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2022-03-31-accounts

POOR SERVANTS OF THE MOTHER OF GOD

(Registered Charity No: 227931)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31 MARCH 2022

POOR SERVANTS OF THE MOTHER OF GOD

YEAR ENDED 31 MARCH 2022

REFERENCE AND ADMINISTRATIVE DETAILS

Trustees Sr Rosarii O’Connor (resigned 19 October 2022)
Sr Kathleen Coleman (resigned 19 October 2022)
Sr Margaret Cashman
Sr Anne Curran (resigned 19 October 2022)
Sr Anastasia Meki Ngemu (resigned 19 October 2022)
Sr Margaret Herlihy
Sr Mary Holmes (appointed 19 October 2022)
Sr Mary Whelan (appointed 19 October 2022)
Bursar General Sr Margaret Herlihy
Principal Office Maryfield Convent
Mount Angelus Road
London SW15 4JA
Website www.poorservants.com
Charity Registration No 227931
Auditors Haysmacintyre LLP
10 Queen Street Place
London, EC4R 1AG
Solicitors Stone King
13 Queen Square
Bath BA1 2HG
Principal Bankers Royal Bank of Scotland plc
62/63 Threadneedle Street
London EC2R 8LA
Investment Managers Quilter Cheviot Investment Management
One Kingsway
London WC2B 6AN
Sarasin & Partners
100 St Paul’s Churchyard
London EC4M 8BU
UBS Wealth Management
5 Broadgate,
London EC2M 2AN
Estates Manager Burnet Ware & Graves
Chartered Surveyors
13 Half Moon Lane
London SE24 9JU

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT

YEAR ENDED 31 MARCH 2022

The Trustees present this report of the Charity of the Poor Servants of the Mother of God for the year ended 31st March 2022.

INTRODUCTION

The Congregation of the Poor Servants of the Mother of God is an international religious order. It supports 160 Sisters worldwide. It was founded in London in 1869 by Frances Margaret Taylor. The Congregation is divided into areas, USA, Ireland, Rome, Kenya, Tanzania and the United Kingdom.

The Congregation’s Charity, Poor Servants of the Mother of God, is registered with the Charity Commission for England and Wales under the number 227931. It is the vehicle through which the charitable activities of the Congregation in the UK are conducted and in which its UK assets are held. The governing instrument of the Charity is a Trust Deed dated 5th April 1957. Incorporated trustee status was granted on 2 July 1971.

In 1994 permission was granted by the Charity Commission to use “Frances Taylor Foundation” (FTF) as a business name for the social, health and pastoral care services of the Charity. FTF is not a legal entity in its own right.

MISSION

The Charity’s four main aims as set out in its governing document are:

The furtherance of the religious and other charitable works of the order. The relief of poverty and distress.

The advancement of the Roman Catholic religion. The advancement of religious and secular education.

The Charity aims to support as many people as possible through the works and ministries carried out by the members of the Congregation and their collaborators across the world. By caring for members of the Congregation, the Charity aims to enable the Sisters to live out their faith and to put it into practice through a wide variety of charitable works. The Trustees have carefully considered the Charity Commission’s guidance on public benefit, especially the supplementary guidance on the advancement of Religion and have accordingly planned the areas of involvement especially by the Sisters. The works of the Charity, all of which benefit numerous members of the general public, fall into the following main areas:

Operation of Care Services

During the year the Charity continued to own and operate one care home for the elderly in the London area. The home provides excellent care for the general public as well as for members of the Congregation. This unit is registered for nursing and residential care and has 39 beds. The reports on the nursing home are a clear testament to the commitment of the Charity to respecting the dignity of all people especially those who are vulnerable. The home gives access to care to those who are supported by various Boroughs through income support schemes.

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MISSION

Operation of Care Services (continued)

The Charity also owns and operates care homes for people with learning disabilities and other care and support needs as follows:

Greater London

Brighton

Merseyside

Other care and support services provided for people with learning disabilities and other care and support needs are:

Greater London

Brighton and Hove

Merseyside

All services aim to provide an excellent level of care and are open to all, irrespective of faith, ethnic background, or ability to pay. All care homes and their staff have experienced difficult times during the pandemic. Vacancies were difficult to fill; costly infection control measures had to be put in place. Staff absences because of Covid or NHS regulation on isolation all put added strain on the services. The grants did help to mitigate some of the expenses incurred.

Social and Pastoral work

Many members of the Congregation are involved in various forms of social and pastoral work, including care of the elderly and people with special needs, family support, chaplaincy work in hospitals and prison visiting, work with the homeless and the marginalised, catechetical work and pastoral visiting in parishes. Most of the service undertaken by the members is unremunerated. The social and pastoral work was carried out virtually through zoom / Microsoft team / WhatsApp calls and traditional telephone and text contact.

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Worship and prayer

Members of the Congregation are given the opportunity to take part in private worship and prayer and to avail of study and development in the knowledge of their faith. Members of the Congregation pray with members of the wider local community and are available to listen especially in difficult times. Members are also involved in giving retreats and the celebration of the liturgy through prayer groups and church services for various religious dominations. During the year all worship was conducted virtually and in person where possible.

Operation of Prayer and Retreat Centres and Chapels

The Charity provides places for quiet reflection, prayer and spiritual development, which are open to all denominations. Where there is a financial contribution structure in place for retreats, inability to contribute financially does not prohibit participation. The Charity owns and manages prayer and retreat centres: Kairos in Roehampton and The Liverpool Prayer Centre near Formby.

Despite the challenges of National Lockdowns, the Kairos Centre has been involved with some local and national groups, as well as individuals who also come and spend time in the quiet areas of the house and gardens. These facilities are open to:

Month Day Visitors Overnight Guests
April 2021 90(Virtual visits) -
May 127 68
June 661 447
July 622 414
August 468 253
September 701 332
October 737 363
November 855 347
December 532 208
January2022 308 91
February 451 263
March 387 116

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Operation of Prayer and Retreat Centres and Chapels (continued)

Year 2021-2022 2021-2022 2019-2021 2018-2019 2017-2018 2016-2017
Virtual
Visits		 175 82 N/A N/A N/A N/A
Day Guests 5,939 1,306 12,476 14,125 12,833 13,456
Overnight
Guests		 2,902 875 5,148 5,206 5,580 5,350
Overnight
Occupancy		 36%* 12%* 51%

*Due to the health and safety guidance during the Covid-19 pandemic not all bedrooms were available for guest use.

The Kairos Centre had two active volunteers during the year 2021-2022, who, supported our reception and hospitality teams. Under normal operating conditions they would cover the following working periods;

All day Tuesday 315 hours Saturday afternoon 113 hours

The Kairos Centre’s available volunteer bank was severely reduced by the on-going impact of Covid-19 pandemic. These volunteers are in people facing roles and their age demographic meant that most were categorised as critically vulnerable to the Covid-19 health risk.

New developments since last year in Kairos

Normal Kairos Centre activities continued to be severely impacted by the Covid-19 pandemic during the year 2021 to 2022. To safeguard public health and ensure that the NHS was not overwhelmed, all indoor hospitality venues were subject to mandatory closure until May 17[th] 2021. During the physical closure of the centre, the team developed their outreach virtually, providing one to one spiritual direction and a virtual group triduum in place of the usual residential Holy Week Retreat in 2021.

Despite the physical closure of the Kairos Centre during the early part of 2021, we continued to offer Spiritual support via Zoom and hosted a virtual Holy Week Triduum in 2021. There were 38 virtual retreatants and the retreat was facilitated from the Kairos Centre with two speakers providing the input from North London and Eire. Spiritual Direction is still available and provided via Zoom for those retreatants who are not able to visit the Centre in person. Work to develop our virtual outreach by installing cameras in both the Chapel and the

Kairos Hall continued. The final installation took place during 2021-2022. We aim to offer hybrid Kairos organised retreats, where retreatants who are no longer able to access the centre in person, can benefit from virtual activities.

During the closure period the team followed Government and Public Health England guidance and worked to ensure that the centre could reopen as a Covid-19 secure environment for all visiting retreatants, staff and contractors. All areas of the premises, staff and operational procedures were risk assessed and all required physical or procedural changes put in place prior to reopening. The Kairos Centre continues to commit to mitigating risk and is aware that public confidence will continue to be an important factor for potential visitors. The crisis and subsequent closures continue to challenge the centre both financially and practically.

Although the centre has remained open to the public from May 17[th] , 2021, there have been many challenges, particularly with the arrival of the Omicron variant. Although, we did not experience the early 2020 level of complete cancellations, we did experience routinely reduced attendee numbers. The high infection rate severely impacted on our ability to staff the Kairos Centre.

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Operation of Prayer and Retreat Centres and Chapels (continued)

Interesting Activities

June 21 – A special day of celebration for the final vows of an SMG sister was held. The service was live streamed to the worldwide members of the congregation who were unable to attend. Mass was followed by a celebratory buffet lunch and afternoon reception.

September & December 21 – The Kairos Centre hosted birthday parties for the residents of the local Frances Taylor Foundation Residential Care Home.

October 21 – The Kairos Centre welcomed a large party of local residents through Wandsworth Supported Living Services for an organised retreat day with lunch and afternoon tea.

February 22 - The Kairos Centre hosted a special celebration day for the SMG Congregation. We celebrated 150 years since the foundation of the Poor Servants of the Mother of God. A special service was followed by lunch and afternoon tea.

Appendix A (List of groups, charities, churches, schools and public institutions who have physically used the Kairos centre in 2021/2022)

No Organisation Name
1 Christian Meditation Group
2 Marian Society of the Holy Redeemer
3 St Patrick’s Church, Soho
4 Notre Dame de France–Marriage Preparation Group
5 MortlakeDeanery
6 Regenerate-Roehampton
7 Servite Secular Regional Group
8 Rev Catherine Jinadu Prayer Group
9 SMG Sisters–service of remembrance for our departed sisters
10 Reiki Academy
11 Samyana Yoga Group
12 Servite Secular Fulham Road Group
13 AA Fellowship Group
14 Tai Chi Group
15 SouthWestLondonCatenians
16 Thames Buddhists
17 Daughters ofCharity
18 Emmaus
19 Servite SecularWest SussexGroup

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Operation of Prayer and Retreat Centres and Chapels (continued)

Appendix A continues

20 Priests Support Group
21 Kemi Women’s Prayer Group
22 FTF Laverstoke Gardens
23 Mustard Seed International Church
24 Grace Temple
25 Christ Community Church
26 St Elizabeth of Portugal Catholic Church
27 Nation Restoration
28 St Mark’s Church Wimbledon
29 Prayer and Life
30 St Mark’s Coptic Orthodox Church
31 Notre Dame de France Confirmation Group
32 Beacon Church
33 Al Anon
34 Pallotine Fathers
35 FTF Managers
36 Pan Fellowship
37 Escaping Victimhood Support Group
38 Barbara Yeboah Prayer Group
39 Wandsworth Residents Supported Living Group
40 3 Monkeys
41 Liberty Prayer Group
42 Comboni Missionaries
43 Bodhi College
44 Focus Centre Group
45 Rev. Julie Khovac Retreat Group
46 Global Planting Network
47 Regnum Christie
48 London Baptist Conference
49 Southwark Priests Retreats
50 Rahwa Project
51 St Edmund of Canterbury Catholic Church
52 Marymount International School
53 Destra Bokre Prayer Group
54 Cheam Parish Anglican Church
55 St Mary’s Catholic Church Barnes
56 Salesian Brothers Community Day
57 Andre Berry Yoga Meditation Group
58 Vineyard Community Group
59 Mercy Union Generalate
60 Archdiocese of Southwark Vocations Retreat
61 Equipping People
62 Navigating Trauma Group
63 St James Church West Streatham
64 Wimbledon Catenians
65 Notre Dame de France Young People’s Gaudete Group
66 Diocese of London (Kensington) Retreat Group
67 Sacred Heart Church Wimbledon
68 St Agatha’s Catholic Church Kingston
69 South Hanwell Baptist Church

Our convent in Swindon, Wiltshire offers facility for prayer and reflection which is used by local parish groups for meetings and prayer.

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Operation of Schools

The Charity works in collaboration with the Roman Catholic Dioceses of Arundel & Brighton and Northampton to whom it has leased the primary schools at peppercorn rents. St. Mary’s RC School in Chippenham is leased to the Governors. PSMG has requested that the Diocese of Clifton act as Trustees and take responsibility for this school.

All three schools are Voluntary Aided. They provide an excellent education for the children of the local community. Members of the Congregation / Charity are active members of the Board of Governors of these schools. Schools have experienced very challenging times over the past year. Teaching online has been undertaken.

Overseas outreach

The Charity is involved in working in health care, education, retreat and social work in Rome, USA, Kenya, Tanzania and Venezuela. In Venezuela support is only through the other similar UK based charitable organisations who also have presence in Venezuela.

