REGISTERED COMPANY NUMBER= 00772489 IEngland and Walesl REGISTERED CHARITY NUMBER.. 231852 Trustees, Re ortand Financial Statements forthe Year Ended 30th Se tember 2024 Abb ield Dulwich Socie Acom Limited Limited The Guarantee Barnes Noble Ltd Unitec House 2 Albert Place London N3 IQB Abb ield Dulwich SoEie Lirnited he Contents of the Flnanclal Statements forthe Year Ended 30th Se ember 2024 Page Reference and admini51rative details Trustees. report Independent examiner'$ ￿P Statement of financial activities ststement of financlal posltlon 9 to 10 smernent of¢ash flows li Notesto the statement of cash flows 12 Notesto the financial statements 13 to 24 Detsiled statement of financial activitie5 25 to 26 Abb ield Dulwich SoEie Lirnited he Reference and Admlnlstratfve Detalls forthe Year Ended 30th Se ember 2024 Trustees Mr G I P Abbott Mr P AA Barber Mr A Butler Mrs A J De Rohan Dr C Gerskowitch lappointed 12111120231 Mrs J E Ross-macdonald Registered office 91 Stradella Road Londo SE24 9HL Re8istered ¢ompany number 00772489 (England and Wales) Registered charity number 231852 Imdepemdent examiner Barnes Noble Ltd Unitec House 2 Albert Pl3 London N3 IQB Pège I Abb ield Dulwich SoEie Lirnited he Trustees. Re forthe Year Ended 30th Se ember 2024 The trustees who are also directors of the charity for the purposes of the Companies Act 2ffl6, present their report with the financial statements of the ch3rlty for the year ended 30th September 2024. The trustees have adopted the provislons of Accountlng and Reporting by Charitiès.. StatemÈnt of RÈcommÈnded PracticÈ applicable to tharitiès prÈparing their accounts in attordancÈ with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland IFRS 1021 (effective l J3nuary 20191- Trustees and olllcers The trustees and officers serving duringtheyearand since the year end were as follows: Tru5tee5'. MrGJPAbbott Mr P A A Barber MrA Butler Mrs AJ De Rohan Dr C Gerskowitch (appointed 12111120231 Mr5 J E Ross-Macdon3ld Mr A D G Hill Iresigned on 03/11120231 Chairman.. Mr P A A Barber Since the Company qualifies a5 small under Section 383 of the Companies Act 2006, the Strategic Report required of medium and 13rge companies under the Companies Act 200615trategic Report and Directors, Report) Regulations 2013 has been omitted. Pège 2 Abb ield Dulwich SoEie Lirnited he Trustees. Re forthe Year Ended 30th Se ember 2024 Strategic report structure* govemance and management Constltutlon The company is rÈgistered as a charitablÈ company limited by zu3rantÈÉ and was set up by a Memorandum and ArtitlÈs of A550ciation on 20 August 1963. The principal object of the company Is the establishment and management of houses for the elderly in accordance with the zim5 and principles of The Abbeyfield Society Limited. Recruitment and appointment of trustees The rnanagement of the company is the responsibility of the Trustees who are elected and co-opted under the te￿5 of the Article5 of A55ociation. Inductlon and tralnlng of trustees Beyond basic indurtion procedures, no formal training is provided. However, the Chairman has ertensive senior commercial experience and one of the Tru5tee5 IA Butlerl 15 a Kinds Counsel. The Treasurer, Roger Humbles, ran B succe55ful bu5ine55 as 3 pharmacist for many years. OrBanlsatlonal structure The Trustees Committee Is responsible for the supervislon of the company's attivitles. Because several of the members of the Trustees Committee are also members of the House Cornmittee, the Trustees Cotnmittee only tends to meet when there ère policv decisions to be Made, governance issue5 to be 3ddre55ed or accounts to be approved or six monthly, should there be no pressing reason to meet ad hoc. Full minutes of the meetings are circulated to the Trustees who are all voluntary. They are also updated by email for lower level matters during the course of the year. The management of the House is the responsibility of the House Committee which meets every four weeks. The House normally has two housekeepers. They are on duty four days on, four days off and mirror each other's schedule. The House is able to call on relief housekeepers if one of the main housekeepers is sick or on holiday. The housekeepers report to 3 S81aried House Manager, Deli8 Nicholls. Ms Nicholls has been in post since May 2020 and reportsto the chair of the TrusteÈs. Risk management Following the recommendations and in compliance