Charlty No . 222796 The Lancashire Infirm Secular Clergy Fund Trustees, Report and Financial Statements For The Year Ended 5 April 2024 Cmha
THE LANCASHIRE INFIRM SECULAR CLERGY FUND CONTENTS Page Reference and administrative Inlorma(lon Trustees, report Independent 8xaminerfs rèport Statement of financial aeliviti&s Balance sheet Notes to th8 financial statemonts
THE LANCASHIRE INFIRM SECULAR CLERGY FUND REFERENCE AND ADMINISTRATIVE INFORMATION Trustees Rev S Stamp Rev P Stanley Rev S D Hawksworth Rev A Prescoll Ofllcers Rev S Stamp R8v P Stanley Rev S D Hawksworth Pr8sid@nl - Secretary Trea8ur8r Independent examiner N Pjason FCA, DChA MHA Rlchard House Winckley Square Preston PR13HP It7vestment manager5 Sarasin & Partn8rs LLP Juxon House 100 Sl. Paul's Churchyard LondoTI EC4M 8BU Contact address clo Rev S D Hawksworth Treasurer Sl. John Vlanney Presbytery 26 Glastonbury Av8nue BckpO FY16RD
THE LANCASHIRE INFIRM SECULAR CLERGY FUND TRUSTEES. REPORT FOR THE YEAR ENDED 5 APRIL 2024 The Trustees present Ih8ir report and financial slalemenls for the year ended 5 April 2024, The finanGlal statements have been prepared in accordance with Ihe accounllng pollcle5 set Out In the note5 lo th6 accounts and comply wlth Ihe charity's governing docum$nl. the Charities Acl 2011 and Accounling and Reptsriing by Charltie5.' Statement of Recotnrnended Pracllce applic8bJ8 to charities preparing their a¢¢ounls In accordance with the FinancSal Reportlng StandariS 8ppli¢able in the UK and Republic ol Ireland IFRS 1021 issued in October 2019. structure, govemance and management The Fund is governed by th8 constitution revi88d In 2014 which was approved by the Charty Cornmission. Th8 Officers ol Ihe Fund are e18cled al the Annual General Meeting lor a perlod of three years. Members who are resident in any ol the Dioceses shall be enlilled to vole al el8clions. Any member. whether present or not at the Annual General Me8ting, Is ellgible lo ele¢led as an Officer of the Fund. The required numb&r of Trustees at any lime is four. Each financial year, the Trustees 8xamine the rnajor risks that the Fund faces. Systems have been establi8h8d lo millgale these risks. Obje¢ts and actlvltles for the publlc beneflt The objects and activities of the Fund are the rèlièf or 5UPPOrt of the secular clÈrgy of the Dioc&s8s ol Lpierpool. Salfard and Lancaster who ar£ un8ble, Ihrough a99 or inlirmily. lo £tlend to the duties ol thelr office and are in necessitous circumstances. The Trustees confirm Ihal they have ref8rr8d lo IhÈgUidan conlained in Ihe Charity Commission's general guidance publlc benefit reporting when viewing the Fund's aims and Objec1eS and in planning future 8Ctivities and setting the grant making policy for the year. Grant maklng poll During the year th8 Fund has continued to make grants lo infirm cleigy. Applications lor grants are reviewed g8lll5t spe¢ifi¢ criteria and to ensur8 they are in accordance with the Rule5. Flnanclal revlew and perfomiance The 5tstemenl of financial activities shows nel irbcorning resourc8s for the year of £36,593 {2023'. £99,371). Other recognised 9alns and losses comwise reali58d and unreallsed gains on investwenls and In 2024 th@re is 8 nel ualn of £296.025 compared to a net1055 of £377,664 in 2023. The over811 movement in re5eNes is a surplus of £332,618. Reserves policy l( is the poli¢y of Ihe Fund to maintain unreslricled funds, which are free reserves Sn the income ac¢umulaled ftjnd, at a level whlch equates to al least 12 months unrestricted p.xpenditure. This provides sufflcleTrl funds lo ¢over adminislralion costs and to respond lo emergency applicallons for grants. Unrestricted furos were maintained at least lo this level throughout the year. The18vel offree reserves a5 at 5 April 2024 was £521,09f12023 £485.8351. Investment obléctlv8 and performancè Th8 Inveslment objective of the Fund is to seek to achieve capilal growth over th8 longer term, sulaecl to market condilions, and a corresponding incie88ing stream ol income. In order lo achieve this objective. the manager ainlains a balaneed portfolio of investments. The portfolio was invested in unil Irusls.