## **Sandbach Almshouse Charity**
**Trustees' Report and Financial Statements for the year ended 31 December 2022**
**Charity Registration No. 211106**
## **Sandbach Almshouse Charity**
## **Contents**
||**Page**|
|---|---|
|Trustees' Report|1 - 3|
|Independent Examiner's Report|4|
|Statement of Financial Activities|5|
|Balance Sheet|6|
|Statement of Cash Flows|7|
|Notes to the Financial Statements|8-14|
## **Sandbach Almshouse Charity**
## **Legal and Administrative Information**
|**Chairperson**|Mrs I M Mackenzie|
|---|---|
|**Other Trustees**|Mr S Hollinshead|
||Mrs P Barnett|
||Mrs P Minshull|
||Mr E Lea|
||Mrs P Cotton|
||Mr R Hovey|
||Mrs E Nevitt|
||Mrs S Broad|
||Mr GP Jones|
||Mr T Wheatcroft|
|**Clerk to the Trustees**|Mrs N Clark|
|**Charity Number**|211106|
|**Address of Charity**|The Gables|
||20 Crewe Road|
||Sandbach|
||Cheshire|
||CW11 4NE|
|**Independent Examiner**|Dean Statham|
||29 King Street|
||Newcastle-Under-Lyme|
||Staffordshire|
||ST5 1ER|
|**Bankers**|The Royal Bank of Scotland|
||2 Bradwell Road|
||Sandbach|
||CW11 1WB|
**Sandbach Almshouse Charity**
**1**
## **Trustees' Report for the year ended 31 December 2022**
## **Introduction**
The Trustees present their report and the unaudited financial statements for the year ended 31 December 2022.
## **Objectives and Activities**
The purpose of the Charity is to provide rented accommodation for the older persons of the Ancient Parish of Sandbach.
The Trustees confirm they have referred to guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Charity's aims and objectives.
## **Trustees' Responsibilities**
The Statement of Recommended Practice, "Accounting and Reporting by Charities" and the Charity's Constitution require the Trustees to make available an Annual Report for each financial year, showing a true and fair view of the financial transactions of Sandbach Almshouse Charity during the financial year and of the disposition at the end of the financial year, of the assets and liabilities.
In preparing the financial statements, the Trustees are required to:
- select suitable accounting policies and apply them consistently;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that this basis applies.
The Trustees under Trust Law are responsible for ensuring proper accounting records are kept which disclose, with reasonable accuracy at any one time, the financial position of the Charity and enable them to ensure that the financial statements comply with the Trust Deed dated 4th August 1967 and the Charities Act 2011. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
**Sandbach Almshouse Charity**
**2**
## **Trustees' Report for the year ended 31 December 2022**
## **Achievements and Performance**
The Charity provides 29 properties (consisting of flats and houses) for occupation. A resident warden is employed to look after the welfare of the occupiers.
## **Financial Review**
During the year the Charity received total income of £111,354 and expended £112,008 on charitable activities resulting in net expenditure for the year of £654.
This figure when adjusted for unrealised losses on investments held of £44,816 has resulted in a negative movement in funds for the year of £45,470.
Investments in Official Charities Funds were valued at £440,998 and further investment is made annually, in order to provide a fund for any major improvements and maintenance work on the properties that may be required in the future.
## **Structure, Governance and Management**
Sandbach Almshouse Charity, The Gables, 20 Crewe Road, Sandbach, Cheshire, CW11 4NE is registered with the Charity Commission (No 211106).
The Charity is constituted and governed by a Trust Deed dated 4th August 1967.
The Charity is managed by a committee of 13 members, 8 nominated members and 5 co-optative members who are elected by the other Trustees.
Management of the Charity's funds was delegated to the Clerk of the Trustees, Mr A Roberts. Investment by the Clerk is in accordance with guidelines prescribed by the Trustees. The clerk's role has since been taken over by Mrs N Clark for the 2023 financial year.
The Clerk deals with the day to day running of the properties. Trustees meetings are usually held four times per year to deal with major issues, however for the current and prior year, the meetings were held off due to the Covid-19 pandemic. The meetings will be resumed.
## **Recruitment**
Eight Trustees are nominated By Town and Parish Councils within the ancient Parish of Sandbach.
Five Trustees are co-opted from within the ancient Parish of Sandbach.
