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2022-06-24-accounts

Charity number: 224098

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 24 JUNE 2022

LADY ELIZABETH HASTINGS' ESTATE CHARITY

CONTENTS

Page
Reference and administrative details of the charity, its trustee and advisers 1
Trustee's Report 2 - 8
Independent Auditor's Report on the Financial Statements 9 - 12
Statement of Financial Activities 13
Balance Sheet 14
Statement of Cash Flows 15
Notes to the Financial Statements 16 - 29

LADY ELIZABETH HASTINGS' ESTATE CHARITY

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 24 JUNE 2022

Trustee The LadyElizabeth Hastings' Charities Trustee Limited
Charity registered number
224098
Principal office
C/o Carter Jonas
82 Micklegate
York
YO1 6LF
Independent auditor
BHP LLP
Statutory Auditor
Rievaulx House
1 St Mary's Court
Blossom Street
York
YO24 1AH
Bankers
Barclays Bank plc
Level 27
1 Churchill Place
London
E14 5HP
Solicitors
Grays
Duncombe Place
York
YO1 7DY
Clerk and agent
Mr Andrew Fallows
C/o Carter Jonas
82 Micklegate
York
YO1 6LF
Investment manager
Waverton Investment Management Limited
16 Babmaes Street
London
SW1Y 6AH
Investment manager
CCLA
Senator House
85 Queen Street
London
EC4V 4ET

Page 1

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT

FOR THE YEAR ENDED 24 JUNE 2022

The Trustee presents the annual report together with the audited financial statements of the charity for the 25 June 2021 to 24 June 2022. The trustee has adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) 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 the notes to the accounts and comply with the charity's governing document, the Charities Act 2011 and 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 published in October 2019.

The Trustee

The Trustee who served the charity during the period was The Lady Elizabeth Hastings' Charities Trustee Limited, whose purpose is to act as a trust corporation, to undertake and perform the office and duties of trustee, and is the sole trustee of the Charity.

The Directors of the Trustee Company were as follows: Rev Canon C Wilton Mr C M P Granger Mr P J Warry Mr J E Sharp Mr S J Hartley Mr S Close Ven P K Townley Ms D Younge

The Directors are each appointed based upon a skills audit specifically knowledge of the community within the areas of benefit, knowledge of the clergy, financial, legal and property experience. A review of the relevant experience is carried out annually. Induction for new Directors is carried out by the Clerk and appropriate Trustee training is provided. Despite the constraints imposed by the Coronavirus restrictions, the Directors continued to meet regularly during the period via the use of technology.

Objectives and activities

a. Policies and objectives

The Lady Elizabeth Hastings Estate Charity holds and manages all the property and Stock Exchange investments, and collects the income and pays the expenses of management, property repairs, maintenance and insurance.

The Trustee has the discretion over the allocation of funds between the Education Foundation and Non-Educational Charity.

In the current year the Lady Elizabeth Hastings Education Foundation received 44% of the net income distributed by the Estate Charity and allocates this in accordance with the Scheme, mainly by way of:

Page 2

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT (CONTINUED)

FOR THE YEAR ENDED 24 JUNE 2022

Objectives and activities (continued)

In the current year the Lady Elizabeth Hastings Non-Educational Charity received 56% of the net income distributed by the Estate Charity and makes grants in accordance with the Scheme, mainly by way of:

Whilst the number of grants decreased in both the educational and the non-educational charities, with 119 educational applications supported and 120 of non-educational applications, the Charity has increased its grant-making (£447,784) in 2021/22 by £143,389, a increase of 47% (2020/21: £304,395).

Major grants made included Shadwell Primary School (£21,000), Lady Hastings' School, Collingham (£15,306), Lady E Hastings' Primary School, Ledston (£21,385) and The Wheler Foundation (£50,000).

The Directors are preparing for an increased demand for grants both educational and non-educational in the coming year as school and churches start to come out of the pandemic, with associated pressures on finances and clergy and pupil wellbeing.

