RSPCA Southport Ormskirk & District Branch
The Branch Trustees’ Report
For the Year Ended 31 December 2022
The Trustees present their report with the financial statements of the charity for the year ended 31 December 2022.
The financial statements comply with RSPCA Branch Rules, 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 UK and Republic of Ireland (FRS 102)” (effective 1 January 2019).
STRUCTURE, GOVERNANCE AND MANAGEMENT
The Branch is an unincorporated charitable association and a separately registered charity to that of the national RSPCA (the Society), carrying out its direct animal welfare work in the areas of North Sefton and parts of West Lancashire. It operates as an autonomous branch subject to the RSPCA Rules for Branches (as updated).
The Branch Committee Members are elected Trustees. All new Trustees are briefed on their responsibilities prior to their acceptance of the role. The Committee has the power to co-opt up to three persons (at any one time) to serve as Committee Members and may appoint new Trustees to fill casual vacancies arising during the year. The Trustees hold monthly meetings at which decisions are made. The day-to-day running of the animal centre and charity shop is delegated to the Branch Manager under the line management of the Branch Chair.
STATEMENT OF TRUSTEES RESPONSIBILITIES
Trustees are responsible for preparing the Report of the Trustees and the Financial Statements in accordance with applicable law and United Kingdom Accounting Practice.
The law applicable to charities in England and Wales, the Charities Act 2011 and the Charity (Accounts and Reports) Regulations 2008 require the Trustees to prepare Financial Statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including income and expenditure for that period. In preparing those financial statements, the Trustees are required to:
Select suitable accounting policies and apply them consistently
Observe the methods and principles in the Charity SORP
Make judgements and estimates that are reasonable and prudent
Prepare the financial statements on the ongoing concern basis unless it is inappropriate to presume that the Charity will continue in business
The Trustees are also responsible for safeguarding the assets of the Charity and for taking reasonable steps to ensure the prevention and detection of fraud and other irregularities.
Internal Controls
The Branch Committee has put in place effective internal financial control systems. These safeguard the assets of the Branch, ensure the maintenance of proper accounting records and provide reliable financial information for use by the Branch Treasurer and the Committee. The key features are:
A clear organisational and management structure with defined responsibility and accountability
Proper control over income and expenditure
Authorisation limits for the purchase of goods, services and other commitments
A budgeting and forecasting system, coupled with monthly reviews against actual performance
The employment of an external accountant who provides all payroll and accounting activities
Risk Management
The Trustees actively review the operational and financial risks that the Charity faces. The Trustees consider that they have put in place appropriate policies, procedures and controls that will mitigate the identified risks and assist in maintaining the future financial viability of the Branch. The Branch utilises a Risk Management Framework to identify significant risks, for example:
Our reliance upon legacies as a major source of income
Loss of reputation, income or confidence through error, fraud or other actions of Trustees or staff (Branch and national)
Loss of income or capital through poor investment decisions or the effects of a recession on investments and potentially on income
Insufficient number of Trustees and volunteers to support the activities of the Branch
Insufficient funds to continue to provide the determined level of service to the public and others
Difficulties in recruiting and retaining staff and volunteers of the required standard to provide the determined level of service
The Branch Committee keeps under regular review the Health and Safety requirements at both the Animal Centre and the Charity Shop. The Committee regularly examines the Accident Book and takes appropriate action with regard to all reported accidents. During 2022 there were no accidents requiring notification to the enforcing authority.
The Branch maintains a Risk Management Framework, Trustees’ Code of Conduct and a Conflict of Interests Policy, together with a number of other management policies, which are reviewed annually.
OBJECTIVES AND ACTIVITIES
Objectives, Aims and Public Benefit
The Trustees have considered the Charity Commission guidance regarding public benefit and are satisfied that the Charity has met these requirements through its activities as described in this Report.
Under the Charities Act 2011 the advancement of animal welfare is recognised as a distinct statutory charitable purpose. This legislation and the Animal Welfare Act 2006 indicate an acceptance by society that treating living creatures with compassion has a moral benefit for the public as a whole.
The objects of the Branch are “to promote kindness and to prevent or suppress cruelty to animals by all lawful means with particular reference to the area of operation of the Branch”. The key aims of the Branch are to care for mistreated or abandoned animals and to find suitable new homes for them. Our policy to charge a reasonable adoption fee for animals aims to highlight the ongoing personal and financial commitment of pet ownership. It would not be in the best interests of animals to rehome them to those who could not afford them or reasonably meet the ongoing costs.
The main activities of the Branch are the operation of the animal centre at New Cut Lane in Southport. The animals in our care receive veterinary treatment, vaccinations, flea and worm treatments and are neutered, microchipped and assessed before being rehomed. We support the RSPCA Inspectorate by taking in mistreated or abused animals.
During the year 377 animals were admitted by the Branch (134 dogs, 235 cats and 8 miscellaneous). The Branch prioritised the intake of the most vulnerable animals rescued by the RSPCA inspectorate (90.7% of total admissions). During the year 297 animals were rehomed or returned to their owner (100 dogs, 190 cats, 7 miscellaneous).
