**Charity Registration No. 220797** 

**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME** 

**REPORT OF THE TRUSTEES AND** 

**FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020** 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME LEGAL AND ADMINISTRATIVE INFORMATION** 

|**Trustees**|Mr P Ettinger|
|---|---|
||Mr R Ettinger|
|**Charity number**|220797|
|**Principal address**|White Gables|
||1 North Mossley Hill Road|
||Liverpool|
||L18 8BR|
|**Registered office**|North Mossley Hill Road|
||Liverpool|
||L18 8BR|
|**Auditor**|Bennett Verby Limited|
||7 St Petersgate|
||Stockport|
||SK1 1EB|
|**Bankers**|Barclays Bank PLC|
||Liverpool City Business Centre|
||48b/50 Lord Street|
||Liverpool|
||L2 1TD|
|**Solicitors**|Aaron & Partners|
||5 – 7 Grosvenor Court|
||Foregate Street|
||Chester|
||CH1 1HG|





## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME CONTENTS** 

||**Page**|
|---|---|
|Trustees' report|1 - 4|
|Independent auditor's report|5 - 6|
|Consolidated statement of financial activities|7|
|Consolidated balance sheet|8|
|Parent balance sheet|9|
|Consolidated statement of cash flows|10|
|Notes to the accounts|11 – 26|





**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME TRUSTEES' REPORT (INCLUDING STRATEGIC REPORT)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

The Trustees present their annual report and consolidated financial statements of the charity and its subsidiary undertaking for the year ended 31 March 2020. 

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s governing document, the Companies Act 2006, 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 (FRS102) (effective 1 January 2015)”. 

## **Objectives and activities** 

The charity's objects are to provide nursing and residential care for older Jewish people within the local community. The policies adopted in furtherance of these objects are the provision of high quality care on a one to one basis and there has been no change in these during the year. 

The charity seeks to generate additional income from a range of sources to contribute towards the operating costs compared to core net income from the home. 

The charity measures its success by the number of referrals and recommendations received. 

The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake, especially with regards to providing a public benefit. 

The charity's policy is to consult and discuss with employees, through unions, staff councils and at meetings, matters likely to affect employees' interests. 

Information of matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the group's performance. 

## **Strategic report** 

The disclosures under the headings “Achievements and Performance” and “Financial Review” meet the disclosure requirements for Trustees to present a Strategic Report.  Accordingly, no separate report has been prepared. 

## **Risk Management** 

The Trustees have considered the question of risks to which the charity is exposed including financial, strategic, operational, environmental and regulatory risks.  They are satisfied that appropriate controls are in place to mitigate exposure to major risks. 

## **Achievements and performance** 

We have continued to make very good progress on our very clearly defined objectives that have been established for the future services supplied by Stapely Jewish Care Home to the local Jewish and wider communities. Our clear vision for the way forward is now well established. Our main objective is to offer exceptional care in an exceptional environment. 

The Charity has continued to recover from the inspection by the Care Quality Commission in April 2018 which saw the charity placed under special measures.  We have worked tirelessly to improve the standards of care provided in light of this review and we are pleased to report that the follow up inspection in December 2019 saw significant improvement.  The charity is now classed as requiring improvement in only one areas and we continue to work to achieve the high standards we aim to provide. 

The completion of the Fernlea Wing in the prior year continues to make a significant contribution to the services offered and to deliver on the accommodation demand required in the area. 

- 1 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME TRUSTEES' REPORT (CONTINUED)(INCLUDING STRATEGIC REPORT)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **Achievements and performance (continued)** 

We have also continued our roll out programme of creating large state of the art premium quality suites with selfcontained kitchen, en-suite and living areas. These are of significant strategic importance as we are now offering the opportunity to allow couples to remain together where one or the other requires medical or nursing support. 

We are proud of the level of care our wonderful staff offer to all of our residents, patients and their families, and now we are proceeding to match the environment with the level of care supplied. The future objective is to create a retirement village complex on the site, offering a full service-led environment to enable residents to move from self-sufficiency to full nursing care where necessary, without having to move from their home. This is now in progress and with the successful establishment of our new Coffee Lounge adjacent to the main front reception area, which is proving to be very popular with our residents and patients and their families, and our new restaurant to be coming on stream in our Fernlea wing, following the building of our new joining link between our Residential and Fernlea wings, our facilities will be second to none, all presented within an exceptionally beautiful environment which is currently  being significantly improved and enhanced by the provision of additional car parking facilities and landscaped gardens. 

## **Financial review** 

The consolidated results for the year are set out on page 7. 

The principal funding comes from residents in the nursing and residential home with additional voluntary income received from a wide range of sources including donations, appeals and legacies. 

Total consolidated incoming group resources for the year ended 31 March 2020 were £2,836,763 (2019: £2,727,563). 

The total reserves at the year end were £3,159,320 (2019: £3,042,062).  This includes a restricted fixed asset fund of £84,612 (2019: £88,815)  relating to assets of the charity which are not available for general purposes. 

A financial review takes place monthly with strategic matters and day to day functions discussed. A close liaison with our financial and legal advisors to receive and deal with management information is a consistent modus operandi for the trustees and the efficient and proactive functioning of the business of the charity. 

## **Reserves policy** 

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The Trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year. 

