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2024-12-31-accounts

THE AZELIA HALL CHARITY ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023

Charity No. 214872

THE AZELIA HALL CHARITY

CONTENTS

Pages
Reference and Administrative Information 1
Report of the Trustees 2 - 5
Independent Examiner’s Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Financial Statements 9 - 15

THE AZELIA HALL CHARITY

REFERENCE AND ADMINISTRATIVE INFORMATION

REGISTERED NAME: The Azelia Hall Charity
CHARITY REGISTRATION NUMBER: 214872
TRUSTEES: Mr N S J Kanaar (Chairman)
Mrs D M Belfourd (Treasurer)
Mr V Hope
Mr P Finch
Mr J Young
Ms N P C Kelly (appointed 17 November 2023)
Ms Z J Walsh (appointed 17 November 2023)
KEY MANAGEMENT PERSONNEL: Mrs M Spears – Hall Manager
Trustees
PRINCIPAL AND OPERATING ADDRESS: 258 Croydon Road
Beckenham
Kent
BR3 4DA
INDEPENDENT EXAMINER: M Wilkes FCA
Azets Audit Services
River House
1 Maidstone Road
Sidcup
Kent DA14 5RH
BANKERS: HSBC Bank plc
INVESTMENT MANAGER: CCLA Investment Management Ltd
One Angel Lane
London
EC4R 3AB

1

THE AZELIA HALL CHARITY

REPORT OF THE TRUSTEES

The Trustees of The Azelia Hall Charity are pleased to present their report and the financial statements of The Azelia Hall Charity for the year ended 31 December 2023. The Reference and Administrative Information on page 1 also forms part of this report.

The financial statements have been prepared in accordance with 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 issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Accounting Practice.

The Trustees who served during the year and up to the date of signing are listed on page 1.

OBJECTIVES AND ACTIVITIES

The late Mr. Alfred Parker created the Charity in 1953. The objects of the Charity were and still are the provision and maintenance of a hall for use by the inhabitants of the former Borough of Beckenham and the surrounding district, in particular for the use of persons who are sick, convalescent, disabled, elderly or infirm, with the objects of improving their condition of life.

PUBLIC BENEFIT STATEMENT

The Trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Charity’s aims and objectives and in planning future activities.

ACHIEVEMENTS AND PERFORMANCE

The hall continued to be hired a proportion of the time to local charities for the elderly, the sick and for social events. The hall has been well used by the community for children parties and clubs.

FINANCIAL REVIEW

Total income of £104,972 (2022: £109,753) was received in the year. This includes £ 58,405 (2022: £55,109) dividends and interest. The charity received donations of £400 (2022: £10,000).

Expenditure totalled £103,410 (2022: £68,148), the increase is due to the refurbishing work planned and carried out during the year.

The investment value increased during the year by £180,097 (2022: decreased £251,450).

Total funds increased over the year by £181,659 (2022: decreased £209,845).

Total funds carried forward of £ 2,177,784 compared with £1,996,125 at 31 December 2022.

This includes general funds of £ 69,972 (2022: £68,410) and designated reserves of £2,086,377 (2022: £1,906,280).

The designated funds are set out in note 8 of the accounts and include the value of the investment portfolio which generates income for the charity together with £60,000 designated for future repair works needed at the Hall.

The Charity has a small permanent endowment but apart from the limited sums raised from lettings its investments provide its main source of income. It was the founder’s intention that the capital be invested to bring in sufficient funds to ensure the long-term future of the hall that he endowed in memory of his wife Azelia. The Trustees continue to provide the facilities unhampered by financial restraints. In the Trustees’ opinion the market value of the Hall is considerably in excess of historic cost.

2

THE AZELIA HALL CHARITY

REPORT OF THE TRUSTEES

_______________

Reserves policy

The Trustees consider it essential to maintain reserves sufficient to provide, in an ever-changing economic environment, adequate income to ensure the Charity's continuing activities, and to provide the resources necessary to maintain and improve the Azelia Hall.

