**O.F.M. CAPUCHIN GB CHARITABLE TRUST ANNUAL REPORT AND ACCOUNTS** 31 DECEMBER 2022 CHARITY NUMBER 231143 Annual Report and Accounts 31 December 2022 ## CHAPTERS AND VERSES MESSAGE FROM THE DELEGATE ............................................................................................ 5 TRUSTEES’ REPORT ................................................................................................................ 7 WHO WE ARE ........................................................................................................................ 7 Our numbers, our friars, our communities – and our history **.............................................................................. 7** Our way of life **.................................................................................................................................................. 8** Vocations **......................................................................................................................................................... 8** Formation **........................................................................................................................................................ 8** Development of Friars **...................................................................................................................................... 9** Leadership **...................................................................................................................................................... 10** OUR ACHIEVEMENTS IN 2022 .............................................................................................. 10 Pastoral **.......................................................................................................................................................... 11** Domestic **........................................................................................................................................................ 12** International **................................................................................................................................................... 14** Educational **.................................................................................................................................................... 15** OUR CHALLENGES AND ADDRESSING ACTIONS .................................................................... 15 Lack of vocations /aging population & the impact of this on ministries **............................................................. 15** Circumscription structure **............................................................................................................................... 16** Public Benefit **................................................................................................................................................. 16** Our Policies **.................................................................................................................................................... 16** Governance **.................................................................................................................................................... 17** Statement of trustees’ responsibilities **............................................................................................................ 17** Structure and management reporting **............................................................................................................. 18** Key management personnel **............................................................................................................................ 18** Risk management **........................................................................................................................................... 18** O.F.M. Capuchin GB Charitable Trust 2 Annual Report and Accounts 31 December 2022 OUR FUTURE ....................................................................................................................... 20 Delegation Plan **.............................................................................................................................................. 20** FINANCIAL REPORTING ........................................................................................................ 21 Income and expenditure **................................................................................................................................. 21** Income and expenditure 2021 vs 2022 **............................................................................................................ 22** Financial report for the year **............................................................................................................................ 23** INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF O.F.M CAPUCHIN GB CHARITABLE TRUST.................................................................................................................................. 26 STATEMENT OF FINANCIAL ACTIVITIES YEAR TO 31 DECEMBER 2022 ................................... 30 BALANCE SHEET YEAR TO 31 DECEMBER 2022 ..................................................................... 31 ANALYSIS OF CONTINUED AND DISCONTINUED OPERATIONS YEAR TO 31 DECEMBER 2022 32 STATEMENT OF CASH FLOWS YEAR TO 31 DECEMBER 2022 ................................................ 33 PRINCIPAL ACCOUNTING POLICIES YEAR TO 31 DECEMBER 2022 ......................................... 34 NOTES TO THE ACCOUNTS YEAR TO 31 DECEMBER 2022 ..................................................... 41 O.F.M. Capuchin GB Charitable Trust 3 Annual Report and Accounts 31 December 2022 The trustees present their statutory report together with the accounts of the O.F.M. Capuchin)GB Charitable Trust (the “charity”) for the year ended 31 December 2022. The accounts have been prepared in accordance with the accounting policies set out on pages 34 to 40 of the attached accounts and comply with the charity’s trust deed, applicable laws, applicable United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102). |**Trustees**
_The trustees are incorporated_
_under the Charites Act 2011_|Br James Boner OFM Cap
Br Krzysztof Przybylski OFM Cap
Br Martn Mikuskiewicz OFM Cap
Br John Cavanagh OFM Cap
Br Michael Hargan OFM Cap (Resigned 3 November 2022)
Br Paul Coleman OFM Cap (Efectve 4 November 2022)|Br James Boner OFM Cap
Br Krzysztof Przybylski OFM Cap
Br Martn Mikuskiewicz OFM Cap
Br John Cavanagh OFM Cap
Br Michael Hargan OFM Cap (Resigned 3 November 2022)
Br Paul Coleman OFM Cap (Efectve 4 November 2022)| |---|---|---| |**Provincial Delegate and Bursar**|Br James Boner OFM Cap|| |**Provincial office**|Provincial Curia
Franciscan Friary
Carlton Road
Erith
DA8 1DN|| |**Charity Number**|231143|| |**Auditor**|Buzzacot LLP
130 Wood Street
London
EC2V 6DL|| |**Bankers**|NatWest Bank plc
Oxford Central (B)
43 Cornhill
Oxford
OX1 3HA|NatWest Bank plc
1stFloor
440 Strand
London
WC2R 0QS| |**Principal Investment Managers**|Waverton Investment Management Limited
16 Babmaes Street
London
SW1Y 6AH|| |**Solicitors**|Laytons LLP
Pinners Hall
105-108 Old Broad Street
London
EC2N 1ER|Clyde & Co (formerly BLM LLP)
St Botolph Building
138 Houndsditch
London
EC3A 7AR| O.F.M. Capuchin GB Charitable Trust 4 Annual Report and Accounts 31 December 2022 ## Message from the Delegate On 10 September 1224, nine men, later mistaken by a Benedictine monk for a band of ‘ragged minstrels’, arrived at the port of Dover with few possessions, but rich in a charism of service to the poor. They were led by Blessed Agnellus of Pisa, who had been received into the Seraphic Order by St Francis himself. They set off on a journey through England, hosted by the kindness of others along the way, first in Canterbury, then Abingdon, before arriving in Oxford. Within just five years they had established a hospice and a school of theology – both of which were instrumental in the foundations of Oxford University. The nature of the friars’ arrival has been the hallmark of our presence in Great Britain ever since and in 2024, the Franciscan Friars will celebrate the 800[th] anniversary of this humble beginning. A dedication to service, to education and especially the poor and marginalised was and still is the demonstration of 800 years of benefit to society. This care is still at the forefront of the Capuchin charism through our involvement with different ministries and our adaptation to the present realities that confront us and society. There is a well-established understanding that those who engage in community living in all its forms and manifestations live heathier and more fulfilled lives. Since community living is fundamental to the Capuchin way of living, we can show the value of engaging in a flourishing community life and the wider impact on society. The breakdown of communication and the predilection for power has had and continues to have a devastating effect on society. The invasion of Ukraine, the many war-torn conflicts and the forced migration of peoples requires a different approach, one which is at the root of Capuchin Life, that is, peaceful living and care for the environment which are gifts from God. As Capuchin Franciscans we are compelled to assist and insist on a fairer and more equitable society. We are comparatively small in number in England & Wales. However, our founder only needed eight people to establish an Order which has endured for 800 years, and helped countless millions spiritually, financially and socially. Today, our personal contact, the use of our resources, and engagement with a wide range of external agencies shows that we are still relevant and can measurably impact people’s lives. And, we actively seek to adapt our skills and approach to reflect and react to the evolving needs of society. I want to take a moment to appreciate Br Stephen Innes who passed away in October 2022. He had 59 years of service and made hugely valued contributions to the Order. He held a range of positions: Definitor, Guardian, Novice Master, Senior Fellow (Oxford), Historian, Archivist, and more than this, he was a brother and mentor. The oldest member of the Delegation Br Adrian Marsh also went to his heavenly reward aged 98 after dedicating 66 years to the service of others. He was deeply loved by all those that knew him as a Guardian, Parish Priest, Chaplain and OFS National Assistant. The loss of their institutional memory and presence is a symptom of our advanced age profile and the impact this has on the structural integrity of the Delegation. This serves to highlight the importance of our future planning and focus on vocations, formation, and animation. O.F.M. Capuchin GB Charitable Trust 5 Annual Report and Accounts 31 December 2022 With the increased number of friars from other jurisdictions in the Capuchin Order, principally from Poland (Warsaw) and India (Pavanatma & Uttar Pradesh), who tend to be younger and skilled in different ways, we have been able to develop a Delegation Plan for the future, which assists us in adapting to the changing circumstance of our Order both here and in Europe. Through our achievements to date and our preparations for the future, the friars demonstrate the benefit of our charism on the ever-changing life of Great Britain and the World. We are unwavering in our outreach to those who have no voice, and like Blessed Agnellus of Pisa, we strive to deliver an enduring meaningful impact on society. **Br James Boner OFM Cap Provincial Delegate** O.F.M. Capuchin GB Charitable Trust 6 Annual Report and Accounts 31 December 2022 ## Trustees’ Report ## Who we are Our numbers, our friars, our communities – and our history Worldwide ➢ Approx. 11,000 Friars ➢ 116 Countries Great Britain – 26 Friars in 4 Houses Durham Chester Oxford Erith ## The Founding Friars The Order of Friars Minor Capuchin (the “Order”) is an international Roman Catholic Religious Order of men, (the friars), founded in Italy in 1528. The Order has maintained its essential character throughout the centuries. Friars live in communities, observing the Gospel of Our Lord Jesus Christ. They live under vows of poverty, chastity, and obedience, in accordance with the Order’s own Rules (Constitutions and Ordinances). The General Minister’s headquarters are in Rome where he is assisted by a General Council, governing the Order worldwide. The Order is made up of Provinces, Custodies and Delegations of which the Delegation of Great Britain is one. ## Delegation of Great Britain The Delegation of Great Britain is made up of perpetually professed and temporary professed friars living and working in four houses in Chester, Erith, Oxford and Durham, and occasionally in some other locations. Responsibility for the Order in Great Britain rests with the Provincial Delegate and his Council. The Delegation is under the purview of the Province of Ireland. The Parishes are entrusted to the Order’s care by the local Bishop. The accounts accompanying this report are those of a charitable trust on which the assets of the Order in Great Britain are held. The charity is registered with the Charity Commission (registration number 231143). It is governed by a Scheme of the Charity Commission dated 21 April 2015 as amended by a scheme dated 23 September 2016. All monies collected by the Parish constitute the stable patrimony of the Parish and, in accordance with Canon (Church) law, cannot be used for any other purpose. Such monies are shown as Restricted funds in the accounts. All material expenditure in connection with the Parishes, including that for property repairs, is paid directly from Parish funds. O.F.M. Capuchin GB Charitable Trust 7 Annual Report and Accounts 31 December 2022 ## Our way of life Inspired by the life and writings of St Francis of Assisi, we strive to authentically live a life of prayer, fraternity and ministry as brothers in simplicity, humility and joy. Engagement with people in the communities in which we live, particularly the poor and marginalised, is a fundamental aspect of our mission. Our work in chaplaincies – schools, hospitals, prisons, armed forces - are an expression of the evolving nature of the Capuchin mission as we seek to go beyond service in traditionally structured parishes. This wider social and pastoral outreach is a tangible demonstration of the friars’ contribution to the public. Through their retreat work and spirituality, the trustees believe the friars have positively influenced morals and attitudes, and enhanced the spiritual wellbeing of those with whom they work. religious congregations. The Capuchins in Great Britain have not been immune to this. Promoting vocations is a critical path to ensuring survival and protecting our charism. Last year we appointed a friar as Vocations Director to give this the focus it merits, and he formed a Vocations Commission with three other friars (one from each of our houses). Our vocations coordinator (Br Krzysztof Przybylski) is building on strong foundations, continuing to attend national and international events to observe and share best practice in other institutes. He has established a closer relationship with the Province of Ireland and their vocations director, Vocations Ireland and the National Vocations of England & Wales – all of which will enhance our presence in Great Britain. Our online presence and literature is being developed for World Youth Day (Lisbon, August 2024.) ## Formation The trustees, by giving donations to other organisations, also demonstrate public accountability. Many of the friars dealing with the public are involved in the relief of poverty, the advancement of religion, and the advancement of education. This is complemented by the less quantifiable but nonetheless impactful acts of kindness, hospitality, and mutual support demonstrated within and beyond the Order’s statutes and charism. ## Vocations Vocations are at the heart and vitality of our professed way of life. We mean by vocation those men who are discerning if a life as a Capuchin Franciscan in Great Britain is one to which they can commit. We recognise, as does the Catholic Church, that a vocation to religious life is one among many. The call to be a religious brother is a particular calling but there is no hierarchy of vocations - one is not better than another. There has been a steady decline in the global number of candidates choosing to live as members of _“Therefore, I entrust myself with all my heart to this Brotherhood, so that by the working of the Holy Spirit, and the example of Mary Immaculate, and through the intercession of our Father Francis, and all the saints, with the help of my brothers, I may constantly strive for the fullness of love in the service of God, of the Church, and of all people.” (Constitutions 21,4)_ There are two stages of Formation - Initial and On-Going. **Initial Formation** is for those who have not taken their Perpetual Vows. During 2022 we had no one in initial formation. We collaborate with the Province of Ireland on best practice and with due regard to _The ‘Ratio Formationis’_ so we are prepared if any candidates come forward in the coming years. The variety of meetings and symposia on how best to bring our resources together to strengthen the Capuchin Family helps to ensure best practice in initial formation. There has been a discussion at the highest level including our General Minister and Council on O.F.M. Capuchin GB Charitable Trust 8 Annual Report and Accounts 31 December 2022 the possibility of an English Language Novitiate in Europe. However, no decision has been made on this. Given the lack of those fully trained in formation this coming together has great value and will surely bear fruit in the integration of the Capuchins in Northern Europe. **On-Going Formation** is overseen by the Formation Commission whose remit is to devise a programme of engagement to enable the friars’ continued growth. Formation has multiple facets. These include spiritual; psychological; physical; personal. The Capuchin Constitutions state that the first formator is the Holy Spirit. Br