**REGISTERED CHARITY NUMBER: 244569**
**Report of the Trustees and**
**Financial Statements for the Year Ended 31st March 2021**
**for The Hopmarket Charity**
The Richards Sandy Partnership Thorneloe House 25 Barbourne Road Worcester Worcestershire WR1 1RU
**The Hopmarket Charity**
## **Contents of the Financial Statements for the Year Ended 31st March 2021**
||**Page**|
|---|---|
|**Report of the Trustees**|1 to 4|
|**Independent Examiner's Report**|5|
|**Statement of Financial Activities**|6|
|**Balance Sheet**|7|
|**Notes to the Financial Statements**|8 to 14|
|**Detailed Statement of Financial Activities**|15|
## **The Hopmarket Charity**
## **Report of the Trustees for the Year Ended 31st March 2021**
The trustees present their report with the financial statements of the charity for the year ended 31st March 2021. The trustees have adopted the provisions of 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**
## **Objectives and aims**
The charity has been set up to benefit "needy persons" in the city of Worcester. "Needy persons" means persons who by reason of poverty, sickness or infirmity whether young or old are in need of financial assistance, care or attention. "Needy persons in the city of Worcester" are persons whose need arises in the city, whether or not they permanently reside there.
In accordance with Charity Commission guidance, the trustees regard people suffering from poverty as including persons who do not have the resources to provide for themselves, either on a short or a long-term basis, with the normal things of life which most people take for granted. The trustees aim to address both the causes and the consequences of poverty by allocating grants to assist with both the prevention and relief of poverty. In view of the limited resources of the charity, the trustees take the view that the objects of the charity can best be fulfilled by supporting other organisations which have been established for purposes within the charity's objects, rather than devoting the resources of the charity to the support of a limited number of individuals.
## **Significant activities**
The Charity owns a building known as the Hopmarket complex (formerly The Hop Market Hotel) in Foregate Street, Worcester, together with annexed premises at 13, 14, 15 and 16 The Foregate, Worcester. The complex comprises a number of retail units with residential accommodation above.
The income from leasing the premises of the Charity is held on trust to apply the same for the benefit of needy persons in the city. Needy persons are defined in the Act as persons who by reason of poverty, sickness or infirmity whether young or old are in need of financial assistance, care and attention.
The flats above the retail units are leased to Platform Housing Group. Although no rent is payable, Platform Housing Group bears 75% of the cost of the repairs and maintenance to the building.
## **Public benefit**
The trustees confirm that they have complied with the duty in section 17(5) of the 2011 Charities Act to have due regard to guidance issued by the Charity Commission on public benefit when deciding on the charity's activities.
## **ACHIEVEMENT AND PERFORMANCE**
## **Property Management**
Day-to-day management of the Hopmarket retail units, including lettings, is undertaken by Fisher German LLP. The Agreement expired on 31st March 2020 and the Trustees agreed to re-appoint Fisher German for a further three years on comparable terms.
In November 2021, Fisher German LLP confirmed that they are withdrawing as property managers as from May 2022 and a replacement is being sought.
There were some empty units during the year, the most prominent being 16 The Foregate. The Chairman negotiated a refund on gas not used at the property and a repayment of £2,227 was received. A rates rebate of £1,334 was also received from the City Council.
The Trustees considered a proposal from Worcester Municipal Charities CIO for the future use of nos. 1 and 2 Inglethorpe Court, which had previously been used as offices for the Citizen's Advice Bureau. The current proposal is to convert the properties to residential, with the Hopmarket Charity receiving rent for one of the four flats, in exchange for a 125 year lease. The Trustees concluded that in principle this proposal has merit and should be taken forward, subject to the Heads of Terms being considered carefully, and it is anticipated that an Agreement will be signed in 2021/22.
Some traders requested, and were given, a rent deferment during the various lockdown periods during 2020/21, on the understanding that all sums would be paid when they were in receipt of any Government funding through business support grants and so able to pay.
The Trustees were informed of the high cost of property repairs especially in relation to the windows of the flats, even though Platform Housing Group pays 75% of the cost. This was noted with some concern. A sub-group has now been formed, with input from Fisher German, to meet quarterly with Platform Housing Group and report back to the Trustees.
