Company Nurnber. 00211214 Charity Number= 235831 SWANSEA & BRECON DIOCESAN TRUST INCORPORATED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2024 SWANSÉA & BRECON DIOCESAN TRUST INCORPORATED CONTENTS Page Report of the Trustees for the yeBr ended 30 Juntr 2024 Independent Examinerfs Reporl to the Members of Swan8ea & Breeon Diocesan Trust Incorporated 11 Statement tsf Fin8naal Activrties lincjuding Intr￿me and Expenditure Accounil 12 Balan￿ Sheet as at 30 June 2024 13 Notes to the Financial Stat8rn8nts for the Year Ended 30 June 2024 14 SWANSEA & BRECON OIOCESAN TRUST INCORPORATED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2024 (INCLUDING DIRECTORS REPORTI Roport ofthe Trnstee8 for the yearended 30 June 2024 The tnJstees ofthe Swansea & Brecon Diocesan Trust Inctsrporated (the Trust, the Chanty, the Companyl are pleased to prese￿1 their annual report fo9ett)er wrth the indeper)denty examined finanaal statemonts of thg charity for the year ended 30 June 2024. The trustees. who ale also directors lor the purposes of company law. are pleased to present Ihelr 8nnual diiectDrs' report together with the financial statements of Ihe charity for the year ending 30 June 2024 which are also prepared to meetthe requirements for 8 diiectots, report and aecounts for Companie5 Act puTpo$es. The financi81 statements have been prepared In attoidance wth the acmunbng poliaes Set out In the note5 to the financial statements and cOm￿Y with Lhe charity's Memorandum and Arbdes ol Asso￿a￿.0￿, th8 Cornpanies Act 20(￿ and "Accounting and Reporting by Charitses." Statement of Recommended Practice applIca￿e to rhanties prepafing their accounts In accordance wth the FinanGial Reporbng Stsndaid applicab18 In the UK and Republic of Ire18nd IFRS 1021 (effective 1 JanuAry 20191.. Chalvs Rwort As Chair ol Ihe Swansea and 8recon Diocesan Trust Ithe Trust) l arn ple3$ed present our annual report for the twelve month6 to 30th June 2024. Education Services In the Diocese remains a Priority for Ihe TtusL In this context we have Continued to piovide support and guidan￿ to VA and VC Schools while mindful of our responsibility to ensure our finances are such that we CAn ctsntinue in this role lorthe fore$eeable future. Dis￿SSiOnS wth fv40 schools in the Diocese that have e¥pfes8ed a wish to become Ghuith in Wales Schools have conbnued. Plans for a ll¢w school buildin9 for Christthurch VA School In Swansea have progressed through the year. The DIO￿an Director of Education is wntinuing to work dosely wlh the Local Authority Dn this important matter. We contsnue to insure our school buildings foF our 6 VA schools and B VC schools and to manage the Caprtal Repair Ènd maintenan￿ Programrne ICRAMPI lor our sthools. in line with the directive from the Welsh Assembty Government Followng the dis8ppointment ol the closvre ol Llanbedr Schoo1 the trustees a￿ deterniined to ensure that the maximum benefrt is obtained frorn the sale of the property 11 is expected thal the property wll be solcj in the near fvture and ttte funds reaS1sed u$ed to support Church Sthools auoss the Diocese. ThE dosure of Llanbedr School h35 meant that the b88is on whith this propety is V￿Ued for the purpose of the accounts has changed to reflectthe change in $tslus. An Inclepen(Jenl property consultant assessed the market value￿IthoUt planning pemiission of the part of the building and land owned by the Trust to be £200,000. This valuation has been used In Ihe current accounts and represents a £167,750 incxease trom tre Previou5 carrying value. An increase In the value ofthÈ Trust's propety portfollo of£394.625 has been recor¢ed h thls years aw)unts. The scaool properbes 3r¢ valued by applying a 7.5 M￿￿lp11er to the rateable value ol each property. The Imp8¢t of updates of rateable values by the Valuation Office Agency during the yeAr has resulted in a net In¢￿aSe ol £226,875 in the recorded value ol sthool properties. The rern8ind¢r gf the increase is represente(J by th8 revaluation of Uanbedr School 51te as described above. The Tfust's inveslment porttolK* has provided posltlve retttms during the last months as markets have shrugged off some of the uncertsints'es associated vAth the COVID pandernia and high interest raie5. Re5poNsibility foroverseeing investment polioes 8nrl performance is vested In Swansea and Brecon D￿OCeSan Board of Finance Limited's Investment SukFCommittee on which the Trust is