The Society's officers (as well as providing education, information and advice) rescue animals in distress and enforce laws against the mistreatment of animals in England and Wales by bringing prosecutions. This work is key to the prevention or suppression of cruelty' part of the RSPCA objects and promotes humane sentiments towards animals which involve moral benefit to humankind as a whole.
We provide limited subsidised neutering of companion animals and veterinary treatment for sick or injured animals for those people in the branch area on low incomes and in receipt of certain benefits. This work helps to control animal populations and benefits those on means tested benefits by giving them financial help to neuter and microchip their pets, thereby helping them to meet legal requirements and promoting responsible pet ownership.
We offer pet care advice to the public and respond to enquiries about animals locally. The public benefits through the promotion of responsible pet ownership.
Volunteers
We provide volunteering opportunities for those who wish to support our work including in the branch charity shop and animal centre and fundraising at the Fun Dog Show, the Christmas Fair and at other events. This benefits local people by providing the opportunity to make a difference, find purpose, make friends, reduce isolation, connect with their community and strengthen their CVs to improve employment opportunities. Without these volunteers the Branch would not be able to undertake the amount of animal welfare currently achieved.
During 2022 the Branch depended on the help of about 50 active volunteers, whose donation of their skills and time had a value worth several thousands of pounds. The Trustees would like to thank the Branch staff and volunteers for their hard work and dedication throughout the year.
ACHIEVEMENT AND PERFORMANCE
Charitable Activities, Developments, Activities & Achievements
The Branch Committee continued to implement its agreed policies concerning the operation of the Branch. The Branch Manager’s Report on pages 8-10 gives more details of the number of animals passing through the animal centre.
Unfortunately, the Branch Open Day was cancelled as the date sadly coincided with the death of HM Queen Elizabeth II, our Sovereign and Patron of the RSPCA.
Whilst the Branch cancelled it’s major summer fundraising event, it did hold a Christmas Fair the following December.
The total income raised from all fundraising activities and collections was £35,935.
In addition to fundraising activities and collections, the Branch raised over £75,000 through the sale of donated goods from its Charity Shop in Eastgate Street, this generated a net profit of approx £38,000 for Branch funds.
The Branch leasing agreement with Cats Protection (providing them with 10 cat pods) continued and in 2022 this contributed £28,593 towards the operation of the Branch animal centre.
FINANCIAL POLICIES AND REVIEW
Reserves Policy
The Branch holds reserves in order that its animal welfare services are maintained should there be a reduction in incoming resources. General reserves are those funds that are freely available for general purposes and are uncommitted.
The Trustees have established a policy of holding a level of free reserves that will enable the Branch to ensure the continuity of activities and the ability to adjust, in a measured way, to any significant change in resources. This is a level equivalent to one and a half year’s total expenditure - currently this is of the order of £690,000. At 31 December 2022 the Branch had unrestricted free reserves of £725,121.
Investment policy and objectives
The Trustees invest, until required, part of its capital and income not required for the immediate running of the Branch. The Trustees, bearing in mind the level of cash holdings, the forecast requirements during 2023 for planned capital projects and the budgeted running costs of the animal centre, agreed to retain a portion of its reserves on deposit with the Royal Bank of Scotland and The Nationwide Building Society. Additionally, a portion of funds held are invested in a 1-year business bond with The Hampshire Trust Bank. The breakdown of the amounts invested is shown in the Notes to the Financial Statements.
Financial Review
The Statement of Financial Activity for the year is shown in the Notes to the Financial Statements together with the Audit Certificate.
The total unrestricted income received in the year 2022 was £693,882. Expenditure in the year was £432,418. There were realised and unrealised investment gains at the year-end of £614. The total net gain for the year 2022 was £262,078 compared with a deficit of £56,000 in 2021. Legacies recorded in the Accounts for 2022 were £426,313 (£111,200 in 2021).
The main fundraising activities of the Branch are animal adoptions, the charity shop, the Animal Centre Shop and Open Days. The Branch also leases 10 cat pens to fellow animal charity Cats Protection. In addition the Branch received £16,334 in grant income during the year.
Although the Trustees endeavour to reduce the Branch’s reliance on legacy income, we continue to be dependent on the receipt of legacies for both dayto-day running costs and for financing capital projects.
The Branch makes full use of the Gift Aid Donation arrangements whereby donations made by income tax payers are increased by 25%.
FUTURE ACTIVITIES
To recruit new volunteers for the charity shop, for the animal centre and to support fundraising events. The Branch has a small number of dedicated animal fosterers and in 2023 we hope to increase their number.
To develop new fundraising activities and to seek out new funding streams and ways to realise savings.
To hold volunteer evenings to thank our volunteers.
To review monthly the financial resources and commitments of the branch and take corrective action when required.
To continue the policy of offering the majority of our animal accommodation to the RSPCA Inspectorate for the care of cruelly treated and neglected animals,
To communicate with Branch members, supporters and volunteers and to further develop the awareness of the Branch by way of emails and social media.
