FARRADAY HOUSE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 30 SEPTEMBER 2025
The trustees, who are also directors of the charity for the purposes of the Companies Act, are pleased to present their annual report together with the audited financial statements of the charity for the year ended 30 September 2025. The trustees have adopted the provision of the Statement of Recommended Practice (SORP) ‘Accounting and Reporting by Charities’ in preparing the annual report and financial statements of the charity.
The financial statements have been prepared in accordance with the accounting policies set out in note to the financial statements and comply with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)".
Objectives and activities
The objectives of the charity are to relieve aged, impotent and poor people of all classes for the advancement of religion and education and for other charitable purposes beneficial to the community.
The charity is a Registered Housing Association and has operated throughout the year as a provider of very sheltered housing for the elderly.
Public benefit
We have referred to the guidance in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particular, the trustees have considered the activities of the charity as set out in the ‘objectives and activities’ section above, and the ‘achievements and performance’ and assessed their future plans. They are satisfied that the criteria for public benefit are comprehensively achieved.
Achievements and performance
Review of Business
May I once more thank the staff and trustees for their tireless efforts in maintaining the standards and qualities of both Bury and Radcliffe houses.
Continuing with our efforts to reduce power costs, 234 solar panels were fitted to Bury house in November 2024. This has reduced the soaring cost of energy within the building.
Bury house has also continued with ongoing improvements of the dining facility with the introduction of new dining tables and chairs.
The trustees continue to find ways to improve the facilities of the buildings.
The good work done by our staff enables us to keep the excellent reputation we have across Greater Manchester and in particular Bury and Radcliffe and myself and fellow Trustees acknowledge that it is because of our staff’s commitment and dedication to our residents for which we thank them.
Can I further thank our Trustees for their continued support and the excellent voluntary contribution they make to managing our two homes and keeping us on course for continued success in the future.
Bob Bibby Chairman
- 1 -
FARRADAY HOUSE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
Financial review
| Results The surplus for the year was From which is added the retained surplus brought forward Leaving a surplus carried forward of |
£ 71,487 1,921,438 |
|---|---|
| 1,992,925 |
The majority of income is derived from rents received from residents of the 33 units of supported housing available.
Reserves policy
The board recognises the need to hold a reasonable level of unrestricted reserves to secure the charity's future and the wellbeing of our Farraday House residents. The level of reserves required according to the reserves policy will vary depending upon any new projects, but is considered to be a minimum of 25% of annual income. This would be £134,769 based on annual income for the year to 30 September 2025.
At 30 September 2025 total reserves were £1,992,925, of which £50,421 related to restricted funds and £1,942,504 related to unrestricted funds. Funds of £1,382,951 can only be realised by disposing of fixed assets. Total unrestricted funds which can be realised without the disposal of fixed assets are £559,553. This figure exceeds the level of reserves per the reserves policy by £424,784.
Current levels of reserves are high as a legacy of having sold properties in the past. The trustees will not hesitate to re-invest these reserves where required to fund improvements or the addition of new facilities in either of our homes.
Investment policy
In order to maintain a good emergency cash flow Farraday House Ltd maintains approximately £500k in an interest bearing cash account with Barclays Bank. However, in order to maximise interest, FH Ltd has invested £500k with a Fund management company with a range of funds mainly within Government Bond Funds with a "Risk Level" of 3/4 out of 10.
Plans for future periods
The trustees appreciate their responsibility to the aged population of the Bury area and are mindful to have available to the community reasonably priced accommodation and assisted living.
Structure, governance and management
Farraday House Limited is a charitable company limited by guarantee. Its governing document is in the form of a Memorandum and Articles of Association dated 15 February 1962 as amended by special resolutions dated 6 September 2004 and 28 August 2007.