represented. The Investment manage￿ and Ihe Investment sUL￿cOmmittee meet on a regular basis to review investment incorne and investment values. Finalty the trustee5 wère pleased lo awaid a Iwo grants during the year on bèha11 of the Archde8con Bevan Memorial Fund to assist with projects researching history and herrtage in the Diocese. SWANSEA & BRECON DIOCESAN TRUST INCORPORATED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2024 IINCLUD114G DIRECTORS REPORTI To condude I would like to extend my thanks lo the offi￿r$ of the Trust 8nd Iheir assistants and also to my fellow tru51ee5. fot their cornmitment and cAre for Trust matters during the year. Mr Stuart 8¥tcup Chair r kl g- IJL¥ SWANSEA & BRECON DIOCESAN TRUST INCORPORATED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2024 IINCLUDING DIRECTORS REPORTI l¢ontinuedl Our pu¥p08e8 and aims The prinapal pvrpose tsfthe chaTity is the man8gement of those church trusts in the Diocese of Swansea and Brewn as vosted in the ch8nty as trustee8. The chaTity acts as custodian Iruslee for. Land and building5 held under these tru3ts. Funds held under these trustg 3nd also ensures that the individual funds are managed 8nd invested to the benefit ol the re$pÈdive administrative trustees. The charity achieves rts objethves ol the managernenl of the ¢huTch trusts through regular rneelings ol the trustees and regular inveslrnent reports. Returns on Investment are monitored In line with market con￿￿"0nS using benchmarking and the FTSE indicts. Oblectiv•g and 8Ctlvllle# for the publlc benellt During the year the Trust has contsnued to 8UPPOrt both rts Voluntary Aided and Volynlary Controlled Schools with their financ4al and e(tueational needs ty the provision ol granls 8nd 8dvice. Through this medium the children of the areas in which the schools a￿ lrtated are nurtured In 8 safe an4J caring environment Th admissions poliaes applied by tre Governing Bodies at eaGh of the sd)ools are approved by the local education aLJthorities concemed and provide ihe Bppropri8te level of opportrjnity for those not affiliated to the Church in Wales to obtsin admtttan¢e to the schools. Church propety is made availabl¢ lo thtr public through comrnunity use which is enojuraged The IDJSI is of the opinion that it should assist cornmunilies, particul8Fly in rural areas where facil￿e$ are either not otherwise available or are in8dequate to provide sUltabl¢ property. Through these aclions the Trust conslders that it fvlfils its responsibility to have regard to the public benefrt in its oper8b'on. The trustee5 have had regard to the Chanty Commission's guidan¢e on publK benefit in planning and ¢8trying OLrt the charity's programme. Fundral$lng aetSvMe# The Trust does not engage in fundraising activitses to finance its activities. Achl8vem•nts and p¢rformanet The tharity continues to support ils Voluntary Aided and Voluntary Controlled Schools with their educational and financial needs a8 de8(￿bed above. It also c4)ntinuesto as custodian tnjstee forindividual trusts vested th the charity and custodian trustees of 18nd ow￿ed by parishes. A full list tsl custodian trust fund3 andlor nds held on behalf ol Diocesan organisatr.ons is provid￿ on pages 910.. The chanty has devolved the m#n8gement of invesimentsto Brthin D￿phin Ltd as de5cril￿d in the Investment Policy and Performance 59thon. The Investment portfolio achieved its benchm8rk rebjrns set by the Investrnent commrttee and the trustees are satisfied with Investment performance. The ¢hanty has supported rts Voluntary A'ded and Voluntsry Controlled Schoolswilh Sthool visits and financial 8ssistance. SWANSEA & 8RECON DIOCESAN TRUST INCORPORATED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2024 IINCLUDING DIRECTORS REPORT contlnued Flnanclal R8vI•w Restrided funds net expenditure for the year wa5 £10,10512023 net expendrture.. £2.5621 befof$ gains on investrments and property revaluations. There were no property sales during the year. Funds Irorn the sale of sdTrool properties aye used to 5UPPOrt both Voluntsry Aided and Voluntary Controlled Schods. The Trust provided funding 01 £27,$4712023 £30,966) to the Swansea and Brecon Dioc*san Board ol Finance Limited to help SLtpport the work olthe Diocesan Director of Education. School bimlding insurance costs met by the Trust were £17,66812023'. £14.6741. The ￿1¥￿ Assembly Government IWAGI made available grant funding of £16,965 