The impact of Covid became evident with the requests the Charity received, a lot of outside space had been neglected.

The Clerk and Director Dawn Younge (Director assigned to Schools) visited Lady Elizabeth Hastings, Ledston School, Shadwell School and Lady Elizabeth Hastings, Collingham School before making grant awards, all three schools had requested substantial amounts for assistance with regards to developing outside space. Their funds have been used for additional cleaning and supply staff, because Covid. A visit to Thorp Arch School to reach out to the new head starting in September 2022, to explain where the Charity could help with resources. The school has been struggling in recent years with several changes of staff. The Chair, Chris Wilton and Vice Chair, Jonathan Sharp attended the opening of the newly refurbished outside space at Lady Elizabeth Hastings, Ledston School.

As we slowly emerged from lockdown and communities were able to meet again, we had two community grant requests and made contributions of £5,000 to Shadwell Tennis Club in need of major refurbishment and Shadwell Cricket Ground needed to replace nets.

The Charity has also supported a few individuals including a teenager and paid for therapy and counselling.

A tour of the agricultural estate for the Directors took place in May.

The Trustee confirms that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit in setting the objectives and planning the activities of the organisation. Further details on how the charity has carried out its activities for public benefit are given in the section on Achievements and Performance below.

b. Restrictions in the way in which the Charities can operate

Areas of benefit are in accordance with the Scheme and grants are allocated at the discretion of the Trustee.

Page 3

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT (CONTINUED)

FOR THE YEAR ENDED 24 JUNE 2022

Objectives and activities (continued)

c. Investment policy

Investment in land, property or Stock Exchange securities are subject to the provisions of the Scheme dated 10 April 2012, the Trustees Investment Act 2000 and the relevant provisions of the Charities Act 2011.

d. Investment policy

To take a long term view with regard to investment policies in order to maintain and increase capital values while at the same time increasing the income specifically, and reflecting professional advice on the balance between property and other investments.

1. Property

To obtain appropriate professional advice on property decisions, and to maintain the condition of its property portfolio in a good state of repair and where appropriate to make capital improvements to maintain or increase value and rental income in accordance with professional advice.

2. Other Investments

To obtain appropriate professional advice on investment decisions, in particular, taking advice from the Church of England Ethical Investment Advisory Group (EIAG) to ensure a distinctly Christian approach to investment.

A separate Investment Committee reports to the Board of Directors in respect of the investment policy. The committee has overseen the introduction of two separate investment managers who are both specialists in the field of charity investment and the development of appropriate mandates for the advisors. Whilst committed to its origins as a land based charity, the Board monitor the balance between land and financial instruments with a view to obtaining both sustainable capital growth and keeping pace with inflation in the sums available for distribution. The individual portfolio managers report quarterly to the Board of Directors and personally address the Board once a year. The Directors have appointed an independent advisor with substantial investment experience to review the balance and performance of the investment portfolio over the coming year. He oversaw the change of one independent manger following a competitive exercise in conjunction with the Investment Committee.

Page 4

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT (CONTINUED)

FOR THE YEAR ENDED 24 JUNE 2022

Achievements and performance

a. Main achievements of the charity

Investment income for the year ended 24 June 2022 was £665,326 compared with £627,582 in the previous year, a increase of 6%.

Within investment income, the total income from investment properties was £344,522 (2021: £317,990), an increase of £26,532. The investment property yield calculated using the simple average of opening and closing property values was 3.3% (2021: 3.2%).

Income from listed investments increased by 3.7% to £320,338 (2021: decrease by 4.9% to £308,974). The investment yield on these investments, again calculated using the simple average of opening and closing investment values, was 2.7% (2021: 2.6%). The current year figure for investment income less costs of generating funds and governance costs was £473,521 (2021: £354,161). Calculated as a proportion of the simple average of opening and closing total investment values this gives a return of 2.1% (2021: 1.6%).

