## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **PROVINCE OF GREAT BRITAIN AND IRELAND**
**(Registered Charity Number: 234184) (Charity Registered in Scotland Number: SCO39165)**
**TRUSTEES’ REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2020**
Haysmacintyre LLP Chartered Accountants Registered Auditors London
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **PROVINCE OF GREAT BRITAIN AND IRELAND**
|**CONTENTS**|**Page**|
|---|---|
|Legal and Administrative Details|1|
|Trustees’ Report|2 -15|
|Auditor’s Report|16-17|
|Statement of Financial Activities|18|
|Balance Sheet|19|
|Statement of Cash Flows|20|
|Notes to the Financial Statements|21-30|
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM OTHERWISE KNOWN AS “SISTERS OF LA SAGESSE”**
## **LEGAL AND ADMINISTRATIVE DETAILS**
|Registered Charity Number|234184|
|---|---|
|Scottish Registered Charities Number|SCO39165|
|Charities Regulatory Authority (Ireland)|20007140|
|Delegation Leader|Sister Maureen Seddon|
|Delegation Treasurer|Sister Jean Butler|
|Named Trustees|Sister Maureen Seddon|
||Sister Margaret Morris|
||Sister Patricia Reilly|
||Sister Marie Turner|
|Address|Provincial Administration|
||Wisdom House|
||Romsey|
||Hampshire|
||SO51 8EL|
|Principal Bankers|HSBC Bank Plc|
||50 Above Bar Street|
||Southampton|
||SO14 7DS|
|Solicitors|Stone King LLP|
||13 Queen Square|
||Bath|
||BA1 2HJ|
|Auditor|Haysmacintyre LLP|
||10 Queen Street Place|
||London|
||EC4R 1AG|
|Investment Managers|Brewin Dolphin|
||12 Smithfield Street|
||London|
||EC1A 9BD|
|Governing Instrument|Trust deed dated 2 March 1964|
|Objects|Such charitable purposes which advance the religious and other charitable|
||work for the time being carried on by or under the direction of the|
||Congregation as the Trustees, with the approval of the Provincial, shall|
||from time to time think fit.|
1
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
The trustees present their report and the financial statements of the Charity for the year ended 31 December 2020.
The financial statements have been prepared in accordance with the accounting policies, set out on pages 21 and 22, and comply with the Charity’s trust deed, applicable law and the requirements of the Statement of Recommended Practice for Charities (SORP 2015) (2[nd] edition, effective 1 January 2019).
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
1. The Congregation is an International Religious Congregation founded in France in 1703. The Congregational Leadership Team is based in Paris. It is administered by a Congregational Leader and her Council, who are appointed every six years at a General Chapter of representatives of all the Entities of the Congregation worldwide. The current General Leadership Team has been in office since August 2018.
2. Situated throughout the 5 continents, the Daughters of Wisdom commit themselves radically to live Gospel values. In a rapidly changing world where the domination of the economy and the ever growing gap between the rich and poor generates injustice and violence, the Sisters endeavour to be a voice for the voiceless, participating in collective actions that oppose the causes of injustice and promote the values of justice, peace and respect for creation and the environment.
## **AIM AND PURPOSE OF THE CHARITY**
The principal objective of the Charity is to apply the assets of the Trust for such charitable purposes as shall advance the religious and other charitable work carried out by the Congregation of the Daughters of Wisdom. By caring for individual members of the Congregation throughout their lives, the Charity aims to enable and support the Sisters to live out their lives as fully as possible as Daughters of Wisdom through a wide variety of ministries.
When setting the objectives and planning the work of the Charity for the year, and when discerning the ministries of individual Sisters, the trustees have given careful consideration to the Charity Commission’s general guidance on public benefit and in particular to its supplementary guidance on the Advancement of Religion. With the reducing number of Sisters in the Delegation and their advancing years the variety of ministries in which they are actively engaged is changing but they nonetheless fulfil their mission and ministry in diverse areas to the fullest extent of their capabilities. These include:
## **Reflection and Prayer**
During the past year the Charity’s focus on reflection & prayer was emphasised by the circumstances of the global coronavirus pandemic. Much of the activity in which Sisters are involved was suspended for a significant period of time and the value of their communal prayer and intercession as an expression of their faith and mission has been increasingly valued during the year, particularly as other acts of communal worship for many believers were suspended. Many intentions and people are held in prayer by the Sisters every day.
The charism and spirituality of the Daughters of Wisdom animates the life of all the Sisters and is especially promoted in the Wisdom Centres in Romsey and Dublin. Supported by and in collaboration with their lay staff, the Sisters offer a space of prayer, reflection and quiet in a calm setting for diverse groups and needs. The Sisters welcome to their gardens and the labyrinth in Romsey those seeking a quiet space or who simply want to appreciate the beauty of nature. They are also pleased to welcome into this space families with children, when the quiet of the space is briefly interrupted by joy, laughter and shrieks of enjoyment. Local schools visit the labyrinth as part of the religious education and history elements of the national curriculum.
Despite the lockdown a new group of Friends of Wisdom, an international lay association of the Daughters of Wisdom began in Romsey with a monthly formation programme. The 7 lay people and 4 Daughters of Wisdom involved are participating enthusiastically and profoundly. Up to date the sessions have been by Zoom.
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## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **Social and pastoral ministry**
Members of the Delegation of Great Britain /Ireland (GBI) are normally involved in diverse forms of social and pastoral ministry. The main aim of the Sisters is to help particularly the poor and marginalised in society regardless of their personal background, gender or individual circumstances. Although this work has been limited this year it is hoped that it will be possible to resume as normal in the coming year. There is no doubt that many of the needs usually addressed have come to the fore during the isolation and limitations of the pandemic.
## **Working as an international Congregation**
Daughters of Wisdom as members of a worldwide Congregation of religious women participate in international meetings and works of the Congregation outside Great Britain and Ireland. Some have spent most of their active ministry in overseas territories while others participate in projects and initiatives in conjunction with Sisters from other entities. This collaboration supports Sisters throughout the Congregation in meeting needs of those who are marginalised, impoverished, exploited or who suffer the consequences of natural disasters. One Sister of the Delegation serves on the Congregation’s International Committee for Justice, Peace and the Integrity of Creation. Another Sister from the Delegation has served throughout this period as Executive Director of UNANIMA International in New York which is affiliated to the United Nations. The ministry of another Sister from the Delegation is to serve as Assistant Director of the Congregation’s Development Office which advises, coordinates and assists with funding applications to support the ministry and development work carried on by Sisters among the poorest people in developing countries of our world.
The Delegation continues to support not only the members of the Delegation of Great Britain and Ireland, but also to remit funds to the Generalate to support the mission of the Congregation to the poorest and marginalised in underdeveloped and emerging communities in the various parts of the world where the Congregation is present. In 2020 requests for funding were received at lower values than in recent years, principally due to the overwhelming impact of the coronavirus epidemic limiting the projects scheduled to be undertaken. The Leadership Team chose to make donations totalling £42,150: £12,275 for the construction of a pavilion in a school in Madagascar and £29,875 for maternal and child health care facilities in the Democratic Republic of Congo.
A donation of £8,984 (€10,000) was made to Sophia Housing Association in Ireland to support its ongoing work providing shelter, assistance and support to homeless people and for its work advocating on their behalf.
The number of Sisters in the Delegation at 31 December 2020 was:-
Below UK state pension age (66yrs) 2 (2019: 3*) Over pensionable age 35 (2018: 35*)
*In previous reports UK state pension age was considered to be 65yrs. These numbers have been updated to reflect the change to 66yrs.
During this period none of the Sisters received salaries and only a few received a stipend, including the Sister whose ministry is based in New York. Any income received by the Sisters is covenanted to the Charity in accordance with their vow of poverty
## **OBJECTIVES AND ACTIVITIES**
Throughout the Delegation the Sisters, mainly retired and on a voluntary basis, are involved in a diversity of ministries. In everything they do, the Sisters are communicating the message and voice of Wisdom. In every sphere of their activity they seek to work with people who are excluded from mainstream society, people who have been trafficked, abused, who are homeless or are drug addicts. All are invited to join Wisdom’s banquet just as Jesus embodied in his very life the ultimate symbol of feeding the multitudes.
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## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
Typical examples of individual activities, which were necessarily limited last year, are:-
- Outreach to Caribbean and ethnic minority communities
- Visiting sick and housebound people in their homes
- Working with and on behalf of homeless people and refugees
- Hospital, Hospice and College Chaplaincy
- Spiritual accompaniment
- Parish visiting
- Pastoral ministry to people with intellectual disability
- Involvement in Justice and Peace Groups
- Supporting women working in prostitution
- Ecumenical and interfaith activities.
A Sister in England/Wales, a Sister in Ireland and a Sister in Scotland are appointed Safeguarding Representatives for the Delegation within their respective territories.
The Daughters of Wisdom are committed to continue enabling best practice in Safeguarding and note the findings of the Independent Inquiry into Child Sexual Abuse (IICSA) and the Elliott Review and the recommendations of Elliott. We are actively participating in discussions regarding the establishing of a new safeguarding model for Religious Congregations within the Church.
