Ocei*n En￿￿j￿ ID.. 27F84C54.7DA&4851.9BBWCE91CFBED Chrfty Re8151rntloh Nts. 212270 Ilome Ind COmmut￿les￿on£Y Rey5tr4tlM No. A1614 BRIGHTON & HOVE ALMSHOUSE CHARITY ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENT5 FOR THE YEAR ENDED 31 DECEMBER 2023 Envdope ID.. 27F84C5¢7DA&4851.9BBgD4C3E91CFBEO BRIGHTON & HOVE ALMSHOUSE CHARITY LEGAL AND ADMINISTRATIVE INFORMATION Trustees Mrs K Hancox Reve￿n￿ D Millest Dr F Levack (Appointed 28 September 20231 (Appolnted 28 September 20231 Councillor M Wlnder Charlty number (England and Wales) 212270 Prln¢lp•l addr• Lanes End House 15 Prince Albert Street Brl8hton East Sussex 8NI IHY Accountants Mr N Coker FCCA clo Price & Company 30-32 Gildred8e Road Eastbourne East Sussex BN2145H Bankers Co-operative Bank plc Dew House Southway Skelmersdale Lancashlre WN8 6WT Sollcltors Coole Bews LLP Lanes End House 15 Prince Albert Street 8ri8hton East Su55ex BNI IHY Docus¥n Env•lop810: 27F84C54-7DAW51.98B&D4C3E91CFBED BRIGHTON & HOVE ALMSHOUSE CHARftY CONTENTS Page Trustees, report Accountants, report Statement of financlal activities Statement of ￿mprehenSIve income Statement of changes in reserves Balance Sheet Notes to the accounts 9-23 Docus￿￿ En¥ekJp8 D.. 27F84¢54-TDKW51.9B8￿¢jEg1cFBE￿ BRIG￿rON & HOVE ALMSHOUSE CHARITY TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 The trustees present theSr annual report and financial statements for the year ended 31 December 2023. The accounts have been prepared In accordance wlth UK Generally Accepted Accounting PTactice IUK GAAPI includlng Flnincial Reportin8 Standard 102 IFRS 1021 and the Houslng SORP 2018.. Statement of Recommended Practlce for Registered Social Housing Providers and ￿mPlY with the Accountln8 Direction for prlvate reglstered providers of soclal housing in England 2019. ObJectlves and •rtl¥ltles The charity's PTlncipal oblettlve Is to provlde accommodation wlthin the almshouse for poor people of good character residin8 in the former County Borough of Brl8hton and Borough of Hove, now a Unltary Authorlty known as Brl8hton & Hove Clty Counc51. The alm of the charfty Is to retaln the properties contained wlthln the conrtltuent charltles and hold these In a good state of repalr for use as accommodation under the terms of the establlshlng Order. The oblertlves for the comlng year are to make maxlmum use of the propertles for use by the present and prospectlve ￿sIdentS. The trustees have pald due regard to guldance issued by the Charlty Commlsslon In decldlng what actlvities the charity should undertake. When Teviewing the charity's aims and oblectlves and p13nnlng its actlvities the trustees have had due regard to the Charlty Commls51on'5 publlc benefll guldance, Includlng Its guldance on fee ¢har8Sng. The chartty holds the propertles In 8rl8hton and they have been occupled throughout the year by residents fulflllln8 the crllerla of the principal objective of the charlty. Achl•vem•nts and perforniance All of the 12 almshouses were all fully occupled throu8hout the year. Expendlture on the houses has been contalned wlthln budBet In the year, and funds have been set aslde for future malntenance. No repalr and renovation expenditure has been charged to the Cyclical Repalr Fund In the year. FlnanJw￿grb Enveltye ID.. 27F84C54-7DA54851.9BBgD4C3E91CFBED BRIGHTON & HOVE ALMSHOUSE CHARITY NOTES TO THE FINANCIAL 5fATEMEKrs FOR THEYEAR ENDED 31 DECEMBER 2023 Accountlng pollcles Icontlnuedl Endowment lunds are subSect to speclflc condltlons by donors that the capital must be malntalned by the charitv. 