Page 1
**The Hopmarket Charity**
## **Report of the Trustees for the Year Ended 31st March 2021**
## **ACHIEVEMENT AND PERFORMANCE**
## **Hopmarket Promotion and Income Generation**
The City Council's Economic Development Officer (Enterprise and Business Growth), advises the Board and traders on marketing initiatives and income generation. The Trustees have established an Income Generation and Promotion SubGroup and have a small promotions budget.
The Covid-19 pandemic had a significant impact on the Hopmarket traders during the year and several received assistance from the City Council through the award of business support grants. Some promotional activities were undertaken over the Christmas 2020 period. In the circumstances the funds left in the promotions budget were considered adequate to carry forward into 2021/22.
## **FINANCIAL REVIEW**
## **Financial position**
For 2020/21 the level of income received was in line with the previous year. This included £4,907 of Government grants received in respect of the Covid-19 pandemic. The rental income of £133,455 was only £4,021 less than last year despite the pandemic. 16 Foregate Street, the Charity's largest unit, remains vacant along with several other units in the Hopmarket courtyard.
Expenditure for 2020/21 was higher than the previous year. The insurance costs increased by £2,297 and are recharged through the service charge. The related income received is included in the Income section of these accounts. The management and administration costs were higher due to Fisher German's fees including one-off costs for a roof inspection and charges for assessing tenants' dilapidations claims.
There was only limited expenditure from the Development Fund reserve brought forward from 2019/20 and a balance of £7,473 remained at 31 March 2021. There was a £10,000 transfer to the Repairs Fund giving a balance at 31 March 2021 of £72,567.
In summary, the overall surplus was greater than last year due to the Government grants received and the decision to not make any grant payments being enough to offset the increase in expenditure.
## **Applications for Grant Aid**
A number of grant applications were received during 2020. However, having considered the Charity's financial position in relation to the economic uncertainty created by the pandemic and the associated lockdowns, the trustees agreed not to make any grant payments in 2020/21.
This remains under review and the Trustees remain committed to grant payments resuming in the near future.
## **Reserves policy**
The charity holds general unrestricted funds (which excludes amounts held in designated funds) of £55,976 (2020 - £29,822) to fund ongoing expenditure if there is a future drop in rental income received by the charity.
Because of the ongoing uncertainty regarding Covid-19, the charity has not set a specific limit as to what level of general unrestricted funds it aims to hold.
Details regarding designated funds held by the charity can be found in note 14 of the notes to the financial statements.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The Hopmarket is a Charity established under Act of Parliament. Its current Governing Act is the Worcester City Council Act 1985.
## **Recruitment and appointment of new trustees**
The charity is governed by a Board of Trustees. The Board has at least 6, but not more than 7 Worcester City Councillors and at least 2, but no more than 3 Independent Trustees.
The City Council Trustees are appointed annually.
The two Independent Trustees - Rev Canon Georgina Byrne and Mr Bill Simpson - are appointed for a period of up to four years and their term runs to 2023.
The Trustees appointed Mr Bill Simpson as Chairman for 2020/21. Mike Johnson was appointed as Vice-Chairman.
Page 2
**The Hopmarket Charity**
## **Report of the Trustees for the Year Ended 31st March 2021**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Trustee meetings in year**
The Trustees met three times during the 2020/21 Municipal Year. Due to the Covid-19 pandemic, these meetings were held online via Zoom.
During the year, the Trustees received advice and agreed a series of measures to ensure the charity's governance remains on a sound footing. This included reviewing the Standing Orders and confirming the scheme of delegation, appointing Vice-Chairs to support the work of the Chairman, making provision for community trustees to serve extended terms if in the best interests of the charity and procuring trustee liability indemnity insurance.
The Trustees also considered a report from the City Council's Deputy Director - Governance recommending that it be incorporated as a legal entity in its own right. In terms of legal status, the charity is currently an "unincorporated charitable trust". It is not a legal entity in its own right, separate from the Trustees. The Trustees agreed that incorporating the charity as a separate legal entity was the appropriate way forward, and the City Council has endorsed this approach. The next steps will be for the Trustees to pass the necessary resolutions to submit their application to the Charity Commission. It is anticipated that this will completed during 2021/22.
