**REGISTERED CHARITY NUMBER: 227375**
## **REPORT OF THE TRUSTEES AND**
## **UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **FOR**
## **THE ROSAZ CHARITY**
Chariot House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN2 9QA
**THE ROSAZ CHARITY**
## **CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
|||**Page**||
|---|---|---|---|
|**Report of the Trustees**|1|to|3|
|**Independent Examiner's Report**||4||
|**Statement of Financial Activities**||5||
|**Balance Sheet**||6||
|**Notes to the Financial Statements**|7|to|12|
**THE ROSAZ CHARITY**
**REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023**
The trustees present their report with the financial statements of the charity for the year ended 31 December 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The charity takes its name from a French gentleman, Chevalier François de Rosaz, who arrived in the UK after the 1848 French Revolution. He bequeathed a sum in consols, the proceeds of which were to be used to establish and run a local orphanage. Included in the conditions of the bequest was that children were to be brought up in the protestant faith.
Following de Rosaz's death in 1876 the amount of his bequest was deemed insufficient to support an orphanage so the funds were linked with the existing Brighton Female Orphan Asylum, founded in 1823, to form what eventually came to be known as the Rosaz Charity. This charity celebrates 200 years of operation in 2023.
By 1988, government policy had focused on placing children in care with foster parents, and so unfortunately the opportunity no longer existed to provide a permanent residence and a Christian home life to children in need, and the home was closed and subsequently sold.
Following consultation and the advice of the Charity Commissioners, the aims of the Trust are now focused on giving financial support to children and young people throughout East and West Sussex, who are in need of care and attention by reason of being deprived of a normal home life. This financial support is often made through church groups and other charitable organisations that offer 'hands on' support to children and young people.
## **Public benefit**
The Trustees have complied with their duty under section 17(5) of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commissioners and confirm that all the grants made within the period of these accounts support the aims and objectives of the Charity as set out above.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
The 'cost of living' crisis continued to have an impact on families in the UK and the trustees again decided to reduce the planned rent increases from 1st April 2023 by 50%. In effect, that meant that the planned rent increases had been reduced by half for 3 of the past 4 years.
The management of the remaining 4 properties was changed on 1st April 2023 from YMCA DLG to a local firm of estate agents Dean & Co. They provide a more 'hands on' approach which is a benefit to our tenants and rents are received on a monthly basis compared to a quarterly basis with our previous arrangement and this is better for our cashflow.
Grants to various local charities of £68,254 were agreed for 2023 and were all paid out before the year end.
Page 1
**THE ROSAZ CHARITY**
**REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023**
## **FINANCIAL REVIEW**
## **Investment policy and objectives**
The investment strategy since 1988 was to invest in residential properties to create an income and to provide accommodation for families with children in need. Rents were agreed below market levels to assist the tenants. Over time, some of the tenant families' circumstances changed and they fell outside of the charity criteria to benefit from the accommodation or rent discounts. In 2018, it was decided to review the rents being paid, with an aim to increase all rents to market levels. The Trust has taken a staggered approach to these rent increases, taking into account each tenants individual circumstances. We are already 5 years into this period of increase and it is likely to be at least another 3 years before the original aim is met.
At the same time, it was also agreed that some of the properties would be sold when they became vacant to enable the Trust to join in partnership with the YMCA DLG to provide supported housing for young people in housing need. Investing in such schemes supports the objectives of the Trust with income received from the investment enhancing our grant giving capacity. The first property was sold in 2019 and a second in 2021.
The policy aims to ensure that capital appreciation exceeds inflation and takes into account income requirements and the risk profile.
The 4 remaining houses were revalued in October 2021 at £2,125,000.00 with market rental values of £6,600.00 per month. Our actual monthly rental income at the year end was £4,765.00 and we continue with the annual increment plans as mentioned above.
In addition, our investment income is received quarterly and amounted to £42,925.00 over the year.
## **Reserves policy**
The trustees are to hold a balance of at least £10,000.00 in reserve to meet any unforeseen expenditure. However, if necessary, they would consider going into a controlled overdraft to meet an urgent need, but at the same time, to ensure that debts never exceed 5% of the asset values. In reality, there has not been any occasion when borrowing funds was required.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
The Trust is constituted by a Deed of Charitable Trust dated 31 May 1996; registered Charity Number 227375. The full name of the Charity is The Rosaz Charity, but it operates under its working name of Brighton and Hove Girls Orphanage.
## **Organisational structure**
The Trustees are responsible for the appointment of additional Trustees. The Trustees meet regularly to assess grant applications and manage the investment property portfolio. The day to day administration of the foundation is the responsibility of the administrator, who has authority to approve applications up to £1,000 in order to facilitate a prompt response. The Trustees monitor and receive regular reports from recipients of funds to test for accountability, efficiency and value for money.
## **Risk management**
The Trustees have reviewed the major risks to which the trust is exposed and are confident that controls are in place to mitigate against those risks.
