## **BOURNE UNITED CHARITIES Charity No: 216000**
**TRUSTEES’ REPORT AND AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
**Dexter & Sharpe Audit Services Ltd (Statutory Auditor) Rollestone House Bridge Street Horncastle Lincolnshire LN9 5HZ**
**BOURNE UNITED CHARITIES**
## **CONTENTS**
## **Page**
1. Officers and Agents 2 - 3. Trustees' Report 4 - 5. Independent Auditors' Report 6. Statement of Financial Activities 7. Balance Sheet 8 - 9. Cash Flow Statement 10 - 17. Notes to the Accounts
The following pages do not form part of the Statutory Accounts
## **Appendix**
A. Detailed Income and Expenditure Account B. Property Valuations
**BOURNE UNITED CHARITIES**
## **OFFICERS AND AGENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
|**Trustees:**|**Ex-Officio**|The Revd. Christopher John Atkinson|The Revd. Christopher John Atkinson|
|---|---|---|---|
||**Life Trustee**|Mrs Joyce Edith Burrows||
||**Co-optive**|Mr Geoffrey Richard Greatwood||
|||Mr Trevor Hollinshead||
|||Dr Carl Richard Pears|(resigned 27 May 2021)|
|||Mr Ivan John Stephen Fuller||
|||Mr John Alfred Kirkman||
|||Mr David Stanley Mapp|(Chair to 27 May 2021)|
|||Mr Nicolas James Legge|(Vice-Chair)|
|||Mrs Anna Patricia Rogers||
|||Mr Charles Falconer McLean||
|||Mrs Fiona Louise Pembery||
|||Mrs Susan Bennett|(appointed 27 January 2022)|
||**Nominative**|(Nominated by Bourne Town Council)||
|||Mr Philip James Knowles|(Chair from 27 May 2021)|
|||Mr Robert Gideon Thomson Russell||
|||Mrs Anna Sylvia Kelly||
|**Clerk to Trustees:**||Mrs G S Clingo||
|**Bankers:**||National Westminster Bank Plc||
|||Market Place, Spalding, Lincolnshire,|PE11 1ST|
|**Investment**|**Advisors:**|Whiting & Partners Wealth Management Ltd||
|||12/13 The Crescent, Wisbech, Cambridgeshire, PE13 1EH||
|||Ruffer LLP||
|||80 Victoria Street, London, SW1E 5JL||
|**Solicitor:**||Greenwoods LLP||
|||Monkstone House, City Road, Peterborough, PE1 1JE||
|||Roythornes||
|||Enterprise Way, Spalding, Lincolnshire, PE11 3YR||
|**Auditors:**||Dexter & Sharpe Audit Services Ltd||
|||(Statutory Auditor)||
|||Rollestone House||
|||Bridge Street||
|||Horncastle||
|||Lincolnshire||
|||LN9 5HZ||
- 1 -
**BOURNE UNITED CHARITIES**
## **TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2021**
The Trustees present their report and accounts for the year ended 31 December 2021.
## **Constitution objects and policies**
Bourne United Charities, Red Hall, South Street, Bourne, Lincolnshire, PE10 9LY, is registered with the Charity Commissioners (No 216000) and constituted by Deed of Trust. Charities included in the scheme dated 8 May 1978 are as follows:
Robert Harrington (Exclusive of Educational Foundation) John Brown William Fisher for Almshouses William Fisher for Bread Jeremiah Ives Nicholas Rand William Trollope (Exclusive of Trollope's School) Poors Land (North Fen) Poors Land (South Fen)
Bourne United Charities is principally an Almshouse Charity, whose main objects are the provision of Almshousing, the relief of need in Bourne, Dyke, Cawthorpe and Twenty and the provision of social amenities for the benefit of inhabitants generally.
The Trustees have given careful consideration to the Charity Commission Guidance on public benefit.
## **Administration**
The Charities are administered by common Trustees and a part time Clerk, as listed on the previous page. Strategic decisions are made by the Trustee Body after receiving monthly reports from the Clerk. The Clerk administers the day to day running of the Charities. An agent is used to administer the London properties. The Trustee Body consists of a total of fifteen Trustees. The Vicar of the Parish of SS Peter and Paul, Bourne is a Trustee ex officio. One Trustee was appointed as a Life Trustee in the scheme dated 8 May 1978. Three Trustees are nominated by Bourne Town Council for a four year term. The remaining Trustees are co-opted by the Trustee Board for a period of four years.
## **Reserves Policy**
The Trustees’ policy is to hold sufficient liquid reserves to be able to make the weekly charitable payments for one year, and to cover other charitable and administrative expenditure for six months. At the year end unrestricted reserves represented by cash, and unrestricted investments less debtors, amounted to £2,616,540. Reserves required under the policy were £261,467. This shows a surplus of £2,355,073.
## **Risks Policy**
The Trustees have evaluated risks to which the Charity is exposed, and have adopted procedures to mitigate such risks.
Following the commencement of the Covid pandemic and the introduction of the first lock down, the Trustees agreed to, where possible, mitigate the possibility of losing commercial tenants by granting a 3 month rent free period to assist those either not trading or where trading was severely affected. It was also agreed that again, but only on request, that residential tenants who were furloughed, would have rents reduced by up to 20% for an agreed period. Following the second lock down consideration is being made, but only where necessary, to defer collection of arrears over a longer period in order to assist commercial tenants. Action for recovery is prevented by law until, at the earliest, 30[th] June 2021 and any resolution is ongoing into the current financial year.
