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2021-04-05-accounts

REGISTERED CHARITY NUMBER: 230043

Report of the Trustees and Audited Financial Statements for the Year Ended 5 April 2021

for Lady Hewley's Charity

HPH 54 Bootham York YO30 7XZ

Lady Hewley's Charity

Contents of the Financial Statements for the Year Ended 5 April 2021

Page
Report of the Trustees 1 to 5
Report of the Independent Auditors 6 to 7
Statement of Financial Activities 8
Balance Sheet 9
Cash Flow Statement 10
Notes to the Cash Flow Statement 11
Notes to the Financial Statements 12 to 20
Detailed Statement of Financial Activities 21 to 22

Lady Hewley's Charity

Report of the Trustees f or the Year Ended 5 April 2021

The Trustees present their report with the financial statements of the Charity for the year ended 5 April 2021. The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The objects of the Charity are:

  1. For the benefit of the public:

a) To further the religious and other charitable work of the Baptist, Congregational and United Reformed Church ministers and members, including through the proclamation of the Gospel and the promotion of preaching, with a preference for such work in areas of social and economic deprivation.

b) To advance the education of men and women for the Baptist, Congregational and United Reformed Church ministries by such means as the Trustees decide including the award of grants, allowances and other financial and non -financial support.

by such means as the Trustees decide, including the award of financial and non - financial support.

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 aim and objectives, and in planning future activities.

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 planning future activities.

Grantmaking

The Charity invites applications for grants through contact with the respective churches at local church, province and regional levels. The individual applications are considered twice a year and grants made according to individual's personal and financial circumstances. Church institutions are required to submit details of the specific projects when requesting grants.

Page 1

Lady Hewley's Charity

Report of the Trustees for the Year Ended 5 April 2021

ACHIEVEMENT AND PERFORMANCE

Charitable activities

During the year the Trustees continued to maintain the principles laid down by Lady Hewley.

Grants of £190,713 made to ministers, retired ministers, widows, students, and church institutions, continue to further the religious and other charitable work of the United Reformed, Congregational and Baptist churches, through advancing the education of men and women within those Ministries, and providing help where relief is needed from hardship and distress.

Number of organisations Number of individuals
Religious and charitable work 1 73
Advancement of education - 37
Relief of hardship and distress 1 36

The Almshouses can house 10 residents under full occupation. During the year the Charity has provided accommodation to 7 residents. Unfortunately, due to COVID-19 full capacity was not able to be reached. The Charity took time to renovate 3 housing units at a cost of £31,846.

Investment performance

The Charity's investment in stocks and shares had a market value at 5 April 2021 of £12,871,670. This gave rise to a realised gain of £267,018, and an unrealised gain in the year of £2,595,517, giving an overall gain of £2,862,535.

The total return on the investment portfolio managed by Tilney for the year ended 5 April 2021, was 24.8% (2020 (11.5%)) and generated a yield of 2.1% (2020 3.1%).

Land had a cost at 5 April 2021 of £4,201,301. The almshouses were valued at £1,875,000 on 23 December 2013. Improvements are capitalised as they are incurred.

FINANCIAL REVIEW

Principal funding sources

The Charity is reliant on income from investments, the income from which, in this year under review, was £218,604. The Charity also received income of £47,840 as a contribution towards the maintenance costs of the almshouses. From these sources, £190,713 was paid out in grants to qualifying applicants, and £75,783 was spent on the refurbishment of 3 almshouses, the general upkeep of the almshouses, and improvements to the Hungate land. After all expenses, the Charity had a net deficit of £163,233 for the year before realised and unrealised gains.

Investment policy and objectives

There are no restrictions on the Charity's power to invest. The investment strategy is set by the Trustees and takes account of recent demand for grants and future maintenance of the almshouses. The Trustees consider the income requirements, the risk profile and the investment advisor's view of the market prospects. This strategy is set within an overall policy, which states that the endowment fund is to be invested in a medium risk portfolio with a view to ensuring, that over a period of time, capital appreciates, thus keeping investment income increasing at not less than the rate of inflation. The investment performance is monitored on a regular basis against investment indices.

