Trustees’ Annual Report for the period
From Period start date To Period end date
Charity name:
Charity registration number:
Objectives and Activities
| SORP reference | ||
|---|---|---|
| Summary of the purposes of the charity as set out in its governing document |
Para 1.17 | To manage our property assets and apply the income to residents of the parish of Cossington, Leicestershire in financial hardship, aged under 25 and undertaking apprenticeships or further education, to assist the village school and to offer general or individual benefit to the inhabitants of said parish. |
| Summary of the main activities in relation to those purposes for the public benefit, in particular, the activities, projects or services identified in the accounts. |
Para 1.17 and 1.19 |
Grants made to individuals requiring financial support to help with living expenses. To offer grants to students and apprentices. To support Cossington C of E school in such a way that benefits the pupils. To support the Church / Village Centre development project. |
| Statement confirming whether the trustees have had regard to the guidance issued by the Charity Commission on public benefit |
Para 1.18 | All decisions are made with due regard to Charity Commission guidelines and in accordance with our scheme. |
Additional information (optional) You may choose to include further statements where relevant about:
SORP reference |
||
|---|---|---|
| Policy on grant making | Para 1.38 | Hardship grants and student grants are not means tested although local knowledge is applied to inform decision making. |
| Policy on social investment including program related investment |
Para 1.38 | N/A |
| Contribution made by | Para 1.38 |
| volunteers | ||
|---|---|---|
| Other | The Charity consists of 6 trustees and no other volunteers. |
Achievements and Performance
| SORP reference | ||
|---|---|---|
| Summary of the main achievements of the charity, identifying the difference the charity’s work has made to the circumstances of its beneficiaries and any wider benefits to society as a whole. |
Para 1.20 | We have continued to support the local school with two grants that the school apply according to their needs and knowledge as educational professionals. We also gave two additional grants to the school. The first to help with the creation of a school garden in which children can become involved in growing plants, fruit and vegetables and learn about nature. The second was to buy musical instruments, both ukeleles and recorders, so that all children have access to a musical instrument. We continue to support two residents in need of financial support. We supported a variety of students with financial grants. We continue to hold funds in reserve in COIF to honour a commitment to support the development of a church and village centre. |
Additional information (optional) You may choose to include further statements where relevant about:
Achievements against objectives set |
Para 1.41 |
All achievements have been in line with our scheme registered with the Charity Commission. |
|---|---|---|
| Performance of fundraising activities against objectives set |
Para 1.41 | We do not engage in fund-raising. Our income is generated by the rental of 6 properties and the pub carpark and leases on allotments. We use this income to maintain our properties and meet our charitable objectives. |
| Investment performance against objectives |
Para 1.41 | We have received dividends from our investments in COIF. We have investments in the standard and ethical funds and check their progress against the FTSE 100 and FTSE 250. These are discussed at each meeting of Trustees. |
| Other | N/A |
Financial Review
| Financial Review | ||
|---|---|---|
| Review of the charity’s financial position at the end of the period |
Para 1.21 | The charity ended the year in a very strong financial position. A substantial portion of the money held in reserve is pledged to the development of a Church / Village centre but will not be donated until all funding is in place and the project is ready to start. |
| Statement explaining the policy for holding reserves stating why they are held |
Para 1.22 | We aim to hold £10k on reserve to cover unexpected property maintenance as per our Financial Policy.. |
| Amount of reserves held | Para 1.22 | £336,690 |
| Reasons for holding zero reserves |
Para 1.22 | N/A |
| Details of fund materially in deficit |
Para 1.24 | N/A |
| Explanation of any uncertainties about the charity continuing as a going concern |
Para 1.23 | N/A |
| Additional information (optional) You may choose to include further statements where relevant about: |
Additional information (optional) You may choose to include further statements where relevant about: |
Additional information (optional) You may choose to include further statements where relevant about: |
|---|---|---|
| The charity’s principal sources of funds (including any fundraising) |
Para 1.47 | Income is from the rental of 6 domestic properties, the pub car park, and allotments. |
| Investment policy and objectives including any social investment policy adopted |