The Trustees consider the general funds of the Charity to be adequate to generate sufficient returns to maintain the Charity’s activities. The unrestricted funds at 31 December 2023 total £69,972 (2022: £68,410).

As detailed in note 8 of the accounts the Trustees have set aside £60,000 (2022: £60,000) as a working reserve for major repairs and building improvements. Major repair work of £32,451 was carried out during the year but repair work is still required and the fund remains at £60,000 for future works to be undertaken. At present no contracts or estimates have been sought or received for this work. The Trustees have also designated the investments funds as designated funds, £2,026,377 (2022: £1,846,280) (see note 8).

Investment policy and performance

Under the Scheme of Arrangement, the Trustees may invest surplus funds in any investment they consider appropriate. To this end the Trustees have invested surplus funds in COIF Investment Funds as they consider the flexibility and returns of this investment suitable for the Charity. The COIF investment is split between two funds with different asset allocations.

These investments will continue to fund current and future activities of the Charity, and to provide resources to ensure that a hall is available for use by the inhabitants of the former Borough of Beckenham for the foreseeable future.

The Trustees receive market updates monthly and valuations (including income projections) quarterly.

Risk

The Trustees have examined the principal areas of the Charity's operations and considered what major risks may arise in each of these areas. In the opinion of the Trustees the Charity has established resources and systems which, under normal conditions, should allow the risks identified by the Trustees to be mitigated to an acceptable level in its day-to-day operations.

GOING CONCERN REVIEW

The value of the investments at 31 March 2024 has increased since 31 December 2023 by £65,979 (3.2%) and income continues to be received from these funds.

Based on the above the Trustees consider the Charity to be a thriving asset to the community for both charity use and good causes and consider the hall a going concern for the foreseeable future

.

3

THE AZELIA HALL CHARITY

REPORT OF THE TRUSTEES

______________

FUTURE PLANS

Following an open day held in the Hall at the beginning of 2023 the charity usage is slowly increasing and people are more aware of the hall in the wider area. We have also had adverts in Bromley’s Community Link newsletter.

The Trustees have had a few garden planners giving them ideas for the garden and are considering what is best for the Hall and the surrounding area with no decisions being made nor contracts agreed this year.

The Hall itself has been well maintained over the past years with the toilets being refurbished. However the hall year on year has made a profit which can at present only be spent on the upkeep of the hall. The Trustees have begun a process with the Charity Commission, and in consultation with all interested parties, to consider how the charity's objects may be expanded to include a grant scheme.

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Charity is governed by the Scheme of the Charity Commissioners dated 30 March 1998. The Trustees who served during the period and up to the date of signing this report are listed on page 1.

The existing Trustees select new Trustees on the basis of their knowledge and expertise, taking into account the knowledge and experience they can bring to The Azelia Hall Charity and their willingness to give time to the Charity.

The current Trustees include a retired solicitor, a retired logistics programmer, a retired trade union official and a retired finance manager of a national Charity. Under the Scheme of Arrangement, Trustees are appointed for life.

The day to day running of the hall is delegated to the Hall Manager who reports to the Chairman. In addition to face-to-face meetings report is by phone and email. The Hall Manager has sole responsibility for the letting of the hall on a commercial basis when it is not used by charities and clubs. This brings in income that is used to pay the salary of the Manager and in part covers the day-to-day expenses.

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The Trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources of the Charity for that period. In preparing these financial statements, the Trustees are required to:

4

THE AZELIA HALL CHARITY

REPORT OF THE TRUSTEES

______________

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations and the provisions of the Scheme of Arrangement. 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.

This Report was approved by the Board of Trustees and signed on their behalf by:

Nick Kanaar Chairman

Date: 17 May 2024

5

THE AZELIA HALL CHARITY

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES

I report to the Trustees on my examination of the financial statements of The Azelia Hall Charity for the year ended 31 December 2023 as set out on pages 7 to 15..

