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2024-03-31-accounts

TOWN LANDS Registered charity number 217499

and

NEEDHAM MARKET AND BARKING ALMSHOUSE CHARITY Registered charity number 237432

together known as

NEEDHAM MARKET AND BARKING WELFARE CHARITIES

Annual Report of the Trustees

and Financial Statements

for the year ended

31 March 2024

Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

INTRODUCTION

The charities exist to benefit residents of Needham Market town and the neighbouring parishes of Barking and Darmsden in Suffolk – their Charitable Objects are shown on page 4.

Grants may be approved to organisations based outside the charities' area of benefit provided the application demonstrates a tangible benefit to residents of Needham Market and/or Barking/Darmsden.

Applications

Guidance and application forms can be obtained from the Clerk to the Trustees – contact details on page 3.

Trustees expect grants to be taken up as soon as possible after approval, otherwise funds are blocked that might otherwise be better utilised by other applicants in the year.

INDEX TO CONTENTS

Page

Annual Report

Financial Statements

9 Statement of Financial Activities
10 Statement of Financial Position
11 Statement of Accounting Policies
12-15 Notes to the Accounts

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Charity numbers 217499 & 237432

Needham Market and Barking Welfare Charities

REFERENCE AND ADMINISTRATIVE DETAILS

TRUSTEES:

(at date of signing the Trustees' Report) Basis[1] Term Committees[2] Mrs J R Annis, Chairman C 2022-2027 A AH F G CL CP Mr D G Bishop C 2023-2028 AH G CL CP Mr S Cochrane C 2019-2024 A CL CP Mr T Lawrence C 2023-2027 F Mrs S Osborn NM 2022-2026 AH Mr G F Oxenham, Vice-Chairman NM 2022-2026 F* G CP Mr S Phillips NM 2020-2024 AH Mr C M Walker C 2022-2027 A F G CP Vacancy (two) B Vacancy C

2 Committees : A: allotments AH: almshouses F: finance G: grants * Chair CL: Camping Land CP: Creeting almshouse project

Clerk to the Trustees: Mrs L S Mills

Principal Address: Needham Market Town Council Office School Street, NEEDHAM MARKET, Suffolk IP6 8BB Contact details: Website: nmbwc.onesuffolk.net Email: nmbwc@btinternet.com Telephone: 01449 722494

ADVISERS , and their Registered Office

Independent Examiner: C Annis, FCA LB Group Ipswich 80 Compair Crescent, IPSWICH, Suffolk IP2 0EH Bankers: TSB Bank plc Henry Duncan House, 120 George Street, EDINBURGH EH2 4LH Barclays Bank Plc Business Banking, LEICESTER LE87 2BB CCLA Investment Management Ltd One Angel Lane, LONDON EC4R 3AB Investment Managers: Rathbones Investment Management Ltd - London office Port of Liverpool Building, Pier Head, LIVERPOOL L3 1NW J M Finn & Co Ltd - Bury St Edmunds office 25 Copthall Avenue, LONDON EC2R 7AH Lawyers : Birketts LLP Providence House, 141-145 Princes Street, IPSWICH, Suffolk IP1 1QJ

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Needham Market and Barking Welfare Charities

Charity numbers 217499 & 237432

ANNUAL REPORT OF THE TRUSTEES

The Trustees present their Annual Report with the financial statements for the year ended 31 March 2024.

Statement of compliance

The accounts (financial statements) have been prepared in accordance with the Statement of Recommended Practice (SORP): Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102) issued in October 2019 and Charities Act 2011 and UK Generally Accepted Practice as it applies from January 2019.

Part 1 – OBJECTIVES AND ACTIVITIES; ACHIEVEMENTS AND PERFORMANCE

Needham Market and Barking Welfare Charities (the “ Charities ”) comprise two separate funds registered with the Charity Commission, with common trustees:

  1. The Town Lands charity, registered number 217499 (" Town Lands ")

  2. The Needham Market and Barking Almshouse Charity, registered number 237432 (" Almshouse ")

Charitable Objects

The area of benefit for both funds is restricted by the 1980 Scheme of the Charity Commission to the town of Needham Market and the parish of Barking in Suffolk. In April 2013, the parish of Darmsden was formed from a revision of the Barking parish boundary; Trustees regard reference to “parish of Barking” in the Scheme document to include the parish of Darmsden.

Public Benefit

Trustees are aware of and have due regard to Charity Commission guidance on public benefit, and have taken it into account when making any decision. This report demonstrates activities undertaken for public benefit that are beneficial to individual inhabitants or to the community generally.

