FRANCISCAN siYfERS OF MILL HtLL (Chsrity R¢gistr¥tion NumbeT: 232494) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Haysmadtttyre LLP Cknrt¢T¢d Arutants Re8is¢ered Auditors London
FRANCISCAN SISTER5 OF ILL HtLL Registered Charity 232494 Referetste and Administrative Details PRINCIPAL OFFICE The Generalaie 118 Chalei Esta Hammers Lane London NW7 4DN TRUSTELS Catherinc McGovcrn OSF Joan Edna Rowland5 OSF Eilcen Plunkett OSF MargaTC( AIKce McElroy OSF CONGREGA TIONAL LEADERSHIP TEAM Simer Ma¥garL"i Alice McElroy OSF Sisier Eileen Plunkeii OSF SiMer Caihcrine McGovern OSF TEAM LEADER Sist¢r margaTri Alice M¢Elroy OSF ASSISTANT TEAM LEADER Sister EilLLn Plunkett OSF BURSAR Simer CaihLrinc McGovern OSF ASSISTAIYT BURSAR Veronica Lumb SOLICITORS Messrs ToLcrs Broadwalk Hou5L' Souiheinhay Wesi Exeter EXI IUA PRINCIPAL BANKERS The Royal Bank olscoiland Pl 24 Grosvenoi Place London SWIX 7HP INDEPENDENT EXAMINER Adam Halsey FCA Haysmaciniyre LLP 10 Queen Street Place London EC4R IAG INSURANCE BROKERS Marsh Commercial 14 Fiwr. Gail House 5 Lower Sione Streei maidOne. ME15 6NB INVESTMENT ADVtSOlLS Barclays Wealth Management Limited I Churchill Pl¥¢ don 5HP El SURVEYORS Sianley Hicks 52 Bow Lane London EC4M 9
FRANCISCAN SISTERS OF MILL HILL TRUSTEKS. ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2023 Th¢ Trust¢¢s present their report and Accounts for the year ended 31 March 2023. INTRODUCTION AND HISTORY OF THE CHARrrY (CONGREGATION) The Congregation of ihe Franciscan Sisters of Mill Hill is an Instituie of aposiolic women within the Roman Catholic Church, founded in 1868. The story of the Congregation began 150 years ago in Hackney. London. The five pioneering women. under the leadership of Mary Basil who founded the Congregation. were honed by their previoLlS experiences (as Anglican Sisters) among the destitute people of Soho and Hackney where cholera, small pox. and appalling living condltions were rife. Received into the Rornan Caiholic Church in 1868, they continued and dev¢loped their work among the Poorest in society through various forn]s of social work. health care, skills training and educalion. Attracted by their love. joyful service of ihe poor and Franciscan way of life. other women soon joined thern and their numbers sieadily grew. M()THER MARY FRANCI% BASIL I18.1.1-1886) GR()up aF EARLY SI.8TERS IcirLa 1874) FOUNDRESS Over the next one hundred years. the Sisters resnded to calls for help within the UK and Ireland. and further afield: 1882 USA 1902 UGANDA KENYA 1960 SOUTH AFRICA Baltimore
FRANCISCAN SISTERS OF MILL HILL
TRUSTEES. ANNUAL REPORT Iconlithued)
FOR THE YEAR ENDED 31 MARCH 2023
Across Ihree Continents Sisters engaged in a variety of Challenging mini5trie5, pioneering many
projects and maintaining oihers. the emphasis on helplng and empowering the poorest and voiceless
in s(Kiely. Some of these areas included:
.i)i.(..I I i()
N Ii_i":%LlI-y t()
[JIi jiiL'I".%ity,
Si)L'Ci'II IiL'L:(Is'
1.1 r
Niii"ses.
Doctoi"s
Midwives
Clij,11 ics
Hoiiie Heciltli
Hosi)it
FRANCISCAN SISTERS OF MILL HILL TRUSTEES, ANNUAL REPORT (Continued) FOR THE YEAR ENDED 31 MARCH 2023 From that one small group of five pioneering women in England in 1868, there have sprung four independent Congregations of Religious Sisters in USA, East Africa, Ireland and UK. Representatives of the four Congregations: Franciscan Sisters of Mill Hill Franciscan Sisters of Baltimore (now Milwaukee) Franciscan Missionaries for Africa Little Sisters of St Francis (East Africa) From the 1970's onwards a sea change occurred in active religious orders.. most Congregations in Europe and USA saw a marked decrease in the number of women joining. (The opposite has occurred in Africa!) With no new applicants and an ageing membership, we welcome new challenges to the way we live our Fr nciscan calling. Our desire to be a meaningful resence among the commu ities in which we live and serve is as strong as ver.