Reserves policy

The Trustees aim to maintain free reserves, in unrestricted funds, at a level which equates to approximately twelve months unrestricted charitable expenditure. Within the unrestricted fund is a designated fund, which has been established as a provision against future major repair work on the almshouses. In the current year, expenditure amounted to £394,586, the free reserves figure standing at £481,258.

Going concern

The Trustees are continually reviewing the operations of the Charity and its ability to deliver its objectives during the COVID-19 pandemic. The Trustees have followed Government Guidance and are seeking financial assistance where appropriate and making cost savings where possible. In the opinion of the Trustees, significant financial pressure will be placed on the Charity as a result of the COVID-19 pandemic but the Trustees believe they have the structure and resources to ensure the Charity remains a going concern.

Page 2

Lady Hewley's Charity

Report of the Trustees for the Year Ended 5 April 2021

FUTURE PLANS

The Trustees are continuing to review the Charity's principal objectives, whilst maintaining the principles laid down by Lady Hewley.

The Low Grange Farm parcel of land is subject to a third party development option agreement. The current economic climate continues to prove testing and difficult where commercial and residential property development is concerned. The Trustees are continuing to pursue the existing option arrangements, whilst considering the broader horizon and the alternatives which may become available.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Charity was originally established by Lady Sarah Hewley in 1705, and upon her death in 1710, Lady Hewley left her entire estate to the Charity. On the 16 June 2011, the Charity Commission of England and Wales, under the powers given in the Charities Act 2011, ordered that the Charity be governed by a new scheme, which is now the governing document. The Charity does not actively fund raise and seeks to continue the good works desired by Lady Hewley through careful stewardship of its existing resources.

Recruitment and appointment of new Trustees

The appointment of new Trustees follows the retiring of a Trustee of one of the 3 church denominations supported by the Charity. A recommendation for a replacement Trustee is received from the outgoing Trustee, thereby ensuring that each church demonination is represented. The new Trustee is interviewed by the Chair of the Trustees and the Clerk. The new Trustee is then presented by the outgoing Trustee to the Board of Trustees, for election to the board.

Organisational structure

Under the Scheme dated 16th June 2011, the number of Trustees is 7, consisting of:

The Trustees serve for a term of five years, after which period they may put themselves forward for re-appointment. The Board of Trustees must hold at least 2 ordinary meetings in each 12 month period, with a quorum of at least 3 Trustees. The Board agree the strategy and areas of activity for the Charity, including consideration of grant-making, investments, reserves and risk management and performance.

The almshouses are administered and managed by a committee appointed by the Trustees. The committee is asked to meet twice yearly and meet more frequently, if required, reflecting the work required to maintain and run the almshouses. The committee reports on their work to the Board of Trustees and seek approval of their recommendations.

Induction and training of new Trustees

On election, a new trustee will be given a copy of the Scheme, dated 16th June 2011, and any amendments made to it, and a copy of the Charity's latest report and statement of the accounts. A new trustee will also be supplied with appropriate literature from the Charity Commission and the Charity to enable the new trustee to perform their work competently. The Charity also pays for Trustees to attend appropriate training courses.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number

230043

Principal address

Military House 24 Castle Street Chester Cheshire CH1 2DS

Page 3

Lady Hewley's Charity

Report of the Trustees for the Year Ended 5 April 2021

REFERENCE AND ADMINISTRATIVE DETAILS

Trustees

Dr P A Thake - Chairman G A M Simmonds - (resigned 4.6.20) Dr A R Graydon Dr D S Robinson - Treasurer S L Dodds N M Mackenzie Rev P Jump Rev J Bentham - (appointed 4.6.20)

Auditors

HPH 54 Bootham York YO30 7XZ

Bankers

Barclays Bank plc 48B & 50 Lord Street Liverpool L2 1TD

Solicitors

Veale Wasbrough Vizards LLP, Barnard Inn, 86 Fetter Lane, London EC4A 1AD

Advisers

Custodian trustee The Lady Hewley Charity Trust Co Ltd (Company No: 2672189) The directors of the company are the persons acting as Trustees of the Charity as listed above.