To mitigate risk further, the Trustees decided to appoint a second Investment Manager and after considering those on an appropriate shortlist, made this appointment in June. The new Investment Manager, Ruffer, is now operating half of our investment portfolio and this provides a better opportunity to manage performance through comparables.
- 2 -
## **BOURNE UNITED CHARITIES**
## **TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED)**
## **Developments, Activities and Achievements**
During the year under review, the Charities distributed £210,864 (2020: £277,898) by way of charitable payments, grants and the provision of Almshouses and other property costs and £172,971 (2020: £299,612) in providing amenities, being the upkeep of the Abbey Lawn and Well Head Park (local recreational areas). The Trustees are satisfied that the financial position of the Charities will enable them to continue fulfilling the aims detailed in the Charity Commission Scheme dated May 1978.
The net incoming resources for the year were £440,854 (2020: £287,378). Movements in the value of Fixed Assets and Investments are shown in the Statement of Financial Activities. The unrealised investment gains represent an increase in the market value of investment properties and in shares in the investment portfolio.
## **Future Developments and Post Balance Sheet Events**
The Charities’ long term aim is to increase its investment portfolio and continue to look for suitable properties in the Leytonstone and Bourne areas to add to its investment property portfolio.
During 2020 the Charities, having considered the benefits of changing its existing structure from an unincorporated body to a corporate body, engaged solicitors to set up a charitable incorporated organisation. The process of transferring the assets is being organised. Going forward the incorporated status will enable the new entity to do many things in its own name whilst providing added protection for its Trustees in limiting liability.
The Trustees considered that the surplus should remain high given the current difficulty in obtaining rental income from their substantial holdings in retail properties. However, in the new financial year they are already processing the purchase of further residential properties in order to provide balance.
## **Statement of Trustees' Responsibilities**
The Trustees are required under the Charities Act 2011 to prepare financial statements for each financial year which give a true and fair view of the Charities' financial activities during the year and of its financial position at the end of the year.
In preparing financial statements giving a true and fair view, the Trustees should follow best practice and:
- (a) select suitable accounting policies and then apply them consistently;
- (b) make judgements and estimates that are reasonable and prudent;
- (c) state whether applicable accounting standards and statements of recommended practice have been followed, subject to any departures disclosed and explained in the financial statements:
- (d) prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in operation.
The Trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the Charities and which enable them to ascertain the financial position of the Charities and which enable them to ensure that the financial statements comply with applicable law and regulations. They are also responsible for safeguarding the assets of the Charities and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Approval**
This report was approved by the Trustees on 28 July 2022 and signed on their behalf.
....................................................................... **Mr Philip James Knowles – Chairperson**
....................................................................... **Mr Nicolas James Legge - Vice Chairperson**
- 3 -
## **BOURNE UNITED CHARITIES**
## **INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF BOURNE UNITED CHARITIES**
## **Opinion**
We have audited the financial statements of Bourne United Charities (the “Charity”) for the year ended 31 December 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has 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).
In our opinion, the financial statements:
- give a true and fair view of the state of the Charity’s affairs as at 31 December 2021 and of its incoming resources and application of resources for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;
- have been prepared in accordance with the requirements of the Charities Act 2011
## **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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and the provisions available for small entities, in the circumstances set out in note 16 to the financial statements, 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 charity’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The Trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
- 4 -
## **BOURNE UNITED CHARITIES**
## **INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF BOURNE UNITED CHARITIES**
## **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 requires us to report to you if, in our opinion:
- the information given in the financial statements is inconsistent in any material respect with the Trustees’ report
- adequate accounting records have not been kept
- the financial statements are not in agreement with the accounting records and returns;
- we have not obtained all the information and explanations necessary for the purposes of our audit.
## **Responsibilities of the Trustees**
As explained more fully in the Trustees’ responsibilities statement set out on page 2, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they 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 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 Charity or to cease operations, or have no realistic alternative but to do so.
## **Our responsibilities for the audit of the financial statements**
We have been appointed as auditor under the Charities Act 2011 s144 and report in accordance with regulations made under 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 auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a 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.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:
- We have enquired of those charged with governance around actual and potential litigation and claims
- We have reviewed financial statement disclosures and tested to supporting documentation to assess compliance with applicable laws and regulations
- We have audited the risk of management override of controls, including review of journal entries and large or unusual transactions, evaluating the charity rationale of any significant transactions outside the course of normal charitable activities.