## **ILLUSTRATIONS OF THE SISTERS’ WORK**
Set out below are some examples of the Sisters’ ministries of which collaboration forms an important part. These illustrate the range of their work and the contribution which they make to society as a whole:-
- **Wisdom Centre, Romsey**
Despite only being fully open for 11 weeks of 2020, much has been achieved. With expectations of a record financial year, the Centre began 2020 as planned with a healthy number of days in the calendar for catered Church groups, training organisations and NHS training days. Scheduled events for the first quarter took place as planned. However, as the pandemic spread it was clear that corporate groups, especially the NHS, would not be using the Centre to the extent that they had in recent years. During this year in particular the Wisdom Centre has relied on the commitment and flexibility of its staff team to continue to provide the vital and valued services that it offers. The Team are to be highly commended for all their effort in providing a Covid secure environment.
During 2020 the Spirituality programme included “The Twelve Step Programme”, “Wisdom’s Tent: A Day of Wisdom Spirituality”, and “St Brigid: A Day of Celtic Spirituality.” Following a seven month pause the Centre was able to reopen and run days for “Encounters Along the Way”, “Divine Nature in the Celtic Tradition”, and an Advent day. Other spirituality groups included ‘The Gift of Years’, a monthly group on the spirituality of ageing. With great effort and creativity on the part of the staff, the weekly meditation group continued ‘virtually’ throughout the pandemic with videos and reflections, which were watched online by up to 500 people. Yoga continued but taking place in the Labyrinth during the seven months of closure; a new ministry, Chi Gung, has likewise been popular with older community members.
The Centre has become a hub for mental health services which, regrettably, also had to pause at the end of March and sadly not all services resumed in July. However, a new ministry for the Centre is the ‘Tree of Life Café’, a front line NHS mental health service. It began in Autumn 2020 to support a growing need for community mental health services. As a venue for front line services, the Centre has continued and increased counselling services to six days a week, including services to abused women and children.
At the end of the year the Wisdom Centre’s 5* food hygiene rating was confirmed following an inspection by the local authority’s environmental health inspectors, a significant achievement in all of the circumstances that we endured this year.
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**THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
**TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **Marie Louise House, Romsey**
Marie Louise House was built because the Sisters had a vision of the needs of the future and realised that there was a need to provide nursing care both for Sisters and for people in the area. Marie Louise House opened in June 2005 with accommodation for 46 residents. The initial 15-year lease to Health Care Management Trust (HMT) expired during the year but a new 10-year lease came into operation from the end of May 2020. At the end of 2020 four Sisters were resident in Marie Louise House.
Marie Louise House is managed by the Healthcare Management Trust (HMT), a registered charity. It is open to people of all faiths and none. The Home is run on an ecumenical basis, so services are arranged with the different local church ministers and parishioners. Like so many other nursing homes the pandemic had a distressing effect on Marie Louise House. Despite the best efforts of HMT in securing supplies of Personal Protective Equipment and initiating a testing programme the home suffered a couple of COVID outbreaks during the year affecting both staff and residents. Sadly, a number of residents died after contracting the coronavirus. Visitors to Marie Louise House were severely limited during the year which was upsetting for staff and residents alike. The number of new admissions during the year was considerably lower than in previous years which together with the higher than normal number of deaths led to a drop in occupancy rates, with the knock on effect on the financial performance for the year. In 2020 Marie Louise House did not generate a surplus.
During the year, a new Manager was appointed to succeed the previous Manager who resigned from the position in October 2019. After a short period in post the new Manager, due to personal circumstances, resigned. In November 2020, a new Manager was appointed and took up her position in January 2021. In October 2019, HMT appointed two senior members of staff, one as interim Manager and one as Clinical lead and who will remain in post till the registration of the new Manager is complete. The trustees are most grateful to them and to the senior Management of HMT for their excellent leadership and support during this most unprecedented time due to the pandemic. They are also most appreciative of the courage and dedication of all the staff.
## Long term plans for Marie Louise House
In September 2019 an agreement was signed by the trustees committing to sell Marie Louise House to HMT subject to them securing planning permission for a 32 bed extension. The agreement included a new 10 year lease to cover any period between the expiry of the initial lease in May 2020 and the completion of the contract for sale. The planning application was submitted on 24[th] December 2019. As well as administrative delays caused by the disruption wrought by the pandemic the application has been delayed by an environmental issue within the Solent region that has delayed determination of a significant number of planning applications. At the balance sheet date there is as yet no clear resolution to the identified issue, though discussions among the local authorities affected are ongoing with signs that a positive outcome will be reached in the not too distant future.
## **‘Amber’ – ministry to vulnerable/exploited women in Southampton**
‘Amber’, previously known as ‘The Gate’, is a Christian outreach project of the City Life Church based in Southampton. It is a chaplaincy service offered to women caught up in prostitution, offering to pray with them and for them, offering them support and empowerment to achieve their potential. One of the Sisters worked as a volunteer in the project in the early part of the year and the trustees have pledged to continue their ongoing financial support.
## **SOPHIA HOUSING ASSOCIATION - Ireland**
Sophia Housing Association which is in partnership with Midlands Simon Community operates nationally in Ireland. It is a weaving of holistic support for marginalised people who are out of home which enables them to become aware of their own inner strength and potential so that they may participate fully in society. One Sister who is the founder of Sophia previously served as its Chair and continues to be a Board member; another Sister is also on the Board of Sophia. The work of Sophia is supported by numerous religious congregations in Ireland.
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## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
There is also a “Wisdom Centre” as part of the project in Cork Street, Dublin. The vision of the Wisdom Centre is to be a quiet space where people can get in touch with their own creative energy through a holistic programme which includes art, drama, music, sharing and reflection. The Wisdom Centre includes an innovative approach to the ministry of Sophia, which is about the physical, social, educational and spiritual needs of all persons. The Centre is used for those living within the project and shared within the wider community.
More recently the work of Sophia has expanded to include supporting refugees and asylum seekers in Ireland.
## **Facilities for people with intellectual disability in Ireland**
At the start of the year one Sister provided pastoral care on a voluntary basis to the people who continue to live at and use the services for people with intellectual disability at Cregg House in Ireland. That work came to a temporary halt with the arrival of the pandemic. During the year under review, the number of residents at Cregg continued to decrease as the Health Service Executive (HSE) made limited progress in moving residents of Cregg to smaller homes in community settings. However, as the effects of the pandemic recede this work is likely to resume and by the end of 2021 there are likely to be few, if any, residents remaining at Cregg. In order to allow the process of moving residents into the community to continue smoothly the trustees agreed to extend the current HSE lease by another 12 months to expire in September 2021 and would be sympathetic to a further extension if it were to be requested.
Alongside the residential and day services at Cregg House is St Cecilia’s school for children with intellectual disability that was founded by the Sisters. The school provides education for students with moderate to severe intellectual disability and increasingly to children with severe autism whose needs cannot be met within mainstream education. The Delegation Leader continues to be Patron of St Cecilia’s school and one Sister is on its Board of Management.
## Disposal of land and facilities at Cregg, Ireland
Following a period of reflection and discussion about the long term plans for Cregg the trustees offered the property and land there for sale on the open market in June 2019. It had been anticipated that contracts for sale would be exchanged by the end of 2020, however delays arising from the coronavirus pandemic resulted in this being carried over into 2021. Terms have been agreed with final details very recently being clarified between the Delegation’s and the purchaser’s respective legal advisors. Contracts for the sale were signed by both parties in March 2021. As the contract for sale only becomes fully legally enforceable after it has been approved by the charity regulator in Ireland the trustees do not consider it appropriate to disclose its terms at this time. These will be reported in the 2021 report and accounts.
## **UNANIMA**
UNANIMA is an international Non-Governmental Organisation (NGO) with United Nations status. UNANIMA International represents 21 religious Congregations and 22,000 religious worldwide and corresponds to the Daughters of Wisdom’s objectives, namely to defend and empower women children, immigrants and refugees, and to live in harmony with creation and our environment. Its main function is to give voice in the corridors of power to those who are often overlooked and least well served by current programmes and policies. The Congregation Leadership Team recognised the parallels between UNANIMA’s and its own ethos, vision and aspiration of spreading Wisdom values in our world. In 2016, having already served as a member of the Board of Directors of UNANIMA **,** at the request of the Congregational Leadership Team, a Sister was appointed as UNANIMA’s Executive Director for 3 years from January 2017 and her mandate was extended for a further 3 years in 2020. Throughout this year she has directed the work of UNANIMA in conjunction with its Board of Directors relying on modern technology.
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## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **GOVERNANCE, STRUCTURE AND MANAGEMENT**
## **Charitable Trust**
In terms of Civil law, the Charity is governed by a trust deed dated 2 March 1964 and is a registered charity – Charity Registration No 234184 (England and Wales) Registration No SCO38165 (Scotland) and Registration No 20007140 (Ireland).