PUBLIC BENEFIT

The Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on Public Benefit when reviewing the Charity’s aims and objectives and in their planning for future activities. The Trustees have undertaken training on Public Benefit and in particular on the requirements placed on Religious Charities. Particular consideration has been given by the Trustees to the impact of planned activities on the aims and objectives which have been agreed.

The underpinning values of the Charity and the Religious Congregation as set out in the Trust Deed are based on Catholic Christian principles and Gospel values of respect for the dignity of every human being, hospitality and welcome to all. The main areas in which the Charity generates public benefit are set out below.

Care Services

The importance of respect, dignity, hospitality, and welcome is recognised in all the service provision which is carried out on behalf of the Charity in nursing care, residential and other care and support needs. Admission of residents is based on assessment of their care needs and the ability of the service to provide the level of care needed by the resident. The services welcome residents regardless of backgrounds, faiths, cultures and gender. We aim to keep our fees at levels which enable us to support the long-term future of the services. In cases of financial hardship, we assist with fees. (See Activities, Objectives, Policies and Strategies on page 12 onwards)

During the year fourteen social care services w e r e operated by the Charity are registered with the Care Quality Commission (CQC). Out of these fourteen Services Brentford Supported Living Service was closed in August 2021 and HCS was closed in April 2022. Both services have been de-registered with CQC. CQC inspects services in detail, and rates them as Inadequate, Requires Improvements, Good or Outstanding – the latter rating being relatively rarely used. 10 of our care services have Good CQC rating. 3 services are rated Requires improvement by CQC. We are working with CQC and sponsoring local authority for improvements in these services.

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PUBLIC BENEFIT (continued)

Sisters and their work in the local areas

The Sisters in the Charity have been working on a voluntary basis for and with the poor for 150 years. Pastoral and outreach work brings the Sisters into daily contact with many people in need. The number of those in need has increased due to the economic situation and the rising costs of basic necessities. The Sisters are acutely conscious of the large number of people who have come to the UK from EU and other countries and are living on the margins of society. Some have secured employment in the past but quite frequently they have been made redundant or have had their hours of work reduced. The advent of new technologies has impacted on employment in many companies. Through the Sisters’ presence and response, they bring both spiritual and practical pastoral support to those who may be poor, homeless, in prison, sick, alone, elderly or in need of education.

In most of the houses of the Congregation/Charity the chapel space is made available for daily callers for prayer and quiet reflection.

On average 60 people visit St Mary’s Roehampton Convent chapel each week for prayer/services and/ or reflection. The Chapel at Taylorville is open each day to the local community from 7.30am to 8.00 pm for prayer and reflection and the friendly chat. Brentford Chapel is available to all on the site as well as to the Parishioners. During the pandemic, these facilities have been suspended but will resume as soon as it is safe to do so.

Education

We have leased three Voluntary Aided primary schools to third party Roman Catholic organisations. This involves provision of land and buildings at low rents. In addition, members of the Congregation serve on these schools’ boards of governors on a voluntary basis and a number of Sisters work in collaboration with other agencies providing adult education to the most vulnerable members of society. The project, set up in collaboration with the St. John of God Hospitaller Charity, for the support and education of migrant workers is progressing. The 5[th ] Floor of the building is being used by the project to care for and to help rehabilitate those suffering from tuberculosis. This project has been very successful and is continuing. All available space within the house has been successfully converted into accommodation. A recent flood caused serious damage to the building and the residents had to be accommodated in hotels. The refurbishment has now been completed. The facilities in the upgraded building provide a much better and more dignified service for the residents. Modern technology as well as better accommodation has been very helpful during the recent pandemic. All residents are safe and well.

Overseas Outreach

The Charity supports the Sisters’ work in overseas missions in Kenya. Our work involves liaison with local community leaders to ensure that they are meeting the most urgent needs in the areas of poverty, especially the relief of famine, health care needs, training, and empowerment. Three Sisters have been missioned to Tanzania, Diocese of Kondoa, and are exploring the possibilities of setting up a mission there to help the poor and the marginalized. In both service provision and individual pastoral work, the members of the Charity affect the lives of many hundreds of people in practical and in less tangible ways, but often highly supportive and spiritual ways. A piece of land has been bought by the Congregation’s registered charitable Trust in Kenya and a convent / small house is under construction.

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GOVERNANCE, STRUCTURE AND MANAGEMENT

Governance

The Congregation is governed by the Superior General and four General Council members. These are elected every five years at the General Chapter, i.e., a meeting of the representatives of all the areas of the Congregation. Council members are chosen after a twelve-month process of preparation and discussion.

New Trustees are appointed by Superior General. All Trustees are members of the Congregation and as such have a comprehensive knowledge of the various works and structure of the Charity and all work full-time on a voluntary basis in the furtherance of its objectives. They receive no remuneration for their services as Trustees.

The last General Chapter for members of the Congregation was held in August 2022 and set the broad vision for the following six years. It was decided at the General Chapter in August that the General Chapter term will be six years instead of the current five years and the next General Chapter will take place in 2028. At that Chapter a new General Council was appointed, and Sr. Margaret Herlihy was reappointed as a Bursar General and Trustee of the Charity. Resignations and appointments of Trustees following the Chapter are as noted on page 1.

The documents issued from the 2022 Chapter focused on the energies of the Congregation and a fresh call to all members to be significant witnesses to the values and aims of the Congregation.

The Chapter set out the broad vision for the Charity for the next six years:

The Trustees share responsibility for the running of the Charity. Sr Margaret Herlihy is correspondent for the group.

Training and Trustee Induction

Over the past year training and update days have taken place for the Trustees, staff, associates and those connected with the Charity and a number have already been booked.

Trustees were inducted by those leaving office. Regular Trustee meetings are held.

Resources and literature on charity law and procedures, as well as the minutes of all Trustee meetings are available at the offices for perusal and study by the new Trustees. Briefing meetings with all the advisers – legal, financial, human resources, property and investments advisers are organized as well as visits to all the locations of the Charity. The Trustees have attended the annual Catholic Charity Conference as well as trustee training seminars on investments, charity law, property matters, safeguarding and the current economic situation, which are organized by the various professional groups. Webinars are frequently used to update Trustees on Charity matters. During the year Trustees have attended many webinars on training for the future in the new normal, a few examples from a long list: IAPS-COVID 19 Employment and HR considerations; COVID 19 Strategic Considerations for Trustees; Coping with COVID 19 for Charities etc.

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GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Structure and management (continued)

The Trustees are ultimately responsible for the policies and assets of the Charity. In the past year a number of finance and personnel policies were reviewed and issued for the Charity. Safeguarding policies have been revised and issued. Regular meetings of the Safeguarding Committee take place. The Trustees meet monthly or more frequently, if needed. They review developments in the Charity and its activities and make decisions, based on reflection, and appropriate advice. The Trustees are conscious of the need to seek advice and support from their professional advisers, including financial advisers, property consultants, investment managers and solicitors, when taking important decisions which impact on the work, good name, or future viability of the Charity.

The day-to-day management of the various activities of the Charity are delegated to the three area leaders, the Director of Social Services and Team and the unit managers at each location.

The key management personnel of the Charity in charge of directing, controlling, and operating the Charity on a day-to-day basis comprise the Trustees, Local Leaders, Director of Finance, Directorate Team for the Care Services, Human Resources Department and Director of The Kairos Centre. As religious Sisters, under vow of poverty, the Trustees and Local Leaders, do not receive any remuneration.

The Charity is committed to ensuring equal treatment in respect of pay and conditions for those doing equivalent work throughout the Charity. The key management personnel are very important roles in leadership, management, governance and continued development of the Charity and their remuneration will take into account the need to attract and retain the best person possible with the right skills for the role. Remuneration of the key personnel will reflect the level of responsibility of the role, skill and contribution of the post holder, any internal comparisons, and external markets. Trustees will approve the pay for all the key personnel. The operational structure in place facilitates reports from each community of the Congregation in the UK of which there are ten locations throughout the UK. Three area local leaders are responsible for the general care and daily activities of communities.

Meetings with the Trustees take place at least three times each year. Reflection and discussion days are organised for all members of the Congregation two to three times each year for support and to discuss developments, new trends, matters of concern and to plan for the future. The Trustees make a number of visits to each location each year to meet with Sisters and staff as well as to be au fait with the current position of each service.

Our IT consultants continue to monitor and upgrade the IT facilities across the services in the Charity. As a result of Covid-19, there is much greater reliance on IT and the Charity is continuing IT infrastructure improvements, enhancements, and upgrades. Using Wi-Fi in most of the services has become a necessity.

The Director of Social Services reports to the Trustees on a monthly basis for the 13 Care Services as does the director of the Kairos Retreat Centre. Departmental heads of Finance, Social Care Directorate team and HR hold regular meetings which are also attended by Trustees. The Charity formed a Covid-19 group which has met virtually almost every Friday since the pandemic began and less frequently on easing of Covid restrictions to keep abreast of developments and Government and Health regulations. Policies are updated and information is communicated to the Service Managers and employees.

Financial reports from the communities and the service locations are received each month at the Area office and quarterly financial reports are sent to the Trustees. The Director of Finance with Trustees approval issues guidelines annually for the formation of the revenue and capital budgets. Budgets are reviewed at various levels before final review and approval by the Trustees.

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Structure and management (continued)

Lines of communication, reporting protocols and levels of competence have been agreed by the Trustees to enable the Charity to function more effectively. The reporting structures for the finance personnel at each location have been improved and a robust system has been introduced. The Trustees have overall responsibility for all the activities of the Charity.

WORKING WITH OTHER ORGANISATIONS

Collaboration with other organisations and public bodies operating in the same field of providing care to the vulnerable, children and the elderly is considered by the Trustees to be in the forefront of the way ahead for the Charity. The collaboration with other charities, groups and public bodies enhances the Charity’s understanding and ability to respond to the needs of those it is seeking to help.

The areas of involvement by the Sisters are many as many people struggle to cope with unemployment, homelessness, hostel living, new family structures in this 21st Century

Since pandemic, many of the meetings are held virtually via modern media; webinars; Microsoft teams, zoom, email correspondence or telephone. Examples of some of the main groups and organisations the Charity has worked with during the past year are listed below:

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RISK MANAGEMENT

The Trustees have assessed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Trust and are satisfied that systems are in place to mitigate our exposure to the major risks. The Trustees have identified the following as the key risks facing the Charity:

• Provision of care services is the Charity’s main activity and as with any such operation, there are continual regulatory changes which must be complied with and financial pressures. Such pressures include cuts in government funding, which impacts income, whilst at the same time costs tend to rise with a general shortage of appropriately qualified nursing staff and the cost of regulation. The Trustees employ specialist personnel and, where appropriate external consultants to manage and keep under review, the Homes’ operations. The compliance of the Care Home will also continue to be kept under close scrutiny by the Trustees.

• One area is to ensure that our properties continue to be safe places for the Sisters, Service users and visitors to use. Attention is given to keeping our properties in good repair. General maintenance is regularly carried out. The Charity has a consultant property manager. During the year non-essential repair works had to be postpone to later time.

• The Charity has an obligation, both moral and legal, to provide care for its members, none of whom have resources of their own and all of whom have devoted a significant part of their lives to the work of the Charity. The Sisters are all under a vow of poverty and therefore providing them with support is considered to be an important element of the Charity’s work. Wherever possible, care is provided for frail and unwell members within communities but sometimes it is necessary to place Sisters in homes, the cost of which can be significant. The likelihood of such care needs is impossible to predict with any degree of accuracy and the Trustees therefore believe that it is incumbent upon them to maintain reserves at an appropriate level to ensure that the Charity is able to meet this obligation.

• Safeguarding - Along with all other organisations who serve in the community, the Trustees recognise the absolute necessity of ensuring the protection and safety of all those the Charity serves. This means that all staff and all Sisters who are in any kind of role or ministry in Great Britain involving the young or vulnerable adults have had to obtain clearance from the Disclosure and Baring Service (DBS). The Trustees are committed to implementing all policies and procedures of the Catholic Safeguarding Advisory Service (CSAS). The safeguarding policy is under constant review.

• The Trustees are aware of the need to continually assess whether all compliance, monitoring and reporting procedures are adequate, for example Laws relating to beneficiaries (e.g., care of the elderly) and Employment Law. Regular compliance reviews are conducted for all the key areas of the Charity’s operations.

• COVID-19 continues to impact our operating units, necessitating many more risk assessments and additional measures to comply with the Government regulations on matters such as PPE, infection control, testing of residents and staff, freedom of movement and access for visitors etc.

Our work with the Consultant from PIB (previously known as DE Ford) began in 2010 where they were initially invited to work with the PSMG Charity and particularly with the Frances Taylor Foundation to assist us with our risk management requirements.

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RISK MANAGEMENT (continued)

In conjunction with the above ‘top down’ audit and with the assistance of the Service Managers and any Health and Safety Officers a full risk review was carried out at each location. Each risk review has resulted in an action plan being created and presented to service managers for them to progress. It is important to check with each location this coming year to see how they are moving their actions forward.