- A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## **Mrs Nicola Michelle Lenton FCCA (Senior Statutory Auditor)**
**For and on behalf of Dexter & Sharpe Audit Services Limited (Statutory Auditor) Rollestone House Bridge Street Horncastle Lincolnshire LN9 5HZ**
**……………………………….. 2022**
- 5 -
## **BOURNE UNITED CHARITIES**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021**
|||**Permanent**|||||
|---|---|---|---|---|---|---|
|||**Endowment**|**Designated**|**Unrestricted**|**2021**|2020|
||**Note**|**Fund**|**Funds**|**Fund**|**Total**|Total|
|||**£**|**£**|**£**|**£**|£|
|**INCOME AND ENDOWMENTS**|||||||
|Investment Income|2)|||**1,005,201**|**1,005,201**|963,269|
|Other Income and Grants||||**1,783**|
**1,783**|22,494|
|||||**`________`**|**`________`**|**`________`**|
|Total Incoming Resources||||**1,006,984**|**1,006,984**|985,763|
|||||`════════`|`════════`|`════════`|
|**EXPENDITURE**|||||||
|Charitable Activities|3)|||**383,835**|**383,835**|577,510|
|Other Costs|4)|||**182,29****_5_**|**182,295**|120,875|
|||||**_`________`_**|**`________`**|**`________`**|
|Total Resources Expended|5)|||**566,130**|**566,130**|698,385|
|||||`════════`|`════════`|`════════`|
|**NET INCOMING RESOURCES**|||||||
|**FOR YEAR BEFORE TRANSFERS**||||**440,854**|**440,854**|287,378|
|,|||||||
|Transfers between funds|12)|**90**|**4,388**|**(4,478)**|**-**|-|
|||**`________`**|**`________`**|**`________`**|**`________`**|**`________`**|
|**NET INCOME BEFORE**|||||||
|**GAINS/LOSSES ON INVESTMENTS**||
**90**|**4,388**|**436,376**|**440,854**|287,378|
|Gains on Fixed Assets and Investments|||||||
|-
Unrealised fixed assets||**-**|**-**|**-**|**-**|1,549,931|
|-
Unrealised investments|7)|**324,334**|**30,009**|**(1,212)**|**353,131**|73,292|
|||**`________`**|**`________`**|**`________`**|**`________`**|**`________`**|
|**NET MOVEMENT IN FUNDS**||**324,424**|**34,397**|**435,164**|**793,985**|1,910,601|
|Balances brought forward|||||||
|at 1st January 2021||**27,484,354**|**271,967**|**2,438,389**|**30,194,710**|28,284,109|
|||**`________`**|**`________`**|**`________`**|**`________`**|**`________`**|
|**Balances carried forward**|||||||
|**at 31st December 2021**||**27,808,778**|**306,364**|**2,873,553**|**30,988,695**|30,194,710|
|||`════════`|`════════`|`════════`|`════════`|`════════`|
There were no recognised gains or losses other than those included in the Statement of Financial Activities.
The notes on pages 10 to 17 form part of these accounts.
- 6 -
## **BOURNE UNITED CHARITIES**
## **BALANCE SHEET AS AT 31 DECEMBER 2021**
||||**2021**||2020|
|---|---|---|---|---|---|
||Note||**£**||£|
|**FIXED ASSETS**||||||
|Tangible Fixed Assets for Charity Use|6)||**2,678,300**||2,680,959|
|Investment Properties|6)||**22,923,661**||22,359,000|
|Listed Investments|7)||**4,289,470**||3,484,756|
||||**`________`**||**`________`**|
||||**29,891,431**||28,524,715|
|**CURRENT ASSETS**||||||
|Debtors|8)|**233,713**||244,122||
|Short Term Cash Deposits||**72,695**||72,687||
|Cash at Bank and in Hand||**1,146,341**||1,719,358||
|||**`________`**||**`________`**||
|||**1,452,749**||2,036,167||
|**CREDITORS:**Amounts falling due||||||
|within one year|9)|**355,485**||366,172||
|||**`________`**||**`________`**||
|**NET CURRENT ASSETS**|||**1,097,264**||1,669,995|
||||**`________`**||**`________`**|
|**TOTAL NET ASSETS**|10)||**30,988,695**||30,194,710|
||||`════════`||`════════`|
|**REPRESENTED BY FUNDS**||||||
|Permanent Endowment|||**27,808,778**||27,484,354|
|Designated|13)||**306,364**||271,967|
|Unrestricted|||**2,873,553**||2,438,389|
||||**`________`**||**`________`**|
||||**30,988,695**||30,194,710|
||||`════════`||`════════`|
Approved by the Trustees on 28 July 2022 and signed on their behalf.
........................................................................ ....................................................................... **Mr Philip James Knowles – Chairperson Mr Nicolas James Legge – Vice Chairperson**
The notes on pages 10 to 17 form part of these accounts.
- 7 -
## **BOURNE UNITED CHARITIES**
## **CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2021**
|Note
**Cash flows from operating activities:**
Net cash inflow from (used in) operating activities
1
**Cash flows from investing activities:**
Purchase of tangible fixed assets
Purchase of investments
Interest received
**Net cash (used in) investing activities**
**Change in cash and cash equivalents in the reporting period**
**Cash and cash equivalents at the beginning of the reporting period**
**Cash and cash equivalents at the end of the reporting period**|**2021**
**£**
**407,531**
**(11,484)**
**(1,016,244)**
**47,188**
**(980,540)**
**(573,009)**
**1,792,045**
**1,219,036**|2020
£
164,016|
|---|---|---|
|||(3,073)
(195,737)
17,802|
|||(181,008)|
|||(16,992)
1,809,037|
|||1,792,045|
- 8 -
## **BOURNE UNITED CHARITIES**
## **NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2021**
## **1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|**Net income (expenditure) for the reporting period (as per the**
**statement of financial activities)**
**Adjustments for:**
Depreciation charges
Interest received
Decrease/(Increase) in debtors
(Decrease)/Increase in creditors
**Net cash generated from operating activities**|**2021**
**£**
**440,854**
**14,143**
**(47,188)**
**10,409**
**(10,687)**
**407,531**|2020
£
287,378
12,518
(17,802)
(129,748)
11,670|
|---|---|---|
|||164,016|
- 9 -
**BOURNE UNITED CHARITIES**
**NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **1. ACCOUNTING POLICIES**
## **Basis of Preparation of Accounts**
The financial statements have been prepared under the historical cost convention modified by the revaluation of fixed assets and investments.