James reminded the friars of all aspects of formation and the need to give this our full attention. With this in mind the friars are encouraged to have spiritual and psychological accompaniment. The Delegation Plan outlines the path we hope will accomplish this for, and on behalf of, the friars. We have already planned on-going formation in the form of a Retreat (Personal and accompanied) as well as facilitated house meetings with the Guardians and those involved in International Fraternal Collaboration. Continued formation in the Franciscan tradition for which we are vowed, has ramifications ad-extra and ad-intra. The more the members of the delegation are continually involved in their own renewal on all levels the more they become proficient in dealing with people we encounter in our ministries. One area that requires further development is on-going formation in Franciscan Spirituality, History, Philosophy. At present there are few English-speaking courses. This is one of the reasons for continued engagement with the Centre for Catholic Studies at Durham University. Another way in which this is facilitated on a wider Capuchin Order basis are the courses run by the Formation Office at our Generalate in Rome. They offer facilitated courses in Jerusalem and a Capuchin Heritage course centred in Italy. Another aspect of ‘formation’ is that of the lay collaborators who assist us as secretaries, catechists, finance commission members and auxiliary staff. It is imperative that those we work with and those that work for us understand our charism as this insight assists us in our ministry and evangelisation. We could not fully function without their valued and important contribution. This ‘formation’ also extends to the accountants, solicitors and auditors so they can evaluate and give proper advice that coincides with our vowed way of life. ## Development of Friars ## Continuous Professional Development (CPD) The continued professional development of the friars is a key part of formation. The brothers are encouraged to keep up to date with developments in their field of speciality. This has included pursuing a master’s degree in Practical Theology and a certified course in hypnotherapy. These varied integration programmes enable us to broaden the social impact of the friars work beyond the borders of our present ministries. ## International Fraternal Collaboration (IFC) A core element of our Strategic Plan is the attention we give the integration of Friars from different countries and cultures. It stems from our strategy to create alliances with overseas Provinces (Lucknow, Pavanatma and Warsaw) to ensure the survival of the Capuchins of Great Britain – both in terms of preserving sufficient numbers of friars and in considering the quality of our way of life. The strategic benefits of IFC are plentiful: - Enabling greater social impact - Building a younger demographic which injects fresh thinking into our communities - Establishing a sound platform for future succession planning O.F.M. Capuchin GB Charitable Trust 9 Annual Report and Accounts 31 December 2022 A series of activities is planned to help us do this: - Appointment of a Vocations Director and chaplain to the hospitals (Br Krzysztof) - An inaugural meeting set up in a safe environment to enable the overseas brothers to share their feelings /thoughts regarding their experiences so far - This will be followed up by local and allfraternity engagement to put ideas into practice ## Leadership The Leadership model in Great Britain changed in July 2021 as we became a Delegation. 2022 has been our first full year operating under the new structure of three Councillors instead of five and we are learning and adapting as we move through the year. Provincial Delegation meetings are now once every six weeks. The smaller leadership model is more fragile – we have already lost one Councillor through ill health and the process to appoint a replacement highlighted the challenge that we have fewer people to draw upon with the rounded knowledge to undertake the role. A Delegation under the Province of Ireland The Delegation of Great Britain is under statutes which regulate the life of the delegation under the provincial and council of Ireland. In this first full year of being a Delegation, we are settling into our relationship, and considering how to navigate the change of model. This is as much about overcoming challenges as maximising the benefits. We must address how to preserve our fraternal relationships under the Provincial of Ireland (the Provincial Delegate still undertakes visitations to his leadership and guidance role); consider the effects in our ministry; adapt to different governance procedures (the Constitution of the communities is a decision of Ireland. ## How this relates to the wider international leadership model After consultation with all Provincials of Europe, the General Minister and his council decided to abolish the existing structure and re-constitute it in a different form. This was to recognise the demise of vocations to religious life and to ensure good fraternities. This remerger means joint formation programmes etc. CENOC has had its last meeting and we see this as a way forward – Europe is coming closer and closer and this will likely mean more amalgamations in the future – which we will need to adapt to – and as Leaders we need to think and prepare for this. ## Our achievements in 2022 During 2022 we have continued our mission to assist those to we minister to directly as well as the wider public through many and varied initiatives. We were delighted when Br Adrian Green made his final profession to the Capuchin Order in Oxford. We believe this sign of commitment and hope will be a catalyst for others to consider our way of life. He will continue his studies, focusing on care of creation and ecology. Br Pradeep Lakra of the Province of St Fidelis continued his journey to the Sacred Priesthood after making his Perpetual Profession last year. He will complete his studies in 2023 and will be ordained in India in early 2024. His vitality for our life will ensure a successful and fruitful ministry. The Chapter of the Irish Province took place in July 2022 and since we are now a Delegation all the brothers were invited to attend and vote. Br James Boner was voted in O.F.M. Capuchin GB Charitable Trust 10 Annual Report and Accounts 31 December 2022 as the fourth definitor of their council. Being an intrinsic part of their decision-making body benefits us all and so this appointment solidifies our relationship as we go forward on this journey together. We have continued our cooperation with the Province of Ireland in the areas of Vocations and Formation. We were delighted to complete the alienation of our friary at Pantasaph. This sale was ultimately the correct path to take but was an emotive one because of the historical significance of the friars in these isles. The providential hand of God was at work when we were approached by another Catholic religious congregation to sell them the entire property (excluding the surrounding land). The Vincentian Congregation has a wonderful spirit of evangelisation which is in line with the past use of the friary. The Capuchins have a continued involvement with the Padre Pio days. The Delegation entered into new and updated agreements with the Provinces of Warsaw, Pavanatma & St Fidelis (Lucknow). These were all negotiated in accordance with the constitutions and ordinances of the Order and approved by our General Minister. The friars from these provinces are intrinsic to our continuation of the life, ministry, and outreach in the Delegation. It is hoped that the provinces will enhance their presence in 2023, which will increase our capacity in key areas of ministry and do so in line with our charism. ## Pastoral As we have weathered the social upheaval of the pandemic and as a society continue to face fundamental challenges of the cost of living, the Capuchins remain committed to working with and ministering to people in all walks of life, and particularly the poorest and most marginalised – which has been at the heart of our vocation, as it has since our foundation. Friars work actively with those on the edges of society. This includes, but is not exclusive to, those in prison and their families and traveller communities. Our social and pastoral work is a key part of the formation that takes place for our friars and within our parishes. Friars and lay members of our communities assist in food programmes, such as food banks and soup kitchens, and social engagement, such as working with migrants and refugees. Our pastoral work and social engagement often work through collaboration and partnership. We carry out our programmes in conjunction with external organisations (both Catholic and non-Catholic) both in the UK and around the world as a constituent part of our Franciscan charism. Our day-to-day parish work involves the celebration of daily Masses, Sunday Masses, celebrations on holy days of obligation and spiritual direction. The friars provide the sacraments of reconciliation, anointing of the sick and baptisms on a regular basis and first communion and confirmation annually. They also celebrate marriages when requested. We are dedicated to supporting the bereaved during their time of grief and conduct funeral services within the community. Although these sacraments and services are provided largely for Catholics or those intending to become Catholic, services within our parishes are open for all to be present. Success is measured by the numbers attending Sunday Masses the numbers of young people, the number of those converting to Catholicism within the parish, the variety of parish activities and local engagement, national social engagement and financial viability. Regular meetings take place between the friars and the priests of the local deanery (the local group of parishes). Here common objectives are set and the solutions to ongoing challenges are discussed. O.F.M. Capuchin GB Charitable Trust 11 Annual Report and Accounts 31 December 2022 During the course of the year, the Order made donations to projects in Poland, Capuchin General Curia (Rome), Indonesia, the Capuchin Tertiary Sisters in Sri Lanka. Many dedicated volunteers contribute so much to the work of our parishes. Parishioners are part of the welfare and daily running of their own parishes. Some provide pro bono professional advice and others voluntary assistance in order to aid the friars in running programmes of spiritual development, liturgy and catechesis as well as social outreach to establish connections between people, and cement strong bonds of support between them. ## Domestic ## Parishes ## **Chester (St Francis)** Our parish in Chester is situated within the ancient city walls and has a particular ministry to those who work in and visit this historic city. We are grateful for the presence of friars from a Polish province and for their introduction of a Polish-language Mass and ministry to the Polish community in the area. Over the years, this community within St Francis parish has grown, creating demand for the introduction of a second Polish Mass. We are grateful to the Capuchin Province of Warsaw for their continued fraternal support with brothers from their Province. The Polish community now form roughly two thirds of the churchgoers at St Francis and it is their weekly donations that are largely responsible for ensuring the parish continues to be financially viable. The overall attendance continues to gradually increase and notwithstanding pandemic restrictions, around 500 people attend Mass here. Being a community of faith in a thriving city is a tangible witness of the presence of God, serving the people and enhancing the flourishing of the wider country. ## **Erith (Our Lady of the Angels)** The parish in Erith is the Delegation’s largest ministerial commitment, with an average weekend congregation of approximately 700 parishioners. Due to this large congregation and a successful Gift Aid scheme, the parish finances are sufficient for the long-term requirements of this community. The parish has a high proportion of immigrants from the African continent in its congregation, including a high percentage of converts, and a number of young people who maintain a vibrant parish life with social outreach, pastoral activities and choirs. The Polish community continues to develop under the guidance of Br Krzysztof Przybylski and is now flourishing as increasing number of Polish parishioners integrate and assist in other ministries. The friars also minister to St Fidelis Catholic Primary School (sited next door to the church) as well as supporting catholic education in local secondaries St Catherine’s Academy & St Columba’s. The Angelus Centre, attached to the parish in Erith, provides a meeting place essential for the community life of the parishioners. However, it serves the wider public benefit via its use for many local and national groups – not necessarily Catholic. Examples include Scouts, Alcoholics Anonymous (English and Polish), London Borough of Bexley Council, a range of care trusts, the Blood Donor Association, other faith groups, local academies, dancing classes, and a diabetes clinic. We hope the Angelus Centre will be used for milestone events, like baptism celebrations and wedding receptions. ## **Oxford (St Edmund and St Frideswide)** Our presence at the site in Oxford in recent history dates back to the 1930s. Currently, the parish congregation is around 350 people which during term time includes university students. There is also a thriving global migrant community, including people from East Timor. O.F.M. Capuchin GB Charitable Trust 12 Annual Report and Accounts 31 December 2022 The parish engages in outreach projects to the poor and marginalised, including traveller sites, to address the social needs of Oxford and the surrounding areas. ## **Greyfriars (Oxford)** The friary at Oxford serves as our house of initial formation for the British and Irish Capuchins. This friary also hosts some younger friars who wish to undertake further studies at the University of Oxford. The house and fraternity host many visiting academics who attend and use the facilities of the University of Oxford. There is a hope that in the future the house could be used as an international hub for the Order, allowing direct access to the University as well as Blackfriars Permanent Private Hall, which awards Pontifical Degrees. We maintain good relationships with the local clergy and religious congregations. The friars are conscious of being part of the local community and take an active part in local programmes to improve the area which is one of the most deprived in Oxford. ## **Durham Friary (Lawrence of Brindisi)** ‘Lawrence of Brindisi’ is now established in Durham (in a house owned by the Diocese of Hexham & Newcastle). This international initiative is now in the second year of a fiveyear agreement – and is a year of consolidation. CCS continue to support them as they try to fundraise for the St Clare Chair. There is also a strong outreach to the students affording them access to our charism. It is hoped that this will bear fruit in vocations to the Capuchins and benefit society with their commitment to social activities. One of the friars is involved with outreach to the poor and marginalised working alongside the Salvation Army. While we don’t yet have additional friars from other jurisdictions in permanent residence, we have a Capuchin Friar from St Augustin’s Province, Pittsburgh, Pennsylvania, studying at Durham University and a Dominican Friar studying for a PhD – both of whom pay rent to reside which provides an income stream. ## Chaplaincies Different forms of chaplaincy are an integral part of the charism of the Capuchins from its inception in the 16[th] Century. Theses chaplaincies are a demonstration of the charity’s commitment to public benefit. ## Schools St Fidelis Primary School in Erith has strong links to the Parish. It is ranked highly in the London Borough of Bexley and nationally, as a faith school. The intake of pupils is almost entirely Catholic. The Provincial Delegate is Chair of the governing body, and the head teacher frequently invites friars to provide pastoral and sacramental ministry within the school, while the school in turn assists the celebration of a Sunday Mass once a month. Both the school and parish are also major contributors to the local food bank. The value placed upon the friars’ ministry, as evidenced by how often they are invited to the schools, is the main measure of success. In Oxford, the Parish Priest has an increasing involvement with the local secondary school, ministering to both pupils and staff. ## Hospitals We assist several hospitals and hospices in various contexts. One brother completed his chaplaincy course and is now a bank chaplain in St Thomas’ & Guys NHS Trust. The brothers at Chester Friary cover for the chaplain in hospitals in and around Chester. Erith brothers will always assist when called on to attend the sick and dying in hospitals close to the friary as do those in Oxford friary. ## Prisons Prison Chaplaincy is very attuned to our charism. One brother is now a part time chaplain in a prison near Durham. We see this as a way forward in helping us to achieve a regular income to sustain the fraternities. O.F.M. Capuchin GB Charitable Trust 13 Annual Report and Accounts 31 December 2022 ## Universities One brother stationed at Erith is a trained psychotherapist and is part time counsellor at the Guild Hall School of Music. He assists parishioners and those referred to him at our Erith fraternity house. To enhance outreach and ministry skills, one brother undertook accredited training in Hypnotherapy. ## Virtual Ministry ‘Remote access’ has been commonplace since the global pandemic – and religious worship is no exception. There has been a rise of virtual ministry with Masses as well as other services like weddings, baptisms and funerals being live streamed. This not only benefits vulnerable people who are unable to attend services in person, but has enabled family