Effective controls to mitigate the risks as far as possible have been put in place. The Trustees recognise that in order to fulfil the mission, the acceptance and management of risk in certain areas of work is necessary. The Trustees are satisfied reasonable steps are being undertaken to limit the probability and impact of risks. All risk areas are under regular review.

The Risk Register for the Charity is reviewed and updated annually.

ACTIVITIES, SPECIFIC OBJECTIVES, RELEVANT POLICIES AND STRATEGIES

As stated above, the aims and mission activities of the Charity can be broadly divided into six areas:

Operation of Residential and Nursing Homes

As already stated, the Charity owns and operates one care home for the elderly and a number of residential homes for people with disabilities as well as supported living projects. (See Mission above).

The ethos and values of the Charity are based upon care and respect for the dignity of each person. In each service the aim is to ensure that the quality of the service is excellent in every way and is accessible to all. Fees are set at levels which are realistic for the proper functioning of the service while at the same time making the facility accessible to ordinary people.

St. Mary’s Adult Service has 40 residents and 2 respite places in 7 units. Residents are funded from 12 different local authorities. At St. Raphael’s Adult Services all residents are also funded by the Local Authorities.

Of the 39 residents being cared for in Maryville , 5% are funded from local authorities, private funding and various charities or their families fund the remainder of the residents. The residential and nursing home services are accessible to all persons whose care needs are able to be met by the service.

St Joseph’ Home, Freshfield is a care home with 36 places across three interconnecting houses. It was opened in 1990 as a nursing home for people with learning disabilities and high and complex needs. Following many discussions with local statutory agencies and the families and friends of the people living there, it was agreed to proceed with changing its status from care home with nursing to a residential care home without on-going nursing. It began operating in this way in January 2014. This service offers short breaks for people with learning disabilities and a range of additional needs, while also offering families some respite from their usual caring responsibilities. The pandemic greatly reduced the number of people seeking respite care. It is hoped to fill the vacancies in the very near future as restrictions ease.

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ACTIVITIES, SPECIFIC OBJECTIVES, RELEVANT POLICIES AND STRATEGIES (continued)

Operation of Residential and Nursing Homes (continued)

Fernley Resource Centre, also in Freshfield, is a day support service for adults, offering activities for disabled, older, or working age adults, to support them with important aspects of social, health, nutrition and daily ling living. This specialised care service is for adults with many different support needs in particular adults with learning disability and/or autism, brain injury and long-term health conditions. The Centre was closed following government instructions at the start of the first lockdown.

The pandemic extending into a second year continued to have a significant impact on the operation of our care services and the lives of the people we support and the teams who care for them.

The restrictions on not just people’s working lives but their home life as well required particular resilience and continued flexibility to adapt to the ever-changing Guidelines and Regulations which were introduced by central government.

The overriding priority was to keep people safe, and it is of great credit to all those associated with the Frances Taylor Foundation that they were so successful in achieving that objective.

The scope of the restrictions was very much the same as previously and whilst significant steps were taken to try and return life to normal for the general public, the same cannot be said for the Adult Social Care Sector. Restrictions were still very much in force and indeed some remain in place to this very day. A fact which is largely not understood outside healthcare, and which continues to place a strain on staff and residents alike.

Service Managers and their teams continued to be imaginative and inventive in planning activities and innovations to help keep the people we support occupied and active whilst they were not allowed to leave the confines of their care setting – be it care home or supported living.

It is of great credit to staff that to a very great extent the people we support understood the on-going restrictions on their lives and were prepared to accept the inevitable limitations this placed on their normal routines.

A particular challenge was the significant restrictions placed on visiting and again this became an area where managers needed to be able to balance the need to keep people safe and the undoubted benefits of maintaining contact with loved ones.

When all visiting was banned then technology took over and virtual visiting became the order of the day. Zoom, Teams, WhatsApp, mobile phones and talking through open windows were all pressed into service to make communicating between residents and their families and friends possible.

When face to face visiting was allowed a new expression – visitor pods - came into our vocabulary and further creativity was required.

From purpose-built pods, garden sheds and summer houses, all fitted with heat light and power, managers and their teams put on their thinking caps again and came up with every conceivable means to facilitate safe visiting. to be creative.

All of the above achieved alongside compulsory COVID testing and wearing of full PPE.

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Due to the Government restrictions placed upon people not being able to access care homes meetings and communications generally have continued to be held virtually using Teams or Zoom.

This has allowed people to maintain some sort of contact and has proved particularly useful in areas where Local Authorities have set up Groups for Providers in their areas.

It has allowed important information and updates to be passed directly to service managers about how their Local Authority was working through the pandemic, any local interpretations of Government Guidelines and facilitated some networking between providers.

Importantly it also offered a support structure for managers who were able to see that they were not alone in having to deal with the consequences of COVID and experiences could be shared.

Filling occupancy and staffing vacancies has proved to be a challenge.

It is important to note that due to the specific focus of managers and their teams on following guidelines and keeping people safe we did not experience the devastating loss of residents that befell some providers.

The service primarily affected was Maryville, our one care home for the elderly, where people passed away for non-COVID reasons.

Initially, restrictions were placed on people not being allowed to move into care homes but as these were relaxed anyone moving in had to go into quarantine and be isolated in their room for a period of two weeks.

There was also a public perception of care homes perhaps being unsafe due to COVID which generated a reluctance amongst some people about moving a relative into a home.

The significant publicity around visiting in care home also served to deter some, thereby causing people to delay their move into a care home.

Recruitment has always been one of the major challenges facing Adult Social Care. This became even more pronounced during the pandemic and has worsened as a result.

As with a lot of other employers we are now facing an unprecedented shortage of staff with little prospect of the job market changing in the near future.

All positions are proving difficult to fill and there seems to be a growing shortage of candidates applying for care jobs. The longstanding challenges associated with recruitment and retention were exacerbated by some of the adverse publicity the care sector received during the pandemic including problems associated with compulsory vaccination of staff.

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Supportive Comments

This is what you told us we did well

“When holding the Service User Annual Review meetings every family member I met with thanked the staff team for the care and support their loved one has received over the course of the pandemic”.

‘Many thanks for all you do for our sister, who we appreciate can be a nightmare at times’, ‘Its thanks to you (collective) that the ‘girls’ have been so safe through COVID.’

Due to the restrictions placed upon care homes and supported living services it has not been possible to hold any open days.

One initiative being planned by St. Joseph’s Care Home in Formby is an online recruitment day which will be run in conjunction with out recruitment partner, Cohesion.

CQC Ratings and Date of Last Inspection Please see attached table.

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Caring – for others when they are sick (serenading PP when she had COVID)

Contact – DH using the video function on the screen

whilst talking to her brother. (his microphone didn’t work so we improvised!)

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Having fun!

Being adaptable…. make your own ball pool

First visit after COVID lockdowns by Davina – didn’t she have fun!

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Operation of Care Services (continued)

Active support to enable NM to achieve

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Social and Pastoral work

The Trustees are conscious of the stress and demands of modern living on the older age groups in their localities. Being available and offering a listening presence has been found through the local parishes to be of great benefit to the people.

The following is a short summary of the work usually undertaken by members of the Congregation, most of whom are retired and are now in their second or third career. Most of the activities mentioned below took place virtually during the past year:

The activities greatly benefit the local areas and set up links and opportunities for the development of the vulnerable. Most of this work carries little or no remuneration but any stipends or salaries that are received by the Sisters are covenanted to the Charity. During the year the members of the Congregation contributed in many hours of voluntary work across the UK. Since lifting of Covid 19 restrictions, volunteering is gradually returning to pre-pandemic levels. The use of modern IT has continued to be deployed to keep in touch with the elderly, the sick and housebound. The small contribution of a daily call helps to prevent or lessen mental health issues of the vulnerable.

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Operation of Schools

Two Voluntary Aided schools at Banstead and Amersham continue to be managed by the R C Dioceses of Arundel and Brighton and Northampton respectively, under long-term leases from the Charity. A third Voluntary Aided School at Chippenham and was handed to the Diocese of Clifton in September 2022. The insurance value of these three properties is £5m but they are let at nil or peppercorn rents. Members of the Congregation continue to support these schools as governors and report to the Trustees as appropriate. The Charity sees the use of these properties for Catholic education as a significant contribution to the local community and as fulfilling one of their aims. A number of Sisters are working in collaboration with other agencies providing adult education to the most vulnerable in our society through language and literacy programmes.

Overseas outreach

The Congregation has worked in Kenya since 1985 and in Tanzania as from 2019. The communities are based in different dioceses. In Kitui Diocese we have convents in Mutito, Mwingi and Mulutu; in the Archdiocese of Nairobi, we have Ting’ang’a Convent; in Kitale Diocese we have Chepchoina and Sirende Convents; in Tanzania we have a community in Huruvi in Kondoa Diocese. Much progress has been made during that time. Members of the Congregation work in very poor, semi-arid areas of Kenya. The main activities of Trust, all of which benefit numerous members of the general public, revolve around five pillars namely, Formation, Education, Healthcare, Community Development and Pastoral Ministry.

Congregation’s work in Kenya and Tanzania includes administration of and running dispensaries and clinics in areas where there are no medical facilities. Aids testing and counselling has been one of the most urgent needs in all the areas in Kenya. Trustees from UK visit overseas missions in Kenya in person or virtually and four are also Trustees of the charities in Kenya. These four trustees also participate in review of monthly accounts and setting of annual budgets. Request for financial support from the charity in Kenya is carefully considered by the UK Trustees before agreeing to this request. Funds are sent in instalments and regular reports are received which are complemented by the visits of the UK trustees to Kenya missions.

Our Mulutu dispensary personnel run this clinic. Mulutu Dispensary has just added a small maternity unit to help the local community as in Mutito. The building was opened in August 2017 and had its first delivery on the day it was opened. The facility treats approximately 12,500 clients yearly. The maternity facility is of great help to poor mothers who cannot afford other private hospitals.

The charity provides financial support for these services. Funds are transferred to various projects as needed by the Sister to buy drugs, food, equipment, books, and clothing. The trustees visit each area two or three times annually to monitor progress and asses the emerging needs. The charity has a coordinator to oversee all the activities in Kenya and to send regular reports on both the finances and the progress of projects. It is the aim of the charity to continue to develop the relationships already well established in these communities.

PSMG is also involved in a mission in Kitalé which is the western region of Kenya and is very poor and isolated. We have two communities Chepchoina and Sirende. The mission in Chepchoina began in 2012 continues to grow. The work is being done in collaboration with the Diocese of Kitalé and the Elgon Trust. Some sisters work in the local schools, hospital, and community. We also have Sisters working in Sirende convent in the local dispensary, secondary school, and pastoral work within the parish. In 2019, we opened new mission in Tanzania, Kondoa Diocese Huruvi parish and Sisters are involved in different pastoral work within the parish and the local health centre.

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1. Mutito Catholic Health Centre in Mutito Convent

The PSMG engagement in Kenya started in 1973 through the health care work of late Sr. Ignatius Barron (SMG) from Ireland. She joined Ursuline sisters in 1973 in responding to a request by the Ursuline Sisters through the Major Superiors conference to give a sister who was a nurse to help in answering to the need for healthcare in Mutito. Sr. Barron went back to Europe when her term was done but was requested again to return to Mutito in 1982 to set up a dispensary. This time she was accompanied by Sr. Josephine Coughlan (SMG). In 1984 the first SMG community was formed in Mutito, Kenya. In 1984, Bishop William Dunne invited the SMG Sisters to replace the Ursuline Sisters in Mutito as they were withdrawing from the Parish due to other commitments.

Mutito Convent is situated in a very remote area. Here the Sisters run a health centre which is generally the only available means of medical help for the local communities. The health centre also operates an outreach programme for remote groups. Various programmes include Health education, Maternity and Outreach clinic services. Since January 2022, 5798 patients have been supported. The Convent has a very good relationship with the local primary schools where they carry out health checks on the children. These projects give access to medical care to the ordinary person.

Two newborn delivered on 13[th] and 15[th] Sept 2022

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Service provided to villages/outreach communities

Outreach Clinic Services in different areas of Mutito

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Late Sr. M. St. Pius, Superior General and Sr. Margaret Doyle visited Mutito on a discerning mission in February 1985. It was decided to establish the first SMG community in Kitui in October 1985. In answer to a request for volunteers from the congregation, Sr. Rosarii O Connor and Sr. Catherine Howard were chosen to join this community. For a period of 10 years there were no local vocations from Kenya joining the SMG Sisters. However, in 1994, two postulants from Kenya joined the congregation. These were Mueni Musyoka and Anna Katuva. These later became the first fruits of the SMG mission in Kenya.

Today Mutito community has four members Sr. Catherine Makau, Sr Catherine Munanie, Sr. Pauline Muema and Sr. Cecilia Minoo. The sisters are involved in education, health care and pastoral work within the parish.

