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2021-03-31-accounts

Charity registration number 241403

FRIENDS OF LANCING CHAPEL

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

FRIENDS OF LANCING CHAPEL

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees His Honour P W Birts QC
R J Tomlinson
P Bulman
R M Reeve
C Reeve
R Ebdon
D A Kemp
D T Oliver
The Revd R P Harrison
S Linfield
C M F Brooker
C A Barley
Dr I Gough
The Revd J Meyrick
The Revd J Lawson
R Hannam
I Ward
V Chapman
Dr D A Kerney
The Venerable P Jones
J Alun-Jones
Charity number 241403
Independent examiner John Pudduck FCCA
Martlet House
E1, Yeoman Gate
Yeoman Way
Worthing
West Sussex
BN13 3QZ

FRIENDS OF LANCING CHAPEL

CONTENTS

Page
Trustees' report 1 - 3
Independent examiner's report 4
Statement of financial activities 5
Balance sheet 6
Statement of cash flows 7
Notes to the financial statements 8 - 14

FRIENDS OF LANCING CHAPEL

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021

The trustees present their annual report and financial statements for the year ended 31 March 2021.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's constitution, the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) " (effective 1 January 2019 ).

Objectives and activities

The aims of the Charity are the completion and maintenance of the fabric of the Chapel of SS Mary and Nicolas, Lancing College. In addition to being open to the public, the Chapel is used daily by Lancing College and occasionally by other Woodard Schools and the Diocese of Chichester.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Achievements and performance

The Charity continued to make substantial contributions to routine maintenance and specific on-going conservation work. The recommended actions of the 2019 Quinquennial Report are being carried out in phases, in collaboration with the College. The Charity also contributed significant improvements in health and safety and fire escape provisions. Minor payments were also made for the conservation of valuable artefacts. The continuation of the Chapel Completion Appeal and related publications and events added to annual administration costs in this financial year.

Having secured all necessary permissions for the new design for the completion of the West End and a negotiated figure for the works, an appeal was launched in September 2019 for the outstanding balance of the contract sum (£350,000). The contract was signed in November 2019 and construction was due to begin on site in April 2020. The C OVID-19 pandemic and the first government lockdown caused a delay but it proved possible to go ahead. In spite of other interruptions, the success of the appeal and careful project management meant that significant progress had been made by March 2021.

The enforced closure of the Chapel to public access for almost the whole of this financial year completely removed the usual income from visitors’ donations and sales. There was no annual festival but the level of income from the membership remained consistent. Several charitable trusts and grant-making bodies contributed to the appeal. The Volunteer Guides were kept fully informed and engaged throughout the closure.

Financial review

The accounts show a deficit of £3,867 (2020: £117,826) for the year ending 31st March 2021. Legacies received in the year were £15,000 (2020: £91,566). The charity made its annual contribution of £22,750 (2020: £21,700) to the Chapel Maintenance Fund. We have during the year received £476,872 (2020: £195,794) in donations from various sources particularly for the completion of the West End project, which was all expensed during the year. At the year-end total reserves were £484,015 all of which are unrestricted and available for general expenditure. It should be noted that some of these funds will support the completion of the West End of the Chapel Project.

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity ’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

FRIENDS OF LANCING CHAPEL

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Structure, governance and management

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated.

The charity was established in 1946 and was registered with the Charity Commission in 1965 (Number 241403). A written constitution was adopted on behalf of the Members on 23 June 1998.

The trustees who served during the year and up to the date of signature of the financial statements were: His Honour P W Birts QC

R J Tomlinson P Bulman R M Reeve C Reeve R Ebdon D A Kemp D T Oliver The Revd R P Harrison S Linfield C M F Brooker C A Barley Dr I Gough The Revd J Meyrick The Revd J Lawson R Hannam I Ward V Chapman Dr D A Kerney The Venerable P Jones J Alun-Jones

The Executive Committee are elected on an annual basis with the Officers being elected from the membership of the Executive Committee. In normal circumstances the Annual General Meeting is held during the Annual Festival at which such elections are made.

The charity is organised as an independent association of individuals interested in the maintenance and completion of Lancing Chapel in West Sussex. The members appoint the Executive Committee who have the right to co-opt nominated members for their particular expertise.