**Sandbach Almshouse Charity**
**3**
## **Trustees' Report for the year ended 31 December 2022**
## **Reference and Administrative Details**
Sandbach Almshouse Charity, The Gables, 20 Crewe Road, Sandbach, Cheshire, CW11 4NE is registered with the Charity Commission (No 211106).
The Charity was administered by the following members during the year:
**Chairperson** Mrs I M Mackenzie **Vice Chairperson** Mr D Robinson **Clerk to the Trustees** Mrs N Clark **Trustees** Mr S Hollinshead Mrs P Barnett Mrs P Minshull Mr E Lea Mrs P Cotton Mr R Hovey Mrs P Eaton Mrs K Flavell Mr GP Jones
The Charity is served by Royal Bank of Scotland PLC in Sandbach and Dean Statham Chartered Accountants in Newcastle-Under-Lyme as Independent Examiner.
## **On behalf of the board of trustees**
…………………………………… (Signature) …………………………………… (Name) …………………………………… (Date)
**Sandbach Almshouse Charity**
**4**
## **Independent Examiners Report to the Trustees**
We report to the Trustees on our examination of the accounts of the Charity for the year ended 31 December 2022, which are set out on pages 5 to 14.
## **Responsibilities and basis of report**
As the charity's trustees you are responsible for the preparation of the accounts in accordance with the requirement of the Charities Act 2011 ('the Act').
We report in respect of our examination of the charity's accounts carried out under section 145 of the Act and in carrying out our examination we have followed all the applicable directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiners statement**
We have completed our examination. We can confirm that no material matters have come to our attention in connection with the examination giving us cause to believe that in any material respect:
1. Accounting records were not kept in respect of the charity as required by section 130 of the Act; or
2. The accounts do not accord with those records; or
3. 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.
We 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.
…........................................... Dean Statham Chartered Accountant 29 King Street Newcastle-Under-Lyme Staffordshire ST5 1ER
Dated ...........................
**5**
## **Sandbach Almshouse Charity**
## **Statement of Financial Activities for the year ended 31 December 2022**
|**Unrestricted**
**Note**
**Funds**
**£**
**Income**
Earned from charitable activities
**2**
110,943
Investment income:
Official custodian for Charinco shares
373
Donations
-
Other bank interest received
38
**Total income**
111,354
**Expenditure**
Costs of raising funds
-
Expenditure on charitable activities
**3**
112,008
**Total expenditure**
112,008
**Net income/(expenditure)**
(654)
**Transfers**
Transfers between funds
-
**Net income/(expenditure) before**
**gains and losses on investments**
(654)
Net gains/(losses) on investments
(44,816)
**Net movement in funds**
(45,470)
**Reconciliation of funds**
Balances brought forward at 1 January 2022
**10**
656,570
Balances carried forward at 31 December 2022
**10**
611,100|**Restricted**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|**Total Funds**
**2022**
**£**
110,943
373
-
38
111,354
-
112,008
112,008
(654)
-
(654)
(44,816)
(45,470)
656,570
611,100|**Total Funds**
**2021**
**£**
109,265
373
100
2
109,740
-
112,145
112,145
(2,405)
-
(2,405)
69,235
66,830
589,740
656,570|
|---|---|---|---|
The Statement of Financial Activities has been prepared on the basis that all operations are continuing.
There are no gains or losses other than those passing through the Statement of Financial Activities.
