2021-11-30-accounts

Glenthorne Quaker Centre

Financial Statements for the year ended 30 November 2021

Charity Registration Number: 232575

Glenthorne Quaker Centre

Financial Statements

Year ended 30 November 2021

	Pages
Trustees' annual report	1 to 7
Independent examiner's report to the trustees	8 to 9
Statement of financial activities	10
Statement of financial position	11 to 12
Notes to the financial statements	13 to 29

Glenthorne Quaker Centre

Trustees' Annual Report

Year ended 30 November 2021

The trustees present their report and the unaudited financial statements of the charity for the year ended 30 November 2021.

Reference and administrative details

Registered charity name	Glenthorne Quaker Centre
Charity registration number	232575
Principal office	Easedale Road
	Grasmere
	Ambleside
	Cumbria
	LA22 9QF
Nominee	Friends Trusts Limited
	Friends House
	Euston Road
	London NW1 2BJ
Holding Trustees	Alan Robinson	from May 2017
	Meg Hill	from April 2020
Managing Trustees:
Trustees appointed in consultation with Area Meetings from ex-Westmorland Regional Meeting
	Hugh Roberts (Co-clerk)	from March 2013 to December 2021
	Jim Paris	from January 2016
	James Eddington (Treasurer)	from June 2016
	Meg Hill	from June 2020
	Grace Ogilvie	from November 2021
Trustees appointed by Quakers in Yorkshire
	Robin Hargreave	from January 2014
	Alan Robinson	from January 2015
	Mike Watson	from December 2016
	Ruth Woodhead	from July 2020
Co-opted Trustees
	Elizabeth Roberts	from January 2015 to December 2021
	Roy Love (Co-clerk)	from January 2019 to December 2021
	Roy Love (Clerk)	From January 2022
	Patrick Gray	from June 2019
	Hugh Roberts	from January 2022
	James Fowler	from March 2022
Independent examiner	Ian Thompson FCA (ICAEW)
	Saint & Co
	The Old Police Station, Church Street
	Ambleside
	Cumbria LA22 0BT

- 1 -

Glenthorne Quaker Centre

Trustees' Annual Report (continued)

Year ended 30 November 2021

Structure, governance and management

Legal Structure and Governance

Glenthorne Quaker Centre is a Registered Charity (Charity Registration No. 232575). In 1961 the late Linton Taylor bequeathed his house, known as Glenthorne, and its grounds to be held in trust and used as a place for members of the Religious Society of Friends (Quakers) and others to come for purposes of religious worship, for rest, for convalescence after illness and for other activities of a charitable nature. Friends Trusts Limited and the management hold the property in trust and control of the Centre is vested in the Glenthorne Management Committee. The charity is regulated and governed by the scheme given effect on 27 August 2009 and amended by resolution on 25 April 2010. The scheme updated the previous constitution, clarifying the objects of the charity and including a number of changes to the administrative provisions. It was further amended in 2020 to allow for the laying down of Westmorland Regional Meeting in 2019, as described in paragraph three below.

Glenthorne Guest House Limited (Company No. 6895868) is a wholly owned subsidiary company of the Charity under the terms of a Licence and Memorandum of Understanding dated 29th June 2009. The primary purpose of the trading company is to facilitate the usage of rooms for purposes that fall outside the ambit of the charitable objects when these are not needed by the Charity and in turn increase monies available to be applied towards the charitable objects. The Charity retains responsibility for all property, staff and resources. It provides accommodation, meals and facilities for paying guests of the Company and charges are made for these services under the terms of the Licence.

Since its foundation, the trustees of Glenthorne have comprised eight members: four each appointed by what later became Quakers in Yorkshire and Westmorland Regional Meeting (originally known as 'Quarterly Meetings') for a period of four years on a rotating basis. In the course of 2019 Westmorland Regional Meeting ceased to exist. In recognition of the long-standing Westmorland connection Glenthorne trustees in Minute 20.28 of their September 2020 meeting agreed a special resolution on amendments to the Scheme under which Glenthorne is governed. Clause 12.1 now states that in future four members will be appointed by Glenthorne Management Committee to be drawn from Area Meetings of Lancashire Central and North, Swarthmoor and Kendal, and Sedbergh, following consultation between the Management Committee and the Trustees and Clerks of those Area Meetings. It was also agreed that Clause 26, on the disposal of Glenthorne, would now provide for one half to go to Quakers in Yorkshire, and the remaining half to be divided equally among Lancashire Central and North Area Quaker Meeting, Swarthmoor (South West Cumbria) Area Quaker Meeting, and Kendal and Sedbergh Area Quaker Meeting. The amendments, in appropriate wording and format, were forwarded to the Charity Commission, which had previously agreed to their content (see 2019 Trustees Annual Report).