FRANCISCAN SISTERS OF MILL HILL TRUSTEES, ANNUAL REPORT (Contin¥ed) FOR THE YEAR ENDED 31 MARCH 2023 The CongrLgation is an Insriiltie ol Poniifi¢al siaius, wilh a Superior Geneial (now referred io as 'Team Leader,) who has overall iespon5ibilily lor the governance of the Congregalion and 15 ass151ed in this by Ih¢ General council (now relerred to as 'Congicgaiional L&id¢rship Tearn'l which broadly mirrors lh¥ Trus(ee tKKJy. The Congiegaiional Leadership Team 15 w¢ouniablc io ihe GLneral Chapter which is hcld every 4 yLars and is ihe Supreme Le8151aiive Auihoriiy in ihe ngregalion. OBJEcfivES AND ACTIVITIES ThL Fra1$¢1) Si.sicrs of Mill Hill are a group of women whose main aim is still to fulfil the chari5rn of iheir Foundr¢ss. MoihLr Mary Francis Basil.. 'To meet the needs of thc world of her day.. WL LiTrniinually assess Ihe needs of our world iixlay and evaluaie how bem we can addre55 thefft with our diminishing numix'rs of Sisier%. Public benefRt ThL Tru.Sl¥¢s it) ihis report describL how Iho aciivities undenak¢n by ihL' rhanly further iis chariiable purposes for ihe public nL1]I. The Trusiees confirni ihal IhLy cornply wilh the duly in Kliiiin 17 111 Ihe Charities Act 2011 io hav¢ due rLgard io IhL public bencfii gui(l<incL I.%%ULd hy the Charity Comniis%iDn. In particular ihey havc considered its 4upplemenwry public guidance on IhL thlvanccmLnL of religion for th¢ publiL trL'nLfii. ACTIVITIES OF THE CHARrrY Th¥ JcLLVllie5 of Ihe Chariiy have ch(IngLM] ov¢r time. just &8 sle1a] needs havi ¢hat)oed: our numbcrs havc decreased lind niembers are ageing. Whai has now emerg¢d. is a variety of P&sioral nLxxls opponunilies Ihat all of us are engaging with. a¢¢ording io healih and Irainin Visiiing the elderly in Si. Vin¢¢ni's Nursing Home. Wre our Sislcrs firs1 wcni for ¢are in (kiober 2W7 and within the wider community. Parish rn work io enable parishioners atwj people in the pariicipaie in community aclivitL¢S. One Sister on H()spicc Pa5Loral Care Team on a voluntary b&%is. Where possible. all are enoatsed in-. Visiling of the hou5eboundllonelyhern)inally ill and offering pastordl assisianee where we can. Two SL51ers are cThgaged in 'Accompantment': Spiritual Direcfion. Reirea151PsychoiherapylSupervision, In our Franciscan spirii, we Offer.rt DiTh H05p&tsliiy" w all creeds and races. We Support the disadvantaged lette$ by: Coniribuiion 10 Artlcraft Days Neiworking with Cal(Ml. Missio, Trai(Icr4fi and Age Concern. Jusiicena¢¢ Groups Working with NCSC- safeguarding wiihin the Catholic Church of En8landlWale5 WorkiTh8 Wlth CARITAS - building a new Luliut¥ uf resp)nsibiliiy Our Constitv¢ions remittd $. 'The mission is possible a( all titnLs. in health and in sickrK&s, in joy and in sorrow. in youth and in advancing years and in old age, in success and in failurL. ITh f¥i. in every circumsiance of alye and healih w¢ can proclaim ihai Dur life is founded on Jesus Chil51 and expeLI lo find fuifilmeni in Him., {Consiiiuisons. ch.5 para. 47).
FRANCISCAN SISTERS OF MILL HILL TRUSTEES, ANNUAL REPORT {Cotttinued) FOR THE YEAR ENDED 31 MARCH 2023 INVESTMENT POWER The Trusiee5 May inv¢si in any rnanner in which ihe l&w allows misi oneY to be invested. or as direcTed by dortors of any donYLted trust tunds. so the Trusitt Act 21KM) applies. INVESTMENT POLICY The Trusiees have appointed Barclays Wealth Invesiment Managemeni Limiied 10 manage ihe portfolio subjeci io a edium degree olrisk. The Tnjstees intend ihai Ihe real value olihe assets be mainiained and enhanced over the long term invesiment in a portfolio of equiiies, fixed siocks and cash. The Trusiees have insiructrd Barclays Weal¢h io adopi an eihical lleY and use their besi endeavour$ 10 avoid invesimeni in companies ihai are predominaly involved in aciiviiies COlllTary lo the eihos of the Charily. including gambling. tobacco or armamenis. Between l April 2022 utltil 31 March 21r23. the capiial value of the invesimeni portfolio decreased by £1 17,935 after adjusiin8 for new tnoney and disposals. Durirhg the period, Ihe investmenl Portfolio prtyjuced a reium of 3.65% which was higher than the composiie benchmark reiurn of 2.78 over the same PEn(yJ.
FRANCISCAN SISTERS OF MILL HILL TRUSTEES. ANNUAL REPORT {eontinved) FOR THE YEAR ENDED 31 MARCH 2023 THE pREsEr TRUSTEES Sister Edna R¢wAond5 ter Catherlne McGoJem Sister Moryaret McElroy Slster Eileen Plunkett
FRANCISCAN SISTERS OF MILL HILL TRUSTEES, ANNUAL REPORT {coDtinued) FOR THE YEAR ENDED 31 MARCH 2023 FINANCIAL REVIEW The Slament of Financial ActLViILes shows nel movement in funds (increase) after inve5tmeTht1055e5, of £290.678 (2022= £214,440). In¢ome decreased 10 £142.855 from £380,019 in 2022. Expenditure in the year amounted to £295,598, doivn from £104,947 in 2022. Invesimenis decreased in value dLtriThg the year (before addilions and disposals). The Congregaiion coniinues io review ils finances and needs in order io maich future income wilh expendiiure. Investments will assisi in reiiremeni provision for those no longer engaged in pasloral or oiher salaried work or who have lefi the Congregation but require coniinuing suppon according to ihe Congregation's obligations and resources. No commitTnent5 or guarantees hav¢ been given in Ihis or any oihcr T¢sCl. bui th¢ Congregation is committed to 5UPPOrting its members who have sp¢nl most of Iheir working lives in ihe furtherance of ils aims eirher volunthrily or by covenanling ¢arned income trom outside employmeni. Reseryes policy The commiimeni io provide for care of Ihe memr5 of ihe Congre. aiion in 5i¢kne5s and old age has profound implications for the finances of Ihe Chariiy. Members of Ihe Cot)L7reoaiion have all iaken a vow of poveny which means Ihat all righ15 io assets and income have been given up, in favour of Ihe Chariiy. Where member5 eam a salary. siipend or pension ihi5 is paid into the charitable trust under a deed of covenant. In mosi cases member5 have devoied