with the core standards of the company's umbrella body, The Abbeyfield Society, volunteers ￿rrY out 8 health and safety risk assessment at the house each ye8r and regularly review support p18ns for the residents. making reports to the House Committee. The House commlttee regularly revlew the Rlsk RegSster at their meetlngs. The Trustees have assessed the malor risks to whlch the company is exposed, in particular those related to pastoral ¢are of very frail residents and in the management of the House to ensure that it Is a safe environment and are satisfied th3t the systems and procedure5 are in place to rnitig3te exposure to rn3jor risks. In assessing the major risks the Trustees have also tsken into account the particular need for financial control and are satisfied that the proceduresthey have in place are sufficiently robust. Objertives and acti￿leS Objectives and aims The company is a Registered 5oci81 L8ndlord and its principal 8Ctivity is to provide accommodation and support for lonely and active elderly persons in accordènce with the aims and principles of The AbbeyField Society Lirnited. In setting objective5 and planning for 3ctivitie5, the Trustee5 have given due consideration to general guidance published by the Charity Commission relating to public benefit, Including the guidance'Public benefit.. running a charity IP821'. Pège 3 Abb ield Dulwich SoEie Lirnited he Trustees. Re forthe Year Ended 30th Se ember 2024 The aim of the Executive Committee 15 to achieve full occupancy. Notwithstanding long periods when the House is fvlly occupied, applicants for places are still sought and successful applicants added to a waiting list. Where applicants are looking for extra care, which the company Is unable to provlde, they are referred to exrra care homes In the vlcinlty. Introduclion Once again our ye3r h35 been busy with a variety of activities a huge marketing push to try to fill two v3c3ncies. There has also been a much more significant need to carry out refurbishment and repair projects and this has meant that our staff and volunteers have been working very hard. More detail is set out In the text below. Overall, AbbeyField Dulwich continues to be a kindly. efficient and caring organisation, with dedicated and well organised staff and volunteers. Resldents We have seen some slgnlficant changes to our resident population in the last year and this trend has contlnued until the most recent months. We had five residents lout of seven flatletsl at the end of our Financial Year. We introduced as mèny external visits and attivities as we could to add in extra interest to enh8nce the overall 8tmosphere in the House. To assist in the 51nooth-running of the house we have introduced a Quarterly House Meeting that Delia (House Man38erl and Paul Ichairl attend with the resident5. This discipline a150 helps Wlth the requirement5 of the Housing Ombudsman. The Housekeepers are also Invited to attend when their duties allow. At these meetings we listen to residents, ideas about the House In a more formal context and hear what they might like to change or improve. It has also been a good forum to exp18in any projerts we believÈ should be progres*d and thereby supports the attivities that the House Committee undertake. Minutes are taken and iirculated to all. Health Several of our residents have longer term chronic illnesses which will result in their moving on from our House. These situations are m8naged with each resident 8nd their fèmilylsponsor in a swnpathetic and constructive manner. Vacanry management We continue to receive enquirie5 from prospective residents and market Abbeyrield Dulwich's offer locally as this h35 been the best Source of new leads. We operate a waiting list and interact regularlywith candidates on that list. staffing Our housekeepers, Pauline and Karen, continued to provide very good information and ideas to support the welfare of our residents. The stèndard of the meals thèt they prepare is excellent and the response by the residents Is very f3vourable. Both HKS att as 'eyes and ears, on any particular issues that are Coming up and have been instrumental in smoothing over the tensions mentioned above. Delia, our Hou* Manager, h35 been working very hard this year dealing with rnuch of the burden to manage the changeover of flatlet5 from one resident to another. The general 3dmini5tr3tion for the charity is 3150 