The trustees also have the power to co-opt up to four members to the committee; during 2020 four such trustees were co-opted. No member may serve on the committee for more than eight years consecutively and there must be a gap of at least one year before a member can be re-appointed. The clerk, treasurer or bursaries clerk may serve on the committee for up to twelve years consecutively and there must be a gap of at least one year before such a member can be

- 2 -

Glenthorne Quaker Centre

Trustees' Annual Report (continued)

Year ended 30 November 2021

Legal Structure and Governance (continued)

re-appointed. At least half of the members of the Committee must be members of the Religious Society of Friends (Quakers).

New members of the Committee are given a job description, copies of the constitution and key policy documents as well as recent committee minutes and financial reports. In pursuing the objects of the Charity, the trustees manage Glenthorne after the manner of Friends as a place of worship, respite and spiritual renewal; a place where Quaker spiritual, charitable and educational concerns can be advanced; a place of outreach to people of all ages and beliefs. Glenthorne is run as a Quaker establishment but is open to all. It operates a bursary scheme to help those who are less advantaged.

Statement of Trustees' Responsibilities

The trustees are responsible for preparing financial statements that give a true and fair view of the state of affairs of the charity at the end of the financial year and of the incoming resources and application of the resources of the charity in that year in accordance with applicable law, regulations and governing documents.

The trustees are responsible for ensuring that the charity maintains proper accounting records and an appropriate system of internal control. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps to ensure the charity's activities are conducted honestly and for the prevention and detection of fraud and other irregularities.

Management

The Management Committee is a working committee, which normally meets quarterly. It is responsible for establishing policies and procedures, which provide a framework for the work of Glenthorne and for setting the objectives and strategies in furtherance of the charity's aims. The Committee oversees the financial affairs, ensuring that adequate financial and other records are maintained, that all statutory regulations are observed and that all statutory returns are completed accurately and on time.

Trustees usually serve on one or more sub-committee or working group, which have responsibilities and powers, delegated by the Management Committee. The Operations Committee reviews business performance, property matters, staffing and any other operational issues; it also provides the main interface with the trading subsidiary. The Programme and Marketing Committee oversees arrangements for Quaker events and for programme events and special interest holidays. It promotes the Quaker ethos, outreach and publicity and works closely with the Friend in Residence. Committee meetings are held according to the Quaker business method.

The Management Committee appoints the Manager and Friend in Residence. The appointment and management of all other staff are the responsibility of the Manager. A trustee is appointed to provide support as line manager.

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Glenthorne Quaker Centre

Year ended 30 November 2021

Trustees' Annual Report (continued)

Risks

Check lists were drawn up based on advice available and regularly updated. Possibilities for grant aid were continually monitored, and regular scenario forecasting occurred. These are ongoing activities.

Public Benefit

Trustees have referred to the guidance published by the Charity Commission and believe that our charitable activities provide benefits open to Quakers and others. The Welcome Project provides short respite breaks for asylum seekers and refugees and those made destitute when their asylum claim fails. They come to Glenthorne with befrienders; these are arranged through local organisations in the north of England working in this field. The general bursary scheme provides the opportunity for financial support to those in need who might otherwise be prevented from the benefits we offer. A wide range of people derive benefit from attending the courses or other programmed events held at Glenthorne during the year. A public Meeting for Worship continues to be held on the second and fourth Tuesday in the month.

Objectives and activities

Glenthorne provides a space where people of any faith or none may stay a while in peace and relax before returning rested and renewed to their everyday lives. We continued with our aim that Glenthorne be more widely known and utilised as a residential Quaker spiritual centre in the North of England.

Our charitable activities are underpinned by the regular events organised by Quaker meetings and groups, by our own extended programme of special courses and by promoting the Welcome Project and other respite breaks supported from our bursary funds.

Achievements and performance

The situation nationally with the Coronavirus epidemic prevented any re-opening until 17[th] May 2021, and then only with rigorous safety procedures such as staff wearing masks during meal service. Social distancing restrictions in the dining room also confined maximum occupancy to between 50% and 70% as rules changed. Some of this also comprised bookings carried forward from 2020. Hand sanitizing stations and social distance signage also remained in place. Rooms were not serviced during a guest’s stay and bedrooms were sanitized after each departure. All staff had been appropriately vaccinated, and temperature checks preceded each shift. Staff were also encouraged to take a lateral flow test twice a week . This continued until the end of the operational year in November 2021.