The accounts accompanying this report are the accounts of the Charitable Trust in which the assets of the Delegation of Great Britain and Ireland are held.
## **The Delegation of Great Britain & Ireland**
In June 2015 the Province of Great Britain & Ireland changed canonical status to that of a Delegation of the Congregation. This has no impact on the governance of the registered Charity, and the appointed trustees retain full control of and accountability for the Charity’s assets, activities and expenditure. The day to day running of the Charity and care of the Sisters remains the responsibility of the Delegation Leader, Sr Maureen Seddon, and her Council. Sr Jean Butler has continued in her role as Delegation Treasurer.
## **Trustees**
The trustees of the registered Charity are appointed by the Delegation Leader of Great Britain and Ireland. The Delegation Leader is also a trustee.
The trustees are ultimately responsible for the policies, activities and assets of the Charity. They meet at least six times per year to review developments with regard to the Charity or its activities and make any important decisions, having regard to the Charity Commission’s guidance on public benefit, in particular the specific guidance to charities on Advancement of Religion. When appropriate, the trustees seek advice and support from the Charity’s professional advisers, property consultants, investment managers, solicitors and accountants.
Following their appointment, new trustees receive a number of training sessions from the Charity’s professional advisers on aspects of the Charity’s affairs and their role as trustees, including an introduction to the Charity Commission’s publication “ _Charity Governance Code”_ and their legal and financial duties as trustees of a charity registered in England & Wales, Scotland and Ireland.
The Delegation is administered from Wisdom House in Romsey, Hampshire, where the Sisters also have a Spirituality/Conference Centre, the Wisdom Centre, which is open to people of all faiths and none.
## **ENGLAND**
During the year the Sisters of the Delegation lived in ten communities in the north east, north west and south of England.
Abbey House, the original foundation of the Congregation in England, is also the location of the miraculous cure of Sr. Gerard du Calvaire in 1927 and is an important part of the history of the Delegation. For the majority of the year there were 12 Sisters in the community. One full-time Care Coordinator and two part-time carers support the Sisters with their day-to-day needs and the community is assisted with cooking, cleaning and gardening services, all of whom provide a service and support to the Sisters that is highly valued by them.
Marie Louise House in Romsey is the nursing home owned by the Delegation but run as a separate entity by Healthcare Management Trust. Strong links are maintained between the community of Sisters in Marie Louise House and the other communities in Romsey. One Sister from the Delegation (living in Sophia Community in Romsey) is responsible for the pastoral care of the Sisters in Marie Louise House. Sisters from the Delegation can be accommodated in Marie Louise House should they need full time care and are also able to benefit from shorter stays there to assist with recuperation and recovery when needed. This year the opportunities for Sisters to visit Marie Louise House have been very limited but they hope to be able to resume visiting all of the residents and staff as soon as permitted by government and health authority regulations.
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**THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)**
## **IRELAND (North and South)**
Our Sister continues, albeit in a very limited way during the past year, to be involved in pastoral ministry to people with intellectual disability in Cregg Services, Sligo in the North West of Ireland that was previously run by the Sisters but is now being directly managed by the Health Service Executive (HSE). The presence of the Sisters provides a level of continuity and stability to the service users.
The Sisters are pleased to continue their involvement with St Cecilia’s school, a specialist school for pupils with a range of intellectual disabilities for whom the school provides a stimulating, learning environment. The Principal and staff, supported by a Board of Management that includes a Daughter of Wisdom, value every pupil who attends the school and work intensely with each one to help them to achieve their full potential in an environment suited to their needs. The Delegation Leader is the Patron of St Cecilia’s. During the year new trustees were appointed for the school and following discussion agreement was reached for the Bishop of Elphin Diocese to take on the patronage of St Cecilia’s school when the Daughters of Wisdom cease to be the owners of the Cregg property. The Daughters of Wisdom will continue to be the freeholder of the school land which will operate under a long leasehold of the property. Should the school relocate or close in the future the leasehold interest would revert to the Daughters of Wisdom.
Sophia Housing Association Ltd., founded in Dublin in 1998 by the Daughters of Wisdom, continues to expand into other parts of Ireland. It also runs the Wisdom Centre in Dublin which hosts and facilitates workshops, retreats, and leadership courses for people from all faiths and none, who are looking for a peaceful place in which to reflect and dialogue. Two Sisters continue to serve on the Board of Sophia Housing Association.
One Sister in Northern Ireland is involved in the pastoral and social ministries of her local parish.
The Charity is registered with the Charities Regulatory Authority in Ireland, number 20007140.
## **SCOTLAND**
Two Sisters in Scotland continue to be involved in a range of pastoral ministries. These include:-
- College and Hospice chaplaincy
- Visiting the sick, elderly and bereaved
- Serving on the Fairtrade Steering Group of Renfrewshire County council
- Eucharistic ministry - assisting with the services in the local parish
- Representative on the Bishops’ Conference’s Committee for Interreligious Dialogue
The Charity is registered with the Office of the Scottish Charities Regulator, charity number SCO39165.
The witness of the Sisters’ religious life is complemented by the variety of their ministries and involvement in their local communities and parishes wherever they are present.
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## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **EVENTS DURING 2020**
## **Coronavirus pandemic**
In 2020 the world endured the most significant pandemic in living memory, and as with so many other people this had an impact on the life and ministry of the Daughters of Wisdom worldwide. It would be hard to overstate how much we were affected by it. In Romsey the trustees met regularly with the Management Team to ensure that all steps and precautions were being taken to protect both staff and Sisters, particularly those who were most at risk of serious complications were they to become infected.
Towards the end of March 2020 a decision was taken to suspend all activity in the Wisdom Centre and all other staff who were able to do so began to work from home. The trustees were grateful to have the support of the UK government’s Coronavirus Job Retention Scheme (popularly known as the furlough scheme) to support the wages of staff who could not work remotely. The trustees decided to top up pay for staff who were on furlough to 100% of their normal salary and did so throughout 2020. In September most staff returned to the office and group activities resumed in the Wisdom Centre in a scaled down way. However this did not last as the coronavirus resurged in the autumn and by December activities had scaled down once more and staff resumed remote working. The trustees are grateful to the finance, admin and support staff for their flexibility and commitment during the upheavals of 2020 as they adapted to the changing situation whilst working to implement the changes brought about by the pandemic and keeping the essential elements of the organisation running smoothly.
The trustees are facing the next year with cautious optimism. Although the incidence of the virus was high at the end of 2020 it had receded significantly by the time of this report and vaccines were being distributed widely in the UK population. It is hoped to see a resumption of group activities and staff returning to the office by summer of 2021.
From March 2020 onwards the trustees held all their meetings online. Similarly, meetings with the General leadership team, investment managers and auditors took place online. One of the few benefits of the pandemic is that the trustees are able to meet regularly online with members of the Delegation. Formerly meetings usually took place face to face with each community but thanks to modern technology members of the Delegation can meet regularly.
## **Assisted Living Communities: Abbey House (Romsey) & Montfort (Lytham St Anne’s)**
Throughout 2020 Sisters in Assisted Living Communities continued to be supported by the teams of carers and other staff. Thanks in no small part to the dedication and flexibility of the staff involved it was possible to maintain provisions and essential supplies for the Sisters. Movement of visitors and other people into the community was restricted and Sisters went out for essential journeys only. Although this may at times have seemed isolating for the Sisters concerned it did mean that they avoided the virus.
## **Perpetual profession**
During the year, a source of great joy for the Sisters in the Delegation was the perpetual profession of vows of one of the Sisters. Plans to mark the occasion with a celebration open to all members of the Delegation and members of her family had to be postponed due to coronavirus. One Sister made her perpetual profession during a mass celebrated with her community in Abbey House.
## **St Joseph’s Church, Romsey**
During the previous year it had been agreed with the Diocese of Portsmouth to grant them a lease to continue to use St Joseph’s Church for a further 10 years when the current lease expires in 2022. It had been expected that the terms of the new lease would have been finalised and agreed during 2020 but this too has been delayed by the pandemic. In the coming year we expect to finalise the lease with the Diocese and for this to be in place in advance of expiry of the current lease in February 2022.
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## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
**TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **Jubilee Celebrations**
In 2020 four Sisters celebrated significant anniversaries of their first profession as a Daughter of Wisdom: one celebrated seventy years of Profession and three Sisters celebrated sixty years. The circumstances that prevailed during the year meant that these milestones were marked in a quieter way than normal. Each Sister celebrated with the Sisters of her community where this was possible, but all were honoured in remembrance, prayer and thanksgiving by all the Sisters of the Delegation and by the General Leadership Team.
## **Pre-Novices**
During the year two young ladies from Poland came to join the Sophia community, Romsey, to further their discernment regarding a call to religious life. After a period of six weeks, they decided to return home.
## **Deaths during the year**
During 2020 one Sister from the Delegation died in Southampton General Hospital. Her requiem Mass was celebrated in Abbey House followed by burial in Woodley cemetery in Romsey.