the whole of iheir workino liwes 10 the Congregation and are dependeni upon li for all iheir remporal needs. Al(hough memixrs invariably coniinue to perform chariiable work long past nornial reiiremeni if ihey are healihy enough 10 do 50, Ihe work is ofien nim remunerative and ihe Conoretsaiion musi provide for Iheir upkeep and in some cases nursing care. The Designaied Regerves of (he chariiy siand ai a liiile under£3.5m wilh £1.4m designaied in respeci of ihe chariiy'5 properly asseis, which kre iequiied foi ils onc•oino work. In addiiion £2.25m desionaied io a Reiiremeni Fund. This represenis asseis held for Ihe PUTposes of providing Iono ierni suppori for memtrTS. An appraisal of Ihis fund 15 considered annually. Ai preseni fhe atnouni held is ihouoh( (o be adequaie. bu( (he chariiy's silu10 could change in fuiure year& wilh addiiional sums possibly being required to provide fully lor the chan"iy's commiimeni. If &ldi(iona] funds aJe requires. Ihe chariiy could poieniially d5SP05e of its (reehold pl01y. Ai th¢ end of the year to 11 March 2027 ihe undesienaied reserves of Ihe chariiy were £9.158. This represenis jusi over 2 years of exndI1Ure, which is considered 10 be adequaie. li is the inni10n of the Trustees io maIn1n ihe reserve ai beiween three and six monihs. ex111[Ure. Risk review Th¢ Trusiees have assessed ihe major risks 10 whKch ihe CTharily is exposed. in pariicular those related io ihe operaiions and finances of the Tiusi. and are satisfled that systems are in place io miiiga our exposure io Ihe major risks. However, they have concluded that the gieatesl iisk 10 ihc Chatiiy currently is the lack of novices or p)Slulanis under Iiaining lor the religious life and the c0Th5eqUttLi fall in Ihc number of Si51ets able either to catry oul the Charily's pasioial work or io provide nursing or oiher care for (hose Sislers who havc retired. Concerns were also rdised aboui Ihe ifflpact of the Charities Act 2006 and the requiremeni for religious and oiher chaiilie5 to Show public Ixneflt from thcir aclLvilie5. But the Temaining Sisters. Ihough now fewer in number. can easily show that they do brirh8 lan8Lble benefit to the local cotnmunily. As with all organisalions serving sn the communily. Ihe Trusiees recognise ihe need for prO¢110n and safety of all ihose the Charity serves. We do have our own Safeguarding Policy for childtenlvulnerable adults. Where it applies Sisiers, employees and volunteers have had a learance with POVA and DBS. SUMMARY The Congregation continues to review its spending plans and and makes every effort io manage its existing assets as efficienily as possible in order lo generate the incorne nece55ary to achieve the Charity's aLf115, including provision for Sisiers in rciiremenl. The Tnjsiecs are satisfied that the overall financial position is sound but are eonseious thai their resources are limiied in the face of fulure needs.
FRANCISCAN SISTERS OF MILL HILL TRUSTEES, ANNUAL REPORT {eontinued) FOR THE YEAR ENDED 31 MARCH 2023 PLANS FOR FUTURE PERIODS The TruM¢¢s agTe¢ Ihai alihough we are smaller in numlxr, wc ar¢ yill able 10 fulfil ihe netyjs ot ihe Chariiy. OBJEcfivES for ihe l()rihcoming year.. To continue lo carc foi our elderly Sislcrs To continue lo provKIL ihe individual ministrie5 5upponed by ihe CongTegaiion and LrtdDrsed by the Tr5¢¢¢5. To coniinue Ihe simpler form of admini5liatioTh of our Chariiy which began OTh Isi April 2011. To coniinue Ihe ¢onv¢rsa¢ion wilh our solicilot5 and financial advisors regarding Ihe fuiure of our Charity. To Lunlinue 10 giv¥ ai leasi Irk ol Ihe income lo cxlended chariiable purp95es. STRUCTURE, GOVERNANCE AND MANAGEMENT The CibngregatlDll'5 hLadquariLr% JrL b&ld dl Ihe Generala. in 118 Ch¢ilLi E51alc. Mill Hill, London. Trre. Ihe Bursar admittisi¢is certain lund5 on IL"hall' IhL Congregaiion as d whulL. undLF ihc direclion of rhe Tcaffl Leader advis¢d by Ihe CongrL¥oaiional LeadcTship TL&'llll. EaLh yLJr, Ihe Bursar subtllils lil Ih¥ni a fi?rmal accouni of hcr adminiSlTaiion of ihose tunds in DccordanLL wilh Ihe C()n¥iL¥ali(Jn s Rule and Consiiiuiions. Th¥, Ci?ngr¢galional Lcade15htp T¢am. el¢cl¢d every 4 years by ihe mLinbLts (?[ IhL Ci?llgrTL¥Jlion. rnee15 regularly io vIlL. IhL Team LeILr on mallefs concerning ihe Congregation and loriiial dL110_ iil'liLltng lis charilable acliviliLS arL IdkLn ai regular mL*'iings of Ihe TTU51ets, several of whom serve on Ihe CorbgrcgJtir>nal lLdLshIp Team. In a(klilion lo IhL GL'nLral adminisiraiion. Ihe Congr¢gaiion'5 work is cartied ihrough Si. Mary's Ci)nvLni. 118 Chalei Fsiaie. Mill Hill. which conlinues 10 minisier io Ihe Parish and communily roups wiihin (hc arLa as WLII as various groups in ihe widLf Lommunily. Thc Congregaiion also supporis Sisters in varioys minisiiies in E&5( Kilhridc (Scoiland): and WidnL's (Cheshire)- Mona8han {Ireland). LEGAL STATUS The Franciscan Sisters of Mill Hill is an unincorporaied charilahle ass[laI10Tr gov¢rned by Trnsi Deed dated 8 March 2012. Thi5 Trus1 Dced. replacing ihe 19(4) "Campbell" Dced. was adop(ed followin¥ IhL dissoluiion ol ¢he former No.1 Tnjst la Settlernent made in 1949 and oovernit)g Ihe prowties ihen ownLd hy the Congregaiionl The Team Leader has sionificant powers in regd administraiion of Ihc TTUSI and approval of the Trustees. aciions. However. these powers are only exeicisable in accordance with the Congregaiion's Rules and Consiitulions (which still refer to a 'Superior General. and a 'GeTreral Council.) APPOINTMENT OF TRUSTERS The Team Leader ha5 lh¢ power of apIntMen( of the new Trnsiees of the Chariiy arxl is ex-officio a Tnjsiee. Given the nature of ihe Congregaiion. Trus¢$ are noi required from outside ils members and no p)li¢y ha5 been lOpied in thai regard. No specific trainin8 ha% en given the Tru$Lees bui ihey are saiisfied ihey have sufficicnt CesS to PTofessional and praciical advice 10 understand th¢ r¢sponsibiliiies a5 Chariiy Tn[ees.
