2021-12-31-accounts

Charity number: 211200

Sisters of Charity of St Paul the Apostle

Trustees' report and financial statements

For the year ended 31 December 2021

Sisters of Charity of St Paul The Apostle

Contents

	Page
Reference and administrative details of the Charity, its Trustees and advisers	1
Trustees' report	2 - 9
Independent auditors' report on the financial statements	10 - 13
Consolidated statement of financial activities	14 - 15
Consolidated balance sheet	16
Charity balance sheet	17
Consolidated statement of cash flows	18
Notes to the financial statements	19 - 41

Sisters of Charity of St Paul The Apostle

Reference and administrative details of the Charity, its Trustees and advisers For the year ended 31 December 2021

Trustees	Sister C Neenan, Superior General
	Sister T Murphy, Councillor & Bursar
	Sister A Sullivan, Councillor & Secretary
	Sister M Mattison, Councillor
	Sister E Browne, Councillor
	Sister C Bordea, Councillor
Charity registered numbers 211200 and SC038528 Registered office St. Pauls Convent 94 Selly Park Road Selly Park Birmingham B29 7LL Independent auditors Dains LLP 15 Colmore Row Birmingham B3 2BH Bankers Lloyds Bank Plc 134 New Street Birmingham B2 4NP Solicitors Glaisyers Rowchester Court 10 Printing House Street Birmingham B4 6DZ Investment Managers Smith & Williamson Investment Management 3rd Floor 9 Colmore Row Birmingham B3 2BJ

Page 1

Sisters of Charity of St Paul The Apostle

Trustees' Report For the year ended 31 December 2021

The Trustees present their annual report together with the audited financial statements of the Sisters of Charity of St Paul the Apostle for the year 1 January 2021 to 31 December 2021.

Introduction

The Sisters of Charity of St Paul the Apostle is an unincorporated charity registered with the Charity Commission of England and Wales under Registration Number 211200.

The Charity is also registered with the Office of the Scottish Charity Regulator under Registration Number SC038528 and with the Charities Regulatory Authority in the Republic of Ireland under Registration Number 20011598.

The Sisters of Charity of St Paul the Apostle is a Religious Congregation founded in 1847 and there are currently 99 members. It is governed and managed by the Superior General together with an elected Council of five Sisters referred to as the Leadership Team. These are the Trustees of the Charity listed on page 1.

Objectives and activities

a. Policies and objectives

The Charity’s Trust Deed states the Trust’s principal objectives to be the support or advancement by lawful charitable means of any charitable work for the time being carried on by the Congregation and if at any time the Congregation ceases to exist or ceases to carry on charitable work then for the advancement of the Roman Catholic Religion by such lawful charitable means as the Trustees or a majority of the Trustees think fit. The Trustees hold meetings on a regular basis to conduct the operations of the Charity and implement its investment and other policies.

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

b. Activities undertaken to achieve objectives

In fulfillment of the objectives of the Trust it is the policy of the Charity to serve the public benefit by undertaking a variety of charitable activities. Members are involved in Education at various levels, Health Care, Care of the Elderly, including elderly and sick members, various forms of Social and Pastoral work, Initial Formation and Training of members. There have been no material changes in policy during the last year. It is the policy of the Charity to serve the public benefit by:

1. EDUCATION

Members of the Congregation teach in Pre-Schools and Primary Schools, and are involved in Diocesan Adult Education and Formation Programmes, Literacy and Numeracy programmes for adult immigrants and children with special needs. They also work as counsellors, school governors and voluntary helpers. Within the field of education, the pastoral care, security and safety of pupils are regarded as a priority. The Charity operates the following schools: -

England

St Paul’s Catholic School for Girls, Birmingham (1,000+ students). This is a Voluntary Aided Roman Catholic non-selective Comprehensive School. The Trustees are those of the Congregation. The school is administered by a Board of Governors with foundation Governors selected by the Trustees. The Congregation owns the freehold land and buildings. Members of the Congregational Trustees are members of the Governing Body and give feedback at the Trustee Meetings.

Page 2

Sisters of Charity of St Paul The Apostle

Trustees' Report (continued) For the year ended 31 December 2021

Objectives and activities (continued)

Ireland

The Congregation owns the freehold land and buildings of St Paul’s Senior Primary School, Greenhills, Dublin (300+ students), now called Holy Spirit Primary School which is under the patronage of the Archdiocese of Dublin and funded by the Department of Education and Skills.

The Congregation owns the freehold land and buildings of these two schools:

Scoil Pól (St Paul’s) Secondary School, Kilfinane (600+ students)

St. Paul’s Secondary School, Greenhills, Dublin 12 (500+ students)

The Trusteeship was transferred to Le Chéile, a Catholic Schools Trust, on 1st September 2009 with a licence, which expires on 31 August 2029, to use the properties to operate the schools.

A Trustee and Chairpersons of the Board of Management of each of these schools attend regular meetings of the Le Chéile Trust.

South Africa

Selly Park Primary School, Rustenburg (500 students approx.) Selly Park Secondary School, Rustenburg (300+ students)

These are Roman Catholic Multi-racial Schools which are fee-paying and independent. The fees are deliberately fixed at a moderate rate to enable children of poorer families to benefit. The Trustees have approved the provision of Bursaries which took effect in 2007. Staff and members of the Board of Governors in both schools are carefully chosen ensuring that, as far as possible, there is a fair balance of gender, race and expertise. Members of the Congregation’s Trustees visit the schools each year to ensure that the ethos of the schools is in accordance with the spirit of the Congregation, that the properties are well maintained and that the finances are administered efficiently. Feedback from the visits is given at full Trustee Meetings. Both schools are now under the Trusteeship of a Catholic Schools Trust. The properties are in the ownership of the Congregation.

Romania

The Congregation currently finances three Pre-Schools, one Primary School and one Secondary School:

• Câmpulung-Muscel (One Building) Pre-School, Primary School (morning session) and Secondary School (afternoon session) 500+ students. Onesti - Pre-School 100+ Children Tomesti - Pre-School 80+ Children

The Vladimir Ghika Day Centre was officially opened in November 2017. It caters for 30+ children with autism and severe learning difficulties.

The Charity has established sound financial structures for these schools and the accounts are submitted for annual audit. Members of the Congregation’s Trustees visit these schools at least once a year if possible and meet with School Managers to ensure that the ethos of the school is in accordance with the mission of the Congregation, that the properties are well maintained and that the finances are administered efficiently. Feedback from the visit is given at full Trustee Meetings.