To continue to be involved in the regional and national activities of the RSPCA.
To review on a regular basis the Health and Safety Risk Assessments for the New Cut Lane site and the charity shop.
To continue the use of the Operating Theatre by Greater Manchester Hospital veterinary surgeons.
APPROVAL OF THIS REPORT
This Report was recommended for approval on Monday, 15 May, 2023 to be ratified at the AGM, and is signed on behalf of the Committee of Trustees by:
Dr David West
Branch Chairman, 15 May 2023
RSPCA SOUTHPORT, ORMSKIRK AND DISTRICT BRANCH RSPCA SOUTHPORT, ORMSKIRK AND DISTRICT BRANCH STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME ANO EXPENDITURE ACCOUNT FOR Tme YEARENDED 31 OECEA18ER2022 BALAIICE SHEEr AS A T31 DECEMBER 2022 UrtrÈ&tnctsd R•BIrfGtr futW• rund 20 io ToLIl UnrnBIrftd RI•1 Tot41 1022 1021 FIx•dl T01b18 1492.700 1 5Jl,587 DoM'.IMb 455.810 5,86 140.792 29.000 4e4.¥iD 152,2 98,723 161,2 8.723 Othertrudirtg XV¥lty stks 127 415.Y82 8D,OUO 192.)10 77.eoo 87,3JJ 214.cél TotllllnrL eoJ,882 29.NO I22.3 303,33 37?.J30 741 4&Y iinlllundl J4.P40 34.WO on• y•4r 116.3e41 421.I J?5 Qty4 18,OOD 4ZI.001 38S.29 .0 393,288 2.220.121 1,gb5.74S TOtil•xp•ndltur• 2S.100 420.229 8,OOD 42&,2Zts lThEom•lund• 42J,1ae 2e2.07 3,000 286.078 186,oin 1.gJ4,?43 1.95ts743 N•ttIn lund* 28J.078 2es.078 186.0171 Furd bslqThG•1 It 1 Jan 20 Th•fiNMp41 15 May I..743 1,0 1.9&5.743 2 D1Q.760 D•5brIo2a 2.220.821 1,901,743 i.0 1,#0.743 Mrswalw Or Allin(K¥h?ondèynllilur• dgrtypfrom
RSPCA SOUTHPORT, ORMSKIRK AND DISTRICT BRANCH INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF RSPCA SOUTHPORT, ORMSKIRK AND DISTRICT BRANCH I reFK)rt lo the trustees on my examination ol financkal statements ol ASPCA Southwrt. Ornkirk arKJ District Branch Ilhe charity) lor the year ended 31 December 2022. Responsibilities and basis of report As the Iruslees ol the charity you are resFK)nsible lor the prepration ol the linanciaj statements in accordan with the r8quirernents ol the CharitiesAct 2011 (the 2011 ktl. I rewrt in reS¢t ol my examination ol the charity's IirHrti statements carried out under section 145 01 the 2011 Act. In carrying Olrt my examination I have followed the aPpIable Directiorts given by the Charity Commission urKJer section 1415){bI of the 2011 Act. Inthpondont oxamingrfs statemgnt Since the charitys gro income exceded £250,000 your examiner must k a member ol a body listed in section 145 01 the 2011 Act. I confirm that l am qUdrfi lo undertake the examirwlion because l am a member ol ICAEW, which is one of the list ldIeS. Your attention is drawn to the lact that charty has pTepaJed linartial statements in accordance with Accounting arvj Rep)rting by Chartties preparing their accounts in accordan wtih the Financial RepK)rting &arvJard applicable in the UK and Republi¢ ol Irelaré IFRS 1021 in preferee lo t1 Accounting and RetK)rting by Charities.. Stalernenl ol Recommervjed Practice issued on 1 Awil 2005 which is referred lo in the extant regulations but has now been withdrawn. l understand that this has been dorE in order lor financial stalernents lo wovide a true and lair wew in accordance wrfLh GenerallyAcceptgd Accounting Practice eff1@ for rerKJrtirg riOdS ginn1r0 on or after 1 January 2015. I have completed rny examination. I confirm that no matters have come to rny attention in connection with the examination giving me caLtse lo tdieve that in any material res1.. accountiro récords were not kept in respect ol the charty as reqiired ty se¢tion 130 01 the 2011 Act., or the finar1 slalemerts do rK)l accord with those recor(k', or the financial statements do rKJl comply wi(h the applicaLAe requirements conceming the forrn arKI content of accounts set out in the Charities (Accounts and ReFK>rtsl Regulatiorts 2008 other than any requirement that the accounts give a true ar lair view which is not a matter considered as PKart ol an independent exarninalion. I have no corernS and have come across no other matters in connection wth the examirralion lo which attention should be drawn in this report in order lo enaLAe a proper urKJerslandirg ol the financial slalements lo reached. Champion A¢¢ounlants LLP M Taylor FCA 7-g station Road Heskelh Bank Preston Lancashire PR46SN Dated.. 18 May 2023