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Glenthorne Quaker Centre

Year ended 30 November 2021

Trustees' Annual Report (continued)

Achievements and performance (continued)

Continued pressure on reserves as described in the 2020 report meant that no major property works were undertaken during the normal closed months of December 2020 and January 2021. In February, as the drain on reserves continued, an appeal was made for donations to help ensure the survival of Glenthorne. This with other donations raised the significant and valuable sum of £21,628, for which trustees were most appreciative and an indication of how important Glenthorne’s continuation was seen by so many current and former guests. Throughout the period the daily morning meetings for worship by Zoom, continued to be well supported. Following re-opening in May the continuation nationally of the COVID threat, albeit lessened as vaccination coverage increased, did mean, however, that a number of courses were cancelled because of lack of numbers. Despite this the year ended with an occupancy rate of 75%-77% for the period during which we were open. Of the courses offered ten were on Quaker spiritual issues while others, though of more general interest, reflected Quaker values and provided, indirectly, a form of outreach.

In October the government announced an increase in the National Living Wage and National Minimum Wage, and this, combined with a tight labour market in Hotel and Catering in Cumbria, prompted Trustees to revise the entire wage structure, increasing it in line with hospitality rises in the region. Given the continuing uncertainties, the challenge of returning to full capacity, and rebuilding reserves, an outline business plan was produced which included a review of sub-committee structure, a decision to focus our spiritual courses more closely to themes coming from Britain Yearly Meeting, and to develop and publicise our ethical, environmental and sustainability policies and actions. Throughout, our charges to guests have remained at a level sufficient to cover operational costs and to provide prudent contingency reserves rather than the usual business practice of maximizing profits. Charitable guest income amounted to 91% of total operational income, the balance coming from overnight guests through the trading company.

During the COVID lockdown and subsequent partial re-opening the Welcome project to provide short holidays for refugees and asylum seekers was largely inactive but restarted in the autumn with three visits before the end of the season in November. One of these was in collaboration with the Wordsworth Trust and the University of Cumbria and was greatly appreciated and enjoyed by all participants. We hope to be able to repeat this in 2022.

Trustees’ report for 2020 reported a decision to radically re-design the garden but that work on it had been delayed by potential cost, given the impact of COVID19 on guest income. It was only in the second half of 2021, when partial opening-up began, that this intention was returned to, but the outcome has been that a final plan will not be available until the first half of the 2022 season, and its implementation not until later in that year. In the meantime, essential maintenance has continued.

As with the report for the previous year, trustees again recorded their gratitude to the manager, Laura Tortosa, for her continued invaluable work during another difficult year, and to all the staff for their continued cooperation, commitment, and positive feedback from guests.

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Glenthorne Quaker Centre

Trustees' Annual Report (continued)

Year ended 30 November 2021

Financial review

Results for the Year

In contrast to 2020, affected by severe COVID restrictions, Glenthorne has this year produced an operational surplus of £97,732 (2020 deficit of £96,837).

Guest income was £317,918 (2020: £175,573); guest income received by the non-primary purpose trading subsidiary company Glenthorne Guest House Ltd was £37,964 (2020: £6,903) so the combined guest income for the charity and company was £355,882 (2020: £182,476). The amounts received from the trading company in the form of service charges, licence fee and gift aid donation, totalled £36,663 (2020: £5,640). The total incoming resources', including donations grants and staff accommodation charges was £471,991 (2020: £319,235).

Total resources expended were £374,260 (2020: £416,072), including project repairs and maintenance £Nil (2020: £37,394).

Accounting Policy

Trustees have established criteria by which guests are identified either as beneficiaries of the Charity (Glenthorne Quaker Centre) or as guests of the trading subsidiary (Glenthorne Guest House Limited). If there is any doubt as to the allocation then it is the guest who decides, based on the purpose of their stay and our charitable objects.

Reserves Policy

Freehold property costs and any associated revaluation are disclosed as restricted reserves and leasehold property costs and any associated revaluation are disclosed as unrestricted reserves, to reflect the review of the properties carried out in March 2019. In addition, a designated unrestricted reserve has been maintained to reflect the book value of fixtures, fittings & equipment and computers.

Two designated unrestricted reserve funds brought forward, namely the Contingency Reserve Fund and the Buildings Reserve Fund, have been undesignated and transferred to General funds (historically, the Contingency Reserve Fund provided for unforeseen emergency requirements and the Buildings Reserve Fund provided for planned repairs, fittings and development of the site).

- 6 -

Year ended 30 November 2021

Glenthorne Quaker Centre

Trustees' Annual Report (continued)

Plans for future periods

At the time of preparing this report (May 2022) the country has been out of COVID lock-down for several months, and Glenthorne has been able to operate at full capacity once more. Significant cost inflation relative to our pre-advertised charges and advanced bookings mean, however, that reserves will only be built up again relatively slowly. Within this, however, Trustees are committed to pursuing plans to restructure the garden and other measures to reflect the sustainability objectives to which Quakers nationally are committed. This will happen alongside a general review of our ethical stance on all operational areas, combined with greater emphasis in our short courses on issues pertinent to national Quaker concerns, in each case not only as moral commitment but as a marketing objective wholly consistent with our charitable objects. On property maintenance attention will also be paid to certain aspects of staff accommodation.