The Educational Foundation made 119 individual grants totalling £255,184 in addition to the fixed yearly payments and grants to schools (2021: 145 grants totalling £126,656).

The Non-Educational Charity made individual grants to 120 clergy and their dependents totalling £192,600 in addition to fixed yearly payments, grants to the Churches and grants to the poor (2021: 132 totalling £177,739).

After completion of the charitable activities for the year the Charity showed a surplus on restricted funds of £25,737 (2021: surplus of £49,766) before gains/(losses) on investment assets. Loss on investments were £692,008 (2021: Gain of £1,776,001). After taking account of these the overall deficit for the year is £666,271 (2021: Surplus of £1,825,767).

The Charity maintains sufficient cash resources to enable its obligations to be met as needed. The use of a second investment manager provides a visible measure of performance providing benchmarking against industry standards and agreed policies on revenue and capital growth as agreed by the Investment Committee.

b. Fixed assets

The Charity's freehold and leasehold investment properties were revalued on 24 June 2020 on an open market basis by Strutt & Parker LLP. The next quinquennial valuation is due on 24 June 2025.

The Charity purchased 119 acres of agricultural land at Bardsey in 2021 and subsequently let the land at a market rent, maintaining the balance in the portfolio and offsetting previous disposals. The investment also strengthens the connection with the community at Bardsey.

c. Commitments

At 24 June 2022 under the Scheme of the Charity, the Educational Foundation and Non-Educational Charity make yearly payments to specified recipients out of the income for each year.

The yearly payments of the Educational Foundation are detailed in Clause 11(1)(b/c/d/e) of the Scheme; subject to the availability of funds the amount due for payment next year is £17,250 (2021: £17,250).

The yearly payments of the Non-Educational Charity are detailed in Clause 13(1)(c/d/e) of the Scheme; subject to the availability of funds the amount due for payment next year is £6,600 (2021: £6,600).

Page 5

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT (CONTINUED)

FOR THE YEAR ENDED 24 JUNE 2022

Achievements and performance (continued)

d. Information on fundraising practices

The Charity does not carry out any direct fundraising activity.

Financial review

a. Going concern

Covid-19 has impacted upon the commercial rents received and the investment income received. The Directors anticipate greater pressure on their retail commercial investments although their exposure to food retail is not considered to be under pressure. Dividend income will also be under pressure however the nature of the CCLA investment makes this income stream less vulnerable. The Directors continue to review the asset base with regard to the wider economy with a view to achieving a balanced portfolio.

The Directors have reviewed the performance of their asset base against their obligations and do not believe there are any concerns in adopting the going concern basis.

b. Reserves policy

Funds carried forward at 24 June 2022 are £22,819,639 (2021: £23,485,910) of which £1,063,239 (2021: £1,062,896) are restricted funds and £21,756,400 (2021: £22,423,014) are endowment funds. The charity does not have any unrestricted funds. Restricted funds represent funds generated by the Estate Charity, from rentals and investments, for distribution to the Educational Foundation and the Non-Educational Charity. At 24 June 2022 these funds together with the Extraordinary Repair fund amounted to £1,063,239 (2021: £1,062,896). This provides sufficient funds to cover management and administration and support costs and to fund the Educational Foundation and the Non-Educational Charity. The trustee is satisfied that these levels can be sustained for the future. The Educational Foundation and the NonEducational Charity retain a minimum level of reserves only, as the Scheme states that all of their income should be distributed by way of grants as applications arise. At 24 June 2022 the Educational Foundation's reserves were £145,117 (2021: £243,263). The Non-Educational Charity reserves were £207,742 (2021: £194,266).

c. Grant making policy

The Charity invites applications for funding. The applications are reviewed against the criteria as set out in the Deed in quarterly meetings. In the current year the Trustee has awarded grants in exercise of their discretion.

d. Risk management

The trustee has assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks. The major risk is the management of the charities' investment portfolios. The trustee manages this risk by the appointment of a professional clerk and agent and experienced investment advisors. The trustee has taken the positive step of splitting the investment portfolio between two investment managers in order to manage and mitigate risk to the Charity.

