2023-03-31-accounts

Northbrook Community Trust

Registered charity number 228740

Trustees’ Report and Financial Statements

Year Ended 31 March 2023

Northbrook Community Trust

Contents

Page Trustees’ Report Independent Auditor’s Report to the Trustees 10 Statement of Financial Activities 14 Balance Sheet 15 Notes and Accounting Policies 16

Northbrook Community Trust

Trustees’ Report

Year ended 31 March 2023

Report of the Trustees for the year ended 31 March 2023

The Trustees are pleased to present their Annual Report and Financial Statements of the Trust for the year ending 31[st] March 2023. The Financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity’s Trust Deed, the Charities Act 2011 and the Accounting and Reporting by the Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

Objectives and activities for the public benefit

The Trust continues to distribute its income for the benefit of young disadvantaged people in Devon, in accordance with the Charity Commission Scheme dated 1[st] September 1995.

The Trustees confirm that they have considered the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Trust’s aims and objectives and in planning future activities and setting the grant making policy for the year.

The Trustees continue to work towards providing income to enable us to help young disadvantaged people in Devon in accordance with the objectives of the Northbrook Community Trust.

Grant making policy

The Trust made some structural changes during the financial year. At the start of 2023 the Benefits and the Communications sub-committees merged into one sub-committee and a new chair was appointed. They meet five times a year to consider grant applications, review grants and receive presentations from applicants and recipients. The amount of grants that the sub-committee can make without full Board approval has been increased to £7,500.

Achievements and performance: how our grants delivered public benefit

2022-2023 GRANT RECIPIENTS

Double Elephant Print Workshop Exeter – awarded a one-off grant of £2,500 towards delivering workshops during the summer term at Wynstream Primary School Exeter and drop-in workshops during the holidays at Exeter Quay. 368 children from 5-11 years will benefit. The Trust has previously supported Double Elephant Print Workshop.

Cygnet Training Theatre Exeter – a one-off grant of £4,000 towards taking free performing arts workshops into the deprived areas of Exeter (Priory, St David’s and Wonford) This is aimed at 400 children between the ages of 11-18 years.

1

Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Report of the Trustees for the year ended 31 March 2023

St Peter’s Church of England School Exeter – a one-off grant of £2,720 working in conjunction with On the Hill and St Peter’s, to enhance the pizza oven space with benches and fencing for the DELL students all of whom have SEND status. Approximately 56 children aged 11 -16 years will benefit.

Exeter Community Initiatives – a one-off grant of £11,830 for True North. This is a pilot mentoring and diversionary activity project for young males aged 10-14, in and around Exeter who have been witness to, victims of, or perpetrators of abuse in the family home. This project will support 25 males.

Esteem Team CIC Exmouth (previously supported 2021) applied for more funding of a one-off grant of £5,000 to continue running their free 1:1 sessions for young people with mental health problems. Approximately 150 young people aged 5-25 years will benefit.

Visions Inclusive Badminton Coaching Exmouth – (previously supported 2019) requested £2,500 one-off grant for badminton coaching for children with a disability or from a financially deprived background. Approximately 12 children are currently being coached and it is hoped that 25 will eventually benefit. Ages 5-16 years.

Daisi (Devon Arts in School Initiatives) Exeter - awarded a one-off grant of £4,100 towards a 4 month Art and Wellbeing course for young carers. It is anticipated that 50 young people between the ages of 5-17 years will benefit.

King Edward VI Community College Totnes (previously supported 02.2022) – awarded a one-off grant of £5,000 towards further developing the Peace Garden project in collaboration with the Tribe programme at On the Hill CIC. 150-200 young people from 11-16 years old will benefit.

BOUNCE! Brighter Futures Foundation Tiverton (previously supported in 2020 and 2021) – awarded a oneoff grant of £7,300 towards the continuation of child therapists working in schools. 50 plus children between the ages of 5 – 16 years should benefit.