The Sisters of Charity of St. Paul the Apostle Romanian Association, encompassing the properties of Campulung, Onesti and Tomesti was established in 2010.

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Sisters of Charity of St Paul The Apostle

Trustees' Report (continued) For the year ended 31 December 2021

Objectives and activities (continued)

2. HEALTH CARE

Care of the Elderly

The Congregation operates the following Care Facilities:

England

Registered Care Home with Nursing

St Paul’s Nursing Home, Selly Park, Birmingham (24 beds).

The Trustees have engaged The Saint John of God Hospitaller Services to manage this Care Home and hold quarterly review meetings with them

Mother House

In the Mother House a team of Care Professionals is in place to support frail and elderly members to maintain the activities of daily living for as long as possible.

This Care Provision also operates in branch houses as appropriate.

Scotland

The Charity, which includes the results of St Anne’s Registered Care Home, Musselburgh, Scotland (37 beds), is also listed on the Scottish Charity Register: SC038528.

In this Care Home the Manager and staff provide quality care in compliance with the standards set by the Scottish Care Commission. Board of Management meetings are held regularly at which the Manager presents a comprehensive report to the Trustees.

Romania

In Tomesti, one member works in a Centre for mentally and physically disabled adults.

3. SOCIAL AND PASTORAL CARE

The Congregation operates a Day Conference Centre which facilitates education and religious/voluntary groups.

Some members contribute to retreat and pastoral programmes in other centres as requested.

Members work in the fields of psychotherapy and counselling, social work and parish pastoral ministries, hospital and prison chaplaincy, a welfare centre, an inter-church project for refugees and asylum seekers, a day centre for the homeless, alcohol/drugs dependency units and in the Anawim women’s project. There is an increasing inter-faith dimension to all of these ministries.

One member is a Diocesan Trustee.

Members work in pastoral and parish ministries in each country where the Congregation has a mission. Members also visit the sick and needy in their own homes.

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Sisters of Charity of St Paul The Apostle

Trustees' Report (continued) For the year ended 31 December 2021

Objectives and activities (continued)

4. FORMATION AND TRAINING OF MEMBERS AND TRUSTEES

The formation and education of new members are regarded as very important. For this purpose, designated houses and personnel are in place in Romania and England. Programmes of on-going training and formation are also provided for all members on a regular basis either by personnel within the Congregation or by other agencies. Members are encouraged to avail of opportunities to develop their own spiritual, theological and professional formation. There is a policy of induction and on-going training for Trustees.

5. SAFEGUARDING

Trustees of the Charity:

• (i) Take appropriate steps to ensure incidents of abuse cannot and do not take place.

• (ii) Have adequate and proper Safeguarding policies and systems in place in accordance with:

• Catholic Safeguarding Advisory Service (CSAS), England.

• The National Board for Safeguarding Children in the Catholic Church, Ireland.

• The Scottish Catholic Safeguarding Service.

• (iii) Ensure they deal with allegations/concerns of abuse seriously and responsibly and in the interests of the Charity.

• (iv) Ensure that members of the Congregation are regularly updated on Safeguarding matters.

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Sisters of Charity of St Paul The Apostle

Trustees' Report (continued) For the year ended 31 December 2021

Financial review

a. Going concern

In the current business climate, the Board acknowledges the ongoing COVID-19 pandemic. In response to the pandemic the Leadership Team are monitoring all aspects of the Group’s activities and have implemented operational changes to mitigate the financial impact of COVID-19.

Actions have included a full reforecast of the financial position and cashflows for the period to January 2025 and stress testing the cash position to assess scenarios relating to reductions in investment values. The liquidity of the investments has also been considered to ensure that funds are sufficiently accessible should they be called upon.

A continuity plan has been put in place to manage the charity during the Coronavirus pandemic and they continue to follow the UK Government guidelines and monitor the situation.

The Charity furloughed a number of employees under the Government’s Coronavirus Job Retention Scheme, which affected 5% of staff.

The Trustees have undertaken a detailed assessment of cashflows for the period to January 2025 considering likely income scenarios, cost reductions and government support.

The Trustees recognise that there remains a high degree of uncertainty as a result of the pandemic. However, after considering the level of reserves (current and projected), the diversity of income streams and the steps taken to mitigate including cost reductions, the Trustees assess that the charity will continue to provide its public benefit during the crisis and beyond. They therefore consider that it is appropriate for the financial statements to be prepared on a going concern basis.

b. Investments

The investments held by the Congregation were acquired in accordance with powers available to the Trustees.

The Trustees are mindful of the need to have an ethical approach to investment. The Trustees seek to ensure that they invest only in companies that are supportive and not in conflict with the work of the Charity. The Trustees do not invest in companies involved in the manufacture and sale of armaments nor any involved in illicit or illegal drugs or pharmaceuticals, similarly, they avoid companies that exploit the environment.

Together with the Investment Managers the Trustees decided to divest investment in fossil fuels.

The investment managers report to the Trustees in detail each quarter on the performance of the investments. Comparisons with a number of recognised performance indices enable the Trustees to consider the return on investments to be satisfactory.

c. Insurance Cover

Trustees ensure that there is adequate cover in place for all the activities of the Charity.

Page 6

Sisters of Charity of St Paul The Apostle

Trustees' Report (continued) For the year ended 31 December 2021

d. Risk Management

The Trustees have considered the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity, and believe that there are adequate systems in place to mitigate exposure to the major risks.

Members working in Romania and South Africa are allowed sufficient funds to ensure their personal safety and to care for their health. They also meet the health and safety requirements of the area in which they work.

The Trustees Risk Assessment document was updated in February 2022.

e. Reserves Policy

Unrestricted funds

General unrestricted funds - it is the policy of the Trustees, having regard to the specific designated funds referred to below, to maintain the total of the General unrestricted funds, which are the free reserves of the charity and the mission and donation fund, at a level which in total would not exceed 6 months expenditure. Such funds may be held in order to finance both the working capital and capital investment in furtherance of the objectives of the charity. Free reserves at 31 December 2021 as defined above of £2,745,211 (2020 - £2,143,930) together with the Mission and Donation fund of £1,500,000 (2020 - £1,500,000) at that date, in aggregate represent not more than 6 months projected expenditure.

Designated funds - this represents amounts that have been put aside out of unrestricted funds at the discretion of the Trustees for particular projects. The designated funds at 31 December 2021 were £26,317,085 (2020 £25,212,481). The designation is for administrative purposes only and does not legally restrict the Trustees discretion to apply the fund. The designated funds are:

Retirement and Medical fund

The Trustees have designated funds to provide for their commitment to make due provision for the retirement and care in old age and sickness of the Congregation’s members.