## **Organisational structure**
The Charity is administered by Worcester City Council from the Guildhall, High Street, Worcester. The Council's Head of Finance acts as the Treasurer of the Charity and legal support is provided by the Council's Legal Services team.
The Trustees have appointed Fisher German LLP as the agent for managing the Hopmarket building and receive update reports on rents, arrears and lettings with a representative from Fisher German attending meetings to answer any questions.
## **Trustee remuneration**
The Trustees received no remuneration during 2020/21.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number**
244569
## **Principal address**
Guildhall Worcester Worcestershire WR1 2EY
## **Trustees**
_**City Councillor Trustees**_ Councillor Jenny Barnes Councillor Tracey Biggs (resigned 8 May 2021) Councillor Chris Cawthorne (resigned 8 May 2021) Councillor Allah Ditta Councillor Nida Hassan Councillor Josephine Hodges (appointed 8 June 2021) Councillor Stephen Hodgson (appointed 8 June 2021) Councillor Mike Johnson Vice-Chairman Councillor Karen Lewing (appointed 8 June 2021)
## _**Independent Trustees**_
Rev Canon Georgina Byrne Mr Bill Simpson Chairman
## **Independent Examiner**
The Richards Sandy Partnership Thorneloe House 25 Barbourne Road Worcester Worcestershire WR1 1RU