FRANCISCAN SISTERS OF MILL HILL TRUSTEES, ANNUAL REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2023 STA TEMENT OF TRUSTEES. RKSPONSIBILrriKs Th¢ Trusi¢es are responsible for preparing the annual report and th¢ fsnan¢iai statements in accoTdan¢e with applicable law and United Kingdom Generally Aecepied Accounting Praeiiee. The law applicable 10 charities in England and Wales requires the tn15tees to prepare fLnaThcial 5taternents for ¢h financial year which give a Irue and lair view of the siaie of affairs ol the ChariLy atml of ihe in¢oming r¢SOUTce5 and applicaiion of resources of the ChaTily for that rkri(Ml. In preparing these financial 5tatem¢nts. Lh¢ ffiJ5Tees are Tequired w.. select suitable accountin8 w)licies and ihen apply them consisient]y- observe the methods and principles in the Chariiies SORP: make judgetnenis and esiimaies thai are Te&sonable aThd ptudenl.. state whether ihe applicable aecouniing siandards have been followed. subject io aThy JnaieriJ] depaTiUTe5 di5cl0sed and explained in the financial siaiernents- piepaie the fjnancial staiemenis on the going concern basis unless it is inappropriate to preslhme that ih¢ charity will coniinue in business. The Irustees are responsible for keeping prOr accourtting records ih* dI195e wilh rea50nabl¢ awurxy at any lim¢ the financial position tsf the Clwity and enable them LO ensure thai Ihe flnancial siat¢tnents c(Trtnply with th¢ Charities Aci 2011. Ihe applicable Chariiy (Accounts and Reports) Regulations arhd ihe provisions of ih¢ iru51 d¢¢d. They are also iesponsible lor safeguarding ihe asseis of ihe chariiy and hence for iaking re&£onable sieps for the prevention and d¢t¢ciion of fraud and oiher irregularities. Approved by the Tiusiees on 15 lanuary 2024 and si81d Ls auihotised on theii IhaIr by= bLlo 1), Sr. Margarei Alice McElroy Trusiee and Congregaiional Team Leader
INDEPENDENT EXAMINERS, REPORT TO THE TRUSTELS OF THE FKiNCISCAN StSTERS OF MILL HILL I retxTrrt to the Trustees on my exarninaiion of accoun of The Franciscan Sisiers of Mill Hill for ihe year eThded 31 March 2021 which are sct out on page5 1 I to 19. Respeetive responsibilities of tntsttts nd tXmiDer The irusiees are responsible for Ihe preparaiion ol Ihe accounts in accordance with the requ1Men11 of thc Charities Acl 2011 ("Ihe 2011 Aci"). The Irusiees a Slilisfied Ihai an audit is noi requited for this year under sctiion 144(2} of the 2011 Aci and have chosen insieJJ io hav¢ an independeni exatniNaiion. l Tepffl in respeci of my examinaiion of ihe Tn1,5 accounis as Larried oui under seciion 145 of Ihe 2011 Acl. In carTying Oui tny ¢xafflinaiion I hav¢ followed the requirements of ihe applicable Direciions given by the Chariiy Commission undLr section 14515llbl of th¢ 2011 A¢1. Independent examiner's statem¢n¢ I havL Loinpleied my examiThaihon. I coThfJmi ihal n(I mallLt5 have come to my aitcntion giving me cause to believe ihai in any Inalerial rLSPLCI'. accouniing rLrord5 were not kepl in rLyKLI i)fil)L' Lhariiy as required by section 110 of the 2011 ACL: or IhL a¢Lounis do not aCc[d with tho* rLLiwd%: i IhL accounis do not tomply with ihL appliL41hlL fLyUitL'¥llrnis concerning i1. lortn and contenl of accounrs sei Qui in IhL Ch117 {Accounis and RLPi)tl%l RLyiiliilii)n% 21X)8 IAhei than any rL4uirL1LTri Ihai ihe accounts give a irue and fair ¥iLw which is not a maiiLI ciin%i(ILfLYJ Pilrt of an indcpendenl Lxaiiiinali()n. I have no c(Trnccrns have come acr05S no (MhL'r maiiLrs in connecii(Trn wirh the Lxaminaiiibn which aiieniion should drJwn in ihis repori in order io enable a pn)rLr undLr4iandinTr of Ihe accounts li) . rC,¢hI. m Halsey FCA Haysmaciniyre LLP Chartered A¢coun¢S 10 QIiLLn Sireei Place L()ndon EC4R IAG Dale: 10
FRANCISCAN SISTERS OF MILL HILL BALANCE SHEEr AS AT 31 MARCH 2023 2023 2022 No¢es Fixed Assets: Tangible fixed asse Inve51menis 1,180,570 2,278,916 1.420.207 2,432.982 1,659,466 1,859.245 Current Assets Debiors Cash ai bank and in hand 7.578 682,895 5,160 777,588 690,471 782,748 Creditors: Amounis falling due wiihin one year (11.818) 115,1941 Net Current Assets 676,655 767.554 Net Assets £4,316,121 £4,626.799 Funds General 9CK).158 970,563 DeSignad Reiiremeni Fund - Propelly Fund 2.250.(KI) 1,185,963 2,250.(X)o 1,406.2.76 1,435,961 1.656.2.76 £4.316,121 £4,626,799 The financial siaiements were approved a1 auih(Ki5ed f(Y issue by ihe Board of the Trus*es on and were signed below on its behalf by.. Sr. Margar¢i Alice McElroy Tru5¢ee and Congregational LeadeT Date.. 15 lanuary 2024
