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2020-12-31-accounts

Charity registration number: 217615

Mountsorrel Relief in Need Charity

known as

Mountsorrel Community Support Fund

Annual Report and Financial Statements

for the Year Ended 31 December 2020

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Contents

Trustees' Report 1 to 7
Statement of Trustees' Responsibilities 8
Independent Examiner's Report 9
Statement of Financial Activities 10
Balance Sheet 11
Notes to the Financial Statements 12 to 18

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Trustees' Report

Reference and Administrative Details

Principal office:

7 Oakthorpe Avenue, Leicester, LE3 0UR

Clerk to the Trustees:

Jane Hammond janelouisehammond@gmail.com

Bankers:

National Westminster Bank plc, Market Place, Loughborough LE11 3NZ

Independent examiner:

RWB, Chartered Accountants, Northgate House, North Gate, New Basford, Nottingham NG7 7BQ

Investment adviser:

Brewin Dolphin Ltd, 35 Station Street, Nottingham NG2 3DQ

MCSF Coordinator:

Rachel White (until 10th December 2020) Joanna Alesbrook (from 11th December 2020)

Telephone: 07931129360

Email: mountsorrelunitedcharities@outlook.com

Website: www.mountsorrelunitedcharities.com

Facebook: www.facebook.com/MUCReliefinNeed

Twitter: @muccharities

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Mountsorrel Relief in Need Charity and Charity of Hugh Phipps comprise the following:

However, Charity Commission schemes for the above charities require their trustees to be the same as those of Mountsorrel United Charities (1027652).

Page 1

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Trustees' Report

Charity Commission schemes relating to the above entities are:

For efficiency, the business of Mountsorrel United Charities, Mountsorrel Relief in Need Charity and the Charity of Hugh Phipps is combined (and demarcated) at each trustees meeting.

TRUSTEES

The Charity Commission scheme dated 1st September 1993 for Mountsorrel United Charities stipulates that there should be sixteen trustees:

Co-opted trustees who served during the period were:

Nominated trustees who served during the period were:

The ex-officio trustee who served during the period was:

RECRUITMENT AND INDUCTION OF TRUSTEES

When co-opted trustee vacancies arise, these are openly advertised locally, online and offline. Vacancies for Mountsorrel Parish Council nominated trustees are discussed at meetings of the Parish Council.

Page 2

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Trustees' Report

When recruited, new trustees receive an induction pack (online and on paper) including governing documents, annual report, recent minutes, and guidance from the Charity Commission and other bodies; including about the responsibilities of charity trustees. Further induction and training take place in person with the Chair and others as appropriate.

New trustees also certify that they are not excluded from acting as trustees, and complete a declaration of interest form.

OBJECTIVES AND ACTIVITIES

Mountsorrel Community Support Fund

The Mountsorrel Community Support Fund (MCSF) makes grants to provide relief to persons resident in Mountsorrel parish who are in need, hardship or distress.

Applications are accepted from individuals and organisations. Opportunities to apply for a grant are advertised around the village, and promoted to potential referrers. In this way the charity's purposes are for the benefit of the general public. The Trustees confirm that they have referred to the guidance on public benefit when reviewing the charity's aims and objectives and in setting grantmaking policy for the year.

Grants are made for a wide range of items and services (details below).

Charity of Hugh Phipps

A plot of land was left by Hugh Phipps and entrusted to the charity in 1753. The charity has its own small, named investment portfolio, held with Brewin Dolphin and managed alongside the Mountsorrel United Charities portfolio.

The Charity of Hugh Phipps makes grants to individuals for the “relief of poor non-conformists” resident in the parishes of Mountsorrel, Thurcaston and Swithland. Trustees take "non-conformists" to be members of a protestant church that dissents from the established Church of England.

ACHIEVEMENTS AND PERFORMANCE

Mountsorrel Community Support Fund

Over the year the usual work of the MCSF continued, in line with the strategic plan adopted in September 2019, with the following vision, mission, values and objectives:

●Mission - To be a “safety net”, providing items and services to Mountsorrel residents when they are most in need.

Joanna Alesbrook started as MCSF Coordinator on 11th December 2020, replacing Rachel White who resigned after 7 years.

Page 3

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Trustees' Report

Impact of Covid-19

●Trustees decided to conduct virtual meetings using the Zoom application

●A special meeting was held in April to focus specifically on the charity’s response to Covid-19, at which trustees decided to:

●At times, delays to agreed applications were experienced due to preferred suppliers not working or not providing a full service during the lockdown

●Visits to applicants’ homes could not be made in the usual way, which made it difficult to gather full and accurate information about needs and circumstances

●The impact of Covid-19 on grants to individuals and organisations is shown below

Grants to individuals

In 2020 the trustees considered 128 applications and made 106 grants to individuals in need (compared to 187 applications and 160 grants in 2019), amounting to £98,468 (2019 - £155,751).

