Charity No . 222796 The Lancashire Infirm Secular Clergy Fund Trustees, Report and Financial Statements For The Year Ended 5 April 2025 Cmha
THE LANCASHIRE INFIRM SECULAR CLERGY FUND CONTENTS Page Reference and admlnislrative information Trustees, report Independent examiner's report Statement of financial activities Balance sheet Nolas lo the financial statements
THE LANCASHIRE INFIRM SECULAR CLERGY FUND REFERENCE AND ADMINISTRATIVE INFORMATION Trustees Rev S Stamp Rev P Stanley Rev A Prescoll Offlcers Rev S Stamp Rev P G Stanley Vacancy President Secretary Treasurer Independent examiner N Ma50n FCA, DChA MHA Richard House Winckley Square Preston PR1 3HP Investmgnt managers Sarasin & Partners LLP Juxon House 100 Sl. Paul's Churchyard London EC4M 8BU Contact address clo Canon P G Stanley Sl Joseph's Presbytery Harpers lane Chorley PR6 OHR
THE LANCASHIRE INFIRM SECULAR CLERGY FUND TRUSTEES. REPORT FOR THE YEAR ENDED 5 APRIL 2025 The Trustees present their report and financial statements for the year ended 5 April 2025. The financial statements have been prepared in accordance with the accounting policies set out in the notes lo the accounts and comply with the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charities.. Slalemenl of Recommended Piaclice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 issued in October 2019. structure* govemance and management The Fund is governed by the conslilulion revised in 2014 which was approved by the Charity Commission, The Officers of the Fund are elected al the Annual General Meeting for a period of three years. Members who are resident in any of the Dioceses shall be enlilled to vole at elections. Any member, whelhei present or not al the Annual General Meeting, is eligible lo be elected as an Officer of the Fund. The required number of Trustees al any lime is four. Each financial year, the Trustees examine the wajor risks that the Fund faces. Systems have been established lo mitigate these risks. Objects and activities for the publ1¢ benefit The objects and activities ol the Fund are the relief or support of the secular clergy of the Dioceses of Liverpool, Salford and Lancaster who are unable. through age or infirmity, to allend lo the duties of their office and are in necessilous circumstances. The Trustees confirm that they have referred lo the guidance contained in the Charity Commission's general guidance on public benefit reporting when viewing the Fund's aims and objectives and in planning future activities and selling the grant making policy for the year. Grant making pollcy During the year the Fund has conts'nued to make grants lo infirm clergy. Applications for grants are reviewed against specific criteria and lo ensure they are in accordance with the Rules. Flnanclal review and performance The statement of financial activities shows nel incoming resources for the year 01 £33,27812024'. £36,593). Other recognised gains and losses comprise realised and unrealised gains on investments and in 2025 there is a nel loss of £110,304 compared lo a nel gain of £296,025 in 2024. The overall movement in reserves is a deficit ot £77,026. Reserves pollcy 11 is the policy of the Fund lo maintain unreslricled funds, which are free reserves in the income accumulated fund, al a level which equates lo al least 12 months unreslricled expenditure. This provides sufficient funds to cover adminislralion costs and lo respond lo emergency applications for grants. Unrestricted funds were maintained al least lo this level thloughoul the year. The level ol free resetves as al 5 April 2025 was £552,130 {2024 £521,091). Investmont objectlve and performance The investment objective of the Fund is lo seek lo achieve capital growth over the longer term, subject lo market conditions. and a corresponding increasing stream of income. In order lo achieve this objèctive, the manager maintains a balanced portfolio of inveslmenls. The portfolio was invested in unil trusts.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND TRUSTEES, REPORT FOR THE YEAR ENDED 5 APRIL 2025 Investment return As al 5th April 2025, the portfolio for the rolling year returned 0.9VA Inell. The porllolio value was £5,258,861. Income within the portfolio was marginally lower for the year al £141,289 versus £145,465 for the pievious year. Market Overview Performance within both the Fund and the broader market over the period was more muted in comparison lo the same lime last year, largely due to rising geopolitical tensions and the re-emergence of proleclionisl trade policies. In particular, the announcement and implemenlalion of new tariffs by both the US and China introduced new uncertainly around the global economic outlook. Within the Fund's equity allocation, technology names such as Nvidia. TSMC and Amazon, which had previously driven strong performance, experienced a pullback al the end of the reporling period as markets reassessed demand forecasts and the potential impact of Gross-border reslriclions and weighty