Health Education on Disease Prevention

Sisters giving health education on disease prevention

Tei wa Ndiwa (Mercy of Orphans) group is a self-help group of people living with HIV and other members are the guardians of orphans whom their parents died of HIV. They receive support from the sisters.

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2. Mwingi Community

From Mutito, the next stop for SMG Sisters was Mwingi in 1995. There was a need for a separate community to handle the novitiate. With the cooperation of the Mwingi Parish priest, Fr. Mick Kane a site was identified, purchased and constructions were started. On the 23rd of September 1996, the first SMGs and novices took up residence in the new building. They were late Sr. Madeleine Ryan, Anne Katuva, Meki Ngemu, Mary Lulu, Christine Kithwa and Mueni Musyoka. The house was given a name Baraka house (House of Blessing) because of the thanksgiving to God for the strengthening of SMG presence in Kenya. A formal parish welcome for the SMG Sisters was arranged by late Fr. Kane and the parishioners on October 6th of the same year. Among the guests were the late Bishops of Kitui Catholic Diocese Boniface Lele and the late Bishop William Dunne.

The first Kenyan Sisters were professed in 1997. The Sisters took up different apostolates. They visited the schools for Pastoral programs, taught Sunday school lessons and presided over the Sunday services in different Outstations of the parish. The feeding of poor children developed then in the compound and later moved to a rented house in Mwingi town. Since then, it has developed into Frances Taylor family Learning Center (FTFLC) that takes care of various programs including feeding the hungry children from the street, empowering women, training girls in the polytechnic and educating children in Early Childhood Development (ECDE).

Currently Mwingi community has five Sisters; they are Sr, Marietta, Sr Teresa, Sr Bridgit, Sr Catherine and Sr Judy. Being a formation community, currently we have three novices, Emmaculate, Felistus and Anne.

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The Frances Taylor Family Centre (FTFLC)

Frances Taylor Family Learning Centre (FTFLC) was established in the year 2000 by the charity with the aim of responding to the variety of problems that faced Mwingi town in Kenya and its environs. Over the years the project has come to focus on a number of activities that attempt to mitigate the harsh impact of the problems arising from extreme poverty and semi-arid conditions of Mwingi area. Currently FTFLC on the most vulnerable population and neglected children on the streets of Mwingi. The centre has Early Years Education (EYE) has an enrolment of 93 babies, a polytechnic which has 50 girls, a feeding program giving food to more than 30 households, a women’s self-help group with 22 women, a ball making project, and sponsorship of fees for children in different schools.

FTFLC preparatory school babies during their exposure session. These babies are from needy families around Mwingi town and we support them with basic education

FTFLC Social worker with children whom Sisters have rescued from the street and we are supporting them with food and clothes while living with their great grandparents because their mother has mental issues

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FTFLC Polytechnic girls and boys during outside catering session

FTFLC self-help group for women during their table banking meeting

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3. Mulutu Catholic dispensary in Mulutu Convent Community

Mulutu convent was officially opened 1st January 2000. The postulants moved to Mulutu in 2001 with Sr. Nora as their directress until to date but with different directress. During their time there, as part of their Formation Programme, each group actively get involved in the parish, visiting the sick and needy in their homes and helping to implement various catechetical and pastoral programmes. Sisters, when available, teach on a voluntary basis in the local primary and secondary schools. The people of Mulutu requested the Sisters, if possible, to build a dispensary and after due consideration the decision was reached to go ahead with the building. The construction was started in June 2004 and completed in June 2005. On 25th February 2006, Fr. Frank Minogue officially opened the dispensary. Currently, there are six Sisters in the community: Sisters. Dorcas Ndanu, Josephine, Anna Mwangangi, Maryanne Kiboro, Jacinta Akiru, and Racheal Ritu and five postulants - Annastacia, Anne, Briannah, Maria and Nereus.

Mulutu is about 5 kilometers away from Kitui County headquarters and is a fairly green area during rainy seasons. Despite this scenario, the area is a typically a rural place with limited job opportunities and households depend solely on subsistence agriculture. Mulutu Catholic dispensary offers medical care and medication is available to the ordinary people who are far from any hospital and who often suffer from malaria, tuberculosis, chest infections etc.

Sr Rachel with class 7 learners on a visit to a woman suffering from cancer.

Sister Priscilla in session with

Postulants

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4. Ting’ang’a Community

Ting’ang’a community began in January 2003 with three Sisters. The Sisters bought an already existing house and equipped it. Ting’ang’a community is the first place where all the Sisters and their guests from abroad go for hospitality and welcoming before they proceed to other parts of the country. This is the community for all the Sisters who are students. It also serves as the administration office of the Kenyan area.

Two Sisters are involved in administrative work whilst two others are involved in different apostolates within the parish. They also attend PMC and youth activities within the parish. When college closes, students are sent to various communities for their holidays, where they can put into practice what they are learning.

We continue with our ministries in the parish, P.M.C, Y.C.S Youth Education and home visits. We are also happy to enjoy farming in our new land and we are grateful for the support that was given to us to purchase such fertile land.

Sisters donating food to a needy family.

Seminar for the students whom we help with school fees, facilitated by sisters.

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Harvest of arrow roots from our new land. Sisters are spreading the harvest for airing

5. St. Monica’s Convent – Chepchoina (Kitalé)

The journey to Chepchoina began when the SMG Sisters were invited by Bishop Maurice Crowley of Kitalé Catholic Diocese some years back. The decision to accept this invitation was taken by SMG leadership in 2010. The original dream was to open the new convent for the closing of the year of Mother Magdalen on February 12th, 2012.

Even though the official opening of the convent was on 30th November 2013 the Sisters started living in the new convent by the end of 2012. The progress of the building was not as quick as had been anticipated but to the consternation of the builders, Rosarii O’Connor and Mary Dunlea took up residence in St. Monica’s Convent on 8th December 2012.

The convent was officially opened on 30th November 2013 on the Feast of St. Andrew attended by many SMG Sisters from other convents. Bishop Crowley was the Chief Celebrant of the mass and was joined by Fr. Henry Juma the parish priest, Fr. Leo Staples and other clergy. Parishioners, Sisters and people from further afield joined in the celebrations and it proved truly a joyful and memorable occasion even with gifts from wellwishers.

The community currently has four Sisters: Sisters Eunice, Veronica, Rhoda and Rose. The Sisters are involved in different ministries which include education, health care and pastoral within the parish.

The sisters continue to be employed mainly by the Mount Elgon Trust. Currently, two Sisters are employed by the TSC, pastoral work is ongoing where the Sisters help to alleviate poverty in many and varied ways, especially with families through:

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In Chepchoina we continue to thank God for the opportunity to be the sign of hope, joy and courage to many people we are privileged to serve. We thank our Generalate for their great support and we thank our Benefactors for their generosity and kindness throughout the year. We collaborate with institutions as we serve people in our localities. In Andersen medical centre we get 60-100 mothers delivering babies in a month. Most of our mothers are very needy, they come without clothes for their newborn babies. This time we were able to support a few mothers who came to our facility to give birth. We appreciate the nice woven warm cardigans and woven blankets shared to us by our well-wishers. These gifts benefited many of our mothers and they all say' may God bless the well-wishers’ for sending these warm clothes for them. Throughout the year we were able to assist around 70 patients to clear their hospital bills and access referral services. This is through the great support we receive from our benefactors.

Sr Veronica donating a woven blanket to a newly born baby boy

Sisters are also involved in education and in one of the poorest schools in the area. The school has a large population of around 800 pupils who are from humbled background. Through the Sisters they received writing materials. Sr Rose was supported to provide costumes for the music club that presented their items for the first time up to County level. The pupils and their parents were full of joy for their participation and exposure. We are very grateful for your generosity and continued support.

Sr Rose with her music club members

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6. St. Lucy’s Convent in Sirende, Kitalé

Sirende community is not far from Kitale town. It is our newly constructed convent. The Sisters are involved in pastoral ministry - teaching catechism, visiting the sick, teaching in local secondary school, and poor within the parish.

The Sisters moved to Sirende community on Sunday 13[th] October 2019, the feast of Our Lady of Fatima and by, coincidence, the day when John Cardinal Newman was canonized in Rome. The community has four Sisters: Sisters. Anne, Maureen, Angella and Juliana. The four Sisters are involved in pastoral activities within the parish as well as working in the parish dispensary. The area has plenty of rain and Sisters undertake farming.

Sr. Juliana with the Young Catholic students during a rally day. All the schools in the zone had come together on a flags day and enrollment for the new members

Sr. Annastasia in Parish hospital attending to one of the sick child. This hospital serves over 100 patients each week. They also attend to the children on daily bases who need immunization. Also manage the admitted patients

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Sr. Anne Katuva with the Catechetical students during one of the graduation ceremonies. This class has 46 students. This group of catechists is trained for four months. The college has two intakes every year training about 90 catechists per year

Sr. Juliana in class with the form three students at St. Thomas Aquinas secondary school during English class. The school is single streamed with a capacity of 250 students. One of the Catholic sponsored school which has a high number of students from poor families

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7. PSMG Huruvi Community The Huruvi community has 3 Sisters. The mission in Huruvi started on 12[th] February 2019 and Sisters are involved mainly in pastoral ministry of teaching catechism, formation of members of small Christian communities, visiting the sick, and poor. We discern the local needs before construction of the convent and starting specific SMG ministries.

This photo shows a sister in a home visit, this brings joy to families. 16 families are visited so far.

This photo show sisters in the choir together with other Christians listening to a Sunday homily.

This photo shows a sister with other religious sisters during profession

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Members are involved in the local Roman Catholic parish as readers, Eucharistic ministers and are part of the sacramental programs and RCIA. Local groups are welcomed to the chapel to pray and share the liturgy. In previous years on special days many people gathered to meet and celebrate culture either in person or virtually.

Donations and other payments are agreed by the Trustees in support of the missionary work and ministry in consultation with the members of the Congregation. Some of the groups supported were:

The Charity is not a grant-making charity and does not engage actively in fundraising.

Voluntary Work

Through the use of modern technology, the members of the Congregation gave much time over the past year to assist the poor, the vulnerable and the marginalised, visiting virtually and supporting the housebound, the hospitalised and prisoners, assisting the homeless, refugees and asylum seekers. Chaplaincy and parish work pastoral care were restricted to virtual contact. Many members of the Congregation do non-remunerated administrative tasks within the Charity which enables it to function effectively.

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REVIEW OF ACHIEVEMENTS AND PERFORMANCE

The following outlines the achievements during the year in the various areas of activity of the Charity.

Operation of Care Homes

Maryville Care Home Brentford continued to offer quality care to 39 residents during the year. The occupancy level has been almost 100%. Covid outbreak at the home and lockdown restrictions has made filling vacancies challenging resulting in some loss of income. Staff illness and the requirement for isolation have increased the staffing costs. A number of Agency staff were required to enable the home to function safely.

Residential care homes at Roehampton, Laverstoke Gardens, Streatham, and Brentford have all delivered care to a wide range of residents drawn from multi faith backgrounds, a wide variety of cultures and ethnic groups.

The Supported Living projects in Liverpool and Middlesex, London have been very impacted over the past year as potential residents were unable to move into care. The Charity has closed the supported living facility at 101 The Drive. Residents were accommodated in the Residential services to fill vacancies.

The Extra Care Supported Living in Brighton and Hove opened in 2014 and is flourishing. Some of the tenants had lived in residential settings and are now enjoying much more personal freedom and choice. Each resident has an apartment. Each also has a care package for helping them to cope with personal care and activities. The social activities for these residents have been much disrupted over the past year.

Supported Living projects in Liverpool and Brighton continue to enable persons with disabilities to experience a more independent lifestyle. The residents now live more independently in these small settings and out of the institutional setting.

Operation of Home and Community Support

The Home and Community Service in Brighton was closed in April 2022.

Home visits during the were limited due to ongoing impact of Covid 19. The Frances Taylor Foundation was responsible for caring for people in their own homes, but most did not welcome any one from outside to their home during Covid lockdowns.

Day Activities

Day Activity Services usually provided at St. Mary’s Roehampton, St Raphael’s Services at Brentford and in Fernley Resource Centre in Freshfield gradually reopened as Covid lockdowns were lifted. The conservatory and adjoining areas, funded from the Friends of St Joseph’s Charity, continue to be used as extra spaces in an effort at social distancing.

One of the Trustees’ main objectives for the year was to maintain a high level of occupancy as well as ensure the quality of service in these facilities. One of the objectives will be to continue to achieve a high level in the coming year in all the services.

Covid 19 continues to impact on all service provision. Occupancy which would normally be 95% + has diminished in all day activities. It is hoped that all locations will begin to return to providing safe, homely, and welcoming environment in line with modern thinking and legislation on learning disability.

We encourage all our Care staff to work towards the professional development and appropriate care qualifications to meet the needs of the Service. In addition, all our Care employees undertake specific training to meet the specific needs of the individual Service Users.