Despite our best efforts to promote the charity during the Covid-19 pandemic and contrary to expectations, application numbers from individuals remained relatively low throughout 2020. This prompted discussions on future action to improve publicity and access to our grants.

Grants to organisations

All grants to organisations are reviewed on an annual basis.

a) In March, trustees again agreed to continue funding the Age UK day centre for a further year at a cost of £1,708 per month. However, from July, as a result of Covid-19, payments were reduced to £234.48 per month to reflect a reduction in service provision.

b) Funding of £7,104 in May enabled support to continue to The Bridge for the community fridge based in Mountsorrel run by Charnwood Food Poverty Action Group.

c) In October, trustees considered a proposal to re-start the Meet at Lunch and Eat group, previously funded by the charity, which brings together single, isolated young men for support. Funding up to a maximum of £3,510 was agreed for a one-year project, over 45 weeks, but unfortunately the work could not commence due to Covid-19 lockdown restrictions.

d) Funding of £750 was granted to Soar Valley Community Money Advice in December, to enable a free debt counselling service for Mountsorrel residents to continue for a further year.

In January:

• On-line banking was introduced, which significantly reduced the time taken for suppliers of goods and services to be paid

• A complaints policy and procedure were adopted

• A new application form for organisational applicants and grantees was introduced providing increased information to help decision making and with the aim of ensuring clear outcomes for beneficiaries

Page 4

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Trustees' Report

In March:

• Trustees revisited and clarified processes relating to emergency grants and re-application rules resulting in the production of a revised information leaflet for applicants

In April:

In July:

In September:

• Trustees reviewed working arrangements for the Clerk and MCSF Coordinator and decided to continue with the roles as self-employed

• Policies on garden clearance applications, and applications from people living in nearby villages other than Mountsorrel were reviewed

Charity of Hugh Phipps

Trustees make small grants every two years to members of Mountsorrel Methodist Church who are facing hard times. No grants were made in 2020. In 2019, £680 was distributed to 17 individuals (£730 including administration costs).

On the basis of advice from Voluntary Action Leicester, work was undertaken with the Charity Commission in 2020 to link the Charity of Hugh Phipps to the Relief in Need Charity. This was completed on 14th April 2020, resulting in a change to the registered charity number for the Charity of Hugh Phipps.

FINANCIAL REVIEW

Mountsorrel Community Support Fund does not hold any assets. These are instead held by Mountsorrel United Charities.

The following statements on investments apply to the Charity of Hugh Phipps.

Investments

The trustees have reviewed their investment performance against other investments, e.g. fixed interest, UK and international equities, alternatives, and cash.

The trustees, under the Trustee Act 2000, have a statutory duty of care. It applies to:

Page 5

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Trustees' Report

Under the Act the trustees exercise such care and skill as is reasonable in the circumstances, having regard to:

●Any special knowledge or experience that the trustees have or claim to have. Where any trustee is acting as such in the course of a business or profession, regard must be had to any special knowledge or experience that it is reasonable to expect of a person acting in the course of that kind of business or profession

The Trustees will take proper advice unless they reasonably conclude it is unnecessary or inappropriate to do so. They will also follow the standard investment criteria and consider:

Delegating powers

The trustees continue to delegate powers to Brewin Dolphin to manage funds on a discretionary basis.

Investment objective

In July 2020 trustees agreed to increase the level of risk to which the Charity of Hugh Phipps investments held with Brewin Dolphin are exposed. This brought about a move from Brewin Dolphin Risk Category 4 (lower risk) to Risk Category 6 (medium to high risk) with a continued focus on income generation.

The trustees will consider the charity’s needs and those of its beneficiaries in the short, medium and long term on the above basis.

Bank deposits

Short term bank deposits are maintained at a level to fund the day to day operations of the charity.

Reserves policy

It is the policy of the charity to maintain funds that are free reserves, at a level that equates to approximately one year’s unrestricted management, administration and support costs.

Risk management

The trustees have examined the major strategic business and operational risks that the charities face. Systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks.

PLANS FOR FUTURE PERIODS

Mountsorrel Community Support Fund

In 2021, trustees will:

Page 6

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Trustees' Report

●Publicise the charity more in the village, in order that those most in need know about the charity and can apply; as such we will consult with all our stakeholders and adopt a new day to day working name for the Mountsorrel Relief in Need Charity (new name adopted from March 2021)

●Review our branding and logo

●Develop a risk register and review our reserves policy

●Invite applications from relevant organisations to provide financial education to Mountsorrel residents

●Build on a mapping exercise conducted over the last two years to ensure our grants are targeted to those in greatest need

Charity of Hugh Phipps

In 2021 the Trustees will make small grants to members of local churches, as described above, who are facing hard times.