Para 1.46 | We invest our reserves in COIF as we regard this as very secure. We invest in the standard fund and the ethical fund and review their performances against the FTSE 100 and FTSE 250 to ensure they are in line with current markets. This is reviewed at each meeting of the Trustees (4 times per year) |
| A description of the principal risks facing the charity |
Para 1.46 | Our primary risk would be from allowing our property to fall into disrepair as this is our main source of income. To mitigate against this, we employ professional managing agents (Leaders, Loughborough) and our properties our regularly inspected. New tenants undergo a strict vetting process with an additional insurance being taken out during the early part of any tenancy to mitigate against non-payment of rent. Our other risk would be financial mismanagement within the Charity. We have developed a robust Financial Policy with strict guidelines on who can authorise payments on behalf of the charity. Records are kept of all income and expenditure. The Treasurer’s work is regularly inspected (at random intervals) by a nominated Trustee to ensure funds are in line with those |
presented. An up-to-date statement of income and expenditure and investments is presented to all Trustees at each quarterly meeting. An independent accountant is used to prepare our accounts. Accounts are approved by all Trustees. N/A Other
Structure, Governance and Management
| Description of charity’s trusts: |
||
|---|---|---|
| Type of governing document (trust deed, royal charter) |
Para 1.25 | Charity Commission Scheme sealed 7th December 1993, although Charity has been in existence since 15th July 1884 |
| How is the charity constituted? (e.g unincorporated association, CIO) |
Para 1.25 | Unincorporated |
| Trustee selection methods including details of any constitutional provisions e.g. election to post or name of any person or body entitled to appoint one or more trustees |
Para 1.25 | One trustee to be nominated by Cossington Parish Council and five co- opted trustees who have, through residence or employment or occupation, or otherwise, special knowledge of the Parish of Cossington. |
Additional information (optional)
| Additional information (optional) | Additional information (optional) | Additional information (optional) | Additional information (optional) |
|---|---|---|---|
| You may choose to include further statements where relevant about: | |||
Policies and procedures adopted for the induction and training of trustees |
Para 1.51 |
New trustees are gi the Charity by the C copy of the Schem |
ven an overview of hairman and given a e by which we abide. |
| The charity’s organisational structure and any wider network with which the charity works |
Para 1.51 | Chair Secretary Treasurer Council-nominated |
representative. |
| Relationship with any related parties |
Para 1.51 | None | |
| Other |
| Additional information (optional) | Additional information (optional) | Additional information (optional) | Additional information (optional) |
|---|---|---|---|
| You may choose to include further statements where relevant about: | |||
Policies and procedures adopted for the induction and training of trustees |
Para 1.51 |
New trustees are gi the Charity by the C copy of the Schem |
ven an overview of hairman and given a e by which we abide. |
| The charity’s organisational structure and any wider network with which the charity works |
Para 1.51 | Chair Secretary Treasurer Council-nominated |
representative. |
| Relationship with any related parties |
Para 1.51 | None | |
| Other |
Reference and Administrative details
| Charity name | Babington’s Charity |
|---|---|
| Other name the charity uses | N/A |
| Registered charity number | 220069 |
| Charity’s principal address | 14 Main Street Cossington Leicester LE7 4UU |
Names of the charity trustees who manage the charity
| 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 |
Trustee name | Office (if any) | Dates acted if not for whole year |
Name of person (or body) entitled to appoint trustee (ifany) |
|---|---|---|---|---|
| Helen McCague | Chair | |||
| Rich Heathcote | Treasurer | |||
| Clare Pearson | Secretary | |||
| David Mumford MBE |
||||
| Gary Drew | ||||
| Janette Matthews | ||||
– Corporate trustees names of the directors at the date the report was approved Director name N/A
Name of trustees holding title to property belonging to the charity
| Trustee name | Dates acted if not for whole year | |
|---|---|---|
| N/A | ||
Funds held as custodian trustees on behalf of others
Description of the assets N/A held in this capacity
Name and objects of the charity on whose behalf the assets are held and how this falls within the custodian charity’s objects
Details of arrangements for safe custody and segregation of such assets from the charity’s own assets
Additional information (optional)
Names and addresses of advisers (Optional information)
| Type of adviser |
Name Address |
Name Address |
|---|---|---|
| Independent Examiner |
Philip Dymond FCCA |
Cheyettes Ltd 167 London Road Leicester LE2 1EG |
Name of chief executive or names of senior staff members (Optional information)
N/A
Exemptions from disclosure
Reason for non-disclosure of key personnel details
N/A
Other optional information
Declarations
The trustees declare that they have approved the trustees’ report above.