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Day Activities

Day Activity Services usually provided at St. Mary’s Roehampton, St Raphael’s Services at Brentford and in Fernley Resource Centre in Freshfield gradually reopened as Covid lockdowns were lifted. The conservatory and adjoining areas, funded from the Friends of St Joseph’s Charity, continue to be used as extra spaces in an effort at social distancing.

One of the Trustees’ main objectives for the year was to maintain a high level of occupancy as well as ensure the quality of service in these facilities. One of the objectives will be to continue to achieve a high level in the coming year in all the services.

It is hoped that all locations will begin to return to providing safe, homely, and welcoming environment in line with modern thinking and legislation on learning disability.

Covid 19 continues to impact on all service provision. Occupancy which would normally be 95% + has diminished in all day activities.

We encourage all our Care staff to work towards the professional development and appropriate care qualifications to meet the needs of the Service. In addition, all our Care employees undertake specific training to meet the specific needs of the individual Service Users.

One of the Trustees’ main objectives for the year was to maintain a high level of occupancy as well as ensure the quality of service in these facilities.

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

REVIEW OF ACHIEVEMENTS AND PERFORMANCE (continued)

The table sets out some important statistics showing the achievements of the Charity during the year. The Staff Training program continued during the year. The following table sets out the training achievements of the staff.

Services – Staff Qualifications

Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications Services – Staff Qualifications
Total number
of employees		 NVQ2
or QCF
equivalent		 % NVQ3
or QCF
equivalent		 % NVQ4
or QCF
equivalent		 % RMA /
Management
QCF
equivalent		 %
Marina, Lansdowne Road,
Hove		 16 0 0 5 31% 1 6% 2 12%
Laverstoke Gardens,
Roehampton		 10 2 20% 5 50% 2 20% 1 10%
St. Mary's Roehampton 52 7 12% 6 11% 2 4% 1 2%
St. Raphael's 25 6 24% 4 16%
Maryville 55 10 19% 5 9% 1 2% 3 6%
Tooting Bec Gardens,
Streatham		 7 7 100%
7		 100%
1		 14% 1 14%
Woodbourne Avenue,
Streatham		 7 7 100%
6		 86% 2 29% 2 29%
Liverpool Adult Services 65 58 89% 15 24% 5 8% 5 8%
Home and
Community Support		 Service closed in April 2022
Brentford Supported Living Service closed in August 2021
Fernley Resource Centre,
St. Joseph’s, Freshfield		 44 12 27% 10 22% 2 4.5% 1 2.2%
St. Joseph’s Home,
Freshfield, including
L37 Short Breaks Service		 84 26 31% 15 12.5%
3		 4% 7 8%
Extra Care Supported Living
(at St Anne’s Apartments)		 16 1 6% 9 56% 1 6% 1 6%
Sefton Supported Living 10 4 40% 4 40% - - - -

• The qualification levels of staff at all the services are being monitored constantly.

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

REVIEW OF ACHIEVEMENTS AND PERFORMANCE (continued)

The table sets out occupancy levels of care facilities showing the achievements of the Charity during the financial year:

Services – Occupancy / Utilisation
Residential Care Homes Number of Places % occupancy
Marina, Lansdowne Road 9 99%
Laverstoke Gardens 7 100%
St Mary’s Roehampton 40 95%
St Raphael’s 21 91%
Maryville 39 92%
Tooting Bec Gardens 7 89%
Woodbourne Avenue 8 98%
St Joseph’s Home, Freshfield 36 97%

Housing Related Support and Personal Care Services

Housing Related Support and Personal Care Services Housing Related Support and Personal Care Services Housing Related Support and Personal Care Services Housing Related Support and Personal Care Services Housing Related Support and Personal Care Services Housing Related Support and Personal Care Services
Number of
people
supported		 % occupancy
of tenancies		 Total hours per
week – housing
related support		 Total hours per
week –
personal care		 Total hours
per week
(support and care
hours combined)
Liverpool Adult
Services		 37 88% 967 696 1662
Home and Community
Support		 - - - - -
Brentford Supported
Living		 - - - - -
Extra Care Supported
Living (St Anne’s
Apartment & 3C)		 14 100% 100 435 535
Sefton Supported
Living		 4 80% - - 265

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

REVIEW OF ACHIEVEMENTS AND PERFORMANCE (continued)
Day Activity Services
Number of people supported (“on the books”) Average number attending per day
Fernley Resource
Centre,
St Joseph’s
Freshfield		 On site residents: 30 Residents
External clients: 37 Service users		 67
St. Mary’s
Roehampton		 On site residents: 23
External clients: 1		 Number of external service users: N/A
Number of in-house service users: N/A

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

REVIEW OF ACHIEVEMENTS AND PERFORMANCE (continued)

Social and Pastoral work

Throughout the year the Charity assisted a large number of the members to carry out their pastoral, charitable and religious work throughout the UK and in other areas of the world as documented in the Activities, Objectives, Policies and Strategies section above.

This pastoral and social work enables the Charity to fulfil its aim to reach those most in need in our society today. Through visiting the lonely in their homes and doing some very mundane tasks for them, a significant number of people have benefited.

All members work in their chosen ministry apart from 17 members of the Congregation who are cared for in care homes.

Overseas missionary work

Kenya

During the year the Charity continued to support and expand its mission in Kenya as well as financing of the education of young Kenyan women. Commitment to and development of the Kenyan mission is one of the long term aims of the Charity.

A new Convent is now completed in Sirende and the Sisters are undertaking pastoral work in the parish and in the area. The property is being fenced at this time and a flourishing shamba and chicken project is doing very well.

Tanzania

Since February 2019, there are three Sisters in Tanzania, involved in pastoral work and research into what is the real need of the Tanzanian people. It is very evident that there is a very real mission into the future. It is very poor area. A plot of land has been bought and already a convent is being built and will be completed very soon. There is need for education for the local young people. Polytechnical education is needed in the area. This will be the next step in establishing the mission.

Kondoa is a new Diocese in Tanzania and Parish of Huruvi is its new Parish (2020). The Bishop of Kondoa said: “I feel personally your presence in Kondoa is most opportune and your Sisters (SMGs) are offering a new way of pastoral engagement and other education which I think is needed in our time.”

COVID 19

As has been widely reported, a global coronavirus affected the United Kingdom in early 2020 and continues to impact everyone. However, the vaccinations have allowed gradual return to normality. The elderly and those with serious underlying medical conditions are particularly vulnerable. The trustees recognise the seriousness of the potential impact of the pandemic on the residents in its facilities. They continue to take all necessary steps to protect residents, staff and sisters and are closely following government guidelines. This continues to increase the costs of running the facilities, but it is anticipated that these costs will not have a material effect on the charity’s financial results. Most adults are now vaccinated and elderly vulnerable adults starting to receive Covid booster vaccinations. Majority of our staff providing direct care are vaccinated or encouraged to do so.

Charity’s investments during the year recovered from the impact of the pandemic. The values have recovered since the lows of March 2020 and exceed the pre pandemic valuations. It is however highly likely that investment markets will remain volatile as we have seen in recent days’ collapse of gas suppliers, shortage of fuel availability, global political challenges, Ukraine war, cost of living crisis and shortage of experienced and trained staff. The exact financial impact is difficult to assess with any high level of confidence, but the Trustees are of the opinion that the charity will be able to meet all of its financial obligations and commitments for the foreseeable future. Thus, they consider that the charity is a Going Concern.

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

FUNDRAISING ACTIVITIES

The Charity does not seek funds from the public as such. The donated income that it does receive mainly consists of the pensions and salaries donated by the Sisters of the Congregation.

The Charity’s undertakes no direct fundraising activities. The Charity does receive donations from an independent charity, ‘The Friends of St Joseph’s’ (Charity number: 502759) which is not under the direct control of the Charity Trustees. Funds raised by this independent charity for the benefit of Service Users who use the St Joseph’s Home and Fernley Resource Centre and are used to provide additional amenities and opportunities that contribute to the quality of life of Service Users of these two Services. The minibus provided by the Friends of St Joseph’s has been of great benefit to the Residents.

The Charity also receives donations in recognition of or gratitude for its provision of facilities and services for which no charge is made, such as the provision of facilities for quiet reflection and prayer and/or Sisters’ spiritual accompaniment of individuals. However, such facilities and services are offered irrespective of the ability to pay.

The Charity does not engage any professional fundraisers or commercial participators.

Since we do not participate in fundraising activity, the Trustees of t h e Charity do not feel there is any need to subscribe to a particular scheme or set of standards for fundraising regulation.

There have been no instances of failure to protect vulnerable members of the public and no complaints have been received in relation to the conduct of the Charity or Friends organisation in respect of fundraising activities .

FINANCIAL REVIEW

The Charity’s principal source of income continues to be the fees generated from its charitable activities in the form of the Care Services, Retreats, and charitable accommodation that it provides. Income from these sources rose to £13.0m (2021: £11.94m). Investment income was slightly lower at £3.15m from £3.22m.

With the easing of Covid lockdown restrictions, operating activity improved as reflected in improved income for the Charity. Total income rose to £18.33m (2021: £16.91m). Therefore income, excluding gains on disposal of tangible fixed assets, increased from previous year by some £716k. However, there is, an expectation that the tendency in future will be downward pressure on income.

At the same time, total expenditure also increased to £17.9m from £17.15m with charitable activities expenditure increasing to £17.4m from £16.7m. The net effect was that there was an excess of income over expenditure, before investment gains, of £407.3k compared to excess of expenditure over income of £245.6k in 2020/21.

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

FINANCIAL REVIEW (continued)

Investment gains for the year were £7.8m (2021: £27.7m). In 2021 investment values recovered sharply following a similar sharp decline in 2020 due to impact of Covid with modest increase in 2022. Charity continued to withdraw £2.4m during the year from investments to meet cash flow requirements for the year. The overall result was a net surplus and increase in overall reserves of £8.3m (2021: £27.5m). Since the end of financial year investment values have been declining resulting from war in Ukraine, global costs rising for energy, goods, and services with inflationary pressure. Investment income is likely to be reduced as corporations face increasing costs on wages and materials with limited capital growth in the medium term. We are increasingly more reliant on our investment portfolios to support our charitable activities. For the future, although many of the older Sisters still continue to carry out voluntary work, in both our own services and those managed by other agencies, the increasing age profile of Sisters and the reduction in membership numbers result not only in a reduction in income but also in a need to employ more lay people to carry out the work formerly performed by Sisters. Costs, in the form of maintenance of Sisters, are also expected to rise with the increased age profile. Therefore, it is anticipated that the costs of the Charity will rise significantly at the same time as it is faced with challenging income growth. These factors emphasise the need for the establishment of a sound capital base.

The trustees invested a further £500k in one of the Charity’s portfolios of quoted investments, other than reinvesting the investment income. Covid 19 has continued to impact on Charity’s income due to partial suspension of certain activities in retreat centres and care services. In addition, costs of operating the various charitable activities continue to have increase, some of these have been partially offset by government grants. The pandemic continued to disrupt and curtail our daily lives resulting in financial uncertainties for many of our activities. The Charity has, along with many other net depositors suffered a reduction in the income generated by its cash reserves becoming more dependent on the income arising from its investment portfolios. Investment income also slightly declined from previous year. As a Charity we are fortunate that we can rely on our investments to support us during these challenging times. Trustees are mindful that they must not expose the Charity to undue levels of risk with the investments and therefore, continue their policy of maintaining a well-diversified range of investments and closely monitoring the Charity’s finances with appropriate advice from the Charity’s fund managers.

INVESTMENT POLICY AND PERFORMANCE

The Charity’s investments were managed by three fund managers as listed in the Reference and Administrative Details section of this report. The Trustees have wide powers within the Trust Deed and are empowered to invest any monies as authorised by law in a manner they think fit.

All portfolios are subject to a medium degree of risk. The Trustees intend that the real value of the assets be maintained and enhanced over the long term by investment in a portfolio of equities, fixed income stocks and cash. The fund managers’ performance is regularly reviewed by the Trustees and their advisors through quarterly reports and scheduled meetings.

The Trustees require the fund managers to adopt an ethical policy and to use their best endeavours to avoid investments that are predominantly involved in areas of unacceptable exploitation. This is very relevant where the Charity has direct investment in shares.

The Trustees have instructed the fund managers not to invest in companies which are involved in, or associated with, the defence industry, manufacture of anti-life products, use of animals for testing cosmetics, harming the environment through unacceptable levels of water pollution, destruction of woodlands or forests, gambling, oppressive regimes, exploitation of labour (unsafe working conditions, child labour, poor wages or race discrimination), pornography, exploitation of third world countries through charging high interest rates on loans or the manufacture of tobacco products. However, where investments take the form of collective investment funds, the Trustees are unable to exercise direct control over the ethical policy adopted by the fund manager.

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

INVESTMENT POLICY AND PERFORMANCE (continued)

As noted in the financial review, the year to 31st March 2022 the Charity’s investment portfolios recorded modest gains from previous year.