Objectives

Trustees aim to achieve the Objects by working with individuals and organisations in the local community. Current objectives to achieve those aims are:

Activities

Grants approved in the year are summarised in Note 3 to the financial statements.

Ongoing activities

In addition to reviewing grant applications in the year, the Charities provide ongoing activities. These are at the discretion of the Trustees, who review their nature and extent to best utilise the Charities' available resources.

Ongoing facilities currently comprise:

  1. Minibus expenses, in partnership with Town Council and the Community Centre. The minibus provides essential mobility for older residents.

  2. Allotments at Quinton Road, Needham Market

  3. The historic Camping Land, used as a public recreation and amenity area

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

ANNUAL REPORT

For the year ended 31 March 2024 – Part 1 continued

Achievements and Performance

Town Lands

Trustees assist individuals and groups with hardship grants in a period of continuing cost-of-living issues, This includes on-going support of the local Citizens' Advice Bureau at their Stowmarket office to sign-post help available, plus an additional grant this year to fund walk-in advice at the local Community Centre, Trustees continue to assist with the needs of St John's "Pantry" at the Ark church hall.

Apart from grants to individuals and for on-going facilities, grants made in the year include:

Almshouse

Trustees remain pro-active to assist existing almshouse residents with any issues that arise during the year, and help to resolve matters for the benefit of all.

With regard to its land in Creeting St Mary, the project to build 3 new charity buildings (providing 6 modern units of sheltered accommodation) is nearing completion. A tenant-management partner has been appointed to oversee day-to-day operations. Unlike Drift Court that is restricted to older people, the new Trust Houses will also target younger people in need, and include bungalows designed to be wheelchair-friendly.

Designated funds

The annual budget also puts funds aside for future commitments - see Note 8(a).

Plans for the Future

Although high inflation shows signs of abating, cost-of-living issues are still a major concern. Trustees remain ready to respond to anticipated demand on Town Lands funds from local people suffering from such issues.

It has become increasingly complex over the last decade to administer the allotments. Trustees have decided to wind down their direct involvement in day-to-day allotment operations, which they feel is not their remit.

Post balance sheet event

After some delays in the current year, the project to provide new Trust Houses is now expected to complete after the year-end. Full disclosure of accounting transactions will therefore be made in next year's accounts, together with the re-balancing of Almshouse investment portfolios - see Note 10.

Part 2 – FINANCIAL REVIEW

Financial Summary

The financial results for the year are shown on pages 9 to 15.

Reserves

Trustees aim to spend annual income, subject to a balance between current expenditure and capital growth for future beneficiaries. Whilst Retail Price Index is retained as a benchmark (see Note 9), Trustees monitor several factors to guide trustees to possible endowment shortfall in any year, to reduce direct correlation of annual grant-making with economic market swings. Other statistics include a long-term view of large grants in any year with multi-year benefits.

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

ANNUAL REPORT

For the year ended 31 March 2023 – Part 2 continued

Performance

Factors referred to above continue to be broadly positive. Trustees remain confident that future beneficiaries can be serviced on a similar basis to current beneficiaries, and that sufficient funds are available to meet current obligations agreed by the Trustees.

Investments

Trustees delegate investment of financial assets to professional investment managers. Trustees' guidelines include:

Town Lands is a traditional endowment that requires income for current grant-making, with capital to grow to provide income for future beneficiaries. Investment Policy provides a balanced return from income and capital growth.

Almshouse funds, derived from permanent endowments, includes land and buildings plus funds available for future property. Investment Policy allows flexibility to the fund manager for capital growth only , until such time that invested funds are required for capital projects.

Performance

After investment income and management fees, investments of £1.89 million (2023: £1.87 million) reported a £135,277 gain in the year (2023: £130,543 loss). World stock markets reflected a peak in inflation pressures, and therefore an expectation of the interest rate falling, but remained volatile with imminent national elections and the risk of changes to monetary policy.

Trustees take a long-term view of unrealised movements, as stock markets are expected to rise and fall over multi-year periods, typically five to ten-year cycles.

Trustees expect annual income from interest & dividends to rise in the next year. Trustees have sufficient income reserves to ride out any market storm.

Risk Assessment

Trustees examine the strategic, business and operational risks to which the Charities may be exposed, and regularly review all possible risks. They consider the major risks arise from:

(a) Operation of a public open space

The area historically known as the Camping Land in Needham Market is regularly maintained. Allotments are overseen by trustees and by members of the local Allotment Holders Association to alleviate issues that arise.