FRANCISCAN SISTERS OF MILL HILL STATEMENf OF FINANCIAL ACTIVITIES FOR THE YEAR TO 31 MARCH 2023 Designated Funds General Rdirement Property Fund Fund Fund 21123 Total 2022 Total Notes Income from: Doiiaiioiis aiid le8ocies.' Donaiion5. gifis and legacies Sisier4' salaries and nSiOnS 1.085 74,152 61.277 1,085 74.152 01.277 1.720 141.153 57.966 142 176,616 2,422 Otliei. SalL of fixed Assets JRS furlough gran(S 1.998 Total income 142.855 142,855 -180,019 Expenditure on: Raising funds Invesitneni management C05l 16.27? 16.27? 17.461 Charitable activities Si51¢TS' mainnanCe and weire 196,457 45.( 279,.325 287,486 Total expendiiure 212.730 45.(A)2 -17.266 295.598 Net Inc•mellexpenditure) aDd Det nwvemeThts fund5 bdore {1055e5llgain5 on investments (69.875) {45.fI>21 (77.266} (152.7431 75.072 on investments: Rcalised Unrcalised {64J881 {64.5881 {7.1,3471 11,974 127,194 Net Movement In Ftsnds (69.875) (1835.17} 117.266} (290,6781 214.440 Transfers beiween funds 183537 1835.37) Net movemenl transfers funds •fter (69.875) (220,80.1} (290.678) 214,440 ReconciliAtion of funds: Fund balances broughi forward at l Awil 2022 970.011 2.250.X> 1.4(hfj.768 4.626.799 4,412.-759 F bal4nc¢s carried forward at 31 March 2023 £9W.156 £2.250.(M)0 £1.185.965 336,121 £4.626,799 All funds in 2022 and 2023 were unrestricted. 12
FRANCISCAN sisfERS OF MILL HILL NOTKS TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 ACCOUNTING POLICILS The principal a¢couniing policies adopied, judgements and key sources ofeMimioD unc¢T¢aiThiy in the prepararion of the accounts ar¢ laid Qui lOw. a) Basis of prep4ration Th¢ financkal siaLements have been prepared in accordance with the slamen1 of R¢cornrn¢nded Practice for Chw'iiies ISORP 2015) (Second Edition. etfective l January 2019) and the Chariiie5 Aci 2011. The chariiy meeis Ihe definiiion of a publi¢ nefIt eniiiy under FRS102. Assets aJ)d liabilities are ini(ially recognised at hi510ri¢al ¢osl or wwJ5¥1ion value unless herwiSe 5th1ed in ihe rel¢vani cOun1]ng policy noielsl. bl Critical accounting estimates and areas of judgement Preparation of (he accounis requires ihe Trustees io make signiflcant judgeTnents and estimates. The item5 in the accounts where these judgements and eslimaS have en mJe include: estimating the ¢conomi¢ useful life of tangibl¢ fixed awts. e} As5essmtnt of going toten The Trusiees have assessed wheiher Ihe use of ihe ooino concern assumpiion is apprOprie in preparing ihese accounis. The Trusiees have made Ihis assessmeni in res a ri(Yj of one year Iiom ihe dale of appioval of (hese accounis. The Trustees of ihe chariiy have concluded ihai ihere are no ma(erial uncertain(ies relaied io ewenis or conditions thai may casi significani doubi on ihe abiliiy of ihe chariiy io coniinue as a troing concern. The Trusiees arc of the opinion ihai ihe chariiy will have sufficieni resources io meci its liabilities as Ihey fall due. The mosi signilicani areas of judtremeni Ihai affeci iiems in ihe accounis are deiailed above. With regard io Ihe nexi accountino period. Ihe year ending.31 March 2024. Ihe mosi significani areas Ihai affeci ihe carrying value of Ihe asseis held by ihe chariiy aTe Ihe level of invesimeni reiurn and Ihe perlorniance of ihe invesimeni markets (see ihe invesimeni p)licy and ihe risk managemeni secrions of ihe Trusiees. Repon for more inforniaiionl. dl Cash Flow Statement The Trusiees have iaken vane of ihe provisions of ihe Siaremeni of Recommended Prac(ice for Chariiies ISORP 2015) for smaller chariiies and have chosen noi 10 prepare a cash flow siaiement. e) Ineome recognition Income is recognised when Ihe charity ha5 entitlement to the funds. any performance condiiioThs aiiached io the item{s) of income have been rnet. it 15 probable the income will be received and Ihe arnouni can b2 rneasured rcliably. Si51ers' sal es and nsionS are received under deeiLs of covenani and are 51a d inclusive of income lax bui nei of any deductions f(x sIKial security paymenis and coniributions to occupalional pension 5chernes Éf relevani. Legacie5 and donations are recognised when receivable or when the Society becomes Icgally eniiil¢d 10 them. R¢ceipts of prortY. invesiments or other gifts in kind are included ai market valu¢. In accordance with the Charities SORP FRS102. volunteer time is not recognised. Dividends are recognised once the dividend has Ixen declared and notificalion ha5 trten received of the dividend due. Iniere51 on funds held on derKbsit Is included when Teceivable and the amount can be m¢a5ured r¢liably by th¢ eharity. this is nornially upon th]rICaLl0n of the interesi paid or payable by (he bank.
