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2021-06-30-accounts

Charity Registration No. 247190

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

LEGAL AND ADMINISTRATIVE INFORMATION

Current Trustees Mr M Henderson (Chairman)
Ms Charlotte Lambeth ( Vice
Chairman)
Mr G Murrin
Ms G Harflett
Rev'd S Swarbrick
Mrs J Grainger
Ms A Foreman (Appointed 8 November 2021)
Mr P Keeling (Appointed 21 July 2021)
Ms S Johnson (Appointed 21 July 2021)
Ms A Wiseman (Appointed 18 January 2021)
Mrs L Woodward (Appointed 1 April 2022)
Clerk to the Trustees L Woodward (Resigned 31 March 2022)
A Hemmings (Appointed 1 April 2022)
Simpkins Edwards LLP
Michael House
Castle Street
Exeter
EX4 3LQ
Charity number 247190
Auditor Bush & Co Limited
2 Barnfield Crescent
Exeter
EX1 1QT
Bankers Natwest
Exeter Bank Branch
59 High Street
Exeter
Devon
EX4 3DL
Investment advisors Investec
16 Dix's Field
Exeter
EX1 1QA

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

CONTENTS

Page
Trustees' report 1 - 4
Statement of trustees' responsibilities 5
Independent auditor's report 6 - 7
Statement of financial activities 8
Balance sheet 9
Statement of cash flows 10
Notes to the financial statements 11 - 24

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

TRUSTEES' REPORT FOR THE YEAR ENDED 30 JUNE 2021

The trustees present their annual report and financial statements for the year ended 30 June 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 governing document, 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)” (as amended for accounting periods commencing from 1 January 2016)

Objectives and activities

The main objective of the Charity is to provide almshouse accommodation for poor people who are inhabitants of the City of Exeter. The Trustees must ensure that adequate funds are available to maintain and improve both the almshouses and the charity's investment properties.

Other objectives of the Charity, set out in their order of priority, are to:

The income of the Serle Charity may be applied in relieving conditions of need or hardship generally or individually for persons living in the City of Exeter. ln exceptional circumstances, the Trustees may apply this income to individuals outside the City of Exeter.

The Trustees have reviewed the Charity Commission's guidance on the requirement to report on public benefit. The Board is satisfied that the work of the charity, as described above, accords with its stated objects and provides tangible public benefit to a wide section and to those who live within the charity's area of benefit; the criteria used to assess those who may benefit are not unreasonably restrictive.

The Scheme authorises payment of grants as indicated in the objectives. It is the Trustees' policy to consider applications for assistance towards repairs to the Churches of St Petrock and St Michael and All Angels, Heavitree on the basis of the merits of the application and the funds available in the context of the total funds required. At present no religious services are held in St Petrock's Church and there is no minister responsible for holding such services. Thus payments of grants are not being made in respect of these activities. The policy regarding benefits for residents has been operated for many years and is to give each resident a small monetary gift at Christmas.

Achievements and performance

The principal activities are the management of the charity's properties and investments so as to safeguard the future of the charity. The occupancy of both the investment properties and almshouses continues to be satisfactory.

During the year under review, investment income levels decreased by £9,837 to £ 2 38,976. At the year end the total portfolio valuation was £ 1, 260,741. T he Trustees are satisfied with the investment portfolio manager's report .

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Financial review

The statement of financial activities shows that in the period to 30 June 20 2 1 the charity received incoming resources of £ 5 87,652. The resources expended were £113,072 on the costs of raising funds, £299,453 on charitable activities and £ 1 2,456 on other costs.

The incoming resources recorded in the unrestricted funds column of the SOFA represent funds which can be used in the furtherance of any of the charity's objectives.

The incoming resources shown in the restricted funds column of the SOFA can only be used for the purposes specified by the Scheme for each of the four individual restricted funds. ln some cases the Scheme also specifies that a minimum annual transfer be made to the fund. All of these Scheme requirements have been complied with during the year under review.

Net current assets amounted to £161,466.

The balance sheet shows the sound financial stewardship that the charity has shown to date.