Signed on behalf of the charity’s trustees
Signature(s) Helen E McCague
Full name(s) Helen Elizabeth McCague
Position (eg Secretary, Chair Chair, etc)
Date
17.10.2023
Charity registration number 220069
BABINGTON'S CHARITY
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
BABINGTON'S CHARITY
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees H McCague R Heathcote D Mumford C Pearson J Matthews Charity number 220069 Principal address 14 Main Street Cossington Leicestershire LE7 4UU Independent examiner Philip John Dymond FCCA Cheyettes Ltd 167 London Road Leicester LE2 1EG
BABINGTON'S CHARITY
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 2 |
| Independent examiner's report | 3 |
| Statement of financial activities | 4 |
| Balance sheet | 5 |
| Notes to the financial statements | 6 - 12 |
BABINGTON'S CHARITY
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2022
The trustees present their annual report and financial statements for the year ended 31 December 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Trust Deed, the Charities Act 2011 and "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)".
Objectives and activities
The charity's objects are to manage property assets and apply the income to residents of the parish of Cossington, Leicestershire in financial hardship, aged under 25 and taking apprenticeships or further education, to assist the village school and to offer general or individual benefit to the inhabitants of the parish.
The charity fulfils it objectives by undertaking the following activities:
-
Making grants to individuals requiring financial support to help with living expenses;
-
Offering grants to students and apprentices;
-
Financially supporting Cossington Church of England Primary School;
-
Financially supporting the Church and village centre development project.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Hardship grants and student and apprentice support are not means tested although local knowledge is used to aid decision making.
Achievements and performance
All information relating to the charity's achievements and performance is provided in the separate Trustees Annual Report submitted to the Charity Commission.
Financial review
The review of the charity's financial performance and position is provided in the separate Trustees Annual Report submitted to the Charity Commission.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Structure, governance and management
Babington's Charity is a charitable trust constituted and governed by a Deed of Trust executed on 7th December 1993.
The trustees who served during the year and up to the date of signature of the financial statements were:
H McCague
G Drew (Resigned 11 July 2023) R Heathcote D Mumford C Pearson J Matthews
At least one trustee is nominated by Cossington Parish Council, others are co-opted who have, through residence, occupation, employment or otherwise, special knowledge of the Parish of Cossington.
The business of the charity is managed by the trustees, consisting of a Chair, Treasurer, Secretary and Parish Council Representative.
- 1 -
BABINGTON'S CHARITY
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
New trustees are given an overview of the charity by the Chair and a copy of the scheme by which the charity abides.
The trustees' report was approved by the Board of Trustees.
H McCague
Trustee
22 August 2023
- 2 -
BABINGTON'S CHARITY
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF BABINGTON'S CHARITY
I report to the trustees on my examination of the financial statements of Babington's Charity (the charity) for the year ended 31 December 2022.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. 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
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
-
2 the financial statements do not accord with those records; or
-
3 the financial statements do not comply with the applicable 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 financial statements to be reached.
