**REGISTERED COMPANY NUMBER: 00659834 (England and Wales) REGISTERED CHARITY NUMBER: 223438** **Report of the Trustees and Unaudited Financial Statements for the Year Ended 30 June 2021** ## **for** ## **THE PENHALE SOCIETY LIMITED** RFM Lancaster Limited 39 Northgate White Lund Morecambe Lancashire LA3 3PA **THE PENHALE SOCIETY LIMITED** ## **Contents of the Financial Statements FOR THE YEAR ENDED 30 JUNE 2021** ||**Page**| |---|---| |**Report of the Trustees**|1 to 3| |**Independent Examiner's Report**|4| |**Statement of Financial Activities**|5| |**Balance Sheet**|6| |**Notes to the Financial Statements**|7 to 11| |**Detailed Statement of Financial Activities**|12 to 13| ## **THE PENHALE SOCIETY LIMITED** ## **Report of the Trustees FOR THE YEAR ENDED 30 JUNE 2021** The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 30 June 2021. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). ## Objectives and Activities of the Charity The Society continues to work in accordance with its Memorandum and Articles of Association. ## Public Benefit Statement Reviewing our aims, objectives and activities each year to ensure consistency in providing Supported Housing to the elderly while staying within the guidance contained in the Charity Commission's general guidance on public benefit. We review the work completed in the prior 12 months and the achievements made and plan for the following period. ## Summary of Main Activities The Penhale Society is a registered charity offering Supported Housing for the elderly. Housing provided to local residents offering help with day to day living. Providing a safe and comfortable environment for elderly to live permanently or temporarily in our accommodation. ## The Covid-19 Pandemic The Society maintained and updated its Covid-19 risk assessments for members of staff, residents and properties. All remained aware of the necessity of personal hygiene and distancing requirements and complied with all required processes. Hygiene measures and procedures were implemented and stringently followed throughout the year with all staff & residents receiving both vaccinations. The 59th Annual General Meeting took place on 12th January 2021. The Annual Report of the Chairperson for the financial year 2019-2020 was circulated and was approved and accepted by the members. The Accounts and Balance sheet for the year ending 30th June 2020, as prepared by the Society Accountants: RfM Chartered Accountants were presented and were adopted as a true and correct record. ## Financial Review During this last financial year, and because of Social Distancing measures, the Management Committee met on 5 occasions (2 in person, 3 online) where the financial status of the Society was discussed in detail. In the financial year 2020/21 current expenditure has exceeded income by £118,000; this being due mainly to drastically reduced resident numbers and the lack of new residents due to the pandemic. ## Reserves Policy The Society holds £203,108 in a Nationwide saving account which can be accessed on a 95 day notice period should funds be required, with a further £139,417 in Barclays bank. The Society is continually reassessing its finances and future cash flow projections in order to maintain a viable trading position in the future. ## Future: The future of the Society remains paramount to the Board. Staffing levels and personnel have remained static at 5 over the financial period; however, due to the age and health problems associated with our remaining residents, resident numbers continue to decline. (The number of current residents being down to 3) Page 1 ## **THE PENHALE SOCIETY LIMITED** ## **Report of the Trustees FOR THE YEAR ENDED 30 JUNE 2021** Sadly, the elderly population are being persuaded to remain in their own homes for so much longer now (with the aid of outside agencies). Unfortunately, despite our best efforts in advertising our service, almost all our enquiries are now coming from people in their 90's who require the facilities of a residential care/nursing home or from younger people with mental health problems. The Society is not registered to offer the type of care required. Over this financial period the Society received very few enquiries for residency due mainly to the lockdowns imposed during the Covid-19 pandemic.Of these all of which were outside of our remit, as having health problems and needing care facilities.. We are no longer getting the interest in our type of housing that we need to remain in a viable position for the distant future and the situation is being closely monitored and discussed by the trustees. ## Selection/Appointment of Trustees I wish to thank all staff and Directors for their support and service over this financial period. The Society continues to work hard to maintain its Mission Statement:- o The aim of the Society is to offer Very Sheltered Accommodation to the elderly, with a commitment to the values of diversity, inclusion and equal opportunity. o To enable our residents to live in comfort, in familiar surroundings without any financial or maintenance worries. o To offer wholesome, nutritious meals and to enable our residents to maintain their independence and dignity throughout. There were no changes to the Board of Trustees during the year. Mrs A Robson, Mrs S McLaughlin and Mr S Sullivan were all due to retire by rotation. All agreed to