The restricted funds may only be used for the purposes specified by the Scheme. They are essential reserves which enable the charity to pay for expenditure which occurs at irregular or infrequent intervals. The year end balances on the restricted funds were:

• Property Extraordinary Repair Fund: £344,065
• Church of St Petrock ERIF: £77,797
• Cyclical Maintenance Fund: £338,409
• Reserve Fund: £99,897

The charity's policy is to maintain sufficient general funds to enable the trustees to maintain the charity's day to day activities, whilst being in a position to react to any unexpected non-repair expenditure. The trustees consider it appropriate to hold unrestricted funds equal to at least six months operations (£1 84,452 based on the 20 2 1 financial statements). Over the last few years the charity has also been managing unrestricted funds to enable it to fund the redevelopment of Elizabeth Gardens, Whipton Barton Road.

At 30 June 20 2 1, the free reserves of the charity totalled £562,039 , as against a reserves policy requirement (see above) of £ 184,452 . The charity is taking a prudent approach until it has substantially reduced the long-term loan that was taken out to fund the development of Elizabeth Gardens. Beyond that the trustees have expressed an aim of establishing a ‘Way Forward’ committee to consider utilisation of the surplus should it be maintained in the future. This aspiration has been curtailed to some extent by the pandemic which has impacted mainly on the investment property rental income.

Risk Management

The Trustees have reviewed the major risks to which the charity is exposed. They are satisfied that the Charity's procedures adequately address the risk and mitigate the potential effects.

Clearly, during the current year the Coronavirus pandemic has had an impact. This has mainly been to threaten the rental income of the investment properties due to the impact on some of the tenants. The charity has been able to maintain cash flow at reasonable levels despite this issue. A Bounce Back Loan of £50,000 was secured to ensure that the activities of the charity could be protected in the event that this situation worsened.

The Trustees' investment policy aims to safeguard the capital value of the Trust's investments whilst also generating income. ln this way the Trustees are able to keep charges made to almshouse residents to levels below those charged by non-charitable landlords. The contributions made by the almshouse residents are intended to cover the basic costs of maintaining and servicing the almshouses. Thus the investment portfolio managers have been instructed to invest on a long term basis with a view to capital appreciation.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Structure, governance and management

The Charity is a Trust established by a scheme dated 7 April 1994 ("The Scheme") which the Charity Commissioners agreed be deemed to have commenced on 25 June 1993. The Charity is a Registered Charity (number 247190). The Scheme and any subsequent amending Schemes are the governing documents of the Charity.

The trustees who served during the year and up to the date of signature of the financial statements were: Mr M Henderson (Chairman)

Ms Charlotte Lambeth ( Vice Chairman) Mrs B Pillidge (Resigned 19 July 2021) Mr G Murrin Ms G Harflett Mrs G Lucking (Resigned 11 July 2020) Rev'd S Swarbrick Mrs S Mutton (Resigned 19 October 2020) Mrs J Grainger Ms A Foreman (Appointed 8 November 2021) Mr P Keeling (Appointed 21 July 2021) Ms S Johnson (Appointed 21 July 2021) Ms A Wiseman (Appointed 18 January 2021) Mrs L Woodward (Appointed 1 April 2022)

The body of Trustees, when complete, comprises eleven co-opted Trustees, two Trustees nominated by the PCC of Central Exeter and one Trustee nominated by the PCC of St Michael & All Angels, Heavitree. The first eleven co-opted Trustees can hold office for life. Future co-opted Trustees are appointed by resolution of the Trustees and hold office for five years. Nominated Trustees are also appointed by resolution of the Trustees and hold office for four years.

The Trustees meet on a regular quarterly basis, but special meetings can be called if necessary. Since the start of the pandemic all meetings have been held virtually.

Sub-committees of Trustees have been set up to deal with financial matters, building maintenance and admission of new residents. These sub-committees have been delegated specific responsibilities but always report to meetings of the full Board of Trustees.

The Clerk is responsible for the day to day running of the Charity and deals with such matters as collection of almshouses contributions and investment property rents, arranging essential works and payments of bills, producing management accounts, etc. However, their authority to incur expenditure is strictly limited to £1,000, with requirements to seek estimates and further authorisation for higher levels of expenditure.