FRANCISCAN SISTERS OF MILL HILL NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 ACCOUNTINC POLIC5 (cgmtinued) Expenditure recognitiom nd irretoverallk VAT Expendiiure is recOgni..d once ihere is a letsal orconmruciivc obligation to make a paymeni to a ihird pony, li is probable ihai 5eiilLm¥ni will Te4uired IhL (Im()uni uf Ihe obligation can be mea5ur¢d reliably. ExpendiiurL is cl&&8ified under ihe following xiiviiy h1[15. Costs of raising fLEnds ¢0mprI ftts paid in rL'spLLI ol fund management advice in relation lo the charity's porifolio of quoted inv¢51mcnLS. which is manaocd undei a discreiionary management agreement. Exp£ndiiure on chariiablL aLiiviiie5 include5 ihL COS15 of running the charity's convents as well as all oiher cosis associaiLd wilh furthLring ihe chatjlable puTSe5 of ihe chariiy thrgh ihe provision of lis charitable aciiviiies. ThLSL co%L% Ll)mprt5L chariiable granis and donalions. direct and suppori costs in respeci io the 5UPPnrt of m¥rnk'r.% i)r t. Congr¢gaiion and ihLir minisiry. li also includes governance cosis. Chariiable graiits and donali(Trn% arL niadL whLfL ihe Trusiecs ilKrL' 1% rLal t)ced follow>ng a review of IhL dLiails ofeach particular CIL and c()mpTI. single year payniLnis r¢iih¥r Ihdn Inulii-yLar grants. Grants and doThaiioThs are included in IhL %liilLmLni ill- financial aciivilie5 whLn appn)VLd fnr paymcni. Provision is made for gTants and donations appmv¢d bui unpaid ai ihe peritxl end. Irrecoverabl VAT is ChrgL as a L(>s1 Jgainy the a¢iiviiy for whiLh ihL" was incurred. g) Alloeation of5UPPOrt and goveTwD¢e rn5ts Supwjncosts represeni indireci charitable expendilure. In order tocarry lh¢ primary purposes of ihe charity li is necessary io providL suprI tn ihe lorm ol rSonnel dcv¥lopm¥ni. financia] procedure& provision of ole¢ s¢rvi¢es and equipmeni and a suithble wotking environffteThi. h) T&Dgibl¢ Fixed Assels Prior io l April 1996 all capital expendiiuf¢ was wri1Tr off as incutred. As ai ihai date (he Trusiees esLiMal the rUtl value of flxed assets required to b¢ Shown in ihe balance sheei. Subsequent aequi%iiions or kmprovetnenls are capitalised ai co. It)dividual asseis costing £2.IXKI or more are capithliscd ai co. Depr¢¢iaiion is calculaied by ihe siraighi line meihc4J io write off the c05dvalue. less aniicipaied residual value, over the expe¢led us¢ful lives of asse as follows: Leasehold land ond buildings Freehold buildings F[nI1[C and cquipment Moior vehicles 50 years JO yeaT5 4 year5 4 years i) Investments Quoied invesiments are valutxl ai their closintr Middle ei price on the balance sheer dale. Increases and decreases in markei value are reflecied in Sialetnent of Financia] Aciivilie5. In addilton, the charity has e51ablished a pension scheme forcenain SisteES. The scheme is a Defcrred Annuity Coniraci whereby a cerin gUaraned sum is payable io ihe chariiy ai a fixed fulute date. No value can be aiiribuied (o Ihe coniract as fuiure reiurns are d¢p¢ndeThi on ihe bonuses which in ium depend on investmenl retuins and inflation. Therefore ihe a5sel is included in the balance sheei ai ihe agÉrege value of the premiums paid io dale, which ihe Trusiee% es11n is noi materially differeni from its markei walue. On maiuriiy, WLKeeds are udilcd io ihe s$emen1 of FiThancial Aaivities nei of pr¢miums paid in respeci or the relevani member or memtYT5. 14
FRANCISCAN SISTERS OF MILL HILL NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 ACCOUNTING POLICIES (ntinued> i) Firtaneial Instrumettts The charity only holds financi and financial liabilities of a kind th qualify as basic financial instruments. Basic flrtancial instruments 8re initially recognised at transa¢tion value and subsequenily measured ai iheir settlemetLI value. kl Debtors Trade and oiher deb(OTS are rttognTsed ai ihe seiilemeni amouni due. Prepayments are valued the amouni prepaid. 11 C85h at bank and in Iw Cash at bank and in hand in¢ludes ¢ash and thon-ierm highly liquid invesimenis wilh a shon maiuriiy of three rnonihs or l¢ss frorn the dale of acquisiiion or opening of ihe deSlI or similar accouni. Dep)sits for moT¢ than ihr¢e monihs and up io one year have been disclosed as Short-rM deposiis. Cash placed on deposit for rnor¢ than one year is di5¢105ed a5 a fixed assei invesimeni. m) Credilors aDd provisio Crediiors and provision5 are recognised where th¢ rhariiy h&s a prwni obligation re5uliing from a pasi eyeni ihki will probably rc5uIt in the transfer ol funds io a ihird pany and rhe amouni due io seiile Ihe oblioation can be Tneasured or e5tifflated reliably. Cr¢diior5 and provisions are normally Tecognised ai iheir seiilemeni amount ofter allowing for any trade discounts due. n) Strvices provided by members of the Congre8tion For ihe purp(bs¢s of these accounts, no value has ten placed on administrative and other seivices provided by the members of the Congregaiion. 15