(b) Effects of inflation on income and therefore future grant-making ability

The Reserves strategy attempts to address this concern.

Part 3 – STRUCTURE, GOVERNANCE & MANAGEMENT

Constitution

The governing document is a Scheme of the Charity Commissioners dated 3 March 1980.

The Charities are managed by a common body of up to eleven persons (the “Trustees”) comprising:

Vacancies are filled by the trustees and councils, who seek individuals with the skills and experience needed based on personal knowledge or by advertisement in the local press. On appointment, new trustees are given a copy of the Scheme document and the latest Annual Report and financial statements, together with further information such as relevant Charity Commission guidance.

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Charity numbers 217499 & 237432

Needham Market and Barking Welfare Charities

ANNUAL REPORT

For the year ended 31 March 2024 – Part 3 continued

Governance

Trustees appoint their Chairman, and agree the nature and membership of committees, currently: allotments, almshouses, finance, grants, the Camping Land, and development of Creeting land. Decisions are made by majority of trustees present at meetings of all Trustees. There shall be at least four such meetings in any year.

Trustees are assisted in their day-to-day duties by the appointment of a Clerk. Trustees appoint professional advisers, as required – see page 3.

Trustees

Trustees who served during the financial year (and to the date of signing the Trustees' report) are shown on page 3, together with current composition of committees. Appointments are normally made at the Charities’ Annual Meeting in October; retiring trustees may be re-appointed.

At the annual meeting, Mr Bishop was reappointed to 2028. Three vacancies exist: a Co-optative nominee, and two Barking Parish Council nominees.

Statement Of Trustees’ Responsibilities

The trustees are responsible for preparing the Trustees’ Annual Report 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 Charities’ state of affairs and of the incoming resources and application of resources of the Charities for that period.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charities and enable them to ensure that the financial statements comply with Charities Act 2011 and the Charities (Accounts and Reports) Regulations 2018 and the provisions of the trust deed. 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.

Approved by the Trustees on 13 August 2024 and signed on their behalf by:

Mrs J R Annis – Chairman of Trustees

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES

I report to the trustees of the Needham Market and Barking Welfare Charities on my examination of the Charities’ accounts for the year ended 31 March 2024, which are set out on pages 9 to 15.

Responsibilities and basis of report

As the Charities’ 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 trustee’s accounts carried out under section 145 of the 2011 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 2011 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:

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.

Signed : C Annis, FCA Address: LB Group Ipswich 80 Compair Crescent, IPSWICH, Suffolk IP2 0EH

Date: 16 August 2024

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

STATEMENT OF FINANCIAL ACTIVITIES

For the year ended 31 March 2024

**Total ** Town Lands, charity217499 Town Lands, charity217499 Town Lands, charity217499 Town Lands, charity217499 Almshouse, Almshouse, charity237432 charity237432
2024 2023 Note Unrestricted Endowment 2024 2023 Unrestricted Endowment 2024 2023
£ £ £ £ £ £ £ £ £ £ £
Income and endowments from:
48,670 44,466 Investment income 1 40,383 - 40,383 37,365 8,287 - 8,287 7,101
5,313 4,944 Charitable activities: income from rents 1 1,372 - 1,372 979 3,941 - 3,941 3,965
53,983 49,410 41,755 - 41,755 38,344 12,228 - 12,228 11,066
Expenditure on:
13,482 13,440 Investment management costs 2 - 9,697 9,697 9,735 - 3,785 3,785 3,705
**26,994 ** 31,833 Charitable activities 3 26,309 - 26,309 30,888 685 - 685 945
40,476 45,273 26,309 9,697 36,006 40,623 685 3,785 4,470 4,650
13,507 4,137 Net income (expenditure) 15,446 (9,697) 5,749 (2,279) 11,543 (3,785) 7,758 6,416
135,277 (130,543) Gains (losses) on investments - 94,825 94,825 (105,407) - 40,452 40,452 (25,136)
148,784 (126,406) Net movement in funds for the year 15,446 85,128 100,574 (107,686) 11,543 36,667 48,210 (18,720)
2,451,247 2,577,653 Total funds brought forward 11 275,140 1,395,435 1,670,575 1,778,261 131,096 649,576 780,672 799,392
2,600,031 2,451,247 Total funds carried forward 290,586 1,480,563 1,771,149 1,670,575 142,639 686,243 828,882 780,672

The analysis of Unrestricted and Endowment funds for the prior year is shown in Note 11.