another term in office and all were ultimately re elected.. ## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document** The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. ## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number** 00659834 (England and Wales) ## **Registered Charity number** 223438 ## **Registered office** 2 Hawarden Avenue Morecambe Lancashire LA4 5RG ## **Trustees** J Entwistle B A Robson Mrs A Robson S J Sullivan Mrs S McLaughlin Page 2 **THE PENHALE SOCIETY LIMITED** ## **Report of the Trustees FOR THE YEAR ENDED 30 JUNE 2021** ## **REFERENCE AND ADMINISTRATIVE DETAILS** ## **Independent Examiner** RFM Lancaster Limited 39 Northgate White Lund Morecambe Lancashire LA3 3PA Approved by order of the board of trustees on 23[rd] September 2021 and signed on its behalf by: .............................................................. Mrs A Robson - Trustee Page 3 ## **Independent Examiner's Report to the Trustees of The Penhale Society Limited** ## **Independent examiner's report to the trustees of The Penhale Society Limited ('the Company')** I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 June 2021. ## **Responsibilities and basis of report** As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act'). Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act. ## **Independent examiner's statement** I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe: 1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or 4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)). I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Gillian Telford FMAAT RFM Lancaster Limited 39 Northgate White Lund Morecambe Lancashire LA3 3PA Date: 23[rd] September 2021 Page 4 ## **THE PENHALE SOCIETY LIMITED** ## **Statement of Financial Activities (Incorporating an Income and Expenditure Account) FOR THE YEAR ENDED 30 JUNE 2021** |**2021**
**Unrestricted**
**fund**
**Notes**
**£**
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
-
Investment income
2
55,566
Other income
-
**Total**
55,566
**EXPENDITURE ON**
**Charitable activities**
Establishment Expenses
23,834
Personnel Costs
130,441
General Expenses
19,646
**Total**
173,921
**NET INCOME/(EXPENDITURE)**
(118,355)
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
564,855
**TOTAL FUNDS CARRIED FORWARD**
446,500|**2020**
**Total**
**funds**
**£**
1
77,079
4,679
81,759
20,605
163,670
36,378
220,653
(138,894)
703,749
564,855| |---|---| The notes form part of these financial statements Page 5 ## **THE PENHALE SOCIETY LIMITED** ## **Balance Sheet 30 JUNE 2021** |||**2021**|**2020**| |---|---|---|---| |||**Unrestricted**|**Total**| |||**fund**|**funds**| ||**Notes**|**£**|**£**| |**FIXED ASSETS**|||| |Investment property|7|105,368|105,368| |**CURRENT ASSETS**|||| |Cash at bank and in hand||342,932|461,287| |**CREDITORS**|||| |Amounts falling due within one year|8|(1,800)|(1,800)| |**NET CURRENT ASSETS**||341,132|459,487| |**TOTAL ASSETS LESS CURRENT**|||| |**LIABILITIES**||446,500|564,855| |**NET ASSETS**||446,500|564,855| |**FUNDS**|9||| |Unrestricted funds||446,500|564,855| |**TOTAL FUNDS**||446,500|564,855| The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 June 2021. The members have not required the company to obtain an audit of its financial statements for the year ended 30 June 2021 in accordance with Section 476 of the Companies Act 2006. The trustees acknowledge their responsibilities for - (a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and - (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime. The financial statements were approved by the Board of Trustees and authorised for issue on 23[rd] September 2021 and were signed on its behalf by: ............................................ A Robson - Trustee The notes form part of these financial statements Page 6 **THE PENHALE SOCIETY LIMITED** ## **Notes to the Financial Statements FOR THE YEAR ENDED 30 JUNE 2021** ## **1. ACCOUNTING POLICIES** ## **BASIS OF PREPARING THE FINANCIAL STATEMENTS** The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets. ## **INCOME** All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. ## **EXPENDITURE** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. 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. ## **INVESTMENT PROPERTY** Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in the Statement of Financial Activities. ## **TAXATION** The charity is exempt from corporation tax on its charitable activities. ## **FUND ACCOUNTING** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. ## **PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS** The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. Page 7 continued... **THE PENHALE SOCIETY LIMITED** ## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2021** ## **2. INVESTMENT INCOME** |Rents received
Interest receivable - trading
**NET INCOME/(EXPENDITURE)**
Net income/(expenditure) is stated after charging/(crediting):
Deficit on disposal of fixed assets
Independent examination fee|**2021**
**£**
54,687
879
55,566
**2021**
**£**
-
360|**2020**
**£**
75,162
1,917
77,079
**2020**
**£**
4,118