Philip John Dymond FCCA
Cheyettes Ltd 167 London Road Leicester LE2 1EG
Dated: 24 August 2023
- 3 -
BABINGTON'S CHARITY
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2022
| Unrestricted Unrestricted | Unrestricted Unrestricted | ||
|---|---|---|---|
| funds | funds | ||
| 2022 | 2021 | ||
| Notes | £ | £ | |
| Income and endowments from: | |||
| Investments | 2 | 51,755 | 45,406 |
| Other income | 3 | - | 1,609 |
| Total income | 51,755 | 47,015 | |
| Expenditure on: | |||
| Raising funds | 4 | 6,100 | 6,827 |
| Charitable activities | 5 | 32,409 | 26,431 |
| Total expenditure | 38,509 | 33,258 | |
| Net gains/(losses) on investments | 8 | (44,770) | 216,892 |
| Net movement in funds | (31,524) | 230,649 | |
| Fund balances at 1 January 2022 | 792,502 | 561,853 | |
| Fund balances at 31 December 2022 | 760,978 | 792,502 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
- 4 -
BABINGTON'S CHARITY
BALANCE SHEET
AS AT 31 DECEMBER 2022
| Notes Fixed assets Tangible assets 10 Investments 11 Current assets Debtors 12 Cash at bank and in hand Creditors: amounts falling due within one year 13 Net current assets Total assets less current liabilities Income funds Unrestricted funds |
2022 £ 772 43,770 44,542 (792) |
£ 380,538 336,690 717,228 43,750 760,978 760,978 760,978 |
2021 £ 1,546 29,714 31,260 (756) |
£ 380,538 381,460 |
|---|---|---|---|---|
| 761,998 30,504 |
||||
| 792,502 | ||||
| 792,502 | ||||
| 792,502 |
The financial statements were approved by the Trustees on 22 August 2023
H McCague Trustee
- 5 -
BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
Charity information
Babington's Charity is a charitable trust registered in England and Wales.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's Trust Deed, the Charities Act 2011 and "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)". The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
1.4 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
- 6 -
BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
(Continued)
1.5 Expenditure
Expenditure is included in the Statement of Financial Activities on an accruals basis, inclusive of any VAT which cannot be recovered. Expenditure is directly attributable to specific activities and has been included in those cost categories.
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 directly attributed to such activities and those costs of an indirect nature to support them.
1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
none provided
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
1.7 Fixed asset investments
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.
1.8 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
1.9 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.10 Financial instruments
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
- 7 -
BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
(Continued)
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
1.11 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2 Investments
| **Unrestricted ** | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Rental income | 41,642 | 41,272 |
| Income from listed investments | 10,113 | 4,134 |
| 51,755 | 45,406 |
- 8 -
BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
3 Other income
| Total | Unrestricted | |
|---|---|---|
| funds | ||
| 2022 | 2021 | |
| £ | £ | |
| Council and utilities refunds | - | 1,609 |
| Raising funds | ||
| Unrestricted | Unrestricted | |
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Agents management fees | 6,100 | 6,827 |
| 6,100 | 6,827 |
4 Raising funds
5 Charitable activities
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Insurance | 1,081 | 1,191 |
| Repairs and maintenance | 11,469 | 9,593 |
| Council tax and utilities | - | 1,031 |
| Independent examiner's fees | 792 | 756 |
| Sundry expenses | - | 260 |
| 13,342 | 12,831 | |
| Grant funding of activities (see note 6) | 19,067 | 13,600 |
| 32,409 | 26,431 |
- 9 -
BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
6 Grants payable
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Grants to institutions: | ||
| Cossington Church of England Primary School | 8,067 | 6,000 |
| Grants to students and individuals | 11,000 | 7,600 |
| 19,067 | 13,600 |
7 Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
In 2021, one trustee was reimbursed various property costs incurred in the sum of £657.
8 Net gains/(losses) on investments
| Unrestricted Unrestricted | Unrestricted Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Revaluation of investments | (44,770) | 26,767 |
| Gain/(loss) on sale of investment properties | - | 190,125 |
| (44,770) | 216,892 |
9 Taxation
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
- 10 -
BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
| 10 | Tangible fixed assets | ||
|---|---|---|---|
| Freehold land and buildings | |||
| £ | |||
| Cost | |||
| At 1 January 2022 | 380,538 | ||
| At 31 December 2022 | 380,538 | ||
| Carrying amount | |||
| At 31 December 2022 | 380,538 | ||
| At 31 December 2021 | 380,538 | ||
| 11 | Fixed asset investments | ||
| Listed | |||
| investments | |||
| £ | |||
| Cost or valuation | |||
| At 1 January 2022 | 381,460 | ||
| Valuation changes | (44,770) | ||
| At 31 December 2022 | 336,690 | ||
| Carrying amount | |||
| At 31 December 2022 | 336,690 | ||
| At 31 December 2021 | 381,460 | ||
| 12 | Debtors | ||
| 2022 | 2021 | ||
| Amounts falling due within one year: | £ | £ | |
| Trade debtors | 533 | 1,282 | |
| Prepayments and accrued income | 239 | 264 | |
| 772 | 1,546 | ||
| 13 | Creditors: amounts falling due within one year | ||
| 2022 | 2021 | ||
| £ | £ | ||
| Accruals and deferred income | 792 | 756 |
- 11 -
BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
14 Related party transactions
There were no disclosable related party transactions during the year (2021 - none).