Financial instruments

Objectives and policies

The charity’s activities expose it to a number of financial risks including credit risk.

Credit risk

The charity’s principal financial assets are bank balances and investments.

The annual report was approved by the trustees of the charity on 9 June 2021 and signed on its behalf by:

......................................... G Overton Chair and trustee

Page 7

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Statement of Trustees' Responsibilities

The trustees are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.

The law applicable to charities 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:

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 applicable Charities (Accounts and Reports) Regulations, and the provisions of the constitution. The trustees 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.

Approved by the trustees of the charity on 9 June 2021 and signed on its behalf by:

......................................... G Overton Chair and trustee

Page 8

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Independent Examiner's Report to the trustees of Mountsorrel Relief in Need Charity

I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 December 2020 which are set out on pages 10 to 18.

Respective responsibilities of trustees and examiner

As the charity’s trustees of Mountsorrel Relief in Need Charity 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 Mountsorrel Relief in Need Charity'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 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 Mountsorrel Relief in Need Charity as required by section 130 of the Act; or

  2. The accounts do not accord with those records; or

  3. The accounts do not comply with the accounting requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view' which is not a matter considered as part of an independent examination.

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.

...................................... Neil Coupland FCA DChA RWB CA Limited

Northgate House North Gate New Basford Nottingham NG7 7BQ

9 June 2021

Page 9

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Statement of Financial Activities for the Year Ended 31 December 2020

Note
Income and Endowments from:
Investment income
2
Other income
Total income
Expenditure on:
Raising funds
Charitable activities
4
Total expenditure
Net income/(expenditure)
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
12		 Unrestricted
funds
£
129,770
100,080
229,850
-
(140,920)
(140,920)
88,930
88,930
104,950
193,880		 Total
2020
£
129,770
100,080
229,850
-
(140,920)
(140,920)
88,930
88,930
104,950
193,880		 Total
2019
£ (As restated)
131,437
100
131,537
(194)
(219,990)
(220,184)
(88,647)
(88,647)
193,597
104,950

All of the charity's activities derive from continuing operations during the above two periods.

The notes on pages 12 to 18 form an integral part of these financial statements. Page 10

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

(Registration number: 217615) Balance Sheet as at 31 December 2020

Note
Current assets
Debtors
10
Creditors: Amounts falling due within one year
11
Net assets
Funds of the charity:
Unrestricted income funds
Unrestricted funds
Total funds
12		 2020
£
201,343
(7,463)
193,880
193,880
193,880		 2019
£ (As restated)
122,736
(17,786)
104,950
104,950
104,950

The financial statements on pages 10 to 18 were approved by the trustees, and authorised for issue on 9 June 2021 and signed on their behalf by:

.........................................

G Overton Chair and trustee

The notes on pages 12 to 18 form an integral part of these financial statements. Page 11

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Notes to the Financial Statements for the Year Ended 31 December 2020

1 Accounting policies

Statement of compliance

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 (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

Basis of preparation

Mountsorrel Relief in Need Charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

Exemption from preparing a cash flow statement

The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.

Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

Reclassification of comparative amounts

Mountsorrel Relief in Need Charity (the Charity) was previously recognised as being a fund within Mountsorrel United Charities (Charity number 1027652) and accounted for as such. During the year the original Charity Commission Scheme was reviewed at which point it was realised that the Charity should have reported its own financial statements. These financial statements have been prepared for year end 31 December 2020, with comparatives for 2019, as though they had been prepared in the previous year.

Income and endowments

Investment income

Investments are held by Mountsorrel United Charities (MUC) and Mountsorrel Relief in Need Fund receives 1/3 of that income, net of costs. The income is recognised once it has been declared by MUC.

Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category.

Raising funds

These are costs incurred in the management of investments.

Page 12

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Notes to the Financial Statements for the Year Ended 31 December 2020

Charitable activities

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Grant provisions

Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.

Governance costs

These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.

Taxation

The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Fund structure

Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.