and friends from around the world to serve as witness to life milestones of their loved ones. Having invested in the technology, parish’s plans for the future are considering how we can maximise this for wider public benefit. ## Caring for members of the order As friars profess a lifelong vow to the Order devoting their lives to serving their community, the Order fulfils a moral and legal obligation to provide care for its members for as long as required. The trustees are kept informed about and regularly review the current demographic and the projections for the Delegation, in order to make medium to long-term plans. Currently, the average age of the friars is 59.1. As the average age profile of the Delegation rises, care needs will also increase, as will the costs of providing them. This will place a substantial financial burden on the charity’s finances – both in terms of increased costs but also because certain income sources will reduce as members become unable to carry out work as they previously had. At present, the costs have been manageable for the Order. Current funds are used to provide care for the friars within the friaries, only resorting to outside care when community care becomes unsustainable or not appropriate. There are a number of infirm friars, needing different levels of care, who are being cared for within their own friaries. There are also a number of elderly friars; three friars over 70 years of age, two over 80 and two over 90. ## International Although no British members of the Capuchin Order are stationed overseas at the moment, we assist overseas development via the General Curia for example Lawrence of Brindisi & the Province of Warsaw. We also support our brothers in developing countries with grants for education and capacity building, as well as works for the relief of the poor. This is mainly administered via the Office of Economic Solidarity at our General Curia, Rome, however the Provincial Delegate in Great Britain is a member of this Office and he travels extensively to India, Africa and other countries upon as directed by the General Minister in Rome. The social impact of this work is extensive as is the involvement of many friars in deprived communities. This is viewed by the trustees as a valuable contribution to the outreach of the Order. At this time, the Trustees have also recognised the dreadful humanitarian crisis in Ukraine and responded by providing aid and supporting the Capuchin Order in Krakow and Warsaw where refugees have been assisted with food, clothing and accommodation. We have also been committed to assisting an orphanage in Peru. We also provide advocacy at the United Nations via Franciscans International. During the course of the year, the Order made O.F.M. Capuchin GB Charitable Trust 14 Annual Report and Accounts 31 December 2022 donations to projects in Poland, Capuchin General Curia (Rome), Indonesia, San Tome and the Capuchin Tertiary Sisters in Sri Lanka. Historically we have had houses and communities to cater for the health and educational needs of people in India, Ethiopia and Papua New Guinea. During the course of this year, the Delegation has donated money to the Order’s central mission fund, administered by our General Curia via the Boni Pastoris Fund & Veronica Guiliana Fund. These funds are utilised in over 100 countries for formation of the friars and Capuchin sisters that serve the local people in these areas who often live in extreme poverty. ## Educational Dr Liam Temple is the Capuchin Fellow in the History of Catholicism at the Centre for Catholic Studies (CCS) at Durham University. He is currently engaged on a research project exploring the influence of Capuchins in Britain from the seventeenth century to the present day. His passion for this provides support to heritage and rejuvenation projects and our sponsorship for this position affords us access to the public academy, thus influencing contemporary thought and practice. To further the engagement with CCS, we granted a financial endowment to assist in the establishment of a Chair of St Clare with Durham University. This initiative is still a work in progress until full funding is achieved from the wider International Franciscan Family. ## Our challenges and addressing actions ## Lack of vocations /aging population & the impact of this on ministries The Capuchin Franciscans are part of a large and substantial Religious Order numbering approximately 10,500 worldwide. Because of this it is a concern to the Delegation that our charism continues to be present in more established jurisdictions like Great Britain, where we have had a presence since the sixteenth century. As part of this dedication to a continued presence, the Delegation of Great Britain has a contract with the Capuchin Province of Warsaw which assists us with a supply of personnel. This relationship is seen as a positive response to the falling number of vocations to the Capuchin Order within Great Britain as well as demonstrating an understanding of the changing demographic of the parishes within our care. The primary function of this contract is to enhance fraternal living by supporting our life and ministries. The integration of these Polish friars and their contribution to our ministry is regularly assessed by the trustees. In addition to this collaboration, the Order’s leadership in Rome suggested that we enter into a similar arrangement with an Indian Province of the Order. After discussions and mutual visits, the Provincial Chapter agreed in principle to a collaboration with St Fidelis Province based in Lucknow (Uttar Pradesh, India). There was a suggestion that the Delegation may also look to house brothers who wish to complete their theological studies in Great Britain. The agreement between the two Provinces has been sanctioned by the General Minister and Council and the Provincial Delegate has met with prospective candidates. To further ensure we have sufficient brothers to continue our ministries an agreement was signed with the Province of Pavanatma (Kerala India). At present there are three brothers from this Province in a variety of missions. As the Order here is a registered body capable of issuing Tier 2 and Tier 5 visas in accordance with UK Visas and Immigration guidelines, this is administered strictly within the bounds set out in their guidance. The trustees are conscious of their responsibility to ensure that the integration of the brothers within our communities is O.F.M. Capuchin GB Charitable Trust 15 Annual Report and Accounts 31 December 2022 successful. Solidarity of personnel and the ministries of the Delegation to come out of these collaborations will form part of the strategic plan for the Delegation. The trustees agree that with the enhanced numbers we will be able to maintain a number of our ministries and outreach and are grateful to the Provinces of Warsaw, St Fidelis and Pavanatma. ## Circumscription structure Capuchin circumscriptions vary hugely in size, structure and complexity and their ability to keep pace with a changing environment is increasingly challenged. Coupling this with the lack of vocations, the need to protect the Capuchin charism and way of life has been growing in importance and intensity. The members of CENOC, of which the Delegation of Great Britain is an experienced and leading contributor, has been considering the nature of these challenges and engaging with the General Minister and his Council in Rome to come up with ways to solve for this. ## Public Benefit In formulating the charity’s aims and in planning the work of members of the Order, the trustees have taken into account the general guidance published by the Charity Commission on public benefit (Charity Commission 14 February 2014). The trustees believe that the social and pastoral work of the friars demonstrates that the contribution of the friars in these areas has benefited the public. Also, in areas of retreat work and spirituality, the trustees believe that friars have influenced morals and attitudes of people and enhanced the spiritual wellbeing of those with whom they work. The trustees, by giving donations to other organisations, also demonstrate public accountability. Many of the friars dealing with the public are involved in the relief of poverty, the advancement of religion, and the advancement of education. The trustees also acknowledge that ‘unquantifiables’ in relation to ‘public benefit’ such as acts of kindness, hospitality, and mutual support are demonstrated within and beyond the Order’s statutes and charism. ## Our Policies ## Safeguarding policy 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 brothers who are in any kind of ministry in Great Britain have to obtain clearance from the Disclosure and Barring Service with ‘Enhanced Disclosures’. The trustees are committed to implementing all policies and procedures of the National Catholic Safeguarding Service (NCSC). Supervision is also extended to anyone who works within our ministries and those living within our fraternities for an extended period of time. Friars are encouraged to complete relevant certification courses developed by EduCare. The trustees are aware that the policies and procedures agreed by the National Catholic Safeguarding Commission (NCSC) are now in force in England and Wales. The trustees signed a resolution that they would be bound by the updated policies and procedures. This is in line with the ‘One Church’ approach. The members of the congregation are aware of their individual responsibilities in the area of safeguarding and there are updates by our safeguarding lead who is external to the Order. The Delegation is aligned to the Archdiocese of Southwark Safeguarding Commission, who are the contact for statutory authorities. As reported last year there is a move from the current structure to a more aligned one in which all religious congregations will come under the remit of the Religious Life Safeguarding Service (RLSS) and National Catholic Safeguarding Service (NCSC). The transition period for all documentation to be transferred from our aligned commission to RLSS is still underway. O.F.M. Capuchin GB Charitable Trust 16 Annual Report and Accounts 31 December 2022 A report from the charity’s safeguarding lead is a standing item at trustees’ meetings, and any problems raised are given a high priority. ## Grants, donations and support of ## missionary work and ministry policy Grants, donations and other payments in support of missionary work and ministry are decided on by the trustees in consultation with other members of the Order as appropriate. Largely, the charity supports the work of those organisations whose work is within the objects of the charity. However, the charity does not regard itself as a primarily grant-making entity and so applications for grants and donations are not invited. ## Investment policy Waverton Investment Management Limited has responsibility for the management of the charity’s listed investments. On behalf of the charity, it holds a segregated investment portfolio comprising a mix of bonds, UK and overseas equities, common investment funds and alternative investments. There are no legal restrictions on the charity’s power to invest. The investment strategy is set by the trustees and takes into account income requirements, the risk profile and the investment manager’s view of the market prospects in the medium term. The policy is to achieve a balance between income and capital growth, while also avoiding investment in entities whose activities are not consistent with the objectives of the Church. The performance of the portfolio and the charity’s investment strategy are reviewed by the trustees who receive quarterly management reports from the managers, as well as regular advice from independent investment experts. Regular bi-annual meetings are attended by the Provincial Delegate, a pro bono adviser and investment specialists from Portfolio Review Services. ## Governance In terms of Canon law, the Order within Britain is governed as a Delegation of the Province of Ireland by the Provincial Delegate and two councillors. The Delegation is administered by a governing body i.e. the Incorporated trustees of the Order of Friars Minor Capuchin Province of Great Britain (the trustees in civil law), consisting of the Provincial Delegate and four trustees. In terms of civil law, the charity is governed by a Scheme of the Charity Commission dated 21 April 2015 and is registered with the Charity Commission, Charity Registration No 231143. As all trustees are members of the Order, they have a detailed knowledge of the work of the charity and of its structure. On being appointed, new trustees are briefed fully on their responsibilities as charity trustees. The names of the trustees who served during the year are set out as part of the reference and administrative details on page 4. The Delegation comprises 25 friars in perpetual vows (this number includes three friars assigned from the Warsaw Province and one from St Fidelis Province, India) In addition, as already indicated we have 3 friars from Pavanatma Province, India. ## Statement of trustees’ responsibilities The trustees are responsible for preparing the trustees’ report and accounts 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 trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing these accounts, the trustees are required to: - select suitable accounting policies and then apply them consistently - observe the methods and principles in the Accounting and Reporting by Charities: O.F.M. Capuchin GB Charitable Trust 17 Annual Report and Accounts 31 December 2022 Statement of Recommended Practice applicable to charities preparing the accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) - make judgements and estimates that are reasonable and prudent - state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts - prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. 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 accounts comply with the Charities Act 2011, the relevant Charity (Accounts and Reports) Regulations and the provisions of the governing document. 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. ## Structure and management reporting The trustees are ultimately responsible for the policies, activities and assets of the charity. They meet every six weeks to review developments with regard to the charity or its activities and make any important decisions. When necessary, the trustees seek advice and support from the charity’s professional advisers including property consultants, investment managers, solicitors, and accountants. The Provincial Delegate and Council assign friars to the various friaries and Parishes served by the Order and appoint the officers needed for the administration of the whole Delegation. Each friary has a Guardian and a Vicar, appointed by the Delegate and Council, who have responsibility for the friars in their community. The running of each friary is discussed regularly by the whole community. ## Key management personnel The trustees (including the Provincial Delegate/Provincial Bursar) consider that they alone comprise the key management of the charity in charge of directing and controlling, running and operating the charity on a day-today basis. The trustees (including the Provincial Delegate/Provincial Bursar) are all members of the Order and while their living and personal expenses are borne by the charity they receive no remuneration or additional reimbursement of expenses in connection with their duties to the charity. ## Working with other organisations The charity works closely with a number of other charities and public bodies which work in the fields of education and religion. ## Employees, volunteers and members of the order The trustees wish to record their recognition of the professionalism and commitment of all their staff, volunteers, and the individual members of the Order. Their dedication and positive approach are very much appreciated. ## Risk management The trustees continue working to assess the major risks to which the charity is exposed, in particular those relating to the specific operational areas of the charity, its investments, and its finances. The trustees believe that by monitoring reserve levels, by ensuring controls exist over key financial systems, and by examining the operational and business risks faced by the charity, they have established effective systems to mitigate those risks. These systems are also frequently reviewed with a view to possible updates and improvements. The key risks for the charity, as identified by the trustees, are described below together with the principal ways in which they are mitigated: ## **The rising age profile of the Delegation** **The risk:** The average age at 31 December 2022 was 59.1. The trustees are aware that there is O.F.M. Capuchin GB Charitable Trust 18 Annual Report and Accounts 31 December 2022 both a moral and legal obligation to care for the older members. None of the members have resources of their own as all earnings, pensions, and other income have been donated to the charity under a Gift Aidcompliant Deed of Covenant. As the age profile increases, so too does the need to provide care for the members. **The mitigation:** Key elements of the management of this risk are: (a) ensuring that the charity has the available financial resources to finance this care both now and, in the years, ahead by setting aside assets in a designated fund (b) ensuring that processes are in place to regularly review the ministries and needs of individual members, encouraging those who need it to take on fewer demanding ministries and to identify those who need extra care and help. ## **Number of friars reducing within the Delegation** **The risk:** As older members die and, occasionally, younger members leave, the number of friars in the Delegation is reducing. Vocations to religious orders in Britain remain low, so the trustees need to plan for reduced personnel or find ways to bring in more friars. **The mitigation:** The latter objective will be pursued by investing more effort and resources into