2.4 In¢omlng resource5 Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and It is probable that income will be received. Cash donatlons are reco8nised on receipt. Other donatlons are reco8nised once the charlty has been notlfled of the donatSon, unless performance condltlons requlre deferral of the amount. Income tax recoverable In relation to donatlons received under Gift Ald or deeds of covenant Is reco8nised at the tlme of the donatlon. Legacles are ￿¢0￿niSed on receipt or otherwise If the charity ha5 been notified of an Impendlng distrlbutlon, the amount Ss known. and recelpt is expetted. If the amount Is not known, the legacy Is treated a5 a contln8ent a55et. 2.5 Resources expended Expendlture is reco8nised once there is a legal or constructlve obligatlon to transfer economlc beneflt to a thlrd party, It Is probable that a transfer of economlc benefits wlll be requlred in settlement, and the amount of the obll8ation can be measured relSably. Expendlture Is ¢lasslfled by actlvlty. The costs of each act]¥￿ are made up of the total of dlrect costs and shared costs, includln8 SUPPOrt corts Involved in undertaklng each artlvity. Direct cost5 attributable to a 5in8le actlvity are allocated directly to that actlvity. Shared c05t5 which contrlbute to more than one actlvity and support Costs which a￿ not attrlbutable to a 5in8le artivlty are apportioned between those activltle5 on a bas15 con5i5tent with the use of re50urce5. Cenirdl staff costs are allocated on the basls of tlme spent, and depreciatSon char8es are allocated on the portlon of the asset's use. All expendbture Is accounted for on an accruals basls and has been clas5Sfled under headlngs that ag8re8ate all costs related to the category. Where costs cannot be directly attributed to particular headlngs they have been allocated to actlvltles on a basis conslstent wrth use of the re50ur¢es. 2.5 Tan8lble flxed •ss¢ts Tanglble fixed assets are initially measured at cost and subsequently measu￿d at CQ5t or valuation, net of depreciation and ary impairment losses. Tan8lble flxed assets are stated at COSt less depreclation. Depreclatlon Is provlded at rates calculated to write off the c05t le55 estimated residual v71ve of each asset over its expected useful life, as follows.. Soclal houslng properties for lettln8 The gaSn or loss arlslng on the dlsposal of an asset 15 determined as the difference between the sale proceeds and the carryin8 value of the a55et. and 15 recognised in the statement of financlal actlvitles. -io- OocuskJn Envelope ID.. 27F54C54-7DAW51.9BVX)4C3E91CFBED BRIGHTON & HOVE ALMSHOUSE CHARITY NOTES TO THE FINANCIAL sfATEMENTS (CONTINUED) FOR THEYEAR ENDED 31 DECEMBER 2023 A¢wuntln8 poll¢le5 Icontlnued) Houslng propertles Housing properties are properties held for the prowsion of social housing or to otherwise provlde social beneflt. Houslng properties are prfnclpally propertles available for rent and are stated at Cost le55 accumulated depreciation and impairment losses. Costs include the cost of acquirln8 land and bulldlngs, development cosis, Interest charges Incurred durln8 the development period. Expenditure on housln8 propertles which results in an enhancement of economlc benefits of the 3sset such as an Increase In the net rental stream over the Ilfe of the propertyls capSts1ised. Expendlture that represents the replacement or restoration of assets that have a separately Sdentlflible life to the property Concerned are also capitalised but under a category separate from the property. Such expendlture Is then depreclated over the expected useful Ilfe of that itern. Any works which do not result in an enhan￿rnent of economic beneflts of a property are charged to the income and expendlture account. Thls Includes expendlture Incurred to ensure that the propertv can maintain its existing level of net rental income or the standard ol performance anticipated when the asset wa5 first acqulred or constructed or last replaced. Grants related to capital costs are deducted from the cost of the properties Involved, but are shown separately a5 deferred income in creditors. 