**Sandbach Almshouse Charity**
**6**
## **Balance Sheet as at 31 December 2022**
||**Note**||**2022**|||**2021**||
|---|---|---|---|---|---|---|---|
|||**£**||**£**|**£**||**£**|
|**Fixed assets**||||||||
|Housing properties|**4**|||828,018|||828,018|
|Less:
Social housing grant|**4**|||(663,256)|||(663,256)|
|Accumulated depreciation|**4**|||(63,075)|||(58,497)|
|Tangible assets|**4**|||96,743|||99,029|
|**Current assets**||||198,430|||205,294|
|Debtors|**5**|2,355|||2,090|||
|Investments|**6**|440,998|||482,814|||
|Cash at bank and in hand|**7**|15,984|||13,410|||
|**Creditors:**||||459,337|||498,314|
|amounts falling due within one year|**8**|||(15,525)|||(15,645)|
|**Net current assets**||||443,812|||482,669|
|**Total assets less current liabilities**||||642,242|||687,963|
|**Creditors:**||||||||
|amounts falling due after more than|**9**|||(31,142)|||(31,393)|
|one year||||||||
|**Net assets**||||611,100|||656,570|
|**Funds**|**10**|||||||
|Designated reserves||||||||
|Routine maintenance||||99,942|||91,399|
|Cyclical maintenance||||107,178|||100,016|
|Extraordinary maintenance fund||||33,355|||33,355|
|Other reserves||||||||
|Investment revaluation reserve||||390,070|||434,886|
|Income and expenditure account||||(19,445)|||(3,086)|
|||||611,100|||656,570|
|Approved by the board of trustees on|……………………….|||and signed on their behalf by:||||
|……………………………………|(Signature)||………………………………… (Signature)|||||
|……………………………………|(Name)||………………………………… (Name)|||||
|Trustee|||Trustee|||||
**Sandbach Almshouse Charity**
**7**
## **Statement of Cash Flows for the year ended 31 December 2022**
|**Note**
**Net cash generated from operating activities**
**7**
**Cash flow from investing activities**
Interest and dividends
Proceeds from sale of investments
Purchase of investments
Purchase of fixed assets
Repayment of borrowings
**Net change in cash and cash equivalents**
**Cash and cash equivalents at 1 January**
**Cash and cash equivalents at 31 December**|**2022**
**£**
7,891
411
-
(3,000)
-
(2,728)
2,574
13,410
15,984|**2021**
**£**
6,102
475
-
(3,000)
-
(2,707)
870
12,540
13,410|
|---|---|---|
**Sandbach Almshouse Charity**
**8**
## **Notes to the Accounts for the year ended 31 December 2022**
## **1. Accounting Policies**
The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the Charity's financial statements.
## **Basis of Accounting**
The Financial Statements have been prepared under the historical cost convention as modified by the revaluation of fixed assets.
The financial statements are prepared in £ sterling, which is the functional currency of the entity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) and the Charities Act 2011.
## **Income**
All incoming resources are included in the Statement of Financial Activities when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy.
Investment income includes interest and dividends from investments and bank interest. It is accounted for on an accruals basis.
## **Expenditure**
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.
Charitable activities includes repairs and maintenance which are paid for out of a routine maintenance fund and a cyclical maintenance fund.
## **Realised Gains and Losses**
All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.
## **Fixed Assets and Depreciation**
Housing properties are stated at cost less social housing grant and depreciation.
**Sandbach Almshouse Charity**
**9**
## **Notes to the Accounts for the year ended 31 December 2022**
## **1. Accounting Policies Continued**
Freehold land is not depreciated. Housing properties are split between the structure and those major components which require periodic replacement. Each component is accounted for separately and depreciated over its individual useful economic life. Expenditure relating to subsequent replacement or renewal of components is capitalised as incurred. The Charity depreciates freehold buildings on a straight line basis over the estimated useful life of the component categories. The identified components, to which the Trustees has disaggregated the housing properties balance and their estimated useful economic lives, are as follows:
|Housing properties|Structure|100 years|
|---|---|---|
||Roofs|70 years|
||Windows and external doors|30 years|
||Kitchens|30 years|
||Bathrooms|35 years|
||Electrics|40 years|
||Gas boilers|30 years|
||Communal fixtures|10 years|
||Central heating|30 years|
|Communal meeting room|Structure|100 years|
||Windows and external doors|30 years|
||Gas boiler|30 years|
||Kitchen|30 years|
|Landscaping and car parks||10 years|
|Sheds and allotments||20 years|
|Warden control system||10 years|
A full years depreciation is charged in the year the above assets were acquired and none in the year of disposal.
## **Social Housing Grant**
Grants for capital expenditure are deducted from the cost of the fixed assets to which they relate as they become receivable. Where individual components are disposed of and this does not create a relevant event for recycling purposes, any grant which has been allocated to the component is released to the income and expenditure account. Upon disposal of the associated property, the Charity is required to recycle these proceeds.
## **Investments**
Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year. The Charity does not acquire put options, derivatives or other complex financial instruments.
The main form of financial risk faced by the Charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.
**Sandbach Almshouse Charity**
**10**
## **Notes to the Accounts for the year ended 31 December 2022**
## **1. Accounting Policies Continued**
## **Taxation**
As a registered Charity, it is exempt from income and corporation tax to the extent that its income and gains are applicable to charitable purposes only. Value Added Tax is not recoverable by the Charity, and is therefore included in the relevant costs in the Statement of Financial Activities.