tariffs. Value and dividend focused investment styles saw a resurgence, helping European equities recover. However, much ol the rally had been led by lower quality cyclical names that are less aligned with our long-lerm thematic views. The alteinalives in the porlfollo produced a positive return of +17.50/0 over the year131.03.2024 - 31.03.20251. The largest conlribuloi lo this positive performance was the Fund's allocation lo gold, which has continued lo perform strongly as a hedge against markel fluctuations and currency risks. This was complemented by pos11ive contributions from the abscilule return holdings, whilst there was some weakness in infrastructure investment trusts. Fixed Interest ICE BofAML Sterling Corporate ICE BofAML UK Gills UK Equities i Global Equities MSCI UK IMI 4.30 MSCI AC World ex UKINet TR) S&P Developed Property (Net TRI UK Retail Price Index Global Property -0.80/D UK Inflation 3.20/0 LISCF Portfolio 0.9% Portfolio Positioning Whilst our initial oveNeighl lo equities throughout 2024 and early 2025 added value, we reduced risk in February and March by trimming our equities exposure. We increased our allocation lo gold which proved valuable, as geopolitical uncertainty and rising demand for safe haven assets supported its performance.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND TRUSTEES, REPORT FOR THE YEAR ENDED S APRIL 2025 We initiated a position in Zoelis la global leader in animal pharmaceutical therapies) and a position in LVMH (the largest purchase over the period), set lo benefit from the strong Ihemalic growth of prestige brands across the globe, in particular driven by the Chinese consumer and fuelled by the exponential growlh of SOGial media. Another significant addition was Forlinel, a security technology company operating in the network firewall and the secure network software markets. The company is set to benefit from long term trends in cyber security, pailicularly due to the increased threat landscape and the widespread adoption of cloud Computing. ReducliDns within the portfolio include some ol the prominent US technology companies, namely Amazon, following concerns of US consumer slowdown. Within the Fund's broader technology holdings, we have been rol81ing out of some semiconductor and IT infrastructure companies and into software businesses. which our analysts have identified as offering compelling opportunities. We also exiled our position in Air Liquide in favour of Linde, as we saw this as the preferred comparky within the industrial gases sector. The exposures of the Fund to the vaTiOUS asset classes at the slarl and end of the year were as follows.. 2025 2024 Fixed interest Global Equities Global Property Alternatives Cash 10.6 62.0 13.9 68.6 14.0 100.D 100.0 Coneluslon Looking ahead, we expect maTkels to remain sensitive lo the interplay beeen economic growth, inflation pressures and central bank pollcy decisions. As the impact from US tariffs begin to show in company results, we expect inflation lo rise and for there lo be a dampening of consumer spending. A sustained US retreat from global liade could also lead lo reduced dollar dominance and lasting pressure on consumer welfare. Geopolitical rtsks continue lo be a concern, particularly the potential for further escalation in Ukraine and in US- China relations. While such developments pose near-lerm risks lo global supply chains and could lèad lo renewed market vo121ility, they also relnforce the glowing importance of national secLtrity and cybersecurity. Against this backdrop, our positioning remains cautious and alert to the risks posed by elevated valuations. As market leadership continues lo broaden beyond US technology companies, careful stock selection remains key. This report was approved by the board of Trustees on lo and signed on ils behalf Rev P Stanley - Trustee
THE LANCASHIRE INFIRM SECULAR CLERGY FUND INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES FOR THE YEAR ENDED 5 APRIL 2025 I report to the charity Iruslees on my examination of the accounts of The Lancashire Infirm Secular Clergy Fund for the year ended 5 April 2025 which are set out on pages 6 10 12 appended lo this report. Responsibilities and basis of report As the charity's trustees you are responsible for the prepar21ion of the accounts in accordance with the requirements of the Charilies Act 2011 I'lhe Act'l. I report in respect of my examination of the charity's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 14515llb) of the Act. Independent examlner's statement I have completed my examination. I confirm that no material mallers have come lo my attention in connection with Ihe examination giving me cause lo believe that in any malerial respecl.. accounting records were not kept in respect of the charity as required by section 130 of the Act., or the accounts do not accord with those records., or the accounts do not comply with the applicable requirements concerning the form and conlenl of accounts sel out in the Charities (Accounts and Reports) Regulations 2008 other than any requiremeril that the accounts give a 'l¥ue 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 mallers in connection with the examination to which attention should be drawn in this Teport in order to enable a proper understanding of the accounts lo be reached. Date.. 61..IDJJf.......... N Mason FCA, DChA MHA Preston
