2021-12-31-accounts

Powell and Welch Almshouse Charity

Charity registration number: 218268

Financial Statements

Year Ended 31 December 2021

Powell and Welch Almshouse Charity

Financial Statements

Year Ended 31 December 2021

Contents	Page
Trustees’ Annual Report	1-4
Accountants Report	5
Statement of Financial Activities (incorporating a Revenue Account)	6
Balance Sheet	7
Notes to the Financial Statements	8-13

Accountants Report to the Trustees on the Unaudited Financial Statements of the Powell and Welch Almshouse Charity

Administrative Information

The Charity is regulated by the Charity Commission and its registration number is 218268. The full name of the Charity is The Powell and Welch Almshouse Charity and its contact address is Ashgrove, Ashby Lane, Bitteswell LE17 4SE.

The Clerk to the Charity is Mrs J Edwards.

Trustees of the charity

The trustees who have served during the year and since the year end were as follows:

Mr P Hurst (Chair to 8/11) Mr M Gordon (Chair from 8/11) Mrs M Reid Mrs J Edwards Mr K Patton (Treasurer) Mrs J Pinnick Mrs P Beason Mrs C Love Mrs B Higgins

The Charity is affiliated with the National Association of Almshouses.

The Charity had the following professional advisers:

Reporting Accountants PWH Accountancy Limited The Counting House High Street Lutterworth Leicestershire LE17 4AY Bankers Barclays Bank Plc Leicester Haymarket Towers Branch Leicester LE19 1RJ

Objectives and activities

As a modern almshouse charity, we provide affordable housing in a rural area for local people who are in need. Our residents are elderly people of limited means who are accepted as almshouse residents due to their circumstances and their inability to fund a home from their own resources.

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Accountants Report to the Trustees on the Unaudited Financial Statements of the Powell and Welch Almshouse Charity

Achievements and Performance

From the AGM until the meeting of the trustees on 14 September 2021, Peter Hurst was Chair of the Trustees. During this period the main activities were as follows:

• In 2020, the trustees agreed to establish a rolling program of internal redecoration of the charity’s properties at intervals of between 8 and 10 years. The work was delayed by the Covid-19 pandemic but started in the final quarter of 2021. A similar rolling program of renovation and property updating for the future, has been agreed over a period of 30 years. Initially the focus is on kitchens and bathrooms, with full refurbishments towards the end of the period. £30,000 is to be set aside in reserves each year to meet the cost of this programme.

• Quinquennial Inspections Limited was contracted to carry out a Quinquennial Review in 2021. The maintenance work identified, has been categorised as urgent or routine. The few urgent items have ben completed and the routine work is being actioned.

• Marion Reid retired as Clerk after 12 years with the charity. The trustees and residents thanked Marion with gifts for her new home. Peter Hurst retired as Chair after 5 years with the charity and was presented with a painting of the Almshouses by the trustees.

• The trustees advertised the vacancies. Four new trustees (Jane Edwards, Carolyn Love, Mike Gordon and Bridget Higgins) have since joined the remaining four trustees.

• Jane Edwards became Clark and Pip Beason took over property maintenance.

• The trustees decided not to raise the Weekly Maintenance Contributions (WMCs) in 2020 due to the Covid-19 pandemic. In 2021 WMCs were increased using the Homes England formula of CPI plus 1%. The increase was 1.5%. WMCs remain around one third lower than comparable rents in the area.

• Health and safety and fire risk assessments were completed at all of the properties. The Residents’ Handbook was updated and reissued in 2021.

• The condition of the hedge and Ash tree at Powell Row were assessed. A tree surgeon has undertaken the necessary work to ensure the safety of the tree.

• Throughout the year, the charity continued to maintain all the properties, using appropriate tradesmen for a wide variety of tasks, to ensure that the properties remain in good order and continue to offer a high standard of accommodation for the Residents. A great deal of work goes into this. In particular, Marion Reid and Pip Beason are due thanks for undertaking this time-consuming activity

• The charity has a number of interest free loans relating to the construction of the Pump House flats. Repayments were made on schedule and the charity remains on track to repay all of its outstanding loans by September 2023.

From September to December 2021

At the meeting of the trustees on 8 November 2021, Mike Gordon was elected as Chair. During the period from the date of the meeting until the end of the year, there were no activities of note to be included in the Report from the Chair.

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Accountants Report to the Trustees on the Unaudited Financial Statements of the Powell and Welch Almshouse Charity

Financial review

Despite the impact of the Coronavirus pandemic, 2021 was another year of solid improvement in the Charity’s finances.