As a registered charity the company is non-profit making and its directors and trustees are volunteers.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
R Bibby (Chair)
C McAleese (Treasurer) Y Creswell (Vice Chair) L Howorth (Secretary) C Fogg E Shirt R Caserta D Wolfenden (Resigned 30 September 2025)
- 2 -
FARRADAY HOUSE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
Recruitment and appointment of trustees
The management of Farraday House Limited is the responsibility of the trustees. Any individuals can apply as a trustee but they have to be approved by the existing trustees.
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
Organisational structure
The business of the charity is managed by the trustees. They have appointed a part-time administrator/manager to be responsible to the trustees for the administration of the work of the charity. They are also responsible for the bookkeeping of the charity.
Induction and training of trustees
As part of their induction, new trustees are provided with information about the charity, the management structure, its history and working practices.
In addition, they are also provided with extracts of the Memorandum and Articles of Association plus information from the Charity Commission and Companies House regarding the duties and responsibilities of trustees.
Appropriate training to trustees is provided where necessary.
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
The main risk to the charity is the possibility of reduced occupancy. In order to mitigate this risk a small additional amount is included in the price costing.
The trustees' report was approved by the Board of Trustees.
R Bibby (Chair)
Trustee
12 March 2026
- 3 -
Company registration number 00715471 (England and Wales) Charity registration number 223716 (England and Wales)
FARRADAY HOUSE LIMITED
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2025
FARRADAY HOUSE LIMITED
LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | R Bibby (Chair) |
|---|---|
| C McAleese (Treasurer) | |
| Y Creswell (Vice Chair) | |
| L Howorth (Secretary) | |
| C Fogg | |
| E Shirt | |
| R Caserta | |
| Company number | 00715471 |
| Charity registration number | 223716 |
| Registered office | Farraday House |
| Cottam Street | |
| Bury | |
| Lancashire | |
| BL8 1QQ | |
| Independent examiner | Pierce (Bolton) Limited |
| Hazlemere | |
| 70 Chorley New Road | |
| Bolton | |
| Lancashire | |
| BL1 4BY | |
| Bankers | Barclays Bank plc |
| 1 Central Street | |
| Bury | |
| Lancashire | |
| BN9 0JN |
FARRADAY HOUSE LIMITED
CONTENTS
| Page | |
|---|---|
| Trustee's Report (including Directors' Report) | 1 - 3 |
| Independent examiner's report | 4 |
| Statement of financial activities (including Income and Expenditure Account) | 5 |
| Balance sheet | 6 |
| Statement of cash flows | 7 |
| Notes to the financial statements | 8 - 18 |
FARRADAY HOUSE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 30 SEPTEMBER 2025
The trustees, who are also directors of the charity for the purposes of the Companies Act, are pleased to present their annual report together with the audited financial statements of the charity for the year ended 30 September 2025. The trustees have adopted the provision of the Statement of Recommended Practice (SORP) ‘Accounting and Reporting by Charities’ in preparing the annual report and financial statements of the charity.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)".
Objectives and activities
The objectives of the charity are to relieve aged, impotent and poor people of all classes for the advancement of religion and education and for other charitable purposes beneficial to the community.
The charity is a Registered Housing Association and has operated throughout the year as a provider of very sheltered housing for the elderly.
Public benefit
We have referred to the guidance in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particular, the trustees have considered the activities of the charity as set out in the ‘objectives and activities’ section above, and the ‘achievements and performance’ and assessed their future plans. They are satisfied that the criteria for public benefit are comprehensively achieved.
Achievements and performance
Review of Business
May I once more thank the staff and trustees for their tireless efforts in maintaining the standards and qualities of both Bury and Radcliffe houses.
Continuing with our efforts to reduce power costs, 234 solar panels were fitted to Bury house in November 2024. This has reduced the soaring cost of energy within the building.
Bury house has also continued with ongoing improvements of the dining facility with the introduction of new dining tables and chairs.
The trustees continue to find ways to improve the facilities of the buildings.
The good work done by our staff enables us to keep the excellent reputation we have across Greater Manchester and in particular Bury and Radcliffe and myself and fellow Trustees acknowledge that it is because of our staff’s commitment and dedication to our residents for which we thank them.
