**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 2022**
**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 2022**
||**Page**|
|---|---|
|**Report of the Trustees**|1 to 3|
|**Independent Examiner's Report**|4|
|**Statement of Financial Activities**|5|
|**Balance Sheet**|6 to 7|
|**Notes to the Financial Statements**|8 to 12|
|**Detailed Statement of Financial Activities**|13 to 14|
## **THE PENHALE SOCIETY LIMITED**
## **Report of the Trustees FOR THE YEAR ENDED 30 JUNE 2022**
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 2022. 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).
The 60th Annual General Meeting took place on 9th November 2021
The Annual Report of the Chairperson for the financial year 2020-2021 was circulated and was approved and accepted by the members.
The Accounts and Balance sheet for the year ending 30th June 2021, as prepared by the Society Accountants: RfM Chartered Management Accountants were presented and were adopted as a true and correct record. There were no changes to the Board of Trustees;
Mr Entwistle and Mr Robson were both due to retire by rotation, both agreed to another term in office and were ultimately re elected.
## **COVID-19**
The Society maintained 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 remained in place and were stringently followed throughout the year with all staff & residents receiving booster vaccinations.
## **Finances:**
During this last financial year, the Management Committee met on 5 occasions where the financial status of the Society was discussed in detail.
In the financial year 2021/22 current expenditure has exceeded income by £119,427; this being due to drastically reduced resident numbers and the lack of new residents showing interest in our form of sheltered housing.
The Society holds £103,890 in a Nationwide saving account which can be accessed on a 95 day notice period should funds be required, with a further £115,074 in Barclays bank.
The Society has continually reassessed its finances and future cash flow projections in order to maintain a viable trading position in the future, however it is now evident that we can no longer continue running on the losses shown year on year.
## **Future:**
Over this financial period the Society received very few enquiries for residency.
Of these all 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 has now become untenable.
Staffing levels and personnel have been reduced to a minimum of 4 over this financial period; however, due to the age and health problems associated with our residents over this time, resident numbers quickly declined to our current single resident.
Sadly, this lack of resident numbers and interest in the Society now means that the Board of Trustees have sought legal advice and have taken the difficult decision to wind up the business.
Page 1
## **THE PENHALE SOCIETY LIMITED**
## **Report of the Trustees FOR THE YEAR ENDED 30 JUNE 2022**
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, all our enquiries came 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.
Acknowledgement:
I wish to thank all staff and Directors for their support and service over this financial period. The Society now is working to a limited future:-
- The aim of the Society is now to wind up the business with a minimum of disruption to the remaining resident and staff
- To enable our remaining resident to move to alternative accommodation with any help we can offer
- To ensure staff are treated fairly and not discriminated against
- To work with the remaining assets of the Society to help less fortunate classes
ALISON ROBSON Chairperson 30/06/2022
## **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 2022**
## **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 6[th] September 2022 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 2022.
## **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: 05[th] August 2022
Page 4
## **THE PENHALE SOCIETY LIMITED**
## **Statement of Financial Activities (Incorporating an Income and Expenditure Account) FOR THE YEAR ENDED 30 JUNE 2022**
|**2022**
**Unrestricted**
**fund**
**Notes**
**£**
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
65
Investment income
2
33,298
**Total**
33,363
**EXPENDITURE ON**
**Charitable activities**
Establishment Expenses
18,444
Personnel Costs
115,959
General Expenses
18,387
**Total**
152,790
**NET INCOME/(EXPENDITURE)**
(119,427)
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
446,500
**TOTAL FUNDS CARRIED FORWARD**
327,073|**2021**
**Total**
**funds**
**£**
-
55,566
55,566
23,834
130,441
19,646
173,921
(118,355)
564,855
446,500|
|---|---|
The notes form part of these financial statements
Page 5
## **THE PENHALE SOCIETY LIMITED**
## **Balance Sheet 30 JUNE 2022**
|**2022**
**Unrestricted**
**fund**
**Notes**
**£**
**FIXED ASSETS**
Investment property
7
105,368
**CURRENT ASSETS**
Cash at bank and in hand
221,705
**CREDITORS**
Amounts falling due within one year
8
-
**NET CURRENT ASSETS**
221,705
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
327,073
**NET ASSETS**
327,073
**FUNDS**
9
Unrestricted funds
327,073
**TOTAL FUNDS**
327,073|**2021**
**Total**
**funds**
**£**
105,368
342,932
(1,800)
341,132
446,500
446,500
446,500
446,500|
|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 June 2022.
The members have not required the company to obtain an audit of its financial statements for the year ended 30 June 2022 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.
The notes form part of these financial statements
Page 6
continued...