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND TRUSTEES, REPORT FOR THE YEAR ENDED S APRIL 2024 Investment return As at Slh April 2024, the portfolio lor the rolllng year return8d 9.30k Inell whlch In nominal lerms was an Increase of £333.885 from the pr8vious year. The portfolio value wa5 £5,325,591. Incorne wilhin the porttolSts was marginally hheT for the year al £145,465 versus £144.346 lor the prevlous year. Market Overvlew The second half of 2023 saw SU1Ued returns acr055 most major ass81 classes. UK infl8tion ¥ate5, whlch had P8aked last year. fell signifi¢antly to 6.7QA by August which benefiled corporale bonds. Th8 strong performance of Ihe 'Magnificent 7. conllnued lo dominal8 Ihe market which made il chalknging lor dwerslfled portfollos to maintain pace with such a ¢oncenlrated equlty index. As 8 re5uIt. Ihe portfolio recorded a lotsl return of 4.90A for the period, underparforming the benchmark. which returned +6.7%. Key Portfolio adjuslmenls durlng thls lime Included incr8asing exposure lo le¢hnology companles Inolably key b8neficiar16s of the growth in All and selling stocks primarlly on valualion conceins16.g. Palo Alto Networks). Our alternative exposure somewhat struggled, with gold and absolute return funds providing some re15ef bul not offsettlng the weakness 8xpeiienced wilhin infrastructure and renewables, as higher interest rates increased financing cosls and encouraged investors Into hS9her yieldingllower risk fixed income assets. AèsèllaYS.,-. Annual'.Ret.i4rn- '.10510412023-': .0510412024).-: 5.40/0 FIx6d Interest ICE BofAML Sterling Corporate ICE BofAML UK Gills UK Equilles GIDbal Equities MSCI UK IMI 7.9• MSCI Acworld ex UKINel TR) S&P Developed Property UK Retail Pri¢e Index 21,4% Global Property 5.3Q UK Inflation 4.3% LISCF Portfolio 9.3. In the se¢ond half, the portfollo rebounded significanlly. Firslly, 8 notable rally in both equity and bond markets was driven by a sharp de¢line in US inllalion and indications that the Federal Reserve had reached peak interest rates. Bond inv8Stmenl returns were particularly strong as yields b8g8n lo fall, although our pieferen for corporate bonds over gills allowed us lo profil from the ¢1Yo spread. h8vlng been reassuied by the strength of company b818nce sheets. Our thèmttlc equily selection p&rformed well arnKlst the broader market rally and Inlern311tsnal equities OLIIpErformed the UK market, as our shift to a global equity approa¢h proved advantageous. Alternatives saw modesl r8turns due lo further improvements In oold and narrowing discounts in bolh ren8w8ble d infraslfu¢lure funds, although they remained rekglively weak cornpared to our other exposur8 to thi5 asset dass. Portfolio performan¢& across the first hall of 2024 lolalled 7.3°A against tha composite benchmark ts18.10