The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) and the Charities Act 2011.
In preparing the financial statements the Charities follow best practice as laid down in the Statement of Recommended Practice “Accounting and Reporting by Charities” (SORP 2019) and the Charities Acts.
The Charities constitute a public benefit entity as defined by FRS 102.
## **Tangible Fixed Assets and Depreciation**
Tangible fixed assets are stated at cost or valuation less depreciation. Assets costing less than £100 are not capitalised. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Land and buildings for charitable purposes Not depreciated Investment property Not depreciated Equipment 10%/20% Straight line basis
No depreciation is provided on freehold buildings. It is the Charities' policy to review their valuation annually and have them professionally revalued every five years, all unrealised gains and losses being shown on the statement of financial activities.
## **Income**
Investment income plus associated tax recoverable by the Charities is credited to income on an accruals basis using dates of payment for dividends and daily accrual for interest.
Other income is accounted for as received by the Charities. No voluntary income, donations, grants or fundraising income have been received in the period. No permanent endowments have been received in the period. Income from permanent endowment funds is unrestricted.
## **Investments**
Investments are stated at fair value. Realised and unrealised gains and losses on investments are dealt with in the Statement of Financial Activities.
## **Value added tax**
Value added tax is not recoverable by the Charities, and as such is included in the relevant costs in the Income and Expenditure Account.
## **Other Costs**
Other costs include all expenditure not directly related to the Charities' activities. This includes costs of running office premises, salaries for administrative staff and audit fees as well as the costs in managing and maintaining the investment properties.
## **Charitable Activities**
The Trustees make grants in accordance with the provisions of the Charity Commission Scheme. Charitable activities also include maintenance and running costs of the Almshouses and public facilities which the Charities provide in Bourne.
- 10 -
## **BOURNE UNITED CHARITIES**
## **NOTES TO THE ACCOUNTS CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2021**
|**2.**|**INVESTMENT INCOME**|||
|---|---|---|---|
|||**2021**|2020|
|||**£**|£|
||Interest on deposits|**9**|191|
||Income from Investment Properties|**958,013**|945,467|
||Income from Listed Investments|**47,179**|17,611|
|||**`________`**|**`________`**|
|||**1,005,201**|963,269|
||All investment assets are within the UK.|||
|**3.**|**CHARITABLE ACTIVITIES**|||
|||**Unrestricted Funds**|Total|
|||**and Total 2021**|2020|
|||**£**|£|
||**Grants to individuals:**|||
||Weekly Charitable Payments|**19,944**|24,024|
||Bourne Educational Foundation Grant|**48,983**|31,910|
||Other Grants|**14,158**|33,810|
|||**`________`**|**`________`**|
|||**83,085**|89,744|
||Almshouses Running Costs|**20,811**|58,061|
||Abbey Lawn Upkeep Costs|**67,218**|59,822|
||Well Head Upkeep Costs|**105,753**|239,790|
||General Property Running Costs|**106,968**|130,093|
|||**`________`**|**`________`**|
|||**383,835**|577,510|
|||`════════`|`════════`|
|**4.**|**OTHER COSTS**|||
||Salaries and Office Costs|**52,692**|50,403|
||Fidelity and Liability Insurances|**2,558**|2,407|
||Legal and Professional Fees|**6,876**|50,509|
||Audit Fee|**5,800**|5,640|
||Provision for bad and doubtful debts|**100,226**|(603)|
||Depreciation|**14,143**|12,519|
|||**`________`**|**`________`**|
|||**182,295**|120,875|
|||`════════`|`════════`|
- 11 -
## **BOURNE UNITED CHARITIES**
## **NOTES TO THE ACCOUNTS CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2021**
## **5. TOTAL RESOURCES EXPENDED**
||**Staff**|**Depreciation**|**Depreciation**|**Other**|**Total**|Total|
|---|---|---|---|---|---|---|
||**Costs**|||**Costs**|**2021**|2020|
||**£**||**£**|**£**|**£**|£|
|Charitable Activities|**56,142**||**-**|**327,693**|**383,835**|577,510|
|Other Costs|**32,551**||**14,143**|**135,601**|**182,295**|120,875|
|**`________`**||**`________`**||**`________`**|**`________`**|**`________`**|
||**88,693**||**14,143**|**463,294**|**566,130**|698,385|
|`════════`||`════════`||`════════`|`════════`|`════════`|
|||||**2021**||2020|
|||||**£**||£|
|**Staff Costs**|||||||
|Wages and Salaries|||**82,666**||80,090||
|Social Security Costs|||**3,268**||2,582||
|Pension Costs|||**2,759**||2,721||
|||**`________`**|||**`________`**||
|||||**88,693**||85,393|
|**Other Expenditure**|||||||
|Grants and Allowances|||**83,085**||89,744||
|Almshouse Running Costs (excluding wages)|||**20,811**||58,061||
|Upkeep of Social Amenities|- ditto -||**116,829**||245,775||
|Administration Costs|- ditto -||**32,817**||74,996||
|Liability and Fidelity Insurance|||**2,558**||2,407||
|Property Management and|||||||
|Running Costs|- ditto -||**106,968**||130,093||
|Provision for bad and doubtful debts|||**100,226**||(603)||
|Depreciation|||**14,143**||12,519||
|||**`________`**|||**`________`**||
|||||**477,437**||612,992|
|||||**`________`**||**`________`**|
|||||**566,130**||698,385|
|||||`════════`||`════════`|
No employee earned £60,000 pa or more. The average number of employees by function was:
|Manual|**2**|2|
|---|---|---|
|Administrative|**2**|2|
||**`________`**|**`________`**|
||**4**|4|
||`════════`|`════════`|
The Charities operate a defined contributions scheme in respect of its employees. The total staff costs paid to key management including pension benefits amounted to £29,131 (2020: £29,099).