- 2 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME TRUSTEES' REPORT (CONTINUED)(INCLUDING STRATEGIC REPORT)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

The reserves policy for the charity is to strive to build up the reserves from donations and legacies. There is a clear objective to achieve this to enable the future development of Stapely Residential Nursing Home and its infrastructure to enable us to offer the best possible care, in the best possible environment for our residents, patients, their families and friends and our wonderful and dedicated staff. 

## **Principal risks and uncertainties** 

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. 

The risk management strategy includes : 

- A review of the principal risks and uncertainties that the charity faces. 

- The establishment of policies, systems and procedures to mitigate those risks 

- The implementation of procedures designed to minimise or manage any potential impact on the charity should those risks materialise. 

This work has identified that financial sustainability is the major risk for the charity.  A key element in the management of financial risk is a regular review of available liquid funds to settle debts as they fall due, regular liaison with the bank and active management of trade debtor and creditor balances to ensure sufficient working capital by the company. 

Attention has also been focused on non-financial risks arising from fire, health and safety and food hygiene.  These risks are managed by ensuring accreditation is up to date, having policies and procedures in place, and regular awareness training for staff working in these operational areas. 

The trustees have a duty to identify and review the risks to which the care home is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. 

## **Structure, governance and management** 

The charity is an unincorporated charitable institution governed by a Trust Deed and controlled and maintained by a governing body referred to as the Trustees. 

The Trustees who served during the year were: 

Mr P Ettinger Mr R Ettinger 

Mr P Ettinger and Mr R Ettinger hold the title to the property belonging to the charity as at the date of this report. 

The trustees will only consider the appointment of new trustees where they believe the addition of any new trustee can considerably add to the expertise and experience in the particular chosen area of the charity's area of business. The trustees are the sole decision makers where the appointment of any new trustees are considered. 

None of the Trustees has any beneficial interest in the charity. 

There is a voluntary executive Committee which consists of four trustees. In addition, the charity employs a fulltime administrator who acts as the key link between management, staff and Trustees.  Day to day operations are managed by S Smith (senior manager) and overseen by P Ettinger (trustee). 

- 4 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME TRUSTEES' REPORT (CONTINUED)(INCLUDING STRATEGIC REPORT)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

The executives meet weekly and consider reports presented by the Administrator on the operations and performance of the home which enables them to make decisions in a timely and effective manner on the operations and strategic direction of the charity. 

A specialised induction and training policy for new possible trustees where they may be appointed from time to time in the future is in place.  Only specified individuals who hold specific experience in the fields associated directly with the service sector within which Stapely Jewish Care Home operates, will be considered for trusteeship. 

## **Key management personnel** 

The key management of the charity are considered to be the trustees Mr P Ettinger and Mr R Ettinger and the matron Mrs Shirley Smith. 

## **Plans for future periods** 

The trustees main plan is to continue to look to improve the standard of care, increase the unrestricted reserves and drive efficiencies throughout the charity. 

In light of the emerging situation in relation to the Coronavirus (Covid-19) pandemic, it has become critical to ensure that all possible measures are adopted to protect residents and staff.  Therefore it is likely that some disruption to the activities in the homes I likely throughout 2020/21.  The Trustees and management are closely monitoring the ongoing situation within the homes and more widely across the locality and also in related services such as the NHS. 

The Trustees are seeking to enhance the financial and organisational resilience of the company, primarily by budgeting for ongoing operating surpluses each year and keeping under review the company’s long term financing requirements, as well as by actively monitoring the likely regulatory and operational developments, in order to be able to respond appropriately and to continue to provide broadly its current range of services and activities over the medium / long term. 

## **Auditor** 

The auditor, Bennett Verby Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006. 

## **Statement of Trustees' responsibilities** 

The Trustees, are responsible for preparing the Trustees' Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

The law applicable to charities in England and Wales requires the Trustees to prepare accounts for each financial year which gives a true and fair view of the state of affairs of the charity and the group and of the incoming resources and application of resources of the charitable group for that year. 

In preparing these accounts, the Trustees are required to: 

- select suitable accounting policies and then apply them consistently; 

- observe the methods and principles in the Charities SORP; 

- make judgements and estimates that are reasonable and prudent; 

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts; and 

- prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. 

The Trustees are responsible for keeping sufficient adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 

- 4 - 



HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT)
INCORPORATING STAPELY RESIDENTIAL NURSING HOME
TRUSTEES. REPORT (CONTINUED)(INCLUDING STRATEGIC REPORT)
FOR THE YEAR ENDED 31 MARCH 2020
They are also responsible f(x safeguarding the assets of the (knrity and hence for taking reasonable steps for the
prevention and detection of fraud and other irregulaiities.
The Trustees are responsible for the maintenance and integrity of the charity and financial infonnation induded on
the Charity Commission and charitys website. Legislation in the United Kingdom goveming the preparation and
dissemination of accounts may differ fr￿n legislatson in other juiisdlcti(￿s.
Statement of disclosurn to our auditors
In so far as the trustees are aware at the time of approving our trustees, annual rep(xt
there is no relevant infonTration, bein9 information needed by the auditor in connection with preparing their
report of which the group's auditor is unaware: and
the trustees, having made enquiries of fellow directrrts and the group's auditor that they ought to have
taken, have each tsken all steps that helshe is obliged to tske as a director in order to make themselves
aware of any relevant audit inf0m￿￿On and to estsblish that the auditor is aware of that infomiation.
The Trustees. report, induding the strategic reporL was approved by the Board of Trustees.
Mr P Ettlnger
Trustee
Dated: ..

## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME INDEPENDENT AUDITOR'S REPORT** 

## **TO THE MEMBERS OF HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT)** 

## **Opinion** 

We have audited the consolidated financial statements of Home for Aged Jews (Liverpool and District) for the year ended 31 March 2020 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Parent Balance Sheets, the Consolidated Statement of Cash Flows and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”. 

In our opinion, the financial statements: 

- give a true and fair view of the state of the charitable company's affairs as at 31 March 2020 and of its incoming resources and application of resources, for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Companies Act 2006. 

## **Basis for opinion** 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the accounts in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

## **Conclusions relating to going concern** 

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where: 

- the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or 

- the Trustees have adequately disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. 

## **Other information** 

The Trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. 

We have nothing to report in this regard. 

- 5 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME INDEPENDENT AUDITOR'S REPORT (CONTINUED)** 

## **TO THE MEMBERS OF HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT)** 

## **Matters on which we are required to report by exception** 

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion: 

- the information given in the financial statements is inconsistent in any material respect with the Trustees' report; or 

- sufficient accounting records have not been kept; or 

- the financial statements are not in agreement with the accounting records; or 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of trustees** 

As explained more fully in the statement of Trustees' responsibilities, the Trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the Trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. 

## **Auditor's responsibilities for the audit of the financial statements** 

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. 

## **Use of our report** 

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed. 

## **Bernard Verby (Senior Statutory Auditor) for and on behalf of Bennett Verby Limited** 

......................... **Chartered Certified Accountants Statutory Auditor** 7 St Petersgate Stockport SK1 1EB 

Bennett Verby Limited is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006") 

- 6 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

|**Unrestricted** **Restricted**<br>**funds**<br>**funds**<br>**Notes**<br>**£**<br>**£**<br>**Income and endowments from:**<br>Donations and legacies<br>**3**<br>496,339<br>-<br>Charitable activities<br>**4**<br>2,340,424<br>-<br>**Total income and endowments**<br>2,836,763<br>-<br>**Expenditure on:**<br>Costs of raising funds<br>**5**<br>68,622<br>-<br>Charitable activities<br>**6**<br>2,646,680<br>4,203<br>**Total resources expended**<br>**7**<br>2,715,302<br>4,203<br>**Net movement in funds**<br>121,461<br>(4,203)<br>Fund balances at 1 April 2019<br>**19**<br>2,953,247<br>88,815<br>**Fund balances at 31 March 2020**<br>**19**<br>3,074,708<br>84,612|**Total**<br>**2020**<br>**£**<br>496,339<br>2,340,424<br>2,836,763<br>68,622<br>2,650,883<br>2,719,505<br>117,258<br>3,042,062<br>3,159,320|**Total**<br>**2019**<br>**£**<br>494,793<br>2,232,770|
|---|---|---|
|||2,727,563|
|||62,695<br>2,496,210|
|||2,558,905|
|||168,658<br>2,873,404|
|||3,042,062|



The statement of financial activities includes all gains and losses recognised in the year. 

All income and expenditure derive from continuing activities. 

- 7 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME CONSOLIDATED BALANCE SHEET** 

## _**AS AT 31 MARCH 2020**_ 

||||**2020**||**2019**|
|---|---|---|---|---|---|
||**Notes**|**£**|**£**|**£**|**£**|
|**Fixed assets**||||||
|Tangible assets|**11**||5,059,091||4,813,224|
|**Current assets**||||||
|Stocks|**13**|10,340||9,576||
|Debtors|**14**|264,143||579,898||
|Cash at bank and in hand||23,218||61,399||
|||297,701||650,873||
|**Creditors: amounts falling due within**||||||
|**one year**|**15**|(576,179)||(706,484)||
|Net current liabilities/assets|||(278,478)||(55,611)|
|**Total assets less current liabilities**|||4,780,613||4,757,613|
|**Creditors: amounts falling due after**||||||
|**more than one year**|**17**||(1,621,293)||(1,715,551)|
|**Net assets**|||3,159,320||3,042,062|
|**Income funds**||||||
|Restricted funds|**19**||84,612||88,815|
|Unrestricted funds|**19**||3,074,708||2,953,247|
||||3,159,320||3,042,062|



The accounts were approved by the Trustees on 

Mr P Ettinger 

**Trustee** 

- 8 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME PARENT BALANCE SHEET** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

||||**2020**||**2019**|
|---|---|---|---|---|---|
||**Notes**|**£**|**£**|**£**|**£**|
|**Fixed assets**||||||
|Tangible assets|**11**||4,595,822||4,323,444|
|**Current assets**||||||
|Debtors|**14**|-||-||
|Cash at bank and in hand||15,956||54,278||
|||15,956||54,278||
|**Creditors: amounts falling due within**||||||
|**one year**|**15**|(1,425,979)||(927,811)||
|Net current liabilities|||(1,410,023)||(873,533)|
|**Total assets less current liabilities**|||3,185,799||3,449,911|
|**Creditors: amounts falling due after**||||||
|**more than one year**|**17**||(1,547,865)||(1,691,875)|
|**Net assets**|||1,637,934||1,758,036|
|**Income funds**||||||
|Unrestricted funds|**19**||1,637,934||1,758,036|
||||1,637,934||1,758,036|
|The accounts were approved by the Trustees on||||||