very extensive and so my thanks to her, in particular, for her positive and constructive approach to all these tasks. Buildings We have a numberof projettsthat we have completed or are considering forthe House.. These are.. Completed. Re-laying the paving in the front garden of number 9150 that it 15 level and provides a better surface and setting for the bench that residents use Planned. Building a mobility scooters store in part of the front garden of number 89 Planned. Building a store space to the right of number 89 in the section of land that is part of our demesne. Cornpleted. Refurbishing the centrBI heating 5y5tem and removingthe roof-mounted water tanks which are at end ol lrfe. Completed. Replacing the cooker and extractor in the kitchen lend of lifel TBC. No timeline at present. Replacing the concrete-panelled shed in the garden with 3 modern garden shed Further options will also Include a full re-roofing of both houses, a garden room at the end of number 91's 83rden and the potential for the creation of more spate on the £round floor of number 91 with an in-fill extension Planned. Full redecoration of the outside of the House. Pège 4 Abb ield Dulwich SoEie Lirnited he Trustees. Re forthe Year Ended 30th Se ember 2024 Planned. Remedial workto the roof. Please see a note In Flnances below on fundlng forthese Irems. Finance5 Our financial p051tion remains Stable despite the void periods noted above. This is because our investments with Rathbones are producing a good return and these sums bridge the gap in our rental income. Thank you to Glyn Abbott for managing these investments. Roger Humbles has produced a budget for 2024125 and it has been approved by all the Trustees. ￿ always, this has been an exercise which he h45 ￿rrIed out with a great deal of thoughtfulness and diligence. As 8 particular note to this budget it should be highlighted that we 8re only budgeting for a IO% void in our room occup8ncy next year. Although the actual vacancy % is closer to 28%, we note that the Regulator of Soclal Housing Ilmits our ablllty to ralse funds vSa rents to CPI plus 1%. We will establish a development fund during the year to finance buildings projects. Thi5 sum of £IOOk has been the source of fund5 for the projects above and Is part of the legacy received from Frank Ralfe, 3 former Trustee. We were fortunate to receive 3 large legacy from his estate of E462,565 in December 2023 which has enabled us to plan these improvements to our premises and fèciliries. It has allowed us to consider investing in the offer and the fabric of the buildings aside from the regular income from our Rathbones investments. GA, RH and I continued to monitor our Rathbones investment profile to decide whether to reduce our risk rating. Whilst we are not significantly exposed, we do wish to man8ge our market investments so that we can preserve our values as much as possible for the longer term. Investing in our staff, the 2023124 accounts a150 show £4,437 for Delia's law iour5e Iwith a Sum of £8,886 planned in 20241251- Thi5 will a150 allow the charity to better understand the latest and best methods of governance in the sector as well as providing valuable continuing professional development for her. We remained vigilant on costs this last year and reminded residents and Housekeepers to practice good enew management in particular. We have reviewed the budget and actual at the House Committee monthly meetings and have tsken correttive action if needed. Abbeyneld England We remain affiliated to Abbeffield England, as it Is now known, following a reorganisation and restructure. Events Games and jigsaws sessions have taken place most weeks. These are supported by volunteers and a￿ welcomed by a core of residents. We had 3 Small 5umrner party in july for residents, familie5 and volunteer5 and it was notable for the rel3Ked atmosphere and friendliness. House Committee Thanks, as always, EO to the HC for their generous and kind support of Abbeyfield Dulwich. Offering their tirne, enerEy and good thinking help5 US to provide our5ervice5 to a high standard. Pège S Inde Abbe endent Examiner'5 Re eld t￿lw1(h Soci rttothe Trusteesof mited Independentexamimer's reporttothe trustees of Abbeyfield Dulwich Society LimitedlThel I the COM￿NY,) I report tothe charitytrustee5 on my examination of the accounts of the Company forthe year ended 30th September 2024. Responslbilltles