- 12 -
## **BOURNE UNITED CHARITIES**
## **NOTES TO THE ACCOUNTS CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2021**
## **6. TANGIBLE FIXED ASSETS**
|**6.**|**TANGIBLE FIXED ASSETS**|||||
|---|---|---|---|---|---|
|||**Land and**|**Buildings**|||
|||**Investment**|**Used by**|||
|||**Properties**|**Charity**|**Equipment**|**Total**|
|||**£**|**£**|**£**|**£**|
||**Cost or Valuation**|||||
||At 1st January 2021
|22,359,000|2,655,000|342,000|25,356,000|
||Additions|564,661|-|11,484|576,145|
||Disposals|-|-|(3,892)|(3,892)|
|||**`________`**|**`________`**|**`________`**|**`________`**|
|||22,923,661|2,655,000|349,592|25,928,253|
||Revaluation in year|-|-|-|-|
|||**`________`**|**`________`**|**`________`**|**`________`**|
||**At 31st December 2021**|**22,923,661**|**2,655,000**|**349,592**|**25,928,253**|
|||`════════`|`════════`|`════════`|`════════`|
||**Accumulated Depreciation**|||||
||At 1st January 2021|-|-|316,041|316,041|
||Charge for the year|-|-|14,137|14,137|
||On Disposals|-|-|(3,886)|(3,886)|
|||**`________`**|**`________`**|**`________`**|**`________`**|
||**At 31st December 2021**|**-**|**-**|**326,292**|**326,292**|
|||`════════`|`════════`|`════════`|`════════`|
||**Net Book Value**|||||
||**At 31st December 2021**|**22,923,661**|**2,655,000**|**23,300**|**25,601,961**|
|||`════════`|`════════`|`════════`|`════════`|
||At 31st December 2020|22,359,000|2,655,000|25,959|25,039,959|
|||`════════`|`════════`|`════════`|`════════`|
|**7.**|**FIXED ASSET INVESTMENTS - LISTED INVESTMENTS**|||||
||||**2021**||2020|
||||**£**||£|
||Market Value at 1st January 2021||**3,484,756**||3,389,493|
||Additions||**451,583**||21,971|
||||**`________`**||**`________`**|
||||**3,936,339**||3,411,464|
||Net Unrealised Gain for the Year||**353,131**||73,292|
||||**`________`**||**`________`**|
||Market Value at 31st December 2021||**4,289,470**||3,484,756|
||||`════════`||`════════`|
The historical cost of the fixed asset investments cannot be determined due to the portfolio having been built up over many years, records for all of which are not available. The portfolio was valued at 1 January 1995 when the Charity commenced reporting its financial activities in accordance with the Statement of Recommended Practice for Charities. The historical valuation/cost figure below is therefore comprised of the valuation of the portfolio at 1 January 1995 plus additions at cost less disposals at valuation/cost since.
- 13 -
## **BOURNE UNITED CHARITIES**
## **NOTES TO THE ACCOUNTS CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2021**
## **7. FIXED ASSET INVESTMENTS - LISTED INVESTMENTS CONTINUED**
The historical valuation/cost of fixed asset investments at the year end was:
||**2021**|2020|
|---|---|---|
||**£**|£|
|Balance at 1 January 2021|**1,454,857**|1,432,886|
|Additions at cost during the year|**451,583**|21,971|
||**`________`**|**`________`**|
|Balance at 31 December 2021|**1,906,440**|1,454,857|
||`════════`|`════════`|
|All investment assets are held within the UK.|||
|The composition of the investment portfolio is shown below:|||
||||**Permanent**|||
|---|---|---|---|---|---|
||||**Endowment**|**Designated**|**Unrestricted**|
|||**Total**|**Fund**|**Fund**|**Fund**|
|||**£**|**£**|**£**|**£**|
||Value 31 December 2021|**4,289,470**|**3,507,941**|**306,365**|**475,164**|
|||`════════`|`════════`|`════════`|`════════`|
||Value at 1 January 2021|3,484,756|3,183,517|271,967|29,272|
|||`════════`|`════════`|`════════`|`════════`|
||Value on introduced 01.01.95 plus|||||
||additions and less disposals at cost|**1,906,440**|**1,358,777**|**131,402**|**416,261**|
|||`════════`|`════════`|`════════`|`════════`|
|**8.**|**DEBTORS**|||||
||||**2021**||2020|
||||**£**||£|
||Trade Debtors – Rent Ledger||**215,806**||229,295|
||Rental Income Accrual||**408**||408|
||Other Debtors and Accruals||**17,499**||14,419|
||||**`________`**||**`________`**|
||||**233,713**||244,122|
||||`════════`||`════════`|
- 14 -
## **BOURNE UNITED CHARITIES**
## **NOTES TO THE ACCOUNTS CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2021**
|**9.**|**CREDITORS: Falling due within one year**|||
|---|---|---|---|
|||**2021**|2020|
|||**£**|£|
||Trade Creditors|**889**|5,438|
||Accruals|**15,537**|40,900|
||Taxation and social security costs|**1,727**|2,247|
||Bourne Educational Foundation Grant|**115,926**|98,853|
||Rental Income received in advance|**149,092**|147,984|