## **Treasurer**
Mark Baldwin
Page 3
##
##
##
##
##
##
## **The Hopmarket Charity**
## **Statement of Financial Activities**
## **for the Year Ended 31st March 2021**
|Development
Unrestricted
designated
funds
fund
Notes
£
£
**INCOME AND ENDOWMENTS**
**FROM**
Donations and legacies
3
**4,907**
**-**
Investment income
4
**133,465**
**-**
**Total**
**138,372**
**-**
**EXPENDITURE ON**
Raising funds
5
**87,572**
**-**
**Charitable activities**
Grants issued
**18,575**
**-**
**Total**
**106,147**
**-**
Net gains on investments
**320,000**
**-**
**NET INCOME**
**352,225**
**-**
**Transfers between funds**
14
**(6,071)**
**(3,929)**
**Net movement in funds**
**346,154**
**(3,929)**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**879,822**
**11,402**
**TOTAL FUNDS CARRIED**
**FORWARD**
**1,225,976**
**7,473**|Repairs
designated
fund
£
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**10,000**
**10,000**
**62,567**
**72,567**
**1**|**2021**
**Total**
**funds**
**£**
**4,907**
**133,465**
**138,372**
**87,572**
**18,575**
**106,147**
**320,000**
**352,225**
**-**
**352,225**
**953,791**
**,306,016**|2020
Total
funds
£
-
137,550
137,550
77,805
56,496
134,301
-
3,249
-
3,249
950,542
953,791|
|---|---|---|---|
The notes form part of these financial statements
Page 6
##
##
||||||**`2021`**|`2020`|
|---|---|---|---|---|---|---|
||||`Development`|`Repairs`|||
|||`Unrestricted`|`designated`|`designated`|`Total`|`Total`|
|||`funds`|`fund`|`fund`|**`funds`**|`funds`|
||`Notes`|
`E`|`£`|`£`|`£`|`£`|
|**`FIXED ASSETS`**|||||||
|`Investment property`|**`10`**|**`1,170,000`**|||**`1,170,000`**|`850,000`|
|`CURRENT ASSETS`|||||||
|`Debtors`|**`11`**|**_`53,199`_**|||**`53,199`**|`60,213`|
|`Cash at bank`||**`46,648`**|`7,473`|**`72,567`**|**`126,688`**|`131,900`|
|||**`99,847`**|**`7,473`**|**`72,567`**|**`179,887`**|`192,113`|
|**`CREDITORS`**|||||||
|`Amounts falling due within one`|||||||
|`year`|`12`|**`(40,726)`**||`-`|**`(40,726)`**|`(84,128)`|
|**`NET CURRENT ASSETS`**||**`59,121`**|**`7,473`**|**`72,567`**|**`139,161`**|`107,985`|
|`TOTAL`**`ASSETS LESS`**|||||||
|**`CURRENT LIABILITIES`**||**`1,229,121`**|`7,473`|**`72,567`**|**`1,309,161`**|`957,985`|
|**`CREDITORS`**|||||||
|`Amounts falling due after more`|||||||
|`than one year`|`13`|**`(3,145)`**|||**`(3,145)`**|`(4,194)`|
|**`NET ASSETS`**||**`1'225r976`**|**`7,473`**|**`72,567`**|**`1,306,016`**|`953,791`|
|**`FUNDS`**|`14`||||||
|`Unrestricted funds:`|||||||
|`General unrestricted funds`|||||**`55,976`**|`29,822`|
|`Capital reserve fund`|||||**`1,1 70,000`**|`850,000`|
|`Development fund`|||||**`7,473`**|`11,402`|
|`Repairs fund`|||||**`72,567`**|`62,567`|
||||||**`1,306,016`**|`953,791`|
|**`TOTAL FUNDS`**|||||**`1,306,016`**|`953,791`|
**The Hopmarket Charity**
## **Notes to the Financial Statements for the Year Ended 31st March 2021**
## **1. ACCOUNTING POLICIES**
## **BASIS OF PREPARING THE FINANCIAL STATEMENTS**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.
The financial statements are prepared in sterling, which is the functional currency of the charity.
Monetary amounts in these financial statements are rounded to the nearest £1.
## **INCOME**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Rental income is received on a straight line basis over the period to which it relates.
Grant income is recognised when there is evidence of entitlement to the grant, receipt is probable and its amount can be measured reliably. Entitlement usually arises immediately on its receipt, unless there are terms or conditions which must be met before the charity is entitled to the income.
Interest income is recognised for all interest-bearing instruments on an accruals basis.
## **EXPENDITURE**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants payable are charged to expenditure when the offer is conveyed to the recipient, unless the offer is conditional in which case such grants are charged to expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.
## **INVESTMENT PROPERTY**
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in the Statement of Financial Activities.
## **TAXATION**
The charity is exempt from tax on its charitable activities.
## **FUND ACCOUNTING**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **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 when the charity becomes party to contractual provisions of the instrument.
Financial assets are offset, with the net amounts presented in the accounts where 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.
Page 8
continued...
**The Hopmarket Charity**
## **Notes to the Financial Statements - continued for the Year Ended 31st March 2021**
## **1. ACCOUNTING POLICIES - continued**
## **FINANCIAL INSTRUMENTS**
## **Basic Financial Assets**
Basic financial assets, which include trade and other receivables 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.
## **Basic Financial Liabilities**
Basic financial liabilities, including trade and other payables, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of future receipts, discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of the operations from suppliers. Accounts 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 payables are recognised initially at transaction cost.
## **SERVICE CHARGE MONIES**
Service charge monies collected and managed by the investment property manager of the charity are managed on trust on behalf of the tenants of the investment property. Service charge monies are not considered to belong to the charity and the financial activities (including income, expenditure, assets and liabilities) relating to service charge monies have been excluded from these financial statements.
## **2. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY**
Accounting estimates and judgement are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
## **Significant sources of estimation uncertainty**
The investment property is revalued to market value based on a year end valuation performed by a qualified independent valuer. However, some judgement is applied in comparing the investment property to recent sales of similar properties in the area and the market value of the investment property cannot be directly measured until such time that it is sold. The value of investment property is included in note 10 of the financial statements.
## **3. DONATIONS AND LEGACIES**
|Grants
Grants received, included in the above, are as follows:
Worcester City Council - Covid-19 relief
**4.**
**INVESTMENT INCOME**
Rents received
Bank interest received|**2021**
**£**
**4,907**
**2021**
**£**
**4,907**
**2021**
**£**
**133,454**
**11**
**133,465**|2020
£
-
2020
£
-
2020
£
137,477
73
137,550|
|---|---|---|
Page 9
continued...