THE LANCASHIRE INFIRM SECULAR CLERGY FUND TRUSTEES, REPORT FOR THE YEAR ENDED S APRIL 2024 Portfolio Positlonin9 Whilst wo believe long term govemmenl bond yields are clos8 to our esllrnalg of far value, the ylelds availae from high quallty. investment grade corporale bonds continue lo look allraclive a5 pension lund purchases remain strong. W8 remain ovenveloht to equities 8s global earnings and dividend growth prove robusi and rnarkel Jeadership is b8ginning lo broaden out. Flnalty, w8 have established a slralegic p0511ion lo gold within Ihe allernativesexposure, supported bydebt fears across Western economios and extensiv8 buying aclivilyby central banks vAlhin emerging markets, whlch has beèn B significant contributor to returns in recent months. The exposur8s of the Fund to the various asset cLgsses at the start and end of the year w8r8 as follows.. 2024 2023 Fixed intere51 Global Equities Global Properly Alterll81ives Cash 13.9 68.8 17.9 59.2 11.8 100.0 100.0 Conclusion The previous tw¢e months has s88n increased volalilily due lo geopolltical tensions, including Ihe ongoing 15r881-Hamas conflict and the volatile US presidenlkal election landscape. Although short-term m8rkel volatility presents a challenge, forecasts for interest ra18 Wts in thè s8¢ond half of the year remain on track and an emphasls on qualily and IIquKlily remains important 85 geopolilleal risks rlse. This report wa5 approved by Ihe board ol Trustees on and signed on ils b8ha Rev S D Hawksworth-Treasuror
THE LANCASHIRE INFIRM SECULAR CLERGY FUND INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES FOR THE YEAR ENDED 5 APRIL 2024 I report lo Ihe charlly Irus188s on my exarnlnallon ol the accounts of The Lancashire Infi'rm Secular Cleryy Fund lor the yearended 5 April 2024 which are Set out ON pages 6 10 12 appended lo thls reporl. Responsibllltles and basis of r8POrt As the charity's trustees you are responsible for the preparation of Iho gccounts in ac¢ordance with the requirements of the Charities Act 20111'lh& Acl'l. I report in respect ol my examination ol the charity's awounts carried out undor section 145 of Ihe Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commisslon undgr section 14515llbl ol ihe Act. Indep8ndant •xamlner's statement I hav8 comp18led myexamiration. I confirm Ihal no rnaterlal matl&rs have come to my all¢nlk)n in connection wilh the examlnation givirkg me cause lo believe Ihal ir) any rnateri&l re5pecl'. accounting reGords were not kept in respeot of the charity as required by sectlon 130 of the Act.. or the a¢counls do not accord with those re¢ords,' ar the accounts do not Gomply wilh th8 applicable requlrements concerning the form and contenl of accounts set out In the Charili8s (Accoun15 and Reports) Regulations 2008 other Ihan any r8quirernent that th8 a¢¢ounls give a 'lrue and fair view, which is not a rnalter considered 8s part of an Independent examinaon. I have no concerlls and have me across no olh8r matters in connection wilh th8 examinalion lo which atlenllon should be drawn in this report In order to enabb a proper underslandlng of lh8 accounts to be reached. Date= ..g.I,.,:iJo.'Lt.. N Mason FCA, DChA MHA Preston
THE LANCASHIRE INFIRM SECULAR CLERGY FUND STATEMENT OF FINANCIAL AcrivlEs FOR THE YEAR ENDED 5 APRIL 2024 Capltal account Income Total funds Total funds accumulated 2024 2023 funds Noto Income from.. Donations and leg8CleS Investrnent income Other income 2a 2b 1.740 156,522 1,740 156,522 1,337 79,152 144,346 1,993 1,337 Total Income 1,337 158,262 159,599 225,491 Expendlture on Ralslng funds.. Investment manag8menl Costs Expendlture on charltable activltles.. GraTTrls lo Infirm Clergy - Individuals Support Costs 117,750 5,256 117,750 5,258 121.100 5,020 Total exp8ndltur• 123,006 123,006 126.120 Nel incomellexpenditurel before gainsllos5es on investments 1,337 35.256 36,593 99,371 N8t galnslllossosl on Investments 296,025 296,025 1377,6641 Net Incom6118xpendlturel 297,362 35,256 332,618 1278,2931 Recon¢511atlon of funds.. Total funds brought forward 4.525,200 485,835 5,011,035 5.289,328 Total fund5 carrd lorward 4.822,582 521,091 5,343,653 5,011,035