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Registered Charity number**
227375
Page 2
**THE ROSAZ CHARITY**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023**
**Principal address** C/O Chariot House Limited 44 Grand Parade Brighton East Sussex BN2 9QA **Trustees** C C K Butler D Standing R J Overton-Hart C A Stoker A Hart
**Independent Examiner** Dr Shona F Wardrop C.A Chariot House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN2 9QA
**Administrator.** Mrs A Hart
**BANKERS** Barclays Bank plc PO Box 165 Crawley West Sussex RH10 1YX
Approved by order of the board of trustees on 20 September 2024 and signed on its behalf by:
C A Stoker - Trustee
Page 3
**INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE ROSAZ CHARITY**
## **Independent examiner's report to the trustees of The Rosaz Charity**
I report to the charity trustees on my examination of the accounts of The Rosaz Charity (the Trust) for the year ended 31 December 2023.
## **Responsibilities and basis of report**
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the Trust's accounts carried out under Section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under Section 145(5)(b) of the Act.
## **Independent examiner's statement**
I have completed my examination. I confirm that no material 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 Trust as required by Section 130 of the Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Dr Shona F Wardrop C.A The Institute of Chartered Accountants of Scotland
Chariot House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN2 9QA
20 September 2024
Page 4
**THE ROSAZ CHARITY**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2023**
|Notes
**INCOME AND**
**ENDOWMENTS FROM**
**Charitable activities**
Property income
Investment income
2
**Total**
**EXPENDITURE ON**
**Charitable activities**
Costs of running the properties
Grants to institutions
**Total**
**NET**
**INCOME/(EXPENDITURE)**
**RECONCILIATION OF**
**FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED**
**FORWARD**|Unrestricted
fund
£
53,750
43,184
96,934
27,764
68,254
96,018
916
1,196,100
1,197,016|Revaluation
Reserve
£
-
-
-
-
-
-
-
1,630,486
1,630,486|Endowment
fund
£
-
-
-
-
-
-
-
5,701
5,701|2023
Total
funds
£
53,750
43,184
96,934
27,764
68,254
96,018
916
2,832,287
2,833,203|2022
Total
funds
£
53,199
25,526
78,725
24,918
65,223
90,141
(11,416)
2,843,703
2,832,287|
|---|---|---|---|---|---|
The notes form part of these financial statements
Page 5
**THE ROSAZ CHARITY**
## **BALANCE SHEET 31 DECEMBER 2023**
|Notes
**FIXED ASSETS**
**Investments**
Investment property
6
Social investments
7
**CURRENT ASSETS**
Debtors
8
Cash at bank and in hand
**CREDITORS**
Amounts falling due within one
year
9
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS**
**CURRENT LIABILITIES**
**PROVISIONS FOR**
**LIABILITIES**
10
**NET ASSETS**
**FUNDS**
11
Unrestricted funds
Endowment funds
**TOTAL FUNDS**|Unrestricted
fund
£
488,813
850,001
1,338,814
-
17,152
17,152
(2,400)
14,752
1,353,566
(156,550)
1,197,016|Revaluation
Reserve
£
1,630,486
-
1,630,486
-
-
-
-
-
1,630,486
-
1,630,486|Endowment
fund
£
5,701
-
5,701
-
-
-
-
-
5,701
-
5,701|2023
Total
funds
£
2,125,000
850,001
2,975,001
-
17,152
17,152
(2,400)
14,752
2,989,753
(156,550)
2,833,203
2,827,502
5,701
2,833,203|2022
Total
funds
£
2,125,000
850,001
2,975,001
21,717
2,507
24,224
(1,938)
22,286
2,997,287
(165,000)
2,832,287
2,826,586
5,701
2,832,287|
|---|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 20 September 2024 and were signed on its behalf by:
C A Stoker - Trustee
The notes form part of these financial statements
Page 6
**THE ROSAZ CHARITY**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.
The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
At the time of approval of the financial statements, the Trustees had a reasonable expectation that the charity had adequate resources to continue in operational existence for the foreseeable future, and on that basis the charity is considered to be a going concern.
## **Financial reporting standard 102 - reduced disclosure exemptions**
The charity has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':
- the requirements of Section 7 Statement of Cash Flows.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
## **Investment property**
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in the Statement of Financial Activities.
The investment properties were revalued in October 2021 by Dean & Co Estate Agents based on an assessment of the current market.
## **Taxation**
The charity is exempt from tax on its charitable activities. The charity is potentially exempt from taxation in respect of income or capital gain received to the extent that such income or gains are applied exclusively to charitable purposes.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
continued...
Page 7
**THE ROSAZ CHARITY**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2023**
## **1. ACCOUNTING POLICIES - continued**
## **Fund accounting**
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **2. INVESTMENT INCOME**
## **3.**
|Deposit account interest
Investment income
**GRANTS PAYABLE**
Grants to institutions
The total grants paid to institutions during the year was as follows:
Off the Fence
Kidz Club
Brighton and Hove City Mission
Bishop Hannington
St Cuthmans
One Church
Turning the Tide
Spear
St Richards Youth
YMCA
St Richards Food Bank
Prison Fellowship
Pelican Parcels|2023
£
259
42,925
43,184
2023
£
68,254
2023
£
5,000
15,263
-
1,766
5,000
5,000
15,000
5,000
5,000
5,000
5,000
225
1,000
68,254|2022
£
26
25,500|
|---|---|---|
|||25,526|
|||2022
£
65,223|
|||2022
£
5,000
13,881
5,000
1,342
5,000
5,000
10,000
5,000
10,000
5,000
-
-
-|
|||65,223|
## **4. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 December 2023 nor for the year ended 31 December 2022.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 December 2023 nor for the year ended 31 December 2022.
continued...
