing on the future sustainability of the charity by generating income from the estate and by-limited-land-disposals for-housing-to provide a solid-capital base-, with-prudent investment-planning-. This will ensure the service provided to tha beneficiaries is of a high standard. There may be a need to review criteria for acceptance in recognition of the widening roles of saafarers. This may include offering accommodatlon to those working at sea malntalnlng oll rlgs and wlnd fams, and those working in seafaring industries around the coasts and tidal rivers. STATEMENT OF TRUSTEES, RESPONSIBILITIE8 Tha Trustees (who are also the directors of the Company for the purposes of company law) are responsible for preparing the Trust88s' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (Unit8d Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affai18 of the Cornpany and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to: select suitable accounting policies and then apply them consistently; observe the melhods and principles of the Charities SORP (FRS 102)., make judgements and accounting estimates that are reasonable and PTudent; state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial ststements; prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business. The Trustees are responsible for keeping ad8quat8 accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the financial statements comply with the Companies Act 2006. Page 8 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATEDI TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) TRUSTEES. REPORT They are also responsible for safeguarding the assets of the Company and hence for tsking reasonable steps for the prevention and detection of fraud and other irregularities. DISCLOSURE OF INFORMATION TO AUDITORS The trustees who h81d office at the date of approval of this Trustees, Report confirm tha( so far as they are individually aware, there is no relevant audit information of which Care Ashore's audltors are unaware. and each trustee has taken all reasonable staps that they ought to have taken as a trusteé to make themselves aware of any relevant audit information and to establish that the Society's auditors are aware of the information. AUDITORS A resolullon will be proposed al the Annual General Meeting that Jacob Cavenagh & Skeet are to be appointed as auditors to the charity for Ihe ensuing year. This report was prepared in accordance with the special provisions available to small companies, approved by order of the members of the board of Trustees and signed on its b6half by: Mr Vincent Blick (Chair of Trustees) Date.. Page 9 REPORT OF THE INDEPENDENT AUDITOR TO THE MEMBERS OF THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) Opinion We have audited the financial statements of The Merchant Seaman's War Memorial Society (Incorporated) Trading as Care Ashore (the 'charty') for the year ended 31 March 2024 which compris8 th8 Statement of Financial Activities. the Balance Sheet, the Statement of Cash Flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has be8n applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicab19 in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting PractiC8). In our opinion the financial statements: give a true and fair view of the state of the charitable company's affairs as at 31 March 2024 and of its incoming resources and application of resources for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordance with the requirements of the Companies Act 2006. Ba81s for oplnlon We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and appllcable law. Our rasponsibilitias under those standards are further described in the Auditor's r8sponsibiliti8s for th8 audit of th8 financial statements section of our report. We are independent of tha oharitable cornpany in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained 18 Sufficient and appropriate to provide a basis for our opinion. Conclusions rolating to going concern In auditing the financial statements, we have concluded that the trustees, use of the going concern basis of accountlng In the preparatlon of the financlal statements is appropriate. Based on the work we have perforrned, we have not identified any material uncertainties relating to events or conditions that, individualty or collectively, may cast significant doubt on the Charity's ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with raspect to going concern are described in the relevant sections of this report. other Informatlon The other information comprises the information included in the annual report, including the trust88s' r8POrt, other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the oth8r information and, except to the extent otherwise explicitly stated in our report, we do not exp￿SS any form of assurance conclusion thereon. Our responsibilty is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistancias or apparent material misstatement8, we are required to determine whetherthis gives riseto a material misstatement in thefinancial statements themselves. If, based on the work we have perfomed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Page 10 REPORT OF THE INDEPENDENT AUDITOR TO THE MEMBERS OF THE mERcHA￿r SEAMEN'S WAR MEMORIAL SOCIETY {INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARAKfEE) Oplnions on other matters prescrlbed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of our audit: the information given in the trustees, report, which includes the dir￿torS. report prepared for the purposes of company law, for the financial year for which the financial statem6nts are prepared is consistent with the financial statements; and the directors, r8POrt induded within the trustsas, report has been prepared in accordance with applicable legal requirements Mattars on whlch we arg requlred to report by oxceptlon In the light of the knowledge and understsnding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors, report included with the trustees, report. We have nothing to raport in respect of the following matters In relation to which th8 Companies Act 2006 requires us to report to you if, in our opinion.. adequate and proper accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by u8; or tha financial statements are not in agr88ment with the accounting records and retums; or certain disclosuras of trustees, remuneration specified by law are not