Mr P Ettinger **Trustee** 

- 9 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME CONSOLIDATED STATEMENT OF CASH FLOWS** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

|||**2020**||**2019**||
|---|---|---|---|---|---|
||**Notes**|**£**|**£**|**£**|**£**|
|**Cash flows from operating activities**||||||
|Cash generated from operations|**25**||635,469||522,618|
|**Investing activities**||||||
|Purchase of tangible fixed assets||(388,533)||(472,291)||
|**Net cash used in investing activities**|||(388,533)||(472,291)|
|**Financing activities**||||||
|Proceeds from borrowings||100,000||253,605||
|Repayment of bank loans||(26,872)||(56,344)||
|Repayment of borrowings||(373,654)||(20,025)||
|**Net cash generated (used in) / from**||||||
|**financing activities**|||(300,526)||177,236|
|**Net (decrease) / increase in cash and cash equivalents**|||(53,590)||227,563|
|Cash and cash equivalents at beginning of year|||(81,061)||(308,624)|
|**Cash and cash equivalents at end of year**|||(134,651)||(81,061)|
|**Relating to :**||||||
|Bank balances and short term deposits|||23,218||61,399|
|Bank overdrafts|||(157,869)||(142,460)|
|**Cash and cash equivalents at end of year**|||(134,651)||(81,061)|



- 10 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **1 Accounting policies** 

## **Charity information** 

Home for Aged Jews (Liverpool and District) is an unincorporated charitable institution operating under Charity Number 220797. 

The Group consists of Home for Aged Jews (Liverpool and District) and all of its subsidiary undertakings. 

## **1.1 Accounting convention** 

These accounts have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”), “Accounting and Reporting by Charities” the Statement of Recommended Practice for charities applying FRS 102 (effective 1 January 2015), the Charities Act 2011 and UK Generally Accepted Accounting Practice as it applies from 1 January 2015. The charity is a Public Benefit Entity as defined by FRS 102. 

The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. 

The accounts 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 Basis of consolidation** 

The consolidated financial statements include those of Home for Aged Jews (Liverpool and District), which incorporates Stapely Residential and Nursing Home, and its wholly-owned subsidiary undertaking Stapely Jewish Care Home Limited.  A separate Statement of Financial Activities and Income and Expenditure Account for the charity has not been presented because the trust has taken advantage of the exemptions afforded by the Charities Act 2011. 

All financial statements are made up to 31 March 2020. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group. 

All intra-group transactions, balances and unrealised gains on transactions between group entities are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. 

Stapely Jewish Care Home Limited has been included in the group financial statements using the purchase method of accounting. 

## **1.3 Going concern** 

These accounts are prepared on the going concern basis.  The Trustees have a reasonable expectation that the charity will continue in operational existence for the foreseeable future. 

The charity manages its day to day working capital requirements through its cash reserves and banking facilities. In addition, the company retains the support of its bankers who have not called in the facilities in spite of a breach in the loan covenants and remain committed to continuing this support in the foreseeable future. The trustees believe that the going concern basis is still applicable, having reviewed projections and cash flow forecasts, as they believe that the company will have sufficient finances to meet its future obligations as and when they fall due. 

- 11 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **1.4 Charitable funds** 

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.  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 accounts.  Endowment funds are subject to specific conditions by donors that capital must be maintained by the charity. 

## **1.4    Support costs allocation** 

Supports costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs, and administrative payroll costs.  They are incurred directly in support of expenditure on the objects of the charity.  Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on a pro-rata basis consistent with use of the resources. 

## **1.5 Incoming resources** 

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. 

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, VAT and other sales related taxes. 

## **1.6 Resources expended** 

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category.  Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. 

Expenses include VAT where applicable as the charity cannot reclaim it. 

## **1.7 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 property|2% straight line|
|---|---|
|Plant and machinery|20% - 33% straight line|
|Fixtures, fittings & equipment|15% reducing balance|
|Motor vehicles|10% straight line|



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 net income/(expenditure) for the year. 

- 12 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

Properties whose fair value can be measured reliably are held under the revaluation model and are carried at a revalued amount, being their fair value at the date of valuation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. The fair value of the land and buildings is usually considered to be their market value. 

Revaluation gains and losses are recognised in other recognised gains and losses and accumulated in equity, except to the extent that a revaluation gain reverses a revaluation loss previously recognised in net income/(expenditure) or a revaluation loss exceeds the accumulated revaluation gains recognised in equity; such gains and loss are recognised in net income/(expenditure) for the year. 

## **1.8 Impairment of fixed assets** 

At each reporting end date, the charity reviews the carrying amounts of its tangible and intangible 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). 

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. 

If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in income/(expenditure for the year, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease. 

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately, unless the relevant asset is carried in at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase. 

## **1.9 Stocks** 

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials. Items held for distribution at no or nominal consideration are measured at cost. 

Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution. 

## **1.10 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. 

## **1.11 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. 

- 13 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## _**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 receipts 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. 

## **1.12 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. 

## **1.13 Operating leases** 

Rentals payable under operating leases, including any lease incentives received, are charged to income on a straight-line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the lease asset are consumed. 

## **1.14 Taxation** 

The charity is exempt from tax on its charitable activities. 

## **2 Critical accounting estimates and judgements** 

In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. 

## **Property valuation** 

The fair value of freehold land and buildings is based on property valuations which are derived from a number of assumptions and the general strength of the property market and the wider economy.  Significant changes to any of these factors may affect the fair value of the land and buildings in a negative or positive manner.  See note 11 for the carrying value of these properties. 