2 Investment income

Interest receivable and similar income;
Interest receivable on bank deposits
Other income from fixed asset investments
Other income from fixed asset investments		 Unrestricted
funds
General
£
2
129,768
129,770
Unrestricted
funds
General
£
131,437
131,437		 Total
2020
£
2
129,768
129,770
Total
2019
£
131,437
131,437

Page 13

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Notes to the Financial Statements for the Year Ended 31 December 2020

3 Expenditure on raising funds

a) Investment management costs

Note
Other investment management costs;
Other portfolio management costs
Investment management costs
4
Expenditure on charitable activities
Grants made
Clerks fees
Sundry expenses
Grants made
Clerks fees
Sundry expenses		 Unrestricted
funds
General
£
194
194
Direct costs
£
194
Unrestricted
funds
General
£
113,292
20,425
4,703
138,420
Unrestricted
funds
General
£
194,863
18,707
5,616
219,186		 Total
2019
£
194
194
Total
2019
£
194
Total
2020
£
113,292
20,425
4,703
138,420
Total
2019
£
194,863
18,707
5,616
219,186

Page 14

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Notes to the Financial Statements for the Year Ended 31 December 2020

5 Analysis of governance and support costs

Governance costs

Independent examiner fees
Examination of the financial statements
Other fees paid to examiners		 Unrestricted
funds
General
£
1,000
1,500
2,500		 Total
2020
£
1,000
1,500
2,500		 Total
2019
£
804
-
804

Page 15

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Notes to the Financial Statements for the Year Ended 31 December 2020

6 Grant-making

Analysis of grants

Analysis of grants
Analysis
Charity of Hugh Phipps
Age UK Benefits Advice
Age UK Mountsorrel Day Centre
Age UK Mountsorrel Day Centre
sessional attendance
Bathroom Renovation
Beds, Mattresses & Bedding
Charnwood Lifeline
Debt Relief
Decorating
Domestic Appliances
Flooring
Food Poverty Work (The Bridge)
Foot Care
Furniture
Gardening, Fencing and Ground
Clearance
MALE Men's Social Group
Miscellaneous
Mobility Scooters and Aids
Rent, Council Tax & Utility Arrears
Soar Valley Money Advice
Sorrel Youth Cafe		 Grants to institutions
2020
£
2019
£
-
-
-
6,900
11,224
19,700
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
7,104
-
-
-
-
-
-
-
1,246
1,012
-
-
-
-
-
-
750
500
(5,500)
11,000
14,824
39,112		 Grants to individuals
2020
£
2019
£
-
730
-
-
-
-
500
1,947
5,995
2,600
9,595
11,736
1,200
1,501
5,550
4,699
3,280
9,630
17,047
28,917
17,634
29,977
-
-
2,215
2,877
7,263
8,708
19,097
20,405
-
-
4,906
14,317
2,529
9,616
1,657
8,091
-
-
-
-
98,468
155,751
155,751

The support costs associated with grant-making are £Nil (31 December 2019 - £Nil).

7 Trustees remuneration and expenses

No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.

No trustees have received any reimbursed expenses or any other benefits from the charity during the year.

Page 16

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Notes to the Financial Statements for the Year Ended 31 December 2020

8 Independent examiner's remuneration

Examination of the financial statements
Other fees to examiners
All other services		 2020
£
1,000
1,500		 2019
£
804
-

9 Taxation

The charity is a registered charity and is therefore exempt from taxation.

10 Debtors

Due from group undertakings
Prepayments
11 Creditors: amounts falling due within one year
Accruals
12 Funds
Balance at 1
January 2020
£
Incoming
resources
£
Unrestricted funds
General
104,950
229,850		 2020
£
200,780
563
201,343
2020
£
7,463
Resources
expended
£
(140,920)		 2019
£ (As restated)
122,063
673
122,736
2019
£ (As restated)
17,786
Balance at 31
December
2020
£
193,880

Page 17

Mountsorrel Relief in Need Charity

known as Mountsorrel Community Support Fund

Notes to the Financial Statements for the Year Ended 31 December 2020

13 Analysis of net assets between funds

13 Analysis of net assets between funds
Current assets
Current liabilities
Total net assets		 Unrestricted
funds
General
£
201,343
(7,463)
193,880		 Total funds at
31 December
2020
£
201,343
(7,463)
193,880

14 Related party transactions

During the year the following related party transactions occurred:

Mountsorrel United Charities

The trustees of Mountsorrel Relief in Need Charity and the Charity of Hugh Phipps are the same as for Mountsorrel United Charities.

Mountsorrel Relief in Need Charity is entitled to one third of the income received by Mountsorrel United Charities, which is paid over on a regular basis.

During the year, Mountsorrel United Charities allocated Mountsorrel Relief in Need Charity investment income of £129,366 (2019 - £130,884) and other income of £100,000 (2019 - £Nil).

During the year, Mountsorrel United Charities allocated the Charity of Hugh Phipps investment income of £385 (2019 - £553). At the balance sheet date the amount due from Mountsorrel United Charities was £200,780 (2019 - £122,063).

Mountsorrel Relief in Need Charity and the Charity of Hugh Phipps did not have a separate bank account during the year, and all of the transactions were dealt with by Mountsorrel United Charities on its behalf. The amount due at the balance sheet date is inclusive of these transactions.

Page 18