The trustees' annual report was approved on 7 June 2022 and signed on behalf of the board of trustees by:

Roy Love (Clerk) Trustee

James Eddington (Treasurer) Trustee

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Glenthorne Quaker Centre

Independent Examiner's Report to the Trustees of Glenthorne Quaker Centre

Year ended 30 November 2021

I report to the trustees on my examination of the financial statements of Glenthorne Quaker Centre ('the charity') for the year ended 30 November 2021.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies.

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

1. accounting records were not kept in respect of the charity as required by section 130 of the Act; or

2. the financial statements do not accord with those records; or

3. the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair' view which is not a matter considered as part of an independent examination.

- 8 -

Glenthorne Quaker Centre

Independent Examiner's Report to the Trustees of Glenthorne Quaker Centre (continued)

Year ended 30 November 2021

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Ian Thompson FCA (ICAEW) Independent Examiner

Saint & Co The Old Police Station Church Street Ambleside Cumbria LA22 0BT

………………………. Date

- 9 -

Glenthorne Quaker Centre

Statement of Financial Activities

Year ended 30 November 2021

			2021		2020
		Unrestricted	Restricted
		funds	funds	Total funds	Total funds
	Note	£	£	£	£
Income and endowments
Donations and legacies	4	91,155	11,851	103,006	111,702
Charitable activities	5	338,677	–	338,677	197,855
Other trading activities	6	29,771	491	30,262	5,528
Investment income	7	10	5	15	276
Other income	8	31	–	31	3,874
		───────────	─────────	───────────	───────────
Total income		459,644	12,347	471,991	319,235
		═══════════	═════════	═══════════	═══════════
Expenditure
Expenditure on raising funds:
Costs of other trading activities	9	27,145	–	27,145	4,865
Expenditure on charitable activities	9	346,589	526	347,115	(411,207)
		───────────	─────────	───────────	───────────
Total expenditure		373,734	526	374,260	416,072
		═══════════	═════════	═══════════	═══════════
		───────────	─────────	───────────	───────────
Net income/(expenditure)		85,910	11,821	97,731	(96,837)
		═══════════	═════════	═══════════	═══════════
Transfers between funds		4,754	(4,754)	–	–
		───────────	─────────	───────────	───────────
Net movement in funds		90,664	7,067	97,731	(96,837)
Reconciliation of funds
Total funds brought forward		388,685	2,144,351	2,533,036	2,629,873
		───────────	──────────────	──────────────	──────────────
Total funds carried forward		479,349	2,151,418	2,630,767	2,533,036
		═══════════	══════════════	══════════════	══════════════

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 13 to 29 form part of these financial statements.

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Glenthorne Quaker Centre

Statement of Financial Position

30 November 2021

			2021	2020
	Note	£	£	£
Fixed assets
Tangible fixed assets	14		2,456,657	2,468,985
Investments	15		2	2
			──────────────	──────────────
			2,456,659	2,468,987
Current assets
Stocks	16	1,400		1,100
Debtors	17	52,326		16,878
Cash at bank and in hand	18	274,330		143,266
		───────────		───────────
		328,056		161,244
Creditors: amounts falling due within one year	19	137,948		73,195
		───────────		───────────
Net current assets			190,108	88,049
			──────────────	──────────────
Total assets less current liabilities			2,646,767	2,557,036
Creditors: amounts falling due after more than one
year	20		16,000	24,000
			──────────────	──────────────
Net assets			2,630,767	2,533,036
			══════════════	══════════════
Funds of the charity
Restricted income funds:
Revaluation reserve			1,490,276	1,490,276
Other restricted income funds			661,142	654,075
Unrestricted funds:
Revaluation reserve		160,424		163,271
Other unrestricted income funds		318,925		225,414
		───────────		──────────────
Total unrestricted funds
			479,349	388,685
			──────────────	──────────────
Total charity funds	21		2,630,767	2,533,036
			══════════════	══════════════

The statement of financial position continues on the following page. The notes on pages 13 to 29 form part of these financial statements.

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Glenthorne Quaker Centre

Statement of Financial Position (continued)

30 November 2021

These financial statements were approved by the board of trustees and authorised for issue on 7 June 2022, and are signed on behalf of the board by:

Roy Love (Clerk) Trustee

James Eddington (Treasurer) Trustee

The notes on pages 13 to 29 form part of these financial statements.