Respective responsibilities of Trustees and Examiner

As the Charity’s Trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the Charity’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me 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

I 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.

M Wilkes FCA Azets Audit Services River House 1 Maidstone Road Sidcup Kent DA14 5RH

Date : 23 May 2024

6

THE AZELIA HALL CHARITY

STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 31 DECEMBER 2023

Notes
INCOME FROM:
Hire of Hall
Hire of meeting rooms
Contribution to heating costs
Dividends and interest
Donations
TOTAL INCOME
EXPENDITURE ON:
Charitable activities:
Maintenance and upkeep of the Hall
TOTAL EXPENDITURE
2
NET SURPLUS BEFORE
ADJUSTMENT FOR INVESTMENTS
Net unrealised loss/gain on investments
in the year
5
NET MOVEMENT IN FUNDS
TOTAL FUNDS BROUGHT
FORWARD
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
Funds
33,449
3,865
8,853
58,405
400
_____
104,972
103,410
103,410
1,562
180,097
181,659
1,996,125
2,177,784		 Endowment
Fund
-
-
-
-
-
_______
-
-
-
-
-
-
-
-		 Total
2023
£
33,449
3,865
8,853
58,405
400
______
104,972
103,410
103,410
1,562
180,097
181,659
1,996,125
2,177,784

All income and expenditure derive from continuing activities.

All income and expenditure in 2023 related to unrestricted funds

The notes on pages 9 to 15 form part of these financial statements.

7

THE AZELIA HALL CHARITY

BALANCE SHEET YEAR ENDED 31 DECEMBER 2023

Notes
FIXED ASSETS
Tangible assets
4
Investments
5
CURRENT ASSETS
Debtors
6
Short term deposits
Cash at bank and at hand
CURRENT LIABILITIES
Creditors: amounts falling due within one year
7
NET CURRENT ASSETS
NET ASSETS
FUNDS OF THE CHARITY
Endowment funds
Permanent Endowment
8
Unrestricted Funds
General fund
8
Designated funds
8
TOTAL CHARITY FUNDS
10		 Total
Funds
2023
£
21,435
2,026,377
2,047,812
1,357
80,332
72,545
154,234
24,262
129,972
2,177,784
21,435
69,972
2,086,377
2,177,784		 Total
Funds
2022
£
21,435
1,846,280
1,867,715
1,020
332
140,697
142,049
13,639
128,410
1,996,125
21,435
68,410
1,906,280
1,996,125

The financial statements were approved and authorised for issue by the Trustees on 17 May 2024 and signed on their behalf by:

Nick Kanaar
Chairman ,

The notes on pages 9 to 15 form part of these financial statements.

8

THE AZELIA HALL CHARITY

NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

a) General information and basis of preparation

The Azelia Hall Charity is governed by a Scheme of the Charity Commissioners dated 30 March 1998. The nature of its operations is described in the Report of the Trustees.

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with 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 issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Accounting Practice.

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are prepared in sterling which is the functional currency of the charity.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated

b) Income

Income is recognised when the criteria of entitlement and measurement have been met, and it is probable (more likely than not) that the income will be received. Hire of Hall relates to income received from completed bookings in the year. Deposits received for future Hall hire are deferred. Dividends and bank interest are recognised during the year in which they are received.

No amount is included in the Financial Statements for volunteers’ time in line with the SORP (FRS 102).

c) Expenditure

All expenditure is accounted for on the accruals basis and has been classified under headings that aggregate all costs related to the category.

Expenditure on repairs and maintenance is charged as expenditure in the year in which the work is carried out. Expenditure on furniture is capitalised when it meets the definition of a tangible fixed asset and it is over the capitalisation threshold of £500.