and basls of report the ch3rlty'S trustees of the Company land also Its dirertors for the purposes of company lawl you are responsible for the preparation of the attounts in actordante with the rÈquirements of the CompaniÈs Att 20061'thÈ 20D6 Att'l. Having satlsfied myself that the accounts of the Company Bre not required to be audited under Part 16 of the 2CXJ6 Act 3nd are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 1.the 2011 Act'l. In carrying out my examination I have followed the Directions given by the Charity Commlssion under Sectlon 145151 Ibl of the 2011 Act. Independertexaminer'5 Statement Since your charity'5 gro55 income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that l am qualified to undert8ke the examination because l am a member of the Institute of Chartered Accountants in England and W81es. which is one of the Ilsted bodies. I have completed rny exarnination. I confirm that no matters have come to rny Bttention in connection with the exarnination giving me cause to believe.. accounting records were not kept in respect of the Company as required by Section 386 of the 2ffl6 Act., or the accounts do not 3ccord with those records,. or the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirernent that the accounts give a true and f4irview which is not a matterconsidered 45 part of an independent e¥arnin4tion,' or the accounts have not been prepared in accordance with the method5 and principles of the Statement of Recommended Practice for accounting and reporting by charities lapplicable to charities preparing their 8ccounts in accordance with the Financi81 Reporting Standard appIl￿ble in the UK and Republic of Ireland IFRS 10211. I have no concern5 and h3ve come across no other rnatter5 in connection with the examination to which attention should be drawn i this report in orderto enable a proper understanding of the accounts to be reached. Romit Basu FCA (Senior Statutory Auditor) The Institute of Chartered Accountant5 in England and Wile5 Barnes Noble Ltd Unitec House 2 AlbÈrt Pla London N3 IQB Date.. Page 7 Abb ield Dulwich SoEie Lirnited he Statement of Flnanclal Actlvltles forthe Year Ended 30th Se ember 2024 2024 Total fvnds 2023 Totsl funds Unrestrirted fund Restrided fund Notes Intome and endowmentsfrom Donation5 and legacie5 462,665 462,665 135,921 135,921 32,506 2,379 136,067 30,849 932 Investment income Other income 32,506 2,379 Total 600,965 32,506 633,471 167,848 Expendlture on Raising funds 183,588 183,588 169,219 Charitable activities 8,553 8.553 8,654 Tffjal 192,141 192,141 177,873 Net gains on investments 75,914 75,914 62,055 NET INCOME 484,738 32,506 517,244 52.030 Reconciliation of funds Tot31 fijnds brought forward 1,375,682 372,706 1.748,388 1,696,358 Total fund5 carried forward 1,860,420 405,212 2,265,632 1,748,388 The notes form part of these financial statements PagÈ 8 Abb ield Dulwich SoEie Lirnited he Statement of Cash Flows forthe Year Ended 30th Se ember 2024 2024 2023 Notes Cash flowsfrom operatlng artl¥ltles Cash gÈneratÈd from operations 444,421 168,016 Net ￿5h provided by operating activities 444,421 168,016 Cash flowsfrom Investlng Purchase of tangible fixed assets Purchase of IiKed asset investments Sale of fixed 355et inve5tment5 Interest received 133,5551 1114.2361 104,511 32,506 1846,7591 1301,7581 895,294 30,849 Net cash used in investing attiwties 110,7741 1222,3741 Change In cash and cash equlvalents In the reporting period Cash and tash equivalents at the beBinning of the reporting period 433,647 154.3581 220,463 274,821 Cash and Cash equlvalents at the end of the reporting period 654,110 220,463 The note5 form part of these financi31 statements Page 11 Abb ield Dulwich SoEie Lirnited he Notesto the Ststement of Cash Flows forthe Year Ended 30th Se ember 2024 Reconciliation of net income to net cashflowfrom operating activities Z024 20Z3 Net intome forthe reporting period las pÈrthe Statementof finantial attNitiesl Adju51rnent5 for.. Depreciation charges Gain on investments Interest received Realised Gainlllossl on investments Decrease in debtors Decre45e in creditor5 517,244 52,D30 36,322 175,9141 132,5061 4,347 3,SN 18.5761 20,049 162,0551 130,8491 208,434 1,527 121,1201 Net cash provlded by operatlons 444,421 168,016 Anatysis of changes in net fvnd5 At 1110123 Cash flow At 3019124 Cash sh at bank 220,463 433.647 654,110 220,463 433.647 654.110 Total 