Deep appreciation and gratitude were expressed for Sister’s long and fruitful life as a daughter of Wisdom.
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**THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **RISKS FACED BY THE CHARITY**
## **RISK REVIEW**
The trustees, under the guidance of the Charity’s auditors, have examined the major strategic, business and operational risks which the Charity faces and confirm that systems have been established to enable regular reports to be produced, in order that the necessary steps can be taken to lessen the risks.
During the prior year a risk register, covering all the major risks which the Charity is able to identify was updated and approved by the trustees. This will be reviewed annually.
A Health and Safety Policy, which includes a Fire Policy, has been drawn up and is implemented throughout the Delegation. Following recommendations of the Fire Officer, a maintenance programme to deal with these is now in place. Implementing these steps has ongoing financial implications.
## **Safeguarding**
In common with many religious charities who in the past have been involved in education and medical or social care the Charity is conscious that it may be susceptible to allegations of historic abuse. The Charity has in place a safeguarding policy relevant to its work in England, Scotland and Ireland. All members of the Charity are familiar with these policies and of the action required of them should any allegation of abuse be made to them. Each is aware that safeguarding is an integral part of the ministry they carry out in the name of the Congregation and the Church. The Charity has, with the assistance of its broker, maintained a level of insurance cover that provides protection against claims or actions arising from any such claims. Safeguarding is an agenda item at each Leadership Team meeting. Regular update training is undertaken by members of the Leadership Team in England or Ireland, as appropriate. Each Sister in the Delegation is regularly reminded of their responsibilities under the Delegation’s and Congregation’s Safeguarding Policy and is provided with an updated version of the policy following any substantive changes.
## **Investment performance**
The Charity continues to incur an operating deficit on its day-to-day operations but this is expected and the trustees are fully aware of the reasons and are satisfied that the charity has adequate reserves to meet its future financial needs. Income in recent years has been supported by the yield from the charity’s investment portfolio which in 2020 amounted to £239,058 (2019: £309,711). The drop in yield from the portfolio is almost entirely explained by the cut in company dividends following the impact of the pandemic. These are not expected to return to pre-pandemic levels until the end of 2021 or perhaps 2022. In 2020 the loss of income was mitigated by the postponement of any major projects or repairs as it was not possible to carry these out during the pandemic. For future years the adjusted value of yield from the portfolio will be factored into the budget. However, it was noted that the recovery in value of the portfolio, closing above its opening value, supports the belief that the income from investments is likely to return to its previous value in around 12 months’ time.
The trustees of the Charity review performance with their investment managers each quarter against their requirements for a balanced growth/income performance and industry benchmarks. They are content that for the time being at least the portfolio has an overweight in equities against its benchmark value as they are persuaded by the investment managers’ view that bonds and gilts currently represent a poorer investment vehicle. The trustees are content that the investments performed well during 2020 considering all the unusual circumstances that the global economy has endured. They are relieved that the value of the portfolio recovered as well and as quickly as it did from the loss in value it suffered early in the year.
The trustees continue to have confidence in the investment managers and on the quality of information provided by them.
11
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **FINANCIAL REVIEW**
## **Results for the year**
A summary of the year’s results can be found in the Statement of Financial Activities on page 18 of this report and accounts.
During the year ended 31 December 2020 total income amounted to £1,114,737 (2019: £1,424,894). Income was generally in line with expectations other than the investment portfolio income, as noted above. The Delegation continues to face a decline in recurring income as the number of Sisters reduces: only a few now receive regular stipends and none receives a salary. The value of funds on the balance sheet are also affected by the movement in the pound: euro exchange following the decision of the UK to leave the EU. Funds held in euros have been used during the year to make donations to the Congregation and other donations in non-sterling currencies, and therefore minimal gains or losses have crystallised during the year.
Expenditure of £1,666,922 (2019: £1,982,904) include a donation of £42,150 towards the Congregation’s ongoing mission in emerging nations. Throughout the year, a number of Sisters were resident in Marie Louise House, for which a fee is paid to the home’s managing company, Healthcare Management Trust: the average number of Sisters resident in Marie Louise House in 2020 was four.
The deficit of income for the year was, therefore, £262,624 (2019: £672,979 surplus). Investment gains this year amounted to £289,561 (2019: £1,230,989), reflecting the turmoil of global markets during the pandemic. Lower levels of income from investments was matched by a reduction in major works and repairs carried out during the year.
The Leadership Team resolved during 2016 that any communities that receive financial support from the Delegation for their ongoing living costs should no longer remit to the Delegation a portion of funds held by them at the end of the year. Communities that continue to have income greater than their needs still remit three quarters of their year-end surplus to support other communities in the Delegation.
The number of communities whose income is greater than they need has dropped dramatically in recent years, while the number of communities supported by central funds is increasing.
## **Financial position and reserves policy**
## _Financial position_
At the end of the year to 31 December 2020 the total funds of the Charity were £19,223,874 (2019: £19,486,498). Of this some £8.9 million is represented by properties and other tangible fixed assets essential for the support and work of the Sisters.
£8.97 million was designated to meet the commitment to provide for the care of the older members of the Charity, which is part of the purpose of the Charity. In 2018 the trustees agreed to draw down from the fund to cover a portion of the nursing home fees for Sisters of the Delegation. Funds expended from the Designated Reserves totalled £137,335 (2019: £121,036) being 50% of the relevant fees with the balance being met from general funds. Nonetheless the trustees are resolved to restore the value of the fund to at least its previous level as and when funds become available in order that the care and health needs of the Sisters of the Delegation can be met in the future as required.
## _Reserves policy_
This report demonstrates the range of activities which the Charity continues to carry out and the responsibility the Charity has for the care and support of its members.
All the Sisters have devoted the whole of their working lives to the Congregation and are dependent upon it for all their temporal material needs. Although Sisters invariably continue to perform charitable work long past normal retirement age if they are healthy enough to do so, the work is mainly non-remunerative and the Delegation must provide for their needs and in some cases nursing care.
12
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **FINANCIAL REVIEW (continued)**
The trustees have examined the need for free reserves i.e. those unrestricted funds not invested in tangible fixed assets, designated for specific purposes or otherwise committed. The trustees consider that, given the nature of the Charity’s work and its commitments, the level of free reserves should be not less than twelve months expenditure. At 31 December 2020 free reserves represented 3.5 months of expenditure, which the trustees believe is sufficient taking into account current plans and anticipated inflow of funds from disposal of properties that are likely to materialise in the next 12 to 24 months.
## **Key management personnel**
The trustees have identified the General Manager, the Finance Manager and the Wisdom Centre Manager as the key management personnel for the Charity as they directly influence day to day operation of the whole organisation and its main mission activity respectively. Total salary paid to these personnel was £132,795 in 2020 (2019: £129,975). The pay for these posts is set prior to appointment of the individuals paying particular regard to the market rate for equivalent posts in other charities and noncharitable organisations. A pay review for all members of staff, including management personnel, takes place annually during the budgeting cycle and is set principally with reference to cost of living and inflationary pressures balanced against the Charity’s prudent management of its resources in the context of a deficit budget. In 2020 the salary review confirmed that there would be no increase to salaries for 2021.
## **PLANS FOR FUTURE PERIODS**
Within the framework of the Guidance on Public Benefit, the Charity works for the:-
- Advancement of religion
- Advancement of education
- `o` Advancement of human rights, conflict resolution and reconciliation `o` Promotion of respect for the gift of Creation
During the coming year and for the whole of the next three years the mission of the Congregation will be carried on under the banner of the theme of the General Chapter “Love without borders!”. This will be the principle guiding all members of the Congregation as they strive to manifest in their lives the transforming love of God expressed through their Wisdom charism.
During 2021 the Charity will:-
- Continue the investment of further time, effort and resources into the ongoing spiritual and human development of the Sisters for mission
- Continue the development of the use of the Wisdom Centre, Romsey, alongside the use of the Labyrinth and other gardens which are open to the local community.
- Continue to further the mission of the Congregation internationally through serving as Executive Director of UNANIMA International and as Assistant Director of the Development Office.
- Jointly with other congregations and agencies develop the work of Sophia, Ireland, to promote the humanity and dignity of homeless and marginalised people
- Continue to review the Delegation property portfolio and dispose of surplus property
- Review its financial management, in particular its investment strategy and the designation of funds for care of its elderly members
- Participate in the review of safeguarding practice for religious orders within the Catholic Church to ensure that the Delegation’s practice stays current, relevant and up to date
- Conclude, insofar as it is able, the disposal of Marie Louise House in Romsey to Healthcare Management Trust and Cregg House in Sligo to the prospective purchaser with whom negotiations are already proceeding.
13
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **INVESTMENT POLICY**
The Charity has a discretionary investment management agreement with Brewin Dolphin. The trustees meet with the fund managers once every three to four months and ensure that the fund is managed in accordance with their written guidelines and with the religious and ethical principles of the Charity
The investment objectives are:-
- (a) to generate enough income to fund for the foreseeable future that part of the Charity’s ongoing activities currently funded by investment income
- (b) to maintain the real capital value of the investment fund in the long term
Asset allocation is benchmarked against the FTSE All Share Index weightings.