- 12 -

Glenthorne Quaker Centre

Notes to the Financial Statements

Year ended 30 November 2021

1. General information

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is Easedale Road, Grasmere, Ambleside, Cumbria, LA22 9QF.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102 and has taken advantage of the following disclosure exemptions:

(a) No cash flow statement has been presented for the charity

(b) Disclosures in respect of financial instruments have not been presented.

Judgements and key sources of estimation uncertainty

The land and property is valued periodically. Between valuations the trustees make a judgment whether the current value materially differs from the last valuation. Th only estimate that is made that could have a material effect on the carrying amounts of assets and liabilities is depreciation on fixed assets. The depreciation policy is set out above and the carrying amounts are set out in the tangible fixed assets note to the accounts.

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Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

3. Accounting policies (continued)

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

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Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

3. Accounting policies (continued)

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities. Items under £500 (£250 to 30 November 2017) are not capitalised and are written off to expenditure in the statement of financial activities when the asset is acquired.

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Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

3. Accounting policies (continued)

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Long leasehold property - Over the remaining term of the lease on a straight line basis Fixtures, fittings and - Over 8 years on a straight line basis equipment Computers & ICT - Over 5 years on a straight line basis

Investments

The investment in the trading subsidiary is recorded at cost. Details are shown in the notes to the accounts.

Stocks

Stocks are measured at the lower of cost and net realisable value.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis.

Pension costs

The charity operates a defined contribution pension scheme for the benefit of its employees. Employer contributions are recognised as an expense in the period in which the related service is provided.

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Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

3. Accounting policies (continued)

Licence fee and service charges

A licence fee is payable to the charity by the wholly-owned trading subsidiary Glenthorne Guest House Limited for the use of rooms in the charity's building. A service charge is payable for the cost of the facilities, goods and services provided by the charity to Glenthorne Guest House Limited.

4. Donations and legacies

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2021
	£	£	£
Donations
Bursary donations and gift aid	–	11,851	11,851
Other donations and gift aid	21,628	–	21,628
Donations from trading subsidiary	6,892	–	6,892
Grants
Coronavirus Small Business grants	24,500	–	24,500
Coronavirus Job Retention Scheme grants	38,135	–	38,135
	─────────	─────────	───────────
	91,155	11,851	103,006
	═════════	═════════	═══════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Donations
Bursary donations and gift aid	–	13,550	13,550
Other donations and gift aid	3,355	–	3,355
Donations from trading subsidiary	350	–	350
Grants
Coronavirus Small Business grants	27,000	–	27,000
Coronavirus Job Retention Scheme grants	67,447	–	67,447
	─────────	─────────	───────────
	98,152	13,550	111,702
	═════════	═════════	═══════════

- 17 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

5. Charitable activities

		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Accommodation, courses and
	conferences - guests	317,918	317,918	175,573	175,573
	Accommodation - staff	20,759	20,759	22,282	22,282
		───────────	───────────	───────────	───────────
		338,677	338,677	197,855	197,855
		═══════════	═══════════	═══════════	═══════════
6.	Other trading activities
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2021
			£	£	£
	Licence fee from subsidiary		2,627	–	2,627
	Service charges from subsidiary		27,144	–	27,144
	Sales of goods for Bursary Fund		–	491	491
			─────────	─────	─────────
			29,771	491	30,262
			═════════	═════	═════════
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2020
			£	£	£
	Licence fee from subsidiary		425	–	425
	Service charges from subsidiary		4,865	–	4,865
	Sales of goods for Bursary Fund		–	238	238
			────────	─────	────────
			5,290	238	5,528
			════════	═════	════════
7.	Investment income
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2021
			£	£	£
	Bank interest - Bursary Fund		–	5	5
	Other bank interest receivable		10	–	10
			─────	─────	─────
			10	5	15
			═════	═════	═════

- 18 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

7. Investment income (continued)

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Bank interest - Bursary Fund	–	48	48
Other bank interest receivable	228	–	228
	─────	─────	─────
	228	48	276
	═════	═════	═════

8. Other income

	Unrestricted	Total Funds	Unrestricted	Total Funds
	Funds	2021	Funds	2020
	£	£	£	£
Loyalty rewards	31	31	55	55
Insurance claims	–	–	3,819	3,819
	─────	─────	────────	────────
	31	31	3,874	3,874
	═════	═════	════════	════════

- 19 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

9. Costs of trading and charitable activities

The costs of trading activities relate to the charges made to the trading subsidiary for the accommodation, meals and services provided by the charity for the guests of the trading company.

The costs of charitable activities include those costs which are specific to the running of the charity, the staff and housing costs of the Friend in Residence, the costs of providing the programme events, and those costs that relate to the accommodation, meals and services provided for beneficiaries of the charity, including bursary holidays.