Mission and Donation fund

Funds are designated for ongoing mission work.

Fixed Assets

In order to fulfil its charitable objectives the Congregation needs a large number of properties. Any property surplus to requirements is sold, but the remainder although unrestricted cannot be realised without undermining the Congregation’s work. The Trustees hold a property review meeting every six months to ensure that properties continue to fulfil the needs of the Congregational Mission.

The contents of the properties and motor vehicles are similarly used in the work of the Congregation.

A proportion of the fixed assets is represented by the Endowment fund. The Trustees consider that the value of all the fixed assets should be reflected by endowment or designated funds and accordingly, have created a designated fund for this purpose

Investments

The investments fund represents the carrying value of investments after deducting the retirement and medical and the mission and donation funds.

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Sisters of Charity of St Paul The Apostle

Trustees' Report (continued) For the year ended 31 December 2021

Restricted funds

Restricted funds of £9,463 (2020 - £1,258,752) represent grants, donations and legacies that are allocated by the donor for specific purposes.

Endowment fund

Endowment funds of £6,893,800 (2020 - £7,000,000) represent those assets that must be held permanently by the Charity, comprising the land and buildings occupied by the Mother House. Depreciation on the properties is charged against the fund.

f. Results

The net movement in funds for the year of £350,396 (2020 - £1,544,412) is in line with expectations. With an ageing community, income is increasingly reflected in pensions earned for past services and investment income rather than salaries. This also results in greater reliance on paid lay employees and the importance of managing properties to reflect their best use for the on-going charitable work.

Structure, governance and management

a. Constitution

The Charity is governed by a Trust Deed dated 27 May 1957 and a Charity Commission Scheme of 17 November 1967. The Charity is constituted as an Unincorporated Association.

The Trustees were appointed at the General Chapter meeting in July 2016 and took up office on 1 October 2016.

Trustees are appointed for a six year term, and in accordance with the Constitution, can only serve for a maximum of two full consecutive terms in office. Elections are held every six years.

b. Fundraising

Section 162a of the Charities Act 2011 requires charities to make a statement regarding fundraising activities. Although we do not undertake widespread fundraising from the general public, the legislation defines fund raising as “soliciting or otherwise procuring money or other property for charitable purposes.” Such amounts receivable are presented in our accounts as “income from donations and legacies” and include grants.

The Trustees are aware of the Charity Governance Code. This is a voluntary code which the Trustees have not yet signed up to.

Page 8

Sistèrs of Charity of St Paul The Apostle Trustees, RepDrt l¢ontinuÈdl For the year ended 31 December 2021 Stalem8nl of Trustees, responsibilities The Trustees are responsible lor preparing the Trustees, report and the financial slalemenls in accordance with applicable law and United Kingdom Accounting Standard5 (United Kingdom Generally Accepted Accounting Praclicel. The law applicable lo charities in England & Wales and Scotland requires the Trustees lo prepare financial slalemenls for each linancial year whi¢h give a true and fair view of the slate of affairs Df the Group and the Charity and ol their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial slalemenls. the Trusle8s aro required lo.. select suitable accounting policies and then apply them ¢onsislenlly', observe the methods and principles of the Charities SORP IFRS 102)., make judgements and accounting eslimales that are reasonable and prudent., slate whether applicable UK AccDunling Standards IFRS 1021 have been followed, subject lo any material departure5 disclosed and explained in the financial stalemenls., prepare the financial slalemenls on the going Concern basis unless il is inappropriate lo presume that the Group will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient lo show and explain the Group and the Charity's transactions and disclDse with reasonable accuracy al any limè the financial P05I1ion of the Group and the Charity and enable them lo ensure that the financial slalemenls comply with the Charities Act 2011, the Charity IAccounls and Reports) Regulations 2008, the Charities and Trustee Investment {Scollandl Act 2005. the Charities Accounts Iscollancll Regulations 2006 las amended) and the provisions of the Trusl deed. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection ol fraucl and other irregularities. Disclosure of information to auditors Each of the persons who are Trustees al the lime when this Trustees, report is approved has confirmed that.. so far as Ihal Trustee is aware, there is no relevant audit information of which the charitable group's auditors ar& unawar&, and that Trustee has taken all the steps Ihal ought lo have taken as a Trustee in order lo be aware of any relevant audit information and lo establish that the charitable group's auditors are aware of that information. Auditors The auditors, Dains LLP. have indicated their willingness lo continue in office. The designated Trustees will prorx)se a motion reappointing the audilois al a meeting ol the Trustees. Approved by order of the members of the bc)èrd of Trustees on 19 May 2022 and signed on their beha￿ by.. Sister C Neenan Trustee Page 9

Sisters of Charity of St Paul The Apostle

Independent auditors' report to the Members of Sisters of Charity of St Paul The Apostle

Opinion

We have audited the financial statements of Sisters of Charity of St Paul The Apostle (the 'parent charity') and its subsidiaries (the 'group') for the year ended 31 December 2021 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Charity balance sheet, the Consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

In our opinion the financial statements:

• give a true and fair view of the state of the Group's and of the parent charity's affairs as at 31 December 2021 and of the Group's incoming resources and application of resources, including its income and expenditure 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 Charities Act 2011, the Charities and Trustee Investment (Scotland) Act 2005 and regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Page 10

Sisters of Charity of St Paul The Apostle

Independent auditors' report to the Members of Sisters of Charity of St Paul The Apostle (continued)

Other information

The other information comprises the information included in the Annual report other than the financial statements and our Auditors' 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 other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility 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 inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 and the Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you if, in our opinion:

• the information given in the Trustees' report is inconsistent in any material respect with the financial statements; or

• the parent Charity has not kept sufficient and proper accounting records; or

• the parent Charity financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent charity or to cease operations, or have no realistic alternative but to do so.

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Sisters of Charity of St Paul The Apostle

Independent auditors' report to the Members of Sisters of Charity of St Paul The Apostle (continued)

Auditors' responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011 and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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 Auditors' 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 material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

• the senior statutory auditor ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

• we identified the laws and regulations applicable to the Charity through discussions with directors and other management, and from our commercial knowledge and experience of the charity sector;

• we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Charity, including the financial reporting legislation, Charities Act 2011, taxation legislation, anti-bribery, employment, and environmental and health and safety legislation;

• we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

• identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the Charity’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

• making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;

• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

• performed analytical procedures to identify any unusual or unexpected relationships; tested journal entries to identify unusual transactions;

• assessed whether judgements and assumptions made in determining the accounting estimates set out in Note 3 were indicative of potential bias;

• investigated the rationale behind significant or unusual transactions.