## **THE PENHALE SOCIETY LIMITED**
## **Balance Sheet - continued 30 JUNE 2022**
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 6[th] September 2022 and were signed on its behalf by:
A Robson - Trustee
The notes form part of these financial statements
Page 7
## **THE PENHALE SOCIETY LIMITED**
## **Notes to the Financial Statements FOR THE YEAR ENDED 30 JUNE 2022**
## **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, 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 8
continued...
## **THE PENHALE SOCIETY LIMITED**
## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2022**
## **2. INVESTMENT INCOME**
## **3.**
|Rents received
Interest receivable - trading
**NET INCOME/(EXPENDITURE)**
Net income/(expenditure) is stated after charging/(crediting):
Independent examination fee|**2022**
**£**
32,504
794
33,298
**2022**
**£**
360|**2021**
**£**
54,687
879|
|---|---|---|
|||55,566|
|||**2021**
**£**
360|
## **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 2022 nor for the year ended 30 June 2021.
## **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**||
|Investment income|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)|
## **INCOME AND ENDOWMENTS FROM**
Page 9
continued...
## **THE PENHALE SOCIETY LIMITED**
## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2022**
## **6. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
|||**Unrestricted**|
|---|---|---|
|||**fund**|
|||**£**|
||**RECONCILIATION OF FUNDS**||
||**Total funds brought forward**|564,855|
||**TOTAL FUNDS CARRIED FORWARD**|446,500|
|**7.**|**INVESTMENT PROPERTY**||
|||**£**|
||**FAIR VALUE**||
||At 1 July 2021||
||and 30 June 2022|105,368|
||**NET BOOK VALUE**||
||At 30 June 2022|105,368|
||At 30 June 2021|105,368|
Investment property valued at fair value through the Statement of Financial Activities.
|**8.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
**2022**
**£**
Accrued expenses
-
Current liabilities are recognised at transaction price in the financial statements.
**9.**
**MOVEMENT IN FUNDS**
**Net**
**movement**
**At 1/7/21**
**in funds**
**£**
**£**
**Unrestricted funds**
General fund
446,500
(119,427)
**TOTAL FUNDS**
446,500
(119,427)|**2021**
**£**
1,800
**At**
**30/6/22**
**£**
327,073
327,073|
|---|---|
Page 10
continued...
## **THE PENHALE SOCIETY LIMITED**
## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2022**
## **9. MOVEMENT IN FUNDS - continued**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**
**Comparatives for movement in funds**
**Unrestricted funds**
General fund
**TOTAL FUNDS**|**Incoming**
**Resources**
**Movement**
**resources**
**expended**
**in funds**
**£**
**£**
**£**
33,363
(152,790)
(119,427)
33,363
(152,790)
(119,427)
**Net**
**movement**
**At**
**At 1/7/20**
**in funds**
**30/6/21**
**£**
**£**
**£**
564,855
(118,355)
446,500
564,855
(118,355)
446,500|
|---|---|
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|**Incoming**
**Resources**
**Movement**
**resources**
**expended**
**in funds**
**£**
**£**
**£**
55,566
(173,921)
(118,355)
55,566
(173,921)
(118,355)|
|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|**Net**
**movement**
**At 1/7/20**
**in funds**
**£**
**£**
564,855
(237,782)
564,855
(237,782)|**At**
**30/6/22**
**£**
327,073
327,073|
|---|---|---|
Page 11
continued...
## **THE PENHALE SOCIETY LIMITED**
## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 JUNE 2022**
## **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**
**Movement**
**resources**
**expended**
**in funds**
**£**
**£**
**£**
88,929
(326,711)
(237,782)
88,929
(326,711)
(237,782)|
|---|---|
## **10. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 30 June 2022.
Page 12
## **THE PENHALE SOCIETY LIMITED**
## **Detailed Statement of Financial Activities FOR THE YEAR ENDED 30 JUNE 2022**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**Investment income**
Rents received
Interest receivable - trading
**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
**Finance**
Bank charges
**Human resources**
House Manager's Wages
Relief Manager's Wages
Office Wages
Employers NI & PAYE
Gardens
Employers Pension|**2022**
**£**
65
32,504
794
33,298
33,363
6,160
3,467
7,955
2,772
20,354
4,934
1,210
511
2,430
47
4,376
300
13,808
979
17,546
17,503
72,547
5,934
1,510
2,429
117,469|**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
2,682
131,799|
|---|---|---|
This page does not form part of the statutory financial statements
Page 13
## **THE PENHALE SOCIETY LIMITED**
## **Detailed Statement of Financial Activities FOR THE YEAR ENDED 30 JUNE 2022**
|**Human resources**
**Governance costs**
Accountancy fees
Independent examination fee
Total resources expended
**Net expenditure**|**2022**
**£**
144
36
180
152,790
(119,427)|**2021**
**£**
1,620
360
1,980
173,921
(118,355)|
|---|---|---|
This page does not form part of the statutory financial statements
Page 14