220,463 433,647 654,110 The note5 form part of these financi31 statements Page 12 Abb ield Dulwich SoEie Lirnited he Notesto the Flnanclal Statements forthe Year Ended 30th Se ember 2024 Charity status The charlty Is Ilmired by guarantee, Incorporated In UK, and consequently does not have share capltal. Each of the trustees is liable to tontribute an amount not extÈÈding £Nil towards the assets of thÈ charity in thÈ evÈnt of liquidation. The address of its registered office is.. 91 Stradella Road London SE24 9HL The cornp3ny's principle ictivitV15 the establishrnent and management of hou5esfor the eldedy. The financial statements are prepared in sterling which is 81so the function81 currency of the company and rounded to the nearest pound. A¢countinB policies Basis of preparingthe financial statements The fin8ncial statements of the charit8ble company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP IFRS L021 'Accounting and Reporting by Charities-. Statement of Recommended Practlce applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 (effective l January 20191,, Financial Reporting Standard 102 'The Financial Reporting Stand4rd applicable in the UK and Republic of Ireland, 3nd the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are Included at market value, as modified bv the revaluation of certain assets. Income and endowments All income is recogni5ed in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. Expenditure All expenditure is recognised once there is a leg31 or con5trurtive obligation to that expenditure, it is probable Settlement is required and the amount can be measured reli3bly. All c05t5 are 3llocated to the 3pplic3ble expenditure heading that aggregate similar cost5 to that category. Where costs cannot bedirectly attributed to particular heading5 they have been allocated on a b8sis consistent with the use of resources, with central staff costs 811Dcated on the b8sis of time spent, and depreciation charge5 allocated on the portion of the a55et'5 use. Other support C05t5 are allocated based on the spread of staff costs. Raisingfvnds These are c05t5 incurred in attracting voluntary incorne, the rn3nagernent of investments and those incurred in trading activitie5 that raise funds. Tanglble fixed assets Individual fixed assets costing £100.00 or more are Initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Depreciation and amortisation Depreciation is provided on tangible fixed assets so as to write off the cost or valu8tion. less any estimated residual value, over their expetted useful economic life as follows.. Asset class Freehold Property Short term Leasehold Property Fixtures 8nd Fittings Depreciation method and rate Over 30 Years Over periods of leases 25% Reducing Balance Page 13 contlnued... Abb ield Dulwich SoEie Lirnited he Notesto the Flnanclal Statements-contlnued forthe Year Ended 30th Se ember 2024 Accounting policies- continued Tanglble fixed assets Impairment of fixed assets A review for impairment of a fixed asset is ￿rrIed out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the c3rrying value of fixed 3ssers and their recoverable amounts are recognised as imp3irments. Impalrment losses a￿ recognised In the Statement of Financial Activitles. Fixed a55et inve5tment5 Fixed a55et investments, other than programme related investments, are included at market value at the balance sheet date. Realised gains and losses on Investments are ￿lCulated as the difference between sales proceeds and their market value at the start of the year, or thelr subsequent cost. and are charged or credited to the Statement of Financial Attivities in the period of disposal. Unrealised 83in5 and losse5 repre*nt the movement in market values during the year and are credited or charged to the Statement of Financial Activities based on the market value bt the year end. T4￿￿n The charity is considered to pass the tests set out in Paragraph I Schedule 6 of the Finance Act 2010 and therefore it meets the definition of 4 ch3rit3ble company for UK corporation tax purpose5. According￿, the charity 15 Potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Sertion 256 of the Taxation of Chargeable Gains Act 1992, to the extent th8t such income or gains are applied exclusivelyto charitable purposes. Fund structure Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherantr of the objectives of the charity. Restricted