Page 6

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT (CONTINUED)

FOR THE YEAR ENDED 24 JUNE 2022

Structure, governance and management

a. Constitution

The Charity was founded by a Deed on 14 December 1738 and comprises three distinct charities, The Lady Elizabeth Hastings Estate Charity, The Lady Elizabeth Hastings Education Foundation, and The Lady Elizabeth Hastings NonEducational Charity.

The Charities are now governed by a Scheme dated 10 April 2012.

b. Methods of appointment or election of Trustee

The management of the charity is the responsibility of the directors of the trustee company, who are appointed under the terms of the articles of association of the company.

Plans for future periods

The Trustee plans to continue to review the balance between the property and investment portfolios in order to ensure the income potential is maximised to enable them to meet their future charitable obligations.

The Trustee will continue to try raise awareness of the availability of support to qualifying potential beneficiaries via the Educational Foundation and the Non-Educational Charity.

Statement of Trustee's responsibilities

The Trustee is responsible for preparing the Trustee's Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England & Wales requires the Trustee to prepare financial statements for each financial which give a true and fair view of the state of affairs of the charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustee is required to:

The Trustee is responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 7

LADY ELIZABETH HASTINGS' ESTATE CHARITY

TRUSTEE'S REPORT (CONTINUED) FOR THE YEAR ENDED 24 JUNE 2022

Disclosure of information to auditor

The Trustee at the time when this Trustee's Report is approved has confirmed that:

Auditor

The auditor, BHP LLP, has indicated their willingness to continue in office. The designated Trustee will propose a motion reappointing the auditor at a meeting of the Trustee.

Approved by order of the members of the board of Trustee and signed on their behalf by:

The Reverend Canon Christopher Wilton

Signed on behalf of The Lady Elizabeth Hastings' Charities Trustee Limited

Date: 7 October 2022

Page 8

LADY ELIZABETH HASTINGS' ESTATE CHARITY

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF LADY ELIZABETH HASTINGS' ESTATE CHARITY

Opinion

We have audited the financial statements of Lady Elizabeth Hastings' Estate Charity (the 'charity') for the year ended 24 June 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustee's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustee with respect to going concern are described in the relevant sections of this report.

Page 9

LADY ELIZABETH HASTINGS' ESTATE CHARITY

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF LADY ELIZABETH HASTINGS' ESTATE CHARITY (CONTINUED)

Other information

The other information comprises the information included in the Trustee's report, other than the financial statements and our auditors' report thereon. The trustee is responsible for the other information contained within the Trustee's report. Our opinion on the Trustee's report does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustee

As explained more fully in the Trustee's responsibilities statement, the trustee is responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustee determine is necessary to enable the preparation of Trustee's report that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustee is responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustee either intends to liquidate the charity or to cease operations, or has no realistic alternative but to do so.

Page 10

LADY ELIZABETH HASTINGS' ESTATE CHARITY

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF LADY ELIZABETH HASTINGS' ESTATE CHARITY (CONTINUED)

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that act.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

To address the risks of fraud through management override controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

Page 11

LADY ELIZABETH HASTINGS' ESTATE CHARITY

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF LADY ELIZABETH HASTINGS' ESTATE CHARITY (CONTINUED)

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards and-guidance-for-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx. This description forms part of our auditors' report.

Use of our report

This report is made solely to the charity's trustee, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustee those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustee, as a body, for our audit work, for this report, or for the opinions we have formed.