The gains on investments during the year amounted to some £7.88m (2021: £27.76m) whilst the income return was £3.15m (2021: £3.22m). Investment performance has been generally in line with market movements and returns have been ahead of inflation, more than protecting capital and future income streams. The total return on the portfolios for the year was, approximately 8.2% (2021: 28.1%).

Differing benchmarks are given to different fund managers as a way of diversifying the Charity’s exposure to the risks inherent in stock market investment. The overall return generated by the Charity’s investments was ahead of the principal benchmark utilised, the ARC Balanced Asset Charity Index which showed a return for the year of 5.4% and 6.3% return on the ARC Steady Growth index. Over the longer period, Charity’s overall returns have been at least as good as the benchmarks set and therefore, they have been, in the opinion of the Trustees, satisfactory particularly in view of the difficult economic climate and the gains experienced in the recent years. In the period since the year end, Charity’s investments have fallen by approximately 12%. Despite uncertainties, which are inherent in investing at any time, the portfolios look to be well-positioned to benefit from any economic growth whilst carrying sufficient risk protection in the form of less volatile holdings. The income-yield of equity investments is attractive compared to that available from most other forms of investment.

The Charity has continued to withdraw £2.4m (2021: £2.4m) during the financial year to cushion the effects of Covid 19 on its net cash generating ability and is in a fortunate position to be able to do so. Trustees expect to continue to withdraw modest amounts in the foreseeable future from the Charity’s investment portfolios to support its charitable activities. Trustees will continue to monitor closely investment returns and continued support required for its operations.

RESERVES POLICY

At the year end the total funds of the Charity were £159.8m of which £131.3m were designated. Details are set out in Note 20 of the financial statements. Designations are as follows:

£75.0m is reserved for the care of the elderly members. The number of elderly and sick members continues to increase. Most of the frail elderly members are cared for in one of the homes operated by the Charity. The aim is to keep the members as active as possible through second and even third careers. Many do voluntary work in their local areas. The Trustees commissioned in 2022 an actuarial review of the long-term requirement for funds for the care of the elderly. This review has indicated that a fund of between £65m and £77m will be required for this purpose and the Trustees. Trustees decided to leave the Fund balance at £75m assessing the current valuations which is at the upper end of actuarial review.

The trustees are mindful that a significant proportion of the Fund is represented by quoted investments which are, by nature, volatile and that the needs of members are also subject to constant change. The level of the Fund will continue to be kept under review as the needs of the Congregation’s members evolve and investment markets fluctuate.

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

RESERVES POLICY (continued)

£8m has been designated for development and upgrading of the services and accommodation facilities provided by the Charity for the next five to ten years. At the beginning of the financial year the fund value was £8.0m which further increased with net gains in investments. Following an in-depth review of future plans and related costs by the Trustees decided a fund of £8m will be required for development expenditure both in the UK and overseas and surplus to this requirement remaining reserves was released to general reserves.

£30.0m has been designated by the Trustees for relief of poverty and distress. The trustees have reviewed their commitment to relief of poverty and distress and have decided to continue to designate £30m to this fund to support other charitable organisations providing support to those requiring relief from poverty and distress. With ageing membership, it is not possible for the Charity to provide direct support and with availability of finance resources it is considered the best way for the Charity to carry its mission out through other likeminded charitable organisations who have experience of delivering aid to those in need. Trustees expect this to be a longer-term commitment, over ten years and have not placed any restrictions on use of income or capital. Trustees will carefully monitor support requests and deployment of funds expended by the selected charitable organisations.

£7.0m is designated to provide funding for the overseas outreach programmes anticipated to occur in the next five years. Congregation’s missions in Kenya and Tanzania are growing and will require increased support in the coming years to develop these missions. Overseas payments amounting to £599k with donations, investment income and net gains allocated to the fund in the amount of £590k. In view of the continuing commitment to Congregation’s missions in Kenya and Tanzania, trustees decided to continue to maintain the fund at £7m and transfers were made from the general Fund of £8.5k . In Kenya and Tanzania, the provision of health care through dispensaries and clinics continues to be a challenge. Education is also a high priority. Members are being trained as teachers, nurses, laboratory technicians, social workers, and pharmacists. These skills and professional training are essential for the sustainability of our mission in these places. Trustees will continue to monitor the need for overseas support in Kenya and Tanzania and set the reserve in line with their commitment.

Just over £11.3m is designated to represent the net book value of the Charity’s properties which cannot be realised without undermining the Charity’s works.

The General Funds of the Charity at the year-end stood at £28.5m. This represents 19 months’ expenditure on the Charity’s continuing activities. This is therefore in line with the levels stated in the Trustees’ policy which is to hold between one and two years’ expenditure in reserve. A reserve of between one and two years’ expenditure is considered by the Trustees to be prudent.

Such “Free Reserves” are required to ensure that the Charity has sufficient cash resources to meet all its liabilities and commitments as they fall due. Also, with such a broad range of activities and a significant portfolio of properties, many of which are quite old, through which these activities are conducted, it is felt that a reasonable provision against contingencies is essential. In addition, a significant proportion of the Charity’s reserves are represented by quoted investments which are needed for the income that they generate, particularly in view of the low level of interest rates, but the value of these is subject to quite volatile fluctuations in the current uncertain political and economic environment. Therefore, prudence dictates that a reasonable cushion is held against sudden dramatic falls in value.

The Trustees will continue to monitor the Charity’s reserves levels.

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT - continued

YEAR ENDED 31 MARCH 2022

FUTURE PLANS

The Trustees intend to:

Specific aims include:

POOR SERVANTS OF THE MOTHER OF GOD

TRUSTEES’ ANNUAL REPORT (continued)

YEAR ENDED 31 MARCH 2022

Trustee Responsibilities

The Trustees are responsible for preparing the Trustees' 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 Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources of the Charity for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that 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.

We confirm that there is no audit information of which you as auditors are unaware, and that each trustee has taken steps to make themselves aware of any relevant information and to establish that you are aware of that information.

The Trustees appreciate the professionalism, dedication and commitment of their members, management personnel, staff, and advisers.

Approved by the Trustees on 29 November 2022 and signed as authorised on their behalf by

……………………………………… ……………………………………… Sr Margaret Cashman Sr Mary Whelan Trustee Trustee

Independent auditor’s report to the trustees of POOR SERVANTS OF THE MOTHER OF GOD

Opinion

We have audited the financial statements of Poor Servants of the Mother of God for the year ended 31 March 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes to the financial statements, 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 have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. 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 UK, including the FRC’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 trustees’ 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 trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report. Our opinion on the financial statements 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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Independent auditor’s report to the trustees of POOR SERVANTS OF THE MOTHER OF GOD (continued)

Matters on which we are required to report by exception

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

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on page 39, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are 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 trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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 auditor’s 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:

Based on our understanding of the charity and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to safeguarding regulations, care quality commission compliance, employment law and taxes and Charity law, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011 and the Charities SORP.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to recognition of income. Audit procedures performed by the engagement team included:

Independent auditor’s report to the trustees of POOR SERVANTS OF THE MOTHER OF GOD (continued)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including to those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more the compliance with a law or financial regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of noncompliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditor's 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’s trustees as a body for our audit work, for this report, or for the opinions we have formed.

Haysmacintyre LLP Statutory Auditors 10 Queen Street Place London EC4R 1AG

29 November 2022

Haysmacintyre LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

POOR SERVANTS OF THE MOTHER OF GOD

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2022

Unrestricted Funds Unrestricted Funds
2022 2021
Total Total
Notes £ £
Income from
Donations and legacies 1 691,020 748,233
Charitable Activities 2 13,049,578 11,944,225
Other charitable activities
- Rents receivable from charitable-use properties
temporarily surplus to operational requirements 189,002 123,077
Investments 3 3,153,306 3,221,069
Other
- Gain on disposal of tangible fixed assets 4 714,017 4,945
- Grants received 4a 534,128 864,086
------------------------ ------------------------
Total Income 18,331,051 16,905,635
------------------------ ------------------------
Expenditure on
Cost of raising funds
- Investment management costs 498,228 411,659
Charitable activities 5 17,425,452 16,739,628
------------------------ ------------------------
Total expenditure 17,923,680 17,151,287
------------------------ ------------------------
Net income/(expenditure) before gains/(losses)
on investments 407,371 (245,652)
Net gains/(losses) on investments 7,882,749 27,760,878
------------------------ ------------------------
Net movement in funds for the year 8,290,120 27,515,226
Fund balances at 1 April 2021 151,557,890 124,042,664
------------------------ ------------------------
Fund balances at 31 MARCH 2022 £159,848,010 £151,557,890
============= =============

Included in the above figures is a £21,082 (2021: £15,598) restricted donation which has not been spent by 31 March 2022. During the year restricted donations of £13,484 and £345,661 of Covid-19 infection control and rapid testing grants were received. All of the Covid-19 grants were spent during the year along with £8,000 from other restricted funds. This has not been separately disclosed as a restricted fund at 31 March 2022 as this amount is immaterial in context of the overall funds of the Charity. The above figures exclude permanent endowment of £50 and this the difference above fund balances and Balance Sheet.

The notes on pages 55 to 69 form part of these financial statements.

POOR SERVANTS OF THE MOTHER OF GOD

BALANCE SHEET

AS AT 31 MARCH 2022

2022 2021
Notes £ £
Fixed Assets
Tangible assets 15 11,354,022 11,903,087
Investments 16 146,939,419 138,401,889
-------------------------- --------------------------
158,293,441 150,304,976
-------------------------- --------------------------
Current Assets
Debtors 17 1,196,794 713,141
Cash at bank and in hand 1,670,565 1,978,417
-------------------------- --------------------------
2,867,359 2,691,558
Creditors:
Amounts falling due within one year 18 (1,312,740) (1,438,594)
-------------------------- --------------------------
Net Current Assets 1,554,619 1,252,964
-------------------------- --------------------------
Net Assets £159,848,060 £151,557,940
============== ==============
Funds
Permanent Endowment Fund 21 50 50
-------------------------- --------------------------
Unrestricted Funds:
General Funds 28,536,292 19,706,758
Designated Funds 20 131,311,718 131,851,132
-------------------------- --------------------------
159,848,010 151,557,890
-------------------------- --------------------------
£159,848,060 £151,557,940
============== ==============

Approved by the Trustees on 29 November 2022 and signed as authorised on their behalf by:

………………………………….. Sr Margaret Cashman Trustee

…………………………………..

Sr Mary Whelan Trustee

The notes on pages 55 to 69 form part of these financial statements.

POOR SERVANTS OF THE MOTHER OF GOD

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 MARCH 2022

2022 2021
Notes £ £
Cash flows from Operating Activities
Net cash outflow from operating activities A (3,724,674) (3,228,880)
---------------------- ----------------------
Cash flows from investing activities
Dividends and interest from investments 3,153,306 3,221,069
Payments to acquire tangible fixed assets (23,430) (15,387)
Receipts from sales of tangible fixed assets 941,727 4,945
Payments to acquire investments (51,963,222) (63,104,659)
Receipts from sales of investments 51,308,441 62,464,113
---------------------- ----------------------
Net cash provided by/(used in) investing activities 3,416,822 2,570,081
---------------------- ----------------------
Change in cash and cash equivalents in year (307,852) (658,799)
Cash and cash equivalents at 1 April 2021 B 1,978,417 2,637,216
---------------------- ----------------------
Cash and cash equivalents at 31 March 2022 B £1,670,565 £1,978,417
============ ===========
Notes to the Cash Flow Statement
A. Reconciliation of net movement in funds to net cash flow from operating activities
2022 2021
£ £
Net movement in funds (as per the Statement of Financial Activities) 8,290,120 27,515,226
Adjustments for
(Gains)/Losses on investments (7,882,749) (27,760,878)
Dividends and interest from investments (3,153,306) (3,221,069)
Depreciation 344,785 351,680
Gains on disposal of tangible fixed assets (714,017) (4,945)
(Increase)/decrease in debtors (483,653) (157,280)
(Decrease)/increase in creditors (125,854) 48,386
---------------------- ----------------------
Net cash (used in) operating activities (3,724,674) (3,228,880)
============ ===========
B. Analysis of cash and cash equivalents
Cash at bank and in hand 1,670,565 1,978,417
---------------------- ----------------------
Total cash and cash equivalents £1,670,565 £1,978,417
============ ============

POOR SERVANTS OF THE MOTHER OF GOD

PRINCIPAL ACCOUNTING POLICIES

FOR THE YEAR ENDED 31 MARCH 2022

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below.

Basis of preparation

The financial statements have been prepared in accordance with all statutory requirements and with the Statement of Recommended Practice for Charities (SORP 2015) (Second Edition, effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102).

The charity meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

The accounts are presented in sterling and are rounded to the nearest pound.

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the Trustees to make significant judgements and estimates. The items in the accounts where these judgements and estimates have been made include:

Assessment of going concern

The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The Trustees have made this assessment in respect to a period of one year from the date of approval of these accounts.