**The Hopmarket Charity**
## **Notes to the Financial Statements - continued for the Year Ended 31st March 2021**
## **5. RAISING FUNDS**
|Investment property manager fees
Property insurance
Advertising and marketing
Electricity, water and business rates
Bad debt provision
Property repairs and maintenance
**6.**
**GRANTS PAYABLE**
Grants issued
The total grants paid to institutions during the year was as follows:
Worcester Housing & Benefits Advice
Headway Worcester
Vamos Theatre Company
For Cancer Group Sail 4 Cancer
All Saints Worcester
Caring for Communities & People Ltd
Armchair
Revitalise Respite Company
Footsteps
Happy Days
React
The total grants paid to individuals during the year was as follows:
Grants to Hopmarket tenants - Covid-19 relief
**7.**
**SUPPORT COSTS**
Support costs are as follows:
Administration charges
Independent examination fee
Trustee indemnity insurance
Sundries|**2021**
**£**
**25,716**
**29,901**
**3,729**
**1,632**
**-**
**26,594**
**87,572**
**2021**
**£**
**200**
**2021**
**£**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**|2020
£
16,270
27,605
10,297
1,332
(1,668)
23,969
77,805
2020
£
39,990
2020
£
11,300
6,300
3,960
3,200
3,000
2,789
2,500
2,674
2,520
959
788
39,990
2020
£
-
2020
£
**16,300**
**-**
**-**
**206**
**16,506**|
|---|---|---|
||**2021**
**£**
**200**
**2021**
**£**
**16,300**
**1,360**
**498**
**217**
**18,375**||
Independent examination fees for 2020 are stated net of the release of a 2019 over-accrual of £3,600.
Page 10
continued...
**The Hopmarket Charity**
## **Notes to the Financial Statements - continued for the Year Ended 31st March 2021**
## **8. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31st March 2021 nor for the year ended 31st March 2020.
## **TRUSTEES' EXPENSES**
There were no trustees' expenses paid for the year ended 31st March 2021 nor for the year ended 31st March 2020.
## **9. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|Development
Unrestricted
designated
funds
fund
£
£
**INCOME AND ENDOWMENTS FROM**
Investment income
137,550
-
**EXPENDITURE ON**
Raising funds
77,805
-
**Charitable activities**
Grants issued
56,496
-
**Total**
134,301
-
**NET INCOME**
3,249
-
**Transfers between funds**
(9,528)
(472)
**Net movement in funds**
(6,279)
(472)
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
886,101
11,874
**TOTAL FUNDS CARRIED FORWARD**
879,822
11,402|Repairs
designated
fund
£
-
-
-
-
-
10,000
10,000
52,567
62,567|Total
funds
£
137,550
77,805
56,496
134,301
3,249
-
3,249
950,542
953,791|
|---|---|---|
Page 11
continued...
**The Hopmarket Charity**
## **Notes to the Financial Statements - continued**
## **for the Year Ended 31st March 2021**
## **10. INVESTMENT PROPERTY**
|**FAIR VALUE**
At 1st April 2020
Revaluation
At 31st March 2021
**NET BOOK VALUE**
At 31st March 2021
At 31st March 2020|**£**
**850,000**
**320,000**
**1,170,000**
**1,170,000**
850,000|
|---|---|
The year end valuation of investment property has been undertaken Jason Clines MRICS on behalf of Fisher German LLP.
## **11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Trade debtors
Fisher German LLP
Prepayments and accrued income
**12.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Grants payable
Tenant deposits
Worcester City Council
Accrued expenses
Deferred income (see note 15)
**13.**
**CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**
Deferred income (see note 15)
**14.**
**MOVEMENT IN FUNDS**
Net
movement
At 1.4.20
in funds
£
£
**Unrestricted funds**
General unrestricted funds
**29,822**
**32,225**
Capital reserve fund
**850,000**
**320,000**
Development fund
**11,402**
**-**
Repairs fund
**62,567**
**-**
**953,791**
**352,225**
**TOTAL FUNDS**
**953,791**
**352,225**|**2021**
2020
**£**
£
**6,652**
4,871
**9,189**
25,988
**37,358**
29,354
**53,199**
60,213
**2021**
2020
**£**
£
**-**
3,000
**4,048**
4,048
**23,231**
67,969
**12,398**
8,062
**1,049**
1,049
**40,726**
84,128
**2021**
2020
**£**
£
**3,145**
4,194
Transfers
between
At
funds
31.3.21
£
£
**(6,071)**
**55,976**
**-**
**1,170,000**
**(3,929)**
**7,473**
**10,000**
**72,567**
**-**
**1,306,016**
**-**
**1,306,016**|
|---|---|
Page 12
continued...