Trustees are either co-opted or nominated. ln either case they are invited to attend a meeting to meet the existing Trustees and to discuss their appointment. The following documents are provided to assist in their new role as Trustees:

  1. The Almshouse Association publication called Standards of Almshouse Management.

  2. Charity Commission publications providing information with respect to Trustees responsibilities

  3. A copy of the last financial statements.

  4. A copy of the Charity's scheme.

  5. A copy of the last set of minutes.

  6. 3 -

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

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

Mr M Henderson (Chairman) Trustee

27 May 2022

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 30 JUNE 2021

The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements 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.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

Opinion

We have audited the financial statements of St Petrock and Heavitree Parish Lands Charity (the ‘charity’) for the year ended 30 June 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:

Basis for opinion

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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

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 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the s tatement of trustees' r esponsibilities, 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 cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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.

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.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. 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 auditors' 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 and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Bush & Co Limited, Statutory Auditors 2 Barnfield Crescent Exeter EX1 1QT

27 May 2022

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 30 JUNE 2021

Unrestricted
Restricted
funds
funds
2021
2021
Notes
£
£
Income from:
Charitable activities
3
339,736
-
Other trading activities
4
8,940
-
Investments
5
233,685
5,291
Total income
582,361
5,291
Expenditure on:
Raising funds
6
102,669
10,403
Charitable activities
7
253,778
45,675
Other costs
9
12,456
-
Total resources expended
368,903
56,078
Net gains/(losses) on
investments
12
91,158
75,004
Net incoming/(outgoing)
resources before transfers
304,616
24,217
Gross transfers
between funds
(132,902)
132,902
Net movement in funds
171,714
157,119
Fund balances at 1 July 2020
6,014,823
703,049
Fund balances at 30 June
2021
6,186,537
860,168		 Total Unrestricted
Restricted
funds
funds
2021
2020
2020
£
£
£
339,736
326,868
-
8,940
8,452
-
238,976
237,988
10,825
587,652
573,308
10,825
113,072
69,371
287,916
299,453
239,356
83,824
12,456
10,701
-
424,981
319,428
371,740
166,162
(23,013)
(19,204)
328,833
230,867
(380,119)
-
(205,408)
205,408
328,833
25,459
(174,711)
6,717,872
5,989,364
877,760
7,046,705
6,014,823
703,049		 Total
2020
£
326,868
8,452
248,813
584,133
357,287
323,180
10,701
691,168
(42,217)
(149,252)
-
(149,252)
6,867,124
6,717,872

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

All income and expenditure derive from continuing activities.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

BALANCE SHEET

AS AT 30 JUNE 2021

Notes
Fixed assets
Tangible assets
13
Investment properties
14
Investments
15
Current assets
Debtors
16
Cash at bank and in hand
Creditors: amounts falling due within
one year
18
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after
more than one year
19
Net assets
Income funds
Restricted funds
21
Unrestricted funds		 2021
£
£
3,383,989
2,750,297
1,260,741
7,395,027
67,432
234,977
302,409
(140,943)
161,466
7,556,493
(509,788)
7,046,705
860,168
6,186,537
7,046,705		 2020
£
£
3,400,156
2,750,298
1,100,268
7,250,722
102,138
117,610
219,748
(186,268)
33,480
7,284,202
(566,330)
6,717,872
703,049
6,014,823
6,717,872

The financial statements were approved by the Trustees on 27 May 2022

Mr M Henderson (Chairman) Trustee

Ms Charlotte Lambeth ( Vice Chairman) Trustee

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2021

2021
Notes
£
Cash flows from operating activities
Cash absorbed by operations
24
Investing activities
Purchase of tangible fixed assets
-
Purchase of investments
(395,597)
Proceeds on disposal of investments
401,286
Investment income received
238,976
Net cash generated from investing
activities
Financing activities
Repayment of borrowings
-
Repayment of bank loans
(45,343)
Net cash (used in)/generated from
financing activities
Net increase/(decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2020
£
£
£
(81,955)
(358,750)
(42,698)
(336,692)
419,208
248,813
244,665
288,631
50,000
(43,729)
(45,343)
6,271
117,367
(63,848)
117,610
181,458
234,977
117,610

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

1 Accounting policies

Charity information

St Petrock and Heavitree Parish Lands Charity is an unincorporated charity (charity number 247190) governed by trust deed. It's principal place of business is Michael House, Castle Street, Exeter EX4 3LQ.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's governing document, 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)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.

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 the revaluation of freehold properties and to include investment properties 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.