The policies and notes on pages 11 to 15 form part of these financial statements.

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

STATEMENT OF FINANCIAL POSITION

At 31 March 2024

Total Town Lands,charity217499 Town Lands,charity217499 Almshouse,charity237432 Almshouse,charity237432
2024 2023 Note 2024 2023 2024 2023
£ £ £ £ £ £
Fixed assets
431,636 407,855 Property 5, 10 8,718 8,718 422,918 399,137
1,890,678 1,871,674 Investments at market value 6, 10 1,545,547 1,459,476 **345,131 ** 412,198
2,322,314 2,279,529 1,554,265 1,468,194 768,049 811,335
Current assets
85,886 85,886 Investments 6 85,886 85,886 - -
3,941 3,941 Debtors - accrued income - - 3,941 3,941
- 45,965 * Debtor - due from Almshouse 10 - 45,965 - -
207,549 93,233 Cash at bank 147,972 81,872 59,577 11,361
297,376 229,025 Total current assets 233,858 213,723 63,518 15,302
Current liabilities
(19,659) (11,342) Creditors due in less than one year 7 (16,974) (11,342) (2,685) -
- (45,965) * Creditor - due to Town Lands 10 - - - (45,965)
277,717 171,718 Net current assets 10 **216,884 ** 202,381 60,833 (30,663)
**2,600,031 ** 2,451,247 Total assets less current liabilities 1,771,149 1,670,575 **828,882 ** 780,672
Funds of the Charities
433,225 406,236 Income funds: unrestricted 8 290,586 275,140 142,639 131,096
2,166,806 2,045,011 Endowment funds 8 1,480,563 1,395,435 686,243 649,576
**2,600,031 ** 2,451,247 1,771,149 1,670,575 **828,882 ** 780,672

The policies and notes on pages 11 to 15 form part of these financial statements.

Approved by the Trustees on 13 August 2024 and signed on their behalf by:

Mrs J R Annis – Chairman of Trustees

Mr G F Oxenham, FCG – Chairman, Finance Committee

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

STATEMENT OF ACCOUNTING POLICIES

Year ended 31 March 2024

The significant accounting policies used by the Charities, consistently applied unless otherwise stated, are:

Public Benefit Entity

Each charity is a Public Benefit Entity as defined by FRS 102: an entity whose primary objective is to provide goods or services to the general public, community or social benefit (rather than provide a financial return to equity providers, shareholders or members).

Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing accounts in accordance with the Financial Reporting Standard (FRS 102), the Charities Act 2011, and UK Generally Accepted Accounting Practice. The financial statements are prepared under the historical cost convention, modified to include certain items at fair value, and presented in sterling which is the Charities' functional currency.

Going Concern

The financial statements are prepared on a going concern basis as Trustees believe that no material uncertainties exist for each charity. In making their assessment, Trustees consider the level of funds held and the expected level of income and expenditure for at least 12 months from authorising these financial statements, and concluded that budgeted income and expenditure is sufficient with the level of reserves for the Charities to continue as going concerns.

Fund structure & Objects

All funds are used for the Charities’ Objects.

Income recognition

All incoming resources are recognised in the financial statements as soon as all conditions for receipt have been met, namely: entitlement, probability of timing, and measurement of amount.

Expenditure recognition

Charitable grants and other expenditure are recognised in the financial statements as soon as there is a legal or constructive obligation committing the charity to the expenditure. Expenditure on charitable activities includes all overhead and governance costs that are incurred in support of the charitable Objects.

Taxation

No tax charge arises as the Charities are exempt from taxation of income and gains to the extent they are applied to charitable purposes. The Charity is not registered for VAT; irrecoverable VAT is reported as part of the expenditure to which it relates.

Freehold Properties

Freehold properties are held for the Charities’ use and are stated at nominal or cost value, as appropriate. No depreciation is charged on freehold land; buildings are depreciated only if impairment to their value has occurred. Costs incurred to bring a tangible asset into its intended working condition is included with the property’s cost.

Investments

Investments are initially shown at fair value (normally the transaction price including transaction costs) and subsequently measured at their fair (market) value. Changes in value during the year, whether realised or unrealised, are included in the Statement of Financial Activities.

Financial Instruments

Apart from investments, the Charities only have financial assets and liabilities that are regarded as basic financial instruments, which are initially recognised at transaction value and subsequently measured at their settlement value.