- 14 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **3 Donations and legacies** 

|Donations and gifts<br>Legacies receivable|**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**£**<br>**£**<br>121,339<br>-<br>375,000<br>-<br>496,339<br>-|**Total**<br>**Total**<br>**2020**<br>**2019**<br>**£**<br>**£**<br>121,339<br>59,793<br>375,000<br>435,000<br>496,339<br>494,793|
|---|---|---|



The financial statements incorporate legacy income totalling £375,000 (2019: £435,000) received from the sale of a property belonging to our former trustee Dr E Toke who sadly passed away in July 2017. 

## **4 Income from charitable activities** 

|Residential income<br>Other income<br>Nursing home income<br>**Other expenditure**<br>Cost of raising funds|**2020**<br>**£**<br>1,780,930<br>78,932<br>480,562<br>2,340,424<br>**2020**<br>**£**<br>68,622<br>68,622|**2019**<br>**£**<br>1,796,303<br>23,808<br>412,659|
|---|---|---|
|||2,232,770|
|||**2019**<br>**£**<br>62,695|
|||62,695|



## **5 Other expenditure** 

- 15 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **6 Charitable activities** 

|Staff costs<br>Rates<br>Insurance<br>Light & heat<br>Repairs & maintenance<br>Postage & carriage<br>Telephone<br>Travel<br>Sundry<br>Trading costs<br>Subscriptions<br>Bank charges<br>Share of support costs (see note 8)<br>Share of governance costs (see note 8)<br>**Analysis by fund**<br>Unrestricted funds<br>Restricted funds<br>**For the year ended 31 March 2019**<br>Unrestricted funds<br>Restricted funds|**2020**<br>**£**<br>1,650,592<br>25,414<br>22,818<br>100,382<br>158,483<br>10,213<br>2,287<br>4,820<br>47,872<br>366,832<br>16,096<br>22,863<br>2,428,672<br>142,666<br>79,545<br>2,650,883<br>2,646,680<br>4,203<br>2,650,883|**2019**<br>**£**<br>1,639,468<br>34,845<br>26,016<br>62,513<br>108,769<br>11,201<br>2,247<br>2,675<br>28,415<br>286,989<br>16,096<br>21,167|
|---|---|---|
|||2,240,401<br>134,882<br>120,927|
|||2,496,210|
|||2,492,007<br>4,203|
|||2,496,210|



- 16 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

|**7**<br>**Expenditure**<br>**Staff**<br>**Premises**<br>**costs**<br>**& equipment**<br>**£'000**<br>**£'000**<br>**Expenditure on Charitable Operations**<br>- Direct costs<br>1,155,414<br>-<br>- Allocated support costs<br>495,178<br>284,279<br>1,650,592<br>284,279<br>**Other expenditure**<br>- Raising funds<br>-<br>-<br>-<br>-<br>**Total expenditure**<br>1,650,592<br>284,279<br>**Net income/(expenditure) for the year includes:**<br>Fees paid to auditor for audit services<br>Operating lease rentals<br>Depreciation of tangible fixed assets|**Other**<br>**costs**<br>**£'000**<br>367,596<br>348,416<br>716,012<br>68,622<br>68,622<br>784,634|**Total**<br>**2020**<br>**£'000**<br>1,523,010<br>1,127,873<br>2,650,883<br>68,622<br>68,622<br>2,719,505<br>**2020**<br>5,000<br>715<br>142,666|**Total**<br>**2019**<br>**£'000**<br>1,434,616<br>1,061,594|
|---|---|---|---|
||||2,496,210|
||||62,695|
||||62,695|
||||2,558,905|
||||**2019**<br>5,000<br>4,211<br>134,882|



- 17 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **8 Support costs** 

|Depreciation<br>Audit fees<br>Accountancy<br>Legal and professional<br>Analysed between<br>Charitable activities|**Support**<br>**costs**<br>**Governance**<br>**costs**<br>**£**<br>**£**<br>142,666<br>-<br>-<br>5,000<br>-<br>5,000<br>-<br>69,545<br>142,666<br>79,545<br>142,666<br>79,545|**2020**<br>**£**<br>142,666<br>5,000<br>5,000<br>69,545<br>222,211<br>222,211|**2019 Basis of allocation**<br>**£**<br>134,882<br>5,000Governance<br>5,000Governance<br>110,927Governance<br>255,809<br>255,809|
|---|---|---|---|



Governance costs includes payments to the auditors of £5,000 (2019: £5,000) for audit fees. 

## **9 Trustees** 

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year. 

## **10 Employees** 

## **Number of employees** 

The average monthly number employees during the year was: 

|Care and admin staff<br>**Employment costs**<br>Wages and salaries<br>Social security costs<br>Other pension costs|<br>|**2020**<br>**Number**<br>84<br>**2020**  <br>**£**  <br>1,514,912<br>109,643<br>26,037<br>1,650,592|**2019**<br>**Number**<br>86<br>**2019** <br>**£** <br>1,521,919<br>114,723<br>2,826|
|---|---|---|---|
||||1,639,468|



There were no employees whose annual remuneration was £60,000 or more. 

The key management personnel of the group comprise the trustees, the finance manager and the head matrons. The total employee benefits of the key management personnel of the Trust were £245,971 (2019: £163,483). 