Clerk to the Trustees

Neil St. J. Blake, Military House, 24 Castle Street, Chester CH1 2DS

Land agents

Stephensons, 10 Colliergate, York YO1 8BP

Investment advisors

Tilney, Royal Liver Building, Pier Head, Liverpool L3 1NY

ALMSHOUSES

The almshouses owned by the Charity are administered and managed by a committee appointed by the Trustees who were as follows:

Rev A Micklem Mrs I Thompson Miss K Buckland Mrs E Atkins - (appointed 6.5.21)

The financial result of the committees' administration of the almshouses is included in the statement of financial activities and also in the figures in this report under review of the year.

Page 4

Lady Hewley's Charity

Report of the Trustees for the Year Ended 5 April 2021

TRUSTEES' RESPONSIBILITY STATEMENT

The Trustees are responsible for preparing the Report of the Trustees 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 and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the Scheme 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, including the income and expenditure, of the Charity for that period. In preparing those financial statements, the Trustees are required to

The Trustees are responsible for keeping proper accounting records, which 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 Charity (Accounts and Reports) Regulations 2008 and the provisions of the Scheme. 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.

Approved by order of the board of Trustees on 4 November 2021 and signed on its behalf by:

Dr P A Thake - Trustee

Page 5

Report of the Independent Auditors to the Trustees of Lady Hewley's Charity

Opinion

We have audited the financial statements of Lady Hewley's Charity (the 'Charity') for the year ended 5 April 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement 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).

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 Auditors' 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 Annual Report, other than the financial statements and our Report of the Independent Auditors 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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Matters on which we are required to report by exception

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

Page 6

Report of the Independent Auditors to the Trustees of Lady Hewley's Charity

Responsibilities of Trustees

As explained more fully in the Trustees' Responsibilities Statement, the Trustees are responsible for the preparation of the financial statements which 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.

Our responsibilities for the audit of the financial statements

We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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 a Report of the Independent Auditors 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:

We obtained an understanding of the legal and regulatory frameworks within which the Charity operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Charities Act 2011 and FRS102 SORP.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, the override of controls by management and the understatement of revenue. Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals and detailed substantive testing on the completeness of income.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect noncompliance with all laws and regulations.

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 Report of the Independent Auditors.

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 (Accounts 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 auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

HPH 54 Bootham York YO30 7XZ

Date: 4 November 2021

HPH is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

Page 7

Lady Hewley's Charity

Statement of Financial Activities for the Year Ended 5 April 2021

Notes
INCOME AND ENDOWMENTS FROM
Other trading activities
2
Investment income
3
Other income
Other income – land option fee
Total
EXPENDITURE ON
Raising funds
4
Charitable activities
5
Grants to institutions
Grant to individuals
Almshouse maintenance costs
Governance costs
Other
Total
Net realised gains/(losses) on fixed assets
Net realised gains/(losses) on investments
Net unrealised gains/(losses) on investments
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
47,840
218,604
1,421
20,000
287,865
-
27,463
163,250
124,238
77,625
2,010
394,586
-
-
(106,721)
587,979
481,258
Endowment
fund
£
-
-
-
-
56,512
-
-
-
-
-
56,512
-
267,018
2,595,517
2,806,023
16,036,590
18,842,613		 2021

Total
funds
£
47,840
218,604
1,421
20,000
287,865
56,512
27,463
163,250
124,238
77,625
2,010
451,098
-
267,018
2,595,517
2,699,302
16,624,569
19,323,871		 2020
Total
funds
£
50,926
323,796
1,846
-
376,568
53,972
35,365
153,950
65,124
67,298
2,009
377,718
904,444
(154,311)
(1,835,341)
(1,086,358)
17,710,927
16,624,569

The notes form part of these financial statements

Page 8

Lady Hewley's Charity

Balance Sheet 5 April 2021

Notes
FIXED ASSETS
Tangible assets
10
Investments
11
CURRENT ASSETS
Debtors
12
Cash at bank
CREDITORS
Amounts falling due within one year
13
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
NET ASSETS
FUNDS
14
Unrestricted funds
Endowment funds
TOTAL FUNDS		 Unrestricted
funds
£
-
-
-
1,483
716,986
718,469
(237,211)
481,258
481,258
481,258
Endowment
fund
£
5,776,301
12,876,908
18,653,209
-
189,404
189,404
-
189,404
18,842,613
18,842,613		 2021