Julian House Trainer Tenancies Exeter –awarded a second and final year of funding of £13,999 to support 12 vulnerable young people aged 18-24.

Live Music Now South West Newton St Cyres (previously supported in 2018 and 2021) awarded £3,870 for year 1 of a 3 year grant to continue Music Week projects in ten special schools. Children aged between 4- 19 years. They estimate that 3,000 overall will attend the concerts, 200 children will be involved in creative projects and 100 in residency projects.

Youth Mental Health Foundation Ashburton – awarded a one-off grant of £5,000. Due to mental health problems with a young family member and the lack of mental health practitioners and facilities thereof this foundation was set up in order to talk to school assemblies and running workshops for specific groups. They aim to reach 1,000 young people aged 5-14 yrs.

2

Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Report of the Trustees for the year ended 31 March 2023

Okehampton Community Dance Project – (previously supported) were awarded a one-off grant of £5,357. This will be used to provide affordable and inclusive weekly dance sessions for children from 3-18 years.

Canada Hill Primary School Newton Abbot – awarded a one-off grant of £4,200 to use animal husbandry to help children feel safe and good about themselves. These children have suffered significant trauma or neglect and the school has a high level of need. 15 children from 8-11 years will benefit.

Street Factory, Stonehouse Plymouth – were awarded a one-off grant of £15,000 towards running weekly music sessions and workshops for 100 children aged 10-25 years in a very deprived area of Plymouth.

Stop Abuse for Everyone (SAFE) Foundation Exeter – previously supported in 2020, requested £20,000 for the continuation of support for young men and boys who have experienced domestic violence and abuse. 50 young men and boys from 8-18 years will benefit. A one-off contribution of £10,000 was awarded to them.

On the Hill Lower Ashton- were awarded the final tranche of their 2-year grant of £20,000 (first applied for in 2021). Due to the difficulties of running courses for children during the pandemic and having applied first for a change of use of funds, they built a barn. 100 children from 12-16 will benefit.

YMCA South Devon – (previously supported) had requested £20,000 but were awarded a one-off contribution of £10,000 towards the continuation of their project Nightstop. Nightstop prevents young people in crisis sleeping rough. 50 young people aged from 16-25 years will be supported.

YMCA Exeter Community Projects – (previously supported) had requested £15,000 a year for 2 years. They were awarded a one-off contribution of £10,000 towards their Cognitive Behavioural Therapy (CBT), for children and young people who are struggling with physical, emotional and behavioural symptoms. About 100 children aged 5-18 will benefit over a 12-month period.

Go Beyond Buckfastleigh- (previously supported) were awarded a one-off contribution of £7,500 to support 16 Devon children from 8-15 years living in seriously challenging circumstances to have a muchneeded break at an outdoor centre.

Grants totalling £129,638 were committed during the year of which £80,958 were paid and £48,680 were included in creditors at the year end.

3

Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Financial review

The Charity reports a net deficit of income over expenditure of £197,713 (2022: £118,535 surplus) for the year ended 31 March 2023. Before taking account of the losses on investments of £445,967 (2022: £290,639 gain) the net surplus is £248,254 (2022: £172,104 deficit).

The value of investments has decreased by £445,967 in the year to 31 March 2023 (2022: 290,639 increase). Investment income of £185,778 (2022: £203,987) was received during the year. The Trustees will be cautious with the amount of funds allocated to grant funding to maintain reserves.

The Trustees are satisfied that the level of reserves, as shown in the balance sheet, is adequate to meet their commitments over the next financial year and that the investments held have achieved these objectives and were acquired in accordance with the provision of the Trustee Investment Act 2000.

4

Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Investment policy and performance

The Trustees have reviewed the reserves policy and investment policy and are satisfied that the policies remain appropriate. The Trustees continue to hold 9% of their total assets in real property, a further 4% in cash reserves and 2% is held in government stock.