income funds are those donated for use in 3 Particular area or for specific purposes, the use of which is restritted to that a￿) or purpose. Forelgn exchange Transactions In foreign currencles are recorded 8t the rate of exchange at the d8te of the transaction. Monetary assets and liabilitie5 denominated in foreign currencies at the balan￿ Sheet date are reported at the rate5 of exchange prevailing at that date. The results of overseas operations are translated at the average rates of ex¢hanÈe during the period and their balance sheets at the r3te5 ruling at the balance sheet date. Exchange difference5 Bri5ing on translation of the opening net assets and re5uItS of overseas oper3tion5 are reported in other comprehensive income and accumulated in equity13ttributed to non-controlling interests as appropriatel. Other exchange differences are recognised in the Statement of Financial Attivities In the period in which ihey arise except for.. 11 exchange differences on transactions entered into to hedge certain foreign currency risks Isee abovel,- 21 exchange differences arising on gains or losses on non-monetary items which are recognised in other comprehensive incorne. and 31 in the ca* of the consolidated financi31 statements, exchange difference5 on monetary items receivable from or payable to 3 foreign operation for which settlement is neither planned nor likely to occur Itherefore forming part of the net investment in the foreign operationl. which are recognised In other comprehensive Income and reported under Èquity. Page 14 contlnued... Abb ield Dulwich SoEie Lirnited he Notesto the Flnanclal Statements-contlnued forthe Year Ended 30th Se ember 2024 Accounting policies- continued Penslon tosts and other post-retlrement benefits ThÈ tharitable company opèrates a definÈd contribution pÈnsion schÈmÈ. Contributions payable to the charitable company's pension Scheme are charged to the Statement of Financial Activities in the period to which they rel3te Golngconcern The trustees consider that there are no materlal uncert3intles abour the charlty's 3bility to continue as a golng concern nor any significant areas of uncertèintythat affect the carrying value of assets held bythe charity. Trade debtors Trade debtors are amounts due from customers for merchandise sold or services performed In the ordinary course of business. Trade debtor5 are recogni5ed initially at the transaction price. They Bre subsequently measured at arnortised cost Using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there Is objective evidence that the charity will not be able to collect all amounts due 3ccording to the origin31 terms of the receiv8bles. Cash and ¢ash equivalents Cash and cash equivalents comprise cash on hand and call dep05it5, other 5hort-term highly liquid inve5trDent5 th4t are readily convertible to a known amount of cash and are subject to an insignificant risk of change in vzlue. Trade creditors Trade creditors are obligations to pay for goods or services that have been acouired in the ordinary course of business from suppliers. Accounts payable are c1355ilied as current liabilitie5 if the charity doe5 not have an unconditlOn31 right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting dare, they are presented as Trade creditor5 Bre recognised initially at the transathion price and subsequently measured at amortised c05t Using the effective interest method. Borrowlngs Intere5t-bearing borrowing5 are Initialbl recorded at fair value, net of transaction costs.Intere5t-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, 8nd the 8mount due on redemption being recognised as a charge to the St3tement of Financi31 Artivitles over the period of the relevant borrowing. Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges. Borrowings a￿ classified as current liabilities unless the charity has an unconditional right to defer settlement of the Ilability forat leasttwehve tnonths after the reporting date. Flnanclal Instruments Classification Financial assets and financial liabilities are recognised when the charity becomes a party to the contrattual provisions of the In5trurDent. Financial liabilities and equity instruments are classified according to the substsnce of the contractual arrangements entered into. An equity instrument is any contract that evidences 3 residu31 interest in the assets of the chèrity after deducting 311 of Page 15 