Can I further thank our Trustees for their continued support and the excellent voluntary contribution they make to managing our two homes and keeping us on course for continued success in the future.
Bob Bibby Chairman
- 1 -
FARRADAY HOUSE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
Financial review
| Results The surplus for the year was From which is added the retained surplus brought forward Leaving a surplus carried forward of |
£ 71,487 1,921,438 |
|---|---|
| 1,992,925 |
The majority of income is derived from rents received from residents of the 33 units of supported housing available.
Reserves policy
The board recognises the need to hold a reasonable level of unrestricted reserves to secure the charity's future and the wellbeing of our Farraday House residents. The level of reserves required according to the reserves policy will vary depending upon any new projects, but is considered to be a minimum of 25% of annual income. This would be £134,769 based on annual income for the year to 30 September 2025.
At 30 September 2025 total reserves were £1,992,925, of which £50,421 related to restricted funds and £1,942,504 related to unrestricted funds. Funds of £1,382,951 can only be realised by disposing of fixed assets. Total unrestricted funds which can be realised without the disposal of fixed assets are £559,553. This figure exceeds the level of reserves per the reserves policy by £424,784.
Current levels of reserves are high as a legacy of having sold properties in the past. The trustees will not hesitate to re-invest these reserves where required to fund improvements or the addition of new facilities in either of our homes.
Investment policy
In order to maintain a good emergency cash flow Farraday House Ltd maintains approximately £500k in an interest bearing cash account with Barclays Bank. However, in order to maximise interest, FH Ltd has invested £500k with a Fund management company with a range of funds mainly within Government Bond Funds with a "Risk Level" of 3/4 out of 10.
Plans for future periods
The trustees appreciate their responsibility to the aged population of the Bury area and are mindful to have available to the community reasonably priced accommodation and assisted living.
Structure, governance and management
Farraday House Limited is a charitable company limited by guarantee. Its governing document is in the form of a Memorandum and Articles of Association dated 15 February 1962 as amended by special resolutions dated 6 September 2004 and 28 August 2007.
As a registered charity the company is non-profit making and its directors and trustees are volunteers.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
R Bibby (Chair)
C McAleese (Treasurer) Y Creswell (Vice Chair) L Howorth (Secretary) C Fogg E Shirt R Caserta D Wolfenden (Resigned 30 September 2025)
- 2 -
FARRADAY HOUSE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
Recruitment and appointment of trustees
The management of Farraday House Limited is the responsibility of the trustees. Any individuals can apply as a trustee but they have to be approved by the existing trustees.
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
Organisational structure
The business of the charity is managed by the trustees. They have appointed a part-time administrator/manager to be responsible to the trustees for the administration of the work of the charity. They are also responsible for the bookkeeping of the charity.
Induction and training of trustees
As part of their induction, new trustees are provided with information about the charity, the management structure, its history and working practices.
In addition, they are also provided with extracts of the Memorandum and Articles of Association plus information from the Charity Commission and Companies House regarding the duties and responsibilities of trustees.
Appropriate training to trustees is provided where necessary.
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
The main risk to the charity is the possibility of reduced occupancy. In order to mitigate this risk a small additional amount is included in the price costing.
The trustees' report was approved by the Board of Trustees.
R Bibby (Chair)
Trustee
12 March 2026
- 3 -
FARRADAY HOUSE LIMITED
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF FARRADAY HOUSE LIMITED
I report to the trustees on my examination of the financial statements of Farraday House Limited (the charity) for the year ended 30 September 2025.
Responsibilities and basis of report
As the trustees of the charity (and also its directors for the purposes of company law), you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006.
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the Companies Act 2006 and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011.
Independent examiner's statement
Since the charity’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
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 that in any material respect:
-
1 accounting records were not kept in respect of the charity as required by section 386 of the Companies Act 2006.