The main objective is to invest in a diversified portfolio of assets, which will include equities both in the UK and globally, fixed interest, alternative assets and cash. The portfolio aims to achieve a steady increase in income and capital appreciation and provide long-term protection against inflation. Only readily realisable securities which are traded on the leading eligible securities markets are held. Where appropriate, collective investments, including active and passive investment vehicles will be used. The portfolio is managed by Charles Stanley on a discretionary basis and performance is monitored against the MSCI PIMFA Balanced benchmark, which reflects the Trustees’ wish to maintain risk toward the upper end of the Medium High risk category, over the medium to long term.

The Finance sub-Committee meets on a regular basis to review investment performance and discuss possible changes in the investment portfolio with the investment managers. The Trust’s investments have continued to be managed in conformity with the policy.

As noted last year the dividends paid by companies remain lower than pre-covid levels. In addition, the investment managers have increased the proportion of the portfolio invested in companies based outside the UK and typically these have a lower dividend yield. Disadvantaged children in Devon and charities supporting them, which the Trust aims to help, have been badly affected and the decision was taken by the Trustees to try and maintain the level of grants made available during the year, even if it means expenditure has exceeded the Trust’s income.

Risk management

The Trustees review, on a regular basis, the major risks which the Trust faces and believe that they maintain sufficient resources to meet their obligations in the event of adverse conditions. The Trustees have also examined other operational and business risks and confirm that they have established systems to mitigate the significant risks.

Reserves policy

The reserves of Northbrook Community Trust are made up of an Unrestricted Reserve and an Expendable Endowment Reserve. Investment income arising from the Endowed Investments is treated as Unrestricted and used for grant making purposes. The Trust Deed does also allow for capital to be used for charitable purposes.

It is not the intention of the Trustees to build up unrestricted reserves or cash balances. The balance on unrestricted funds at the 31[st] of March 2023 was £7,570,758 (2022 - £7,768,471).

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Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Plans for future periods

The Trustees and the Finance Committee continue to work towards increasing the income of the Trust so that the Benefits Committee can continue to help young people in the county in accordance with the objects of the Northbrook Community Trust.

The Charity intends to a new Charitable Trust hopefully to take place at the end of the financial year 2024.

Structure, governance and management

The Trust is a registered charity, number 228740, and its governing instrument is the Charity Commission Scheme of 1 September 1995.

Trustees

The Charity Commission Scheme of 1[st] September 1995 stipulates that the Trustees shall consist of not less than 9 and not more than 13 competent persons being:

1 nominated Trustee and not less than 8 and not more than 12 co-opted Trustees. Nominated and co-opted Trustees are appointed for a term of 4 years.

Recruitment and appointment of trustees

Candidates are generally drawn from recommendations of various current committee members who are on the Board of Trustees, Board of Managers, Benefits sub-committee, Finance subcommittee, Property sub-committee, and Communications sub-committee. Ideally prospective candidates should have experience in the type of work that is pertinent to the Northbrook Community Trust.

There is a Nominations sub-committee which consists of the Chairman of the Board of Trustees, the Chairman of the Finance sub-committee, the Chairman of the Board of Managers, the Chairman of the Benefits sub-committee, the Chairman of the Communications sub-committee and the Chairman of the Property sub-committee. The candidate is interviewed by the Nominations sub-committee and, if suitable, recommendations are made to the Board of Trustees who will then ratify the decision to employ the successful candidate.

The usual term of office is 4 years from the date of the appointment.

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Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Reference and administrative information

Registered charity name and number:

Northbrook Community Trust 228740

The Trustees who served during the year were: S J Bright A D S Chapman (Chairman) Dr J Diprose JP, BEM Mrs H M Morgan A L Pearce Mrs R M Saltmarsh JP, MBE J E Maisey (appointed 10[th] February 2023) R T N Thistlethwayte M M Mortimer (appointed 10[th] February 2023) R. Clack (resigned 1[st] April 2022) J. Boles B Eastwood (resigned 20[th] April 2023) Rear Admiral William Entwisle OBE, MVO (resigned 10[th] October 2022) Councillor Tracy Adams