lor 2023-2412022- 2023.. £23.5161 through its Capital Repairs and maintenan￿ Programme IGRAMPI for Voluntary ded Schools. The CRAMP Scheme runs on an annual basis from April to March. £16,965 was gIIoGqted during the Trust's finanrJ&l year. Education propertes are valued at £2.595.75012023.' £2.401,1251. The properties are valued by pplying a 7.5 multiplierto the rateable value of each proDerty. Amendments to rale8bla vglues by the Valuation Office Agency dunng the year reSu￿ed in a nel increase In the ratea￿e values of educab'on properties of £26,100 which translates into a £226.875 inuease in the valuation of educab.on properties for the purposes of the frnancjal statements. Followng the closure of Ll8nbedr Church in Wale5 School on 31￿ August 2023 the property is has been valued al Tnarket value in the stat8ments. An independent propety consultant as$es5ed the m8rket value ￿thout planning perrni3sion of the part ol the building and land owned by the Trust to be £200,000. This valu8bon has been used In the ￿Tren( accounts and represents a £167.750 inuease from the previous carrying value The pnneipal tunding source is Ihe Trust's investment porttolio. Fiftancial markets perforTned p051tively during the year. This 15 ieflecled in an increase In the value of the Trust's Investment portfolio to £1,651,00412023. £1,527,371) deBPlte realising losses on investmen15 of £3.12112023'. realised gain £5,610). The Twst's investrnent incorlle decreased to £56,486 12023.. £59,8SOh is expected that Investment incorne will be m8intsined at the cJJrrenl levels in the next ￿efve rnonths. SWANSEA & BRECON DIOCESAN TRUST INCORPORATED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2024 (INCLUDING DIRECTORS REPORn l¢ontlnueil Key ptrrfom7ance Indlcato The trustees C￿nSider Ihe key performan￿ indicators to be net In¢omelexpenditure before gaJn3Aosses on investment5 and property revaluations and the lotsl funds cafried forward at 30 June 2024 2024 2023 Net expenditure before gainsfjosses on investments and pioperty revaluations 110.1061 12,5621 Totaf funds CBTri8d lorward as at 30 June 4.528.779 4,012.882 Res￿￿8- Unréstrlcted Funds Th8 Wltst movements for the year on unrestricted fvnds are as follows".- 2024 Nel Incom B8lanc6 brought Iolward Balance carvied fO￿ard 2,025 Results- Restdcted Fund8 The net mtsvements for the y&ar on restricted funds are 8$ follows.. 2024 Nel Iexpendrtu￿I before gains on investments and revaluation of educab.onal prtsperties Net gains Dn revaluation and disposals of fixed asset investrnents aThJ education properties Net movement ln fund alance brought forward 88lance carriett forward 110,1051 516,897 4 010.057 The financial 5ts1ements are drawn up to comply wrth the Cornpanies Act 2006 and UK GAAP IFRS1021. The tTuslees are of thè opinion that tre resuKs for the year are satisfaclDry and that the financial position ol the charity remains sound, In¥egtsn•nt Pollcy and ￿rt￿r￿art Th@ charity has devolved the management ol Ihe investments to R8C Brewn Dolphin Ltd. The board has iequested that the sums are Invested in low to mediurn risk Investments whilst maximising the retum they generate so as to provide income for the ¢harity so that it can 8chieve its objethves. SWANSEA & BRECON DIOCESAN TRUST INCORPORATED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2024 IINCLUI)tNG DIRECTORS REPORT l¢ontlnu•d An irivestrnent cofflmrtt¢è Is responsible for the sgtbng and reviewing the strategy ol the Trust's investments, ancl for monitoring the perfom)ance of the TriJsl'5 Portfolios. The investments are made in full accordance with the Ethic81 Investment Policy adopted by the R8CIW. The investment portlolio was restructured dLSring the y6ar to reftect ttte changes to the RBCIW Ethical Investrnent Policy approved by the GovÈming Body in Apnl 2021. namely that no investments would be made in any cornpany deTwing more than 5°k of Its turnover from th* production or the exlraction of fossil fuels. Rè8eNes Pollcy The charity asrns to rnaintain its levd ol Diocesan Church Sthools and Religious Education reserves in hjture years to enable it to to effecb'vely support its Voluntary Aided and Voluntary controll￿ Schools with th*r educalonal 8nd ffnanclol needs. The tharity's total reserves &re £4,528.77912023' £4.012.8821 of which £4.525,95412023.' £4.01 D,05n afe restricted fvnds Included In iestncted funds arg fixed assets In the form of 3th