The Talbot Village Almshouses Trust Financial Statements Year Ended 31 December 2021
Charity registration number: 249348
The Talbot Village Almshouses Trust
Financial Statements
Year Ended 31 December 2021
| Contents | |
|---|---|
| Page | |
| Charity Reference and Administrative Details | 1 |
| Trustees’ Annual Report | 2 - 4 |
| Independent Examiner’s Report | 5 |
| Statement of Financial Activities | 6 |
| Balance Sheet | 7 |
| Notes to the Financial Statements | 8 - 14 |
The Talbot Village Almshouses Trust
Charity Reference and Administrative Details
Year Ended 31 December 2021
| Charity registration number | 249348 |
|---|---|
| Trustees | The 12thEarl of Shaftesbury, Chairman |
| Sir Christopher James Lees Bart | |
| Sir Thomas Michael John Salt Bart (resigned 11 November 2021) | |
| Cecilia Bufton (appointed 6 March 2022) | |
| James Randolf Gibson Fleming Esq | |
| Mary Riall (appointed 11 November 2021) | |
| Russell Lucas Rowe Esq (resigned 26 February 2022) | |
| Sir George William Owen Tapps Gervis Meyrick Bart | |
| Independent examiner | Daniel Tout FCA |
| PKF Francis Clark | |
| Towngate House | |
| 2 – 8 Parkstone Road | |
| Poole | |
| BH15 2PW | |
| Clerk | Ms L Watson-Cook |
| Lester Aldridge LLP | |
| Russell House | |
| Oxford Road | |
| Bournemouth | |
| BH8 8EX | |
| Head of Philanthropy | Caroline Cooban (appointed 21 March 2022) |
| Solicitor | Lester Aldridge LLP |
| Russell House | |
| Oxford Road | |
| Bournemouth | |
| BH8 8EX | |
| Bankers | Barclays Bank Plc |
| Investment managers | Rathbone Investment Management Ltd |
| 1 Curzon Street | |
| London | |
| W1J 5FB | |
| Other Advisors | Savills (UK) Limited |
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The Talbot Village Almshouses Trust
Trustees’ Annual Report
Year Ended 31 December 2021
The Trustees present their report and the unaudited financial statements of the charity for the year ended 31 December 2021. The Trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements of the charity.
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts 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.
Trustees of the charity
The Trustees who have served during the year and since the year end were as follows:
Sir Christopher James Lees Bart, Chairman Sir Thomas Michael John Salt Bart James Randolf Gibson Fleming Esq Russell Lucas Rowe Esq The 12[th] Earl of Shaftesbury Sir George William Owen Tapps Gervis Meyrick Bart
The Trustees act in an entirely voluntary capacity, and their roles are unpaid. The Trustees of the charity are also Trustees of The Talbot Village Estate Trust.
Objectives and activities
The Trust’s powers are set out in a Scheme approved by the Charity Commissioners on 14th November 1995. Under that Scheme the Trust has power to support the Talbot Village Almshouses.
The Trustees have prepared a five-year rolling plan which is reviewed once a year, incorporating the continued support of the Almshouses, by which they keep under review their constitutional and administrative structures and responsibilities. The main elements of this plan are the charity's ongoing objective to maintain a constant level of accommodation at a high standard.
Public benefit statement
The Trustees have given due regard to public benefit when planning the charity's activities, in accordance with the Charity Commission's Guidance on Public Benefit.
The charity achieves its principal objects and purposes through the continued support of the Almshouses. These benefits are directly related to the aims of the charity and are fully compliant with the Charity Commission Principles on Public Benefit.
Achievements and performance
The Trust continues to manage Almshouses at Talbot Village, Bournemouth which was part of the original endowment. It is the Trustees' policy to maintain and preserve the properties to a good standard.
Several works were undertaken in line with the Planned Preventative Maintenance programme throughout the year. This included the completion of the replacement guttering project across the scheme once the required planning and listed building consents were in place; external redecoration of the whole scheme, and works on individual properties including the installation of a new bathroom and an electricity supply connected to an outbuilding.
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The Talbot Village Almshouses Trust
Trustees’ Annual Report
Year Ended 31 December 2021
Financial review (including reserves policy)
During 2021 the Trust’s financial advisers continued to actively manage the Trust's invested funds in accordance with the Trust’s policy of trying to achieve a fair balance between capital growth and income. This policy was adopted by the Trustees at their meeting in May 2005 and has been revised annually thereafter. The capital value of the Trust's invested securities increased from £122,471 to £138,653.