Correspondence address:

PO Box 104 Sidmouth EX10 1DQ

Bankers:

CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent, ME19 4JQ

Statutory Auditor:

PKF Francis Clark Centenary House Peninsula Park Rydon Lane Exeter, EX2 7XE

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Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Reference and administrative information (continued)

Solicitors:

Stockbrokers:

Michelmores LLP Woodwater House Pynes Hill Exeter, EX2 5WR Charles Stanley & Co. Ltd. Broadwalk House Southernhay West Exeter, EX1 1TS

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Northbrook Community Trust

Trustees’ Report (continued)

Year ended 31 March 2023

Trustees’ responsibilities in relation to the financial statements

The charity trustees are responsible for preparing a trustees’ annual report and 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 and Wales requires the charity trustees to prepare financial statements for each 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 the financial statements the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the applicable Charities SORP;

• make judgements and estimates that are reasonable and prudent;

• state whether applicable accounting standards have been followed, subject to any material departures that must be disclosed and explained in the financial statements;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Trust will continue in business.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by the Trustees on 28 September 2023

Signed on their behalf by

R. Thistlethwayte

A D S Chapman

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Northbrook Community Trust

Independent Auditor’s Report to the Trustees

Year ended 31 March 2023

Opinion

We have audited the financial statements of Northbrook Community Trust (the “Charity”) for the year ended 31 March 2023 which comprises the Statement of Financial Activities, Balance Sheet and 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 (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland.

In our opinion, the financial statements:

• give a true and fair view of the state of the charity’s affairs as at 31 March 2023 and of its income and expenditure for the period then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;

• have been prepared in accordance with the requirements of the Charities Act 2011.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 original financial statements were authorised for issue.

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

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Northbrook Community Trust

Independent Auditor’s Report to the Trustees (continued)

Year ended 31 March 2023

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. 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.

Matters on which we are required to report by exception

In light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

• adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or

• the financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees’ remuneration specified by law are not made; or

• we have not obtained all the information and explanations necessary for the purposes of our audit.

Responsibilities of the trustees

As explained more fully in the Statement of Trustees’ Responsibilities set out on page 6, 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 they 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.

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Northbrook Community Trust

Independent Auditor’s Report to the Trustees (continued)

Year ended 31 March 2023

Our responsibilities for the audit of the financial statements

We have been appointed as auditor under S144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereafter. 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.

As part of our audit planning, we obtained an understanding of the legal and regulatory framework that is applicable to the Charity to identify key laws and regulations affecting it. The key regulations we identified were Charity legislation, breaches of The General Data Protection Regulation (“GDPR”) and Landlords Regulations. 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 relevant tax legislation.

We discussed with management how the compliance with these laws and regulations is monitored and discussed the policies and procedures in place. We also identified the individuals who have responsibility for ensuring that the Charity complies with relevant laws and regulations and deals with reporting any issues if they arise. As part of our planning procedures, we assessed the risk of any non-compliance with laws and regulations on the Charity’s ability to continue as a going concern and the risk of material misstatement to the accounts.

Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved the following:

• Enquiries of management regarding their knowledge of any non-compliance with laws and regulations, including Landlords Regulations that could affect the financial statements, of which there were none.

• Reviewed filings with the Charity Commission.

• Review of the Charity’s GDPR policy and enquiries to the Data Protection Officer as to the occurrence and outcome of any reportable breaches.

• Reviewed legal and professional costs to identify any possible non-compliance or legal costs in respect of non-compliance.

• Reviewed Board minutes.

We assessed the susceptibility of the financial statements to material misstatement through management override or fraud, which might exist in fraudulent grant payments, or other fraudulent payments including payroll. We also discussed with management whether there had been any instances of known or alleged fraud, of which there were none. Based on our understanding we designed and conducted audit procedures including:

• Audited the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale for significant transactions outside the normal course of business, of which there were none.