BHP LLP

Statutory Auditor Rievaulx House 1 St Mary's Court Blossom Street York YO24 1AH

Date: 13 October 2022

BHP LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 12

LADY ELIZABETH HASTINGS' ESTATE CHARITY

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 24 JUNE 2022

Note
Income and endowments from:
Investments
2
Total income and endowments
Expenditure on:
Raising funds
3
Charitable activities
4
Total expenditure
Net income/(expenditure) before net
(losses)/gains on investments
Net (losses)/gains on investments
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Restricted
funds
2022
£
665,326
665,326
171,800
466,577
638,377
26,949
(26,606)
343
1,062,896
343
1,063,239		 Endowment
funds
2022
£
-
-
1,212
-
1,212
(1,212)
(665,402)
(666,614)
22,423,014
(666,614)
21,756,400		 Total
funds
2022
£
665,326
665,326
173,012
466,577
639,589
25,737
(692,008)
(666,271)
23,485,910
(666,271)
22,819,639		 Total
funds
2021
£
627,582
627,582
256,895
320,921
577,816
49,766
1,776,001
1,825,767
21,660,143
1,825,767
23,485,910

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 16 to 29 form part of these financial statements.

Page 13

LADY ELIZABETH HASTINGS' ESTATE CHARITY

BALANCE SHEET

AS AT 24 JUNE 2022

Note
Fixed assets
Intangible assets
8
Investments
10
Investment property
9
Current assets
Debtors
11
Cash at bank and in hand
Creditors: amounts falling due within one year
12
Net current assets
Total net assets
Charity funds
Endowment funds
13
Restricted funds
13
Total funds		 27,554
549,569
577,123
(98,273)		 2022
£
6,867
11,760,836
10,573,086
22,340,789
478,850
22,819,639
21,756,400
1,063,239
22,819,639		 44,555
539,495
584,050
(62,903)		 2021
£
8,079
12,399,978
10,556,706
22,964,763
521,147
23,485,910
22,423,014
1,062,896
23,485,910

The financial statements were approved and authorised for issue by the Trustee and signed on their behalf by:

The Reverend Canon Christopher Wilton

Signed on behalf of The Lady Elizabeth Hastings' Charities Trustee Limited

Date: 7 October 2022

The notes on pages 16 to 29 form part of these financial statements.

Page 14

LADY ELIZABETH HASTINGS' ESTATE CHARITY

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 24 JUNE 2022

Note
Cash flows from operating activities
Net cash used in operating activities
15
Cash flows from investing activities
Dividends, interests and rents from investments
Purchase of investment property
Purchase of intangible assets
Proceeds from sale of investments
Purchase of investments
Net cash provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
16		 2022
£
(586,007)
665,326
-
-
5,307,651
(5,376,896)
596,081
10,074
539,495
549,569		 2021
£
(585,680)
627,582
(1,242,047)
(8,483)
2,411,847
(1,412,616)
376,283
(209,397)
748,892
539,495

The notes on pages 16 to 29 form part of these financial statements

Page 15

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

1. Accounting policies

1.1 Basis of preparation of financial statements

The financial statements 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) (issued in October 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following the 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 issued in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Lady Elizabeth Hastings' Estate Charity meets the definition of a public benefit entity under FRS 102. The financial statements are presented in sterling which is the functional currency of the charity, and rounded to the nearest £.

1.2 Going concern

The financial statements are prepared on the going concern basis. The Trustee has reasonable expectation based on income forcasts, that the charity can continue to meet its liabilities as the fall due and will continue in operational existence for the forseeable future.

1.3 Income

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

1.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

Costs of raising funds are costs incurred in attracting investment income.

Charitable activities and governance costs are costs incurred on the charity's operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

Page 16

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

1. Accounting policies (continued)

1.4 Expenditure (continued)

All expenditure is inclusive of irrecoverable VAT.

1.5 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

1.6 Taxation

The charity is considered to pass the tests set out in Sch. 6, para. 1 of the Finance Act 2010 and therefore it meets the definition of a charity for UK income tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Income Tax Act 2007, Part 10 s521 – s537 or s. 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

1.7 Intangible assets and amortisation

Intangible assets are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life.