Total income for the year was £67,721 (2020: £32,605). Of this, £4,009 (2020: £4,893) was generated from the Trust’s invested funds. The balance of £63,712 (2020: £27,712) is attributable to grants and donations received from the Talbot Village Trust. (See Note 2).
The Trustees endeavour to maintain sufficient reserves to support 1 to 2 years’ future potential expenditure, subject to the support they receive from the Talbot Village Trust. At the year end, unrestricted reserves were £142,856. Reserves currently meet this objective.
Plans for future periods
The Trustees will continue to implement their five-year plan in relation to their ongoing support of the Almshouses and investment performance, the plan is reviewed annually.
Structure, governance and management
The Chairman is responsible for overseeing the day to day management and administration by the Trust Executive.
There are two general meetings of the Trust each year. Special meetings are arranged when appropriate.
Trustees undertake an annual review of the major risks to which the Trust is exposed and the procedures currently in place to mitigate these. The management of these and any other risks will be kept under annual review.
The Trustees have a strategy which comprises:
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An annual review of the principal risks and uncertainty that the charity faces;
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The establishment of policies, systems and procedures to mitigate those risks identified in the annual review; and
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The implementation of procedures designed to minimise or manage any potential impact on the charity should those risks materialise.
This work has identified financial, management and compliance as areas of risk however due to the Trustees’ conservative investment policy and use of specialist external advisors it is felt that these risks can be effectively managed.
The Trustees keep under review any gaps in the range of skill sets present on the Board and recruit for specific areas of experience and expertise keeping in mind the need to meet diversity in all its forms. All new Trustees are provided with the Trustees Handbook, which includes the Charity Commission Schemes and policy documents, together with other important documents including the Charity Commission publication "The Essential Trustee". New trustees are also invited to tour Talbot village in which the Almshouses are located as part of their induction.
The Trustees are kept up to date of their responsibilities by the Clerk to the Trust and other professional advisers as appropriate.
Investment powers
The Trust is subject to the provisions of the Trustee Act 2000.
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The Talbot Village Almshouses Trust
Trustees’ Annual Report
Year Ended 31 December 2021
Trustees’ responsibilities
The Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England & 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 period. In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP 2019 (FRS 102);
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping proper 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.
Details of the independent examiner and their responsibilities are referred to on page 5 as part of the Report of the Independent Examiner to the Trustees.
On behalf of the board
The 12[th] Earl of Shaftesbury, Chairman
Date: 13 May 2022
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The Talbot Village Almshouses Trust
Independent Examiner’s Report
Year Ended 31 December 2021
Independent Examiner's Report to the Trustees of The Talbot Village Almshouses Trust
I report to the Trustees on my examination of the accounts of The Talbot Village Almshouses Trust (the Trust) for the year ended 31 December 2021.
Responsibilities and basis of report
As the Trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Trust’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination.
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 accounts to be reached.
Daniel Tout FCA (A partner of) PKF Francis Clark, Chartered Accountants Towngate House 2 – 8 Parkstone Road Poole BH15 2PW
Date: 24 May 2022
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The Talbot Village Almshouses Trust
Statement of Financial Activities
Year Ended 31 December 2021
| Unrestricted | Endowment | 2021 | 2020 | ||
|---|---|---|---|---|---|
| funds | funds | Total | Total | ||
| Note | £ | £ | £ | £ | |
| Income: | |||||
| Charitable activities | 2 | 63,712 | - | 63,712 | 27,712 |
| Investments | 3 | 4,009 | - | 4,009 | 4,893 |
| Total income | 67,721 | - | 67,721 | 32,605 | |
| Expenditure on: | |||||
| Charitable activities | 4 | 68,408 | - | 68,408 | 34,883 |
| Total expenditure | 68,408 | - | 68,408 | 34,883 | |
| Net gains / (losses) on | 9 | 12,033 | - | 12,033 | (8,895) |
| investments | |||||
| Net income / (expenditure) | 11,346 | - | 11,346 | (11,173) | |
| Transfers between funds | 12 | - | - | - | - |
| Net movement in funds | 12 | 11,346 | - | 11,346 | (11,173) |
| Reconciliation of funds: | |||||
| Total funds brought forward | 12 | 131,510 | 4,762 | 136,272 | 147,445 |
| Total funds carried forward | 12 | 142,856 | 4,762 | 147,618 | 136,272 |
All income and expenditure derive from continuing activities.