The Scheme gives details of four restricted funds as follows:

Property Extraordinary Repair Fund

The establishment and operation of this fund is required by and specified in the Scheme.

The fund represents amounts set aside to provide for the extraordinary repair, improvement or rebuilding of the buildings, other than the almshouses, owned by the charity.

An annual transfer is made to the fund, from the general income and expenditure account, of not less than 15% of the gross rents of the properties belonging to the Charity and known as 44 to 53 Queen Street, Exeter and 53/54 Richmond Road, Exeter. ln addition any income attributable to the fund is retained as part of the fund balance. In th e prior year, the trustees transferred an extra £80,000 to the Property ERF in view of the substantial expenditure on the Queen Street repair work.

Church of St Petrock Extraordinary Repair and Improvement Fund

The establishment and operation of this fund is required by and specified in the Scheme.

The fund represents amounts set aside to provide for the extraordinary repair, improvement or rebuilding of the Church of St Petrock.

An annual transfer is made to the fund, from the general income and expenditure account, of £150 or such other sum as is deemed sufficient for the purposes of the fund. ln addition any income attributable to the fund is retained as part of the fund balance.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

1 Accounting policies

(Continued)

Cyclical Maintenance Fund

The establishment and operation of this fund is authorised by the Scheme. It is treated as a restricted fund as it was established by funds identified within the predecessor charities.

The fund represents amounts set aside to provide for those items of ordinary maintenance and repair, of the almshouses belonging to the Charity, which recur at infrequent intervals.

An annual transfer is made to the fund, from the general income and expenditure account, of such a sum as is deemed sufficient for the purposes of the fund. ln addition any income attributable to the fund is retained as part of the fund balance.

Reserve Fund

The establishment and operation of this fund is required by and specified in the Scheme.

The fund represents amounts set as i de to provide for the extraordinary repair, improvement or rebuilding of the Almshouses of the Charity.

Following agreement with the Charity Commission the trustees now have the power to transfer surplus balances from the above funds to the general fund.

An annual transfer is made to the fund, from the general income and expenditure account, of such a sum as is deemed sufficient for the purposes of the fund. ln addition any income attributable to the fund is retained as part of the fund balance.

The trustees consider that the following minimum balances need to be maintained in order to meet the trustees responsibilities with respect to the maintenance of the almshouse and St Petrock's Church:

Property Extraordinary repair fund: £200,000 Church at St Petrock ERIF: £50,000 Reserve fund: £65,000 Cyclical maintenance fund: £73,000

1.4 Incoming resources

Almshouse contributions and investment property rents are recognised in the period in which they accrue.

Income from listed investments is accounted for when the net income is receivable.

Interest receivable is recognised in the period to which it relates.

All other income is recognised upon receipt.

Capital grants are deferred and the income recognised in line with the depreciation policy of the asset to which they relate.

Deferred income relates to capital grants that are deferred and recognised in line with the income policy.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

1 Accounting policies

(Continued)

1.5 Resources expended

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.

The Scheme requires that the income of the charity is applied in the following ways and in the following order of priority:

ii) In augmentation of the income of the Serle Charity

All such expenditure is recognised in the statement of financial activities as soon as it is incurred and is analysed under the following headings:

Raising funds Charitable activities Other costs

Costs of raising funds are sub-divided into expenditure on maintenance and other costs of the investment properties and investment portfolio management fees.

Charitable activities is sub-divided into grants payable and almshouse expenses. Grants comprise payments made to, or for the benefit of, persons or entities authorised under the Scheme. Almshouse expenses comprise maintenance and other costs incurred in respect of the almshouses.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

1 Accounting policies

(Continued)

1.6 Tangible fixed assets

Tangible fixed assets are initially and then subsequently measured at cost , net of depreciation .

All assets costing more than £500 are capitalised.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land and buildings Buildings at straight line over 50 years Leasehold land and buildings Buildings at straight line over 50 years Fixtures and fittings straight line over 5 years Solar panels straight line over 20 years

Depreciation is only provided on tangible fixed assets with an expected useful life of less than 50 years.

Depreciation of freehold and leasehold buildings is calculated as 2% per annum on the difference between the cost or valuation less the expected residual value in 50 years time. As the charity operates a continuing programme of refurbishment and maintenance of its buildings, the expected residual value is not expected to be less than cost and hence any depreciation charge will be immaterial.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.