	Trading	Charitable	Total Funds	Total Funds
	activities	activities	2021	2020
	£	£	£	£
Direct expenditure
Staff wages, NI and pensions	12,839	198,718	211,557	233,176
Food and drink	4,972	41,125	46,097	28,413
Laundry & cleaning	621	5,445	6,066	3,844
Programme events	–	7,294	7,294	2,178
Cost of goods sold for Bursary Fund	–	191	191	224
	─────────	───────────	───────────	───────────
	18,432	252,773	271,205	267,835
	─────────	───────────	───────────	───────────
Overheads
Rates, water & rent	1,321	13,192	14,513	16,354
Insurance	959	9,583	10,542	9,377
Heat & light	1,701	16,992	18,693	20,286
Telephone	312	4,498	4,810	4,695
Repairs and maintenance	935	9,340	10,275	7,598
Other site services	828	8,266	9,094	14,157
Computer expenses	540	5,182	5,722	6,395
Printing, stationery and postage	17	763	780	702
Advertising	22	443	465	1,070
Bookings commission	49	474	523	286
Bank charges & interest	441	4,233	4,674	2,494
Book-keeping	252	2,420	2,672	3,155
Welcome Bursary	–	526	526	218
Training courses	–	–	–	250
Miscellaneous expenses	168	1,678	1,846	2,387
Committee travel & subsistence	1	98	99	99
	────────	─────────	─────────	─────────
	7,546	77,688	85,234	89,523
	────────	─────────	─────────	─────────

- 20 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

9. Costs of trading and charitable activities (continued)

		Trading	Charitable	Total Funds	Total Funds
		activities	activities	2021	2020
		£	£	£	£
	Other
	Depreciation & deficit on disposals	1,168	11,664	12,832	15,825
	Project repairs & maintenance	–	–	–	37,394
	Governance - professional fees	–	5,088	5,088	5,100
	Governance - committee travel &
	subsistence	–	–	–	395
		────────	─────────	─────────	─────────
		1,168	16,752	17,920	58,714
		────────	─────────	─────────	─────────
		─────────	───────────	───────────	───────────
	Total costs of activities	27,145	347,115	374,260	416,072
		═════════	═══════════	═══════════	═══════════
	Unrestricted funds	27,145	346,589	373,734	415,854
	Restricted funds	–	526	526	218
		─────────	───────────	───────────	───────────
	Total funds	27,145	347,115	374,260	416,072
		═════════	═══════════	═══════════	═══════════
10.	Net income/(expenditure)
	Net income/(expenditure) is stated after charging/(crediting):
				2021	2020
				£	£
	Depreciation of tangible fixed assets			12,832	15,825
				═════════	═════════
11.	Independent examiner's fees
				2021	2020
				£	£
	Fees payable to the independent examiner for:
	Independent examination of the financial statements			1,470	1,425
	Other financial services			6,290	6,830
				────────	────────
				7,760	8,255
				════════	════════
	Analysed in costs of trading and charitable activities:
	Overheads (book-keeping)			2,672	3,155
	Other - Governance (accountancy and examination)			5,088	5,100
				────────	────────
	Total charge for the year			7,760	8,255
				════════	════════

- 21 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

12. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as	The total staff costs and employee benefits for the reporting period are analysed as	follows:
	2021	2020
	£	£
Wages & salaries	196,693	227,941
Social security costs	15,285	15,885
Employer's national insurance allowance	(4,000)	(4,000)
Employer contributions to pension plans	3,579	3,426
	───────────	───────────
Total charge for the year	211,557	243,252
	═══════════	═══════════
Analysed in costs of trading and charitable activities:
Direct expenditure	211,557	233,176
Overheads (part of Site services)	–	10,076
	───────────	───────────
Total charge for the year	211,557	243,252
	═══════════	═══════════

The average head count of employees during the year was 12 (2020: 13).

No employee received employee benefits of more than £60,000 during the year (2020: Nil).

13. Trustee remuneration and expenses

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees. Trustees' expenses in respect of travel and subsistence amounted to Nil (2020: £494).