Page 12

Sisters of Charlty of St Paul The Apostle Independenl audltors. report to the Members of Slslers of Charity of St Paul The Apostle Icontinuedl In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, bul were not limited lo.. agreeing financial slalemenl disclosures lo underlying supporting documenlalion., reading the minutes of meetings of those charged with governance., enquiring ol management as lo actual and potential liligalion and claims,. reviewing correspondence with HMRC, relevant regulalois and the Charity's legal advisors. Because of the inherent limitations of an audit, there is a risk that we will not delecl all irregularities, including those leading lo a material rnisslalemenl in the financial slalemenls or non-CDmpliance with règulation. This risk increases the mc>re that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely lo become aware of instances ol non-compliance. The risk is also greater regarding irregLJlarilies occurring due lo fraud rather than error, as fraud involves intentional ¢oncealmenl, forgery, collusion, omission or misrepresenlalion. A further description of our responsibilities for the audit of thè financial slalemenls is located on the Financial Reporting Council's website al.. wNw.frc.or .uklaudilorsres onsibililie5. This description form5 part of our Auditors, repoil. Use of our report This report is made solely lo the charity's Iruslees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008 and regulation 10 01 the Charities Accounls (Scollandl Regulations 2006. Our audit work has been undertaken so that we might slate lo the charitys Iruslees those matters we are required lo slate lo them in an Audilois, report and lor no other purpose. To the fullest exlenl permitted by law, we do not accept or assume responsibility lo anyone other than the charity and ils Iruslees, as a body, lor our audit work, lor this report. or for the opiniDns we have formed. c¥//<J /// Dains LLP Slalulory AudiloT Chartered Accounlanls Birmingham 19 May2022 Dains LLP are eligible lo act as auditors in terms of section 1212 01 the Companies Act 2006. Page 13

Sisters of Charity of St Paul The Apostle

Consolidated Statement of financial activities For the year ended 31 December 2021

Note Income and endowments from: Donations and legacies 4 Charitable activities 5 Investments 6 Other income 7 Total income and endowments Expenditure on: Raising funds 8 Charitable activities 9 Total expenditure Net (expenditure) / income before investments Net gains/(losses) on investments Net income / (expenditure) Transfers between funds 17 Net movement in funds before other gains/(losses) Other recognised gains/(losses): Gains on revaluation of fixed assets Other losses Net movement in funds	Unrestricted funds 2021 £ 2,368,317 4,280,817 531,902 570,863 7,751,899 65,584 8,813,104 8,878,688 (1,126,789) 1,696,639 569,850 1,216,185 1,786,035 - (80,150) 1,705,885	Restricted funds 2021 £ 35,346 - - - 35,346 - 68,450 68,450 (33,104) - (33,104) (1,216,185) (1,249,289) - - (1,249,289)	Endowment funds 2021 £ - - - - - - 106,200 106,200 (106,200) - (106,200) - (106,200) - - (106,200)	Total funds 2021 £ 2,403,663 4,280,817 531,902 570,863 7,787,245 65,584 8,987,754 9,053,338 (1,266,093) 1,696,639 430,546 - 430,546 - (80,150) 350,396	Total funds 2020 £ 2,413,603 4,123,547 503,271 1,819,099 8,859,520 51,403 8,294,133 8,345,536 513,984 (552,812) (38,828) - (38,828) 1,663,897 (80,657) 1,544,412

Page 14

Sisters of Charity of St Paul The Apostle

Consolidated Statement of financial activities For the year ended 31 December 2021

Reconciliation of funds: Total funds brought forward 17 Net movement in funds Total funds carried forward 17	Unrestricted funds 2021 £ 27,356,411 1,705,885 29,062,296	Restricted funds 2021 £ 1,258,752 (1,249,289) 9,463	Endowment funds 2021 £ 7,000,000 (106,200) 6,893,800	Total funds 2021 £ 35,615,163 350,396 35,965,559	Total funds 2020 £ 34,070,751 1,544,412 35,615,163

The notes on pages 19 to 41 form part of these financial statements.

Page 15

Sister5 of Charlty of St Paul The Apostle Consolidated Balance Sheet As at 31 December 2021 2021 2020 Not Fixed assets Tangible assets Investments 13 16,371,325 15,S96,094 16,919,100 13,730,866 14 31,966.419 30,S49,968 Current assets Debtors due within 1 year Cash al bank and in hand 15 229,102 4,241,006 299,084 5,082,352 20 4,470.107 5,381,436 Creditors.. amounts falling due within one year 16 1470,9671 1416,2391 Nèt current assets 3,999,140 4,965,197 Total assets less currènt liabilities 35,965,559 35,615.163 Funds Endowment funds Reslricled funds Unre51ricled funds 17 17 6.893,800 9,463 29,062,296 7,ODO,000 1,258,752 27,356,411 17 Total funds 35,965,559 35,615,163 The financial slalem&nts were approved and aulhorised for issug by the Trustees on 19 May 2022 and signed on Iheir behalf by.. Sister C Neenan Trustee The notes on pages 19 10 41 form part of these financial slalèments. Page 16

Sistèrs of Charity of St Paul Thg Apostle Charily Balance Sheet As al 31 December 2021 2021 2020 Note FSxed assets Tangible assets Investments 13 14 16.370.492 14,979.813 16,916,336 13.188,139 31.350,305 30,104,475 Current assets Dèbtors Cash al bank and in hand 15 96,016 2,415,143 430,769 2,890,558 2,511,159 3,321,327 Creditors.. amounts falling due within one year 16 1155,912 1149,4291 Net current assets 2,355,247 3,171,898 Total net assets 33,705,552 33,276.373 Charity funds Endowment funds Reslriclfjd funds UnreslriGled funds 6,893,800 1,225.648 25,5B6,104 7.000,000 1.258,752 25,017,621 Total funds 33,705.552 33,276,373 The financial slalemersts were approved and aulhorised for issue by the Trustees on 19 May 2022 and signed on their behalf by.. Sister C Neenan Trustee The notes on pages 19 10 41 form part of these linan¢ial slalements. Page 17