• Reviewed estimates and judgements made in the accounts for any indication of bias and challenged assumptions used by management in making the estimates.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements. This risk increases the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial

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Northbrook Community Trust

Independent Auditor’s Report to the Trustees (continued)

Year ended 31 March 2023

statements as we are less likely to become aware of instances of non-compliance. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment, 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 Part 4 of the Charities (Account and Reports) Regulations 2008. 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 and the Charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

PKF Francis Clark Statutory Auditor Centenary House Peninsula Park Rydon Lane EXETER EX2 7XE

Date 13 October 2023

PKF Francis Clark is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

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Northbrook Community Trust

Statement of Financial Activities

For the year ended 31 March 2023

	Note	Unrestricted	Endowment	Total	Total
		funds	Funds	year ended	year ended
				31 March	31 March
				2023	2022
		£	£	£	£
Income
Rents receivable	2a	10,945	-	10,945	14,503
Investment income	2b	185,778	-	185,778	203,987
Other Income	2c	238,527		238,527	-
		–––––––	–––––––	–––––––	–––––––
Total income		435,250	-	435,250	218,490
		══════	══════	══════	══════
Expenditure
Charitable activities
Grants payable	4	129,638	-	129,638	337,270
Raising funds	3	34,723	-	34,723	35,390
Other costs	5	22,635	-	22,635	17,934
		–––––––	–––––––	–––––––	–––––––
Total expenditure		186,996	-	186,996	390,594
		══════	══════	══════	══════
Net income before gains/(losses)		248,254	-	248,254	(172,104)
on investments
Net gains / (losses) on	9	(445,967)	-	(445,967)	290,639
Investments
		–––––––	–––––––	–––––––	–––––––
Net income / (expenditure) and
Net movement in funds	for the year	(197,713)	-	(197,713)	118,535
Reconciliation of funds
Total funds brought forward		7,768,471	151,941	7,920,412	7,801,877
		–––––––	–––––––	–––––––	–––––––
Total funds carried forward		7,570,758	151,941	7,722,699	7,920,412
		══════	══════	══════	══════

All income and expenditure is unrestricted in both 2023 and 2022.

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Northbrook Community Trust

Balance Sheet

At 31 March 2023

		2023	2022
	Note	£	£
Fixed assets
Tangible fixed assets	8	752,326	778,802
Investments	9	6,921,678	7,141,006
		–––––––	–––––––
		7,674,004	7,919,808
Current assets
Debtors	10	991	1,637
Cash at bank and in hand		109,295	94,807
		–––––––	–––––––
		110,286	96,444
Creditors:
Amounts falling due within one year	11a	(46,591)	(47,840)
		–––––––	–––––––
Net current assets		63,695	48,604
		–––––––	–––––––
Total assets less current liabilities		7,737,699	7,968,412
Creditors:
Amounts falling due after more	11b	(15,000)	(48,000)
than one year
		–––––––	–––––––
Net assets		7,722,699	7,920,412
		══════	══════
Funds
Permanent endowment funds	12	151,941	151,941
Unrestricted funds		7,570,758	7,768,471
		–––––––	–––––––
Total charity funds	13	7,722,699	7,920,412
		══════	══════

These financial statements were approved by the board of trustees on 28 September 2023 and were signed on their behalf by

R Thistlethwayte

Trustee

A D S Chapman Trustee

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Northbrook Community Trust

Notes to the accounts

Year ended 31 March 2023

1. Accounting Policies

Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) – (Charities SORP (FRS 102)).

Northbrook Community Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical or transaction value unless otherwise stated in the accounting policy note.

The financial statements have been prepared on a going concern basis and in making this assessment the Trustees have considered uncertainties over the level of future investment income given an uncertain economy. Grant making is at the discretion of the Trustees and grants will only be awarded where there are sufficient resources. The Trustees are therefore satisfied there are no material uncertainties that would cast doubt on the charity’s ability to continue as a going concern.

The functional currency of Northbrook Community Trust is considered to be pounds sterling because it is the currency of the primary economic environment in which the charitable company operates.