- 18 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

|**11**<br>**Tangible fixed assets**<br>**Group**<br>**Freehold land**<br>**and buildings**<br>**£**<br>**Cost or valuation**<br>At 1 April 2019<br>4,522,637<br>Additions<br>336,033<br>At 31 March 2020<br>4,858,670<br>**Depreciation and impairment**<br>At 1 April 2019<br>199,193<br>Depreciation charged in the period<br>63,655<br>At 31 March 2020<br>262,848<br>**Carrying amount**<br>At 31 March 2020<br>4,595,822<br>At 31 March 2019<br>4,323,444<br>**Parent entity**<br>**Cost or valuation**<br>At 1 April 2019<br>Additions|**11**<br>**Tangible fixed assets**<br>**Group**<br>**Freehold land**<br>**and buildings**<br>**£**<br>**Cost or valuation**<br>At 1 April 2019<br>4,522,637<br>Additions<br>336,033<br>At 31 March 2020<br>4,858,670<br>**Depreciation and impairment**<br>At 1 April 2019<br>199,193<br>Depreciation charged in the period<br>63,655<br>At 31 March 2020<br>262,848<br>**Carrying amount**<br>At 31 March 2020<br>4,595,822<br>At 31 March 2019<br>4,323,444<br>**Parent entity**<br>**Cost or valuation**<br>At 1 April 2019<br>Additions|**Plant and**<br>**equipment**<br>**Fixtures and**<br>**fittings**<br>**£**<br>**£**<br>30,322<br>652,101<br>-<br>52,500<br>30,322<br>704,601<br>28,597<br>189,391<br>982<br>73,406<br>29,579<br>262,797<br>743<br>441,804<br>1,725<br>462,710|**Motor**<br>**Vehicles**<br>**£**<br>46,230<br>-<br>46,230<br>20,885<br>4,623<br>25,508<br>20,722<br>25,345||**Total** <br>**£**<br>5,251,290<br>388,533<br>5,639,823<br>438,066<br>142,666<br>580,732<br>5,059,091<br>4,813,224<br>**Land &**<br>**buildings**<br>**£**<br>4,522,637<br>336,033<br>4,858,670<br>199,193<br>63,655<br>262,848<br>4,595,822<br>4,323,444|
|---|---|---|---|---|---|
|At 31 March 2020||||||
|**Depreciation and impairment**<br>At 1 April 2019<br>Depreciation charged in the period||||||
|At 31 March 2020||||||
|**Carrying amount**<br>At 31 March 2020||||||
|At 31 March 2019||||||



Land and buildings with a carrying amount of £4,595,822 were revalued at £4,135,000 (on a trading basis) and a projected valuation on completion of all building works of £8,830,000 on 6 August 2020 by Colliers International, independent RICS approved valuers not connected with the charity on the basis of market value. The valuation conforms to International Valuation Standards and was based on recent market transactions on arm's length terms for similar properties. 

The Charity has continued to invest heavily in renovation works during the year. 

- 19 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

At 31 March 2020, had the revalued assets been carried at historic cost less accumulated depreciation and accumulated impairment losses, their carrying amount would have been approximately £4,595,803 (2019 - £4,323,424). 

Freehold land and buildings with a carrying amount of £4,553,369 (2019: £4,280,124) have been pledged to secure borrowings of the charity. The charity is not allowed to pledge these assets as security for other borrowings or to sell them to another entity. 

|**12**<br>**Financial instruments**<br>**Carrying amount of financial assets**<br>Debt instruments measured at amortised cost<br>**Carrying amount of financial liabilities**<br>Measured at amortised cost<br>**13**<br>**Stocks**<br>Raw materials and consumables<br>**14**<br>**Debtors**<br>**Amounts falling due within one year:**<br>Trade debtors<br>Other debtors<br>Prepayments and accrued income|**Group**<br>**2020**<br>**£**<br>10,340<br>**Group**<br>**2020**<br>**£**<br>81,369<br>-<br>182,774<br>264,143|**2019**<br>**£**<br>9,576<br>**2019**<br>**£**<br>62,381<br>-<br>517,517<br>579,898|**2020**<br>**£**<br>81,369<br>2,117,326<br>**Parent**<br>**2020**<br>**£**<br>-<br>**Parent**<br>**2020**<br>**£**<br>-<br>-<br>-<br>-|**2019**<br>**£**<br>62,381<br>2,388,792<br>**2019**<br>**£**<br>-|
|---|---|---|---|---|
|||||**2019**<br>**£**<br>-<br>1<br>-|
|||||1|



- 19 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **15 Creditors: amounts falling due within one year** 

|**Notes**<br>Bank loans and overdrafts<br>**18**<br>Borrowings<br>**18**<br>Trade creditors<br>Amounts due to subsidiary undertaking <br>Other taxation and social security<br>Other creditors<br>Accruals|**Group**<br>**2020**<br>**£**<br>281,580<br>-<br>91,078<br>-<br>80,146<br>17,028<br>106,347<br>576,179|**2019**<br>**£**<br>452,411<br>20,027<br>117,875<br>-<br>33,242<br>11,277<br>71,652<br>706,484|**Parent**<br>**2020**<br>**£**<br>212,302<br>-<br>-<br>1,213,677<br>-<br>-<br>-<br>1,425,979|**2019**<br>**£**<br>154,943<br>-<br>-<br>772,868<br>-<br>-<br>-|
|---|---|---|---|---|
|||||927,811|