the vocation’s ministry and by liaising with the General Minister in Rome for friars to be sent to Britain from Provinces richer in personnel. Even with these efforts, there will probably be a reduction in the numbers of active friars in the short to medium term, so the trustees will look to make reductions in ministerial commitments and even in the number of friaries. These considerations will be looked at in the context of our financial planning, becoming a delegation of the Irish Province and with friars arriving from Province of Warsaw, Poland, and with both St Fidelis & Pavanatma Provinces in India. ## **Working with vulnerable groups** **The risk:** Operationally the charity works with vulnerable groups including children and the elderly. The trustees recognise the absolute necessity of ensuring the protection and safety of all those that the charity serves. **The mitigation:** All members engaged in any ministry in Great Britain and all those who work or volunteer for the charity and work with children or vulnerable adults must obtain clearance from the Disclosure and Barring Service (DBS). The trustees are fully committed to implementing the policies of the National Catholic Safeguarding Service (NCSC) and Religious Life Safeguarding Service (RLSS). The trustees also recognise their duty of care to members of the Order who are accused of mistreating children or vulnerable adults, and they will seek to ensure that support is given to such friars through the process of investigation. ## **Financial risks** **The risk:** The charity donates significant sums in support of the worldwide Order and other organisations. The vast majority of donations sent overseas are to fund projects administered directly by members of the Order. **The mitigation:** Whether or not the funds are used here in Great Britain or overseas, the trustees always ensure that they are fully briefed about and are familiar with the work of a potential recipient of funds. Funds are transferred via bank transfer, proof of receipt is obtained, and wherever possible (and always in the case of monies sent overseas), a full written report of how the monies have been used and applied is obtained from the recipient. ## **Property assets** **The risk:** The charity’s principal asset, apart from buildings, comprises listed investments, the value of which is dependent on movements in UK and world stock markets. O.F.M. Capuchin GB Charitable Trust 19 Annual Report and Accounts 31 December 2022 **The mitigation:** The investments are managed by reputable investment managers who adhere to a policy agreed by the trustees. The trustees meet bi-annually with the investment managers and the manager’s performance and that of the portfolio are monitored. The investment strategy is assessed regularly to ensure it remains appropriate to the charity’s needs – both now and in the future – and to the charity’s Catholic ethos. We have developed a clear Delegation Plan to set out tactics to achieve this strategy. The Plan has five core priorities and outcomes (see p21). Early achievements include a dedicated focus on best practices for assimilating a far more diverse and internationally flavoured community. Providing brothers from overseas provinces the opportunity to reflect on their own previous experiences of moving between disparate provinces has benefits for the IFC. ## Our Future ## Delegation Plan Our strategy for the future is simple: ensure our survival and the protection of our charism and way of life – for the benefit of ourselves and the communities in which we live and work. We have also been undertaking some early planning for milestone events in 2023 and 2024: the 800[th] anniversary of the arrival of the Capuchin friars in Great Britain and 150 years of the Province. O.F.M. Capuchin GB Charitable Trust 20 Annual Report and Accounts 31 December 2022 ## Financial Reporting **----- Start of picture text -----**
Income and expenditure
Income
Pensions and
salaries, £98,442
Parish
Other , collections,
£395,854 £132,710
Other pastoral
offerings and
repository
income,
£199,667
Surplus on disposal of
freehold, £99,408
Investment Income,
£198,920
**----- End of picture text -----**
**----- Start of picture text -----**
Expenditure
Expenditure raising
funds, £57,746
Donations,
Support for £157,181
members of the
order and their
ministry,
£855,777 Governance
£96,524
Parish
activities,
£302,555
**----- End of picture text -----**
O.F.M. Capuchin GB Charitable Trust 21 Annual Report and Accounts 31 December 2022 Income and expenditure 2001 vs 2002 **----- Start of picture text -----**
Income (£000's) 2021 vs 2022
450
400
350
300
250
200
150
100
50
0
Pensions and Parish collections Other pastoral Investment Surplus on Other
salaries offerings and Income disposal of
repository freehold
income
2021 2022
**----- End of picture text -----**
**----- Start of picture text -----**
Expenditure (£000's) 2021 vs 2022
1,000
900
800
700
600
500
400
300
200
100
0
Expenditure raising Donations Governance Parish activities Support for
funds members of the
order and their
ministry
2021 2022
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O.F.M. Capuchin GB Charitable Trust 22 Annual Report and Accounts 31 December 2022 ## Financial report for the year A summary of the charity’s results for the year can be found on page 30 of the accounts. Total income for the year ended 31 December 2022 amounted to £1,125,001 (2021 - 785,444). Of this total, £759,274 (2021 - £540,640) was received by way of donations and legacies. This figure includes £98,442 (2021 - £85,685) being the pensions and salaries of the friars gifted to the charity and a further £332,377 (2021 - £320,797) being pastoral offerings and repository income. It also includes legacies receivable of £167,312 (2021 - £25,469). Income derived from the charity’s investment properties, listed investment portfolio, social investments and interest on cash balances totalled £198,920 (2021 – £181,659). The charity’s trading activities, generated additional revenues totalling £1,714 (2021 - £3,493). Total expenditure for the year ended 31 December 2022 amounted to £1,469,783 (2021 - £1,375,277). Expenditure incurred on maintaining the members of the Order and supporting them in their pastoral work and ministry amounted to £855,777 (2021 - £904,078). The expenditure on Parishes and parochial work was £302,555 (2021 - £230,029) and donations made by the charity during the year totalled £157,181 (2021 - £79,771). The overall net expenditure for the year before gains on investments was £344,782 (2021 – £589,833). The net losses on the revaluation and disposal of the charity’s investments were £929,461 (2021 – net gains of £1,502,355) providing an overall net decrease in funds for the year or net expenditure of £1,274,243 (2021 – net income of £912,522). ## **Investment performance** Waverton Investment Management Limited has responsibility for the management of the charity’s listed investments. At the year-end date, the investment portfolio had a market value of £7,438,144 including cash held for investment (2021 - £8,650,016). The total income derived from the listed investment portfolio totalled £134,635 (2021 - £114,516) representing an income yield of 1.7% (2021 – 1.4%) on the average portfolio value. The total realised and unrealised losses experienced in the year were £929,461 (2021 – gains of £953,355) reflecting a capital yield of minus 11.5% (2021 – plus 11.6%) on the average portfolio value. The investment managers continued to invest in accordance with the trustees’ investment policy set out earlier in this report and in compliance with the ethical guidelines given to them. The charity also owns four investment properties in Oxford and Pantasaph which have an estimated open market value of £2,895,000 (2021 - £2,895,000). The income derived from the letting of these properties amounted to £59,721 during the financial year (2021 - £66,919). ## **Properties** There have been repairs and some renovation at our investment properties. The trustees take the view that we should maintain our properties to a high standard. All of our investment properties are manged by external companies, two via a Heads of Terms (Oxford) the other two via an agency (Pantasaph Cottages). O.F.M. Capuchin GB Charitable Trust 23 Annual Report and Accounts 31 December 2022 ## **Reserves policy and financial position** The charity has a number of different categories of fund on its balance sheet which in total amount to £16,212,175 (2021 - £17,486,368) and includes the tangible fixed assets fund at £4,774,215 (2021 – 5,251,296) which represents the net book value of the charity’s tangible fixed assets i.e. land and buildings, motor vehicles and furniture and equipment financed from unrestricted funds. About 38 percent of the total net assets owned by the charity comprise property - churches and friaries. The Order of the Friars Minor Capuchin Province of Great Britain can only carry out the aims set out in the first part of this report if it has the use of such buildings. Not only are they an essential pre-requisite for their work but certain of this property is also regarded as inalienable. It is not at the complete disposal of the charity; if the trustees were to vacate certain of this property, for example church buildings, they would regard themselves as obliged to offer it to the Bishop or some other religious order that was prepared to carry on the same work with the agreement of regulatory authorities. In these circumstances, therefore, it seems advisable to recognise the property and other essential tangible fixed assets as a separate fund rather than as an available resource. Designated funds totalled £7,836,692 at 31 December 2022 (2021 - £7,937,002). Full details of these funds are given in note 20 to the attached accounts. Restricted funds representing monies given to the charity for a specific purpose, or donations subject to donor imposed conditions, including Parish funds, amount to £1,016,717 (2021 - 1,077,331). Full details of these funds and an analysis of their movements during the year are given in note 18 to the attached accounts. The free reserves available after deducting the above tangible fixed assets fund, the designated funds, the non-charitable trading funds and the restricted funds at 31 December 2022 were £2,584,501 (2021 - £3,220,739). The trustees consider it prudent to hold an amount equivalent to six month’s expenditure as a free reserve, to allow for unforeseen expenditure. The free reserves at 31 December 2022 represent approximately 26 months’ expenditure which exceeds the amount required under the trustees’ policy. However, given the current macroeconomic and geopolitical situation and the ensuing uncertainties, the trustees are content to hold excess reserves and consider the charity’s free reserves to be adequate but not excessive in the current climate. The trustees continually monitor the impact of revenue to the restricted funds assessing the ability for us to continue all of our outreach programmes and the viability of the ministries. We believe that with close monitoring of the financial situation the charity are able to fulfil our commitments. In light of this, the trustees 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 will continue to review the reserves situation on a monthly basis and if there are any concerns, this will be discussed with our professional advisers. The effective governance of the charity, which combines a Religious Order (with falling numbers) with various charitable aims, is being increasingly carried out by lay staff members. Trustees are looking at the possibility of changing the charity’s legal structure by converting to a CIO (Charitable Incorporated Organisation), which would facilitate the appointment of lay trustees. O.F.M. Capuchin GB Charitable Trust 24 Annual Report and Accounts 31 December 2022 ## **Fundraising statement** The charity aims to achieve best practice in the way in which it communicates with donors and other supporters. It takes care with both the tone of its communications and the accuracy of its data to minimise the pressures on supporters. It applies best practice to protect supporters’ data and never sells data, it never swaps data and ensures that communication preferences can be changed at any time. The charity manages its own fundraising activities and does not employ the services of Professional Fundraisers. The charity undertakes to react to and investigate any complaints regarding its fundraising activities and to learn from them and improve its service. During 2022, the charity received no complaints about its fundraising activities. Approved by the trustees and signed on their behalf by: Br James Boner OFM Cap Trustee Date: 22[nd] August 2023 O.F.M. Capuchin GB Charitable Trust 25 Independent auditor’s report 31 December 2022 ## Independent auditor’s report to the trustees of O.F.M Capuchin GB Charitable Trust ## **Opinion** We have audited the accounts of O.F.M Capuchin GB Charitable Trust (the ‘charity’) for the year ended 31 December 2022 which comprise the statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies and the notes to the accounts. 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 accounts: - give a true and fair view of the state of the charity’s affairs as at 31 December 2022 and of its income and expenditure for the year then ended; and - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and - 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 accounts section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the accounts 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 accounts, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the accounts 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 accounts 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 and Accounts, other than the accounts and our auditor’s report thereon. Our opinion on the accounts does not cover the other information and we do not express any form of assurance conclusion thereon. In connection with our audit of the accounts, our responsibility is to read the other information and, O.F.M. Capuchin GB Charitable Trust 26 Independent auditor’s report 31 December 2022 in doing so, consider whether the other information is materially inconsistent with the accounts 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 accounts 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** 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: - the information given in the trustees’ annual report is inconsistent in any material respect with the accounts; or - sufficient and proper accounting records have not been kept by the charity; or - the charity accounts are not in agreement with the accounting records and returns; or - we have not received all the information and explanations we require for our audit. ## **Responsibilities of trustees** As explained more fully in the trustees’ responsibilities statement, the trustees are responsible for the preparation of the accounts 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 accounts that are free from material misstatement, whether due to fraud or error. In preparing the accounts, 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 accounts** Our objectives are to obtain reasonable assurance about whether the accounts 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 accounts. O.F.M. Capuchin GB Charitable Trust 27 Independent auditor’s report 31 December 2022 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: ## _**How the audit was considered capable of detecting irregularities including fraud**_ Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: - The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; - We identified the laws and regulations applicable to the charity through discussions with management and from our knowledge and experience of the charity sector; - We focused on specific laws and regulations which we considered may have a direct material effect on the accounts or the activities of the charity. These included but were not limited to the Charities Act 2011, Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102) (effective 1 January 2019); and - We assessed the extent of compliance with the laws and regulations identified above through making enquiries with management and those charged with governance and review of minutes of trustees’ meetings. We assessed the susceptibility of the charity’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: - Making enquiries of management and those charged with governance as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and - Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and override of controls, we: - Performed analytical procedures to identify any unusual or unexpected relationships; - Tested and reviewed journal entries to identify unusual transactions; - Tested the authorisation of expenditure; - Assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and - Investigated the rationale behind significant or unusual transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: - Agreeing financial statement disclosures to underlying supporting documentation; O.F.M. Capuchin GB Charitable Trust 28 Independent auditor’s report 31 December 2022 - Reading the minutes of meetings of trustees; and - Enquiring of as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of noncompliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. We did not identify any irregularities, including fraud. A further description of our responsibilities for the audit of the accounts 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 with 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 and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed. Buzzacott LLP Statutory Auditor 130 Wood Street London EC2V 6DL 10 October 2023 Buzzacott LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006 O.F.M. Capuchin GB Charitable Trust 29 Statement of financial activities Year to 31 December 2022 ## Statement of financial activities Year to 31 December 2022 |Notes|**Unrestricted**
**funds**
**£**|**Restricted**
**funds**
**£**|