||Tenants Deposit Accounts|**72,314**|70,750|
|||**`________`**|**`________`**|
|||**355,485**|366,172|
|||`════════`|`════════`|
|**10.**|**ANALYSIS OF NET ASSETS BETWEEN FUNDS**|||
||**Tangible**||**Net**||
|---|---|---|---|---|
||**Fixed**||**Current**||
||**Assets**|**Investments**|**Assets**|**Total**|
||**£**|**£**|**£**|**£**|
|Permanent Endowment Fund|**25,578,661**|**3,507,941**|**(1,277,824)**|**27,808,778**|
|Designated Fund|**-**|**306,364**|**-**|**306,364**|
|Unrestricted Fund|**23,300**|**475,165**|**2,375,088**|**2,873,553**|
||**`________`**|**`________`**|**`________`**|**`________`**|
||**25,601,961**|**4,289,470**|**1,097,264**|**30,988,695**|
||`════════`|`════════`|`════════`|`════════`|
Note: The Designated Fund represents investments in Transact Shares to provide funds to meet exceptional property repairs and the replacement of equipment. (See Note 12)
## **11. PROPERTY VALUATIONS**
Leytonstone properties were revalued at 31 December 2018. The properties were valued by: Leytonstone Residential/Commercial Properties
Lawrence Roper Chartered Surveyors
Bourne properties were revalued at 31 December 2020. Bourne and District - Agricultural Property Brown & Co - Residential and other properties Chartered Surveyors
The Trustees have completed an annual assessment of their investment property portfolio as required by FRS102 and do not consider that its residential property has changed sufficiently in the period to warrant any change in the valuation contained within the accounts.
- 15 -
## **BOURNE UNITED CHARITIES**
## **NOTES TO THE ACCOUNTS CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2021**
## **12. TRANSFER BETWEEN FUNDS**
|**TRANSFER BETWEEN FUNDS**||||
|---|---|---|---|
||**Permanent**|||
||**Endowment**|**Designated**|**Unrestricted**|
||**Fund**|**Fund**|**Fund**|
||**£**|**£**|**£**|
|Purchase of Shares with Transact/Ruffer|**90**|**4,388**|**(4,478)**|
||`════════`|`════════`|`════════`|
|These transfers represent:||||
- a) Permanent Endowment
Recoupment in respect of various property sales as authorised by the Charity Commission. The Charity has since amalgamated the recoupment endowment funds as the targets have been met. b) Designated Funds Provision for i) exceptional repairs or renovations of almshouses ii) exceptional repairs or renovations of other properties iii) exceptional repairs and replacement of plant and equipment
## **13. DESIGNATED FUNDS**
The Trustees invest income in Transact to provide for: i) Exceptional repairs or renovation of almshouses ii) Exceptional repairs or renovation of other properties iii) Exceptional repairs or replacement of plant and equipment
||**2021**|2020|
|---|---|---|
||**Total**|Total|
||**£**|£|
|Net Transfer from Unrestricted Funds|**4,388**|5,136|
|Unrealised Gain on Value of Shares at 31 December 2021|**30,009**|7,118|
||**`________`**|**`________`**|
|Net Movement in Funds|**34,397**|12,254|
|Balance at 1 January 2021|**271,967**|259,713|
||**`________`**|**`________`**|
|Balance at 31 December 2021|**306,364**|271,967|
||`════════`|`════════`|
## **14. RELATED PARTY TRANSACTIONS**
There are no related party transactions.
- 16 -
**NOTES TO THE ACCOUNTS CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2021**
## **BOURNE UNITED CHARITIES**
## **15. OPERATING LEASE COMMITMENTS**
Minimum lease payments under non-cancellable operating leases fall due as follows:
||**2021**|2020|
|---|---|---|
||**£**|£|
|Within one year|**1,771**|1,771|
|Between 1- 5 years|**-**|1,771|
||**`________`**|**`________`**|
||**1,771**|3,542|
||`════════`|`════════`|
## **16. APB ETHICAL STANDARD – PROVISIONS AVAIALBLE FOR SMALL ENTITIES**
In common with many other businesses of our size and nature we use our auditors to assist with the preparation Of the financial statements.
## **17. POST BALANCE SHEET EVENTS**
**Status Change** – The Charities have set up a charitable incorporated organisation. This initial step was completed on 29 May 2019. The new incorporated status will enable the new entity to do many things in its own name whilst providing added protection for its Trustees in limiting liability. The process of transferring the assets contained in the accounts above is proving protracted and has not completed to date. The organisation recognise the importance of completing and concluding this fully before the end of December 2022 to mitigate any arising risk of asset ownership being split between the two bodies.