FRANCISCAN SISTERS OF MILL HILL NOTES TO THE ACCOUNTS (eontiNied) FOR THE YEAR ENDED 31 MARCH 2023 I TANGIBLE FIXED ASSETS Leasehold Land and Buildin Furniture And Equipment Buildings Improvements Motor Vehicles Total COSTThALUATION At l April 2022 Additions Disw)sals 26.798 .762.155 17,022 45.-344 19.$80 133,824) 1,851.319 19,58(1 (31,8241 Ai.1 l March 202.1 26.798 1,762,155 17,022 -11.1 1.8_17.075 DEPRECIA TION Ai l April 2022 Charge for thL YL Disix)sals 20.9.17 2,022 365.898 1.5.244 14.897 587 425.056 45.171 13,6821 7.-318 {11.6821 At 31 March 202.1 22.959 401.142 15.484 16.960 456.545 NET BOOK VALUE Ai 31 March 202.3 £1.819 £1.161.013 £14.140 £1,380.570 At 31 Fllarch 2022 £5.861 £1.396,257 £2.125 £22.020 £1.426.2&7 All fixed &8seis are held for charitable usE. INVESTMENTS . 2023 Annuity CoDtr8¢1 Portfolio Portfolio Investments Totsl Markei Value ai l Awl 2022 Addiiions during year Disposals lai opening markei wal) Nei invesiwD¢ni losses 17.987 2..361.550 392,088 (405,1001 (117.9151 2,432,982 856,147 (872.4581 (1 ?7,9.351 464.259 1467.358) Marke¢ value at 31 March 2023 £17.987 £50.346 £2,2]0,.7 £2,278,9_36 Cost at 31 Marth 2023 £17.987 £53,445 £1.987.977 £2.059.409 INVESTMENTS.2022 Portfolio Portfolio Investmen Contra¢¢ Total Markei Value ai l April 2021 Addiiions during the year Disposals {ai OTrIng markei value) NeL invesimeni gains 17.987 2.101.086 2,386,606 810,707 {901,2991 119,368 471.121 1487,411) (415.8881 139.168 Market Value at JI March 2022 £17.987 £2.161,550 £2,472,982 Cost at 31 March 2022 £17.987 £51.445 £1.961.498 £2,014.9.30 16
FRANCISCAN SISTERS OF MILL HILL NOTES TO THE ACCOUNTS 1coDtinY) FOR THE YEAR ENDED 31 MARCH 2023 INVFSTMENTS (continued) 2023 2022 Investtnent income aTi5ing from Quoted iThve51ments Bank deposiis 61.277 57,966 £61.277 £57,966 DEBTORS 21b23 2022 Prepayrnents and accrued income £7,578 £5,161) CREDITORS 2023 2022 Other creditors and accnjals £22.707 DESIGNATED FUNDS a) The tru51ees have designaied fund5 oul of the unreMri¢ied funds for SlfiC purpos¢5 as follows-_ Retirement Fund A fund h&$ been designated lo provide for the Chariiy's commitment to provide for the reiiremeni and care in old age and sickness of the Charity's mernrs. An a¢iuarial review of ihe Chariiy's membership carried oul in 1997 indi¢Jted ihai a fund in the region of £2.78 million would be required io finance the Chariiy's ¢Lbmmiimeni 10 provide care for iis elderly metnbers afier taking accouni of iheir i*cupalional pension righis. However il is now feli ihai less is needed in the fund and has therefore been reduced to £2.250.IXX) and hence a (ransfei ahs been made io reduce Ihe fund 10 thi5 leyel. Property Fund In order io fulfil ils charitable obicciive5 the chariiy needs a number of properties. Th¢5e properties, alihough (hey are uTrre51ricied asseis. cannot be reali5ed without undemiining Ihe charity's work and ¢he trusiees therefore feel thai li is appropriaie io refleci Ihe invesimeni in fixed asseis by means of a designaied fund. This fund ha5 been reduced by means of a Iransfer to th¢ level the irusM feel is more appropriate. b) An4lysi5 of Movements- 2023 Incomel {expenditure)
nd
G*lL(lO) Bal£ at l April 2022 Balance at 31 March 2023 ers Reiiremeni Fund Properly Futvj 2.250.( 1.406.768 (181.5171 117.268) 18.1.537 118.15171 2.250,0(X) 1.185.963 £3.656.768 £(220.805) £3,475.96.1 17
FRANCISCAN SISTERS OF MILL HILL NOTES TO THE ACCOUNIS (eontitiued) FOR THE YEAR ENDED 31 MARCH 2023 Analysis of Movements-2022 Intomel (expenditure) nd G41t(lI)s$e$) Balwe at l April 2021 Ba]anc¢ at 31 Nlarch 2022 Transfer5 Reiirejneni Fund Property Fund 2.250.LKKI 1,-146.746 102.623 (42.fKII) (102.621) 102.623 2.250.IXN) 1.406,768 £.1.596,746 £fA>.022 £1.656.768 EXPEND111TRE 2023 2022 Cost of Raising Funds InvLsimLni manaoL'meni l¢L'. £16.271 £17,462 Sisters. M4int¢nonc¢ and Welfare 2023 2022 Dirttt Costs Esiablishmeni expenses Depieciaiion Maintenance and living cos Siaff costs Donations. courses aNI church eXSe% Suppon and other expenses Governance costs (see below) 55,191 45.171 105.871 34.903 21.694 8,940 7.553 64,444 56.499 70,975 17.052 £279,325 £287.486 The costs have a]1 l*en directly alliKaied 2023 21b22 Governanet 5ubseriptions Independeni examiner's fec5 Accouniancy f¢e5 Legal and prof¢55ional fees £7.553 £17,052 STAFF COSTS 2023 2022 Wages and salwi¢s Social se¢uriiy Costs 31.812 -3.091 £?4.901 £78,170 No etnployee iecei¥ed emoluments of more than £60.(XX). The average number of employees in ihe year was 2 (2022.. 2). Tht chariiy's key management petsonnel are its Trus¢5 who are nol rernunerated. 18