contlnued... Abb ield Dulwich SoEie Lirnited he Notesto the Flnanclal Statements-contlnued forthe Year Ended 30th Se ember 2024 Accounting policies- continued Recognltlon and measurement All financial assÈts and liabilitiÈs are initially measured at transaction prite lintluding transaction costs), Èxtept for those financi31 355ets cla55ified 35 at fair value through profit or 1055, which are initially measured 3t fair value (which is normallv the transaction price excluding tran￿CtiON C05ts1, unless the 3rrangement con5titute5 a fin3ncing tr3nsaCtion. If an arrangement constitutes a financing transaction, the financial asset or financial 113bility is measured at the present value of the future payments discounted at a market rate of interest for a similar debt Instrument. Financial assets and liabilities are only offset in the statement of financial position when, and On￿ when there exists a legally enforceable right to set off the recogni5ed arnounts and the charity intends either to Settle on a net basis, or to reali5e the asset and settle the liability Simultaneously. Fin3nclal assets are derecognlsed when and only when al the contrartual rights to the ￿$h flows from the financi31 asset expire or are settled, bl the charity transfers to another party substantially all of the risks and rewards of ownership of the financi31 asset, or cl the charity, de5Plte having retained Some, but not 311, significant ris￿ and reward5 of owner5hipi has transferred control of the assetto another party. Fin8ncial liabilities are derecognised only when the obligation specified in the contract is discharged, cèncelled or expires. Debt instruments Debt instruments which meet the following conditions are subsequently me35ured at arnortised cost Using the effective interest method.. lal The contrartual return to the holder is lil 3 fixed amount,. lill 3 positive fixed rate or a positive variable rate,. or liiil 8 combination of a positive or a negative fixed rate and a positive variable rate. Ibl The contract may provide for repayments of the principal or the return to the holder (but not both) to be linked to a single relevant observable Index of gener31 price inflation of the currency in which the debt instrument is denominated, provided such links are not leveraged. Icl The contract mèy provide for a detertninable variation of the return to the holder during the life of the instrument, provided that lil the new rate satisfie5 condition lal and the v3ri3tiOn 15 not contingent on future event5 Other th3n 111 a change of a contractual vzriable rate,'121 to protect the holder against credit deterioration of the Is5uer', 131 change5 in levie5 applied by a central b8nk or arising from changes in relevant taxation or 18w', or lill the new r8te Is a market rate of interest Idl There is no contractual provlslon that could, by Its terms. resutt In the holder loslng the princlpal amount or any Interest attributable to the current period or prior periods. lel Contractuzl provisions that permit the i55uer to prepay a debt instrument or permit the holder to put it back to the i55uer before maturity are not contingent on future events, other than to protect the holder against the credit deterioration of the issuer or a change in control of the issuer, or to protect the holder or issuer against changes in levies 8pplied by a centr81 bank or arising from changes in relevanttaxation or law. (fl Contractual provisions may permit the extension of the term of the debt instrument, provided that the return to the holder and any other contractual provisions appIl￿ble during the extended term satlsfy the conditions of parzgraphs lal to Debt instruments that are classified as payable or receivable within one year on initial recognition and which meet the above onditiOn5 3re rneasured at the undisiounted ornount of the cash or other consideration expected to be paid or received, net of impairment. With the exception of some hedging instruments, other debt instruments not meeting these conditions are measured at fair value through profit or loss. Page 16 contlnued... Abb ield Dulwich SoEie Lirnited he Notesto the Flnanclal Statements-contlnued forthe Year Ended 30th Se ember 2024 Accounting policies- continued Commltments to make and receive loans which meet the condltions mentioned above are measured at cost Iwhlch may be nil) less impairment. Investments Investments in non