## **16 Deferred income** 

Deferred income comprises nursing and residential fees received in advance of the 2020/21 financial year. 

|Balance at 1 April 2019<br>Amount released to income earned from charitable activities<br>Amount deferred in year|**2019**<br>**£**<br>1,067,875<br>647,676<br>-<br>1,715,551||**Group**<br>**£**<br>-<br>-<br>-<br>-<br>**Parent**<br>**2020**<br>**£**<br>1,013,865<br>534,000<br>-<br>1,547,865|**Parent**<br>**£**<br>-<br>-<br>-<br>-<br>**2019**<br>**£**<br>1,067,875<br>624,000<br>-|
|---|---|---|---|---|
|Balance as at 31 March 2020|||||
|**17**<br>**Creditors: amounts falling due after more than one year**<br>**Group**<br>**2020**<br>**Notes**<br>**£**<br>Bank loans and overdrafts<br>**18**<br>1,013,865<br>Borrowings<br>**18**<br>607,428<br>Other taxation and social security<br>-<br>1,621,293|||||
|||||1,691,875|



Included within bank loans are two loan facilities from Barclays Bank Plc totalling £449,000 and £840,000 respectively.  Both loans are repayable over a fifteen year term and attract an interest rate of 2.5%.  The loans are secured by a fixed and floating charge over the freehold property of the entity. 

- 21 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **18 Loans and overdrafts** 

|**Loans and overdrafts**|||||
|---|---|---|---|---|
|Bank loans<br>Other loans<br>Bank overdrafts<br>Payable within one year<br>Payable after one year<br>Amounts included above which fall due after<br>five years:<br>Payable by instalments<br>Payable other than by instalments<br>|**Group**<br>**2020**<br>**£**<br>1,137,576<br>607,428<br>157,869<br>1,920,873<br>281,580<br>1,621,293<br>(562,425)<br>-<br>(562,425)|**2019**<br>**£**<br>1,377,826<br>667,703<br>142,460<br>2,187,989<br>472,438<br>1,715,551<br>(701,376)<br>-<br>(701,376)|**Parent**<br>**2020**<br>**£**<br>1,097,350<br>534,000<br>128,817<br>1,760,167<br>212,302<br>1,547,865<br>(562,425)<br>-<br>(562,425)|**2019**<br>**£**<br>1,124,221<br>624,000<br>98,597|
|||||1,846,818|
|||||154,943<br>1,691,875|
|||||(701,376)<br>-|
|||||(701,376)|



The bank loans and the Liverpool City Council loan included within other loans (£499,000) are secured by fixed charges over Stapely Residential Nursing Home and The Fernlea Care Home at North Mossley Hill Road, Liverpool, and over the Chattels of the charity. 

Bank loans are repayable under a fifteen-year term and bare interest at a rate of 2.5% above the Barclays Base Rate. 

The bank borrowings are secured by a fixed and floating charge and a negative pledge over the property and undertakings of the company in favour of Barclays Bank PLC dated 27 November 2017. 

Included within other loans are amounts due to BathGate Leasing Limited totalling £113,652 (2019: £63,731) which are secured by way of a Mortgage of Chattels in favour of Bathgate Leasing Limited. The parties have entered into two five year fixed term loan agreements for the sum of £100,000 each to be repaid by 60 equal instalments of £2,400 per month. 

Other loans totalling £35,000 received from the Grodner Trust are unsecured and carry no fixed repayment terms. 

Covenants in relation to the Liverpool City Council loan were breached during the year, in that financial repayments were not made in accordance with the agreement.  The charity is in renewal negotiations with the Council in relation to this loan and it is hoped that new terms will be agreed.  The loan facilities have not been recalled and the Council have pledged their continuing support to the charity. 

- 22 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

|**19**<br>**Funds**<br>**Group**<br>**Balance at 1**<br>**April 2019**<br>**Incoming**<br>**resources**<br>**Restricted general funds**<br>Donations<br>88,815<br>-<br>**Total restricted funds**<br>88,815<br>-<br>**Unrestricted funds**<br>General funds<br>2,953,247<br>2,836,763<br>**Total funds**<br>3,042,062<br>2,836,763<br>**Funds**<br>**Parent**<br>**Balance at 1**<br>**April 2019**<br>**Incoming**<br>**resources**<br>**Restricted general funds**<br>Donations<br>-<br>-<br>**Total restricted funds**<br>-<br>-<br>**Unrestricted funds**<br>General funds<br>1,758,036<br>-<br>**Total funds**<br>1,758,036<br>-|**Resources**<br>**expended**<br>**Gains, losses**<br>**& transfers**<br>**Balance at 31**<br>**March 2020**<br>(4,203)<br>-<br>84,612<br>(4,203)<br>-<br>84,612<br>(2,715,302)<br>-<br>3,074,708<br>(2,719,505)<br>-<br>3,159,320<br>**Resources**<br>**expended**<br>**Gains, losses**<br>**& transfers**<br>**Balance at 31**<br>**March 2020**<br>-<br>-<br>-<br>-<br>-<br>-<br>(120,102)<br>-<br>1,637,934<br>(120,102)<br>-<br>1,637,934|**Resources**<br>**expended**<br>**Gains, losses**<br>**& transfers**<br>**Balance at 31**<br>**March 2020**<br>(4,203)<br>-<br>84,612<br>(4,203)<br>-<br>84,612<br>(2,715,302)<br>-<br>3,074,708<br>(2,719,505)<br>-<br>3,159,320<br>**Resources**<br>**expended**<br>**Gains, losses**<br>**& transfers**<br>**Balance at 31**<br>**March 2020**<br>-<br>-<br>-<br>-<br>-<br>-<br>(120,102)<br>-<br>1,637,934<br>(120,102)<br>-<br>1,637,934|
|---|---|---|
|||-|
|||1,637,934|
|||1,637,934|



## **Restricted general fund** 

## _**Fixed asset restricted fund**_ 

This relates to a donation from the late trustee Dr Eric Toke of £109,280 which was to be solely used for fixed asset purchases in the charity. 