Total net funds available at 31 December 2021 increased to £361,084 from last year’s figure of £338,099.

Investments in M&G’s Multi-Charity Investment Funds stood at £141,305 at the year end, 82.5% higher than last year’s £77,418, despite the negative economic trading environment. Cash at bank ended the year at £34,650 (£58,478 last year).

Interest-free loans outstanding amounted to £13,603 (£24,156 last year), and these will be cleared by 2023.

Plans for future periods

There are no current plans for major investments in 2022 and we anticipate further consolidation of our financial base over the year.

Mr K Patton (Treasurer)

Date:

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Accountants Report to the Trustees on the Unaudited Financial Statements of the Powell and Welch Almshouse Charity

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 & Wales/Northern Ireland 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:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charities SORP 2015 (FRS 102);

• make judgements and estimates that are reasonable and prudent;

• state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

• 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 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. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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Accountants Report to the Trustees on the Unaudited Financial Statements of the Powell and Welch Almshouse Charity

We report on the financial statements for the year ended 31 December 2021 set out on the pages below.

Respective responsibilities of the Trustees and Reporting Accountant

The Trustees are responsible for the preparation of the financial statements, and they consider that The Powell and Welch Almshouse Charity is exempt from an audit. It is our responsibility to carry pit procedures designed to enable us to report our opinion.

Basis of opinion

Our procedures consisted of comparing the financial statements with the accounting records kept The Powell and Welch Almshouse Charity and making such enquiries of the officers of The Powell and Welch Almshouse Charity as we considered necessary for the purposes of this report. These procedures provide only the assurance expressed in our opinion.

Opinion

In our opinion:

• the financial statements for the year ended 31 December 2021 are in accordance with the accounting records kept by The Powell and Welch Almshouse Charity under paragraph 135(2) of the Housing and Regeneration Act 2008;

• having regard only to, and on the basis of the information contained in the accounting records:

• the statement of financial activities and balance sheet comply with the requirements of the Charities Act 2011;

• the Powell and Welch Almshouse Charity has satisfied the conditions for exemption from an audit of the financial statements for the year ended 31 December 2020 specified in section 163(3) of the Housing and Regeneration Act 2008; and

• the financial statements comply with the requirements of the Housing and Regeneration Act 2008 and the Accounting Direction for Private Registered Providers for Social Housing 2012.

PWH Accountancy Limited Reporting Accountants The Counting House High Street Lutterworth Leicestershire LE17 4AY

Date:

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Powell and Welch Almshouse Charity

Statement of Financial Activities for the Year Ended 31 December 2021

(incorporating a Revenue Account)

			2021	2021		2020
		Unrestricted	Unrestricted	Restricted
		funds	funds	funds	Total	Total
		General	Designated	Fixed assets
	Note	£	£	£	£	£
Incoming resources
Incoming resources from
charitable activities
Maintenance contributions		47,831	-	-	47,831	42,702
Grant funding		-	-	-	-	-
Incoming resources form
generated funds
Investment income	2	493	3,106	-	3,599	3,654
Miscellaneous income		100	-	-	100	118
Total incoming resources		48,424	3,106	-	51,530	46,474
Resources expended
Charitable activities:
Supported housing and housing		9,437	-	6,240	15,677	17,215
for almhouse residents
Governance costs		2,247	-	-	2,247	908
Total resources expended	3	11,684	-	6,240	17,924	18,123
Net income/(expenditure)		36,740	3,106	(6,240)	33,606	28,351
Transfers between funds		-	-	-	-	-
Other recognised gains:
Gains/(losses) on investments		-	10,781	-	10,781	(6,274)
Net movement in funds		36,740	13,887	(6,240)	44,387	22,077
Reconciliation of funds:
Total funds brought forward		155,443	15,615	190,026	361,084	338,099
Total funds carried forward		155,443	15,615	190,026	361,084	338,099

All income and expenditure derive from continuing activities. The statement of financial activities includes all gains and losses recognised during the year.