(a) Rental income

Rental income represents the amount receivable in respect of properties.

• (b) Investment income

Investment income represents dividends receivable from investments listed on a recognised Stock Exchange and interest receivable.

(c) Expenditure

Expenditure is included on an accruals basis.

(i) Cost of generating funds

Cost of generating funds comprises those costs directly attributable to managing and maintaining the rented properties and the investment portfolio.

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Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

1. Accounting Policies (continued)

• (ii) Grants payable and creditors Grants payable are charged in the year when the offer is conveyed to the recipient. In those cases where grants are conditional on certain conditions being fulfilled with the option to discontinue the grant remaining with the Trustees, grants are recognised as expenditure when the conditions are likely to be fulfilled. Grants approved by the Trustees but where the offer has been made subject to conditions, which have not been met at the year-end and are considered less likely to be met, are noted as a commitment, but not accrued as expenditure.

Creditors 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.

• (d)

Value Added Tax

• Irrecoverable VAT is aggregated with the expenditure to which it relates.

(e) Taxation

• The charity is exempt from income and capital gains taxes under the provisions of sections 521 to 536 of the Income Tax Act 2007 and section 256 TCGA 1992 respectively.

• (f) Investments Investments are stated at market value, and unrealised gains and losses are reflected through the Statement of Financial Activities.

• (g) Tangible Fixed Assets The freehold land and buildings held by the charity are held primarily for the provision of social benefits. The charity has consequently accounted for these assets in accordance with FRS 102 as property, plant and equipment, despite receiving rental income from them. Assets are shown at cost including any incidental costs of acquisition, less depreciation and are therefore not revalued. Freehold land and buildings are shown at deemed cost based on a valuation at 31 March 1999.

(h)

Depreciation

Depreciation is charged in order to write off the cost or valuation of assets over their useful economic lives at the following rates:

• Freehold buildings – 2% straight line

• Equipment and furnishings – 15% reducing balance

No depreciation is charged on freehold land.

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Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

1. Accounting Policies (continued)

(i) Funds

General unrestricted funds comprise accumulated surpluses and deficits on general funds and the cumulative realised and unrealised gains on valuations. They are available for use at the discretion of the Trustees in furtherance of the Charity’s general charitable objectives.

The Permanent Endowment Fund represents those assets which must be held permanently by the Charity.

(j)

Financial instruments

The Trust only has financial assets of a kind that qualify as basic financial instruments i.e. cash, investments, short-term debtors and creditors, which are initially recorded at transaction value. Investments are revalued at market value through the statement of financial activities.

2. a. Rents Receivable

a. Rents Receivable
	2023	2022
	£	£
Rental Income	10,945	14,503
	–––––––	–––––––
	10,945	14,503
	══════	══════
b. Investment income
	2023	2022
	£	£
Dividends – UK equities	122,704	156,102
Foreign Dividends	38,671	27,844
Interest – UK fixed interest securities	21,667	18,719
Foreign Interest	2,736	1,315
	–––––––	–––––––
	185,778	203,980
	══════	══════
c. Other income
	2023	2022
	£	£
Sale of property	238,527	-
	–––––––	–––––––
	238,527	-
	══════	══════