1.7 Flxed asset Investments Fixed asset investment5 are Initially measured at transaction prlce excludin8 trdnsacilon costs, and are subsequently measured at fair value at each reportin8 date. Chan8es In fair valLse are recogn5sed In net Income/lexpendlturel for the year. Transactlon costs a￿ expensed as incurred, 2.8 Impalmiont ol flxed assets At each reportlng end date, the charity reviews the carryinB amounts of Its tan8lble and Intan8lble assets to determine whether there Is any indication that those assets have suffered an Impalrment loss. 11 any such indication exists, the recoverable amount of the asset is estimated In order to determSne the extent of the impairment10ss lif any). 2.9 Cash and cash equlvalents Cash and cash equivalents include cash In hand. deposit5 held at call with banks, other short-term liquld Investments wlth orl8inal maturfties of three months or less, and bank overdrafts. Bank overdrafts are shown within l)orrowin85 in current liabillties. .ii- Doculgn Er.¥9￿pe ITr. 27F84¢￿70￿y8sl4BBKtsl¢3E9lCFeED BRIGHTON & HOVE ALMSHOUSE CHARITY NOTES TO THE FINANCIAL STATEMENTS IcoKllNUED} FOR THE YEAR ENDED 31 OECEMBER 2023 Aceounting policies (Continued) 2.10 Flnandal Instruments The charlty has elected to apply the prov151on5 Qf Section 11 'Baslc Flnanclal Instruments. and Section 12 '0ther Financial Instruments Issues. of FRS 102 to all of its financial instruments. Flnanclal instruments a￿ reco8nised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial a55et5 and liabilrtie5 are offset, wlth the net amounts presented In the flnan¢lal 5tstements. when there Is a le8ally enforceable ri8ht to set off the recognlsed amounts and there Is an 5ntention to settle on a net basis or to realise the asset and settle the liabllity simultaneou51y. Basic finanrSal assets Basic financial assets, whlch Include debtOTS and cash and bank balances. are Inltlally measured at transactlon prlce including transactlon costs and are subsequently carrled at amortlsed cost Uslng the effertlve intèrest method unless the arrangement constltutes a flnanclng transaction, where the transactlon Is measured at the present value of the hjture recelpt5 dlscounted at a market rate of Interest. Financlal a55et5 cla55ified a5 receivable wlthln one year are not amortlsed. Baslc financSal liabllities Baslc financial liabilitles, includSng creditors and bank loans are Inltlally recognlsed at transactlon prlce unSe55 the arrangement constitutes a financlng transaction, where the debt Instrument Is measured at the p￿sent value of the future payments dbscounted at a market rate of interest. Flnanclal Ilabllltles classlfled as payable wlthln one year are not amortlsed. Debt In5trument5 are subsequently carrled at amortised cost, usln8 the effectlve Interest rate method. Trade credltors are obli8ations to pay for 8oods or servlces that have been acquired In the ordlnary course of operatlorbs from suppllers. Amounts payable are classlfied as current liabllities If payment Is due withln one year or less. If not, they are presented as nQn) C*rryln8 amount At 31 December 2023 2,725,OC¥) At 31 December 2022 2,725,000 The Investment properties were valued at £2,725,C#XJ on 15 October 2021 on a falr value basls, subject to the exlstlng tenancles, by Messrs Flude, Chartered Surveyors. and con51der that at the year end the valuation Is reasonably up to date. No depreciation is provlded in respert of these propertles. At 31 December 2023, had the revalued assets been tarrièd at hlstorlt cost less actumulated depreciation and accumulated impairment 105ses. their carryln8 amount would have been