**Total**
**funds**
**2022**
**£**|



Unrestricted
funds
£|Restricted
funds
£|


Total
funds
2021
£| |---|---|---|---|---|---|---| |**Income from:**
Donations and legacies
1
Investments and interest
receivable
2
Charitable activities
3
Other trading activities
4
Surplus on disposal of freehold
land and buildings
Other sources
5
**Total income**
**Expenditure on:**
Raising funds
6
Charitable activities
7
**Total expenditure**
**Net (expenditure) income**
**before investment (losses)**
**gains**
Net gains on the revaluation of
investment property
14
Net (losses) gains on the
revaluation and disposal of listed
investments
14
**Net (expenditure) income**
10
Transfers between funds
18
**Net movement in funds**
**Reconciliation of funds**
Total funds brought forward at
1 January 2022
Total funds carried forward at
31 December 2022|**389,229**
**198,797**
**—**
**1,714**
**99,408**
**5,689**|**370,045**
**123**
**43,002**
**—**
**—**
**16,994**|
**759,274**

**198,920**

**43,002**

**1,714**

**99,408**

**22,683**|
187,787

181,536

—

3,493

—

24,879|
352,853
123

20,522

—
—

14,251|
540,640

181,659

20,522

3,493

—

39,130| ||**694,837**|**430,164**|
**1,125,001**|
397,695|
387,749|
785,444| ||**57,746**
**1,052,368**|**—**
**359,669**|
**57,746**

**1,412,037**|
57,535

1,039,102|
—

278,640|
57,535

1,317,742| ||**1,110,114**|**359,669**|
**1,469,783**|
1,096,637|
278,640|
1,375,277| ||**(415,277)**
**—**
**(888,655)**|**70,495**
**—**
**(40,806)**|
**(344,782)**

**—**

**(929,461)**|
(698,942)

549,000

893,013|
109,109

—

60,342|
(589,833)

549,000

953,355| ||**(1,303,932)**
**90,303**|**29,689**
**(90,303)**|**(1,274,243)**

**—**|
743,071

110,850|
169,451
(110,850)|
912,522

—| ||**(1,213,629)**
**16,409,037**|**(60,614)**
**1,077,331**|**(1,274,243)**
**17,486,368**|
853,921

15,555,116|
58,601
1,018,730|
912,522
16,573,846| ||**15,195,408**|**1,016,717**|**16,212,125**|
16,409,037|1,077,331|17,486,368| All recognised gains and losses are included in the above statement of financial activities. O.F.M. Capuchin GB Charitable Trust 30 Balance sheet Year to 31 December 2022 ## Balance Sheet Year to 31 December 2022 |Notes|**2022**
**£**|2021
£| |---|---|---| |**Fixed assets**
Tangible assets
13
Investments
14
**Current assets**
Debtors
15
Cash at bank and in hand
**Current liabilities**
Creditors: amounts falling due within one year
16
**Net current assets**
**Total assets less current liabilities**
Creditors: amounts falling due after one year
17
**Total net assets**
**The funds of the charity:**
Restricted funds
18
Unrestricted funds
. General funds
. Tangible fixed assets fund
19
. Designated funds
20|**4,805,523**
**10,333,145**|5,281,773
11,646,226| ||**15,138,668**|16,927,999| ||**570,979**
**667,981**|9,402
774,705| ||**1,238,960**|784,107| ||**(165,503)**|(155,252)| ||**1,073,457**|628,855| ||**16,212,125**
**—**|17,556,854
(70,486)| ||**16,212,125**|17,486,368| ||**1,016,717**
**2,584,501**
**4,774,215**
**7,836,692**|1,077,331
3,220,739
5,251,296
7,937,002| ||**16,212,125**|17,486,368| Approved by the trustees and signed on their behalf by: Br James Boner OFM Cap Trustee Date: 22nd August 2023 O.F.M. Capuchin GB Charitable Trust 31 Analysis of continued and discontinued operations Year to 31 December 2022 Analysis of continued and discontinued operations Year to 31 December 2022 ||**Continued**
**£**|**Discontinued**
**£**|
**Total**
**2022**
**£**|
Continued
£|Discontinued
£|
Total
2021
£| |---|---|---|---|---|---|---| |Income
Expenditure
Net (losses) gains on listed
investments
Net(expenditure)income|**1,111,591**
**(1,423,142)**|**13,410**
**(46,641) **|**1,125,001**
**(1,469,783) **|721,723
(1,203,635)|
63,721
(171,642)|
785,444
(1,375,277)| ||**(311,551)**
**(929,461)**|**(33,231)**
**—**|
**(344,782)**


**(929,461)**
|(481,912)
1,502,355|
(107,921)

—|
(589,833)

1,502,355| ||**(1,241,012)**|**(33,231) **|**(1,274,243) **|1,020,443|
(107,921)|912,522| O.F.M. Capuchin GB Charitable Trust 32 Statement of cash flows Year to 31 December 2022 ## Statement of cash flows Year to 31 December 2022 |Notes|
**2022**
**£**|2021
£| |---|---|---| |**Cash flows from operating activities:**
Net cash used in operating activities
A
**Cash flows from investing activities:**
Investment income and interest received
Purchase of tangible fixed assets
Proceeds from the disposal of fixed assets
Proceeds from the disposal of listed investments
Purchase of listed investments

Foreign exchange (losses) gains
**Net cash provided by investing activities**
**Change in cash and cash equivalents in the year**
**Cash and cash equivalents at 1 January 2022**
B
**Cash and cash equivalents at 31 December 2022**
B|

**(663,156) **|(715,821)| ||

**198,920**
**(14,858)**
**100,000**
**2,395,200**
**(2,381,743)**
**(11,250) **|181,659
—
—
1,386,422
(1,366,736)
4,467| ||**286,269**|205,812| ||
**(376,887)**