Sisters of Charity of St Paul The Apostle

Consolidated Statement of Cash Flows For the year ended 31 December 2021

Note Cash flows from operating activities Net cash used in operating activities 20 Cash flows from investing activities Dividends, interests and rents from investments Proceeds from the sale of tangible fixed assets Purchase of tangible fixed assets Proceeds from sale of investments Purchase of investments Net cash provided by investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Change in cash and cash equivalents due to exchange rate movements Cash and cash equivalents at the end of the year 21	2021 £ (1,759,304) 531,902 695,978 (65,159) 1,949,827 (1,057,109) 2,055,439 296,135 5,082,352 (80,150) 5,298,337	2020 £ (1,687,626) 503,271 1,809,160 (87,306) 1,378,098 (1,530,095) 2,073,128 385,502 4,777,507 (80,657) 5,082,352

The notes on pages 19 to 41 form part of these financial statements

Page 18

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

1. General information

Sisters of Charity of St Paul the Apostle is an unincorporated Charity registered in England, Wales and Scotland. The registered office address and registered numbers are given on page 1. The principal activities and objectives of the Charity are set out in the Trustees' Report beginning on page 2.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements 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), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Sisters of Charity of St Paul The Apostle meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line-by-line basis.

Page 19

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

2. Accounting policies (continued)

2.2 Income

All income is recognised in the statement of financial activities when the conditions for receipt have been met and there is reasonable assurance of receipt. Where a claim for repayment of income tax has or will be made, such income is grossed up for tax recoverable. The following accounting policies are applied to income:

The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the Charity has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the Charity, can be reliably measured.

Grants are included in the Consolidated statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Gifts in kind donated for distribution are included at valuation and recognised as income when they are distributed to the projects. Gifts donated for resale are included as income when they are sold.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

2.3 Expenditure

Expenditure is accounted for on an accruals basis and has been classified using the following method:

Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs. Expenditure in each of the houses have been divided on the type of activities carried out by each house. The division is on a percentage basis. The bases of the allocation of percentage is reviewed each year. The percentage allocated to each of the charitable activities for each of the houses has been decided by the Trustees.

All expenditure is inclusive of irrecoverable VAT.

Page 20

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

2. Accounting policies (continued)

2.4 Government grants

Government grants, including the Coronavirus Job Retention Scheme, are credited to the Consolidated statement of financial activities as the related expenditure is incurred.

2.5 Tangible fixed assets and depreciation

Tangible fixed assets are initially recognised at cost. After recognition, under the revaluation model, tangible fixed assets whose fair value can be measured reliably shall be carried at a revalued amount, being their fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The freehold land and buildings occupied by the Mother House, namely St Paul's Convent, have been included in the financial statements at their fair value based on the results of a professional valuation carried out in December 2020, with depreciation being charged since this date and subsequent improvements included at cost.

The other property held by the Charity, namely the branch houses, are held at historical cost, the cost being deemed as the value of the properties on transition to FRS102 following a professional valuation in 2005.

The value of land is estimated by the Trustees and is not depreciated because it has an indefinitely long useful life.

Furniture, fixtures and fittings have been included in the financial statements at the Trustees’ valuation at 31 December 1996, with subsequent acquisitions with an individual cost in excess of £5,000 included at cost.

Revaluations are made with sufficient regularity to ensure that the carrying amount does not differ materially from that which would be determined using fair value at the end of the reporting date.

Fair values are determined from market-based evidence by appraisal that is normally undertaken by professionally qualified valuers. If there is no market-based evidence of fair value because of the specialised nature of the tangible fixed asset and it is rarely sold, except as part of a contributing business, a Charity may need to estimate fair value using an income or depreciated replacement cost approach.

At each reporting date the Charity assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Page 21

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

2. Accounting policies (continued)

2.5 Tangible fixed assets and depreciation (continued)

Tangible fixed assets held for charitable purposes are depreciated at rates calculated to write off their estimated historic cost over the term of their useful lives as follows using the straight-line method.

The rates of depreciation are as follows:

Land	-	no depreciation
Buildings	-	2% straight line method
Motor vehicles	-	20% straight line method
Fixtures and fittings	-	10% straight line method

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Consolidated statement of financial activities.

2.6 Investments

Investments in subsidiaries are valued at cost less provision for impairment.

Other fixed asset investments, which mainly comprise investments quoted on recognised stock exchanges, are stated at middle market value at the year end.

Realised and unrealised gains and losses are shown netted off in the appropriate section of the Consolidated statement of financial activities.

2.7 Financial instruments

The Charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

2.8 Foreign currencies

Monetary assets and liabilities are translated into sterling at the rates of exchange ruling at the balance sheet date. Differences on exchange are credited or charged to the Statement of financial activities in the period in which they arise.

2.9 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.10 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.11 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Page 22

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

2. Accounting policies (continued)

2.12 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated statement of financial activities as a finance cost.

2.13 Pensions

The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.

2.14 Fund accounting

The charity maintains various types of funds as follows:

Unrestricted funds

Designated funds which represent amounts set aside out of unrestricted funds at the discretion of the Trustees for particular projects. The designation is for administrative purposes only and does not legally restrict the Trustees discretion to apply the fund.

General unrestricted funds represent unrestricted income that is expendable at the discretion of the Trustees in the furtherance of the objects of the charity. Such funds may be held in order to finance both working capital and capital investment.

Restricted funds

Restricted funds represent grants, donations and legacies received which are allocated by the donor for specific purposes.

Endowment fund

Representing those assets that must be held permanently by the Charity, comprising the Land & Buildings occupied by the Mother House. Depreciation on the properties is charged against the fund.

Investment income, gains and losses are allocated to the appropriate fund.

Page 23

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

3. Judgements in applying accounting policies and key sources of estimation uncertainty

In preparing these financial statements, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from those estimates and underlying assumptions are continually reviewed.

Key sources of estimation uncertainty:

• Tangible fixed assets are depreciated over their useful lives taking into account residual values where appropriate. The actual lives of these assets are assessed annually and may vary depending on a number of factors. In assessing asset lives, factors such as life cycle and maintenance programmes are taken into account. Residual value assessments consider issues such as the remaining life of the asset and project disposal values.

• At each reporting date, trade debtors are assessed for recoverability. If there is any evidence of impairment, the carrying amount of the debtor is reduced to its recoverable amount. The impairment loss is recognised immediately in the income statement.

• The valuation of fixed asset investments is estimated by the Charity’s investment manager with reference to readily available market prices of quoted shares, traded bonds and similar investments.

• The valuation of land and buildings is estimated by experienced professional valuers commissioned by the Trustees.