Total
funds
£
5,776,301
12,876,908
18,653,209
1,483
906,390
907,873
(237,211)
670,662
19,323,871
19,323,871
481,259
18,842,612
19,323,871		 2020
Total
funds
£
5,813,801
10,014,445
15,828,246
1,483
1,049,730
1,051,213
(254,890)
796,323
16,624,569
16,624,569
587,979
16,036,590
16,624,569

The financial statements were approved by the Board of Trustees and authorised for issue on 4 November 2021 and were signed on its behalf by:

Dr P A Thake - Trustee

Dr D S Robinson - Trustee

The notes form part of these financial statements

Page 9

Lady Hewley's Charity

Cash Flow Statement
for the Year Ended 5 April 2021
2021
Notes
£
Cash flows from operating activities
Cash generated from operations
1
(305,504)
Net cash used in operating activities
(305,504)
Cash flows from investing activities
Purchase of fixed asset investments
(2,992,827)
Sale of tangible fixed assets
-
Sale of fixed asset investments
2,992,899
Sale of investment property
-
Interest received
8,471
Dividends received
210,133
Net cash provided by investing activities
218,676
Cash flows from financing activities
Income attributable to endowment
-
Expenditure attributable to endowment
(56,512)
Net cash used in financing activities
(56,512)
Change in cash and cash equivalents in
the reporting period
(143,340)
Cash and cash equivalents at the
beginning of the reporting period
1,049,730
Cash and cash equivalents at the end of
the reporting period
906,389		 2020
£
(13,696)
(13,696)
(4,679,633)
958,384
3,669,086
43,274
4,706
319,090
314,907
1
(53,973)
(53,972)
247,239
802,491
1,049,730

The notes form part of these financial statements

Page 10

Lady Hewley's Charity

Notes to the Cash Flow Statement

for the Year Ended 5 April 2021

1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES

OPERATING ACTIVITIES
2021 2020
£ £
Net income/(expenditure) for the reporting period (as per the
Statement of Financial Activities) 2,699,302 (1,086,358)
Adjustments for:
Depreciation charges 37,500 37,500
(Gain)/losses on investments (2,862,535) 1,085,208
Interest received (8,471) (4,706)
Dividends received (210,133) (319,090)
Income attributable to endowment - (1)
Expenditure attributable to endowment 56,512 53,973
Decrease in debtors - 10,336
(Decrease)/increase in creditors (17,679) 209,442
Net cash used in operations (305,504) (13,696)

2. ANALYSIS OF CHANGES IN NET FUNDS

Net cash
Cash at bank
Total		 At 6.4.20
£
1,049,730
1,049,730
1,049,730		 Cash flow
£
(143,340)
(143,340)
(143,340)		 At 2021
£
906,389
906,389
906,389

The notes form part of these financial statements

Page 11

Lady Hewley's Charity

Notes to the Financial Statements for the Year Ended 5 April 2021

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the Charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.

The Trustees consider that there are no material uncertainties about the Charity's ability to continue as a going concern.

Income

All income is recognised in the Statement of Financial Activities once the Charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

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. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield of the investment portfolio.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the Charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

Raising funds

Rasing funds includes all expenditure incurred by the Charity to raise funds for its charitable purposes and incudes costs of all fundraising activities, events and non-charitable trading.

Governance costs

Governance costs include external audit fees, legal and professional fees, clerk to the Trustees' fees and expenses, and Trustees’ expenses.

Allocation and apportionment of costs

Support costs have been allocated between governance and other support costs. Governance costs comprise all costs involving the public accountability of the Charity and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees together with an apportionment of overhead and support costs.

Governance and support costs have been allocated against the almshouse maintenance costs activity.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold land - not depreciated Almshouses - 2% on cost

continued...

Page 12

Lady Hewley's Charity

Notes to the Financial Statements - continued for the Year Ended 5 April 2021

1. ACCOUNTING POLICIES - continued

Tangible fixed assets (continued)

In accordance with the terms of the Charity on which they are held, the almshouses have to be maintained in good working order in perpetuity and are, therefore, considered to have an indefinite useful economic life and, as a result, the repairs and maintenance costs of the property are to be written off to the Statement of Financial Activities as incurred.