The optimism and market recovery of early 2020 were overturned when world stock markets were impacted by the largest pandemic in living memory. The opening value of £9,617,681 suffered a shock of a drop in value of over 20% in the first quarter of the year. Having reviewed this situation with the investment managers the trustees resolved that as there was no financial imperative to crystallise these losses they would continue to follow their investment strategy and take a longer term view of their investment performance. Additional meetings with the investment managers took place during the year to keep the trustees fully appraised of market movements and trends. Markets recovered more quickly than had been anticipated and during the remainder of the year the value of the investment portfolio recovered all of its losses and ended the year with an increase of £244,786 at £9,862,467.
The trustees continue to have every confidence in the investment managers to assist them in achieving their goal of a balanced growth and yield portfolio to support the Sisters’ needs and mission in future years.
## **STATEMENT OF TRUSTEES’ RESPONSIBILITIES**
The Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (Financial Reporting Standard 102).
Charity law requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the Charity at the year end and of its income and expenditure during that year. In preparing the accounts, the Trustees are required to:-
- select suitable accounting policies and apply them consistently;
- observe the methods and principles of the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards and statements of recommended practice have been followed, subject to any departures disclosed and explained in the accounts;
- prepare the accounts on the going concern basis unless it is inappropriate to presume that the Charity will continue in operation.
14
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
**TRUSTEES’ REPORT (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **STATEMENT OF TRUSTEES’ RESPONSIBILITIES (continued)**
The Trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the Charity and which enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by the Trustees on 25 March 2021 and signed as authorised on their behalf by:
…………………………………… Sister Maureen Seddon D. W. Delegation Leader Trustee
15
## **INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE CONGREGATION OF THE DAUGHTERS OF WISDOM**
## **Opinion**
We have audited the financial statements of the Congregation of the Daughters of Wisdom for the year ended 31 December 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
- give a true and fair view of the state of the charity’s affairs as at 31 December 2020 and of the charity’s net movement in funds for the year then ended;
- have been properly prepared in accordance with the requirements of the Charities Act 2011 and the Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) regulations.
## **Basis for opinion**
We have been appointed as auditor under section 144 of the Charities Act 2011, and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Acts and relevant regulations made or having effect thereunder. We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 and the Charities Accounts (Scotland) Regulations 2006 require us to report to you if, in our opinion:
- adequate accounting records have not been kept by the charity; or
- sufficient and proper accounting records have not been kept; or
- the charity financial statements are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we require for our audit.
16
## **INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE CONGREGATION OF THE DAUGHTERS OF WISDOM (continued)**
## **Responsibilities of trustees for the financial statements**
As explained more fully in the trustees’ responsibilities statement set out on page 14, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Based on our understanding of the charity and the environment in which it operates, we identified that the principal risks of noncompliance with laws and regulations related to health and safety regulations, employment law, safeguarding regulations and Charity law, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011.
We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to depreciation charges. Audit procedures performed by the engagement team included:
- Inspecting minutes of Trustees’ meetings;
- Reviewing calculations for depreciation including reviewing estimated useful economic lives;
- Inspecting correspondence with regulators and tax authorities;
- Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud;
- Evaluating management’s controls designed to prevent and detect irregularities;
- Identifying and testing journals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions;
- Reviewing valuations of investments; and
- Challenging assumptions and judgements made by management in their critical accounting estimates.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## **Use of our report**
This report is made solely to the charity’s trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act, and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity’s trustees as a body for our audit work, for this report, or for the opinions we have formed.
Haysmacintyre LLP 10 Queen Street Place Statutory Auditors London 25 March 2021 EC4R 1AG
haysmacintyre is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006
17
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
|||**Unrestricted Funds**|**Unrestricted Funds**|**Total**|**Total**|
|---|---|---|---|---|---|
|||**General**|**Designated**|**2020**|**2019**|
||**Notes**|**£**|**£**|**£**|**£**|
|**Income from:**||||||
|Donations, legacies and grants|1|50,085|-|50,085|2,830|
|Charitable activities||527,037|-|527,037|533,431|
|Investments|7|445,745|-|445,745|588,026|
|Other|2|91,870|-|91,870|300,607|
|||-------------------|--------------------|-------------------|-------------------|
|**Total income**||1,114,737|-|1,114,737|1,424,894|
|||--------------------|--------------------|--------------------|--------------------|
|**Expenditure on:**||||||
|Raising funds||44,968|-|44,968|47,854|
|Charitable activities||||||
|. Communities||1,298,529|137,335|1,435,864|1,618,540|
|. Education||3,463|-|3,463|2,186|
|. Missions and grants||96,049|-|96,049|194,749|
|. Development costs||86,578|-|86,578|119,575|
|||--------------------|--------------------|--------------------|--------------------|
|**Total expenditure**|3|1,529,587|137,335|1,666,922|1,982,904|
|||--------------------|--------------------|--------------------|--------------------|
|**Net expenditure before net gains**||||||
|**on investments**||(414,850)|(137,335)|(552,185)|(558,010)|
|Net gains on investments|7|289,561|-|289,561|1,230,989|
|||--------------------|--------------------|--------------------|--------------------|
|**Net income/(expenditure)**||(125,289)|(137,335)|(262,624)|672,979|
|Transfers between funds||-|-|-|-|
|||--------------------|--------------------|--------------------|--------------------|
|**Net movements in funds**||(125,289)|(137,335)|(262,624)|672,979|
|Total funds brought forward||||||
|at 1 January 2020||10,379,213|9,107,285|19,486,498|18,813,519|
|||--------------------|--------------------|--------------------|--------------------|
|**Total funds carried forward**||||||
|**at 31 December 2020**||10,253,924|8,969,950|19,223,874|19,486,498|
|||==========|==========|==========|==========|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities. Details of comparative figures by fund are disclosed in note 13.
18
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **BALANCE SHEET**
## **AS AT 31 DECEMBER 2020**
|||**2020**|**2020**||**2019**|
|---|---|---|---|---|---|
||**Notes**|**£**|**£**|**£**|**£**|
|**FIXED ASSETS**||||||
|Tangible assets|6||8,865,968||9,114,708|
|Investments|7||9,862,467||9,617,681|
||||--------------------||--------------------|
||||18,728,435||18,732,389|
|**CURRENT ASSETS**||||||
|Debtors|8|43,549||91,902||
|Cash at bank and in hand||847,109||1,025,512||
|||--------------------||--------------------||
|||890,658||1,117,414||
|**CREDITORS:**amounts falling due||||||
|within one year|9|(395,219)||(363,305)||
|||--------------------||--------------------||
|**NET CURRENT ASSETS**|||495,439||754,109|
||||--------------------||--------------------|
|**TOTAL NET ASSETS**|||19,223,874||19,486,498|
||||==========||==========|
|**FUNDS**||||||
|Unrestricted Funds||||||
|- General Funds|||10,253,924||10,379,213|
|- Designated Funds|10||8,969,950||9,107,285|
||||--------------------||--------------------|
||11||19,223,874||19,486,498|
||||==========||==========|
Approved by the Trustees on 25 March 2021 and signed as authorised on their behalf by:
…………………………………… Sister Maureen Seddon D.W Delegation Leader Trustee
The accompanying notes form part of these accounts.
19
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **STATEMENT OF CASH FLOWS**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
|||**2020**||**2019**|
|---|---|---|---|---|
||**£**|**£**|**£**|**£**|
|**Cash flows from operating activities:**|||||
|**_Net cash provided by (used in) operating activities_**||(656,703)||(1,034,464)|
|**Cash flows from investing activities:**|||||
|Dividends, interest and rents from investments|445,745||588,026||
|Proceeds from the sale of property, plant and equipment|6,040||210,000||
|Purchase of property, plant and equipment|(18,260)||(23,269)||
|Proceeds from sale of investments|710,318||1,366,513||
|Purchase of investments|(569,905)||(1,575,507)||
|Movement in cash held by investment managers|(95,638)||256,517||
||-----------------||-----------------||
|**_Net cash provided by (used in) investing activities_**||478,300||822,280|
|||--------------------||--------------------|
|**Change in cash and cash equivalents in the reporting**|||||
|**period**||(178,403)||(212,184)|
|**Cash and cash equivalents at the beginning of the**|||||
|**reporting period**||1,025,512||1,237,696|
|||--------------------||--------------------|
|**Cash and cash equivalents at the end of the reporting**|||||
|**period**||847,109||1,025,512|
|||==========||==========|
||||**2020**|**2019**|
||||**£**|**£**|
|**Reconciliation of net income/(expenditure) to net cash**|||||
|**flow from operating activities**|||||
|Net income/(expenditure) for the reporting period|||(262,624)|
672,979|
|Depreciation charge|||263,800|281,464|
|Gains on sale of fixed assets|||(2,840)|
(210,000)|
|Gains on investments|||(289,561)|
(1,230,989)|
|Dividends, interest and rents from investments|||(445,745)|
(588,026)|
|Decrease/(increase) in debtors|||48,353|(3,698)|
|Increase in creditors|||31,914|43,806|
||||---------------------|---------------------|
|**Net cash provided by/(used in) investing activities**|||(656,703)|
(1,034,464)|
||||==========|==========|
|**Analysis of cash and cash equivalents**|||**2020**|**2019**|
||||**£**|**£**|
|Cash in hand|||847,109|1,025,512|
||||-----------------|-----------------|
|**Total cash and cash equivalents**|||847,109|1,025,512|
||||========|==========|
20
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **ACCOUNTING POLICIES**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **Basis of preparation**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Statement of Recommended Practice for Charities (SORP 2015) (Second Edition, effective 1 January 2019) and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
The charity constitutes a public benefit entity as defined by FRS 102.
Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
## **Preparation of accounts on a going concern basis**
The trustees consider there are no material uncertainties about the charity’s ability to continue as a going concern. The year just ended represented a significant challenge to the charity’s long term financial strategy with the fall in value of its investment portfolio. However, with judicious and careful management of resources and with the assistance of government grants to assist with staff costs the charity was able to weather the storm relatively unscathed. It will continue to monitor carefully the impact on its activities of the Covid pandemic and other risks and will respond expeditiously to emerging trends in line with its risk management strategy. The trustees believe it is appropriate for the going concern basis to apply to the charity. The review of the charity’s financial performance and reserves position gives the trustees every confidence that the charity remains a going concern for the foreseeable future.
## **Covenanted salaries and pensions**
Members’ salaries, pensions and superannuation are received under deeds of covenant and are stated inclusive of income tax but net of any deductions for Irish taxation, social security payments and contributions to occupational pension schemes.
## **Donations and legacies**
Donations and legacies are recognised when receivable or when the Charity becomes legally entitled to them. Receipts of property, investments or other gifts in kind are included at market value.
## **Other income**
All other income is accounted for when the charity becomes entitled to the income and the amount can be quantified with reasonable accuracy.
## **Expenditure**
Expenditure on raising funds consists of investment management costs.
Charitable expenditure consists of all expenditure relating to the objects of the Charity. All costs are directly attributable to the activities under which they have been analysed.
Irrecoverable VAT is included with the category of expense to which it relates.
## **Tangible fixed assets**
Land and buildings are stated at a Trustees’ 1991 valuation plus subsequent additions at cost, allowance being made where buildings have been demolished. All other assets are included at cost.
Depreciation is calculated by the straight line method to write off the cost/value, less anticipated residual value, over the expected useful lives of assets as follows.
Depreciation is not provided on buildings under construction until they are completed and bought into use.
|Freehold and long leasehold buildings|50 years|
|---|---|
|Furniture and equipment|3 to 15 years|
|Computer equipment|3 years|
|Motor vehicles|4/5 years|
21
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **ACCOUNTING POLICIES (Continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **Investments**
Quoted investments are valued at their closing middle market price on the balance sheet date and the gain or loss taken to the Statement of Financial Activities.
In addition, the Charity has established a pension scheme for certain Sisters. The scheme is a deferred annuity contract whereby a certain guaranteed sum is payable to the charity at a fixed future date. No value can readily be attributed to the contract as future returns are dependent on bonuses which in turn depend on investment returns and inflation. Therefore the asset included in the balance sheet in respect of this scheme is valued on the basis of premiums paid to date in respect of Sisters still in the scheme. Receipts on maturity are credited to the Statement of Financial Activities net of the relevant premiums.
All movements in value are shown in the Statement of Financial Activities.
## **Designated funds**
The trustees have designated funds out of the unrestricted funds to provide for the Charity’s commitment to provide for the retirement and care in old age and sickness of the Charity’s members. Lump sums received from members’ occupational pension schemes upon their retirement and transfers from general funds are credited to this fund together with income generated by designated investments.
## **Foreign currencies**
Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end. Any exchange differences arising from the translation are dealt with in the Statement of Financial Activities.
## **Pension scheme**
Contributions are made to a defined contribution pension scheme for staff. The contributions are charged to the Statement of Financial Activities when they become payable.
## **Critical accounting judgements and key sources of estimation uncertainty**
In the application of the accounting policies, trustees are required to make judgement, estimates, and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affected current and future periods.
Judgements made by the trustees, in the application of these accounting policies that have significant effect on the financial statements and estimates with a significant risk of material adjustment in the next year are deemed to be in relation to the depreciation rates of tangible fixed assets and are discussed above.
In the view of the trustees, no assumptions concerning the future or estimation uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.
22
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **1. DONATIONS AND LEGACIES**
|**ONATIONS AND LEGACIES**|||
|---|---|---|
||**2020**|**2019**|
||**£**|**£**|
|Legacies|-|1,717|
|Donations|2,565|1,113|
|Furlough grants|47,520|-|
||------------------|------------------|
||50,085|2,830|
||=========|========|
## **2. OTHER INCOME**
|**THER INCOME**|||
|---|---|---|
||**2020**|**2019**|
||**£**|**£**|
|Non refundable deposit in relation to the disposal of Marie Louise House|-|210,000|
|Other income|57,732|90,607|
|Gains on disposal of fixed assets (see note 6)|2,840|-|
|Exchange rate gain|31,298|-|
||------------------|------------------|
||91,870|300,607|
||=========|========|
## **3. EXPENDITURE**
|||**Salaries**|**Depreciation**|**Other**|**2020**|**2019**|
|---|---|---|---|---|---|---|
|||**£**|**£**|**£**|**£**|**£**|
|**_Raising funds:_**|||||||
|Investment manager’s fee||-|-|44,968|44,968|47,854|
|**_Charitable activities:_**|||||||
|. Communities||320,211|263,800|851,853|1,435,864|1,618,540|
|. Education||-|-|3,463|3,463|2,186|
|. Missions and grants||-|-|96,049|96,049|194,749|
|. Development costs||46,104|-|40,474|86,578|119,575|
|||------------------|------------------|------------------|--------------------|--------------------|
|||366,315|263,800|1,036,807|1,666,922|1,982,904|
|||=========|=========|=========|==========|==========|
||||||**2020**|**2019**|
||||||**£**|**£**|
|Missions and charitable grants comprise:|||||||
|Generalate of the Congregation|||||42,150|148,961|
|Alms and other charitable|donations||||53,899|45,788|
||||||------------------|------------------|
||||||96,049|194,749|
||||||=========|=========|
|Expenditure includes:|||||||
|Auditor’s remuneration|- audit fee||||13,500|12,600|
||||||========|=======|
23
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **3. EXPENDITURE (continued)**
## **Comparative analysis 2019**
|**Comparative analysis 2019**|||||
|---|---|---|---|---|
||**Salaries**|**Depreciation**|**Other**|**2019**|
||**£**|**£**|**£**|**£**|
|**_Raising funds:_**|||||
|Investment manager’s fee|-|-|47,854|47,854|
|**_Charitable activities:_**|||||
|. Communities|316,038|281,464|1,021,038|1,618,540|
|. Education|-|-|2,186|2,186|
|. Missions and grants|-|-|194,749|194,749|
|. Development costs|
51,400|-|68,175|119,575|
||------------------|------------------|------------------|--------------------|
||367,438|281,464|1,334,002|1,982,904|
||=========|=========|=========|==========|
|**STAFF COSTS**|||||
||||**2020**|**2019**|
||||**£**|**£**|
|Wages and salaries|||333,342|323,061|
|Social security|||20,278|20,397|
|Other pension costs|||12,695|11,663|
|Termination payment(s)|||-|12,317|
||||-----------------|-----------------|
||||366,315|367,438|
||||========|========|
||||**2020**|**2019**|
||||**Number**|**Number**|
|The average number of employees in the year was:|||27|27|
||||=========|=========|
|No employee received in excess of £60,000 in either year.|||||
## **4. STAFF COSTS**
Total remuneration for key management personnel for the year was £132,795 (2019: £129,975).
## **5. TRANSACTIONS WITH THE TRUSTEES**
The Trustees of the Charity are all members of a Religious Order. They have taken vows of poverty under which they renounce all rights to a personal income and assets. They are therefore entirely dependent on the charity for all their living expenses. The Trustees do not receive any payments or benefits for carrying out their duties other than their living expenses which are met by the Charity, which they receive in their capacity as members of the Religious Order.
The charity owns a property which is let to the sibling of one trustee at a fair market rent. No rent was owing at the year end.