**1,592,480**|(510,009)
2,102,489| ||
**1,215,593**|1,592,480| ## **Notes to the statement of cash flows for the year to 31 December 2002** **A Reconciliation of net (expenditure) income to net cash used in operating activities** ||**2022**
**£**|2021
£| |---|---|---| |**Net (expenditure) income for the year (as per the statement of**
**financial activities)**
**Adjustments for:**
Depreciation charge
(Gains) losses on disposal of tangible fixed assets
Net losses (gains) on the revaluation and disposal of listed and social
investments
Net gains on the revaluation of investment properties
Investment income and interest receivable
Foreign exchange losses (gains)
Decrease in stock
(Increase) decrease in debtors
Increase in current creditors
Decrease in long term creditors
**Net cash used in operating activities**|**(1,274,243)**
**90,516**
**400,592**
**929,461**
**—**
**(198,920)**
**11,250**
**—**
**(561,577)**
**10,251**
**(70,486)**|912,522
94,691
6,858
(953,355)
(549,000)
(181,659)
(4,467)
5,809
13,392
4,145
(64,757)| ||**(663,156)**|(715,821)| ## **B Analysis of cash and cash equivalents** |**Analysis of cash and cash equivalents**||| |---|---|---| ||**2022**
**£**|2021
£| |Cash at bank and in hand
Cash held by investment managers
**Total cash and cash equivalents**|**667,981**
**547,612**|774,705
817,775| ||**1,215,593**|1,592,480| No separate statement of changes in net debt has been prepared as there is no difference between the movements in cash and cash equivalents and movement in net cash (debt). O.F.M. Capuchin GB Charitable Trust 33 Principal accounting policies 31 December 2022 Principal accounting policies Year to 31 December 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** These accounts have been prepared for the year to 31 December 2022. The comparative information reflects the financial results for the year ended 31 December 2021. The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts. The accounts 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 United Kingdom and Republic of Ireland (Charities SORP FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011. The charity constitutes a public benefit entity as defined by FRS 102. 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 and management to make significant judgements and estimates. The items in the accounts where these judgements and estimates have been made include: - assessing the probability of the receipt of legacy income; - the judgements made by the trustees and management in estimating the fair values attributed to the charity’s investment properties; - the estimates of the useful economic lives of tangible fixed assets used to determine the annual depreciation charge; - the assessment of any impairment provision in respect to tangible fixed assets; - the assumptions made in determining the likelihood of recovering the debtor balances; and - the assumptions adopted by the trustees and management in determining the value of any designations required from the charity’s general unrestricted funds. O.F.M. Capuchin GB Charitable Trust **34** Principal accounting policies 31 December 2022 ## **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 at least one year from the date of approval of these accounts. 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. The most significant areas of judgement that affect items in the accounts are detailed above. With regard to the next accounting period, the year ending 31 December 2023, 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 in the period in which the charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received. Income comprises donations and legacies, investment income and interest receivable, income from charitable activities, other trading income and sundry income. Donations, including salaries and pensions of individual religious received under Gift Aid or deed of covenant, are recognised when the charity has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period. In accordance with the Charities SORP FRS 102 volunteer time is not recognised. Legacies are included in the statement of financial activities when the charity is entitled to the legacy, the executors have established that there are sufficient surplus assets in the estate to pay the legacy, and any conditions attached to the legacy are within the control of the charity. 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 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, but the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title of the asset having being transferred to the charity. Income from listed investments is recognised once the dividend has been declared and notification has been received of the dividend due. O.F.M. Capuchin GB Charitable Trust **35** Principal accounting policies 31 December 2022 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. Income derived from the letting of the charity’s investment properties and functional freehold properties is recognised as income based on the period to which the letting relates. Income derived from the charitable activities includes income from Parish hall and room hire. Such income is measured at the fair value of the consideration received or receivable, excluding any discounts and rebates. Income from other trading activities comprises income from the café at Pantasaph and other lettings income. Such income is accounted for on an accruals basis and measured at fair value. The surplus on the disposal of tangible fixed assets is calculated as the difference between the sale proceeds net of sale costs and the net book value of the asset immediately prior to disposal. It is accounted for once legal completion of the disposal has taken place. Other income is measured at fair value and accounted for on an accruals basis. ## **Services provided by members of the Order** For the purposes of these accounts, no value has been placed on administrative and other services provided by the members of the Order. ## **Expenditure recognition** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis. All expenses are allocated to the applicable expenditure headings. The majority of expenditure is directly attributable and any apportionment between headings is negligible. The classification between activities is as follows: - Expenditure on raising funds includes all expenditure associated with raising funds for the charity. This includes investment management fees and costs incurred in connection with the maintenance and administration of the charity’s investment properties. - Expenditure on charitable activities includes all costs associated with furthering the charitable purposes of the charity through the provision of its charitable activities. Such costs include charitable donations, direct and support costs in respect to the support of members of the Order and enabling their ministry expenditure in relation to the administering of four Parishes and related parochial activities. Any impairment charge in respect to tangible fixed assets is also included within expenditure on charitable activities. Charitable donations are made where the trustees consider there is real need following a review of the details of each particular case. 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. O.F.M. Capuchin GB Charitable Trust **36** Principal accounting policies 31 December 2022 The provision of a multi-year grant is recognised at its present value where settlement is due over more than one year from the date of the award, there are no unfulfilled performance conditions under the control of the charity that would permit the charity to avoid making the future payments, settlement is probable and the effect of the discounting is material. The discount rate used is the average rate of investment yield in the year in which the grant is made. This discount rate is regarded by the trustees as providing the most current available estimate of the opportunity cost of money reflecting the time value of money to the charity. All expenditure is stated inclusive of irrecoverable VAT. ## **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. Such costs are identifiable in respect to each charitable activity and hence they are allocated to the appropriate heading directly. There has been no apportionment between headings in the statement of financial activities. Governance costs comprise the costs involving the public accountability of the charity (including audit costs) and costs in respect to its compliance with regulation and good practice. Governance costs are included as part of the expenditure on charitable activities generally and not allocated out to specific activities. ## **Pension costs** Contributions in respect of defined contribution pension schemes and contributions to employees’ personal pension plans are charged to the statement of financial activities in the year in which they are payable to the scheme. The charity has no liability beyond making its contributions and paying across the deductions for the employees’ contributions. ## **Tangible fixed assets** All assets costing more than £2,500 with an expected life exceeding one year are capitalised. ## _**Freehold land and buildings**_ ## _Parishes_ The Parishes administered by the Province of Great Britain are entrusted to the Order’s care by the local Bishop. Although the properties used within these Parishes are owned by the charity, under Canon Law all monies collected by the Parish constitute stable patrimony of the Parish and may not be used for any other purpose. O.F.M. Capuchin GB Charitable Trust **37** Principal accounting policies 31 December 2022 ## **Tangible fixed assets** (continued) ## _**Freehold land and buildings** (continued)_ ## _Parishes (continued)_ In the event of the Order ceasing its ministry in a Parish, the trustees would consider either transferring such assets to the relevant diocese or allowing such assets to continue to be used indefinitely and rent free to meet the needs of the Parish for a church and related accommodation. Such assets are therefore excluded from the accounts. Expenditure on such properties is included in the Statement of Financial Activities as expenditure on Parish properties. The buildings consist of churches, certain presbyteries and Parish Halls and were constructed up to 160 years ago, with additions and improvements since. They are situated at Iffley Road, Oxford; Cuppin Street, Chester, Cheshire; and Carlton Road, Erith, Kent.. ## _Other land and buildings_ Both non-specialised and specialised buildings existing at 31 December 2001 and in use are shown on the balance sheet at a valuation determined by the trustees at that date with professional assistance and based on existing use. Under the transitional arrangements set out in FRS 102, this valuation is deemed to be the cost of the relevant assets as at 1 January 2014. Additions to freehold land and buildings since 1 January 2001 are stated at cost. Non-specialised buildings are those designed as, and used wholly or mainly for, private residential accommodation. Such buildings are not depreciated. Their value and condition are reviewed annually by the trustees, to confirm whether they are satisfied that the residual value is not materially less than their book value. Where the residual value is deemed to be materially less than book value, an impairment provision is made. Specialised buildings comprise the Order’s large residential friaries and buildings used for its work. Depreciation is provided at 1% per annum on a straight-line basis on completed buildings to write the buildings off over their estimated useful economic life to the Order. The estimated useful life of such buildings is deemed to be 100 years given their age and historic nature. Buildings under construction are not depreciated until such work has been completed fully. ## _**Motor vehicles, furniture and equipment**_ Such tangible fixed assets are capitalised and depreciated on a 25% reducing balance basis in order to write them off over their estimated useful lives. ## **Fixed asset investments** - Listed 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 charity does not acquire put options, derivatives or other complex financial instruments. ## **Fixed asset investments** (continued) As noted above 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 O.F.M. Capuchin GB Charitable Trust **38** Principal accounting policies 31 December 2022 investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors. - Properties held for investment purposes are included in these accounts at open market value with vacant possession. The valuation has been determined by the trustees, with professional assistance. - Mixed motive social investments are either included on the balance sheet at their fair value, or where the market price or recent transactions relating to the same asset does not provide a reliable estimate of fair value, the investment is carried at historic cost less impairment. Realised gains (or losses) on investment listed investments and investment properties are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value is acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise. ## **Debtors** Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material. ## **Cash at bank and in hand** Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Deposits for more than three months but less than 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 when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material. ## **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. ## **Leased assets** Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged on a straight-line basis over the lease term. O.F.M. Capuchin GB Charitable Trust **39** Principal accounting policies 31 December 2022 ## **Fund structure** General funds represent those monies which are freely available for application towards achieving any charitable purpose that falls within the charity’s charitable objects. The tangible fixed assets fund comprises the net book value of charity’s tangible fixed assets (excluding those held by individual Parishes), the existence of which is fundamental to the charity being able to perform its charitable work and thereby achieve its charitable objectives. The value represented by such assets should not be regarded as realisable. Designated funds comprise monies set aside out of unrestricted general funds for specific future purposes or projects. Restricted funds comprise monies raised for, or their use restricted to, a specific purpose, or contributions subject to donor imposed conditions. Non-charitable trading funds comprise the accumulated losses on the charity’s subsidiary company. ## **Pension costs** Contributions made in respect of the charity’s defined contribution scheme are charged to the statement of financial activities in the year in which they are payable to the scheme. O.F.M. Capuchin GB Charitable Trust **40** Notes to the accounts Year to 31 December 2022 ## Notes to the accounts Year to 31 December 2022 ## **1 Income from donations and legacies** ||**Unrestricted**
**funds**
**£**
**—**
**55,112**
**98,442**
**—**
**—**
**69,363**
**166,312**
**389,229**|**Restricted**
**funds**
**£**|**Total**
**2022**
**£**|Unrestricted
funds
£|Restricted
funds
£|Total
2021
£
7,800
100,889
85,685
116,482
(923)
205,238
25,469
540,640| |---|---|---|---|---|---|---| |Donations
. Appeals
. Other donations
Pensions and salaries of
individual religious received
under deed of covenant or Gift
Aid
Pastoral offerings and repository
income
. First collection
. Second collection
. Other offerings and repository
income
Legacies||**38,054**
**67,977**
**—**
**133,514**
**(804)**
**130,304**
**1,000**|**38,054**
**123,089**
**98,442**
**133,514**
**(804)**
**199,667**
**167,312**|—
23,949
85,685
—
—
54,684
23,469|7,800
76,940
—
116,482
(923)
150,554
2,000|| |||**370,045**|**759,274**|187,787|352,853|| During the year to 31 December 2019, the charity was notified that it had been named as having a residuary interest in the estate of a deceased person. However, at 31 December 2022 probate had not been granted in respect to the estate and, as such, no credit has been made in these accounts for the legacy, estimated to be approximately £40,000. ## **2 Income from investments and interest receivable** ||**Unrestricted**
**funds**
**£**|


**Restricted**
**funds**
**£**|


**Total**
**2022**
**£**|


Unrestricted
funds
£|


Restricted
funds
£|


Total
2021
£| |---|---|---|---|---|---|---| |Income from listed investments
Income from investment
properties
Interest receivable on cash
managed by investment
managers|**134,635**
**59,721**
**4,441**|
**—**
**—**
**123**|
**134,635**

**59,721**

**4,564**|
114,516

66,919

101|
—
—
123|
114,516

66,919
224| ||**198,797**|
**123**|
**198,920**|
181,536|
123|
181,659| |**Income from charitable activities**
**Unrestricted**
**funds**
**£**||


**Restricted**
**funds**
**£**|


**Total**
**2022**
**£**|


Unrestricted
funds
£|


Restricted
funds
£|


Total
2021
£| |||||||| |Parish hall and room hire|**—**|
**43,002**|
**43,002**|
—|
20,522|
20,522| ## **3 Income from charitable activities** ## **4 Income from other trading activities** ||**Unrestricted**
**funds**
**£**|


**Restricted**
**funds**
**£**|


**Total**
**2022**
**£**|


Unrestricted
funds
£|


Restricted
funds
£|


Total
2021
£| |---|---|---|---|---|---|---| |Other lettings income|**1,714**|
**—**|
**1,714**|
3,493|
—|
3,493| O.F.M. Capuchin GB Charitable Trust **41** Notes to the accounts Year to 31 December 2022 ## **5 Income from other sources** ||**Unrestricted**
**funds**
**£**
**—**
**16,939**

**—**
**(11,250)**
**5,689**|


**Restricted**
**funds**
**£**

**8,850**

**8,144**

**—**

**—**

**16,994**|


**Total**
**2022**
**£**

**8,850**

**25,083**

**—**

**(11,250**

**22,683**|


Unrestricted
funds
£|


Restricted
funds
£|


Total
2021
£| |---|---|---|---|---|---|---| |Insurance claim
Refunds and miscellaneous
income
Coronavirus job retention scheme
Forex (losses) gains||||
—

15,150

5,262
**) **
4,467|
—

6,304

7,947

—|
—

21,454

13,209

4,467| |||||
24,879|
14,251|
39,130| ## **6 Expenditure on raising funds** ||**Unrestricted**
**funds**
**£**|**Restricted**
**funds**
**£**|**Total**
**2022**
**£**|


Unrestricted
funds
£|Restricted
funds
£|Total
2021
£| |---|---|---|---|---|---|---| |Investment management costs
Investment property costs|**53,930**
**3,816**|**—**
**—**|**53,930**
**3,816**|
53,354

4,181|—
—|53,354
4,181| ||**57,746**|**—**|**57,746**|
57,535|—|57,535| ## **7 Expenditure on charitable activities** ||**Unrestricted**
**funds**
**£**|**Restricted**
**funds**
**£**|**Total**
**2022**
**£**|