612the balance sheet date, £42,030 of the restricted donation has been spent on the purchase of a minibus (£39,280) and a van (£2,750).  The remaining balance of £67,250 remains unspent and is carried forward (together with the net book value of the vehicles acquired - £17,362) for future use by the charity. 

- 23 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

|**20**|**Analysis of net assets between funds**|||||
|---|---|---|---|---|---|
||**Group**|**Unrestricted**||**Restricted**||
|||**Funds**||**Funds**|**Total**|
|||**£**||**£**|**£**|
||Fund balances at 31 March 2020 are represented by:|||||
||Tangible assets|5,041,729||17,362|5,059,091|
||Current (liabilities)/assets|(345,728)||67,250|(278,478)|
||Long term liabilities|(1,621,293)||-|(1,621,293)|
|||3,074,708||84,612|3,159,320|
||**Analysis of net assets between funds**|||||
||**Parent**|**Unrestricted**||**Restricted**||
|||**Funds**||**Funds**|**Total**|
||||||**(as restated)**|
||||**£**|**£**|**£**|
||Fund balances at 31 March 2020 are represented by:|||||
||Tangible assets|4,595,822||-|4,595,822|
||Current (liabilities)|(1,410,023)||-|(1,410,023)|
||Long term liabilities|(1,547,865)||<br>-|(1,547,865)|
|||1,637,934||-|1,637,934|



## **21 Financial commitments, guarantees and contingent liabilities** 

On 20 January 2016 the charity provided a Mortgage Chattels in favour of Bathgate Leasing Limited in the order of £100,000 in respect of liabilities to Bathgate Leasing Limited. 

On 28 November 2017 the charity provided a limited guarantee to Barclays Bank plc in relation to liabilities owed by its parent Home For Aged Jews (Liverpool and District) to the value of £1.309 million. 

On 21 October 2019 the charity provided a legal mortgage over the fixed assets in favour of Bathgate Leasing Limited in the order of £100,000 in respect of liabilities to Bathgate Leasing Limited. 

## **22 Operating lease commitments** 

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows: 

|Within one year<br>Between two and five years|**Group**<br>**2020**<br>**£**<br>470<br>118<br>588|**2019**<br>**£**<br>715<br>588<br>1,303|**Parent**<br>**2020**<br>**£**<br>-<br>-<br>-|**2019**<br>**£**<br>-<br>-|
|---|---|---|---|---|
|||||-|



- 24 - 



## **HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **23 Related party transactions** 

The trustees all give their time and expertise without any form of remuneration or other benefit in cash or kind (2019: £nil). There were no expenses paid to the trustees in the year. 

## **24 Ultimate controlling party** 

The trustees consider that the charity is jointly controlled by the trustees and that there is no ultimate controlling party. 

## **25 Cash generated from operations** 

|**Cash generated from operations**<br>Surplus / (deficit) for the year<br>Adjustments for:<br>Depreciation and impairment of tangible fixed assets<br>Movements in working capital:<br>Increase in stocks<br>Decrease / (Increase) in debtors<br>Increase / (Decrease) in creditors<br>**Cash generated from operations**|**2020**<br>**£**<br>117,258<br>142,666<br>(764)<br>315,755<br>60,554<br>635,469|**2019**<br>**£**<br>168,658<br>134,882<br>(4,806)<br>225,546<br>(1,662)<br>522,618|
|---|---|---|



- 25 - 



**HOME FOR AGED JEWS (LIVERPOOL AND DISTRICT) INCORPORATING STAPELY RESIDENTIAL NURSING HOME NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** 

## _**FOR THE YEAR ENDED 31 MARCH 2020**_ 

## **26 Subsidiary trading results** 

The wholly owned trading subsidiary, Stapely Jewish Care Home Limited, is incorporated in the United Kingdom (company number 1118555) and provides nursing and residential care home services, the results of which are disclosed in note 4.  A summary of the financial position of the trading subsidiary alone is as follows: 

||**2020**|**2019**|
|---|---|---|
||**£**|**£**|
|**Income and endowments from:**|||
|Donations and legacies|496,339|494,793|
|Charitable activities|2,340,424|2,232,770|
||2,836,763|2,727,563|
|**Expenditure on:**|||
|Charitable activities|2,599,403|2,448,311|
|Net income for the year|237,360|279,242|
|The assets and liabilities of the subsidiary were:|||
|Fixed assets|463,269|489,780|
|Current assets|1,495,422|1,369,463|
|Current liabilities|(363,877)|(551,540)|
|Long term liabilities|(73,428)|(23,676)|
|Net assets / (liabilities)|1,521,386|1,284,027|
|Comprising:|||
|Restricted funds|84,612|88,815|
|Unrestricted funds|1,436,774|1,195,212|
||1,521,386|1,284,027|



- 26 -