- 17 -
## **BOURNE UNITED CHARITIES**
## **APPENDIX A(i)**
## **DETAILED INCOME & EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2021**
||||**2021**|||2020|
|---|---|---|---|---|---|---|
||||**£**|||£|
|**INCOME**|||||||
|Investment Income:|||||||
|Rental Income:|||||||
|Leytonstone||**810,911**|||819,064||
|Bourne and District||**147,102**|**958,013**||126,403|945,467|
|||**`_______`**|||**`_______`**||
|Dividend and Interest Income:|||||||
|Transact and Ruffer Income||**47,179**|||17,611||
|Interest on Deposits||**9**|**47,188**||191|17,802|
|||**`_______`**|**`_______`**||**`_______`**|**`_______`**|
||||**1,005,201**|||963,269|
|Red Hall Lettings||**1,130**|||2,000||
|Miscellaneous||**653**|**1,783**||20,494|22,494|
|||**`_______`**|**`_______`**||**`_______`**|**`_______`**|
|**TOTAL INCOME**|||**1,006,984**|||985,763|
|**EXPENDITURE**|||||||
|**CHARITABLE ACTIVITIES**|||||||
|**_Weekly Payments, Grants &_**|||||||
|**_Allowances (See Note 3)_**||**83,085**|||89,744||
|Almshouses:|||||||
|Repairs and Maintenance|**2,835**|||28,710|||
|Utilities|**10,226**|||12,169|||
|Council Tax|**-**|||206|||
|Insurance|**2,234**|||2,048|||
|Telephone and Miscellaneous|**5,052**|||14,482|||
|Garden Maintenance|**464**|**20,811**||446|58,061||
||**`_______`**|||**`_______`**|||
|Abbey Lawn:|||||||
|Wages|**26,386**|||25,833|||
|Repairs and Maintenance|**25,338**|||15,819|||
|Mowing Equipment Costs|**1,933**|||7,676|||
|Telephone and Miscellaneous|**12,139**|||9,108|||
|Utilities|**80**|||149|||
|Insurance|**1,342**|||1,237|||
||**`_______`**|||**`_______`**|||
|||**67,218**|||59,822||
|||**`_______`**|||**`_______`**||
|Carried Forward||**171,114**|**1,006,984**||207,627|985,763|
## **BOURNE UNITED CHARITIES**
## **APPENDIX A(ii)**
## **DETAILED INCOME & EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2021**
||||**2021**|||2020|
|---|---|---|---|---|---|---|
||||**£**|||£|
|Bought forward||**171,114**|**1,006,984**||207,627|985,763|
|**CHARITABLE ACTIVITIES (cont)**|||||||
|Well Head & South Street Properties|||||||
|Wages|**29,756**|||28,004|||
|Repairs and Maintenance|**60,554**|||198,672|||
|Insurance|**3,406**|||3,780|||
|Mowing Equipment Costs|**4,305**|||2,849|||
|Utilities|**4,824**|||2,014|||
|Telephone and Miscellaneous|**1,092**|||2,703|||
|Council tax|**1,816**|**105,753**||1,768|239,790||
||**`_______`**|**`_______`**||**`_______`**|**`_______`**||
|||**276,867**|||447,417||
|**GENERAL PROPERTY RUNNING**|**COSTS**||||||
|Bourne Land:|||||||
|Repairs and Maintenance|**1,126**|||3,095|||
|Insurance|**276**|||290|||
|Professional Fees|**-**|||3,144|||
|Utilities|**210**|||354|||
||**`_______`**|||**`_______`**|||
||**1,612**|||6,883|||
||`═══════`|||`═══════`|||
|Bourne Residential Properties:|||||||
|Repairs and Maintenance|**18,680**|||20,433|||
|Insurance|**2,961**|||2,110|||
|Professional fees|**-**|||661|||
|Utilities|**512**|||835|||
|Council Tax|**-**|||428|||
||**`_______`**|||**`_______`**|||
||**22,153**|||24,467|||
||`═══════`|||`═══════`|||
|Leytonstone Properties:|||||||
|Repairs and Maintenance|**14,503**|||29,268|||
|Insurance|**9,672**|||9,151|||
|Business Rates and Water|**-**|||165|||
|Legal and Professional Fees|**35,205**|||30,413|||
|Utilities|**1,676**|||1,129|||
|Miscellaneous|**2,052**|||3,962|||
||**`_______`**|||**`_______`**|||
||**63,108**|||74,088|||
||`═══════`|||`═══════`|||
|Carried Forward|**86,873**|**276,867**|**1,006,984**|105,438|447,417|985,763|
## **BOURNE UNITED CHARITIES**
## **APPENDIX A(iii)**
## **DETAILED INCOME & EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2021**
||||**2021**|||2020|
|---|---|---|---|---|---|---|
||||**£**|||£|
|Bought Forward|**86,873**|**276,867**|**1,006,984**|105,438|447,417|985,763|
|**GENERAL PROPERTY RUNNING COSTS (cont)**|||||||
|Red Hall:|||||||
|Repairs and Maintenance|**3,890**|||13,623|||
|Utilities|**2,051**|||2,387|||
|Insurance|**6,431**|||5,503|||
|Telephone and Miscellaneous|**1,206**|||616|||
|Security|**6,517**|||1,841|||
||**`_______`**|||`_______`|||
||**20,095**|||23,970|||
||`═══════`|||`═══════`|||
|Wake House:|||||||
|Insurance|**-**|||265|||
|Repairs and Maintenance|**-**|||420|||
||**`_______`**|||`_______`|||
||**-**|**106,968**||685|130,093||