The Executive Committee of the Charity meets at least twice every year, more often if necessary. Decisions about fundraising methods and general policy are agreed at these meetings. The Charity has two non-executive sub-committees which make recommendations on policy. The sub-committees have authority for minor expenditure on administrative and routine matters. All major payments are discussed and voted on by the Executive Committee. There were meetings by Zoom on 23 September 2020 and 31 March 2021. The Charity holds an AGM which receives the accounts and elects officers and trustees. This took place on 15 October 2020 by Zoom because of Covid regulations.

FRIENDS OF LANCING CHAPEL

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

New trustees are invited by the Executive Committee. They are people known to the committee and having relevant expertise and experience. The names of new trustees are put forward for election at the next AGM. New trustees are fully briefed about the policies and objectives of the Charity. Any relevant training for their role is provided by the Charity and the College.

The trustees' r eport was approved by the Board of Trustees.

His Honour P W Birts QC Trustee

6 May 2022

FRIENDS OF LANCING CHAPEL

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF FRIENDS OF LANCING CHAPEL

I report to the trustees on my examination of the financial statements of Friends of Lancing Chapel (the charity) for the year ended 31 March 2021.

Responsibilities and basis of report

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

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

Independent examiner's statement

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

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

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

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

John Pudduck FCCA

Martlet House E1, Yeoman Gate Yeoman Way Worthing West Sussex BN13 3QZ

Dated: 6 May 2022

FRIENDS OF LANCING CHAPEL

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted
Restricted
funds
funds
2021
2021
Notes
£
£
Income from:
Donations and legacies
3
25,566
590,516
Charitable activities
4
-
-
Investments
5
4,457
-
Total income
30,023
590,516
Expenditure on:
Charitable activities
6
68,787
590,516
Net gains/(losses) on
investments
10
34,897
-
Net movement in funds
(3,867)
-
Fund balances at 1 April 2020
487,882
-
Fund balances at 31 March
2021
484,015
-
Total Unrestricted
Restricted
Total
funds
funds
2021
2020
2020
2020
£
£
£
£
616,082
109,403
195,794
305,197
-
6,009
-
6,009
4,457
8,256
-
8,256
620,539
123,668
195,794
319,462
659,303
159,397
268,135
427,532
34,897
(9,756)
-
(9,756)
(3,867)
(45,485)
(72,341)
(117,826)
487,882
533,367
72,341
605,708
484,015
487,882
-
487,882

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

FRIENDS OF LANCING CHAPEL

BALANCE SHEET

AS AT 31 MARCH 2021

Notes
Fixed assets
Investments
11
Current assets
Stocks
13
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within
one year
15
Net current assets
Total assets less current liabilities
Income funds
Unrestricted funds
2021
£
11,345
128,997
232,633
372,975
(55,554)
£
166,594
317,421
484,015
484,015
484,015
2020
£
11,345
25,015
400,304
436,664
(76,054)
£
127,272
360,610
487,882
487,882
487,882

The financial statements were approved by the Trustees on 6 May 2022

His Honour P W Birts QC Trustee

FRIENDS OF LANCING CHAPEL

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021

Notes
Cash flows from operating activities
Cash absorbed by operations
17
Investing activities
Purchase of investments
Proceeds on disposal of investments
Investment income received
Net cash generated from investing
activities
Net cash used in financing activities
Net (decrease)/increase in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year
2021
£
£
(167,703)
(4,425)
-
4,457
32
-
(167,671)
400,304
232,633
2020
£
(95,461)
299,595
8,256
£
(67,782)
212,390
-
144,608
255,696
400,304

FRIENDS OF LANCING CHAPEL

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Charity information

Friends of Lancing Chapel is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is Lancing College, Lancing, West Sussex.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's constituion , the Charities Act 2011, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling , which is the functional currency of the charity . Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, [modified to include investments and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

FRIENDS OF LANCING CHAPEL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

1.6 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year . Transaction costs are expensed as incurred.

1.7 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell . Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.

Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity 's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

FRIENDS OF LANCING CHAPEL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity ’s contractual obligations expire or are discharged or cancelled.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Donations and legacies

Unrestricted
Restricted
funds
funds
2021
2021
£
£
Donations and gifts
10,566
476,872
Legacies receivable
15,000
-
Listed Places of Worship
Grant
-
113,644
25,566
590,516
TotalUnrestricted
Restricted
funds
funds
2021
2020
2020
£
£
£
487,438
17,837
195,794
15,000
91,566
-
113,644
-
-
616,082
109,403
195,794
Total
2020
£
213,631
91,566
-
305,197