## **2. Income Earned from Charitable Activities**
|**Unrestricted**
**Funds**
**£**
Rental income
110,943
110,943|**Restricted**
**Funds**
**£**
-
-|**Total**
**2022**
**£**
110,943
110,943|**Total**
**2021**
**£**
109,265
109,265|
|---|---|---|---|
## **3. Expenditure on Charitable Activities**
|Wardens salary
Telephone (warden)
Warden control (intercom)
Electricity
Gardening
Water rates
Window cleaner
Communal TV license
Mortgage interest
Routine maintenance
Cyclical maintenance
Depreciation
Support costs|**Unrestricted**
**Restricted**
**Total**
**Total**
**Funds**
**Funds**
**2022**
**2021**
**£**
**£**
**£**
**£**
25,486
-
25,486
24,724
803
-
803
850
2,278
-
2,278
2,291
3,092
-
3,092
2,723
5,939
-
5,939
6,375
8,660
-
8,660
8,125
96
-
96
104
103
-
103
90
3,072
-
3,072
3,093
9,437
-
9,437
10,204
18,880
-
18,880
20,169
6,864
-
6,864
6,865|
|---|---|
|Surveyors reports etc.|2,305
-
2,305
2,130|
|Insurances|2,807
-
2,807
2,643|
|Subscriptions|917
-
917
902|
|Sundry expenses|550
-
550
908|
|Fees - clerk|18,840
-
18,840
18,120|
|Loan arrangement fees|125
-
125
125|
|Accountancy fees|1,754
-
1,754
1,704|
- 112,008 112,008
112,145
**Sandbach Almshouse Charity**
**11**
## **Notes to the Accounts for the year ended 31 December 2022**
## **4. Tangible Fixed Assets**
|**5.**|**Landscaping**
**Warden**
**& Car**
**Sheds &**
**Housing**
**Control**
**Parks**
**Allotments Properties**
**System**
**£**
**£**
**£**
**£**
**Cost**
1st January 2022
20,354
1,153
828,018
8,987
Additions
-
-
-
-
31st December 2022
20,354
1,153
828,018
8,987
**Social Housing Grant**
1st January 2022
-
-
(663,256)
**-**
Additions
-
-
-
**-**
31st December 2022
-
-
(663,256)
-
**Depreciation**
1st January 2022
7,306
1,153
58,497
7,192
Additions
144
-
4,578
899
31st December 2022
7,450
1,153
63,075
8,091
Net book amount
31st December 2022
12,904
-
101,687
896
1st January 2022
13,048
-
106,265
1,795
**Debtors**
Rent debtors
Prepayments and accrued income|**Communal**
**Meeting**
**Room**
**£**
95,373
-
95,373
**-**
**-**
-
11,187
1,243
12,430
82,943
84,186
**2022**
**£**
895
1,460
2,355|**Total**
**£**
953,885
-
953,885
(663,256)
-
(663,256)
85,335
6,864
92,199
198,430
205,294
**2021**
**£**
749
1,341
2,090|
|---|---|---|---|
**Sandbach Almshouse Charity**
**12**
## **Notes to the Accounts for the year ended 31 December 2022**
## **6. Investments**
|**Cost or valuation**
Market value at 1 January 2022
Additions at cost
Carrying value of disposals
Net unrealised (loss)/gain on revaluation of investments
Market value at 31 December 2022|**2022**
**£**
482,814
3,000
-
(44,816)
440,998|**2021**
**£**
410,579
3,000
-
69,235
482,814|
|---|---|---|
## **Unlisted Investments**
At 1 January 2022 and 31 December 2022 shares were held in Co-op Housing Services (North West) at a historic cost of £1 and a market value of £nil.
All investments are carried at their fair value. Investment in equities and fixed interest securities are all traded in quoted public markets, primarily the London stock exchange. Holdings in common investment funds, unit trusts and open-ended investment companies are at the bid price. The basis of fair value for quoted investments is equivalent to the market value, using the bid price. Asset sales and purchases are recognised at the date of trade at cost (that is their transaction value).
The charity is not reliant on investment income to meet its charitable objectives.