THE LANCASHIRE INFIRM SECULAR CLERGY FUND STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5 APRIL 2025 Capital account Income Total funds Total funds accumulated 2025 2024 funds Note Income from- Donations and legacie5 Investment income Other income 2a 2b 5,000 156,335 5.000 156.335 2.239 1,740 156,522 1,337 2.239 Total Income 2,239 161,335 163,574 159,599 Expenditure on Raising funds.. Investment management costs Expenditure on charitable activities: Grants lo Infirm Clergy - Individuals Support costs 123,500 6,796 123,500 6,796 117,750 5,256 Total oxpenditure 130,296 130.296 123,006 Nel incomellexpendilurel before gainsllosses Dn investments 2,239 31,039 33,278 36,593 Net gainsl{lossesl on investments 1110,304} {110.3041 296,025 Net Incomellexpendlturel 1108,065} 31,039 177,026) 332.618 Reconcillation of funds.. Total funds brought forward 4,822,562 521,091 5,343,653 5,011,035 Total funds caiiied foNard 4,714,497 552,130 5,266,627 5,343.653
THE LANCASHIRE INFIRM SECULAR CLERGY FUND BALANCE SHEET AS AT 5 APRIL 2025 Total funds 2025 Total funds 2024 Note Investments 4,958,037 5,068,341 Current assets Cash al bank and in hand 313,340 279,614 313,340 279,614 Creditors.. Amounts falling due within one year 14,7501 14,3021 Net current assets 308,590 275,312 Total assets less current Ilabllltles 5,266,627 5,343,653 Funds Restricted- capital account Unrestricted - Income accumulated fund 4,714,497 552,130 4.822.562 521.091 Total funds 5,266,627 5,343,653 These financial slalements were approved by the Trustees on and signed on their behalf.. Rev S Stamp- Presldent
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 Accountlng policies Accounting convention The financial statements have been prepared in accordan with Accounting and Reporting by Charities.. Slalement of Recommended Practice applicable lo charities preparing their accounts in accordan with the Financial Repoiling Standard applicable in the UK and Republic ol Ireland IFRS 102} published October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 1021, the Chaiilies Act 2011 and UK Generally Accepted Accounting Practice. The Lancashire Infirm Secular Clergy Fund meets the definition of a public benefit entity under FRS 102. The financial statements have been prepared lo give a 'lrue and fair, view and have departed from the Charities (Accounts and Reports) Regulations 2008 only lo the extent required lo provide a 'true and fail, view. This departure has involved following the Accounting and Reporting by Charities., Slalemenl of Recommended Practice applicable lo charities prep8ring their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 issued in October 2019 rather than the Accounting and Reporting by Charities.. Statement of Recommended Pr8cb'ce effective from 1 April 2005 which has since been withdrawn. Preparatlon of the accounts on a golng concern basls The IrLJStees assess whether the use of going concern is appropriate, ie whether there are sny material ncerlainties related lo events or conditions that may cast significant doubl on the ability of the charity lo continue as a going concern. The Iruslees make this assessment in respect ot a period of al least one year from the dale of aulhorisalion for issue of the accounts. The Charity has sufficient reserves lo mitigate any impact of potential reductions in investment income. Investment reports are received during Ihe year and performance is reviewed, The Trustees have concluLled that the charity has adequate resoUeS to continue in operational existence for the foreseeable future and there are no material uncertainties about the charity's ability lo continue as a going Concern. Thus they continue to adopt the going concern basis of accounting in preparing the accounts. Investments Investments are slated al mid-markel value. Investment Income Investment income is included in the Slalemenl of Financial Activities on an accruals basis and is shown gross of recoverable lax. Expenditure Expenditure is included on an accruals basis. Grants are recognised in the year in whloh they are receivable. Income aecumulaled fund lunrestrlcted fund) The rules of the Fund slate that annual income, not including benefactions, shall be applied lo defray adminislralion expenses and lo pay infirmity allowances. The surplus income. if any. shall be added lo the Income Accumulated Fund. Capital account Irestricted fund The rules of the Fund slate that benefactions and profits arising from the realisation of investments shall be added lo the capital account. Losses on the realisation of investments shall be made good out of the capital account.