c. Other income

18

Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

3.	Costs of Raising Funds
		2023	2022
		£	£
	Portfolio management fees	25,641	25,139
	Property insurance	1,614	834
	Depreciation on buildings	3,375	3,437
	Legal and professional fees	4,093	5,980
		–––––––	–––––––
		34,723	35,390
		══════	══════
4	Grants Payable
		2023	2022
		£	£
	Action East Devon	-	10,000
	Bibic – grant underspent refunded	(238)	-
	Bounce Foundation	7,300	11,000
	Canada Hill Primary School	4,200	-
	Cygnet Theatre	4,000	-
	Devon Arts in Schools - Daisi	4,100	-
	Double Elephant Print Workshop	2,500	2,140
	Downs Syndrome Association	-	10,000
	Esteem Team CIC	5,000	5,000
	Exeter Community	11,830	-
	Exeter Northcott Theatre	-	22,770
	Exeter Scrap Store	-	5,000
	First Light South West	-	45,000
	Go Beyond	7,500	7,500
	InFocus Charity	-	10,000
	Julian House	13,999	15,120
	King Edward VI Community School	5,000	4,960
	Lampard School	-	25,000
	Live Music Now	-	3,630
	Live music SW	3,870	-
	Mare & Foal Sanctuary	-	5,000
	Marine Academy	-	9,580
	Moorvision	-	6,020
	Okehampton CPD	5,357	-
	On the Hill	-	40,680

19

Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

4 Grants (continued)

RAMM Development Trust Rock Steady Music Project Sharpham Trust Shebbear Sir Francis Chichester Trust Space Youth Services St Peters Stop Abuse for Everyone Street Factory The Island Trust The Tree Project CIC Visions Inclusive YMCA Exeter YMCA SW Youth Mental Health Outstanding amounts included in creditors First Light South West Space Youth Services On the hill	- - - - - - 2,720 10,000 15,000 - - 2,500 10,000 10,000 5,000 129,638 2023 £ 30,000 18,000 680 ––––––– 48,680 –––––––	3,690 8,782 9,928 5,000 5,000 54,000 - - - 10,000 2,470 - - - -
		337,270
		2022 £ 30,000 36,000 20,680 ––––––– 86,680 –––––––

Each of the above grants included in creditors are dependent on the Trustees receiving satisfactory reports on the projects’ progress from the management of the organisations concerned. The Trustees retain the right not to pay the remaining amounts if satisfactory reports are not received or if the projects do not progress within the terms expected by the Trustees.

20

Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

5.	Other Costs	2023	2022
		£	£
	Audit	4,150	3,660
	Clerk’s salary	14,358	12,092
	Printing, postage and general expenses	4,072	2,107
	Depreciation – furniture and equipment	55	65
		–––––––	–––––––
		22,635	17,934
		══════	══════
6.	Staff numbers and costs
		2023	2022
		£	£
	Salary	14,358	12,092
		–––––––	–––––––
		14,358	12,092
		══════	══════

The Trust had one part-time employee during the year (2022: one). There were no employees with emoluments above £60,000.

The Trustees are the Key Management Personnel of the Charity and are not remunerated. Therefore, there is no key management remuneration (2022: £nil)

The trustees hold office voluntarily and are not remunerated. Reimbursed travelling expenses totalling £nil (2022: £nil) were paid to trustee(s) during the year. Other expenses totalling £592 (2022: £1,311) were paid to one trustee(s) during the year. Subsistence expenses of £nil (2021: £nil) were paid in respect of trustees’ meetings.

There have been no related party transactions in the reporting period.

21

Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

7.	Total Expenditure
		Staff	Depreciation		Other		Total	Total
		costs			costs		2023	2022
		£		£		£	£	£
	Costs of raising funds	-	3,375		31,348		34,723	35,390
	Grants payable	-		-	129,638		129,638	337,270
	Other costs	14,358		55	8,222		22,635	17,934
		–––––––	–––––––		–––––––		–––––––	–––––––
		14,358	3,430		169,208		186,996	390,594
		══════	══════		══════		══════	══════
8.	Tangible fixed assets
			Freehold	Freehold		Equipment		Total
			land	buildings			and
						furnishings
			£		£		£	£
	Cost or valuation
	At 1 April 2022		694,563		171,919		3,513	869,995
	Additions		-		-		-	-
	Disposals		(21,015)		(4,205)		-	(25,220)
			–––––––		–––––––		–––––––	–––––––
	At 31 March 2023		673,548		167,714		3,513	844,775
			══════		══════		══════	══════
	Depreciation
	At 1 April 2022		-		88,048		3,145	91,193
	Charge for the year		-		3,375		55	3,430
	Eliminated on disposal		-		(2,174)		-	(2,174)
			–––––––		–––––––		–––––––	–––––––
	At 31 March 2023		-		89,249		3,200	92,449
			══════		══════		══════	══════
	Net Book Value
	31 March 2023		673,548		78,465		313	752,326
			══════		══════		══════	══════
	31 March 2022		694,563		83,871		368	778,802
			══════		══════		══════	══════