The notes on pages 8 to 14 form part of these financial statements.
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The Talbot Village Almshouses Trust
Balance Sheet
Year Ended 31 December 2021
| Year Ended 31 December 2021 | ||
|---|---|---|
| Note Fixed assets Investments 9 Current assets Debtors 10 Cash at bank and in hand Creditors: amounts falling due within one year 11 Net current assets Net assets Charity Funds Permanent endowment fund 12 Unrestricted funds 12 Total charity funds 12 |
2021 £ 138,653 138,653 10,909 2,284 13,193 4,228 8,965 147,618 4,762 142,856 147,618 |
2020 £ 122,471 |
| 122,471 10,935 7,120 |
||
| 18,055 4,254 |
||
| 13,801 | ||
| 136,272 | ||
| 4,762 131,510 |
||
| 136,272 |
The financial statements were approved and authorised for issue by the Board.
Signed on behalf of the board of Trustees
The 12[th] Earl of Shaftesbury, Chairman
Date: 13 May 2022
The notes on pages 8 to 14 form part of these financial statements.
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The Talbot Village Almshouses Trust
Notes to the Financial Statements
Year Ended 31 December 2021
1 Summary of significant accounting policies
(a) General information and basis of preparation
The Talbot Village Almshouses Trust is a registered charity, registration number 249348, registered in England and Wales. The address of the clerk is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations and principal activities are described in the Trustees’ annual report set out on pages 2 - 4.
The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2015.
The financial statements are prepared on a going concern basis and under the historical cost convention, modified to include certain items at fair value. The financial statements are prepared in sterling which is the functional currency of the charity and rounded to the nearest £.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
(b) Funds
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Endowment funds represent those assets which must be held permanently by the charity, principally fixed assets, tangible and investments. Income arising on the endowment funds can be used in accordance with the objects of the charity and is included as unrestricted income. Any capital gains or losses arising on the investments form part of the fund. Investment management charges and legal advice relating to the fund are charged against the fund.
(c) Income recognition
All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.
Investment income is earned through holding assets for investment purposes such as shares and property. It includes dividends, interest and rent.
Dividend income comprises dividends declared during the accounting period. Income from short term deposits is accounted for by reference to the amount receivable, calculated on a daily basis. Rental income is accounted for on the basis of the amount receivable for the financial year on an accruals basis.
Income from charitable activities includes grants paid from the Talbot Village Trust and Almshouses rents due during the accounting period. These are recognised on a receivable basis. Income from endowment funds is unrestricted.
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The Talbot Village Almshouses Trust
Notes to the Financial Statements
Year Ended 31 December 2021
(d) Expenditure recognition
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably.
(e) Support costs allocation
Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs and administrative costs. They are incurred directly in support of expenditure on the objects of the charity. Where support costs cannot be directly attributed to particular headings they have been allocated to expenditure on charitable activities on a basis consistent with use of the resources.
The analysis of these costs is included in note 5.
(f) Investments
Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value with changes recognised in ‘net gains / (losses) on investments’ in the SoFA if the shares are publicly traded or their fair value can otherwise be measured reliably.
(g) Debtors and creditors receivable / payable within one year
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.
(h) Tax
The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.
(i) Alms Houses
The Talbot Village Alms Houses are included on the balance sheet of the connected charity (see the Trustees report), The Talbot Village Trust, within its tangible fixed assets and shown at their existing use value as determined at 31 December 2000.
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The Talbot Village Almshouses Trust
Notes to the Financial Statements
Year Ended 31 December 2021
2 Income from charitable activities
| Grant equivalent to occupational charges received from Talbot Village Trust Donations received from Talbot Village Trust |
2021 £ 27,712 36,000 63,712 |
2020 £ 27,712 0 |
|---|---|---|
| 27,712 |
Income from charitable activities was £63,712 (2020 - £27,712) all of which was attributable to unrestricted funds.
3 Income from investments
| Dividends – equities | 2021 £ 4,009 4,009 |
2020 £ 4,893 |
|---|---|---|
| 4,893 |
Income from investment was £4,009 (2020 - £4,893) all of which was attributable to unrestricted funds.