Capital Maintenance

Maintenance of capital is based on financial assets keeping pace with inflation, and the calculated amount compared to present value of assets. Trustees also consider other statistics to determine the level of any required reserves.

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

NOTES TO THE ACCOUNTS

Year ended 31 March 2024

1 Income from investments and rents

Investment income arises principally from funds under long-term investment, plus interest received from current asset deposits.

Income from rents includes income from allotments, and ground rents from letting of land and buildings. Ground rent for Drift Court is reviewed every five years; the last review was 2022 effective February 2023.

2 Investment management costs

Investment managers are paid a fee according to the total funds under their management. Their gross fees for the year were £13,482 (2023: £13,440) including VAT. Additional fees arise from transaction charges.

3
Charitable activities
Grants approved in the year comprise:
Grants to individuals in need
Grants for relief of old age or sickness
Other grants to benefit the community
Total grants approved in the year
Support costs comprise:
Clerk’s salary
Independent examination fee
Legal and professional fees
Meeting room hire
Other expenses
Total attributed support costs
Total grants and attributed support costs		 Town Lands
2024
£
850
4,524
8,684
14,058
10,309
1,234
-
153
555
12,251
26,309

The principal grants approved in the year are stated in the Trustees Report.

Support costs include governance costs and are allocated 100% to charitable activities. There were no employees earning more than £60,000 during the year (2023: none).

The movement in Town Lands comprises:
Grants approved not yet paid - Note 7		 Brought
Forward
Under/(over)
provisions
Grants approved
in the year
Grants paid
in the year
Carried
Forward
£
£
£
£
£
5,151
-
14,058
(8,913)
10,296

4 Transactions with trustees and connected persons

None of the trustees received remuneration during the year (2023: £nil) and no expenses were claimed or reimbursed during the year (2023: £nil). None of the trustees or members of key management or parties related to them has undertaken any material transactions with the Charities or with connected persons during the year (2023: £nil).

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Needham Market and Barking Welfare Charities Charity numbers 217499 & 237432

NOTES TO THE ACCOUNTS

Year ended 31 March 2024 - continued

5
Fixed Assets - property
Land and buildings comprise:
Drift Court – land (value of gift)
Drift Court – 2 buildings (net cost)
Camping Land – 4 acres
Land at Quinton Road – allotments
Land at Creeting St Mary – 6 acres		 Town Lands
2024
£
-
-
2,400
6,318
-
8,718

The two pre-1860 almshouses had become difficult to maintain and let. With Charity Commission approval, Trustees replaced the original Permanent Endowment capital (land & buildings) in 2007 to build modern almshouses within the Drift Court sheltered housing scheme in Needham Market, in a joint project with Orwell Housing Association. The two buildings, providing a total of four flats, are named in honour of the original benefactors, Alexander and Maws.

Costs of £23,781 (2023: £38,731) associated with improving the Almshouse land at Creeting have been added to Fixed Assets - see Note 10 post balance sheet events.

6
Investments at market value
Fixed asset investments comprise:
Listed investments at market value
Brought forward at beginning of year
Add: additions to investments, at cost
Less: disposals at carrying value
Net gains(losses) on revaluation
Carried forward at end of year
Cash held as part of investment portfolio
Total investments at market value
comprising:
Investments and cash at original cost
Cumulative unrealised investment gains		 Town Lands
2024
£
1,436,886
84,243
(124,884)
94,980
1,491,225
54,322
1,545,547
1,253,413
292,134

Fixed asset investments are stated after transferring out £35,776 (2023: £35,669) generated from interest and dividends received to the Charities’ bank accounts to provide funds for grant-making. Additionally, £3,942 (2023: £3,304) was transferred into Almshouse funds, and £115,000 (2023: £nil) transferred out in anticipation of completion of the new buildings - see Note 10 post balance sheet events.

There are no material individual investments; investments in unit trusts are regarded as fully diversified. All listed investments are on a UK-recognised stock exchange.

Current asset investments relate to bank deposits available for use during the year.

7
Creditors
Allotment deposits received
Grants approved not yet paid - Note 3
Accruals and deferred income
Amounts falling due within one year		 Town Lands
2024
£
2,350
10,296
4,328
16,974

Grants for ongoing activities include accrued estimates where final bills are outstanding. There are no other commitments, liabilities or provisions that are not included in these financial statements.