Unrestricted
funds
£|Restricted
funds
£|Total
2021
£| |---|---|---|---|---|---|---| |**Support of members of the**
**Order and their ministry**
Staff costs
Premises costs
Food costs
Living and personal expenses of
friars
Formation, education and
vocation
Shrine and projects
Depreciation and impairment
Office expenses
Other costs
**Parishes and parochial**
**activities**
Staff costs
Premises costs
Parish expenses
Hall expenses
Depreciation
Administration
Other costs
**Donations (note 8)**
**Governance costs (note 9)**
**2022 total funds**|**91,841**
**204,937**
**65,215**
**277,779**
**66,630**
**—**
**76,420**
**68,566**
**2,842**|**—**
**—**
**—**
**—**
**—**
**1,547**
**—**
**—**
**—**|**91,841**
**204,937**
**65,215**

**277,779**

**66,630**
**1,547**
**76,420**
**68,566**
**2,842**|
143,292

225,719

71,953
216,224
82,411

—

81,853

73,318

6,612|—
—
—
—
—
2,696
—
—
—|143,292
225,719
71,953
216,224
82,411
2,696
81,853
73,318
6,612| ||**854,230**|**1,547**|**855,777**|
901,382|2,696|904,078| ||**—**
**—**
**—**
**—**
**—**
**—**
**—**|**42,447**
**96,278**
**82,867**
**19,825**
**14,027**
**37,548**
**9,563**|**42,447**
**96,278**
**82,867**
**19,825**
**14,027**
**37,548**
**9,563**|
—

—

—

—

—

—

—|30,005
90,202
48,650
16,876
12,838
28,932
2,526|30,005
90,202
48,650
16,876
12,838
28,932
2,526| ||**—**|**302,555**|**302,555**|
—|230,029|230,029| ||**101,614**
**96,524**|**55,567**
**—**|**157,181**
**96,524**|
33,856

103,864|45,915
—|79,771
103,864| ||**1,052,368**|**359,669**|**1,412,037**|
1,039,102|278,640|1,317,742| O.F.M. Capuchin GB Charitable Trust **42** Notes to the accounts Year to 31 December 2022 ## **8 Donations** |**Donations**||||||| |---|---|---|---|---|---|---| ||**Unrestricted**
**funds**
**£**|**Restricted**
**funds**
**£**|**Total**
**2022**
**£**|


Unrestricted
funds
£|


Restricted
funds
£|


Total
2021
£| |**Donations to institutions**
Contributions to the
Archdiocese/Diocese of:
. Birmingham
. Southwark
Aid to the Church in Need
Boni Pastors
Capuchin Custody of Ukraine
Capuchin Province Warsaw
Capuchin Tertiary Sisters, Sri
Lanka
Capuchin Custody of Belarus
Capuchin Soupkit
Cuidad Los Ninos; Capuchin of
Peru
Delegation of GB
Franciscan International Geneva
Franciscan Sisters
International Fraternal
Collaboration Province of St
Fidelis India
Pavanatma Formation
OFM Capuchin Goa
San Tome
St Fidelis Primary School
Team 8 Legion
Ukraine Formation
University of Durham – Postal
Doctoral Thesis
Veronica Guiliani Fund
Warsaw Missions
Warsaw Province – Renovation
of the Provincial Curia
Other donations to institutions
including second collections
Donations to individuals|**—**
**—**
**—**
**20,000**
**10,015**
**—**
**4,015**
**—**
**8,015**
**—**
**25,015**
**—**
**1,015**
**—**
**4,015**
**1,515**
**—**
**—**
**—**
**615**
**—**
**5,000**
**1,354**
**19,330**
**1,710**|**7,848**
**28,780**
**—**
**—**
**—**
**—**
**2,015**
**—**
**—**
**—**
**—**
**—**
**—**
**—**
**—**
**—**
**1,200**
**—**
**2,015**
**—**
**2,888**
**—**
**1,212**
**—**
**9,609**|
**7,848**

**28,780**
**—**
**20,000**
**10,015**
**—**

**6,030**
**—**
**8,015**

**—**
**25,015**
**—**
**1,015**
**—**
**4,015**
**1,515**
**1,200**
**—**
**2,015**
**615**
**2,888**
**5,000**
**2,566**

**19,330**

**11,319**|
—

—

—

—

—

2,510
5,280

4,015

—
—

—

10,015

—

5,015

—

—

—

1,000

—

—
—

—

—
—
5,426|
3,500

24,722

500

—

1,400

—
4,015

—

—
5,000

—

—

—

—

—

—

—

—

—

—

—

—

2,500
—
4,006|
3,500

24,722

500

—

1,400

2,510
9,295

4,015

—
5,000

—

10,015

—

5,015

—

—

—

1,000

—
—

—

—

2,500
—
9,432| ||**101,614**
**—**|**55,567**
**—**|
**157,181**

**—**|33,261
595|45,643
272|78,904
867| ||**101,614**|**55,567**|**157,181**|
33,856|
45,915|
79,771| |**Governance costs**|**Unrestricted**
**funds**
**£**|**Restricted**
**funds**
**£**|**Total**
**2022**
**£**|


Unrestricted
funds
£|


Restricted
funds
£|


Total
2021
£| |Consultancy fees
Other professional fees|**44,212**
**52,312**|**—**
**—**|**44,212**
**52,312**|
36,987

66,877|
—

—|
36,987

66,877| ||**96,524**|**—**|**96,524**|
103,864|
—|
103,864| ## **9 Governance costs** O.F.M. Capuchin GB Charitable Trust **43** Notes to the accounts Year to 31 December 2022 ## **10 Net (expenditure) income** |**Net (expenditure) income**||| |---|---|---| ||**2022**
**£**|2021
£| |This is stated after charging:
Staff costs (note 11)
Auditor’s remuneration (including VAT)
. Statutory audit services
. Non-audit services
Gain on disposal of fixed assets (note 13)
Depreciation(note 13)|**112,915**
**24,198**
**4,812**
**99,408**
**90,516**|173,297
20,750
4,008
—
94,691| ## **11 Staff costs and remuneration of key management personnel** Staff costs during the year were as follows: ||**2022**
**£**|2021
£| |---|---|---| |Wages and salaries
Social security costs
Pension costs
Redundancy payments|**106,260**
**1,674**
**4,981**
**—**|141,422
2,852
5,033
23,990| ||**112,915**|173,297| The average number of employees during the year, analysed by function, was as follows: ||**2022**
**Number**|2021
Number| |---|---|---| |Parish
Support
Shop, Café and Retreat Centre|**3**
**5**
**—**|3
8
1| ||**8**|12| No employee earned more than £60,000 per annum (including taxable benefits but excluding employer pension contributions) during the year (2021 – none). The key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day-to-day basis comprise the trustees (including the Provincial Minister/Provincial Bursar). The key management personnel of the subsidiary company comprise the directors. The trustees (including the Provincial Minister/Provincial Bursar) are all members of the Order and whilst their living and personal expenses are borne by the charity, they receive no remuneration or reimbursement of expenses in connection with their duties to the charity (2021 – £nil). ## **12 Taxation** Order of Friars Minor Capuchin Province of Great Britain Charitable Trust is a registered charity and, therefore, is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities. O.F.M. Capuchin GB Charitable Trust **44** Notes to the accounts Year to 31 December 2022 ## **13 Tangible fixed assets** |**Tangible fixed assets**||||| |---|---|---|---|---| ||Freehold land|and buildings|Motor,
vehicles,
furniture &
equipment
£|**Total**
**£**| ||Specialised
£|Non-
specialised
£||| |**Cost or deemed cost**
At 1 January 2022
Additions
Disposals
At 31 December 2022
Cost
Deemed cost – 2001 valuation
Disposal
**Depreciation**
At 1 January 2022
Charge for year
Disposals
At 31 December 2022
**Net book values**
At 31 December 2022
At 31 December 2021|6,285,686
—
(458,000)|305,913
—
(280,913)|770,603
14,858
—|**7,362,202**
**14,858**
**(738,913)**| ||5,827,686|25,000|785,461|**6,638,147**| ||2,131,213
4,154,473
(458,000)|18,913
287,000
(280,913)|785,461
—
—|**2,935,587**
**4,441,473**
**(738,913)**| ||5,827,686|25,000|785,461|**6,638,147**| ||1,321,650
62,857
(283,481)|54,840
—
(54,840)|703,939
27,659
—|**2,080,429**
**90,516**
**(338,321)**| ||1,101,026|—|731,598|**1,832,624**| ||**4,726,660**|**25,000**|**53,863**|**4,805,523**| ||4,964,036|251,073|66,664|5,281,773| The Parishes administered by the Province of Great Britain are entrusted to the Order’s care by the local Bishop. Although the properties used within these Parishes are owned by the charity, under Canon Law all monies collected by the Parish constitute stable patrimony of the Parish and may not be used for any other purpose. In the event of the Order ceasing its ministry in a Parish, the trustees would consider themselves obliged to allow such assets to continue to be used indefinitely and rent free to meet the needs of the Parish for a church and related accommodation. Such assets are therefore excluded from the accounts. Expenditure on such properties is included in the Statement of Financial Activities when incurred. The buildings consist of churches, presbyteries and Parish halls and were constructed up to 100 years ago, with additions and improvements since. They are situated at Iffley Road, Oxford; Cuppin Street, Chester, Cheshire; and Carlton Road, Erith, Kent. The book value of other specialised and non-specialised land and buildings held at 31 December 2001 is based on a trustees’ valuation made in 2001 with professional assistance and under the transitional arrangements set out in FRS 102 is deemed to be equal to cost. Subsequent additions and other tangible fixed assets are stated at cost. An impairment charge was recognised in 2019 in respect to elements of the charity’s estate in Pantasaph. Pantasaph which was sold to the Vincentian Congregation on 25 February 2022 and the carrying value realised. It is likely that there are material differences between the open market values of the charity’s other land and buildings and their book values. These arise from the specialised nature of some properties and the effects of inflation. The amount of such differences cannot be ascertained without incurring significant costs, which, in the opinion of trustees, is not justified in terms of the benefit to the users of the accounts. O.F.M. Capuchin GB Charitable Trust **45** Notes to the accounts Year to 31 December 2022 ## **14 Investments** |**Investments**||| |---|---|---| ||**2022**
**£**|2021
£| |Listed investments and cash held for re-investment (note a)
Mixed motive social investments (note b)
Investment properties (note c)
Investment in subsidiary company (note d)|**7,438,145**
**—**
**2,895,000**
**—**|8,650,016
101,210
2,895,000
—| ||**10,333,145**|11,646,226| |**a)**
**Listed investments and cash held for reinvestment**|**2022**
**£**|2021
£| |**Listed investments**
Market value at 1 January 2022
Additions at cost
Disposal proceeds
Realised losses
Disposals at opening book value
Net unrealised (losses) gains
Market value at 31 December 2022
**Cash held by investment manager for re-investment**
Cost of listed investments at 31 December 2022|**7,832,241**
**2,381,743**|6,898,572
1,366,736| ||**(2,393,990)**
**(21,551)**|(1,386,422)
61,796| ||**(2,415,541)**|(1,324,626)| ||**(907,910)**|891,559| ||**6,890,533**
**547,612**|7,832,241
817,775| ||**7,438,145**|8,650,016| ||**6,330,876**|5,688,535| Listed investments held at 31 December 2022 comprised the following: ||**2022**
**£**|2021
£| |---|---|---| |Bonds
Common investment funds
UK equities
Overseas equities
Alternative investments|**1,024,100**
**—**
**443,225**
**4,916,923**
**506,285**|563,595
—
472,538
5,800,952
995,156| ||**6,890,533**|7,832,241| No individual investment held at 31 December 2022 is considered to be significant in the context of the aggregate value of listed investments at the same date. |**b)**
**Mixed motive social investments**|**2022**
**£**|2021
£| |---|---|---| |At 1 January 2022
Disposals
At 31 December 2022|**101,210**
**(101,210)**|101,210
—| ||**—**|101,210| The mixed motive social investment represented deposits with Oikocredit International Share Foundation (Oikocredit). O.F.M. Capuchin GB Charitable Trust **46** Notes to the accounts Year to 31 December 2022 ## **14 Investments** (continued) |**c)**
**Investment properties**|**2022**
**£**
**2,895,000**
**—**
**2,895,000**|2021
£
2,346,000
549,000
2,895,000| |---|---|---| |**Investment properties**
Market value at 1 January 2022
Net unrealised gains
Market value at 31 December 2022||| Investment properties comprise land and buildings of Scotus House, 167 Iffley Road, Oxford; Brindisi House, 184 Iffley Road, Oxford; St Philomena’s, Monastery Road, Pantasaph, Holywell; and St Philip’s, Monastery Road, Pantasaph, Holywell. The properties are included on the balance sheet at an estimate of their open market value with vacant possession. All four properties were professionally valued during the year ended 31 December 2021, and the above carrying value reflects the valuation as provided at that date. ## **d) Investment in subsidiary company** The charity held 100% of the issued share capital of £1 of OFM Capuchin Trading Limited. This holding was acquired on incorporation of the company on 24 January 2018. Following a decision by the Trustees to wind down and strike off the trading subsidiary, there was no activity in OFM Capuchin Trading Limited during the years to 31 December 2022 or 31 December 2021. The trading subsidiary was dissolved on 1 February 2022. ## **15 Debtors** |**Debtors**||| |---|---|---| ||**2022**
**£**|2021
£| |Amounts falling due within one year
. Tax recoverable on Gift Aid donations
. Prepayments and accrued income
Amounts falling due after one year
. Proceeds from disposal of freehold properties (see below)
Total debtors|**10,952**
**160,027**|9,402
—| ||**170,979**
**400,000**|9,402
—| ||**570,979**|9,402| In 2022, the charity disposed of freehold property in Pantasaph, Wales, for agreed proceeds of £500,000. Under the agreed payment schedule £100,000 was received prior to 31 December 2022. The balance will be received in annual instalments of £40,000 for 10 years commencing in 2025. ## **16 Creditors: amounts falling due within one year** |**Creditors: amounts falling due within one year**||| |---|---|---| ||**2022**
**£**|2021
£| |Accruals and other creditors
Grants and donations payable|**95,017**
**70,486**|90,495
64,757| ||**165,503**|155,252| O.F.M. Capuchin GB Charitable Trust **47** Notes to the accounts Year to 31 December 2022 ## **17 Creditors: amounts falling due in more than one year** |**s: amounts falling due in more than one year**||| |---|---|---| ||**2022**
**£**|2021
£| |Donationspayable|**—**|70,486| ## **18 Restricted funds** The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust to be applied for specific purposes. |**At 31 December 2022**|**At 1**
**January**
**2021**
**£**|**Income**
**and**
**investment**
**gains**
**£**|**Expenditure**
**and**
**transfers**
**£**|**At 31**
**December**
**2022**
**£**| |---|---|---|---|---| |Parish funds
Capuchin Missions fund
National Shrine of Saint Pio fund
Secular Franciscan Order fund
Charity fund
Mary Barrett Legacy fund
Pious Union
SAG
Pantasaph – Statues
Other funds|**933,799**
**27,394**
**26,176**
**365**
**30,489**
**9,075**
**11,979**
**3,412**
**25,000**
**9,642**|**372,983**
**6,651**
**—**
**—**
**2,278**
**—**
**6,243**
**—**
**—**
**1,203**|**(430,288)**
**(451)**
**(1,547)**
**—**
**(3,311)**
**(3,530)**
**—**
**—**
**—**
**(10,845)**|
**876,494**