Amortisation is provided on the following basis:

Land entitlements - 7 years

1.8 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of Financial Activities.

1.9 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Page 17

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

1. Accounting policies (continued)

1.10 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.11 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

1.12 Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

1.13 Fund accounting

Endowment funds represent those assets which must be held permanently by the charity, principally the property and investments allotted to the charity on it's foundation, adjusted to reflect additions, disposals and changes in market value. Income arising on the endowment funds can be used in accordance with the objects of the estate charity fund and is included as restricted income.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

Page 18

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

2. Investment income

Income from UK investment properties
Income from listed investments
Bank interest receivable
Total 2021		 Restricted
funds
2022
£
344,522
320,338
466
665,326
627,582		 Total
funds
2022
£
344,522
320,338
466
665,326
627,582		 Total
funds
2021
£
317,990
308,974
618
627,582

3. Investment management costs

Investment portfolio management fees
Investment property management fees
Educational Foundation clerical fees
Non-Educational Charity clerical fees
Repairs
Insurance
Rates, light and heat
Bad debt provision
Legal and professional
Amortisation
Total 2021		 Restricted
funds
2022
£
29,433
41,184
18,504
18,504
33,097
31,395
6,576
(32,469)
25,576
-
171,800
256,491		 Endowment
funds
2022
£
-
-
-
-
-
-
-
-
-
1,212
1,212
404		 Total
funds
2022
£
29,433
41,184
18,504
18,504
33,097
31,395
6,576
(32,469)
25,576
1,212
173,012
256,895		 Total
funds
2021
£
31,553
35,876
18,504
18,504
64,396
28,715
3,492
32,469
22,982
404
256,895

Page 19

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

4. Expenditure on charitable activities

Grants (non-educational charity) (note 5)
Grants (educational foundation) (note 5)
Expenditure on governance (note 6)		 Restricted
funds
2022
£
192,600
255,184
447,784
18,793
466,577		 Total
funds
2022
£
192,600
255,184
447,784
18,793
466,577		 Total
funds
2021
£
177,739
126,656
304,395
16,526
320,921

All grants and governance costs incurred in the prior year are restricted.

5. Grants expenditure

2022 2021
£ £
Grants(non-educational charity)
Yearly payments(clause 13(1)(c,d,e)) 10,425 9,224
Grants(clause 13(1)(a)) 21,500 16,352
Grants(clause 13(1)(b)(i to iv) 158,785 151,263
Grants (clause 13(b)(v)) 1,890 900
192,600 177,739
Grants(educationalfoundation)
Yearly payments(clause 11(1)(b,c,e)) 12,000 8,571
Special benefits(clause 11(1)(d)) 15,000 14,433
Scholarships andgrants(clause 11(1)(a)) 226,227 101,542
School leavers bibles 1,957 2,110
255,184 126,656

Page 20

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

6. Governance costs

Audit fees (note 7)
Accountancy fees (note 7)
Office costs
Website and domain charges
Costs of trustee's meetings and rent days
Total 2021		 Restricted
funds
2022
£
7,800
5,640
2,961
108
2,284
18,793
16,526		 Total
funds
2022
£
7,800
5,640
2,961
108
2,284
18,793
16,526		 Total
funds
2021
£
7,320
5,280
2,710
108
1,108
16,526

7. Net income/(expenditure)

This is stated after charging:

2022 2021
£ £
Auditor's remuneration - audit 7,800 7,320
Auditor's remuneration - accountancy 5,640 5,280

During the year, no Trustee received any remuneration or other benefits (2021 - £nil). During the year, no Trustee received any reimbursement of expenses (2021 - £nil).