24
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **6. TANGIBLE FIXED ASSETS**
## **Freehold Land and Buildings**
||||**Nursing Home**|**Furniture**|||
|---|---|---|---|---|---|---|
||||**and**|**and**|**Motor**||
||**General**|**Abbey House**|**Wisdom House**|**Fittings**|**Vehicles**|**Total**|
||**£**|**£**|**£**|**£**|**£**|**£**|
|**COST OR VALUATION**|||||||
|At 1 January 2020|1,682,478|3,700,967|6,792,242|607,514|119,433|12,902,634|
|Additions|-|-|-|7,760|10,500|18,260|
|Disposals|-|-|-|-|(24,455)|(24,455)|
||------------------|------------------|------------------|------------------|------------------|----------------------|
|At 31 December 2020|1,682,478|3,700,967|6,792,242|615,274|105,478|12,896,439|
||------------------|------------------|------------------|------------------|------------------|---------------------|
|**DEPRECIATION**|||||||
|At 1 January 2020|664,532|492,407|1,953,361|577,242|100,384|3,787,926|
|Charge for year|33,650|74,019|135,845|12,119|8,167|263,800|
|Disposals|-|-|-|-|(21,255)|(21,255)|
||------------------|------------------|------------------|------------------|------------------|---------------------|
|At 31 December 2020|698,182|566,426|2,089,206|589,361|87,296|4,030,471|
||------------------|------------------|------------------|------------------|------------------|--------------------|
|**NET BOOK VALUE**|||||||
|At 31 December 2020|984,296|3,134,541|4,703,036|25,913|18,182|8,865,968|
||=========|=========|=========|=========|=========|==========|
|At 31 December 2019|1,017,946|3,208,560|4,838,881|30,272|19,049|9,114,708|
||=========|=========|=========|=========|=========|==========|
Included in General Freehold Land and Buildings above are leasehold buildings with a cost of £281,911 and net book value of £146,923. The depreciation charge during the year was £5,639. There were no additions or disposals during the year.
25
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **7. INVESTMENTS**
|**INVESTMENTS**|||||
|---|---|---|---|---|
||||**2020**|**2019**|
||||**£**|**£**|
|Opening market value|||9,617,681|8,434,215|
|Additions|||569,905|1,575,507|
|Disposals (sale proceeds)|||(710,318)|(1,366,513)|
|Net investment gains|||289,561|1,230,989|
|Movements in cash|||95,638|(256,517)|
||||------------------|------------------|
|Closing market value|||9,862,467|9,617,681|
||||=========|=========|
|Cost of investments|||||
|- At 31 December|||7,141,560|6,980,976|
||||=========|=========|
|**Analysis of Investments Held**|||||
||**Quoted**|**Unquoted**|**Total**|**Total**|
||**Investments**|**Investments**|**2020**|**2019**|
||**£**|**£**|**£**|**£**|
|Quoted Investments:|||||
|Government Stocks|1,088,141|-|1,088,141|1,153,154|
|Unit Trusts and Investment Trusts|960,882|-|960,882|837,801|
|Ordinary Shares|7,227,385|-|7,227,385|6,996,995|
|Property|381,492|-|381,492|522,079|
|Unquoted Investments:|||||
|Pension Scheme Deferred|||||
|Annuity Contracts|-|21,434|21,434|20,157|
|Portfolio Cash|-|183,133|183,133|87,495|
||--------------------|------------------|---------------------|---------------------|
|**TOTAL INVESTMENTS**|9,657,900|204,567|9,862,467|9,617,681|
||==========|=========|==========|==========|
|**Investment Income**|||
|---|---|---|
||**2020**|**2019**|
||**£**|**£**|
|Listed investments|239,058|309,711|
|Portfolio and other cash and bank deposits|1,331|993|
|Share of surplus/interest|-|82,663|
|Rental income|205,356|194,659|
||-----------------|-----------------|
||445,745|588,026|
||========|========|
26
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
|**8.**|**DEBTORS**|||
|---|---|---|---|
|||**2020**|**2019**|
|||**£**|**£**|
||Accrued income|14,503|59,183|
||Sundry debtors and prepayment|29,046|32,719|
|||-----------------|-----------------|
|||43,549|91,902|
|||========|========|
|**9.**|**CREDITORS: amounts falling due within one year**|||
|||**2020**|**2019**|
|||**£**|**£**|
||Amounts held on behalf of Sisters|266,306|266,306|
||Other creditors and accruals|128,913|96,999|
|||------------------|------------------|
|||395,219|363,305|
|||=========|========|
## **10. DESIGNATED FUND**
## **Retirement Fund**
This fund has been designated to provide for the Charity’s commitment to provide for the retirement and care in old age and sickness of the Congregation’s members. Lump sums received from members’ occupational pension schemes upon their retirement and transfers from General Funds are credited to this fund. A review of the Congregation’s membership has indicated that a fund of at least £9.5m would be required to finance fully the Charity’s commitment to provide care for its elderly members. Towards this requirement, the Trustees, in 1999, designated to this fund the charity’s investment portfolio. The level of the Charity’s funds and of its commitment will be kept under review by the Trustees and further designations will be considered.
|**Analysis of Movements - 2020**|**At 1 January**||**At 31 December**|
|---|---|---|---|
||**2020**|**Expenditure**|**2020**|
||**£**|**£**|**£**|
|Retirement Fund|9,107,285|(137,335)|8,969,950|
||=========|=========|**==========**|
|**Analysis of Movements - 2019**|**At 1 January**||**At 31 December**|
||**2019**|**Expenditure**|**2019**|
||**£**|**£**|**£**|
|Retirement Fund|9,228,321|(121,036)|9,107,285|
||=========|=========|==========|
27
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **11. ANALYSIS OF NET ASSETS BETWEEN FUNDS - 2020**
||**Unrestricted Funds**|**Unrestricted Funds**||
|---|---|---|---|
||**General**|**Retirement**||
||**Fund**|**Fund**|**Total**|
||**£**|**£**|**£**|
|**Fund balances at 31 December 2020**||||
|**are represented by:**||||
|Tangible fixed assets|8,865,968|-|8,865,968|
|Investments|892,517|8,969,950|9,862,467|
|Current assets|890,658|-|890,658|
|Current liabilities|(395,219)|-|(395,219)|
||---------------------|-------------------|---------------------|
|**Total net assets**|10,253,924|8,969,950|19,223,874|
||==========|=========|==========|
|**Unrealised gains included above**||||
|On listed investment assets|||2,720,907|
||||==========|
|**Reconciliation of movements in**||||
|**unrealised gains on investments**||||
|Unrealised gain at 1 January 2020|||2,636,705|
|Add: amount in respect of disposals in year|||(263,150)|
||||------------------|
||||2,373,555|
|Unrealised gains on revaluations in the year|||347,352|
||||------------------|
|**Unrealised gains at 31 December 2020**|||2,720,907|
||||=========|
28
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **12. ANALYSIS OF NET ASSETS BETWEEN FUNDS – 2019**
|**NALYSIS OF NET ASSETS BETWEEN FUNDS** **–**|**2019**|**2019**||
|---|---|---|---|
||**Unrestricted Funds**|||
||**General**|**Retirement**||
||**Fund**|**Fund**|**Total**|
||**£**|**£**|**£**|
|**Fund balances at 31 December 2019**||||
|**are represented by:**||||
|Tangible fixed assets|9,114,708|-|9,114,708|
|Investments|510,396|9,107,285|9,617,681|
|Current assets|1,117,414|-|1,117,414|
|Current liabilities|(363,305)|-|(363,305)|
||---------------------|-------------------|---------------------|
|**Total net assets**|10,379,213|9,107,285|19,486,498|
||==========|=========|==========|
|**Unrealised gains included above**||||
|On listed investment assets|||2,636,705|
||||==========|
|**Reconciliation of movements in**||||
|**unrealised gains on investments**||||
|Unrealised gain at 1 January 2019|||1,435,447|
|Add: amount in respect of disposals in year|||35,503|
||||------------------|
||||1,470,950|
|Unrealised gains on revaluations in the year|||1,165,755|
||||------------------|
|**Unrealised gains at 31 December 2019**|||2,636,705|
||||=========|
29
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **NOTES TO THE FINANCIAL STATEMENTS (continued)**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **13. ACTIVITIES BY FUND IN PREVIOUS YEAR**
|||**Unrestricted Funds**|**Unrestricted Funds**|**Total**|**Total**|
|---|---|---|---|---|---|
|||**General**|**Designated**|**2019**|**2018**|
||**Notes**|**£**|**£**|**£**|**£**|
|**Income from:**||||||
|Donations and legacies|1|2,830|-|2,830|581|
|Charitable activities||533,431|-|533,431|571,680|
|Investments|7|588,026|-|588,026|585,850|
|Other|2|300,607|-|300,607|262,494|
|||-------------------|--------------------|-------------------|-------------------|
|**Total income**||1,424,894|-|1,424,894|1,420,605|
|||--------------------|--------------------|--------------------|--------------------|
|**Expenditure on:**||||||
|Raising funds||47,854|-|47,854|48,138|
|Charitable activities||||||
|. Communities||1,497,504|121,036|1,618,540|1,604,426|
|. Education||2,186|-|2,186|4,171|
|. Missions and grants||194,749|-|194,749|158,886|
|. Development costs||119,575|-|119,575|97,257|
|||--------------------|--------------------|--------------------|--------------------|
|**Total expenditure**|3|1,861,868|121,036|1,982,904|1,912,878|
|||--------------------|--------------------|--------------------|--------------------|
|**Net expenditure before net gains/(losses)**||||||
|**on investments**||(436,974)|(121,036)|(558,010)|(492,273)|
|Net gains/(losses) on investments|7|1,230,989|-|1,230,989|(829,949)|
|||--------------------|--------------------|--------------------|--------------------|
|**Net income/(expenditure)**||794,015|(121,036)|672,979|(1,322,222)|
|Transfers between funds||-|-|-|-|
|||--------------------|--------------------|--------------------|--------------------|
|**Net movements in funds**||794,015|(121,036)|672,979|(1,322,222)|
|Total funds brought forward||||||
|at 1 January 2019||9,585,198|9,228,321|18,813,519|20,135,741|
|||--------------------|--------------------|--------------------|--------------------|
|**Total funds carried forward**||||||
|**at 31 December 2019**||10,379,213|9,107,285|19,486,498|18,813,519|
|||==========|==========|==========|==========|
## **14. RELATED PARTY TRANSACTIONS**
There were no related party transactions in the current or preceding year.