FRANCISCAN SISTERS OF MILL HILL NOTKS TO THE ACCOUNTS ItontiDued) FOR THE YEAR ENDED 31 MARCH 2023 TRANSACTIONS wrfH TRUSTEES AND RELATED PARTILS The trusiees of the Charity are also members of ihe Congregation and as such have iaken vows of poverty under which they have renourtced all Tsonal rights to income and capital. The Choriry Provides for Ihe esseniial needs of all the members. The living costs of the five trustees ar¢ iheref¢)re borne by ihe Chariiy in Ihe same way as Ihose of other Sisters. The iiusiees Ihetefore receive Tho nefIt by vinue of iheiT pDsiiion a5 irusiees. This leaves them free to carry out their prime purpose. 10 &lvance the RoTnan Catholic religion. No remunerarion has been paid (o ihe irusiees. There were no oiher transactions with relaied partics {2022- the 10. ANALYSIS OF NET A&sEfs BY FUND - 2023 Designated Funds General Fund Retirement Fund Property Fund Tot*1 Fund Balanees ai I l March 20218re Tepresented by.. TangÈble fixed Inve51rnents Current assets Curr¢nt liabiliti¢s 194.567 1,185.965 1.380,5.12 2,278.9.14 690.473 117.8181 2.278,914 (28,9141 719.407 (11.818) £9W.156 £2.250.IXK> £1,185.965 £4,136.121 ANALYSIS OF NET ASSETS BY FUND - 2022 Designated Funds Genernl Fund Retirement Fund Property Fund Totsl Fltnd Balances al 31 Ma 2022 ar¢ represenied by.. Tangtble fix¢d asse Investments Curreni asgets Curreni liabiliti¢S 19.495 1.406.768 1.426.267 2.4.72.982 782.748 (15.194) 2.412.982 (182,982) 965.730 (15.194) £970.0.31 £2,250.(KK) £1.406.768 £4.626.799 19
FRANCISCAN SISTERS OF MILL HILL NOTES TO THE ACCOUNTS (continued) FOR THE YEAR ENDED 31 MARCH 2023 11. STATEMENT OF FINANCIAL ACTIVITIES 2022 Designated Funds Retirement Property Fund Fund Gener41 Fund 2022 Total Ineome frnm: Doiiufioiis oiid legacies.. D¢)naLions. gifis and legacie5 .Sisiers' Salaries and pensions 1.720 141.151 57.906 1,720 141.151 57.966 Oilier Salc of fixed assL'I% JRS furloutsh giani% Total incobne 142 176.616 2.422 142 176.616 2.422 1110.019 380.U19 Expenditu on: Raising funds Invesimeni manLlemen1 COSLs 17.461 17,461 Charitable activities Sisi¢rs' maini¢nanc¢ and welfare 208.140 41601 287.486 Tot41 expenditure 225.(4)1 16.745 41601 304.947 n¢t ineomtl lexpenditurt) XDd net movements in funds before gain% on investments 154,418 (36.745) (42.()1) 75,072 Gains on investments: Realised Unrealised 11,974 127.394 1.974 127..394 Net Movement in Funds 154.418 102.623 (42.flJl I 214,440 Rtconciliation of funds: Fund balances broughi forward at I ApTiI 2021 815,613 2,250.(XM) 1.346.746 4.412,359 Fund bal4n¢es earried forward al 31 March 2022 £970.011 £2.250.(XKJ £1.4(¥F,768 £4,626,799 20
FRANCISCAN SISTERS OF MtLL HILL INCOME AND EXPENDITURE SCHEDULES FOR THE YEAR ENDED 31 MARCH 2023 Houses & PeNinal Budgets Central Funds Total 2023 Total 2022 INCOME Investment income Dividends Interesi 58.998 2.279 58.998 2,279 57,966 61.277 61.277 57,966 Donations and gifis Sisters. salaTies and pensions Sale of flxed assets Oiher income JRS Furlough gran(s 1,085 74.152 1.085 74,152 1,720 141,153 176.616 142 2,422 Tot81 incorne 142.855 142.855 180,019 EXPENDITURE Invesitnenl tnanagement costs 17,461 Ch8Til4ble Expenditure EsiablishmeDI ¢xpeTlSe5 Maini¢nan¢e and welfare of Tnembers Donations. courses and church expenses Administraiion aThd oiher expenses 92.456 140,776 21.694 16,846 92,456 140,776 21,694 16,846 107,046 109,145 271.772 271,772 270,414 Governanee of Charity 7.553 17,052 Totsl expenditure 295J98 295,598 304,947 Net inc0mellexw1tsre) before traArfers Transfer b¢tween funds (152.743) 1152,743) 75,072 Net ineomellexpenditsrt) for the year (152.741) (152.743) 75.072 Gains OD inve5trnent a. R¢alised Unrealised (64J88) (73.149) 164.588) 17?.-149) 11.974 127.394 Net Movements in Funds {2.680) (290.680) 214.440 Fund balances bToughi forwaTd at l April 2021 4.626.799 4.626,799 4.412,A59 Fund balances carried forward a¢ 31 March 2022 £4.316.119 £4,116.119 £4.626,799 21
FRANCISCAN SISTERS OF hllLL HILL INCOME AND EXPENDITURE SCHEDULES- FOR THE YEAR ENDED 31 MARCH 21123 Central Funds Houses & Persots Budgets Total 2023 Total 2022 CHARITABLE EXPENDITURE Est&blishment expenses Insurances Repairs Light and heat DtpiEciaiion Bungalows - Expen5e5 Bungalows- Ground rL'ni Oiher esiablishmert( costs 2.fA)I 1.549 (1.042) .17.266 11.9.14 1167) 2.(a)I 1,549 11,0421 2.461 7,211 42,)1 5.224 1167) 45.954 92.456 92,456 107,046 Mllintentsnce and Welf4rt Provisiorn% HousLh(Trld arml furnishings 9.197 9,197 7.251 545 18,170 24,985 74.901 40,197 ShsicTS' LxnSs MLdical Holidays Books, aIl0nery and subscripliDn. Sisiirs. Resideniial Caie (Si. VÈnLLlli's1 40,197 21 -i.o.I I 6.758 45.602 6.758 45.fA)2 1.418 140.775 140.775 109,145 Donations CollT5¢5 And Church Expenses Church Slipends RLireais and sabbaiicals Educational course5 Don&iions- gcncral and tnissions .3(M) 19 2.070 19.286 -19 2.070 19.286 540 26,442 21.695 21.695 AdmintratiOn and other expenses Telephone Postage Travel Cotnpulerl Broadband Moior expenses CounciVAGMIChaExer Bank cha¥ges Sundry expenses Depreciaiion Ex¢hange {gaInsO55¢S 2,216 445 759 445 759 11,1741 2,674 1.818 2.940 2.940 644 628 2.019 7.W5 628 2.019 2.945 (1611 16.846 16.846 Investment anagement fee5 16.27.1 10.27? 17.462 Gov¢Tll4ntt of the Charity Audit and Jccountsncy Oih¢r Advice 5.416 7.551 17,052 22