## **7. Reconciliation of Net Movement in Funds to Net Cash Flow from Operating Activities**
|Net movement in funds
Investment income
Add back depreciation charge
Losses/(gains) on investments
Decrease/(increase) in debtors
Increase/(decrease) in creditors
**Net cash used in operating activities**
**Analysis of Cash and Cash Equivalents**
Royal Bank of Scotland current account
Royal Bank of Scotland high interest account
CCLA - Charities deposit fund|**2022**
**£**
(45,470)
(411)
6,864
44,816
(265)
2,357
7,891
511
14,565
908
15,984|**2021**
**£**
66,830
(475)
6,865
(69,235)
62
2,055
6,102
543
11,967
900
13,410|
|---|---|---|
**Sandbach Almshouse Charity**
**13**
## **Notes to the Accounts for the year ended 31 December 2022**
|**8.**
**9.**
**10. **|**Creditors: Amounts falling due within one year**
Mortgages - secured
Non - housing loan
Rent received in advance
Accruals and sundry creditors
**Creditors: Amounts falling due after one year**
Mortgages - secured
**Maturity of debt included above**
Between one and two years
Between two and five years
In five years or more
**Statement of Funds**
**Balance**
**B/F**
**Incoming**
**£**
**£**
a) Routine maintenance fund
91,399
17,980
b) Cyclical maintenance fund
100,016
26,042
c) Extraordinary maintenance fund
33,355
-
d) Investment revaluation reserve
434,886
-
e) Income and expenditure account
(3,086)
67,332
Total capital and reserves
656,570
111,354|**Creditors: Amounts falling due within one year**
Mortgages - secured
Non - housing loan
Rent received in advance
Accruals and sundry creditors
**Creditors: Amounts falling due after one year**
Mortgages - secured
**Maturity of debt included above**
Between one and two years
Between two and five years
In five years or more
**Statement of Funds**
**Balance**
**B/F**
**Incoming**
**£**
**£**
a) Routine maintenance fund
91,399
17,980
b) Cyclical maintenance fund
100,016
26,042
c) Extraordinary maintenance fund
33,355
-
d) Investment revaluation reserve
434,886
-
e) Income and expenditure account
(3,086)
67,332
Total capital and reserves
656,570
111,354|**Outgoing**
**£**
(9,437)
(18,880)
-
-
(83,691)
(112,008)|**2022**
**£**
251
-
4,695
10,579
15,525
**2022**
**£**
31,142
31,142
276
1,005
29,861
31,142
**Gains/**
**Losses**
**£**
-
-
-
(44,816)
-
(44,816)|**2021**
**£**
228
2,500
4,204
8,713
15,645
**2021**
**£**
31,393
31,393
251
914
30,228
31,393
**Balance**
**C/F**
**£**
99,942
107,178
33,355
390,070
(19,445)
611,100|
|---|---|---|---|---|---|
||
Mortgages - secured
Non - housing loan
Rent received in advance
Accruals and sundry creditors
**Creditors: Amounts falling due after one year**|||||
||
Mortgages - secured
**Maturity of debt included above**
Between one and two years
Between two and five years
In five years or more
**Statement of Funds**
a) Routine maintenance fund
b) Cyclical maintenance fund
c) Extraordinary maintenance fund
d) Investment revaluation reserve
e) Income and expenditure account
Total capital and reserves|
**Balance**
**B/F**
**£**
91,399
100,016
33,355
434,886
(3,086)
656,570||||
All funds are unrestricted.
**Sandbach Almshouse Charity**
**14**
## **Notes to the Accounts for the year ended 31 December 2022**
## **10. Statement of Funds Continued**
a) The routine maintenance fund provides for those items of routine maintenance and repair of almshouses belonging to the Charity.
b) The cyclical maintenance fund provides for those items of ordinary maintenance and repair of almshouses belonging to the Charity which reoccur at infrequent intervals.
c) The extraordinary maintenance fund provides for extraordinary repair, improvement or rebuilding of the almshouses belonging to the Charity.
d) The investment revaluation reserve provides for the revaluation of unrestricted investments.
e) The Income and expenditure account relates to funds which can be spent for any purpose of the Charity.
## **11. Trustee Expenses and Remuneration**
No Trustee received any remuneration or expenses in respect of services as Trustee during the year (2021 - £nil).
## **12. Clerk Fees**
John Greenhall & Co Limited charged fees of £18,840 (2021 - £18,120) for services as the clerk to the trustees.
## **13. Winding up and Dissolution of the charity**
If upon winding up or dissolution of the Charity there remain any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the Charity.