**The Hopmarket Charity**
## **Notes to the Financial Statements - continued for the Year Ended 31st March 2021**
## **14. MOVEMENT IN FUNDS - continued**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General unrestricted funds
Capital reserve fund
**TOTAL FUNDS**
**Comparatives for movement in funds**
**Unrestricted funds**
General unrestricted funds
Capital reserve fund
Development fund
Repairs fund
**TOTAL FUNDS**|Incoming
resources
£
**138,372**
**-**
**138,372**
**138,372**
At 1.4.19
£
36,101
850,000
11,874
52,567
950,542
950,542|Resources
expended
£
**(106,147)**
**-**
**(106,147)**
**(106,147)**
Net
movement
in funds
£
3,249
-
-
-
3,249
3,249|Gains and
Movement
losses
in funds
£
£
**-**
**32,225**
**320,000**
**320,000**
**320,000**
**352,225**
**320,000**
**352,225**
Transfers
between
At
funds
31.3.20
£
£
(9,528)
29,822
-
850,000
(472)
11,402
10,000
62,567
-
953,791
-
953,791|
|---|---|---|---|
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General unrestricted funds
**TOTAL FUNDS**|Incoming
resources
£
137,550
137,550|Resources
Movement
expended
in funds
£
£
(134,301)
3,249
(134,301)
3,249|
|---|---|---|
## **Repairs Fund**
The Repairs Fund is held to provide funding for major repairs and as a contingency for unforeseen repairs. This is particularly important for a building of this age, type and construction. The Charity's property agent is consulted to ensure the adequacy of the reserve.
## **Development Fund**
The Development Fund is held for future investment in marketing activity to promote and develop the Hopmarket and thereby attract more lettings.
## **Capital Reserves Fund**
The Capital Reserves Fund represents the Charity's holding in the investment property.
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continued...
**The Hopmarket Charity**
## **Notes to the Financial Statements - continued for the Year Ended 31st March 2021**
## **15. DEFERRED INCOME**
Deferred income relates to £4,194 (2020 - £5,243) 10 year lease payment received in advance.
## **16. RELATED PARTY DISCLOSURES**
Worcester City Council provides key management personnel services to the charity. Worcester City Council received key management personnel remuneration for these services of £16,300 (2020 - £16,300). During the year Worcester City Council made payments to third parties as agent of the charity totalling £12,224 (2020 - £51,669). Worcester City Council also paid grants to the charity of £4,907 (2020 - £nil) in regard to relief from the effects of Covid-19. At the year end the charity owed Worcester City Council £23,231 (2020 - £67,969).
There were no other related party transactions in the year.
## **17. OPERATING LEASE INCOME COMMITMENTS**
Minimum lease income due to the charity under non-cancellable operating leases fall due as follows:
|Within one year
Between one and five years
after five years|2021
£
57,548
139,154
163,369
360,071|2020
£
78,123
83,738
177,717
339,568|
|---|---|---|
## **18. FUNDS HELD AS AGENT**
At the year end Fisher German held on trust in regard to service charge monies relating to the tenants of the investment property cash of £2,068 (2020 - £10,157).
This excludes net amounts owed to the service charge monies account by tenants and the charity, as well as amounts owed by the service charge monies account to its creditors.
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**The Hopmarket Charity**
## **Detailed Statement of Financial Activities for the Year Ended 31st March 2021**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Grants
**Investment income**
Rents received
Bank interest received
**Total incoming resources**
**EXPENDITURE**
**Investment management costs**
Investment property manager fees
Property insurance
Advertising and marketing
Electricity, water and business rates
Bad debt provision
Property repairs and maintenance
**Charitable activities**
Grants to institutions
Grants to individuals
**Support costs**
Administration charges
Independent examination fee
Trustee indemnity insurance
Sundries
Total resources expended
**Net income**|2021
£
**4,907**
**133,454**
**11**
**133,465**
**138,372**
**25,716**
**29,901**
**3,729**
**1,632**
**-**
**26,594**
**87,572**
**-**
**200**
**200**
**16,300**
**1,360**
**498**
**217**
**18,375**
**106,147**
**32,225**|2020
£
-
137,477
73
137,550
137,550
16,270
27,605
10,297
1,332
(1,668)
23,969
77,805
39,990
-
39,990
16,300
-
-
206
16,506
134,301
3,249|
|---|---|---|
This page does not form part of the statutory financial statements
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