22

Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

9.	Investments
			2023	2022
			£	£
	Investment portfolio		6,809,353	6,916,609
	Cash balance held at stockbrokers		112,325	224,397
			–––––––	–––––––
			6,921,678	7,141,006
			══════	══════
	Investment portfolio	Unrestricted	Endowment	Total
		£	£	£
	Quoted securities
	Valuation at 1 April 2022	6,764,668	151,941	6,916,609
	Additions at cost	1,178,478	-	1,178,478
	Disposal proceeds	(838,300)	-	(838,300)
	Equalisation	(1,467)	-	(1,467)
	Realised gain on disposals	46,043	-	46,043
	Unrealised gain on disposals	(492,010)	-	(492,010)
		–––––––	–––––––	–––––––
	Valuation at 31 March 2023	6,657,412	151,941	6,809,353
		══════	══════	══════
	Historic cost
	At 31 March 2023			6,071,130
				══════
	All fixed asset investments are quoted securities in the United Kingdom.
10.	Debtors
			2023	2022
			£	£
	Prepayment – insurance		991	1,637
			══════	══════
			2023	2022
			£	£
11a. Creditors: amounts falling due within one year:
	Accruals		12,911	9,160
	Grants payable (note 4)		33,680	38,680
			–––––––	–––––––
			46,591	47,840
			══════	══════

23

Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

----- Start of picture text -----
2023 2022
£ £
11b. Creditors: amounts falling due after more than one year:
Grants payable (note 4) 15,000 48,000
══════ ══════
12. Permanent endowment
2023 1 April Incoming Unrealised Expenditure 31 March
2022 resources gain/(loss) on gains and 2023
investments losses
£ £ £ £ £
Permanent endowment 151,941 - - - 151,941
══════ ══════ ══════ ══════ ══════
2022
1 April Incoming Unrealised Expenditure 31 March
2021 resources gain/(loss) on gains and 2022
investments losses
£ £ £ £ £
Permanent endowment 154,826 - (2,885) - 151,941
══════ ══════ ══════ ══════ ══════
----- End of picture text -----

Income arising on the Endowment Fund can be used in accordance with the objects of the Charity and is included as unrestricted income. Any capital gains or losses form part of the Fund.

13. Analysis of net assets between funds

2023

Tangible	Investments	Other net	Total
fixed assets		assets	2023
£	£	£	£
Permanent endowment -	151,941	-	151,941
Unrestricted funds 752,326	6,769,737	48,695	7,570,758
–––––––	–––––––	–––––––	––––––
752,326	6,921,678	48,695	7,722,699
══════	══════	══════	══════

24

Northbrook Community Trust

Notes to the accounts (continued)

Year ended 31 March 2023

13. Analysis of net assets between funds (continued)

2022
	Tangible	Investments	Other net	Total
	fixed assets		assets	2022
	£	£	£	£
Permanent endowment	-	151,941	-	151,941
Unrestricted funds	778,802	6,989,065	604	7,768,471
	–––––––	–––––––	–––––––	––––––
	778,802	7,141,006	604	7,920,412
	══════	══════	══════	══════

14. Financial instruments
	2023	2022
	£	£
Financial assets measured at fair value through income
and expenditure	6,921,678	7,141,006
	══════	══════

15. Operating leases - lessor

The total future minimum lease payments under non-cancellable operating leases are as follows:

	2023	2022
	£	£
Not later than 1 year	14,566	1,338
Later than 1 year and not later than 5 years	50,251	-
	─────	─────
	64,817	1,338
	══════	══════

25