Housing Properties

The housing properties consist of:

The initial costs of the original almshouses to the Charity were the values at which the properties had been included on the 24 June 1993 balance sheets of the five Charities which were amalgamated to form the St Petrock and Heavitree Parish Lands Charity effectively on 25 June 1993. At that date the records of the Charities no longer included any information relating to the apportionment of the costs of the almshouses between land and buildings. Improvements to the properties carried out since that date are stated at cost .

The cost of developing the new almshouses consists of the cost of original acquisition of the property together with the costs of redevelopment .

Expenditure on replacement fixtures, fittings and equipment in the original 48 almshouses is regarded as part of the routine maintenance of the properties and as such is not capitalised. The charity operates a continuing programme of refurbishment and maintenance and consequently the lives of the properties and their residual values are such that any depreciation charge would be immaterial. Initial expenditure on fixtures, fittings and equipment intended to fit out the completed Elizabeth Gardens development has been capitalised and will be depreciated over five years.

The finance committee carry out an annual review of the almshouses for any indication of impairment.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

1 Accounting policies

(Continued)

1.7 Investment properties

The investment properties consist of freehold commercial properties situated in Queen Street, Exeter. The properties are included in the financial statements at fair (market) value. The properties were externally valued as a t 24 June 2016 on the basis of the capitalised value of the annual income and the revaluation has been incorporated into the 2017 financial statements. The Board of Trustees have considered the current valuation of the investment properties at 30 June 202 1 , and do not consider that there have been any material changes in their valuation since the revaluation.

1.8 Fixed asset investments

Fixed asset investments are a form of basic financial instrument and are included in the financial statements at fair value using the quoted market price. All changes in value, whether arising upon disposal or upon revaluation, are reported in the statement of financial activities for the year in which the change occurs.

1.9 Financial instruments

The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Basic financial assets

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Basic financial liabilities

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

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 Charitable activities

Unrestricted
Unrestricted
funds
funds
2021
2020
£
£
Contributions from Almshouse residents 339,736
326,868

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

4 Other trading activities

Solar panel income
Investments
Unrestricted
Restricted
funds
funds
2021
2021
£
£
Rental income
225,718
-
Interest and dividends
7,967
5,291
233,685
5,291
Raising funds
Unrestricted
Restricted
funds
funds
2021
2021
£
£
Service costs
13,845
-
Insurance
12,134
-
Legal and professional
fees
-
-
Clerk's fees
18,181
-
Depreciation and
impairment
3,975
-
48,135
-		 UnrestrictedUnrestricted
funds
funds
2021
2020
£
£
8,940
8,452
TotalUnrestricted
Restricted
Total
funds
funds
2021
2020
2020
2020
£
£
£
£
225,718
224,680
-
224,680
13,258
13,308
10,825
24,133
238,976
237,988
10,825
248,813
TotalUnrestricted
Restricted
Total
funds
funds
2021
2020
2020
2020
£
£
£
£
13,845
9,949
-
9,949
12,134
3,654
-
3,654
-
20,814
-
20,814
18,181
11,960
-
11,960
3,975
2,140
-
2,140
48,135
48,517
-
48,517

5 Investments

6 Raising funds

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

6 Raising funds

Raising funds
Property repairs
37,255
6,180
Queen Street
management fee
12,000
-
49,255
6,180
Investment management
fees
5,279
4,223
102,669
10,403
Charitable activities
Unrestricted
funds
Restricted
funds
2021
2021
£
£
Depreciation and
impairment
12,192
-
Service costs
106,197
-
Insurance
8,191
-
Property repairs
45,182
45,675
Legal and professional
891
-
Clerk's fees
49,998
-
Other expenses
3,509
-
Loan interest
19,218
-
245,378
45,675
Grant funding of activities
(see note 8)
8,400
-
253,778
45,675
Analysis by fund
Unrestricted funds
253,778
-
Restricted funds
-
45,675
253,778
45,675		 (Continued)
43,435
3,749
284,960
288,709
12,000
12,000
-
12,000
55,435
15,749
284,960
300,709
9,502
5,105
2,956
8,061
113,072
69,371
287,916
357,287
Total
2021
Unrestricted
funds
Restricted
funds
Total
2020
2020
2020
£
£
£
£
12,192
12,192
-
12,192
106,197
95,835
-
95,835
8,191
5,821
-
5,821
90,857
39,705
83,824
123,529
891
6,851
-
6,851
49,998
32,893
-
32,893
3,509
2,743
-
2,743
19,218
20,832
-
20,832
291,053
216,872
83,824
300,696
8,400
22,484
-
22,484
299,453
239,356
83,824
323,180
253,778
239,356
-
239,356
45,675
-
83,824
83,824
299,453
239,356
83,824
323,180