THE LANCASHIRE INFIRM SECULAR CLERGY FUND BALANCE SHEET AS AT S APRIL 2024 Total funds 2024 Total funds 2023 Note Investments 5,068,341 4.754.507 Cuffént assets Cash at bank and in hand 279,614 260,563 279.614 260,563 Creditors.. Amount5 falling due within one yèar 14,3021 14,0351 Net current assets 275,312 256,528 Total z55ets le5¥ Gurrenl Itabilitie$ 5,343,653 5,011,035 Funds Reslri¢ted- capital account Unrestricted - Income aeLumulated fund 4,822,562 521,091 4.525.200 485.835 Total funds 5,343,653 5,011,035 Th8se financial 51alemenls were approved by the Trustees on . 8FKI signed on Iheir behalf.. Rev S Stamp- President Rev S D Hawksworth- Treasurer
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 Accounting pollcles Ac¢ountlng conventlon Th6 financial slalern8nts hav6 been prepared in accordan with Accounting and Repc>rting by Chariti8S'. Statement ol R¢¢omtnended Pracli¢e applicab18 lo charilles preparing their accounts in accordance with lh8 Financlal Reporting Standard applicable In the UK and Republic of Ir81and IFRS 1021 published October2019, the Financi81 R8poHlng Stsndard applicable in th8 United Kingdom and Republic ol Ireland IFRS 1021, Ihe Charities Act 20118lld UK Generally Accepted Aocounling Pr8Ctice. The Lancashire Infirm Secul8r Clergy Fund meets the definitlon of a public benef entity under FRS 102. The financial slalemènls have been ppared to give a 'lrue and lair, view and have d8P8rted from the Charilies IAccounls and Reports) RegulalSons 2008 only to the extent requir8d lo provlde a'true and fair. view. This departure has invoFved following the A¢counllng and Reporting by Charilies.. Slalement ol Recommended Pr8clice applicable lo charilies prepa¥ing Iheir accounts in accordance wilh the Financial Reporting Siandard applicab18 in the UK 8nd Republic ol ltsland IFRS 1021 issued in Oclober 2019 ralhei than the Accounting and Reporting by Charitles.. Statem@nl ol Recornm8nded Pra¢ll¢e effecliva from 1 Aprll 2005 which has since been withdrawn. Preparatlon of th8 a¢¢ounts on a going concern bas15 The trustees assess whelher the use of gotrng concern is appropriale, 18 whether (here aro any material uncertainties related lo evenls or conditn$ Ihal may c8St significant doubt on the ability ol the charily lo continue as a going concern. The Iruslees make this assessment in respecl ol a period ol al least one year IroTn th8 d818 ol aulhorisalion for issue of the accounts. The Ch8rity has sufficienl r8serves to mitigate any impact of potential reductions in inveslmenl incom8. Inveslmenl reports are received during Ihe year and rforManCe is reviewed. The Trustees have concluded that the charity has adequate resources lo continue in operational existen for the foreseeable fLtlure and there are no mater101 unctrrtainties about the charity's ability lo continue as a going concem. Thus they continue lo adopt the going concern basis ol accounting in preparing the accounts. Investments Investments ale slated at mKI-markèl value. Investment income Investment income is included in the Statement of Finanaal ActiMti8s on an accruals basis and is shown gross of recoverable tax. Expenditure Expenditure is included on an aceru8ls basis. Grants are recOlsed in the year in which they ar8 receivabl8. In¢ome accumulated fund (unrestricted fund) Th8 rules of the Fund state that annual incorn8, not in¢ludlng benefactions, shall be applied to defray adminislralion expènses and to p8y infimily allowances. The surplus Inc(xn&, if any, sh811 ba add8d lo the Income Accutnulaled Fund. Capital account (restricted fund) The rul8s of the Fund slate that benefactions and profits 8risiNJ from the re81isalion ol Inv851rngnls shall be added lo the capilal account. Lossès on the reallsation of Investments shall be made oood out ol the capital account.