- 12 -
Charity registration number 220069
BABINGTON'S CHARITY
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
BABINGTON'S CHARITY
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees H McCague R Heathcote D Mumford C Pearson J Matthews Charity number 220069 Principal address 14 Main Street Cossington Leicestershire LE7 4UU Independent examiner Philip John Dymond FCCA Cheyettes Ltd 167 London Road Leicester LE2 1EG
BABINGTON'S CHARITY
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 2 |
| Independent examiner's report | 3 |
| Statement of financial activities | 4 |
| Balance sheet | 5 |
| Notes to the financial statements | 6 - 12 |
BABINGTON'S CHARITY
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2022
The trustees present their annual report and financial statements for the year ended 31 December 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Trust Deed, the Charities Act 2011 and "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)".
Objectives and activities
The charity's objects are to manage property assets and apply the income to residents of the parish of Cossington, Leicestershire in financial hardship, aged under 25 and taking apprenticeships or further education, to assist the village school and to offer general or individual benefit to the inhabitants of the parish.
The charity fulfils it objectives by undertaking the following activities:
-
Making grants to individuals requiring financial support to help with living expenses;
-
Offering grants to students and apprentices;
-
Financially supporting Cossington Church of England Primary School;
-
Financially supporting the Church and village centre development project.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Hardship grants and student and apprentice support are not means tested although local knowledge is used to aid decision making.
Achievements and performance
All information relating to the charity's achievements and performance is provided in the separate Trustees Annual Report submitted to the Charity Commission.
Financial review
The review of the charity's financial performance and position is provided in the separate Trustees Annual Report submitted to the Charity Commission.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Structure, governance and management
Babington's Charity is a charitable trust constituted and governed by a Deed of Trust executed on 7th December 1993.
The trustees who served during the year and up to the date of signature of the financial statements were:
H McCague
G Drew (Resigned 11 July 2023) R Heathcote D Mumford C Pearson J Matthews
At least one trustee is nominated by Cossington Parish Council, others are co-opted who have, through residence, occupation, employment or otherwise, special knowledge of the Parish of Cossington.
The business of the charity is managed by the trustees, consisting of a Chair, Treasurer, Secretary and Parish Council Representative.
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BABINGTON'S CHARITY
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
New trustees are given an overview of the charity by the Chair and a copy of the scheme by which the charity abides.
The trustees' report was approved by the Board of Trustees.
H McCague
Trustee
22 August 2023
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BABINGTON'S CHARITY
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF BABINGTON'S CHARITY
I report to the trustees on my examination of the financial statements of Babington's Charity (the charity) for the year ended 31 December 2022.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. 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
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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2 the financial statements do not accord with those records; or
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3 the financial statements do not comply with the applicable 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 financial statements to be reached.
Philip John Dymond FCCA
Cheyettes Ltd 167 London Road Leicester LE2 1EG
Dated: 24 August 2023
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BABINGTON'S CHARITY
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2022
| Unrestricted Unrestricted | Unrestricted Unrestricted | ||
|---|---|---|---|
| funds | funds | ||
| 2022 | 2021 | ||
| Notes | £ | £ | |
| Income and endowments from: | |||
| Investments | 2 | 51,755 | 45,406 |
| Other income | 3 | - | 1,609 |
| Total income | 51,755 | 47,015 | |
| Expenditure on: | |||
| Raising funds | 4 | 6,100 | 6,827 |
| Charitable activities | 5 | 32,409 | 26,431 |
| Total expenditure | 38,509 | 33,258 | |
| Net gains/(losses) on investments | 8 | (44,770) | 216,892 |
| Net movement in funds | (31,524) | 230,649 | |
| Fund balances at 1 January 2022 | 792,502 | 561,853 | |
| Fund balances at 31 December 2022 | 760,978 | 792,502 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
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BABINGTON'S CHARITY
BALANCE SHEET
AS AT 31 DECEMBER 2022
| Notes Fixed assets Tangible assets 10 Investments 11 Current assets Debtors 12 Cash at bank and in hand Creditors: amounts falling due within one year 13 Net current assets Total assets less current liabilities Income funds Unrestricted funds |
2022 £ 772 43,770 44,542 (792) |
£ 380,538 336,690 717,228 43,750 760,978 760,978 760,978 |
2021 £ 1,546 29,714 31,260 (756) |
£ 380,538 381,460 |
|---|---|---|---|---|
| 761,998 30,504 |
||||
| 792,502 | ||||
| 792,502 | ||||
| 792,502 |
The financial statements were approved by the Trustees on 22 August 2023
H McCague Trustee
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BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
Charity information
Babington's Charity is a charitable trust registered in England and Wales.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's Trust Deed, the Charities Act 2011 and "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)". The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
1.4 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
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BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
(Continued)
1.5 Expenditure
Expenditure is included in the Statement of Financial Activities on an accruals basis, inclusive of any VAT which cannot be recovered. Expenditure is directly attributable to specific activities and has been included in those cost categories.