Impact of Covid 19 continues on Charity’s activities. Although Covid 19 lockdown restrictions continued in the year, gradually lifting of these lockdown restrictions has improved Charity’s income but still have not returned to pre-pandemic levels. In addition, costs of operating the various charitable activities are higher than per-pandemic levels as we continue to incur expenditure for health and safety measures to minimise and manage the spread of infection and comply with the regulations. Some of these costs have been partially offset by government grants. Senior management with the Trustees continue to monitor the Charity’s cash flow forecasts and financial performance of individual units. To cushion the effect of the Charity’s net cash generating ability, a planned withdrawal from Charity’s investment portfolios of £4.0m for the year ended 31 March 2023 has been arranged. The Charity will continue to monitor its cash flow requirements and adjust the withdrawal from its investment portfolios accordingly. The Charity is in a fortunate position to be able to access the required financial resource.

The Trustees of the charity have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The Trustees are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due. With access to Charity’s investments if required to support cash flow requirements for the operations, Charity will continue to be a going concern in the foreseeable future. The most significant areas of judgement that affect items in the accounts are detailed above. With regard to the next accounting period and following financial year ending 31 March 2024, the most significant areas that affect the carrying value of the assets held by the charity are the level of investment return and the performance of the investment markets (see the investment policy and the risk management sections of the Trustees’ Report for more information).

Income recognition

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received, and the amount can be measured reliably.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.

Income received in advance of the provision of care services service is deferred until the criteria for income recognition are met.

In accordance with the Charities SORP FRS102, volunteer time is not recognised.

POOR SERVANTS OF THE MOTHER OF GOD

PRINCIPAL ACCOUNTING POLICIES (continued)

FOR THE YEAR ENDED 31 MARCH 2022

Income recognition (continued)

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

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 bank.

Expenditure recognition and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Charitable grants and donations are made where the Trustees consider there is real need following a review of the details of each particular case and comprise single year payments rather than multi-year grants. Grants and donations are included in the statement of financial activities when approved for payment. Provision is made for grants and donations approved but unpaid at the period end.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

Allocation of support and governance costs

Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the charity it is necessary to provide support in the form of personnel development, financial procedures, provision of office services and equipment and a suitable working environment.

Tangible fixed assets

Individual fixed assets costing £5,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight-line basis as follows:

Annual rate
Freehold land Nil
Freehold buildings 2%
Building improvements 10%
Plant and equipment 10 - 20%
Motor vehicles 25%

Financial Instruments and investments

The charity only holds 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.

POOR SERVANTS OF THE MOTHER OF GOD

PRINCIPAL ACCOUNTING POLICIES (continued)

FOR THE YEAR ENDED 31 MARCH 2022

Investments

Quoted investments are a form of basic financial instrument and are initially recognised at cost and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Gains or losses on investments are disclosed in the statement of financial activities as a combined figure for realised gains or losses from investment sales in the year (sale proceeds less market value last year) and unrealised gains or losses arising from the increase/decrease in value during the year of investments still held.

As noted above, the main form of financial risk to which the charity is exposed is that of the volatility in investment markets.

Debtors

Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid.

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. Deposits for more than three months and up to one year have been disclosed as short-term deposits. Cash placed on deposit for more than one year is disclosed as a fixed asset investment.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Services provided by members of the Congregation

For the purposes of these accounts, no value has been placed on administrative and other services provided by the members of the Congregation.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Exchange differences are taken into account in arriving at the net movement in funds.

Funds

The permanent endowment represents the original endowment of £50 to be held perpetually and the income alone applied for the furtherance of the Congregation's charitable objects.

Restricted funds are held subject to donor imposed conditions and restricted to their use for the specific purpose.

Designated funds are monies set aside from the general funds and designated for specific purposes by the Trustees.

General funds are monies required for operating day-to-day activities of the Charity and to meets it charitable objectives.

POOR SERVANTS OF THE MOTHER OF GOD

PRINCIPAL ACCOUNTING POLICIES (continued)

FOR THE YEAR ENDED 31 MARCH 2022

Leased assets

Rentals applicable to operating leases, where substantially all of the benefits and risks of ownership remain with the lessor, are charged to the statement of financial activities on a straight-line basis over the term of the lease.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all of the risks and rewards of ownership to the charity. Assets held under finance leases are recognised initially at the fair value of the leased assets (or, if lower, the present value of the minimum lease payments) at the inception of the lease. The corresponding liability to the lessor is recognised as a finance lease obligation. Lease payments are apportioned between finance charges and the reduction of the lease obligation using the effective interest method in order to achieve a constant rate of interest on the remaining balance of the liability. Finance charges are charged to the statement of financial activities. Assets held under finance leases are capitalised and depreciated and assessed for impairment losses in the same way as owned assets.

Pension contributions

The Congregation of the Poor Servants on the Mother of God operated a defined contribution scheme open to all employees. The assets of the scheme, which were held separately from those of the Congregation, were invested with an insurance company and the scheme was externally administered by Multiplex Pension Trustees Limited. Contributions were charged to the Statement of Financial Activities as they were made. This scheme has wound up.

From 1 December 2004 the Scheme was replaced by a Group Personal Pension Scheme; a defined contribution scheme. Another defined contribution scheme was set up to manage Auto-Enrolment in 2014 for employees who did not join the Group Personal Pension Scheme as required by the government regulations. Both schemes are defined contribution schemes and the assets of the schemes are held separately from those of the Charity. The Group Personal Scheme is no longer available to new joiners.

The rate of contribution by the charity as employer ranges from 4% to 20% for the Group Personal Pension Plan and 3% for Auto-Enrolment Pensions Plan. Employees may opt to make additional contributions.

Contributions are also made to the National Health Service Pension Scheme for a number of employees at one of the charity’s nursing homes. For the purposes of complying with the relevant accounting standards, the Scheme is accounted for as a defined contribution scheme as the Home is not responsible for, or entitled to receive benefit from, any deficit or surplus on the scheme. Another home is required to make monthly payments to the Merseyside Pension Fund to help fund the pension liabilities of several former employees. Contributions are charged to the statement of financial activities as they are made

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

1. DONATIONS AND LEGACIES DONATIONS AND LEGACIES 2022 2021
£ £
Salaries and pensions of individual religious received
under Gift Aid or deed of covenant 565,995 649,742
General donations and gifts 119,115 97,036
Legacies 5,910 1,455
-------------------------- --------------------------
£691,020 £748,233
=========== ============
2. INCOMING RESOURCES FROM CHARITABLE ACTIVITIES 2022 2021
£ £
Care Services 12,080,838 11,142,804
Supported Living 377,854 398,272
Retreat Centre fees 265,618 69,721
-------------------------- --------------------------
12,724,310 11,610,797
Rents on properties let for charitable purposes 325,268 333,428
---------------------------- ----------------------------
£13,049,578 £11,944,225
============= ============
3. INVESTMENT INCOME 2022 2021
£ £
Bank deposit interest 215 1,818
Dividends and interest from quoted investment portfolio 3,153,091 3,219,251
------------------------- -------------------------
£3,153,306 £3,221,069
============ ============
4. GAIN ON DISPOSAL OF TANGIBLE FIXED ASSETS 2022 2021
£ £
Properties - 696,884 -
Other 17,133 4,945
------------------------- -------------------------
£174,017 £4,945
============ ============
4a. GRANTS RECEIVED
Generalate Care Retreat Total Total
Services Centre 2022 2021
£ £ £ £ £
Covid-19 Infection Control Grant - 193,614 - 193,614 390,889
Rapid Test Grant - 152,047 - 152,047 58,589
Workforce Capacity Grant - 129,746 - 129,746 29,882
HMRC JRS Grant 1,213 24,624 13,372 39,209 359,726
Business Support Grant - - 19,512 19,512 25,000
------------------------ ----------------------- ----------------------- ---------------------- ------------------------
Net income/(cost) £1,213 £500,031 £32,884 £534,128 £864,086
============ ========== ===========
===========
==========

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

5. EXPENDITURE ON CHARITABLE ACTIVITIES

Support of
Care Accommod Retreat sisters and Overseas Total Total
Services ation Centre their outreach 2022 2021
Services ministries
£ £ £ £ £ £ £
Staff costs (including
agency staff) 11,246,223 - 307,291 449,056 - 12,002,570 11,665,469
Deprecation 152,302 32,866 - 159,617 - 344,785 351,680
Other operational
costs 505,659 143,334 102,421 499,920 - 791,668 1,221,557
Administrative
Expenses 502,186 11,768 17,258 - - 531,212 559,698
Grants to overseas
Missions (note 7) - - - - 573,739 1,033,405 510,534
Care of elderly
sisters - - - 889,905 - 889,905 867,808
---------------------- --------------- ------------------ --------------------- --------------------- --------------------- ---------------------
12,406,370 187,968 426,970 1,998,498 573,739 15,593,545 15,176,746
Support costs
(note 6) 1,168,791 17,708 40,224 188,276 54,051 1,469,050 1,227,314
Governance costs
(note 6) 290,286 7,257 10,886 50,800 3,629 362,858 335,568
---------------------- --------------- ------------------ -------------------- --------------------- ---------------------- ----------------------
£13,865,447 £212,933 £478,080 £2,237,574 £631,419 £17,425,453 £16,739,628
=========== ========== ======== ========== ========== ========== ==========
Prior Year Support of
Care Accommod Retreat sisters and Overseas Total
Services ation Centre their outreach 2021
Services ministries
£ £ £ £ £ £
Staff costs (including
agency staff) 10,910,557 - 260,597 494,315 - 11,665,469
Deprecation 152,302 38,087 - 161,291 - 351,680
Other operational
costs 728,478 154,204 74,725 264,150 - 1,221,557
Administrative
Expenses 528,685 14,813 16,200 - - 559,698
Grants to
overseas missions - - - - 510,534 510,534
Care of elderly
sisters - - - 867,808 - 867,808
---------------------- --------------- ------------------ --------------------- --------------------- ---------------------
12,320,022 207,104 351,522 1,787,564 510,534 15,176,746
Support costs
(note 6) 996,296 16,748 28,427 144,557 41,286 1,227,314
Governance costs
(note 6) 268,455 6,711 10,067 46,980 3,355 335,568
---------------------- --------------- ------------------ -------------------- --------------------- ----------------------
£13,584,773 £230,563 £390,016 £1,979,101 £555,175 £16,739,628
=========== ========== ======== ========== ========== ==========

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

6. ANALYSIS OF GOVERNANCE AND SUPPORT COSTS 2022 2021
£ £
Support costs comprise:
Sisters' expenses 469,435 330,357
Establishment expenses 412,409 344,157
Administrative costs
- Staff costs 331,872 372,672
- Other 272,039 144,294
Exchange (gains)/losses (16,705) 35,834
------------------- -------------------
1,469,050 1,227,314
------------------- -------------------
Governance costs:
Staff costs 284,011 279,505
Audit fees 49,800 49,800
Other 29,047 6,263
------------------- -------------------
362,858 335,568
------------------- -------------------
£1,831,908 £1,562,882
========= ===========
Allocation of Governance & Support Costs
Care Services 1,459,077 1,264,751
Supported Living 24,965 23,459
Retreats 51,110 38,494
------------------- -------------------
1,535,152 1,326,704
Support of Sisters & their ministries 239,076 191,537
Overseas outreach 57,680 44,641
------------------- -------------------
£1,831,908 £1,562,882
========= ===========
7. OVERSEAS OUTREACH
The direct costs of Overseas Outreach include the payment of grants as follows:
2022 2021
£ £
Support of the Congregation’s missions in:
Kenya, Tanzania and Venezuela £573,739 £510,534
=========== ===========

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

8. SUMMARY ANALYSIS OF EXPENDITURE AND RELATED INCOME FOR CHARITABLE ACTIVITIES

Current Year
Care Accommodation Retreat Total Total
Services Services Centre 2022 2021
£ £ £ £ £
Direct costs 12,406,370 187,968 426,970 13,021,308 12,878,648
Governance and
support costs 1,459,077 24,965 51,110 1,535,152 1,326,704
------------------------ ------------------------ ----------------------- ---------------------- ----------------------
13,865,447 212,933 478,080 14,556,460 14,205,352
Fees and rents receivable 12,080,838 377,854 265,618 12,724,310 11,610,797
------------------------ ------------------------ ----------------------- ---------------------- ----------------------
Net income/(cost) £(1,784,609) £164,921 £(212,462) £(1,832,150) £(2,594,555)
============ ============ ============ ===========
============
Prior Year
Care Accommodation Retreat Total
Services Services Centre 2021
£ £ £ £
Direct costs 12,320,022 207,104 351,522 12,878,648
Governance and
support costs 1,264,751 23,459 38,494 1,326,704
------------------------ ------------------------ ----------------------- ----------------------
13,584,773 230,563 390,016 14,205,352
Fees and rents receivable 11,142,804 398,272 69,721 11,610,797
------------------------ ------------------------ ----------------------- ----------------------
Net income/(cost) £(2,441,969) £167,709 £(320,295) £(2,594,555)
============ ============ ============ ===========
9. NET INCOME FOR THE YEAR 2022 2021
£ £
This is stated after charging:
Depreciation 344,785 351,680
Auditors remuneration
- Audit fees (including VAT) 49,800 49,800
- Accountancy services - -
(Gains)/Losses on currency conversion (16,705) 35,834
============ ============