Any improvements to the property are capitalised and are depreciated over the estimated useful economic life of 50 years.

Taxation

The Charity is exempt from tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the Trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the Charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Grants -outgoing

Grants payable are payments made to third parties in the furtherance of the charitable objects of the Charity. Grants are accounted for in the year the grants are approved, irrespective of the period covered.

Investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

The Charity does not acquire put options, derivatives or other complex financial investments. The main form of financial risk faced by the Charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.

Realised gains and losses

All gains and losses are taken to the statement of financial activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

Irrecoverable VAT

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

Debtors

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

Cash at bank and in hand

Cash at bank and cash 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.

continued...

Page 13

Lady Hewley's Charity

Notes to the Financial Statements - continued for the Year Ended 5 April 2021

1. ACCOUNTING POLICIES - continued

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.

Financial Instruments

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

2. OTHER TRADING ACTIVITIES

Maintenance contributions
3.
INVESTMENT INCOME
Dividends received
Deposit account interest
4.
RAISING FUNDS
Investment management costs
Portfolio management
5.
CHARITABLE ACTIVITIES COSTS
Grants to institutions
Grant to individuals
Almshouse maintenance costs
Governance costs		 Direct
Costs
£
-
-
124,238
-
124,238		 Grant
funding of
activities
(see note
6)
£
27,463
163,250
-
-
190,713		 Support
costs (see
note 7)
£
-
-
-
77,625
77,625		 Totals
£
27,463
163,250
124,238
77,625
392,576

continued...

Page 14

Lady Hewley's Charity

Notes to the Financial Statements - continued

for the Year Ended 5 April 2021

6. GRANTS PAYABLE

Grants to church institutions
Grant to individuals
The total grants paid to individuals during the year was as follows:
Ministers
Retired Ministers
Widows
Daughters
Students
SUPPORT COSTS
Governance costs
Support costs, included in the above, are as follows:
Trustees' expenses
Auditors' remuneration
Trustees' indemnity insurance
Legal fees
Trustees' meeting costs
Clerk to the Trustees fees
Sundries		 2021
2020
£
£
27,463
35,365
163,250
153,950
190,713
189,315
2021
2020
£
£
50,000
26,700
54,350
58,600
33,300
34,750
-
3,500
25,600
30,400
163,250
153,950
Governance
costs
£
77,625
2021
2020
£
£
715
1,568
3,900
3,900
1,014
1,073
25,369
10,133
1,500
5,704
44,400
44,400
727
520
77,625
67,298

7. SUPPORT COSTS

Page 15

continued...

Lady Hewley's Charity

Notes to the Financial Statements - continued for the Year Ended 5 April 2021

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no Trustees' remuneration or other benefits for the year ended 5 April 2021 nor for the year ended 5 April 2020.

Trustees' expenses
2021 2020
£ £
Trustees' expenses 715 1,568

9. STAFF COSTS

There were no staff costs for the year ended 5 April 2021 nor for the year ended 5 April 2020.

No employees received emoluments in excess of £60,000.

The Charity does not employ any members of staff, hence, no member of staff received a salary in excess of £60,000. The Clerk to the Trustees performs all of the duties required to administer the Charity

10. TANGIBLE FIXED ASSETS

COST
At 6 April 2020 and 5 April 2021
DEPRECIATION
At 6 April 2020
Charge for year
At 5 April 2021
NET BOOK VALUE
At 5 April 2021
At 5 April 2020		 Freehold
land
£
4,201,301
-
-
-
4,201,301
4,201,301		 Almshouses
£
1,875,000
262,500
37,500
300,000
1,575,000
1,612,500		 Totals
£
6,076,301
262,500
37,500
300,000
5,776,301
5,813,801

The Charity owns 10 almshouses in York, built in 1840, which are occupied by qualifying persons under the terms of the scheme. The almshouses were valued at £1,875,000 on 23 December 2013. Improvements are capitalised as they are incurred.

11. FIXED ASSET INVESTMENTS

Shares
Funds held by broker		 2021
£
12,871,670
5,238
12,876,908		 2020
£
9,269,355
745,090
10,014,445

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continued...