Page 21

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

8. Intangible assets

Cost
At 25 June 2021
At 24 June 2022
Amortisation
At 25 June 2021
Charge for the year
At 24 June 2022
Net book value
At 24 June 2022
At 24 June 2021		 Land
entitlements
£
8,483
8,483
404
1,212
1,616
6,867
8,079

Page 22

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

9. Investment property

Valuation
At 25 June 2021
Additions
At 24 June 2022		 Freehold
investment
property
£
10,556,706
16,380
10,573,086

The valuations were made by Strutt & Parker on 24 June 2020, on an open market value for existing use basis. The historic cost of investment property held as at the year end is £3,718,734 (2021: £3,702,354).

Included in the above are the following investment properties which account for more than 5% of the total portfolio value:

Moor End Farm, Boston Spa
Lilac Farm, Collingham
Land at Bardsey		 2022
£
1,731,600
1,091,124
1,220,000
4,042,724		 2021
£
1,731,600
1,091,124
1,220,000
4,042,724

10. Fixed asset investments

Cost or valuation
At 25 June 2021
Additions
Disposals
Revaluations
At 24 June 2022		 Listed
investments
£
11,795,873
5,360,516
(5,121,152)
(692,007)
11,343,230		 Cash held in
investment
portfolio
£
599,975
-
(186,499)
-
413,476		 Other fixed
asset
investments
£
4,130
-
-
-
4,130		 Total
£
12,399,978
5,360,516
(5,307,651)
(692,007)
11,760,836

Page 23

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

10. Fixed asset investments (continued)

The historic cost of listed investments as at the balance sheet date is £9,915,540 (2021: £7,324,068), cash held in the investment portfolio is £413,476 (2021: £599,975) and other investments is £4,130 (2021: £4,130).

The only non-UK investment assets are non-UK equities with a market value at the Balance Sheet date of £3,767,223 (2021: £2,321,208).

There are no listed investments that account for more than 5% of the total portfolio value at 24 June 2022.

11. Debtors

Due within one year
Other debtors
Prepayments and accrued income		 2022
£
3,630
23,924
27,554		 2021
£
6,034
38,521
44,555

12. Creditors: Amounts falling due within one year

Trade creditors
Rents in advance
Accruals and deferred income		 2022
£
44,431
8,657
45,185
98,273		 2021
£
23,788
2,125
36,990
62,903

Page 24

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

13. Statement of funds

Statement of funds
Statement of funds - current year
Balance at 25
June 2021
£
Endowment funds
Endowment Fund
22,423,014
Restricted funds
Estate Charity
408,315
Educational
Foundation
243,263
Non-Educational
Charity
194,266
Extraordinary
Repair Fund
217,052
1,062,896
Total of funds
23,485,910		 Income
£
-
665,326
-
-
-
665,326
665,326		 Expenditure
£
(1,212)
(151,426)
(274,788)
(212,163)
-
(638,377)
(639,589)		 Transfers
in/out
£
-
(402,281)
176,642
225,639
-
-
-		 Gains/
(Losses)
£
(665,402)
-
-
-
(26,606)
(26,606)
(692,008)		 Balance at 24
June 2022
£
21,756,400
Endowment funds
Endowment Fund
Restricted funds
Estate Charity
Educational
Foundation
Non-Educational
Charity
Extraordinary
Repair Fund
Total of funds
519,934
145,117
207,742
190,446
1,063,239
22,819,639

Page 25

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

13. Statement of funds (continued)

Statement of funds - prior year
Balance at
25 June 2020
£
Endowment funds
Endowment Fund
20,689,196
Restricted funds
Estate Charity
462,321
Educational
Foundation
183,240
Non-Educational
Charity
150,113
Extraordinary
Repair Fund
175,273
970,947
Total of funds
21,660,143		 Income
£
-
627,582
-
-
-
627,582
627,582		 Expenditure
£
(404)
(235,753)
(146,038)
(195,621)
-
(577,412)
(577,816)		 Transfers
in/out
£
-
(445,835)
206,061
239,774
-
-
-		 Gains/
(Losses)
£
1,734,222
-
-
-
41,779
41,779
1,776,001		 Balance at
24 June 2021
£
22,423,014
Endowment funds
Endowment Fund
Restricted funds
Estate Charity
Educational
Foundation
Non-Educational
Charity
Extraordinary
Repair Fund
Total of funds
408,315
243,263
194,266
217,052
1,062,896
23,485,910

Page 26

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

Description of funds

The Endowment Fund represents the UK investment properties and a large proportion of the listed investments for the purpose of generating sufficient income for the continuing of the charity's objects.