7 Charitable activities

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

8 Grants payable

Unrestricted
Unrestricted
funds
funds
2021
2020
£
£
Grants to institutions:
St Petrock's Centre 5,000
-
St Michael & All Angels (Heavitree) -
20,000
Grants payable to residents 3,400
2,484
8,400
22,484
Other costs
Unrestricted Unrestricted
funds funds
2021 2020
£
Clerk's fees 7,575 4,984
Audit 3,900 4,824
Legal, professional and bank fees 981 893
12,456 10,701

9 Other costs

10 Trustees

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

The key management personnel of the charity comprise the trustees and the Clerk to the Trustees. The Clerk to the Trustees is a partner of Simpkins Edwards LLP, which provides bookkeeping and administrative services to the charity.

The fees of the Clerk to the Trustees during the year were £75,754 (2020: £ 4 9,837).

11 Employees

There were no employees during the year.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

12 Net gains/(losses) on investments

Unrestricted
Restricted
funds
funds
2021
2021
£
£
Revaluation of
investments
90,231
75,088
Gain/(loss) on sale of
investments
927
(84)
91,158
75,004
13
Tangible fixed assets
Freehold land
and buildings
£
Cost
At 1 July 2020
2,971,436
At 30 June 2021
2,971,436
Depreciation and impairment
At 1 July 2020
-
Depreciation charged in the year
-
At 30 June 2021
-
Carrying amount
At 30 June 2021
2,971,436
At 30 June 2020
2,971,436
14
Investment property
Fair value
At 1 July 2020 and 30 June 2021		 TotalUnrestricted
Restricted
funds
funds
2021
2020
2020
£
£
£
165,319
(28,580)
(24,764)
843
5,567
5,560
166,162
(23,013)
(19,204)
Leasehold
land and
buildings
Fixtures and
fittings
Solar panels
£
£
£
338,207
60,945
76,585
338,207
60,945
76,585
-
18,074
28,943
-
12,192
3,975
-
30,266
32,918
338,207
30,679
43,667
338,207
42,871
47,642		 Total
2020
£
(53,344)
11,127
(42,217)
Total
£
3,447,173
3,447,173
47,017
16,167
63,184
3,383,989
3,400,156
2021
£
2,750,297

The investment properties were revalued on 11 January 2017 by Haarer Goss, commercial property consultants. The trustees do not believe that the value has changed materially since that date.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 JUNE 2021

15 Fixed asset investments

At 1 July 2020
Additions
Valuation changes
Changes in bank cash holdings
Disposals
At 30 June 2021
Carrying amount
At 30 June 2021
At 30 June 2020
16
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income
17
Loans and overdrafts
Bank loans
Other loans
Payable within one year
Payable after one year
Amounts included above which fall due after five years:
Payable by instalments		 Listed
investments
£
1,100,268
395,597
166,162
(26,522)
(374,764)
1,260,741
1,260,741
1,100,268
2021
2020
£
£
53,450
87,469
13,982
14,669
67,432
102,138
2021
2020
£
£
398,784
444,127
50,000
50,000
448,784
494,127
60,281
49,082
388,503
445,045
125,242
190,209

The long-term loans are secured by fixed charges over the charity's investment properties.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

18
Creditors: amounts falling due within one year
Notes
Bank loans
17
Trade creditors
Other creditors
Accruals and deferred income
19
Creditors: amounts falling due after more than one year
Notes
Bank loans
17
Other borrowings
Deferred income
20
20
Deferred income
Arising from deferred grant income		 2021
£
60,281
13,167
27,875
39,620
140,943
2021
£
338,503
50,000
121,285
509,788
2021
£
121,285		 2020
£
49,082
25,516
36,375
75,295
186,268
2020
£
395,045
50,000
121,285
566,330
2020
£
121,285

Deferred income is composed of Social Housing (£115,185) and Conservation Grants (£6,100), received in respect of the charity's Almshouses. The grant income is recognised in line with the charity's depreciation policy for the properties to which they relate .