Lady Hewley's Charity

Notes to the Financial Statements - continued for the Year Ended 5 April 2021

11. FIXED ASSET INVESTMENTS - continued

Additional information as follows:

MARKET VALUE
At 6 April 2020
Additions
Disposals
Revaluations
At 5 April 2021
NET BOOK VALUE
At 5 April 2021
At 5 April 2020
There were no investment assets outside the UK.
Quoted investment analysis
Equities		 Shares in
group
Listed
undertakings
investments
£
£
1
9,269,354
-
2,992,827
-
(1,986,029)
-
2,595,517
1
12,871,669
1
12,871,669
1
9,269,354
2021
£
10,498,229
10,498,229		 Totals
£
9,269,355
2,992,827
(1,986,029)
2,595,517
12,871,670
12,871,670
9,269,355
2020
£
10,080,575
10,080,575

The Charity's investment in the group undertaking at the balance sheet date in the share capital of the company is as follows:

The Lady Hewley Property Company Limited Nature of business: Dormant

100% ordinary shareholding

Aggregate capital and reserves: £1

Investments (neither listed nor unlisted) were as follows:

Funds held by broker 2021
£
5,238		 2020
£
745,090

continued...

Page 17

Lady Hewley's Charity

Notes to the Financial Statements - continued for the Year Ended 5 April 2021

12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Other debtors
13.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Taxation and social security
Other creditors
14.
MOVEMENT IN FUNDS
Net
movement
At 6.4.20
in funds
£
£
Unrestricted funds
General fund
532,979
(106,721)
Designated repair fund
55,000
-
587,979
(106,721)
Endowment funds
Endowment funds
16,036,590
2,806,023
TOTAL FUNDS
16,624,569
2,699,302
Net movement in funds, included in the above are as follows:
Incoming
Resources
resources
expended
£
£
Unrestricted funds
General fund
287,865
(394,586)
Endowment funds
Endowment funds
-
(56,512)
TOTAL FUNDS
287,865
(451,098)

continued...

Page 18

Lady Hewley's Charity

Notes to the Financial Statements - continued for the Year Ended 5 April 2021

14. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Designated repair fund
Endowment funds
Endowment funds
TOTAL FUNDS		 At 6.4.19
£
495,157
40,000
535,157
17,175,770
17,710,927		 Net
movement

in funds
£
52,822
-
52,822
(1,139,180)
(1,086,358)		 Transfers

between
funds
£
(15,000)
15,000
-
-
-
At 5.4.20
£
532,979
55,000
587,979
16,036,590
16,624,569

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Endowment funds
Endowment funds
TOTAL FUNDS		 Incoming
resources
£
376,568
-
376,568		 Resources
expended
£
(323,746)
(53,972)
(377,718)		 Gains and
losses
£
-
(1,085,208)
(1,085,208)		 Movement
in funds
£
52,822
(1,139,180)
(1,086,358)

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
Designated repair fund
Endowment funds
Endowment funds
TOTAL FUNDS		 At 6.4.19
£
495,157
40,000
535,157
17,175,770
17,710,927		 Net
movement

in funds
£
(53,899)
-
(53,899)
1,666,843
1,612,944		 Transfers

between
funds
£
(30,000)
30,000
-
-
-
At 5.4.21
£
411,258
70,000
481,258
18,842,613
19,323,871

continued...

Page 19

Lady Hewley's Charity

Notes to the Financial Statements - continued for the Year Ended 5 April 2021

14. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Endowment funds
Endowment funds
TOTAL FUNDS		 Incoming
resources
£
664,433
-
664,433		 Resources
expended
£
(718,332)
(110,484)
(828,816)		 Gains and
losses
£
-
1,777,327
1,777,327		 Movement
in funds
£
(53,899)
1,666,843
1,612,944

15. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 5 April 2021.

16. FUNDS

Unrestricted funds comprise those funds which the Trustees are free to use in accordance with the charitable objects.

The designated almshouse repair fund is a fund which is being retained, and will be used to fund the major refurbishment work which is anticipated will need to be carried out on a 10 year cyclical basis.

The endowment fund represents those assets which must be held permanently by the Charity, principally investments. 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 arising on the investments form part of the fund. Investment management charges and legal advice relating to the fund are charged against the fund.

Page 20