The Estate Charity fund manages all the property and investments, and collects the income and pays the expenses of management, property repairs, maintenance and insurance. The Estate Charity also makes equal payments to the Educational Foundation and the Non-Educational Charity for application in accordance with those funds.

The Educational Foundation receives income from the Estate Charity to be applied in accordance with the Scheme, mainly by way of grants to specific schools and to residents in the areas of benefit.

The Non-Educational Charity receives income from the Estate Charity to be applied in accordance with the Scheme, mainly by way of grants to specific churches and to clergy and their dependents in the areas of benefit and to the poor in defined parishes.

The Extraordinary Repair Fund is used for the extraordinary repair, improvement or rebuilding of the property of the charity. The trustees keep the size of the fund under review in the light of the demands which may be made upon it.

14. Analysis of net assets between funds

Analysis of net assets between funds - current year

Intangible fixed assets
Fixed asset investments
Investment property
Current assets
Creditors due within one year
Total		 Restricted
funds
2022
£
-
310,821
-
850,691
(98,273)
1,063,239		 Endowment
funds
2022
£
6,867
11,450,015
10,573,086
(273,568)
-
21,756,400		 Total
funds
2022
£
6,867
11,760,836
10,573,086
577,123
(98,273)
22,819,639

Page 27

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

14. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Intangible fixed assets
Fixed asset investments
Investment property
Current assets
Creditors due within one year
Total		 Restricted
funds
2021
£
-
337,426
-
788,373
(62,903)
1,062,896		 Endowment
funds
2021
£
8,079
12,062,552
10,556,706
(204,323)
-
22,423,014		 Total
funds
2021
£
8,079
12,399,978
10,556,706
584,050
(62,903)
23,485,910

15. Reconciliation of net movement in funds to net cash flow from operating activities

16.

Net (expenditure)/income for the year (as per Statement of Financial Activities)
Adjustments for:
Amortisation charges
Losses/(gains) on investments
Dividends, interests and rents from investments
Decrease/(increase) in debtors
Increase in creditors
Net cash used in operating activities
Analysis of cash and cash equivalents
Cash in hand
Total cash and cash equivalents		 2022
£
(666,271)
1,212
692,008
(665,326)
17,001
35,369
(586,007)
2022
£
549,569
549,569		 2021
£
1,825,767
404
(1,776,001)
(627,582)
(16,267)
7,999
(585,680)
2021
£
539,495
539,495

Page 28

LADY ELIZABETH HASTINGS' ESTATE CHARITY

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 24 JUNE 2022

17. Analysis of changes in net debt

Cash at bank and in hand At 25 June
2021
£
539,495
539,495		 Cash flows
£
10,074
10,074		 At 24 June
2022
£
549,569
549,569

18. Related party transactions

Mr CMP Granger is a Director of the charity and is Chief Executive of Carter Jonas being based in London. He is a Director in an individual capacity due to his significant local knowledge of the history of the charity and his agricultural and property expertise and derives no financial benefit from the charity in his role as a Director. £90,604 was paid to Carter Jonas during the year (2021: £102,669) in respect of clerks, estate management and planning fees, of which £8,045 (2021: £9,382) are planning fees which have been capitalised. At the year end, fees of £23,262 (2021: £16,208) were due to Carter Jonas.

Mr CMP Granger is a Trustee of The Wheler Foundation. During the year, the charity made a grant of £50,000 (2021: £nil) to the Foundation.

In February 2022, Revd Canon Chris Wilton became the Vicar of All Saints Church, Ledsham and the parish received grants totalling £11,680.

Page 29