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 JUNE 2021

21 Restricted funds

The income funds of the charity include restricted funds comprising the following balances held on trust for specific purposes:

Balance at
1 July 2019

£
Property ERF
448,763
St Petrock's
Church ERF
68,471
Cyclical
Maintenance
Fund
253,163
Reserve Fund
107,363
877,760		 Movement in funds
Incoming
resources
Resources
expended
Transfers Revaluations,
gains and
losses
Balance at
1 July 2020

£
£
£
£
£
5,800
(286,728)
113,702
(4,186)
277,351
665
(188)
-
(4,890)
64,058
2,634
(31,264)
52,648
(6,290)
270,891
1,726
(53,560)
39,058
(3,838)
90,749
10,825
(371,740)
205,408
(19,204)
703,049		 Movement in funds
Incoming
resources
Resources
expended
Transfers Revaluations,
gains and
losses
Balance at
30 June 2021
£
£
£
£
£
2,252
(8,639)
33,858
39,243
344,065
485
(406)
-
13,660
77,797
1,495
(3,679)
56,876
12,826
338,409
1,059
(43,354)
42,168
9,275
99,897
5,291
(56,078)
132,902
75,004
860,168

Details of the four restricted funds may be found in the Accounting Policies note.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

22
Analysis of net assets between funds
Unrestricted
funds
Restricted
funds
2021
2021
£
£
Fund balances at 30
June 2021 are
represented by:
Tangible assets
3,383,989
-
Investment properties
2,750,297
-
Investments
712,496
548,245
Current assets/
(liabilities)
(150,457)
311,923
Long term liabilities
(509,788)
-
6,186,537
860,168		 TotalUnrestricted
funds
2021
2020
£
£
3,383,989
3,400,156
2,750,297
2,750,297
1,260,741
622,804
161,466
(192,104)
(509,788)
(566,330)
7,046,705
6,014,823		 Restricted
funds
2020
£
-
-
477,464
225,585
-
703,049		 Total
2020
£
3,400,156
2,750,297
1,100,268
33,481
(566,330)
6,717,872

23 Related party transactions

Transactions with related parties

In the year under review, Reverend S Swarbrick was trustee of both the Parish Land Charity and of the Ecclesiastical Parish of Central Exeter which includes St Petrock's Church.

In the accounting period under review, Mrs S Mutton and Ms A Foreman were trustees of both the Parish Land Charity and members of the Parochial Church Council of the Ecclesiastical Parish of the Heavitree Team Ministry.

In 2020, the charity granted a donation to St Michael & All Angels (Heavitree) totalling £20,000, £10,000 of which was paid in the current year.

In the accounting period under review, Mr M Henderson was a trustee of the Parish Land Charity, and a director at Drew Pearce. The charity was charged £NIL (2020: £16,800) in respect of work undertaken on their behalf by Drew Pearce.

In the accounting period under review, Ms G Harflett was a trustee of the Parish Land Charity and of The Parochial Church Council of the Ecclesiastical Parish of St David with St Michael and All Angels Exeter.

ST PETROCK AND HEAVITREE PARISH LANDS CHARITY

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

24 Cash generated from operations 2021 2020
£ £
Surplus/(deficit) for the year 328,833 (149,252)
Adjustments for:
Investment income recognised in statement of financial activities (238,976) (248,813)
Gain on disposal of investments (843) (11,127)
Fair value gains and losses on investments (165,319) 53,344
Depreciation and impairment of tangible fixed assets 16,167 14,332
Movements in working capital:
Decrease/(increase) in debtors 34,707 (39,591)
(Decrease)/increase in creditors (56,524) 22,357
Cash absorbed by operations (81,955) (358,750)
25 Analysis of changes in net (debt)/funds
At 1 July 2020 Cash flows At 30 June 2021
£ £ £
Cash at bank and in hand 117,610 117,367 234,977
Loans falling due within one year (49,082) (11,199) (60,281)
Loans falling due after more than one year (445,045) 56,542 (388,503)
(376,517) 162,710 (213,807)