||`═══════`|||`═══════`|||
|||**`_______`**|||**`_______`**||
|**TOTAL CHARITABLE ACTIVITIES**||**383,835**|||577,510||
|**OTHER COSTS**|||||||
|Insurance:|||||||
|Employers Liability|**1,718**|||1,727|||
|Fidelity Guarantee|**840**|||680|||
||`_______`|||`_______`|||
||**2,558**|||2,407|||
||`═══════`|||`═══════`|||
|Salaries|**32,551**|||31,556|||
|Professional Fees|**6,876**|||50,509|||
|Office Equipment Rental|**2,671**|||1,387|||
|Printing and stationery|**1,530**|||1,558|||
|Telephone and Postages|**1,540**|||1,989|||
|Audit Fee|**5,800**|||5,640|||
|Miscellaneous|**13,376**|||12,806|||
|Bank Charges|**1,024**|||1,107|||
||**`_______`**|||**`_______`**|||
||**65,368**|||106,552|||
||**`═══════`**|||`═══════`|||
|Provision for bad and|||||||
|doubtful debts|**100,226**|||(603)|||
||`═══════`|||`═══════`|||
|Depreciation|**14,137**|||12,517|||
|Loss on Sale of Fixed Assets|**6**|||2|||
||**`_______`**|||**`_______`**|||
||**14,143**|||12,519|||
||`═══════`|||`═══════`|||
|**TOTAL GOVERNANCE COSTS**||**182,295**|||120,875||
|||**`_______`**|||**`_______`**||
|**TOTAL EXPENDITURE**|||**566,130**|||698,385|
||||**`_______`**|||**`_______`**|
|**NET INCOMING RESOURCES**|||**440,854**|||287,378|
||||`═══════`|||`═══════`|
## **BOURNE UNITED CHARITIES APPENDIX B**
## **PROPERTY VALUATION - 31 DECEMBER 2021**
||||**2021**||2020|
|---|---|---|---|---|---|
|**INVESTMENT PROPERTIES**|||**£**||£|
|**LEYTONSTONE (REVALUED**|**AT 31.12.2020)**|||||
|**Residential Properties:**|8 Burghley Road||**700,000**||700,000|
||22 Harrington Road||**650,000**||650,000|
||28 Harrington Road||**609,000**||609,000|
||37 Harrington Road||**613,000**||613,000|
||107 Harold Road||**672,000**||672,000|
||13 Vernon Road||**609,000**||609,000|
||53 Vernon Road||**902,000**||902,000|
|**Commercial Properties:**|20 Church Lane||**500,000**||500,000|
||24-27 Church Lane||**2,770,000**||2,770,000|
||28 Church Lane||**670,000**||670,000|
||29 Church Lane||**525,000**||525,000|
||30 Church Lane||**462,000**||462,000|
||32 Church Lane||**536,000**||536,000|
||34 Church Lane||**490,000**||490,000|
||745 High Road||**660,000**||660,000|
||751 High Road||**240,000**||240,000|
||753 High Road||**233,000**||233,000|
||751-753 High Road (Garages)||**381,500**||381,500|
||783-791 High Road||**96,500**||96,500|
||795 High Road||**530,000**||530,000|
||797 High Road||**435,000**||435,000|
||799 High Road||**400,000**||400,000|
||801 High Road||**525,000**||525,000|
||729 High Road||**358,000**||358,000|
||731 High Road||**356,000**||356,000|
||735 High Road||**384,000**||384,000|
||741 High Road||**323,000**||323,000|
||809-813 High Road||**2,650,000**||2,650,000|
||||**`________`**||**`________`**|
||||**18,280,000**||18,280,000|
|**BOURNE & DISTRICT (REVALUED 31.12.2020)**||||||
|Land at South Road||**3,000**||3,000||
|39 High Street, Morton||**200,000**||200,000||
|Land High Street, Morton||**35,000**||35,000||
|Morton Fen Farm||**1,780,000**||1,780,000||
|Bungalow, Morton Fen||**160,000**||160,000||
|37 High Street, Morton||**200,000**||200,000||
|6 Bedehouse Bank||**210,000**||210,000||
|3 Mercia Gardens||**225,000**||225,000||
|4 Merlin Close||**220,000**||220,000||
|4 Stretham Way||**170,000**||170,000||
|7 Stretham Way||**170,000**||170,000||
|12 Stretham Way||**170,000**||170,000||
|41 Beaufort Drive - cost||**197,360**||-||
|20 Wetherby Close- cost||**184,858**||-||
|31 Foxley Court – cost||**182,443**||-||
|Wake House, North Street, Bourne||**380,000**||380,000||
|Constables Land, Dyke||**44,000**||44,000||
|Constables Land, Bourne||**32,000**||32,000||
|Short Drove, Dyke Fen||**20,000**||20,000||
|Swallow Hill, Thurlby||**60,000**|**4,643,661**|60,000|4,079,000|
|||**`________`**|**`________`**|**`________`**|**`________`**|
||||**22,923,661**||22,359,000|
||||`════════`||`════════`|
|**PROPERTY USED FOR CHARITABLE PURPOSES**||||||
|**BOURNE & DISTRICT**||||||
|The Red Hall|||**500,000**||500,000|
|Almshouses,West Street|||**1,120,000**||1,120,000|
|Abbey Lawn|||**140,000**||140,000|
|Well Head and adjacent properties|||**870,000**||870,000|
|Allotments|||**25,000**||25,000|
||||**`________`**||**`________`**|
||||**2,655,000**||2,655,000|
||||`════════`||`════════`|