- 22 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

14. Tangible fixed assets

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |Long|Fixtures| |Freehold|leasehold|fittings &|Computers| |property|property|equipment|& ICT|Total| |£|£|£|£|£| |Cost| |At 1 December 2020|2,100,000|350,000|170,863|7,975|2,628,838| |Additions|–|–|–|503|503| |Disposals|–|–|–|(1,788)|(1,788)| |──────────────|───────────|───────────|──────── ──────────────| |At 30 November 2021|2,100,000|350,000|170,863|6,690|2,627,553| |══════════════|═══════════|═══════════|════════ ══════════════| |Depreciation| |At 1 December 2020|–|11,796|143,682|4,375|159,853| |Charge for the year|–|5,898|5,933|1,001|12,832| |Disposals|–|–|–|(1,789)|(1,789)| |──────────────|───────────|───────────|──────── ──────────────| |At 30 November 2021|–|17,694|149,615|3,587|170,896| |══════════════|═══════════|═══════════|════════ ══════════════| |Carrying amount| |At 30 November 2021|2,100,000|332,306|21,248|3,103|2,456,657| |══════════════|═══════════|═══════════|════════ ══════════════| |At 30 November 2020|2,100,000|338,204|27,181|3,600|2,468,985| |══════════════|═══════════|═══════════|════════ ══════════════|

----- End of picture text -----

Tangible fixed assets held at valuation

The freehold property, comprising the Glenthorne main house, Cottageside and the flying freehold portion of Bankside, was valued by Hackney & Leigh, chartered surveyors, in March 2019 at £2,100,000. The trustees consider that the valuation is not significantly different at the balance sheet date and therefore £2,100,000 has been used as a reasonable estimate of fair value.

The leasehold property, comprising the leasehold portion of Bankside, was valued by Hackney & Leigh, chartered surveyors, in March 2019 at £350,000. The trustees consider that the valuation is not significantly different at the balance sheet date and therefore £350,000 has been used as a reasonable estimate of fair value.

15. Investments

The charity has a wholly-owned UK trading subsidiary, Glenthorne Guest House Limited, whose principal activity is the provision of accommodation at Glenthorne.

- 23 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

15. Investments (continued)

	Shares in
	group
	undertakings
	£
Cost or valuation
At 1 December 2020 and 30 November 2021	2
	═════
Impairment
At 1 December 2020 and 30 November 2021	–
	═════
Carrying amount
At 30 November 2021	2
	═════
At 30 November 2020	2
	═════

A summary of the trading results of Glenthorne Guest House Limited are shown below:

		2021	2020
		£	£
	Turnover	37,964	6,903
	Other income	–	14
	Service charges	(27,144)	(4,865)
	Licence fee	(2,627)	(425)
	Administration	(1,301)	(1,277)
		─────────	────────
	Profit payable to charity as Gift Aid donation	6,892	350
		═════════	════════
	The assets and liabilities of the subsidiary were:
		2021	2020
		£	£
	Current assets	44,999	9,009
	Current liabilities	(44,997)	(9,007)
		─────────	────────
	Net assets	2	2
		═════════	════════
	Called up share capital	2	2
		═════	═════
16.	Stocks
		2021	2020
		£	£
	Raw materials and consumables	1,400	1,100
		════════	════════

- 24 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

17. Debtors

	2021	2020
	£	£
Trade debtors	4,602	–
Amounts owed by group undertakings	43,807	7,853
Prepayments and accrued income	971	1,040
Gift aid tax	2,946	308
Other debtors	–	7,677
	─────────	─────────
	52,326	16,878
	═════════	═════════
Bank and cash in hand
	2021	2020
	£	£
Bursary account	50,400	43,887
Trustees' reserve account	22,894	32,891
Saver account	20,111	20,109
Reserve account	169,795	33,900
Current account (operations)	11,072	9,950
Current account (other)	–	2,504
Petty cash	58	25
	───────────	───────────
	274,330	143,266
	═══════════	═══════════
Creditors: amounts falling due within one year
	2021	2020
	£	£
Trade creditors	7,334	1,766
Amounts owed to group undertakings	39,998	7,314
Accruals and deferred income	17,894	16,767
Social security and other taxes	24,772	7,639
Quakers in Yorkshire loan	12,000	4,000
Guest deposits in advance	34,247	34,637
Other creditors	1,703	1,072
	───────────	─────────
	137,948	73,195
	═══════════	═════════

18. Bank and cash in hand

19. Creditors: amounts falling due within one year

Deposits in advance include amounts received from guests of the trading subsidiary which are held by the charity in the charity's bank account until the date of the stay.

- 25 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

20. Creditors: amounts falling due after more than one year

	2021	2020
	£	£
Quakers in Yorkshire loan	16,000	24,000
	═════════	═════════

The Quakers in Yorkshire loan was originally repayable over 10 years from 2017, interest free. In 2020 and 2021 there were no amounts repaid and the repayment term was extended, however three repayments are due to be repaid in 2022 and the overall term will revert back to 10 years.

21. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
	At				At
	1 December			30	November
	2020	Income	Expenditure	Transfers	2021
	£	£	£	£	£
General funds	(23,197)	459,644	(363,749)	49,995	122,693
Contingency reserve	17,159	–	–	(17,159)	–
Building reserve	25,738	–	–	(25,738)	–
Leasehold property	174,933	–	(3,051)	–	171,882
Leasehold property
revaluation reserve	163,271	–	–	(2,847)	160,424
Fixtures fittings &
equipment & computer	30,781	–	(6,934)	503	24,350
	───────────	───────────	───────────	─────────	───────────
	388,685	459,644	(373,734)	4,754	479,349
	═══════════	═══════════	═══════════	═════════	═══════════
	At				At
	1 December			30	November
	2019	Income	Expenditure	Transfers	2020
	£	£	£	£	£
General funds	75,605	305,346	(402,877)	(1,271)	(23,197)
Contingency reserve	17,138	21	–	–	17,159
Building reserve	25,706	32	–	–	25,738
Leasehold property	177,983	–	(3,050)	–	174,933
Leasehold property
revaluation reserve	166,118	–	–	(2,847)	163,271
Fixtures fittings &
equipment & computer	35,080	–	(9,927)	5,628	30,781
	───────────	───────────	───────────	────────	───────────
	497,630	305,399	(415,854)	1,510	388,685
	═══════════	═══════════	═══════════	════════	═══════════

- 26 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

21. Analysis of charitable funds (continued)

The Leasehold property and revaluation reserve reflect the net book value of leasehold property as shown in the Tangible fixed assets note.

The Fixtures, Fittings & Equipment and Computer fund represents the net book value of the assets as shown in the Tangible fixed assets note.

The Contingency reserve is held for emergency requirements and the Building reserve is held for planned renovations. Both reserves were undesignated to general unrestricted funds in 2021.

Restricted funds

Restricted funds
	At				At
	1 December			30	November
	2020	Income	Expenditure	Transfers	2021
	£	£	£	£	£
Bursary Fund	44,351	12,347	(526)	(4,754)	51,418
Freehold property	609,724	–	–	–	609,724
Freehold property
revaluation reserve	1,490,276	–	–	–	1,490,276
	──────────────	─────────	─────	────────	──────────────
	2,144,351	12,347	(526)	(4,754)	2,151,418
	══════════════	═════════	═════	════════	══════════════
	At				At
	1 December			30 November
	2019	Income	Expenditure	Transfers	2020
	£	£	£	£	£
Bursary Fund	32,243	13,836	(218)	(1,510)	44,351
Freehold property	609,724	–	–	–	609,724
Freehold property
revaluation reserve	1,490,276	–	–	–	1,490,276
	──────────────	─────────	─────	────────	──────────────
	2,132,243	13,836	(218)	(1,510)	2,144,351
	══════════════	═════════	═════	════════	══════════════

- 27 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

21. Analysis of charitable funds (continued)

The transfer of £4,754 from the Bursary Fund to General funds represents bursary assistance (2020: £1,510). Bursary assistance is the value of accommodation that would otherwise have been charged to the guests in need.

The transfer of £2,847 from the Leasehold property revaluation reserve to General funds represents depreciation on the excess of the revaluation over cost at 30 November 2018, written off over the remaining term of the lease straight line until 4 April 2078 (2020: £2,847).

The transfer of £503 to the Fixtures fittings & equipment & computer fund from General funds represents the cost of a computer system acquired during the year (2020: £5,628 re dining room tables and computer system).

The transfer of £17,159 from the Contingency reserve to General funds and the transfer of £25,738 from the Building reserve to General funds are in respect of the un-designation of these reserves by the trustees during the year.

The General funds transfer of £49,995 reflects all the transfers detailed above (2020: £1,271 reflects transfers detailed above).

The Freehold property and revaluation reserve reflect the net book value of the freehold property in the Tangible fixed assets note.

Funds in deficit

The General funds deficit balance at 30 November 2020 was £23,197, caused by the extended COVID-19 lockdown and restrictions.

- 28 -

Glenthorne Quaker Centre

Notes to the Financial Statements (continued)

Year ended 30 November 2021

22.	Analysis of net assets between funds
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2021
		£	£	£
	Tangible fixed assets	356,657	2,100,000	2,456,657
	Investments	2	–	2
	Current assets	276,638	51,418	328,056
	Creditors less than 1 year	(137,948)	–	(137,948)
	Creditors greater than 1 year	(16,000)	–	(16,000)
		───────────	──────────────	──────────────
	Net assets	479,349	2,151,418	2,630,767
		═══════════	══════════════	══════════════
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2020
		£	£	£
	Tangible fixed assets	368,985	2,100,000	2,468,985
	Investments	2	–	2
	Current assets	116,893	44,351	161,244
	Creditors less than 1 year	(73,195)	–	(73,195)
	Creditors greater than 1 year	(24,000)	–	(24,000)
		───────────	──────────────	──────────────
	Net assets	388,685	2,144,351	2,533,036
		═══════════	══════════════	══════════════

- 29 -