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

10. STAFF COSTS 2022 20201
£ £
Staff costs during the year were as follows:
Wages and salaries 9,704,980 9,766,790
Social security costs 785,132 790,425
Other pension costs 346,815 349,212
Agency staff 1,675,056 1,278,298
Other costs (including Apprenticeship Levy and recruitment costs) 106,470 132,921
---------------------- ----------------------
£12,618,453 £12,317,646
============ ============
2022 2021
No. No.
The number of employees whose emoluments exceeded £60,000 were:
£130,001 - £140,000 1 2
£140,001 - £150,000 1 -
============ ============

Employer contributions of £34,983 (2021: £32,860) were contributed to the employee Group Personal Pension Plan on behalf of the employees earning more than £60,000 (2021: £60,000)

The key management personnel of the charity in charge of directing, controlling and operating the charity on a day to day basis comprise the Trustees together with the following:

Director of Finance Social Care Head of Operations Social Care Head of Quality and Compliance Human Resources Manager Retreat Centre Director

The total remuneration (including taxable benefits and employer's pension contributions) of the five (2021:5) key management personnel for the year was £506,671 (2021: £508,517)

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

11. STAFF NUMBERS 2022 2021
No. No.
The average monthly head count of staff:
Care Services 414 413
Supported Living - -
Retreats 13 12
Others 60 61
---------------------- ----------------------
487 486
============ ============

12. PENSIONS

The charity operates a defined contribution Group Personal Pension Plan for its employees. The charity is not liable to finance any shortfall of funding and cannot benefit from over funding. Employer contributions payable into the scheme during the year were at a rate of between 4% and 20% of pensionable salary and members contributed between 0% and 7% of pensionable salary.

Employer contributions of £346,815 (2021: £349,212) were paid during the year. The amount outstanding at the year-end was £25,514 (2021: £31,220).

13. TRUSTEE REMUNERATION AND EXPENSES

The Trustees of the Charity are also members of the Congregation and as such have taken vows of poverty under which they have renounced all personal rights to income and capital. The Charity provides for the essential needs of all members of the Congregation.

The living costs of the 6 Trustees are therefore borne by the Charity.

As members of the Congregation, none of the Trustees have resources of their own. As well as all earnings, pensions and other income have been donated to the Charity under a Gift Aid compliant Deed of Covenant.

During the year, the total donated by the Trustees was £4,419 (2021: £4,069).

14. TAXATION

As a registered charity the Poor Servants of the Mother of God is not liable to income tax or corporation tax on income or gains derived from its charitable activities, as they fall within the various exemptions available to registered charities.

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

15. TANGIBLE FIXED ASSETS
Freehold land Plant and Motor
and Buildings Equipment Vehicles Total
£ £ £ £
COST
At 1 April 2021 20,016,864 45,893 399,842 20,462,599
Additions - 6,900 16,530 23,430
Disposals in year (348,071) - (73,317) (421,388)
----------------------- -------------------- -------------------- ----------------------
At 31 March 2022 19,668,793 52,793 343,055 20,064,641
----------------------- -------------------- -------------------- ----------------------
DEPRECIATION
At 1 April 2021 8,165,732 42,923 350,857 8,559,512
Charge for year 313,143 2,865 28,777 344,785
Disposals in year (121,800) - (71,878) (193,678)
---------------------- -------------------- -------------------- ----------------------
At 31 March 2022 8,357,075 45,788 307,756 8,710,619
---------------------- -------------------- -------------------- ----------------------
NET BOOK VALUE
At 31 March 2022 £11,311,718 £7,005 £35,299 £11,354,022
============ =========== =========== ============
At 31 March 2021 £11,851,132 £2,970 £48,985 £11,903,087
============ =========== =========== ============

Apart from a small proportion of excess accommodation, which is let, and minimal use for management and administrative purposes, all fixed assets are held for charitable purposes.

Three Voluntary Aided School properties registered in the names of the trustees are not included in fixed assets. All these schools were formerly run by the Congregation but the two Voluntary Aided Schools, at Banstead and Amersham, have been handed over to Roman Catholic Dioceses on long term leases, and the third, at Chippenham has been leased to the governors. As all rights and obligations in respect of these properties have effectively been transferred from the Charity, the Trustees consider their ownership to be in the nature of custodianship of the assets and they have, therefore, not been capitalised. The total insurance value of these schools is approximately £5m.

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

16. INVESTMENTS

INVESTMENTS
2022 2021
£ £ £ £
Value 1 April 2021 138,401,889 110,000,465
Additions during the year 51,963,222 63,104,659
Disposals
Proceeds (51,308,441) (62,464,113)
Realised gains / (losses) 2,487,376 9,211,009
---------------------- ----------------------
(48,821,065) (53,253,104)
Revaluations 5,395,373 18,549,869
---------------------- ----------------------
Value at 31 March 2022 £146,939,419 £138,401,889
============ ============
2022 2021
£ £
Listed on a UK Stock Exchange
- Fixed interest stocks 11,602,000 18,054,266
- Equities and Unit Trusts 127,552,180 117,224,463
Portfolio bank accounts 7,785,239 3,123,160
---------------------- ----------------------
Total £146,939,419 £138,401,889
============= ============

All investments (other than cash and deferred annuity contracts) are quoted on a recognised UK Stock Exchange or are valued by reference to investments listed on a recognised Stock Exchange.

Included in the above investments none represented more than 5% of the total value of investments.

17. DEBTORS

17. DEBTORS
2022 2021
£ £
Fees receivable 790,958 521,401
Prepayments and other debtors 405,836 191,740
--------------------------- ---------------------------
Total £1,196,794 £713,141
============== ==============
18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2022 2021
£ £
Taxation and Social Security 214,225 271,580
Other creditors and accruals 1,098,515 1,167,014
--------------------------- ---------------------------
Total £1,312,740 £1,438,594
============== ==============

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

19. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Tangible Current Current Total
Fixed Assets Investments Assets Liabilities 2022
£ £ £ £ £
Endowment Fund - - 50 - 50
------------------------ ------------------------ ----------------------- ---------------------- ----------------------
General Funds 42,304 26,939,419 2,867,309 (1,312,740) 28,536,292
------------------------ ------------------------ ----------------------- ---------------------- ----------------------
Designated Funds (note 20)
Properties Fund 11,311,718 - - - 11,311,718
Retirement Fund - 75,000,000 - - 75,000,000
Development Fund - 8,000,000 - - 8,000,000
Relief of Poverty & 30,000,000 30,000,000
Distress Fund
Overseas Outreach Fund - 7,000,000 - - 7,000,000
------------------------ ------------------------ ----------------------- ---------------------- ---------------------------
11,311,718 120,000,000 - - 131,311,718
------------------------ ------------------------ ----------------------- ---------------------- -----------------------------
Total Net Assets £11,354,022 £146,939,419 £2,867,359 £(1,312,740) £159,848,060
============= ============= ============ ============ =============
Unrealised gains
included
above at 31 March 2022 £- £20,746,936 £- £- £20,746,936
============= ============= ============ ============ ============
Prior Year Tangible Current Current Total
Fixed Assets Investments Assets Liabilities 2021
£ £ £ £ £
Endowment Fund - - 50 - 50
------------------------ ------------------------ ----------------------- ---------------------- ----------------------
General Funds 51,955 18,401,889 2,691,508 (1,438,594) 19,706,758
------------------------ ------------------------ ----------------------- ---------------------- ----------------------
Designated Funds (note 20)
Properties Fund 11,851,132 - - - 11,851,132
Retirement Fund - 75,000,000 - - 75,000,000
Development Fund - 8,000,000 - - 8,000,000
Relief of Poverty & - 30,000,000 - - 30,000,000
Distress Fund
Overseas Outreach Fund - 7,000,000 - - 7,000,000
------------------------ ------------------------ ----------------------- ---------------------- ---------------------------
11,851,132 120,000,000 - - 131,851,132
------------------------ ------------------------ ----------------------- ---------------------- --------------------------
Total Net Assets £11,903,087 £138,401,889 £2,691,558 £(1,438,594) £151,557,940
============= ============= ============ ============ =============
Unrealised gains
included
above at 31 March 2021 £- £33,292,517 £- £- £33,292,517
============= ============= ============ ============ ============

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

20. DESIGNATED FUNDS

Analysis of Movements
Balance at Net Income Balance at
1 April and 31 March
2021 Gains/Losses Transfers 2022
£ £ £ £
Properties Fund 11,851,132 (313,143) (226,271) 11,311,718
Retirement Fund 75,000,000 5,710,333 (5,710,333) 75,000,000
Development Fund 8,000,000 609,102 (609,102) 8,000,000
Relief of Poverty & Distress Fund 30,000,000 1,824,467 (1,824,467) 30,000,000
Overseas Outreach Fund 7,000,000 (8,550) 8,550 7,000,000
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£131,851,132 £7,822,209 £(8,361,623) £131,311,718
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Prior Year Balance at Net Income Balance at
1 April and 31 March
2020 Gains/Losses Transfers 2021
£ £ £ £
Properties Fund 12,169,496 (318,364) - 11,851,132
Retirement Fund 71,926,915 19,988,059 (16,914,974) 75,000,000
Development Fund 21,760,058 6,046,989 (19,807,047) 8,000,000
Relief of Poverty & Distress Fund - 30,000,000 30,000,000
Overseas Outreach Fund 2,558,062 (43,835) 4,485,773 7,000,000
------------------------ ------------------------ -------------------------- ---------------------------
£108,414,531 £25,672,849 £(2,236,248) £131,851,132
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Properties Fund

The charity has a number of properties which are used to fulfil its charitable objectives. These properties although they are unrestricted assets, cannot be realised without undermining the charity’s work and reflect the investment in properties held to further the charitable work undertaken. Transfers are made as appropriate to reflect the net change in properties arising from acquisitions and/or disposals.

Retirement Fund

A fund has been designated in respect of the charity’s commitment to provide for the retirement and care, in old age and sickness, of the Congregation’s members. Lump sums received and transfers from general funds are credited to this fund together with the income and capital growth arising from designated investments. A review of the Congregation’s membership has indicated that a fund in the region of £65m and £77m would be required to finance the Charity’s commitment to provide care for its elderly members after taking account of their occupational pension rights. During the year, the fund not only benefited from investment income less portfolio management charges but also investment valuation gains and the Trustees decided to leave the designation of the fund to £75m being the upper end of requirement. The level of the Fund will continue to be kept under review as the needs of the Congregation’s members evolve and investment markets fluctuate.

POOR SERVANTS OF THE MOTHER OF GOD

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 MARCH 2022

20 DESIGNATED FUNDS (continue)

Development Fund

The trustees reviewed the requirement for development of their social and healthcare facilities and are continuing to designate £8m for this purpose. They believe £8m fund for the development of social and health care facilities will be sufficient for the next five to six years. Net income in the Fund including the investment gains in the year amounted to £609k with £609k transferred back to general reserves. The trustees will keep this designation under review and will adjust the designation to meet future needs.

Relief of Poverty and Distress

The trustees have reviewed their commitment to relief of poverty and distress and have decided to continue to designate £30m to this fund to support other charitable organisations providing support to those requiring relief from poverty and distress. With ageing membership and availability of resources to support people in poverty and distress it is considered best way for the Charity to carry its mission out through other likeminded charitable organisations who have experience of delivering aid to those in need. Net income in the Fund including the investment gains in the year amounted to £1.8m with £1.8m transferred back to general reserves. Trustees will carefully monitor support requests and deployment of funds expended by the selected charitable organisations.

Overseas Outreach Fund

Congregation’s missions in Kenya and Tanzania are growing and will require increased support in the coming years to develop these missions. The trustees had designated £7m for this fund. Overseas payments amounting to £599k were utilised to purchase land for future development, Sisters living costs, running of clinics, dispensaries, ambulance service, education and food for local communities (including feeding street children) and relief of famine caused by climate change (Trustees report page 22 to 36 details Overseas Outreach support activities). During the year donations, investment income and net gains of £590k were allocated to the fund and £8.5k was transferred from General Fund to maintain the balance of this fund to £7m. The trustees will keep this designation under review and will adjust the designation to meet future needs.

21. PERMANENT ENDOWMENT FUND

The permanent endowment represents the original endowment of £50 to be held perpetually and the income alone applied for the furtherance of the Congregation's charitable objects.

22. RELATED PARTY TRANSACTIONS

There were no related party transactions during the year (2021: None).