-
2 the financial statements do not accord with those records; or
-
3 the financial statements do not comply with the accounting requirements of section 396 of the Companies Act 2006 other than any requirement that the financial statements give a true and fair view, which is not a matter considered as part of an independent examination; or
-
4 the financial statements 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 financial statements 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 financial statements to be reached.
Catherine Cole BA FCA
ICAEW
Pierce (Bolton) Limited Hazlemere 70 Chorley New Road Bolton Lancashire BL1 4BY 13 March 2026
- 4 -
FARRADAY HOUSE LIMITED
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 30 SEPTEMBER 2025
| Unrestricted Restricted funds funds 2025 2025 Notes £ £ Income and endowments from: Charitable activities 3 527,548 - Investments 4 11,327 - Other income 5 200 - Total income 539,075 - Expenditure on: Charitable activities 6 489,389 9,254 Total expenditure 489,389 9,254 Net gains/(losses) on investments 11 31,055 - Net income/(expenditure) and movement in funds 80,741 (9,254) Reconciliation of funds: Fund balances at 1 October 2024 1,861,763 59,675 Fund balances at 30 September 2025 1,942,504 50,421 |
Total Unrestricted Restricted funds funds 2025 2024 2024 £ £ £ 527,548 509,631 - 11,327 1,738 - 200 884 - 539,075 512,253 - 498,643 470,027 9,221 498,643 470,027 9,221 31,055 48,632 - 71,487 90,858 (9,221) 1,921,438 1,770,905 68,896 1,992,925 1,861,763 59,675 |
Total 2024 £ 509,631 1,738 884 |
|---|---|---|
| 512,253 479,248 |
||
| 479,248 | ||
| 48,632 | ||
| 81,637 1,839,801 |
||
| 1,921,438 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
- 5 -
FARRADAY HOUSE LIMITED
BALANCE SHEET
AS AT 30 SEPTEMBER 2025
| Notes Fixed assets Tangible assets 13 Investments 14 Current assets Debtors 15 Investments 16 Cash at bank and in hand Creditors: amounts falling due within one year 17 Net current assets Total assets less current liabilities The funds of the charity Restricted income funds 19 Unrestricted funds 20 |
2025 £ £ 831,686 551,265 1,382,951 14,622 500,000 116,036 630,658 (20,684) 609,974 1,992,925 50,421 1,942,504 1,992,925 |
2024 £ £ 809,780 520,210 1,329,990 15,957 - 604,021 619,978 (28,530) 591,448 1,921,438 59,675 1,861,763 1,921,438 |
2024 £ £ 809,780 520,210 1,329,990 15,957 - 604,021 619,978 (28,530) 591,448 1,921,438 59,675 1,861,763 1,921,438 |
|---|---|---|---|
| 1,329,990 591,448 |
|||
| 1,921,438 | |||
| 59,675 1,861,763 |
|||
| 1,921,438 |
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 30 September 2025.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the trustees on 12 March 2026
R Bibby (Chair) Trustee
- 6 -
FARRADAY HOUSE LIMITED
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 SEPTEMBER 2025
| 2025 Notes £ £ Cash flows from operating activities Cash generated from operations 24 90,634 Investing activities Purchase of tangible fixed assets (89,946) Purchase of investments (500,000) Investment income received 11,327 Net cash used in investing activities (578,619) Net cash generated from financing activities - Net (decrease)/increase in cash and cash equivalents (487,985) Cash and cash equivalents at beginning of year 604,021 Cash and cash equivalents at end of year 116,036 |
2024 £ (36,781) - 1,738 |
£ 91,043 (35,043) - 56,000 548,021 604,021 |
|---|---|---|
- 7 -
FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2025
1 Accounting policies
Charity information
Farraday House Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is Farraday House, Cottam Street, Bury, Lancashire, BL8 1QQ.
1.1 Basis of preparation
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)". The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity.
The financial statements 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 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
1.4 Income
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.