4. Income from donations and legacies

Emoluments and pensions Salaries Occupational pensions State pensions Supplementary benefits Subtotal Legacies Other donations and gifts	Unrestricted funds 2021 £ 163,240 855,527 1,037,926 139,935 2,196,628 63,938 107,751 2,368,317	Restricted funds 2021 £ - - - - - - 35,346 35,346	Total funds 2021 £ 163,240 855,527 1,037,926 139,935 2,196,628
			63,938 143,097 2,403,663

Page 24

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

4. Income from donations and legacies (continued)

Emoluments and pensions Salaries Occupational pensions State pensions Supplementary benefits Subtotal Other donations and gifts 5. Income from charitable activities Healthcare fees Education - school fees Grants received	Unrestricted funds 2020 £ 178,732 916,234 978,890 235,706 2,309,562 83,058 2,392,620 Unrestricted funds 2021 £ 1,377,655 2,749,968 153,194 4,280,817	Restricted funds 2020 £ - - - - - 20,983 20,983 Total funds 2021 £ 1,377,655 2,749,968 153,194 4,280,817	Total funds 2020 £ 178,732 916,234 978,890 235,706 2,309,562
			104,041 2,413,603
			Total funds 2020 £ 1,518,529 2,563,239 41,779 4,123,547

All income from charitable activities in 2020 was attributable to unrestricted funds.

Page 25

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

6. Investment income

Unrestricted funds 2021 £ Dividends (net) and interest (gross) from quoted investments 526,567 Bank interest receivable - Rent received 5,335 531,902 All income from investments in 2020 was attributable to unrestricted funds.	Total funds 2021 £ 526,567 - 5,335 531,902	Total funds 2020 £ 491,572 2,325 9,374 503,271

7. Other incoming resources

Gain on sales of property, land and other assets Sale of goods & earned income PTA levies, sport and culture Coronavirus job retention scheme Refunds and maintenance	Unrestricted funds 2021 £ 439,572 105,036 19,536 2,710 4,009 570,863	Total funds 2021 £ 439,572 105,036 19,536 2,710 4,009 570,863	Total funds 2020 £ 1,512,820 103,493 125,299 74,532 2,955 1,819,099

All other incoming resources in 2020 were attributable to unrestricted funds.

Page 26

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

8. Expenditure on raising funds

Costs of raising voluntary income

	Unrestricted	Total	Total
	funds	funds	funds
	2021	2021	2020
	£	£	£
Investment management fees	65,584	65,584	51,403

9. Analysis of expenditure on charitable activities

Summary by fund type

Education Formation and Training Healthcare Social and Pastoral	Unrestricted funds 2021 £ 2,827,807 89,386 4,649,256 1,246,655 8,813,104	Restricted funds 2021 £ 68,450 - - - 68,450	Endowment funds 2021 £ - - 106,200 - 106,200	Total funds 2021 £ 2,896,257 89,386 4,755,456 1,246,655 8,987,754

Education Formation and Training Healthcare Social and Pastoral	Unrestricted funds 2020 £ 2,395,674 71,306 4,417,615 1,270,468 8,155,063	Restricted funds 2020 £ 32,870 - - - 32,870	Endowment funds 2020 £ - - 106,200 - 106,200	Total funds 2020 £ 2,428,544 71,306 4,523,815 1,270,468 8,294,133

Page 27

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

10. Analysis of expenditure by activities

Education Formation and Training Healthcare Social and Pastoral	Activities undertaken directly 2021 £ 2,247,837 89,386 3,656,823 947,028 6,941,074	Support costs 2021 £ 648,420 - 1,098,633 299,627 2,046,680	Total funds 2021 £ 2,896,257 89,386 4,755,456 1,246,655 8,987,754

Education Formation and Training Healthcare Social and Pastoral Analysis of direct costs	Activities undertaken directly 2020 £ 1,909,115 71,306 3,571,530 1,010,754 6,562,705	Support costs 2020 £ 519,429 - 952,285 259,714 1,731,428	Total funds 2020 £ 2,428,544 71,306 4,523,815 1,270,468 8,294,133

Staff costs Depreciation Provisions and Sisters expenses	Total funds 2021 £ 3,826,397 353,606 2,761,071 6,941,074	Total funds 2020 £ 3,699,376 245,053 2,618,276 6,562,705

Page 28

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

10. Analysis of expenditure by activities (continued)

Analysis of support costs

Donations and gifts Establishment Travelling Office, garden and grounds Church and sundries Governance	Total funds 2021 £ 146,012 1,356,395 116,043 193,104 171,174 63,952 2,046,680	Total funds 2020 £ 165,964 1,078,631 93,774 183,827 162,429 46,803 1,731,428

11. Staff

Wages and salaries Social security costs Pension costs	Group 2021 £ 3,685,320 105,444 35,633 3,826,397	Group 2020 £ 3,537,452 122,348 39,576 3,699,376	Charity 2021 £ 1,745,131 105,444 35,633 1,886,208	Charity 2020 £ 1,788,161 122,348 39,576 1,950,085

Included in staff costs are redundancy payments totaling £15,098 in respect of 3 staff who applied for voluntary redundancy in the year.

The average number of persons employed by the Charity during the year was as follows:

	Group	Group	Charity	Charity
	2021	2020	2021	2020
	No.	No.	No.	No.
Average number of employees during the year	190	215	39	41

Page 29

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

11. Staff (continued)

No employee received remuneration amounting to more than £60,000 in either year.

Key management personnel is limited to the trustees of the Charity. There are no employee benefits paid to key management personnel.

None of the Trustees received any emoluments or had any expenses reimbursed during the year.

All of the Trustees are members of the Congregation and in addition to their responsibilities as Trustees, are actively involved in carrying out the objects of Charity. Accordingly, all the Trustees benefited from the accommodation costs and other associated expenditure disclosed as charitable activities in the Statement of financial activities, however these benefits were consistent with those received by the rest of the Congregation and there were no financial incentives awarded to Trustees.

The Charity has arranged insurance to protect the Charity from loss arising from neglect or default of its Trustees, employees or agents and to indemnify the Trustees and officers from the consequences of any neglect or default on their part. The annual cost of such insurance was £6,664 (2020 - £6,697).