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 directly attributed to such activities and those costs of an indirect nature to support them.
1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
none provided
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
1.7 Fixed asset investments
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.
1.8 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
1.9 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.10 Financial instruments
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
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BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
(Continued)
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
1.11 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2 Investments
| **Unrestricted ** | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Rental income | 41,642 | 41,272 |
| Income from listed investments | 10,113 | 4,134 |
| 51,755 | 45,406 |
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BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
3 Other income
| Total | Unrestricted | |
|---|---|---|
| funds | ||
| 2022 | 2021 | |
| £ | £ | |
| Council and utilities refunds | - | 1,609 |
| Raising funds | ||
| Unrestricted | Unrestricted | |
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Agents management fees | 6,100 | 6,827 |
| 6,100 | 6,827 |
4 Raising funds
5 Charitable activities
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Insurance | 1,081 | 1,191 |
| Repairs and maintenance | 11,469 | 9,593 |
| Council tax and utilities | - | 1,031 |
| Independent examiner's fees | 792 | 756 |
| Sundry expenses | - | 260 |
| 13,342 | 12,831 | |
| Grant funding of activities (see note 6) | 19,067 | 13,600 |
| 32,409 | 26,431 |
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BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
6 Grants payable
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Grants to institutions: | ||
| Cossington Church of England Primary School | 8,067 | 6,000 |
| Grants to students and individuals | 11,000 | 7,600 |
| 19,067 | 13,600 |
7 Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
In 2021, one trustee was reimbursed various property costs incurred in the sum of £657.
8 Net gains/(losses) on investments
| Unrestricted Unrestricted | Unrestricted Unrestricted | |
|---|---|---|
| funds | funds | |
| 2022 | 2021 | |
| £ | £ | |
| Revaluation of investments | (44,770) | 26,767 |
| Gain/(loss) on sale of investment properties | - | 190,125 |
| (44,770) | 216,892 |
9 Taxation
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
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BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
| 10 | Tangible fixed assets | ||
|---|---|---|---|
| Freehold land and buildings | |||
| £ | |||
| Cost | |||
| At 1 January 2022 | 380,538 | ||
| At 31 December 2022 | 380,538 | ||
| Carrying amount | |||
| At 31 December 2022 | 380,538 | ||
| At 31 December 2021 | 380,538 | ||
| 11 | Fixed asset investments | ||
| Listed | |||
| investments | |||
| £ | |||
| Cost or valuation | |||
| At 1 January 2022 | 381,460 | ||
| Valuation changes | (44,770) | ||
| At 31 December 2022 | 336,690 | ||
| Carrying amount | |||
| At 31 December 2022 | 336,690 | ||
| At 31 December 2021 | 381,460 | ||
| 12 | Debtors | ||
| 2022 | 2021 | ||
| Amounts falling due within one year: | £ | £ | |
| Trade debtors | 533 | 1,282 | |
| Prepayments and accrued income | 239 | 264 | |
| 772 | 1,546 | ||
| 13 | Creditors: amounts falling due within one year | ||
| 2022 | 2021 | ||
| £ | £ | ||
| Accruals and deferred income | 792 | 756 |
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BABINGTON'S CHARITY
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
14 Related party transactions
There were no disclosable related party transactions during the year (2021 - none).
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