Interest is recognised as the charity's right to receive payment is established.
- 8 -
FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
1 Accounting policies
(Continued)
1.5 Expenditure
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.
• Charitable activities expenditure comprises these costs incurred by the charity in the delivery of its services for its beneficiaries.
• Governance costs include those incurred in the governance of the charity and its assets and are primarily associated with constitutional and statutory requirements.
1.6 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 land and buildings 4% per annum straight line Improvements to Property 4% per annum straight line Fixtures and fittings 15% per annum on reducing balance Computer equipment 25% per annum 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 the statement of financial activities.
1.7 Fixed asset investments
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.
1.8 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible 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).
1.9 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.
1.10 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.
- 9 -
FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
1 Accounting policies
(Continued)
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 payments 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.
1.11 Taxation
No provision has been made for taxation as exemption from taxation has been granted by the Inland Revenue under the provisions of Section 505 of the Income and Corporation Taxes Act 1988 .
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 Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.14 Social Housing Grant (SHG)
SHG received as a contribution towards the capital costs of a scheme is shown in the Housing Properties note. Where properties are included at historical cost the total grant receivable is deducted from the cost of housing properties. This treatment contravenes the Companies Act but is necessary to show a true and fair view.
SHG is subordinated to the repayment of loans by agreement with the Housing Corporation. SHG released on sale of a property may be repayable but is normally available to be recycled and is credited to a recycled Capital Grant Fund or Disposal Proceeds Fund and included in the balance sheet in creditors.
- 10 -
FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
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.
3 Income from charitable activities
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2025 | 2024 | |
| £ | £ | |
| Charitable activities | ||
| Gross rent receivable | 551,992 | 527,689 |
| Less: Losses from voids | (24,444) | (18,058) |
| Rent receivable | 527,548 | 509,631 |
4 Income from investments
| Unrestricted | Unrestricted | ||
|---|---|---|---|
| funds | funds | ||
| 2025 | 2024 | ||
| £ | £ | ||
| Interest receivable | 11,327 | 1,738 | |
| 5 | Other income |
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2025 | 2024 | |
| £ | £ | |
| Miscellaneous income | 200 | 884 |
- 11 -
FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
6 Expenditure on charitable activities
| Charitable | Charitable | |
|---|---|---|
| activities | activities | |
| 2025 | 2024 | |
| £ | £ | |
| Direct costs | ||
| Staff costs | 214,885 | 203,588 |
| Depreciation and impairment | 68,040 | 65,688 |
| Rates and water | 15,831 | 12,430 |
| Light and heat | 41,695 | 43,944 |
| Repairs and maintenance | 52,748 | 52,048 |
| Food and other household costs | 56,672 | 52,308 |
| Telephone | 3,497 | 3,723 |
| Printing, stationary and advertising | 2,232 | 1,093 |
| Miscellaneous expenses | 3,527 | 2,998 |
| Insurance | 7,792 | 7,858 |
| Bank charges and interest | 365 | 480 |
| 467,284 | 446,158 | |
| Share of support and governance costs (see note 7) | ||
| Governance | 31,359 | 33,090 |
| 498,643 | 479,248 | |
| Analysis by fund | ||
| Unrestricted funds | 489,389 | 470,027 |
| Restricted funds | 9,254 | 9,221 |
| 498,643 | 479,248 | |
| Support costs allocated to activities | ||
| 2025 | 2024 | |
| £ | £ | |
| Governance costs | 31,359 | 33,090 |
| Analysed between: | ||
| Charitable activities | 31,359 | 33,090 |
7 Support costs allocated to activities
- 12 -
FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
| 8 | Net movement in funds | 2025 | 2024 |
|---|---|---|---|
| £ | £ | ||
| The net movement in funds is stated after charging/(crediting): | |||
| Fees payable to the charity's independent examiner: | |||
| - for the independent examination of the charity's financial statements | 4,616 | - | |
| - for the audit of the charity's financial statements | - | 10,040 | |
| - for other financial services | 3,936 | 1,219 | |
| Depreciation of owned tangible fixed assets | 68,040 | 65,688 |
9 Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
£500 (2024: £1,000) was paid to one trustee in respect of reimbursed costs for the use of Wi-Fi whilst travelling. There were no other trustee expenses paid.