made; or we have not received all the information and explanations we require for our audit. or the trustees were not entitled to prepare the financial statements in accordance with the small companies r8gim8 and take advantag8 of the small companias exemptions in preparing the trustee8' report and from the requirement to prepare a strategic report. Responslbllltles of trusto95 As explained more fully in the trustees, responsibilitias statemant, tha truste8s' (who are also tha directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a tru8 and fair view, and for such intemal control as th8 trustee5 detemiine is necessary to enable the preparation of financial statements that are free from rnaterial misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity's abilty to continue as a going concem, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the company or to cease oparations, or have no realistic alternative but to do so. Auditorfs re3pon8ibilities for the audit of the flnanclal statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion, Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a rnaterial misstatement when it exists. Misstatements can arise from fraud or error and are considgred material if, individually or in the aggregate, they could reasonably be 8XP8Ct8d to influance th8 economic decisions of users tsken on the basis of these financial statements. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: Based on our understanding of the company, we identified that the prinoipal risks of non-compliance with laws and regulations related to taxation, employment and financial reporting legislation and we considered the extent to which non-compliance might have a material effect on the financial ststements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and Charities Act 2011. Page11 REPORT OF THE INDEPENDENT AUDITOR TO THE MEMBERS OF THE MERCHAKf SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY UMITED BY GUARANTEE) We assessed the susceptibility of thé companys financial statements to material misstatsm8nt, including obtaining an understanding of how fraud might occur, by making enquiries of management, considering the internal controls in place and disGussion amongst the engagement team. Wa det8rmin8d that th8 principal risks were related to: Valuation of investment property Identification of restricted 8xpenditura Presentation of separately disclosed it8ms Management override of controls In response to the risks identified we designed procedures which included, but wer8 not limited to: challenging the estimated valuation of investment property agr88ing financial 8tat8ment disclosures to underlying supporting documentatlon reviewing Trust8e8 meeting minutes evaluating the charit*s internal controls There are inhererbt limitations In the audit procedures described abova. The more removed that law8 and regulation8 are from financial transactions, the less likely it is that we would become aware of non- compliance. Material misstatements that arise due to fraud can be harder to detect than those that arlse from error as they may involve deliberate concealment or collusion. A further description of our responsibilities for the audit of the financial ststements is located on the Financial Reporting Council's website at: http:IlwvpN.frc.org.uklauditorsresponsibilities. This description formS￿art of our auditor's report. Use of our roport This report is made solely to the charitable company's m8mber8, as a body, in accordance with Chapter 3 of Part 16 ofthe Companies Act 2006 and regulations made under thatAct. Our auditwork has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors, report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and ils members as a body, for our audit work, for this report, or for the opinions we have formed. Paul Newton FCA Isenlor Statutory Audltor) for and on behalf of Jacob Cavenagh & Skeet Statutory Audltor Chartered Accountants 5 Robin Hood Lane Sutton Surrey SM12SW Date: Page 12 THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TRADING AS CARE ASHORE (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31ST MARCH 2024 Unrestricted Restrlcted Totsl Unrestrlcted Restrlcted ToLql Funds Funds 2024 Funds Funds 2023 Note INCOME FROM Donations and legacies Charitable activities other trading activities Investments Other income 12.793 628,176 109,205 281,670 3,644 16,437 37.015 628,176 520,602 109,205 61,688 281,670 277,294 7 995 3 897 208 44,927 81,942 520,602 61,688 277,294 3 897 208 Total Income 1039 839 3 844 1043 483 4 793 807 44 927 4 838 734 EXPENDITURE ON: Charitable activities: Raising funds Charitable activities 146,422 9 1330131 146,422 138,487 244 1330375 1237724 138,487 29 000 1266 724 Total expendlture 1,476,553 244 1,476,797 1.378,211 29,000 1,405,211 Gainl 5 years 66.361 232,257 328 771 All loans weie fully repaid during the year. Page 23 -11 I i- a wtx zai a> xo) THE MERCHANT SEAMEN'S WAR MEMORIAL SOCIETY (INCORPORATED) TrADING AS CARE ASHORE (A COMPANY LIMrrED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST fvIARCH 2024 (continued) 21 ANALYSIS OF NEf ASSETS BETWEEN FUNDS - 2024 Restrlcted Unrestricted Total Tangible fixed assets Flxed assat investments Investment property Current assets Creditors due Within one year Creditors due in more than one year 1,053,907 15,516 8,111,200 3,375,914 1,053,907 15,516 8,111,200 3,379,314 3,400 ( 147,012) ( 147,012) ANALYSIS OF NEf ASSETS BETWEEN FUNDS - 2023 Tangible fixed assets Fixed asset investments Investment property Current assets Creditors due within one year Creditors due In more -than one"yeatr"- 1,039,414 25,264 8.016,200 4,553,676 1,039,414 25,264 8,016,200 4,556,092 2,416 ( 248,594) ( 248,594) -827-389 - 627-389 22 COMMITMENTS UNDER OPERATING LEASES The total future minimum payrnents under non-cancellable operating leases are as follows: 2024 2023 Within one year Between bNo and five years 6,323 9,077 23 RELATED PARTY TRANSACTIONS There are no related party transactions requiring disclosure. 24 PENSION COMMITMENTS The charitable company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the charitable company in an independently administered fund. The pension cost charge represents contiibutions payable by the charitable company to the fund and amounted to £10,942 {2023: £10,346). Contributions totalling £2,230 (2023.. £2,104) were payable to th8 fund at the balance sheet date. Page 25