Governance costs are those associated with compliance with constitutional and statutory requirements, and are allocated, along with other support costs, to charitable expenditure. The Charity incurs no fundraising costs.

The CCLA investment management service is run for churches and charities and no annual fee is payable.

9

THE AZELIA HALL CHARITY

NOTES TO THE FINANCIAL STATEMENTS (Continued) YEAR ENDED 31 DECEMBER 2023

d) Irrecoverable VAT

The charity is not VAT registered and all VAT is irrecoverable. VAT is included in the costs to which it relates.

e) Freehold property

Freehold property comprises the Hall and is stated at the 1953 cost of £21,435. The balance sheet value of £21,435 as at 31 December 2023 is not considered by the Trustees to be impaired due to ongoing maintenance and upkeep during the year. Depreciation is not charged. No value has been attributed to the land.

f) Investments

Investments included in fixed assets are stated at fair value at the year-end which is determined by reference to the midmarket value at the balance sheet date. Any change from the previous year is included in the Statement of Financial Activities prior to arriving at net income/net movement in funds for the year.

g) Debtors receivable/ creditors payable due within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

h) Funds structure

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds which have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Endowment funds represent those assets which must be held permanently by the charity and comprise the freehold property (the Hall).

i) Taxation

The charity is able to take advantage of applicable charity tax exemptions on income applied for charitable purposes.

j) Going Concern

The financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exist. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.

10

THE AZELIA HALL CHARITY

NOTES TO THE FINANCIAL STATEMENTS (Continued) YEAR ENDED 31 DECEMBER 2023

k) Financial Instruments

The charity only has financial assets and financial 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.

l) Employee benefits

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.

m) Judgements and key sources of estimation uncertainty

There are no material judgements or key sources of estimation uncertainty that are considered to have a significant risk of causing a material adjustment to the carrying amounts of the assets and liabilities in this financial year, or within the next financial year.

2.
TOTAL EXPENDITURE
Maintenance and upkeep of the Hall:
Major repairs
General repairs
Maintenance of premises and equipment:
Rates and Council Tax
Insurance
Heat and light
Cleaning Materials and laundry
Postage, telephone and stationery
Sundries
Performing Rights Society, Music licence
Staff and Pension
Hall Manager Help
Cleaning costs
Computer costs
Gardening
Governance costs:
Independent Examination: current year
Ex gratia payment - Treasurer
Bank charges
Total charitable expenditure		 2023
£
32,451
9,935
42,386
3,909
3,836
12,390
2,554
1,444
77
152
17,252
10,608
3,605
1,014
230
57,071
2,540
1,320
93
3,953
103,410		 2022
£
6,854
6,560
13,414
3,862
3,138
8,581
2,487
1,120
19
152
16,972
9,991
2,703
207
140
49,372
2,500
2,800
62
5,362
68,148

11

THE AZELIA HALL CHARITY

NOTES TO THE FINANCIAL STATEMENTS (Continued) YEAR ENDED 31 DECEMBER 2023

3.
STAFF NUMBERS AND COSTS
The number of employees during the year was:
Full time staff – Hall Manager
The total staff costs and employee benefits was as follows;
Gross Salaries
Pension		 2023
1
2023
16,970
282
__
17,252
____		 2022
1
2022
16,672
300
__
16,972
____

Key management personnel comprise the Hall Manager and Trustees. The remuneration of this group totalled £ 17,252 ( 2022: £16,972 ).

As shown above, there are no members of staff who were paid more than £60,000 a year.