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The Powell and Welch Almshouse Charity

Balance Sheet

Year Ended 31 December 2021

Note Fixed assets Housing properties 4 Investments 5 Current assets Debtors 6 Cash at bank and in hand Creditors: amounts falling due within one year 7 Net current assets (liabilities) Total assets less current liabilities Creditors: amounts falling due after more than one year Almshouse Association loan Quaker Housing loan Net assets Charity Funds General Fund Designated Fund 8 Restricted fixed asset fund 8 8 Total charity funds	2021 £ 243,406 140,305 347,711 312 34,650 34,962 (10,453) 24,509 372,220 ( - ) (3,750) 368,470 155,443 15,615 190,026 361,084	2020 £ 249,646 77,418
		327,064 296 58,478
		58,774 (11,152)
		47,622
		374,686 (7,352) (6,250)
		361,084
		155,443 15,615 190,026
		361,084

Approved on behalf of the board of trustees

Mr M Gordon, Chairman

Date:

Mr K Patton (Treasurer)

Date:

The notes on pages 8 to 13 form part of these financial statements.

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The Powell and Welch Almshouse Charity

Notes to the Financial Statements

Year Ended 31 December 2021

1 Accounting Policies

Introduction and Accounting Basis

The financial statements have been prepared in accordance with applicable financial reporting standards, the Statement of Recommended Practice, ‘Accounting By Registered Landlords’ issued in May 2005, and General Determination 2006.

Fixed Assets

Major expenditure on tangible fixed assets is capitalised. Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost less estimated residual value of each asset evenly over tits expected useful life on the following bases:

• land is not depreciated

• h ousing properties – 2% per annum straight line

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The Powell and Welch Almshouse Charity

Notes to the Financial Statements

Year Ended 31 December 2021

2 Investment income

Dividend income	2021 £ 3,599 3,599	2020 £ 3,131
		3,131

3 Resources expended

Charitable activities Services Water rates Repairs and maintenance Insurance Add: Other expenditure Miscellaneous Professional fees Depreciation Total Governance Accountancy fees Trustee expenses Ombudsman’s fees	Unrestricted General Unrestricted Designated Restricted Fixed assets Total Funds 2021 Total Funds 2020 £ £ £ £ £ 1,233 - - 1,233 1,186 6,756 - - 6,756 7,475 1,447 - - 1,447 1,406 9,436 - - 9,436 10,067 178 - - 178 112 1,452 - - 1,452 796 - - 6,240 6,240 6,240
	1,630 - 6,240 7,870 7,148
	600 - - 600 600 - - - - 179 17 - - 17 17 617 - - 617 796

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The Powell and Welch Almshouse Charity

Notes to the Financial Statements

Year Ended 31 December 2021

4 Housing properties

Cost or valuation: At 1 January 2021 Additions At 31 December 2021 Depreciation: At 1 January 2021 Charge for the year At 31 December 2021 Net book value: At 31 December 2021 At 31 December 2020	2021 2020 £ £ 311,978 311,978 - -
	311,978 311,978
	62,332 56,092 6,240 6,240
	68,572 62,332
	243,406 249,646
	249,646 255,886

The charitable trust was established in 1847 and the original costs for the freehold land and buildings owned by the Charity are not known.

The value of land included above is £63,000

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The Powell and Welch Almshouse Charity

Notes to the Financial Statements

Year Ended 31 December 2021

5 Fixed asset investments

Cost or valuation At 1 January 2021 Additions Transfer Unrealised gains/(losses) At 31 December 2021	NAACIF Accumul’n Shares NAACIF Income Shares Total £ £ £ 64,935 12,483 77,418 3,106 493 3,599 50,000 - 50,000 9,657 1,124 10,781
	127,698 13,607 141,305

6 Debtors

Prepayments	2021 £ 312 312	2020 £ 296
		296

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The Powell and Welch Almshouse Charity

Notes to the Financial Statements

Year Ended 31 December 2021

7 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Almshouse Association loan Quaker Housing loan Accruals	2021 £ 8,052 2,500 600 11,152	2020 £ 8,052 2,500 600
		11,152

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The Powell and Welch Almshouse Charity

Notes to the Financial Statements

Year Ended 31 December 2021

8 Fund reconciliations

Unrestricted funds

General Designated Restricted	Balance at 1stJanuary 2021 Income Expenditure Transfers Gains / (losses) Balance at 31st December 2021 £ £ £ £ £ £ 155,443 48,424 (11,684) - - 192,183 15,615 3,106 - - 10,781 29,502 190,026 - (6,240) - - 183,786
	361,084 51,530 (17,924) - 10,781 405,470

9 Analysis of net assets between funds

Fixed assets Investments Current assets Current liabilities Long term liabilities Total	General funds Designated funds Restricted funds Fixed assets Total £ £ £ £ - - 243,406 243,406 127,698 13,607 - 141,305 34,962 - - 34,962 (600) - (9,853) (10,453) - - (3,750) (3,750)
	162,060 13,607 229,803 405,470

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