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 Accountlng pollGles Icontlnuedl Crltlcal accountlng estimates and areas of judgement Accounllng eslimat&s and judgements ale conllnually evaluated and are based on hlslorl¢al experi8nce and other laclors, including expeciations of fulur6 evenls Ihal are believed to be reasonable under the rircumslances. Critical aecountlng estlmates and assurnptlons There are no Grili¢al accounting estim8tes and a55umplions. Critical areas of judgement There are rK) Otl)er critical areas of jLKlgemenl in these a¢counts. 2a. Donatlon8 and 18gaclès 2024 2023 Bgquests Donations 1,740 79,152 1,740 79,152 Incom8 from donatlons and legacies lor the year ended 5 April 2023 related to unrestrieted ftjnds. 2b Investment Income 2024 2023 Unlt Trusts Bank deposit Interest 145,464 11.057 140,544 3,802 156,522 144.346 Inv8Stm8nl incotne In the years ended 5 April 2024 and S April 2023 related lo unrestricted funds.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 Investments 2024 2023 Market value at 5 April 2023 AddilionsllDlsposalsl N8t inveslrnent gainsll1055esl 4,754,507 17,809 296,025 5.132,171 1377,6641 Market value at 5 Aprll 2024 5,068,341 4,754,507 Hislorlcal cost 815 Apdl 2023 AddilK)nsllD15posalsl 4,285,145 4.267.336 Historical ¢ost at 5 April 2D24 4.285,14S 4,267.336 The market value of investments is analysed as follows.. Unll Trusts S,068,341 4,754,507 Total market value of Investments 5,068,341 4,754,507 All inveslmenls al th8 y8ar end are held In unit trusts. Cash 2024 2023 Cash al bank and in hand Cash held within investment portfolio 12.365 267,249 13,364 247,199 279.614 260,563 Credltor5: amounts falllng due wlthln onè year 2024 2023 Accru818 4,302 4.035 -10.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 Support cost8 2024 2023 Trea5LJrer's expenses Secrelary's expenses Independenl ex8minallon Postage. prfntlng and stationery Officers, meetings and AGM 335 500 2,617 152 1,652 250 500 2,730 81 1,459 5,256 5.020 The Twstees re¢eived no remuneration12023 £nill and were not reirnbursed for any of their expenses In Ihe year12023- £nill ex¢gPt 88 set oul 8bov8. Support oosts In the y88r 8ndod S April 2024 and 5 April 2023 related to unreslrlcled funds. The charity had no employees durlng the year. Investment management costs Investment management costs for the curn1 year amount lo a net rebate of £1,337 12023.. £1.9931. Investment management coslslr8bal8s are built into the underlylng vnll prices and represents reslricled C8Pit81 IoMe. Related Party Transactions There were no related party trans8Ctlons durlng the y8ar.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 Movoments In charlty funds Capllal Incom account accumulatod lund 2024 Total lund8 Total funds 2024 2024 2023 At S Aprll 2022 4,900,871 388.457 5.289,328 5,163.338 Nel incominglloul90ingl resources Other recognised galns and losses 1,993 {377,6841 97,378 99,371 1377,6641 28,237 97,753 Net rnOV8ment of fund5 available for lulure acliviti@s 1375,671} 97.378 1278,2931 125,990 At 5 April 2023 4,525,200 485,835 5,011,035 S,289,328 Nel incominglloulgoingl resources Other re¢ognised gains and losses 1,337 296,025 35,256 36,593 296,025 99,371 {377,6641 Net movernenl of funds avallable for future aclivilies 297,362 35,256 332,618 1278,2931 At S April 2024 4,822.562 521,091 5.343.653 5.011,035 10 Analysis of net as$ets b8tween funds Capltal account Income acGurnulated fund Total funds Investments Nel current ass81sllliabilitiesl 4.822,562 245,779 275,312 5,068,341 275,312 Nel assets 5 Aprll 2024 4,822.562 521,091 5,343,653 Capital account Income a¢¢umulaièd fund Total fund8 Por year Investments Nel current asselsllll8bilit18sI 4,525,200 229.307 2S6,528 4,754,507 258,528 Nel assets 5 April 2023 4.525,200 485,835 5,011,035 -12-