4. FIXED ASSETS

4. FIXED ASSETS
£ £
Freehold Property
Cost at 1 January 2023 and 31 December 2023 21,435 21,435
The Hall is used for the purpose of the Charity and no depreciation is provided (see Note 1 (e)).
5. FIXED ASSET INVESTMENTS
2023 2022
£ £
Market value at 1 January 2023 1,846,280 2,097,730
Unrealised loss/ gain on revaluation 180,097 (251,450)
2,026,377 1,846,280
Historical cost 31 December 2023 898,565 898,565
Market value of investments comprises:
COIF Charities Investment Fund 1,789,621 1,677,410
COIF Global Equity Fund 236,756 168,870
2,026,377 1,846,280

12

THE AZELIA HALL CHARITY

NOTES TO THE FINANCIAL STATEMENTS (Continued) YEAR ENDED 31 DECEMBER 2023

6.
DEBTORS
Prepayments and accrued income
7.
CREDITORS: Amounts falling due within one year
Hire deposits
Hire in advance.
PAYE & NI
Accruals		 2023
£
1,357
1,357
2023
£
450

2,510
21,302
24,262		 2022
£
1,020
1,020
2022
£
400
2,185
11
11,043
13,639

13

THE AZELIA HALL CHARITY

NOTES TO THE FINANCIAL STATEMENTS (Continued) YEAR ENDED 31 DECEMBER 2023

8. FUNDS

Current year

Permanent
Endowment–_Hall
Unrestricted
funds:
General funds
Designated:
Repair fund
Investment fund
Prior year
Permanent
Endowment-Hall
Unrestricted
funds:_
General fund
Designated:
Repair fund
Investment fund		 Balance
1 Jan 2023
£
21,435
68,410
60,000
1,846,280
1,996,125
Balance
1 Jan 2022
£
21,435
26,805
60,000
2,097,730
2,205,970		 Income
£
-
-
104,972
-
-
104,972
Income
£
-
109,753
-
-
109,753		 Expenditure
£
-
(70,959)
(32,451)
(103,410)
Expenditure
£
-
(61,294)
(6,854)
-
(68,148)		 Net
investment
movement
£
-
-
-
180,097
180,097
Net
investment
gains
£
-
-
-
(251,450)
(251,450)		 New
designations/
Designations
released
£
-
(32,451)
32,451
-
-
New
designations/
designations
released
£
-
(6,854)
6,854
-
-



Balance
31 Dec 2023
£
21,435
69,972
60,000
2,026,377
2,177,784
Balance
31 Dec 2022
£
21,435
68,410
60,000
1,846,280
1,996,125

Designated funds

Repair fund is in respect of major repairs costs to the building. During the year a transfer was made from the designated building fund to the unrestricted fund to cover costs. Balance of £60,000 is considered appropriate to cover major building/repair works.

Investment fund – these funds are invested to maximise total return and generate income.

Permanent Endowment Fund

This fund comprises the Hall.

14

THE AZELIA HALL CHARITY

NOTES TO THE FINANCIAL STATEMENTS (Continued) YEAR ENDED 31 DECEMBER 2023

9. RELATED PARTY TRANSACTIONS

No remuneration or expenses were paid to the Trustees in either year. No financial donations were made to the charity by the Trustees in either year.

Following approval by the other members of the Board of Trustees an ex gratia payment £1,320 (2022: £2,800) was made to the Treasurer (DM Belfourd) as a contribution to the expenses she incurred in acting as Treasurer in the year.

The Hall Manager’s son was contracted during the year as a part time help covering the hall manager’s sick leave, general maintenance, cleaning & gardening work at the hall and received £ 10,608 (2022: £9,991).

There were no other related party transactions during the year.

10. ANALYSIS OF NET ASSETS BY FUND

Current year
Fixed assets
Current assets
Current liabilities
Total
Prior year
Fixed assets
Current assets
Current liabilities
Total		 Unrestricted
funds
£
2,026,377
154,234
(24,262)
2,156,349
Unrestricted
funds
£
1,846,280
142,049
(13,639)
1,974,690		 Endowment
funds
£
21,435
-
-
21,435
Endowment
funds
£
21,435
-
-
21,435		 Total
£
2,047,812
154,234
(24,262)
2,177,784
Total
£
1,867,715
142,049
(13,639)
1,996,125

15