Page 8
**THE ROSAZ CHARITY**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2023**
|**5.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL**
Unrestricted
fund
£
**INCOME AND ENDOWMENTS FROM**
**Charitable activities**
Property income
53,199
Investment income
25,526
**Total**
78,725
**EXPENDITURE ON**
**Charitable activities**
Costs of running the properties
24,918
Grants to institutions
65,223
**Total**
90,141
**NET INCOME/(EXPENDITURE)**
(11,416)
**RECONCILIATION OF FUNDS**
Total funds brought forward
1,207,516
**TOTAL FUNDS CARRIED FORWARD**
1,196,100
**6.**
**INVESTMENT PROPERTY**
**FAIR VALUE**
At 1 January 2023
and 31 December 2023
**NET BOOK VALUE**
At 31 December 2023
At 31 December 2022
Fair value at 31 December 2023 is represented by:
Valuation in 2021|**ACTIVITIES**
Revaluation
Reserve
£
-
-
-
-
-
-
-
1,630,486
1,630,486|Endowment
fund
£
-
-
-
-
-
-
-
5,701
5,701||Total
funds
£
53,199
25,526
78,725
24,918
65,223
90,141
(11,416)
2,843,703
2,832,287
£
2,125,000
2,125,000
2,125,000
£
2,125,000|
|---|---|---|---|---|
||||||
||||||
||||||
The investment properties were revalued in October 2021 by Dean & Co Estate Agents based on an assessment of the current market.
continued...
Page 9
**THE ROSAZ CHARITY**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2023**
## **7. SOCIAL INVESTMENTS**
|**MARKET VALUE**
At 1 January 2023 and 31 December 2023
**NET BOOK VALUE**
At 31 December 2023
At 31 December 2022|Other
investments
£
850,001
850,001
850,001|
|---|---|
The social investment is a loan to YMCA DLG to assist with their charitable work.
The loan was for a period of 25 years at an interest rate of 1% over Bank of England base rate with a minimum rate of 3%. A concession was agreed to lower the rate to 0.5% over base rate until 30/06/2024 to compensate for the unexpected sharp rise in interest rates.
## **8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|**8.**|**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**|||
|---|---|---|---|
|||2023|2022|
|||£|£|
||Arrears of rent|-|5,882|
||Other debtors|-|9,460|
||Prepayments and accrued income|-|6,375|
|||-|21,717|
|**9.**|**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**|||
|||2023|2022|
|||£|£|
||Accruals and deferred income|2,400|1,938|
|**10.**|**PROVISIONS FOR LIABILITIES**|||
|||2023|2022|
|||£|£|
||Provisions|156,550|165,000|
continued...
Page 10
**THE ROSAZ CHARITY**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2023**
## **11. MOVEMENT IN FUNDS**
|**Unrestricted funds**
General fund
Revaluation Reserve
**Endowment funds**
Permanent Endowment fund
**TOTAL FUNDS**
Net movement in funds, included in the above are as follows:
**Unrestricted funds**
General fund
**TOTAL FUNDS**
**Comparatives for movement in funds**
**Unrestricted funds**
General fund
Revaluation Reserve
**Endowment funds**
Permanent Endowment fund
**TOTAL FUNDS**|At 1/1/23
£
1,196,100
1,630,486
2,826,586
5,701
2,832,287
Incoming
resources
£
96,934
96,934
At 1/1/22
£
1,207,516
1,630,486
2,838,002
5,701
2,843,703|Net
movement
in funds
£
916
-
916
-
916
Resources
expended
£
(96,018)
(96,018)
Net
movement
in funds
£
(11,416)
-
(11,416)
-
(11,416)|At
31/12/23
£
1,197,016
1,630,486
2,827,502
5,701
2,833,203
Movement
in funds
£
916
916
At
31/12/22
£
1,196,100
1,630,486
2,826,586
5,701
2,832,287|
|---|---|---|---|
continued...
Page 11
**THE ROSAZ CHARITY**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2023**
## **11. MOVEMENT IN FUNDS - continued**
Comparative net movement in funds, included in the above are as follows:
||Incoming|Resources|Movement|
|---|---|---|---|
||resources|expended|in funds|
||£|£|£|
|**Unrestricted funds**||||
|General fund|78,725|(90,141)|(11,416)|
|**TOTAL FUNDS**|78,725|(90,141)|(11,416)|
## **12. RELATED PARTY DISCLOSURES**
During the year, fees of £6,300 (2022: £6,000) were paid to Mrs A Hart, the Administrator for the charity, who is the wife of Mr A Hart, one of the trustees.
Page 12