12. Net movement in funds

Net movement in funds is stated after charging/(crediting):

	2021	2020
	£	£
Auditor's remuneration - audit of group financial statements	13,500	13,000
Auditor's remuneration - preparation of group financial statements	11,500	-
Depreciation of tangible fixed assets	353,553	245,053
Surplus on disposal of fixed assets	(439,572)	(1,512,820)
Surplus on revaluation of fixed assets	-	(1,663,897)
Currency losses	80,150	80,657

Page 30

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

13. Tangible fixed assets

Group

Cost or valuation At 1 January 2021 Additions Disposals At 31 December 2021 Depreciation At 1 January 2021 Charge for the year On disposals At 31 December 2021 Net book value At 31 December 2021 At 31 December 2020	Freehold property £ 20,724,818 40,579 (356,913) 20,408,484 3,906,094 327,295 (97,532) 4,135,857 16,272,627 16,818,724	Fixtures and fittings £ 616,012 16,680 - 632,692 532,079 13,257 - 545,336 87,356 83,933	Motor vehicles £ 225,047 7,900 (6,500) 226,447 208,604 13,001 (6,500) 215,105 11,342 16,443	Total £ 21,565,877 65,159 (363,413) 21,267,623 4,646,777 353,553 (104,032) 4,896,298 16,371,325 16,919,100

The value of freehold land, which is not depreciated, has been estimated by the Trustees at £4,004,025 (2020 - £4,093,253).

The majority of the tangible fixed assets are used for charitable activities.

A professional valuation of St Paul's Convent was undertaken by Eddisons in December 2020, resulting in a valuation of £7,000,000.

Page 31

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

13. Tangible fixed assets (continued)

Charity

Cost or valuation At 1 January 2021 Additions Disposals At 31 December 2021 Depreciation At 1 January 2021 Charge for the year On disposals At 31 December 2021 Net book value At 31 December 2021 At 31 December 2020	Freehold property £ 20,724,818 40,579 (356,913) 20,408,484 3,906,093 327,295 (97,532) 4,135,856 16,272,628 16,818,725	Fixtures and fittings £ 616,012 16,680 - 632,692 532,079 13,257 - 545,336 87,356 83,933	Motor vehicles £ 214,838 7,900 (6,500) 216,238 201,160 11,070 (6,500) 205,730 10,508 13,678	Total £ 21,555,668 65,159 (363,413) 21,257,414 4,639,332 351,622 (104,032) 4,886,922 16,370,492 16,916,336

Page 32

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

14. Fixed asset investments

Group Market valuation At 1 January 2021 Additions Disposals Revaluations Income net of fees Amounts transferred in/(withdrawn) At 31 December 2021 Charity Market valuation At 1 January 2021 Additions Disposals Revaluations Income net of fees Amounts transferred in/(withdrawn) At 31 December 2021	Listed investments Cash trading account £ £ 13,730,866 - 1,057,109 (1,057,109) (1,346,102) 1,918,737 1,095,889 - - 428,924 - (233,220) 14,537,762 1,057,332 Listed investments Cash trading account £ £ 13,188,139 - 1,057,109 (1,057,109) (1,346,102) 1,918,737 1,023,335 - - 428,924 - (233,220) 13,922,481 1,057,332	Total £ 13,730,866 - 572,635 1,095,889 428,924 (233,220) 15,595,094 Total £ 13,188,139 - 572,635 1,023,335 428,924 (233,220) 14,979,813

The historical cost of the Charity's investments at 31 December 2021 was £9,337,122.

There were no investments individually greater than 5% of the portfolio value at 1 January 2021 and 31 December 2021.

Details of the subsidiary undertakings are given in note 25.

Page 33

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

15. Debtors

Amounts owed by group undertakings Other debtors Prepayments and accrued income	Group 2021 £ - 214,312 14,790 229,102	Group 2020 £ - 283,126 15,958 299,084	Charity 2021 £ - 81,226 14,790 96,016	Charity 2020 £ 295,018 119,793 15,958
				430,769

16. Creditors: Amounts falling due within one year

Other taxation and social security Other creditors Accruals and deferred income	Group 2021 £ 28,433 350,320 92,214 470,967	Group 2020 £ 27,763 296,511 91,965 416,239	Charity 2021 £ 28,433 35,265 92,214 155,912	Charity 2020 £ 27,763 29,701 91,965
				149,429

Page 34

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

17. Statement of funds Statement of funds - Unrestricted funds Designated funds Retirement and medical Mission and donation Fixed assets Investments South Africa education St Martha's Retreat General funds General funds Total Unrestricted funds Endowment funds Endowment Restricted funds Romania fund St Paul's School fund Total of funds	current year Balance at 1 January 2021 £ 11,182,678 1,500,000 8,670,045 3,567,662 292,096 - 25,212,481 2,143,930 27,356,411 7,000,000 9,697 1,249,055 1,258,752 35,615,163	Income £ - - - 526,567 - - 526,567 7,225,332 7,751,899 - 35,346 - 35,346 7,787,245	Expenditure £ - - (214,536) (65,584) (17,252) - (297,372) (8,581,316) (8,878,688) (106,200) (35,580) (32,870) (68,450) (9,053,338)	Transfers in/(out) £ - - 1,022,016 (2,812,868) 169,622 800,000 (821,230) 2,037,415 1,216,185 - - (1,216,185) (1,216,185) -	Gains/ (Losses) £ - - - 1,696,639 - - 1,696,639 (80,150) 1,616,489 - - - - 1,616,489	Balance at 31 December 2021 £ 11,182,678 1,500,000 9,477,525 2,912,416 444,466 800,000 26,317,085
						2,745,211
						29,062,296
						6,893,800
						9,463 - 9,463
						35,965,559

Page 35

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

17. Statement of funds (continued)

Designated funds

The retirement and medical fund has been established for the purpose of providing for retired members of the Congregation.

The mission and donation fund represents an ongoing fund for donations. The Charity has a long-term involvement with a number of charitable projects, particularly in Romania and South Africa, and has made considerable donations in support of these activities. It is the intention of the Trustees to continue to support these projects and further donations are likely to be made in future years, although no legally binding commitments have been entered into in this regard.

The fixed asset fund represents the book value of the Charity’s tangible fixed assets, principally land and buildings currently held for use in activities in furtherance of the objects of the charity and the funds are therefore unavailable for use. A proportion of the fixed assets are represented by the Restricted and Endowment fund.

The investments fund represents the carrying value of investments after deducting the retirement and medical and the mission and donation funds.

The South Africa education fund represents amounts earmarked for specific purposes by the South African subsidiary, such as sports & grounds, tuckshop and fundraising.

St Martha's Retreat represents monies set aside for the planned improvement works at St Paul's Convent expected to be completed in March 2023.