4 Analysis of expenditure on charitable activities
| Charitable activities | Support costs Total 2021 Total 2020 £ £ £ 68,408 68,408 34,883 |
|---|---|
| 68,408 68,408 34,883 |
£68,408 (2020 - £34,883) of the above costs were attributable to unrestricted funds.
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The Talbot Village Almshouses Trust
Notes to the Financial Statements
Year Ended 31 December 2021
5 Allocation of support costs
| Support cost Basis of allocation £ Governance See note 6 Other See below Total |
Total 2021 Total 2020 £ £ 2,934 2,275 65,474 32,608 |
|---|---|
| 68,408 34,883 |
Analysis of other support costs
| Establishment costs Repairs and maintenance Sundry and other Legal and professional fees Total Governance costs Accountancy fees Independent examiner’s fee |
Total 2021 Total 2020 £ £ 5,107 6,522 54,733 21,712 182 179 5,452 4,196 |
|---|---|
| 65,474 32,608 |
|
| Total 2021 Total 2020 £ £ 2,009 1,375 925 900 |
|
| 2,934 2,275 |
6 Governance costs
7 Independent examiner’s remuneration
The independent examiner’s remuneration amounts to an independent examination fee of £925 (2020 - £900) and other services of £2,009 (2020 - £1,375).
8 Trustees' and key management personnel remuneration and expenses
The Trustees neither received nor waived any remuneration during the year (2020 - £nil).
The Trustees did not have any expenses reimbursed during the year (2020 - £nil).
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The Talbot Village Almshouses Trust
Notes to the Financial Statements
Year Ended 31 December 2021
9 Fixed asset investments
| Cost or valuation At 1 January 2021 Additions Disposals Revaluation At 31 December 2021 Impairment At 1 January 2021 Written off Written back Eliminated on disposals At 31 December 2021 Carrying amount: At 31 December 2021 At 31 December 2020 Investments at fair value compromise: Equities 10 Debtors Prepayments and accrued income |
Listed investments £ 122,471 4,149 - 12,033 138,653 - - - - - 138,653 122,471 |
2021 £ 138,653 138,653 2021 £ 10,909 10,909 |
2020 £ 122,471 |
|---|---|---|---|
| 122,471 | |||
| 2020 £ 10,935 |
|||
| 10,935 |
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The Talbot Village Almshouses Trust
Notes to the Financial Statements
Year Ended 31 December 2021
11 Creditors: amounts falling due within one year
| Trade creditors Accruals and deferred income |
2021 £ 1,267 2,961 4,228 |
2020 £ 745 3,509 4,254 |
|---|---|---|
12 Fund reconciliation
Unrestricted funds
| Unrestricted | Balance at 1 January 2021 Income Expenditure Transfers Gains / (losses) Balance at 31 December 2021 £ £ £ £ £ £ 131,510 67,721 (68,408) - 12,033 142,856 |
|---|---|
| 131,510 67,721 (68,408) - 12,033 142,856 |
Endowment funds
| Permanent endowment |
Balance at 1 January 2021 Income Expenditure Transfers Gains / (losses) Balance at 31 December 2021 £ £ £ £ £ £ 4,762 - - - - 4,762 |
|---|---|
| 4,762 - - - - 4,762 |
Fund descriptions
a) Unrestricted funds
Unrestricted funds are for use at the discretion of the Trustees in furtherance of the general objectives of the charity.
b) Endowment funds
Endowment funds represent fixed assets held permanently by the charity, freehold property and investments. Income arising on the endowment funds is used in accordance with the objects of the charity.
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The Talbot Village Almshouses Trust
Notes to the Financial Statements
Year Ended 31 December 2021
13 Analysis of net assets between funds
| Fixed assets Cash Other current assets Total |
Unrestricted funds Endowment funds Total 2021 £ £ £ 133,891 4,762 138,653 2,284 - 2,284 6,681 - 6,681 |
|---|---|
| 142,856 4,762 147,618 |
14 Related party transactions
Talbot Village Trust supports its connected charity (see the Trustees’ report), The Talbot Village Almshouses Trust by way of a grant and donation. The grant and donation for the year amounted to £27,712 and £36,000 (2020: £27,712 and £nil).
At the year end an amount of £10,180 (2020: £10,180) was due to the Talbot Village Almshouses Trust from Talbot Village Trust in respect of transfers of Almshouses occupational charges.
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