30
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **These pages do not form part of the statutory financial statements.**
||||**2020**|**2019**|
|---|---|---|---|---|
||**Province**|**Houses**|**Total**|**Total**|
||**£**|**£**|**£**|**£**|
|**INCOME**|||||
|Salaries and stipends|-|56,539|56,539|52,105|
||----------------|-----------------|----------------|----------------|
|**Pensions**|||||
|Superannuation|67,039|88,202|155,241|156,103|
|State pensions|99,083|205,254|304,337|298,821|
|Attendance allowance|1,725|3,090|4,815|6,059|
|Mobility allowance|-|1,494|1,494|3,229|
|Private Pension receipt|4,611|-|4,611|17,114|
||----------------|-----------------|----------------|----------------|
||172,458|298,040|470,498|481,326|
||----------------|-----------------|----------------|----------------|
|**Investment income**|||||
|Rented properties|205,356|-|205,356|194,659|
|Quoted investments|239,058|-|239,058|309,711|
|Bank deposit interest – general|1,318|13|1,331|993|
|H.M.T. share of surplus and interest|-|-|-|82,663|
||----------------|-----------------|----------------|----------------|
||445,732|13|445,745|588,026|
||----------------|-----------------|----------------|----------------|
|**Donations and legacies**|||||
|Legacies|-|-|-|1,717|
|Other donations|250|2,315|2,565|1,113|
|Furlough grants|47,520|-|47,520|-|
||----------------|-----------------|----------------|----------------|
||47,770|2,315|50,085|2,830|
||----------------|-----------------|----------------|----------------|
|**Other income**|||||
|Exchange rate gains|31,298|-|31,298|-|
|Wisdom Centre income|55,226|-|55,226|83,684|
|Chez Nous income|1,485|-|1,485|3,880|
|Miscellaneous income|1,010|11|1,021|3,043|
||----------------|-----------------|----------------|----------------|
||89,019|11|89,030|90,607|
||----------------|-----------------|-------------------|-------------------|
|**Total income (excluding surplus on**|754,979|356,918|1,111,897|1,214,894|
|**disposal of fixed assets)**|||||
|**Total expenditure (pages 32 and 33)**|(1,260,799)|(406,123)|(1,666,922)|(1,982,904)|
||-------------------|-----------------|---------------------|---------------------|
|**Net expenditure before investment**|||||
|**gains and exceptional items**|(505,920)|(49,105)|(555,025)|(768,010)|
|**Surplus on disposal of tangible fixed assets**|2,840|-|2,840|210,000|
||-------------------|-----------------|-------------------|-------------------|
|**Net expenditure before investment**|||||
|**gains**|(503,080)|(49,105)|(552,185)|(558,010)|
||=========|========|=========|=========|
31
## **THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES (Continued)**
## **CHARITABLE EXPENDITURE**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **These pages do not form part of the statutory financial statements.**
||**Province**|**Houses**|**2020**|**2019**|
|---|---|---|---|---|
||**£**|**£**|**£**|**£**|
|**Charitable activities**|||||
|**OCCUPANCY**|||||
|Insurances|4,316|7,389|11,705|9,945|
|Rents|35,747|4,523|40,270|48,903|
|Repairs and maintenance|30,832|40,973|71,805|83,476|
|Council tax|6,554|10,619|17,173|17,760|
|Water rates|422|5,168|5,590|4,223|
|Gas and electricity|
6,841|39,183|46,024|50,596|
|Other|895|19,265|20,160|21,852|
|Depreciation|255,633|-|255,633|272,397|
||------------------|------------------|------------------|------------------|
||341,240|127,120|468,360|509,152|
||------------------|------------------|------------------|------------------|
|**COMMUNITY**|||||
|Sisters’ personal allowances|917|48,040|48,957|61,612|
|Food|768|68,425|69,193|80,817|
|Household|2,092|45,639|47,731|53,836|
|Medical|107|34,250|34,357|30,649|
|Nursing home charges|274,670|-|274,670|242,073|
|Nursing care costs|1,912|912|2,824|2,245|
|Funeral and expenses|6,786|-|6,786|9,822|
|Retreat/holidays|589|5,970|6,559|17,793|
||------------------|------------------|------------------|------------------|
||287,841|203,236|491,077|498,847|
||------------------|------------------|------------------|------------------|
|**ALMS AND DONATIONS**|||||
|Given to missions|42,180|583|42,763|149,926|
|Given as general donations|22,904|28,142|51,046|42,568|
|Masses stipends|955|1,285|2,240|2,255|
||---------------|----------------|---------------|---------------|
||66,039|30,010|96,049|194,749|
||----------------|----------------|----------------|----------------|
|**TRAVEL**|||||
|Travel fares|3,064|25,274|28,338|58,236|
|Motor expenses – insurances|1,016|-|1,016|1,101|
|Depreciation|8,167|-|8,167|9,067|
||------------------|------------------|-----------------|-----------------|
||12,247|25,274|37,521|68,404|
||------------------|------------------|-------------------|-------------------|
|Carried forward|707,367|385,640|1,093,007|1,271,152|
32
**THE CONGREGATION OF THE DAUGHTERS OF WISDOM PROVINCE OF GREAT BRITAIN AND IRELAND**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES (Continued)**
## **CHARITABLE EXPENDITURE**
## **FOR THE YEAR ENDED 31 DECEMBER 2020**
## **These pages do not form part of the statutory financial statements.**
||**Province**|**Houses**|**2020**|**2019**|
|---|---|---|---|---|
||**£**|**£**|**£**|**£**|
|Brought forward|707,367|385,640|1,093,007|1,271,152|
|**LEGAL AND PROFESSIONAL**|||||
|Professional fees|||||
|Less allocated to management and administration and|113,350|-|113,350|190,195|
|Investment managers’ fees (See below)|(60,028)|-|(60,028)|(63,824)|
||------------------|------------------|------------------|------------------|
||53,322|-|53,322|126,371|
||------------------|------------------|------------------|------------------|
|**OTHER**|||||
|Wages, salaries, tax and NI|318,355|1,856|320,211|316,038|
|To DSS sisters NI contributions and pension contributions|318|-|318|318|
|Bank charges/card fees|402|1,529|1,931|1,925|
|Courses, education|3,073|390|3,463|2,186|
|Conferences and retreats|551|(151)|400|7,402|
|Associations/subscriptions|2,641|42|2,683|3,445|
|Library|55|6,355|6,410|7,748|
|General office expenses and small repairs|7,215|10,575|17,790|18,995|
|Exchange loss|-|-|-|34,854|
|Safeguarding and advertising|8,893|(113)|8,780|9,071|
|HMT share of surplus adjustment|12,001|-|12,001|-|
||------------------|------------------|------------------|------------------|
||353,504|20,483|373,987|401,982|
||------------------|------------------|------------------|------------------|
|**DEVELOPMENT COSTS**|||||
|Leadership expenses|2,169|-|2,169|19,193|
|Provincial House, Chez Nous & Leadership|17,355|-|17,355|18,557|
|The Cottage, Sligo expenses|816|-|816|973|
|Formation, pastoral care & pre-novincial|850|-|850|2,272|
|Wisdom Centre expenses|19,284|-|19,284|27,180|
|Wisdom Centre salaries|46,104|-|46,104|51,400|
||------------------|------------------|------------------|------------------|
||86,578|-|86,578|119,575|
||------------------|------------------|------------------|------------------|
|Investment managers’ fees|44,968|-|44,968|47,854|
||-----------------**-**|------------------|------------------|------------------|
|**Costs of raising funds**|44,968|-|44,968|47,854|
||------------------|------------------|------------------|------------------|
|**MANAGEMENT AND ADMINISTRATION**|||||
|Audit and accountancy: haysmacintyre|15,060|-|15,060|15,970|
||------------------|------------------|------------------|------------------|
||------------------|------------------|-------------------|-------------------|
|**TOTAL EXPENDITURE**|1,260,799|406,123|1,666,922|1,982,904|
||=========|=========|=========|=========|
33