**33,594**

**24,629**
**365**

**29,456**

**5,545**
**18,222**
**3,412**
**25,000**
**—**| ||**1,077,331**|**389,358**|**(449,972)**|**1,016,717**| |_At 31 December 2021_|_At 1_
_January 2021_
_£_|_Income_
_and_
_investment_
_gains_
_£_|_Expenditure_
_and_
_transfers_
_£_|_At 31_
_December_
_2021_
_£_| |---|---|---|---|---| |_Parish funds_
_Capuchin Missions fund_
_National Shrine of Saint Pio fund_
_Secular Franciscan Order fund_
_Charity fund_
_Mary Barrett Legacy fund_
_Pious Union_
_SAG_
_Pantasaph – Statues_
_Other funds_|_897,741_
_24,861_
_28,872_
_365_
_35,370_
_12,350_
_8,451_
_1,582_
_—_
_9,138_|_402,283_
_8,940_
_—_
_—_
_4,710_
_—_
_3,528_
_1,830_
_25,000_
_1,800_|_(366,225)_
_(6,407)_
_(2,696)_
_—_
_(9,591)_
_(3,275)_
_—_
_—_
_—_
_(1,296)_|
_933,799_

_27,394_

_26,176_
_365_

_30,489_

_9,075_
_11,979_
_3,412_
_25,000_
_9,642_| ||_1,018,730_|_448,091_|_(389,490)_|_1,077,331_| The specific purposes for which those funds with significant balances are to be applied are as follows: ##  Parish funds Parish funds comprise monies to be applied towards specific Parishes and parochial activities. The transfers from restricted Parish funds to unrestricted funds represent the reimbursement of expenditure charged against the unrestricted funds in respect to parochial activities and duties by members of the order. O.F.M. Capuchin GB Charitable Trust **48** ## Notes to the accounts Year to 31 December 2022 ## **18 Restricted funds** (continued) ##  Capuchin Missions fund The Capuchin missions fund consists of donations given to support missionary and other work carried out by members of the Order overseas. -  National Shrine of Saint Pio fund This fund is for the upkeep of the Shrine together with the running of the Pilgrimage Hall.  Secular Franciscan Order fund This fund provides resources for specialism in the spirituality of St Francis in conjunction with the normal Christian way of life. -  Charity fund (previously Starving fund) This fund comprises money collected specifically for distribution in order to assist the starving people of the world. -  Mary Barrett Legacy fund This fund comprises of a legacy from the estate of Mary Barrett deceased which is to be applied towards the celebration of Mass. For each mass celebrated, a transfer is made from the restricted fund to the charity’s general unrestricted fund at a notional rate in recognition of the fact that the conditions attached to the initial donation have been partially discharged. ## **19 Tangible fixed assets fund** |**Tangible fixed assets fund**||| |---|---|---| ||**2022**
**£**|2021
£| |At 1 January 2022
Net movement in year
At 31 December 2022|**5,251,296**
**(477,081)**|5,340,544
(89,248)| ||**4,774,215**|5,251,296| The tangible fixed assets fund represents the net book value of the charity’s tangible fixed assets other than the assets of the Parishes, which are included in restricted funds. A decision was made to separate this fund from the general funds of the charity in recognition of the fact that the tangible fixed assets are essential to the day to day work of the charity and as such their value should not be regarded as funds that might be realisable with ease, in order to meet future contingencies. ## **20 Designated funds** The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes. |**At 31 December 2022**|**At**
**1 January**
**2022**
**£**|**Utilised or**
**released**
**£**|**New**
**designations**
**£**|**At 31**
**December**
**2022**
**£**| |---|---|---|---|---| |Care of elderly and infirm friars fund
Donations fund|**6,000,000**
**1,937,002**|
**—**

**—**|**—**
**(100,310) **|**6,000,000**
**1,836,692**| ||**7,937,002**|
**—**|**(100,310) **|**7,836,692**| O.F.M. Capuchin GB Charitable Trust **49** Notes to the accounts Year to 31 December 2022 ## **20 Designated funds** (continued) |**Designated funds**(continued)||||| |---|---|---|---|---| |_At 31 December 2021_|_At_
_1 January_
_2021_
_£_|_Utilised or_
_released_
_£_
_—_
_—_
_—_|_New_
_designations_
_£_|_At 31_
_December_
_2021_
_£_| |_Care of elderly and infirm friars fund_
_Donations fund_|_6,000,000_
_1,966,658_||_—_
_(29,656)_|_6,000,000_
_1,937,002_| ||_7,966,658_||_(29,656)_|_7,937,002_| The purposes for which these funds have been set aside are as follows: -  Care of elderly and infirm friars fund This fund comprises monies set aside to finance the care of friars for the remainder of their lives as they serve as members of the Order. -  Donations fund This fund comprises monies set aside to finance donations to other organisations and, in particular, the overseas missions of the Order. ## **21 Analysis of net assets between funds** ||**General**
**funds**
**£**|**Tangible**
**fixed assets**
**funds**
**£**|**Designated**
**funds**
**£**|**Restricted**
**funds**
**£**|**Total**
**2022**
**£**| |---|---|---|---|---|---| |**Fund balances at 31 December 2022**
**are represented by:**
Tangible fixed assets
Investments
Net current assets
**Total net assets**|**—**
**2,116,953**
**467,548**|**4,774,215**
**—**
**—**|**—**
**7,836,692**
**—**|**31,308**
**379,500**
**605,909**|**4,805,523**
**10,333,145**
**1,073,457**| ||**2,584,501**|**4,774,215**|**7,836,692**|**1,016,717**|**16,212,125**| ||_General_
_funds_
_£_|_Tangible_
_fixed assets_
_funds_
_£_|_Designated_
_funds_
_£_|_Restricted_
_funds_
_£_|_Total_
_2021_
_£_| |---|---|---|---|---|---| |_Fund balances at 31 December 2021_
_are represented by:_
_Tangible fixed assets_
_Investments_
_Net current assets_
_Non-current liabilities_
_Total net assets_|_—_
_3,349,260_
_(58,035)_
_(70,486)_|_5,251,296_
_—_
_—_
_—_|_—_
_7,937,002_
_—_
_—_|_30,477_
_359,964_
_686,890_
_—_|_5,281,773_
_11,646,226_
_628,855_
_(70,486)_| ||_3,220,739_|_5,251,296_|_7,937,002_|_1,077,331_|_17,486,368_| O.F.M. Capuchin GB Charitable Trust **50** Notes to the accounts Year to 31 December 2022 ## **21 Analysis of net assets between funds** (continued) The total unrealised gains as at 31 December 2022 constitutes movements on revaluation and are as follows: |**Charity**|**2022**
**£**|2021
£| |---|---|---| |**Unrealised gains included above:**
On listed investments
On investment properties
**Total unrealised gains at 31 December 2022**
**Reconciliation of movements in unrealised gains**
Unrealised gains at 1 January 2022
Less: in respect to disposals of listed investments
Add: net (losses) gains arising on the revaluation of listed investments
Add: net gains arising on the revaluation of investment properties
**Total unrealisedgains at 31 December 2022**|**1,173,243**
**2,162,872**|2,143,706
2,162,872| ||**3,336,115**|4,306,578| ||**4,306,578**
**(62,553)**|3,279,760
(413,742)| ||**4,244,025**
**(907,910)**
**—**|2,866,018
891,560
549,000| ||**3,336,115**|4,306,578| ## **22 Ultimate control** The charity was controlled throughout the year by the British Province of the Order of Friars Minor Capuchin, members of which elect the Provincial Minister and the four councillors all of whom are trustees of the charity under civil law. The Province does not hold any assets, incur liabilities or enter into any transactions in its own right. Responsibility for the stewardship of the assets of the Province is vested in the trustees of the charity, who undertake all transactions entered into in the course of the Province’s charitable activities. ## **23 Related party transactions** The total value of donations made by the trustees and the Provincial Bursar to the charity during the year was £7,917 (2021 – £8,783), being pensions and salaries donated to the charity under Gift Aid. The charity incurred £nil (2021 – £nil) of staff costs on behalf of its trading subsidiary, OFM Capuchin Trading Limited, in the year ended 31 December 2022. As at 31 December 2021, the charity owed its subsidiary £nil. The subsidiary was dissolved on 1 February 2022. There were no other related party transactions requiring disclosure during the financial year (2021 – none). ## **24 Operating lease commitments** At 31 December the charity had total future minimum lease payments in respect to motor vehicles under non-cancellable operating leases as follows: ||**2022**
**£**|2021
£| |---|---|---| |Amounts payable
. Within one year
. Between two and five years (inclusive)|**3,391**
**3,957**|3,391
7,348| ||**7,348**|10,793| O.F.M. Capuchin GB Charitable Trust **51** Notes to the accounts Year to 31 December 2022 ## **25 Post Balance Sheet Event** As reported in the accounts the Trustees began marketing two cottages in Pantasaph, North Wales in November 2022. Because of current marketing conditions; inflation rises; mortgage rises and a softening of the housing market the Trustees lowered to asking price of both houses. St Philomena’s Cottage is subject to offer and contract; the other St Philip’s has had no substantive offer at present. The Trustees are seeking professional advice on the best strategy for this property. **Images: Thank you to those involved in the work of the Delegation and others for sharing images for use in this report.** O.F.M. Capuchin GB Charitable Trust **52**