approxlmately £22,80912022 - £22,809). The Brighton and Hove Almshouse Charity was ori8lnally created from a number of smaller charlties. InformatSon ￿lating to the acquisltion values of the freehold properties Is not known. Alteratlons and Improvement5 made since the establishment of the combined Charity In 1973 were Cèpitalised as improvements, and the c¢)st of these is the fIgu￿ shown as historlcal cost In the note above. - The tTU5tee5 have now revalued the propertles based on the current market value as a whole. The propertles owned comprlse 12 unTts, all let as a1rn5houses in accordance with the provlslon5 of the Order under which the charity was formed. -20- PDcusbn Envelaw 27F84C54.7DA548S1.9BBwC￿t¢FBEO BRIGFrroN & HOVE ALMSHOUSE CHARITY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 13 Flxed asset Investments Unllsted Investments Cosl or valuatlan At I lanuary2023 Valuatlon changes 213,190 22,532 At 31 December 2023 235.722 Carryln8 amount At 31 December 2023 235,722 At 310ecembÈr 2022 213,190 14 Debtors 2023 2022 Amourts falllng due wlthln one year: Rent and servlce char8es receivable Prepaymefjts and accfued income 1,228 1,008 1,452 2,329 2,236 3,781 15 CredStors: amourts lallln8 due Mthln one yeai 2023 2022 Rent and servlce chaoes received in advance Accruals and deferred Income 3.719 7,380 1,684 4,233 11,099 S,917 21- Envek)r¢10'. 27F84cS4-7DA￿Bsl￿BW3E91CFBED BRIGHTON & HOVE ALMSHOUSE CHARITY NOTES TO THE FINANCIAL STATEMENTS {copifiNUED) FOR THE YEAR ENDED 310ECEMBER 2023 16 Endowment funds The endowmeni funds of the char(ty include unreali5ed surpluses on the revaluatlon of the f￿ehOld land and bulldings held to fulfil the objectives of the charity. Movement In funds Balance at IrKomln8 Resourtes Translers Revaluatlon 6alan¢e at l J¥nuary mources expended Inslllosse 31 D•cember 2023 2023 Expend•bh endowments Fund Capltal Account 2,805.795 6,899 2,812,694 2,805,795 6,899 2,812,694 Part of the fund balance relate5 lo Ur}￿all$ed surpluses on the revalyatlon of ihe Investment5 held sn the lund. The amount of the unre3115ed revaluatlon surplus at 31 December 2023 was £2,702,190 12022,. £2,702,190). 17 Endowment fund5. Hl8hll8hted lund These are endowment funds funds which are material to the ¢harity's activitles. At l J•nu•ry 2023 Galns and losses At31 December 2023 137,832 15,634 153.466 Prevlou$ year: At l January 2022 Galns and At31 losses December 2021 150,167 112.3351 137.832 -22- DrKu8ign Envebw10.. 27F84c547DAH851.98B￿C3E9lCFBED BRIGHTON & HOVE ALMSHOUSE CHARITY NOTES TO THE FINANCIAL STATEMENT5 {copifiNUED) FOR THE YEAR ENDED 31 DECEMBER 2023 18 Oesl8nated funds The unrestricted funds of the charity comprise the unexpended balances of don?tions and grants whlch are not sublett to specific condition5 by donor5 and grantors as to how they may be used. These Include deslgnated funds which have been set aslde out of Un￿StrIcted funds by the trustees for speciflc purposes. Extraordlnary Repalr and Improvemeni Fund ThSs fvnd Is to provide for Èxtraordinary or irregular property repalrs and future Improvements to the propertles. 19 An•lysls of net assets between lun Unmstrlrted Endowmént Endowment funds fvnds funds 2023 2023 2023 Total 2023 At 31 December 2023: Tanglble assets Investments Current assetsllllabllltlesl 2.725,000 87,694 2,725,000 235,722 173,944 148,028 5.438 168,506 168.506 153.466 2,812.694 3,134,666 Unrertrlrted Endowment Endowment lunds fvnds funds 2022 2022 202Z Total Z022 At 31 December 2022: TanBlble assets Investments Current assetsllllabllltlesl 2,725.000 80.795 2,725,000 213,190 181,839 132,39S 5.437 176.402 176,402 137,832 2,805,795 3.120,029 20 Rel•ted p•rty transactions There were no disclosable ￿lated party transactlons during the year12022 - nonel. 23-