360| |---|---|---| |||| ## **3. NET INCOME/(EXPENDITURE)** Net income/(expenditure) is stated after charging/(crediting): ## **4. TRUSTEES' REMUNERATION AND BENEFITS** Mrs A Robson was appointed as Trustee and Chairperson with effect from 9th November 2017. This role is purely voluntary and the remuneration received by Mrs A Robson relates to her pre-existing role as Administrator ## **TRUSTEES' EXPENSES** There were no trustees' expenses paid for the year ended 30 June 2021 nor for the year ended 30 June 2020. ## **5. STAFF COSTS** Average number of employees in the year was 5. No staff received more than £60,000 in remuneration during the financial year. ## **6. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES** ||**Unrestricted**| |---|---| ||**fund**| ||**£**| |**INCOME AND ENDOWMENTS FROM**|| |Donations and legacies|1| |Investment income|77,079| |Other income|4,679| |**Total**|81,759| |**EXPENDITURE ON**|| |**Charitable activities**|| |Establishment Expenses|20,605| |Personnel Costs|163,670| |General Expenses|36,378| |**Total**|220,653| Page 8 continued... **THE PENHALE SOCIETY LIMITED** ## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2021** |**6.**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**|| |---|---|---|---|---|---| ||||||**Unrestricted**| ||||||**fund**| ||||||**£**| ||**NET INCOME/(EXPENDITURE)**||||(138,894)| ||**RECONCILIATION OF FUNDS**||||| ||**Total funds brought forward**||||703,749| ||**TOTAL FUNDS CARRIED FORWARD**||||564,855| |**7.**|**INVESTMENT PROPERTY**||||| ||||||**£**| ||**FAIR VALUE**||||| ||At 1 July 2020||||| ||and 30 June 2021||||105,368| ||**NET BOOK VALUE**||||| ||At 30 June 2021||||105,368| ||At 30 June 2020||||105,368| ||Investment property valued at fair value through the Statement of Financial Activities.||||| |**8.**|**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**||||| |||||**2021**|**2020**| |||||**£**|**£**| ||Accrued expenses|||1,800|1,800| ||Current liabilities are recognised at transaction price in the financial statements.||||| |**9.**|**MOVEMENT IN FUNDS**||||| |||||**Net**|| |||||**movement**|**At**| |||**At**|**1/7/20**|**in funds**|**30/6/21**| ||||**£**|**£**|**£**| ||**Unrestricted funds**||||| ||General fund|564,855||(118,355)|446,500| ||**TOTAL FUNDS**|564,855||(118,355)|446,500| Page 9 continued... **THE PENHALE SOCIETY LIMITED** ## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2021** ## **9. MOVEMENT IN FUNDS - continued** Net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
**TOTAL FUNDS**|**Incoming**
**resources**
**£**
55,566
55,566|**Resources**
**Movement**
**expended**
**in funds**
**£**
**£**
(173,921)
(118,355)
(173,921)
(118,355)| |---|---|---| ## **Comparatives for movement in funds** |**Unrestricted funds**
General fund
**TOTAL FUNDS**|**At 1/7/19**
**£**
703,749
703,749|**Net**
**movement**
**in funds**
**£**
(138,894)
(138,894)|**At**
**30/6/20**
**£**
564,855| |---|---|---|---| ||||564,855| Comparative net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
**TOTAL FUNDS**|**Incoming**
**resources**
**£**
81,759
81,759|**Resources**
**Movement**
**expended**
**in funds**
**£**
**£**
(220,653)
(138,894)
(220,653)
(138,894)| |---|---|---| A current year 12 months and prior year 12 months combined position is as follows: |**Unrestricted funds**
General fund
**TOTAL FUNDS**|**At 1/7/19**
**£**
703,749
703,749|**Net**
**movement**
**in funds**
**£**
(257,249)
(257,249)|**At**
**30/6/21**
**£**
446,500| |---|---|---|---| ||||446,500| Page 10 continued... **THE PENHALE SOCIETY LIMITED** ## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2021** ## **9. MOVEMENT IN FUNDS - continued** A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
**TOTAL FUNDS**|**Incoming**
**resources**
**£**
137,325
137,325|**Resources**
**Movement**
**expended**
**in funds**
**£**
**£**
(394,574)
(257,249)
(394,574)
(257,249)| |---|---|---| ## **10. RELATED PARTY DISCLOSURES** There were no related party transactions for the year ended 30 June 2021. Page 11 ## **THE PENHALE SOCIETY LIMITED** ## **Detailed Statement of Financial Activities FOR THE YEAR ENDED 30 JUNE 2021** |**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**Investment income**
Rents received
Interest receivable - trading
**Other income**
Gerrard Limited Income
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Rates and water
Insurance
Light and heat
Repairs & Renewals
**Support costs**
**Management**
Food
Telephone
Postage and stationery
Advertising
Cleaning
Administrative Expenses
Sundry Expenses
Loss on sale of intangible fixed assets
**Finance**
Bank charges
**Human resources**
House Manager's Wages
Relief Manager's Wages
Office Wages
Employers NI & PAYE
Gardens
Carried forward|**2021**
**£**
-
54,687
879
55,566
-
55,566
6,630
3,665
9,908
5,866
26,069
6,058
1,320
247
2,620
72
1,842
995
-
13,154
919
17,598
17,643
86,350
6,168
1,358
129,117|**2020**
**£**
1
75,162
1,917
77,079
4,679
81,759
6,003
3,723
8,343
6,148
24,217
9,856
1,254
585
2,240
111
10,265
854
4,118
29,283
1,502
29,178
34,032
82,531
9,510
1,631
156,882| |---|---|---| This page does not form part of the statutory financial statements Page 12 **THE PENHALE SOCIETY LIMITED** |**Detailed Statement of Financial Activities**
**FOR THE YEAR ENDED 30 JUNE 2021**
**Human resources**
Brought forward
Employers Pension
**Governance costs**
Accountancy fees
Independent examination fee
Total resources expended
**Net expenditure**|**2021**
**£**
129,117
2,682
131,799
1,620
360
1,980
173,921
(118,355)|**2020**
**£**
156,882
6,788
163,670
1,621
360
1,981
220,653
(138,894)| |---|---|---| This page does not form part of the statutory financial statements Page 13