10 Employees
The average monthly number of employees during the year was:
| Office Wardens, caretakers and cleaners Total Employment costs Wages and salaries Social security costs Other pension costs |
2025 Number 1 10 11 2025 £ 203,065 8,700 3,120 214,885 |
2024 Number 2 10 |
|---|---|---|
| 12 | ||
| 2024 £ 191,944 8,609 3,035 |
||
| 203,588 |
There were no employees whose annual remuneration was more than £60,000.
Remuneration of key management personnel
None of the directors were paid any remuneration during the year for services as directors. The directors are considered to be the only key management personnel and thus amounts paid by the charity to key management personnel was nil in 2025 and 2024.
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FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
11 Gains and losses on investments
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2025 | 2024 | |
| Gains/(losses) arising on: | £ | £ |
| Revaluation of investments | 31,055 | 48,632 |
12 Taxation
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
13 Tangible fixed assets
| Freehold land and buildings Improvements to Property Fixtures and fittings £ £ £ Cost At 1 October 2024 1,308,519 285,049 153,641 Additions - 89,946 - At 30 September 2025 1,308,519 374,995 153,641 Depreciation and impairment At 1 October 2024 758,456 52,837 126,623 Depreciation charged in the year 48,961 14,635 4,282 At 30 September 2025 807,417 67,472 130,905 Carrying amount At 30 September 2025 501,102 307,523 22,736 At 30 September 2024 550,063 232,212 27,018 |
Computer equipment £ 1,922 - 1,922 1,435 162 1,597 325 487 |
Total £ 1,749,131 89,946 |
|---|---|---|
| 1,839,077 | ||
| 939,351 68,040 |
||
| 1,007,391 | ||
| 831,686 | ||
| 809,780 |
The cost of freehold land and buildings brought forward is stated net of a Social Housing Grant received in a prior period of £991,667.
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FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
14 Fixed asset investments
| Listed | ||
|---|---|---|
| investments | ||
| £ | ||
| Cost or valuation | ||
| At 1 October 2024 | 520,210 | |
| Valuation changes | 31,055 | |
| At 30 September 2025 | 551,265 | |
| Carrying amount | ||
| At 30 September 2025 | 551,265 | |
| At 30 September 2024 | 520,210 | |
| 2025 | 2024 | |
| Investments at market value comprise: | £ | £ |
| AJ Bell Investcentre General Investment Account | 551,265 | 520,210 |
The investment manager is responsible for managing the investment portfolio in the best interests of the charity which may involve the purchase and sale of shares. Any gains on the sale of shares are reinvested directly in the fund and are therefore treated as unrealised by the charity.
Investments within the General Investment Account are valued on the basis of mid-market prices from the appropriate Stock Exchange or from the relevant fund manager at the balance sheet date. The increase in value of the investments amounting to £31,055 is an unrealised gain to be disclosed under Charities SORP 2019 and does not reflect any actual gains realised by the charity from sales of investments.