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 Accounting policies Icontinuedl Critical accounting e5tirnates and areas of judgement Accounting estimates and jLfdgemenls are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed lo be reasonable under the circumstances. Crltlcal accountlng estlmates and assumptions There are no critical accounting estimates and assumptions. Critical areas of judg8ment There are no other crilical areas of judgement in these accounts. 2a. Donations and legacies 2025 2024 Bequests 5,000 1.740 5,000 1,740 Income from donations and legacies for the year ended 5 April 2024 related to unrestrlcled funds. 2b Investment Income 2025 2024 Unil Trusts Bank deposit interest 141.289 15.046 145,464 11,057 156,335 156,522 Investment income in the years ended 5 April 2025 and 5 April 2024 related lo unreslricled funds,
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED S APRIL 2025 Investment8 2025 2024 Market value al S April 2023 AddilionsllDisposalsl Nel inveslmènl gainslllosses} 5,068,341 4,754,507 17.809 296,025 1110,3041 Market value at 5 Aprll 2024 4,958.037 5,068.341 Historical cost al S April 2023 AdditionsllDisposalsl 4,285,145 152,6241 4,285,145 Historical cost at 5 April 2024 4,232,521 4,285,145 The market value of investments is analysed as follows.. Unil Trusts 4,958,037 5,068,341 Total market value of investments 4,958,037 5,068,341 All investments at the year end are held in unit trusts. Cash 2025 2024 Cash al bank and in hand Cash held within investment portlolio 12,517 300,823 12,365 267,249 313,340 279,614 Credltors: amounts falllng due wlthln one year 2025 2024 Accruals 4,750 4,302 -10-
THE LANCASHIRE INFIRM SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 Support costs 2025 2024 Treasurer's expenses Secretary's expenses Independent examination Postage, printing and stationery Ofh'cers, meetings and AGM 250 600 3,048 156 2,742 335 500 2,617 152 1,652 6,796 5,256 The Trustees received no remLJneralion12024 £nill and were not reimbursed for any of their expenses in the year12024 - £nill except as sel out above. Support costs in the year ended 5 April 2025 and S April 2024 related lo unrestricted funds. The charity had no employees during the year. Investment management costs Investment management costs for the current year amount to a nel rebate 01 £2,23912024'. £1.337}. Investment management coslslrebales are built into the underlying unil prices and represents restricted capital income. Related Party Transactlons There were no related party transactions during the year. -11-
THE LANCASHIRE INFIRIVI SECULAR CLERGY FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 Movements in charlty funds Capltsl Incomè account accumulated fund 2025 Total funds Totsl funds 2025 2025 2024 At 5 April 2023 4.525,200 485,835 5,011,035 5,289,328 Nèl incominglloulgoingl resources Other recognised gains and losses 1,337 296,025 35,256 36.593 296.025 99,371 1377,6641 Nel movement of funds available for future activities 297.362 35,256 332,618 1278,2931 At 5 Aprll 2024 4,822,562 521,091 5,343,653 5,011,035 Nel incominglloulgoingl reSoUrS other recognised gains and losses 2,239 1110,3041 31,039 33,278 1110,3041 36,593 296,025 Nel movement of funds available for future activities {108,0651 31,039 77,026 332,618 At 5 April 2025 4,714,497 552.130 5,266.627 5,343,653 10 Analysls of net assets between funds Capital account Incorne accumulated fund Total funds Investments Nel current assetsllliabilitiesl 4,714,497 243,540 308,590 4,958,037 308,590 Nel assets 5 April 2024 4,714.497 552,130 5,266,627 Capital account Income accumulated fund Total funds Prior year Investments Net current asselsllliabililiesl 4,822,562 245,779 275,312 5,068.341 275,312 Nel assets 5 April 2023 4,822.562 521,091 5,343,653 -12-