Restricted funds

The Romania fund represents monies collected specifically for projects in that country.

The St. Paul’s School capital fund represents grant monies received specifically for the improvements to St. Paul’s Secondary School for Girls. The fund has been transferred into the designated fixed assets fund since the original terms of the restricted grant have been fulfilled.

Endowment funds

The endowment fund represents those assets that must be held permanently by the Charity, comprising the land and buildings occupied by the Mother House. Depreciation on the properties is charged against the fund.

Page 36

Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

17. Statement of funds (continued) Statement of funds - prior year

Unrestricted funds Designated funds Retirement and medical Mission and donation Fixed assets Investments South Africa education General funds General funds Total Unrestricted funds Endowment funds Endowment Restricted funds Romania fund St Paul's School fund Total of funds	Balance at 1 January 2020 £ 12,160,000 1,500,000 10,844,219 4,038,776 - 28,542,995 668,333 29,211,328 3,563,600 13,897 1,281,925 1,295,822 34,070,750	Income £ - - - - - - 8,838,537 8,838,537 - 20,983 - 20,983 8,859,520	Expenditure £ - - (212,183) - - (212,183) (8,075,300) (8,287,483) - (25,183) (32,870) (58,053) (8,345,536)	Transfers in/(out) £ (977,322) - (1,961,991) (110,309) 292,096 (2,757,526) 985,023 (1,772,503) 1,772,503 - - - -	Gains/ (Losses) £ - - - (360,805) - (360,805) (272,663) (633,468) 1,663,897 - - - 1,030,429	Balance at 31 December 2020 £ 11,182,678 1,500,000 8,670,045 3,567,662 292,096 25,212,481
						2,143,930
						27,356,411
						7,000,000
						9,697 1,249,055 1,258,752
						35,615,163

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Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

18. Summary of funds

Summary of funds - current year

											Balance at
	Balance at 1										31
	January						Transfers		Gains/		December
	2021		Income		Expenditure		in/(out)		(Losses)		2021
	£		£		£		£		£		£
Designated
funds	25,212,481		526,567		(297,372)		(821,230)		1,696,639		26,317,085
General funds	2,143,930		7,225,332		(8,581,316)		2,037,415		(80,150)		2,745,211
Endowment
funds	7,000,000		-		(106,200)		-		-		6,893,800
Restricted
funds	1,258,752		35,346		(68,450)		(1,216,185)		-		9,463
	35,615,163		7,787,245		(9,053,338)		-		1,616,489		35,965,559
Summary of funds - prior year
											Balance at
	Balance at										31
	1 January						Transfers		Gains/		December
	2020		Income		Expenditure		in/(out)		(Losses)		2020
	£		£		£		£		£		£
Designated
funds	28,542,995		-		(212,183)		(2,757,526)		(360,805)		25,212,481
General funds	668,333		8,838,537		(8,075,300)		985,023		(272,663)		2,143,930
Endowment
funds	3,563,600		-		-		1,772,503		1,663,897		7,000,000
Restricted
funds	1,295,822		20,983		(58,053)		-		-		1,258,752
	34,070,750		8,859,520		(8,345,536)		-		1,030,429		35,615,163

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Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

19. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted funds 2021 £ Tangible fixed assets 9,477,525 Fixed asset investments 15,595,094 Current assets 4,460,644 Creditors due within one year (470,967) Total 29,062,296	Restricted funds 2021 £ - - 9,463 - 9,463	Endowment funds 2021 £ 6,893,800 - - - 6,893,800	Total funds 2021 £ 16,371,325 15,595,094 4,470,107 (470,967) 35,965,559

20. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the year (as per Statement of Financial Activities) Adjustments for: Depreciation charges Gains/(losses) on investments Dividends, interests and rents from investments Gain on sale of fixed assets Decrease/(increase) in debtors Increase/(decrease) in creditors Net cash used in operating activities	Group 2021 £ 430,546 353,553 (1,696,639) (531,902) (439,572) 69,982 54,728 (1,759,304)	Group 2020 £ (38,828)
		245,053 552,812 (503,271) (1,512,820) (61,978) (368,594)
		(1,687,626)

21. Analysis of cash and cash equivalents

Cash at bank Cash in investment portfolio Total cash and cash equivalents	Group 2021 £ 4,241,005 1,057,332 5,298,337	Group 2020 £ 4,338,256 744,096
		5,082,352

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Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

22. Analysis of changes in net debt

	At 1		At 31
	January		December
	2021	Cash flows	2021
	£	£	£
Cash at bank and in hand	5,082,352	(841,347)	4,241,005

23. Pension commitments

The Charity operates a defined contribution pension scheme, the assets of which are held separately from those of the Charity in an independently administered fund. The pension cost charge represents contributions payable by the Charity and amounted to £35,633 (2020 - £39,576).

The pension liability and expense is allocated wholly to unrestricted funds on the basis that all staff costs are met from general funds.

24. Related party transactions

Following the sale of one of the Irish houses, as at 31 December 2020 an amount totaling £295,018 was due to the Charity from its Irish subsidiary, Sisters of Charity of St Paul The Apostle (Republic of Ireland).

In 2021, a fixed term deposit held by the Mother House of £224,963 was lodged into the Irish Congregation's bank account, and therefore was recorded as income in the Irish subsidiary's financial statements.

The Irish congregation subsequently advanced £943,463 to the Mother House. Accordingly, the amount due from the Charity's Irish subsidiary at 31 December 2021 became £Nil, with the balance of the transfer of £648,445 being recorded as income in the Charity's Statement of financial activities.

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Sisters of Charity of St Paul The Apostle

Notes to the Financial Statements For the year ended 31 December 2021

25. Principal subsidiaries

The following were subsidiary undertakings wholly controlled by the Charity:

Names		Charity registration	Charity registration	Included in
		number		consolidation
Sisters of Charity of St Paul The Apostle (Republic of Ireland)		20011598		Yes
Sisters of Charity of St Paul The Apostle (South Africa)		PBO 18/11/13/2860		Yes
The financial results of the subsidiaries for the year were:
Names		Income	Net	Net assets
		2021	movement	31
		£	in funds	December
			2021	2021
			£	£
Sisters of Charity of St Paul The Apostle (Republic of		634,968	(310,300)	615,829
Ireland)
Sisters of Charity of St Paul The Apostle (South Africa)	2,893,742		230,070	1,643,988

The financial results of the subsidiaries for the year were:

The net assets of both subsidiaries wholly represent unrestricted funds and are therefore included in the total unrestricted funds shown in note 17.

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