FRIENDS OF LANCING CHAPEL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

4 Charitable activities

Unrestricted
Funds
2020
£
Chapel sales (nil in 2020/21 due to the pandemic) 6,009
Investments
Unrestricted Unrestricted
funds
funds
2021
2020
£
£
Income from listed investments 3,799
6,223
Interest receivable 658
2,033
4,457
8,256

5 Investments

6 Charitable activities

Unrestricted
funds
Restricted
funds
2021
2021
£
£
Maintenance fund
22,750
-
Cost of sales
-
-
West Porch Costs
33,728
590,516
56,478
590,516
Share of support costs
(see note 7)
12,309
-
68,787
590,516
Analysis by fund
Unrestricted funds
68,787
-
Restricted funds
-
590,516
68,787
590,516
Total
2021
Unrestricted
funds
Restricted
funds
2020
2020
£
£
£
22,750
21,700
-
-
1,025
-
624,244
120,063
268,135
646,994
142,788
268,135
12,309
16,609
-
659,303
159,397
268,135
68,787
159,397
-
590,516
-
268,135
659,303
159,397
268,135
Total
2020
£
21,700
1,025
388,198
410,923
16,609
427,532
159,397
268,135
427,532

FRIENDS OF LANCING CHAPEL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

7 Support costs

Support
costs
Governance
costs
£
£
General Office
6,908
-
Travel and Subsistence
-
-
Accountancy fees
3,100
-
Conservation
-
-
Advertising
1,007
-
Printing, postage, and
stationery
-
-
Bank charges
1,294
-
12,309
-
Analysed between
Charitable activities
12,309
-
2021
Support
costs
Governance
costs
£
£
£
6,908
5,133
-
-
286
-
3,100
1,600
-
-
2,400
-
1,007
3,456
-
-
3,467
-
1,294
267
-
12,309
16,609
-
12,309
16,609
-
2020
£
5,133
286
1,600
2,400
3,456
3,467
267
16,609
16,609

Support costs includes payments to the independent examiner's of £3,100 (2020- £1,600). Included in this figure is £1,500 which relates to the provision of non-independent examination services (2020- £0).

8 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

9 Employees

The average monthly number of employees during the year was:

2021 2020
Number Number
Total - -

There were no employees during the year. The trustees gave their time without receiving any benefits and Lancing College provided administration services without charging the charity.

10 Net gains/(losses) on investments

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Revaluation of investments 34,897 (9,756)

FRIENDS OF LANCING CHAPEL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

11 Fixed asset investments

Listed
investments
£
Cost or valuation
At 1 April 2020 127,272
Additions 4,425
Valuation changes 34,897
At 31 March 2021 166,594
Carrying amount
At 31 March 2021 166,594
At 31 March 2020 127,272

Fixed asset investments revalued

Fixed asset investments are measured at fair value through the income and expenditure account .

Basis for valuation is the mid-market price at each reporting date as provided by Interactive Data (Europe) Ltd.

The historic cost of fixed asset investments at the reporting date is £132,517 (20 20 : £128,198).

12
Financial instruments
Carrying amount of financial assets
Instruments measured at fair value through profit or loss
13
Stocks
Goods for resale
14
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income
2021
£
166,594
2021
£
11,345
2021
£
128,599
398
128,997
2020
£
127,272
2020
£
11,345
2020
£
23,713
1,302
25,015

FRIENDS OF LANCING CHAPEL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

14 Debtors (Continued)

Other debtors includes a grant due from the Department for Digital, Culture, Media & Sport of £113,644 which has been received since the year-end.

15 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
2021 2020
£ £
Accruals and deferred income 55,554 76,054

16 Related party transactions

T he following amounts were outstanding at the reporting end date:

Amounts owed to related
parties
2021 2020
£ £
Key management personnel - 30,000

A loan was made to the charity by a trustee in 2020 for £30,000. No formal terms were in-place, and no interest was charged. The loan was repaid during the period.

17 Cash generated from operations

17 Cash generated from operations 2021 2020
£ £
Deficit for the year (3,867) (117,826)
Adjustments for:
Investment income recognised in statement of financial activities (4,457) (8,256)
Fair value gains and losses on investments (34,897) 9,756
Movements in working capital:
(Increase)/decrease in stocks - 978
(Increase) in debtors (103,982) (9,546)
(Decrease)/increase in creditors (20,500) 57,112
Cash absorbed by operations (167,703) (67,782)
18 Analysis of changes in net funds

The charity had no debt during the year.