15 Debtors
| Amounts falling due within one year: Other debtors Prepayments and accrued income 16 Current asset investments Treasury bond |
2025 £ 5,090 9,532 14,622 2025 £ 500,000 |
2024 £ - 15,957 |
|---|---|---|
| 15,957 | ||
| 2024 £ - |
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FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
17 Creditors: amounts falling due within one year
| 17 Creditors: amounts falling due within one year |
||
|---|---|---|
| Other taxation and social security Trade creditors Other creditors Accruals and deferred income 18 Retirement benefit schemes Defined contribution schemes Charge to profit or loss in respect of defined contribution schemes |
2025 £ 3,459 6,598 1,642 8,985 20,684 2025 £ 3,120 |
2024 £ 3,086 8,489 2,235 14,720 |
| 28,530 | ||
| 2024 £ 3,035 |
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
19 Restricted funds
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
| At | 1 | October | Resources | At 30 | ||
|---|---|---|---|---|---|---|
| 2024 | expended | September | ||||
| 2025 | ||||||
| £ | £ | £ | ||||
| Restricted | fund | 59,675 | (9,254) | 50,421 | ||
| Previous | year: | At | 1 | October | Resources | At 30 |
| 2023 | expended | September | ||||
| 2024 | ||||||
| £ | £ | £ | ||||
| Restricted | fund | 68,896 | (9,221) | 59,675 |
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FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
20 Unrestricted funds
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
| At Unrestricted fund Previous year: At Unrestricted fund |
1 October 2024 £ 1,861,763 1 October 2023 £ 1,770,905 |
Incoming resources Resources expended Gains and losses At 30 September 2025 £ £ £ £ 539,075 (489,389) 31,055 1,942,504 Incoming resources Resources expended Gains and losses At 30 September 2024 £ £ £ £ 512,253 (470,027) 48,632 1,861,763 |
|---|---|---|
21 Analysis of net assets between funds
| Unrestricted Restricted funds funds 2025 2025 £ £ At 30 September 2025: Tangible assets 781,265 50,421 Investments 551,265 - Current assets/(liabilities) 609,974 - 1,942,504 50,421 Unrestricted Restricted funds funds 2024 2024 £ £ At 30 September 2024: Tangible assets 750,105 59,675 Investments 520,210 - Current assets/(liabilities) 591,448 - 1,861,763 59,675 |
Total 2025 £ 831,686 551,265 609,974 |
|---|---|
| 1,992,925 | |
| Total 2024 £ 809,780 520,210 591,448 |
|
| 1,921,438 |
22 Financial commitments, guarantees and contingent liabilities
Total financial commitments at 30 September 2025 which are not included in the balance sheet are £1,716 (2024: £2,652).
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FARRADAY HOUSE LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2025
23 Related party transactions
David Wolfenden, who is a trustee of the charity, is a self-employed decorator and during the year the charity paid £690 (2024: £1,405) to him for decorating services.
| 24 | Cash generated from operations | 2025 | 2024 |
|---|---|---|---|
| £ | £ | ||
| Surplus for the year | 71,487 | 81,637 | |
| Adjustments for: | |||
| Investment income recognised in statement of financial activities | (11,327) | (1,738) | |
| Fair value gains and losses on investments | (31,055) | (48,632) | |
| Depreciation and impairment of tangible fixed assets | 68,040 | 65,688 | |
| Movements in working capital: | |||
| Decrease/(increase) in debtors | 1,335 | (2,360) | |
| (Decrease) in creditors | (7,846) | (3,552) | |
| Cash generated from operations | 90,634 | 91,043 |
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FARRADAY HOUSE LIMITED
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF FARRADAY HOUSE LIMITED
I report to the trustees on my examination of the financial statements of Farraday House Limited (the charity) for the year ended 30 September 2025.
Responsibilities and basis of report
As the trustees of the charity (and also its directors for the purposes of company law), you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006.
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the Companies Act 2006 and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011.
Independent examiner's statement
Since the charity’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
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 that in any material respect:
-
1 accounting records were not kept in respect of the charity as required by section 386 of the Companies Act 2006.
-
2 the financial statements do not accord with those records; or
-
3 the financial statements do not comply with the accounting requirements of section 396 of the Companies Act 2006 other than any requirement that the financial statements give a true and fair view, which is not a matter considered as part of an independent examination; or
-
4 the financial statements 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 financial statements 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 financial statements to be reached.
Catherine Cole BA FCA
ICAEW
Pierce (Bolton) Limited Hazlemere 70 Chorley New Road Bolton Lancashire BL1 4BY 13 March 2026
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