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Needham Market and Barking Welfare Charities

Charity numbers 217499 & 237432

NOTES TO THE ACCOUNTS

Year ended 31 March 2024 - continued

8(a) Summary of fund movements

Town Lands
Unrestricted funds
Designated - minibus replacement
General funds: undistributed income
Endowment funds
Funds utilised for fixed assets
Unrealised investment gains
General endowment funds
Total funds: Town Lands
Almshouse
Unrestricted funds
Designated - Drift Court replacement
General funds: undistributed income
Endowment funds
Funds utilised for fixed assets
Unrealised investment gains
Designated - Drift Court replacement
Designated - other capital projects
Total funds: Almshouse
Total charity funds*		 Brought
Forward
Incoming
Resources
Outgoing
Resources
Transfers
Gains &
Losses
Carried
Forward
£ ‘000
£ ‘000
£ ‘000
£ ‘000
£ ‘000
£ ‘000
25
-
-
-
-
25
250
42
(26)
-
-
266
275
42
(26)
-
-
**291 **
9
-
-
-
-
9
196
-
-
-
95
291
1,190
-
(10)
-
-
1,180
1,395
-
(10)
-
95
**1,481 **
1,670
42
(36)
-
95
1,771
48
4
-
-
-
52
83
8
-
-
-
**91 **
131
12
-
-
-
143
399
-
-
24
-
423
139
-
-
-
33
172
50
-
-
-
-
50
62
-
(4)
(24)
7
41
650
-
(4)
-
40
686
781
12
(4)
-
40
829
2,451
54
(40)
-
135
2,600

*Designated funds comprise:

1. Town Lands

On the basis of ongoing support of the minibus, Trustees have designated £25,000 (2023: £25,000) over 10 years to replace the 2013 minibus.

2. Almshouse

Trustees designate the annual rent to create financial assets to replace the Charities' existing almshouses upon 99-year lease expiry. An initial £50k plus cumulative rent totaling £102k (2023: £98k) are managed in a long-term portfolio with a year-end value of £144k (2023: £125k).

8(b) Summary of net assets by fund

Total funds comprise:
Fixed assets: property
Fixed assets: investments
Current asset investments
Other current assets
Current liabilities		 Unrestricted
Endowment
2024
£ ‘000
£ ‘000
£ '000
-
432
432
155
1,735
1,890
86
-
86
212
-
212
(20)
-
(20)
433
2,167
2,600		 2023
£ '000
408
1,871
86
143
(57)
2,451

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Needham Market and Barking Welfare Charities

Charity numbers 217499 & 237432

NOTES TO THE ACCOUNTS

Year ended 31 March 2024 - continued

9 Changes in resources available for charity use

Trustees assess whether long-term capital is sufficient to service future beneficiaries on a similar basis to current beneficiaries. A benchmark is the purchasing power of assets keeping pace with inflation, as measured by Retail Price Index ("RPI"). Although no longer an official UK statistic, the Office for National Statistics still publish RPI as there are many users. Town Lands use RPI based to 1980, the Scheme date; Almshouse funds are based to 2007, when principal endowment assets were crystallised into cash.

Estimate of shortfall, if any, using RPI:
Actual total funds
Calculated RPI estimate of funds
Estimated surplus / (shortfall)
Surplus on calculated estimate		 Town Lands (base 1980)

Market volatility can be  25% (or more) of the portfolio total, giving rise to Town Lands' volatility of  £376k relative to £42k annual income. RPI was previously used as the Reserves benchmark, but stock market fluctuations could restrict grant-making during economic downturns despite an underlying healthy fund. Trustees now assess RPI as one of several factors in reviewing adequacy of Reserves.

10 Post balance sheet event

The Almshouse land at Creeting St Mary is undergoing development to provide 6 new Trust Houses costing £1.68 million, to complement existing Drift Court almshouses. After unforeseen delays, completion is now expected in August 2024. Town Lands provided an interest-free loan to help pay for associated legal & professional fees and avoid breaking an Almshouse investment portfolio in a period of stock market turmoil; this loan was repaid at the year-end. The remaining investment portfolio will be re-balanced on project completion to meet future needs: with a long-term "bricks-and-mortar" Replacement Fund and a shorter-term maintenance Repair Fund.

11 Statement of Financial Activities for the prior year

The analysis of Unrestricted and Endowment balances for the prior year are as follows:

Income and endowments from:
Investment income
Charitable activities: income
from rents
Expenditure on:
Investment management costs
Charitable activities
Net income (expenditure)
Gains (losses) on investments
Net movement in funds
for the year
Total funds brought forward
Total funds carried forward		 Town Lands, charity217499

~ 15 ~